Researching Relevant Professional Development Learning Task #6 Presenting the Findings by Bill Berning

A. Develop a presentation that details what you learned from this research.

When I look back at the interviews, the book "Do We Have a Moral Obligation to Save the Family Farm", and other research I used, I found three learning themes.

One are was recordkeeping that is presently being kept by the average farm. The average sized farm is basically keeping records for taxes. They keep records by check book entries. Even those farms who use computers use them basically for check book ledgers. this differs from the larger farms. The majority of the large farms keep records that use unitized accounting. they know what they are producing per 100 lbs of milk or per bushel of grain. They employ an outside accountant to do this for them. These type of records can be used for management decisions and also taxes.

I asked an Ag Lender, Phil Grosland of Rural American Bank, why banks do not require small farms to keep better records. His answer was that they are trying to convert them over to al least a compiled financial statement. He said they suggest this but do not require the farms because they are afraid that their customers will switch to another lending institution which will not require this of the farms. He als stated that all major expensions are required to have compiled financial statements because they need this information to evaluate these credits and almost all lenders require compiled financial statements for the larger operations. These borrowers are open to change because they usually are progressive, educated people.

Another theme that I explored was is the large corporate farm better than the family farm. The current trend is for farming to get larger. I have always thought this was the best thing that could happen to the efficiency of the operation. This is true, but do large farms benefit the communit? I think the large farms will change the rural communities. As farms get larger they also negotiate harder on input purchases and also tend to bypass the local dealers and buy direct from the manufacturers. They also tend to produce average to low paying jobs for their workers. Granted, some small farmers may not make as much money as someone who works on a large farm, but they are a business that buys locally and helps with keeping jobs local.

The third theme I learned about was how government programs have helped the large farm more than the family farm. I never thought about how government subsidies are usually based on sales, thus giving more money to large farms. The family farm needs the subsidy more than the large farms. Maybe government programs should be based on need.

I never thought I would be a proponent for the family farm, but after doing the research I can at least sympathize with them and not always let the large operations receive the most of my emphasis at work.

-- Anonymous, March 17, 1999

Answers

This is very interesting. I didn't realize either that the proportion of government help to large farms was so different from that of family farms. I think your last statement is really important, considering your work. Are you in the minority? I'm learning so much. Since I've been reading your work, I've begun listening more carefully to the special reports on public radio regarding the farm crisis and all the complicating factors...it sure seems to me (an outsider) that policy makers MUST listen to this important information.

-- Anonymous, March 19, 1999

This is really interesting. I didn't realize that about the inequity of government aid between large and small farms. Also, the finding that the lending institutions don't want to "rock the boat" regarding recordkeeping because they may take their business elsewhere is a challenge.

I think your last comment is really important...I'm wondering about other folks in your position. Do they access to the same information so thay can be as understanding?

I've been paying closer attention to the reports I hear on public radioo about the farm crisis and all the complexities since I've been reading your work! Thank you.

-- Anonymous, March 19, 1999