WOLSEY, S.D. — Keeping the farm rolling through the generations has been a priority for the Jungemann family, leading to the creation of Lazy J Dairy LLC.
Russell and Janet Jungemann and their son, Lucas, and his wife, Kari, can be found operating their 900-cow dairy near Wolsey that has been slowly growing over the years. Lazy J Dairy is a product of a successful succession plan that has been in place for around 15 years.
“When (Lucas) came back from college, he initially had cattle and rented land,” Russell said. “Around 2007 we built a freestall barn and I told him if he wanted to milk cows, we would add space and he would pay (us for the space).”
Lucas bought his own feeders and used that income to finish paying off college debt and save up to invest in the farm. By the time of the expansion in 2007, he was able to buy his own 100 cows to add to the herd.
“I paid my dad for feed and I got my portion of the milk check,” Lucas said. “Then I started renting a few acres here and there to add feed to the pile for my cows.”
The Jungemanns currently milk their herd in a double-16 parallel parlor. They also manage 1,800 acres of corn, alfalfa and soybeans, and occasionally raise specialty forages and grains.
“Janet and I started farming in 1980 and we casually grew from five cows to 900,” Russell said. “(Around) 2012, Lucas joined the farm (as a partner) and we created Lazy J Dairy LLC.”
To get the succession plan started, the family worked with Thompson Law PLLC in Sioux Falls. The family was then able to develop the limited liability company and form a trust.
“We couldn’t have done it without them,” Janet said. “We wouldn’t have even known where to start.”
As the years went on, the family had the plan redone a couple times and switched firms when their lawyer passed away.
“Things in life change and it needs to be updated,” Janet said. “I think that is important along with explaining to all of your family what’s happening. Communication is key.”
Lucas started his ownership in the farm with 11%, which included some cattle and machinery. The family then created a contract for deed for an additional 14%. After that was paid off, another contract of deed was made for a purchase of 25% of the farm. Currently, Lazy J Dairy LLC is 50-50 ownership between both couples, with no plans of changing.
“Years ago, Russell thought Lucas should buy more and own 70%,” Janet said. “I think we all agreed and settled that 50% is fine.”
The first experience Lucas had farming on his own, was managing a field when he left for college. This began his appreciation for farming.
“When I was going to college, I wanted to be in agriculture but didn’t want to farm,” Lucas said. “I wanted to do something different. But I had to pay for college and the deal my parents made with me was they’d rent me 80 acres to manage.”
Lucas oversaw all the decisions with guidance from his parents, from planting and harvesting to hiring and paying custom crews.
Russell and Janet’s other son, Adam, and their daughters, Libby Flemming and Emily Stahl, received this same opportunity.
“While I was in college, I figured out farming is a good lifestyle,” Lucas said. “By the end of college, I came home and started working as a hired hand.”
The family has a good work relationship they said. Decisions are made together based on everyone’s input.
Everybody on the farm has their respective roles, however, everyone will chip in wherever needed. Janet mainly handles individual cow health and records. Kari is primarily in charge of the bookwork for the farm.
“(Dad) is the big picture guy,” Lucas said. “He is always looking at the daily production of the cows and prices. I am the fix-it guy in the shop getting equipment and the parlor going.”
When it comes to the fieldwork, the whole family works together to get it done. This includes other family members coming home to help at times.
“There is still that feeling of family camaraderie when it is silage time and they all come back to help,” Janet said. “That all feels close-knit and that brings (Russell and me) a lot of joy.”
Having the next generation step up to take over the farm makes the couple happy they said, knowing their hard work over the years was worth it. The return of Lucas and Kari has also changed the character of the farm.
“If we didn’t have them coming back, we wouldn’t keep increasing,” Janet said. “We might have asked ourselves why we want to if no one is going to take over. I think that would have not been nearly as fulfilling for both Russell and me to say we did this and now we’re done.”
The family feels comfortable with their plan, Janet said, even though Russell had concerns about bringing a family member into the farm. However, since the kids were young, having family involved on the farm was of value to them, a value they passed on to their children.
“Raising a family is where I really enjoy it,” Lucas said. “Kari and I have three kids (Vonn, Walker and Ava). Seeing them on the farm and watching Grandpa and Dad doing stuff is really about the best part of it.”
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