Johnson County Agriculture Development Council Comprehensive Plan Amended March 3, 2008

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1 Johnson County Agriculture Development Council Comprehensive Plan Amended March 3, 2008 Council Members Carroll Burchett Robert O Bryan Jack Holbrook Jim Patton Robert Younce Jesse Salyer Tom Keeth Gary Davis Brian Jeffiers (County Extension Agent) OVERVIEW OF COUNTY With above-average transportation availability, close proximity to urban areas, quality educational opportunities and an accommodating climate, Johnson County has all the components of a community capable of economic growth. The county is situated in the foothills of the Appalachian Mountains, with heavily timbered slopes surrounding wide, fertile river and creek bottoms. Tobacco sales have dropped to under $500,000 per year. Beef cattle revenue has jumped from $288,000 in 2002 to $383,000 in Numerous small-scale vegetable operations also produce in the county for direct retail sales. Timber production brought in significant revenue as well, although exact statistics were not available. Many avenues will need to be explored as the county seeks to improve its agricultural economy in the coming years. Identifying crops adapted to our mild climate and suitable for small-acreage plots will be necessary, and expansion of a strong and growing livestock industry must continue as well. New marketing options must be developed to find destinations for products beyond the limited local market. The dramatic decrease in tobacco production down roughly 80% since the buyout has driven a move toward beef cattle production, which shows herd numbers up from 800 to 1,300 in the last six years.

2 DEMOGRAPHIC DATA Paintsville is the county seat of Johnson County and had a 2000 population of 4,132, while the county s population stood at 23,445. Coal mining was the backbone of the area s economy through much of the 20 th century, but retail and service industry jobs, along with government employment in schools and a federal prison, have increased to provide most of the jobs in the county. Local retailers service communities in at least four other counties. Neighboring Morgan, Magoffin, Martin, and Lawrence counties provide significant economic impact through their purchases in Paintsville discount stores, home improvement businesses, furniture stores, and restaurants. Some new opportunities are materializing. A new federal correctional facility in neighboring Martin County has provided a few hundred new jobs. City and county governments are working to develop entrepreneurship and industrial growth with a new industrial park. DEVELOPMENT OF THE PLAN With several years gone since the formulation of the original plan, many changes have taken place. Most significant are the tobacco buyout, and in Johnson County, the dramatic increase in cattle production. Producers from many different operations have reported the value of the livestock handling, hay storage, fencing, forage, bull, and heifer cost-share programs over the years. Board members have heard feedback from throughout the county that these model programs are effective and useful in permitting expansion of enterprises to capture greater profits. Leaders also agree that the goat industry is strengthening in the county. With the input of the Johnson County Agricultural Advancement Council, the Johnson

3 County Agricultural Development Board, and leaders in the County Extension Council, the Board has assembled this plan as an update on the status of the post-master Settlement Agreement agriculture economy in Johnson County. COMMUNITY STRENGTHS A location near urban areas, excellent transportation, and above-average access to education highlight Johnson County s greatest assets. One hour s drive will take local residents to Ashland, Hazard, Pikeville, or Morehead, Kentucky; or to Huntington, West Virginia. Two hours on the road will access Lexington or London, Kentucky, or Charleston, West Virginia. US 23 is a four-lane artery that stretches from the Virginia border to southern Ohio, most of it bypassing dense city traffic. US 460 connects the county to the Bert T. Combs Mountain Parkway, of which half is four-lane already and the other half is in the process of being widened to four lanes. Railroads traverse much of the county, and barge traffic is possible from Louisa north along the Big Sandy River. Educational resources include excellent elementary and secondary schools in two public and two private systems. Postsecondary opportunities include Mayo Technical College campuses in Paintsville and Hager Hill, with Prestonsburg Community College and Morehead State University extended campus programs in neighboring Floyd County. Pikeville College, a private four-year institution that now includes a school of osteopathic medicine, is just 45 minutes away. West Virginia s Marshall University in Huntington is about one hour s drive to the north. The area s farmland has proven quite capable of producing any number of crops, and the growers themselves have proven their own abilities to grow new commodities and accept education on how to accomplish that.

4 WEAKNESSES The continued uncertainty of coal erodes tax bases and employment in the entire region. The coal industry provides many high-wage jobs, but their continuation from year to year is uncertain. Despite having the assets necessary to draw industry, efforts to do so have met less success than was hoped. The tobacco buyout has finally driven diversification efforts, mostly around livestock. In particular the expansion of the goat and cattle industries has helped stabilize the agricultural economy. A limited local retail market will raise the fear of market saturation with produce and other crops. This will create a need for a far-reaching market that will not be saturated strictly by local growers. Without this, the risk is high that successful growers will be reluctant to share their knowledge with those they perceive as future competition. The market must be such that growers can work together. OPPORTUNITIES In broad terms, local farmers must look for ways to increase markets and reduce production costs. Within this framework is where the success of Phase I investments will be found. With small farm sizes and crop acreage, the savings afforded to large operations cannot be realized by individual producers. Rather, they must band together and work jointly, speaking with one voice in purchase of inputs, sale of products, and technical assistance. A comprehensive marketing effort for all local products is again called for here. The availability of shared-use vegetable equipment has not done as much to diversify the economy as was hoped. THREATS The independent nature of farmers is vital to their success. However, a spirit of

5 cooperation must be generated and fostered for these growers to meet with success in working jointly. The need for expensive membership fees or an elaborate supervision system would undermine the purpose for banding growers together, so individual responsibility for the group s success will be essential. Maintaining a consistent quality of product across many different farms and productions systems will be an important early challenge. COUNCIL OBJECTIVES This council has a greater purpose than simply finding and spending as much money as possible. Family farms and land value must be preserved. The funds available must be multiplied, perpetuated, matched, and stretched to achieve the greatest possible impact for Johnson County. Continued uncertainty of the state budget means a sense of urgency should be felt by the council to solicit and implement programs on a steady basis, to send a signal that the funds are needed in Johnson County. Improved profitability of beef production and the expansion of goat production will be a high priority. Beef production will continue to be addressed through marketing and genetic improvements. Access to collective sale points and technical expertise will be a priority in the new enterprises, and retail-oriented advertising of products like vegetables, honey, and Christmas trees will be favored. Agritourism is already developing and shows considerable promise as the attraction of traditional agriculture coincides with the development of many small, home-based businesses related to crafts, heritage items, and agriculture. Hence the council adopts this mission statement: To improve the agricultural economy in Johnson County so that farmland remains in production, farm families maintain or improve their economic standing, and farm youth are able to carry on the tradition. The council seeks to meet this goal by exploring production and marketing of new products, improved profitability and

6 efficiency of old products; and innovative ways of stimulating new avenues outside the usual image of farming. TACTICS FOR LEVERAGING FUNDS Projects will be favored that exhibit the highest potential for being augmented by fund from other sources, including (but not limited to) government grants at the federal, state, or local level; private sector assistance; grower contributions; nonprofit groups; and return of a share of profits back into the system. The council will also look favorably upon those projects that exhibit the greatest degree of external funding. EVALUATION AND REVIEW OF PROJECTS Successful applicants should expect to update this council periodically on their success relative to their proposal s expectations. This shall include detailed financial statements on the progress of the project and how the applicant is implementing the outreach element of their proposal. The council also reserves the right to amend this plan at any of its regular monthly meetings, as deemed necessary by the membership.