Agricultural Leasing
Agricultural Leasing manages activities related to the leasing of state trust lands for livestock and cropland production, which in FY-2005 generated lease rental revenues in excess of $7 million. The staff also administers subleases earning additional revenue of more than $100,000 per year.
The department strives to generate an optimum amount of revenue for the beneficiaries while simultaneously protecting land resources and long term productive capacity of the trust. In an effort to arrive at a fair market value for leased lands, rentals assessed on livestock grazing leases are calculated through a formula that takes into account the previous year’s economic conditions.
Approximately 3,500 agricultural leases are administered, covering 8.7 million acres. Every year one-fifth of agricultural leases are renewed. The department continues to improve the lease renewal process. Continual revisions and updates to the website, along with written instructions, have been implemented to provide lessees with more information and to clarify procedures.
Agricultural Leasing works hard to facilitate lessees’ participation in federal conservation and environmental programs, such as the Conservation Reserve Program, the Environmental Quality Incentive Program and the Ogallala Aquifer Recharge Program. The department coordinates efforts with the Natural Resource Conservation Service (NRCS) and the Farm Service Agency (FSA) to streamline processes in order to accommodate lessees’ participation in these programs which promote managing lands more efficiently and effectively.
An effort is being made to systematically work with lessees to identify and address agricultural leases in need of improved management. Careful management of rangelands becomes increasingly important during times of drought and near-drought conditions. In an effort to improve customer relations, agricultural leasing staff traveled to various communities to assist lessees with completing renewal contracts correctly and in a timely manner. The department maintains a close relationship with its customers and strives to address customer needs in order to continually improve the agricultural leasing program and to promote stewardship of trust lands.