Farm Service Agency Programs Overview

Transcription

1 Farm Service Agency Programs Overview FSA Disaster Assistance

2 Farm Service Agency (FSA) Overview Part of U.S. Department of Agriculture (USDA), under the new Farm Production and Conservation mission area: Farm Service Agency (FSA) Risk Management Agency (RMA) Natural Resources Conservation Service (NRCS) FSA delivers farm programs, loans to help agricultural producers, partner organizations provide food, fuel, fiber Farm Bill FSA administers 50 federal programs authorized by 2014 Farm Bill

3 Farm Service Agency (FSA) Overview FSA in Texas Local Service, Local Impact Approximately 650 full-time FSA employees in Texas 173 Service Centers across Texas, serving all 254 counties State Office in College Station

4 Getting Started with FSA Determine Your Needs Disaster Assistance Livestock losses; Property, equipment damage Commodity, Price Support Protect against market losses Conservation Efforts Protect endangered wildlife; Reduce erosion Farm Loans Start new operation Expand production, equipment Begin specialty/niche operation Sustain farming operations FSA Texas Webpage - USDA Service Centers - offices.usda.gov

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6 Getting Started with FSA What to Bring to Your FSA Office Proof of Identity Valid driver s license, passport, other personal identification Social Security card or IRS paperwork that verifies an Employer Identification Number Original documents required Proof of farm/ranch ownership (if recording ownership) Copy of recorded deed Lease agreement (if identifying lease) Entity Identification Status (if recording entity) Articles of incorporation Trust & estate documents Partnership agreement

7 Getting Started with FSA - GovDelivery FSA s electronic news service delivers important state and local program information instantly State Newsletters, County News Bulletins, Time- Sensitive local text messages Subscribe at your local Service Center Subscribe online at on Main Page SMS Alerts: Important, time-sensitive text messages from your local FSA office Text TX and your county name (no spaces) to FSANOW (372669) Example: Recipient = FSANOW ( ) Message = TXBee

8 Disaster Assistance News Extra Time, Procedures Granted to Document and Claim Disaster Losses Agriculture Secretary Sonny Perdue announced special procedures to assist producers who lost crops or livestock or had other damage to their farms or ranches as a result of hurricanes Harvey and Irma USDA will provide additional flexibility to assist farm loan borrowers FSA authorized emergency procedures on case-by-case basis to assist impacted borrowers, livestock owners, contract growers, others

9 Disaster Assistance News Some program requirements have been temporarily adjusted for Producers affected by Hurricane Harvey Financially stressed FSA farm loan borrowers affected by the hurricanes who have received primary loan servicing applications may be eligible for 60 day extensions Deadlines to file loss for Livestock Indemnity Program (LIP) and Emergency Assistance for Livestock, Honey Bees and Farm-Raised Fish (ELAP) extended to 60 days Special provisions provided for acceptable proof of livestock death and inventory for livestock losses A complete listing of all special farm program provisions is posted at Contact your local County FSA Office for specific information related to your operation

10 FSA - General Application Requirements Adjusted Gross Income (AGI) Certification Highly Erodible and Wetland certification

11 Livestock Disaster Programs Livestock Forage Disaster Program (LFP) Livestock Indemnity Program (LIP) Emergency Assistance for Livestock, Honey Bees, and Farm-Raised Fish (ELAP) Payment limitation of $125,000 per year

12 Livestock Indemnity Program (LIP)

13 Livestock Indemnity Program (LIP) Provides benefits to livestock producers for livestock deaths in excess of normal mortality caused by adverse weather Payments are equal to 75 percent of the average fair market value of the livestock

14 Livestock Indemnity Program (LIP) Eligible Livestock Beef Cattle Dairy Cattle Beefalo Bison Goats Horses Poultry Sheep Swine Other livestock as determined by Sec. of Agriculture

15 Livestock Indemnity Program (LIP) Eligible Livestock Producers Eligible owners must legally own the eligible livestock on the day the loss occurred Eligible contract growers must be in possession of the eligible livestock a the time of the loss and have a written agreement with the eligible livestock owner setting the specific terms regarding the production of the livestock.

16 Livestock Indemnity Program (LIP) Eligibility Requirements Livestock must have died in excess of normal mortality as direct result of eligible loss condition that occurred no later than 60 calendar days from ending date of applicable adverse weather event Livestock must have been maintained for commercial use as part of a farming operation on the day they died

17 Livestock Indemnity Program (LIP) Eligibility Requirements Livestock must not have been produced for reasons other than commercial use as part of farming operation Excluded livestock includes wild free-roaming animals, pets or animals used for recreation purposes such as hunting, roping, or show

18 Livestock Indemnity Program (LIP) Application Requirements Participant must provide Notice of Loss within 30 calendar days of when loss of livestock is apparent to producer Complete application for payment and provide required supporting documentation for loss no later than 90 calendar days after end of calendar year in which eligible loss condition occurred

19 Livestock Indemnity Program (LIP) Death Loss Supporting Documentation Beginning and ending inventories for type/kind and weight range of livestock Type of adverse weather Proof of Death

20 Livestock Indemnity Program (LIP) Death Loss Supporting Documentation (Cont d) Type of documentation: Photographs/video to document loss, date if possible Purchase records, veterinarian records, production records, bank or other loan documents Written contracts, records assembled for tax purposes, private insurance documents Other similar reliable documents Adequate proof that eligible livestock deaths occurred as direct result of eligible adverse weather event

21 Livestock Indemnity Program (LIP) How to Apply for 2017 LIP File a Notice of Loss within 30 calendar days of when loss of livestock is apparent to producer Application Deadline is March 31, 2018 for 2017 losses Call your County FSA Office for appointment

22 Livestock Disaster Assistance Programs Livestock Indemnity Program Application

23 Livestock Disaster Assistance Programs Livestock Indemnity Program Application

24 Emergency Assistance for Livestock, Honey Bees, and Farm-Raised Fish (ELAP)

25 Emergency Assistance for Livestock, Honey Bees, and Farm-Raised Fish (ELAP) Provides emergency assistance to eligible producers of livestock, honeybees and farm-raised fish for losses due to disease (including cattle tick fever), adverse weather, or other conditions, such as blizzards and wildfires, as determined by the Secretary of Agriculture, not covered by LFP and LIP.

26 Emergency Assistance for Livestock, Honey Bees, and Farm-Raised Fish (ELAP) Covered Losses: Livestock Feed Losses Livestock Grazing Losses Honeybee Colony Losses Honeybee Hives Losses Honeybee Feed Losses Bait and Game Fish Losses Aquatic Species Feed Losses

27 Emergency Assistance for Livestock, Honey Bees, and Farm-Raised Fish (ELAP) Application Requirements for 2017 Losses Must provide Notice of Loss within 30 calendar days of when loss of livestock is apparent to producer Complete application for payment and provide required supporting documentation for loss no later than November 1, 2017 Call your local County FSA Office for appointment

28 Noninsured Crops Disaster Assistance Program (NAP)

29 Noninsured Crop Disaster Assistance Program (NAP) Available for crops not covered by RMA Financial assistance to producers of non-insurable crops impacted by natural disaster resulting in lower yields, crop losses, or prevents crop planting NAP Coverage must be purchased by crop application closing date

30 Noninsured Crop Disaster Assistance Program (NAP) Basic coverage 50% yield at 55% price Service Fees $250 per crop, or $750 per person per administrative county, or $1,875 for producer farming in multiple counties May also elect buy-up protection for individual crop at 50%, 55%, 60%, 65% of yield at 100% of price Buy-up coverage requires NAP service fee plus a premium which equals 5.25% of liability Grazed crops are not eligible for buy-up

31 Noninsured Crop Disaster Assistance Program (NAP) Eligible Causes of Loss Include: Drought Excessive Wind/Tornado/Hurricane Freeze Hail Flood/Excessive Moisture Earthquake Conditions related to damaging weather or adverse natural occurrence; disease, insect infestation, heat, sufficient chill hours

32 Noninsured Crop Disaster Assistance Program (NAP) After purchase, Producer must: Timely report/certify crop acreage File Notice of Loss Turn in crop production File Application for Payment

33 Noninsured Crop Disaster Assistance Program (NAP)

34 Noninsured Crop Disaster Assistance Program (NAP)

35 Tree Assistance Program (TAP)

36 Tree Assistance Program (TAP) Assistance for eligible orchardist, nursery tree growers to replant or rehabilitate trees, bushes, vines lost as result of eligible natural disaster

37 Tree Assistance Program (TAP) Eligibility Conditions Mortality above and below ground as result of eligible natural disaster event Stand must have sustained mortality loss in excess of 18% after adjusted for normal mortality Damaged trees, bushes, vines no longer commercially viable; may be considered dead in determining mortality threshold Applicants who suffer eligible tree, bush, vine loss must provide application and supporting documentation to FSA within 90 calendar days of each disaster event or date when loss is apparent to producer

38 Tree Assistance Program (TAP) Eligible producers may be reimbursed for cost of replanting/rehabilitating trees damaged in excess of 18% mortality as follows: Replanting and cost of seedlings or cuttings for tree, bush, vine replacement; the lesser of either: 65% of actual total cost of practice Total calculated using rates established by DAFP for practice Cost of pruning, removal, other costs incurred for salvaging existing trees, bushes, vines; in case of mortality, to prepare land to replant trees, bushes, vines, the lesser of: 50% of actual cost of practice Total calculated using rates established by DAFP for practice

39 Tree Assistance Program (TAP)

40 Tree Assistance Program (TAP)

41 Tree Assistance Program (TAP)

42 Tree Assistance Program (TAP)

43 Tree Assistance Program (TAP)

44 Emergency Grazing of Conservation Reserve Program (CRP)

45 Emergency Grazing of Conservation Reserve Program (CRP) Emergency grazing limited to livestock producers who suffered pasture losses due to Hurricane Harvey Beginning September 13, 2017, livestock owned by an eligible producers affected by Hurricane Harvey may graze eligible CRP land for period of 60 days

46 Emergency Grazing of Conservation Reserve Program (CRP) To ensure emergency grazing is only utilized by producers whose grazing land was adversely impacted by Hurricane Harvey, eligibility may be determined by either a CCC-576 or written self certification CRP acreage eligible for emergency grazing includes practices CP1, CP2, CP4B, CP4D, CP10, CP18B, CP18C, and CP38 if included in the approved SAFE proposal

47 Emergency Conservation Program (ECP)

48 Emergency Conservation Program (ECP) Provides emergency funding and technical assistance to farmers and ranchers to rehabilitate farmland damaged by natural disasters ECP participants may receive cost-share assistance of up to 75% of cost to implement approved emergency conservation practices

49 Emergency Conservation Program (ECP) ECP Eligibility To rehabilitate farmland, ECP participants implement emergency conservation practices: Debris removal from farmland Grading, shaping or leveling land Restoring livestock fences Restoring Conservation structures

50 Emergency Conservation Program (ECP) ECP Eligibility Requirements Items eligible for cost-share assistance include cost to rehabilitate or replace damaged land or structures: New or used materials Services Labor Sales tax

51 Emergency Conservation Program (ECP) ECP Eligible Land Eligible land must be physically located in county or portion of county approved for ECP For land to be eligible, natural disaster must create new conservation problems that, if untreated, would: Impair or endanger land Materially affect land s productive capacity Represent unusual damage not type likely to recur frequently in same area Be so costly to repair that federal assistance required to return land to productive agricultural use Conservation problems existing before the applicable disaster event are ineligible for ECP assistance

52 Emergency Conservation Program (ECP) ECP Eligible Restoration Cost Considerations The minimum performance necessary to resolve problems that are corrected by ECP practice must meets current NRCS standards and specifications Payments limited to restoring structures and other installations to current NRCS technical standards and specifications ECP participants must pay additional cost incurred to improve land and structures beyond minimum NRCS technical standards and specifications No relief authorized for conservation problems existing before a disaster event occurs

53 Emergency Conservation Program (ECP) Site Inspection/Damage Documentation Document Damage with: Maps Dated/time-stamped photographs GPS coordinates Description of magnitude of damaged or destroyed fencing, conservation structures, farmland

54 Emergency Conservation Program (ECP) ECP Application Cost-share assistance limited to $200,000 per person or legal entity per disaster Minimum qualifying cost of restoration is $1,000 per participant or $250 for producers certifying as limited resource Relief for starting a practice before filing an application may be granted on case-by-case basis; Example includes restoring fences to contain livestock

55 Emergency Conservation Program (ECP) ECP Application (Cont d) The following counties are approved to implement ECP: Aransas Chambers Grimes Lavaca Polk Waller Austin Colorado Hardin Lee Refugio Washington Bastrop DeWitt Harris Liberty Sabine Wharton Bee Fayette Jefferson Matagorda San Jacinto Brazoria Fort Bend Jasper Montgomery San Patricio Brazos Galveston Jefferson Newton Tyler Burleson Goliad Karnes Nueces Victoria Calhoun Gonzales Kleberg Orange Walker

56 Emergency Conservation Program (ECP) ECP Application (Cont d) Producers should inquire with local FSA county office regarding ECP enrollment periods; Signup period shall be at least 30 calendar days, but no more than 60 calendar days, from date ECP is implemented FSA county office will accept a producer s request at anytime, but request does not guarantee approval or eligibility

57 FSA Seed Cotton Loans Seed cotton loans are farm-stored recourse loans made on cotton before it is ginned Seed cotton loans are available for Upland or ELS cotton through March 31 All seed cotton loans mature no later than May 31 If the cotton is sold, producer must repay principal plus interest and charges immediately

58 FSA Seed Cotton Loans Not eligible to be forfeited or repaid with commodity certificates Cotton modules serve as collateral Loan rate is base loan rate for upland cotton cents per pound

59 FSA Seed Cotton Loans Seed cotton loans are repaid at principal plus interest with either: Proceeds of ginned-cotton placed into loan or Cash redemption by producer before module is ginned

60 FSA Seed Cotton Loans Seed cotton must be insured at full loan value against loss, damage by fire Eligibility is same for regular Marketing Assistance Loans

61 FSA Seed Cotton Loans Producers must provide the following when requesting seed cotton loan: Farm number where cotton was produced Module numbers Location where modules are stored Producer should indicate: He/she is member of CMA or works with LSA and If Baled cotton is intended for Marketing Assistance Loan

62 Emergency Loans

63 Emergency Loans Provides financial assistance to family farmers who suffer qualifying production and/or physical losses as result of disaster Maximum amount is $500,000 up to 100% of actual production or physical losses Interest Rate is 3.75%

64 Emergency Loans How to Qualify Farm operation is in county declared disaster by President or Secretary of Agriculture Suffered at least 30% loss in crop production or experienced physical loss to livestock, equipment, or real estate

65 Emergency Loans May be used to: Restore or replace essential property Pay essential family living and farm operating expenses Refinance farm-related debts other than real estate to improve farm profitability

66 Emergency Loans Calculating Loss Amount of loan based on amount of loss suffered Applicant will use Agency Form FSA-2309 to report all yields, acreage information, physical losses to FSA

67 Emergency Loans Repayment Terms Annual Operating Loans must be repaid within 12 months Loans for production or physical losses may not exceed 7 years Term may be extended up to 20 years to improve repayment ability if real estate security is available

68 Emergency Loans Collateral All Emergency Loans must be fully secured Applicants will provide additional security, if available, up to 150% of loan amount A lien must be taken on all non-essential assets worth $5,000 or more, if asset cannot be sold to reduce loan amount

69 Emergency Loans Collateral (Cont d) For real estate loans, must be secured by real estate being purchased, repaired, replaced, improved For chattel and production losses, must be secured by chattel being purchased, repaired, replaced, refinanced, or produced

70 Emergency Loans Eligibility Summary Unable to obtain sufficient commercial financing No previous Direct or Guaranteed Loan resulting in loss to agency No delinquency on any Federal Debt Must agree to repay any duplicative Federal assistance to agency providing assistance (assignments will be taken on disaster programs)

71 Emergency Loans Eligibility Summary (Cont d) Presidential Disaster Declaration M4332 covers damages and losses caused by Hurricane Harvey occurring August 23, 2017, and continuing Timely Loan Application: Presidential Disaster Declaration M Amendments to M4332 (as of September 30, 2017) Filing deadline varies; different for each Amendment Original M4332 = April 25, 2018 M4332, Amendment 9 = May 21, 2018 Meet with Local FSA staff for applicable deadlines

72 FSA Farm Loan Programs

73 FSA Farm Loan Programs In addition to Emergency Farm Loan authority, FSA can: Make Direct Farm Loans Issue Farm Loan Guarantees to participating Commercial Lenders

74 FSA Farm Loan Types Direct Loan Program Funded by FSA; Congressional appropriations Direct Operating Loans Direct Farm Ownership Loans Microloans Emergency Loans Youth Loans Guaranteed Loan Program From USDA-approved commercial lenders Farm Operating Loans o Line of Credit Farm Ownership Conservation Loans Land Contract Guarantee

75 FSA Farm Loan Programs Designed to help eligible family farmers, ranchers start, expand, change operation All loan programs considered temporary source of credit Borrower expected to return to conventional credit sources

76 Farm Service Agency For More Information Contact: