Educational farm falls on hard times

COLUMBIA (AP) - The future is in doubt for a not-for-profit educational farm in Columbia after cost overruns and a steep drop in funding during the recession put it nearly $900,000 in debt, officials said.

The 67-acre Jefferson Farm, which once offered school trips and agricultural research, is struggling to find new management after slashing its staff and selling its animals.

The farm opened in 2006 as part of the Thomas Jefferson Agricultural Institute, which until last summer offered farm animals and experimental crops for research and education. The University of Missouri owns the property but leased it to the educational group.

"It was a tremendous idea that got caught up in the times," Jefferson Farm board member Dennis Keeney said. "A lot of nonprofits went under."

The farm was funded by government grants and donations from such groups as Monsanto, MFA and the W.K. Kellogg Foundation. Funding peaked at $1.7 million in 2007 before falling to $343,000 in 2011.

In 2008, the Kellogg Foundation pulled a $900,000, four-year grant it had given the farm two years early, forcing Jefferson Farm to take out a $400,000 loan. And construction of the children's barn went $150,000 over budget.

"If we made any mistake, it was building faster than the money was coming in," said Rob Myers, former farm manager and founder of the Jefferson Institute. He left the farm in 2010 to take a regional leadership position with the USDA.

"However, we were able to provide education programs for several thousand visitors during the time I was there, and I feel good about that."

In 2008, the farm paid 11 full- and part-time employees $980,000 in salaries and benefits, but by 2011, nine part-time employees were paid a total of $109,000. The farm also dropped new crop research in favor of education and began selling its animals.

Jefferson Farm is attempting to refinance its mortgage with IFF, a lender that serves not-for-profits in five Midwest states. Last year, the farm had an arrangement that allowed it to pay only interest, but the $46,000 payment was still too high.

If the board is unable to find new management and a solution to the farm's financial problems soon, IFF will take over the land lease. Because the land is owned by the university, any future tenant would have to follow restrictions that limit use of the property to agriculture and education.

The university said in a statement: "It's too early to speculate on what will happen. We are still assessing the situation."