"Despite recent rainfall, this summer farmers watched
helplessly as their crops withered in the fields. We need to do
everything we can to help the farmers pay their bills and feed their
families," said Gov. Blagojevich. The IFA is offering up to $87
million in agricultural loan restructuring guarantees. The
restructuring program allows farmers to consolidate their debt and
spread out their repayments over a long term. These state-backed
loans provide lending institutions with an 85% guarantee - allowing
lending institutions to assume far less risk, and allowing producers
that may otherwise not qualify for assistance to receive an
institution's support. The IFA's program offers up to $500,000 in
loan assistance and loans can be in place for up to 30 years.
IFA's program is open to farmers regardless of their loss in
seasonal yield and since the program is continuously open for
enrollment, producers will be able to re-evaluate their finances
after the 2005 harvest, and if necessary, seek financial assistance.
In June, the Governor activated the Drought Response Task Force
to monitor and respond to economic and ecological impacts of the
drought. In July, the Governor reached out with the assistance of
Illinois USDA-Farm Service Agency offices and the Illinois
Department of Agriculture to the U.S. Secretary of Agriculture,
resulting in a disaster declaration. As a result of the Governor's
declaration, farmers in nearly every Illinois county are eligible to
apply for the USDA-Farm Service Agency's low-interest emergency loan
program.
Additionally in recent weeks, the Illinois Department of
Agriculture posted the Illinois Hay and Straw Directory on its
website. The Directory provides livestock producers with a one-stop
resource to locate straw and hay, and straw and hay producers with a
location to market their services.
Even as the Governor and his administration responded to the
plight of farmers, conditions continue to deteriorate, with
temperatures above normal, and rainfall amounts below normal. As a
result, the Illinois Agriculture Statistics Service reported that
surface soil moisture went from 52 percent to 68 percent in the
"very short" category across the state. Much of northern and western
Illinois remain in an "extreme" drought, according to the U.S.
Drought Monitor. "Extreme" drought is the third of four stages of
drought. Much of the rest of the state is in "moderate" to "severe"
drought.
The Drought Response Task Force is next scheduled to meet on
Friday, August 26 at 1:30 p.m. at the Department of Natural
Resources Headquarters. Scientists and policy makers on the task
force include members of the Illinois State Water Survey, Illinois
Department of Natural Resources, Illinois Emergency Management
Agency, Illinois Department of Agriculture, Illinois Environmental
Protection Agency, Illinois Department of Public Health, the
Illinois Commerce Commission, Office of the State Fire Marshal and
United States Geological Survey.
Also today, the Governor and the U.S. Department of Agriculture
announced an additional 15,000 acres has been funded for enrollment
in the Conservation Reserve Enhancement Program (CREP). The
expansion will enhance efforts to improve water quality and increase
wildlife habitat along the Illinois River basin.
The CREP program is administered by USDA's Farm Service Agency.
Under CREP agreements, federal and state resources are used to
safeguard environmentally sensitive land. Farmers can enroll in CREP
agreements for a period of ten to fifteen years. Through the
program, farmers remove land from agricultural production and plant
native grasses, trees and other vegetation to improve water quality,
soil and wildlife habitat.
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"Expanding the CREP program means that Illinois farmers can put less
productive farm ground aside in order to better manage nutrients in
the soil, control erosion and keep waterways clean. These funds will
give farmers the chance to help the environment and make money,"
said Gov. Blagojevich. Governor Blagojevich's Fiscal Year 2006
budget included $10 million for the CREP program. As a result of the
Governor's commitment, Illinois is now able to leverage a
significant federal match for the program. Specifically, the U.S.
Department of Agriculture will provide 80 percent – or approximately
$50 million – of the funding for the CREP expansion and the state of
Illinois will contribute the remaining 20 percent – or approximately
$10 million.
"Re-opening CREP helps fulfill the Illinois River Coordinating
Council's management plan for the Illinois River," Lt. Governor Pat
Quinn, chairman of the Illinois River Coordinating Council, said.
"The program will restore 15,000 acres that will improve water
quality, wildlife habitat and recreation opportunities, and reduce
the amount of sediment entering the Illinois River."
"Our farmers' active participation in CREP is a reflection of
their strong conservation ethic," Agriculture Director Chuck Hartke
said. "They understand the value of protecting irreplaceable soil
and water resources and I expect they will take full advantage of
this new enrollment opportunity."
"CREP is key to meeting the goals of stewardship of Illinois
natural resources," Brunsvold added. "The land included in this
program provides habitat critical to survival for threatened and
endangered wildlife."
"I appreciate the state of Illinois' willingness to fund its
portion and support this popular and highly successful program,"
Graff said. "Farm Service Agency offices look forward to signing up
farmers and landowners in November."
Since the Illinois CREP program's inception in March of 1998,
over 109,000 acres and 5,416 individual contracts have voluntarily
been put into this program. Illinois currently ranks second in the
country in the total number of acres in the CREP program.
Implementation of CREP is a partnership of the USDA - Farm Service
Agency, USDA – Natural Resources Conservation Service (NRCS), the
Illinois Department of Agriculture, Illinois Environmental
Protection Agency, Illinois Department of Natural Resources and
County Soil and Water Conservation Districts.
More information about CREP can be found on the USDA website at
www.fsa.usda.gov/pas/publications/facts
/html/crep03.htm.
Drought-related resources
[News release from the governor's
office] |