Market prices too low Outlook gloomy for area farmers Al Seurynck puts it bluntly : Although prices are low, Randall, the bank's vice- commodity loans last year. Bouck cautioned farmers The PCA gives loans ot up ers are patching their equip- creased, but sales of such "There's no money in cash they may get lower. Seury- president and cashier, pre- Farmers can borrow $2.22 that in order to participate in to 7 years for operating ment together "with baling items as middle-size tractors cropping today." nck, who farms with his dicted a few farmers may not per bushel for 90 per cent of the loan program, if they expenses and machinery. wire and scotch tape, but if is healthy. Prospects this fall both brother, David, almost 1,800 be able to make it financially, the crop. If the price -- don't have on-the-farm stor- Collins said a few cash crop they had the money,- .they Parts sales and repairs locally and nationally are for acres of wheat, dry beans, and will be forced to sell out. currently around $1.70 -- goes age, they will need negotiable farmers may make money would replace it." remain about the same or a bountiful harvest. That, corn, and barley near Gage- Current.prices, the banker above $2.22, growers can receipts for their grain from this year, but most won't. Two implement dealers have increased slightly, he plus carryover from past town, talked on the phone last said, "look like they won't redeem their wheat by paying elevators. "It's going to be awful diffi- said their business has been said. years, has driven the market week with a representative of cover expenses, let alone (let back what they owe plus 6 per cult to make money." affected by the current mark- Hedley pointed out that price for cash crops below the the Chicago Board of Trade. farmers) make a profit." cent interest. Not all elevators will give Farmers in a credit crunch et situation, but not severely. negotiable receipts, however, implement dealers aren't as cost of production. The official predicted that If 11 months go by and the may be able to consolidate Wayne "Buck" Rabideau of dependent on the size of prices haven't hit "rock bot- At Pinney State Bank, Pres- farmer hasn't redeemed his partially because they don't their debts and pay them off Rabideau Motors, Inc., said, The result, area agricul- like to tie up their storage farmers' wallets as they once tom" yet. ident Bob Keating said, "It's wheat, the v/heat becomes the by getting a long-term real "Our total volume is down, were. Many implement deal- tural finance officials say, is a little bit early to tell" about space for 11 months. that the only farmers who Similar forecasts come property of the federal gov- estate loan through the Fed- but we're still selling some ers also sell such items as from Michigan State Univer- the effects of low market ernment. In addition to wheat and "equipment." Last month, the may make money this year corn, the ASCS loan program eral Land Bank "Association. snowmobiles, industrial sity and the Federal Reserve prices. Payments on most The same program exists Caro branch manager Jim Cass City dealership sold two equipment, and lawn and will be those who don't have farm loans, he explained, exists for barley, oats, rye debts and have saved enough Bank of Chicago. for corn, with the current loan Bolton said, "We're not see- $30,000 machines. garden tractors. The effect impact of low aren't due until harvest sea- rate $1.73 per bushel. Expec- and sorghum. ing a great amount (of loan The repair and parts busi- to tide them over during bad son. Making farmers' problems years without having to bor- prices varies. Art Randall at tations are Congress will Another borrowing source consolidation), but I would ness, Rabideau said, is about worse is that this year is the row. the Cass City State Bank said At the Agricultural Stabili- raise that to $2 before this for farmers is the Production anticipate later in the year the same and "maybe a little second year for low market there has been little paying zation and Conservation Serv- fall's harvest season is over. Credit Association (PCA). and in early 1978, we may see better." prices, though they were not There are already some off of farm loans, and that ice office in Caro, county With the current market Caro branch Manager John quite a bit of this." Caro implement dealer Don as low last year. signs of hard times for farm- many growers have been Executive Director Virgil price about $1.50 per bushel, Collins said his office current- When money gets tight, Hedley said, "Business is not "Last year's prices were ers, with some having to extending their payment per- Bouck said the number of cash cropper Seurynck is ly has about $10.5 million in farmers, like everybody else, bad at this point." Large nothing to write home about," borrow money or extend pres- iods and in some instances, farmers getting loans on their predicting, "The government loans out in Tuscola county, have to make do with what equipment sales, such as said the PCA's John Collins, ent loans and postponing pur- increasing the amount of wheat this year has already is going to have an awful lot of up from about $9 million a they have for a while longer. combines and four-wheel- "but they were better than chases of needed equipment. their loans. exceeded the number of all corn." year ago. Seurynck said many farm- drive tractors, have de- this year's." CASS CITY CHRONICLE VOLUME 71, NUMBER 19 CASS CITY, MICHIGAN-THURSDAY, - SEPTEMBER 1, 1977 Twenty Cents EIGHTEEN PAGES PLUS SUPPLEMENT Village gets street, sewage plan funds The Cass City Village cost can come from bond eral consensus is that since A report from village Clerk- Council received good news money from selling of bonds that will be in November, Treasurer Lynda Mclntosh Tuesday night on several to finance the construction of there won't be time for much showed that of the $166,056 fronts -- all concerning mon- the enlarged and improved more than a symbolic "shovel levied in village summer ey. treatment plant (Step III) -- turning" before winter sets taxes, $155,899 -- 94 per cent -- Federal grants for planning provided federal water pollu- in. have been paid. of expansion and improve- tion control funds to partially The initial priority, calling The council extended the ment of the wastewater treat- finance the project are re- for curb and gutter and new deadline for payment an ad- ment plant and for street ceived. pavement, will be on portions ditional month. reconstruction have beep of- Congressional action re- of Maple, Sherman, Huron, ficially approved. garding federal funding for and Ale Streets. CULTURAL CENTER In addition, the council was such projects in Cass City and Construction plans by Hub- told state shared revenues to elsewhere is expected within bel, Roth, and Clark, are After tabling the matter fhp village have increased 30 days. complete, except for a few several months, council because of the population The state Water Resources revision's. The council should members finally discussed increase here and that 94 per Commission has now issued a authorize advertising for bids whether the village should cent of village taxes have new National Pollution Dis- at its Sept. 27 meeting. take over complete ownership been paid. charge Elimination Permit Paving was scheduled to be of the Cultural Center. The'total cost for the Step II for the wastewater plant, done this month on Pine and The village currently splits planning for the sewage treat- effective until March 31, 1982. Leach Streets and in Hillcrest expenses 50-50 with Elkland ' ment plant is $171,800, village The permit was issued on Subdivision. Due to wet township, whose residents at President Lambert E. Althav- the condition the village con- weather, Village Supt. Lou the annual meeting voted to BARN FIRE - Elkland township firemen Sunday sometimes used more than er reported. tinue progress toward updat- LaPonsie reported, it has turn the building over to the Of that, the federal govern- ing of the plant, provided been delayed to probably the village. one hose in extinguishing the fire that destroyed the barn of Bruce Sherman at ment is providing $128,850 (75 federal funds are available. second week in September. Councilmen postponed Severance and Lamton Roads. Gagetown and Lamotte township firemen assisted. per cent); the state, $8,590 (5 The village was first noti- Early this year, a special making a decision Monday, per cent), and the village, the fied in June that it would be census was conducted, which pending receipt of specific remainder of $34,360. receiving public works funds, showed the village has 2,436 information on the cost for The detailed plans and which the council decided to residents, 23 per cent more operating and maintaining specifications will be done by spend for street improve- than in the 1970 census. the building, including insur- Hubbel, Roth, and Clark, the ments. As a result of the census, ance, and income. Cass City engineers for the Step I Notification was received Althaver reported, the village pays all the bills for the feasibility study. Aug. 26 that Cass City will has already received $11,000 building, for which it budg- Althaver predicted it will receive the funds, totaling more in state shared revenue eted $2,000 in 1977, not includ- Cass City, Owen-Gage ing insurance.