Tag Archives: Greg Judy

Operational Considerations

Change is not always good – certainly i’ve made more than my share of changes that have turned out badly and/or expensively. But i’ve learnt, tried, and found what i do NOT want to do.

When my children were little and had their own bits to do, i planned and built with their little bodies in mind. In other words, all the equipment and chores had to be designed so that a child can do it and be successful without overcoming them with too much work. I find that the older i get the more i need to lean back into that mindset for myself!! The adage of work smarter, not harder is becoming more important – in reality, it’s always the right thing. As David Pratt reminds me “you can be efficiently doing the wrong thing.” The key is to be effective. Is what i’m doing important to my goals – what are my goals? Am i aiming for the right target?

I’ve learnt from many grazing teachers (or as they are often referred to ‘gurus’), my experience and knowledge has greatly increased as i implemented their suggestions and techniques. But, when “Total Grazing” caught my attention, I was intrigued enough to explore this new thought process. My farming/ranching operation is now poised to become more fun and more profitable and I’m excited again about my career/lifestyle choice ingrained in my DNA and encouraged by my Grandpa Falconer on whose land (now mine) my cattle graze.

Some general thoughts, considerations, ideas, suggestions, and changes:

  1. Forage testing not needed – observe your cows and their manure. Of course, i had just tested 3 spots of forage and spent $150 in testing and shipping (not counting labor -because farmers don’t do that but should). When i sent the results to Jaime Elizondo, who has developed the pillars of Real Wealth Ranching, he advised me to observe the manure as to whether or not the cows need supplemental protein on mature forages. I was surely wanting him to tell me which of the protein results numbers generated is the one i choose to determine the need for protein (all the numbers were at the 8% threshold). Funnily, he would NOT answer that question. He patiently, yet persistently, circled back to “observe the manure”. So, that is what i will do – and i will no longer waste money on forage sampling.
  2. Consider weaning all spring born calves before December then selling or feeding them through winter. I’m not keen on feeding calves through winter or anytime for that matter, however, i will consider weaning then selling the steers and any heifers i won’t keep for replacements. I would then have far fewer animals to feed. I’m not set up to feed calves, so that will take some planning. Pulling the calves off earlier than March (my traditional weaning time) will give the cows a much longer time to recover as well as not have the stress of nursing the big calves in addition to preparing to calve in April.
  3. It would be nice to get away from purchasing high protein tubs – handling them is doable by myself despite them weighing 200 lbs each. I simply slide them out of the bed of my pickup into the bed of my John Deere Gator, then in the pasture, i pull the tub out onto the ground. I can haul 2 tubs at once this way. I’ve also hauled 6 to the pasture in the back of my pickup, but this is tricky in winter because of bad roads and muddy or snowy/icy fields.
  4. A better protein supplement is good quality alfalfa or other high protein legume or grass hay. I’m not sure how i can implement this with the equipment i have. However, it could be that weaning the calves before December will eliminate any protein supplementation for the cows.
  5. Given the distance from my house to the farm, i know i cannot implement the everyday 4x a day moves. However, i can do this more often if i don’t have the expense of other labor intensive chores. Wintertime, however, has a different challenge in that sometimes road conditions won’t allow me to get there for up to a week or rarely even longer!
  6. This year (2021), i am very low on cows numbers because i sold so many last year to avoid feeding any hay – thankfully, i did so because i will have to start feeding hay had i not done so – still going to be close. So, what to do to increase numbers for the upcoming grazing season? This is a question i am researching and deciding – what do i like to do? Stockers? Heifers? Steers? Cow/calf pairs? There are tools to help with the financial decisions but the quality of life decision is mine.
  7. To reclaim the 120 acre Bowyer farm, i’ve been advised by two friends, Greg Judy, regenerative rancher (and wife, Jan, on Green Pastures Farm) in Clark, Missouri, USA and José Manuel Gortázar, Savory holistic instructor teaching in Coyhaique, Chile on the farm he and his wife, Elizabeth, own and operate – Fundo Panguilemu not to worry with planting anything on the soil which has been organically soybeaned for 4 years. It is likely there is plenty of seed still in the soil which will come back with proper grazing management. I do know from observation, that the one year the farmer didn’t not plant soybeans it grew massive (like 6 feet tall!) foxtail and cocklebur. Not good choices, but very high quality forage actually if grazed at the right time. I’ve considered dragging a no-till drill up there and putting in oats as a suppressive, but weighing the cost and time to do so is not fun. I don’t like to drive a tractor and machinery plus our 15 foot drill does not shift to an inline pull, so it’s kind of dangerous to get it up to my farm on the long narrow and hilly roads. I think we are selling our no-till drill this year anyway. Running machinery is not a high priority for us and there are only so many hours in the day.

Every year, I make changes to my annual ‘itinerary’ and this one is no different. Time to type up a new plan.

Cheers!

Selecting Land

My good friend, Greg Judy, who actually has a Youtube channel to which you can subscribe for his interesting and informative videos about farming/ranching and a whole host of other topics related to profitable cattle and sheep farming, has offered up some key points for considering land purchases for your specific goals.

Greg’s check list when selecting a farm.

The check list really hasn’t changed in considerations for the purchase throughout history.

Cato’s list has more detail and although he uses the word ‘folly’ in what other people build (like barns for livestock), it can be used in your favor should you need a new or nice home or are considering a dairy operation or some such. Yet, the basic consideration is, does my operation actually require the use of a high maintenance, taxable building which sits empty most of the year.

Buying undeveloped land may seem less expensive, but bear in mind the high cost of making it livestock worthy (or whatever it is you will use your land for). Perimeter fencing is expensive made even more so if hiring a bulldozer to clear the fence rows first is necessary.

As we get older, land which may be more expensive yet closer to a hospital or at least a sealed road will likely become more important.

If you are so fortunate to find a reasonably price parcel in the location important you, with limited buildings, then don’t wait because someone else will buy it. Desirable parcels of property are snapped up very fast. My observations of looking for properties, indicates that poor properties are offered at ridiculous prices just hoping for someone to bite; quality, in-demand properties will sell immediately and land auctions are becoming more popular due to immediate sell and they are bringing a premium price.

If the neighbours aren’t interested in the property and it has been languishing on the market, that is a red flag that something is wrong – do in depth research. Oftentimes, it can be high taxes, poor production values, swampy land, no water, low rainfall, the lay of the land requires constant maintenance (i have a 160 like that, every little rain causes my deep watergaps to blow out, fighting encroaching brush is an annual and long days event)

My personal search requires:

  1. enough acreage in one block location with minimal perimeter (in other words more squarish, not nooks and crannies. one property online had 11 miles of perimeter to maintain yet enclosing only 1700 acres!)
  2. A nice home which has been built with finishes which stand the test of time. Too many homes from the 80s and 90s and so faddish inside, it needs to be completely gutted and redone. May be better to tear it down and start again. Not out of the range of possibility, just be sure you aren’t paying twice for a new home.
  3. Live water with no or little flood plain.
  4. Located on a sealed road with minimal traffic
  5. Near infrastructure to livestock auctions and other supportive ranch venues
  6. Warm winters, warm winters, warm winters – did i mention warm winters?!
  7. Minimal timber and very little brush.
  8. I would like to not be close enough to neighbors to hear or see them, but within 2 hours of a major airport.
  9. Price is critical – i’m not rich – the ranch i buy must find a way to pay for itself or at the least provide a good rate of return. This is nearly impossible in today’s environment where there is very little low risk good investment. Land is in too expensive for its productive value.

On the Verge of Ragweed Allergy Season

Paddock 18a is located near my corral and therefore is overused.  It seldom has opportunity to get any rest and mercy it sure shows.  This year, i was determined to give it a rest and let something grow.  Typically the succession plant to damaged soil are tough weeds and my experience is no different.  Before the ragweed is pollinating, i thought i’d go have a look.  There is very little palatable undergrowth – these tall weeds – mostly ragweed and cockleburr can out compete nearly anything.

So my plan is to mob graze this 4.5 acres paddock with all my cows (about 150 adult animals and 60 calves) keeping an eye to the volume of tasty forage they need to leave behind, then come in and brush hog the remaining tall stuff before it goes to seed.

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the cows will eat the tops now – not really strip it like they will giant ragweed (which i call horse weed), but the stalk is pretty stiff so it doesn’t knock down very well. hoping to set back enough to let sunlight down into the canopy and let more desirable species get a chance. Next spring, i’ll plan to broadcast oats and try to compete with the ragweed and continue to rest the paddock as appropriate. this paddock has been abused the past 2-3 years and i let it rest for a long time this year – the result of abuse is clearly evident as natural sequence of healing occurs.

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I drove into this paddock to see what is growing. From a distance this didn’t look so tall. I’m think of letting the cows in to mob it as much as they will on a 4.5 acre paddock. I cannot even walk through this. The photo is taken from the relative safety of my a/c Gator. on 14 August 20.

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Check out this short video my friend Greg Judy puts together to help graziers manage their stock and soil.  Greg is an excellent teacher – you might enjoy subscribing to his YouTube channel.

 

 

Summer Slump Savvy

Another great video by Greg Judy describing summer slump grazing in Missouri.  He lives in central Missouri.  He also gives his two great interns special attention in this one.

Summer Slump Management

No One Owes You A Living!

 

The world, including the US, does not owe you a living. Or as Dave Ramsey would say, “You Are NOT Entitled To Anything“. If you dream to make a widget and insist that everyone must support you in your dream and insure that you make a full time living making that widget, then i fear you may be sorely disappointed.  Especially, if your widget making imposes on others’ freedom and property rights.

There are very few, if any, financially successful people with no debt and have, or are building wealth, working only one job.  Often the most successful have at least 2 or 3 other gigs on the side going.  (Even Warren Buffet has several unrelated income streams going!)  When you are in your teens, twenties, and even into thirties, you have energy, vision,  and motivation that enable you to put in 10-16 hours a day, 6 days a week.  This allows you to save, build equity, and work towards your dream job if you aren’t already doing that.  When you are older and that energy level drops, hopefully those side gigs are the money invested which are then working for you rather than you working for it.

I recently wrote a blog which told of the near impossibility of a person to get into farming or ranching these days.  This is largely due to the out of balance cost of land vs its productive value.  However, it is not yet impossible to farm and build wealth – even without incurring massive debt!  It may take longer, however.  And, i know of absolutely no one – young or old, in the present or in the past- who can farm or ranch (or any other business for that matter) full time without some sort of side gig.  Read stories of old timers – they were blacksmiths, carpenters, mechanics, traders, transportation specialists, suppliers; any skill they could put to use for pay was engaged.  Wives farmed alongside their husbands, raised the children, and often had a couple side gigs as well.  (Yes, i know that many women are farmers and ranchers, i am one, but also raised my own children, managed the household, and help with the farm.)  It is the same today – if you want to farm (or start any business for that matter) you’d better put a sharp pencil to how you’ll put food on the table and a roof over your head.  Don’t incur debt and make sure you have some savings.  (a borrower is always slave to the lender).  Operational farm debt is as bad as school loans.  Debt for building  a depreciating asset may be the worst of all!  What if something happens to you?  make sure you have plenty of life insurance!  Liability, maintenance, disease, accident associated with buildings and machinery are expensive and ongoing.  Once debt is incurred for a single purpose gadget, you have to keep it going or you may default or leave your family with a ball and chain which seldom adds value (it may actually devalue) to your property. Better yet, don’t go into debt.

Keep your paying job and save your money before you buy a single acre or cow or gadget. Many ranchers today are leasing both land and cattle which can be a great way to get started with very little investment or risk.  Best book i’ve read on this is Greg Judy’s book, No Risk Ranching.  Maybe you won’t have the exact same opportunities that Greg has, but use your imagination – maybe you’ll have to move – as Allan Nation, founder and former editor of Stockman Grass Farmer, used to say, “Everyone has an unfair advantage.”  Figure out yours and put your best foot forward.

Many farmers today still abide by the ways of Earl Butz to ‘get big or get out’ and we now have such an abundance and overproduction of all products that prices continue to slide.  Yet, the mantra continues to be ‘produce more’  and use the economy of scale to maximise profits.  That may good to a point, but the cost to the environment has been substantial by farming ‘fence row to fence row’  and with government subsidies now firmly entrenched there is less risk of a ‘failed crop’ resulting in going broke regardless of debt load or lack of wise financial planning.

I’m not espousing a return to farmers falling out due to the vagaries of weather, political machinations, or burdensome regulations.  Without subsidies, food, fiber, energy prices could soar to the level of parity and the consumer would certainly cry ‘foul’.  But, we all must remember that the economic  rule of supply and demand may cause us to consider better management practices.

There is the concept of focusing on profit rather than production.  If it is possible to make more money producing 120 bushel corn to the acre rather than 200 bushels to the acre, would that be something to consider?  what is the cost to the land and quality of life to produce 200 and even 300 bushels to the acre?  Can i do a better job of regenerating and improving the soil i have to increase pounds, bushels per acre and lower cost as well?  There are a lot of opportunities and new/old practices to learn – the hard part is keeping it simple and CHANGE!  This is a head issue – don’t be a stiff necked people.

Speaking of quality of life – how have you organised your dream?  does it enhance and edify others?  or detract from the lives of others?  is it sustainable?  is it regenerative?  can you keep doing this for the next 60 years?   If not, it’s not sustainable and you had better have a plan in place for the future, less strong, less energetic you.  Will your model rely on unpaid labor of yourself or your family?

Happy Planning!

 

Proverbs 6:

1My son, if you have put up security for your neighbor, have given your pledge for a stranger, 2if you are snared in the words of your mouth, caught in the words of your mouth, 3then do this, my son, and save yourself, for you have come into the hand of your neighbor:  go, hasten,a and plead urgently with your neighbor.

4Give your eyes no sleep and your eyelids no slumber; 5save yourself like a gazelle from the hand of the hunter,blike a bird from the hand of the fowler.

6Go to the ant, O sluggard; consider her ways, and be wise. 7Without having any chief, officer, or ruler, 8she prepares her bread in summer and gathers her food in harvest.

9How long will you lie there, O sluggard? When will you arise from your sleep? 10A little sleep, a little slumber, a little folding of the hands to rest, 11and poverty will come upon you like a robber, and want like an armed man.

12A worthless person, a wicked man, goes about with crooked speech, 13winks with his eyes, signalsc with his feet, points with his finger, 14with perverted heart devises evil,
continually sowing discord; 15therefore calamity will come upon him suddenly; in a moment he will be broken beyond healing.

16There are six things that the LORD hates, seven that are an abomination to him:
17haughty eyes, a lying tongue, and hands that shed innocent blood, 18a heart that devises wicked plans, feet that make haste to run to evil, 19a false witness who breathes out lies, and one who sows discord among brothers.

 

Writing a Farm Lease

Though i now don’t plan to lease out again, many people will, so below is an article and link which may give you some ideas on what to address in a lease agreement.

Online searches will give you oodles of ideas to consider adding to your lease.  A link to a sample PDF Missouri cropland lease, Verbal Farm Rental Lease Agreements, Missouri Farm Leases; Legal Aspects,

If you are the tenant, Greg Judy has a book devoted to writing agreements and working with landlords.  No Risk Ranching

Developing A Sound Farm Lease Agreement

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Northeast Missouri Ag Connection

Volume 6, Number 10 – October 2019

This Month in Ag Connection


This Month in Ag Connection | Ag Connection – Other Issues Online

Developing a Sound Farm Lease Agreement

Farm lease agreements can be cash, share or flexible. Each type has some unique characteristics, but some items should be in all types of written leases.

Names and signatures of all parties is essential. This means if one or both parties are married, then the spouse should sign. It is recommended to include the addresses of each party, as well as, date when signed. A notary is not required, but can be used.

A description of the property to be leased should be included. This can be the legal description and/or the Farm Service Agency farm and tract number. If the property is known by something else such as the “Brown Place” then it should be included. Producers and landowners are more likely to be familiar with the farm and tract number or the common name for the property rather than the legal description. Another reason to include the common name of the property and the farm and tract number is for easy reference in case the main business operator is incapacitated.

The lease period should be clearly stated. Is the lease term for one year, two years or longer? The start and end date including the year should also be stated. Some leases will state a 30, 60, or 90 day written notice period if either party wishes to terminate the lease on the end date. This is not required, but done to allow each party time to find new ground or a new tenant. It also helps manage expenses for the tenant, specifically prepaid items and operating loans. For the landowner, they may rely heavily on the rent income so they may use the time to secure another renter. In Missouri, unlike our neighboring states of Iowa and Illinois, written farm leases can start and end on any date designated by both parties. This is another reason the length of the lease should be clearly spelled out.

Rental rates and arrangements are another essential part of a good lease. Rental rates are often determined by the going market rate for that area. Before arriving at a price based strictly on the area’s going rate, look at yield history of the ground. Some of this will be determined by the tenant’s inputs, but over time, especially with different tenants, a trend line should emerge. Knowing yield data benefits both the landowner and the tenant so the sharing of yields could be incorporated into the lease. When looking at a rental rate, from the producer side, determine how much can be paid for rent based on individual cost of production. Iowa State University Extension has a tool that does this and can be found at https://www.extension.iastate.edu/agdm/wholefarm/html/c2-20.html

From the landowner viewpoint, decide if this is a financial investment with the highest price in mind. On the other hand, are there other factors that make a difference, such, as does the tenant keep the farm looking good? Do they watch over the place in your absence? Are they responsive when contacted and communicate well? What is important will vary according to the situation.

Along with the rental price, the timing of the payment or share should be specified. For a cash lease, this is often twice a year, but could be once a year or other specified times like quarterly. The date of the payment and amount due each time should be in the lease. For crop or livestock share agreements, this could be at the point of sale or a set number of days after harvest or sale. The producer should keep an accurate record of expenses. Sometimes these are split according to the percentages throughout the year and sometimes they are settled up after harvest or sale.

Another key element is right of entry. A landowner will not legally be allowed to enter their own leased property unless this right is reserved. This is usually done for inspection of the property or to accesso another piece of ground not leased. This point is not one that is often a problem, but should be discussed so crops are not damaged or livestock riled by excessive entry.

If the landowner wants to reserve the hunting and fishing rights, that should be added to the lease. Otherwise, those rights are transferred to the tenant.

Operating expenses need to be clearly stated. In a share lease, expenses are typically shared the same way as the crop or livestock income. Ideally, it is best to spell these out to avoid miscommunication and so that those expenses can be tracked. Sometimes an expectation exists by one party in a lease, but is not written. A common example would be the tenant expecting the landowner to supply lime on pasture and hay ground. While this is a common custom for short-term leases, it is not required.

Conservation practices is another point of discussion. Will growing crops have to be torn up to build terraces or will wheat have to be planted for the landowner to be eligible for terraces? Is there a place to move the cattle, while a pond is built? Do we agree on the conservation plan or is there a reason for a certain rotation such as a persistent weed problem?

Improvements and repairs are a part of any operation. Determining who is responsible for the decisions and labor; who will pay for what; and when will they be done is important when entering into the agreement. Issues may include fence or facility concerns to rill and gully repair to the installation of wider gates for bigger equipment. If something comes up unexpectedly during the lease period, an amendment can be added to the lease if all parties agree.

A statement such as “this lease does not constitute a partnership” clarifies the relationship and affords some liability protection. Arbitration is another item to consider including in the lease. This allows a way to settle issues that the parties cannot agree upon. The intent is to avoid legal proceedings and finish the lease term.

In summary, a good lease involves clear and concise communication. It is easier to do this if the agreement is in writing. An excellent resource for written lease documents is https://aglease101.org.

Source: Darla Campbell, Ag Business Specialist

Greg Judy on Endophyte Fescue – Part 2

Part 2 of the Winter stockpile by Greg Judy published to “On Pasture” online magazine.

Winter Stockpiled Fescue Trumps Hay Every Time – Part 2

By   /  February 12, 2018  /  2 Comments

Should you get rid of your endophyte-infected tall fescue? Greg shares why we don’t like it, and why getting rid of it may be hard on us too.

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This is the second in a four part series. Here’s Part 1.

Our winter stockpile consists mostly of endophyte-infected Kentucky 31 fescue. This fescue is the most cursed despised grass in the Midwest for several reasons.

1. The endophyte restricts the blood flow to the extremities of some animals, causing some cows to lose tail switches, feet, ear tips.
2. Low weight gains, lower reproduction rates.
3. Rough hair coat.
4. Summer slump, plants stop growing in extreme heat.

There are practices that you can use to kill endophyte-infected fescue on your farm and replace it with the novel friendly endophyte fescue. This novel endophyte is more palatable and livestock can perform better on it.

I have no argument that the novel fescue is better forage, but the cost of converting your farm over to the novel is something to consider. You have to spray the present endophyte infected fescue pasture in the spring with Roundup. This is followed by drilling some kind of summer annual crop into the sprayed area. Then you need to re-spray this same area again in the fall to ensure you killed all the fescue plants that survived the spring roundup spraying. Then you drill the new novel endophyte fescue into the killed sod.

There are several things to consider before taking this journey. Let’s cover some of those items here:

1. When you spray Roundup on your pastures and kill the present stand of fescue, what are your cows supposed to eat that year if it doesn’t rain and the summer annual crop fails?

2. What if it doesn’t rain that fall after drilling the new fescue? Now you are really stuck with a failed grass seeding, bare ground, winter coming and no pasture for your livestock. It’s going to be a long winter feeding hay and no spring grass to look forward to.

3. It will take several years to build enough sod under the new plants to hold up livestock in a rainstorm.

4. The cost of the seed for the new improved fescue will average around $100 per acre with no guarantee of getting a stand of grass.

5. Roundup herbicide cost, spraying, fuel, labor, equipment, no grazing, all add up to another $175/acre.

6. Can the new fescue take a beating like the endophyte infected fescue and maintain a stand to support your livestock? If you want to try the new fescue, plant a small plot first on your farm to see if it persists with grazing pressure.

7. You cannot feed any purchased hay onto this new stand of novel fescue if it contains Kentucky 31 fescue.

8. Finally, if you have endophyte-infected fescue on the borders of your pastures, will it come back? If it does, will you have to go through this whole process over again in five years?

Those are a whole bunch of what if’s that may not work out the best for my pocket book at the end of the day. I also feel like every second that my rear end is plopped on a tractor seat, I am losing money. How about approaching the endophyte infected fescue problem from a different angle – one that will keep the money in everyone’s pocket while allowing us to make a living on our farms?

In Part 3, I’ll share what we have undertaken on our farms with management of our cow herd and grazing to prosper on this dirty endophyte-infected fescue.

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ABOUT THE AUTHOR

contributor

Greg and Jan Judy of Clark, Missouri run a grazing operation on 1400 acres of leased land that includes 11 farms. Their successful custom grazing business is founded on holistic, high-density, planned grazing. They run cows, cow/calf pairs, bred heifers, stockers, a hair sheep flock, a goat herd, and Tamworth pigs. They also direct market grass-fed beef, lamb and pork. Greg’s popularity as a speaker and author comes from his willingness to describe how anyone can use his grazing techniques to create lush forage, a sustainable environment and a successful business.