L2sNo.a*^4
Among the honored guests at the Pennsylvania Poultry Federation Banquet
lursday night, from left, were Broilerman of the Year Ken and Cora Longacre;
irkey Industryman of the Year, Emerson and Candace Meashey; and Egg
dustryman of the Year Walter and Jean Wheelock.
Pa. Poultry Banquet
hosts 1670 supporters
.BYCURTHARLER
KNCA&TER - A total of
b paying guests attended
1980 Pennsylvania
nltry Federation Banquet
prsday night to support
[state broiler, egg, and
bey industry.
total- attendance at the
liquet, including guests,
is 1670, according to PPF
In this issue
SECTION A: Editorials, 10; Ag Preserve Board, 16;
Agrispon denied label, 19; WND in Pa., 30; Red Lion
FFA, 38.
SECTION B: Calf sale photo highlights, 2; Friends of
ji-H, 3; Lebanon 4-H subs, 5; Grange legislative
j meeting, 6.
SECTION C: Homestead notes, 2; Joyce Bupp, 12;
Organic fanning 18; The Milk Check, 36; Lancaster
feeder pig show, 39; Farm Talk, 40.
SECTION D: York DHIA, 7; Jersey princesses, 12;
flights and sounds of spring, 14; Huntingdon DHIA, 17;
fFA speaking contest, 18; Schuylkill DHIA, 21; Ask
theVMD,2B.
Farm estate planning what’s there to know?
BY SHEILA MILLER
UTITZ Everyone has heard the old saying, “There
fe only two things in life you can be sure of—taxes and
?mg”. No one can exit from this’world without facing
oth, thanks to the government’s estate settlement taxes.
The trauma that death brings to the surviving family,
ihether on the farm or in the city, is a time of grief and
iffering. And, unfortunately, this dark period in the lives
1 many farm families, is clouded over with an even
irker realization that they weren’t prepared for the
ttth of their loved one.
Every day there are farms lost to families because of
% rigid federal and state tax laws which govern estates,
ven farmers who think they have their tracks covered by
skuig out a will may unknowingly leave their families
ith a heavy taxation burden.
Consider the case of a couple we’ll call Mr. and Mrs.
irmer Brown, who lived in Pennsylvania. Their plans to
*°k after the well-being of their children and grand
uldren almost ended in the loss of two of their three
inns.
Like many Pennsylvania fanners, the Browns had their
Homey draft a will for them. The will left the entire farm
‘the surviving spouse upon the death of either Mr. or
*fs. Brown.
(
Executive Director John
Hoffman.
Despite the dismal
economic situation in the
poultry industry, 99 full
tables were sold to sup
porters for the Banquet
The annual fund raising
event is the best attended
affair of its kind in the East.
Main course at the dinner
Lancaster Farming,-Saturday, April 12,1980
was Federation Turkey
Benedict with Hollandaise
sauce and crab meat The
(Turn to Page AST)
Cattle prices come out of slump
LANCASTER - DES,
diethylstilbestrol, the
controversial growth
stimulant not only improves
cattle weight gains—it also
improves cattle prices.
On April 4, the Assistant
Secretary of Agriculture
Carol Tucker Foreman and
the' Commissioner of Food
and Drugs Jere Goyan
joined together in making a
statement to deal with what
the government has ruled as
the illegal distribution and
use of DES implants in
cattle.
They announced that at
First in series on estates , wills, trusts. . .
In 1968, Mr. Brown passed away. Mrs. Brown survived
her husband for five years, and died in 1973.
At the time of her death, the original will called for the
three farms to go to the Brown’s two sons. The will spelled
out the sons had the lifetime right to use the farms, and
after their death, the farms would go to any natural
children from their marriages.
The Brown’s will further added the farms could never
be encumbered—that is, have any debt against them.
Now, the provisions of the will probably seemed quite
satisfactory to the Browns and they undoubtedly did not
realize what sort of problems it would be creating. But
after the deaths of the parents, the troubles became ap
parent.
The first problem came when the same estate was
caught by the estate settlement tax bite for the second
time in one generation. In fact, estate taxes were assessed
twice in five years, once with the death of each of the
parents Brown.
Their wish" that the farms should never be encumbered
didn’t give their sons any opportunity to build their own
estates, to look after their wives after their demise. Their
equity was only what they could build up in cattle and
equipment.
The sons could never borrow against the farms in order
Grand champion female from Airville
Average prices drop
at Pa. Holstein Sale
BY DICK ANGLESTEIN
HARRISBURG - While
nearly a half-million dollars
in young dairy animals went
across the auction block at
the 27th Annual Penn
sylvania Association Show
and Sale this week, average
prices were down con
siderably from those paid
last year. ,
In total, 316 calves and
bred heifers were sold on
Wednesday and Thursday in
the small arena of the Farm
Show Building at a combined
price tag of $497,575.
Last year’s receipts
totaled $616,675, or $119,100
more than this year. The
number of animals sold last
year was 323, just seven
more than this year.
The average price paid for
a calf at Wednesday’s sale
was $1,416. This is $376 below
FDA , USDA crack down on DES
least 70,000 cattle, and
perhaps as many as 200,000 '
head have been illegally
implanted with DES in the
United States. The drug was
banned by the Food and
Drug Administration on
June 29, 1979 because of the
possibilities of its causing
cancer.
The ban prohibited the use
of DES in animal feed as
well as the implanting of
DES pellets in animals.
Implanting, typically in the
animal’s ear, permitted the
drug to be released
gradually into the animal’s
system.
the average price of $1,792
paid'in 1979.
The bred heifer average
pnce at Thursday’s sale
amounted to $1,942, which
was $177 below last year’s
average of $2,119.
The top individual price at
Grand champion female at the 27th Pa. Holstein
Show is “Northcroft Ella Elevation,” shown with
George Knight, R 2, Airville, York County. More
photos on pages A 26 and 82.
The manufacture and
shipment of DES became
illegal on July 13,1979, and it
was banned for use on cattle
and sheep on November 1,
1979.
According to Dick Reed, of
Dean Witter Reynolds, Inc.,
a brokerage firm in Lan
caster, the announcement of
the government barring
these implanted cattle from
the market has had a
positive effect on the cattle
prices since last Thursday.
In the past week, the cattle
prices have recovered four
cents because of the scare-
to expand their operation, because the will stated they
could not use the real estate as security ior borrowing
money.
And, regarding the inheritance of the grandchildren, the
one couple never was able to have any natural children.
The estate settlement taxes on the three farms created
a financial burden on the heirs to the point where they
were going to have to sell two of the three farms to pay
those taxes. This would have set back their fanning
operation to the point of slow or no return.
Through some legal advice, they were told that the
farms could be taxed for estate purposes based on the land
value for agriculture. This allowed for a somewhat
.happier ending—only one of the farms had to be sold to
meet their tax obligations.
This true story, and many others like it, are the basis for
a senes of articles in the next several weeks of Lancaster
Farming dealing with estate planning, wills, trusts,
partnerships, and corporations.
The informational series is designed to point out estate
problem areas by learning from past examples, putting
estate planning into present-day situations, and projec
tmgthe impact of the future on farm estates.
Look for the series each week in the front of Section B.
$7.00 Per Year
both sales was $7,100 for a
year-old calf, “Lucinda
Sunny Craft Chief,” con
signed by Earl C. Stauffer
and Associates, Ephrata. It
was bought by the Lucinda
Syndicate, Selma, Calif.
(Turn to Page A 26)
reaction effect on the daily
cattle business, he said.
“The news triggered the
market, and the maximum
1.5 cents a pound increase
limit was reached on several
days,” he sai<L“lt was time
for the market to turn. June
cattle prices had readied
their lowest at 60.25 cents—
they’re high had been 77
cents. Now the market has
recovered four of the ‘
seventeen cents it lost in a
short period of time. ”
The market had been
going steadily downward
(Turn to Page A 39)