Farmland questions and answers

Farmland is a vital resource for carrying out Iowa State’s agricultural programs and fulfilling its land-grant mission of research, service and teaching in agriculture.

Recently, the College of Agriculture and others at Iowa State University have fielded questions on farmland issues in Story and Boone counties. Some questions have involved the Committee for Agricultural Development (CAD), a nonprofit corporation affiliated with ISU. Some have involved ISU’s plans for a new, modern dairy facility. Others have asked about ISU’s future needs for agricultural land.

Listed below are answers to these and other questions about how ISU and CAD use and manage farmland. Also, a link is provided to a PDF fact sheet (96 KB) on ISU farmland.

The College of Agriculture welcomes your comments and questions. Call (515) 294-2518 or e-mail the College’s communications office, bmeyer@iastate.edu.

What is the Committee for Agricultural Development (CAD)?
CAD was established as a nonprofit corporation in 1943 with the approval of the Iowa Board of Education. Its mission is to produce crop seeds developed from Iowa State research; to distribute plant genetic materials and other research products to the public; and to acquire and maintain adequate land for agricultural research purposes of Iowa State.

What is the relationship between CAD and Iowa State University?
CAD works closely with Iowa State to meet the need for farmland to conduct agricultural research and to grow and distribute publicly available seed developed by ISU researchers. CAD land also is used to produce feed for livestock in ISU’s research and teaching herds, and to receive manure from those operations. Management of CAD operations is conducted by university employees in the College of Agriculture. The portions of their jobs related to CAD business are paid by CAD, not by taxpayer funds. CAD’s operations also benefit ISU researchers and students. Over its history, CAD has provided more than a million dollars of research support to ISU. CAD owns and operates a farm in southwest Iowa that was given as a gift in the early 1970s. In accordance with the donor’s wishes, all profits from the farm benefit the education of ISU graduate students in agronomy. Over the past 30 years, proceeds from the farm have contributed more than $400,000 to ISU students. Since the gift of that particular farm, CAD has accepted no other gifts of land or money.

Who makes decisions for CAD?
CAD has a board of trustees made up of 11 representatives from Iowa farm and seed organizations and from Iowa State University. Wayne Ellingson of Ames currently chairs the board.

How much land does CAD own?
CAD currently owns 3,445 acres of land. Except for 520 acres in Pottawattamie County, the land is located in Story and Boone counties. Since 1990, CAD has purchased eight parcels of land totaling 1,731 acres and sold 10 parcels totaling 326 acres. CAD’s land purchases are made with an eye toward long-term needs of university research and demonstration. CAD’s land purchases have helped to meet increasing demands for research and for raising foundation seed, which requires special attention and adherence to strict environmental and production guidelines.

How does CAD pay for land?
CAD is a financially independent organization. It purchases land with its own funds, which primarily come from sales of public varieties of seed and of commodity grains grown in rotation with seed. CAD pays property taxes on all its land. In 2002, CAD paid $35,323 in property taxes in Story County and $42,836 in taxes in Boone County.

What is CAD land used for?
The majority of central-Iowa acreage owned by CAD is dedicated to ISU agricultural research and to seed production of ISU-developed seed. Some of CAD’s revenues have come from growing commodity corn in rotation with seed. Using a public-bid process, CAD pays local farmers to provide custom farming operations to grow the commodity grain. Last year CAD grew and marketed commodity soybeans for the first time in response to a seed production problem related to a new pest, the bean leaf beetle.

How much land does CAD and ISU need for its programs?
Agricultural research is changing and these changes impact land decisions. Today, not all research can be conducted on small plots; some require more significant areas of land to be able to test, implement or evaluate new technologies. These new technologies may include new methods of automation and mechanization, such as the use of global positioning systems and geographic information systems. Studies on crops containing genetic modifications require sizable areas so plots can be isolated from neighboring fields. Land is also needed for extension, demonstration and continuing education programs led by ISU staff.

Also, the demand for agricultural land has increased as ISU researchers and graduate students are more successful in securing competitive grants. Collaborations with federal research partners, like the USDA, also continue to grow, and these research efforts are beneficial to the university and the state of Iowa.

Historically, agricultural land purchases for ISU uses have considered the needs of the campus and the community. The university’s agricultural activities continue to move farther from campus and Ames to accommodate urban growth, new economic development and recreational development in the Ames area. These items are important to students, businesses, schools and residents. Adequate land also is needed to serve as a buffer between the university’s agricultural activities, especially those involving livestock, and urban or suburban areas.

Why are land purchases being considered in a time of shrinking state budgets?
ISU has been going through a belt-tightening process as state budgets have been reduced the past three years. The College of Agriculture currently is reviewing many of its research facilities to look for savings to deal with last year’s state budget cuts. Even in these difficult budget times, ISU is taking a long-term view for its programs and positioning itself for excellence in the future. That includes meeting the needs of faculty, staff and collaborators for agricultural land to fulfill their mission in research, education and extension.

Does CAD grow commodity corn and soybeans?
The majority of central-Iowa acreage owned by CAD is dedicated to Iowa State agricultural research and to seed production of ISU-developed seed. Since CAD is financially independent, some of its revenues have come from growing commodity corn on land not used for seed production. (To prevent production problems, soybean seed cannot be grown on the same acreage two years in a row; so every other year, commodity corn is grown on land that was previously in seed.) Using a public-bid process, CAD contracts with local farmers to provide custom farming operations to grow the commodity grain. Revenues from commodity crops support CAD’s main operations linked to seed production and ISU agricultural research.

In 2002, CAD for the first time grew commodity soybeans because of a seed production problem facing many in the soybean industry. The bean leaf beetle transmits a disease resulting in reduced seed quality, especially in soybeans destined for food-grade markets. In response to that problem, CAD shifted its soybean seed production to areas outside central Iowa and grew commodity soybeans on land that normally would be planted to seed. CAD’s revenues from 2002 grain sales helped to support the production of seed elsewhere — and it also supported ISU research addressing the bean leaf beetle problem. This year CAD again will produce much of its soybean seed outside central Iowa because of the bean leaf beetle problem. Future plans will be to grow fewer commodity crops and return CAD’s land to raising public seed or for ISU research purposes.

How much land did CAD recently buy?
CAD recently purchased at a public auction two parcels of farmland in Boone County totaling about 240 acres. The purchase helped to fulfill a recommendation in ISU’s 1996 land management plan on acquiring land within a larger land block already owned by CAD (generally referred to as the Uthe Farm), and to retain the land for long-range needs. The purchase moves CAD closer to “squaring” out the existing farm, as indicated in the ISU land plan. It also will increase the acreage available to produce public varieties of seed and will meet current and future demands for university research and demonstration programs. The newly purchased land will be farmed this year by the current tenant. The surrounding land owned by CAD will be used this year for USDA corn research, ISU agronomy plots, ISU soybean breeder seed production, a USDA weather-monitoring project and the crop rotations necessary to accommodate these activities.

Are there plans for a new ISU dairy farm in central Iowa?
The College of Agriculture plans to consolidate two dairy research and teaching farms in Ankeny and Ames into a new central-Iowa location. Last year, the Iowa General Assembly mandated that Iowa State sell the Ankeny farm and use the proceeds to develop a modern dairy farm.

Why is a new dairy farm needed?
The dairy facilities in Ames (established in 1907) and in Ankeny (established in 1955) are outdated and becoming more ill-suited for addressing the research, extension and education needs of today’s vibrant dairy industry in Iowa. ISU has a long history of strong dairy science programs, and is committed to keeping Iowa dairy producers competitive.

Where will the new dairy farm be located?
CAD has been helping ISU officials explore locations for the new facility. Discussions have been held on 772 acres of land owned by Knapp Properties in Story County south of Ames, generally referred to as the Black Farm. The site is one of several possible locations under consideration. Any land transactions require approval by the Board of Regents, State of Iowa. The university is primarily interested in the Black Farm because of its special location. It is adjacent to other university livestock teaching and research activities, offering potential advantages in more efficient operations, shared resources and easy access for students and faculty. It also fits well in the ISU land-management plan, which recommends consolidation of animal-science teaching and research activities in this area and acquisition of land to respond to teaching and research needs and to meet manure-management requirements.

Has CAD rented this farm?
Until a decision is made on the location of a new dairy facility, CAD has leased the farmland from Knapp Properties. By renting the property, ISU and CAD can manage the crops, soils, agricultural inputs and other factors in appropriate ways for teaching and research.

What are ISU’s future plans for buying agricultural land in Story or Boone counties?
Iowa State’s plans for agricultural land management are outlined in the Land Management Plan for the Campus and Ames Area Agricultural Properties, which was completed in 1996. This plan, which includes land owned by the university and affiliated organizations (like CAD), outlines goals for efficient land use that are compatible with the university’s agricultural teaching and research requirements and the urban development of Ames. The land-use plan has continued to be the basis for planning in central Iowa. ISU is working to update the plan to reflect recent developments, including state budget reductions over the past few years and the General Assembly’s 2002 directive to sell the 1,008-acre dairy farm in Ankeny. Any updates will be submitted to the Regents for their review and approval.