The grasslands in the Dakotas

onpoint

Active member
Dennis Anderson: Here's a clear and present danger

Startribune April 29, 2010

The grasslands in the Dakotas are being torn up -- just another environmental disaster for a national treasure.

The notion that conservation, or lack thereof, is just another problem the nation faces -- no larger, and perhaps smaller, than, say, taxes and health care -- is commonly held. Which explains why most Americans only periodically consider soil, water and air stewardship.

The explosion of an offshore oil rig in the Gulf of Mexico and the threat it poses to Louisiana's sensitive coastal marshes provides an example.

These marshes generally extend from Texas to Mississippi, about 250 miles, and can measure up to 40 miles wide. A quarter of North American ducks winter there and all manner of fish and crustaceans use them as nurseries.

The marshes are every bit as spectacular as Yellowstone National Park or the Grand Canyon.

But because they are unseen by most Americans and because they lack the snazz factor of a canyon or a mountain, our nation decided long ago that it's OK to trash them -- something we've done exceedingly well for more than half a century.

Only when TV thrusts upon us a spectacle akin to an offshore explosion or an expanding oil slick do most of us dust off, and consider, "conservation.''

This societal malaise represents a clear and present danger to us all -- and to still other national treasures.

Consider as you read this that thousands of acres of North Dakota and South Dakota native grasslands are being plowed under -- lands that throughout history have been thought to be unfit for agriculture because of poor soil type, too little moisture or too many rocks.

Traditionally, their highest value has been for grazing -- benefiting not only ranchers and their livestock but birds and other wildlife and soil conservation

Additionally, this region, known as the Missouri Coteau, is the last and best hope the United States has for duck production.

Or was.

Here's what's happening:

The federal law governing farm legislation provides access to crop insurance to farmers -- a good thing, obviously. Otherwise, weather's vagaries would spell economic disaster for at least some producers each year.

But a provision in the legislation and the development of genetically modified crops are encouraging Dakota producers to bust up and plant native prairies with virtually with no possibility of financial loss.

In fact, the more native grasslands that producers plow, the more money they make, regardless of whether a planted crop -- usually corn or soybeans -- grows.

Why? Because bushel-per-acre crop-insurance payments often are paid on the rate producers harvest not on these newly plowed marginal lands but instead on their best lands.

It's easy money.

Your money.

"Cashing in'' begins in the fall, when a typical North or South Dakota producer can spray a herbicide on as many as 800 acres in a day. In the spring, the same producer oftentimes makes a single pass over the same fields, tilling and planting in one fell swoop. Crops will grow on some of the newly planted fields. On many others, not.

Either way, the money rolls in even while other (less well-funded) government programs target the same lands for conservation.

Among the biggest losers are taxpayers. Wildlife loses, too, as do, ironically, Minnesota pheasant and duck hunters who -- having sat idly by while their state's uplands and wetlands went the way of the buffalo -- have long considered the Dakotas their adopted autumnal hunting grounds.

Maybe for now.

But not -- if the Missouri Coteau is not saved -- forever.

Rep. Collin Peterson, D-Minn., the chairman of the House Agriculture Committee, knows the problem well. He's trying to remove the incentive to put beneath the plow native prairies that are every bit as valuable to this nation as Louisiana's coastal wetlands. Or Yellowstone. Or the Grand Canyon.

He'd have better luck if more Americans cared.

If only TV would show us what's happening in the Dakotas, perhaps throwing in an explosion for added effect.

Maybe then we'd pay attention, if only for a while.
 
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I was listening to the SD Corn Producers tout ethanol re how they are becoming more efficient, using less water, keeping the price of gas down(by 15% they claim), raising the price of corn for the farmer yet not having and effect on food prices(?) and sinle handedly saving the environment. No mention of land abuse or subsidy costs.
 
I was listening to the SD Corn Producers tout ethanol re how they are becoming more efficient, using less water, keeping the price of gas down(by 15% they claim), raising the price of corn for the farmer yet not having and effect on food prices(?) and sinle handedly saving the environment. No mention of land abuse or subsidy costs.

Buck, you might have opened a whole can of worms here. Have farmers benefited for the ethanol industry? No doubt. Is ethanol the long-term answer to our oil situation? No way. This is a very controversial issue and I'm not about to take a side here.

Back to onpoint's post. Yes there have been thousands of acres taken out of the CRP program and tilled up in the past few years. As a former bank president with a bank heavily involved in agriculture what I saw 2-3 years ago was that when the price of corn hit $6 farmers couldn't get their land out of CRP fast enough to plant corn. I'm somewhat removed from it now but with current corn prices below $3 and better prices for CRP acres I would have to believe this trend has slowed down. I agree with onpoint's post when it talks about the producers making money whether or not they got a crop due to generous crop insurance and government programs. I know some might disagree with me on this but I saw it first hand many times over. It's almost a plant it because I can't lose attitude. Remember that the CRP acres that came out and were planted to corn, or other crops, were marginal acres in the first place. Maybe once producers starts losing money on these acres they will consider re-enrolling the land in CRP.
 
We should never trade the fertility of our soil for fossil fuel replacement! When they perfect cellulosic ethanol production where they can use our own trash and noxious or invasive plants to fuel America, then we should be using ethanol. If we can harvest the cedars that are taking over Oklahoma, the Kudzu that is taking over the southeast, or any of the many other undesireable plants we normally spend money to fight, then we have a win/win situation.
 
Buck, you might have opened a whole can of worms here. Have farmers benefited for the ethanol industry? No doubt. Is ethanol the long-term answer to our oil situation? No way. This is a very controversial issue and I'm not about to take a side here.

Back to onpoint's post. Yes there have been thousands of acres taken out of the CRP program and tilled up in the past few years. As a former bank president with a bank heavily involved in agriculture what I saw 2-3 years ago was that when the price of corn hit $6 farmers couldn't get their land out of CRP fast enough to plant corn. I'm somewhat removed from it now but with current corn prices below $3 and better prices for CRP acres I would have to believe this trend has slowed down. I agree with onpoint's post when it talks about the producers making money whether or not they got a crop due to generous crop insurance and government programs. I know some might disagree with me on this but I saw it first hand many times over. It's almost a plant it because I can't lose attitude. Remember that the CRP acres that came out and were planted to corn, or other crops, were marginal acres in the first place. Maybe once producers starts losing money on these acres they will consider re-enrolling the land in CRP.

I do not disagree with anything you noted. We are on a seesaw.The corn growers also stated that sugarcane ethanol consumed huge amounts of water.
The Chancellor SD plant is using methane from the Sioux Falls dump, but not many plants are going to be able to do that. We subsidise the corn, we subsidise the ethanol. We already have a value added tax.
 
It will be a sad day when the last acre of native prairie is plowed.
 
It will be a sad day when the last acre of native prairie is plowed.

Certainly it works against the pheasant enthusiasts when native prairie is converted to cropland. However the farmer cannot be blamed for simply managing his business for the highest return. The simple economics is that cropland brings a much higher return than hayland. In central SD, which has the highest pheasant populations, the cropland value to a farmer might be $150 per acre while hayland values might only be about $80 per acre. For a landowner who rents his land to a farmer the crop rent might bring about $100 per acre and hayland only about $45 per acre.

Nearly everyone wants to make more money including most everyone on this forum, those not on this forum and yes, farmers too.

Fortunately there are barriers to converting grassland to crop such as the slope of the land, lots of rocks, low areas that are wet and creeks or poor soil type. Sometimes a farmer who raises cattle simply wants to have some of his land in pasture because it fits into his overall operation. Notwithstanding these reasons more hayland is converted to crop each year putting increased pressure on pheasant populations.

Of course we can remove or add incentives to help reduce the conversion rate to crop, which is about all we can do unless we simply make it illegal to convert to crop. Given the huge disparity between the value of crop and hay land, it will take some big incentives to reverse the trend. Unless of course, the value of hay suddenly becomes very high and tips the scale in favor of hayland. Think $20.00 per pound for steaks at the grocery store and there may be hope for the pheasants.
 
landman, you left out one very important variable. RISK. While the CRP payment won't match what a farmer might yield from his field it is guaranteed money in the bank without risk. I know of very few farmers in this area that made any money last year. Even the best farmers had a break-even year at best.
 
landman, you left out one very important variable. RISK. While the CRP payment won't match what a farmer might yield from his field it is guaranteed money in the bank without risk. I know of very few farmers in this area that made any money last year. Even the best farmers had a break-even year at best.

The decision to put land from crop into CRP is a different subject under this analysis. I was simply trying to respond to the question about why landowners and farmers convert grassland into crop.

I might add that 2009 was a record year for both corn and soybeans for most farmers in South Dakota. There were some areas in NE SD that suffered from too much rain in October, which caused some yield problems but for most farmers in SD it was a banner year like we've never seen before. Crop prices were above average too. Hay prices were about average but yield was great with all the rain and cool weather we exprienced last spring and summer. Last year was just another year where the disparity between the return from crop land and hay or pasture land simply widened making it even more attractive to convert hay or pasture land into crop.

Some on this board may not know that almost every CRP program requires the land to be in crop before it can go into CRP. Hay or pasture land does not qualify for CRP except for maybe the Riparian Buffer programs.

I'm not for converting grass land into crop land either, but its been happening ever since the european settlers arrived in the late 1800 finding all of SD in grass. The trend to convert grass land to crop has occurred nearly every year since and probably will continue until all of it is in crop someday.

One big incentive to keep land in grass is the potential for income from pheasant hunters who are willing to pay for their sport.
 
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landman, you left out one very important variable. RISK. While the CRP payment won't match what a farmer might yield from his field it is guaranteed money in the bank without risk. I know of very few farmers in this area that made any money last year. Even the best farmers had a break-even year at best.

Zeb, risk is something to be reckoned with that few do. I know. I used to project manage large IT projects and risk management was a not so popular tool I used to cover my butt that many did not like depending on their agenda.

However, when I have as hard of time as I do selling concept of CRP to farmers I work with that get paid decent money for pheasant hunting you can imagine what is going on with average farmer. It is not in his risk management too kit.

It all comes down to supply-demand-price for commodities, land or whatever when it comes to farms. Some farmers break ground out of greed and some out of necessity.

Landman did a good job in summing up some of the key drivers why ground get broke for crops.

I think if ground was broke and cropped for 15 years and then put in CRP for 15 years and rotated as such that would work out pretty good. Good sustainable rotation.
 
It all comes down to supply-demand-price for commodities, land or whatever when it comes to farms. Some farmers break ground out of greed and some out of necessity.

For most farmers and landowners it is simply a business decision about whether or not to convert hay land or pasture to crop. The majority of farmers probably give little consideration to its overall affect on wildlife. Most may consider the environmental impacts and conservation concerns before breaking the ground but those considerations will vary widely between individual operators. However the biggest facor will simply be a business decision about whether or not more income can be realized with the land in crop.
 
It's weird. A good part of MN is technicaly in a drought and NE SD is underwater. Some fields have not been harvested for two years. Milk is being dumped because the trucks cannot pick it up, bad roads. Snow tomorrow. Payback for the nice spring to date!
 
Part of the problem is that their is very little risk with crop insurance and price supports and other government programs. I talked to one farmer the other day and ask why he always plants a piece of river bottom that always floods out and he smiled and said that is some of my best paying acrers. It is just a business anymore instead of a way of life. Seems greed takes over and thoughts of wildlife or the environmemt no longer matters.
 
There is about 80 acres of corn a mile west of me on the creek that has not and will not be harvested this year because it is under water. Th fed should not be subsidizing this type of ground.
 
There is about 80 acres of corn a mile west of me on the creek that has not and will not be harvested this year because it is under water. Th fed should not be subsidizing this type of ground.

The feds should not subsidizing this type of ground for production purposes for sure. But maybe it would be an excellent candidate for conservation subsidies.

If production subsidy dollars were converted to setting aside environmentally sensitive and marginally/occaisionally productive land we might all be better off. The tax dollars would still get spent but there would be real tangible benefits (soil conservation, better water quality etc.) for all citizens. Not to mention more biodiversity and a healthier ecosystem.

I also suspect you would see a more stable albeit less productive commodities market.

Ultimately the shift in wealth & income among farmers would not be tolerated. Most of the current farmers recognized as successful are production oriented operators and I doubt they would stand for the changes.

Not to mention the reaction of Cargill, Staley and the other big ag outfits.
 
What's your thoughts on land that is taxed and zoned as Ag but is being used for commercial hunting operation also.. I bet a change in the tax code would fix some things.
 
Onpoint, I grow native poultry and consumers harvest them right on my farm. Why would this result in a zoning change?

That's not how you advertise it nor promote it. Providing lodging, meals and selling it as entertainment is not farming.
 
There's still a lot of subjectivity in the definitions though. Outfitters pay 5.5% State Sales tax now, isn't that sufficient?

Uguide: I wouldn't worry too much about it because Ag land is not going to be classified as commercial because of hunting activities anytime soon. Farming is defined as the occupation of providing food from the land and pheasants are just that - food.
 
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