The age of Nebraska’s farm and ranch operators continues to trend older. Statistics from the National Census of Agriculture indicates that in 1982 there were 13,436 operators of Nebraska farms or ranches under the age of 35. In the most recent Census of Agriculture taken in 2007, those Nebraska operators under age 35 have declined to 3,353. The 1982 Census indicated the number of operators age 65 and over was 8,777, while in 2007 the Nebraska operators age 65 and over increased to 13,062. Nebraska currently has only 25 percent as many operators under 35 years of age as it did in 1982. During the same 25 year period, those Nebraska farm and ranch operators 65 and over have increased to 149 percent

Goeller, Dave

English

UNL | Libraries

University of Nebraska - Lincoln 
DigitalCommons@University of Nebraska - Lincoln 
Cornhusker Economics Agricultural Economics Department 
2010 
“The e-harmony of Farm Succession” 
Dave Goeller 
University of Nebraska-Lincoln 
Follow this and additional works at: https://digitalcommons.unl.edu/agecon_cornhusker 
 Part of the Agricultural and Resource Economics Commons 
Goeller, Dave, "“The e-harmony of Farm Succession”" (2010). Cornhusker Economics. 506. 
https://digitalcommons.unl.edu/agecon_cornhusker/506 
This Article is brought to you for free and open access by the Agricultural Economics Department at 
DigitalCommons@University of Nebraska - Lincoln. It has been accepted for inclusion in Cornhusker Economics by an 
authorized administrator of DigitalCommons@University of Nebraska - Lincoln. 
CORNHUSKER
ECONOMICS
University of Nebraska–Lincoln Extension
November 3, 2010
Institute of Agriculture & Natural Resources
Department of Agricultural Economics
http://www.agecon.unl.edu/Cornhuskereconomics.html
“The e-harmony of Farm Succession”
Market Report
Yr 
Ago
4 Wks
Ago 10/29/10
Livestock and Products,
 Weekly Average
Nebraska Slaughter Steers,
  35-65% Choice, Live Weight. . . . . . . .
Nebraska Feeder Steers, 
  Med. & Large Frame, 550-600 lb.. . . .
Nebraska Feeder Steers,
  Med. & Large Frame 750-800 lb. . . . .
Choice Boxed Beef, 
  600-750 lb. Carcass. . . . . . . . . . . . . .
Western Corn Belt Base Hog Price
  Carcass, Negotiated. . . . . . . . . . . . . .
Feeder Pigs, National Direct
  50 lbs, FOB.. . . . . . . . . . . . . . . . . . . .
Pork Carcass Cutout, 185 lb. Carcass,   
  51-52% Lean.. . . . . . . . . . . . . . . . . . .
Slaughter Lambs, Ch. & Pr., Heavy,
  Wooled, South Dakota, Direct. . . . . . .
National Carcass Lamb Cutout,
  FOB. . . . . . . . . . . . . . . . . . . . . . . . . .
$86.64
98.59
93.11
141.15
52.32
     *
57.16
91.25
239.19
$96.48
123.51
110.07
156.27
76.64
       *
88.43
142.12
329.95
$98.27
120.26
116.00
161.54
52.68
         *
74.23
149.25
343.21
Crops, 
 Daily Spot Prices
Wheat, No. 1, H.W.
  Imperial, bu. . . . . . . . . . . . . . . . . . . . .
Corn, No. 2, Yellow
  Omaha, bu. . . . . . . . . . . . . . . . . . . . .
Soybeans, No. 1, Yellow
  Omaha, bu. . . . . . . . . . . . . . . . . . . . .
Grain Sorghum, No. 2, Yellow
  Dorchester, cwt. . . . . . . . . . . . . . . . . .
Oats, No. 2, Heavy
  Minneapolis, MN , bu. . . . . . . . . . . . .
3.95
3.48
9.59
5.64
2.49
5.20
4.11
10.05
7.25
3.28
6.02
5.45
11.76
9.23
3.63
Feed
Alfalfa, Large Square Bales, 
  Good to Premium, RFV 160-185
  Northeast Nebraska, ton. . . . . . . . . . .
Alfalfa, Large Rounds, Good
  Platte Valley, ton. . . . . . . . . . . . . . . . .
Grass Hay, Large Rounds, Premium
  Nebraska, ton. . . . . . . . . . . . . . . . . . .
Dried Distillers Grains, 10% Moisture, 
  Nebraska Average. . . . . . . . . . . . . . .
Wet Distillers Grains, 65-70% Moisture, 
  Nebraska Average. . . . . . . . . . . . . . .
     *
82.50
     *
120.00
40.00
       *
       *
75.00
127.50
47.00
170.00
         *
75.00
160.00
55.00
*No Market
The age of Nebraska’s farm and ranch operators
continues to trend older. Statistics from the National
Census of Agriculture indicates that in 1982 there were
13,436 operators of Nebraska farms or ranches under
the age of 35. In the most recent Census of Agriculture
taken in 2007, those Nebraska operators under age 35
have declined to 3,353. The 1982 Census indicated the
number of operators age 65 and over was 8,777, while
in 2007 the Nebraska operators age 65 and over
increased to 13,062. Nebraska currently has only 25
percent as many operators under 35 years of age as it
did in 1982. During the same 25 year period, those
Nebraska farm and ranch operators 65 and over have
increased to 149 percent.
  
So what happens in a few years when the 13,000
plus operators over age 65, for whatever reason, are no
longer operating their farm or ranch? There tends to be
three options:
1. The operators, or the heirs of the operators, will
sell the land, machinery and livestock to the
highest bidder.
2. The operators, or the heirs of the operators, will
rent the land, machinery and livestock to the
highest bidder.
3. A successor will be found to continue the existing
business.  
Many farm operators may not be interested in
bringing in a successor to continue their business to the
next generation, and for them Option 1 or 2 will be the
best choice. For those operators who wish to see their
Extension is a D ivision of the Institute of Agriculture and Natural Resources at the University of Nebraska–Lincoln
cooperating with the Counties and the U.S. Departm ent of Agriculture.
University of Nebraska Extension educational program s abide with the non-discrim ination policies 
of the University of Nebraska–Lincoln and the United States Departm ent of Agriculture.
life’s work continue on, they will need to find a
willing and able successor. Many multi-generational
operations have a family member who becomes the
successor. But for those who do not have interested
family members, how do you find someone that can
become a successor for their farming business?   
Planning will undoubtedly improve the results of
any of the above options, but without planning,
Option 3 is almost impossible to achieve. If the
owner/operators wish to find a successor to their
business they need to be involved in a planning
process, and most operators will need some help to
find the right person. There will of course still be
rental or sales arrangements made with the successor,
but there may be some concessions made for a period
of time in order to facilitate the difficult process of
establishing a new operator. There are also advantages
for Option 3 as well. It can be argued that Option 3
not only provides the peace of mind for the owner to
know their life’s work will continue, but there can
also be benefits to the local communities, businesses,
schools and churches that new families offer.  
In response to this need for identifying and
assisting farm succession planning, November 2010
marks the start date of the newly updated Nebraska
Network for Beginning Farmers. The objectives of
the program are to create a data base of Nebraska
owners/operators of farm and ranch businesses who
would like to find a successor to continue their
farming business with the next generation.  It will also 
establish a data base list of potential successors who
are seeking an opportunity to enter into farming or
ranching as their vocation. Much in the same way as
some of the popular dating services, the Nebraska
Network for Beginning Farmers provides a frame-
work for matching interested owners with willing
potential successors.  
The process involves each party contacting the
Nebraska Network for Beginning Farmers program
and registering by filling out a profile. For owners, the
profile includes information regarding the location of
the farm or ranch and type of operation, as well as the
type of arrangement the owners may wish to consider.
For the beginners, the profile includes information
regarding the background and experience of the
individuals as well as the location, type of operation
and arrangements they may wish to consider. After the
registration process is completed, access to the list of
potential matches is granted. It is up to the individuals
to contact the potential matching parties and explore
the opportunities. Assistance is provided if needed. 
Matching owner/operators with potential
successors is a needed service in the process. Without
this first step, it is very difficult to know where to find
the successor for the operation. Programs such as this
in other states have verified that there are many more
potential successors than owners. Iowa for example,
has approximately ten “want to be” seekers for every
owner listed.    
The service is provided through the Center for
Rural Affairs located at Lyons, Nebraska. To begin the
registration process or for further information please
call (402)687-2100 or contact the Nebraska Network
for Beginning Farmers via e-mail at info@cfra.org.
Dave Goeller, (402) 472-0661
Deputy Director
North Central Risk Management Education Center
Department of Agricultural Economics
University of Nebraska-Lincoln
dgoeller2@unl.edu


“The e-harmony of Farm Succession”

DigitalCommons@University of Nebraska

University of Nebraska - Lincoln DigitalCommons@University of Nebraska - Lincoln Cornhusker Economics Agricultural Economics Department 2010 “The e-harmony of Farm Succession” Dave Goeller University of Nebraska-Lincoln Follow this and additional works at: https://digitalcommons.unl.edu/agecon_cornhusker  Part of the Agricultural and Resource Economics Commons Goeller, Dave, "“The e-harmony of Farm Succession”" (2010). Cornhusker Economics. 506. https://digitalcommons.unl.edu/agecon_cornhusker/506 This Article is brought to you for free and open access by the Agricultural Economics Department at DigitalCommons@University of Nebraska - Lincoln. It has been accepted for inclusion in Cornhusker Economics by an authorized administrator of DigitalCommons@University of Nebraska - Lincoln. CORNHUSKERECONOMICSUniversity of Nebraska–Lincoln ExtensionNovember 3, 2010Institute of Agriculture & Natural ResourcesDepartment of Agricultural Economicshttp://www.agecon.unl.edu/Cornhuskereconomics.html“The e-harmony of Farm Succession”Market ReportYr Ago4 WksAgo 10/29/10Livestock and Products, Weekly AverageNebraska Slaughter Steers,  35-65% Choice, Live Weight. . . . . . . .Nebraska Feeder Steers,   Med. & Large Frame, 550-600 lb.. . . .Nebraska Feeder Steers,  Med. & Large Frame 750-800 lb. . . . .Choice Boxed Beef,   600-750 lb. Carcass. . . . . . . . . . . . . .Western Corn Belt Base Hog Price  Carcass, Negotiated. . . . . . . . . . . . . .Feeder Pigs, National Direct  50 lbs, FOB.. . . . . . . . . . . . . . . . . . . .Pork Carcass Cutout, 185 lb. Carcass,     51-52% Lean.. . . . . . . . . . . . . . . . . . .Slaughter Lambs, Ch. & Pr., Heavy,  Wooled, South Dakota, Direct. . . . . . .National Carcass Lamb Cutout,  FOB. . . . . . . . . . . . . . . . . . . . . . . . . .$86.6498.5993.11141.1552.32     *57.1691.25239.19$96.48123.51110.07156.2776.64       *88.43142.12329.95$98.27120.26116.00161.5452.68         *74.23149.25343.21Crops,  Daily Spot PricesWheat, No. 1, H.W.  Imperial, bu. . . . . . . . . . . . . . . . . . . . .Corn, No. 2, Yellow  Omaha, bu. . . . . . . . . . . . . . . . . . . . .Soybeans, No. 1, Yellow  Omaha, bu. . . . . . . . . . . . . . . . . . . . .Grain Sorghum, No. 2, Yellow  Dorchester, cwt. . . . . . . . . . . . . . . . . .Oats, No. 2, Heavy  Minneapolis, MN , bu. . . . . . . . . . . . .3.953.489.595.642.495.204.1110.057.253.286.025.4511.769.233.63FeedAlfalfa, Large Square Bales,   Good to Premium, RFV 160-185  Northeast Nebraska, ton. . . . . . . . . . .Alfalfa, Large Rounds, Good  Platte Valley, ton. . . . . . . . . . . . . . . . .Grass Hay, Large Rounds, Premium  Nebraska, ton. . . . . . . . . . . . . . . . . . .Dried Distillers Grains, 10% Moisture,   Nebraska Average. . . . . . . . . . . . . . .Wet Distillers Grains, 65-70% Moisture,   Nebraska Average. . . . . . . . . . . . . . .     *82.50     *120.0040.00       *       *75.00127.5047.00170.00         *75.00160.0055.00*No MarketThe age of Nebraska’s farm and ranch operatorscontinues to trend older. Statistics from the NationalCensus of Agriculture indicates that in 1982 there were13,436 operators of Nebraska farms or ranches underthe age of 35. In the most recent Census of Agriculturetaken in 2007, those Nebraska operators under age 35have declined to 3,353. The 1982 Census indicated thenumber of operators age 65 and over was 8,777, whilein 2007 the Nebraska operators age 65 and overincreased to 13,062. Nebraska currently has only 25percent as many operators under 35 years of age as itdid in 1982. During the same 25 year period, thoseNebraska farm and ranch operators 65 and over haveincreased to 149 percent.  So what happens in a few years when the 13,000plus operators over age 65, for whatever reason, are nolonger operating their farm or ranch? There tends to bethree options:1. The operators, or the heirs of the operators, willsell the land, machinery and livestock to thehighest bidder.2. The operators, or the heirs of the operators, willrent the land, machinery and livestock to thehighest bidder.3. A successor will be found to continue the existingbusiness.  Many farm operators may not be interested inbringing in a successor to continue their business to thenext generation, and for them Option 1 or 2 will be thebest choice. For those operators who wish to see theirExtension is a D ivision of the Institute of Agriculture and Natural Resources at the University of Nebraska–Lincolncooperating with the Counties and the U.S. Departm ent of Agriculture.University of Nebraska Extension educational program s abide with the non-discrim ination policies of the University of Nebraska–Lincoln and the United States Departm ent of Agriculture.life’s work continue on, they will need to find awilling and able successor. Many multi-generationaloperations have a family member who becomes thesuccessor. But for those who do not have interestedfamily members, how do you find someone that canbecome a successor for their farming business?   Planning will undoubtedly improve the results ofany of the above options, but without planning,Option 3 is almost impossible to achieve. If theowner/operators wish to find a successor to theirbusiness they need to be involved in a planningprocess, and most operators will need some help tofind the right person. There will of course still berental or sales arrangements made with the successor,but there may be some concessions made for a periodof time in order to facilitate the difficult process ofestablishing a new operator. There are also advantagesfor Option 3 as well. It can be argued that Option 3not only provides the peace of mind for the owner toknow their life’s work will continue, but there canalso be benefits to the local communities, businesses,schools and churches that new families offer.  In response to this need for identifying andassisting farm succession planning, November 2010marks the start date of the newly updated NebraskaNetwork for Beginning Farmers. The objectives ofthe program are to create a data base of Nebraskaowners/operators of farm and ranch businesses whowould like to find a successor to continue theirfarming business with the next generation.  It will also establish a data base list of potential successors whoare seeking an opportunity to enter into farming orranching as their vocation. Much in the same way assome of the popular dating services, the NebraskaNetwork for Beginning Farmers provides a frame-work for matching interested owners with willingpotential successors.  The process involves each party contacting theNebraska Network for Beginning Farmers programand registering by filling out a profile. For owners, theprofile includes information regarding the location ofthe farm or ranch and type of operation, as well as thetype of arrangement the owners may wish to consider.For the beginners, the profile includes informationregarding the background and experience of theindividuals as well as the location, type of operationand arrangements they may wish to consider. After theregistration process is completed, access to the list ofpotential matches is granted. It is up to the individualsto contact the potential matching parties and explorethe opportunities. Assistance is provided if needed. Matching owner/operators with potentialsuccessors is a needed service in the process. Withoutthis first step, it is very difficult to know where to findthe successor for the operation. Programs such as thisin other states have verified that there are many morepotential successors than owners. Iowa for example,has approximately ten “want to be” seekers for everyowner listed.    The service is provided through the Center forRural Affairs located at Lyons, Nebraska. To begin theregistration process or for further information pleasecall (402)687-2100 or contact the Nebraska Networkfor Beginning Farmers via e-mail at info@cfra.org.Dave Goeller, (402) 472-0661Deputy DirectorNorth Central Risk Management Education CenterDepartment of Agricultural EconomicsUniversity of Nebraska-Lincolndgoeller2@unl.edu

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“The e-harmony of Farm Succession”

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