professional dairy managers of pa annual members meeting
TRANSCRIPT
![Page 1: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/1.jpg)
November Issues Forum
Professional Dairy Managers of PA Annual
Members Meeting
![Page 2: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/2.jpg)
November Issues Forum
Kurtland Farms“Our Top 10 Milestones”Tim Kurtz
Kurtland Farms
![Page 3: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/3.jpg)
November Issues Forum
2006 – Profit Team Start
CDE Initiative 125 Cows Prompted by Frustration Need for Outside Resources
and Guidance Quality of Life Important!
![Page 4: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/4.jpg)
November Issues Forum
2007 – Developed 3-Year Strategy
Dairy Alliance Initiative Five-week Hands-on Workshop SWOT Analysis Need for Business Plan Benchmarking Cost of Production
![Page 5: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/5.jpg)
November Issues Forum
Needed Answers
What is the long-termviability of dairying in this community?
What is the long-term profitability of current facilities?
What are the bottlenecks & limiting factors? Is there enough land? What are other options for the farm?
![Page 6: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/6.jpg)
November Issues Forum
Immediate Action Steps
Short Term: Ventilation, Sexed Semen, 3X milking,
Written SOPs, Amino Acid ration balancing, Shot program
Long Term: Becoming involved in dairy
industry organizations Vital to gain additional
perspective
![Page 7: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/7.jpg)
November Issues Forum
2009 – Began Expansion Exploration
Involved Lending Institution,Engineering Consultant, & Construction Company
Environmental grant availability??? Building site was obvious Extremely tight budget Grants seemed only hope Had to be permitted but not guaranteed
![Page 8: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/8.jpg)
November Issues Forum
2010 – Denied Waiver
Required Land Development Plan Added Considerable Cost Lesson learned: Need highest
level of experience on team Jeff Ainslie consulted Started 2-year process of designing economically
viable facility Numerous trade shows, workshops, phone calls,
emails and consultations
![Page 9: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/9.jpg)
November Issues Forum
2011 – Transformation Team Start
Focused on challenges Assisted with engineering &
permitting costs Penn State Extension Feasibility &
Cash Flow Analysis Brought clarity and credibility Brought new level of energy
![Page 10: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/10.jpg)
November Issues Forum
2011 – Operation of Satellite
Adjoining Dairy Opportunity for additional cows and feed availability Employees stayed with operation Allowed for more specialized employee
responsibilities
Allowed Us to Keep Replacements & Streamline Labor Force
Within 3 Months of 3X Milking, Added 15 # Per Cow Per Day
![Page 11: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/11.jpg)
2011: Began Relationship With Different Construction Company
![Page 12: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/12.jpg)
May 2012: Manure Storage
& Processing Grant Approved!
![Page 13: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/13.jpg)
November Issues Forum
June 2012 – Began Relationship With New Bank
Financing MostChallenging Part of Project
Always Kept Open Lines of Communication Explored All Options
![Page 14: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/14.jpg)
September 2012: Began
Construction
![Page 15: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/15.jpg)
Best possible environment
![Page 16: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/16.jpg)
November Issues Forum
Is It Worth the Investment?
![Page 17: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/17.jpg)
November Issues Forum
Item Cost
Expansion/Construction Cost:
-- Soft Costs (Engineering, Permitting, Environmental)
$50,000
-- Barn & Milking Equipment Costs $2,070,000
-- Miscellaneous Costs $40,000
Subtotal $2,160,000
Environmental/Manure Grants $866,653
Grand Total $3,026,653
220 Cow Robotic Free Stall Barn, Manure Storage & Processing -- Start
Up: 3/18/13 Goal: 7.8 million lbs. of milk per yr
Does Not Include
Cattle Or Start-Up
Costs
![Page 18: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/18.jpg)
November Issues Forum
Robotic Milking: A Natural Fit
Voluntary milking gives cow more flexibility and lowers stress
Labor skills even more important
Enhances positive consumer attitudes
![Page 19: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/19.jpg)
November Issues Forum
Composted Manure Solids
• Manure recycled via press separator and compost drum
• Clean, comfortable stalls are deep bedded
• Environmentally responsible• Additional revenue stream
![Page 20: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/20.jpg)
November Issues Forum
Precision Advantages
• Accuracy of information• Detection of abnormalities• Analyzable data• Production Efficiencies
![Page 21: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/21.jpg)
November Issues Forum
Too Much Information?
• Need to decide what information is needed, when it is needed and where to find it• Monitor on a broader level • Investigate attentions in
more detail
Cows have averaged 85 pounds per day for past six months
in robotic barn.
![Page 22: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/22.jpg)
November Issues Forum
Healthy Cows=ProfitTeamwork=Success
• Many skill sets needed.
• Appeals to next generation
• Mission statement values: Profitability, Quality of life, Stewardship, Having Fun, Honor God
![Page 23: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/23.jpg)
November Issues Forum
Future?
• 100% robotic • Transition to next
generation of ownership
![Page 24: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/24.jpg)
PATIENCE, PERSERVERENCE, PERSISTENCE!
![Page 25: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/25.jpg)
November Issues Forum
Jeff AinslieTransformation Team Member
Site Planning / Permitting / Engineering
![Page 26: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/26.jpg)
November Issues Forum
Kurtland Farms - Take Homes
Lenders talk about the 3 (or now more) C’s of credit
In the quest to construct a new dairy facility, we should be talking about the Four P’s:
1)PLANNING2)PATIENCE3)PERSEVERANCE4)PERMITTING
![Page 27: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/27.jpg)
November Issues Forum
PLANNING
No offense to the builders -- but the details of the barn can wait until a landowner knows what he or she can do where on their property.
![Page 28: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/28.jpg)
November Issues Forum
PATIENCE 7/15/10 Timeline Discussed @ Kurtland
July August September October November December January February March April May Oct
NMP DONE
EQIP application DONE - BE SURE EXTENDED
CDE planning grant DONE
CDE Digester Grant App DONE - OTHERS?
CDE Digester Grant Dec ***
Construction Budget Update?
Feasibility update ************************
Stormwater Plan (Twp)
Site Specific Storage Design
E+S Plans
Water Quality Part II
Credit Ownership Determination
PENNVEST Application *****
PENNVEST Determination******
OR
Wetlands +/or Nutrient Credit Proposal to DEP *****
DEP Determination*****
Construction (?)
Milking Date (GOAL) XX
****************************************
************************************************************
************************************************************
************************************************************
************************************************************
************************
FY 2010 FY 2011KURTLAND FARM - ROBOTIC DAIRY COMPLEX
![Page 29: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/29.jpg)
November Issues Forum
PERSEVERANCE
PENNVEST: 4th try was a charm! Caernarvon Sewer Authority /
Lancaster CD / others…. Berks Conservations District came
through
![Page 30: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/30.jpg)
PERMITTING It is involved…and likely to get more so… It is complicated…and likely to get more
so… It is different for every project at every
location... It is costly in more ways than one….
![Page 31: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/31.jpg)
November Issues Forum
Kurtland Farms - Take Homes
PLANNING Headlock dimensions can wait – confirm what
you can do on your property, and what regulations will apply to you
PATIENCE “My excavator is ready….we’re starting in a
month” – unfortunately, you are probably not… PERSEVERANCE
Stick with it and work with people that will help you get there
PERMITTING It’s a reality – but take the time early on to
learn what rules and regulations actually impact you and your project
![Page 32: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/32.jpg)
November Issues Forum
Fulton Bank PerspectiveFrom Lamar King
![Page 33: Professional Dairy Managers of PA Annual Members Meeting](https://reader031.vdocuments.us/reader031/viewer/2022032104/56649ca55503460f94966686/html5/thumbnails/33.jpg)
November Issues Forum
Agricultural Lending in 2013
Communicate with Your Lender Prepare/Budget/Understand Your
Financials 5 Cs of Credit
Capacity (Cash Flow) Capital Character Conditions Collateral