Lancaster farming. (Lancaster, Pa., etc.) 1955-current, August 08, 1981, Image 1
pcRIOQICAUS o}^'®i5 N «l*9 p»JTK LI«W un ! VERS , TV 1 P«LiS^^ M n iRI ililiiri^^b"«sj^PSßpjlWHßM VOL. 26 No. 41 Reagan signs Tax Act; Farms and farmers profit BY DEBBIE KOONTZ LANCASTER President Reagan signed the Economic Recovery Tax Act, Wednesday a plan which, according to Peat, Marwick, Mitchell and Co., the international accounting firm, will present immediate tax savings opportunities to a tarmer’s business as well as to each in dividual farmer. The overall effects the Act will have are as yet not entirely clear. But says Steven Hoffman, manager at the accounting firm, "The new tax Act, which is the most radical revision of the tax law since the internal revenue code was amraended in 1954, is gomg to have a substantial effect on vir tually everyone’s investment strategies and financial and estate , planning. “The potential benefits under the Act will not accrue automatically. To take optimum advantage of the changes, careful planning is necessary and the tax payers should begin reviewing the major provisions of the Act to determine the impact it will have Inside This Week’s... It was a real battle at the Berks f;f-A hog show and the winners are on A 36 It you missed going to the Lycoming f-air, read all about it on page C2b Authentic Amish quilts and nostalgia combine to support a one-room school on Page Dfa York County 4-H ers anoint new horse show ring hnd out how on page DIO Co-ops, farm groups take stand on HB 767 HARRISBURG - A total of ten farm organizations, dairy cooperatives, and individual farmers testified Wednesday during a hearing before the House Agricultural and Rural Affairs Committee. The session was called to discuss House Bill 767 which would amend the Pennsylvania Agricultural Conjmodities Market Act of 1968, PL 359, No. 179-1968 Introduced by Representative James L. Wnght, Jr. (R-Bucks, 142nd) on March 9, 1981, the bill has met with delays through the course of leg’slative action. However, Committee Chairman' Joseph Grieco (R-Lycoming, Northumberland, 84th) stated he hopes to havp the bill on the calendar before the end of Sep tember. x What has made HB 767 create such a stir on its way through the democratic process is the fact that this bill .would call for some dramatic changes in r the agricultural commodities on their financial structure and overall tax planning.” Perhaps the biggest savings tor the farm will be the possibility tor couples to leave estates worth 1.2 million dollars tax tree to heirs and not have federal tax to pay. An entire estate can be given to a survivor with no federal death tax due tor surviving spouses of decedants who die after this year. An estate of up to $600,000 can be lett at'death with no federal tax by the mid 1980’s. It starts rising gradually next year, moving from $175,000 to $225,000. Also, for decendants to use lower value rules on estates for farms, the decedant needn’t have been as active in management operations as was necessary under the Revenue Service interpretation of the law. Another big change due to the Act is the possibility of writing oft buildings over a 15-year period. More depreciation can be claimed m the earlier years than later. five-year plan (Turn to Page A 39) marketing program. It would: expand the meaning of the term ‘producer’ to include cor porations, associations and other business units in addition to in dividuals; s eliminate, any reference to volume in the voting of a proposed marketing program. Approval of a program will occur if two-thirds of those voting vote yes on the program; « eliminate the provision which provides for block voting of a cooperative for its members. EJvery affected producer would be granted the opportunity to vote; eliminate the section that would cause the Secretary of Agriculture to terminate a marketing program when more than 33% percent of the affected producers requested such ter mination; and ✓ reduce to three from five years the length of time a marketing program must bo in Lancaster Farming, Saturday, August S, 1911 First place winners in the Lebanon Holstein Association Field Day lodging contest were: from left Arden BHss Men’s Division; Sherry Hoffer, Women’s Division; Dale Weaver, Junior 14-19 Division; and Kevin Myer, Junior Lebanon Holstein breeders visit Mil-Harv Farms BY SHEILA MILLER BELLEGROVE The threat of thunderstorms and the intensely close humidity that enveloped the fertile Lebanon valley on Tuesday evening did not discourage a large number of area dairy producers from turning out at Mil-Harv farm effect before the Secretary of Agriculture must call for a (Turn to Page A3l). HOMEANDYOUIH Homestead Notes, C 2; Home on the Range, -C6; Farm Women Societies, C 8; Kid’s Korner, Cl 2; Chicken Cooking Contest, Cl 4; FFA, CIS; 4-H’ers in Mass., CIS; Conservation School, C 23. COLUMNS Editorials A 10; Now is the time, A 10; Ask the VMD, B 4; Ida’s Notebook, C 5; Joyce Bupp’s column] 04; Ladies' have you heard?. Oil; Farm Talk, Dll. Guernsey breeders gather, A2B; Milk market new, A 37; Dairy Photo Album, C 22; Berks Holstein field day, CIO; -Dairy prmcess promotes, C3U; Blair DHIA, C 32; Frankhn DHIA, C 34; Chester DUIA, D 4; Somerset DHIA, D 5. DAIRY 13 and Under Division (this youngster agreed with Judge William Pettit far right on 100 percent of the placings). Also on hand for the Tuesday evening festivities was Lebanon County Dairy Princess Joanne Weidman. for the annual Lebanon Holstein Association field day. As the dairy families gathered for a fun, informative evening, the uncomfortable weather disap peared as the sun slowly sank below the rooftops of the nearby village homes. But this daily evei* went unobserved by most of th& dairy producers who were gazing intently at three classes of Holsteins rather than a .hazy sunset. The black and white subjects of close scrutiny were the 3-year.- olds, dry cows, and heifers belonging to Harvey T. Bomgardner and family. Harvey and Mildred have been farming at the 140-acre home farm since 1947 when they took over for his father The current operation, which includes son Mark, 31, and family, son Dave, 18, and daughter Jane, 21, has increased by an additional 100-acre farm, along with another 100 acres of rented ground. The yellow Dutch-style barn that has been expanded over the years with freestall additions holds Mil- Harv’s 104 head of registered Holsteins along with their 75 head of young stock. The 116 stalls are of various designs, some hanging, some homemade, with elevations as high as 17 inches. “I believe in having the cows up and out of the manure,” Harvey explains. The Bomgardners raise all their own feed, 100 acres of alfalfa and 100 acres of com for haylage and silage with the rest planted to cereal crops. The grain is ground at the farm and batch-mixed the only thing added that’s not raised $7.50 Per Year by the Bomgardners is the protein soybean meal. When it comes time to feed the milking string, not every cow is treated the same. According to son Dave, the cows are split into two groups, high and low, based on production. While they’re in the parlor, the high'cows are fed 15 pounds of concentrate. Out in the bunk, they receive an additional 5 pounds ’'of concentrate with 30 pounds of corrr silage and 20 pounds of haylage. This was the second time in 20 years che Lebanon Holstein breeders were guests at Mil-Harv farm. In those two decades, however, the farm has seen con siderable changes and has led the way with innovations. According to Harvey, his operation was one of the first ui the county to have a milking parlor. His first one, was installed in 1954, and later replaced m 1970 with a double-six herringb 'ne. He recalls with pride how he had the first bunk feeder in the county built in 1957 and was the first to install contour strips in his fields. And he (Turn to Page A 34) Ag Progress Days is right around the corner and Lancaster Farming is gearing up to honor the annual event with a special issue, coming out Saturday, August 22. Inside this issue, subscribers will receive a full - schedule of events, exhibitor list and a map ot where to go and what to see. Advertising deadline lor this special issue is Monday, August 17.