South Dakota VOLUME CII, NO. 8
HURON, SD
OCTOBER 2017
UNION FARMER A PUBLICATION OF SOUTH DAKOTA FARMERS UNION
Future of Ethanol
Value of Cooperatives
Co-op Members Approve Unification
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S.D. Farmers Union Celebrates the Hanson Farm Family
More than 30 South Dakota family farmers and ranchers shared their story with congressional leadership and staffers during the 2017 National Farmers Union D.C. Fly-In Sept. 11-13. Topics focused on this year included: Access to Affordable, Quality Health Care (read article on page 6); A strong Farm Safety Net and E-30. Attendees include; Doug Sombke, SDFU President, Conde; Wayne Soren, Lake Preston, SDFU Vice President; Karla Hofhenke, SDFU Executive Director, Huron; Christina Dexter, SDFU Legislative Specialist, Huron; Kirk Schaunaman, Aberdeen; Hank Wonnenberg, Dallas; Melissa Wonnenberg, Dallas; Joe and Cynthia Painter, Buffalo; Jason and Corliss Lee, Cresbard; Jessica and Andrew Mefferd, Pierre; George, Michelle, Tyler, Nicholas and Brooklynn Kenzy, Gregory; Amber, Scott and Isaac Kolousek, Wessington Springs; Marissa Holinka, Watertown; Kayla Foreman, SDFU Controller, Miller; Kathy and Bill Chase, Wolsey; Craig Blindert, Salem; Jack Eble, Sioux Falls; and Adam Huntimer, Sioux Falls.
READ ALL ABOUT IT! Turn to page 4
Save the Date! S.D. Farmers Union 2017 State Convention Nov. 30 & Dec. 1 at the Crossroads Convention Center in Huron Details? Visit www.sdfu.org
Photo by Lura Roti
Boots on the Capitol Steps
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 No. 1 industry and help feed the world. This month we highlight the Hanson farm family, who raise crops and cattle near Sisseton within site of the Coteau Hills.
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hen it comes to his farm, it doesn’t take much to make Gary Hanson smile. “I just enjoy going out and putting in fence. The posts are straight, the wires are tight – it gives me joy,” explains the fourth-generation Sisseton farmer. “I tell people that when I was a college student, farming was my distraction. I loved it and knew that I could return to the farm, so that’s what I did.” At 67, Hanson’s passion for farming has not dwindled, but his focus has expanded beyond his crops and cattle. Today, his son, Cody, 42, is making most of the decisions Gary and his brother, Paul, used to make. “Like my dad, I liked tractors and cattle – I played farmer when I
Hanson Family Continued on Page 2
UNION FARMER Hanson Family Continued from Page 1
County Local Farmers Union, currently serves as a County Counselor (the committee who reviews policy and leads membership policy development discussion each year) and has attended several D.C. Fly-Ins. “I suggest that every farmer or rancher attend a Fly-In. They do more good than you think,” Gary says. “Right now we have an
“I JUST ENJOY GOING OUT AND PUTTING IN FENCE... IT GIVES ME JOY,” — Gary Hanson
Angie Hanson is a Master Gardener and enjoys spending time in her abundant farm garden with her grandkids.
was growing up – I enjoy what I do,” explains Cody, who lives on the farm, next door to his mom and dad, with his wife, Shawn, and their four school-age children, Reece, 16; Parker, 14; Kennedy, 10; and Scarlett, 6. Gary says handing over the reins to Cody has given him more time to enjoy farm tasks, time spent outdoors and allowed him to become more engaged in his other passion – serving South Dakota’s farmers and ranchers.
Over the last two decades, Gary has traded in some on-farm responsibilities for off-farm agriculture advocacy. He spent 12 years representing District 1 in the South Dakota Legislature, first in the House and then in the Senate (1999-2011). He served on the Brown/Day/Marshall County Rural Water Board, Crop Improvement Board and was on the board of the local cooperative for 16 years.
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“Once I got involved, I had this drive to do more,“ he explains. “It seems like some don’t get involved, so it was my time to help out and get things done. I wish everyone would put in a couple terms in the Legislature or serve on a committee. We all need to be aware of what is going on or things don’t get done right or watched. It’s good to be involved and see what is going on.” Gary credits Farmers Union with introducing him to grassroots politics and a desire to serve. He attended his first Farmers Union meeting in 1971, shortly after he and his high school sweetheart, Angie “Elton” married. At the time he didn’t know much about the organization, but attended the meeting anyway. “They asked us to bring a hotdish. Long and short of it is, by the end of the day I was elected to the board. I got involved to learn more about the organization and took my first bus trip to Pierre for a Legislative Day. That was my first introduction to the South Dakota Legislature. By the end of the day, I told myself, ‘I am going to do this someday.’” Once his interest for policy development was ignited, Gary became actively involved in Farmers Union on the local and state level. “I saw then, what I still see today, Farmers Union is the most active agriculture group fighting for our farmers and ranchers,” Gary says. He has served as President of Roberts
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exodus of organizations – young people don’t join clubs anymore. When people get mad about something, I tell them to go serve a term and then come back and tell me how bad things are. Currently, there are very few of us (farmers or ranchers) in the legislature. Farmers and ranchers need to educate the public about what we do – that includes our representatives.” As his political involvement grew, so did the family’s farm where he and Angie raised their three, now adult children, Cody, Ross and Stacy Naeve. When neighboring farmland or pasture
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Photo by Angie Hanson
became available, he and Paul slowly expanded their crop acres and cow/calf herd. Today, the men grow corn, wheat and soybeans on 2,500 acres and raise 300 head of stock cows. The brothers did put more of a focus on expansion when they knew Cody would join them in the farming operation.
Since the beginning, the brothers have farmed together, splitting everything 50/50. “We aren’t an official partnership – meaning there isn’t any paperwork. But we split everything down the middle,” Gary explains. They are strong believers in crop rotation – a practice which is saving them money on inputs this season. “I know a lot of people, that when corn was $7 they quit rotating. We kept rotating our crops around from field to field – rotating keeps the diseases away so we do not have to go to triple-stack corn – when we do treat weeds, we use different sprays on
crops each year,” Gary explains. Their conservative nature is innate. Instilled in them from an early age by their father, David, who got his start farming during the Dust Bowl. As a young man, David watched his dad, John (Gary’s grandfather), lose everything when he couldn’t pay off a $6,000 note. “My dad was almost too conservative. But, when you see your dad kicked off the farm, it is understandable why being debt free would be so important,” Gary says. The Hansons market a large portion of their crops through their cattle, which they sell at weaning through the local auction market. “It’s tough for us to go anywhere else because our farm is only 2 miles from the auction barn,” Cody explains. What grains they don’t use for cattle feed, they work with a professional to market. “I used to do marketing by myself, then I hired someone to help – I guess I didn’t feel I was doing a very good job so I thought I would hire someone who does it for a living. I know I still get my input, but the professionals know how to use more of the tools than I do,” Cody says. With the fifth generation to carry on his family’s farming legacy, Cody sees a future for the Hanson farm. “I hope one of our children want to take over. Right now, our oldest son is showing an interest, he helps out as much as he can in the summer. But, kids are kids, so you never know,” Cody says. “It’s kinda what you have
Photo by Angie Hanson
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in the back of your mind – that one of the kids will take it over and will keep it going. For me, that is why I keep building and sustaining so the next generation will take it over.” To view more photos of the Hanson family farm and listen to a recorded interview, visit www.sdfu.org. By Lura Roti for SDFU
“IT’S KINDA WHAT YOU HAVE IN THE BACK OF YOUR MIND – THAT ONE OF THE KIDS WILL TAKE IT OVER AND WILL KEEP IT GOING.” — Cody Hanson
Gary and Angie’s son, Cody, farms with his dad and uncle and lives next door with his wife, Shawn, and their four school-age children.
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Boots on the Capitol Steps: S.D. Farmers & Ranchers Share Their Story
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alling commodity prices and this summer’s drought are topics Isaac Kolousek, 16, understands well. The fifth-generation Wessington Springs farm kid spent many hours of his “summer vacation” helping this dad, Scott, bale road ditches so the family would have enough forage to feed their cattle this winter.
Young Farmers Union members, Brooklynn, Tyler and Nicholas Kenzy pose for a quick photo with U.S. Secretary of Agriculture Sonny Perdue. A high school sophomore, Brooklynn took advantage of the D.C. Fly-In to address concerns she and her peers have over the current School Lunch Program with Perdue.
Only a few weeks into his junior year, Isaac traveled to D.C. with his parents and more than 30 South Dakota farmers and ranchers to visit with congressional leaders about issues that impact their farms and rural communities during the National Farmers Union Fly-In held Sept. 11-13. “It was interesting to learn how lawmakers make laws that impact us,” Isaac says of the experience.
“If you don’t show up here, someone else will,” Rounds said when he visited with the South Dakota Farmers Union delegation. “Don’t rely on a national organization to do your work for you. … It is critical that you come and say what is actually happening. It helps us make fixes that not only impact you, but others.” Secretary of Agriculture Sonny Perdue echoed this advice. “Democracy is still eyeball-to-eyeball and don’t ever think that your voice does not matter in Congress or here at the USDA,” Perdue said when he visited with Fly-In attendees during a meeting at the U.S. Department of Agriculture headquarters. New to the role, Perdue emphasized his focus on deregulation, increasing efficiencies throughout the USDA and his admiration for U.S. farmers and ranchers. “You have proved you are one of the most productive parts of the American economy. You do what is in my heart and I am grateful for that.” Several SDFU members were impressed with Perdue’s direct dialogue. “I liked him,” Isaac says. “He seemed like he wanted to be progressive, not completely redo things, but if something is not working, he is not afraid to scrap it.”
S.D. Farmers Union members sat down for meetings with 24 congressional delegates and staffers during the 2017 NFU Fly-In. Pictured here, Isaac Kolousek, Cynthia Painter, Amber Kolousek, Joe Painter and Scott Kolousek.
Scott adds, “I hope he puts his foot down and stands up strong enough for what needs to be done.” This was the second Fly-In for Scott and his wife, Amber, to attend. Sharing what needs to be done to improve agriculture today and into the future is the purpose of the annual D.C. Fly-In. This year, those needs seem even more urgent than in years past,
“DEMOCRACY IS STILL EYEBALL-TO-EYEBALL.” — Secretary of Agriculture, Sonny Perdue
“We are only 2 percent of the population. Someone has to get our message out.” Bill Chase, farmer from Wolsey who attended the D.C. Fly-In with his wife, Kathy.
And, according to Sen. Mike Rounds, it is crucial that lawmakers hear from farmers and ranchers when they are creating laws that impact agriculture and rural communities.
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UNION FARMER says Doug Sombke, President of S.D. Farmers Union. “With commodity markets cutting American farmers and ranchers incomes, on average, by 50 percent and a healthcare plan looming that could devastate rural communities, we need to be here,”
“With commodity markets cutting American farmers and ranchers incomes, on average, by 50 percent and a healthcare plan looming that could devastate rural communities, we need to be here.” Doug Sombke, President SDFU
Sombke says. Healthcare, a strong crop and livestock safety net and supporting E-30 were the three topics all 300 Farmers Union members discussed when visiting with congressional leadership and their staff. “We see how bad farmers are hurting and we are here to help impact change,” says Hank Wonnenberg, a fourth generation rancher from Dallas who also works as an agriculture loan officer for a Bank in Gregory. Hank’s wife, Melissa, also works off the ranch. She is the office manager for a large farm/ranch. “We see the benefit to sitting down and visiting with congressional leadership individually,” Melissa says. The couple has two young daughters, ages 4 and 6, who they hope one day will be the fifth generation to carry on the family’s ranching
legacy. Sharing their personal story in hopes for a brighter future is the reason the couple took time away from their careers and family to travel to D.C. Like all agriculture producers, the couple knows the impact low prices have on their family. To emphasize the value of a stronger safety net being included in the next Farm Bill, Melissa shared a personal story with a congressional representative. “We sold our calves at the local auction market the day after a storm. We should have made $30,000, instead we made just enough to pay our expenses and didn’t have anything left to expand our herd or live on,” she explains. It’s producers like the Wonnenbergs who motivated Buffalo ranchers, Joe and Cynthia Painter, to attend the Fly-In. “These young people coming into farming and ranching need to have a back-up system in place – a safety net – if things go haywire. The older generation, like us, we will get by, but the younger people coming in, they have to have a way to get through events like a drought and stay in
Hank and Melissa Wonnenberg.
business,” explains Joe, who together with Cynthia and their children, raise cattle, sheep and buffalo. Two years into a severe drought, the Painters have not been able to harvest much hay since 2015. “Right now, we are spending an additional $450 per head on forage that used to be our income,” Cynthia says. Along with their personal stories, Fly-In attendees brought solutions to congressional leadership and staff. One of which is to remove arbitrary legislative and regulatory barriers to higher blends of ethanol, like E-30. “All we’re asking is for government to let farmers fix their own problems,” Sombke says. Lake Preston farmer and SDFU Vice President Wayne Soren put it this way during a visit with a congressional staffer. “Most ethanol plants are farmer-owned. Not only does this help the farmers, but also rural communities because these plants provide jobs,” Soren says. “If we could increase the blend from 10 percent to 30 or even 40, we could use up twice as much corn.” During the same conversation, Soren added that rural communities are nervous about losing long-term care facilities. “If there are cuts to Medicaid, we have nursing homes that will not be able to stay open. What happens to the residents?” “Healthcare is on everyone’s mind this fall,” says Farmers Union Insurance Agent Andrew Mefferd. “It is a complex issue.” In addition to being an issue discussed during congressional visits, health insurance and the role it plays in farming and ranching operations was the focus of a recent USDA survey discussed by Alana Knudson, Public Health Program Area Director at the University of Chicago NORC (formerly National Opinion Research Center), during the USDA Fly-In visit. To view a photo collage of this event, turn to page 13. To learn more about how you can participate in the 2018 Fly-In, contact Karla Hofhenke, SDFU Executive Director at Karla@SDFU.org. By Lura Roti for SDFU
HOPES Needs Your Help
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outh Dakota Farmers Union launched HOPES (Helping Our People Encourage Survivors) in September to create cancer care totes for members and friends going through cancer treatment. The generous outpouring of donations for the cancer care totes has been heartwarming. Today, we are seeking recipients for the cancer care bags which, along with a fleece blanket made by campers this summer, also include:
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hand sanitizers, tissue, pens, activity books and various other items donated to the project. Bags are free to S.D. Farmers Union members who are undergoing cancer treatments. Or, if a S.D. Farmers Union member would like to send one to a non-member undergoing cancer treatments, they are available at the reduced price of $50. Members can apply for a bag by filling out the form available at www.sdfu.org.
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More about Cancer Care Totes Inspired by Farmers Union campers who made fleece blankets to give to those in need, Farmers Union staff teamed up with Thirty-One in September to launch HOPES, the concept responsible for Cancer Care Totes. Farmers Union members purchased Thirty-One products and for every $35, a $10 contribution went toward the purchase of a tote.
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Healthcare is a Real Rural Issue
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ntil recently, when Shelly and George Kenzy paid their monthly bills, they wrote a check for $2,600 to their health insurance provider. A large expense for the farm family of five who raise cattle and forage crops near Gregory. “Health insurance is a big deal for our family because our daughter, Brooklynn, has had Type 1 diabetes since she was 10-months-old,” explains Shelly, noting that without insurance, the insulin which literally keeps the otherwise healthy and athletic 13-year-old alive, would cost $600 out-ofpocket each month – not to mention the two monitors she wears at all times costing about $11,500 and then there are testing supplies and three yearly visits to the endocrinologist. The out-of-pocket insurance expense dropped to just a little over $400 a month when the family signed up for group insurance thanks to Shelly’s position at the local public school. “This insurance is a huge deal. It means we know we can keep Brooklynn using the latest technology and don’t have to worry about using older ways to treat diabetes,” Shelly explains. “This gives her a healthier future because her numbers are steady. We don’t have to worry as much about future health problems.” The Kenzys struggle to find affordable healthcare is not unique. According to a recent survey of 1,000 farm families from seven states (South Dakota was not included in the study), 40 percent say health insurance is a barrier because of out-of-pocket expenses. One in five farmers surveyed said they were carrying medical debt or incurred medical debt due to out-of-pocket expenses not covered by insurance and three out of four farmers
surveyed indicated health insurance was important or very important to their farm’s risk management plan. The study was supported by a grant from the Agricultural and Food Research Initiative Competitive Program of the USDA National Institute of Food and Agriculture. Like the Kenzy family, 50 percent of farm families surveyed receive their health insurance from a public employer. “Health insurance is linked to farm quality of life, risk management, farm economics, off-farm employment, the ability to grow the farm enterprise and farmers’ ability to save and invest for long-term planning,” explains Alana Knudson, Public Health Program Area Director at the University of Chicago NORC (formerly National Opinion Research Center). Knudson addressed more than 300 family farmers and ranchers during a meeting held at the U.S. Department of Agriculture headquarters in
• Three out of four farmers and ranchers (73%) report that health insurance is an important or very important risk management strategy for their farm or ranch. • Three out of four farmers and ranchers (74%) believe USDA should represent their needs in national health insurance policy discussions.* D.C. during the National Farmers Union Fly-In. Today, Knudson serves as a Principal Research Scientist and is the Co-Director of the Walsh Center for Rural Health Analysis at NORC. She also is the
• Two out of five (41%) young farm and ranch families (18-34 years old) were enrolled in a public insurance program, e.g. Medicaid, Tricare or CHIP. * • Young and beginning farmers and ranchers most frequently reported expanded Medicaid options allowed them to have: Health insurance for their children Time and energy to invest in the farm or ranch rather than having to seek a fulltime off-farm or ranch job with benefits.*
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The Kenzy farm family from Gregory area understand the importance of affordable healthcare. Their daughter, Brooklynn, has had Type 1 diabetes since she was 10-months-old. Left to right: Nicholas, George, Shelly, Tyler and Brooklynn.
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Alana Knudson, Public Health Program Area Director at the University of Chicago NORC, addresses family farmers and ranchers at USDA Headquarters in D.C. during recent NFU Fly-In.
deputy director for the Rural Health Reform Policy Research Center, one of seven rural health research centers funded by the federal Office of Rural Health Policy. “Studying health insurance among farmers is not new but it has picked up in the last 10 years,” says Knudson, who grew up on farm in rural North Dakota and conducted her first healthcare study of farmers in North Dakota in 2008. Health insurance ranked among the top three issues which farmers and ranchers discussed when they sat down with policymakers during the National Farmers Union Fly-In. It’s a timely topic explains Doug Sombke, South Dakota Farmers Union President. “It seems everyone is floundering when it comes to healthcare. Our message is simple – there needs to be an answer in place before we cut the ACA (Affordable Care Act),” Sombke says. “In the last few days I have talked with representatives from rural hospitals and nursing homes. They say they will not be able to keep their doors open if Medicaid is cut. What will happen to their residents?” Access to healthcare is an issue for South Dakota’s rural citizens, adds Cynthia Painter, who ranches with her husband, Joe, and their two daughters near Buffalo. “If our local clinic closes, we would have to drive two hours for healthcare,” says Painter, who also volunteers as an EMT. Distance to providers also came up in Knudson’s study where one in 10 farmers indicated this as a healthcare challenge. It should be noted that of the states where farmers were surveyed, few are as rural as South Dakota. The states surveyed include: Pennsylvania, Massachusetts, Vermont, Nebraska, Michigan, Kentucky, Mississippi, Utah, Washington and California.
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Emphasizing the important role healthcare plays in the lives of farmers and ranchers, during her USDA presentation, Knudson outlined research which shows how healthcare costs impact the following: Succession Planning; “As we know for farmers, land is the most important or valuable asset we have. We asked about the need for care as people age. More than half (surveyed) indicated they will need to farm longer to augment income or if they need to cover excessive healthcare costs, they will need to sell land to the highest bidder and maybe even to off-farm development. If the next generation can’t afford to buy land, who will farm? Clearly health insurance impacts availability and cost of land.” Risk Management; “One farmer surveyed said, ‘You have to have health insurance. We have a risky job. We don’t want to put our farm at risk if something were to happen to us.’” Farm Management; Fourteen percent of farmers surveyed, indicated that once they were able to purchase insurance through the Affordable Care Act marketplace they no longer needed to work off the farm. “It gave them a chance to focus on their farm enterprise and not have to make a decision between a job off the farm and health insurance.” If farm families did not have to worry about healthcare expenses, those surveyed said they would invest those dollars in retirement, their children’s college education and farm-related investments. Rural Development; “Rural development is definitely tied to health insurance – we are all interrelated in rural communities. If farmers are not insured and do not go to healthcare providers, we lose hospitals.” What is Farmers Union’s answer? When Farmers Union members met with congressional staff and leaders and discussed healthcare, a single-payer system, like Medicare was suggested. Knudson’s research backed this suggestion. “Medicare stands head and shoulders above the health insurance …the medical industry has come around, a large percentage of my colleagues say a single-payer form of Medicare expansion is where we need to go,” Knudson said. To learn more about how insurance impacts farmers and ranchers and to view the findings of this report, visit www.hirednag.net. By Lura Roti for SDFU *All breakout boxes feature data directly from the project authors and project partners include: Shoshanah Inwood, Dept. of Community Development and Applied Economics, University of Vermont, sinwood@uvm.edu; Alana Knudson, Walsh Center for Rural Health Analysis, NORC at the University of Chicago, email: knudson-alana@norc.org. Katlyn Morris, Florence Becot, Jason Parker, Jane Kolondinsky, University of Vermont; Bonnie Braun, University of Maryland Extension; Stephan Goetz, Northeast Rural Development Center (RDC), Scott Loveridge, North Central RDC, Rachel Wellborn, Southern RDC, Don Albrecht, Western RDC. “The project was supported by the Agricultural and Food Research Initiative Competitive Program of the USDA National Institute of Food and Agriculture (NIFA), grant number 2015-2014-05623” Data collected 2016-2017 from interviews and surveys of 1,062 farmers and ranchers in PA, MA, VT, NE, MI, KY, MS, UT, WA, and CA.
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• Almost half of farmers and ranchers (45%) are concerned they will have to sell some or all of their farm or ranch assets to address health-related costs such as longterm care, nursing home or in-home health assistance. • Two out of three farmers and ranchers (64%) report having a pre-existing health condition. • With an average age of 58, farmers and ranchers are vulnerable to higher insurance premiums due to age-rating bands. • Just over half of farmers and ranchers (52%) are not confident they could pay the costs of a major illness such as a heart attack, cancer or loss of limb without going into debt. The vast majority of farmers and ranchers (92%) reported they and their families had health insurance in 2016. • One out of three (32%) had two or more plans within a household. Among farmers and ranchers over age 65: • Three out of four (73%) had Medicare or a public option. Among farmers and ranchers 18-64 years old: • One out of four (24%) purchased a plan on the marketplace • Three out of four (72%) had an off-farm job, primarily for additional income and health insurance • Over half (59%) of farm and ranch families receive benefits through public sector employers (health, education, government). Changes in public sector employment options or benefits will affect the economic and social well-being of farm and ranch families and rural communities.*
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UNION FARMER Panelists Discuss the Future of Ethanol During State Fair Event
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outh Dakota Farmers Union (SDFU) hosted an E-30 panel discussion Sept. 1, during the State Fair to talk about the economic and environmental benefits ethanol brings to South Dakota and its agriculture producers. “Producing higher levels of ethanol does not only benefit farmers but consumers as well,” explains Marc Rauch, Co-Founder and Executive Vice President of The Auto Channel. “The more ethanol we use the cleaner the air is and the better our engines run. That’s good for everyone. My own tests and tests conducted by others, show that E-30 ethanol-gasoline blends produce the best MPG (mile per gallon) results in most current gasoline-optimized vehicle engines, including E-85 flex-fuel vehicles. This means that consumers save money and get better mileage.” Rauch discussed the potential benefits higher levels of American production of ethanol would bring to the national economy. “I’d rather give my fuel money to American farmers than to foreign dictators, so we can keep more money in the country,” says Rauch. “By using E-30 nationally we could save hundreds of billions of dollars that leave the country to be spent on importing foreign fuel. “If we can avoid sending the $1 billion a day ($360 billion per year) out of the country and instead, use those dollars here to pay salaries and buy domestically produced goods, those dollars
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South Dakota Farmers Union (SDFU) hosted an E-30 panel discussion during the State Fair to talk about the economic and environmental benefits ethanol brings to South Dakota and its agriculture producers. Panelists include, from left to right: Dale Christensen, board member of Glacial Lakes Energy; Doug Sombke, SDFU President; Marc Rauch, Co-Founder and Executive Vice President of The Auto Channel.
become stimulus for the economy without having to print additional dollars and devalue those already in circulation. Then, if those dollars are spent on American workers and American products, we actually wind up recycling the dollars and multiplying its stimulus effect several fold. It could be possible to recycle the $360 billion three, four, five, six times, giving us a trillion dollar-plus stimulus every year for every year that we can avoid importing petroleum oil.” Rauch is among three panelists who discussed the opportunities and benefits associated with fuels containing higher blends of ethanol. Other panelists include: Doug Sombke, S.D. Farmers Union President, and Dale Christensen, board member of Glacial Lakes Energy.
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“Having this panel at the State Fair will encourage people to use more ethanol and in return better our rural economies,” says Sombke. “Using more ethanol would enhance the bottom line for family farms.” For more than three decades, S.D. Farmers Union members have shown their support for the ethanol industry. This support is the motivation behind SDFU’s decision, alongside National Farmers Union and other state organizations, to unveil a recent initiative to advance federal policies that support U.S. renewable energy sources including ethanol. To learn more about South Dakota Farmers Union and E-30, visit www.sdfu.org. Christina Dexter, SDFU Legislative Specialist
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UNION FARMER Cooperative Highlight: Southeast Farmers Co-op
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egardless of the day or markets, General Manager Don Truhe and the team at Southeast Farmers Co-op work to uphold their mission statement, “Growing Your Business is Our Business.” Sometimes it can result in having tough conversations with their farmer/owners. “Even when markets are down, farmers need to invest in the right products to do a good job farming. We encourage them not to trip over a dollar to pick up a quarter – and we all know it’s real tempting this time of year and in this commodity market,” Truhe explains. But, he knows his farmers can trust the advice they receive from cooperative staff, because essentially they are their patrons’ employees. “If your owners are not successful, the cooperative will not be successful. It is our job to do everything we can to help our farmers be successful,” Truhe says. “Right
“IT’S OUR JOB TO DO EVERYTHING POSSIBLE TO HELP OUR FARMERS EARN MORE ON THEIR FARMS.” — Don Truhe
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now it’s tough on the farm and because we are connected, it’s tough economically for the cooperative. But, that is the same story everywhere.” The markets may be down, but Truhe is optimistic. His 37-plus career working for cooperatives tell him that things will get better. Until that time, he and his team will not lose focus. “It’s our job to do everything
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possible to help our farmers earn more on their farms.” More about Southeast Farmers Co-op Serving more than 900 farmer/owners in Union, Lincoln, Clay, Yankton and Turner counties, Southeast Farmers Co-op is a full service cooperative. It provides products and services in the areas of agronomy, petroleum, grain and propane.
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UNION FARMER Around the State With Farmers Union South Dakota Farmers Union members and staff are making a difference in rural communities across South Dakota.
Rural Issue Meetings
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ABERDEEN
FAULKTON
BRITTON
GREGORY
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UNION FARMER Around the State With Farmers Union South Dakota Farmers Union members and staff are making a difference in rural communities across South Dakota.
Insuring a Brighter Tomorrow at the South Dakota State Fair R-Calf National Convention Rapid City, S.D. Brown county cattle producer, Arlen Hanson.
The South Dakota Farmers Union Foundation, in cooperation with Farmers Union Insurance Agency, recognized recipients of the annual Insuring a Brighter Tomorrow scholarships during the South Dakota State Fair. Twenty-five high school seniors from across South Dakota shared $25,000 in scholarships to be used to further their education at a South Dakota post-secondary school. Over the past eight years, the foundation has awarded more than $175,000 in scholarships to students attending South Dakota post-secondary schools. (Not all scholarship recipients are pictured.)
Gregory cattle producers, George & Shelly Kenzy and their son, Nick.
2017 Rural Dakota Pride Honorees Recognized During South Dakota State Fair
Gregory cattle producers, Brett and Jessy Kenzy.
Each year during the State Fair, South Dakota Farmers Union recognizes individuals for their selfless contributions to rural communities across the state with the Rural Dakota Pride Award. Five individuals from rural communities across South Dakota were recognized. The honorees are pictured here with SDFU Vice President Wayne Soren (far left ) and SDFU President Doug Sombke. Honorees include (left to right): Bob Satter, Irene; Lacey Rippentrop, Tea; Donna Duffy, Winner; Lorelee Nelson, Carthage; and Jeff Kreun, Black Hawk (not pictured)
Brown County cattle producer, Larry Stroschein.
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Rural Issues Discussions: The Next Farm Bill
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armers and ranchers across South Dakota gathered to participate in a series of Rural Issues Discussions: The Next Farm Bill, hosted by South Dakota Farmers Union (SDFU). As the 2014 Farm Bill is set to expire in September 2018, producers are left to wonder how the new legislation will impact their own
Meetings were held in the communities of Aberdeen, Britton, Faulkton and Gregory. Leading the discussions were S.D. Farmers Union President Doug Sombke and Rob Larew, National Farmers Union Senior Vice President of Public Policy and Communications. Dallas livestock and crop producers, Richard and Bev Rubel, thought the discussions were an excellent place for farmers and ranchers to come together and make their voice heard. “Issues like these are what it takes to get people to work together,” Richard Rubel says. “Farmers and ranchers have to be able to give input on the issues that greatly impact their operations.” Like many other participants the Rubels came out to get clarity on the upcoming Farm Bill and
Doug Sombke, President, SDFU
livelihood, public health and local economies. “We need to hear what has and hasn’t been working with the Farm Bill,” says SDFU President Doug Sombke. “SDFU has a grassroots policy so we need to hear from our members what our policy should be. Issues are constantly changing so it’s important to get out and hear from the average family farmer.” Dallas livestock and crop producers, Richard and Bev Rubel.
Gregory farmer, Rich Fott
A handful of issues stood out to Sombke during the discussions. “COOL (country-of-origin labeling), NAFTA, ARC payments and milk insurance came up during most of the discussions,” says Sombke.
discuss their biggest concerns “We came out to see what was going on with the upcoming Farm Bill,” says Richard. “Lots of great things were discussed. We would like to see livestock have more support and grasslands need to be addressed.” Rich Fott, a fourth generation Gregory farmer, participated in the discussion to make sure his issues would not be overlooked. “I think it’s important that representatives get to hear about our issues,” Fott says. “If they know what we are going through, then we will be able to get more support from them.” For Fott, COOL has proved to be very important to his livestock operation.
“Let us have a free market,” Fott says. “Just like clothes or anything else you buy, let people know where their meat is coming from.” T a y l o r Sumption, believes the farm economy Rob Larew and the upcoming Farm Bill impact more than just the producer but the community as a whole. “The thing about farmers is that the economic impact we have on our communities is gigantic,” says the Frederick livestock and grain producer. “The folks in town will tell you the same, with this fall in the commodity prices it’s really starting to weigh on people.” Sumption fears that the upcoming Farm Bill may suffer cuts that are detrimental to the programs farmers rely on most. “I think Frederick livestock and grain with the next producer, Taylor Sumption. farm bill there is going to be a tremendous amount of pressure to make more cuts and really the only thing left to cut for the farmer would be disaster programs or crop insurance,” Sumption says. “We have to express to our representatives that those programs should be strengthened, not cut.” By Christina Dexter, SDFU Legislative Specialist
“WE HAVE TO EXPRESS TO OUR REPRESENTATIVES THAT THOSE PROGRAMS SHOULD BE STRENGTHENED, NOT CUT.” — Taylor Sumption
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SDFU visits Washington
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State Fair 2017
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State Fair 2017
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A Unique Take on How the Cooperative Business Model Serves Today’s Needs
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inding South Dakota authors isn’t an easy task. Creative writer and high school English teacher Jason Kurtz should know, he spent a few years looking. “I was doing research and it turned up an old Rapid City Journal article that listed nine South Dakota authors – eight featured in the article were dead,” explains Kurtz, who made it his mission to unite regional writers and other artists. He launched a non-profit South Dakota Writes in 2016 and through its Facebook page Kurtz began connecting with more than 450 South Dakota authors – 150 of whom have published books. Now that local authors know each other, Kurtz, along with his business partner Sion Lidster, is expanding his mission to provide a brick and mortar venue where South Dakota authors and other artists can gather, share and market their works. To bring this lofty dream to fruition, Kurtz turned to the cooperative business model. “This is a low-cost model that helps an entire community, by centralizing similar organizations and providing opportunities to grow,” Kurtz says of Full Circle Book Co-op. Kurtz hopes to open up shop in downtown Sioux Falls this winter. Although a book cooperative falls outside the tradition of the many agricultural, electric or communications cooperatives housed within South Dakota, it’s a great example of the flexibility and opportunity found within the cooperative business model, explains Brenda Forman, Executive Director of the South Dakota Association of Cooperatives. “A cooperative is a good way to get a new idea off the ground because everyone involved in the business also owns the business – they have a vested interest to make sure the business is strong, profitable and provides a service that is needed.” She recalls the history of the state’s first cooperatives, which were started by rural citizens more than a century ago to fill needs – like marketing grain and providing electricity and telephone services to rural homes. These cooperatives were chartered because private industry didn’t see the financial value in providing the infrastructure necessary to meet the needs of sparse, rural populations. Sioux Falls-based Co-op Natural Foods shares a similar history. In the early 1970s there wasn’t a store in Sioux Falls where you could
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Patrick Sayler, Co-op Natural Foods general manager
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Becketwood. “Becketwood was designed so this would not happen. In fact, if a member has not seen their neighbor for one or two days, they may call us to check in with them.� When Ng first moved in, she was assigned a member mentor who taught her about what cooperative membership was all about. She fully embraced the concept and quickly began volunteering. In 2014, she was asked to run for the board of directors and was elected to serve as vice president. Today, she serves as board president. Because Ng moved from Cleveland to be close to her daughter who lives and works in Minneapolis, she didn’t know anyone. Living in Becketwood, that soon changed. “You get to know people when you serve on committees together. Becketwood reminds me a lot of life on a university campus – everything is decided by committees. The same thing here at
Becketwood.� And, when Ng wants to explore her new city, she doesn’t have to drive unless she wants to. Becketwood cooperative owns its own bus. All the no-maintenance amenities and other member benefits found within the Becketwood community don’t cost members more than owning a home of the same size. In fact, members pay less. And, because Becketwood is set up as a marketrate cooperative, when members do decide to move on, they set the sale price of their homes and retain equity when they sell. “I like the control of my living environment living in a cooperative gives me. I have friends who are retired and live in condos. They are nice, but they don’t know their neighbors, they don’t have transportation – Becketwood is very special to me,� Ng says. By Lura Roti for SDFU
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buy organic and whole foods, so about a dozen families organized and each month a family would travel to a large city to buy bulk, organic pantry staples and bring them back and divide them among the 12 families. “Over time more families wanted in and pretty soon, no one had a vehicle large enough to haul the food, so they started a cooperative and opened a storefront,� says Patrick Sayler, Co-op Natural Foods general manager. Today, Co-op Natural Foods boasts 2,000 active members and serves about 2,000 customers each week. And, even though organic and whole foods can be purchased in nearly every grocery store throughout the Sioux Empire, the cooperative model keeps the prices at Co-op Natural Foods below the competition. “As a cooperative, we are a member of a national cooperative, which adds up to $2 billion in buying power and a stronger ability to negotiate purchasing contracts,� Sayler explains. Better prices is a big reason Riverton Community Housing exists. As affordable student housing dwindled in the Minneapolis area, this non-profit cooperative owns and manages properties that are rented to its studentmembers at cost. Lily Ng “When you talk with students and look at rising tuition costs, housing is a huge part of the affordability equation,� says Joe Goetzke, Leasing/Marketing and Member Services Manager for the Minneapolis-based studenthousing cooperative developer. Goetzke explains that through cooperatives, the buildings they manage are able to pass the savings found within property tax breaks and utilities volume discounts on to members. The result? Cooperative members pay 10 to 20 percent less in rent than their neighbors. You have a voice Advantages to the cooperative model are not only found in members’ bank accounts, the fact that co-op members have a voice and are encouraged to get involved in the cooperative was a big draw for Lily Ng, 70, who owns a home in Becketwood Cooperative, a Minneapolis housing community for independent adults over 55. “The first thing I saw when I toured Becketwood was several activity sign-up sheets outside the main office – there were at least 10 activities or excursions to sign up for. That’s when I knew this was the place for me,� explains Ng, who moved to Becketwood and is a retired chemistry professor and department head. Ten activities was a little deceiving. Every month, residents of this independent living community, have more than 100 choices of activities or excursions to participate in, all organized by homeowner/members with help from cooperative staff. “When seniors retire, it is easy to become isolated and if they lose the ability to drive, their world shrinks even more,� explains Kari Tweiten Macdonald, Marketing Coordinator for
United to Grow Family Agriculture
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Questions? Contact Rachel Haigh-Blume at 605.352.6761 ext 125 or rachel@sdfu.org South Dakota Farmers Union provides all meals and hotel accommodations free of charge for participants. A 50 nonrefundable deposit is required of all participants
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North Central Farmers Elevator and Wheat Growers Members Approve Unification
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he member-owners of North Central Farmers Elevator and Wheat Growers have each voted to approve the unification of the two cooperatives. The North Central Farmers Elevator members voted for the proposed unification 911-657. The Wheat Growers members also voted for the proposed unification,1,598-954. With this vote, the new cooperative is expected to begin operations effective Feb. 1, 2018. Until the effective date, each cooperative will continue to operate independently from the other. “We listened to our members and it was based on their comments that we brought this to a vote of the membership,” says Rick Osterday, North Central Farmers Elevator Board President. “We’re pleased that they concluded that the unification of both cooperatives can bring additional value to members and ensure the long-term relevance and viability of a unified cooperative. We want to
thank them for their support and participation in this important part of cooperative governance.” “This is a merger of two financially strong, legacy-rich cooperatives,” says Wheat Growers Board President Hal Clemensen. “Our mission now is to seize this opportunity to build a new, even
“WE LISTENED TO OUR MEMBERS AND IT WAS BASED ON THEIR COMMENTS THAT WE BROUGHT THIS TO A VOTE OF THE MEMBERSHIP.” – Rick Osterday, North Central Farmers Elevator Board President
stronger cooperative better able to serve our member-owners. As we go forward, we will create new efficiencies, take advantage of new technologies and continue to build a strong employee team – all in order to create more value for our members.” The member voting period began Aug. 29 and followed a series of member information meetings that were held throughout the region beginning Aug. 21. Members cast their ballots through Sept. 28. All ballots submitted were verified by Eide Bailly, the third-party audit firm administering the vote. The focus of the two cooperatives now turns to planning integration efforts, including developing a name for the new cooperative. To learn more, visit www.ncfe.coop or www.wheatgrowers.com. ABOUT NORTH CENTRAL FARMERS ELEVATOR North Central Farmers Elevator is a full-service, farmer-owned cooperative, established in 1915 and headquartered in Ipswich, S.D., with 22 locations serving more than 2,400 memberowners in north central South Dakota and south central North Dakota. ABOUT WHEAT GROWERS Based in Aberdeen, S.D., Wheat Growers is an innovative grain and agronomy cooperative established in 1923 and today serving more than 5,100 active member-owners in eastern North and South Dakota. Photos courtesy of South Dakota Wheat Growers
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NFU President Joins Advisory Board of New Energy America
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n a move to further National Farmers Union’s (NFU) commitment to promoting American grown, renewable energy sources, NFU President Roger Johnson joined the advisory board of New Energy America, a new organization created to Roger Johnson, promote clean energy jobs in NFU President rural America. Johnson and NFU will support New Energy America’s engagement with communities and lawmakers in rural America to demonstrate how policies that support the deployment of clean energy create jobs in rural America. While the
fossil fuel industry enjoys support from the politicians elected in these states, the data is clear that policies that support reducing emissions are creating good jobs in rural America. “National Farmers Union members have long been staunch supporters of clean, renewable energy, especially when that energy development puts folks to work on the farm and in rural communities,” says Johnson. “I’m eager to work with my colleagues at New Energy America to ensure the success of the America renewable energy sector for the benefit of American family farmers, ranchers and their rural communities.” As part of its launch, New Energy America released the first Fifty State Clean Energy Jobs Report, which contains a detailed analysis of clean
energy jobs in each of the 50 states. The report shows that clean energy jobs outpace fossil energy jobs in 41 states. “Too often the debate in Washington misses the fact that what is good for clean energy is good for rural America. We will no longer let politicians off the hook,” says Mike Carr, Executive Director of New Energy America. “New Energy America will make sure that rural America knows that clean energy policies are creating jobs in their communities.” The 2017 Fifty State Clean Energy Jobs Report, and more information about New Energy America, can be found at www.newenergyamerica.org. Courtesy of NFU
National Farmers Union Reinforces Need for Trade Agenda Reforms Through NAFTA
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head of a third round of renegotiation talks on the North American Free Trade Agreement (NAFTA), National Farmers Union (NFU) reinforced it’s call for a fair trade agreement framework that benefits American family farmers, ranchers and consumers, and restores American sovereignty on farm and food policy. In a letter to U.S. Trade Representative Robert Lighthizer, NFU endorsed a series of trade reform recommendations proposed by the Coalition for a Prosperous America (CPA), of which NFU is a member. “NAFTA has had significant impacts on family farms and rural communities,” writes NFU President Roger Johnson. “The U.S. has a trade deficit with Mexico and Canada, despite the fact that agricultural trade has usually been a bright
spot in America’s ever-growing trade deficit. Agricultural markets and farms have consolidated since NAFTA was agreed to. We urge you to heed the advice of those advocating for the benefits for all consumers and family farmers, rather than corporate profits.” Johnson highlighted CPA’s proposed changes to NAFTA, including: • Reducing bilateral trade imbalances • Remedies for currency manipulation and misalignment • Strengthening rules of origin • Reinstating country-of-origin labeling (COOL) • Eliminating investor-state dispute settlement (ISDS) • Automaticity of enforcement of the agreement • Eliminating provisions on domestic
procurement • Improve wages and labor standards • Compliance with food, product and highway safety standards • Sunset NAFTA in 10 years • Remedies for perishable and cyclical products • Addressing border adjustable taxes Johnson added that USTR should address nontariff barriers that act as hidden tariffs, particularly as it relates to Canada’s restrictions on the sale of U.S. wine. “As you renegotiate NAFTA, we urge you to act in the best interest of American farmers, ranchers and consumers, and to restore the United States’ sovereignty over farm and food policy. I look forward to working with your administration to reset the nation’s failed trade agenda,” he concludes. Courtesy of NFU
Farmers Union to Power the Transition to a Homegrown, Renewable Energy Future for the U.S.
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he transition to a homegrown, renewable energy future for America is underway. Biofuels, higher blends of ethanol in gasoline and advanced, bio-based technologies are reaping tremendous benefits for our environment and providing much-needed economic stability to America’s farming and rural communities. The U.S. must implement federallevel policies that encourage expanded markets for these energy sources and remove regulatory barriers that inhibit their growth. To that end, National Farmers Union (NFU), in conjunction with state Farmers Union divisions, recently began an initiative to advance federal policies that support homegrown and homeproduced renewable energy sources. NFU hired veteran energy, environment and agriculture policy specialist Anne Steckel to lead the effort. “American family farmers and ranchers are facing a rapidly changing climate, a severely depressed farm economy, and deteriorating rural infrastructure and services,” says NFU President Roger Johnson. “Expansion of homegrown,
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renewable energy production provides solutions to each of these issues and significant benefits for American consumers and the environment. Today, National Farmers Union expands upon its long history of advancing these new technologies.” The Farmers Union initiative will promote legislative and regulatory solutions for expanding markets for higher blends of ethanol, like E-30, and advanced biofuels. “Federal-level policies like the Renewable Fuel Standard have reaped tremendous gains for the farming and rural communities that grow and produce renewable, bio-based fuels,” says Steckel. “NFU will continue its avid support of the RFS and pursue innovative policy solutions that expand renewable energy demand, development and infrastructure.” The effort follows a special order of business that was passed by delegates to the NFU 115th Anniversary Convention in March. “The modern biofuels industry has brought billions of dollars of capital investment, millions of dollars of new tax base and many thousands of
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new good paying jobs with benefits to struggling rural communities,” says Steckel. “We need to be expanding our use of the renewable energy fuels that clean up our air, bolster rural economies, and save American consumers money at the pump.” Leaders in the biofuels and renewable fuels industry lent their support to the initiative, noting NFU’s long history advocating for clean, homegrown fuels. “We are excited to see NFU elevating its advocacy for higher ethanol blends and promoting advanced cellulosic biofuel technologies,” says Growth Energy CEO Emily Skor. “Encouraging legislative and regulatory pathways that increase the availability of high-octane fuels helps American farmers as well as automakers and consumers seeking better performing biofuel choices. These kinds of forward-thinking, clean energy options are made possible by the Renewable Fuel Standard – our nation’s most successful energy policy.” “Expanding market access for ethanol will help
Renewable Continued on Page 26 OCTOBER 2017
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OFFICIAL CONVENTION NOTICE
To: All local and county unions of the South Dakota Farmers Union. Notice is hereby given that the 102nd annual convention of the Farmers Union Educational and Cooperative Union of America, South Dakota Division will convene on Thursday, November 30, 2017 at the Crossroads Hotel & Convention Center in Huron, S.D., at 12 p.m. (CT)
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erry Heiberger, former general manager of Interstate Telecommunications Cooperative (ITC) in Clear Lake, S.D., began his career in 1979 working as a repairman for McCook Cooperative Telephone, now known as TrioTel Communications. In 1981, he served as a central office technician for Brookings Lake Telephone Company, and in 1983, he was promoted to central office supervisor. He held this position until being promoted to operations manager in 1991. From then until 2001, Heiberger played a vital role in the merger between Interstate Telecommunications and Intrastate Telephone Company as well as integrating new technology and services to the co-op’s staff and members. In 2002, Heiberger became ITC’s general manager, a position he held until his 2017 retirement. In this position, he has demonstrated a vision of continual growth and improvement. Heiberger has strived to provide quality, reliable and affordable services for ITC’s members, while keeping the cooperative business model and technology at the forefront. Heiberger and his wife, Sheila, lived in Clear Lake for many years before moving to Watertown where they currently live. Together, they have three children. Heiberger dedicated his free time to his family, church and community by being actively involved in the Deuel County Community Foundation, Clear Lake Economic Development Committee, Deuel County Hospital and Clinic Board, Clear Lake Community Club, Kiwanis, Knights of Columbus and St. Mary’s Catholic Church in Clear Lake. Not only does Heiberger strive for growth and success at his co-op, but he continually steps in to provide support, leadership and service to the economic growth and success of his community.
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lair Bonebright board director and secretary for Venture Communications Cooperative in Highmore, S.D., has served on the co-op’s board of directors since 1984, making this his 33-year anniversary. During his years of service, Bonebright has been part of the ever-changing and fast-paced industry of telecommunications. He has witnessed much change in technology and services provided to cooperative members, but has never failed to embrace change and successfully endure industry challenges. Bonebright served as board president for Venture Vision from 1996 to 2015 and as a board member for Western Telephone Company from 2008 to 2014. Bonebright also served on the Resolutions Committee and Marketing Committee for the South Dakota Association Telecommunication Cooperative and the Legislative Advisory Committee for the South Dakota Telecommunications Association. Bonebright has played an active role in his community and worked diligently to bring reliable and advanced services to co-op members. His loyalty and vision for cooperatives in this state has made him an integral part of Venture Communication’s success and the effectiveness of a statewide telecommunications network. Throughout the years, Bonebright has volunteered his free time and services to civic engagement. He has proven to be a dedicated member to his community’s economic development and success by being involved in Wessington’s Fire Board, American Legion and Community Club as well as the Grand Township Board and the Miller Country Club. Bonebright has also served for many years as a Mason, Shriner and member of the Jaycees in Wessington where he and his wife, Marliys, live. They have three sons together – Brian, Bruce and Jim.
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Directors from District II, IV and VI, State President, State Vice President and delegates and alternates to the National Farmers Union Convention will be elected. Delegates will adopt a policy program. The convention will remain in session until disposition has been made of all business. The South Dakota Farmers Union bylaws provide:
“Each chartered county union in good standing shall be entitled to one delegate for 10 dues-paying members or major fraction thereof. Each county president, if not an elected delegate, shall be a delegate exofficio to district and state conventions and shall have one vote therein. “Each local shall have the right to district and state representation in the same ratio as prescribed by the county unions. Such nominees will be voted on at the county meeting prior to the district and state conventions. Local delegates will then become part of the county union’s slate of voting delegates.
“Credentials must be signed by the president and secretary of the county which such delegates represent and be received by the State Office no later than five days prior to the state convention (Nov. 25, 2017).” FARMERS EDUCATIONAL AND COOPERATIVE UNION OF AMERICA (SOUTH DAKOTA DIVISION) Doug Sombke, President
Karla Hofhenke, State Secretary-Treasurer
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UNION FARMER Cooperative Highlight: North Central Farmers Elevator
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ike Nickolas, General Manager of North Central Farmers Elevator, is optimistic when he thinks about the
future. “We have been through these down cycles in the past and we will come through this cycle – looking down the road, good times are ahead,” Nickolas says. His words are backed by more than three decades of experience working in the cooperative industry – 20 serving North Central Farmers Elevator. To get through the tough times, the cooperative, like its farmer/owners, is tightening its belt. “We like to do things to better serve our members, like elevator expansions or offer new services, but like our farmers, we’re all aware of the bottom line,” he says. “This mentality does not go unnoticed. It not only impacts the cooperative but every Main Street business in rural South Dakota.” Since the 2015 failed unification attempt, North Central Farmers Elevator and Wheat Growers boards of directors received input
Faulkton – Agronomy & Grain – a greensite (from the ground up) but the picture is showing the agronomy.
from many member-producers who told us enough things have changed in the ag environment to reconsider unification. “We asked for member input over a two-week time period in August and overall it was positive. So, both boards unanimously decided to proceed to a vote of the membership to unify the two cooperatives.” The result will be known Sept. 28. “When our board sits down and asks, ‘how do we continue to be relevant and
remain strong?’ It looks like two cooperatives merging might be the answer,” Nickolas explains. “The decisions we make today are not just about serving today’s members. They are about today’s farmers and their sons, daughters and grandchildren who want to come back and farm.” More about North Central Farmers Elevator Established 102 years ago, North Central Farmers Elevator is a full-service cooperative which provides grain handling, agronomy, energy, aerial application, feed and propane services to members through 22 locations in north central South Dakota and south central North Dakota. To learn more, visit www.ncfe.coop.
Co-op Members Approve Unification North Central Farmers Elevator members voted for the proposed unification, 911-657. Wheat Growers members voted for the proposed unification, 1598-954. NCFE West Bowdle Grain facility.
Scott Slepikas received Best In Show at the South Dakota State Fair for Division 14: Grains & Seeds, Class 03 5 ears of dented corn and Division 15: Plants/Bundles/Bales, Class 02 4 cornstalks. South Dakota Farmers Union sponsored these divisions.
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UNION FARMER Farmers Feed Over 1,000 Fairgoers for Only 30 Cents During Farmers Union Farmers Share Lunch
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n an effort to educate consumers, family farmers and ranchers treated fairgoers to a 30-cent lunch in the South Dakota Farmers Union tent during the South Dakota State Fair. “There is a large gap between prices charged in grocery stores and the actual profits received by farmers and ranchers who raise the ingredients,” explains Doug Sombke, President of S.D. Farmers Union. “We receive pennies on the dollar – even in year like this when markets are down to the point that many farmers and ranchers are actually paying to raise crops and cattle.” The annual Farmers Share Lunch, sponsored by S.D. Farmers Union at the State Fair is the grassroots organization’s attempt to convey this message. “State Fair provides us with the opportunity to share our story and explain the investment we make in raising safe and healthy food while at the same time, taking care of our natural resources,” says Terry Sestak, District 1 Farmers Union board member and fourth-generation Tabor farmer. “Yes, farming and ranching is a business, we need to make a profit in order to continue feeding the world, however it is also a way of life we value.” Sestak and several other family farmers and ranchers were able to share this message with consumers as they engaged fairgoers who enjoyed a lunch that would typically cost $10, if it were purchased at a café. South Dakota Farmers Union charged only 30 cents – the amount South Dakota farmers and ranchers would receive for the ingredients. The lunch is a pulled pork
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Sheri Severson (center) with her mom, Lois Taylor, and daughter, Bethany Severson, were among more than 1,000 fairgoers who enjoyed the S.D. Farmers Union Farmers Share Lunch held during the South Dakota State Fair.
sandwich, baked beans, potato chips and milk. “It’s good to have a reminder like this because everyone thinks farmers make all this money,” says fairgoer Sheri Severson, who makes the trek from Aberdeen to Huron to spend a day with her family at the state fair mail to: sdfu@sdfu.org
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each year. “I’m thankful to our farmers for providing our food for us – I like knowing where my food comes from.” Fairgoers could donate $1 if they chose. All money collected went to support S.D. Farmers Union educational programming.
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UNION FARMER Sunshine Bible Academy FFA Chapter Named Quiz Bowl Champions During Team Up For Safety State Fair Competition
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unshine Bible Academy FFA Chapter won the S.D. Farmers Union Team Up For Safety Quiz Bowl held during the South Dakota State Fair in Huron. Team members include: Evan Lopez, Shelby Belmore, Andrew Hoffman and Christopher Hass. The team was recognized with a cash prize. The Team Up For Safety competition is run in a game-show format and held each year as a fun reminder to teens to keep safety top of mind.
“For most of us in South Dakota, we like to think we’re pretty in tune with what’s going on around us,” says Doug Sombke, South Dakota Farmers Union President. “But life moves pretty fast and it’s easy to take little things for granted. It could be something as simple as just taking the time to read labels on chemicals or applications and making sure you don’t harm yourself or your livestock.” Along with Sunshine Bible Academy other FFA chapters who competed included Tri-Valley, Wolsey-Wessington and Viborg-Hurley. These teams qualified for the
quiz bowl during the 2017 State FFA Convention held in Brookings this April. “You have to have fun with it and you have to learn something,” says Tri-Valley FFA member Levi Burggraff, who farms and ranches with his family near Colton and competed on the qualifying team this April. “You need to know what you’re doing on a farm because it’s dangerous. You can’t be horsing around cattle or machinery. I want to keep things calm...and keep all my limbs.” To learn more about South Dakota Farmers Union and its educational programming, visit www.sdfu.org.
Members of the Sunshine Bible Academy FFA Chapter won the S.D. Farmers Union Team Up For Safety Quiz Bowl held during the South Dakota State Fair in Huron. Team members include Evan Lopez, Shelby Belmore, Andrew Hoffman and Christopher Hass.
Members of the Tri-Valley FFA Chapter competed in S.D. Farmers Union Team Up For Safety Quiz Bowl held during the South Dakota State Fair in Huron. Team members include Levi Burggraff, Connor Farr, Dylan Meyer and Carter Warne.
Members of the Viborg-Hurley FFA Chapter competed in S.D. Farmers Union Team Up For Safety Quiz Bowl held during the South Dakota State Fair in Huron. Team members include Kolby Lee, Cassidy Sayler, Elizabeth Benauente and Brittney Nelsen.
Members of the Wolsey-Wessington FFA Chapter competed in S.D. Farmers Union Team Up For Safety Quiz Bowl held during the South Dakota State Fair in Huron. Team members include Logan Zemlicka, Jacob Sievers, Mark Hamilton and Jayden Kahre.
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UNION FARMER Roger Johnson
National Farmers Union President
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he past few years haven’t been easy for family farmers and ranchers. Between a steep decline in farm income, weather volatility due to climate change, corporate consolidation, uncertainty surrounding international trade markets and degrading rural infrastructure and services, there’s a lot on farmers’ plates. That’s why it’s more important than ever for their voices to be heard in Washington. This September, Farmers Union members had an opportunity to advocate for themselves at the organization’s Fall Legislative FlyIn. More than 300 family farmers and ranchers traveled to the nation’s capital to speak with members of Congress about the most important issues they’re facing, including the farm safety net, renewable fuels and access to healthcare. 2017 Fall Fly-In Brings 320 Farmers to D.C. Three hundred and twenty farmers from across the country were in Washington, D.C., Sept. 10-13, for NFU’s Fall Legislative Fly-In. The event gives Farmers Union members the opportunity to directly participate in NFU’s grassroots policymaking process. The week kicked off with a briefing at the U.S. Department of Agriculture (USDA). Participants heard from U.S. Secretary of Agriculture Sonny Perdue, USDA Assistant to the Secretary for Rural Development Anne Hazlett, USDA Natural Resources Conservation Service Acting Chief Leonard Jordan and USDA National Agricultural Statistics Service Administrator Hubert Hamer on a variety of farm and agriculture issues, including the farm economy, conservation, healthcare and the farm bill. In the afternoon, U.S. Senate and House of Representatives agriculture committees’ staff members spoke to the crowd about the committees’ fall agendas. During the following two days, teams of Farmers Union members stopped by the offices of all 535 members of Congress to highlight the key objectives for the organization, struggles they are facing and goals for future legislation, including the 2018 Farm Bill. This year’s priorities included farm safety net, access to affordable and quality healthcare and expanded use of ethanol and advanced biofuels. NFU also recognized 33 outstanding U.S. Senators and Representatives who have demonstrated leadership and support at the federal policymaking level for family farmers, ranchers and rural communities with the Golden Triangle Award, the organization’s highest legislative honor. Opt-Out Option for Dairy Margin Protection Program The U.S. Department of Agriculture (USDA) announced that dairy producers would be able to opt out of the Dairy Margin Protection Program
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OCTOBER 2017
(DMPP) for 2018. DMPP, which replaced the Milk Income Loss Contract (MILC) program, was implemented in 2014. For a $100 administrative fee, participating producers are provided catastrophic coverage when the national dairy production margin, the difference between the all-milk price and average feed costs, is less than $4 per hundredweight. For a premium, producers can also purchase various levels of “buyup coverage,” which offers payments when margins fall between $4 and $8 per hundredweight. Though the program is voluntary, producers who enrolled when it was introduced in 2014 were expected to re-enroll every year through 2018. The program has allowed participants to choose different levels of buy-up coverage each year, but purchasing catastrophic coverage has been mandatory. National Farmers Union was initially optimistic about the program, particularly the flexibility it gave dairy producers to select coverage levels best for their operations. Dairy farmers were optimistic as well – more than 50 percent of U.S. dairy farms signed up for some level of coverage. However, in the subsequent years, it became clear that the program was not providing meaningful support. Although milk prices have remained significantly below the cost of production, payments have only been allocated to producers opting in to the highest levels of coverage. In response, NFU’s board of directors released a resolution calling on legislators to provide the U.S. Department of Agriculture (USDA) the authority to provide direct assistance to struggling producers and to refund dairy DMPP premiums. Producers who wish to opt-out of DMPP next year can do so by simply not signing up during the registration period. Those opting out would not receive any DMPP benefits if payments are triggered for 2018. Producers who opt out are eligible to participate in the Livestock Gross Margin program for dairy, an alternative to DMPP, offered through the federal crop insurance program and sold locally by crop insurance agents. NFU Board Issues NAFTA Resolution National Farmers Union board of directors issued a resolution in September regarding the renegotiation of the North American Free Trade Agreement (NAFTA). The resolution outlined NFU’s support for trade reform recommendations proposed by the Coalition for a Prosperous America, of which NFU is a member. The asks include reducing the trade deficit, reinstating country-of-origin labeling (COOL), improving wages and labor standards, addressing border adjustable taxes, strengthening rules of origin and eliminating investor-state dispute
UNION FARMER
settlement (ISDS), among others. NAFTA, a trilateral trade deal between the United States, Mexico and Canada, has had significant implications for family farms and rural communities. It has contributed to the massive U.S. trade deficit, consolidation of agricultural markets and farms, currency manipulation and weakened national food sovereignty. Trade representatives from the United States, Canada and Mexico have held two rounds of negotiations, one in the United States and another in Mexico. An additional round of talks is scheduled to take place in Canada in late September, and it is hoped that a deal will be reached by the end of the year. Farmers Union Powers transition to Renewable Energy Homegrown, renewable energy benefits all Americans. Biofuels, higher blends of ethanol in gasoline and advanced, bio-based technologies not only reduce greenhouse gas emissions, but they also provide low-cost, high-performance options at the pump, offer economic stability for American farmers, create new well-paying jobs in rural communities, generate millions of dollars of new tax base and contribute to energy sovereignty. NFU and state Farmers Union divisions launched an initiative to advance federal policies that support homegrown and home-produced renewable energy sources. The initiative follows a special order of business that was passed by delegates to the NFU 115th Anniversary Convention in March. It will promote legislative and regulatory solutions for expanding markets for higher blends of ethanol, like E-30, and advanced biofuels. NFU hired veteran energy, environment and agriculture policy specialist Anne Steckel to lead the effort. Steckel is the Principal and Founder of Ardent Strategies, LLC, a consulting firm focused on energy, agriculture, environmental and transportation issues. She has worked in Washington, D.C., for more than 20 years, most recently serving as the Vice President of Federal Affairs for the National Biodiesel Board. Shortly after announcing the initiative, NFU President Roger Johnson submitted public comments to the U.S. Environmental Protection Agency (EPA) to issue Renewable Fuel Standard (RFS) volume obligations that expand markets for higher blends of ethanol and advanced biofuels. Each year, EPA sets a minimum volume of renewable fuel to be added to petroleum-based transportation fuel, but the quantity has waned in recent years. NFU will continue to support a strong RFS for the benefit of American family farmers, consumers and climate change mitigation. Current as of Aug.16. The Washington Corner can also be found at www.nfu.org/corner.
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UNION FARMER
From the President....
Young & Old Shared Doug Sombke Our Story in D.C. SDFU President
M
ore than 300 National Farmers Union family farmers from across the nation attended the latest Fly-In to our nation’s capital in September. Among them were nearly 30 SDFU members from across the state. Families from Buffalo, Pierre, Gregory, Aberdeen, Watertown, Lake Preston, Wessington Springs, Huron, Miller, Salem, Wolsey, Faulkton and Sioux Falls made the trip to D.C. to share our story. Inspired by agriculture’s recent slumping economy, even though we all have different methods of farming, our focus was unified on three topics: 1. Ensuring a strong safety net program in a new farm bill; 2. The condition of rural healthcare needs attention; and 3. National infrastructure for E-30 use in non-flex-fuel vehicles. All three topics are very important in farm country and our rural economy. Our timing couldn’t have been better to be talking to Congress on all three because Congress just returned to session from its summer recess. Our visits took place while conversations with their constituents from their home districts were still fresh on their minds. During our Hill visits, many remarked how vital it is for family farmers, like us, to be in D.C. sharing our personal views on what is actually happening outside the beltway of D.C. While in D.C., EPA Administrator Scott Pruitt had the American-grown ethanol industry testify before EPA. Following the testimony, he stated that it may be time to lift the 15 billion gallon blend limit. While at the same time, during his presentation to NFU Fly-In participants at USDA Headquarters, USDA Secretary of Agriculture Sonny Perdue, commented that he and Pruitt were working to lift regulations which limit family farmers ability to operate freely. If you’re interested, NFU president Roger Johnson points out how ethanol assisted rural communities and family farmers dig their way out of the 1980 Farm Crisis. He discusses how non-flex-fuel vehicles can do the same today by using E-30 – a product which will also benefit our air and changing climate. You can find the article online at www.governorsbiofuels coalition.org/nfu-pushes-ethanol-as-theanswer-to-ags-economic-woes/ More on the Fly-In S.D. Farmers Union Fly-In participants
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divided into five teams to deliver our message on Capitol Hill. We had very candid and open sessions with congressional aids and members of Congress. While we did focus on the three main topics, opportunities did arise for us to share other issues decided in Congress and by the president that impact our daily lives as family farmers and ranchers. Even our younger members got into it, sharing with Secretary of Agriculture and congressional leadership how the current school lunch program is not working for them and their peers. Secretary Perdue commented on the troubles that the largest meatpacker in the world has with meat imported from Brazil into the U.S. He also discussed a recent agreement with China about accepting beef from the U.S. and their interest in knowing who raised it. He came short of mentioning the need for COOL (country-of-origin labeling) in the U.S. This didn’t stop our delegation from discussing the need for COOL on every congressional visit we made. The common message we heard from Congress on COOL was that our language must be written to be WTO (World Trade Organization) compliant. I personally feel this can and will be done sooner than later. Farmers Union will continue to be a leader on this front. All in all, Farmers Union’s national effort during this annual D.C. Fly-In will be proven to be successful as history unfolds. As an active family farmer, raising livestock and grains, like you, I know higher prices for what we raise can’t come soon enough. We are all struggling to make ends meet. I also know you are very busy with day-today farming concerns which limit your time and ability to leave the farm or ranch and speak out to lawmakers and price setters who impact everything you do as a farmer or a rancher. Just know, South Dakota Farmers Union is here for you. We will continue to earn your membership and trust, standing up and speaking out for you and your family’s future in rural America. God bless all you do!
South Dakota
UNION FARMER
A PUBLICATION OF SOUTH DAKOTA FARMERS UNION
South Dakota Union Farmer, ISSN 0745-8797, publishes 10 times per calendar year, with issues printed in January, February, March, April, May/June, July/August, 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 Kayla Foreman ......ext. 118 Controller Miller
Rachel Haigh-Blume ....ext. 125 Education Director Tulare
Kecia Beranek.........ext. 113 Communications Specialist Miller
Christina Dexter............ext 122 Legislative Specialist Huron
Pam Evenson ..........ext. 116 Membership Specialist Doland
Luanne Thompson.......ext. 111 Administrative Assistant Virgil
SDFU Board of Directors Doug Sombke.........President Groton Wayne Soren..Vice President Lake Preston Terry Sestak..............District I Tabor Jim Wahle ................District II Salem Gail Temple ............District III Clark
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 Darin Von Ruden, 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 ~ Wendy Sweeter, Copy Editor Tri-State Graphics, Layout and Design
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
Doug Sombke South Dakota Farmers Union President
UNION FARMER
OCTOBER 2017
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UNION FARMER Renewable Continued from Page 19 rural communities prosper and enable American drivers to benefit from homegrown, low-cost, highperformance choices at the pump,� says Brian Jennings, executive vice president of the American Coalition for Ethanol. “The American Coalition for Ethanol (ACE) welcomes the continued leadership of NFU as we all work to clear a pathway for widespread use of high-octane fuels in the future.� “The National Farmers Union has long been an ardent and effective advocate for farmers and valueadded agriculture,� says RFA President and CEO Bob Statement of Ownership, Management, and Circulation (Requester Publications Only) 1. Publication Title
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South Dakota Union Farmer 4. Issue Frequency
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09-07-2017
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Doug Sombke, South Dakota Farmers Union 1410 Dakota Ave. S, Huron SD 57350
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PRIVACY NOTICE: See our privacy policy on www.usps.com.
OCTOBER 2017
PS Form 3526-R, July 2014 (Page 2 of 4)
Order Your Own Copy of the Farmers Union Centennial Cookbook
Statement of Ownership, Management, and Circulation (Requester Publications Only)
14. Issue Date for Circulation Data Below
South Dakota Union Farmer 15. Extent and Nature of Circulation
Karla Hofhenke, South Dakota Farmers Union 1410 Dakota Ave. S, Huron SD 57350 Editor (Name and complete mailing address)
Dinneen. “I am quite pleased that NFU is poised to expand its advocacy to focus more directly on the U.S. ethanol industry, both through higher level blends and increased advanced biofuels production. Ethanol is the cleanest, lowest cost, highest octane source of fuel on the planet and we want to ensure greater market access for higher level blends. Consumers win when there’s a choice at the pump and we welcome the National Farmers Union’s efforts to ensure greater market competition.� Courtesy of NFU
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Cookbooks are $15 plus tax and shipping. Contact Pam Evenson, 605-352-6761, ext: 116, to place your order today!
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UNION FARMER THANK YOU SOUTH DAKOTA FARMERS UNION To the Farmers Union and all your kind humble but great big thank you and what a people who were at the State Fair, Saturday, special thing for you to do! Sept. 2, when I received the Rural Dakota In appreciation, Lorelee Nelson, Pride Award and the beautiful vase! A Carthage, S.D.
Farmers Union signs available
~ Departings ~ Glenn Johnson, 77, of Groton, passed away July 22, 2017 at Aberdeen. Glenn is survived by his wife Alvina Johnson of Groton, his children, SDFU District 7 President-Chad (Michelle) Johnson of Groton, Lyncee (Nick) Monson of Groton, two step-daughters, Pam Wiseman of Springfield, Mo., Kathy (Dale) ZamboLesmeister of Eagle Butte, grandchildren: Brenna & Porter Johnson, Hailey & Hannah Monson, step-grandchildren, Tonica, Ryanne, Karla and Dustin, several stepgreat-grandchildren. Dallas Sombke, 79, of Groton, passed away Aug. 16, 2017. Dallas is survived by his children, SDFU President-Doug (Melenie) Sombke of Groton, Dean Sombke of Grand Island, Neb., Sharolyn (Kevin)
Jondahl of Groton, 9 grandchildren and 6 great-grandchildren. Cleo Barry, age 53, of Carter, passed away Aug. 30, 2017. She is survived by her husband, Wade, and children, Wade Jr., Windsor, Taylor and Tawny. Bertha “Bert” Marie Stiner, age 86, of Huron and formerly of Wessington, passed away Aug. 31, 2017. Bertha is survived by her husband Rennald; her son, Kerry (Bonnie) Stiner of Burke, her daughter, Rennae (David) Padderud of Britt, Iowa, along with their children, Dustyn Padderud and Kelsey (Nick) Baker (Brody, Eli, Brooke), 12 great5 grandchildren and grandchildren.
COOK’S CORNER
Oatmeal Chocolate Chip Cookies
Show your Farmers Union spirit with a special Farmers Union sign. Available for a limited time, the sign makes a fun addition to the farm driveway, the side of a barn or even a statement piece in the house. The cost per sign is $10 or free with a 5-year or greater membership to Farmers Union. To get yours today, contact Membership Specialist Pam Evenson at 605-352-6761 ext 116 or at PEvenson@sdfu.org.
SDFU CLIP AND SAVE CALENDAR OCTOBER 9 State Office Closed 10 KELO AM Radio Show, Sioux Falls 12 National Farmers Day 19-20 SD Women in Ag Conference, Deadwood 20 Haakon County Mtg., TBA 28 District III Annual Mtg., Watertown
Dallis Basel, Union Center, S.D.
1 ¾ c. all-purpose flour 1 tsp. baking soda ½ tsp. salt 1 ¼ c. brown sugar, packed ½ c. granulated sugar 1 c. butter, softened
2 lg. eggs 2 tsp. vanilla 2 ½ c. quick oatmeal 2 c. chocolate chips 1 c. walnuts, optional
Combine flour, baking soda and salt in a small bowl. Beat brown sugar, butter and granulated sugar until creamy. Beat in eggs and vanilla. Gradually beat flour mixture into sugar mixture. Stir in oats, chips and nuts; mix well. Let dough chill for a few hours in the refrigerator. Bake at 375 degrees F for 9 to 10 minutes for a chewy cookie or for 10 to 12 minutes for a crisp cookie. WWW.SDFU.ORG
UNION FARMER
NOVEMBER 1 SDFU Foundation Scholarship Deadline 8 SDFU Board of Directors meeting 14 KELO AM Radio Show, Sioux Falls 15 SDFU Foundation Graduate Scholarship Deadline 23-24 State Office Closed 30-Dec. 1 SDFU State Convention DECEMBER 9 District II Mtg., Woonsocket 12 KELO AM Radio Show, Sioux Falls 25-26 State Office Closed
OCTOBER 2017
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