December 2016 by South Dakota Farmers Union

South Dakota HURON, SD

DECEMBER 2016

UNION FARMER A PUBLICATION OF SOUTH DAKOTA FARMERS UNION

David Kruse Keynote For SDFU State Convention

2016 Jr REAL

Get to Know Farmers Union Insurance Agents

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S.D. Farmers Union Members Make A South Dakota Farmers Union Wish Come True for Lower Brule Boy Celebrates the Rocking Z Acres

outh Dakota Farmers Union members donated $5,000 to Make-A-Wish South Dakota and helped make Toby’s wish to go to Walt Disney World come true. Toby (pictured at left) is 11 and lives with his family in Lower Brule. Toby faces dilated cardiomyopathy, a life-threatening medical condition. He is among 53 other South Dakota youth who had their wishes granted in 2016 thanks to the generosity of South Dakotans, explains Paul Krueger, President and CEO of Make-A-Wish South Dakota.

Farm Family

Make A Wish Continued on Page 4

DELEGATE CARD NOTICE Per the 2016 Credentials Committee, delegate cards must be in the State Office no later than Dec. 3, 2016 to be able to be certified.

Please contact Karla Hofhenke, SDFU Executive Director at 605-352-6761, ext. 114, if you have any questions.

South Dakota Farmers Union has served South Dakota farm and ranch families for more than a century. Throughout the year, we share their stories in order to highlight the families who make up our state’s number one industry and help feed the world. This month, we’re highlighting Rocking Z Acres farm family, made up of BJ McNeil and his aunt, Jonnie Zvonek. The business partners raise corn, soybeans, winter wheat and yellow field peas near Wessington.

he phrase, “That will never work,” doesn’t slow BJ McNeil down. Not when he converted 4,000 acres of his grandpa’s conventionally tilled land to no-till. Not when he was among the first Wessington farmers to plant Roundup Ready soybeans. Not when he decided to plant cover crops. If anything, hearing the expression has only motivated the fourth generation farmer.

Zvonek Family Continued on Page 2

UNION FARMER Zvonek Family Continued from Page 1 “I am confident in my own decisions and what I want to accomplish – it’s just my nature,” BJ, 46, explains. His aunt and business partner, Jonnie Zvonek, says it’s in his genes. “You have your grandpa’s attitude. You just don’t quit.” BJ’s grandpa, John Wilmer Zvonek, is the reason both Jonnie and BJ farm today. When Jonnie was born, she was the third of four daughters and his namesake. “I was always with dad – I was basically his ‘son’ John,” Jonnie recalls. After high school Jonnie tried working off the farm. She moved to Sioux Falls and worked for the Argus Leader as a typesetter for nine months. “I felt claustrophobic,” she explains. “I always loved getting my hands in the dirt and watching things grow-- so, I asked dad if I could come home and farm full-time.” Working side-by-side with her dad, Jonnie was involved in every aspect of the farm: planting, harvesting and bookwork. “My farming philosophy is also about building a business that is sustainable not only for our family today, but for the future," says BJ McNeil, pictured here with his wife, Erica, and their three children. Left to right: Caden, Caitlyn and Colton.

Colton Olivier, pictured here with his dog, Hoyt, is among a team of six full-time and two seasonal employees who help BJ McNeil and his aunt, Jonnie Zvonek, on their Wessington farm.

In the summer, her sister Sheryl’s son, BJ, would spend much of his time on the farm. BJ says although he didn’t know it at the time, it was those summer vacations spent on the farm that instilled in him a passion for working the land. This passion eventually led him to pursue a degree in Agriculture Engineering from Texas A&M. “I first tried aerodynamics because I wanted to be a Navy pilot. Then I transferred

DECEMBER 2016

to business. I had no passion for any of the classes. So, I asked myself, ‘What do I love?’ The answer was, ‘I loved farming,’” BJ explains. Shortly after BJ graduated from college, Wilmer passed away. BJ asked Jonnie if he could come back and farm with her. She said yes. At the time, Jonnie was 43. BJ was 26. Even though there’s nearly a 20-year age gap, the two work as equal partners. They compare their business and family relationship to that of brother and sister more than aunt and nephew. In the beginning, finances were tight. They didn’t have many farmable acres because Wilmer and his wife, Phyllis, had enrolled most of their farmland in Conservation Reserve Program (CRP). To make things work, BJ took a job with the Natural Resources Conservation Service (NRCS). He also started a seed company, Diversified Seed Genetics. “We were in survival mode,” BJ explains. As acres came out of CRP, BJ made the first of many innovative decisions Grandpa Wilmer would not have approved of. Rather than till the acres, he bought two pieces of new equipment and began no-till planting. “My secret to success in farming has been the fact that what I know about farming I’ve

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learned from reading, taking classes or the internet,” BJ explains. “I didn’t go into this with preconceived notions about what wouldn’t work and I didn’t have Grandpa or Dad in my head saying, ‘That will never work.’” BJ had read about no-till and attended seminars by Dwayne Beck, manager of Dakota Lakes Research Farm. Although she was nervous, Jonnie reluctantly trusted BJ because she knew he’d done his homework – and eventually BJ took ownership of the farming decisions. No-till was more than a soil health decision. BJ was in expansion mode. He was working to increase the farm’s

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UNION FARMER profits in order to provide a stable income for Jonnie and his grandma, as well as his young family. By no-tilling acres, he and Jonnie were able to handle the work themselves. “I was able to do 90 percent of the work with two pieces of equipment,” BJ says. Considering the local climate, the concept also made sense. “The fear around here has always been not enough rain. Then I asked myself, ‘Why are we drilling and giving up this moisture with every tillage pass?’” BJ explains. “No-till has definitely improved the fertility of the soil as well.” Neighbors were watching and some were impressed by what they saw. Those looking to retire began giving BJ a call asking if he and Jonnie would like to lease their land. Their farm acres increased. In 2000, BJ was able to leave his job with NRCS to farm full-time. Focused on maximizing production on every acre, BJ and Jonnie began implementing precision farming technology and practices. “We have been very diligent and precise on the fertility we put into the soil; we don't want to waste money,” BJ explains. “All our acres are zoned. We know exactly what to put out where,” Jonnie added. Today, their farm has grown by 400 percent. BJ and Jonnie rely on technology and a team of six full-time and two seasonal employees to keep things going. “My mindset has always been "grow." Grandpa was a large farmer for his time. I never thought about being a small farmer,” BJ explains. “My farming philosophy is also about building a business that is sustainable not only for our family today, but for the future.”

Employees on Rocking Z Acres take a lunch break during harvest. “When we hire, we tell our new hires that they are more than employees – they are family," says Jonnie Zvonek who provides at least one homecooked meal to employees each day.

As the farm increased in size and their employee pool grew, Jonnie’s role evolved. Today she keeps all the books and provides home-cooked meals each day for their employees. “It was easier when Mom was still here, helping with the meals. Some days I drive about 100 miles delivering meals,” she shares. “When we hire, we tell our new hires that they are more than employees – they are family.” With technology advancements, the farm’s data management has improved. All employees have smart phones and iPads. Everything from fertility prescriptions, input applications, yields and maps, tractor data to hours worked, inventory and product management are shared and managed via The Cloud.

“It keeps us all informed on what is going on – I can check in on what is happening on every acre from my iPad or desktop. It also prevents mistakes,” BJ explains. “In the past, you assumed what the guys wrote down was correct. Now, I can verify it. It makes everyone do a better job of record keeping.” When it comes to budgeting, BJ says that it allows him to figure out which acres are making money. “I know what I spent on each field. I am not guessing or approximating.” “With commodity prices where they are, two years ago my mindset changed a bit,” BJ says. He explained that his field management went from doing what was necessary to maximize production to managing input costs

Zvonek Family Continued on Page 14

“I always loved getting my hands in the dirt and watching things grow-- so, I asked dad if I could come home and farm full-time.” – Jonnie Zvonek

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DECEMBER 2016

UNION FARMER Make A Wish Continued from Page 1

Farmers Union members helped raise $5,000 to send Toby, 11, to Walt Disney World. “We really believe that wishes are essential for kids with life-threatening medical conditions. Wishes give hope, strength and joy to those children and their families,” Paul Krueger, President and CEO of Make-A-Wish South Dakota.

“We really believe that wishes are essential for kids with life-threatening medical conditions. Wishes give hope, strength and joy to those children and their families,” Krueger explains. S.D. Farmers Union raised the $5,000 through donations given during the Farmers Share Luncheon held during the 2016 South Dakota State Fair, as well as additional donations from members. Like Farmers Union, Make-A-Wish is a grassroots organization which relies heavily upon a volunteer network of nearly 200 and donations from individuals and organizations to keep granting wishes. A wish close to home Since it began in South Dakota in 1984, Make-A-Wish has granted more than 1,225 wishes to children with life-threatening medical conditions across the state. Twentyone years ago one of those wishes went to Tanya Hofhenke, our Executive Director’s daughter. “I credit Make-A-Wish for saving her,” says Karla Hofhenke.

DECEMBER 2016

At the time Tanya was only 14 and had been diagnosed with acute lymphatic leukemia. “She was out of town attending an FBLA Convention when I got a call from one of the chaperones asking permission to take Tanya to the emergency room because she was having trouble breathing,” recalls Karla of how the scary journey began. It was about four months later while Tanya was undergoing treatments when someone referred her to Make-A-Wish. “She had a great attitude, but the prognosis was not looking good. Her wish gave her something to look forward to,” Hofhenke says. Although the doctor wanted her to go on her Make-A-Wish trip to Hawaii within the month, Tanya said she didn’t want to go until her treatments were over. “The wish helped her get through treatments,” Hofhenke says. Tanya got through cancer; she has been diagnosed as cured, is cancer free and today, at 37, she works as an accountant in Kimball.

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More about Make-A-Wish To have a wish granted, children can be referred by any medical professional, a parent or guardian, or can refer themselves to MakeA-Wish. Once they are referred, Make-A-Wish confirms with their doctor that their condition is life-threatening and meets their criteria. Once this is confirmed they work with the child to discover what their wish is and then grant it. Wishes can be anything from travel and meeting a celebrity to receiving a specific item – like a Rainbow Play Station - or being a Popstar for a day. “You name it – the kids will think of it,” Krueger explains. Making magic happen for children isn’t cheap. On average a wish costs nearly $7,000. Make-A-Wish ensures that when it’s applicable, the child, his or her parents and immediate siblings living at home are part of the wish. To learn more about Make-A-Wish, visit http://southdakota.wish.org.

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UNION FARMER Cooperative Highlight: Midstate Communications Cooperative

t doesn’t matter if you live in Gann Valley or Chamberlain, by the end of 2017, if you’re one of the nearly 5,000 Midstate Communications Cooperative members, you’ll be connected to 1 GB of broadband data. “We work to be ahead of the curve so that as our members’ needs grow and change, our products are ready to meet those needs,” explained Marketing Manager, Chad Mutziger, of Midstate Communications’ commitment to serve their members. Laying more than 2,841 miles of fiber optics is no small task. The large undertaking has been a focus of Midstate Communications’ the last eight years. “We’ve been proactive in our technology and this has future-proofed our plant.” Meeting their members’ needs since 1952, Midstate Communications Cooperative, like all telecommunications co-ops in South Dakota, was founded by rural residents to bring telephone service to communities deemed too small for

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private companies to serve. Today, the full service communications cooperative provides much more than telephone service. Midstate Communications’ members can also subscribe to broadband service, cable TV, managed IT services and SmartFarm. Midstate Communications’ commitment has not gone unnoticed. “We are proud of the fact that our members remain loyal – and even though the population of rural South Dakota has shrunk, our membership numbers have remained stable,” Mutziger said. “I credit our employee team and board of directors for their vision and commitment to service.” To learn more about Midstate Communications Cooperative, visit www.midstatesd.net. By the end of 2017, all of the nearly 5,000 Midstate Communications Cooperative members will be connected to 1 GB of broadband data.

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DECEMBER 2016

UNION FARMER Unfair Foreign Labor Standards Are Another Reason to Question TPP, NFU Says

s the clock is ticking for Congress to take up the Trans-Pacific Partnership (TPP), National Farmers Union (NFU) is urging lawmakers to oppose a lame duck vote on the multinational trade agreement. The farm organization, representing nearly 200,000 family farmers and ranchers, cited a recent report by the U.S. Department of Labor (DOL) http://nfu.org/wp-content/uploads/ 2016/11/TVPRA_Report2016.pdf as further evidence of the trade agreement’s inability to reign in unfair foreign practices that place American producers at a competitive disadvantage. “Promoting trade for American agricultural products should not come at the expense of our farmers, ranchers and workers. We need to rethink a trade deal that does not appropriately address unfair and unnerving

DECEMBER 2016

practices, like child or forced labor, that ultimately impede U.S. producers’ ability to compete at home and abroad,” said NFU President Roger Johnson. According to the DOL’s List of Goods Produced by Child Labor or Forced Labor, 27 new line items have been added to the list for a global total of 379 line items. The report defines a line item as a unique combination of a country and a good. For example, Vietnamese-grown sugarcane, which was a new addition to the list, for use of child labor. “Child laborers and victims of forced labor typically work in conditions that fall outside the internationally-recognized ‘acceptable conditions of work’ to produce goods for foreign export and domestic markets. These exploited laborers work in extremely hazardous working conditions, and many are

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not appropriately compensated for work during regular hours and overtime. For example, farmers in Uzbekistan rarely receive full payment for harvesting silk cocoons,” the report states. Nearly half of the 139 total goods produced by the 75 countries on the list were agricultural products, the largest production sector for child or forced labor. “The U.S. has free trade agreements with 10 of the 75 countries on the child and forced labor list, and all of these agreements have failed to address harmful labor issues that create an inequitable market for our producers. I urge Congress to stop this 20-year cycle of failed trade agreements and oppose the TPP as it’s written. This trade deal is not the right deal for America’s farm and ranch families,” Johnson concluded.

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UNION FARMER Marketing Guru, David Kruse, Discusses the Current Markets During 2016 S.D. Farmers Union State Convention

avid Kruse recently asked a crowd of farmers how many of them fueled up with ethanol. “Over half the crowd only used E-10 ethanol instead of E-15, E-30 or E-85. I told them that they represented the blend wall. It’s like a rancher who is a vegetarian. It just doesn’t make sense,” explained the President of CommStock Investments, a Northwest Iowa agricultural risk management company. “Farmers need to lead the way and be an example with ethanol consumption.” Fueling his own vehicles with E-30, Kruse said that if e t h a n o l consumption increased by 1 percent of total fuel use, it would increase demand for corn by 500 million bushels. David Kruse “This is something we as agriculture producers can do,” Kruse said. A 2016 State Convention Keynote, Kruse will discuss ethanol’s role in a farmer’s marketing plan, as well as provide insights into the current marketing situation. The 2016 Convention will be held in Pierre Dec. 8-9, 2016. In light of the current commodity markets, Kruse said thanks to ethanol, prices for corn are better than they would be without it. “Our ethanol industry is doing excellent. It’s turning $3 corn into $4 corn.” He added that the resulting dividend checks don’t hurt. “We advocated for farmers to invest in ethanol plants – calling it ‘the

ethanol put option,’" Kruse said. “When corn is above ethanol plant breakevens, then plants don’t make money, but farmers are profiting from high corn prices. When corn drops below the cost of production, then the ethanol plants are making profits and sending out dividend checks.” Ethanol is one of the opportunities today’s farmers have that was not available to farmers during the farm crisis of the 1980s. When comparing the two, although Kruse sees some similarities, he said there are significant differences which leads him to speculate that the current crisis won’t be as devastating.

“Farmers need to lead the way and be an example with ethanol consumption.” – David Kruse, President of CommStock Investments

“I think this one can be managed. What we are dealing with today is more of a normal business cycle.” He explained that when corn prices went to $7, farmers responded by adding acres and developing ways to be more productive – which created a surplus. “It’s a matter of getting through this period. We have to let the low prices cure low prices,” Kruse said. Grassroots Policy Along with Kruse, the State Convention speaker lineup includes: Mike Jaspers, S.D. Sec. of Agriculture; Shantel Krebs, S.D. Secretary of State; Roger Johnson, NFU President and Joy Smolnisky, Executive

Director of the S.D. Budget & Policy Institute. State Convention is where members have an opportunity to let their voice be heard during policy discussions, which result in voting on the 2016 policy. Delegates will be selected to represent South Dakota at the Farmers Union National Convention to be held Mike Jaspers March 3-8, 2017, in San Diego. State board of director elections will also be held for Districts 1, 3, 5 and 7. “Convention provides members from across the state a platform to discuss issues and vote on policy which our organization will take to the Legislative Session in Pierre and the National Farmers Union Convention,” explains Doug Sombke, SDFU President. “All members have a voice and a vote.” For some lighthearted fun, comedian and Ohio cattle farmer, Drew Hastings, is booked as Thursday evening’s Shantel Krebs entertainment. To book a hotel room, call (605) 224-6877. We have a rate of $93.99 plus tax/night. For more convention details, visit www.sdfu.org or call Karla Hofhenke at 605-352-6761, ext. 114.

Silent Auction Items Needed for 2016 Nights on the Prairie Event. All proceeds raised during the event held during Convention on the evening of Dec. 8 will go to SDFU Youth Programming. WWW.SDFU.ORG

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Please join us for the eleventh annual

A Night on the Prairie An Education Foundation Fundraising Extravaganza

Learn more at WWW.SDFUFOUNDATION.ORG

Thursday, December 8, 2016 Ramkota Hotel and Convention Center Pierre, South Dakota 6:30 PM

• Comedian Drew Hastings • Dinner • Silent Auctions

DREW HASTINGS

NFU Defends Family Farmers Against Proposed Rule Change to Estate Tax

ational Farmers Union (NFU) submitted comments to the Internal Revenue Service (IRS) urging that a proposed rule change for the taxable value of assets be amended to consider family farmers and ranchers. The law currently provides meaningful relief for family farmers to transfer their farm operations to the next generation through provisions that account for several variations in asset valuation. However, the U.S. Department of Treasury announced in August a regulatory proposal that would remove this provision for all taxpayers without consideration for the unique challenges that farm families face. “As most businessmen and women consider retirement, farm operators 65 and older make up the fastest growing segment of the farming population. Succession planning is an important aspect of any farm

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business. It’s essential that our tax laws provide the necessary provisions to ensure farm families can pass on their operations to the next generation without being forced to sell valuable farm land,” said NFU President Roger Johnson. NFU has long advocated for an effective estate tax with reasonable limitations, Johnson explained. The concern is that “the new proposed regulation will go as far as to deny family farmers essential discounts currently afforded through lawful provisions in the tax code.” “A majority of a farm’s value comes from real estate, which for farmers is not viewed as a saleable asset. We are concerned that the changes within the proposed regulation would deny essential discounts to family farms and significantly increase taxes on the transfer of family farms, threatening the ability to keep the operation intact,” he

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added. According to the Department of Treasury, the regulations will not take effect until public comments are carefully considered and then 30 days after the regulations are finalized. NFU is requesting the final regulations differentiate family farmers and ranchers from other economic categories considered under this rule. “Treating family farmers, looking to responsibly transfer their operations, as wealthy individuals using aggressive tax strategies to artificially lower their asset value to avoid paying higher taxes is an unfair representation of family agriculture. I hope the Department of Treasury will take responsible action and consider family farmers and ranchers in their final rule,” Johnson concluded. Audio files for Roger Johnson’s quotes are available at nfu.org/audio.

DECEMBER 2016

UNION FARMER Around the State With Farmers Union Read on to learn how South Dakota Farmers Union members and staff are making a difference in rural communities across South Dakota.

2016 Jr. REAL Reaches Nearly 1,000 South Dakota Youth Keynote speake r member, Holly H and former Survivor cast offman, shares her story with Volga youth du ring Jr. REAL.

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During the 2016-2017 school year, Jr. REAL will present to nearly 1,000 South Dakota youth at more than 10 rural schools. Speakers include: Toby Kane, speaking on Service to Community; Malcom Chapman, speaking on Leadership; Joy Smolnisky, speaking on Fiscal Responsibility. Key Note speakers are Holly Hoffman and Cory Geffre.

DECEMBER 2016

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UNION FARMER Harvest Lunches

Bancroft

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This harvest season, S.D. Farmers Union delivered more than 800 Harvest Lunches to farmers and truck drivers across South Dakota.

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DECEMBER 2016

UNION FARMER NFU Beginning Farmers Travel to California

FU’s Beginning Farmer Institute (BFI) reconvened in Salinas, California, in November, for the second of three annual programming sessions. Seventeen beginning farmers and ranchers from across the country attended the two-day, hands-on learning session hosted in partnership with the Agriculture and Land-Based Training Association (ALBA), the Farmer Veteran Coalition, and California FarmLink. Through BFI, beginning farmers and ranchers connect with a variety of experienced producers and industry experts, who share best practices for being successful in agriculture. NFU is proud to offer collaborative educational opportunities, like BFI, that help to empower the next generation of family

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During a recent NFU Beginning Farmer Institute, participants toured the Agriculture and Land-Based Training Association (ALBA) which is a place of learning and advancement for hardworking, low-income farm workers and aspiring farmers seeking a better life. If you’re interested in applying for the 2017 BFI class, contact Karla Hofhenke at Karla@SDFU.org.

farmers. The BFI programming offers hands-on technical training that emphasizes many of the challenges beginning farmers face in their careers, increasing their likelihood to be successful in their operations. The central California session featured presentations on land and capital access, grant writing, marketing, and best production practices from several local farmers and Michael O’Gorman, executive director of the Farmer Veteran Coalition. Participants also had the opportunity to tour ALBA, Hain Ranch Organics, Pinnacle Organics Ranch, Coke Farm and JSM Organics.

DECEMBER 2016

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920 W SIOUX AVE. • PIERRE, SD • PHONE: (605) 224-6877 Thursday Convention includes the SD Secretary of Agriculture, Hunter Roberts, NFU President Roger Johnson, and Joy Smolinsky. Luncheon includes the Torchbearer Ceremony and Convention Banquet. Join us for an evening of food, entertainment and foundation support at the 11th Annual Night on the Prairie Foundation Fundraiser on Thursday evening. Friday Convention includes the Farmers Union Industries Breakfast, David Kruse from CommStock Marketing, bylaws, address from SDFU President Doug Sombke, Shantel Krebs, Cheri Rath, Candidate addresses and Elections. Luncheon includes award presentations. Various packages are available for attending the Convention (Cost Per Person): Thursday only: Includes Luncheon and Convention Registration—$35 (After December 1, $50) Friday only: Includes Luncheon and Convention Registration—$35 (After December 1, $50) Convention Package: Includes both Luncheons & Convention Registration—$50 (After December 1, $60) Night on the Prairie Foundation Fundraiser—$50. NOTE: THE ABOVE COSTS DO NOT INCLUDE HOTEL. CALL RAMKOTA AT NUMBER ABOVE OR GO TO WWW.SDFU.ORG FOR LINK FOR ONLINE HOTEL BOOKING. Register using the form below or go online to www.sdfu.org (under “Membership”). Online registration opens Nov. 7, 2016. To receive early registration discount, payment must be post marked by December 1, 2016. First Name ___________________________ Delegate:Yes ___ No ___ Last Name ___________________________________________________ Spouse Name ________________________ Delegate:Yes ___ No ___ City ____________________________________________ County ______________________________ Phone ____________________________ Thursday Only Package—$35 PER PERSON ______

Friday Only Package—$35 PER PERSON _______

(After Dec. 1) —$50 PER PERSON ______

(After Dec. 1) —$50 PER PERSON _______

Convention Package—$50 PER PERSON ______

Night on the Prairie Foundation Fundraiser—$50 PER PERSON _______

(After Dec. 1) —$60 PER PERSON ______ TOTAL PAYMENT _____________________ Check Enclosed _____ Credit Card _____ Credit Card # __________________________________________________________________ Expiration __________________ CVV _________ Signature _______________________________________________________________________________________________________________ Return this form to: SDFU, PO Box 1388, Huron, SD 57350

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DECEMBER 2016

UNION FARMER Zvonek Family Continued from Page 3 based on production. “This is a new era,” BJ explains. To increase profits per bushel, BJ and Jonnie invested in larger trucks so they can haul grain to better markets. For example, last harvest they hauled yellow peas up to North Dakota because the market was $1.25 above the local price. They also make a habit of hauling corn to areas of South Dakota where ethanol processing increases the price per

“I have three passions in life – family, football and farming. In that order. I always tell my kids, ‘I don’t care what you do; if you have a passion for it, then do it!’” – BJ McNeil

bushel. “We’re not making a killing, but it’s worth the effort to make a little extra.” Although prices weren’t what they were five years ago, BJ reflects on his decision to follow his passion and knows he made the right choice. “I have three passions in life – family, football and farming. In that order. I always tell my kids, ‘I don’t care what you do; if you have a passion for it, then do it!’” explains BJ, who together with his wife, Erica, has three school-age children. Because Erica grew up a city kid, the family lives in Huron and BJ commutes 35 miles to work each day. Living in Huron also allows BJ to dedicate time to football. He currently serves as vice president of Huron Junior Athletics youth football. He also coaches. Looking to the future, BJ and Jonnie are not as focused on expansion these days, but on improving soil health and field

management in every way they can. “Every year we have several test plots running. Right now I’m working with an agronomist doing a study that looks at the impact calcium has on the soil,” BJ says. As for the farm’s legacy, BJ hopes one of his children will carry on his passion for farming. “Like most farmers, I want to build something that if my kids wanted to come back, they can – but only if they are passionate about it,” BJ says. by Lura Roti, for SDFU

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F e at u r e d S p e a k e r s

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JOHN BERANEK- Kitchen Table Wisdoms, learning to get along with the family in Family Farm Operations

DUWAYNE BOSSE- Bolt Marketing, navigating markets, and returning to the farm

DECEMBER 2016

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JASON SCHLEY- Ag-Vision labs, Agronomist, Soil Health

ROXANNE KNOCK- Dakotaland Feeds, Livestock Nutrition

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DR. DUSTIN OEDEKOVENState Vet, Animal Industry Board

LANCE LARSEN- South Dakota Wheat Growers, Precision Ag

CHERI RATH- SD Value Added Agriculture Development Center

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Get to Know ...

Farmers Union Insurance Agent Jim Erk

im Erk was in Sturgis when his cell rang. A friend from Bowman needed him to pick something up for him in Rapid City. The Farmers Union Insurance Agent put a few more miles on his Jim Erk pickup and brought the item back to his place for his friend to pick up. “This is what we do out here – we’re always helping each other out,” explains Jim, who ranches near Hoover and runs a Farmers Union Insurance Agency in Buffalo. Lending a hand is something that comes naturally to Jim – and one reason he enjoys his work as an insurance agent. “I got into this

Get to Know ...

– Jim Erk business because I knew I could help people with good products,” he says. “With Farmers Union we are not limited in the products we can provide to our customers. This enables us to make sure they are taken care of.” Prior to becoming a Farmers Union Insurance Agent, Jim’s off-ranch employment was with the Natural Resources Conservation Service. In 1999, a friend of his returned from the Farmers Union State Convention with the news that their local agent was retiring and

the state office was looking for someone to take over. Jim saw the role as an insurance agent working well with his other career as a rancher. “Because I’m a rancher, like many of my customers, I understand what products they need to protect their family and assets,” says Jim, who runs a summer herd. In addition to providing his customers with a complete line of protection products, Jim also carries two lines of feed supplements. “Some of my clients thought it would just be handy, since I’m stopping out to check in with them anyway, to have me deliver their dry mineral and feed supplements – they can also stop into the office as well,” he explains. Jim and his wife, Kerry, have four grown children and five grandchildren. To contact Jim, call 605-641-6856 or e-mail him at jmerk@sdplains.com.

Farmers Union Insurance Agent Erica Steiner

ccidents happen every day. When one happens in her community, Erica Steiner always hopes the victim(s) had the right coverage to take care of their family. As a Farmers Union Erica Steiner Insurance Agent, Erica spends a lot of time thinking about protecting family and assets. “Working in insurance opened my eyes to the important role insurance plays in taking care of your family. Today, when I talk to my friends and other young parents in the community, I ask them, ‘If you or your spouse were gone and their income was lost, would one parent be able to take care of your children? Or even pay for a funeral?’ In our small community when a tragedy happens, we all feel it. It is even more sad when the

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“Because I’m a rancher, like many of my customers, I understand what products they need to protect their family and assets.”

“Most people think that as an agent you just sell insurance. But, you actually become friends and get to know your clients like family.” – Erica Steiner family left behind does not have anything to help with the expenses.” Erica, was first introduced to the insurance industry in 2008. She had just moved to Sisseton with her husband, Brandon, and 1-year-old son, Blake. Brandon was in the Army and going to be deployed, so she needed a job that would give her the flexibility necessary to care for their son. She started as a secretary for a local insurance agent and over time became licensed. In 2012, she saw an opportunity to take the next step when she learned that Farmers Union Insurance Agent Marlin Jenner

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was looking to retire. Right away she was impressed by the product line-up. “I feel like insurance is a package deal. If you are going to have a relationship with someone, you should be able to offer them everything they need.” She also appreciated the ability to build relationships with Marlin’s customers. During the 12 months prior to his retirement, Marlin introduced Erica to his customers. “The best part of being an insurance agent is building relationships with my clients. Most people think that as an agent you just sell insurance. But, you actually become friends and get to know your clients like family,” she explains. Today, Brandon works for the local cooperative and the couple are kept busy outside of their careers raising their sons, Blake, 8, and Cooper, 4. To contact Erica Steiner, call 605-698-7316 or e-mail her at Erica_Steiner@hotmail.com.

DECEMBER 2016

UNION FARMER Roger Johnson

National Farmers Union President

he November presidential election brought about a change to executive leadership in Washington, D.C. NFU sent a letter to President-elect Trump, noting the many issue areas that the family farm organization was ready to work with the administration on. The election results also shed light on a growing frustration in rural America for both the establishment in Washington, D.C. and the numerous failed trade agreements that have grown the U.S. trade deficit to more than $500 billion per year, among other reasons. NFU continues the push against the Trans-Pacific Partnership, and will continue to do so until it is ultimately defeated. NFU is also standing up for family beef producers by criticizing meatpackers for driving down prices. NFU’s Beginning Farmer Institute met in Salinas, California, in November for the second of their three session programming. NFU Ready to Work with Trump Administration Donald J. Trump won the U.S. presidential election in November, ushering in a transition from the Obama Administration to a Trump Administration. The day after the election results came in, NFU extended a congratulatory letter to President-elect Trump, outlining opportunities to work together with the new administration on several common ground farm policy issues. Rejecting the Trans-Pacific Partnership, reducing the U.S. trade deficit, supporting the Renewable Fuel Standard, putting an end to relentless corporate mergers, and passing strong farm policies in the next Farm Bill were among the list – all issues that the Mr. Trump voiced support for during his campaign. The Farm Bill will be a major undertaking for the next administration and the new Congress, Johnson explained. Given the difficult farm economy, NFU hopes to work closely with the administration to quickly provide relief for struggling farmers and ranchers. Compromise, respect and open communication will be important when the diverse sectors of the agricultural industry

DECEMBER 2016

don’t agree. NFU believes that good opportunities in agriculture are the foundation of strong farm and ranch families, and strong farm and ranch families are the basis for thriving rural communities. We may not agree on every issue, but we can agree on the need for meaningful solutions for farm families and rural America. No Vote On TPP In Lame Duck Following the election of Donald Trump as U.S. president, the Obama Administration has ended it’s attempts to convince Congress to approve the Trans-Pacific Partnership (TPP). The election results shed light on a growing frustration in rural America for the establishment in Washington, D.C., and the numerous failed trade agreements that have led to lost jobs, lower wages, and have grown the U.S. trade deficit to more than $500 billion per year. A staunch opponent of the TPP, NFU commended Congress for agreeing to forgo a last minute vote and reexamine the deeply flawed trade agreement. “We’ve been hearing for months the discontent family farmers and ranchers and American workers have with TPP, and I’m pleased that their concerns have been heard,” said NFU President Roger Johnson. “Sending TPP back to the drawing board is recognition that past trade agreement frameworks are not working for our nation’s family farmers and ranchers, rural communities, and consumers.” The TPP would have done very little, if anything, to lessen the impact of the country’s vast trade deficit, provide actionable oversight of unfair market practices such as currency manipulation, or protect American jobs. Congress can now focus on ensuring U.S. trade negotiators promote fair and competitive trade deals that benefit U.S. family farmers and ranchers and manufacturers who rely on access to competitive markets around the world. NFU looks forward to working with the new administration and the next Congress to promote fair trade solutions that work for American agriculture and the U.S. economy.

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NFU Defends Family Beef Producers As the weakened farm economy continues to take a toll on family farmers and ranchers, NFU is criticizing meatpackers for driving down prices for independent beef producers. Data released in October showed that family cow-calf producers are losing nearly $300 per cow while the packers’ profit margins have increased by approximately $75 per cow, compared to a year ago. The country has seen a lot of family cattle operations go out of business in the last 30 years because the packers have an enormous amount of power and control over the beef market. Beef production is at an all-time low, but beef prices continue to decline faster than they have in history. Yet, the packers cash profit margins have been on the rise. The situation is incredibly unfair for family producers. Industry consolidation has left control over 85 percent of the beef market in the hands of four beef producers – Cargill, Tyson, JBS and National Beef Packing Co – and the lack of transparency and competition has created a volatile market for family farmers. Through their domineering market control, the meatpackers are increasingly dictating the terms of production, marketing, and pricing for cattle producers. In December 2015, Congress repealed the country-of-origin labeling (COOL) requirements for beef and pork, allowing meatpackers to import cheaper beef products and not have to identify where the animal came from on the package label. Unfortunately, U.S. federal policies favor the international meatpackers instead of the family cattle ranchers. Producers must be given the tools they need to compete, whether through correction of inadequate trade agreements, by reinstating COOL or amending mandatory price reporting laws. Congress needs to put the interests of America’s family farmers and ranchers before the interests of multinational corporations. Provided by NFU. Current as of Nov. 15, 2016.

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From the President....

Look to Our Faith to Move Beyond Election Stress

ooking forward, the 2016 election season will go down in my memory as what seems to be the longest Presidential election season yet. I know it’s one I will reflect upon many years to come. I am continually amazed by the way Americans behaved throughout. It amazes me, for a country which is home to a majority of folks who identify as Christians, how easily we were lured to believing the worst and trusting the least. No matter which candidate you supported, during this Presidential election you probably defended your position with negative comments about the other candidate before referencing the good your candidate stood for. All the while, our world outside of politics was still going with no concern for who would be the next President. So, why stress over who the next President might be? Well, it is important to be involved in democracy because it doesn’t work very well without citizen participation. That being said, getting back to identifying as Christians, shouldn’t we have less stress, not more? Psalm 94:18-19 says, “When I thought, my foot slips, Your steadfast love, O LORD, held me up. When the cares of my heart are many, Your consolations cheer my soul.” Yes! Trust, believe and know we are going to be taken care of. We were created to help each other, not destroy each other. I recently read a poll of our nation’s millennials (those born in the decades before the calendar rolled over to the year 2000) which found one in four young folks say the Earth being destroyed by a major meteor is better than having Hillary or Donald in the White House. Those same voters also said picking someone by random chance is better than having one of those two take over the Oval Office as President. A report by the American Psychological Association showed that more than half of U.S. adults say the election has been a large or significant source of stress for them.

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South Dakota

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A PUBLICATION OF SOUTH DAKOTA FARMERS UNION

Doug Sombke SDFU President

This stress is so common it has been given a name: “election stress disorder.” Now, the recent election cannot be blamed for all sources of stress: Nearly 75 percent of Americans can recall being stressed out by money or the lack of it. 80 percent of accidents at work and visits to the doctor are a result of stress. Stress, authorities say, is a foundation for headaches, heart conditions, depression, worry, asthma, arthritis and more than one type of cancer. Stress costs U.S. businesses more than $300 billion a year. Getting back to our faith. When writing this column I did a search of the many different translations of the Bible, and I couldn’t find the word stress. Does that mean it’s a figment of our imagination? I’m guessing, yes, in part. We do get worked up over things which have not, nor will ever occur. Still, stress is with us to stay because we have an incredibly limited view of the future and we find it easy to get stressed out about the unknown and things beyond our control. Although we may not know about unseen disasters of the future, as Christians, we should know our Lord does. America and its family farmers surely will see much tougher times. To see us through, we need to get our priorities straight. 1 Corinthians 13:13 says, “So now faith, hope and love abide, these three; but the greatest of these is love.” I believe the British Revolution band, the Beatles, said it best, “Love is all we need”! God Bless all you do!

South Dakota Union Farmer, ISSN 0745-8797, publishes ten times per calendar year, with issues printed in January, February, March, April, May/June, September, October, November and December. Periodical postage paid at Madison, S.D. POSTMASTER: Address changes to: SDFU, PO Box 1388, Huron, S.D. 57350-1388

Contact SDFU • 605.352.6761 1410 Dakota Avenue South, PO Box 1388, Huron, SD 57350 www.sdfu.org sdfu@sdfu.org

SDFU State Office Staff Karla Hofhenke.......ext. 114 Executive Director Huron Matt Sibley .............ext. 122 Legislative Specialist Huron

Luanne Thompson.......ext. 111 Administrative Assistant Virgil

Pam Evenson ..........ext. 116 Membership Specialist Doland

Rachel Haigh-Blume ....ext. 125 Education Director Tulare

Kecia Beranek.........ext. 113 Communications Specialist Miller

Kayla Foreman ............ext. 118 Controller Miller

SDFU Board of Directors Doug Sombke.........President Groton Wayne Soren..........Vice Pres. Lake Preston Terry Sestak..............District I Tabor Jim Wahle ................District II Salem Franklin Olson ........District III Pierpont

Contact NFU

Joel Keierleber .......District IV Colome Dallis Basel ..............District V Union Center Lynn Frey................District VI Lemmon Chad Johnson .......District VII Groton

National Farmers Union 20 F Street NW Suite 300 Washington, DC 20001

Roger Johnson, President ~ Donn Teske, Vice President Doug Peterson, Secretary ~ John Hansen, Treasurer 202.554.1600 www.nfu.org

The South Dakota Union Farmer is published 10 times per calendar year. Karla Hofhenke, Publisher Lura Roti, Editor ~ Jodie Fenske, Copy Editor Tri-State Graphics, Layout and Design

Doug Sombke SDFU President

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All information for publication must be submitted by the 15th of the month. You may submit items by mail to the State Office, P.O. Box 1388, Huron, SD 57350 or email items to: sdfu@sdfu.org

DECEMBER 2016

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Habitat Pays: Knowing Your Options Joint Column By: Secretary of Agriculture, Mike Jaspers, and Secretary of Game, Fish and Parks, Kelly Hepler

ur natural resources, the soil we grow our food in, the water we drink and the air we breathe are some of our most valuable resources. As South Dakota’s producers finish harvest and begin planning for next year, we encourage producers to consider the many conservation programs available to them that can increase soil health, protect water quality and provide habitat for wildlife, all while helping to improve their financial bottom line. Over the past few years, there’s been a steady decrease in the prices producers receive for the products they grow and raise. At the same time, there has been little to no decrease in the cost of production. To Kelly Hepler maintain a positive bottom line, it is important that South Dakota’s farmers and ranchers use every tool available to get the most value from their operations. In some cases, where landowners are spending more to farm certain acres than what they can earn from the crop, looking at

alternative uses for those acres may be the next step. Turning land into habitat can improve soil health and increase land values. Plus, a wide variety of financial incentives are available to landowners. The landscape across the state is as diverse as South Dakota’s farms and ranches. No one approach or program will fit every operation nor will it achieve all of an individual producer’s goals. Just like the landscape, diverse programs are available to producers from state and federal governments and private entities that can provide financial resources and technical assistance to implement conservation practices. Additionally, there are advisors across the state who work one-on-one with producers to connect them with programs that fit their operational goals. To make it easier to learn about which programs would work best for an operation, the South Dakota departments of Agriculture and Game, Fish and Parks have partnered over the past year to develop and maintain the Habitat Pays website at habitat.sd.gov. This website serves as a one-stop-shop for finding state, federal and non-governmental programs that provide cost-share or technical assistance to producers. The website includes contact information for a variety of habitat advisors who meet with landowners, learn

the goals they have for their operation and advise them about options available to meet those goals. It also features landowner video testimonials of how they are working in concert with their local advisor to enhance habitat on their property. We are proud to showcase a handful of these producers and the work they are doing. These farm and ranch families share their stories and offer insight into how these programs and advisors have been beneficial for their operations. We know that the new year is an important time for producers to make decisions about what their operation will look like for the next year. As you look ahead to 2017, we encourage you to utilize habitat.sd.gov and consider how the available programs may fit into your plan. South Dakota Department of Game, Fish and Parks Mission: The South Dakota Game, Fish and Parks provides sustainable outdoor recreational opportunities through responsible management of our state’s parks, fisheries and wildlife by fostering partnerships, cultivating stewardship and safely connecting people with the outdoors. South Dakota Department of Agriculture Mission: The South Dakota Department of Agriculture's mission is to promote, protect, preserve and improve South Dakota Agriculture for today and tomorrow.

Courtesy of South Dakota Game, Fish and Parks

Turning land into habitat can improve soil health and increase land values. Plus, a wide variety of financial incentives are available to landowners.

DECEMBER 2016

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UNION FARMER THANK YOU SOUTH DAKOTA FARMERS UNION SDFU, Thank you so much for the opportunity to participate in the Jr. REAL Program. The Senior Class experienced great speakers with wonderful messages. We appreciate your flexibility in moving the presentations to the Boys and Girls Club. Many thanks! Sioux Valley High ••• SDFU, Thank you for putting on the Farm & Ranch Safety Quiz Bowl. It is a great encouragement to keep up on the modern day safety methods and procedures. It is so awesome what you are doing with this program! I hope it continues for a very long time. Selby Belmore, Chris Hass, Evan Lopez & Titus Clark Sunshine Bible Academy FFA ••• We want to send a heartfelt thank you to South Dakota Farmers Union for the opportunity to participate in the Farmer Fly-In to Washington D.C. Fred especially wants to encourage others to participate if

you ever get the chance. What an educational experience! Farmers represent under 3% of America’s population, so we urgently need to educate the other 97% of Americans, and a good portion of the world who rely on us for their daily nutrition, on the viability of our industry. A good starting point is asking them, "What is the farmer's share in a 2# loaf of bread?" The answer is 9 cents! or "What percent of the Agriculture Budget goes to direct payment to farmers?" UNDER HALF OF ONE PERCENT! Thank you Farmers Union for making it possible to share this and much more with our elected officials! God Bless America! Fred and Cheryl Schaefers, Orient

Order Your Own Copy of the Farmers Union Centennial Cookbook

Meade County members, Paige and Brandon Komes, welcomed a new baby boy! Westin Timothy Komes was born on Oct. 20, 2016: 9 lbs, 4 ounces and 20 inches long.

Bailey’s Irish Cream Fudge

Carolyn Huber, Mitchell, SD, Lifetime Member

2 tsp. vanilla 2/3 c. Bailey’s Irish Cream 2 c. nuts, chopped (optional) ½ lb. butter 4 ½ c. sugar 1 (12 oz.) can evaporated milk

Combine chips, marshmallow cream, vanilla, Bailey’s and nuts in a very large bowl; set aside. Bring butter, sugar and milk to a boil, cook slowly for 11 minutes, stirring constantly. Pour hot mixture over the other ingredients and stir slowly to blend. DO NOT USE MIXER. Pour into a foil lined and buttered 10 x 15” pan and chill. Makes about 5 pounds. The alcohol makes it a soft-set fudge. It may be easier to cut out of the freezer. Lift it out of the pan with the foil, discard the foil and cut it on a cutting board using a cold chef’s knife. Note: I use 3 pkg. of semisweet chips instead of the milk chocolate. A plastic spatula may get the marshmallow cream out easier. This makes a big batch so you have plenty to share. Best of all: it keeps very well if wrapped in foil and plastic in the freezer.

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celebrating a life event or honoring the life of a Farmers Union member? We’d like to share the news. Please send photos and membership updates, anniversaries, awards, birthdays, birth announcements, obituaries and other updates to SDFU Executive Director, Karla Hofhenke, PO Box 1388, Huron, SD 57350 or karla@sdfu.org. The date we receive the information will determine in which Union Farmer the information will run.

WELCOME!

COOK’S CORNER

1 (12 oz.) pkg. semisweet chocolate chips 2 (12 oz.) pkg. milk chocolate chips 2 (7 oz.) jars Kraft marshmallow cream

MEMBERSHIP NEWS: Are you

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Cookbooks are $15 plus tax and shipping. Contact Pam Evenson, 605-352-6761, ext: 116, to place your order today!

SDFU CLIP AND SAVE CALENDAR DECEMBER 8-9 State Convention, Pierre 13 KELO AM Radio Show 23 State Office Closed 26 State Office Closed 30 State Office Closed 2017 JANUARY 9-10 REAL Session 1, Huron 20-21 Young Producers, Rapid City FEBRUARY 6 SDFU Legislative Day, Pierre 6-7 REAL Session 2, Pierre MARCH 3-8 National Convention, San Diego, CA 20-21 REAL Session 3, Sioux Falls

DECEMBER 2016

Aberdeen Aberdeen Bison Bison Britton Brookings Brookings Brookings Buffalo Clark Clark Doland Doland Faulkton Huron Irene Irene Kadoka Lemmon Lemmon

Darrel Kessler J.R. Johnson Alan Voller Karen Voller Tom Farber Larry Sutton Beth Reams Heidi Fields Jim Erk Lon Reidburn Raleigh Kettwig Bonnie Wagner Mark Rozell Jason Lee Blaine Anderson Brendon Hansen Brian Hansen Donna Enders Brad Derschan Carrie Derschan

229-3945 725-3003 244-7431 244-7431 448-5150 692-6735 690-3018 881-2830 375-3311 532-3299 532-3299 635-6511 635-6511 598-6570 352-2130 263-2121 263-3342 837-2144 374-3462 374-3462

Marion Menno Mitchell Mitchell Mitchell Mitchell Piedmont Pierre Rapid City Rapid City Rapid City Sioux Falls Sisseton Spearfish Sturgis Watertown Webster Webster Winner Yankton

Kevin Albrecht Brendon Hansen Richard Hofer Nathan Hofer Andrew Mefferd Jessica Mefferd Ce Faulkner Gary Ray Black Hills Agency Kasey Keller Lewis Agency Jeff Nord Erica Steiner Ryan Smith Scott Sabers Todd Nichols Debbie Baumgarn Larry Baumgarn Jeremy Clay James Murphy

941-0650 387-5555 996-9651 996-9651 222-7979 290-3852 737-0463 224-4123 342-5555 343-4213 342-3585 338-5302 698-7316 642-8870 347-4507 886-9683 345-2640 345-2640 842-1556 664-2121