FARM AND RANCH TRANSITION ISSUES AND RESOURCES. Jim Magagna Executive Vice President Wyoming Stock Growers Association

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1 FARM AND RANCH TRANSITION ISSUES AND RESOURCES Jim Magagna Executive Vice President Wyoming Stock Growers Association

2 Where We Are Today U.S. Average Ag of Agricultural Workers: 58 For every one farmer and rancher under 25, there are five who are 75 or older - Agriculture Department statistics Only 1/3 of all family businesses successfully transition management to the next generation,70 percent do not survive to the second, and Fully 90 percent do not survive to the third generation. - UW Ag Legacy Program Fieldgrove Ranch Heather Mau

3 CRITICAL FACTORS, SCENARIOS, OPPORTUNITIES AND CHALLENGES

4 WHAT ARE MY CHALLENGES? Economics Input Costs land and livestock Land Values/Competing Uses Regulatory Climate Alternate Opportunities

5 WHERE DO I FIT? Family Succession Bringing in an External Successor Building an Operation from the Beginning We started basically with no money, just credit from the pickup and horse trailer, and we had no assets. After beginning with custom grazing, livestock on leased land, we have since moved toward livestock ownership with leased cattle, sheep and purchased livestock Sage and Faith Askin, Askin Land & Livestock Lusk, WY Anna Helm Photo

6 Allemand, Lauck and Small photos WHAT S IN IT FOR ME? Community Independence Job Security Family Tradition

7 Young people will find new, creative ways to diversify. Off-farm incomes will be critical to maintain cash flow. Online, at-home businesses will become more of a mainstay. We are already seeing this trend now, so I only see that expanding in the future. BEEF Daily, Amanda Radke Berger Family Photo

8 WHAT COULD BE MY BIGGEST CHALLENGES? Work & Family Letting Go Transition Management Transfer of Assets Sibling Rivalry Credit Lack of effective communication among family members is the root cause of most family business failures. Effective communication between parents and their adult children is essential to a mutually satisfying transfer of a legacy from one generation to the next. - UW Ag Legacy Program

9 WHAT WYOMING HAS TO OFFER ARE THERE PROGRAMS THAT CAN ASSIST ME?

10 Educational Programs UW Ag Legacy Program Out of state programs Association Educational Programs WSGA Making a Plan Workshop Ranching for Profit Internships WAGON (Wyoming AG Opportunities Network)

11 Engaging Young Producers WSGA Young Producers Assembly NCBA Young Beef Leaders The Farm Bureau Young Farmer & Rancher (YF&R) agriculture program Mentoring NCBA Photo How are you mentoring the next generation? In a mentoring relationship, the mentee sets the goals and formulates the plan under the guidance of the mentor. - UW Ag Legacy Program

12 Young Producers Assembly Started in December 2015, the YPA is a group of young WSGA members who came together to create a place of learning, camaraderie and friendly family atmosphere while advocating for Wyoming's cattle industry. Kane Family Photo Open to all youth, years of age or with 5 years of less of agricultural experience. YPA is open to all interested youth. Encouraged to be a WSGA member to vote and support this group. Generating opportunities for young producers to be successful and passionate about the livestock industry in Wyoming. WSGA Photo Donny Marincic Photo

13 Taxation Available Tools Conservation Easements Wyoming Stock Growers Land Trust USDA Beginning Producers Loans SLIB Beginning Producer Loans Agricultural Programs, Associations and Groups The Farm Bureau Young Farmer & Rancher (YF&R) agriculture program National Cattlemen s Beef Association (Webinar Series) And many more

14 VISION FOR THE FUTURE

15 What is an Ag Legacy? a legacy is something that is passed along years after a person leaves the world as we know it. In historical terms, a legacy is somethings that is handed down from one generation to the next. Deciding to leave a legacy can provide a road map for the future; embracing the meaning of a life.. - UW Ag Legacy Program WSGA Photo

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