FSA 2014 Farm Bill Training Colorado Producer Meetings 1

Transcription

1 FSA 2014 Farm Bill Training Colorado Producer Meetings 1

2 Chuck Hanagan County Executive Director Otero and Crowley Counties USDA is an equal opportunity provider, employer, and lender.

3 Livestock Programs Prior to 2014 many livestock programs were ADHOC or approved by Congress upon the determination of need. This lead to a problem of timeliness!

4 Livestock Programs Prior to 2014 many livestock programs were ADHOC or approved by Congress upon the determination of need. This lead to a problem of timeliness! The 2014 Farm Bill Established several programs as permanent legislation allowing producers to utilize these programs as a risk management tool!

5 Livestock Programs Livestock Indemnity Program (LIP) Emergency Assistance for Livestock, Honey Bees, and Farm raised Fish Program (ELAP) Livestock Forage Program (LFP) Other FSA Programs which may be beneficial to ranchers Non-insured Crop Disaster Assistance Program (NAP) FSA Farm Loan Program Micro Loans

6 Livestock Indemnity Program - Must be eligible livestock deaths in excess of normal mortality caused by eligible loss conditions, including eligible adverse weather, eligible disease and eligible attacks - Eligible Livestock Owner owned on the date of death. - Must file a notice of the loss with the FSA office within 30 days of the loss of livestock. - Payments are determined by a National rate. - Good Records are Essential.

7 Emergency Assistance for Livestock, Honey Bees, and Farm-raised Fish (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, including blizzards and wildfires, as determined by the Secretary. ELAP assistance is provided for losses not covered by other disaster assistance programs authorized by the 2014 Farm Bill, such as losses not covered by the Livestock Forage Disaster Program (LFP) and the Livestock Indemnity Program (LIP).

8 Emergency Assistance for Livestock, Honey Bees, and Farm-raised Fish (ELAP) Hopefully you re visiting the County Office once a year to report acres, and update records such as leases, purchases & sales. This is when we also check to make sure we ve got a good address & cell numbers. These are our tools for reaching out after fires, floods, blizzards and hails. We try to remind you that you need to keep us in the loop but in the end it s the producers responsibility to keep records up to date and timely report losses!

9 Livestock Forage Program (LFP) & Noninsured Crop Disaster Assistance Program (NAP)

10 Livestock Forage Program (LFP) Compensates eligible livestock producers who have suffered grazing losses for covered livestock on land that is native or improved pastureland with permanent vegetative cover or is planted specifically for grazing. The grazing losses must be due to a qualifying drought condition during the normal grazing period for the county.

11 Livestock Forage Program (LFP) Eligible Livestock Eligible Pasture Eligible Drought County Eligiblity is based on the Drought Monitor Designation D2 Drought for 8 consecutive weeks of the grazing period = payment factor of 1 D3 Drought = payment factor of 3 or D3 for 4 weeks = payment factor of 4 D4 Drought = payment factor of 4 or a D4 for 4 weeks = payment factor of 5

12 Kansas, Colorado, Utah, New Mexico California, Arizona, Oklahoma and Texas Are being affected by a large 2018 Drought designation. Livestock Forage Program (LFP)

13 Livestock Forage Program (LFP) Monthly Feed Cost Payment Rates For Covered Livestock Cows & Bulls $ Non Adult Beef over 500#s $ Horses $ Sheep & Goats $ 7.02 FSA pays at 60% of the feed needs X the monthly payment factor.

14 Livestock Forage Program (LFP) The monthly payment rate will be equal to 60 percent of the lesser of either the monthly feed cost: for all covered livestock owned or leased by the eligible livestock producer calculated by using the normal carrying capacity of the eligible grazing land of the eligible livestock producer. Native Grass Otero & Crowley Counties 20ac./ AU.

15 Livestock Forage Program (LFP) Rancher owns 3,700 ac of native grass & 205 cows & 5 bulls Carrying capacity Cal. Actual Feed needs 3,700 ac. / AU s = 185 AU Lessor of the two Rancher will be paid based on Carrying Capacity 185 x = $5,193 x 60% = $3,116 x the # of months!

16 Livestock Forage Program (LFP) 2018 LFP applications have to be completed in the appropriate FSA office by January 30 th Applications are filed in the FSA office which holds your Farm Records. As with all FSA programs producers must be compliant with all other eligibility requirements including but not limited to; Adjusted Gross Income Requirements. Payment limitation requirements. Conservation Compliance provisions. Acreage reporting requirements.

17 Noninsured Crop Disaster Assistance Program (NAP) NAP provides financial assistance to producers of noninsurable crops to protect against natural disasters. Eligible crops include: Crops planted and grown for livestock consumption, such as grain and forage crops, including native forage; NAP provides basic coverage equivalent to the catastrophic level risk protection plan of insurance coverage, which is based on the amount of loss that exceeds 50 percent of expected production at 55 percent of the average market price for the crop. Loss levels are determined on a county wide basis using 2 independent assessments.

18 Noninsured Crop Disaster Assistance Program (NAP) Example: Crowley County, CO 20 ac. /AU / 200 day grazing period. Rancher has 3,700 acres /20 ac per AU = 185 AU s x 200 days = 37,000 AUDs 2018 FSA established daily feed value = $1.099 x AUD s = pasture value of $40,663 NAP is a 50/55 policy The first 50 of value must be lost before benefits begin. Approved Loss level of 70% $40,663 x 50% = $20,332 loss with no reimbursement $40,663 x 70% = $28,464 - $20,332 = $8,132 x 55% = $4,473 NAP grass payment

19 Noninsured Crop Disaster Assistance Program (NAP) Application deadline for perineal feed including native range and improved grass pasture is December 1 st The NAP service fee is the lesser of $250 per crop or $750 per producer per administrative county, not to exceed a total of $1,875 for a producer with farming interests in multiple counties. Beginning, limited resource and targeted underserved farmers or ranchers are eligible for a waiver of the service fee upon completion of a CCC-860 Socially Disadvantaged, Limited Resource and Beginning Farmer or Rancher Certification.

20 Due to the ongoing drought the Colorado State FSA Committee approved CRP Acres for emergency grazing up to 90 calendar days, not to exceed September 30 and emergency haying for up to 60 calendar days, not to exceed August 31. There are multiple restrictions and requirements. CRP participants should contact their FSA office immediately if they are interested. Haying or grazing must be approved in writing by the FSA office to avoid non compliance. Emergency Grazing CRP

21 Reminders LIP Applications A Notice Of Loss must be filed within 30 days of when the loss became apparent! LFP Applications - must be completed in the FSA Office within 30 calendar days after the end of the calendar year in which the grazing loss occurred ELAP - application period ends no later than Nov. 1 after the end of the program year in which the livestock, honeybee and/or farm-raised fish loss occurred. Acreage Reporting Native grass and perennial pastures must be reported by November 15 th.

22 Reminders Good Records = Proper Payments Leases, purchases and sales of property Change in farming entity, Are you now a LLP, a LLC or a General Partnership! We don t know if you don t tell us! GovDelivery & Text Messages! FSA no longer sends newsletter by direct mail. All notifications are made by and text messaging. Please made sure FSA has your correct . To sign up for text messaging Text CO_(your County Name)_ to FSANOW COOtero to

23 Questions? Otero Crowley FSA Office ext. 2

24 Image showing a huge dust storm moving towards a hill and through Eastern Colorado. Courtesy of Library of Congress Dust storm, Baca County, Colorado during the Great Depression.L Kernodle, Library of Congress Great Progress has been made in conservation across Colorado s Eastern Plains!