HeartBeat winter 2013
Whether flocks or children,
It’s all about family.
Board of Directors — FCS Financial ACA James Nivens, LaRussell, Chairman
Maurice Glosemeyer, Marthasville
Mark S. Pierce, DeKalb, Vice Chairman
Daniel Hulse, Hannibal
Kenneth Bergmann, Walnut Grove
Sherry Jones, Dawn
Michael L. Bruce, Nevada
David Meneely, Chillicothe, Appointed
Michael L. Cook, Columbia, Appointed
Troy Norton, Columbia, Appointed
James Davis, West Plains
Rick Rehmeier, Augusta
Mark DeShon, Clarksdale
Charles Steck, Jefferson City
Dan Devlin, Edina
Office Locations Cameron 816-632-7265 1-800-225-6949 Chillicothe 660-646-5044 1-800-264-3276 Clinton 660-885-8164 1-866-885-8164 Columbia 573-449-5910 1-800-241-5910 Farmington 573-756-5747 1-800-276-8120 Hannibal 573-221-0273 1-800-798-0273 Harrisonville 816-884-3061 1-800-517-3348 Higginsville 660-584-7181 1-866-584-7181 Jefferson City 573-636-7131 1-800-292-7131 Joplin 417-572-0011 1-866-451-6084 Lebanon 417-588-5828 1-866-588-5828
Macon 660-395-1940 1-800-432-2156 Marshall 660-886-6897 1-800-228-6897 Maryville 660-582-6464 1-800-813-5722 Mexico 573-581-3192 1-800-314-3192 Nevada 417-667-8206 1-888-667-9681 O’Fallon 636-327-1787 1-800-379-3276 St. Joseph 816-279-2118 1-866-279-2118 Sedalia 660-827-5810 1-800-310-5810 Springfield 417-862-4158 1-866-862-4158 Union 636-583-5400 1-800-583-5480 West Plains 417-256-2298 1-866-256-2298
Publication Information CEO: David Janish Editor: Amy Wieberg, amy.wieberg@myfcsfinancial.com HeartBeat is published three times a year by FCS Financial. Please address any comments to FCS Financial, Attn: HeartBeat Editor, 1934 E. Miller St., Jefferson City, MO 65101. For more information about FCS Financial or to access your account online, visit myfcsfinancial.com
Member Cooperative Communicators Association
2
HEARTBEAT | WINTER 2013
Printed with farmer-grown soybean ink on recycled paper.
Dan and Sarah Goostree tell you why FCS Financial has walked right beside them in their poultry farming operation. Today, they work one-on-one with Beth Luebbering out of the Joplin FCS Financial office. Front Cover: (l-r) Tori, Dan, Sarah & Adison Goostree
Table of Contents Dave’s View..............................................4 Member Feature....................................6 Life is Simple........................................ 10 Youth in Ag........................................... 11 Dollars & Cents.................................... 20 Risk Management.............................. 22 News Briefs........................................... 24 Niven’s Notes........................................ 27 HEARTBEAT | WINTER 2013 3
DAVE’S VIEW that I missed the honest, caring,
a focus on the customer has built
and down-to-earth people involved
strong relationships between our
in agriculture. So when I had the
staff and the people we serve.
opportunity to work for Farm Credit
and continue serving agriculture, the
beyond is hard to tell.
decision, for me, was easy.
gridlock, high land values, volatile
Interestingly, I don’t think my
commodity prices, market volatility,
story is that unique. I’ve met many
and general uncertainty will likely
people with similar tales: people
provide challenges for all of us in
who moved away from the farm or
one form or another. FCS Financial
ranch but found the pull back to
enters this time in a strong financial
agriculture to be overwhelming.
position and will continue to be the
People who want to be directly
lender of choice for Missouri farmers,
involved in production agriculture
ranchers and agribusinesses. For our
or others, like me, who want to
customers, I encourage you to engage
As this is my first article in HeartBeat
continue serve agriculture through
your loan officer in discussions
as CEO of FCS Financial, I thought
our employment with organizations
about your plans and opportunities.
it would be beneficial to recap some
that provide services to production
Open communications and a good
of my background. Many of you may
agriculture.
understanding of the realities of the
remember from reading the previous
This is also what makes FCS
situation will help all of us weather
issue of HeartBeat that I started on
Financial stand out. We get to work
whatever storms may be on the
August 1 after 33 years with various
with customers and fellow employees
horizon.
other organizations in the Farm
who want to be doing what they
Credit System.
I am passionate
are doing. The vast majority of the
to our customers. We understand
about agriculture and have made
employees at FCS Financial were
that you have a choice in your
serving agriculture my life’s work;
born and raised on farm or ranch
financial provider. There are many
however, that wasn’t always the plan.
operations in Missouri. Many work
financial
I was born and raised on a
in the same areas they were raised
for your business and we are proud
diversified cow-calf and farming
so they understand the diversity
and honored that you have chosen
operation in south central South
of the agriculture in Missouri
to do business with us. We pledge
Dakota.
but can appreciate the differences
everyday to do our best to bring
to attend college, I anticipated
of each local area.
value to our relationship.
moving away from the farm and
understanding of local agriculture
having nothing more to do with
along with our expertise in finance
cattle or crops. However, a strange
and our capacity to handle complex
thing happened during my college
and large-scale operations provides
experience, I found that I missed
great value to all our customers. As
riding the tractor and working cattle.
I’ve traveled to many of our offices
And then, as I began interviewing
over the past several months, I have
at different places for jobs, I found
seen firsthand how this expertise and
David Janish, CEO
4
When I left the farm
HEARTBEAT | WINTER 2013
I believe this
What lies ahead in 2014 and Political
Let me close by saying thank you
institutions
Best regards,
competing
new office opens in joplin
Photos by Christina Dicken
In October, FCS Financial opened a new office in Joplin located at 108 N. Prosperity. The Joplin Area Chamber of Commerce welcomed the FCS Financial team with a ribbon cutting during the grand opening on November 19. Customers and friends of FCS Financial had the opportunity to meet the employees and tour the office.
HEARTBEAT | WINTER 2013 5
MEMBER FEATURE
It ’s all About Family By Joann Pipkin
A
s the four-lane winds westward out of Monett on this unseasonably Dan and Sarah Goostree (center left and right) built their McDonald cold November day, hints of the area’s driving force begin to take County poultry operation from the shape. Turning south on Highway 39 bound for Wheaton, the long, narrow ground up with assistance from FCS houses line the roadway. Poultry is king here. Financial. They say the venture has With six companies making the area its home, names like Cargill, not only been profitable but also has George’s, and Tyson are among those helping Missouri rank ninth in the allowed them to spend more time nation in broiler production in 2012, raising 271 million of the birds valued with their daughters Adison (left) and Tori (right). at over 650 million dollars. As the two-lane winds its way to Highway 86 and on to 76, barren fields of corn and soybeans are gentle reminders of the recently completed harvest. Tucked just inside the northeast corner of McDonald County, more signs of Missouri’s often forgotten treasure lead us down a quiet country road to the place Gary (Dan) and Sarah Goostree call home. Here, one might say the birds take center stage. But, for the Goostrees it’s all about family.
from the ground up Although Dan grew up in agriculture around cattle, row crops and hay, Sarah was raised in the metropolis of Stella, Mo., with no farming background. Married for about a year, the Goostrees were just 19 and 20 years old when 6
HEARTBEAT | WINTER 2013
they decided to try their hand at farming. “It’s hard for young people to get a loan,” Sarah says. The Goostrees thought poultry farming might be for them. At the time, Sarah was working in a bank,
while Dan worked at the Missouri Highway Department out of Longview. They discovered they could earn more income with two broiler houses. The Goostrees made an offer on a farm while their house in
town sold in two weeks. It took about four months to finalize the paperwork on the farm so they commuted from a house in town. “It was hard to be approved for a loan back then,” Sarah recalls. Tyson Foods and FCS Financial joint-financed the Goostree’s initial start in the broiler industry in 1996 with two houses. Two more 40’ x 400’ houses followed suit in 1998, while in 2008 the Goostrees built two 55’ x 600’ structures. They have plans to construct two more of the larger houses in the future. Equipped with tunnel ventilation systems, the operation has a 192,000-bird capacity in the six houses, which raises seven flocks a year. “I decided a long time ago, that I wanted to stay home,” Sarah says, noting she left her job at the bank when they built the first two houses. And, raising broilers has allowed her to do just that. Over the years, Dan has hauled litter and de-constructed poultry houses. He opted to work solely in the operation in 2000 after buying another farm. The Goostrees currently grow corn and soybeans on about 300 acres. According to Dan, the couple’s daughters— Adison, 15, and Tori, 13, — were the reason for the change. “They’re growing up,” Dan realizes, noting he doesn’t want to miss out on their activities.
day to day Although both Sarah and Dan begin their day in the houses monitoring the birds, Sarah is the primary caregiver. She manages
temperature and air controls in the houses all day long. Most of the morning is spent reviewing flock mortality in each house, although Sarah takes time after the initial check to get breakfast and the girls off to school. Then, it’s back to the houses. “They are her houses until something is broken,” Dan chimes in. He does the final house check at about 10 p.m. and handles cleanout between flocks. “I’m kind of neurotic,” Sarah admits adding she likes to stay in control. With a lot of money invested in the birds, Sarah says there is no time for vacation or leaving home too much when they have a flock. Sarah strives to raise broilers just like Tyson runs a business; she wants to produce the best broiler she can while keeping her costs in check. And, 17 years of growing broilers has provided the Goostrees
with a wealth of knowledge to fall back on. One thing experience has taught the Goostrees is to not fret over what they can’t control. “Like the cost of propane,” Dan says. “It is what it is. We can’t change it.” “Every day is different,” Sarah says. “With the broilers, you have to be here. That controller can’t smell or see the chickens. I can walk in a house and instantly tell what’s wrong.” With each grower ranked based on performance, the veteran grower today consistently ranks in the top 20 percent among the nearly 100 other producers in Tyson’s Monett complex. Admitting she was last on her first flock, Sarah says, “You go in thinking you know everything and you don’t. Then you start realizing what you need to do.” “We don’t gamble,” Sarah says, “but farming has to be one of the
Poultry is king in the southwest corner of Missouri. Sarah and Dan Goostree keep a watchful eye on their six broiler houses where they can grow up to 192,000 birds at a time for Tyson Foods. Missouri ranks ninth nationally in broiler production and is home to six poultry companies.
time. Houses are cleaned out and maintained and three days alone are spent just preparing for a new flock.
Sarah Goostree says experience has taught she and husband Dan not to fret over what they can’t control like control. Sarah is the main caregiver for the birds, monitoring the temperature and air controls in each house all day long. biggest gambles. There are so many variables out of our control.” In the beginning, the Goostrees operated with conventional houses, complete with curtains and different brooders. Today’s houses are equipped with radiant brooders that don’t have to be lit all the time. Much of the heating, cooling and ventilation of the houses is automated with the help of a computer. Technology has simplified their business, according to the Goostrees. And, it’s helped them become more efficient growers. The old broiler houses were made using steel trusses, while those built today are constructed using solid walls, which help improve efficiency, Dan says, noting that the newer houses are equipped with dropped ceilings and are about onethird more efficient than the older counterparts. Arriving at the Goostree farm the same day they are hatched, 8
HEARTBEAT | WINTER 2013
each broiler spends about 32-33 days there before being shipped out weighing 3.80 pounds. Sarah notes 17 years ago, a 42-day-old bird had a target weight of 4.00 pounds. Down time between flocks runs between 18 and 23 days and there’s plenty to do during that
give and take While the gently rolling hills of southwest Missouri aren’t exactly a haven for growing row crops, Dan has found the venture to not only help diversify the operation but also to add profit to their bottom line. As grain prices rose in recent years, Dan saw opportunity and began converting pasture to row crops. “I got started about six years ago,” Dan explains. As the cost of propane went through the roof, he purchased some pellet stoves and decided to grow his own corn to fuel them. The venture developed into further crop establishment. The row crop trade was one Dan learned as a youngster watching his dad raise soybeans.
Dan and Sarah Goostree work closely with FCS Financial’s Beth Luebbering out of the Joplin office. Luebbering says the Goostrees are a testament to how profitable the poultry industry can be.
“Plant it, God will take care of it. And, it will grow,” he reasons. Planted strictly by no-till, Dan grows corn and soybeans on both owned and share-cropped acres. And, he’s primarily a one-man show taking on planting, spraying and harvesting duties himself. “I don’t have the fanciest equipment, but I don’t have 10,000 acres either,” Dan says. This crop year was rewarding, too, as Dan says he put the best soybeans he has ever raised in the bin. His corn also performed well. Marketing isn’t a problem for the Goostrees as nearby George’s Poultry at Butterfield and Cargill in Purdy are often buyers of locallygrown corn. “That’s where everyone is going with their crops,” Dan says. “The poultry processors pay a premium in this area over other grain markets.” Soybeans are sold at Port 33 in Tulsa. Dan says he hauled litter for 10 years and saw how willing people were to purchase it for fertilizer. “I got to thinking if the litter was worth that much to them, it must be good. Chicken litter will grow corn and soybeans.” Once harvest is complete, Dan sows cover crops like wheat, triticale or tuber radishes to help penetrate the soil and assist with fertility. The ground is leased out during the winter to graze cattle or harvest silage hay. The Goostrees appreciate the diversity that row crops bring to their operation. It helps them spread their risk. “If the crops do good one year, the propane may be high and it will
help offset that cost,” Dan explains. “There’s giving and taking.”
a flexible partner “One of my favorite tools that FCS offers is flexibility,” Dan states. With operating, real estate and equipment loans through the agricultural lender, Dan says he likes to work with one entity for all of his needs. “They know what we have and what we’re worth,” Sarah chimes in. “FCS is good to know what we need.” While the Goostrees had worked with FCS Financial through its Neosho office in the past, the facility most recently was consolidated with the opening of the new FCS Financial office in Joplin. FCS Financial’s Beth Luebbering says the cooperative’s overall goal was to create a hub where a team of employees are available to help each customer since individual needs are different. Additionally, FCS Financial maintains its excellent customer service through on-farm visits and online account access. Sarah says they hope to use more of FCS Financial’s online business in the future. They already interact with Luebbering via text messaging and email. According to Luebbering, customers like the Goostrees are a testament to how profitable the poultry industry can be. “You can get started in this industry and flourish if you manage your daily activities from business expenses to your personal life.” She adds, “Sarah and Dan are very analytical from the birds to the equipment it takes to maintain them.”
all over again What might seem like a big leap into farming, Sarah Goostree says is one she would do all over again. “I am blessed to be able to go to school and help and be a part of my kid’s lives and to be a part of our church,” she reasons. “We’re tied down, but it’s still a relaxed environment. There’s not someone constantly looking over me.” The family is fortunate to enjoy a vacation every year. And, this past summer Dan and his daughters also took part in a mission trip to Wyoming. As Dan sums up, “It’s all about family.” Dan Goostree raises corn and soybeans on about 300 acres of gently rolling hills near Rocky Comfort. Row crops help diversify his poultry operation by spreading out risk. Cover crops like wheat, triticale and turnips aid in soil fertility. Poultry litter serves as a fertilizer for the crop ground.
HEARTBEAT | WINTER 2013 9
LIFE IS SIMPLE
We are pleased to offer Jerry Crownover’s “Life is Simple” column. Jerry is a graduate of the University of Missouri. He and his wife, Judy, own and operate a ranch west of Springfield and are FCS Financial members. We hope you enjoy Jerry’s Ozark humor and wisdom. “Life is Simple” Copyright 2013, Jerry Crownover
“It’s a muley!”
afternoon in that very hotel. Heck,
naturally polled, almost all of the
I hadn’t attended a dairy auction in
calves that were born from that
twenty years, so I decided to go.
mating would result in ‘muleys.’
The auction was not your
Of course we still had lots of calves
stereotypical cattle auction with
that had to be dehorned because we
the animals paraded in front of the
would raise several Holstein-cross
prospective bidders, splashing mud
calves on the bottle every winter,
and manure about the front row,
that we would purchase as babies
but more of a virtual sale that found
from local sale barns and dairies—
people in a fancy banquet hall,
and they all were horned.
staring at a wall-sized computer
Today, almost all of the beef
screen that detailed the specifics
breeds are either completely polled
of both embryos and semen that
or have a significant segment of the
were stored in liquid nitrogen all
breed that is polled, resulting in a
over the Midwestern United States.
very small percentage of calves that
I don’t have any idea what dairy
require the dehorning procedure.
embryos are worth, but it seemed
The dairy industry, however, is a
to me that the sale was going well.
completely different story. Or, at
Then, they started auctioning
least I thought so until last week.
flushes, embryos, and semen from
a few lines of polled Holsteins and
The good people of the Illinois
Holstein Association invited me
the prices went up impressively.
up to entertain the crowd at their
proclamation from my dad every
annual
week.
next to me and asked, “Do you
time a hornless calf was captured
Because a major winter storm was
mean to tell me that Holsteins have
in the head chute when we were
forecast for the same time, I decided
a line of polled genetics now?”
working calves during my youth.
to try to beat the storm by going
Where I was raised, people didn’t
up a day early. As it turned out, I
you?” He asked, as he stared at my
refer to the calves as polled, or even
made the right decision, because
cowboy hat.
hornless. They were ‘muleys’ and
the entire area was socked in with
“No,” I admitted, “I’m just
it was a welcome announcement
freezing rain and a significant
amazed that I lived long enough to
because it meant that we didn’t
snowfall shortly after I arrived,
see a ‘muley’ Holstein.”
have to perform the messy, invasive,
but I was denned up safely in the
and time-consuming operation of
hotel. By noon the next day, I had
either, are you?”
dehorning.
watched as many sports highlights
In retrospect, I’m convinced
and old reruns as I could stand
that that was the main reason Dad
and decided to check out some of
always chose to use Angus bulls
the convention activities. As luck
on his cow herd back then. Since
would have it, the association
Angus was the only major beef
was sponsoring an auction that
That
10
breed during that era that was
was
HEARTBEAT | WINTER 2013
a
welcome
convention
last
I leaned over to the guy sitting
“You’re not a dairyman, are
“You’re not from around here,
YOUTH IN AG
paving the road
By Joann Pipkin
to their future Approaching its 10th anniversary, FCS Financial’s scholarship program* has already awarded $324,000 to 324 recipients.
Developed in 2003, the FCS Financial board of directors implemented the
program to encourage and support higher education for children or grandchildren of FCS Financial customers. The program distributed funds beginning in 2004; up to 35 scholarships of $1,000 each are offered every year.
FCS Financial is committed to supporting the ag youth of
Missouri. As a cooperative, this scholarship is one of the ways FCS Financial gives back to its members and supports communities.
2013 marks the ninth year for the FCS
Financial scholarship program. Travel with us as we take an inside look at what some of the recipients from five years ago are doing now and where the road they chose is leading.
Lauren Smithey Brenton Originally from Lebanon, Lauren attended the University of Missouri-Columbia and graduated summa cum laude with a B.S. in elementary education and an M.S. in learning, teaching and curriculum. She currently teaches fifth grade in the Wichita, Kan., school district and is married to Blake Brenton, who works as an aeronautical engineer for Cessna Engineering. Alex Callow He calls it a “once in a lifetime opportunity.” Alex Callow’s study abroad experience in Orvieto, Italy broadened his knowledge of not only architecture, but also city patterns, human history, foreign language, art and cuisine. During the four-month journey in Spring 2012, Alex says he learned how different, and yet how similar, the world is. Different, yet also similar. That’s what Alex Callow says he “I experienced and envied a depth of learned during his 2012 four-month study abroad experience to preserved history that is unavailable to Ovieto, Italy. Here, Alex stands on the Tufa Cliff. us in the United States,” Alex explains. For example, the Duomo, or cathedral of Orvieto, took 300 years to complete, he says noting that is longer than the existence of the United States. Conversely, when talking with some Italians, Alex says they felt frozen in time, aspiring to achieve the popularity of Western culture. During his stay in Italy, Alex traveled to most of the countries major cities and visited historical sites of the Roman Empire and Renaissance. “Learning the schedule of an international region, especially that of a historic Italian hill town, was a once-in-a-lifetime opportunity,” he mentions. An architecture major at Kansas State University, Alex is currently a graduate architect at Finkle|Williams in Overland Park, Kan. He was active in a number of organizations including the American Institute of Architecture Students and U.S. Green Builders Council Student Group as well as a student representative for the Architecture Professional Advisory Board during his time at K-State. The AIA honored Alex's graduate studio with the 2013 Design Excellence Award and the Central States Commercial Architecture Merit Award. He was also the AIA Kansas 2012 Student Design Award recipient and was a member of Phi Kappa Phi honor society. Alex completed internships at Anderson Construction, Graham, Mo., in Summer 2010 and at WNB Architects in Kansas City in Summer 2012. A native of Graham, ultimately, Alex hopes to move closer to northwest Missouri to start his own business. Adam Casner Adam is a May 2011 University of Central Missouri graduate with a degree in agricultural
mechanization. He currently farms full-time with his family near Carrollton, as well as on his own, raising corn and soybeans. He is a recipient of the Jason A. Scales Outstanding Service Award through the UCM agriculture department and also graduated magna cum laude. Adam and wife Rachel were married in August 2012. They reside in Norborne. Kate Crabill Having received her B.S. in nursing in May 2012 from Southeast Missouri State University, Kate currently lives in Cape Girardeau and works on the orthopedic floor at St. Francis Medical Center. A magna cum laude graduate, Kate was active in Phi Eta Sigma, Phi Kappa Phi and Sigma Theta Tau honor societies while at SEMO. The Philadelphia, Mo., native may return to school in the future to further her nursing education. Aaron Early With his undergraduate degree from the University of Missouri-Columbia, Aaron is enrolled in graduate school at the University of Denver, and expects to complete his Master of Social Work degree in June 2014. While at MU, Aaron was active in Council of Student Social Workers and Phi Alpha Honor Society. He also completed an internship at the Missouri State House of Representatives’ Communications Office and completed his practicum at the Rainbow House in Columbia. During the summer of 2012, Aaron participated in a five-week study abroad course in Cape Coast, Ghana, focusing on community organizing and nonprofit management. There, Aaron worked for a nongovernmental organization (NGO) called HOOPS Care International. “We taught English and math in primary schools,” he explains, “and I participated in an ‘education through In South Africa as part of a course for his master’s in social sports’ program where we required students to bring work, Aaron Early takes a break with a young man who just finished his month-long “initiation,” which is a right of passage homework to basketball practice in the evenings.” tradition in the country. According to Aaron the man has to sit Aaron says the experience promoted positive character on the mat for one week while covered in the traditional paint. development and a safe place for get-togethers after Once he’s finished he will be a man and the township will hold school to play basketball. a huge celebration. The community organizing aspect of his journey came through the development of the first annual Cape Coast AIDS Race. “It was a 6K run to promote HIV/AIDS awareness that also provided free testing to people in the community,” he notes. Aaron adds that participants were recruited and the events were promoted throughout Cape Coast. Currently, Aaron is working as an intern at YouthRoots, a leadership development program for high school students in Denver. The year-long program provides a curriculum of philanthropy, leadership, governance, strengths, and passions, as well as other similar lessons. “We match the courses with an experiential learning process through HEARTBEAT | WINTER 2013 13
a youth-lead foundation,” Aaron says. “The students do a community profile, raise funds, and donate the money to local non-profits.” He works in both administrative and programmatic roles, assisting with grant writing, lesson planning and teaching. As part of a course for his MSW, Aaron recently traveled to Cape Town, South Africa. In partnership with EducoAfrica, Aaron and other Denver students were matched with a group of Cape Town South Africans for a backpacking trip in the mountains. “It was a leadership development program where we traded experiences and knowledge around social work while building relationships with our soon to be co-workers,” he explains. Following the five-day hike, the group worked for the South African Social Worker’s NGO’s around Cape Town. Aaron was placed at Afrika Tikkun, an umbrella agency providing in-home health care, family support, and an after school youth development team. “(I was) able to go on home visits with social workers as well as participate in youth programs such as soccer, music and others,” he says. The last two days of his placement, Aaron was in a home-stay environment with a family in Langa, Cape Town—a local township. In the future, Aaron hopes to work in non-profit management for social policy advocacy in the Denver area. Brett Fitchpatrick While his career and college degree don’t exactly correspond, Brett Fitchpatrick is more than happy with his current role as a broiler technical advisor for Tyson Foods. Based in Union, Tenn., Brett serves as a liaison between broiler growers and Tyson. Birds raised in the Union complex are on contract specifically with McDonalds. Originally from Pierce City, Brett first learned the ins and outs of the poultry industry on his family’s broiler farm. After high school, he spent four years on the football team at Central Methodist University in Fayette and earned a degree in history education in May 2013. He also served as a student assistant on the coaching staff in Fall 2012. While at CMU, Brett traveled to Mexico City, Mexico where the football team conducted community service projects in addition to game competition. Back home, the team also assisted with Special Olympics in Columbia. In the future, Brett anticipates furthering his career through Tyson and hopes to eventually move closer to home. Jamie Fitzgerald A May 2012 graduate of Missouri University of Science and Technology in Rolla, Jamie received her B.S. in metallurgical engineering, the study of the manufacturing, properties and uses of metals. The Salisbury native says she became interested in metallurgical engineering when she was growing up on the farm and began to wonder how various pieces of equipment failed in service differently. Jamie Fitzgerald is currently in a two-year rotational training program at The Timken Company in Canton, Ohio in the steel industry. She hopes to obtain a master’s of engineering degree in the future.
At Missouri S&T, Jamie was active in Newman Center, Materials Advantage, Alpha Sigma Mu and American Foundry Society. Internships with ArcelorMittal took her in the summer of 2010 to Coatesville, Penn., and the summer of 2011 to Burns Harbor, Ind. The first ArcelorMittal internship found Jamie monitoring inspection standards. She also authored a welding procedure. “I performed basic investigations to determine where a defect was made in the plant,” Jamie explains. “I learned a lot about the industry standards and how to find different industry information.” Her stint at ArcelorMittal in Indiana placed more responsibilities in Jamie’s hands. She helped with weekly audits to guarantee quality and assisted in developing an airport security-friendly model that could be used to explain the hot rolling process to customers. “This model used play dough and a soda can,” Jamie notes. “I was fortunate to get the opportunity to visit a customer who makes wheel rims during this internship, so I was able to learn what the steel that I saw as coil in the plant is used to make.” Additionally, Jamie was able to grasp about every different function area of a steel mill including the machine shop. “This internship helped prepare me for my career because I got to learn more about the steelmaking process, producer/customer relationships and basic data analysis,” she says. Jamie’s senior design group received a grant from the Association of Iron and Steel Technology (AIST) to fund their senior project; she also is a recipient of the American FFA degree. Currently in a two-year rotational training program in the steel industry at The Timken Company in Canton, Ohio, Jamie will complete the program in June at which time she receives her permanent assignment. She hopes to obtain her masters in engineering while working full-time. The degree combines classes in both business and technical engineering. Her ultimate career goal is to become a plant manager of a steel company. Brett Jones A Mount Vernon native, Brett is currently pursuing a PhD in plant sciences at the University of Missouri-Columbia. Brett’s research is focused on tall fescue toxicosis in beef cattle. He also attended MU for his undergraduate studies, majoring in plant sciences with an emphasis in crop management; he has minors in agriculture economics and animal sciences. While at MU, Brett has been active in Alpha Gamma Sigma fraternity, Alpha Zeta professional agriculture fraternity, Agronomy Club, and College of Agriculture Food and Natural Resources (CAFNR) Student Council. He was a Maize Product Development intern with Pioneer Hi-Bred in the summer of 2011 at the research center in Miami, Mo. Brett has received a number of honors while at MU, as well, including nomination for Outstanding CAFNR Freshman. He is a member of the National Society of Collegiate Scholars, Phi Kappa Phi Honor Fraternity and Golden Key. With a May 2017 anticipated graduation date, Brett sees teaching at the collegiate level and a career in research in his future. Andrew Kimbrough After a two-year stint at the University of Missouri-Columbia, Andrew attended the Conservatory of Recording Arts and Sciences in Tempe, Ariz. At MU, his major was travel and tourism, while he studied audio recording to become a studio engineer at the Conservatory. HEARTBEAT | WINTER 2013 15
Andrew is a paintball competitor and played tournament paintball while at MU, competing nationally. Following graduation from the Conservatory, Andrew took an internship at Sony Studios on Music Row in Nashville, Tenn., working one-on-one with top recording artists. Andrew is certified in Pro-Tools, the leading digital workspace in the audio industry as well as WAVES, design software plug-ins that emulate world renowned audio equipment and in Rational Acoustics’ SMAART software, enabling the operator to optimize the sound quality in any room. Currently living back home in West Plains, Andrew is a sales representative for a local company and continues to work on small-scale audio projects to keep his skills sharpened. He would eventually like to move back to Arizona. Laura Mooney Laura Mooney knew from day one she wanted a career that would keep her involved in agriculture, help educate the public and youth about the industry and keep her involved in the community where she could make an impact. That in mind, Laura is well on her way to achieving her goals. Currently working on her master’s in agriculture education at the University of Missouri-Columbia, she will complete student teaching in Spring 2014 at Chillicothe. A Fredericktown native, Laura received her B.S. in animal science from MU in May 2012. During her time at MU, Laura has worked in the Animal Science Department on a variety of research trials and participated in numerous internships. During Summer 2010, Laura assisted Dr. Michael Burdett at Larned Veterinary Clinic in Larned, Kan., where she worked at Ward’s Feed Yard. Through Select Sires and MU, Laura was also able to complete the F.B. Miller Reproductive Management Internship in Summer 2012 where she spent time in both South Dakota and Missouri getting practical training in the development and execution of estrous synchronization and artificial insemination programs. Laura participated in the program’s hands-on learning opportunities in reproductive management procedures on farms and ranches. Through MU’s animal science department Laura conducted research in environmental physiology and nutritional immunology. Additionally, she was a teacher’s assistant under Dr. Michael Smith for reproductive management and reproductive physiology. She completed a reproductive research trial last winter through MU and Genex Cooperative at Ratcliff Ranches in Oklahoma. “It is through the instruction of my professors and guidance of my parents that I know I will have solid education base and a network of individuals willing to serve as resources in the future,” Laura explains. “My time spent as a student worker has greatly impacted my educational growth while at the university. Working in the environmental physiology, nutritional immunology, meat science and reproductive physiology and management laboratories has given me the opportunity to have a variety of hands-on experiences that I can apply to a future career,” she concludes. Kyra McNeal Kyra is a graduate of Northwest Missouri State University in Maryville with a degree in English education and a minor in coaching. She is currently an English teacher at Truman Middle School and the assistant girl’s basketball coach in St. Joseph. A native of Pleasant Hill, Kyra plans to obtain her master’s degree in the future and teach at the college level. 16
HEARTBEAT | WINTER 2013
Ashton Starbuck From Queen City, Ashton attended Linn State Technical School’s Jefferson City campus where she became a physical therapy assistant having graduated in August 2010. “I like the rewarding aspect of helping someone get back on (his or her) feet and back home,” Ashton says. In her PTA position at Milan Healthcare Facility in Milan, Ashton works mostly with geriatric patients. She currently resides in Lancaster and is engaged to marry Roy Clark in Spring 2014. Cayanne Schlueter Storm Having earned a B.S. degree in agriculture education with a minor in plant science, Cayanne will graduate from the University of Missouri-Columbia in May 2014 with her master’s degree in agriculture education. While at MU, Cayanne participated in Agriculture Education Society, Mizzou Collegiate Cattlewomen and Alpha Zeta Honors. She also completed a crop science/agronomy internship with AgriServices of Brunswick, LLC and traveled to England with MU Study Abroad in 2010. Currently, Cayanne is in her third year as the agriculture education instructor and FFA advisor at Northwestern R-I School in Mendon. She also assists her husband and family in their row crop and beef cattle operation. Rikki Thompson Rikki Thompson teaches kindergarten at Warsaw Elementary and knows firsthand how time can make a positive impact in the life of a child. She holds a master’s degree in learning, teaching and curriculum from the University of Missouri.
You really can make a difference in someone else’s life. That’s what Rikki Thompson says she learned through work and volunteerism experiences she has had during college. A graduate of the University of Missouri-Columbia, Rikki holds a B.S. degree in elementary education and a M.S. in learning, teaching and curriculum. While at MU she was a Pi Lambda Theta Academic Scholarship recipient and worked as the site facilitator at Adventure Club, serving kindergarten through fifth grade students who were of low socio-economic status. Adventure Club is a before-and-after school enrichment program for students at Blue Ridge Elementary in Columbia. In addition, Rikki volunteered at the tutoring program Moving Ahead through the Columbia Public Housing Authority. “I learned (through these experiences) that you can make the smallest difference (in a child) just by giving a little bit of your time to those less fortunate,” Rikki explained. She says both academics and behavior of the student’s improved just by her being a role model and showing the children that someone cared about them. All the student’s needed was someone’s time, she noted. While at MU, Rikki competed on the Mizzou Ballroom Dance Team, placing in the top 6 for advanced tango in competition at the University of Illinois. During her masters program, she won a fellowship teaching kindergarten full-time and completed classroom research at Centralia, Mo. Her research focused on reading comprehension and small group intervention. A Clinton native, Rikki currently teaches kindergarten at Warsaw R-9 Schools and is the district’s middle school cheerleading coach. HEARTBEAT | WINTER 2013 17
Megan Westerhold Armed with effective communication, improved reasoning and decision-making skills, Megan Westerhold’s college experience has her primed for today’s agriculture job market. From Rich Hill, Megan completed in December 2013 her M.S. degree in animal science with focus on ruminant nutrition and meat science from the University of Missouri-Columbia. In May 2011, she earned a B.S. in animal science, minor in food science. Yet during her time at MU, it was Megan’s participation on the university’s intercollegiate Meats Evaluation and Livestock Evaluation teams that she says helped make her better prepared for life after college. “Through judging, I improved my reasoning and decision-making skils and learned to communicate more effectively both verbally and non-verbally,” Megan explains. “I enhanced my public speaking skills and made valuable connections throughout the agriculture industry.” While completing her undergraduate degree, Megan interned with the National Cattlemen’s Beef Association and Select Sires. At NCBA, Megan worked during the annual Cattle Industry Convention and Trade Show in Denver, Colo. “While there, I helped prepare for meetings, presentations and socials, assisted with other behind-the-scenes Farm tours were included in Megan Westerhold’s study abroad experience to China. Here, a small farmer with about 30 sows in a tasks and helped cattlemen from all segments of the small rural community outside Beijing drives down a narrow road industry,” she says. to collect cornstalks. He works to move live electric wires so the truck Megan also says the internship helped her will be able to pass. learn what goes on in the planning of a meeting of that magnitude and made valuable contacts with cattlemen from all over the country. During her stint with Select Sires, Megan found herself training in various artificial insemination skills and technologies all made possible through the F.B. Miller Endowment. Through the internship, she worked on farms all over the country, but spent extensive time in both Indiana and South Dakota. She also became a certified AI technician while working with herds ranging in size from 30 head to 600. Across the seas, Megan enjoyed a study abroad experience to Beijing, China during her stay at Mizzou. “Our trip was agriculture based,” she says noting stops ranged from feed mills, to swine, dairy and duck farms, to a local wet market. “It was very interesting to see that although (the Chinese) are behind us in technology, they are learning from others and rapidly catching up,” she notes. As a senior Megan received an award for being one of the Top 10 Animal Science Seniors in the department and went on to tie for the Outstanding Senior Award from the Animal Science Department. She was also nominated for the CAFNR Outstanding Senior Award and is a past Missouri Beef Queen. Having finished her master’s thesis and defense in November, Megan has been able to enjoy some time back home on the family farm while job searching. “I’d like to work directly with producers and help them improve 18
HEARTBEAT | WINTER 2013
their production and practices,” Megan explains adding, “and maybe eventually end up back in production agriculture by joining my family farming operation, raising row crops and beef cattle.” Dana White A student at the University of Missouri Columbia, Dana is scheduled to earn her Doctorate in Veterinary Medicine in May 2015 and enter a veterinary internship program with an emphasis in small animal surgery. She is currently completing clinical rotations as a third year veterinary student. While in vet school, Dana earned an Anatomy Award and the Veterinary Medicine Memorial Scholarship given to the top-ranking student in first year veterinary classes. During her second year, she was also honored with the Phi Zeta Award as the top-ranking second-year veterinary student. Dana journeyed, along with 11 other MU CAFNR students, to Ireland on a four-week study abroad. The group began their trip in Dublin and traveled clockwise throughout the country visiting Kilkenny, Cork, the Blarney Castle, the Ring of Kerry, Killarney, the Cliffs of Moher and Galway. Following a stay in Northern Ireland with stops at Giant’s Causeway, Carraick-a-Rede Rope Bridge and Derry, Dana traveled to Edinburgh, Scotland, touring the city and the Scottish Highlands. Dana says that in addition to learning the history and culture of the countries, they met with grain and livestock producers. “We visited their farms, looked at various pieces of equipment and discussed their methods of farming,” she explains. They also learned about European policies and regulations that are enforced on producers. “What I found to be the most interesting aspect of meeting with these producers were the discussions we would have about their agriculture practices and how they compared and contrasted to our own,” Dana notes. Raised on a cow-calf and row crop farm at Hardin, Dana says she always thought she had been exposed to a variety of agricultural aspects. “However, the trip provided me with an amazing opportunity to see agriculture in a whole new perspective,” she realizes. “From my experience abroad, I’ve learned to look at how we produce agricultural products and search for ways in which we might improve on our standard of production.” *Detailed information, including qualifications and application, on the FCS Financial Scholarship Program is available on the web at www. myfcsfinancial.com. The deadline for 2014 scholarship applicants is March 1, 2014.
A travel abroad experience through the University of Missouri-Columbia took Dana White to Ireland. She hopes to graduate with a Doctorate in Veterinary Medicine in May 2015.
DOLLARS & CENTS
The State of the Economy
Dr. David Kohl energizes agricultural lenders,
producers
and
business
persons with his keen insight into the agricultural industry through extensive
travel,
research,
exposure during his career.
and He is
Professor Emeritus of Agricultural Finance
and
Small
Business
Management and Entrepreneurship at Virginia Tech, Blacksburg, VA. Dr. Kohl has traveled over 8 million miles in his professional career and conducted over 6,000 workshops and seminars for a variety of agricultural audiences.
Dr.
Kohl’s
personal
involvement with agriculture and interaction with key industry players provide a unique perspective into the future trends of the agricultural industry and economy.
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This year is certainly slipping by as the holidays and beginning of the New Year rapidly approach. Many are into yearend buying and investment decisions for tax management purposes and to position their businesses for 2014 and beyond. The state of the economy is top of mind as businesses are in the planning mode. What is in store for 2014 and beyond? The emerging nations’ economies i.e. the BRICS and KIMT nations of Brazil, Russia, India, China, and South Africa, along with South Korea, Indonesia, Mexico, and Turkey, have been the fuel motoring the agriculture industry and rural economies. Since 1998, GDP growth in these emerging nations has averaged 9.8 percent, elevating the standard of living in many of those regions. In turn, their demand for agricultural exports such as food, fiber, and fuel has been strong. There now appears to be an economic moderation of these emerging nations with GDP growth rates between 4 percent and 5 percent. Biofuels, particularly ethanol, have been a game changer on the agriculture and rural landscape consuming a large share of the domestic corn crop. Some draw comparisons of ethanol to the Russian wheat deal that propelled American agriculture in the 1970s. The winds of change appear to be accelerating with government agencies concerning this key variable in the economic health of agriculture and the rural landscape. Biofuels and increasing use of other sources of energy may be a variable that moderates prosperity in agriculture, particularly for grain producers. The dysfunctional federal government has been a geopolitical risk that has stymied growth in the U.S. and globally. Estimates find that indecision in Washington, D.C. along with added regulation and issues relating to health care have taken 1 percent off the fourth quarter GDP in the U.S. The Federal Reserve and global central banks have come to the rescue with a variety of economic inducements. Historically low interest rates and easy money have created the wealth effect in equity markets as well as farmland and other real estate. More specifically, the wealth effect finds for every dollar increase in stock values, consumers spend four cents more. The wealth effect is more prominent in real estate with a nine cent increase in consumer spending for every dollar increase in real estate value. The Federal Reserve has created approximately $1 trillion worth of paper wealth on agriculture and rural balance sheets. The stimulus has been a driver of the emerging nations’ economies, which import a considerable amount of agriculture and natural resource output from rural America. It appears that Dr. Janet Yellen will be confirmed as the new Federal Reserve chair. Historically, she has been in favor of very accommodative action to stimulate the economy. Expect interest rates to remain low in 2014 with additional stimulus. While one cannot predict when rates will ascend, watch three variables as cues for action. First, unemployment rates moving down towards 7.0 percent and 6.5 percent will be an indicator. Second,
watch core inflation (not including food and energy) and headline inflation, which includes the volatile components of food and energy. Inflation of above 2 percent or a sharp rise will be signals to the central bankers to increase rates. Finally, GDP growth above 2.0 percent to 2.5 percent would be indicative of a growing economy. With these variables in mind, general observations find that the economic prosperity of the grain sector most likely is in the eighth inning stage. Recent farm income databases find 50 percent of producers with a cost of production for corn above $5.00 per bushel. If soft commodity prices play out, negative margins could be the mode of operation for those with high cash rents and low efficiency. On the other hand, the livestock industry is observing an economic renaissance, possibly being in the third or fourth inning of the economic cycle. This being said, farmland values that have appreciated by 30 percent to 50 percent over the past two years in many regions of the country are probably due to soften. It would most likely take multiple years of profit compression or negative margins for rent and land values to correct. Buying pattern shifts with more equity used as down payments and outside investors would suggest that change is in the wind in the red-hot land market. What are strategies for success given the outlook? • First, make sure you know your cost of production and breakeven levels by enterprise so you can allocate resources to earn the greatest returns. Conduct scenario analysis with different price and cost scenarios to provide an objective schematic for decision-making. • Next, risk management will not be an option but be a requirement for 2014. Crop insurance along with marketing and risk management programs will be essential for profitable outcomes. • Third, soon after the first of the year, update your financial statements using accrual adjusted figures and several projected cost scenarios. Schedule an appointment with your lender to go over key ratios and benchmarks. It is good to have another set of eyes on your financials to conduct “but what if ” analysis and reinforce positive outcomes that you can build upon. Yes, the tide of economics is turning; however, those with good proactive planning and solid execution and follow through will be destined for favorable economic outcomes. THis chart illustrates that 30-day Farm Credit issues continue to stay at historically low levels through November 2013; however, the gap between long-term and short-term rates increases. Ask your FCS Financial expert about conversion options and the advantages of locking in low, fixed rates on real estate loan or other term loans. 30-Day vs 15-Year Farm Credit Bond 8.00
15-Year Farm Credit
30-Day Farm Credit
Fed Funds Target
7.00
6.00
All-in cost
5.00
4.00
3.00
2.00
1.00
0.00
Date
HEARTBEAT | WINTER 2013 21
RISK MANAGEMENT
DATES TO REMEMBER March 15 Last day to sign up for MPCI crop insurance coverage on 2014 Spring crops March 15 Last day to make any changes to an existing MPCI policy for your 2014 Spring crop policy. March 15 All written agreements on crops need to be completed prior to this date for submission to RMA. April 29 Last date to turn in production reports for 2013 Spring crops July 1 Premiums/fees due for fall planted crops July 15 Acreage reports due for all spring planted crops Reports must be completed, signed and received by your agent by this date.
August 15 Premiums on spring crops will be billed.
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HEARTBEAT | WINTER 2013
IT’S NOT ABOUT THE POLICY; IT’S ABOUT THE PEOPLE At FCS Financial we know that all MPCI policies are the same no matter which agency you choose. And, while we do write for five different insurance companies including some that have new private insurance products this year that can be used to enhance your MPCI policy and your total risk management plan, the real advanatage to using FCS Financial crop specialists is the service we provide. When you work with an FCS Financial crop insurance specialist you receive: • Personalized service to accomodate your schedule • Regional or local meetings to outline yearly changes • A team of full-time crop experts who understands Missouri agriculture and crop insurance • Attention to detail and the ability to evaluate options for coverage based on your operation • Notificiation of upcoming program changes and deadline dates If you want a crop agent who puts service first, visit myfcsfinancial.com to locate the FCS Financial insurance specialist nearest you.
REVIEW AND PLAN NOW FOR 2014 Guarantees for spring crops appear to be heading lower based on current prices and projections. Unless some unlikely world events occur, the 2014 projected price for corn and milo will be substantially lower than 2013 reducing 2014 crop insurance guarantee levels as we approach the March 15, 2014, MPCI sales closing date. The verdict is still out on what soybean prices will do but they also are currently projected at lower prices reducing guarantees. An option you may want to choose to offset part of this guarantee decline is to buy up coverage. With higher crop input cost and cash rents, now is the time to closely review your risk management plan. Sometimes insurers just think about reducing coverage and cost per acre but in most cases this isn’t a good plan. Based on the past several years, Mother Nature would tell us we need to cover as much risk in our operation as possible. Take the time now to consider if you will you need higher coverage levels in 2014 for your operation.
BE AN EARLY BIRD Whether you’re thinking about changing crop agents or insurance companies, wanting to review your policy for possible changes, turning in crop production early for the most accurate quotes, adding ground, breaking new ground, needing a written agreement processed or setting up a new legal entity, start the process early. Call us today; our agents are available to help with your policy.
FCS FINANCIAL IS NOW OFFERING GRAINBRIDGE AT NO COST TO OUR CUSTOMERS. To take advantage of this special offer, contact your local office. You will also want to plan on attending one of our free ag seminars in February where a GrainBridge representative will demo the software. Find dates and locations for the ag seminars on page 24.
HEARTBEAT | WINTER 2013 23
NEWS BRIEFS
IMPORTANT NOTICE TO SHAREHOLDERS In accordance with Farm Credit Administration regulations, FCS Financial will publish a copy of its 2013 Annual Report on our website (myfcsfinancial.com) by March 15, 2014. In addition, by March 31, 2014, FCS Financial will mail a copy of the 2013 Annual Report to all shareholders of record as of December 31, 2013.
Free ag seminars to kick-start 2014 Make plans now to attend one of these free seminars featuring Jim Wiesemeyer and sponsored by FCS Financial. James “Jim” R. Wiesemeyer, Senior Vice President, Farm and Trade Policy at Informa Economics, will present “The Business of Agriculture: A 2014 Farm Outlook.” In the afternoon, Pat Kroese, Vice President of GrainBridge, will demo GrainBridge, a new online management tool provided by FCS Financial to our customers. FCS Financial crop insurance specialists will also provide brief updates on the 2014 spring crop insurance provisions. Each seminar is from 10 a.m. to 2 p.m. with registration beginning at 9:30 a.m. Lunch will be provided. Space is limited and advance reservations are required by February 7. Reserve your spot at myfcsfinancial.com or call your FCS Financial office at 1-800-444-3276.
24
city
date
Columbia
February 24
St. Joseph
February 25
Marshall
February 26
Hannibal
February 27
HEARTBEAT | WINTER 2013
venue Stoney Creek Inn 2601 South Providence Road Stoney Creek Inn 1201 North Woodbine Road Martin Community Center 1985 South Odell Quality Inn & Suites 120 Lindsey Drive, Highway 36
Don’t miss out!
Apply for an FCS Financial scholarship or grant today. scholarship Each year, FCS Financial honors the dedicated young men and women continuing their studies. We award up to thirty-five $1,000 scholarships to Missouri high school seniors whose parents or grandparents are current FCS Financial customers. Over the past nine years, nearly $325,000 has been provided to help our next generation with their education. The 2014 application is due March 1, 2014.*
grant The Shaping Rural Missouri grant program offered by FCS Financial provides local 4-H and FFA organizations $500 grants to implement projects that will benefit their rural communities. Funds are awarded to assist club or chapter members in bringing positive change by establishing projects that make their local communities better places to live. Applications are due April 15, 2014.**
learn more Visit myfcsfinancial.com to learn more and apply for a 2014 FCS Financial Scholarship or Shaping Rural Missouri Grant.
*Scholarship applicants must meet all qualifications in application to be eligible **Grant applicants must be a 4-H club or FFA chapter located in one of the 102 Missouri counties served by FCS Financial.
March 25 for Customer Appreciation Day Join us
Each FCS Financial office will host a Customer Appreciation Day from 10 a.m. to 6 p.m. on March 25 in conjunction with National Ag Day. Stop by for refreshments and to visit with your FCS Financial team members.
JAMES MOLL DOCUMENTARY FARMLAND SCHEDULED FOR RELEASE IN SPRING 2014 Film to Feature Six Farmers and Ranchers from Across the U.S. Now in post-production, Allentown Productions’ feature-length documentary Farmland from Oscar®-winning filmmaker James Moll follows the next generation of American farmers and ranchers, all in their 20s, in various regions across the US. “With every new documentary, it’s always a thrill to explore topics and meet people that I might not otherwise cross paths with,” said Moll. “While making Farmland, I found myself immersed in a community of some of the most hardworking, passionate people I’ve ever met. This film isn’t just about what it’s like to be a farmer, it’s about a way of life. It’s also about a subject that affects our lives daily.” Moll spent five months meeting farmers and ranchers before he settled on the six who are featured in Farmland. In order to authentically tell the story through the eyes of this next generation, Moll extensively researched the subject and looked for individuals to profile, specifically choosing from different farming and ranching production methods, various types of crops and livestock and geographic diversity. The farmers and ranchers featured in Farmland, include: • Brad Bellah, a sixth generation cattle rancher, runs beef cattle operations in Texas and Colorado, including a natural beef herd. • Leighton Cooley, a fourth generation poultry farmer, operates four farms in Georgia with his father. • David Loberg, a fifth generation corn and soybean farmer in Nebraska, runs the family farm with his mother. • Sutton Morgan, a fourth generation farmer from California, grows, packs and sells onions and potatoes, and also grows melons, carrots, broccoli, cauliflower, lettuces, chard, kale and alfalfa. • Margaret Schlass, a CSA (community supported agriculture) vegetable farmer based in Pennsylvania, farms on 18 acres. • Ryan Veldhuizen, a fourth generation farmer, is taking over the operation of his family’s hog farm in Minnesota with his brother and sister. The film, made with generous support from the U.S. Farmers & Ranchers Alliance® (USFRA®), gives viewers a firsthand glimpse into the lives of these young farmers and ranchers, their high-risk/high-reward jobs and their passion for a way of life that, more often than not, is passed down from generation to generation. The advance trailer and information about the film and documentary subjects is available at www.farmlandfilm. com, on Facebook at www.facebook.com/farmlandfilm and on Twitter @FarmlandFilm. Farmland will premiere nationwide in spring 2014.
Greetings from the Board Room: The year might not be over and in the books but it would appear to be quite the year for your association. New CEO, two new board members, new offices, three billion in loans, and almost 15,000 members.
It might not have been audible, but I’m certain that there was a sigh
of relief within the association when Dave Janish stepped into the CEO’s office. We owe a heartfelt thank you to the FCS Financial staff. The results of this year can attest to their diligence and dedication. Dave has assumed his position with all the ability and more than the board had expected.
The election this past spring returned four board members with a wealth
of experience and initiative. Charles Steck, Jefferson City, was elected as a new member. Bombarded with numbers, graphs, and new acronyms, he is taking it in stride and not hesitant about participation.
James Nivens, Chairman of the Board
The board has also appointed Troy Norton to serve as an outside director. Troy is with Williams-Keepers LLC
accounting firm in Jefferson City / Columbia. Not only have we found an outside director to fill the role of the financial expert but one with knowledge of agriculture and experience with co-ops. In a few short months, he has become a very solid board member.
New offices in Springfield and Joplin, similar in design to Macon and Columbia. New location and more spacious
facilities in Lebanon and a new contact point in Monett. Change does not come with only positive consequences. Some members have lost a local office but the same familiar faces of their FCS Financial staff can be found in new surroundings. These new structures are designed for great access, to make more efficient use of staff, and to serve our needs well into the future.
Association loan volume of slightly more than three billion dollars is something of a milestone but there is almost
as much satisfaction in the growth of member numbers. With the growth, the loan portfolio is of excellent quality and spread across a diversity that would be hard to match in the Farm Credit system.
Like I said, the year is not quite over but we can see the end. This may not be the biggest year in association
history but it will certainly be one of the better years. We have one more board meeting yet as this is being written. This month will include the usual reports but we also take another look at the business plan, as it is finalized for 2014. As many of you are making plans for next year’s farming operation, the association is making similar plans. We aren’t looking at seed trials or EPD’s but projections and trends. Starting from where we are and making plans for FCS Financial to be a continuing part of a vital and sustainable Missouri agriculture. One of our other December duties will concern patronage. The meeting agenda includes consideration of patronage resolutions. It will determine the amount of patronage for 2013 and lay the ground work for 2014. The meeting is yet to happen but I feel confident that again this year the membership will receive a dividend.
Thank you for your business, support, and faith in FCS Financial.
HEARTBEAT | WINTER 2013 27
PRESORT STANDARD U.S. POSTAGE PAID JEFFERSON CITY, MO Permit No. 210
We put the right tools at your fingertips. Real Estate Loans
Operating Loans
Term Loans
Find an FCS Financial office near you:
1.800.444.3276
www.myfcsfinancial.com WWW.MYFCSFINANCIAL.COM
Crop Insurance We know it takes the right tools to run a successful farm. Most of us grew up on farms or in rural communities, and many of us still live there today. These experiences give us a real understanding of agriculture and what it takes to build a farm. Our passion for rural Missouri drives us but our experience and knowledge sets us apart from other lenders.
aCompetitive rates with longer terms a Flexible payment schedules to match your cash flow a Experienced staff to make your financing process simple a Finance options to meet your specific needs Growing Relationships. Creating Opportunities. is a trademark of FCS Financial, ACA. FCS Financial is an Equal Opportunity Provider.