Alabama Poultry, May/June 2015

May / June 2015 – Vol. 10 No. 3

Alabama Poultry Farm Family of the Year – Robby & Kathy Nichols

Address Service Requested AP&EA P.O. Box 240 Montgomery, AL 36101

The cost of the tag is $50, and is tax-deductible. The proceeds from the tag go to fund poultry science scholarships. Ten dollars comes back to county chapters where the tags were purchased to fund their own scholarship programs. The rest goes to fund scholarships either at Auburn’s poultry science department or to the Auburn 2+2 Program at Wallace State Hanceville or Gadsden State, Centre Campus.

Over the past 10-years, the cost of tuition has climbed steadily, but the amount of scholarship money has stayed much the same. What we hope to do, is increase the amount of scholarship money that each student receives. By doing this, we can help deserving poultry science students concentrate on their studies without having to worry so much about how they are going to pay for school. It also frees them and their parents from the crushing burden of student loan debt.

To order, call us at 1-800-254-2732, and have your credit card number and old license tag number or vin number, and we’ll order it for you.

Courtney Ennis, Kasey Blore, Jamie Campbell and Peyton Gilbert at the Ag Graduation Breakfast in May.

These four young women were among seven Auburn poultry science graduates this spring. All of those graduates have jobs, or are entering graduate school. Poultry science is one of the few career path curriculums that offers nearly 100 percent job placement to graduates.

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Alabama Poultry Magazine

Board of Directors

Officers Dale Gambrill, President, Snead* Tim Esslinger, Vice President, Huntsville* Harold Hunt, Treasurer, Gadsden* Kenneth Sanders, Secretary, Brundidge* Randall Ennis, Immediate Past President, Huntsville*

Directors Johnny Adcock, Woodland George Attwood, Anniston Richard Curvin, Ashland Cory Early, Albertville Dennis Gordon, Montgomery Ben Gore, Cullman Lane Holladay, Tyler Casey Jones, Hoover Heath Loyd, Decatur David Massey, Enterprise Dennis Maze, Horton Kevin McDaniel, Huntsville Todd McMahen, Dothan Dr. Shannon Morgan, Huntsville Mitchell Pate, Auburn* Mike Pigg, Cullman John Pittard, Guntersville John Roberts, Cullman Keith Rhodarmer, Collinsville Roddy Sanders, Gordo Jason Shell, Huntsville Jason Spann, Hanceville* Jon Strange, Guntersville Ken Taylor, Anniston Stanley Usery, Athens Ricky Walker, Snead Brad Williams, Troy David White, Russellville

Advisors Dr. Don Conner, Auburn University James Donald, Auburn University Dr. Joe Hess, Auburn University Jacob Davis, Montgomery Dr. Tony Frazier, Montgomery Diane Guthrie, Auburn *Executive Committee Members

AP&EA STAFF

Johnny Adams – Executive Director Wanda H. Linker – Administrative Director Ray Hilburn – Associate Director Huck Carroll – Communications Director/Editor Jennifer Shell – Support Director

Alabama Poultry Magazine is published by the Alabama Poultry & Egg Association 465 South Bainbridge Street Montgomery, AL 36104 Phone: 334-265-2732 Fax: 334-265-0008

Send editorial and advertising correspondence to: Alabama Poultry Magazine Editor P.O. Box 240 Montgomery, AL 36101 Advertising rates and closing dates available upon request.

Editorial matter from sources outside AP&EA is sometimes presented for the information and interest of our members. Such material may or may not coincide with official AP&EA policy. Publication does not necessarily imply endorsement by AP&EA.

w w w. a l a b a m a p o u l t r y. o r g www.facebook.com/BamaChicken

Executive Director’s Message

If you didn’t make it to this years “Evening of Fun” you really missed a treat! It was an outstanding event with a spectacular performance by entertainers Cole Swindell and Clare Dunn. Clare entertained us not only with her great voice but with her mastery of several musical instruments. Cole played one hit after another to the cheering of an energized crowd of fans. Earlier in the day, at our Grower Seminar, our 2015 Farm Family of the Year, the Robby Nichols family was presented with a plaque honoring them for their outstanding farm operation. The family was later brought on stage to be recognized by the guest at the concert. There was a packed crowd at the afterconcert party at the Sheraton Ballroom. Guests danced to the music of the great “Tip Tops.” We will soon be booking our entertainment for next year and we hope to see you there!

A lot of our attention has been placed on the recent outbreaks of Avian Influenza (AI) this spring and summer. Currently most outbreaks have been in the north west and Midwest parts of our country. We have not had an outbreak in Alabama thus far. Birds will begin to migrate again in the fall so the chance of more outbreaks will increase. Alabama is fortunate not to fall under a major bird migration flyways like our states to the east and west. That still doesn’t mean that we won’t see some disease carrying water fowl visiting our state. With that in mind our main efforts to avoid a major AI outbreak will be in the area of biosecurity. We MUST employ excellent biosecurity practices to avoid spreading the disease.

Finally, I want to express my most sincere thanks and appreciation to our 201415 AP&EA President Dale Gambrill. Dale has done an outstanding job for our association over the past year. Dale’s accomplishments include expanding the 2+2 poultry science program by creating a program at Gadsden State, Centre campus.

Under his leadership, AP&EA supported legislation was passed and signed into law that would allow intrastate truckers greater flexibility by increasing drive time from 11 hours to 12 hours in a day. Passage of the bill would also increase on the clock time from 60 hours in seven days to 70 hours in seven days. This law will be especially helpful during hazardous condition days when we are trying to catch up on production. The Alabama poultry tag was put into place raising thousands for scholarships. Finally under Dale’s leadership the Auburn University Poultry Research Facilities Committee headed by Randall Ennis has raised more than $1 million in commitments toward the new poultry research farm. Thank you, Dale, for an outstanding year!

Featuring This Issue

Governmental Affairs Estate Planning Young Farmer’s Student Debt FFA Student Convention Passing of Friends: Dr. Bob Brewer and Dean Strickland Association News “Big Bass” Fishing Tournament EOF Golf Tournament “Evening of Fun” 2015Alabamaq Poultry Farm Family: Robby and Kathy Nichols Industry News Practical Applications Calendar of Events

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Governmental Affairs Estate Planning Part 1

Should I Worry About the Estate Tax? Robert A. Tufts and Paul W. Brown*

The short answer is no, but your children might be concerned. If your estate plan is structured correctly there will be no tax at the first spouse’s death because the entire estate will pass tax-free under a combination of the applicable exclusion amount and the unlimited marital deduction. So, there will be no tax due while the husband and wife are alive. Any tax due will be subtracted from the surviving spouse’s estate before children receive anything.

Applicable Exclusion Amount

The applicable exclusion amount is the amount that can be transferred tax-free either during life or at death.

This year the applicable exclusion amount is $5.43 million, and the husband and wife are each entitled to an exclusion; so, together they can transfer $10.86 million to their children tax-free. Estate taxes were a much larger concern in the not too distant past. In 2001 the exclusion amount was only $675,000 and the maximum tax rate was 60 percent. Table 1 shows how the exclusion amount and tax rates changed under the Economic Growth and Tax Relief Reconciliation Act of 2001. In 2011 the exclusion amount would have returned to $1 million but Congress extended the $5 million amount, indexed for inflation, for an additional year and continued the one-year extensions until making the amount permanent in January 2013, when it passed the American Taxpayer Relief Act of 2012. The maximum tax rate is 40 percent.

Gross Estate

What is actually included in your

gross estate and subject to federal taxes. Obviously everything you transfer in your will is included in your gross estate (Internal Revenue Code § 2033). If you have a revocable trust, everything owned by the trustee is included in your gross estate (§ 2038). If an asset passed to a surviving spouse under the marital deduction it is taxable in that spouse’s estate. Marital deduction does not mean tax-free only deferred until the death of the second spouse (§ 2044).

There are several categories of assets that are not included in your probate estate that are included in your gross estate for tax purposes.

Joint interests are included in your gross estate(§ 2040). If you owned your house jointly with right of survivorship with your spouse, you are assumed to own half and that half will be included in your gross estate (but qualify for the unlimited marital deduction). If you own property jointly with anyone other than your spouse, the entire interest will be included in your estate unless you can prove the other person contributed to the purchase price. For example, if you purchase a tract of land and put your child’s name on the deed as a joint owner with right of survivorship the entire value of the property will be in your gross estate. Also, when you put that child’s name on the deed you have made a taxable gift and you should have filed a gift tax return (Form 709) for the year of the gift.

You will not have to pay taxes if the amount is less than your remaining exclusion amount, but the amount of the gift will be subtracted from your $5 million exclusion amount.

If your parents set up a trust for you and your children and gave you a

general power of appointment, the entire value of the trust is included in your gross estate (§ 2041). This is a typical planning technique to avoid the generation-skipping transfer tax, but it shifts the tax to the child. A general power of appoint is only when you can appoint to yourself, your estate, your creditors or the creditors of your estate. If you can only appoint to your children, you have a limited power of appointment and the amount is not included in your estate.

If you have a retirement account it is included in your gross estate (§ 2039). If a beneficiary is to receive monthly distributions over their life the value included in your gross estate is the actuarial value of the income stream; in other words, you pay tax on money that will not be received for years.

Life insurance proceeds are included in your gross estate if you retained “incidents of ownership” (§ 2042). Life insurance proceeds do not generate an income tax liability, but if the decedent owned the policy or exercised some control over the policy, even though someone else is the beneficiary, the proceeds are included in his gross estate.

Any transfer with a retained interest is included in the gross estate (§ 2036). For example, if you transferred property to your child but retained a life estate, even though the property is not in your probate estate it is included in your gross estate. If you deeded the beach house to your children but retained the right to rental income, the beach house will be included in your estate at its value on the date of your death, not the date of transfer. If you transferred stock in the family business but retained the voting rights, the value of the business at it’s date of death value will be in your gross estate.

If those were not bad enough there

* Attorney and Extension Specialist for Tax and Legal Issues Affecting Landowners, Alabama Cooperative Extension System, 1800 Airport Road, Opelika, AL 36801 (334) 734-2120 and Associate Director, Alabama Cooperative Extension System, 109 Duncan Hall, Auburn University, AL 36849

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is the three-year rule (§ 2035). If you try to remove the life insurance, retained interest, or revocable trust items and do not survive three years, those items will be brought back into your gross estate.

Tax Planning

Planning to reduce the tax liability consists of a gifting program to reduce the value of the gross estate. The first technique used is paying tuition and medical expenses for grandchildren or adult children. By making payments directly to the provider (not to the children) the parent does not have to file a gift tax return and the amount is not deducted from the available exclusion amount (§ 2503(e)). These gifts include the payment of health insurance premiums.

The second technique is gifts of the annual exclusion amount (§ 2503(b)), or the ability to transfer $14,000 per donee per year tax-free.

The amount of the annual exclusion is adjusted for inflation and has gradually increased from the original $10,000 amount in 1997. There is no requirement that the donee be related to the donor, but the gift must be a present interest in the asset (available to the donee). To maximize the deduction the parents can each make a transfer to the children, spouses and grandchildren. For example, if there were three married children each with three grandchildren the parents could reduce the value of their estate by $420,000 each year (15 gifts of $14,000 each for husband and 15 for wife).

Making taxable gifts which use part of the available exclusion amount may be desirable. If an asset is increasing in value it may be better to gift the asset away when it is worth, say $1 million than waiting 5 years when it will be worth $1.5 million. In addition, there are split interest gifts

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such as qualified personal residence trusts (QPRT’s), grantor retained annuity trusts (GRAT’s), and charitable remainder annuity trusts (CRAT’s) and techniques like installment sales to intentionally defective grantor trusts that can be used to get even more benefit from the exclusion amount. You should discuss these techniques with your tax attorney.

In summary, most landowners will not be affected by the estate tax; however, if it is a concern, there are planning techniques that can reduce or eliminate the necessity to pay taxes, and of course, some individuals purchase life insurance to pay the tax liability.

Applicable exclusion amounts and maximum tax rates under the Economic Growth and Tax Relief Reconciliation Act of 2001.

YEAR

2001

EXCLUSION AMMOUNT

$675,000

2002

$1,000,000

2006

$2,000,000

2004 2009 2010

$1,500,000 $3,500,000

Unlimited or $5,000,000

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TAX RATE

60% 50% 48% 46% 45%

0% or 35%

Bill Seeks to Help Young Farmers Succeed

By Katie Kocijanski Columbia-Greene Media

WASHINGTON, D.C. — Farmers looking to break into the agriculture industry could soon be getting some extra help courtesy of the Young Farmer Success Act of 2015.

The bill would help new farmers with managing their student loan debt by adding them to the Public Service Loan Forgiveness Program.

Due to the hard work of the National Young Farmer's Coalition, U.S. Rep. Chris Gibson, R-19, introduced the bill to the House of Representatives along with fellow Connecticut U.S. Rep. Joe Courtney, D-2, on June 1.

“We brought the issue to Congressman Gibson last year and spoke with him about the challenges of starting a farm and the tremendous student loan debt many young farmers carry,” Lindsey Lusher Shute, the coaliton's executive director, said.

The coalition worked alongside

Gibson's team on drafting the bill. The Young Farmer Success Act of 2015 would allow a farmer to see the balance of their student loans forgiven after making 10 years of income-based student loan payments. This would free up capital for farmers to acquire land and equipment.

The bill requires a qualified farm to earn a minimum of $35,000 in revenue for the farmer in order to be eligible for loan forgiveness. This is to prevent the program from being used by hobby farmers or others who do not perform a public service.

“As proud as we are of our farmers, we have six times more farmers over the age of 65 than there are under the age of 35,” Gibson said. “Over the next two decades, the U.S. needs over 100,000 new farmers.”

The coalition has built up an advocacy network of 60,000 farmers, ranchers and consumers led by Lusher Shute

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since 2010. Lusher Shute said they are working to get more members of the House of Representatives to show support, and are currently working with senators to introduce a similar piece of legislation.

Gibson and Lusher Shute both said they hoped to include the bill as a part of the Higher Education Act. They said the more support they can gain for the bill, the better.

If the bill were to stand alone, it would not likely pass. Gibson said by trying to get it to pass with a larger measure like the Higher Education Act, it would stand a better chance.

The coalition released the results of their newest farmer survey on June 24.

The survey found student loan debt is intensifying the nation's farmer shortage.

Over 700 farmers took part in the coaliton's “Farming is a Public Service

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Ala. FFA Holds 87th Annual Convention Hundreds of future Alabama farmers from across the state gathered in Montgomery to celebrate the future of agriculture at the Alabama FFA State Convention. The meetings, held on June 10-12 at the Montgomery Renaissance & Montgomery Performing Arts Centre, marked the 87th anniversary of the event.

According to Jacob Davis, state FFA advisor, during the 2014-15 school year, 268 FFA members participated in FFA Poultry Career Development events across the state. The top four chapters in the state competition were: (1) Thorsby, (2) Woodland, (3) Foley, and (4) Enterprise. The highest scoring individual in the state event was Rebecca Bland from the Thorsby chapter.

Twenty FFA members submitted proficiency applications in poultry science this year. The top four in state competition were: (1) Tyler Powell from West Point; (2) Tucker McCormick from West Limestone; (3) Roger Boone Shipley from Danville; and (4) Ben Castleberry from Pell City.

These hardworking kids, along with students in other disciplines, were recognized for their outstanding efforts at the award ceremony on Thursday, June 11. Each presentation underlined the theme of this year’s convention, “Go All Out,” as these students Rebecca Bland of Thorsby certainly went all out to achieve success.

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AP&EA Associate Director Ray Hilburn stands alongside the top award winning poultry evaluation team from Thorsby.

Steve Powell beams with pride as he stands beside his son, Tyler, who won the top award for poultry production. The Powells grow for Wayne Farms – Decatur.

Alabama Poultry Magazine

The Passing of Friends

Poultry Pioneers Leave a Lasting Legacy

The months of May and June saw the passing of two giants in the history of the Alabama poultry industry, Dr. Bob Brewer and Dean Strickland.

As a 1955 Auburn graduate, Bob Brewer returned to his alma mater in 1968.

He had just earned his Ph.D at the University of Georgia, after having worked in the poultry industry for several years. This would begin an exceptional 32-year career as a poultry science educator.

In 1987, he was appointed the head of the poultry science department. While head of the department he saw enrollment rise from fewer than 20 students to a high of 82 in 1998. Brewer’s crowning achievement was the poultry science building, an 85,000-square-foot research, classroom and office facility on the Auburn University campus. He partnered with Alabama’s poultry industry leaders, Auburn administration and government agencies to develop the concept, secure funding and follow through on completion of the project.

So significant was his contribution to the poultry industry that in 1993, just six years after being appointed as head of the poultry science department, he was inducted into the Alabama Poultry Hall of Fame and in 2013, he was inducted into the Alabama Agricultural Hall of Honor. Long after his retirement in 2001, he continued to be active in poultry events. One of his great joys was cooking omelets at the College of Agriculture Graduation Breakfast and at the annual AP&EA Legislative Breakfast.

His greatest legacy, however, is in the lives of his students. They remember him as a great teacher, but also as a mentor and friend. To many, like Randall Ennis, he was a second father figure. He was always smiling and ready with a word of encouragement.

Dean Strickland and Dr. Brewer were very much alike. They were men who were driven to succeed, but also driven to help others achieve success.

Dean started out as a Marshall County farmer’s son, one of nine children. He had success using an innovative way to plant corn as a teenager. This set the stage for things to come. As a high school student, he went to work with the Cotton Producers Association (CPA). Soon he was introduced to their poultry operation and became manager of their Rainsville Broiler Agency. Several years later CPA became Gold Kist.

As Gold Kist grew, so did Dean. Early on, he had helped set up broiler operations, and he continued to work with growers, giving freely of his time and helping in any way that he could. He also became active in the work of the Alabama Poultry & Egg Association, becoming president in 1989.

By the time of his retirement from Gold Kist in 1992, he had built an operation that produced 2.3 million birds a week and had been selected for the Alabama Poultry Hall of Fame. He also started the highly successful Alabama Congressional Chickenfest in Washington, D.C. With retirement, Dean became active with Volunteer Overseas Cooperative Association (VOCA). The VOCA vision: “A world in which people are empowered to succeed in the global economy.” Dean first went to Egypt to participate in VOCA’s Farmer-to-Farmer program. In a subsequent trip, he set up a hatchery in Ramallah, Pallestine, on the West Bank.

While always active in his church and community in Boaz, the last few years he seemed even more active. He was always encouraging others.

The true impact of these men’s lives goes far beyond their personal achievements and honors, of which there were many. They each leave an unsurpassed legacy of service to their chosen fields within their industry and their communities.

Their impact is most closely felt in the lives that they touched, helping mold, direct and inspire a younger generation.

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Dr. Bob Brewer is survived by his wife, Jane of Auburn; son, Robert (Brenda) Brewer of Hiawassee, Ga.; grandsons, Clay and Chris Brewer; granddaughter, Erica Roach; four great-grandchildren; and brother, Jarvis (Mary) Brewer of Rogersville, Ala. In memoriam, a scholarship has been set up in his name. Contributions can be made to the Robert N. Brewer Memorial Scholarship through the Alabama Poultry Foundation.

Dean Strickland is survived by his wife of 59years: Janice Brumbeloe Strickland of Boaz, daughter & son-in-law: Donna Strickland Hudson & Dr. James H. Hudson of Valdosta, Ga., and Guntersville, one granddaughter, Jordan Vecchio, Atlanta, Ga.; step grandson and his wife: James H. Hudson III & Katie of Greenville, S.C., and step great grandson: Marshall Hudson, Brothers: Thomas Strickland of Birmingham, Johnny Strickland of Albertville, Glenn Strickland of Geraldine, Sisters: Martha Cannady of Albertville, Mavis Guest of Asbury, Patricia Maddux of Guntersville and Cyndy Smith of Whitten and several nieces and nephews.

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Association News

County Association Meetings Focus on Real Estate

Two county association meetings were held in May and June. The Clay County Poultry & Egg Association met at Miss Anita’s Restaurant in Lineville on Tuesday, May 28, and the Randolph County Poultry & Egg Association met at the marina on Lake Wedowee on Tuesday, June 2.

At Miss Anita’s over a catfish dinner, the large audience heard presentations from Lisa Johnson of Dreisilker

Lisa Johnson explained the benefits of using Dreisilker Electric Motors

Electric Motors, Randall Smith of American Proteins and Randall Upchurch of Son Up Real Estate.

At the Randolph County meeting, the porch of the Lakeside Marina was the happening place as Randall Upchurch repeated his presentation for Son Up Real Estate.

Clint Hollingsworth made the presentation for Dreisilker Electric Motors.

AP&EA Associate Director Ray Hilburn spoke at each meeting about the upcoming AP&EA “Evening of Fun” and the Alabama poultry car tags.

At the conclusion of each meeting door prizes were given. Dreisilker Electric Motors donated one motor at each event for door prizes.

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Randall Upchurch told the atendees about the advantages of using his organization to buy or sell poultry farms.

Randall Smith thanked everyone for using American Proteins Farm Mortality Service

1st Place: Roth Yancey and Chris Helton

2nd Place: Greg Shell and Danny Shell

3rd Place: Brad Lenoir and Jason Brown

4th Place: Allen Horton and Leigh Patrick

5th Place: Matt Jennings and Andrew Bailey

6th Place: Keith Odom and Jeremy Martin

AP&EA “Big Bass” Tournament Lures a Crowd

LAKE GUNTERSVILLE – Friday, May 8 – As the flotilla of 43 boats headed out on beautiful Lake Guntersville at 5:30 a.m., there wasn’t a cloud in the sky, though stars were still visible above. Spirits were high as the two-man crews headed for favorite fishing spots across the 75 mile long 69,000 acre lake, in the AP&EA “Big Bass” Fishing Tournament.

The only things more colorful than the boats were the characters who crewed them. Bass fishing can certainly produce some unique characters, or, maybe those unique characters are just drawn to the lure of fishing for the big ones. Whichever it is, there were some crusty folks in the tournament.

The day was pleasantly warm. There were a few ducks lazily floating around the boat ramp, birds were chirping in the trees.

It was a quiet and peaceful morning, until about 11:30. That’s when the first boats started racing in, engines roaring.

From then on the frenzy began. With live wells loaded, the boats started coming in fast, and fishermen started lining up to have their catches weighed.

The top six finishers totalled an impressive 127 pounds of bass. Leading the efforts was the team of Chris Hester and Roth Yancey, with 27.5 pounds.

The biggest fish of the day, a 6.9 pounder, was caught by Danny Shell.

Teamed with Greg Shell, they finished in second place.

Chick-fil-A sandwiches were provided to all participants by American Proteins and numerous door prizes were awarded. In fact, every participant got a door prize.

It was a great day to be fishing, and for a great cause. Proceeds from the tournament go toward scholarships for deserving poultry science students.

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LIMESTONE SPRINGS GOLF CLUB – Friday, June 5, 2015 was a perfect day for golf. The temperature was moderate, the humidity was low and there was a gentle breeze. Plentiful rain had turned the fairways a lush green and the putting surfaces were fast. It was the kind of day when, if you don’t play golf, you might just think about picking up a club.

Limestone Springs Golf Club is, without a doubt, one of the premier golf venues in Alabama, with it rolling meadows in a picturesque mountain setting, and the more than 130 tournament participants enjoyed it to the fullest.

With 34 teams registered, it was necessary to bring in additional golf carts. Wow, what a great problem to have.

After the tournament, everyone gathered in the clubhouse to swap tales of straight putts and near misses. Then the lunch line began to form as hungry poultry pros lined up for some of David Walker’s great barbecue.

Even as the barbecue was being enjoyed, a drawing was held for cash prizes from Southwestern Sales. Ricky Walker and Cypress Hathorn walked away with a little more jingle in their pockets.

Then it was time for the duffers to cheer and the victors to be named and rewarded. But, really, all who played were winners, having shared a beautiful day in a beautiful place.

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David Walker and Benny Sims from K Supply chop some butts, as the hungry golfers gather in the Limestone Spring clubhouse.

1st Place: Casey Jones, Kevin McDaniel, Barry Fuller and Heath Loyd

PLATINUM American Proteins, Inc. ChemStation Costco D&F Equipment Sales, Inc. Elanco

First South Farm Credit, N.A. GSM Steel & Mechanical Contractors International Paper Company J&R / Farm Systems Inc.

GOLD

K Supply Company, Inc. Kaman Industries Marel Stork Poultry Processing Merck Animal Health Sand Mountain Electric Cooperative The Vincit Group Zoetis

AlaTrade Foods, LLC Aviagen, Inc. C & E Supply, LLC CEVA Cobb-Vantress, Inc. Hubbard LLC Interstate Container

2nd Place: Rusty Alldredge, Bill Hardwick, Mike Bobo and Henry Burns

SILVER

Advanced Poultry Equipment & Supplies, Inc. Alabama Ag Credit, FLCA Alabama Farm Credit, ACA Alabama Power Company Animal Health International Cintas Corporation Cumberland Evonik

First South Farm Credit, S.A.

Huvepharma Ivesco, LLC Jones-Hamilton Company Live Oak Bank Merial Select Novus International PeroxyChem Randy Jones & Associates Sunbelt Rentals

3rd Place: David Edmonson, Jeff Sims, Perry Norris and Jeremy Martin

2015 HOLE SPONSORS Alabama Farm Credit Alabama Power Company American Proteins Aviagen Clear View Enterprises Cobb-Vantress D & F Equipment Davis Lee Companies AlaTrade Foods/Lee Energy Solutions Diamond V First South Farm Credit NA Fitco/IsoNova Hubbard LLC

Keystone Foods, Eufaula Keystone Foods, Huntsville L. B. White – Casey Jones Live Oak Bank Marel Stork Processing Merial Merrill Lynch – Brandon White Meyn America Randy Jones & Associates Reeves Supply Co. Southwestern Sales Zoetis

Alabama Poultry Magazine

Closest to the Pin: Kevin McDaniel, Heath Loyd, Bart Smith and Bill Hardwick

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Evening of Fun

Grower Comm. Chairman Kenneth Sanders

The Nichols’ family: (Left to right) Son-in-law Chad Howard, Melissa Kaye Howard, Robby’s parents, Bobby and Jane Nichols; grandchildren, Blake Howard,2; Reid Howard, 5; Jase Howard, 9; Jack Holley, 7; Robby and Kathy; Kate Holley, 1; Clay Nichols; Chelsea Nichols; son-in-law Cole Holley; Robyn Holley; and Whit Holley, 5.

A Little Business Before the Fun Begins Dr. Jeremiah Davis

Two young $100 winners

AP&EA President Dale Gambrill presents Robby and Kathy their plaque

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With anticipation running high for the “Evening of Fun” concert, growers met in the Birmingham Sheraton Ballroom for some business, education and some pre-concert fun at the Grower Seminar.

AP&EA Grower Committee Chairman Kenneth Sanders welcomed everyone to the meeting. The first thing on the agenda was the election of two new grower directors to the board. The nominating committee nominated Sam Black of Cullman and Len Windham of Ariton. Both were approved and Johnny Adcock was reelected for another term.

With the election over, it was time to introduce the Alabama Poultry Farm Family of the Year. This year’s winner: Robby and Kathy Nichols of Letohatchee.

They grow for Koch Foods of Montgomery.

Growers then got to hear from the newest member of the National Poultry Technology team, Dr. Jeremiah Davis. Davis spoke about the development of a sustainable grass-based litter supply chain. Pine shavings for broiler litter are becoming more expensive and harder to obtain for many growers across the Southeast. Davis discussed the opportunities for using chopped grass litter materials.

A poultry complex could potentially grow all of the needed litter onsite, harvest and chop once during the fall/winter seasons and go into houses as needed. Davis’ group has examined the use of several grasses including bermuda grass, switchgrass, and giant miscanthus. All have proven to be suitable materials when compared to pine shavings as long as the chop length was maintained at one inch or less in length.

In summary, Davis said there is potential to grow large volumes of grass litter on low-quality land within complexes. Grass can be quickly harvested at commercial scales as long as you maintain the one-inch chop length. There is potential energy savings because the grass is harvested at a much lower moisture content than green shavings (<20 percent vs. 50 percent). Chopped grass litter like wood shavings has to be actively managed to get the most from each flock.

Finally it was time for the drawing of five crisp $100 bills. With each number called tickets were carefully examined and the smiling winners collected their prizes. Then it was on to dinner and the concert.

Alabama Poultry Magazine

AP&EA Officer

s

Red Bay FFA String Band

As folks were eagerly entering the BJCC arena, the entertainment started fast and furious with the award winning Red Bay High School FFA String Band. Playing selections from Johnny Cash’s “Ring of Fire,” the Eagles “Take It Easy,” to “American Honey” by Lady Antebellum, this group is talented and ambitious. Three of their young ladies also beautifully performed the “National Anthem.”

In the opening ceremonies, AP&EA President Dale Gambrill introduced the AP&EA officers, and Executive Director Johnny Adams introduced the 2015 Alabama Poultry Farm Family of the Year, Robby and Kathy Nichols, Koch Foods growers from Letohatchee.

Then folks went scrambling for their tickets in hopes of having the winning numbers for the drawing for two large screen smart televisions.

Walking through the audience as the stage was being set up for Clare Dunn, there were smiles everywhere. Folks were having fun, and things were just getting started. Poultry people and their friends were in a mood to celebrate.

When Clare Dunn took to the stage, there was reason to celebrate.

With her “rockabilly” style and that long blonde hair, she was a treat.

This Colorado gal can flat handle a guitar, hitting some riffs were downright magical. Rocking through songs like “Cowboy Side of You” and “Get Out,” she finished with her signature song “Move On.”

labam hols, A ic N y h t and Ka y of the Year Robby mil a F m Far Poultry

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scre

er winn n o i levis en te

Clare Dunn When Georgia boy, Cole Swindell hit the stage, it became clear why he was named the Academy of Country Music Newcomer of the Year. This young man is a crowd-pleasing entertainer.

Colden Rainey Swindell (that’s his real name) seemed like a ping-pong ball at times as he bounced aroung the stage enteracting with his enthusiastic fans with songs from his album Cole Swindell.

“Hey Y’all” was a crowd pleaser, as was “Let Me See You Girl.” There were the hard drinking songs and the “you done me wrong” songs, like “You Ain’t Worth the Whiskey”and “Down Home Boys.” He got a little country romantic at times with songs like “I Just Want You,” “Swayin” and the crowd favorite, “Dozen Roses and a Six-Pack.”

It was a show, and if you were there, you couldn’t help but have fun. If you weren’t – there’s always next year.

Alabama Poultry Magazine

Cole Swindell

May / June 2015

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The Tip Tops were rockin’ hot. Conga lines and line dancing; fast tunes and a few slow ones to let you catch your breath – Rock, Pop, Motown, Soul – whatever your taste in music, they played it. And, from the looks on everyones face – they were having fun. Maybe that’s why it’s called the “Evening of Fun!”

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Alabama Poultry Magazine

Alabama Poultry Farm Family of the Year:

Robby and Kathy Nichols

Robby and Kathy have proudly displayed their Alabama Poultry Farm Family of the Year sign beside their front gate in Letohatchee

Robby Nichols still has his hot tub. It was good for a headline in the Alabama Poultry Magazine profile that I wrote in 2009, but today, it gets little use. Robby says that the weather is either too hot or too cold to get in it. Then there are the grandchildren, all six of them (about to be seven) .... that just doesn’t leave a lot of time for the hot tub.

Back in 2009, when the hot tub was new, and there were only two grandkids, and Clay, Robby and Kathy’s youngest son, was single, living in a trailer on the farm and working for his dad in the chicken houses, there was a little more time for hot-tubbing.

Clay now owns the three 66’ x 600’ chicken houses that Robby built in 2007. He also has a wife, Chelsea, a delightful red-head who works as a postpartum nurse at Baptist Hospital-East in Montgomery, and a baby due in late August (a little boy, who will be named Robert Clarence Nichols, IV, but called “Cade”). Having moved out of the trailer on his parents’ farm, He and Chelsea have a new home of their own nearby.

The Nichols’ oldest daughter, Melissa Kaye Howard, and her husband, Chad, have three children, Jase, 9; Reid, 5; and Blake, 2. Chad works with Service Electric and Melissa Kaye is a teacher at Dozier Elementary School in Montgomery.

Middle child, Robyn and her husband, Cole Holley, have just gone into the poultry business, buying an existing farm near Robby and Kathy. Robyn works as a radiology technician at Baptist Hospital-East in Montgomery. They have three children, Jack, 7; Whit, 5 and one-year-old Kate.

Robby still has the six 40’ x 500’ houses that he built in 1999 when he started growing for Sylvest, as well as the two he built in 2001. Both he and Clay grow big birds for Koch Foods / Montgomery.

It hasn’t been an easy life for Robby and Kathy. They have had to work very hard to get where they are now. Robby grew up as the son of a dairy farmer, and for the first 20 years of their married life, Robby had a quarter partnership with his father in the dairy business. In fact, at the age of 19 he secured an FHA loan and purchased a herd of dairy cows and joined his father’s dairy operation.

In the early 90s, with the dairy business becoming increasingly less profitable, Robby began looking for something else. He had a cousin who was a poultry grower and doing well, so Robby began exploring the possibilities.

Robby sought the advice of Everett Jeffcoat of Production Credit, now First South Farm Credit. Jeffcoat, a trusted advisor who is now retired, told him that he had never seen any one who was just in the chicken business go broke. That

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Asked the reason for their success in the poultry business, Kathy responded, “We are blessed!”

Kathy, who retired in 2008 from Lowndes County DHR, and Robby enjoy their role as grandparents. Kathy is holding grandson, Blake.

was just what Robby wanted to hear.

In 1993, with his decision made and with great anticipation, he contacted Steve Carroll, who, at the time, was broiler manager for Sylvest Farms. Robby was ready, but Sylvest was not. He was told that Sylvest wasn’t accepting any new growers, but that they would put him on their list. He says of his great disappointment, “It was like somebody popping a balloon.”

Kathy was working for the Lowndes County Department of Human Resources at the time. Robby continued to work with his father, but also worked several other jobs to make ends meet, even working for an eight-month stretch at the Sylvest hatchery. Kathy took night courses at Auburn University Montgomery, eventually earning a degree and working for DHR as a social worker.

They had bought his grandparents’ home, moving from an old house trailer that he had purchased from some friends when they were first married. It was an older home, but Kathy had worked very hard to make it warm and comfortable. Their three children were born while they lived in that home.

In 1998, Robby worked out a land swap with his father, moving his family “down the road” to their present home, and away from what Kathy still affectionately remembers as, “the little yellow house on the hill.”

That year, the call came from Sylvest. They gave Robby approval to build six broiler houses. Robby’s dad, Bobby Nichols, wasn’t real sure about the chicken business, having been a dairy farmer for so long, but he supported Robby’s decision by assisting with collateral for the loan.

In 1999, Robby started building chicken houses, and added two more houses a couple of years later.

He looks back on his years in the dairy business and says with a laugh, “It’s about as close to prison as you can get on the outside. It’s always the same – hot weather, cold weather,

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seven days week.” Then he adds, “In the chicken business, you get to see them grow from small birds to big birds.” For Robby, there seems to be a lot of satisfaction in that.

In 2007, with Koch Foods going to the mega houses, he built the three larger houses that now comprise Clay Nichols’ Farm. He also had the existing houses solid sidewalled Now, 16 years into poultry farming, he is happy with his decision. Even his father has to acknowledge that it was a wise move.

Robby’s dad, who turns 81 this year, is a beneficiary of the poultry business. Robby spreads some of his poultry litter that he doesn’t sell on his dad’s pasture.

Robby, who once kept some cattle, has since sold all of his cows to Clay.

During his years in the chicken business, he has always been open to innovation and to working to develop those innovations. He has a close relationship with the National Poultry Technology Center at Auburn University. He is just finishing a new lighting test working with Gene Simpson on LED lighting. He has an ongoing project with Jess Campbell

Alabama Poultry Magazine

because of the high salt content of his water. The salt problem is deteriorating his cool pads and effecting his feed conversion. He has tried using plastic pads, but they do no provide adequate cooling for the larger birds.

He has three deep wells that provide water for his houses and Clay’s mega houses. In the heat of summer and with large birds their water usage can approach 70,000 gallons per day. Some days the wells can’t keep up with the demand and he has to rely on county water. He and Jess are working on some other options for eliminating salt and more efficient water usage.

Even with water problems, he is consistently a top producer for Koch Foods. In the letter nominating the Nichols for 2015 Alabama Poultry Farm Family of the Year, it was stated, “They do an excellent job of maintaining their farm and are continually making improvements to stay competitive.”

The family is active in their church, Hayneville Christian Church, where Kathy teaches Sunday School. Robby is a member of Central Alabama Poultry & Egg Association, and is also a member of the Seller’s Water Board.

Robby is a pretty shy fellow. He doesn’t like to speak in public or give interviews. His friend, Dick Farrior, who owns the local stock-yard, likes to play jokes on Robby, because of his shyness. This year, just before Robby and Kathy were set to go onstage to be announced to the 2015 “Evening of Fun” crowd, Farrior texted Robby that RFD Television had a crew in the audience to video his acceptance speech.

Robby almost didn’t go onstage.

In the interview, Robby quipped that he had always been a hard worker, though not always a smart worker.

Many of us can say the same thing, however, in Robby’s case, whatever mistakes he has made have tempered him with hard won wisdom. It’s a legacy that he will certainly pass along to his growing brood of grandchildren.

Heartiest congratulations to Robby and Kathy Nichols for being named as the Alabama Poultry Farm Family of

Robby gives Assistant Agriculture Commissioner Reese McKinney a tour of his houses.

Alabama Poultry Magazine

May / June 2015

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Aviagen Opens New Office Headquarters in Huntsville

HUNTSVILLE – On May 12, the ribbon was cut opening the new Aviagen world headquarters in Huntsville’s research park. The new facility is approximately 42 percent larger than the old office space.

The new building has more conference and meeting room space, which will enable Aviagen to host multiple and larger customer visits to its headquarters. The new building also boasts a modern fibre based network infrastructure, with faster internet connections, essential for day-to-day business transactions and to serve a geographically dispersed workforce. The new location is closer to Huntsville International Airport, as well as hotels, additional offsite meeting spaces, and a variety of restaurants, making it convenient to host customers and partners.

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In his opening remarks, Aviagen President Kevin McDaniel asked the rhetorical question, “What is a chicken company doing in a research park?” With more than 3,600 employees worldwide and shipping chicks or hatching eggs to 130 countries – there’s got to be a lot of research done.

Alabama Poultry Magazine

Hubbard Holds Successful International Hatchery Management Training in the USA

JUNE 2015 â&#x20AC;&#x201C; Hubbard incubation specialist Jiggs Kilgore and the hatchery team of Hubbard LLC conducted an International Hatchery Management training in Chattanooga and Pikeville, Tenn.

Participation in the program included key management and operations personnel from Hubbard customers coming from Brazil, Pakistan, Egypt, Nepal, Sri Lanka, India, Indonesia and Japan.

The three-day event started with presentations from poultry professionals addressing topics including sanitation, advancements in chick treatments, the latest incubation technology and software updates, application and administration of Coccivac, day-old-chick hydration products including the delivery systems for applications of those products, and embryo diagnosis techniques for identifying and troubleshooting issues occurring in the incubation process.

The course continued with presentations by hatchery manager Tony Britt and his team on: egg room operations, incubation programs, environment management and processing through incubation, transfer and chick processing. Laboratory manager Wes Miller presented his bacterial plating, monitoring and analysis programs.

Hands-on training for all attendees formed the main part of the course and focused on actual egg break-outs and candling with analysis and troubleshooting recommendations, bacterial plating including actual location plate exposures with readings 24 hours after exposure, chick sexing, chick handling in the chick processing area and Cocci-

May / June 2015

Alabama Poultry Magazine

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vac applications. The hands-on training was completed with chick storage environment observation, application, monitoring and management techniques.

The training finished with a presentation by Jay Daniels, Hubbard LLCâ&#x20AC;&#x2122;s director of operations, on the Smithway chick and egg transportation operations; management; temperature and humidity monitoring and control; and concluded with a hands-on opportunity to access the controls of given vehicles on site.

go along with it. Allowing fans to run at less than full potential cause the houses to run at higher overall temperatures causing Jess Campbell, Jeremiah Davis, Dennis Brothers, Jim Donald & Gene Simpson longer fan operating times and increased National Poultry Technology Center – Auburn University power bills. Fan shutters stuck in the closed position in this picture will severely restrict air flow through the fan. We want the most air flow possible from every fan. Also, for growers using fogger systems fan shutters must be kept clean and opening properly so fans are not starved for air.

Hot Weather Poultry House Management Tips

Stop Hot Air Leaks – House tightness is very important during hot weather. Hot air leaks in the 95-100°F range that bypass evaporative cooling systems increase in-house air temperature and heat stress birds. Hot air leaks that occur along sidewalls where the sun is shining may be exposed to air leaks around 110°F and higher because the exterior metal superheats the air as it enters the house and can cause mortality issues in those areas. Air leaks like the one at the top of the side wall in this picture cause increased in-house temperatures and heat stress birds along the walls of the house.

Attic air temperatures often reach 140°F on hot sunny days so stopping air leaks in the ceiling material is a must.

Tune Up Fans – All tunnel fans must be thoroughly inspected and repaired prior to use. This means replacing worn belts, repairing damaged shutters, props, pulleys, tensioners, and cones to make sure you are getting the most air flow possible from all fans. You are paying the money to burn the electricity so make sure you are getting the bird cooling to

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Minimize Tunnel Air Flow Restrictions – Anything that obstructs air flow when the house is in full tunnel works against the tunnel wind speed cooling system. Dirty evaporative cooling pads are often a likely culprit for restricted air flow like in this picture. Just because the outside looks clean doesn’t mean the inside is clean. Make sure evaporative cooling pads are thoroughly cleaned and the flutes of the pad are clear. Tunnel inlet curtains are pushed out of the way and tunnel doors are opened to full potential. Brood curtains are held tight against the ceiling. Crowded birds are easily heat stressed in hot weather because the tunnel air cannot penetrate and flow around the birds and remove excess heat. Birds must be spread as evenly as possible throughout the house in hot weather using migration fences to get the benefits of tunnel cooling.

Get Maximum Pad Cooling – All air must pass through the pads so this means a thorough inspection of the cooling system is in order. We need to eliminate as many hot air leaks from the pad system as possible. When the system is running at full potential all of the pad should be wet so all air entering the house is cooled. Make sure cooling system sumps are

Alabama Poultry Magazine

cleaned out and pumps are not being starved of water. Wood shavings, bugs, grass, and other debris are often found at the bottom of the sumps and recirculation troughs and cause system malfunctions. It is important to dump and refresh the water in the cooling system on a weekly basis when the systems are in use on a daily basis and especially with farms that don’t have the best water quality. As water in the system evaporates the minerals and contaminants in the cooling system are left behind and can build up quickly similar to the one in this picture.

Inspect Electrical Systems – Electrical circuit breakers operate on the principle of temperature. When the current flow in the wires stays sufficiently high for a long period of time, there is enough heat generated to open or break the circuit. This can be made worse by a bad connection of the wire to the breaker or a bad connection of the breaker to the panel board. Circuit breakers should not exceed 140°F in temperature and in general if you can’t hold your finger on the plastic part of the circuit breaker without getting burned, it’s too hot. Thermal cameras and IR temp guns are very helpful in looking at breaker boxes and electrical components to iden-

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tify major electrical problems. A farm electrical check up by a certified electrician is always a good idea this time of year.

The thermal image above shows fuses that are too hot and approaching failure. Blowing a fan on the breaker box is not the solution. Your farm generator will not save your birds if the breaker or panel box is burned up.

Generator – The importance of making sure your standby generator and transfer switch are in good conditions cannot be overemphasized. A power failure due to a lightning strike or other outage leave less than 15 minutes before a catastrophic loss can occur. One area of generator maintenance that is often overlooked is being sure the generator shed has sufficient openings to get fresh air to cool the generator. The generator engine set is water cooled but engine needs an air source for the radiator fan. The exhaust air from the generator must exit the generator shed through and opening about 1.5 times as big as the radiator. Being sure you have a non-obstructed air inlet and an air exhaust for the generator shed should be part of your summertime maintenance program. The area directly outside of this radiator exhaust in this picture needs some serious attention.

Alabama Poultry Magazine

Rainwater Harvesting Project Update

Jeremiah Davis, Jess Campbell, Dennis Brothers, Gene Simpson & Jim Donald – National Poultry Technology Center – Auburn University

Traditional Guttering

Water – do we take it for granted?

Water rates from municipal systems have been increasing at a very high rate in many Alabama poultry areas for the past several years. In fact, in a few areas, annual water cost is actually higher than the cost of heating fuel for some poultry houses. We expect water rates to continue increasing in many areas. In an effort to address this growing challenge, the NPTC has been involved with a pilot rainwater harvesting project for the past several years on a broiler farm in Blount County. Cooperators in this project have been NRCS and several RC & D Councils. We have been collecting the rainwater from the roof eaves of four broiler houses, filtering and treating it to ensure 100 percent suitability, and storing it for use by the birds and in the evaporative cooling system. Rainwater is extremely mineral and pathogen free and requires only a small amount of treatment (UV exposure) to negate any contaminants.

Experimental Guttering 1

The pilot system has been plagued with a series of minor problems which have only been solved in the past year.

Our goal has been to harvest and use about 80 percent of our annual water

needs, but the cost of various storage options can be very expensive. Surface water (ponds) requires far more filtering and treatment than is practical or affordable, so cost-effective storage can be in the form of poly tanks, poly bladders, or poly-lined steel tanks. We have been using poly tanks on the pilot system, but bladders and lined tanks may prove to be more cost-effective. Another problem is the guttering. Traditional guttering is very expensive and does not hold up well over time. We are now using a newly designed truss tail support bracket and double walled pipe for guttering.

Installed Guttering

were initial problems and have been overcome, the conveyance system we have used (piping, pumps, UV treatment and controls) has worked very well from the start. In general, if the system malfunctions in any way, the controls automatically activate the municipal water system supply and send an alarm. This has been an extensive study and learning experience for the NPTC.

Experimental Guttering 2

A typical 40’ x 500’ tunnel ventilated broiler house will use about 500,000 gallons of water per year, but can vary by 10 percent or more from year to year due to flock placement dates and weather conditions. Thus, a four-house farm will likely use around 2 million gallons per year. There are several hundred municipal water systems serving Alabama poultry growers, and rates vary from around $2.00 to more than $10.00 per thousand gallons, with the higher water rates yielding faster breakeven payback time. We have determined that between 85,000 and 100,000 gallons of storage is the volume needed to achieve the 80 percent capture rate target. With no financial assistance, payback period could be 7-8 years or longer; however, several government agencies are considering offering costshare assistance programs which could cut payback time in half.

While guttering and storage issues

Alabama Poultry Magazine

Poly Tanks

As a result, we are planning to install a new pilot system this fall, which will incorporate newer available technologies and more cost-effective approaches to rainwater harvesting. The NPTC is trying to stay ahead of the water cost and availability problems that will be facing the poultry industry in the future.

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Student Debt – Continued from pg. 7 Survey.” The survey also looked at data compiled by the United States Department of Agriculture census.

The coalition's communication director, Chelsey Simpson, said they had launched their “Farming is Public Service" campaign in late 2014, and members of the coalition had been hearing about the burden of student loans from farmers in the coalition for years. The newest survey has increased their advocacy efforts.

“A self-reliant nation requires a vibrant agricultural sector, but student loan debt creates a significant barrier to getting started in farming,” Gibson said in a June 2, press release. “Our bill empowers young people to attend college and embrace this important vocation.”

According to the survey, only 6 percent of all U.S. farmers are under the age of 35. Between 2007 and 2012, America gained 1,220 principal farm operators under the age of 35.

On average, survey respondents said they carried $35,000 in student

loan debt. Of the 700 respondents, 30 percent said student loans were preventing or delaying them from farming.

A total of 28 percent of the survey’s respondents said student loan pressure has prevented them from growing their business, and another 20 percent report being unable to obtain credit because of this debt.

Additional cosponsors of the bill include U.S. Rep. Chellie Pingree of Maine, U.S. Rep. Thomas Emmer, Jr. of Minnesota, and U.S. Rep. Zoe Lofgren of California.

For more information on the National Young Farmer's Coalition, visit their website www.youngfarmers.org.

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pg. pg. pg. pg. pg. pg. pg. pg. pg. pg. pg. pg. pg. pg. pg. pg. pg.

8 7 21 31 22 25 8 6 5 27 24 30 20 32 10 23 15

CALENDAR OF EVENTS Allied Industry Fund-Raising Golf Tournament Tuesday, September 29, 2015 Lake Guntersville State Park

Alabama Poultry Industry Workshop Wednesday, September 30, 2015 Lake Guntersville State Park

County Association Meetings Marshall County Poultry & Egg Association Annual Meeting Friday, August 7, 2015, 6:00 p.m.

Civitan Park – Lake Guntersville

Wiregrass Poultry & Egg Association Thursday, August 13, 2015 ElBethel Baptist Church – Chancellor

Alabama Poultry Magazine