1. Newburg WI January 28, 2009 Mark W. Mayer, Dairy & Livestock Agent, Green County David W. Kammel, Biological Engineering, UW-Madison Wisconsin Dairy Modernization Survey UW-Extension 2008

2. 30 Counties Represented 104 Surveys Received 99 Surveys In Data Set

3. General Farm Information PreModernization Post Modernization Herd Size (Milk Cows)82203 Average Milk Production /Cow 20,245 lbs.21,684 lbs. Acres of Land Owned351421 Acres of Land Rented187308 Acres/Cow (owned & rented)6.563.59 Full Time Labor Equivalents for Dairy 2.344.32 Milk Cows per F.T.E.3550

4. Parlor Construction &Type n = 92

5. New vs. Used n = 89 n = 91

6. Labor for Parlor Average Time For Parlor Conversion: 17 weeks Range of Time to Convert: 4 to 104 Weeks

7. Labor Provided for Parlor New Construction vs. Retrofit

8. Time for Parlor Conversion

9. Parlor Construction &Type n = 55 n = 34

10. Parlor Cost per Milking Stall 2008 Dollars Parlor Stall Type Retrofit Construction (n=55) New Construction n= 31 Flat barn$3,360 (n=6) NA Herringbone$9,657 (n=8) $18,769 (n=3) Parabone$3,845 (n=30) $6,016 (n= 10) Parallel$7,478 (n=11) $22,361 (n=18)

11. Cow Housing Facility n = 78

12. Manure Handling and Storage n = 107 n = 112

13. Manure Storage and Bedding n = 77 n = 101

14. Replacement Housing n = 101 n = 86

15. Milking System Throughput Change = 21.4 cows/person/hour P = 0.000

16. Pre and Post Labor Requirements Average Per Cow/Day **P= <.001 *P= <.01

17. Pre and Post Labor Requirements Average Per Cow/Day **P= <.001 *P= <.01

18. Reduced Labor Requirements Minutes Per Cow / Day Total Reduction Per Cow / Year Milking Setup/Cleanup.19 x 365=1.16 hours Milking Time 1.98 x 365=12.05 Feeding Time per Cow.94 x 365= 5.72 hours Handling Cows.26 x 365= 1.58 hours Maintaining Stalls.48 x 365= 2.92 hours Handling Manure.39 x 365= 2.37 hours Totals: 4.24 minutes/day 25.80 hours/year

19. Economic Impacts from Reduced Labor Per Cow Economic Impacts from Reduced Labor Per CowReduction/Cow/Year Dollar Impact Milking Setup/Cleanup1.16 hours @ $12/Hour= $13.92 Milking Time12.05 hours @$12/Hour= $144.60 Feeding Time per Cow 5.72 hours @ $12/Hour= $68.64 Time Handling Cows1.58 hours @ $12/Hour= $18.96 Maintaining Stalls2.92 hours @ $12/Hour= $35.04 Handling Manure2.37 hours @ $12/Hour= $28.44 Totals: 25.80 Hours/Cow/Year $309.60/Cow/Year

20. Cow Benefits Observed

21. Ranking of Cow Benefits Less Important More Important

22. People Benefits Observed

23. Ranking of People Benefits

24. Educational Resources Used

25. Ranking of Educational Resources

26. Professional Resources Used

27. Ranking of Professional Resources

28. UW-Extension Impacted Decisions with Dairy Modernization n = 99 Average Planning Time: 23.02 Months Range: 3-120 Months

29. How Did UW-Extension Help? (27) Assisted in Parlor Location and Design (20) Organized Tours and Farm Visits to Observe Modernization on other Farms (15) Presented new Ideas and Options for Parlor Design and Construction (12) Design and Layout of Cow Housing Including Cow Flow and Stall size (9) UW-Extension Dairy Modernization Presentations (Meetings and Pasture Walks) (5) UW Publications (Low Cost Parlor CD and Retrofit Parlor Paper) (5) Received reinforcement of ideas and plans (4) Assisted in the Permitting Process (4) Assisted in Preparing Budget for Modernization Project (3) Assisted in Manure Handling and Storage plans (3) County Agents and State Specialists answered all our questions (3) Assistance with Ventilation 117 Responses

30. Economic Investment Since 1993 (2008 Dollars) Milking Parlor Facility – $17,144,281 Dairy Cow Housing – $30,529,855 Dry Cow Housing – $1,722,057 Heifer Housing – $1,610,210 Calf Housing – $1,480,703 TMR Feeding – $1,981,566 Feed Storage – $4,153,360 Manure handling – $2,149,120 Manure Storage – $4,536,318 Total Investment for 99 farms in Survey $65,307,470 Total Investment for 99 farms in Survey $65,307,470

31. Dairy Modernization Impacts Pre Modernization Post ModernizationChange Average Herd Size 82 203 +121 Average Production per Cow (lbs) 20,245 21,684 +1,439 Milk Production per Farm Annually (lbs.) 1,660,090 4,401,852 +2,741,762 Annual Hours of Labor per Cow51.826.025.8 Milk Cows / F.T.E. 35 5015

32. Modernization Economic Impacts Change Dollar Impact Average Increased Milk Income per Cow +1,439 lbs x $17/cwt = $245 Ave. Increased Gross Milk Income per Farm 203 cows @ 21684 x.17= $748,315 82 cows @ 20245 x.17 =- $282,215 = $466,100 Increased Annual Milk Income for the State +2,692,274 lbs. x 99 farms x $.17 = *$45.3 Million Increased Economic Activity from more Cows per Farm 121 Cows x $17,000= $2.06 Million Economic Impact from more Cows in the State +11,766 cows x $17,000= *$200 Million * Total for 99 Herds **UW Department of Agriculture and Applied Economics

33. Biggest Challenge in Modernization (16) Working with the Contractors/Serving as General Contractor (10) Deciding what system & number of cows would work best for my farm (10) Budgeting & Financing for Expenses (8) Milking in Existing Facilities During Construction (8) Design of Milking Facility & Housing (6) Cost Over runs (5) Finding Good & Knowledgeable Contractor (4) Manure Storage & Handling (4) Confidence & Motivation to do it (3) Permitting Process for Building/Expanding (3) Getting Honest Opinions from Equipment Dealers (3) Did too much of my own labor (3) Changing the Management System of Feeding/Breeding/Housing

34. What Would You Change? (14) Wish we would have done the expansion sooner. (11) Wish we would have made the parlor/freestalls bigger (6) Start expansion at another site to allow for additional future expansions (5) Spend more time planning and seeking help in design (4) Start with new building and equipment right away (4) Would not start building in the fall, start earlier in the year (4) Design of Parlor (3) Add a dry cow and calving facility (3) Change from mattresses to sand for bedding (3) Hire a more experienced and honest contractor

35. Would You Still be in the Dairy Business if you had not Modernized? n = 94

36. Programs and Grants Utilized Programs and Grants Utilized

37. Full Paper Available on the Dairy Modernization Web Site at: http://www.uwex.edu/ces/dairymod/cost/index.cfm Wisconsin Dairy Modernization Survey UW-Extension 2008

38. Questions!

39. How Could Assistance from UW- Extension be Improved ? n = 99