Pella Chronicle

Agriculture

September 2, 2011

Pella Farm Lease Workshop attracts great interest

Pella — Forty five landowners from five counties packed the Comfort Inn conference room on August  3 according to Dale Miller, Marion County Extension Director. It was one of 23 farmland leasing workshops around the state of Iowa in July and August conducted by Iowa State University Extension. Steve Johnson, ISU Extension farm and ag business  management specialist, said farm leasing in this volatile environment is a hot topic around the state.

“While cash leases continue to be popular, we’re seeing a lot of interest in flexible lease arrangements,” said Johnson. “That’s where the tenant and landowner set a base cash rent and then depending on yield and markets, the landowner could receive a bonus if the operator has a very successful year,” Johnson explained. “It’s like a profit-sharing arrangement between the tenant and landowner,” Johnson added. You can get more information on flexible leases at Johnson’s website: http://www.extension.iastate.edu/polk/farmmanagement.htm and then click on Flexible Cash Farm  Leases.

Marion County Extension sponsored the Pella workshop which included an 84-page, 2011 Farmland Leasing book. The book contains current information on how to figure various farmland leases, including farmland value data, custom farming rates, economic and land considerations and sample leases, published by Iowa State Extension.  A few extra books are available to the public at $10 each. Pick up you book at the Marion County Extension Office located in the USDA building at 1445 Lake Drive, Knoxville, or contact Miller at 641-842-2014.

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