Revised Illinois FSA January Newsletter

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[February 06, 2016]    Revised Illinois FSA January Newsletter

USDA Expands Microloans to Help Farmers Purchase Farmland and Improve Property

The U.S. Department of Agriculture (USDA) will begin offering farm ownership microloans, creating a new financing avenue for farmers to buy and improve property. These microloans will be especially helpful to beginning or underserved farmers, U.S. veterans looking for a career in farming, and those who have small and mid-sized farming operations.

The microloan program, which celebrates its third anniversary this week, has been hugely successful, providing more than 16,800 low-interest loans, totaling over $373 million to producers across the country. Microloans have helped farmers and ranchers with operating costs, such as feed, fertilizer, tools, fencing, equipment, and living expenses since 2013. Seventy percent of loans have gone to new farmers.

Now, microloans will be available to also help with farm land and building purchases, and soil and water conservation improvements. FSA designed the expanded program to simplify the application process, expand eligibility requirements and expedite smaller real estate loans to help farmers strengthen their operations. Microloans provide up to $50,000 to qualified producers, and can be issued to the applicant directly from the USDA Farm Service Agency (FSA).

This microloan announcement is another USDA resource for America’s farmers and ranchers to utilize, especially as new and beginning farmers and ranchers look for the assistance they need to get started. To learn more about the FSA microloan program visit www.fsa.usda.gov/ microloans , or contact your local FSA office. To find your nearest office location, please visit http://offices.usda.gov

Conduct USDA Business Online by Creating an eAuthentication Account

The Internet allows you, the customer, access to USDA information 24 hours a day, seven days a week. You can fill out and submit electronic forms (eForms) any time of the day or night from anywhere you have Internet access. This new service delivery option allows you to complete and file your own forms or applications online, because your signature is already electronically "on file."

Information submitted to the Federal Government remains safe and secure because every customer has a unique User ID and password; only authorized USDA employees can access your information. It's safe, saves paper, saves a visit to your local USDA Service Center and provides electronic tracking of all your USDA transactions.

How to Sign Up for eAuth :

Begin the process by reviewing the information at the USDA Website https://www.eauth.usda.gov. This website describes the services available for Level 1 and Level 2 Accounts. Level 1 and Level 2 accounts require that you have an email address so you can register, create a customer profile, and be able to respond to a confirmation email. Level 1 Accounts do not require you to provide proof of your identity at a local USDA Service Center. Level 1 Accounts provide limited access to certain
USDA Web site portals that require no authentication or authorization. A Level 2 Account does require a visit to a USDA Service Center with proof of your identity. That is because a Level 2 account allows you access to complete and submit documents and forms electronically.

LEVEL 1 ACCOUNT

STEP 1.
To obtain a Level 1 Account, you may self-register online at www.eauth.egov.usda.gov.

Scroll down and click on the button that says “Sign Up for a Level 1 Account.” Complete the brief customer profile.

STEP 2. You will receive a confirmation email, and you must respond to it within 7 days to activate your account.

LEVEL 2 ACCOUNT

STEP 1.
To obtain a Level 2 Account, you must complete an 18 question customer profile and prove your identity by presenting state or federal photo ID at a local USDA Service Center. Go to www.eauth.egov.usda.gov, scroll down and click on “Sign Up for a Level 2 Account.” Complete your customer profile, which includes designating your user ID and password created by you, contact information and email information. The data you enter in your customer profile must match the data on the document you use as identification at your local USDA Service Center. Example: Your first and last names and address must match the government-issued photo ID you plan to use to prove your identity. Identify proof can only be verified by one of the following documents: Current State Driver’s License, State Photo ID, US Military ID, or United States Passport.

STEP 2. After completing your customer profile and submitting it online, you will receive a
confirmation email, and you must respond to it within 7 days to activate your account.

STEP 3. Then you must complete the “Identify Proofing” process by visiting a local USDA Service Center. You will be required to present the eligible photo ID to an USDA employee who will verify your identity and enter the expiration date of the ID document used.

STEP 4. The USDA employee then will update your customer profile to a Level 2 Account. You will have access to USDA online applications and forms within one hour of your account being updated.
 


USDA Begins 49th Enrollment Period for the Conservation Reserve Program

Farmers and ranchers are reminded that the next general enrollment period for the Conservation Reserve Program (CRP) started Dec. 1, 2015, and ends on Feb. 26, 2016. December 2015 also marks the 30th anniversary of CRP, a federally funded program that assists agricultural producers
with the cost of restoring, enhancing and protecting certain grasses, shrubs and trees to improve
water quality, prevent soil erosion and reduce loss of wildlife habitat.

As of September 2015, 24.2 million acres were enrolled in CRP. CRP also is protecting more than 170,000 stream miles with riparian forest and grass buffers, enough to go around the world 7 times. For an interactive tour of CRP success stories from across the U.S., visit www.fsa. usda.gov/CRPis30, or follow on Twitter at #CRPis30.

Participants in CRP establish long-term, resource-conserving plant species, such as approved grasses or trees (known as “covers”) to control soil erosion, improve water quality and develop wildlife habitat on marginally productive agricultural lands. In return, FSA provides participants with rental payments and cost-share assistance. At times when commodity prices are low, enrolling sensitive lands in CRP can be especially attractive to farmers and ranchers, as it softens the economic hardship for landowners at the same time that it provides ecological benefits. Contract duration is between 10 and 15 years. The long-term goal of the program is to re-establish native plant species on marginal agricultural lands for the primary purpose of preventing soil erosion and improving water quality and related benefits of reducing loss of wildlife habitat.

Contracts on 1.64 million acres of CRP are set to expire on Sept. 30, 2016. Producers with expiring contracts or producers with environmentally sensitive land are encouraged to evaluate their options under CRP.

Since it was established on Dec. 23, 1985, CRP has:

Prevented more than 9 billion tons of soil from eroding, enough soil to fill 600 million dump trucks;

  • Reduced nitrogen and phosphorous runoff relative to annually tilled cropland by 95 and 85 percent respectively;
  • Sequestered an annual average of 49 million tons of greenhouse gases, equal to taking 9 million cars off the road.

Since 1996, CRP has created nearly 2.7 million acres of restored wetlands.

For more information FSA conservation programs, visit a local FSA office or www. fsa.usda.gov/conservation.  To find your local FSA office, visit http://offices.usda.gov

Tree Assistance Program (TAP) Sign-up

Orchardists and nursery tree growers who experience losses from natural disasters during calendar year 2015 must submit a TAP application either 90 calendar days after the disaster event or the date when the loss is apparent. TAP was authorized by the Agricultural Act of 2014 as a permanent disaster program. TAP provides financial assistance to qualifying orchardists and nursery tree growers to replant or rehabilitate eligible trees, bushes and vines damaged by natural disasters.

Eligible tree types include trees, bushes or vines that produce an annual crop for commercial purposes. Nursery trees include ornamental, fruit, nut and Christmas trees that are produced for commercial sale. Trees used for pulp or timber are ineligible.

To qualify for TAP, orchardists must suffer a qualifying tree, bush or vine loss in excess of 15 percent mortality from an eligible natural disaster. The eligible trees, bushes or vines must have been owned when the natural disaster occurred; however, eligible growers are not required to own the land on which the eligible trees, bushes and vines were planted.

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If the TAP application is approved, the eligible trees, bushes and vines must be replaced within 12 months from the date the application is approved. The cumulative total quantity of acres planted to trees, bushes or vines, for which a producer can receive TAP payments, cannot exceed 500 acres annually.

Youth Loans

The Farm Service Agency makes loans to youth to establish and operate agricultural income-producing projects in connection with 4-H clubs, FFA and other agricultural groups. Projects must be planned and operated with the help of the organization advisor, produce sufficient income to repay the loan and provide the youth with practical business and educational experience. The maximum loan amount is $5000.

Youth Loan Eligibility Requirements:

Be a citizen of the United States (which includes Puerto Rico, the Virgin Islands, Guam, American Samoa, the Commonwealth of the Northern Mariana Islands) or a legal resident alien

  • Be 10 years to 20 years of age
    Comply with FSA’s general eligibility requirements
  • Be unable to get a loan from other sources
    Conduct a modest income-producing project in a supervised program of work as outlined above
  • Demonstrate capability of planning, managing and operating the project under guidance and assistance from a project advisor. The project supervisor must recommend the youth loan applicant, along with providing adequate supervision.

Revised January Interest Rates

Farm Ownership Loans - Direct 3.875%

Farm Ownership Loans — Direct Down Payment,
Beginning Farmer or Rancher 1.50%

Emergency Loans 3.625%

Farm Storage Facility Loans (7 years) 2.00%

Farm Storage Facility Loans (10 years) 2.250%

Farm Storage Facility Loans (12 years) 2.375%

Commodity Loans 1996-Present 1.625%

ARC, PLC and CTAP Acreage Maintenance

Producers enrolled in Agriculture Risk Coverage (ARC) or Price Loss Coverage (PLC) must protect all cropland and non cropland acres on the farm from wind and water erosion and noxious weeds. Producers who sign ARC county or individual contracts and PLC contracts agree to effectively control noxious weeds on the farm according to sound agricultural practices. If a producer fails to take necessary actions to correct a maintenance problem on a farm that is enrolled in ARC or PLC, the County Committee may elect to terminate the contract for the program year.

Producers May be Eligible for Emergency Conservation Program Assistance

The heavy rains that occurred in December caused severe damage in several areas of the State.

Farms and ranches suffering severe damage may be eligible for assistance under the Emergency Conservation Program (ECP) administered by the Farm Service Agency (FSA) if the damage:

  • will be so costly to rehabilitate that Federal assistance is or will be needed to return the land to productive agricultural use
  • is unusual and is not the type that would recur frequently in the same area
  • affect the productive capacity of the farmland
  • will impair or endanger the land

A producer qualifying for ECP assistance may receive cost-share levels not to exceed 75 percent of the eligible cost of restoration measures. No producer is eligible for more than $200,000 cost sharing per natural disaster occurrence. The following types of measures may be eligible:

  • removing debris from farmland
  • grading, shaping, or releveling severely damaged farmland
  • restoring permanent fence
  • restoring conservation structures and other similar installations

Producers who have suffered a loss from a natural disaster may contact the local County FSA Office and request assistance.

To be eligible for assistance, practices must not be started until all of the following are met:

  • an application for cost-share assistance has been filed
  • the local FSA County Committee (COC) or its representative has conducted an onsite inspection of the damaged area
  • the Agency responsible for technical assistance, such as the Natural Resources Conservation Service (NRCS), has made a needs determination, which may include cubic yards of earthmoving, etc., required for rehabilitation

For more information about ECP, please contact your local FSA County Office.

Update Your Records

If you have any unreported changes of address, zip code, an incorrect name, or business name on file they need to be reported to your local County FSA office. Changes in your farm operation, like the addition of a farm by lease or purchase, need to be reported to our office as well. Producers participating in FSA and NRCS programs are required to timely report changes in their farming operation to the County Committee in writing and update their CCC-902 Farm Operating Plan.

If you have any updates or corrections, please call your local FSA office to update your records.

NRCS Announces EQIP sign-up in Illinois to Improve Soil Health

The U. S. Department of Agriculture-Natural Resources Conservation Service (NRCS) will be offering funding for a special soil health project through the Regional Conservation Partnership Program (RCPP).

NRCS has partnered with the Illinois Department of Agriculture to help producers address resource concerns such as water quality and soil health. Producers can apply for assistance through the Environmental Quality Incentives Program (EQIP) to implement cover crop, nutrient management, and/or no-till practices. The project focus is to reduce soil erosion and improve water quality by installing conservation practices on agricultural land.

The NRCS soil health project through RCPP will be available to producers throughout Illinois who are interested in installing any or all of the previously mentioned practices. To take advantage of this special conservation funding opportunity, interested producers should submit an application to their local NRCS field office by the cutoff dates of February 19, March 18 and May 20, 2016. Producers are reminded that they can submit an EQIP application to their local field office at any time throughout the year.

To apply, eligible producers should contact their local NRCS field office or visit the Illinois NRCS website at www.il.nrcs.usda.gov.

Dates to Remember

Continuous - CRP signup

Continuous - Farm Record Changes (new owners, new operators, direct deposits, etc.)

Continuous - FSFL - Farm Storage Facility Loan Applications

February 15 - George Washington's Birthday - Office Closed

February 19 - Submit application to NRCS for EQIP Special Soil Health Project

February 26 - CRP 49 enrollment period ends

Illinois Farm Service Agency
3500 Wabash Ave
Springfield, IL 62711

www.fsa.usda.gov/il

State Committee:
Jill Appell-Chairperson
Brenda Hill-Member
Jerry Jimenez-Member
Joyce Matthews-Member
Gordon Stine-Member

State Executive Director:
Scherrie V. Giamanco

Executive Officer:
Rick Graden

Administrative Officer:
Dan Puccetti

Division Chiefs:
Doug Bailey
Jeff Koch
Stan Wilson

Please contact your local FSA Office for questions specific to your operation or county.

 

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