August 3, 2026

By Sara Millhouse

Photo by Brooke Till

As a dairy, cattle and grain farmer outside Marquette, Iowa, Alex Schaefers knows that his everyday decisions can have huge impacts on the bottom line. “That’s the most frustrating part of farming for me, trying to make – decisions and when to make them,” he said.

If Schaefers had bought diesel fuel a few weeks earlier this year, for example, it would have saved him thousands of dollars. “You never know what the market’s gonna do,” he said. “You got to not think about that.”

With two of his kids farming full-time alongside him, Schaefers knows that every dollar saved helps his farm survive for the moment and for the next generation. When Schaefers’ grain dryer neared the end of its useful life, he took a chance on applying for a Rural Energy for America Program (REAP) grant through the USDA to increase his future energy efficiency on the farm. That decision paid off.

A $23,387 REAP grant paid for a quarter of the cost of his Sukup T-16 continuous flow dryer system and conveyor. With the new system, Schaefer cut his electricity and propane costs for grain drying approximately in half last year.

Schaefers’ old bin dryer worked in batches, resulting in varying moisture levels for grain in the top versus bottom of the bin. His continuous flow dryer now holds about 500 bushels and dries corn more evenly, testing moisture constantly as grain flows through the system. “It don’t kick it out until it’s the right moisture,” Schaefers said.

Drying grain takes a lot of electricity, and electric rates are going up, Schaefers said. The new system is expected to reduce energy costs 73%, equal to about 500 million BTUs annually that will save Schaefers nearly $8,000 each year, based on the energy audit completed by Koberdanz Consulting.

Not only did the old dryer use large amounts of propane and electricity, but he also saves on tractor fuel. Schaefers’ new dryer uses a grain pump with an electric motor to move grain more efficiently. “I used to have an 80-horsepower tractor running the auger, and you’d be running it six, seven hours straight to move corn,” he said.

The REAP application process went smoothly for Schaefers because he searched out and used every resource he could, visiting the Clayton County Farm Services Agency (FSA) office and connecting to the Clayton County Energy District, which referred him for free assistance from the Clean Energy Districts of Iowa (CEDI) in applying for REAP funding. 

Photo by Brooke Till

Photo by Brooke Till

Steve Hopkins, REAP program manager for CEDI, and others within CEDI walked Schaefers through the steps he needed to take to apply for REAP. “Steve was a lifesaver through the whole process,” Schaefers said. “Without Steve and his knowledge of knowing what to do, I probably would have gotten frustrated and just gave up.”

It took Schaefers about a year to complete the REAP grant process and receive a reimbursement check. Recouping this cost helps him keep his head above water as markets fluctuate, so his children can continue to farm long after him.

Schaefers got his own start at age 19, after growing up on his own family’s farm near Garnavillo. Since he was a kid, he would come over to help cousin Leo on what is now Schaefers’ farm, near Effigy Mounds National Monument.

“He wanted to quit farming, and I wanted to farm,” Schaefers said. He partnered with Leo, and they eventually transitioned the farm to Schaefers’ ownership.

Now, Schaefers has about 150 stock cows, milks 80 cows, has a cow-calf operation and finishes out steers. A diversified farm operation like this means more work but also greater ability to ride out market slumps—such as now, when dairy and corn prices are low, but beef prices are high. “I like to not put my eggs all in one basket, because if something’s bad, maybe something’s good to help you pull through them rough times,” he said.

At 54, Schaefers loves having the opportunity to farm full-time with his daughter Megan and son Tyler. “That’s the best part,” he said.

His wife Teresa, a nurse, also works on farm paperwork, and their son Logan helps when he can. “It’s our responsibility to get the next generation started, or we won’t have any family farms, just big-time operators,” Schaefers said. “We can’t let it die with us.”

Photo by Brooke Till