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Black Hawk County, Iowa, May Lose Regional Farm Service Office

Posted on: Wednesday, 28 September 2005, 18:00 CDT

By Matthew Wilde, Waterloo-Cedar Falls Courier, Iowa

Sep. 28--WATERLOO --- Black Hawk is among 14 Northeast Iowa counties that could lose its Farm Service Agency office, which farmers and some local FSA officials say will make participating in government farm programs more inconvenient and costly.

The U.S. Department of Agriculture recently announced it wants to close 22 of the state's 100 FSA offices (Pottawattamie County has two) within a year. State FSA officials say combining them with others will save money and make the organization -- which administers government commodity and farm loan programs, among other things -- more efficient.

Farmers, though, don't buy it. With the high cost of fuel and low commodity prices, producers say this isn't the right time to eliminate offices they have come to rely on to make sense of often complicated government programs.

"I hate to see it happen," said Rick Fuelling, who farms near Dunkerton.

"We may have more time on the road and with the cost of fuel going up, that's just more expense on the farmer."

Fuelling drives about 20 miles to the Black Hawk County office in Waterloo. The next closest FSA offices from his farm are about 27 miles away in Independence and 30 miles away in Waverly.

The FSA on Monday identified 31 counties that met its criteria for consolidation. The criteria included workload and mileage between existing offices. These are the most likely candidates for closure.

However, the 47 contiguous counties to the ones meeting the criteria for closure will also be considered. FSA officials said numerous factors will be considered when deciding which offices will be consolidated with others.

These include: convenience for farmers, office location, office size to handle additional staff and files and computer technology available, just to name a few.

"In an effort to improve information technology, streamline operations and services provided to Iowa farmers and invest in human capital, Iowa is moving forward with the FSA county office consolidation plan," said Derryl McLaren, state FSA executive director, in a statement.

In Northeast Iowa, Bremer, Chickasaw, Hardin, Mitchell and Winneshiek counties were targeted as meeting its consolidation criteria. Black Hawk, Butler, Clayton, Delaware, Fayette, Floyd, Franklin, Grundy and Howard counties are in the contiguous category.

Essentially, anyone of these 14 county offices could be closed and merged with another. The state has until Nov. 15 to submit their consolidation plan to the federal office.

The plan, called FSA Tomorrow, is not set in stone. State officials said Congress could stop it, but they will continue implementing it until instructed otherwise.

Sen. Chuck Grassley opposes the plan. In a statement, Grassley said this fall's low grain prices will really show why each county needs their own FSA office.

For example, some farmers make numerous trips to the FSA office to file papers for the loan deficiency payments --- the difference between the government loan rate for a commodity and the daily posted county price.

Lately for corn, the loan deficiency payment has neared 50 cents per bushel. Not filing paperwork in a timely manner could cost producers thousands of dollars.

Farmers can also apply online, but since the average age of Iowa farmers is nearing 60, most don't like to use the computer or have one and would rather have an FSA official do it. Some elevators also assist farmers with requests for loan deficiency payments.

"Now, that USDA has made a specific announcement on the closings I look for the amendment in the Agriculture Appropriations bill that withholds funding from USDA to close FSA offices this year to stay in the bill and even be strengthened when the House and the Senate meet to work out the differences," Grassley said. "It will be especially difficult to close and consolidate offices when you've got farmers running to their local office to file papers every week because of the low crop prices."

No one was available for comment at the Black Hawk County FSA office in Waterloo.

In Bremer County, FSA director Larry Behnke hopes his office won't be on the chopping block since it moved into a new building last year. It has room to expand with modern computer equipment. Plus, Waverly is located in the southwest corner of the county near Black Hawk , Butler and Grundy counties --- all on the contiguous list --- making it more convenient for farmers from these counties to drive there.

"There is already an outcry (from farmers) and it's not a positive one.

I look at the map and if you close 22 offices, I know who will suffer --- the farmer," Behnke said. "We've been so busy here it's ridiculous."

State FSA officials said "minimal" jobs would be cut. Personnel and files would simply be moved. The cost savings of the plan would come from less buildings to rent, some salaries and benefits and office expenses.

Nationwide, the FSA would close 665 of its 2,353 offices. Julie Offerman, a FSA loan manager based in Chickasaw County, said most of the farmers she works with are older and don't like to use computers. For loans, office and farm visits are needed as well.

She described the plan as disturbing. That's how Dave and Kate Schumaker, who operate a grain and dairy farm near Readlyn feel about it. They discussed the situation during dinner Tuesday.

While they can understand a need to cut costs, they just hope it's not at their expense.

"It really won't be very convenient," Dave said if Waverly's office closed. "It's a sign of the times I guess."

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Copyright (c) 2005, Waterloo-Cedar Falls Courier, Iowa

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Source: Waterloo Courier

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