Cattle farmer facing prison sentence gets fined by DNR

A photo captured in western Iowa shows cows calmly grazing in a corn field that has recently been harvested. Jared Strong of Iowa Capital Dispatch was able to capture this peaceful scene.

State regulators have fined a cattle farmer in northeast Iowa for endangering a creek and groundwater. The farmer, who is facing financial troubles and is currently awaiting sentencing in federal court, has been found guilty of violating regulations and has been penalized by the state.

According to an order from the Iowa Department of Natural Resources, Michael Butikofer, aged 54, runs an open feedlot with a capacity of over 1,700 cattle south of Farmersburg in Clayton County.

During a facility inspection in March 2023, the DNR officer found that manure had overflowed from a storage basin at Fawn Hollow. The overflow went into an underground tiling inlet that flows to Howard Creek, but the owner, Butikofer, has taken steps to address the issue by removing the inlet.

The officer observed that the manure stockpiles were situated too near a water well and a sinkhole. This cattle operation is situated in the Driftless Area, which has permeable bedrock and is highly vulnerable to groundwater contamination.

Two sinkholes were located in close proximity to a confinement building that had been converted from an open feedlot building.

As per the DNR’s order, Butikofer has been instructed to pay a fine of $4,000 and ensure that manure and bedding stockpiles are kept at a minimum distance of 400 feet away from sinkholes and wells. Additionally, he needs to verify that there is no possibility of manure discharge happening again from his property.

Brian Jergenson, a senior environmental specialist for the DNR, stated that Butikofer, who had over 1,000 cattle at the site and had converted the open feedlot building into a confinement building, has now reverted it back to an open feedlot building and has fewer than 1,000 cattle at the location. Despite the decision, Butikofer has the option to appeal.

Legal troubles

In December, Butikofer admitted to three federal criminal charges, including theft of livestock, wire fraud, and false bankruptcy declaration. He could potentially be sentenced to 30 years in prison when he faces sentencing in October.

According to court records, Butikofer earns a living by raising cattle for others. However, in recent years, he faced difficulty in repaying his debts. To make the payments, he resorted to selling cattle that he did not own and used the proceeds to repay his debts.

During the early months of the COVID-19 pandemic, he has been accused of fraudulently obtaining over $200,000 in emergency assistance funds and utilizing a portion of a federal disaster loan to pay for a bankruptcy attorney. Moreover, in 2022, he has allegedly made false statements regarding his finances during the bankruptcy proceedings.

In 2020, a federal judge ruled that Butikofer must pay his former employees approximately $250,000 for mistreatment and unpaid wages, separate from his recent criminal prosecution.

In 2018, Butikofer hired men from South Africa for a temporary work arrangement. However, the men filed a lawsuit against him the following year, claiming that Butikofer not only verbally abused them but also physically threatened them.

According to court records, Butikofer was accused of making derogatory remarks like “third-world trash” and “dumb South Africans” towards his workers if they failed to meet his expectations. Shockingly, he even threatened to hang one of his workers and use a shock collar on another to increase their productivity. In one instance, he reportedly pushed a worker towards a corn auger and threatened to throw him in.

The Iowa Capital Dispatch reported that a cattle farmer, who is facing a possible prison sentence, has been fined by the DNR.

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