Pandemic assistance programs continue to roll out and we
implement them as quickly as possible to the best of our
ability. Despite the current grain markets, significant risk
remains with the record input costs and questionable
availability of crop inputs. Our traditional programs such as
marketing assistance and farm storage facility loans remain
available. We also look forward to increasing our role in urban
food systems.
Many beginning farmers are highly leveraged and may need
assistance with their first farm or major equipment purchase.
FSA direct and guaranteed loans assist by supplementing
traditional financing options. We work in partnership with
agriculture lenders throughout the State. Discuss these options
with your farm lender and please contact your local FSA office
if you have any questions. Our County Offices are ready to
assist Illinois farmers whenever possible.
Our thoughts and prayers are with those that suffered loss
during the recent storms; a stark reminder that “the most
important things in life are not things”.
I join all Illinois FSA employees in wishing you a joyous,
peaceful holiday season spent with your family and friends..
John Gehrke
Acting State Executive Director
USDA Expands Farmers.gov to Include Farm Records
Producers with farmers.gov accounts can now access farm records
and maps online, the latest self-service feature added to the
U.S. Department of Agriculture (USDA) website.
You can quickly and easily access your land information in real
time by desktop computer, tablet or phone. Capabilities include:
--View, print and export detailed farm records such as cropland,
base acres, yields, CRP acres, land ownership details, and much
more;
--View, print and export farm/tract maps that can be provided to
lenders, chemical or fertilizer providers, and FSA for reporting
acreage and crop insurance agents; and
--Export common land unit (field) boundaries as ESRI shapefiles.
The ability to access these records on demand without a visit to
the service center saves you time and money.
Farmers.gov now includes the most popular functionalities from
FSAFarm+, the FSA portal for producers, while providing enhanced
functionality and an improved user experience. A new enhancement
expands the scope of accessibility to include farmers and
ranchers who are members of an entity, as well as people with a
power of attorney form (FSA-211) on file with FSA.
Managing USDA Business Online
Using farmers.gov, producers, entities and those acting on their
behalf can also:
--View, upload, download, and e-sign conservation documents.
--Request financial assistance, including submitting a program
application.
--View and submit conservation requests.
--View technical references and submit questions.
--Access information on current and past conservation practices,
plans and contracts.
--Report practice completion and request practice certification.
--View farm loan and interest information (producers only).
Future plans include adding the ability to import and view other
shapefiles, such as precision agriculture planting boundaries.
To access your information, you’ll will need a USDA eAuth
account to login to farmers.gov. After obtaining an eAuth
account, producers should visit farmers.gov and sign into the
site’s authenticated portal via the Sign In/Sign Up link at the
top right of the website. Google Chrome, Mozilla Firefox or
Microsoft Edge are the recommended browsers to access the
feature.
In addition to the self-service features available by logging
into farmers.gov, the website also has ample information on USDA
programs, including pandemic assistance, farm loans, disaster
assistance, conservation programs and crop insurance. Recently,
USDA updated the navigation and organization of the site as well
as added some new webpages, including “Get Involved,” “Common
Forms,” and “Translations.” Learn more about these changes.
Applying for FSA Direct Loans
FSA offers direct farm ownership and direct farm operating loans
to producers who want to establish, maintain, or strengthen
their farm or ranch. Direct loans are processed, approved and
serviced by FSA loan officers.
Direct farm operating loans can be used to purchase livestock
and feed, farm equipment, fuel, farm chemicals, insurance, and
other costs including family living expenses. Operating loans
can also be used to finance minor improvements or repairs to
buildings and to refinance some farm-related debts, excluding
real estate.
Direct farm ownership loans can be used to purchase farmland,
enlarge an existing farm, construct and repair buildings, and to
make farm improvements.
The maximum loan amount for direct farm ownership loans is
$600,000 and the maximum loan amount for direct operating loans
is $400,000 and a down payment is not required. Repayment terms
vary depending on the type of loan, collateral and the
producer's ability to repay the loan. Operating loans are
normally repaid within seven years and farm ownership loans are
not to exceed 40 years.
Please contact your local FSA office for more information or to
apply for a direct farm ownership or operating loan.
Small-Scale, Local Producers Get Improved
Insurance Coverage through New Micro Farm Policy
Agricultural producers with small-scale farms
who sell locally can now get simplified insurance coverage
through a new policy designed for their needs. The U.S.
Department of Agriculture (USDA) developed the new Micro Farm
policy, which simplifies recordkeeping and covers
post-production costs like washing and value-added products.
USDA is focused on supporting local and regional food systems,
and Micro Farm is one more example of how we’re helping
agricultural producers with farms of all shapes and sizes to
manage their unique operations and risk. The Risk Management
Agency values collaboration and feedback from our customers, and
Micro Farm is one way we're responding to producers’ needs.
Micro Farm is offered through Whole-Farm Revenue Protection (WFRP)
and is geared to local producers. Details include:
Eligibility: Micro Farm is available to producers who
have a farm operation that earns an average allowable revenue of
$100,000 or less, or for carryover insureds, an average
allowable revenue of $125,000 or less. The increase in allowable
revenue for a carry-over insured will allow for some farm growth
in subsequent years before they become ineligible for the
program. RMA’s research showed that 85% of producers who sell
locally reported they made less than $75,000 in gross sales.
Coverage Levels: All coverage levels
will be available to producers using Micro Farm. This will
enable producers to purchase the 80% and 85% coverage levels
without providing additional paperwork.
Underwriting and Recordkeeping Requirements:
Micro Farm minimizes underwriting and recordkeeping
requirements, and producers will not have to report expenses and
individual commodities.
Post-production Revenue: Producers can
include post-production activities as revenue, such as washing
and packaging commodities or value-added products like jam.
Micro Farm is available for the 2022 crop year.
Sales closing dates are January 31, 2022, February 28, 2022, or
March 15, 2022, depending on the producer’s county.
Producers with crops insured under another crop insurance policy
or a vertically integrated operation will not be eligible.
This new policy derived from research directed by the 2018 Farm
Bill, and it includes feedback from producers who grow for their
local communities. See the full report.
Specialty and Organic Crops
The Micro Farm policy builds on other RMA efforts to better
serve specialty and organic crop growers. This includes WFRP,
which provides coverage for producers with larger operations
that may not be eligible for Micro Farm. RMA recently made. RMA
recently made improvements to WFRP as part of a broader set of
new policies and expanded policies to assist specialty crop and
organic producers.
More Information
Crop insurance is sold and delivered solely through private crop
insurance agents. A list of crop insurance agents is available
at all USDA Service Centers and online at the RMA Agent Locator.
If you have difficulty finding an agent, contact your RMA
Regional Office. Learn more about crop insurance and the modern
farm safety net at rma.usda.gov.
USDA touches the lives of all Americans each day in so many
positive ways. In the Biden-Harris Administration, USDA is
transforming America’s food system with a greater focus on more
resilient local and regional food production, fairer markets for
all producers, ensuring access to safe, healthy, and nutritious
food in all communities, building new markets and streams of
income for farmers and producers using climate smart food and
forestry practices, making historic investments in
infrastructure and clean energy capabilities in rural America,
and committing to equity across the Department by removing
systemic barriers and building a workforce more representative
of America. To learn more, visit
www.usda.gov.
Applying for FSA Guaranteed Loans
FSA guaranteed loans allow lenders to provide agricultural
credit to farmers who do not meet the lender's normal
underwriting criteria. Farmers and ranchers apply for a
guaranteed loan through a lender, and the lender arranges for
the guarantee. FSA can guarantee up to 95 percent of the loss of
principal and interest on a loan. Guaranteed loans can be used
for both farm ownership and operating purposes.
Guaranteed farm ownership loans can be used to purchase
farmland, construct or repair buildings, develop farmland to
promote soil and water conservation or to refinance debt.
Guaranteed operating loans can be used to purchase livestock,
farm equipment, feed, seed, fuel, farm chemicals, insurance and
other operating expenses.
FSA can guarantee farm ownership and operating loans up to
$1,825,000. Repayment terms vary depending on the type of loan,
collateral and the producer's ability to repay the loan.
Operating loans are normally repaid within seven years and farm
ownership loans are not to exceed 40 years.
For more information on guaranteed loans, contact your local
County USDA Service Center or visit fsa.usda.gov.
USDA Reminds Illinois Producers to File Crop
Acreage Reports
Agricultural producers in Illinois who have not
yet completed their crop acreage reports after planting should
make an appointment with their Farm Service Agency (FSA) office
before the applicable deadline.
An acreage report documents a crop grown on a farm or ranch and
its intended uses. Filing an accurate and timely acreage report
for all crops and land uses, including failed acreage and
prevented planted acreage, can prevent the loss of benefits.
How to File a Report
The following acreage reporting dates are applicable in
Illinois:
December 15, 2021
Fall-Seeded Small Grains, Canola
January 15, 2021
Apples, Asparagus, Blueberries, Caneberries, Cherries, Grapes,
Nectarines, Peaches, Pears, Plums, Strawberries
Service Center staff continue to work with agricultural
producers via phone, email, and other digital tools. Because of
the pandemic, some USDA Service Centers are open to limited
visitors. Contact your Service Center to set up an in-person or
phone appointment.
To file a crop acreage report, you will need to provide:
-
Crop and crop type or variety.
-
Intended use of the crop.
-
Number of acres of the crop.
-
Map with approximate boundaries for the crop.
-
Planting date(s).
-
Planting pattern, when applicable.
-
Producer shares.
-
Irrigation practice(s).
-
Acreage prevented from planting, when applicable.
-
Other information as required.
Acreage Reporting Details
The following exceptions apply to acreage
reporting dates:
If the crop has not been planted by the acreage reporting date,
then the acreage must be reported no later than 15 calendar days
after planting is completed.
If a producer acquires additional acreage after the acreage
reporting date, then the acreage must be reported no later than
30 calendar days after purchase or acquiring the lease.
Appropriate documentation must be provided to the county office.
Producers should also report crop acreage they intended to
plant, but due to natural disaster, were unable to plant.
Prevented planting acreage must be reported on form CCC-576,
Notice of Loss, no later than 15 calendar days after the final
planting date as established by FSA and USDA’s Risk Management
Agency.
Noninsured Crop Disaster Assistance Program (NAP) policy holders
should note that the acreage reporting date for NAP-covered
crops is the earlier of the dates listed above or 15 calendar
days before grazing or harvesting of the crop begins.
More Information
For questions, please contact your local FSA office. To locate
your local FSA office visit farmers.gov/service-center-locator.
Sign up for Wetland Reserve Easements for
2022
USDA's Natural Resources Conservation Service (NRCS) announced
the application period for the Fiscal Year (FY) 2022
Agricultural Conservation Easement Program - Wetland Reserve
Easements. (ACEP-WRE). The purpose of the Wetland Reserve
Easements (WRE) program is to help landowners enhance and
protect habitat for wetland wildlife on their lands, reduce
impacts from flooding, recharge groundwater, provide outdoor
recreation, and increase habitat for migratory waterfowl.
NRCS wants landowners and farmers to know that the first
application cut-off date for fiscal year 2022 has been
established. NRCS accepts applications for Wetland Reserve
Easements (WRE) year round. Applications NRCS receives that meet
program eligibility by December 10, 2021 will be considered for
funding in our 2022 program.
Land eligible for WRE includes farmed or converted wetlands that
have been previously altered for agricultural production that
can be successfully and cost-effectively restored. NRCS
prioritizes applications based on the easement’s potential for
improving water quality and protecting and enhancing habitat for
migratory birds and other wildlife. To enroll land through this
program, NRCS enters into purchase agreements with eligible
private landowners and then they work together to develop and
implement a wetland reserve plan to guide the restoration
easement process. This plan restores, enhances, and protects the
wetland’s functions and values.
Applications for ACEP-WRE are continuous and can be submitted at
any time. For FY 2022, Illinois NRCS has received $3.8 million
in funding and will make funding decisions for eligible
applicant interested in ACEP-WRE.
NRCS provides technical and financial assistance directly to
private landowners to restore, protect and enhance wetlands
through the purchase of these easements, and eligible landowners
can choose to enroll in either a permanent easement or a 30-year
easement. To apply for a wetland easement through ACEP - WRE,
visit NRCS at your local USDA Service Center. Due to COVID-19
restrictions, producers should call to set up appointments with
their local NRCS office staff. Visit www.nrcs.usda.gov to learn
more.
Find more information about ACEP and other NRCS conservation
programs in Illinois online at
https://www.nrcs.usda.
gov/wps/portal/nrcs/il/programs/.
Double Cropping
Each year, state committees review and approve or disapprove
county committee recommended changes or additions to specific
combinations of crops.
Double-cropping is approved when two specific crops have the
capability to be planted and carried to maturity for the
intended use, as reported by the producer, on the same acreage
within a crop year under normal growing conditions. The specific
combination of crops recommended by the county committee must be
approved by the state committee.
Double-cropping is approved in Illinois on a county-by-county
basis. Contact your local FSA Office for a list of approved
double-cropping combinations for your county.
A crop following a cover crop terminated according to
termination guidelines is approved double cropping and these
combinations do not have to be approved by the state committee.
Disaster Assistance for 2021 Livestock
Forage Losses
Producers in Boone, Cook, DeKalb, Kane, Lake, McHenry and
Winnebago Counties in Illinois are eligible to apply for 2021
Livestock Forage Disaster Program (LFP) benefits.
Producers in Boone, Lake and McHenry Counties are eligible to
apply for LFP benefits for native pasture, improved pasture, and
forage sorghum.
Producers in Cook, DeKalb, Kane and Winnebago Counties are
eligible to apply for LFP benefits for native pasture and
improved pasture.
LFP provides compensation if you suffer grazing losses for
covered livestock due to drought on privately owned or cash
leased land or fire on federally managed land.
County committees can only accept LFP applications after
notification is received by the National Office of qualifying
drought or if a federal agency prohibits producers from grazing
normal permitted livestock on federally managed lands due to
qualifying fire.
You must complete a CCC-853 and the required supporting
documentation no later than February 1, 2022, for 2021 losses.
For additional information about LFP, including eligible
livestock and fire criteria, contact your local County USDA
Service Center or visit fsa.usda.gov.
Farm Storage Facility Loans
FSA’s Farm Storage Facility Loan
(FSFL) program provides low-interest financing to producers to
build or upgrade storage facilities and to purchase portable
(new or used) structures, equipment and storage and handling
trucks.
The low-interest funds can be used to build or upgrade permanent
facilities to store commodities. Eligible commodities include
corn, grain sorghum, rice, soybeans, oats, peanuts, wheat,
barley, minor oilseeds harvested as whole grain, pulse crops
(lentils, chickpeas and dry peas), hay, honey, renewable
biomass, fruits, nuts and vegetables for cold storage
facilities, floriculture, hops, maple sap, rye, milk, cheese,
butter, yogurt, meat and poultry (unprocessed), eggs, and
aquaculture (excluding systems that maintain live animals
through uptake and discharge of water). Qualified facilities
include grain bins, hay barns and cold storage facilities for
eligible commodities.
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Loans up to $50,000 can be secured by a promissory note/security
agreement and loans between $50,000 and $100,000 may require
additional security. Loans exceeding $100,000 require additional
security.
Producers do not need to demonstrate the lack of commercial credit
availability to apply. The loans are designed to assist a diverse
range of farming operations, including small and mid-sized
businesses, new farmers, operations supplying local food and farmers
markets, non-traditional farm products, and underserved producers.
To learn more about the FSA Farm Storage Facility Loan, visit
www.fsa.usda.gov/pricesupport or contact your local FSA county
office. To find your local FSA county office, visit
http://offices.usda.gov.
Transitioning Expiring CRP Land to Beginning,
Veteran or Underserved Farmers and Ranchers
CRP contract holders are encouraged to transition
their Conservation Reserve Program (CRP) acres to beginning, veteran
or socially disadvantaged farmers or ranchers through the Transition
Incentives Program (TIP). TIP provides annual rental payments to the
landowner or operator for up to two additional years after the CRP
contract expires.
CRP contract holders no longer need to be a retired or retiring
owner or operator to transition their land. TIP participants must
agree to sell, have a contract to sell, or agree to lease long term
(at least five years) land enrolled in an expiring CRP contract to a
beginning, veteran, or socially disadvantaged farmer or rancher who
is not a family member.
Beginning, veteran or social disadvantaged farmers and ranchers and
CRP participants may enroll in TIP beginning two years before the
expiration date of the CRP contract. The TIP application must be
submitted prior to completing the lease or sale of the affected
lands. New landowners or renters that return the land to production
must use sustainable grazing or farming methods.
For more information, contact your local County USDA Service Center
or visit fsa.usda.gov.
USDA Builds Pandemic Support for Certified
Organic and Transitioning Operations
The U.S. Department of Agriculture (USDA) will
provide pandemic assistance to cover certification and education
expenses to agricultural producers who are certified organic or
transitioning to organic. USDA will make $20 million available
through the new Organic and Transitional Education and Certification
Program (OTECP) as part of USDA’s broader Pandemic Assistance for
Producers initiative, which provides new, broader and more equitable
opportunities for farmers, ranchers and producers.
During the COVID-19 pandemic, certified organic and transitional
operations faced challenges due to loss of markets, and increased
costs and labor shortages, in addition to costs related to obtaining
or renewing their organic certification, which producers and
handlers of conventionally grown commodities do not incur.
Transitional operations also faced the financial challenge of
implementing practices required to obtain organic certification
without being able to obtain the premium prices normally received
for certified organic commodities.
Eligible Expenses
OTECP funding is provided through the Coronavirus Aid, Relief, and
Economic Security Act (CARES Act). Certified operations and
transitional operations may apply for OTECP for eligible expenses
paid during the 2020, 2021 and 2022 fiscal years. For each year,
OTECP covers 25% of a certified operation’s eligible certification
expenses, up to $250 per certification category (crop, livestock,
wild crop, handling and State Organic Program fee). This includes
application fees, inspection fees, USDA organic certification costs,
state organic program fees and more.
Crop and livestock operations transitioning to organic production
may be eligible for 75% of a transitional operation’s eligible
expenses, up to $750, for each year. This includes fees charged by a
certifying agent or consultant for pre-certification inspections and
development of an organic system plan.
For both certified operations and transitional operations, OTECP
covers 75% of the registration fees, up to $200, per year, for
educational events that include content related to organic
production and handling in order to assist operations in increasing
their knowledge of production and marketing practices that can
improve their operations, increase resilience and expand available
marketing opportunities. Additionally, both certified and
transitional operations may be eligible for 75% of the expense of
soil testing required under the National Organic Program (NOP) to
document micronutrient deficiency, not to exceed $100 per year.
Applying for Assistance
Signup for 2020 and 2021 OTECP will be November 8, 2021, through
January 7, 2022. Producers apply through their local Farm Service
Agency (FSA) office and can also obtain one-on-one support with
applications by calling 877-508-8364. Visit farmers.gov/otecp to
learn more.
Additional Organic Support
OTECP builds upon USDA’s Organic Certification Cost Share Program (OCCSP)
which provides cost share assistance of 50%, up to a maximum of $500
per scope, to producers and handlers of agricultural products who
are obtaining or renewing their certification under the NOP. This
year’s application period for OCCSP ended November 1, 2021.
Additionally, USDA’s Risk Management Agency announced improvements
to the Whole-Farm Revenue Program including increasing expansion
limits for organic producers to the higher of $500,000 or 35%.
Previously, small and medium size organic operations were held to
the same 35% limit to expansion as conventional practice producers.
Also, producers can now report acreage as certified organic, or as
acreage in transition to organic, when the producer has requested an
organic certification by the acreage reporting date.
To learn more about USDA’s assistance for organic producers, visit
usda.gov/organic.
As USDA looks for long-term solutions to build back a better food
system, the Department is committed to delivery of financial
assistance to farmers, ranchers and agricultural producers and
businesses who have been impacted by COVID-19 market disruptions.
Since USDA rolled out the Pandemic Assistance for Producers
initiative in March, the Department has provided support to
America’s farmers and ranchers including:
--$18 billion in Coronavirus Food Assistance Program 2 payments,
including a fourfold increase in participation by historically
underserved producers since the program reopened in April 2021.
--Over $35 million in assistance for those who had to depopulate
livestock and poultry due to insufficient processing access
(Pandemic Livestock Indemnity Program).
--Over $7 million to date for the logging and log
hauling industry (Pandemic Assistance for Timber Harvesters and
Haulers). Final payments are being calculated to be disbursed soon.
--$1 billion to purchase healthy food for food
insecure Americans and build food bank capacity.
--$350 million in additional dairy assistance
related to market volatility.
--$500 million deployed through existing USDA
programs.
--For more details, please visit
www.farmers.gov/pandemic-assistance.
FSA is Accepting CRP Continuous Enrollment
Offers
The Farm Service Agency (FSA) is accepting offers
for specific conservation practices under the Conservation Reserve
Program (CRP) Continuous Signup.
In exchange for a yearly rental payment, farmers enrolled in the
program agree to remove environmentally sensitive land from
agricultural production and to plant species that will improve
environmental health and quality. The program’s long-term goal is to
re-establish valuable land cover to improve water quality, prevent
soil erosion, and reduce loss of wildlife habitat. Contracts for
land enrolled in CRP are 10-15 years in length.
Under continuous CRP signup, environmentally sensitive land devoted
to certain conservation practices can be enrolled in CRP at any
time. Offers for continuous enrollment are not subject to
competitive bidding during specific periods. Instead, they are
automatically accepted provided the land and producer meet certain
eligibility requirements and the enrollment levels do not exceed the
statutory cap.
For more information, including a list of acceptable practices,
contact your local County USDA Service Center or visit fsa.usda.gov/crp.
This October, USDA’s National Agricultural
Statistics Service will mail its first Hemp Acreage and Production
Survey. The survey will collect information on the total planted and
harvested area, yield, production, and value of hemp in the United
States.
The Domestic Hemp Production Program established in the Agriculture
Improvement Act of 2018 (2018 Farm Bill) allows for the cultivation
of hemp under certain conditions. The Hemp Acreage and Production
survey will provide needed data about the hemp industry to assist
producers, regulatory agencies, state governments, processors, and
other key industry entities.
Producers may complete the survey online at agcounts.usda.gov or
they may complete and return the survey by mail using the return
envelope provided.
Learn more about the survey at nass.usda.gov/go/hemp
USDA Expands Assistance to Cover Feed
Transportation Costs for Drought-Impacted Ranchers
In response to the severe drought conditions in the
West and Great Plains, the U.S. Department of Agriculture (USDA)
announced today its plans to help cover the cost of transporting
feed for livestock that rely on grazing. USDA is updating the
Emergency Assistance for Livestock, Honeybees and Farm-Raised Fish
Program (ELAP) to immediately cover feed transportation costs for
drought impacted ranchers. USDA’s Farm Service Agency (FSA) will
provide more details and tools to help ranchers get ready to apply
at their local USDA Service Center later this month at fsa.usda.gov/elap.
ELAP provides financial assistance to eligible producers of
livestock, honeybees, and farm-raised fish for losses due to
disease, certain adverse weather events or loss conditions as
determined by the Secretary of Agriculture.
ELAP already covers the cost of hauling water during drought, and
this change will expand the program beginning in 2021 to cover feed
transportation costs where grazing and hay resources have been
depleted. This includes places where:
--Drought intensity is D2 for eight consecutive weeks as indicated
by the U.S. Drought Monitor;
--Drought intensity is D3 or greater; or
--USDA has determined a shortage of local or
regional feed availability.
Cost share assistance will also be made available
to cover eligible cost of treating hay or feed to prevent the spread
of invasive pests like fire ants.
Under the revised policy for feed transportation cost assistance,
eligible ranchers will be reimbursed 60% of feed transportation
costs above what would have been incurred in a normal year.
Producers qualifying as underserved (socially disadvantaged, limited
resource, beginning or military veteran) will be reimbursed for 90%
of the feed transportation cost. above what would have been incurred
in a normal year.
A national cost formula, as established by USDA, will be used to
determine reimbursement costs which will not include the first 25
miles and distances exceeding 1,000 transportation miles. The
calculation will also exclude the normal cost to transport hay or
feed if the producer normally purchases some feed. For 2021, the
initial cost formula of $6.60 per mile will be used (before the
percentage is applied), but may be adjusted on a state or regional
basis.
To be eligible for ELAP assistance, livestock must be intended for
grazing and producers must have incurred feed transportation costs
on or after January 1, 2021. Although producers will self-certify
losses and expenses to FSA, producers are encouraged to maintain
good records and retain receipts and related documentation in the
event these documents are requested for review by the local FSA
County Committee. The deadline to file an application for payment
for the 2021 program year is January 31, 2022.
USDA offers a comprehensive portfolio of disaster assistance
programs. On farmers.gov, the Disaster Assistance Discovery Tool,
Disaster Assistance-at-a-Glance fact sheet, and Farm Loan Discovery
Tool can help producers and landowners determine all program or loan
options available for disaster recovery assistance.
More information on this expansion to ELAP is forthcoming. In the
meantime, more information is available at fsa.usda.gov/elap or by
contacting a local USDA Service Center.
FSA Outlines MAL and LDP Policy
The 2018 Farm Bill extends loan authority through
2023 for Marketing Assistance Loans (MALs) and Loan Deficiency
Payments (LDPs).
MALs and LDPs provide financing and marketing assistance for wheat,
feed grains, soybeans, and other oilseeds, pulse crops, rice,
peanuts, cotton, wool and honey. MALs provide you with interim
financing after harvest to help you meet cash flow needs without
having to sell your commodities when market prices are typically at
harvest-time lows. A producer who is eligible to obtain a loan, but
agrees to forgo the loan, may obtain an LDP if such a payment is
available. Marketing loan provisions and LDPs are not available for
sugar and extra-long staple cotton.
FSA is now accepting requests for 2021 MALs and LDPs for all
eligible commodities after harvest. Requests for loans and LDPs
shall be made on or before the final availability date for the
respective commodities.
Commodity certificates are available to loan holders who have
outstanding nonrecourse loans for wheat, upland cotton, rice, feed
grains, pulse crops (dry peas, lentils, large and small chickpeas),
peanuts, wool, soybeans and designated minor oilseeds. These
certificates can be purchased at the posted county price (or
adjusted world price or national posted price) for the quantity of
commodity under loan, and must be immediately exchanged for the
collateral, satisfying the loan. MALs redeemed with commodity
certificates are not subject to Adjusted Gross Income provisions.
To be considered eligible for an LDP, you must have form CCC-633EZ,
Page 1 on file at your local FSA Office before losing beneficial
interest in the crop. Pages 2, 3 or 4 of the form must be submitted
when payment is requested.
Marketing loan gains (MLGs) and loan deficiency payments (LDPs) are
no longer subject to payment limitations, actively engaged in
farming and cash-rent tenant rules.
Adjusted Gross Income (AGI) provisions state that if your total
applicable three-year average AGI exceeds $900,000, then you’re not
eligible to receive an MLG or LDP. You must have a valid CCC-941 on
file to earn a market gain of LDP. The AGI does not apply to MALs
redeemed with commodity certificate exchange.
For more information and additional eligibility requirements,
contact your local County USDA Service Center or visit fsa.usda.gov.
Unauthorized Disposition of Grain
If loan grain has been disposed of through feeding, selling or any
other form of disposal without prior written authorization from the
county office staff, it is considered unauthorized disposition. The
financial penalties for unauthorized dispositions are severe and a
producer’s name will be placed on a loan violation list for a
two-year period. Always call before you haul any grain under loan.
Maintaining the Quality of Farm-Stored Loan
Grain
Bins are ideally designed to hold a level volume of grain. When bins
are overfilled and grain is heaped up, airflow is hindered and the
chance of spoilage increases.
Producers who take out marketing assistance loans and use the
farm-stored grain as collateral should remember that they are
responsible for maintaining the quality of the grain through the
term of the loan.
Transitioning Expiring CRP Land to Beginning,
Veteran or Underserved Farmers and Ranchers
CRP contract holders are encouraged to transition their Conservation
Reserve Program (CRP) acres to beginning, veteran or socially
disadvantaged farmers or ranchers through the Transition Incentives
Program (TIP). TIP provides annual rental payments to the landowner
or operator for up to two additional years after the CRP contract
expires.
CRP contract holders no longer need to be a retired or retiring
owner or operator to transition their land. TIP participants must
agree to sell, have a contract to sell, or agree to lease long term
(at least five years) land enrolled in an expiring CRP contract to a
beginning, veteran, or socially disadvantaged farmer or rancher who
is not a family member.
Beginning, veteran or social disadvantaged farmers and ranchers and
CRP participants may enroll in TIP beginning two years before the
expiration date of the CRP contract. The TIP application must be
submitted prior to completing the lease or sale of the affected
lands. New landowners or renters that return the land to production
must use sustainable grazing or farming methods.
For more information, contact your local County USDA Service Center
or visit fsa.usda.gov.
NASS to Send 2021 Hemp Acreage and Production
Survey This Fall
This October, USDA’s National Agricultural Statistics Service will
mail its first Hemp Acreage and Production Survey. The survey will
collect information on the total planted and harvested area, yield,
production, and value of hemp in the United States.
The Domestic Hemp Production Program established in the Agriculture
Improvement Act of 2018 (2018 Farm Bill) allows for the cultivation
of hemp under certain conditions. The Hemp Acreage and Production
survey will provide needed data about the hemp industry to assist
producers, regulatory agencies, state governments, processors, and
other key industry entities.
Producers may complete the survey online at agcounts.usda.gov or
they may complete and return the survey by mail using the return
envelope provided.
Learn more about the survey at nass.usda.gov/go/hemp
December Interest Rates and Important Dates
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