The 2022 Census of Agriculture provided some sobering figures concerning farm numbers, reporting a loss of about 6,500 in the last five years, which continued a 20-year downward trend. In 2002, Kentucky had 86,541 farms. By 2022, the number of farms had dropped to just 69,425 farms. In 20 years, we lost 17,000 farms and 1.4 million acres of farmland. As a result of this sobering trend, farmland preservation was determined as a critical priority during the ongoing Strategic Roadmap for Kentucky Agriculture: 2025-2030. Protecting farm transitions to the next generation and encouraging more young people to farm were among the strategies to tackle this problem. Discussions among Kentucky’s farm leaders have led to the development of four key tactics to address this need, including Producer Training, Communication and Marketing, Policy Changes, and Mentoring & Internships. Progress has already been made in many of these areas due in large part to the launch of the Kentucky Farmland Transition Initiative launched by Kentucky Farm Bureau in April. —Brent Lackey, Strategy Lead
Create a statewide training plan for farm succession/generational transition that reflects long-term goals to develop understanding about vision for future, with content that includes:
a. Simplify process to keep land in agriculture through developing replicable on-line and in-person training.
b. Normalize transition planning discussion prior to death by highlighting respected farms that others want to look at as an example.
c. Consider need for one-on-one consultation to understand legal options
Project Leads
Partners for Delivery
When? Fall 2024 - December 2025
Where? Farmer meetings, conferences, and workshops
Collaborators
UK FCS example, KCARD, KFB, Estate Planning Attorneys
Help current landowners create a vision for the future and motivate them to want to have the transition discussion. Help next generation see opportunities.
a. Create toolkit for producers and communications pieces that include:
b. Produce video with case studies (good and bad). Highlight other producers.
c. Build marketing plan to normalize the farm transition planning discussion and provide peer-to-peer connection through cohort groups.
d. Disseminate transition material that’s available through team approach at the county-level (e.g. lawyer, CES, financial planner, et al.). Encourage farmers to promote profitability to help next generation to stay in agriculture as a business.
Project Leads
Partners for Delivery
When? Late 2025-2026
Where? KFB Farmland Transition and KCARD websites, Cooperative Extension workshops and printed collateral
Collaborators
Collaborators Ag. Coord. & Comm. Working Group, Ag. Literacy Working Group, Grow Appalachia, Farm Credit Mid-America, Community Farm Alliance, County Extension Offices
Tactic 3: Policy Changes
Pursue changes in state and federal policy around tax planning, life insurance planning, new and beginning farmers—focused on long-term opportunities to protect farmland in Kentucky.
a. Identify federal funding to support longevity of farm transitions work.
b. Broaden definition of beginning farmer where a young farmer may time out.
c. Develop listing of what is available for new and beginning farmers and funding, e.g. Agriculture Development Board, USDA grants to protect young farmer.
d. Consider change in KY’s “Selling Farmer Tax Credit” to allow selling farmer to receive tax credit in the year of sale, if applied for and approved within six months of closing date.
e. Consider tax incentive to keep farm in families or change in KY’s Inheritance Tax Law, e.g. reclassifying nieces and nephews as Class A beneficiaries to avoid taxes on up to 16% of value of inherited assets. Or, if the legislature wants to place parameters around such a change, perhaps the change could be tied to devises of farmland which remain in production agriculture.
Project Leads
Partners for Delivery
When? August 2025
Where? KFB Legislative Preview Meeting, publications and trainings, NRCS succession planning pilots, KCARD newsletter, website, and Beginning Farmer Guide, Farmer service provider locations: veterinarian, FSA office, FFA & 4-H Meetings
Collaborators
Farmer service providers
Tactic 4: Mentoring & Internships
Establish a mentoring program for new farmers (qualified through 4-year degree or background working on farm) to connect with experienced farmers and/or funding. Encourage farmers to develop internships. Coordinate list for matching.
a. Consider non-generational farmers and the time of the mentor. Can peer groups help?
b. Help older generation understand value of bringing along next generation.
c. Look into KY law change in around three years in a mentorship as not being taxable for the years in the mentorship for unrelated individuals.
d. Help producers understand logistics, paperwork, insurance of internships.
Project Leads
Partners for Delivery
When? 2025-2026
Collaborators
Workforce Development Working Group, Success stories from farms who
mentor/mentee, NKY example, Internship Initiative, Nelson County School internship
program, KY AgVets (KCARD and KDA), American Farmland Trust
View Updated Working Group Document (.docx)