Omaha World Herald. April 18, 2019
Nebraska ag trends include fewer and bigger farms, higher average farmer age
Fewer farms and a larger average farm size. A decrease in middle-sized farm operations. High production numbers for cattle and hogs. A surge in the inventory of chickens raised for meat.
Those are among the trends for Nebraska’s crop-production and livestock sectors found in a wide-ranging new data report from the U.S. Department of Agriculture. The report compiled data for 2017 and is the latest in the department’s comprehensive ag-data survey done every five years.
The data on farm concentration are in line with observations made during recent debate at the Nebraska Legislature, as rural state senators noted the strong market pressures for farms to increase in size to stay financially viable.
The numbers show the well-known increases in corn and soybean production compared with previous years, though prices have plummeted from the days of $7-per-bushel corn prices in 2012, now down to around $3.50. The cattle inventory climbed by 2017 to a high of 6.7 million.
The average age for a Nebraska farmer in 2017 was 56.4 years. That’s up about 2 years from 2012 but is below the national figure of 57.5. As often noted in Nebraska agriculture, it’s important to help younger farmers enter the marketplace through education and incentives. A key way Nebraska promotes that aim is through a beginning farmer tax credit established in 1999. A prioritized proposal this session by State Sen. Suzanne Geist of Lincoln, Legislative Bill 560, would clarify rental agreement provisions under that law.
Here are some additional Nebraska highlights from the survey:
“ Farm numbers, farm size. The number of Nebraska farms fell 7% since 2012, to 46,332. The average farm size in 2017 was 971 acres (the national average: 441 acres). The Nebraska figure is up from 930 acres in 2012.
“ Cultivation expansion. The state’s harvested acres in 2017 totaled 19.4 million, up 3% from 2012 and an increase of 12% from 2002.
“ Mid-sized operations. Nebraska’s number of middle-sized farm operations (with sales between $10,000 to $99,999) fell during the five-year period. The trend is in line with the national figures. “All categories of mid-sized farms declined,” the USDA report said of the nationwide figures.
“ Farm concentration. The number of Nebraska farms with $500,000 or more of annual sales increased from 2,824 in 2012 to 8,052 in 2017.
“ Broiler operations. Nebraska saw a major increase in its number of broiler chickens during the five-year period. Operations in 2017 sold 6.7 million chickens for meat, up 30% from 2012. These numbers will likely continue to increase as Costco chicken operations proceed in Nebraska.
“ Layer hens. In contrast, the number of hens providing eggs for sale fell some 21% between 2012 and 2017 - an illustration of the large-scale harm from animal disease, in this case the bird flu that struck in 2015.
“ Pork sector. The state’s hog and pig inventory increased significantly during the five-year period, going from 2.9 million in 2012 to 3.6 million in 2017.
This survey information shines light on the ongoing evolution of Nebraska agriculture and the need to help the next generation of producers seize the opportunities ahead.
_______
The Grand Island Independent. April 16, 2019
Better student training the best way to meet Nebraska’s workforce crisis
“We have a workforce crisis in this state,” University of Nebraska President Hank Bounds said in a news article earlier this month.
And business leaders throughout the state agree with him.
The Nebraska Labor Department reported that there are 36,000 open jobs in the state. Nebraska’s unemployment rate of 2.8 percent is the sixth lowest in the country.
Many companies say they can’t find enough skilled workers in the state. For example, Hudl, a Nebraska-based software company, filled about a dozen positions with out-of-state workers because it couldn’t find enough workers in the state with the desired skills.
“It’s turning into more and more of a problem for us,” Brian Kaiser, one of the company’s founders told the Omaha World-Herald. “We have some skill sets that are very hard to hire in the state of Nebraska.”
The impact is tremendous. The state’s economy is hard pressed to grow if there aren’t enough skilled workers. It’s difficult to attract new businesses and employers if those companies are going to struggle to find the workers they need.
However, there are strides being made to address the worker shortage - and Grand Island is helping lead the way.
The Grand Island Public Schools’ Career Pathways Institute (CPI) is training students in many of the areas in which employers are seeking workers. For example, the information technology program at CPI gives students a leg up as they further their education in computer fields.
Information technology, software design, cybersecurity, computer programming are all employment fields that are booming and are expected to continue to grow.
Central Community College and other community colleges in the state are also working with employers to provide training programs that employers need. There are many encouraging partnerships going on between education and businesses to provide apprenticeships and training to young people.
All of these programs will pay off in the future for the state. Employers will see students coming out of the educational system who can fill their needs.
They will also benefit students, many of whom will see good-paying jobs waiting for them when they complete their training and education.
While programs such as CPI and those at community colleges are outstanding, that doesn’t mean the state can’t do more to meet the workforce shortage.
Other school districts are beginning to follow Grand Island’s lead and are developing their own CPI-like programs.
Nebraska also needs to look at more college scholarship programs to help students get required training.
So while the workforce crisis is currently hurting the state, there is much Nebraska can do - and is doing - to have a better trained workforce in the future.
______
Kearny Hub April 19, 2019
Tax relief must prevent spending increases
Nebraska taxpayers - especially farmers and ranchers - earnestly deserve some relief from high property taxes, but will the Legislature deliver? We Nebraskans have been monitoring our lawmakers in Lincoln and hoping for encouragement, but it looks as if our elected representatives will fall short of delivering what Nebraskans really need: tax relief driven by spending restraint.
The tax plan that has emerged from the Revenue Committee calls for hefty increases in state sales and income taxes to achieve $540 million in property tax relief. A lot of that money is earmarked for aid to schools. The theory is that, given money via other sources, schools would back off their property tax levies, but where are the spending controls to prevent schools from reaping a windfall?
Lawmakers are proposing that budget growth be aligned with the consumer price index, which would allow budgets to grow by 2.1 percent to 2.3 percent, plus enrollment growth. The problem with formulas such as that is that Nebraskan farmers are fighting to make a profit and many Nebraskans have seen their wages stagnate. With farm profits so tenuous and increased earnings unlikely for many Nebraskans, why do lawmakers believe taxpayers can afford to pay for automatic budget increases for schools and other taxing entities?
It’s no wonder Gov. Pete Ricketts is criticizing legislators. They’re proposing $80 million more in state aid for schools along with allowable budget increases of 2.1 percent to 2.3 percent, plus more money if school enrollment is increasing.
We agree with the governor. The Legislature’s Revenue Committee has not worked hard enough. Let’s incorporate stronger spending limits. Let’s not commit the mistakes that got us into our current mess by allowing automatic taxing and spending increases we cannot afford.
Nebraska’s elected representatives aren’t working hard enough. They’ve labeled Ricketts stubborn, but he has proposed reasonable and achievable reforms that incorporate spending restraints. We challenge our state senators to return to the drawing board and work for a plan that is bold and taxpayer-centered. Nebraskans have had enough of high taxes, especially those among us trying to squeeze an income from their farms and ranches.
___
Please read our comment policy before commenting.