WSP01593

• File Number: 8220.127.J
• Description: Savery-Pot Hook Project
• Basin: Yampa/White
• Water Division: 6
• Date: 1/1/1964
• Author: Kearl W. G.
• Title: The Savery-Pot Hook Reclamation Project: Analysis of Economic Effects on Existing Ranches & New Farm Units
• Water Supply Pro - Doc Type: Report/Study

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Beef-Cow Herd with Calf-Fattening Operations.--The possibilities of combining a

beef-cow herd on irrigated pasture with a calf-fattening operation were investigated.

Budgets were constructed for combinations of two levels of productivity and efficien-

cy. The alfalfa and pasture rotations were altered to provide for a slightly short-

er rotation, in order to get a higher proportion of the land into barley and oats

for use in the fattening operation.

The total land required at moderate levels of productivity ~ould be 603 acres of

cropland, or slightly less than a section. Investment requirements are around

$143,529. Livestock sales are increased considerably through the use of the fatten-

ing operation, as are the direct costs. Returns to operator's labor are $1,213 for

the moderate efficiency and productivity operation. Returns to labor are $6,530 and
$7,300 on high efficiency operations with ~oderate and high prOductivity, respective-

ly. These returns approximateparit~wage standards previously defined. They are

the first plans of operation which look feasible for new units.

ISO-Head Beef-Cow Herd with Fattening Operation.--Since the ranch budgets for a 200-

head cow operation on irrigated pasture with calf fattening appear to be feasible,

the effect of a reduction to a ISO-head oneration for this type of ranch unit was

tested. Cropland required is reduced to 467 acres at the low productivity level and

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to 395 acres at the high productivity level. There were, of course, also reductions

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in investment requirements, sales, and cash costs and depreciation with the reduction

in size of unit. The reduction in size of unit also reduced the return to operator's

labor to $3,797 for the moderate level of productivity and $4,273 for the high-level

prOductivity, with efficiency at a high level in both cases. These returns to

operator's labor fall far short of what is defined as a parity wage for onerator.

They do begin to approach, however, what the Bureau of Reclamation has defined at

various times as an adequate allowance for operator and family living.

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