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Mapping the Agricultural Assets of Hancock County Tennessee

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Mapping the Agricultural Assets of Hancock County Tennessee Mapping the Agricultural Assets of Hancock County Tennessee W 794 Mapping the Agricultural Assets of Hancock County Tennessee UT Institute of Agriculture Center for Profitable Agriculture A By: David W. Hughes,1 Hannah Wright,2 and Jacob Boone3 Tennessee Extension Service 1Contact Author, Professor and Greever Endowed Chair in Department of Agricultural Agribusiness Development and Resource Economics 227B Morgan Hall 2 Extension Specialist, Department of Agricultural and University of Tennessee Resource Economics, University of Tennessee Knoxville, TN 37996 3Extension Agent and County Director, University of [email protected] Tennessee Extension Service Phone: 865-974-7463 NOVEMBER 2018 Support for the research presented in this document was provided by the Tennessee Office of Rural Development, U.S. Department of Agriculture, the Tennessee Department of Agriculture and Farm Credit Mid-America. B UT Institute of Agriculture Center for Profitable Agriculture Mapping the Agricultural Assets of Hancock County Tennessee Introduction Presented here is an agricultural asset mapping Background on Hancock County report for Hancock County, Tennessee. The report Rich in Melungeon and Appalachian history, is based on a combination of focus group meetings Hancock County is in northeastern Tennessee, with local agricultural leaders and secondary data. bordering Virginia. It is 223 square miles with The primary goal is to help local leaders identify highways 31, 33 and 68 crossing the county agricultural assets that could be used to support area. The town of Sneedville serves as the economic growth and development in Hancock county seat and is the only incorporated town. County. A secondary goal is to increase the Other significant communities include Kyles understanding of agriculture in the county. Finally, Ford, Mulberry Gap, Treadway, Thompson Mill we feel that the approach discussed here could and Vardy (Hancock County Government, 2018). be replicated in other interested counties. Initially provided here is a discussion regarding general The mostly rural population of Hancock County information about Hancock County, followed by in 2016 was 6,577. As of 2016, the U.S. Census information regarding the asset mapping exercise Bureau reports there are 2,751 households with with local agribusiness leaders. The follow-up an average of 2.34 persons per household. The data-based analysis is then discussed including median household income is $27,973 with 30.9 recommendations based on that analysis. Next percent of Hancock County citizens below the we discuss the agribusiness targets that were poverty line (U.S. Census Bureau, 2012-2016 identified by local leaders, followed by summary American Community Survey 5-Year Estimates). and conclusions. As shown in Figure 1, the population has declined slightly since 1969 (U.S. Bureau of Economic Analysis, 2016). UT Institute of Agriculture Center for Profitable Agriculture 1 Figure 1. Hancock County Population and Per Capita Income, 1969-2016. The mostly rural population of Hancock County in 2016 was 6,577. Source: Bureau of Economic Analysis, 2018. Agriculture production in acres devoted to agriculture, patterns still hold. The top Hancock County makes a 39.5 percent was utilized as commodities for Hancock significant contribution to pasture, 33.2 percent was in County include cattle and calves the county’s economy. As of woodland, and 24.2 percent was (with 14,330 head) and hay (with 2012, there were 457 farming planted in crops. A Cropscape 10,784 acres). Hancock County operations with an average map (Figure 2) (U.S. Department was eighth among all Tennessee size of 141 acres (Census of of Agriculture, 2018) for 2017 Counties in sheep and lamb Agriculture). Among the 64,395 indicates that these land use production with 1,104 animals. Figure 2. Hancock County Land Cover Map, 2017. (Source: U.S. Department of Agriculture) The top commodities for Hancock County include cattle and calves (with 14,330 head) and hay (with 10,784 acres). 2 UT Institute of Agriculture Center for Profitable Agriculture Mapping the Agricultural Assets of Hancock County Tennessee Based on data from an to the agriculture-based Project 95 economic model of the county economy of Hancock County. economy for 2015 (Minnesota While the county has a sawmill On a more positive note, under IMPLAN Group, Inc. 2000), and a wood yard, the loss of the leadership of the Tennessee the beef cattle industry had a a wood truss factory in 2016 Department of Economic and total revenue of $5,670,830 has had a significant negative Community Development and provided 173 jobs. Beef impact on the economy. Project 95 combines resources cattle had an employment- from 14 federal partners and based location quotient (LQ) state agencies to establish a value of 14.6, meaning that ...agribusiness activity comprehensive program to encourage economic growth beef cattle are almost 15 in Hancock County times more important to the in Hancock County as a Tier local economy than to the showed a total direct Four community (Tennessee United States economy.1 All contribution of 415 Department of Economic and Community Development, other crop farming (primarily jobs and $17 million hay production) accounted 2018b). This partnership Source: Bureau of Economic Analysis, 2018. for 202 jobs, had total in output and total offers tailored community and revenue of $2,755,922 and an impact of $20.7 million workforce assistance programs for the residents of Hancock employment-based LQ value of in output and 479 jobs 22.4. Greenhouses and nursery, County. A recent outcome and floriculture production is (or 22.3 percent of all of the Project 95 Initiative another agriculture sector of employment in is Allied Dispatch Solutions, LLC’s new micro call center note with a LQ of 21.7 and the county). $1,761,408 in total revenue. that is expected to create more than 100 jobs. The An economic impact analysis 18,000-square-foot call center conducted for all agribusiness Hancock County is currently a will be located in the Hancock activity in Hancock County Tier Four Tennessee Economy County Industrial Park (Hancock showed a total direct Development County and County Government, 2018a). contribution of 415 jobs and an Appalachian Region With headquarters in Johnson $17 million in output and total Commission distressed county, City, Tennessee, Allied Dispatch impact of $20.7 million in output meaning it ranks at or near the Solutions is one of the nation’s and 479 jobs (or 22.3 percent of bottom of Tennessee counties leading roadside assistance all employment in the county) in poverty rate, unemployment companies. The company (Hughes et al. 2018). rate, per capita income, and operates 24/7 and handles in other economic indicators excess of 3 million inbound and Kiefer Aluminum Livestock (Tennessee Department of outbound calls per year.2 and Horse Trailers is one of Economic and Community the county’s largest employers Development, 2018a). with 35 employees and a 60,000-square-feet facility. Clear Creek Feed Mill and Circle V Farms are contributors 1The Location quotient (LQ) is a way of quantifying how concentrated a particular industry, cluster, occupation, or demographic group is in a region as compared to the nation (Sentz, 2011). It is the industry in question’s share of the local or regional economy versus its share of the national economy. In our analysis, we use output, number of establishments, jobs, and earned income to estimate LQs. 2The call center will also have counseling for substance abuse, a major problem in the area. UT Institute of Agriculture Center for Profitable Agriculture 3 Asset Mapping areas as they pertain to local assets (blue), challenges (yellow), Exercise agriculture or agribusiness. The and possible opportunities participants were recruited by (green) are available throughout An agricultural asset mapping Jacob Boone, University of the county (Figure 3). We exercise was held with county Tennessee Extension agent and present the challenges and the agricultural leaders on April 10, county director, and represented opportunities offered by the 2018. Participants were asked agricultural leadership in participants in the following to think about opportunities for Hancock County. Participants sections. the county such as local and were given dots to place where regional markets and target local businesses (red), physical Figure 3. Map of Local Businesses, Assets, Opportunities and Challenges as Identified by Local Hancock County Agricultural Leaders (Asset Mapping Exercise). 32 7 8 24 Mulberry Gap Vardy 10 30 Thompson Mill 9 24 17 31 24 22 14 21 12 24 16 6 15 13 24 25 LEGEND Claiborne 27 11 Local Businesses 26 28 23 29 Physical Assets 18 Opportunities Hawkins Challenges 4 20 1 3 2 19 5 Grainger LEDGER 1. Cabins 9. Mahalia Mullins’ 15. Hancock County 23. Berries and Nuts 2. Bed & Breakfast Cabin/Moonshine Government Offices 24. Fishing-based, other history 3. Apple Orchard and 16. Hancock County nature, heritage Cidery 10. River Place on the Hospital tourism Clinch 4. Hay Production 17. Historical Vardy School 25. Farmers Market 11. Mary Seal Logging and 18. Xenophon 26. Using Wood Wastes 5. Hippie Joe’s Sawmill Vegetables 19. Elrod Falls 27. Fertilizer Mixing Plant 12. Project 95- Micro Call 6. Kiefer Aluminum Center 20. Livestock Slaughter 28. Winery Livestock and Horse 21. Farm Input 29. Sheep Trailers 13. Hancock Farmers’ Co- operative Manufacturer 30. Talley Bridge 7. Clear Creek Feed Mill 14. Greene’s Tractor 22. County Agricultural 31. Clinch River 8. Circle V Farms Company, LLC. Fair and Festival 32. Powell River 4 UT Institute of Agriculture Center for Profitable Agriculture Mapping the Agricultural Assets of Hancock County Tennessee Challenges More educated young people Wood Waste leaving the county for better Hancock County faces several Commercial logging occurs in opportunities elsewhere challenges that were identified the county and there is also a remains a major issue. by meeting participants, sawmill (Marty Seal Logging and particularly isolation and In general, participants want to Sawmill Company in Sneedville) lack of connectivity.
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