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
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.
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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 online at
www.fsa.usda.gov/ccc933. Specific details about AGI are
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]