USDA announces important updates on the MILC program
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[February 02, 2013]
SPRINGFIELD -- Beginning
Tuesday, USDA will issue payments to dairy farmers enrolled in the
Milk Income Loss Contract program for the September 2012 marketings.
The American Taxpayer Relief Act of 2012 extended the authorization
of the Food, Conservation and Energy Act of 2008 (the farm bill)
through 2013 for many programs administered by the Farm Service
Agency, including MILC. The farm bill extension provides for a
continuation of the MILC program through Sept. 30. The announcement
in Illinois was made by the U.S. Department of Agriculture's FSA
state executive director, Scherrie Giamanco.
MILC payments are triggered when the Boston Class I milk price
falls below $16.94 per hundredweight, after adjustment for the
cost of dairy feed rations. MILC payments are calculated each
month, using the latest milk price and feed cost.
As announced by FSA on Jan. 22, all dairy producers' MILC
contracts are automatically extended to Sept. 30. Eligible
producers therefore do not need to re-enroll in MILC. MILC
operations with approved contracts will continue to receive
monthly payments, if available.
The payment rate for September 2012 is approximately 59 cents
per hundredweight. The payment rate for October 2012 marketings
is approximately 2 cents per hundredweight. The payment rate for
November 2012 marketings is zero. 'Before the October MILC
payment can be issued, dairy farmers must complete a new AGI
form for 2013. The new form, CCC-933 Average Adjusted Gross
Income (AGI) Certification and Consent to Disclosure of Tax
Information, must be completed by producers before they can
receive payments for a variety of programs administered by FSA
and USDA's Natural Resources Conservation Service. Producers may
obtain the CCC-933 form at their local USDA Service Center or
www.fsa.usda.gov/ccc933. Specific details about AGI are
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Dairy operations may select a production start month other than
October 2012. Producers who want to select a production start month
other than October 2012 must visit their local FSA office between
Feb. 1 and Feb. 28, known as a relief period.
FSA will provide producers with information on program
requirements, updates and signups as the information becomes
available. For more information on MILC, contact a local FSA county
office or visit www.fsa.usda.gov.
[Text from file received from
USDA Farm Service Agency]