Member FDIC

As an eventful and often times stressful 2019 crop season comes to an end with harvest approaching, we would encourage all farmers to consider the following:

• Farm Safety–
  • Please check to make sure all safety equipment (I.E. – safety shields, fire extinguishers, etc.) is in place and in working order.
  • Be especially careful and diligent around any moving equipment and/or parts, don’t assume anything as things happen faster than we expect.
  • Make sure to use your flashers and be aware of your surroundings.
  • Wear protective and reflective clothing. 
  • When working around/in grain bins, use all appropriate safety equipment and if at all possible have a 2^nd person around in case of emergency.
• Crop Insurance–
  • Be aware of your crop insurance coverage as area yields are expected to be highly variable and the chances you will have a claim have increased.
  • If you notice that your yields are potentially near or below your insurance guarantees, contact your crop insurance agent immediately to file a claim.
  • Crop Insurance Claims need to be filed within 10 days of harvest completion.
  • Please keep load records of yields from each farm and mark your bins if you are co-mingling production from several farm units.
  • If you are co-mingling 2019 crop with 2018 crop inventory, you need to request a measurement of the 2018 crop on hand.
  • We recommend reporting your yields as quickly as possible post-harvest while the data is still readily available.
  • New for this year, RMA has extended the premium due date to be postmarked no later than Nov. 30^th.  Please keep this in mind as should the bill not be postmarked by the Nov. 30^th deadline, all interest will be retroactive to Oct. 1^st.  
• Farm Finances–
  • Do you have a marketing plan built into your 2019 cash-flow projection and are you adhering to it? Do you know/remember your break-even commodity prices?  Should we end up with a short crop this fall, you may have opportunities for selling crop during and/or after harvest and you need to stay aware of potential opportunities the market may give you.
  • Have you signed up for the 2019 MFP program payment? The deadline to do so is Dec. 6^th. Have you thought about how this payment affects your cash flow?
  • Have you signed up for either the ARC or PLC program? The deadline to do so is Mar. 15^th.
  • If you utilize an operating line of credit, does your 2019 line have enough availability to cover your expected fall expenses? If there are expected 2020 prepaid expenses being purchased prior to year-end, do you have a 2020 operating line of credit in place?
  • If you are expecting to seal your grain and potentially utilize FSA’s CCC loan program, please notify and consult your operating lender prior to doing so.
• Capital Replacement Plan–
  • Do you have a capital replacement plan?
  • As producers we often evaluate and consider our equipment needs during fall harvest while spending time in the cabs. Is there a year potential year end purchase you are considering?
  • Have you considered Citizens Bank Minnesota for financing these potential needs? We offer very competitive interest rates and flexible repayment terms.

2019 has been a challenging and stressful year when considering trade wars, low commodity prices, wet spring planting weather, and the unknown of what fall harvest will bring.  If you or someone you know needs or wants to talk to someone, please remember that the MN Extension’s Farm and Rural Helpline is available by contacting them at 1-833-600-2670 ext. 1.  From all of us at Citizens Bank Minnesota, we wish you a safe and prosperous harvest!

**Save the Date! Join us on January 16, 2020, from 8:00 AM – 11:00 AM at the New Ulm Event Center for our Ag Seminar, featuring Frayne Olson, PhD – Crops Economist/Marketing Specialist and Director – Quentin Burdick Center for Cooperatives at North Dakota State University. To learn more about Dr. Olson, visit: https://www.agweek.com/business/agriculture/4463910-agweek-market-extra-frayne-olson-north-dakota-state-university

By: Justin Gode, Vice President/Lender

Member FDIC/Equal Housing Lender

INVESTMENT AND INSURANCE PRODUCTS: Are Not Insured by the FDIC or any other federal government agency • Are not deposits of or guaranteed by a Bank or any Bank Affiliate • May Lose Value