FarmWeek May 7 2012

Page 1

DOMINO’S PIZZA rebukes the Humane Society of the U.S. and delivers a “common sense” policy for hog farmers. .................2

PrOPOSeD legislation that would use “quick take” powers for a tollway project concerns Illinois Farm Bureau. ..................................3

The U.S. eNvIrONMeNTAl Protection Agency (EPA) and its regulatory agenda are coming under greater public scrutiny. ..........4

Monday, May 7, 2012

Two sections Volume 40, No. 19

Country elevators prepare for expanded trading hours BY DANIEL GRANT FarmWeek

CME Group’s decision to expand electronic trading hours for grains and oilseeds could present opportunities and challenges for local elevators and farmers.

FarmWeekNow.com To learn more about how the CME expanded trading hours will impact your farm, go to FarmWeekNow.com.

Periodicals: Time Valued

CME Group this month plans to expand market access to Chicago Board of Trade corn, ethanol, soybeans, wheat, soybean meal, oats, and rice futures/options to 22 hours per day via CME Globex, an electronic trading platform, starting May 21. Traders will have access to CME Globex from 6 p.m. in the evening to 4 p.m. the following day, Monday through Friday. CME Globex will open at 5 p.m. on Sundays. Open outcry trading hours will remain the same, 9:30 a.m. to 1:15 p.m. Monday through Friday. The time changes go into effect May 20 for the trade date of Monday, May 21. The Minneapolis Grain

Exchange and Kansas City Board of Trade last week also unveiled plans to expand trading hours to 22 hours per day. “In response to customer feedback, we’re expanding trading hours for our grain and oilseed products to ensure customers have even greater access to these effective price discovery tools,” said Tim Andriesen, managing director of ag commodities and alternative investments at CME Group. Steve Dennis, grain department manager at Evergreen FS and president of the Grain and Feed Association of Illinois, believes the expanded hours are for traders and expects the

move to be mostly a non-event in the countryside. “(Traders/farmers) will have

“The world is changing. I think this could add to (customer) demands down the

‘The world is changing. I think this could add to (customer) demands down the road.’ — Steve Dennis Evergreen FS

a lot more options (to market grain) without having to call and talk to a person,” Dennis said. However, expanded trading hours could present challenges at some elevators.

road,” said Dennis, who noted many small elevators would not be able to have staff available 24 hours per day to take grain orders. Country elevator managers

also will have to determine when to conduct day-in procedures, which include recordkeeping and posting grain positions, according to Hugh Whalen, commodity risk consultant for Mid-Co Commodities. Day-in procedures currently are conducted at the 1:15 p.m. close, but the markets soon will remain open until 4 p.m. “There is some concern (elevator managers) will have to wait until after 4 p.m. to do their dayin procedure,” said Whalen, who noted many elevators during the off-season close at 4:30 p.m. See Trading, page 2

Costello: Keep infrastructure improvements moving along BY MARTIN ROSS FarmWeek

With a $9.2 billion blueprint for prospective Illinois road and bridge upgrades at stake, House Transportation and Infrastructure Committee member Jerry Costello argues Congress must move forward with major highway measures. Rep. Jerry Costello The Belleville Democrat urges fellow House-Senate transportation conferees to adopt the Senate’s two-year, bipartisan $109 billion surface transportation bill, rather than the House’s 90-day stopgap extension of the current “highway bill” proposed by House leaders. Illinois Farm Bureau President Philip Nelson maintains approval of key Senate provisions “would help Illinois immediately address its significant transportation infrastructure needs.” Senators rejected House Transportation Chairman John Mica’s (R-Fla.) original plan to tie approval of a Canadian/U.S. Keystone XL oil pipeline to the bill. That and other differences in House-Senate proposals prompted House approval of a mere extension of current highway programs. House conferees reportedly have been asked to push Keystone as part of a conference agreement. In addition, Costello antici-

pates strong Senate resistance as well to major “environmental streamlining” provisions House Republicans propose to tie to future transportation projects. Costello, in fact, supports Keystone, but he told FarmWeek lawmakers should consider a standalone vote on Keystone “if it’s going to kill this (transportation) bill.” In a letter to Illinois congressmen, Costello and Springfield Democrat conferee Sen. Dick Durbin argued “we must be serious about securing a meaningful, sustainable transportation funding plan to promote our economic future.” Illinois Department of Transportation officials last week released a new blueprint that includes improvements to Central Illinois’ Interstate 74, a study into the feasibility of a new interstate across southernmost Illinois, and replacement or rehabilitation of 500-plus bridges. According to IDOT, the plan could create 120,000 jobs over the next six years, but it is contingent on receiving $6.5 billion in federal funds. “The $9 billion is based largely upon federal money coming to IDOT,” Costello stressed. “We have to get a highway bill passed. We need to put aside our parochial differences and pass a clean highway bill for two years for $190 billion to move the country forward.” Costello concedes another extension ultimately may be necessary. But he is hopeful

FarmWeek on the web: FarmWeekNow.com

conferees can move forward “once we get past the fact that there’s really only one bill on the table — and that’s the Senate bill.” Nelson noted the Senate plan includes a highway funding formula that increases federal funds for Illinois, sets aside funds in a new competitive project program that ostensibly “would benefit rural Illinois,” and makes permanent soon-to- expire seasonal “hours of service” exemptions for ag drivers. Costello agreed the exemptions should be permanent to assure certainty for Illinois farmers and their suppliers. The Senate’s funding proposals are “a little more favorable for Illinois” than were original House provisions, he said. “We would get current levels of funding, plus a few million more,” Costello related. Costello acknowledged concerns about how rural Illinoisans might fare under the Senate’s competitive funding program. A budget-conscious Congress has banned socalled spending “earmarks” in individual districts, but Costello notes past earmarks overall have “benefited rural America.” “Most of the highway dollars go to urban areas like Chicago or L.A.,” he maintained. “It’s been the dollars that members who represent rural districts were able to direct through earmarks that have improved roads, bridges, and other transportation needs for rural America. I’m going to keep a keen eye out for rural America.”

Illinois Farm Bureau®on the web: www.ilfb.org


FarmWeek Page 2 Monday, May 7, 2012

Quick takes E15 ENTRY — The Renewable Fuels Association (RFA) is countering claims by a major oil industry group that the Environmental Protection Agency’s approval of E15 (15 percent ethanol gasoline) is premature because about half of retailers in the U.S. reportedly are not ready to handle it. “Because some upgrades may be needed is no reason to accept the status quo as the best we can do,” RFA’s Matt Hartwig argued. “The nation didn’t have the infrastructure in place for a transcontinental railroad, but that didn’t stop us from moving forward because it was in the best interest of the nation.” RFA responded to criticisms as Ag Secretary Tom Vilsack called on oil companies to help increase the percentage of ethanol in American gas tanks to reduce dependence on foreign oil, boost job creation and promote development of renewable energy from farm-produced feedstocks. “The availability of E15 will increase America’s energy security and spur additional job creation,” Vilsack said. ILLINOIS FARM MOM VYING FOR HONOR — Clark County Farm Bureau member Sherri Lynn Kannmacher of Martinsville is in the running for the 2012 America’s Farmers Mom of the Year award by Monsanto Co. Kannmacher was named the Midwest regional winner and received $5,000. Kannmacher and her husband, Mark, raise corn, soybeans, and wheat and have a herd of Hereford-Angus cattle. They also have a custom hay baling and conservation reserve planting operation. The top farm mom will be determined by online voting among the five regional finalists at {www.americasfarmers.com}. Voting will end Saturday. Appropriately, the winner will be announced on May 13 — Mother’s Day. SAFETY STEPS — USDA last week announced a series of prevention-based policy measures designed to better protect consumers from foodborne illness in meat and poultry products. The measures will significantly improve the ability of both processors and USDA to trace contaminated food materials in the supply chain, to act against contaminated products sooner, and to establish the effectiveness of food safety systems, according to a department news release. New traceback measures will be implemented by USDA’s Food Safety and Inspection Service (FSIS) with the goal of controlling pathogens earlier and preventing them from triggering foodborne illnesses and outbreaks. FSIS is implementing three provisions included in the 2008 farm bill which would require establishments to prepare and maintain recall procedures, to notify FSIS within 24 hours that a meat or poultry product that could harm consumers has been shipped into commerce, and to document each reassessment of hazard control and critical control point system safety plans.

(ISSN0197-6680) Vol. 40 No. 19

May 7, 2012

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markets

Domino’s delivers ‘common sense’ policy to U.S. hog farmers Many U.S. hog farmers last week welcomed the news that Domino’s Pizza will continue to provide a choice of swine housing systems to its pork suppliers. Domino’s Pizza shareholders rejected — by a majority vote of 80 percent — a resolution from the Humane Society of the United States (HSUS) that proposed Domino’s require its pork suppliers to end the use of gestation stalls. “The vote to reject the HSUS resolution was a vote for common sense,” said R.C. Hunt, president of the National Pork Producers Council (NPPC). “We appreciate Domino’s belief that America’s farmers, veterinarians, and other animal agriculture experts are better suited than activist groups to determine what the best animal care practices are.” Animal activist groups, including HSUS, recent-

ly influenced McDonald’s, Wendy’s, and Burger King to begin phasing out the use of gestation stalls by its pork suppliers. Burger King recently announced that in five years it will purchase pork sourced only from farmers who do not use gestation stalls. McDonald’s and Wendy’s previously asked their pork suppliers to outline plans to eliminate gestation stalls, but a timetable was not set in either case. “Removing sow stalls has no demonstrable health or welfare benefits to animals,” said Liz Wagstrom, NPPC chief veterinarian. NPPC supports the position of the American Veterinary Medical Association and the American Association of Swine Veterinarians that notes gestation stalls are as appropriate as group housing systems for providing the wellbeing of sows during pregnancy.

New trading hours could alter release times of crop reports from USDA BY DANIEL GRANT FarmWeek

USDA’s National Agricultural Statistics Service and its board last week discussed implications of expanded electronic trading hours for grain and oilseed futures at the Chicago Board of Trade (CBOT). The CME Group, which operates the CBOT, and the Minneapolis Grain Exchange last week announced plans to expand trading hours from 17 to 22 hours per day. The announcements to expand trading hours followed the IntercontinentalExchange

Inc.’s announcement it would offer corn and bean contracts from 6 p.m. through 4 p.m. beginning May 14 when it enters the North American ag markets. Some in the trade have called for USDA to release its crop reports later in the day so the information doesn’t come out when the markets are open. USDA currently releases its crop reports at 7:30 a.m., two hours ahead of the market opening. But the markets will be open when reports are released once the expanded trading hours take effect. Hugh Whalen, commodity

risk consultant with Mid-Co Commodities, said the down time between reports and the opening of the markets currently gives traders and analysts time to digest the numbers and get a better feel for the market before trading begins. Traders under the expanded hours likely could make rush judgments about the bullishness or bearishness of a given report and create additional volatility in the market, according to Whalen. USDA reported any changes to the report release schedule will be deliberate.

Trading Continued from page 1 Whalen believes daily settlement prices still will be based on prices at the 1:15 p.m. close of open outcry. Another possible kink in the new system could be the fact that crop markets will be open during the release of USDA reports. Those reports traditionally have been released at 7:30 a.m. to give traders time to digest the numbers before the markets open, though that could change. “If there is a big surprise in a crop report (and the markets are open at the time), it could

throw additional volatility into the market,” Whalen said. On the plus side, the expanded trading hours will give elevators operators more time to hedge risk. Overall, Whalen expects a relatively smooth transition to the new trading hours similar to when electronic overnight trading was added to the market. “People will adjust quickly to this,” he added. “They adjusted very well to the overnight sessions.” Overnight electronic markets currently are open from 6 p.m. to 7:15 a.m.


Page 3 Monday, May 7, 2012 FarmWeek

STATE

Efforts under way to protect farmers’ rights when fracking used BY KAY SHIPMAN FarmWeek

Wayne County Farm Bureau President David White is no stranger to having oil wells on his farmland or the use of hydraulic fracturing (fracking) to extract oil. Recent energy companies’ interest in horizontal drilling in the county has raised new questions about fracking, White told FarmWeek. “We’re farmers, and we want to protect the land,” White said. He has leased the mineral rights on 39 acres to an Oklahoma company that will do the drilling. Fracking is used to increase the flow of oil or gas from a well and involves pumping liquid under high enough pressure to fracture rock. The wells under consideration now would be horizontal. White said he had experience in the 1990s with fracking used with a vertical well. The county Farm Bureau

and local University of Illinois Extension office will hold a second informational meeting on the practice on May 22. More than 200 people attended an informational meeting in March. “The goal is to provide farmers with first-hand knowledge,” said Doug

Anderson, Wayne County Farm Bureau manager. Local residents “see good opportunity, but they also are concerned about the environmental impact,” he added. The mood is one of “cautious optimism.” At the May meeting, two Ohio State University

Extension specialists will share their experiences with fracking. The presentations will cover the pros and cons and what to expect from fracking technology, Anderson added. Meanwhile, Illinois Farm Bureau has worked to address landowner concerns through SB 3280 that would establish rules for fracking. Among the provisions are requirements for well integrity testing, reporting of chemicals used in fracking, and proper storage of those chemicals. The legislation would provide a process to allow landowners and agricultural tenants to challenge tradesecret protections if they have been affected and need information about the chemicals used. SB 3280 passed in the Senate. State legislatures around the country are debating fracking legislation. As of March, more than 130 bills had been intro-

duced in 24 states, according to a new report from the National Conference on State Legislatures (NCSL). Legislation has passed in at least six of those states — Indiana, North Carolina, South Dakota, Tennessee, Pennsylvania and Utah. Some of the more common actions states are considering include establishing an impact fee, drilling moratoriums, reporting of fracking chemicals, and well integrity and casing requirements. Nationwide, fracking policy debate is expected to continue, according to the NCSL report. Many state legislatures also are expected to consider waste treatment and disposal to protect water sources; improved drill casing and well spacing requirements to prevent spills and leaks; and severance tax changes to fund environmental projects and balance state budgets.

Proposed tollway raises property rights concerns AgrAbility outlook more secure proper vetting” of projects, said committee Proposed legislation that would use “quick if state budget funding returns member Rep. Rich Brauer (R-Petersburg). take” powers for an Illinois-Indiana tollway project concerns Illinois Farm Bureau about property rights issues, said Kevin Semlow, IFB director of state legislation. Last week, the House Transportation: Regulation, Roads, and Bridges Committee passed SB 3318 with an 11-4 vote. IFB opposes the measure. The legislation would allow the use of quick-take eminent domain to obtain land for construction of an Illiana tollway. The proposed project would connect I-55 in Illinois to I-65 in Indiana through Will County. “The government would use its power to take private property and give it to a private company” that would operate the tollway, Semlow said. While the state needs the power of eminent domain, “quick take powers short circuit the safeguards and

Instead of a three- to five-year process under eminent domain, quick take powers would reduce the property acquisition to one year, Brauer noted. He estimated about 2,400 acres would be used for the tollway corridor. Fellow committee member Rep. Raymond Poe (R-Springfield) explained the landowners would not know their acquisition settlements before the project is built, unlike the process used in eminent domain. “As a landowner, I would want to know what the settlement is before they build on my property,” Poe added. Semlow said three 2,000foot corridors have been proposed for the tollway, but a final route has not been determined. — Kay Shipman

USDA offering broadband grants for rural services The USDA Rural Development is accepting applications for grants to provide broadband service to residents of remote rural communities. Known as the Community Connect Broadband program, the program offers funding for broadband infrastructure to rural, unserved, and lowincome areas. Grant recipients also are required to establish community centers that offer free public access to broadband. Previous Illinois recipients include the Jefferson County town of Bluford. A grant was used to provide

wireless broadband service and 10 computers for free broadband service for two years. The town partnered with Mt.Vernon.Net to build the broadband infrastructure. In the first two years, the

company signed up 140 customers, and the number has since grown to 200. More information on Community Connect Grants, including the application guide, are online at {www.rurdev.us da.gov/il}.

IDOA promotes local gifts for moms The Illinois Department of Agriculture (IDOA) is promoting its website as a place to find unique — and local — Mother’s Day gifts for the May 13 event. Several small- to mid-sized Illinois food and agribusiness companies reported they are offering an assortment of specials for Mother’s Day. For a complete listing with links to the companies, go online to {www.agr.state.il.us/marketing/mothersday}.

AgrAbility Unlimited has scrambled to provide services to disabled farmers over the past two years. However, the program’s financial stability will be more secure if the governor’s proposal of $200,000 for the program remains in the budget. For two years, AgrAbility has relied on grants and donations, Bob Aherin, AgrAbility project director, told FarmWeek. The donors illustrate the support of the agricultural community. They include Illinois Farm Bureau, GROWMARK, 1st Farm Credit Services, Farm Credit Services of Illinois, and the Farm Service Agency. The John Uhlrich Foundation donated funds for services in the five counties around Decatur. “Right now, we are able to maintain basic services, but with additional funding we could reach out to more farmers,” Aherin said. “We are getting a lot of interest from young people who have a disability and want to plan a future in farming. “We also would be able to help some farmers who don’t qualify for cost-share (funds) with assistive technology (through) the Department of Rehabilitative Services,” he said. Additional money also would allow AgrAbility to offer training for rural occupational therapists and physical therapists who work with farmers, he added. “We return many more dollars (to the economy) than are invested in us,” Aherin noted. The National AgrAbility Project is reaching out online with a database of available assistive technology for ag workers with disabling injuries or illnesses. Recently, the information was expanded to include horticulture, gardening, and forestry tools. The database, dubbed The Toolbox, is online at {www.agrability.org/toolbox} and includes information about modified hand controls for utility vehicles, tools with extended handles, and heavy-duty outdoor wheelchairs and scooters. New products include log-cutting and brush-clearing equipment and orchard and nursery aids for fruit and vegetable farmers. Information is available about items to make safer everyday farm tools, such as chainsaws. For more information, contact Aherin at 217-333-9417 or raherin@illinois.edu. — Kay Shipman


FarmWeek Page 4 Monday, May 7, 2012

government

Industry execs ask EPA to keep the faith with RFS2 BY MARTIN ROSS FarmWeek

Major players in the prospective cellulosic ethanol sector joined last week to ask Congress and the U.S. Environmental Protection Agency (EPA) for a vote of confidence in the rapidly approaching future of next-generation fuels. BP, Dupont, and Novozymes, the latter a biofuels technology provider, stressed the need to leave the current federal Renewable Fuels Standard (RFS2) intact and on track toward an ultimate 36 billion gallons of U.S. biofuels use by 2022. RFS2 sets graduated annual ethanol/biodiesel mandates for the fuel industry. However, some in Congress seek to eliminate the standard and EPA has, in the industry’s view, lowballed projections of cellulosic and other

“advanced” biofuels supplies needed to meet 2013 mandates. “The Renewable Fuels Standard has worked, and it’s a credible policy we absolutely should be proud of having and that should continue as it is going forward,” Novozymes North America President Adam Monroe said, crediting ethanol with providing lower-cost consumer fuels and jobs. BP plans to break ground on a commercial cellulosic conversion facility later this year in Florida. The RFS2 spurred “the largest R&D project in (Novozymes’) history,” culminating in a $200 million biomass ethanol facility set to launch this month in Nebraska, Monroe said. Dupont plans to begin construction of a 28-million-gallon-per-year Iowa

RFS2 clause impediment to cellulosic development? If the Renewable Fuel Standard (RFS2) is to be an effective tool in fostering cellulosic ethanol production, officials should consider closing an existing RFS2 loophole, Purdue University energy economist Wally Tyner suggests. In terms of corn ethanol, RFS2 “is the operative policy today,” Tyner told FarmWeek at a biofuels conference in Urbana. Even before the federal ethanol blenders tax credit expired in January, RFS2 “got the (production) capacity built,” he said. Now, with U.S. production approaching the 15-billion-gallon RFS2 cap for mandated annual corn ethanol use, the mandate could play a crucial role in spurring cellulosic development. RFS2 mandates were designed to encourage use of biomass ethanol to help reduce greenhouse gas emissions. However, the U.S. Environmental Protection Agency (EPA) allows fuel blenders to buy a 25-cent-per-gallon RFS2 credit waiver in lieu of purchasing cellulosic biofuels in years when production capacity falls below RFS2 targets. Given current cellulosic ethanol costs, blenders may find it in their interest “just to buy the credit from EPA and be done,” even if biomass fuels are available, Tyner argued. “As long as we’re not at the level of the mandate for that year, EPA has to waive part of the mandate,” he noted. “If it waives even one gallon, blenders don’t have to buy the stuff. They can buy the credit from EPA for a quarter.” That poses a dilemma for the biofuels industry. Last week, cellulosic ethanol developers cited risks in Congress’ “reopening” the RFS2 (see accompanying story). BP Biofuels North America President Sue Ellerbusch admitted RFS2 is “not perfect,” but argued EPA instead should make needed changes. Legally, EPA could opt not to waive fuel use requirements, Tyner said. But despite reports of major production coming on line in 2013, currently “there’s just not enough stuff out there” to allow blenders to completely meet 2013 cellulosic requirements, he said. Prospective cellulosic producers may find outside capital difficult to secure given the uncertainty the credit waiver creates, Tyner warned. University of Illinois technology law specialist Jay Kesan thus sees the need for Congress to extend a soon-to-expire cellulosic ethanol production tax credit as an incentive for blenders to buy biofuels, as the industry ramps up capacity. “We think RFS2 will also make a big difference with second-generation cellulosic biofuels,” Kesan said. “Our question is whether that alone is enough.” — Martin Ross

corn stover-based plant later this year, said Jan Koninck, industrial biosciences global biofuels director. “All of us are making significant investments in the cellulosic space; all of us are on the verge of commercializing, breaking ground, putting facilities up,” BP Biofuels North America President Sue Ellerbusch told FarmWeek. “We are all moving from demonstration to commercial scale. “Having been in oil and gas for 20 years, I’m not surprised at the time it’s taken to develop this, but I’d say this is a quick development process. Ten years to take new ideas and technology to commercialization is not uncommon. We’re doing it faster at BP than we have in the past.” The executives were unsure whether Congress would extend a $1.01-per-gallon federal cellulosic ethanol tax credit set to expire Dec. 31. The corn ethanol fuel

blenders credit expired in January, but as a production credit that rewards success rather than a fuel industry incentive, Koninck deems the cellulosic credit poses “quite low risk to the taxpayer.” Despite recent policy shifts, the ethanol industry faces continued congressional challenges. The RFS Flexibility Act would allow EPA to waive annual biofuels mandates based on corn stocks and use, while the RFS Elimination Act seeks total repeal of the standard. Ellerbusch stressed the RFS, unlike ethanol credits, is “not a taxpayer support mechanism.” At an Urbana energy law and policy conference, U of I technology law specialist Jay

Kesan agreed that “purely as a policy instrument, mandates are attractive” in terms of government cost. Kesan said RFS2 has contributed significantly to expansion of existing ethanol plants that likely will be primary drivers of cellulosic ethanol production. Michigan State University researcher Bruce Dale notes a half-dozen larger-scale cellulosic plants are expected to come online in 2013, tapping feedstocks ranging from stover and wheat straw to hardwood chips in Michigan and Florida “energy cane.” “I think we’ll have close to 100 million gallons of capacity by the end of 2013,” Dale predicted. “Right now, we’re under 10 million.”

Regulatory pushback gaining momentum? In an election year where the economy is taking center stage, the U.S. Environmental Protection Agency (EPA) and its regulatory agenda are coming under broader public scrutiny. Last week, the American Farm Bureau Federation (AFBF) hailed new bipartisan legislation that would prevent EPA from finalizing “guidance” on identifying waters protected under the U.S. Clean Water Act (CWA). That guidance would extend EPA’s purview beyond major “navigable” waters potentially to “every ditch in this country,” AFBF analyst Don Parrish told FarmWeek. Congress’ counterproposal — whose sponsors include House Infrastructure and Transportation Committee Chairman John Mica (R-Fla.) and House Ag Committee Chairman Frank Lucas (ROkla.) and ranking Republican Collin Peterson (D-Minn.) — would not amend CWA provisions. Last year, the House passed legislation aimed at canceling EPA pesticide permit requirements that duplicate safeguards under the Federal Insecticide, Fungicide, and Rodenticide Act, but the bill stalled in the Senate. EPA guidance would “more than magnify the number of permits” currently needed by contractors, homebuilders, utilities, road builders, and others, Parrish warned. The impact of regulation on a struggling economy has become a growing theme in federal campaigns: Republican presidential candidate Mitt Romney last week told commercial fishermen “regulation is running amok.” That kind of public profile could spur action on House measures, Parrish said. “Between these (current regulatory relief proposals, it’s going to put some real pressure ramping into the election on members who are needing to kind of differentiate themselves, particular-

ly in rural states and rural districts,” he argued. “This legislation may continue to be a pain in the neck for people like (Senate Majority Leader) Harry Reid (D-Nev.). He has to figure out what to do, because some people in his party could get defeated if they don’t move something.” EPA drew fire last week as Al Armendariz, the agency’s South Central Region director, resigned in the wake of a newly surfaced 2010 video in which he promised to “crucify” oil and gas interests that have violated environmental laws. Armendariz’ statement betrayed a generally arbitrary “I gotcha” attitude at EPA, Parrish suggested. Meanwhile, the environmentalist group Potomac Riverkeeper has dropped plans to sue EPA over its Chesapeake Bay nutrient reduction plan amid a threat from the Keith Campbell Foundation for the Environment, a major backer of the group, to withdraw funding. “Money talks,” Parrish said. AFBF charges the East Coast plan would stifle economic activity and set the stage for similar regulations in the Upper Mississippi Basin. On the other hand, Riverkeeper opposes provisions to pay Bay region landowners to plant cover crops and install buffers to reduce storm runoff. Parrish sees a growing divide between groups that seek environmental and economic balance and those like Riverkeeper that oppose “offsets” for environmental costs and seek to use EPA authority “as a way to stop economic development.” “I think there’s a struggle between two facets of the environmental community — one that wants to preserve things for people and the other that wants to preserve things from people,” he said. — Martin Ross


Page 5 Monday, May 7, 2012 FarmWeek

prODucTiON

Rain slows planting progress, Wheat tour set for May 15 but farmers not complaining

Wheat harvest expected to start early

BY DANIEL GRANT FarmWeek

On-and-off rainfall activity the past week slowed planting progress, but most farmers in Illinois likely didn’t complain. Parts of the state prior to last week were in the initial stages of drought, according to Kirk Huttl, meteorologist with the National Weather Service office in Lincoln. Huttl reported much of Central Illinois as of Friday received 1 to 2 inches of rain the past week with more precipitation in the forecast through today (Monday). Elsewhere, a portion of Southwestern Illinois between Quincy and St. Louis, and a stretch along I-80 between the Quad Cities and Chicago, received 3-plus inches. Rainfall was lighter and more scattered in deep Southern Illinois. “It was some pretty badly needed rain,” Huttl said. “Some portions of Illinois were in the beginning stages of drought. A lot of rivers and lakes were running low heading into (last) week.” Topsoil moisture as of the first of last week was rated 22 percent short or very short statewide compared to 28 percent short or very short the previous week. “The rain was critical for fields and pastures,” said Ron Moore, FarmWeek Cropwatcher from Warren County, whose farm received 2.7 inches of rain last week through Friday morning. “Many of the streams that run through our pastures were looking like late August instead of April.” Many farmers hope to get back in the fields this week. And the forecast as of Friday appeared favorable. “Overall, it’s looking like a drier, cooler pattern starting Tuesday,” Huttl said. Illinois farmers as of the first of last week planted 79 percent of the corn crop, well ahead of the five-year average pace of 29 percent. Thirteen percent of the soybean crop was in the ground, compared to the average of 2 percent. The early jump on planting was due mostly to an unusually warm March followed by a dry April. The statewide average temperature in March was 55 degrees (13.8 degrees above normal), compared to 54.1 degrees in April. This year marked just the second time since 1895 that March was warmer than April in the state, according to Jim Angel, state climatologist with the Illinois State Water Survey. The only other time that March was warmer than April was in 1907, he said. Rainfall across the state in April averaged 3.32 inches, a half-inch below normal.

New look for Cropwatchers online Cropwatchers enters its 20th season with a new look online. The website has been revamped, and Cropwatchers now have the ability to post photos along with their weekly reports. Visitors to the site can view weekly reports by selecting a county from the menu or by clicking on the Cropwatchers map. Cropwatcher reports are updated each Friday evening online and also are available in the online and print versions of FarmWeek.

There is one new face for the 2012 growing season. Jeff Guilander is the new Jersey County reporter. He replaces Jersey County farmer Ted Kuebrich, a long-time Cropwatcher reporter. Jeff farms with his father, Ronnie, and brother-in-law, Terry Hall. They grow corn and soybeans and have a small cow-calf operation. Check out Cropwatchers each week to get the real picture of Illinois’ crops throughout the growing and harvest seasons.

DATEBOOK May 10 Rural listening session with Lt. Gov. Sheila Simon, 10 a.m. to noon, the Ray and Joan Kroc Corps Community Center, Quincy. May 12 IAA Foundation 5K Grow and Go, Illinois Farm Bureau headquarters, Bloomington. June 14 IAA Foundation Golf Outing, Pontiac Elks and Wolf Creek Golf Club, Pontiac.

Many wheat growers in Illinois so far this spring have watched their crop mature well ahead of the average pace. And, as of next week, they’ll have a better idea of its yield potential as the Illinois Wheat Association (IWA) on Tuesday, May 15, will host its annual Southern Illinois Winter Wheat Tour. The tour date was moved up about a week earlier than usual this year due to the rapid maturity of the crop and the high probability of an early harvest. A majority of the crop (80 percent) in the state was headed last week compared to the five-year average of just 6 percent, the National Agricultural Statistics Service Illinois field office reported. “The wheat crop is probably two to three weeks ahead of normal,” said Steve Stallman, IWA president and a Randolph County farmer. “It depends on the weather this month, but I think we’re definitely looking at an earlier harvest.”

The wheat tour will provide growers with information about yield potential and disease pressure. It will include field checks made during the day on May 15 followed by an evening report

FarmWeekNow.com For additional information on the upcoming wheat tour, go to FarmWeekNow.com.

session and dinner at Brownstown Agronomy Research Center. Tour participants will meet at 9 a.m. next Tuesday (May 15) at one of three locations: Siemer Milling Co., 111 W. Main St., Teutopolis (217-8573131); Mennel Milling Co., 415 E. Main St., Mt. Olive (217999-2161); or at Wehmeyer Seed Co., 7167 Highbanks Rd., Mascoutah (317-502-4099). Participants should call the company location where they’d like to join the tour prior to the event. Dinner reservations should be made by May 11 by

contacting IWA at 309-5573619 or via e-mail at cblary@ilfb.org. Growers who cannot participate in the tour can take their own field samples, and those who plan to take their own samples should contact the IWA office for sampling instructions. “The more samples we get, the more accurate our estimate will be,” Stallman said. The IWA president as of last week believes yield potential for the crop is good. “It appears to be above average,” Stallman said. “Although there does seem to be some areas where numerous diseases are working on wheat. That will trim yields a bit.” The condition of the wheat crop statewide last week was rated 80 percent good to excellent, 16 percent fair, and 4 percent poor or very poor. If the wheat crop is harvested early as expected, Illinois farmers likely will plant more double-crop soybeans, Stallman added. — Daniel Grant


FarmWeek Page 6 Monday, May 7, 2012 * New Cropwatcher this year Bernie Walsh, Durand, Winnebago County: Greetings from Winnebago County, where my wife, Deb, and I farm about two miles from the Wisconsin state line. We raise corn, soybeans, and wheat, and this is the start of my eighth year as a Cropwatcher. This year started out like no other in anyone’s memory around here. We had very little snow all winter, no frost in the ground, and June-like weather in March, which had some people thinking about planting corn a month early. April has been more normal, and most of the corn has been planting around here. A few neighbors have started to plant soybeans. The wheat and hay crops are one to two weeks ahead of normal. It could be a very interesting year, I hope it is a safe and prosperous one for everyone. Pete Tekampe, Grayslake, Lake County: I’m one of the original Cropwatchers (in his 20th year). I farm corn, beans, and wheat in central Lake County. Because of the ice cube that is located to the east of us (Lake Michigan), we have not had many good days in the field. Field conditions were great in the middle of March, but not much work was done because it was still only the middle of March. All of April we mostly had winds out of the northeast or east, which doesn’t help field conditions in Lake County. About 10 percent of the corn is planted. Winter wheat looks great, but not very much good-looking alfalfa is left. Potatoes planted on Good Friday are still not up. We had rain six of the last seven days and they are calling for rain five of the next seven days. I hope they are wrong. Leroy Getz, Savanna, Carroll County: The 2012 crop season started early in Northwestern Illinois as it has throughout the state. Some corn was planted in March, which has never happened before. Seventy-five percent of the corn was planted by May 1. April produced 4.9 inches of rain and several mornings of freezing temperatures. Frost damage to fruit and nut trees and the alfalfa fields are still to be measured. We will keep you posted from our Lucky Clover dairy farm here in beautiful Carroll County. Ryan Frieders, Waterman, DeKalb County: Greetings from Waterman. March brought very warm weather conditions, and spring fieldwork was completed before April even started. Corn planting began April 9 into excellent soil conditions. Then the weather turned cooler and there were a few nights with heavy frost. Luckily, none of our corn had emerged at the time. We finished planting corn on April 25. Since then, we have gotten 1.2 inches of rain. The early corn has emerged while the later corn is sprouting. We have not started planting our soybeans but no-till acres have been sprayed with a burndown. Larry Hummel, Dixon, Lee County: The excitement of another season is already building. The majority of the crops have been planted, there is ample moisture, and now we are getting some heat. What more could we ask for? Falling corn prices are the only bull, I mean bear, in the China closet. I farm with my brother, nephew, and son right where Lee, Ogle, and Whiteside counties meet. We grow corn and soybeans, but acreage of the latter has fallen over the last few years. I am looking forward to keeping everyone south of Interstate 80 up to date on what’s happening here in Northern Illinois. Joe Zumwalt, Warsaw, Hancock County: Welcome to the 2012 growing season. It is a pleasure to be writing to you all again. I farm in the Mississippi River bottoms between Quincy and Warsaw in the westernmost part of Illinois. A dry and pleasant winter led to early corn planting in this part of the state. Corn planting is finished and most has emerged. Perhaps as much as 30 percent of the soybeans have been planted with several fields emerged. Rains over the past two weeks have slowed planting progress quite a bit, but we are on a great pace to get crops in very timely this year. I’m looking forward to a prosperous crop year in 2012.

CROPWATCHERS Ken Reinhardt, Seaton, Mercer County: Powder dry conditions in mid-April have turned to mud. Planting has been at a standstill since April 27. Most producers are finished or down to a day or two of corn left. Some were putting in soybeans the last week of April. Corn has emerged, or is emerging, and is looking good. Some of the earliest planted corn got nipped by frost. As freakish as the weather has been so far, it is a fair bet it will be an interesting growing season. Ron Moore, Roseville, Warren County: Greetings again from Western Illinois and Warren County. With the warm, early spring, we started planting corn in early April and finished on April 20. All of the corn has emerged and the population counts are very near what was planted. We started planting soybeans on April 27. Up to that point, we were very dry and needed a good rain. We since have received 2.7 inches and more is forecast for the next few days. The rain was critical for both fields and pastures. Many of the streams that run through our pastures were looking like late August instead of April. We should get back into the fields later this week and finish soybean planting soon after. Jacob Streitmatter, Princeville, Peoria County: The year has is off to a very dry start with fieldwork starting the first week of March around here, and planting starting around the first of April. There were only trace amounts of precipitation from March 1 to May 1. The majority of all the corn is planted and a good start has been made to soybeans. Rain showers the weekend of April 28-29 put the brakes on all the planters in the area. Much corn and soybeans were planted in dry dirt in the county so the rain was needed. Tim Green, Wyoming, Stark County: I farm about 75 percent corn and 25 percent beans right on the Marshall-Stark counties border. Corn planting went quickly, and a lot of people got done April 22-24. A little corn was planted around here in March, which is rare. Some people have planted beans, and they are starting to grow. We were dry but got a really-needed 1.9 inches of rain in the last few days. Our moisture levels were low, our subsoil was low, and our tiles had quit running. The rain will make us all look like good farmers. Mark Kerber, Chatsworth, Livingston County: My son and I operate a corn and soybean rotation in the southeast part of the county. Every year is different and this one started out that way with March warmer than April. Corn was planted this year with excellent field conditions. It was a little dry at times, but we were able to work ground, spray, and plant with no compaction. As they say, plant in dust and the bins will bust. Some soybeans have been planted, but many producers were waiting for rain and warmer weather. We did receive some good rain last week with no floods yet. Old-crop values seem to be in a trading range, while new-crop corn just can’t seem to move higher. Steve Ayers, Champaign, Champaign County: Last week we got our million dollar rain with more than 1.5 inches and chances of rain for the weekend. Tuesday, a line of tornadoes hop scotched from Monticello through Sidney through Tilton into Indiana. It caused $10,000 damage to Lee and Michelle Reifsteck’s home southwest of Champaign but no injuries. Looks like it may dry up later in the week so we can start beans. Corn is planted and growing well after we got some warmer weather. I told my son-in-law to remember this year’s corn planting season as it was a once-in-a-lifetime experience. Our USDA crop reporting district reports 91 percent of the corn is planted and 38 percent has emerged. Beans are 10 percent planted with 1 percent emerged.

Ron Haase, Gilman, Iroquois County: I farm on the western side of Iroquois County near La Hogue with my brother, David. We are the fourth generation of farmers in our family and the third generation at this location. My family has rented the farm I live on since 1932. Over the winter we were able to purchase the 80 acres with the home and buildings from the only family that has owned the land since it was sold to build the railroad. That was a major decision for both parties involved. We planted all corn on our farms. The last year we planted soybeans was in 2003. As for planting, last year we did not have anything planted at this point. This year, we have 33 percent of our corn planted while close to 80 percent of the corn is planted in the area. A few fields were planted at the end of March, but most were planted before April 15 or the week of April 23 through April 28. The corn planted before April 15 has emerged and some is at the V2 growth stage. Some soybean fields have been planted, but many farmers were waiting for moisture. That rain arrived on April 28, and we have not been able to return to the field since then. We have received a total of 1.35 inches. New-crop prices are $1 lower than a year ago for corn and 30 cents higher for soybeans. The local closing bids for May 3 were: nearby corn, $6.29; new-crop corn, $4.99; nearby soybeans, $14.61; new-crop soybeans, $13.34. Brian

Schaumburg,

Chenoa, McLean County: Northeastern McLean County has experienced its fastest corn planting completion date in memory. Soybean seeding is just starting but is 20 percent complete. Corn development is between VE and V-3 and beans planted April 25 are emerging. Crop ratings are excellent and GDU’s are at 238, similar to 2010. We are at 50 percent of normal rainfall for the year and will need timely rain to achieve maximum production. Prices at Prairie Central Co-op: Corn, $6.41, fall, $5.03; soybeans, $14.61, fall, $13.33; wheat, $5.69.

Wilfred Dittmer, Quincy, Adams County: It still is relatively dry here despite receiving 3.4 inches of rain in April. Planters were running everywhere the week before and after Easter, and I’m quite sure all corn nearby is in the ground and has good stands. Soybeans, though, are a different story. A few went in, but for the most part, most are waiting for the season to get aligned with the calendar. Herbicides are working fairly well after the recent warm-up and lawns are growing almost too fast to keep up with. Todd Easton, Charleston, Coles County: I am glad to be back and reporting the progress of our crops here in Coles County. I’m still here in the southwest corner of Seven Hickory Township stirring up the dust alongside Grandpa, our two dedicated hands, and, of course, my wife, Kelly, 3year-old Maddison, and 1-year-old Case. As far as crop progress, we are in another spring of extreme but totally the opposite of last year. Perfect, and I mean perfect, planting conditions from the middle of March on had producers in a knot over whether to plant corn when conditions say go but the calendar says no. Some extreme early birds planted while most of us finished fertilizer applications and made early tillage trips. But in the last week of March, a lot of corn was planted before it began to dry out. We finally got rain, one I would call a truly million dollar rain. Shortly after, corn planting resumed and is now all but complete in this area. Currently, area cornfields are somewhere in the V-1 to V-3 stages with very good stands, except for some low-lying areas. A few beans were planted in the middle of April before more steady rains set in along with much cooler temperatures. Luckily, frost damage was minimal in our area and warmer weather last week really perked up the young corn plants. Hopefully, fieldwork can resume soon and when it does, remember safety first.


Page 7 Monday, May 7, 2012 FarmWeek

CROPWATCHERS Carrie Winkelmann, Tallula, Menard County: This is my third year as a Cropwatcher for beautiful Menard County. I am a new mother to a 4-month-old girl we named Lydia Mae (our first), who is apparently as stubborn as her mother and refused to come out in time to be my little tax deduction. But let’s get on to business. We are growing corn and soybeans again this year and, luckily enough, no wheat. The early-warm weather in March combined with the hard frost in April seems to have put an end to several wheat fields in the county, although some later-planted wheat of the same variety seems to have fared better. We started planting corn on Easter weekend and are finished. We put some beans in the ground last week in between spraying, but then the rain started. We received 2.1 inches last weekend (April 28-29). We have been trapping black cutworms for the last month and have caught 25 in the last two weeks, but we have seen no damage so far in corn. I look forward to reading my fellow Cropwatchers across the state this year with hope for timely rain and good weather for all. Tom Ritter, Blue Mound, Macon County: Corn planting is virtually completed in this area. Planting started as early as midMarch but the majority of the corn was planted after April 6. Early corn is at the 6-inch stage. Some of it got dinged with the early freezing and frost, but the majority of it has come out of that and is looking pretty decent. Farmers have their planting strung out well over a month’s period. Many started and stopped due to dry conditions, cool temperatures, and partially just waiting on the calendar. Soybean planting at this time is approaching 20 percent complete. Many people were waiting for moisture. We were damp the past week and most farmers, as soon as weather permits, will be back in planting soybeans. Overall, crop prospects look good, but we are in a moisture-deficit situation and our tiles not running at all. We will need periodic showers throughout the growing season. Jimmy Ayers, New City, Sangamon County: My wife, Sidney, and I live in New City just southeast of Springfield with our son, Cameron. He is in his second year at Lincolnland Community College studying ag. Our daughter, Kathryn, is finishing her third year in the College of ACES at the University of Illinois. This year, we will be planting almost 900 acres of corn and more than 300 acres of beans. We also custom farm 300 to 400 acres for a couple of our neighbors. We have a small trucking outfit that runs locally. It’s raining as I write this report on Friday. Last week, we had 3 inches of rain. Corn planting began on Feb. 28 this year on a few acres. On March 13, planting season was off and going. Sangamon County has about 98 percent of the corn planted and possibly 15 percent of the beans. Some of the corn was damaged by frost and has been replanted. A lot of the corn has been yellow for quite some time. I’m not sure it is short of nitrogen yet. This year, we are going to be trying several fertilizer trials and some soil amendments, with some growth regulators, and many side-by-side trials. We are looking forward to sharing our crop year with you and hope your season started out well. David Schaal, St. Peter, Fayette County: I farm in southern Fayette County. The corn crop is all over the board here. Some that was planted back in March or before the insurance date (April 6) is up and growing and looking good. A lot of corn in the immediate area went in the ground the week of April 9. The temperature got really cool and then the rain came. It took 18-21 days for some of that corn to emerge. Some of it will be left, some will be spotted in, and the rest will be a total replant. On the evening of April 28, we encountered a hailstorm that left damage to vehicles, roofs, siding on houses, and also played havoc with the wheat fields. It has dried out a lot here in the last couple of days, but we are still a day or two away from returning to the fields. Some farmers are about done with corn and some don’t have much planted.

Doug Uphoff, Shelbyville, Shelby County: I am a 50year-old fourth generation farmer and a grandfather. We started planting corn on March 28 and finished on the April 11 (we usually don’t start until then). The corn planted early is at V-2. The last corn we planted into timber soils was hit with 2.5 inches of rain on April 14-15. It has now emerged after three weeks in the ground and much concern from cold weather that lowered soil temps that slowed crop progress dramatically. Some beans were planted in the county, but we are waiting for warmer soil temps. Soil temps that were 65 degrees in March had cooled to 40s and 50s. Wheat is showing signs of striped rust. We sprayed ours with a plane April 19, but it didn’t seem to help because the rust has spread to the flag leaf in some of the wheat. Corn planting is 90 percent done in the northern part of the county. Soybeans are 3 percent planted. Rainfall: March 1, .05 inches, April, 5.7 inches; May, 0.7 of an inch. Findlay corn: May 2012, $6.39, fall, $5.07; January $5.17; beans, May 2012, $14.58, fall 2012, $13.38; January 13, $13.18. *Jeff Guilander, Jerseyville, Jersey County: When I took over for Ted (Kuebrich), I did not realize I was going to have such big shoes to fill. It’s been a wild 2012, and we’ve only been at it a little over a month. Looking back, I guess we should have planted a lot more corn in March. It looks to have weathered the cold temps fairly well and is finally poised to take off. The April-planted corn is a different story. Two weeks ago, everyone thought replant would be around 50 percent; 10 days ago it was 25 percent, and now most of it looks good enough to keep (minus the areas the ducks are still swimming in), throwing the idea of uniform emergence out the window. That’s what 5 to 7 inches of rain over two weeks will do for you, besides putting a lot of bottom ground under water. Maybe we will have an easier time trying to plant soybeans. Looks like it’s going to be another wild ride, remember to enjoy it. Dan Meinhart, Montrose, Jasper County: This year is starting out completely different than what we experienced the last four years. We farm in various locations in the northwest quarter of Jasper County. We signed up for MyRainScout.com and have 10 sites where the rainfall is measured by Doppler radar. Rainfall since March 1 ranged from 5.2 inches to 7.5 inches. The last five days, the area has received 1.5 to 2.5 inches. Hail the size of quarters fell on April 28 in some areas. A lot of corn has gone into the ground. Some are finished with corn while most still have corn to plant. A few have planted beans. Quite different from last year when nothing went into the ground until the last week of May. More rain was on the radar for last Friday. Wheat looks good. Dave Hankammer, Millstadt, St. Clair County: With the mild weather conditions of this past winter, these crop reports seem long overdue. These conditions allowed farmers to do some tillage, apply fertilizer and crop protectants, perform maintenance on conservation structures and drainage channels, and build new conservation structures in fields that were in need of the erosion protection. On our farm, it gave us time to clean up and replace a machine storage building destroyed in January by a tornado that caused property damage for our neighbors and us. Fortunately, there were no injuries. Some farmers started planting corn in March despite concerns of a late killing frost. Plantings cautiously increased as the recommended April planting date approached and the threat of frost decreased. In the last half of April, some parts of the county received 6-8 inches of rainfall cumulatively, which slowed planting progress. Near the end of April we experienced damaging hail that caused some damage to the wheat crop. First-cutting alfalfa hay and wheat silage were made in mid to late April, about three weeks earlier than last year. Local grain bids: corn, $6.45; soybeans, $14.71; wheat, $6.03.

Rick Corners, Centralia, Jefferson County: Let the journey begin! Well, it’s already begun. Corn is pretty well all planted. Some has just been planted. Some was planted a month ago and there still is a little bit left to plant. North of where I live, it’s been a little too wet and south of here, a rain is needed. I was near St. Louis Sunday (April 29) and they have a real mess. With a terrible hailstorm and 4 to 5 inches of rain, you can imagine the situation. Looks like the wheat crop is going to be 2 to 3 weeks early this year. Kevin Raber, Browns, Wabash County: The last few seasons, my first report of the season is a little slim on fieldwork progress. Not this year. Corn planting started in late March and finished quickly in the first half of April. Warm days early in April helped emergence, but cooler days and nights the second part of April slowed corn growth. Soybean planting is probably 75 percent or more done in Wabash County. The warmer days and nights sped emergence of the soybeans. Wheat looks good, and we probably are looking at an early June harvest. Dean Shields, Murphysboro, Jackson County: I’m glad to be back and I enjoy doing this. In Jackson County, we are a little dry, which is ironic when a year ago they blew up the Bird Point levee at Cairo, because of a high river, and we had some localized flooding that was pretty bad a year ago. This year, all of our corn is pretty well planted. A lot of fellows have starting planting soybeans. Because of it being on the dry side, the ground is working pretty well for this river bottom area. Also, because of the weather, the wheat crop is looking good, and I expect we will have good wheat crop if things stay the way they are. Randy Anderson, Galatia, Saline County: What a year so far, to say the least, with the mild winter we had. Spring started early with some bad storms and followed by dry conditions. That allowed most producers to get a real jump start on planting. Some started around March 20 with corn. I would say corn planting is done here. Bean planting is all over the board — some done, some half done, and a few not even started. The main problem is some places are running short on moisture. Rainfall has been very spotty. A nice shower would be appreciated. Some hay has been cut, and it looks like the quality is good. Wheat is starting to turn. I hope to cut some at the end of the month or first week of June. The major problem I see for this growing season is weeds, weeds, and more weeds. Chemicals are not working well from the lack of rain. The weed of choice is pigweed, water hemp, or marestail — take your pick. Ken Taake, Ullin, Pulaski County: I farm with two brothers in the rolling hills 20 miles north of Cairo, so we are really in extreme Southern Illinois. In Pulaski County, April was an interesting month. We had only 1 inch of rain for the whole month. With that, corn planting started extremely early this year. We finished planting on April 14. The weather then turned cool and we held off awhile. We just started planting soybeans on April 30, and we are in the process of planting soybeans now. A lot of people haven’t started beans yet. It’s been so dry. Soil conditions are not very conducive to planting beans. Otherwise, we are trying to sidedress our corn. Most of the corn is up and looking pretty good. Sure does need a rain.

Reports received Friday morning. Expanded crop and weather information available at www.ilfb.org


FarmWeek Page 8 Monday, May 7, 2012

production EQIP, research funding hailed

Cattle group pleased by what’s not in Senate plan

BY MARTIN ROSS FarmWeek

One of the high points of the Senate farm bill proposal is what isn’t in the measure — a heavier federal footprint in livestock marketing. So says National Cattlemen’s Beef Association (NCBA) Washington representative Mike Deering, who calls the Senate Ag Committee’s plan “a good foundation” for future ag policy. Deering hails proposals to bolster conservation funding for livestock farms that are under the regulatory gun and recognize the continued need for animal disease research. The bill offers farmers “the freedom to operate” by omitting the livestock title created with the 2008 farm bill, he said. That inclusion led to proposed Grain Inspection, Packers and Stockyards Administration (GIPSA) rules challenged by NCBA.

While he believes Congress’ intent in elevating livestock issues was “overall good,” the “GIPSA rule” has raised concerns about restrictions that could limit profitable market arrangements between producers and packers. NCBA’s current goal is “to stay as far out of the farm bill as possible and reduce federal involvement in the business of farming and ranching,” he told FarmWeek. “We feel this particular farm bill does that,” Deering said. “It does not include the livestock title, but it does restore funding for programs that form a partnership between government and cattlemen, like (the Environmental Quality Incentives Program) in the conservation title. “That allows farmers to make improvements on their own property to protect natural resources and for overall sustainability. “Research also is extremely

Landowners alerted to wildlife acre program expansion An additional 400,000 acres nationwide may be enrolled in the State Acres for Wildlife Enhancement (SAFE) program through USDA this year. SAFE is a special Conservation Reserve Program (CRP) initiative. Currently, Illinois has four SAFE project areas: • Mercer County upland habitat restoration project; • Western Illinois pheasant habitat restoration project in parts of Fulton, Henderson, Henry, Knox, Mercer, Peoria, Stark, and Warren counties; • Sangamon County northern bobwhite quail conservation initiative; and • Illinois grassland/wetland habitat restoration in prairie landscapes, covering parts of 33 counties — go online to {www.dnr.state.il.us/orc/safe/}. Under SAFE, farmers may install conservation practices that meet the specific needs of high-value wildlife species with high-quality habitat. Sign-up is offered continuously. Interested farmers may contact their local USDA Service Center to learn if their land is located within a project area or to obtain more information about the program.

Assessment IDs savings for community, county The Smart Energy Design Assistance Center (SEDAC) recently estimated Fulton County and the Town of Cuba could save a combined $20,000 annually in energy bills for the community center and county nursing home. SEDAC provides free energy assessments and technical assistance to Illinois public facilities, not-for-profits, and businesses. The program is sponsored by the Illinois Department of Commerce and Economic Opportunity (DCEO) and public-owned utilities. After SEDAC representatives surveyed the county’s and town’s buildings and collected information about the energy usage, they presented recommendations to cut energy uses as well as ways to improve energy efficiency at both facilities. In addition, SEDAC also identified grants and incentives that could be used to help pay for the improvements. “They didn’t just tell us what to do; they helped show us how to get it done. They helped make the physical plant recommendations a fiscal reality,” said Martha Danielson, administrator of the county’s Clayberg Nursing Home in Cuba. For more information about SEDAC program, go online to {www.sedac.org} or call 800-214-7954.

A Black Baldy cow and her calf pose for a portrait in their Pike County pasture. Cattle producers are pleased with provisions that are not in the Senate-proposed farm bill. (Photo by Ken Kashian)

important to us, and we were pleased to see research funded, as well — research to prevent animal diseases, research to protect public health. Research has continued to be less and less important, financially, over the past seven farm bills.” Deering was optimistic that the House Ag Committee would follow suit and strip out the livestock title. Recent detection of a BSE case in California highlights the

value of ongoing veterinary research, he said. The “phenomenal” body of BSE data that’s emerged since 2003 (when the first case was detected) “has really helped us nail down this issue,” Deering held. Dual-track funding for animal health and public safety efforts is crucial to preventing or controlling future outbreaks, he said. In a letter to House and Senate Appropriations Committees, the American

Kuipers Family Farm near Maple Park will host the 2012 Summer Horticulture Field Day from 8:30 a.m. to 2 p.m. Thursday, June 14. Wade and Kim Kuipers and their three children, Tess, 19, Joe, 16, and Will, 14, operate a 230-acre entertainment farm. The Kuipers began operations in 1998 with a 71acre pumpkin patch. Shortly thereafter, they bought an orchard across the road and later added several buildings for the many entertainment and handson activities. Activities include a corn maze, hayrides, a farm animal petting zoo, pony rides, a haunted forest, a tractor-tire mountain, a pedal-tractor derby, a nature walk, and jumping pillows. An orchard shop and bakery offer many foods, including apple-cider doughnuts, home-baked pies, fudge, pasteurized apple cider, and hand-spun caramel apples. The Barn Store offers gift items. The field day will conclude at the Aquaviva winery, vineyard, and restaurant, located

a short distance from Kuipers. Aquaviva is an award-winning winemaking production center and Neapolitan-style pizza bistro. For more information, contact Don Naylor, executive secretary of the Illinois State Horticulture Society, 15962 Old Orchard Road,

Farm Bureau Federation urged support for funding of a new National Bio- and AgroDefense Facility in the fiscal 2013 homeland security spending bill. The state-of-the-art facility would be equipped to develop vaccines and antiviral therapies and train veterinarians and public health officials to identify and respond to foreign animal and zoonotic diseases that affect multiple species.

Summer horticulture day set June 14 at Kuipers farm Bloomington, Ill., 61705. The telephone number is 309-8288929 and e-mail address is ilsthortsoc@yahoo.com Online go to {www.kuipersfamilyfarm.com} or {www.specialtygrowers.org} for more information. For reservations, e-mail ilsthortsoc@yahoo.com or call 309-828-8929.


Page 9 Monday, May 7, 2012 FarmWeek

rural health Providing more:

Telehealth offers more patient, less ‘windshield’ time

BY MARTIN ROSS FarmWeek

Got physician rounds Tuesday morning in Aledo, Gibson City, Centralia, and Carrolton, but have to be back at the hometown hospital for a 1 p.m. meeting? Don’t warm up the chopper. Go with technology. The Southern Illinois University School of Medicine has helped develop computer videoconferencing capabilities for largely rural hospitals, mental health and developmental centers, and other providers. Glenn Groesch, director of the School of Medicine’s telehealth networks and programs, notes a growing lack of medical specialists in rural communities. As fuel costs rise, so does the cost of driving to a rural hospital, and use of remote technology thus is “the next best thing,” he said. Springfield’s St. John’s Hos-

pital routinely hosts pediatric “grand rounds” for an hour each Thursday morning, addressing child health issues and possible treatments via videoconference with doctors in Carroll, Christian, Crawford, Effingham, Ford, Madison, Mason, and Mercer counties. Additional video grand rounds, with additional hospitals, cover internal medicine (8-9 a.m. Tuesdays), psychiatry (noon to 1 p.m. Fridays), and neurology (3-4 p.m. Tuesdays). Further, technology has enabled regional medical specialists to replace “windshield time” with computer screen time, thus expanding rural patient access, telehealth program IT technical associate David White told FarmWeek. “We’re starting to focus now on the actual telemedicine area,” White said. “You have a clinician, a psychologist, or a neurologist who can consult with patients at far distances, connecting on a

Clogged arteries?

Amid evolving communication technologies, growing demand for wireless bandwidth, and even the occasional illparked van, building a better telehealth system is a challenge. Increased rural broadband deployment is “vital for economic development, distance learning, telemedicine, for health care providers in rural areas,” argues American Farm Bureau Federation policy specialist R.J. Karney. Concerns about bandwidth have heightened with a proposal by mobile carrier LightSquared to build an expansive new 4G wireless communications network. The Federal Communications Commission (FCC) revoked a conditional waiver that would have allowed LightSquared to immediately proceed with the project, but the carrier continues to seek FCC approval. Farm Bureau fears the project could interfere with high-tech precision farming. Southern Illinois University (SIU) information technology specialist David White acknowledges issues ahead as the public jostles for cyberspace access. “It’s interesting, the demand for network accessibility and how much that’s changed just over the last 10 years,” White told FarmWeek. “We as consumers are demanding to have these incredible network speeds wherever we are, even in the middle of nowhere. It’s how we’ve evolved in our businesses.” Bandwidth competition can be fierce even within a hospital. Internet lines dedicated to medical video conferencing offer a tempting option for radiologists seeking higher speed in transmitting images, forcing either internal conflicts or the need for a second line, White said. The non-profit Illinois Rural HealthNet is helping move smaller hospitals to higher-capacity, low-cost 100-megabyte- to 1-gigabyte-per-second networked connections. Healthnet’s Doug Power argues that “any way bandwidth can be improved can help telemedicine applications.” But Power notes transmission of computer scans or digital mammograms requires high bandwidth, and high-capacity competing uses can affect hospital systems. The quality of a hospital’s network services or providers also can impact the effectiveness of telehealth capabilities, White said. White recalls problems that occurred one day when SIU’s staff attempted repeatedly to establish a video conferencing link with an Illinois mental health health center. “A UPS delivery truck had parked right in front of their receive antenna, and boop, no more network,” he said. — Martin Ross

desktop computer, with a webcam and a software program. “Instead of his having to drive to Havana, or the patient having to drive into Springfield, he’s able to see a number of patients in the course of an afternoon, just like he would in a regular (on-site) clinical setting.” Telehealth offers several beneficial side effects beyond patient/physician convenience. Electronic patient records now can be shipped securely between hospitals, according to White, a vast improvement over past FAX transmissions in terms of information confidentiality and “legibility.” Videoconferencing is an ideal option for smaller hospitals with limited resources. Startup costs are reasonable, little special equipment is needed, and nurses, physician’s assistants, and others can administer care under a doctor’s direction even when one isn’t available on site. Patient confidentiality has been a key concern in telehealth development. Grand rounds often cover general topics, but when details of specific cases arise, they are offered under strict anonymity. Medical technology providers are economically motivated to build adequate data safeguards and firewalls into medical software and systems, White said.

Telehealth services coordinated by the Southern Illinois University School of Medicine have provided considerable mutual reach for medical specialists and rural hospitals and health providers. Seen here are hospitals across the state that participate in weekly videoconferences with internal medicine, psychiatric, neurological, and pediatric specialists.

Groesch cites continued advances in time- and cost-saving technologies: Doctors now can videoconference on the fly via a smartphone. Groesch has an app for that — within seconds, he connects to his own office cam on his iPad.

Specialized video capabilities allow for remote, high-definition examination of moles, lesions, and other physical symptoms. “I can hear heart sounds, see inside an ear, see down a patient’s throat,” Groesch told FarmWeek.


FarmWeek Page 10 Monday, May 7, 2012

AROUND ILLINOIS

SIU Carbondale names new agricultural sciences dean Mickey Latour, a Purdue University administrator and researcher, has been named dean of the College of Agricultural Sciences at Southern Illinois University (SIU) Carbondale. Latour will begin his new position on July 1, pending approval by the SIU Board of Trustees. Latour is a professor in Purdue’s College of Agriculture, the associate dean for Purdue Extended Campus, and the chief director of Purdue’s distance learning program. Latour earned both his doctorate in animal physiology and his master’s degree in physiology at Mississippi State University. He earned his bachelor’s degree in animal science at Southeastern Louisiana State University. He joined the Purdue faculty in 1997. His research has focused on lipid manipulation in meat products, and he played a role in identifying

so-called “soft fat” in hogs, especially as it relates to the quality of

bacon and bratwurst. For Purdue’s distance learning, Latour oversaw master’s degree programs in agriculture and management, technology master’s degree programs, online veterinarian technology degrees, and teaching certificates.

The distance-learning program brought in $10 million for the colleges and departments that provided the courses. He also led an expansion of online access to courses that increased enrollment in distance-learning courses

and programs. Todd Winters has served as interim dean of the college since the 2010 retirement of former Dean Gary Minish. Winters will return to his post as an associate dean in the college.

EPA answers questions about mini-bulk tank rules The U.S. Environmental Protection Agency (EPA) recently supplied general information about federal requirements for portable, refillable pesticide containers, commonly known as mini-bulk tanks, and related pesticide containers. The requirements took effect last August. Below is Illinois Farm Bureau’s interpretation of the EPA information. Q: If a farmer owns a minibulk container and takes it into an ag retailer and the ag retailer refills the tank, does the farmer as the applicator have to comply with the Pesticide Container and Containment (PCC) regulations? (The tank

will be used to fill the farmer’s sprayer out in the field of application). A: Yes, in this situation the farmer’s mini-bulk must comply with the PCC regulations

because the mini-bulk is being used for the sale or distribution of the pesticide. The retailer is refilling the farmer’s mini-bulk. Q: If a portable refillable container is delivered to a farmer and the farmer fills a second portable refillable container with the product, what tanks need to comply with the PCC regulations? A: The first refillable container that is delivered to the farmer must comply with the PCC regulations because it is being used for the sale or distribution of the pesticide. However, if the farmer transfers the pesticide from the compliant portable refillable container to a second tank and then takes the second tank to the field to aid in the application of the pesticide, the second tank is considered to be a service container. That meets the working description of a service con-

tainer — “an applicator transfers a pesticide into a container for the purposes of that applicator applying the pesticide.” Therefore, the second tank does not have to comply with the PCC regulations. Q: What is the definition of a service container? A: A service container is defined as “any container used to hold, store, or transport a pesticide concentrate or a pesticide use-dilution mixture, other than the original labeled container in which the product was distributed or sold, the measuring device, or the application device.” A working description is: If an applicator transfers a pesticide into a container for the purposes of that applicator applying the pesticide and the ownership of the pesticide does not change during the time the pesticide is in the container, the container is considered to be a “service container.”

Milk prices remain unchanged

The Class III price for milk adjusted to 3.5 percent butterfat for the month of April was $15.72 per hundredweight, unchanged from the previous month. Prices have declined about $1.25 since the first of

the year, but they have settled in the past couple of months as milk supplies slowly were built with higher production levels The early spring has brought more milk and early hay harvests.


Page 11 Monday, May 7, 2012 FarmWeek

“It’s been a great experience for me. I’ve been able to interact with a lot of producers from around the state who are the best at what they do and learn from them.” Mike Marron, Soy Ambassador

“The Soy Ambassador program is a great way for the next generation of farmer-leaders to follow the Illinois Soybean Association board through the process of building relationships and building coalitions.” Jerry Gaffner, Soy Ambassador

“I think it is an excellent program for younger farmers like me. It exposed me not only to farming in Brazil, but also how the Illinois Soybean Association board of directors and staff work together to improve our industry.” Sean Kinsella, Soy Ambassador

“The Soy Ambassador program has been unique, especially for the all varied experience we have gained, whether it was traveling to Chicago or learning about aquaculture. It’s sort of like being part of the board, without having to make decisions yet.” Rob Prather, Soy Ambassador

Funded by the Soybean Checkoff


FarmWeek Page 12 Monday, May 7, 2012

iaa foundation

IAA Foundation names 2012-2013 scholarship winners The IAA Foundation has awarded 52 college students scholarships for the 2012-2013 school year based on their academic ability, leadership involvement, professional career goals, and financial need. Through contributors and funds set up to honor loved ones and leaders committed to agriculture, a sum of $88,900 will be invested through tuition assistance for the upcoming school year. “The IAA Foundation has a long history of assisting students with the ever-mounting expenses of higher education,” said Susan Moore, IAA Foundation director. “We take great pride in supporting these students, many who come from farm backgrounds and many who are seeking a career in an agriculture-related field. We are truly investing in the future of agriculture through these bright scholars.” Students receiving IAA Foundation general scholarships worth $3,000 and their current or planned majors are:

William “Billy” Hatfield, Dahlgren, son of Richard and Paula Hatfield, University of Illinois, ag and biological engineering. Amelia Martens, Orion, daughter of Patrick and Annette Martens, U of I, ag communications. Erin Salz, Tonica, daughter of Jon and Jolene Salz, U of I, preveterinary. Receiving the $1,100 IAA Foundation general scholarship in the name of Robert F. Rouse is Blaine Melody, Naperville, son of Dawn and Richard Melody, U of I, animal science/production. Receiving the $1,000 IAA Foundation general scholarship in the name of Fletcher A. Gourley is Austin Ashby, Savanna, son of Fay James and Lisa Marie Ashby, U of I, agribusiness management. Receiving the $1,000 IAA Foundation general scholarship in the name of Leonard Southwell is Amie Burke, Fithian, daughter of Debbie Burke and Virgil Burke, Illinois State University (ISU), ag communications/leadership. Receiving a $1,000 William J. Kuhfuss Memorial scholarship is Briana Grymonprez, Port Byron, daughter of Tim and Shelly Grymonprez, U of I, pre-veterinary. Receiving a $1,500 Greg Car-

ney scholarship is Kyle Hadden, Taylorville, son of Kenny and Susan Hadden, U of I, pre-veterinary. Receiving a $1,000 Dale E. Butz scholarship is Gracie Weinzierl, Stanford, daughter of Rodney and Kathy Weinzierl, ISU, ag education. Students receiving the Robert F. Rouse scholarship worth $1,100 and their current or intended majors are: Theresa Rodriquez, Gurnee, Chamberlain College of Nursing, master’s of nursing. Ingrid Brauer, Hawthorn Woods, daughter of Marilee and Terry Brauer, U of I, human nutrition/pre-med. Laura Micksch, Wadsworth, daughter of Dale and Debra Micksch, Northern Illinois University, nursing. The recipients of the Heartland NAMA, Steven Hammerschmidt scholarship in the amount of $1,000 are: Daniel Herriott, Sidney, son of Steve and Diana Herriott, ISU, ag business/agronomy management. Kiersten Kasey, Ashmore, daughter of Nels Kasey and Ann Robinson, U of I, ag education. Students receiving a $1,000 Dorothy and Wilhelmine Rater-

mann scholarship are: Bradley Braddock, Patoka, son of Harry and Angie Braddock, Kaskaskia College, ag communications/ag law. Amy Alsip, Vienna, daughter of Richard and Janet Alsip, Southern Illinois University (SIU), English-19th century British literature. Erin Furmanek, Belleville, daughter of Phil and Celeste Furmanek, U of I, pre-nursing. Gary Newell, Lawrenceville, son of Rodney and Evelyn Newell, Rose-Hulman Institute of Technology, mechanical engineering. Mary Becker, Carlyle, daughter of Steve and Amy Becker, ISU, secondary education-math. Kelcie Woker, Greenville, daughter of Craig and Jan Woker, U of I, ag communications. Caroline Bremer, Metropolis, daughter of Jeff and Lisa Bremer, Oklahoma State University, ag economics/agribusiness. Faith Wendte, Altamont, daughter of Roy and Christine Wendte, undecided, ag economics/agribusiness. Emily Tanner, Stonefort, daughter of Brian and Tempa Tanner, St. Louis College of Pharmacy, pharmacy. Luke Rincker, Strasburg, son of Otto and Lisa Rincker, U of I, ag accounting. Tamar Adcock, Assumption, daughter of Jim and Jan Adcock, Kansas State University, animal science. Austin Pavlak, Belleville, son of Thomas and Christine Pavlak, undecided, engineering. Olivia Geiger, Alhambra, daughter of Steven and Dena Geiger, U of I, ag engineering. Kari Weis, Highland, daughter of Richard and Margaret Weis, University of MissouriColumbia, ag journalism. Katelyn Fryman, Ellery, daughter of Wesley and Kelly Fryman, SIU Edwardsville, pharmacy. Evelyn Epplin, Cutler, daughter of David and Susan Epplin, SIU Carbondale, ag education. Courtney Gerstenecker, Carlyle, daughter of Robert and Tamra Gerstenecker, Kaskaskia College, ag economics/agribusiness. Amanda Barr, Altamont, daughter of Clyde and Barbara Barr, Lake Land College, ag business management. Theresa Reinhardt, Alhambra, daughter of Dawn and Greg Reinhardt, SIU Carbondale, crop and soil science. Allie Malone, Galatia, daughter of Mark and Angie Malone, Union University, nursing. Recipients of the Fletcher A. Gourley, Leonard Southwell, and Roger Capps Memorial scholarships, awarded to children of employees of Prairie Farms Dairy in the amount of $2,000 each are: Daniel Delaney, Carlinville, son of Joseph and Mary Lou Delaney, Eastern Illinois University, psychology.

Taylor Fassbinder, Guttenberg, Iowa, daughter of Tom and Sue Fassbinder, University of Iowa, nursing. Stevi Short, Farmington, Mo., daughter of Robin and Steve Short, University of Missouri (U of M) Kansas City, epidemiology. Sydney Schmidt, Carlinville, daughter Michael and Lori Schmidt, U of I, crop sciences. John Donoghue, Carbondale, son of James and Cynthia Donoghue, U of I, general engineering. David Phaup, Newburgh, Ind., University of Mississippi, biochemistry/pre-med. Recipients of the Fletcher A. Gourley, Leonard Southwell, and Roger Capps Memorial scholarships, awarded to children of patrons of Prairie Farms Dairy in the amount of $2,000 each are: Jenny Eichhorn, Altenburg, Mo., daughter of John and Reva Eichhorn, U of M Kansas City, medicine. Hilary Charlet, Kewanee, daughter of Kevin and Dawn Charlet, Illinois Wesleyan University, communications. Alexis Lintker, Venedy, daughter of Carl and Lisa Lintker, Illinois College, chemistry. Ryan Meinhart, Wheeler, son of Richard and Nancy Meinhart, undecided, agriculture. Morgan Aprill, Greenetown, Ind., daughter of Tim and Grace Aprill, Ball State University, journalism. Dayne Voelker, Perryville, Mo., son of Charles and Nancy Voelker, U of M Kansas City, medicine. Students receiving a $4,000 Illinois Soybean Association Crop Science scholarship include: Philip Dreste, Washington, son of Mike and Kathy Dreste, U of I, crop science. Greg Guest, Nashville, son of Glen and Debra Guest, SIU Carbondale, crop and soil science. Logan Rehberg, Newark, son of Randall and Stacy Rehberg, U of I, crop science. Daniel Fulton, Lincoln, son of John and Sherry Fulton, U of I, crop science. Ashley Helmers, Chester, daughter of Randy and Kathy Helmers, SIU, crop production. Kurtis Wilke, Okawville, son of David Wilke and Karen Pacha, SIU, plant and soil science. Since 1989, the IAA Foundation has awarded 677 scholarships. Applications for the 2013-2014 school year will be available on Dec. 1. Specific details and eligibility requirements may be found online at {www.iaafoundation.org}. The mission of the IAA Foundation, Illinois Farm Bureau’s charitable foundation, is to fund education, research, and charitable activities that benefit Illinois farm families and agriculture. Learn more about the IAA Foundation and the efforts it supports online at {www.iaafoundation.org}. Individuals interested in contributing to the scholarship program may call the foundation at 309-557-2230.


Page 13 Monday, May 7, 2012 FarmWeek

from the counties

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UREAU — Farm Bureau is sponsoring a free portrait session for members from 3 to 8 p.m. Tuesday and Wednesday, June 12-13, at the Farm Bureau office. One free portrait per family or household is allowed. Appointments are on a first-come, first-served basis. Call the Farm Bureau office at 815875-6468 for reservations or more information. • Nominations are being accepted to honor individuals who give leadership and service to agriculture and farmers in Bureau County and surrounding areas. A nominee must be a resident of Bureau county. Nomination forms are available at the Farm Bureau office. Deadline to return the form to the Farm Bureau office is Friday, June 1. • Bureau, Lee, and Whiteside County Farm Bureaus will sponsor the Summer Ag Institute II for teachers June 26-27. Cost is $25 for members and $40 for non-members. Certification units may be earned upon completion of the course. Call the Farm Bureau office at 875-6468 for an application form. HAMPAIGN — The Champaign County Farm Bureau Foundation will organize the Countryside 10K and two-mile walk Saturday, June 2, beginning at Witt Park, Sidney. Cost is determined if participating in the 10K run or two-mile walk. Online registration is available at {cccfbfoundation.com} or forms are available at the Farm Bureau office. Register by Friday and receive a hat and goodie bag. Call Debby Rehn at 217-3525235 for more information. NOX — Henry, Knox, Mercer, Stark, and Warren-Henderson County Farm Bureaus will sponsor three “Ag in a Day” teacher workshops at the following dates and places: June 11, Galesburg; June 12, Alpha; and June 13, Kewanee.

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Auction Calendar Mon., May 7. 1 p.m. Brown Co. Land Auction. Doris Bates Estate, MT. STERLING, IL. Sullivan Auctioneers, LLC. www.sullivanauctioneers.com Thurs., May 10. 7 p.m. Christian Co. Farmland. EDINBURG, IL. Cory Craig, Auctioneer. www.auctionillinois.net Sat., May 12. 9 a.m. Consignment Auc. TREMONT, IL. Cal Kaufman and Brent Schmidgall, Auctioneers. calkaufmanauction.com or brentschmidgall.com Sat., May 12. 10 a.m. Southern IL Land Auc. Larry “Hokey” Kelley, MACEDONIA, IL. Barnard Auctions. www.auctionzip.com ~ id #2008 Sat., May. 12. 9 a.m. Consignment Auction. TREMONT, IL. Cal Kaufman and Brent Schmidgall, Auctioneers. kaufmanauction@aol.com and brentschmidgall@yahoo.com Tues., May 15. 11 a.m. DeKalb Co Land Auc. Robert and Rita Brown Estate, MALTA, IL. Almburg Auctioneering. www.alumburgauctions.com Tues., June 5. McLean Co. Farmland Auc. Steinlicht & Baker Farms, COLFAX, IL. Soy Capital Ag Services. www.soycapitalag.com Wed., June 6. 10 a.m. Ford Co. Farmland Auc. GIBSON CITY, IL. Busey Farm Brokerage.

Workshops will include handson activities, grants for classrooms, kit give-aways, and farm tours. There is no charge to attend. Deadline to register is May 15. Call the Mercer County Farm Bureau office at 309-582-5116 for reservations. Visit the website at {www.knoxcfb.org} for more information. ASALLE — Farm Bureau will sponsor a bus trip June 27 to see the Chicago Cubs vs. the New York Mets game at Wrigley Field. Cost is $75 for members and $85 for non-members if paid by May 25. After May 25, the cost is $85 and $95, respectively. Tickets are on a first-come, first-served basis. Call the Farm Bureau office at 815-433-0371 for reservations or more information. ONTGOMERY — The Prime Timers will meet at noon Wednesday, May 16, at the Lion’s Club, Hillsboro. A beef and noodles dinner will be served. Cost is $8. Mike Meier, managing director from Focused Pursuit LLC and author of A Focused Pursuit in China, will be the speaker. Deadline to register is Friday. Call the Farm Bureau office at 217-532-6171 for more information. • The Prime Timers will take a bus trip Sunday, July 1, to see “Nunsense A-Men!” at Conklin’s Barn II Dinner Theatre, Goodfield. Cost is $56. Call the Farm Bureau office at 217-532-6171 by Thursday, May 31, for reservations or more information. TARK — The Prime Timer’s picnic will be from noon to 2 p.m. Wednesday, May 16, at the Farm Bureau office. A barbecue pork meal will be served. An update on upcoming trips will be given. Call the Farm Bureau office at 286-7481 by Monday, May 14, for reservations or more information. ERMILION — Vermilion and Champaign County Farm Bureaus will sponsor a landowner rights meeting at 5:30 p.m. Wednesday at the Champaign County Farm Bureau, 801 N. Country Fair Drive, Suite A, Champaign. An Illinois Farm Bureau legal team will discuss landowner rights, contracts and leases, and guidelines to follow if approached by a mineral company representative. Call the Farm Bureau office for more information.

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“From the counties” items are submitted by county Farm Bureau managers. If you have an event or activity open to all members, contact your county Farm Bureau manager.

Ag Day North

Students experience farming through field trip

BY BONA HEINSOHN

Through hands-on activities and demonstrations, more than 500 third grade students from throughout Cook County learned about Illinois farmers and the importance of healthy and nutritious food at an Ag Day North event sponsored by the Cook County Farm Bureau Foundation and Wagner Farm. For two hours, students, parents, and teachers learned about the state’s top farm commodities, including corn and soybeans as well as the farm-to-table process. Students rotated though eight stations presented by volunteers and staff from Heritage Farm in Schaumburg, Ted’s Greenhouse in Tinley Park, Wagner Farm, University

of Illinois Extension, Nutrients for Soil, and the Cook County Farm Bureau. Topics covered included: horticulture, dairy, corn, soybeans, pork, farm-to-table, and farm technology. Participating schools included: Oakhill Elementary School, Streamwood; St. Francis Ele-

Cook County Commissioner Timothy Schneider (on tractor ladder) listens as Todd Price, far right, farm director for Wagner Farm of Glenview and a member of the Cook County Farm Bureau Ag Literacy/Public Relations Team, explains advances in farm technology. He was addressing third grade students from Oakhill Elementary School in Streamwood during a recent Ag Day North event. (Photo courtesy Cook County Farm Bureau)

mentary School, Chicago; Lincoln Elementary School, Palatine; Rhodes Elementary School and St. Vincent Elementary School, River Grove; Robinson Elementary School, Lyons, Betsy Ross Elementary School, Prospect Heights; North Elementary School, Des Plaines; and Park View Elementary School, Morton Grove. Cook County Commissioner Timothy Schneider and Board of (Tax) Review Commissioner Dan Patlak joined

the students. Schneider’s northwest district includes Streamwood and Oakhill Elementary, and Patlak’s district includes most of suburban Cook County. The event was made possible by the Cook County Farm Bureau Foundation and Wagner Farm. Bona Heinsohn is the director of government affairs and public relations for the Cook County Farm Bureau. Her e-mail address is Bona@cookcfb.com.


FarmWeek Page 14 Monday, May 7, 2012

profitability

Headlines play key role in energy markets BY BRIAN HARTMAN

A plethora of reasons can cause energy market volatility; however, here are the top issues currently affecting the oil markets. Sanctions against Iran Brian Hartman have caused a lot of uncer-

tainty with oil investors, and the possibility of a supply disruption puts even more fear into the equation. Iran threatened to shut down the Straits of Hormuz, through which roughly 33 percent of the world’s oil passes. Fortunately, Iran has entered into constructive multilateral discussions over its nuclear program which will continue this month. Political instability is the

Prairie Bounty now available online Prairie Bounty of Illinois, a directory of direct-from-thefarm sellers, farmers’ markets, and agritourism businesses, is now available online at {www.specialtygrowers.org/ prairie-bounty.html}. Provided by Illinois Farm Bureau and the Illinois Specialty Growers Association, the directory contains contact information and locations for more than 900 individual growers of fruits, vegetables, and herbs throughout Illinois. The directory also provides consumers with the farms’ contact information, products available, methods of sale, and a complete list of farmers’ markets and agritourism businesses in Illinois, searchable by city, county, or ZIP code. “As consumers become

more involved in how their food is produced, they often become more interested in supporting local farms by purchasing locally grown food,” said Diane Handley, IFB affiliate association manager. “This directory helps consumers do just that — support local farmers and buy farm-fresh produce and products at farms and farmers’ markets across the state.” Growers interested in adding their names and businesses to Prairie Bounty of Illinois may contact Handley at 309-557-3662 or via e-mail at dhandley@ilfb.org. They also may visit the Illinois Specialty Growers website at {www.specialtygrowers.org} for instructions on how to register.

M A R K E T FA C T S Feeder pig prices reported to USDA* Weight 10 lbs. 40 lbs. 50 lbs. Receipts

Range Per Head $31.58-46.00 $61.92-61.92 no longer reported This Week 84,929 *Eastern Corn Belt prices picked up at seller’s farm

Weighted Ave. Price $39.31 $61.92 by USDA Last Week 126,725

Eastern Corn Belt direct hogs (plant delivered) Carcass Live

(Prices $ per hundredweight) This week Prev. week $74.81 $79.32 $55.36 $58.70

Change -4.51 -3.34

USDA five-state area slaughter cattle price Steers Heifers

(Thursday’s price) (Thursday’s price) Prev. week Change This week n/a 119.52 n/a 119.30

CME feeder cattle index — 600-800 Lbs. This is a composite price of feeder cattle transactions in 27 states. (Prices $ per hundredweight) Prev. week Change This week 147.85 148.85 -1.00

Lamb prices n/a

Export inspections (Million bushels) Week ending Soybeans Wheat Corn 04-26-12 15.5 19.8 24.9 04-19-12 12.7 25.2 31.1 Last year 8.4 36.8 37.7 Season total 1089.1 916.3 1079.7 Previous season total 1358.9 1130.4 1160.5 USDA projected total 1275 1000 1700 Crop marketing year began June 1 for wheat and Sept. 1 for corn and soybeans.

overarching problem when dealing with Middle Eastern suppliers. The Seaway pipeline, a 500mile pipeline carrying crude oil from Freeport, Texas, to Cushing, Okla., will come online May 17. Cushing is the pricing point (benchmark) for oil traded on the NYMEX. This pipeline will help ease the bottleneck of oil caused by the lack of transportation between the middle part of the U.S. and the Gulf Coast. This excess of oil is partially responsible for oil prices being so cheap compared to international prices. Once the owners announced the pipeline, early West Texas Intermediate (WTI) prices increased. The price difference or “spread” between WTI and European Brent oil narrowed.

Moreover, the relationship or “spread” between WTI vs. gasoline and WTI vs. diesel has narrowed. The markets already have the perception that inventories will be reduced, and as a result, we have witnessed increased oil prices. Once we start seeing actual results, oil could go higher, but for now we will have to wait to see how much inventories will be affected. The European debt crisis has been taunting us for more than two years. Spain is now taking Greece’s place in the headlines and threatens to re-ignite the crisis. Interest rates on Spanish debt are now above 6 percent, which most market analysts feel is unsustainable. However, investors were eager to scoop up Spanish debt

USDA

Farm Service Agency 2012 DCP/ACRE signup — The 2012 Direct and Countercyclical Program (DCP) enrollment will end June 1. Farmers need to remember the following: All farmers with an interest in DCP-base acres must be included on the DCP/ACRE contract and receive a proportionate share of DCP/ACRE payment for the farm. All farmers receiving a share greater than zero on the DCP/ACRE contract must sign the contract no later than June 1. After enrolling June 1 in DCP/ACRE, changes must be reported to the local FSA office. These include ownership changes, farmer changes (individuals and entities), and changes in crop share arrangements. Changes cannot be made after Sept. 30, 2012. TAP eligibility requirements — Orchardists and nursery tree growers who experienced losses from natural disasters that occurred from Jan. 1, 2008, through Sept. 30, 2011, may still be eligible for the Tree Assistance Program (TAP). Farmers who experienced a loss from a natural disaster that occurred before Sept. 30, 2011, must report the loss within 90 calendar days of when the loss was first apparent (for fruit trees, the damage may not be apparent until this spring). The applicant must provide evidence to FSA of

when the loss is first apparent. The local county committee will determine if the evidence supports that the loss occurred from an eligible disaster and was reported timely. Contact your local FSA office for questions and additional eligibility requirements. Beginning farmer loans — Farm Service Agency (FSA) has a program to help beginning farmers and/or members of socially disadvantaged groups to finance agricultural enterprises. Under these designated farm loan programs, FSA can provide financing to eligible applicants through direct or guaranteed loans. FSA defines a beginning farmer as someone who: • Has operated a farm for less than 10 years, • Will materially and substantially participate in the operation of the farm, • Agrees to participate in a loan assessment, borrower training, and financial management program sponsored by FSA, and • Except for operating loan assistance, does not own farm acreage in excess of 30 percent of the county’s median size. Each member of an entity must meet the eligibility requirements. Loan approval is not guaranteed. More information, loan applications, and other materials are available at the local USDA Service Center or online at {www.fsa.usda.gov} and {www.nrcs.usda.gov}.

in April. So far, Spain is on track to correct the problem, but another debt crisis could send shockwaves through the financial and energy markets. The energy markets see any kind of crisis as bearish because fuel demand is in question when these types of issues arise. The media grabbed everyone’s attention earlier this spring with $5 gasoline headlines, which seems unlikely (except for metropolitan areas). Typically we peak out in early May when the driving season kicks off. Let’s see if typical seasonal patterns hold true again! Brian Hartman is GROWMARK’s energy analyst. His email address is bhartman@growmark.com.

New grain terminal to be constructed in Morgan County Barlett Grain Co., Kansas City, recently announced it plans to begin construction this summer on a major new grain terminal in South Jacksonville in Morgan County. The new terminal will have storage capacity for 2 million bushels of grain and oilseeds, the Springfield State Journal-Register reported. Barlett also plans to add rail access to accommodate 100-car shuttle trains at the new facility. Truck access will come from Illinois 267. Proximity to grain production and truck and rail access were key factors in the selection of the South Jacksonville site, the newspaper reported.

WIU horticulture professor starts blog Mari Loehrlein, a Western Illinois University (WIU) professor of horticulture and landscaping in the School of Agriculture, has started a new blog that highlights the interactions of people and plants. Loehrlein’s first blog post, “To Bee or Not to Bee,” covers the plight of bees, as well as the intersection of bees as pollinators in the agriculture industry and the effects of human impact, such as pesticides and habitat loss, on bees. Her “Garden Gate” blog is online at {http://mloehrlein. blogspot.com}.


Page 15 Monday, May 7, 2012 FarmWeek

PROFITABILITY Corn Strategy

CASH STRATEGIST

Cents per bu.

ü2011 crop: Market action still hints the 20-week low may lie ahead. Given current prices, and the approaching low, we’d put off making any catch-up sales until after that low is hit. Even if prices drop lower in the short term, they should be able to reach these levels again. ü2012 crop: Use rallies to $5.35 on December futures to make catch-up sales. Sales were increased to 40 percent when the fail-safe was triggered four weeks ago. We prefer hedge-to-arrive contracts for making sales, but plan to tie up the basis by mid-summer. vFundamentals: Recent weekly export sales were the biggest since January 1991 and included nearly 2 million tons (78 million bushels) to China. However, upside potential has been capped due to the aggressive pace of corn planting throughout the Midwest. Some regions experienced planting delays due to wet weather, but the extended forecast looks more conducive toward further planting progress.

Soybean Strategy

Soybean shipments holding pace Wheat shipments continue to track slightly above projections but still lag below the previous year. The trade remains hopeful demand will start to pick up, as sales have been steady. However, both domestic and international supplies of wheat remain ample, and competition is going to be tough. Corn exports briefly dropped below USDA projections, but now are on track to

pace expectations. Demand for U.S. corn is starting to demonstrate signs of picking up, as China has recently re-entered the market and made several purchases of both old- and new-crop corn. However, corn still has to contend with competition from feed wheat and this likely will keep a lid on demand to a certain degree. Soybean shipments are finally starting to track USDA projections. Much of the demand has come from the Chinese as they recently stepped back into the market. In addition, the smaller South American crop helped push a portion of the export business back to the U.S.

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ü2011 crop: The market has been giving some potential signs the upside momentum may have been exhausted. We continue to advise selling remaining inventories unless you want to hold “gambling stocks” into summer. The first break could be brutal when it comes, with the record long position held by trading funds. ü2012 crop: New-crop sales should have been pushed up another 10 percent, lifting the total to 40 percent. vFundamentals: China continues to be an aggressive buyer of U.S. corn with the majority of sales being new-crop business. Soybean planting has been outpacing the five-year average, but it was recently slowed because of wet weather throughout the Midwest. However, the current maps are calling for above-normal temperatures and average rainfall for the first half of May, which should allow for aggressive

planting progress. ûFail-safe: If November futures fall below $13.45, make the new-crop sale.

Wheat Strategy

ü2011 crop: The wheat market recently shifted lower and will be vulnerable to further weakness with seasonal pressure and impending harvest a drag on prices. Use rallies to wrap-up old-crop sales. Use the cash market to make sales. Don’t carry unhedged inventories beyond April. ü2012 crop: Use rallies to $6.33 on Chicago July futures to make catch-up sales. Producers selling 100 percent off the combine need to be

aggressive in making sales on rallies. vFundamentals: The majority of the wheat fundamentals are taking on a bearish tone. The Kansas wheat tour recently took place, and scouts reported generally favorable conditions and expectations for solid yields. In addition, the winter wheat crop is further along in development due to warm temperatures in the month of March. This should result in an early harvest and bring supplies into the pipeline ahead of schedule. Export business has been steady, but supplies are more than adequate to meet demand.


FarmWeek Page 16 Monday, May 7, 2012

pERSpEcTIvES

MARKETING WITH A MISSION First-ever Illinois soybean mission opens doors in Cuba The Illinois Soybean Association (ISA) has a long history of actively helping to build markets and maintain market access for Illinois soybeans around the world. In March, I traveled with a group of fellow Illinois soybean farmers to open doors to greater sales in Cuba. I traveled on this first-ever Illinois soybean mission to the island nation with ISA board members Doug Winter, Dan Farney, and Tim Seifert, and ISA staff member Mark Albertson. The goals of our mission, which was funded with ISA membership dollars, were to build relationships and lay the groundwork for future visits with those who buy and use soybeans. We wanted to gain intimate knowledge of the supply and demand dynamics in Cuba. Ultimately, as Illinois soybean farmers, we would like to be the preferred soy supplier. Our trip came at a good time. MATT While the United HUGHES States is the primary supplier of whole soybeans to Cuba, which purchases some five million bushels per year, U.S. soybean farmers are losing soybean meal and oil market share in Cuba to competitors who are geographically more distant. In 2006, the U.S. had more than 75 percent of the market share of Cuba’s soybean meal and oil imports. Today, Brazil has more than 75 percent of the market.

According to William Messina Jr., a University of Florida agricultural economist, Brazil overtook the U.S. in 2008 to become Cuba’s leading supplier of soybean meal. By 2010, Brazil supplied close to 90 percent of imports. Sharply higher imports of soybean oil from Brazil in 2011 are a large reason that Brazil overtook the U.S. as Cuba’s largest food and agricultural import supplier. Brazil also is supplying technology and knowledge that we are not. We learned Cuba typically produces only a minimal amount of soybeans but has joint ventures with Brazilians for local soybean production. They are growing soybeans in Cuba where other crops cannot grow. About 1.2 million acres of biotech soybeans are being grown with Brazilian technology. Brazil is investing in Cuba’s poultry industry and providing funding for port refurbishments and food purchase credits. Cuba has one soybean processing plant that is a joint venture with a

Canadian firm. The state-of-the-art, 500 metric-ton-per-day soybeanbased food-processing plant reportedly produces texturized soy protein, soy flour, soybean meal, and crude soybean oil, as well as lecithin. I believe Brazil and Canada see Cuba as a stepping stone to gain entrance into Latin American markets, as we see them increase their

presence in key U.S. markets such as Mexico. Messina predicts Cuba will not be able to grow the food its people needs because it lacks technology, faces operational constraints, and is not economically able to be totally food self-sufficient.

Yet, consumers must be fed and the growing tourism industry supported. That’s where Illinois soybean farmers plan to make a difference. ISA’s mission is to ensure Illinois soy is the highest quality, most dependable, sustainable, and competitive in the global marketplace. To help achieve that mission, we favor immediate removal of agricultural trade restrictions for Cuba and urge Cuban eligibility for various government credit programs. Illinois is well positioned to be Cuba’s best supplier of soybeans and soy products, given logistical advantages, and a commitment to quality. We don’t want to lose the opportunity. Illinois soybean farmers need a presence in Cuba to increase our exposure and work with key industry players. There is much to be gained, and ISA is at the forefront opening market doors in Cuba. Matt Hughes of Shirley is chairman of the Illinois Soybean Association.

LETTERS TO THE EDITOR Organic farming can feed the world

Editor: In the commentary by Carol Kaiser of the Truth About Trade & Technology (FarmWeek, April 2) about organic farming, she expresses an opinion on behalf of her organization that organic can’t feed the world. Now I realize that the Perspectives page is a column of opinions. Everyone has a right to his own opinion, even if it is wrong. However, Ms. Kaiser’s mixing of facts with this popular myth about organic farming is doing a real disservice to your readers, most of whom, I suspect, don’t know very much about organic agriculture. In fact, organic can feed the world. A 30-year farming systems trial report by Rodale Institute of Emmaus, Pa., found that: a. Organic yields match conventional yields in longterm trials. b. Organic outperforms conventional in drought years.

c. Organic farming systems build rather than deplete soil organic matter, making it a more sustainable system. d. Organic farming uses 45 percent less energy and is more efficient. e. Conventional systems produce 40 percent more greenhouse gases. f. Organic farming systems are more profitable than conventional. For more about this research, go to {www.rodaleinstitute.org/fst30years}. A 13-year study at Iowa State University found similar results in yields, improved soil quality, lower expenses, and better returns to management. You can learn more about Iowa State’s long-term agroecological research at {www.leoppld.iastate.edu/pubs}. The above information is an overly brief summary from “The Facts about Organic Agriculture” fact sheet published by the Midwest Organic and Sustainable Education Service (MOSES), and available at P.O. Box 339, Spring

Valley, Wis. 54767 or via at email info@mosesorganic.org. MOSES is an excellent source for up-to-date, accurate information on organic agriculture. Considering that Rodale doesn’t get any government funding, and I am reasonably sure that the ag chemical companies don’t give it any money, and Iowa State’s information agrees with Rodale, I would believe Rodale/MOSES instead of Truth About Trade & Technology. ROBERT A. SAYRE, Dundas

Legislation a positive for livestock operations

Editor: As a farmer and a Farm Bureau member, I was so glad to see that the Illinois Farm Bureau and Illinois Pork Producers Association compromised with the Illinois EPA (IEPA), the environmental community, and others on the Clean Water Funding Fairness Act (HB 5642). The bill establishes a fee

for concentrated animal feeding operations (CAFOs) that have National Pollutant Discharge Elimination System (NPDES) permits to discharge pollution into the waters of the U.S. The annual fees, though very minimal, are needed to fund the IEPA’s permitting program, which is required by federal law. All other regulated industries, such as municipal sewage plants and industrial processing facilities, already pay permit fees. To date, they have been paying for the CAFO program because livestock operations have always been exempt from paying fees. However, numerous CAFOs have been found discharging, and they should contribute to the cost of regulating their own pollution. Permits are beneficial because they prevent pollution and create greater accountability. HB 5642 has passed the House and recently the Senate Environmental Committee. The full Senate will vote next

and, if the bill passes, Governor Quinn will sign it into law this session. CINDY BONNET, Lena

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