1. University of Maryland Extension Risk Management Programming on the Eastern Shore of Maryland: Identifying needs and using a team approach.

2. University of Maryland Extension Jenny Rhodes –Queen Anne’s Co. Shannon Dill – Talbot County John Hall – Kent County Sudeep Mathew – Dorchester Co. Extension Educators, Agriculture & Natural Resources Wes Musser, College Park Professor & Extension Specialist, Farm Management TEAM

3. University of Maryland Extension Jenny Rhodes Shannon Dill John Hall Extension Educators, Agriculture & Natural Resources

5. Why? Grain prices received by U.S. farmers doubled and tripled in 2007 Unfortunately, Delmarva farmers did not prosper in 2007 due to a widespread drought and reduced yields. The effect of increased grain prices created a wave of increased costs to our farmers. Crop inputs have sky rocketed with equipment, fertilizer, seed and fuel prices doubling and tripling. Landowners heard of this new prosperity and they also wanted a part in the “profits As a result, land rental rate increases are being proposed and disputes between landlord and farmer are increasing. Grain prices have since decreased due to the downturn in the stock market causing many farmers to reevaluate their budgets, rental agreements, and marketing plans

6. Why? Survey 2006 –Queen Anne’s County Farmers Average acres owned – 302.43 Average acres rented - 491.46 –62% Rented Results from Surveys

7. Who? Target audience: Bankers, Farm Loan Specialists, Farm Service Agency staff, Farmers and Landowners

8. When? December 2008 Taught Bankers and Farm Loan Specialists Send their Clients and Customers January – February 2009 & 2010 Held series of workshops to teach farmers and landowners

9. University of Maryland Extension Crop Budgeting Communication Leasing Crop Insurance Grain Marketing Excel for Farmers RightRisk

10. University of Maryland Extension Jenny Rhodes Shannon Dill John Hall Sudeep Mathew Extension Educators, Agriculture & Natural Resources Wes Musser, Professor & Extension Specialist, Farm Management, Surviving the Risk: A look at lease agreements, budgets, marketing and more!

11. University of Maryland Extension Materials An informational workbook was put together as a resource for the attendees. The workbook included all presentations along with a new custom rate chart, soil types productivity table, examples of a farmer newsletter and résumé, copies of sample lease agreements, list of resourceful websites and a section on leasing your farm for hunting. All information was also posted on the Maryland Grain Marketing website, so information could also be downloaded for easier use.

12. University of Maryland Extension Crop Budgets

13. Outline – Crop Budgets What is a budget? 5 Parts of a Budget Budget Suggestions Cost Components Custom Rates Demo how online budgets work

14. Crop Budgeting www.mdgrainmarketing.umd.edu

16. University of Maryland Extension Landlord-Tenant Relationships

17. Outline - Tenant-Landlord Communication University of Maryland Extension Types and forms of Communication Communication Problems Public Relations Strategy Guidelines for Tenants Guidelines for Landlords Resume Newsletter

18. University of Maryland Extension

19. Guidelines for Tenants University of Maryland Extension “Keeping the Landlord Happy” no different from an “Effective Public-Relations Strategy in any Business”

20. University of Maryland Extension Leases

21. University of Maryland Extension Outline Lease Agreements Lease Components Types of Leases Calculating Land Rental Rates Soil Productivity Hunting Machinery Costs Calculating Land Rental Rates Demo of Flexible Lease Agreement Worksheet

23. University of Maryland Extension Crop Insurance

24. University of Maryland Extension Crop Insurance Today Purpose of Crop Insurance Level of Premiums Compared with Indemnities Types of Coverage Losses Important Deadlines Crop Insurance Outline

25. University of Maryland Extension Premium Subsidies Farmer Loss Ratios New Programs ACRE SURE Requirements What should you know… Crop Insurance Outline

26. University of Maryland Extension Grain Marketing

27. University of Maryland Extension Grain Marketing Clubs Meet Monthly Meet Bi-monthly Winning the Game Women In Ag Winter Meetings RightRisk

28. University of Maryland Extension Excel for Farm Businesses

29. University of Maryland Extension Excel for Farm Businesses Basics of Excel Receive Memory Stick Farm Excel Spreadsheet Cost Recovery Held Local Community Colleges Extension Offices

30. University of Maryland Extension RightRisk

31. University of Maryland Extension RightRisk Ag Survivor Represents farming practices in region Chesapeake Maryland Farm Risk Management decision Crops Budgets Marketing Crop Insurance www.rightrisk.org

32. University of Maryland Extension Terrapin Couples Retreat: On the court and in the classroom

33. University of Maryland Extension Terrapin Couples Retreat Friday Evening Girls Basketball Game Dinner Saturday Choice of classes Grain Marketing (WTG) Surviving the Risk Quickbooks/Excel RightRisk

34. Results – Bankers/Loan Specialists 75% will use Crop Budgets with their clientele 100% will use Custom Rates 100% will pass on information on Lease options 33% will help clientele with decision on new Farm Bill ex. ACRE & SURE 50% will help clientele make decision on Crop Insurance 50% will use Grain Marketing information

35. 75% of the attendees rated the program excellent 81% indicated they would use crop budgets with their farming operations 77% would change their communication with the landlord 56% percent would change their type of leasing agreement 92% percent would use the workbook. Results – Landowners/Farmers

36. 90% of the attendees indicated the issue of risk management in today’s agriculture operations is very critical 55% indicated they would change their risk management strategies 87% used the internet for their farm operation 33% percent were likely to use RightRisk on the internet. Results – Landowners/Farmers

37. University of Maryland Extension

38. Other Outcomes Farmers wrote a Résumé Increased awareness of Grain Marketing Website Grain Marketing Clubs- new tools RightRisk – MidAtlantic Farm Credit training exercise for loan personnel Excel –attendees would use for farm operations

39. This regional Extension program addresses timely topics affecting the profitability our family farms. Next Step: Applied for a grant to cover a larger region in Maryland. We would like to target young farmers next year. More Quickbooks training. We would be happy to share our program with you.

40. University of Maryland Extension Resources Materials from this meeting – http://www.extension.iastate.edu/feci/Leasing/vflm.html Online Courses –Ag Management e-School – http://www.extension.iastate.edu/ameshttp://www.extension.iastate.edu/ames Workshops, meetings, conferences – http://dbs.extension.iastate.edu/calendar/http://dbs.extension Publications –rental survey, land value survey, etc. – http://www.extension.iastate.edu/pubs/ Articles and spreadsheets – http://www.extension.iastate.edu/agdm/ Private Consultation – http://www.extension.iastate.edu/ag/fsfm/fsfarmmg.htmlhttp://www.extension.iastate.edu/ag/fsfm/fsfarmmg.html - www.rightrisk.orgwww.rightrisk.org

41. University of Maryland Extension Contact Information jrhodes@umd.edu sdill@umd.edu jehall@umd.edu smathew@umd.edu wmusser@arec.umd.edu