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DISCUSS: ‘It’s about being honest and fair and showing respect.’

Good hay ain't free and neither is the quality ground you need to grow it.
Date Posted: July 31, 2024

It’s human nature to pigeonhole. Our inner librarians want to impose order and organize everything into categories based on what they have in common. But if we paint with too broad a brush and lazily assume “they’re all like that,” we’ve crossed into the ugly territory of stereotyping — the shallow end of our thinking.

Consider the common stereotypes of farmers: hard-working, conscientious, salt-of-the-earth, generous… Virtuous and faithful, with unfailing moral compasses and unimpeachable ethics… Altruistic, community-minded and helpful to neighbors — especially fellow farmers.

Farmers helping each other out is interesting. The days of communal barn-raising are long gone, but we’ve all heard of farmers pitching in to harvest the crops of a peer sidelined by injury, disease or other circumstances. Such displays of supportive community warm the heart but also go against the grain of capitalism, because farmers are also competitive businesspeople.

It’s a tough line of work, especially for newcomers. Most new/beginning farmers work their way up through the family ranks; not many are out there shopping for farms like we shop for cars or a new refrigerator. Most farm businesses are passed down from one generation to the next, but growing them (to remain competitive) by adding acreage means competing (again) for attractive parcels as soon as they hit the market.

Over the past year I’ve heard about two extremes in such cases: retiring farmers selectively hand-picking who to rent ground to, and less diligent landowners being scammed by lowballing renters because they don’t know the fair, accurate, appropriate rate.

That’s actually what sparked this discussion topic, but it’s not easy to document. Neither party — the trusting senior landowner or the cheapskate renter ripping them off — is interested in sharing their experiences with someone who writes for a farmer audience.

Here’s how one concerned member described it in a confidential exchange last year: “Laws change, spouses pass, executors aren’t always on top of things — and sadly innocent people lose by being taken advantage of.

“I know old folks who are not aware of raising the rent the farmer should pay — and some who lease hunting rights even though it’s not in the contract!

“I’ve heard of people never getting paid — the ‘renter’ not paying them at all. This is terribly disturbing to me and other older friends who understand.”

Landowners wanting to protect themselves from being taken advantage of need to do some homework to arrive at fair, accurate rental rates.

Smarter brains than mine on your MFB staff suggest starting with MSU Extension, where Cass County Farm Bureau member Jon Laporte brings expertise as a crop advisor and USDA loan officer to bear on calculating county-level farmland-value averages. His Introduction to Renting Farmland is a great starting point.

But averages are just that, and even dummies like me know rich muckland or well-tiled loam should go for more than a sandy ridge, although what you’re planting there also makes a huge difference. Conversations with other nearby landowners, and agricultural lenders like GreenStone, can help you refine and dial in your rental rates so you’re fairly compensated. 

The member who brought this matter to my attention last year summed it up like the best kind of farmer: “It’s about being honest and fair and showing respect.”

Amen!

Think of it as upholding another component of stewardship: Your predecessors on that land — family or not — invested deeply in making that ground as valuable as it is. By dialing in on its true worth, you’re maintaining the legacy of those who made it such a valuable blessing in the first place.

Questions:
  1. Do you or anyone in your group have firsthand experience in being taken advantage of by a fellow farmer? If so, describe.
  2. What sources of land-value data have you leaned on in negotiating with renters?
  3. Cheapskate renters aside, how else have you seen or heard of farmers being taking advantage of?
  4. How can Farm Bureau help protect its members from unscrupulous business practices?
…and/or submit one of the following via email:
  • What local issues are on farmers’ minds in your area that should be addressed in the next five years?
  • What other CAG discussion topics would you like to see?
  • Your Farm Bureau staff in Lansing are here for YOU! What specific questions do you have for them? What assistance can they provide?
Submit your responses (include your name and CAG affiliation)
  • EMAIL: [email protected] 
  • MAIL TO: MFB CAG Responses; ATTN: Ashley Frazee; 7373 W. Saginaw Hwy.; Lansing, MI 48917
Rebecca Gulliver headshot

Rebecca Gulliver

Member Engagement & Field Training Manager
[email protected]