Database doesn't bother farmer on list

Listing of farm subsidy payments draws attention to farm laws

By FRITZ BUSCH

Journal Staff Writer

BROWN COUNTY -- The Environmental Working Group's Farm Subsidy Website of 2.5 million nationwide farm subsidy recipients from 1996-2000 has been a hot conservation topic from rural America to the nation's capitol since it went on line Nov. 6. 2001.

Springfield farmer John Holles said he doesn't mind the fact that he is the topic of conversation. His 2,500 acre corn, soybean and cattle farm is the 6th-highest farm subsidy recipient among 1,652 Brown County recipients from 1996-2000.

"It didn't bother me that I'm high on the list. I'll tell people straight out. It's their tax dollars at work. The government wants cheap food and this is how they get it." Holles said. "It isn't something I got illegally. As long as it's there, I'll take advantage of it. I didn't ask for the subsidies, but I won't turn them down."

Holles, his wife, children and two hired men work the farm the couple inherited from each of their parents. They received $414,014.81 in farm subsidies from 1996-2000.

He was quick to point out that the subsidy amounts are not net profit amounts for farmers. The subsidies only help farmers pay their expenses.

Holles stressed the need to farm 2,500 acres.

"When your profit margin is 10 cents a bushel, you have to produce a lot of bushels to live off of," Holles said.

If it was up to him, he would rather get higher market prices for his crops than receive subsidy money.

Meanwhile, he's hoping the new Farm Bill yet to be approved, will make more sense than the last one.

"After seven years with the Freedom to Farm Bill, we planted ourselves into a big surplus and taxpayers are paying for it. Maybe they can create a system that will cost taxpayers less," Holles said.

Comfrey farmer Alphonse Mathiowetz, a member of Brown County Farmer's Union said small and medium-sized farms need a new Farm Bill designed to help them.

Mathiowetz said farmers can export everything they have, but it wouldn't mean higher prices for producers.

"The corporate world has all the money," Mathiowetz said. "It's all a bought and paid for political thing with big grain companies. Where is liberty and justice for all? It's all about greed."

University of Minnesota Brown County Agriculture Educator Wayne Schoper said the farm subsidy database information is nothing new. He defended some of the larger subsidy recipients.

"Larger farmers are getting more subsidies. They farm more land and have more risk. Some big corporations are listed because they control the land," Schoper said.

Minnesota Extension Service Blue Earth County Agriculture Educator Kent Thiesse investigated the EWG web site and found some of it's information could be misleading to people that don't completely understand government farm payment programs.

First, total payments for five years were listed in the database. Second, in many cases, two families may be sharing farm program receipts for one farm, which is not identified in the database.

Thiesse said annual payment rates were set on a declining scale for the legislation duration. Market loss assistance and oil seed payments were added over the last year years of the EWG database and again in 2001 to offset extremely low commodity prices and greatly reduced farm incomes.

For example, in the year 2000, the average return per acre without government payments was a negative $62.04 per acre of corn and a positive $1.60 per acre of soybeans, according to farm business management records in south central Minnesota.

Continued low commodity prices the past few years led to large Loan Deficiency Payments and marketing loan gains on the database, Thiesse said.

Since those payments were based on the county loan rate, a minimum commodity price level, they should not be considered a large windfall to farm income.

Thiesse said it is important to understand data sources and the resulting impacts of legislation as the next Farm Bill is written. If that is not done, things could get worse for family farms the Farm Bill is trying to protect.

The EWG said it created the database because current farm policy has badly failed almost everyone in agriculture except the very largest producers of a few favored crops. Most farmers and ranchers receive little or no assistance.

Before Congress enacts another Farm Bill to set agriculture policy for the next 5-10 years at a cost of $170 billion, taxpayers should know how they already invested $90 billion since the Freedom to Farm Bill became law in 1996, the EWG said.

The farm subsidy database web site has been searched 15.7 million times since it went on line Nov. 6, 2001. It was created by the Environmental Working Group in Washington D.C. and can be found at http://ewg.org

Hector farmer Alan Roebke is among those promoting a $10 billion a year farm program, compared to $17 billion versions in the U.S. House and Senate Bills.

Under the $10 billion program:

* Crop receipts are from the market, not the government.

* The government does not become the holder of stocks.

* Government costs are contained.

* Farmers continue to have existing planting flexibility.

* Current low crop price subsidies to processors, livestock producers, and export customers are greatly reduced.

Roebke developed his proposal by looking at net outlays published in the Agricultural Outlook for Fiscal Year 2002. The program is also being promoted by Daryll E. Ray at the University of Tennessee Institute of Agriculture. Visit http://www.agpolicy.org

How they rank

According to the EWG web site, Hector Farms LLP had the fifth-highest total amount in the state from 1996-2000 at $1,679,894.84. Harvest States Coop was far and away the Minnesota leader at $28,145,534.85.

Brown County's leading farm subsidy recipients 1996-2000:

1. Schwartz Brothers, Inc, Sleepy Eye, $613,741.54;

2. Brad and Dean Hoffmann, Sleepy Eye, $562,466.04;

3. Dean F. Schneider, New Ulm, $482,048.87;

4. Nelson Century Farms Inc., Hanska, $451,613.44;

5. Thomas G. Anderson, Springfield, $450,386.73;

6. John D. Holles, Springfield, $414,014.81;

7. Suess Bros., New Ulm, $402,203.78;

8. Margaret J. Thordson, Hanska, $367,559.92;

9. David Anderson, Springfield, $366,918.71;

10. Triple A Farms LLP, Springfield, $347,775.69.

Renville County:

1. Hector Farms LLP, Hector, $1,672,993.36;

2. Tisdell Farm, Olivia, $1,066.695.40;

3. Steve Haen and Partners, Renville, $1,043,843.07;

4. Peterson Partners, Sacred Heart, $880,272.79;

5. Kramer Farms, Hector, $843,056.98;

6. Freiborg Farms, Sacred Heart, $721,924.47;

7. Wacek Farms, Redwood Falls, $678,201.97;

8. Sullivan Farms Inc., Franklin, $541,102.95;

9. Charles Melberg, Hector, $510,335.18;

10. Zabels Inc., Renville, $508,335.93.

Nicollet County:

1. Wenner-Underwood Farms, St. Peter, $785,692.64;

2. Anthony Farms, St. Peter, $496,266.82;

3. Cross Country Farms Inc. St. Peter, $475,776.43;

4. Molitor Farms Inc., Nicollet, $426,241.07;

5. Franta Farms, Lafayette, $372,427.68;

6. Comparts Boar Store Inc. of MN., Nicollet, $354,596.45;

7. Scott Annexstad, St. Peter, $350,572.21;

8. John Krohn, Nicollet, $347,353.84;

9. Bjorklund Bros., Nicollet, $339,256.78;

10. Steven Burnett, N. Mankato, $332,113.57.

Sibley County:

1. Engelmann Bros. Partnership, Green Isle, $618,358.17;

2. A&A Farms Inc., Winthrop, $506,240.47;

3. Michael J. Kokesch, Stewart, $482,249.60;

4. Doehling Farms Inc., Arlington, $480,356.94;

5. Turtle Farms Inc., Gibbon, $456,645.16;

6. Green Isle Countryside Farms Partners, Green Isle, $456,087.03;

7. Robert A. Fischer, Gibbon, $449,175.03;

8. Ryberg Farms Inc., Buffalo Lake, $432,975.63;

9. Randall Kokesch, Stewart, $431,084.35;

10. Burgstahler's Inc, Stewart, $429,853.25.

Watonwan County:

1. Tilney LLP, Lewisville, $954,926.93;

2. James Hopman, Madelia, $490,642.56;

3. Geistfeld Farms Inc., Lewisville, $484,975.99;

4. Terry Pettersen, Lewisville, $478,369.58;

5. David Pettersen, Lewisville, $473,799.64;

6. Richard Downs, St. James, $460,006.91;

7. Clifford Wolle, St. James, $456,882.84;

8. Roger Rettke, St. James, $435,169.75;

9. Robert R. Cunningham, St. James, $427,111.13;

10. Dale Lange, St. James, $427,013.23.

Redwood County:

1. Schropefer Bros., Lamberton, $530,373.54;

2. Fultz Farms Inc., Tracy, $504,807.06;

3. Mervin E. Kerkhoff, Redwood Falls, $472,680.12;

4. Joel R. Irlbeck, Vesta, $460,253.99;

5. RJW Farms, Wabasso, $456,421.04;

6. Debra J. Frank, Morton, $442,274.60;

7. Shelby Farms Inc., Morton, $440,887.22;

8. O. R. Meier, Inc, Redwood Falls, $429,448.90;

9. Potterosa Farms, Redwood Falls, $411,796.33;

10. Leo A. Plotz, Clements, $408,207.83.