Lease resources available
By David G. Hallauer
Meadowlark Extension District Agent
It is the season when landlords and tenants alike think about their rental arrangements. That's a good thing! As complex as some of them can be, and as important an arrangement they are to both parties, they need to be looked at on an annual basis!
The most common question is: "What's a fair rate?" Wish I had a crystal ball to tell me. Since I don't, I'll refer you to a handful of resources that can help you get at that information.
The first two are Extension and U.S. Department of Agriculture publications that compile information on land values and rental rates. Agriculture Land Values and Cash Rents is an annual Agricultural Statistics Service publication (http://www.nass.usda.gov/Statistics_by_State/Kansas/index.asp) that shares land values and cash rents that they have collected. If you visit www.agmanager.info, head to the Farm Management and then Land and Leasing menus to get to MF-1100, Kansas Land Prices and Cash Rental Prices. It also shares information on land prices and rental rates. Why do you need more than one? For starters, more information tends to be better. But further than that, it gives you some measure of land rental rates as a ratio in relation to land values. With fluctuating land values and few hard and fast figures for rental rates, this can be an interesting ratio to at least take a look at.
While you're at www.agmanager.info, you'll see just a ton of other tools that can be of use to you, including contracts and some really good spreadsheet tools that can help you work through a lot of figures--in a short time.
Last but not least, make sure you take a peek at C-668, Kansas Farm Lease Law. This is a must for anyone who has farm leases so you know the law you are working under.
All of the aforementioned publications can also be obtained at your District Extension Office.