Request for Information Agricultural Lease Program.docx

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Request for Information: IDNR Agricultural Lease Program
Solicitation number
22-422DNR-REALT-B-28291
Issued by
Illinois

About this file

This document is a Request for Information (RFI) issued by the Illinois Department of Natural Resources (IDNR) regarding its agricultural lease program. IDNR is seeking information on the potential to allow renewals or longer terms on its agricultural leases, which are currently limited to a four-year fixed term at a fixed rate. IDNR is interested in understanding how to fairly assess payment terms for longer-term leases, with the option for increased or decreased payments based on market conditions. The RFI includes a survey with questions related to preferred rent payment dates, use of electronic/internet formats for reporting and submitting documents, notification preferences, payment methods, willingness to submit yield reports, and opinions on how a new bid price should be formed for lease renewals. Additionally, IDNR is seeking input on the types of crops lessees would be willing to grow, the importance of soil health and cover crops, and any additional assistance the IDNR Agricultural Lease Program could provide.

The RFI is not a solicitation, and no information will be accepted once the bid is opened. Respondents are requested to provide their input by the end of business on April 21, 2022, either via the referenced BidBuy number or by mailing their responses to the IDNR office in Springfield, Illinois.

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Request for Information

22-422DNR-REALT-B-28291

IDNR Agricultural Lease Renewal Criteria

The Illinois Department of Natural Resources is requesting information pertaining to its agricultural lease program and the potential allowance of renewals or longer terms on its leases that are currently only allowed for a four (4) year fixed term at a fixed rate.

The Illinois Department of Natural Resources is not allowed to negotiate renewal terms, conditions and payments at the end of the initial term of a contract and is required to specify what those terms, conditions and payments will be in the initial solicitation. We understand that there are many unknowns in this industry and is seeking information on how to fairly assess payment terms for longer term leases. New payment terms could be increased or decreased based on market conditions but a formula for such adjustments will have to be defined.

Below is a list of survey questions and an area for you to provide additional comments or concerns. We are requesting your input to help both parties work together to achieve the best possible outcome for IDNR’s Agricultural Lease Program.

If you would like to fill out the survey or provide comments or concerns please submit them via the referenced BidBuy Number or mail them to the Illinois Department of Natural Resources, One Natural Resources Way, Springfield, IL 62702 Attn: Eric Michael – Fiscal Management/Procurement by end of business on April 21, 2022.

Thank you and we look forward to hearing from you.

Survey Questions

Please indicate your preference of rent payment dates:

1. July 15 and December 15

2. March 1 and November 1

3. March 1 and December 1

Would you utilize an electronic/internet format to report and submit documents such as Letter of Credit, insurance, tax payments, seed logs, chemical logs, and soil sampling results?

1. Yes

2. No

Would you like to get notifications and reminders via text message regarding payment, insurance, letter of credit, tax payments, checmical/seed logs. etc. due dates?

1. Yes

2. No

Would you like the ability to make ag lease payments through a debit card through the IL NCR System? NCR is an online payment system ran through NCR Corporation.

1. Yes

2. No

Would you be willing to submit yield reports for leased IDNR lands to have a sliding scale rent system based off of bushels produced?(Share of Gross Revenue, Base Rent plus Bonus, etc.)

1. Yes

2. No

3. Other:______________________________________

If trying to renew a contract, how do you believe a new bid price be formed?

1. Based on inflation over the previous 4 years.

2. Based on the county average land rental price

3. Based on bushels/ac produced on the leased property.

4. Based on a predetermined percentage

5. Other:______________________________________

What crops would you be willing to raise on IDNR farm leases (circle all that apply).

1. Corn

2. Soybeans

3. Wheat

4. Sunflowers

5. Milo/Sorghum

6. Cereal Rye (for small grain production or cover crop seed)

7. Hemp

8. Food crops (tomatoes, green beans, sweet corn, etc)

9. Other Cover Crops (turnips, radishes, cowpeas, etc)

10. Other: _____________________________________

Are you willing to plant cover crops as part of your cropping plan (a subcontractor could be used to plant and/or terminate (if necessary) cover crops)?

1. Yes

2. Yes only with cost share

3. Only if I am required in my leasing agreement

4. No

How important is soil health and building soil fertily to you?

1. Very Important

2. Somewhat important

3. Neutral

4. Not important

5. I am not going to plant cover crops.

How important is it to have the ability to do additional work off items on state lands to reduce the overall lease amount?

1. Very Important

2. Somewhat important

3. Neutral

4. Not important

What additional assistance would you like to see the IDNR Ag Lease Program provide?

Printed Name

_______________________________________________________
SignatureDate

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