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VOLUME XV, NO. 11 |
TEXAS DAIRY REVIEW |
NOVEMBER 2006 |
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Answering to TCEQ requirements not fun for producers…
Muleshoe, TX: New Panda Energy site for ethanol plant |
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Answering to TCEQ requirements not fun for producers… |
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For dairymen---challenging the probity or patience of the Texas Commission on Environmental Quality (TCEQ)…is literally “playing the devil.” The threshold of a dairy’s very existence relies heavily upon a producer’s resolve to meet state and federal permit requirements. The TCEQ is an entity empowered to enforce regulatory action against those who don’t. Bosque River Watershed dairies have been under the gun for the past 18 months to get their Concentrated Animal Feeding Operation (CAFO) Individual Permits up to speed. If a dairy applicant is continually negligent in his responsibilities to the TCEQ, drastic measures can be taken that could result in enormous fines as high as $10,000 per day or losing their permit to operate and forcing an applicant to reduce his herd size to under 200 head in confinement. The application process for an Individual Permit requires both an administrative review and technical information. To fulfill such a large order, some dairymen have hired professionals or consultants to handle this complicated application process and to oversee the monumental task. But, TCEQ rules that have been revised and rewritten for several years, are complex. Producers are often prone to hesitate or procrastinate on certain new procedures they don’t understand, such as buffer zone strip requirements. Understandably, no one wants to be “the first one out of the gate” for fear of not “doing it” right. Although hiring outside help may get the ball to rolling and temporarily relieve the worries of the dairyman, when the TCEQ comes knocking…it is ultimately the dairyman’s responsibility to answer. Producers should be aware of every aspect of their own permit and keep it in check all the time. “Dairymen need to be familiar with their permits and take ownership of them. They should get them in to the TCEQ in a correct and timely fashion,” said John Cowan, executive director of the Texas Association of Dairymen (TAD). Cowan said he believed that any producer who is responding to the TCEQ and working toward his CAFO permit, stands a fair chance of getting his permit renewed. However, those who fail to respond are at a very high risk. Cowan delivered this all-too-important message in an open letter to dairymen last month after receiving a letter of concern from Glen Shankle, executive director of the TCEQ. Shankle said that of 50 applicants in the Bosque River Watershed, 37 had not responded to TCEQ communications including “notice of deficiencies” with the dairy application for an Individual Permit. In a written statement to the Texas Dairy Review, L’Oreal Stepney, director of the Water Quality Division of the TCEQ, expressed similar concern to that of Shankle about the number of applicants who still need to submit additional information so that the executive director staff can complete the review process. She said the executive director staff has been working with the industry and consultants to obtain sufficient technical information in order to complete the review process. She emphasized that an accurate and comprehensive technical package is essential for making recommendations to the commission regarding whether a particular permit should be issued. “If the requested information is not received within established time frames, the agency has the authority to return the application. If the application is returned, then the applicant will no longer have a valid TCEQ authorization to operate as a CAFO and will be required to reduce their herd size to less than 200 head in confinement.” Stepney said the TCEQ is glad to work with applicants who may have questions regarding any part of the permitting process. Producers can contact Charles Maguire at 512-239-5308. |
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High Plains Forum on Nov. 30 to discuss business opportunities |
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The rapid growth of dairy operations across the High Plains region and what this means for business opportunities will be the subject of the first High Plains Dairy Growth Forum on Thurs., Nov. 30, during the 2006 Amarillo Farm and Ranch Show. The program will begin at 1 p.m. in the Grand Plaza Ballroom at the Amarillo Civic Center. Admission is free and open to all interested parties. According to Hoard’s Dairyman, the High Plains is “perhaps the No. 1 ‘must see’ area today for relocation-minded large herd owners.” The region has been in the western dairy spotlight for a number of years, starting with dairy expansions near Muleshoe and Hereford, Texas, and Clovis, N.M. The movement northward into the Panhandle was accelerated by the announcement last November that Hilmar Cheese Company, the largest single-site cheese and whey products manufacturer in the world, would build its first expansion facility in Dalhart. Now under construction, the Hilmar plant will handle two million pounds of milk daily when it starts up in the fall of 2007. When it reaches planned capacity eight years from now, it will take in 9.5 million pounds of milk a day. The stated goal is to produce an average of 11 pounds of cheese per hundredweight (cwt.) of milk processed. This means unprecedented, rapid growth of the dairy cattle population in the High Plains to produce high protein milk for the plant, up to 175,000 mature cows plus an equal number of heifers and calves, housed in facilities designed for optimum cow comfort and utilizing state-of-the-art technology. The Nov. 30th High Plains Dairy Growth Forum will cover key aspects of dairy industry growth and highlight opportunities not only for dairy producers but related segments of the agriculture industry in the Panhandle. The state governor’s office has estimated that Hilmar Cheese will bring nearly 2,000 jobs, and over $190 million, to the Texas Panhandle over the next 10 years. Forum speakers will review current dynamics of the cheese industry, walk through the calculation of cheese yields and milk pricing based on cheese yield, and outline genetic selection strategies that producers can utilize to efficiently and rapidly improve milk protein content and cheese yield. There will also be discussion on the numerous employment opportunities that will be created in the coming years not only on dairies but specialized dairy calf-heifer ranches that are already in place, support services for the dairies such as cattle feed, health supplies, milking and farm equipment, and jobs at the cheese manufacturing plant. Speakers will include Richard Clauss, Chairman of the Board, Hilmar Cheese Company, Hilmar, Calif.; David Ahlem, Site Manager for Hilmar Cheese Co., Dalhart, Texas; and Cherie Bayer, Ph.D., Director of Development, American Jersey Cattle Association, Reynoldsburg, Ohio. The program is coordinated by the American Jersey Cattle Association. *Article by Cheri Bayer |
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Muleshoe, TX: New Panda Energy site for ethanol plant |
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On November 1, 2006, Panda Ethanol, Inc. announced it intends to build a 100 million gallon-per-year ethanol plant near the city of Muleshoe in Bailey County, Texas. When finished, the facility will annually refine approximately 38 million bushels of corn into a clean-burning, renewable fuel for the nation's transportation needs. The ethanol produced by the plant will displace approximately 2.6 million barrels of imported oil a year. The Muleshoe facility will generate the steam used in the ethanol manufacturing process by gasifying more that 1 billion pounds of cattle manure a year. Once completed, it will be one of the most fuel-efficient ethanol refineries in the nation and equal in size to Panda's Hereford facility, currently under construction, which will be the largest biomass-fueled ethanol plant in the United States. The Muleshoe facility is the sixth 100 million gallon ethanol project announced by Panda, and the fourth to be powered by cattle manure. The company has received air permits for three of its six announced ethanol projects. "This plant will significantly expand our ethanol production portfolio, strengthen the economy of the Texas Panhandle and enhance our nation's energy independence," said Todd Carter, chief executive officer of Panda Ethanol. "We are excited by the community's support for this project and look forward to working with the state and local officials in seeing it through to completion." Bailey County, Texas Judge, Sherri Harrison said Panda representatives have been actively involved in the community since the beginning of the site selection process. " They have proven to be good neighbors in working with the Muleshoe community to bring ethanol production to Bailey County. This is a great opportunity for Bailey County, and it has been exciting to work with Panda in locating the project here. "This facility will have a tremendous economic development impact on Muleshoe and Bailey County by providing many jobs in several areas and by nearly doubling our tax base," added Janet Claborn, director of development for the Muleshoe Economic Development Corporation. "This is 'value-added' for our agriculture community and a natural fit for our dairies and feed yards." Panda's ethanol refinery will be located on a 305-acre site eight miles northwest of Muleshoe, Texas. Construction will take approximately 18 months. The completion date is dependent upon financing, regulatory approvals and other conditions. Panda intends to submit its request for an air permit with the Texas Commission on Environmental Quality soon. Panda Ethanol previously announced that it successfully completed the debt and equity financing on its 100 million gallon ethanol plant in Hereford, Texas. The company has begun facility construction on the 380-acre site and anticipates ethanol production to commence in the second half of 2007. The company also announced that it has entered into a merger agreement with Cirracor, a publicly held corporation that trades over the counter. The merger is currently expected to become effective in the fourth quarter of 2006, subject to the satisfaction of certain requirements, and the combined entity will operate under the name of Panda Ethanol, Inc. Panda Ethanol is headquartered in Dallas, Texas. The company is currently developing fuel ethanol refineries and biomass facilities in the United States. Panda Ethanol's largest single shareholder is Panda Energy International, Inc., a privately held company that was built over 9,000 MW of electric generation capacity at a cost of $5 billion. In 2005, Newsweek magazine named Panda one of the most eco-friendly companies in America. Additional information on Panda Energy and Panda Ethanol can be found at www.pandaenergy.com. |
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Oklahoma top type-producer misses cows but not milking |
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Oklahoma---“where the winds come sweeping down the plains”…makes a good place to dairy for those who are fond of the famous Sooner state. The dairy business has provided a good life for Mark and Debbie Merhoff, owners of Hedge-Row Dairy at Newkirk, Oklahoma, located in the north central portion of the state. Married for 30 years, the Merhoffs have worked side by side, spending their days and nights “babying their babies,” and milking their herd. But, after 46 years of developing a specialized registered herd, Mark made the decision to give up milking last April to pursue a less confining occupation doing custom hay farming. “I miss my cows,” Mark said, “but, I don’t really miss milking.” Mark was hooked on cows at an early age. He became engrossed at 8-years-old when he showed his first registered heifer at a 4-H county event. With two registered cows to his name, his interest in breeding began to grow and he soon meticulously built a herd that would eventually gain national recognition. Focusing on excellence in his cows, in January 1996, the Merhoffs were featured on the cover of Holstein World for having the highest 100% homebred type classified herd in the U.S. for the past 11 years. That honor is the highlight of Mark’s life and won’t soon be forgotten. Over the years, Mark has been relentless in his efforts to develop his cows for outstanding type. Mark said type has always been a top priority because the Merhoffs have done most of their own milking. “It’s more exciting to go to the barn and milk good cows, rather than just cows,” he said. The Merhoffs have taken pride in raising and selling their homebred herd, always striving for an Excellent or Very Good Dam. As far as type to production, if a cow doesn’t pay her own way, she’s culled, Mark said. The traits Mark looks for concerning longevity in cows are strong feet, legs, and mammary system. Mark said he pays special attention to the udder depth and teat placement. For production purposes, he looks at the width of front end and spring of rib. As one who finds pleasure in sharing his knowledge about his life as a breeder, Mark said he “babysat” his calves, hoping they would grow up to be money makers. And they did. “In 20 years, I only lost 10 baby calves,” he said,” because I was always in the barn.” Mark said his 70 registered cows were “gold” to him. “70 was a perfect number,” he said. He basically stuck to the natural way of raising his cows, grazing them on pastureland because he felt this would make them healthier and happier. In 1985, when some folks gave up AI breeding, baby bulls became very valuable. “I began to sell my baby bulls nationwide and they brought a lot of money.” Selling his herd has been an ongoing process. He has dispersed it over a period of time to various buyers. The majority sold to Holbric Farms in Harvard, Illinois, with the sale overseen by Nate Goldenberg. Throughout the years, Mark has experienced the best of the best in breeding and the worst of the worst in plain old dairy survival. “Labor was one of our biggest problems,” he said. For the past five years, he and Debbie have been doing all the milking which has kept them confined to the dairy with little time for anything else. Unsteady milk prices, higher costs of feed and farming equipment, drought and labor problems contributed to Mark’s decision to get out of the dairy business. With hay as a valuable commodity because of severe drought conditions, and with the help of his son, Jeff, he felt custom hay farming would provide for another viable livelihood. “But, the main reason I quit milking? Our daughter, Kelly, moved away and we couldn’t see our two grandsons as much as we wanted because of the dairy. It just seemed that seeing them was more important than anything else and besides, we deserve it. That’s when I decided to sell my herd.” |
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Is fun and games for all at 2006 DairyBreak |
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DairyBreak 2006 turned out to be the social event of the season with more than 200 people showing up on Friday night and 300 on Saturday for the two-day festival held in Stephenville on Oct. 13 and 14. The Dutch community in Erath and surrounding counties as well as those who traveled from East Texas celebrate this once-every-other-year event hosting many native games and providing lots of food, entertainment and refreshments for all. “This is a way to keep our culture together,” said Sonja Kok, one of DairyBreak’s official committee members. Lone Star Federal Land Bank was a main sponsor this year donating $10,000 to the event and a heifer that brought $2900, auctioned by Jason Beyer. A weed eater donated by Bramlett Implement was auctioned for $300. “Without Lone Star’s monetary donation, we would not have been able to put on another great DairyBreak,” Sonja said. Event’s kicked off on Friday at 2 p.m. with Knaatsen, a popular Dutch ball game. Ringsteeken began in the early evening followed later by a steak dinner catered by Cook’s Fish Barn. The famous five-member Dutch band, Lays, began at 9 p.m., playing well into the night. The Dutch band plays all native Netherlands music and various traditional rock. On Saturday, the Central Texas team won the men’s soccer game. Co-ed volleyball was also part of the festivities. Dinner was catered by Tumbleweed Barbecue, followed by the auction and a dance that proved to be fun for all. |
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