Assistance | Field 2 Field

January 5, 2021January 5, 2021

USDA assistance for quality loss now available

USDA assistance is now available for producers who were hit by natural disasters in 2018 and 2019. Lord knows there were enough of them to last most farmers a lifetime.

The U.S. Department of Agriculture’s (USDA) Farm Service Agency (FSA) today announced that signup for the Quality Loss Adjustment (QLA) Program will begin Wednesday, Jan. 6, 2021. Funded by the Further Consolidated Appropriations Act of 2020, this new program provides assistance to producers who suffered eligible crop quality losses due to natural disasters occurring in 2018 and 2019. The deadline to apply for this USDA assistance is Friday, March 5, 2021.

“Farmers and livestock producers nationwide experienced crop quality losses due to natural disasters in 2018 and 2019,” said. Bill Northey, USDA Under Secretary for Farm Production and Conservation. “We have worked diligently over the past couple of years to roll out meaningful USDA assistance programs to help alleviate the substantial financial loss experienced by so many agricultural producers, and are pleased to offer quality loss assistance as added relief. Many of the eligible producers have already received compensation for quantity losses.”

Eligible Crops

Crops eligible for USDA assistance include those for which federal crop insurance or Noninsured Crop Disaster Assistance Program(NAP) coverage is available, except for grazed crops and value loss crops, such as honey, maple sap, aquaculture, floriculture, mushrooms, ginseng root, ornamental nursery, Christmas trees, and turfgrass sod.

Additionally, crops that were sold or fed to livestock or that are in storage may be eligible; however, crops that were destroyed before harvest are not eligible. Crop quality losses occurring after harvest, due to deterioration in storage, or that could have been mitigated, are also not eligible.

Assistance is based on a producer’s harvested affected production of an eligible crop, which must have had at least a 5% quality loss reflected through a quality discount; or for forage crops, a nutrient loss, such as total digestible nutrients.

Qualifying Disaster Events

Losses must have been a result of a qualifying disaster event (hurricane, excessive moisture, flood, qualifying drought, tornado, typhoon, volcanic activity, snowstorm, or wildfire) or related condition that occurred in calendar years 2018 and/or 2019.

Assistance is available for eligible producers in counties that received a qualifying Presidential Emergency Disaster Declaration or Secretarial Disaster Designation because of one or more of the qualifying disaster events or related conditions.

Lists of counties with Presidential Emergency Disaster Declarations and Secretarial Disaster Designations for all qualifying disaster events for 2018 and 2019 are available here. For drought, producers are eligible for QLA if the loss occurred in an area within a county rated by the U.S. Drought Monitor as having a D3 (extreme drought) or higher intensity level during 2018 or 2019.

Producers in counties that did not receive a qualifying declaration or designation may still apply but must also provide supporting documentation to establish that the crop was directly affected by a qualifying disaster event.

To determine QLA eligibility and payments, FSA considers the total quality loss caused by all qualifying natural disasters in cases where a crop was impacted by multiple events.

Applying for QLA

When applying, producers are asked to provide verifiable documentation to support claims of quality loss or nutrient loss in the case of forage crops. For crops that have been sold, grading must have been completed within 30 days of harvest, and for forage crops, a laboratory analysis must have been completed within 30 days of harvest.

Some acceptable forms of documentation include sales receipts from buyers, settlement sheets, truck or warehouse scale tickets, written sales contracts, similar records that represent actual and specific quality loss information, and forage tests for nutritional values.

Payments Calculations and Limitations

QLA payments are based on formulas for the type of crop (forage or non-forage) and loss documentation submitted. Based on this documentation FSA is calculating payments based on the producer’s own individual loss or based on the county average loss. More information on payments can be found on farmers.gov/quality-loss.

FSA will issue payments once the application period ends. If the total amount of calculated QLA payments exceeds available program funding, payments will be prorated.

For each crop year, 2018, 2019 and 2020, the maximum amount that a person or legal entity may receive, directly or indirectly, is $125,000. Payments made to a joint operation (including a general partnership or joint venture) will not exceed $125,000, multiplied by the number of persons and legal entities that comprise the ownership of the joint operation. A person or legal entity is ineligible for QLA payment if the person’s or legal entity’s average Adjusted Gross Income exceeds $900,000, unless at least 75% is derived from farming, ranching or forestry-related activities.

Future Insurance Coverage Requirements

All producers receiving QLA Program payments are required to purchase crop insurance or NAP coverage for the next two available crop years at the 60% coverage level or higher. If eligible, QLA participants may meet the insurance purchase requirement by purchasing Whole-Farm Revenue Protection coverage offered through USDA’s Risk Management Agency.

More Information

For more information, visit farmers.gov/quality-loss, or contact your local USDA Service Center. Producers can also obtain one-on-one support with applications by calling 877-508-8364.

All USDA Service Centers are open for business, including those that restrict in-person visits or require appointments. All Service Center visitors wishing to conduct business with FSA, Natural Resources Conservation Service, or any other Service Center agency should call ahead and schedule an appointment. Service Centers that are open for appointments will pre-screen visitors based on health concerns or recent travel, and visitors must adhere to social distancing guidelines. Visitors are also required to wear a face covering during their appointment. Our program delivery staff will continue to work with our producers by phone, email and using online tools. More information can be found at farmers.gov/coronavirus.

August 11, 2020August 11, 2020

CFAP commodities list expands at USDA

CFAP continues to expand its assistance to American farmers and ranchers.

“We are standing with America’s farmers and ranchers to ensure they get through this pandemic and continue to produce enough food and fiber to feed America and the world,” Perdue says. “That is why he authorized this $16 billion worth of direct support in the CFAP program and today we are pleased to add additional commodities eligible to receive much needed assistance. CFAP is just one of the many ways USDA is helping producers weather the impacts of the pandemic. USDA is leveraging many tools to help producers, including deferring payments on loans and adding flexibilities to crop insurance and reporting deadlines

Background:

USDA collected comments and supporting data for consideration of additional commodities through June 22, 2020. The following additional commodities are now eligible for CFAP:

· Specialty Crops – Aloe leaves, bananas, batatas, bok choy, carambola (star fruit), cherimoya, chervil (French parsley), citron, curry leaves, daikon, dates, dill, donqua (winter melon), dragon fruit (red pitaya), endive, escarole, filberts, frisee, horseradish, kohlrabi, kumquats, leeks, mamey sapote, maple sap (for maple syrup), mesculin mix, microgreens, nectarines, parsley, persimmons, plantains, pomegranates, pummelos, pumpkins, rutabagas, shallots, tangelos, turnips/celeriac, turmeric, upland/winter cress, water cress, yautia/malanga, and yuca/cassava.

· Non-Specialty Crops and Livestock – Liquid eggs, frozen eggs, and all sheep. Only lambs and yearlings (sheep less than two years old) were previously eligible.

· Aquaculture – catfish, crawfish, largemouth bass and carp sold live as food fish, hybrid striped bass, red drum, salmon, sturgeon, tilapia, trout, ornamental/tropical fish, and recreational sportfish.

· Nursery Crops and Flowers – nursery crops and cut flowers.

Other changes to CFAP include:

· Seven commodities – onions (green), pistachios, peppermint, spearmint, walnuts and watermelons – are now eligible for Coronavirus Aid, Relief, and Economic Stability (CARES) Act funding for sales losses. Originally, these commodities were only eligible for payments on marketing adjustments.

· Correcting payment rates for onions (green), pistachios, peppermint, spearmint, walnuts, and watermelons.

Additional details can be found in the Federal Register in the Notice of Funding Availability and Final Rule Correction and at www.farmers.gov/cfap.

Producers Who Have Applied:

To ensure availability of funding, producers with approved applications initially received 80 percent of their payments. The Farm Service Agency (FSA) will automatically issue the remaining 20 percent of the calculated payment to eligible producers. Going forward, producers who apply for CFAP will receive 100 percent of their total payment, not to exceed the payment limit, when their applications are approved.

Applying for CFAP:

Producers, especially those who have not worked with FSA previously, can call 877-508-8364 to begin the application process. An FSA staff member will help producers start their application during the phone call.

On farmers.gov/cfap, producers can:

Ag Secretary Sonny Perdue announced that his agency is making more commodities eligible for assistance under the Coronavirus Food Assistance Program. The USDA is also extending the application deadline for the program to September 11. After the agency looked through over 1,700 public comments and other data, the move means more farmers and ranchers will get the assistance they need to help keep their operations afloat through tough times.

“We are standing with America’s farmers and ranchers to ensure they get through this pandemic and continue to produce enough food and fiber to feed America and the world,” Perdue says. “That is why he authorized this $16 billion worth of direct support in the CFAP program and today we are pleased to add additional commodities eligible to receive much needed assistance. CFAP is just one of the many ways USDA is helping producers weather the impacts of the pandemic. USDA is leveraging many tools to help producers, including deferring payments on loans and adding flexibilities to crop insurance and reporting deadlines.”

Background:

USDA collected comments and supporting data for consideration of additional commodities through June 22, 2020. The following additional commodities are now eligible for CFAP:

· Specialty Crops – aloe leaves, bananas, batatas, bok choy, carambola (star fruit), cherimoya, chervil (French parsley), citron, curry leaves, daikon, dates, dill, donqua (winter melon), dragon fruit (red pitaya), endive, escarole, filberts, frisee, horseradish, kohlrabi, kumquats, leeks, mamey sapote, maple sap (for maple syrup), mesculin mix, microgreens, nectarines, parsley, persimmons, plantains, pomegranates, pummelos, pumpkins, rutabagas, shallots, tangelos, turnips/celeriac, turmeric, upland/winter cress, water cress, yautia/malanga, and yuca/cassava.

· Non-Specialty Crops and Livestock – liquid eggs, frozen eggs, and all sheep. Only lambs and yearlings (sheep less than two years old) were previously eligible.

· Nursery Crops and Flowers – nursery crops and cut flowers.

Other changes to CFAP include:

· Correcting payment rates for onions (green), pistachios, peppermint, spearmint, walnuts, and watermelons.

Additional details can be found in the Federal Register in the Notice of Funding Availability and Final Rule Correction and at www.farmers.gov/cfap.

Producers Who Have Applied:

Applying for CFAP:

On farmers.gov/cfap, producers can:

· Download the AD-3114 application form and manually complete the form to submit to their local USDA Service Center by mail, electronically or by hand delivery to their local office or office drop box.

· Complete the application form using the CFAP Application Generator and Payment Calculator. This Excel workbook allows customers to input information specific to their operation to determine estimated payments and populate the application form, which can be printed, then signed and submitted to their local USDA Service Center.

· If producers have login credentials known as eAuthentication, they can use the online CFAP Application Portal to certify eligible commodities online, digitally sign applications and submit directly to the local USDA Service Center.

All other eligibility forms, such as those related to adjusted gross income and payment information, can be downloaded from farmers.gov/cfap. For existing FSA customers, these documents are likely already on file.

All USDA Service Centers are open for business, including some that are open to visitors to conduct business in person by appointment only. All Service Center visitors wishing to conduct business with FSA, Natural Resources Conservation Service or any other Service Center agency should call ahead and schedule an appointment. Service Centers that are open for appointments will pre-screen visitors based on health concerns or recent travel, and visitors must adhere to social distancing guidelines. Visitors are also required to wear a face covering during their appointment. Our program delivery staff will be in the office, and they will be working with our producers in the office, by phone and using online tools. More information can be found at farmers.gov/coronavirus.

More information can be found at farmers.gov/coronavirus.

June 19, 2019June 19, 2019

Minnesota Dairy Farmers Eligible for Assistance

Dairy farmers have had a tough go of it lately as milk prices continue to struggle. The Minnesota Department of Agriculture (MDA) is rolling out its new Dairy Assistance, Investment and Relief Initiative (DAIRI) program to provide financial assistance for farmers. To be eligible, the state’s milk producers have to sign up for five years of coverage in the USDA Farm Service Agency’s Dairy Margin Coverage (DMC) program.

“Minnesota farmers are the cornerstone of our state’s economy,” said Governor Tim Walz. “We know that this has been a tough year for agriculture, and our dairy farmers need our support. I’m proud that our budget secured $8 million for the Dairy Assistance, Investment and Relief Initiative, The new initiative will help make sure our dairy farmers can continue doing the work they love and providing for our state.”

Applications to the program are being accepted now through October 1, 2019. In order to qualify, Minnesota farmers must have produced less than 160,000 cwt (hundredweight) of milk in 2018. Again, they also need to have signed up for five years of coverage through the DMC program during its current enrollment period, which is open between June 17, 2019 and September 20, 2019.

The MDA will issue payments on a rolling basis. Producers can expect to receive their first payments roughly two to four weeks after successfully applying. Minnesota dairy farmers will be paid based on production levels, up to 50,000 cwt of milk produced in 2018.

An application form, a W9, a copy of their DMC enrollment form, and a statement from their processor(s) detailing the amount of milk produced in 2018 are all required to complete an application.

Dairy farmers may receive a second payment this fall after the application period has ended, depending on remaining available funds.

Additional information and the application forms are available at https://www.mda.state.mn.us/dairi.