Des Moines Register 07-30-06 Drought squeezes farmers' finances Some growers forced to buy water, feed for livestock By ANNE FITZGERALD REGISTER AGRIBUSINESS WRITER Albia, Ia. - At the height of summer heat, each of Bryan Reed's cows consume 25 to 30 gallons of water daily. When the ponds are full and streams are running, the water is free. This summer, it's not. "I've got one set of 120 cows that have been on rural water for about a month and a half," Reed said. "We're having to buy that water." Red ink is flowing this summer in drought-stricken rural areas, like Monroe County, where Reed farms with his father, Ron. Cool-season grasses have gone dormant. Warm-season grasses aren't growing. Hayfields that typically produce three to four cuttings per year have yielded only one, maybe two. Corn has not pollinated. Soybeans that should be thigh-high are barely a foot tall. Economists and policymakers watching the situation closely say it's too soon to know what the full economic impact will be. Some effects will not emerge until next year, they said, but already the impact has hit the driest areas. Livestock feeders accustomed to raising their own forage and grain have been forced to buy. Some producers have started to cull their cow herds. The situation reaches from the Dakotas to Texas, and it is spreading throughout the western Corn Belt, where crop and livestock production are multibillion-dollar businesses. How the weather plays out for the rest of the year will affect crop farmers, livestock feeders, grain processors and other agribusinesses. Nurseries, landscapers, golf courses and, ultimately, consumers will feel the impact, economists said last week. Extreme drought covers about two-thirds of South Dakota, with exceptional drought - the worst level - gripping the heart of that region. Extreme drought also has hit most of Oklahoma and much of Texas, and it is expanding in Minnesota and Wisconsin. Except for about a dozen northeastern and east-central Iowa counties, dryness to some degree covers the entire state, a garden spot for several successive years. Moderate drought has hit most of southern and western Iowa, with large - and growing - patches of severe drought in northwestern and south-central areas. In Monroe County, an hour southeast of Des Moines, precipitation from Jan. 1 to July 27 totaled 56 percent of normal, said Harry Hillaker, state climatologist with the Iowa Department of Agriculture and Land Stewardship in Des Moines. Weeks of hot, windy weather have compounded the deficit: In the past three months, the county has received just one-third of its normal precipitation. "Sixty percent of the corn planted did not shoot tassels or silk," said Mark Carlton, an Iowa State University Extension field specialist based in Albia, the county seat. "I thought we were in bad shape, but I didn't know we were in that bad of shape." Dryness there has persisted for more than a year. Between Jan. 1, 2005, and the end of last week, the county should have received almost 60 inches of precipitation. Actual precipitation totaled about 39 inches. Despite last week's widespread rainfall, drought is still a problem, weather specialists said. "It helped in some areas, but not so much in other areas, and it probably missed the worst-off areas altogether," Hillaker said. About an inch and a half fell overnight last Tuesday in Monroe County, where Reed and his father raise crops and cattle. "That's probably their best rain in quite some time," Hillaker said. "That helps ... but doesn't really go very far to reduce their rainfall deficit, which is substantial." Old-timers say it hasn't been this dry in decades. Old trees, including hackberries that are more than 50 years old, are dying. It's been years since widespread drought hit the heart of the United States. Elwynn Taylor, Iowa State Extension climatologist, says such droughts occur every 18 or 19 years. It has been 18 years since the drought of 1988. Reed and other farmers gauge soil moisture conditions by how well their pastures perform. Already, they have begun to feed hay to their cattle herds, because pastures have dried up. "A lot of times, we can get clear up to Christmastime before we feed hay," Reed said. "But we're feeding hay now. ... There's just no subsoil moisture." Normally, he would sell about $10,000 of hay, in addition to raising what he needs to feed his cattle. On top of what it's costing to water half of his cow herd, Reed's red ink is adding up. And the year is just half over. "It's supposed to be hot for several more days," a dispirited Reed said late last week. "Every one of those hot days makes it that much worse." Reporter Anne Fitzgerald can be reached at (515) 284-8122 or afitzgerald@dmreg.com