ATR Trent Loos: Property vs sales tax, Barges carrying less freight and solar rent checks
Sep 13, 2024
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Trent Loos, a dynamic host of multiple podcasts aimed at uniting rural and urban communities, dives into pressing agricultural issues. He discusses the drought's impact on barge freight for the upcoming harvest and proposes the abolition of property tax in South Dakota. Loos highlights how sustainable energy projects are raising land rental costs and stresses the importance of grassroots movements for change. He also touches on the implications of California's water policies and the rising barriers for new farmers as the U.S. risks becoming a net food importer.
The low water levels in the Mississippi River are significantly increasing freight costs and complicating the transportation of agricultural goods.
Rising property taxes and the shift toward sustainable energy projects are creating financial challenges for traditional farmers, jeopardizing the future of U.S. food security.
Deep dives
Impact of Drought on Freight Costs
Low water levels in the Mississippi River are currently causing significant challenges for transporting agricultural goods. With the capacity limited to 10 feet of draft, the number of barges required to carry the same amount of grain has increased, leading to an uptick of 8% in freight costs compared to the previous year. This situation is compounding worries for grain farmers who are already facing a surplus in the market, putting them in a difficult financial position as they strive to turn a profit. The discussion emphasizes the broader implications of environmental factors on agricultural commerce and the livelihoods of those involved in farming.
Rethinking Property Taxes in South Dakota
There is a growing demand from South Dakota citizens to address the issue of rising property taxes, with some advocating for the elimination of residential property taxes altogether. Former legislator Tim Goodwin proposed an alternative approach to raise the state's sales tax to replace property tax revenue, which could serve as a model for other states. The discussion highlights the financial burden property taxes place on landowners, prompting numerous residents to feel trapped in a cycle of escalating costs that threaten their ability to maintain their properties. This idea is resonating across states, with others like Nebraska and North Dakota exploring similar initiatives due to the unsustainable nature of current property tax systems.
The Rise of Sustainable Energy Projects
The increasing demand for land to host sustainable energy projects, such as solar farms, is leading to a dramatic rise in rental rates, making it difficult for traditional farmers to compete. For instance, while agricultural land may rent for $400-$500 per acre, land leased for renewable energy can command rates of $1,200 to $1,500 per acre. This shift raises critical concerns about food security in the U.S., as farmland transitions away from food production in favor of renewable energy initiatives, potentially leading to a future where America becomes more reliant on food imports. The conversation conveys the risks involved in prioritizing green energy projects at the expense of traditional agricultural practices and the resultant implications for food supply.
Trent Loos joins Vance Crowe on the Ag Tribes Report ATR to discuss the drought affecting barges that will be carrying the 2024 Harvest, a proposal to end property tax in South Dakota that could change the country and take another look at the amount of cropland being taken out of production for sustainable energy.
Trent Loos, is the the host of several daily podcasts including Loos Tales and Rural Route Radio where he seeks to bridge the divide between rural and urban. Trent is very definition of grass roots, working on behalf of Protect the Harvest and several other causes to protect US farmland.
List of Worthy adversaries: https://x.com/i/lists/1815850820195475962
Topics discussed:
California's water acquisition efforts pose a threat to other states.
Property taxes are becoming unsustainable for landowners.
Sustainable energy projects are driving up land rental rates.
The U.S. is becoming a net food importing nation.
Local governance is crucial for addressing agricultural issues.
Grassroots movements are essential for change in agriculture.
Engaging with different perspectives can lead to better solutions.
The rising cost of farmland is a significant barrier for new farmers.
Political dynamics in agriculture require careful consideration.
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