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A breakfast meeting recently at the Today Farm & Market in Muncy celebrated all things on the policy and legislative end interesting to farmers and those benefitting from agriculture business and industry. That includes everyone who wants food on their plate.
The breakfast offered the latest insight to everyone in attendance, including high school students from Montgomery and Mifflinburg, who belong to Future Farmers of America (FFA), to local business owners and interested parties, who got to hear the latest data and information about Pennsylvania agriculture.
The full country-style breakfast was provided by host Josh Leidhecker, owner of Today Farm, which is a farm business that can be seen from driving by on I-180, or Route 405.
The store was open where there were fresh beef and pork products. The buffet style menu was served and included farm fresh scrambled eggs, a mixture of egg products, biscuits covered by sausage gravy, and bread pudding, kindly served to guests.
The Pledge of Allegiance was followed by a milk toast and salute to dairy farm production kicked off the breakfast. Lycoming County Dairy Princess Desyrae Neidig was joined by SUN Area Dairy Princess Madyson Reich, Union County West End Fair Queen Miranda Zimmerman and Union County West End Queen Miranda Zimmerman.
Special recognition was given by state Sen. Gene Yaw, R-Loyalsock Township, who touched on legislation and topics interesting to farmers such as bonding for solar farms.
He introduced Jodi Gauker, Business Development Extension Educator at the Penn State Extension, the keynote speaker, who discussed the importance for farmland owners having a succession plan in place.
Gauker's deep dive on "transitional farming" included tips on the need for those who own farms to have a will in place, spelling out how to prevent a farm being passed down to all of the heirs.
Gauker said she was listening to a continuing education seminar and heard a question:
"How many of you have a grandparent that says, 'I my grandchildren to own 1/64th of this farm with 37 cousins that they've never met in their lives?'"
"Nobody wants that, right?" Gauker said. "But that's what happens when we don't have a will in place because then the farm gets passed down to all of the heirs and if they don't have a will it goes to their heirs – and that is how we are actually losing a lot of farmland in the United States. It's just because of poor planning," she said.
Gauker, who is married to the ninth generation at Gauker Farms, in Fleetwood, Berks County, shared points for farm transition to include:
• It's never too early to start. Start today and prepare.
• A farmer does not not have to die on the farm.
• If I sell, I am not a farmer -- untrue. If a farmer leases land, he or she remains a farmer and maintains that identity.
"'If I sell, I have to leave.' No, you do not. There are no requirements. You as an owner get to make the decision," she stressed.
• The successor needs to do whatever the owner wants after sale -- false.
• A farm can't possibly support another family or income -- false. Adaptation is possible and warranted in some scenarios, such as selling a product that is raised on the farm. Sometimes the farm must change its model to get a second income, she said, but change can happen.
• A farmer does not have to ask his or her kids for anything. But remember the days ahead. If he or she does not involve them in discussions, the children may leave. To maintain the family bond, a discussion with children about the transition decision is important. Avoid guilt, ask questions and be honest with each other.
The five-year look back period for long-term care does not affect me – false. If you do not want to sell the farm at market price the farmer must have a plan in place as to when that transition should happen. An accountant and attorney can help with these decisions to protect assets and farms.
• Communication is overrated – false. It is key. The farmer must communicate goals, dreams and long-term plans, including discussion with a child who might want to have a different direction.
• I have to do this all on your own – false. Use resources, an attorney, accountant, a lender, trusted financial adviser, a mentor – or a neighbor. An unbiased individual sitting down with the family is critical. Penn State Extension has attorneys and lenders who are certified. The outside sources with experience can ask questions a farmer might not consider. It's important for the outside vision for a successful transition.