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Farming Made Possible For A Young Family
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Article
by Raylene Nickel
Photos by Rick Mooney
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One young family has the dairy farm of their
dreams: an older couple can now retire secure in the knowledge
that their farm and life’s work has been entrusted
to another generation.
The passing of this 275-acre Wisconsin dairy
farm, 50 cows and all the farm’s equipment, from a
retiring to a beginning farm family, in a manner the younger
farmers could afford, was so much more than a conventional
sale. It involved a veteran farmer who didn’t insist
on top dollar and who stayed around to help the young people
get a solid start.
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Scott and Lucy Adank's Wisconsin dairy farm.
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Scott and Lucy Adank now have a place where they can
milk cows full-time and raise their five children in a family-farm
setting. Eugene and Becky Nikolai can now enjoy their retirement home
after devoting 35 years of their lives to dairy farming. And any time
they have that urge to be back on the farm for a few hours, it’s
just a half mile down the road.
Obstacles To Farming
The Adanks started dairying in ’94 on a 60-acre
Minnesota farm. Another 60 acres was rented. But increasing land prices
provided little opportunity for them to expand the herd to a size
that could support their growing family. They considered buying a
farm in Wisconsin to be near Scott’s parents. But with a busy
milking schedule, there was no time to look for just the right farm
in Wisconsin. And with scant working capital, financing also posed
a major problem.
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Scott and Lucy Adank now have the Wisconsin
dairy farm of their dreams.
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It was about this same time that a banker told
Scott and Lucy about a program in Wisconsin that matched young
farmers just getting started with farmers looking for a way
to retire and leave their farm in good hands. Administered by
the Wisconsin Department of Agriculture, Farm Link helped the
young Adanks find the retiring Nikolais who wanted to sell their
275-acre dairy farm, along with 50 milk cows and all their farm
equipment.
In June 1996 the young couple signed a purchase
agreement with the Nikolais, and that fall moved with their
cattle to the new dairy farm near Stratford, Wisconsin. They
originally bought just 80 acres of the farm, including the farmstead,
and cash rented what they couldn’t buy. Five years later
the Nikolais sold them another 80-acre parcel without increasing
the price of the land. Because the land was reasonably priced,
financing was readily available.
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The young couple continued renting the remainder of
the original farm except for the 15 acres where the Nikolais built
their new home. A gentleman’s agreement gives Scott and Lucy
first option to buy the remaining 100 acres.
Affordable Farm
In setting a price for the land, Nikolai used the farm
real estate tax assessment as his guide. It was a price he thought
beginning dairy farmers could pay, but was less than what he probably
would have received on the open market.
“I wanted the farm to continue operating as a family
farm,” he said, “since there is enough acreage there for
it to stay economically viable. I wanted to price it at a level that
Scott and Lucy could afford because it’s getting harder and harder
for small farmers to make it financially.”
“Besides pricing the land and the cattle fairly,
another way Eugene gave us a real good start was by including most
of a year’s worth of feed in the price of the farm,” Scott
explained. Scott and Lucy had looked at the farm in July but were
not able to finalize the sale until September. Eugene continued harvesting
feed throughout that summer and included it in the deal when the sale
was finalized.
He also gave Scott free use of his equipment that first
fall and winter, then offered him first option to buy the equipment
before selling it at auction the following March.
Field Work
The young farmers did not buy much of the
equipment. Instead they have been custom planting and harvesting
their crops for haylage and silage because they believe
hiring custom operators to do this work reduces operating
costs while ensuring them of a good supply of high-quality
feed.
Rotational grazing has been another cost saver
for this young couple. By moving their cows frequently from
one small pasture to another, grass has an opportunity to
grow, and more of it is produced as a result. The extra
grass lengthens the grazing season and reduces the amount
of stored feed needed in the winter.
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Rotational grazing is used on the Adank’s
farm to extend the grazing season.
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Most of the Adanks’ hay is a grass-alfalfa mix.
Other fields of straight alfalfa are seeded to a variety which cows
can graze without bloating. “Some of the land we graze early
in the spring,” Scott said. “Then we might harvest two to
three cuttings of hay from the fields the cattle grazed early and
will graze again in the fall, as late as November. Each year conditions
are different, but the cows usually get five to seven months of grazing.”
The increased forage yield that has resulted from rotational
grazing has allowed the Adanks to run twice the number of cows the
farm formerly supported. The farm now has 125 cows in milk, plus dry
cows and heifers.
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The younger generation that found a farm, Scott
and Lucy Adank, with their children.
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The Nikolais are still amazed at how quickly their
farm sold once they had contacted Wisconsin Farm Link. They
had listed it with a realtor six months earlier, but during
that time only two prospective buyers even looked at the property.
But soon after submitting their listing to Farm
Link, whose services are free, they received applications from
35 beginning farmers. They sorted through information that told
the work history, agricultural experience, and purchasing terms
needed by each applicant. Three of the families were invited
to see the farm, Scott and Lucy among them. When a purchase
had been finalized, the governor of Wisconsin made a personal
visit to the farm to help publicize the Farm Link program.
“It’s fulfilling to see a young family
carry on with the farm,” commented Eugene. “My parents
helped me get started, so I’ve tried to help Scott and
Lucy get started.” The Nikolais have grown children who
have chosen careers off the farm.
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Eugene didn’t exactly leave the farm when Scott
and Lucy bought it. The young couple had no sooner moved onto the
farm when Scott came down with pneumonia. Eugene was there to milk
the cows until Scott recovered. He has also helped with fieldwork
and wood cutting for the furnace in their home. He drives a granite
truck during the week, but often helps out on the farm on weekends.
“I admire everything Eugene has done
to build up the farm,” Scott said. “I appreciate,
too, how he and Becky have helped us get started. We’re
glad we’ve been able to get into dairying, even though
it’s a business that’s historically risky. Before
we bought our small farm in Minnesota, Lucy and I both worked
at full-time jobs. We didn’t like the nine-to-five
grind and somebody else raising our children. Dairying is
difficult at times, and it’s very demanding, but it’s
what we want to do.
“We’re very fortunate that our needs
matched Eugene and Becky’s needs,” Scott said.
“They wanted to back away from dairying while we were
looking for a second chance. This situation has worked out
well for us.”
For more information about Farm Link see
www.cfra.org (click on Resources and Links, then click on
Outside Sources, and then Beginning Farmers).
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Eugene and Becky Nikolai made the transition
of their farm to the Adanks possible and affordable.
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