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Who pays for ditch repairs if they become extensive on rented farm land?

Tom Bechman 1, Editor, Indiana Prairie Farm

November 25, 2015

2 Min Read

It's obvious that installing new tile on rented land is a long-term investment. If the tenant is doing it he or she needs a contract that would compensate them over time for the costs, or guarantee they have time to recoup their costs.

Related: What should you tell your landowner about your farm and this season?

But what about rented land where there is already tile and open ditches, but they need repair? If you cash rent the land are you automatically agreeing to take care of fixing them if there are issues at your expense?

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These are the kinds of questions Paul Marcellino and the Purdue Land Lease team get when they hold meetings about land leases. The team consists of Extension educators scattered across Indiana, backed up by specialists on staff at Purdue University. Marcellino himself is the Extension educator in Howard County.

Repair of existing ditches or tile can be an issue, and it's complicated by the fact that owners and tenants have so many variations of agreements when it comes to drainage in their contracts, he says.

The result is that there are few guidelines when it comes to ditch repair on rented land.

Common practice has been that if the repair is minor, the farmer will repair it, and even do the work, at their cost. That's especially true if the farmer has his or her own backhoe, or access to one at no or at a reasonable cost. One farmer told us he picked up a low-cost, older backhoe just for this purpose, and has already paid it off several times over in savings from being able to do his own work on blow-outs or other ditch issues.

Related: Tax implications to a landowner switching to flexible cash lease from fixed cash rent

If the repairs are major, it may be reasonable to expect the landowner to bare at least part of the responsibility. The bottom line is that this issue needs to be addressed in writing in a rental contract, even in a cash-rent contract, Marcellino says. Specify up front who is responsible for what in these types of situations to avoid future misunderstandings.

About the Author(s)

Tom Bechman 1

Editor, Indiana Prairie Farm

Tom Bechman is an important cog in the Farm Progress machinery. In addition to serving as editor of Indiana Prairie Farmer, Tom is nationally known for his coverage of Midwest agronomy, conservation, no-till farming, farm management, farm safety, high-tech farming and personal property tax relief. His byline appears monthly in many of the 18 state and regional farm magazines published by Farm Progress.

"I consider it my responsibility and opportunity as a farm magazine editor to supply useful information that will help today's farm families survive and thrive," the veteran editor says.

Tom graduated from Whiteland (Ind.) High School, earned his B.S. in animal science and agricultural education from Purdue University in 1975 and an M.S. in dairy nutrition two years later. He first joined the magazine as a field editor in 1981 after four years as a vocational agriculture teacher.

Tom enjoys interacting with farm families, university specialists and industry leaders, gathering and sifting through loads of information available in agriculture today. "Whenever I find a new idea or a new thought that could either improve someone's life or their income, I consider it a personal challenge to discover how to present it in the most useful form, " he says.

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