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Wednesday, March 27, 2019

Agricultural operations in flooding areas continue to struggle to return to normal

While historic floodwaters that ravaged northeast and north-central Nebraska and parts of Iowa are receding, agricultural operations continue to struggle to return to normal. Ethanol plants and feedlots, in particular, continue to have trouble shipping ethanol and sourcing feedstocks, as many rail lines across the region continue to be down and highways in shambles. Tom Feller, president and CEO of Feller and Company Cattle Feeder that operates along the Elkhorn River in Wisner, Nebraska, said his feedlots are battling higher transportation costs as they work to repair a key roadway into their property. "Our bridge road south of Wisner is out," he said. "South of Wisner is home to about 70,000 cattle. We have cattle on both sides of the Elkhorn River, which causes us added expense of $500 per day to go 22 miles around through Pilger with feed. "All our employees' drive time is greater also. We do have a back road out of our feedlot, so we are bringing corn, hay, etc. in a back driveway. We are hauling the dirt into the bridge approaches from the feedlot, so hopefully this week we can get bridge open and back to normal," he said. Mike Drinnin, owner and manager of Drinnin Feedlots Inc. in Columbus and Drinnin West Cattle Company in Palmer, said damaged highways into Columbus continue to cause problems for his operation. "To ship cattle from our Palmer yard to Cargill (Schuyler, Nebraska) adds at least $250 per load to delivery costs," he said. "Byproduct that we normally source out of ADM (Archer Daniels Midland) Columbus has to come out of Aurora, (Nebraska), and with the extra miles to get to Columbus, adds at least $15 per ton to the cost delivered. Rail lines need to be fixed west of Columbus, and Highway 30 from west into Columbus needs to have extensive repair." The Nebraska Department of Transportation and the railroad have been "working day and night to get things moving," Drinnin said. J.P. Rhea, feedyard manager for Rhea Cattle Company in Arlington, said with the ADM Columbus and other ethanol plants down in the area, his operation has had difficulty sourcing distillers grain.