Farm Office

Wasted Away in Litigationville

By:Robert Moore, Thursday, July 03rd, 2025

Jimmy Buffett, the legendary singer-songwriter and businessman, passed away in 2023 leaving behind a substantial estate reportedly worth around $275 million. Recently, reports have surfaced that his widow, Jane Buffett, has filed a lawsuit against her co-trustee and Jimmy’s long-time business manager, Richard Mozenter. The dispute offers a high-profile example of several key estate planning issues:

  • How trusts can be structured to provide for a surviving spouse
  • The responsibilities, and potential pitfalls, faced by trustees
  • The everpresent risk of conflict, even in well-planned estates

The Trust

The estate plan developed by Jimmy and his legal team followed a common structure used by millions of married couples. Upon Jimmy’s death, his assets were transferred into a trust. For the remainder of Jane’s life, she will receive all the income generated by the trust. After her death, the remaining assets will be distributed to their children.

This type of trust is often referred to as a marital trust, or more specifically, a Qualified Terminable Interest Property (QTIP) trust. A marital trust offers several benefits but the primary ones are deferring estate taxes, providing income and protecting assets. While most couples use a marital trust to achieve one or two of these goals, Jimmy’s plan appears to have been designed to accomplish all three. Let’s take a closer look at each of these benefits. Continue reading Wasted Away in Litigationville →

Revisiting Minimum Wage Obligations in Ohio Agriculture

Written by Jeffrey K. Lewis, Esq., Legal Associate, Agricultural and Resource Law Program, Income Tax Schools

Federal lawmakers have once again sparked debate over increasing the federal minimum wage, which has remained at $7.25 per hour since 2009. While many farmworkers are exempt from the federal minimum wage under the Fair Labor Standards Act (“FLSA”), a potential increase could still create significant ripple effects throughout the agricultural sector.

Earlier this month, Senators Josh Hawley (R-Mo.) and Peter Welch (D-Vt.) introduced the Higher Wages for American Workers Act, a bipartisan proposal that would raise the federal minimum wage to $15 per hour and index future increases to inflation.

Although agricultural employers in Ohio are generally exempt from federal minimum wage requirements, the reemergence of federal wage legislation presents a timely opportunity to revisit those exemptions and clarify what minimum wage obligations may apply to farm employers under both federal and state law.

Federal Agricultural Exemptions
Under the FLSA, agricultural employers are not required to pay the federal minimum wage to certain employees if one or more of the following conditions apply: Continue reading Revisiting Minimum Wage Obligations in Ohio Agriculture →

2024 Farm Commodity Program Payment Estimates for Ohio Counties as of June 2025

By: Carl Zulauf, Seungki Lee, and David Marrison, Ohio State University, June 2025

Click here for PDF version of the article

Estimates of payments by ARC-CO (Agriculture Risk Coverage – County version) for the 2024 crop year use county yield estimates from USDA, RMA (US Department of Agriculture, Risk Management Agency) (https://webapp.rma.usda.gov/apps/RIRS/SCOYieldsRevenuesPaymentIndicators.aspx).  Legislation requires FSA (Farm Service Agency) to give primacy to RMA yields when determining ARC-CO payment, but other factors can be considered.  Thus, these ARC-CO payment estimates are likely to be closer to the FSA payment rate than the payment estimates made in May 2025 using county yield estimates from USDA, NASS (National Agricultural Statistics Service) (https://quickstats.nass.usda.gov/).  Other data used to makes these payment estimates are 2024 crop year program parameters and market year price estimates from USDA, FSA (https://www.fsa.usda.gov/resources/programs/arc-plc/program-data).

FSA is expected to release official payment rates in October 2025.  They can differ notably from estimates.  Market year prices and county yields are not final.  They are also currently in a range where small changes can cause large changes in ARC-CO payment rates.  Use the estimates with caution. Continue reading 2024 Farm Commodity Program Payment Estimates for Ohio Counties as of June 2025 →

New Ohio law incentivizes energy generation on former brownfields and coal mines

Written by Ellen Essman, Senior Research Associate

Governor DeWine recently signed H.B. 15, which repeals parts of the controversial energy bill passed in 2019,  H.B. 6.  Introduced by Roy Klopfenstein (R, Haviland), H.B. 15 specifically repeals subsidies for coal-fired power plants introduced in H.B. 6, but it also does much more to promote energy production within the state of Ohio.

H.B. 15 is wide-ranging, but certain provisions may be of particular interest to Ohio agriculture and those living in rural areas of the state.  The bill allows county commissioners, municipal corporations, or townships to adopt legislation requesting that the director of the Ohio Department of Development “designate the site of a brownfield or former coal mine within the subdivision’s territory as a priority investment area.” When considering the designation of a priority investment area (PIA), the director of the Ohio Department of Development is required to “prioritize the designation of areas negatively impacted by the decline the coal industry.”  Under the law, the property becomes a PIA when the Director of Development notifies the local legislative authority, or within ninety days if no notification is sent.  Once designated as a priority investment area (PIA), a property will be exempt from taxation for five years, which encourages public utilities to use the property for energy development. The law also requires the Power Siting Board to adopt rules for the accelerated review of energy projects located in an approved PIA.

Agricultural commodity groups like Ohio Corn & Wheat, as well as environmental groups like the Nature Conservancy, have praised the bill, noting that generating power on brownfields and former coal mines will have the added benefit of protecting farmland and native habitats. The thinking is that with more PIAs available for energy generation and accelerated approval from the Power Siting Board of PIAs, the need to use farmland and other areas for renewable energy projects would diminish. Instead, under the new law, political subdivisions and energy generators would be incentivized to use brownfield and former coal mine land that has already been developed, helping Ohio to both protect farmland and meet the demand for more energy generation.  H.B. 15 will go into effect on August 14, 2025.  The bill is available in its entirety here.

Ohio Legislative Roundup

Written by Peggy Kirk Hall, Attorney and Director, Agricultural & Resource Law Program and Ellen Essman, J.D., Senior Research Associate with the OSU Agricultural & Resource Law Program

Note:  We welcome Ellen Essman to the OSU Agricultural & Resource Law Program.  Ellen worked with us previously, and has returned to assist with covering legislation and serving as the Education Director for our Ohio Farm Resolution Services agricultural mediation program.

The Ohio General Assembly is currently considering several bills that would affect agriculture, farmers, livestock producers, sellers of homemade foods, landowners, and students participating in FFA or 4-H.  Here is an update on the bills we are following, including a few updates on bills we mentioned in our last legislative blog post. Continue reading Ohio Legislative Roundup →

Ohio Crop Returns Outlook for 2025

Written by Barry Ward, Leader, Production Business Management

Lower crop prices and a mix of higher and lower input costs have set the stage for another challenging profit outlook for Ohio commodity crops in 2025. Supply and demand fundamentals have both continued to negatively affect commodity crop prices. Some input costs are projected to be higher while some are expected to be steady to lower. The result of this set of economic fundamentals is an outlook for low to negative margins for the 2025 corn, soybean and wheat crops.

Production costs for Ohio field crops are forecast to be steady to slightly higher than last year with higher machinery and equipment costs leading the way. Lower crop protection chemical prices are offset by an expected increase in product need. Fuel and crop insurance costs are also projected to be slightly lower but land rents continue to increase on average.

Variable costs for corn in Ohio for 2025 are projected to range from $502 to $614 per acre depending on land productivity. The trend line corn yield (190.1 bpa) scenario included in the corn enterprise budget shows an increase in variable costs of 2.4% with an increase in fixed costs of 3.4% due to higher rents and machinery/equipment costs.

Variable costs for 2025 Ohio soybeans are projected to range from $264 to $298 per acre. Variable costs for trend-line soybeans (56.8 bpa) are expected to decrease 2% in 2025 compared to 2024 while fixed costs are expected to increase 2.9% in 2025. Continue reading Ohio Crop Returns Outlook for 2025 →

The 3rd Annual Cultivating Connections Conference Returns

Written by Robert Moore

We’re excited to announce the 3rd Annual Cultivating Connections Conference, a joint effort between Ohio State University and Iowa State University. This unique event brings together professionals who are dedicated to the critical work of farm transition planning. Whether you are an attorney, accountant, financial advisor, or educator, this conference is designed to provide you with the tools, insights, and connections you need to support farm families as they plan for the future.

The conference will be held at the FFA Enrichment Center in Ankeny, Iowa. In-person registration is $325, and a virtual attendance option is available for $299. The event will take place over two days and will feature a variety of sessions focused on the legal, financial, and family dynamics of transitioning agricultural operations to the next generation.

This year’s agenda features presentations on new legal tools for the farm transition, counseling farm families through succession planning, and understanding how farm program payments impact the transition plan. Additional sessions will include a 2025 tax update for the farm transition, long-term care planning, and a discussion on the concept of fairness versus equality in farm debt. The second day of the conference will provide real-world case studies.

The Cultivating Connections Conference is more than just a learning event. It is a forum for building relationships, exchanging ideas, and strengthening the professional community dedicated to preserving the legacy and sustainability of family farms. Whether you are just entering the field or have years of experience, we invite you to join us for this important event. Come to gain valuable knowledge, share your own insights, and connect with others who are committed to helping farm families succeed across generations.

Registration is now open at: https://www.regcytes.extension.iastate.edu/cultivating/

For questions, contact Robert Moore at moore.301@osu.edu .

Considerations When Using the Prevented Planting Option

By: Eric Richer, Associate Professor and Field Specialist, Farm Management, OSU Extension; Carl Zulauf, Professor Emeritus, OSU Department of Agricultural, Environmental, and Development Economics; and Aaron Wilson, Assistant Professor and Field Specialist, Ag Weather and Climate, OSU Extension

According to the May 27 Crop Progress Report by USDA National Ag Statistics Service, Ohio had only 54% of corn planted, well behind the 5-year average of 73% planted. In 2024, 74% was planted by this report date. In 2019, a year with significant planting delay, only 22% of the corn had been planted by this report date. In that year, the wettest spring conditions were confined to northwest Ohio. In contrast, much more of the state has received well above average precipitation in 2025, with areas near the Ohio River and northeast Ohio seeing the largest difference compared to normal.

The lag in corn planting progress this year has prompted increasing interest in evaluating the Prevented Planting option available through multi-peril crop insurance. The purpose of this article is to walk through the options, mechanics, and economics of electing prevented planting for your corn crop utilizing 2025 values.

We are not crop insurance agents, so our most important message is that for those thinking about prevented planting talk sooner rather than later with your insurance agent.

In Ohio, June 5 is the date at which prevented planting becomes an electable option.  For soybeans, the date is June 20.

As of June 5, a farmer who has individual farm yield (YP) and revenue (RP and RP-HPE) insurance for corn has 3 basic options: Continue reading Considerations When Using the Prevented Planting Option →

Income Tax Schools at The Ohio State University Summer Tax School 2025

Written by Jeffrey K. Lewis, Esq., Legal Associate, Agricultural and Resource Law Program, Income Tax Schools

Income Tax Schools at The Ohio State University Announces Summer Income Tax School Webinar
Barry Ward & Jeff Lewis, OSU Income Tax Schools

An “Update on Current Tax Issues and Law Changes” along with a section on “Taxpayers in Trouble” are the focus of the upcoming Summer Tax School Webinar featured by Income Tax Schools at The Ohio State University.

This webinar is scheduled for August 11th and registration is now open. The registration page can be accessed at: go.osu.edu/summertaxschool.

This Summer Tax School is designed to update tax preparers about current tax issues, new law changes and tax legislation. This school will also include a section on working with “taxpayers in trouble”. Continue reading Income Tax Schools at The Ohio State University Summer Tax School 2025 →

Gifting to Manage Estate Taxes

Written by Robert Moore

The federal estate tax exemption is set to drop dramatically in 2026—from $13.99 million in 2025 to an estimated $7–$7.5 million per person. For some farm families, this shift could result in significant estate tax exposure. While most estates won’t exceed the new limit, some farmers, especially those with high-value farmland or appreciating assets, will find themselves suddenly at risk of federal estate taxes.

Gifting is one strategy to reduce the size of your taxable estate, but it’s not always simple or risk-free. Let’s explore when gifting can help, when it might not, and what to watch out for.

Two Types of Gifts

There are two main gifting categories under federal law:

  • Annual Exclusion Gifts – In 2025, you can gift up to $19,000 per recipient ($38,000 for couples) annually without using any of your lifetime exemption.
  • Lifetime Credit Gifts – Larger gifts are allowed, but they reduce your lifetime estate tax exemption.  The lifetime estate tax exemption is the amount of wealth that the IRS exempts from estate taxes.  The exemption can be used at death, gifted away during life, or a combination of the two.

Example: If a parent gifts a $1,019,000 farm to a child, the first $19,000 is exempt from taxes and does not reduce the parent’s estate tax exemption.  The remaining $1,000,000 reduces the parent’s lifetime estate tax exemption from $13.99 million to $12.99 million.

Continue reading Gifting to Manage Estate Taxes →