by Robin Stanback
The economic impact of rising oil prices is being felt in every sector of the Thoroughbred industry. Fuel prices, hovering near $4 a gallon this summer for gasoline and close to $5 for diesel fuel, have raised the cost of transporting everything from the horses themselves to their feed, hay, and bedding.
Many other products are similarly affected. That plastic bottle of fly spray: it too is a byproduct of petroleum—most plastics are—and the price for plastic is going up. Farm maintenance prices are affected because many products used to protect fencing and seal roadways are oil-based.
The costs of metal barn roofing and wire fencing are dependent upon another market that has seen alarming price increases. While transportation expense is a factor in the escalating price of steel, it is not the only factor.
In 2001, the price for one ton of finished steel was $212.50. In May 2008, the cost for that same ton of steel was $1,092.50. Those increases get passed along to the consumer.
"There is sometimes a little bit of lag time for price increases to filter down to the farm market, but they have certainly arrived now, and they are escalating," said Bo Whitman, co-owner of Lexington Paint & Supply, a Central Kentucky business that sells fence paints to farms across the United States. "I am concerned about prices in the fall, but it looks like it could be really ugly by next spring."
As expenses continue to rise, many farm owners are faced with the question of just what maintenance must be done and what can wait.
"Prices for just about everything you can think of have gone up about 10% to 15%, but very recently, it seems that the prices can go up by that much in less than a month's time. So, do you wait to start a project, hoping that prices might come back down, or do you do it now before it goes up even higher?" Whitman said.
"Many of the larger farms have a maintenance budget that allows them to do about a third of their fencing maintenance every year, whether that is repair, or painting, or putting in new fence. That way, they never have to swallow the entire cost of replacing or repainting every year. With the prices escalating as they have been lately, every farm is going to be hurt by the costs because, well really, how do you budget for this?"
Prioritize needs
For many managers, building a farm maintenance budget begins with determining the most pressing need and then looking at the costs involved in meeting that need. Every horse farm has to deal with replacing and repairing fencing. That fencing must be able to safely contain 1,000-plus-pound animals and their curious offspring.
The materials capable of doing that job vary from wooden plank fencing to different varieties of woven wire or plastic mesh, vinyl, and electric wire. Each type of fencing has its unique benefits and problems. Board fencing for horses is comprised of three or four boards nailed on posts placed eight feet apart. Oak is the wood of choice for most equine operations. It is hard, able to stand up to a fair amount of chewing, and strong enough to withstand horses pushing on it.
The boards can warp and will rot if not treated or painted. Horses can break through board fencing or catch a leg under or between the boards. With proper maintenance, wood fencing has a life expectancy of 20 to 25 years.
Wire mesh fencing often is used with a top oak board. This fencing has the advantage of providing a more complete barrier for horses, and it eliminates the chance of a horse putting a leg under or through the fencing. Horses are less likely to break through a v-mesh wire fence than they are an oak fence.
This type of fencing requires less maintenance than wood and has a life expectancy of about 30 years. High-tensile and electric fencing are also options, but each has the disadvantage of being breakable if a horse charges at the fence. If this type of wire breaks, it is possible that it could wrap around a horse's legs and cause catastrophic injuries.
Vinyl fencing can have the appearance of a wooden barrier without the need for painting and other maintenance, although to keep its appearance it will need to be cleaned regularly. Horses are less likely to crib on it, and it is not prone to rot or warp like wooden fences, but it still has the same issues as a plank fence if a horse tries to graze through the boards or catches a hoof under or through it. Vinyl may not hold up as well to horses charging the fence or rubbing against it. A vinyl fence, properly maintained, generally has a long life expectancy.
Cost considerations
The behavior, age, and sex of the horses to be contained by the fencing may be important for the final decision, but one of the largest considerations today is cost. In mid-July, figuring the costs for fencing was a challenge. "It used to be that plank fencing was more expensive than wire fencing. That has changed," said Steve Goodell, the lumberyard manager of Penrod Lumber and Fence in Ocala. "Fence wire, the diamond wire mesh that is used a lot on horse farms, has seen a 20% increase almost every two weeks through the late spring and early summer.
"It went from $220 a foot to $241.30, and the next shipment we get in will be at $295. The staples used to hold the fencing onto the posts have gone up just about as dramatically. The price of steel gates has gone through the roof, and vinyl fencing that people used to use as an alternative has gone way up as well. Anything petroleum-based has. It has just taken a little longer to filter down to this market."
Jeff White has been installing fencing on Central Kentucky horse farms for more than 20 years. "The cost of the materials has skyrocketed recently, but so has the cost of labor," he said. "The changes in our economy brought on by rising oil prices have had an effect on everyone's pocketbook. It isn't just the price of gas, but groceries and everything else that we need to live. Quite a few of the people that have been working for me for many years have come to me and said, ÔI need more money.' I can't blame them; I do, too. I try to keep my prices as reasonable as I can, but I've had no choice but to increase them."
In light of rising replacement costs across the board, farm owners may choose to more carefully maintain their existing fencing. "There are lots of things a farm can do to preserve their existing fencing," White said. "Keep all the gates closed and latched. A steel pasture gate costs over $100. If it is left open and bangs back and forth against the fence it will do damage to itself, the fence, and the hinges that hold it onto the posts."
A trick that White uses to keep gates from sagging on their hinges is to place a screw hook, like the ones used to hold the gate onto the post, at the bottom of the opposite post with the hook facing up in line with the bottom of the gate. The screw hook then becomes a catch for the weight of the gate as it rests against the opposite post. "This helps to take some of the weight off the hinges," White said. "It has the added advantage of helping to hold the gate closed as well. If you are bringing one horse out of the field, it is easier sometimes to prop the gate closed on its hook than it is to hold a fractious animal while you try to latch the gate. The gate still needs to be latched for safety, but the hook will hold the gate until you can get the horse under better control."
White suggests a careful inspection of any fence that is being completely replaced. "Many times there is still a lot of life left in a fence post. If it was a treated post to begin with, the wood that was in the ground is still good wood. You can carefully pull it out, turn it over and reuse it. You can get another 15 years from many posts," he said.
Use as face boards
Similarly, some fence boards may have enough life left in them to be good face boards, the boards that are nailed over the planks where they meet the posts. White believes that face boards are a real advantage. "If horses crib, rub, or pull on the fence planks, the face board can really help to keep that plank from being pulled away from the post. Some people, in an effort to save a bit of money, will do without the face board, but I think using them is a real savings down the road," he said.
Treating fence posts with a preservative or paint, particularly the tops of the posts, is essential for their continued longevity. Treating the lumber can extend its life by as much as three times, which not only saves the farm owner some replacement costs but also aids in timber preservation.
Like the different types of fencing, different treatment options for protecting the wood are available. Paint is the most popular choice, but even with paint there are decisions to make. "Black paint seems to be what most people use. It used to be white paint, but black is more economical now," said Goodell.
"Fences painted black look better longer than fences that are painted white. There are different types of paint to use, too, and you need to be careful when you paint. We have had people use latex paint and spray it on the fences before a rainstorm. The rain washes the paint off. I think it is best to use an oil-based paint or an asphalt treatment that will last even longer, and watch the weather, too. Spraying or treating the paint on a dry day with little wind is the best method of assuring the fence gets the majority of the paint."
White favored the use of white paint on his own farm, but he has switched to black paint as a cost-saving measure. "Black paint does seem to last longer and, if it lasts longer, it is protecting the wood longer," he said. "Most of the posts we use today are pressure-treated, which helps to preserve the wood, but I still encourage our clients to paint their fences and posts shortly after we install them. Wood needs to be treated to withstand weather. The paint will keep the wood from absorbing water. In the winter, when ice and rain build up on fences, painted or treated fencing materials will hold up better and certainly longer than wood that is not treated. Also, horses are less likely to chew sealed wood."
The costs involved in treating or painting fencing also have risen. "Almost everything we use to protect our fencing has gone up. Most paints and preservatives are petroleum-based products and have gone up with the price of oil," Goodell said. "Even the plastic drums the paint comes in have become more expensive. Still, it is certainly less expensive to paint a fence than it is to replace it."
Goodell offers this advice as a cost saver: "If you do nothing else, treat the top of the posts you have with creosote, and maybe even the top board. Horses will be much less likely to chew on the wood if it is treated this way, and it will help to protect the wood from the weather," he said.
Finally, if a fence must be replaced, the wood may have value for other uses. White recommends placing advertisements in local papers. "Often, people will pay you to come to your farm and take down the old fence," said. "I tell these folks that they have to take the whole thing and not cherry-pick only the wood they want. This can be a real savings for the farm owner."
Robin Stanback is a freelance writer based in Versailles, Kentucky