Increasingly, farmers are being approached for leasing of their farmland for various types of energy production including solar, wind, and shale energy. These leases are legally and financial complex, as well as, normally beyond the expertise of the landowner to successfully negotiate. The leases typically have a duration of 20+ years, with the chance of being automatically extended for a similar time frame. As such, it is critical for farmers to understand the terms, conditions, and legal/financial impacts they are exposing themselves and their heirs to, as they explore this potentially lucrative income stream on their operation. This presentation will quickly use two case studies from eastern U.S., as a foundation for discussion, and explore the key considerations which university-based ag professionals can offer to their landowner clients which are attempting to sort out energy leases. Aligned resources will be offered to participants for ongoing landowner support.
|2021 Extension Risk Management Education National Conference