Missouri in Serious Drought Despite Rain
/On Monday, August 14, during a listening session for the 2023 Farm Bill with Missouri Producers at the Missouri State Fair, Governor Mike Parson reminded Missourians that the state remains in serious drought. While recent widespread rains have brought some much-needed relief, most of Missouri is still suffering under serious drought conditions. According to the Missouri Drought Assessment Committee, nearly 92% of Missouri is experiencing drought conditions.
"Hot summers are nothing new in Missouri, but this summer, Missouri’s drought conditions are mainly impacting our state’s livestock producers,” Governor Parson said. “While recent rains have helped, they’ve come late in the summer when hay production has already been severely limited and farm ponds have dried up. Most farmers entered the year with depleted hay reserves due to last year’s drought, and their concerns were again echoed today during our listening session with producers from across the state. More is needed, and we are committed to doing what we can to help our farmers and ranchers facing the effects of continued drought.”
More relief may be in sight, with the National Weather Service predicting below-average temperatures and above-average precipitation for the next few weeks and above-normal precipitation through October. However, because of moisture deficits left by last year’s drought, and the timing of rainfall deficits this spring, the current drought’s impacts will likely linger well into the winter or longer, leaving some farmers and ranchers in desperate need of water and hay for their livestock.
Available Drought Assistance
In June, in response to worsening drought, Governor Parson announced the availability of emergency hay and water for Missouri farmers and ranchers. Boat ramps at 25 Missouri state parks and 36 Department of Conservation areas are open for farmers to collect water. Nearly 700 acres were made available for haying at 17 state parks.
To date, 13 state parks and historic sites have contracted a total of 537 acres for hay. Four parks still have a total of 140 acres available for haying: Wallace, Route 66 and Bryant Creek state parks, and Battle of Island Mound State Historic Site. In addition, the Department of Transportation is offering special overwidth hauling permits at no charge to help farmers and ranchers move hay.
Livestock producers who have been affected by drought may be able to defer gains on livestock sold to the next tax year or until livestock that were sold are replaced. Provisions in the Internal Revenue Service Tax Code give relief to those affected by weather-related sales of livestock on forms 1033(e) or 451(g). The State of Missouri is coupled with that tax policy, and Missourians can make similar claims on the Schedule F form for state tax purposes. Producers should first consult their financial advisors to see if these provisions would be beneficial for their specific operations.