=== Vol. 11, No. 31 Copyright 2017 www.missourifarmertoday.com August 12, 2017 Inside INTERNET of things Ag equipment manufacturers boost communication between machines, phones, drones and computers Page 12 RFS HEARING Renewable fuel leaders and ag state officials spoke at an EPA hearing in support of higher standards Page 14 Meeting NEEDS IN HOME DELIVERY AUGUST 12, 2017 MFT photo by Benjamin Herrold Rural poverty rates are higher in Missouri than urban poverty rates, and rural communities face several challenges. Of Missouri's 14 counties designated as persistently poor, 13 are rural. Rural poverty concerns met with legislative, community aid and Jeff DeYoung In May, toward the end of the Missouri General Assembly s legislative session, state Rep. Don Rone, R-Portageville, stood on the House floor and addressed the chamber. Rone represents a rural district in southeast Missouri, and he was advocating for a special session to pass legislation that he said would create desperately needed jobs. Rone s voice boomed with a Delta drawl and emotion. I serve some of the finest people you ever want to be with, he said. But they are all so poor. They are all so poor. Many parts of rural Missouri struggle with poverty. Missouri s rural poverty rate is 27.8 percent See page 10: Needs u
6 Rural Poverty www.missourifarmertoday.com / August 12, 2017 VOICES for change State lawmakers look for ways to support economy JEFFERSON CITY, Mo. Missouri s state government has taken a number of approaches to bolster the rural economy, including legislation aimed at job creation and improving rural broadband Internet access. Rep. Don Rone, R-Portageville, sponsored legislation this spring meant to reopen an aluminum smelting facility in his southeast Missouri district, as well as getting a new steel mill opened, which would mean 500 jobs for the area. The bill sought to give Missouri s Public Service Commission more flexibility to negotiate utility rates, which Rone said would allow the projects to move forward. The utility part of this is the most important and critical part of this for both of these projects, he said. Rone made an emotional appeal for a special session to address the issue, talking about the poverty in his rural district. The makeup of my district is a lot like inner city St. Louis and inner city Kansas City, he said. The aluminum facility, operated by Missouri House Communications photo Missouri Rep. Don Rone speaks on the Missouri House floor. In talking about legislation aimed at creating jobs, Rone spoke about the poverty in his rural southeast Missouri district. Noranda, had been the biggest employer in his district, Rone said. He says many of the jobs there paid over $80,000, while the average income in New Madrid County is $25,000, with some surrounding counties being even less than that. Governor Eric Greitens called for a special session, and Rone s bill passed. It was one of many special sessions Greitens called this spring and summer to address a variety of issues. It s been a long, hot summer down here, and we have done some good work, Rone said. He is hopeful to have good news to announce on the factory projects starting in September. Rone says the ag industry can only support so many jobs in rural communities. The agriculture community and we are an agricultural community can only support so many jobs because the ag industry has really embraced technology and reduced the need for labor, he said. We need to bring in industry. Another key objective is supporting local community colleges that help I m a very, very positive thinker about rural Missouri. We have so much to offer. Rep. Don Rone R-Portageville train the workforce, Rone He also says it s important to keep rural infrastructure projects funded. River ports are especially important in his district. High-speed Internet is also a key issue for rural Missouri. Greitens has talked about it being a priority, and Missouri Director of Agriculture Chris Chinn says high-speed Internet helps support rural community economies and improves the quality of life there. One challenge facing numerous Missouri rural communities is lack of access to broadband Internet, she Rural broadband is a quality of life issue when you get down to it. It s necessary for energizing rural communities. Overall, Rone is optimistic about the future of rural Missouri. I m a very, very positive thinker about rural Missouri, he said. We have so much to offer. We ve got ports, we ve got railroad facilities, we ve got Interstate highways. We re right here in the center part of the whole country, and we ve got so much to offer. Food banks, health services find ways to cater to rural areas By Jeff DeYoung Bad times often bring out the good in people. Johnathan Hladik, policy program director for the Center for Rural Affairs, says increases in rural poverty have caused communities to dig deep when it comes to helping their residents. He says this is evident in many ways, including the large amounts of food heading out of food pantries and into the kitchens of folks who are struggling. They really are a reflection of rural generosity, Hladik We have other programs like Habitat for Humanity that are out there and helping out people who live in rural communities. Demand for food and other household necessities has increased over the last two to three years, says Barbara Kaiman, a volunteer and spokesperson for the Mills County Storehouse in Glenwood, Iowa. We have all kinds of people who come to us for help, and we are very conscious of those who are in need, she The southwest Iowa Storehouse recently added a new food pantry to its facility, which includes a walk-in cooler and freezer. Kaiman says much of the food used in the pantry comes from the Food Bank for the Heartland, an organization based in Omaha. The nonprofit food bank distributes food to 460 food pantries, schools, emergency shelters and other organizations. It serves 93 counties in Iowa and Nebraska. A smaller percentage is provided through donations from local residents. The service also includes a thrift store where clothing and other items may be purchased. We are all volunteers, and every dollar donated here will stay here, Kaiman We get very excited about even the smallest donation. Rural communities have historically had a shortage of professionals such as physicians, attorneys and mental health workers, Hladik Many people have to go outside their community for health care and other things, he We love to see it when uuu
Rural Poverty August 12, 2017 / www.missourifarmertoday.com uuu a rural community can recruit professionals who are willing to offer services right there. We encourage people to take ownership of their communities. Mental health care is also scarce in rural communities, says Michael Rosmann, a psychologist and farmer from Harlan, Iowa, who specializes in ag behavioral health. He says as rural income decreases, cases of depression tend to increase. But in Iowa, for example, there are just 235 practicing psychiatrists. Having basic services is crucial to recruiting professionals and new residents to a rural community, says Bill Menner, former director of USDA Rural Development s Iowa office and now a private con- sultant out of Grinnell. How do you create good paying jobs or housing or anything else that would help bring new people into a community? he It s just very challenging. Menner says communities looking to bring in new residents needs to develop a plan, set goals and work together to be successful. Figure out what you want to do and get there, he And don t be afraid to seek out programs and organizations that might be able to help you out. Rural poverty has not only an immediate impact but causes long-term damage as well, says Paul Lasley, Extension sociologist with Iowa State University. You see a migration of younger people from the communities, and with the pop- How do you create good paying jobs or housing or anything else that would help bring new people into a community? Bill Menner Former USDA Rural Development Director ulation becoming more elderly in small towns, that s a big contributor to rural poverty, he Lasley says rural communities within 30 to 50 miles of metropolitan areas tend to be doing better than those further away. When you get further away, you get a higher rate of poverty and more dependence on government programs, he Those communities that are doing well have access to high-paying jobs and services. They have access to the amenities you find in urban life. That s not the case with the other smaller towns. Lasley says most states have pockets where poverty is a bigger issue. For those regions, adequate access to even the most basic of services is a challenge. Most of those areas have been losing population for 100 years, and while there are some aberrations to that, I m not sure what it will take to turn that around, he When you have a lack of young people and employment, it s very difficult. mortonbuildings.com Chillicothe - 660-646-5640 Clinton - 660-885-5759 Mexico - 573-581-6200 Monett - 471-235-7804 See us at the 2017 Missouri State Fair August 10-20 7
8 Rural Poverty www.missourifarmertoday.com / August 12, 2017 By the NUMBERS Poverty stats show how rural America fared during recession By Bill Tiedje The number of people living in poverty rose higher, on average, in rural areas of the United States than urban areas in the past decade of economic instability. Tracey Farrigan, a geographer in the USDA Economic Research Service, said historically, rural America tends to lag behind urban areas both in timing of impacts and recovery from recessions. But across the U.S., poverty a federal estimate of the minimum income needed to feed a family fell 0.9 percent in non-metro areas in 2015, the latest year data is available, according to the USDA Economic Research Service. While the ERS doesn t forecast where future poverty levels could be headed, Farrigan said historic data would suggest the trend of gradually improving unemployment and poverty levels should continue. Iowa State University Extension rural sociologist David Peters said Iowa s micropolitan areas, defined as counties with a city between 10,000 to 50,000 people, experienced unexpected spikes in poverty as the U.S. economy entered recession in December 2007. Rural counties in Iowa with no city over 10,000 people fared better, Peters said. In 2006, Iowa s micropolitan areas had a poverty rate of 11.54 percent; that swelled to 14.22 by 22% 20% 18% 16% 14% 12% 10% Missouri poverty rates 2006 2008 2010 2012 2014 2015 METRO MO MICRO MO RURAL MO Data prepared by David Peters, Iowa State University. Graph by Bill Tiedje, Metropolitan counties have cities with populations over 50,000. Micropolitan counties have cities with populations between 10,000 and 50,000. Rural counties have cities with populations under 10,000. 2012 and only declined to 12.8 percent in 2015. Peters said these small cities were hit hard by job losses in durable goods manufacturing and construction. Iowa s strong farm economy during the recessionary years benefited rural Iowa, Peters said. Additionally, fairly recession-proof employers, including schools and hospitals, are often major job providers in rural Iowa, and stable retirement income also supports many older rural residents, he said. Areas of relatively high poverty still exist in rural areas of southern Iowa; but relative to neighboring states in the Midwest, Iowa s rural areas have seen less poverty. Peters said Iowa s gap between Map courtesy USDA Economic Research Service Percent of total population in poverty by county, based on 2015 data from the U.S. Census Bureau. rural and metropolitan poverty levels is the smallest in the Midwest and perhaps the nation. In both Illinois and Missouri, rural poverty levels exceed poverty levels in small and big cities. Peters said more tourism-dependent rural areas in warmer, southerly locations saw reduced incomes during the recession. Bruce Weber, Rural Policy Research Institute (RUPRI) senior economist and professor emeritus at Oregon State University said the Midwest has historically not had high poverty rates. Poverty rates of over 20 percent in portions of Iowa and Missouri are a relatively new phenomenon, he said. Poverty researchers often look to factors such as labor conditions, family demographics (including single mothers) and government poverty policies when studying reasons for high poverty rates. Poverty tracks unemployment fairly well, Weber said. The labor markets I think are clearly not working now as they did. This is likely the main reason for the new high poverty rates in this region, he said. All over the U.S., people used to have good jobs. Those jobs have disappeared in many cases, Weber said. Many people aren t finding it easy to transition into something else and are dropping out of labor market. This trend of lower labor force participation includes rural areas as well, he said. The Supplemental Nutrition Assistance Program (food stamps), earned income tax credits and medical assistance programs have had a huge impact, Weber said, though their impact is not visible since these are not included in federal poverty estimates. These policies have been relatively unchanged in recent years, he said. After peaking in 2011, national poverty and unemployment Poverty, defined What is poverty? Iowa State University Extension sociologist David Peters said poverty, by the federal definition, is what many people would consider the poorest of the poor, not someone that struggles to get by. Poverty rate really is a food measure, Peters said. In other words, the poverty rate is a federal estimate of what it costs to feed a family. U.S. federal poverty guidelines used to determine financial eligibility for certain federal programs are listed below. 2017 poverty guidelines for the 48 contiguous states and the District of Columbia are: People Income 1 $12,060 2 $16,240 3 $20,420 4 $24,600 5 $28,780 6 $32,960 7 $37,140 8 $41,320 For families/households with more than 8 people, add $4,180 for each additional person. rates have been declining, but Weber cautioned against making predictions, given the uncertain direction of the country. It looks like things are sort of stabilizing, Weber said. But I think we re not in a normal environment right now. Given structural changes in the economy, there is considerable uncertainty nationally about stability, he said. Technology and globalization have changed the balance of influence between business owners and workers for compensation and wages. Furthermore, people earning incomes above the federal poverty levels, including average to below average incomes, are no longer seeing income growth, he said. The middle is falling behind, Weber said.
10 Rural Poverty www.missourifarmertoday.com / August 12, 2017 Food banks across Missouri work to fight hunger Michelle Fagerstone has seen Missourians commitment to meeting food needs in rural areas. Fagerstone works as the communications director for the Second Harvest Community Food Bank, which serves 15 counties in northwest Missouri and four counties in northeast Kansas. We are able to cover all those areas because we have over a hundred partner agencies, she These partners include local food pantries, soup kitchens, schools and churches. There is considerable need in their rural coverage area, Fagerstone There are over 51,000 people in that territory that are considered food insecure, she Food insecurity is a condition the USDA defines as having limited or uncertain access to food in the household, or they re purposely going without food so their children can eat, or they re not having three meals a day. Fagerstone says another issue is food deserts, when grocery stores close in rural communities. These lead to a higher percentage of rural people being food insecure. That s when an area has limited access to be able to even purchase food, she Many rural communities and even some entire counties in Missouri do not have a true grocery store, meaning people have to travel farther to purchase groceries, which can be especially challenging for homebound people. Some of these towns have a gas station where people can get a few food items, but there are limitations. They don t have adequate fresh produce or adequate meat, Fagerstone Limited earning potential in some rural areas can also contribute to hunger problems. Still, Fagerstone says many of Photo courtesy of Second Harvest Community Food Bank The Second Harvest Community Food Bank, which serves northwest Missouri, has a mobile food bank that travels to communities that don't have grocery stores. Missouri s rural residents have risen to help others and help meet the need, both through donations and by helping get food to people who need it. The state s food banks and pantries have also worked to meet the need. Second Harvest has a mobile food pantry that travels to communities without a grocery store. One way communities can come around and rally (to meet the food needs) is through our fresh mobile pantry, Fagerstone It is a mobile produce pantry. Today it s in Pattonsburg. It is free to anybody. Generally there s about 15 pounds per person. They try to always have some protein with it. While the mobile pantry is in town, volunteers line up to take food to people who aren t able to leave their homes and go to it. For two hours, those volunteering and that community come together, Fagerstone It s very humbling to see people come together and help meet that need. In some communities, the OATS bus helps get people to the mobile food pantry. People looking to donate or volunteer with Second Harvest can visit its website at www. ourcommunityfoodbank.org for more information. There is also information about Neighborhood Assistance Program tax credits, which some farmers and business owners can get for donation food or money. We do have some farmers that take advantage of it, Fagerstone uneeds: From page 1 higher than its urban poverty rate, according to the Missouri Department of Health and Senior Services. Since 2003, 14 rural north Missouri counties have had population losses of greater than 5 percent. Of Missouri s 14 counties that are considered to be persistently poor, 13 are rural, according to the USDA Economic Research Service s definition. The number of people living in poverty rose higher in U.S. rural areas than urban areas on average over the past decade, according to the USDA s Economic Research Service. ERS statistics through 2015 indicate poverty in U.S. non-metropolitan areas fell by nearly 1 percent from 2014. However, recent research from Iowa State University suggests rural poverty levels in Missouri were at 19.14 percent in 2015 after peaking in 2012 at just over 20 percent. ISU data suggests rural poverty rates in Illinois and Missouri are higher than in urban areas in those states. There are people struggling, and poverty rates are higher in rural America than in urban areas, especially in the south, says Michael Rosmann, a psychologist and farmer from Harlan, Iowa, who runs the Ag Behavioral Health website. Rosmann says as the ag economy has struggled, more cases of depression and even suicide among rural residents are being reported. Depression and behavioral problems are more likely to go unreported in rural areas, Rosmann More people have become dependent upon programs such as the USDA s SNAP (Supplemental Nutrition Assistance Program), he You see this more outside of the Midwest, and we are better off here in regards to a supply of food than other places, Rosmann What happens in the Midwest is we have communities that take care of each other, through churches or other types of programs. It s something they ve had to do because help is hard to come by. While the rest of the U.S. economy struggled for several years, the ag economy was robust. The tables have turned, says Johnathan Hladik, policy program director for the Center for Rural Affairs. It takes longer for rural areas to climb out of it, he We are seeing this increase in rural poverty, and it s particularly impacting children. From our view, it s a much larger problem that it s been in the past. But all is not bleak in the heartland, Hladik We are seeing communities develop program to help children, he We are seeing more after-school programs, so kids can continue learning after school. We are seeing more donations to local food pantries, which have become a vital part of rural communities. Government policy could have a major impact on all rural residents, especially those living in poverty, says ISU Extension sociologist Paul Lasley. He says funding cuts in state legislatures as well as Congress have fallen disproportionately on rural residents. There were a lot of promises made in the last election on revitalizing rural communities, Lasley To date, we haven t seen much. He says it is vital that rural poverty issues be brought to light. You just don t hear a lot about it, but it s a significant problem across the heartland, Lasley It s not going to go away, and we need to be aware of it and do what we can to help people out. Michelle Fagerstone, director of communications for the Second Harvest Community Food Bank, which serves northwest Missouri and northeast Kansas, says food insecurity is a big challenge in rural places. She says many parts of rural Missouri are considered food deserts where it more difficult to get needed groceries. That s when an area has limited access to be able to even purchase food, she Mercer County (in north central Missouri) lost its last true grocery store. There is a Dollar General and a Casey s, and that s it, she If you have somebody who is homebound, to get groceries you have to get someone to go to Trenton or Bethany. Everyone there is in a food desert.