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Ag losses mount in Devils Lake Basin

Ag losses mount in Devils Lake Basin

More than 136,000 acres of farmland will remain under water in the Devils Lakes Basin this year.

Devils Lake continues its drain on agriuclture.

The National Weather Service puts the probability of Devils Lake reaching an elevation of 1,451.3 feet this summer at 50%. At this level, 130,878 acres of cropland will be out of production compared to 1993 due to high water levels

“Total direct losses are estimated at $36.2 million due to reduced sales of crop production as a result of inundated acres,” says Dwight Aakre, North Dakota State University Extension Service farm management specialist.

Water from Devils Lake backs up on land that was once farmed.

According to Randal Coon, NDSU Agribusiness and Applied Economics Department research specialist, the total impact on business activity in the region, from direct and indirect losses this year, is estimated at $133.7 million. These losses include reduced personal income of $35 million and reduced retail trade activity of $29 million.

The loss of business activity ultimately is reflected in lost jobs in the region. Secondary employment losses are estimated at 109 jobs for the region.

Lost tax revenues are estimated to be $2 million, due primarily to a reduction in sales tax revenue. Personal and corporate income taxes will be reduced also.

Source: NDSU Extension

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