Farm Bill Meeting Scott County

Farm Bill Meeting Scott County David Reinbott Agriculture Business Specialist P.O. Box 187 Benton, MO 63736 (573) 545-3516 http://extension.missouri.edu/scott/agriculture.aspx reinbottd@missouri.edu

1. Attend Another Meeting February 3 - Cotton Meeting 8:30 a.m. 3:00 p.m. Farm Bill topics after lunch, Fisher Delta Research Center February 19 - Rice Meeting 8:30 a.m. 3:00 p.m., Farm Bill topics after lunch, Dexter Eagles

Upcoming FSA/Extension Meetings January 28-9:00 a.m. to 11:00 a.m., Dexter Eagles Lodge, Dexter February 3-1:00 p.m. to 3:00 p.m., Fisher Delta Research Center, Portageville February 9-7:00 p.m. to 9:00 p.m., Cape County Extension Office, Jackson February 19-1:00 p.m. to 3:00 p.m., Dexter Eagles Lodge, Dexter

2. Farm Bill Web Sites 2014 Farm Bill Web Site : http://extension.missouri.edu/scott/farmbill.aspx Or type David Reinbott in Google, at my Web Site click 2014 Farm Bill link University FSA and USDA FAPRI Monthly Farm Price Crop Update Risk Management Agency (RMA) National Cotton Council - http://www.cotton.org/ University and FSA - Tools and Calculators Dates of upcoming Farm Bill Meetings

3. Review your FSA letter Current base acres Current payment yields (CC yields) Historical planted acres Yield update (08-12) Base reallocation (09-12)

Marketing Year Average Price (MYA) Marketing Year Average Price is the weighted average price received by farmers for their crops sold during the marketing year as calculated by NASS.

Average prices are then weighted by month to reflect the percent of crop sold that month 5 year avg. used throughout the year to estimate actual marketing weights for that year are used to create the final season-average price 5 Year Average Month Corn Soybeans September 7.5% 7.3% October 13.0% 24.8% November 11.4% 11.7% December 9.0% 9.5% January 14.1% 15.8% February 7.4% 7.6% March 8.2% 5.9% April 6.1% 4.2% May 5.2% 3.3% June 5.9% 3.5% July 6.4% 3.6% August 5.8% 2.7%

Here are the national average prices so far this 2014/15 marketing year These will be revised The November numbers were just a mid-month snapshot, so they will probably change a lot Can even be small changes in earlier months as USDA gets more information Month Corn Soybeans September 3.48 10.90 October 3.56 9.97 November 3.58 10.20 December 3.78 10.30 January?? February?? March?? April?? May?? June?? July?? August??

Marketing Year Average Price Calculations - % Corn Year to Date Soybeans Year to Date Milo Year to Date Sept 7.5 7.3 5.9 Oct 13 20.5 24.8 32.1 12.4 18.3 Nov 11.4 31.9 11.7 43.8 16.6 34.9 Dec 9 40.9 9.5 53.3 13.3 48.2 Jan 14.1 55 15.8 69.1 11 59.2 Feb 7.4 62.4 7.6 76.7 5.1 64.3 March 8.2 70.6 5.9 82.6 4.7 69 Apr - Aug 29.4 17.4 31

Marketing Year Average Price Calculations - % Year to Wheat Date June 13.0 July 19.3 32.3 Aug 13.3 45.6 Sept 9.1 54.7 Oct 6.3 61.0 Nov 4.9 65.9 Dec 6.6 72.5 Jan 7.6 80.1 Feb 5.2 85.3 March 6.0 91.3 Apr - Aug 8.7

Marketing Year Average Price Calculations - Corn Year to Corn % Monthly Price % of Price Date Price -% Year to Date % Sept 7.50% $3.48 $0.26 $0.26 Oct 13.00% $3.56 $0.46 $0.72 20.50% Nov 11.40% $3.58 $0.41 $1.13 31.90% Dec 9.00% $3.78 $0.34 $1.47 40.90% Jan 14.10% $0.00 $1.47 55.00% Feb 7.40% $0.00 $1.47 62.40% March 8.20% $0.00 $1.47 70.60% April 6.10% $0.00 $1.47 76.70% May 5.20% $0.00 $1.47 81.90% June 5.90% $0.00 $1.47 87.80% July 6.40% $0.00 $1.47 94.20% August 5.80% $0.00 $1.47 100.00% MYAve $3.65 $3.69 MYLow $3.35 $3.18 MYHigh $3.95 $4.19 Ref Pr $3.70 $3.77

Marketing Year Average Price Calculations - Soybeans Year to Corn % Monthly Price % of Price Date Price -% Year to Date % Sept 7.30% $10.90 $0.80 $0.80 Oct 24.80% $9.97 $2.47 $3.27 32.10% Nov 11.70% $10.20 $1.19 $4.46 43.80% Dec 9.50% $10.30 $0.98 $5.44 53.30% Jan 15.80% $0.00 $5.44 69.10% Feb 7.60% $0.00 $5.44 76.70% March 5.90% $0.00 $5.44 82.60% April 4.20% $0.00 $5.44 86.80% May 3.30% $0.00 $5.44 90.10% June 3.50% $0.00 $5.44 93.60% July 3.60% $0.00 $5.44 97.20% August 2.80% $0.00 $5.44 100.00% MYAve $10.20 $10.19 MYLow $9.45 $8.59 MYHigh $10.95 $11.80 Ref Pr $8.40 $6.34

Marketing Year Average Price Calculations - Wheat Year to Corn % Monthly Price % of Price Date Price -% Year to Date % June 13.00% $6.49 $0.84 $0.84 July 19.30% $6.16 $1.19 $2.03 32.30% August 13.30% $5.98 $0.80 $2.83 45.60% Sept 9.10% $5.74 $0.52 $3.35 54.70% Oct 6.30% $5.71 $0.36 $3.71 61.00% Nov 4.90% $6.05 $0.30 $4.01 65.90% Dec 6.60% $6.11 $0.40 $4.41 72.50% Jan 7.60% $0.00 $4.41 80.10% Feb 5.20% $0.00 $4.41 85.30% March 6.00% $0.00 $4.41 91.30% April 4.60% $0.00 $4.41 95.90% May 4.10% $0.00 $4.41 100.00% MYAve $6.10 $6.15 MYLow $5.90 $5.42 MYHigh $6.30 $6.87 Ref Pr $5.50 $3.96

Marketing Year Average Price Calculations - Grain Sorghum Year to Corn % Monthly Price % of Price Date Price -% Year to Date % Sept 5.90% $3.66 $0.22 $0.22 Oct 12.40% $3.50 $0.43 $0.65 18.30% Nov 16.60% $3.69 $0.61 $1.26 34.90% Dec 13.30% $4.11 $0.55 $1.81 48.20% Jan 11.00% $0.00 $1.81 59.20% Feb 5.10% $0.00 $1.81 64.30% March 4.70% $0.00 $1.81 69.00% April 3.60% $0.00 $1.81 72.60% May 2.50% $0.00 $1.81 75.10% June 4.40% $0.00 $1.81 79.50% July 10.40% $0.00 $1.81 89.90% August 10.10% $0.00 $1.81 100.00% MYAve $3.80 $3.84 MYLow $3.50 $3.26 MYHigh $4.10 $4.42 Ref Pr $3.95 $4.13

Price Loss Coverage (PLC) Payment is made if Marketing Year average Price is less than the Reference Price Marketing Year Average Price is the weighted average price received by farmers for their crops sold during the marketing year as calculated by NASS.

PLC Reference Prices Crop Reference Price Payment Price Jan Rate Corn $3.70 $3.65 $0.05 Soybeans $8.40 $10.20 $0.00 Grain Sorghum $3.95 $3.80 $0.15 Wheat $5.50 $6.10 $0.00 Rice (LG) $6.30 $5.49 $0.81

Oats Reference Price - $2.40 2014-15 2015-16 2016-17 2017-18 2018-19 FAPRI - prices $3.26 $3.18 $3.15 $3.15 $3.19 Price Diff. -$0.86 -$0.78 -$0.75 -$0.75 -$0.79 Yield - bushels 39 39 39 39 39 Payment -$33.54 -$30.42 -$29.25 -$29.25 -$30.81 PLC 85% -$29 -$26 -$25 -$25 -$26

Canola Reference Price - $0.2015 2014-15 2015-16 2016-17 2017-18 2018-19 FAPRI - prices $0.1676 $0.1554 $0.1609 $0.1659 $0.1725 Price Diff. $0.0339 $0.0461 $0.0406 $0.0356 $0.0290 Yield - pounds 858 858 858 858 858 Payment $29.09 $39.55 $34.83 $30.54 $24.88 PLC 85% $25 $34 $30 $26 $21

FAPRI Price Projections (1/12/15) 2014 2015 2016 2017 2018 Corn 3.63 3.81 3.83 3.84 3.92 Soybeans 10.02 8.76 9.11 9.41 9.79 Wheat 6.13 5.14 5.19 5.38 5.63 Sorghum 3.80 3.58 3.55 3.69 3.81 Rice (LG) 5.51 5.63 5.57 5.62 5.70 Cotton 61.35 60.16 59.17 60.27 61.90

Supplemental Coverage Option (SCO) is available only for crops enrolled in Price Loss Coverage (PLC) program. SCO covers county losses on insured crops from the level of insurance to 86% of loss. Federal Government pays 65% of premium cost Tied to crop insurance. If insurance is revenue protection, SCO is revenue protection; yield protection, SCO is yield protection.

Supplemental Coverage Option (SCO) Crop insurance program (RMA administered) New crop insurance option available for 2015 crop year To be eligible a covered commodity cannot be enrolled in ARC or cotton acres can not be covered by STAX Provides additional coverage on top of your underlying insurance policy You must have an underlying insurance policy (Yield Protection, Revenue Protection, or Revenue Protection with the Harvest Price Exclusion) SCO follows the coverage of your underlying policy If your underlying policy covers yield loss SCO covers yield loss If your underlying policy covers revenue loss SCO covers revenue loss Coverage starts where the underlying insurance policy ends and covers to a maximum of 86%

Supplemental Coverage Option (SCO) Federal Government pays 65% of premium cost Premium depends on the crop, county, coverage level, and type of coverage chosen for the underlying policy Payment trigger is different than on the underlying policy For SCO, an indemnity is triggered when there is a county level loss in yield or revenue Available in select counties for the 2015 crop year for corn, soybeans, wheat, sorghum, cotton, and rice SCO payments will occur later than payments received for the underlying policy In 2016 additional crops, areas, and production methods (irrigated v. non-irrigated) will be included in SCO coverage

SCO Coverage Overview

Scott County, MO Corn, NI, Enterprise Coverage Level Revenue Protection SCO to 86% Total 50% $8.31 $6.49 $14.80 55% $10.33 $6.45 $16.78 60% $13.14 $6.41 $19.55 65% $16.15 $6.32 $22.47 70% $19.70 $6.08 $25.78 75% $27.91 $5.45 $33.36 80% $47.24 $3.93 $51.17 85% $83.54 $0.86 $84.40 Choosing lower RP and higher SCO does not usually save money Probably increases your risk because you are insuring county rather than individual performance. Delays insurance payment creating additional liquidity risk.

Generic Base Decisions Former cotton base is now generic base, which cannot be changed If producers with generic base plant other program crops, will get payments for those crops This is an exception to rule that what producers plant doesn t affect ARC-CO or PLC payments If you have generic base you must elect the program choice (ARC-Co or PLC) for all program crops you may plant on the farm to receive program payment credit Example: 2000 acre farm with 1000 acres generic base, 1000 soybean base acres If plant 1000 acres each of cotton and soybeans, get soybean payments on all 2000 acres If plant 1000 acres of soybeans and 1000 acres of corn, get soybean payments on 1500, corn on 500 If plant 1000 acres of soybeans and idle the rest, get soybean payments on all 2000 acres Example: 2000 acre farm with 2000 acres generic base If plant 1000 acres each of cotton and soybeans, get soybean payments on 1000 acres If plant 1000 acres of soybeans and 1000 acres of corn, get soybean payments on 1000, corn on 1000 If plant 1000 acres of soybeans and idle the rest, get soybean payments on a 1000 acres

Generic Base Decisions Former cotton base is now generic base, which cannot be changed If producers with generic base plant other program crops, they will be eligible for payments for those crops This is an exception to rule that what producers plant doesn t affect ARC-CO or PLC payments If you have generic base you must elect the program choice (ARC-Co or PLC) for all program crops you may plant on the farm to receive program payment credit

Generic Base Decisions 1 If producers with generic base plant other program crops, they will be eligible for payments for those crops Example: 2000 acre farm with 1000 acres generic base, 1000 soybean base acres If plant 1000 acres each of cotton and soybeans, get soybean payments on all 2000 acres If plant 1000 acres of soybeans and 1000 acres of corn, get soybean payments on 1500, corn on 500 If plant 1000 acres of soybeans and idle the rest, get soybean payments on all 2000 acres

Generic Base Decisions 2 If producers with generic base plant other program crops, they will be eligible for payments for those crops Example: 2000 acre farm with 2000 acres generic base If plant 1000 acres each of cotton and soybeans, get soybean payments on 1000 acres If plant 1000 acres of soybeans and 1000 acres of corn, get soybean payments on 1000, corn on 1000 If plant 1000 acres of soybeans and idle the rest, get soybean payments on a 1000 acres

USDA Announces Changes to Fruit and Vegetable Planting Rules Producers who intend to participate ARC/PLC programs are subject to an acre-for-acre payment reduction when fruits, nuts, & vegetables are planted on the payment acres of a farm. Planting fruits and vegetables on acres that are not considered payment acres will not result in a payment reduction. Example 1: 10 acre farm with 10 acres of Corn Base. If 3 acres of melons are planted, a 3 acre payment reduction. Example 2: 20 acre farm with 10 acres of Corn Base. If 3 acres of melons are planted, zero acres of payment reduction because melons are not planted on payment acres.

ARC and PLC Program Payments Corn Scott County PLC Referrence Price $3.70 PLC payment Yield 135.0 Calculation for ARC and PLC Payment Check if Irrigated 5-Year 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 175.0 $3.55 $3.70 2010 143.0 $5.18 $5.18 2011 145.0 $6.22 $6.22 2012 111.0 $6.89 $6.89 2013 167.0 $4.46 $4.46 2014 175.0 $3.63 $3.70 151.7 $5.29 $802 $690 $635 $46 $8 2015 155.7 $3.81 $3.81 151.7 $5.29 $802 $690 $593 $68 $0 2016 157.2 $3.83 $3.83 155.9 $4.83 $753 $648 $602 $39 $0 2017 158.7 $3.84 $3.84 159.9 $4.03 $645 $555 $609 $0 $0 2018 160.2 $3.92 $3.92 160.9 $3.83 $616 $530 $628 $0 $0 Five Year Average Payment $31 $2

ARC and PLC Program Payments Corn County PLC Referrence Price $3.70 PLC payment Yield 135.0 Check if Irrigated 5-Year 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 175.0 $3.55 $3.70 2010 143.0 $5.18 $5.18 2011 145.0 $6.22 $6.22 2012 111.0 $6.89 $6.89 2013 167.0 $4.46 $4.46 Scott Calculation for ARC and PLC Payment $3.30 price 2015-18 2014 175.0 $3.63 $3.70 151.7 $5.29 $802 $690 $635 $46 $8 2015 155.7 $3.30 $3.70 151.7 $5.29 $802 $690 $514 $68 $46 2016 157.2 $3.30 $3.70 155.9 $4.79 $747 $643 $519 $64 $46 2017 158.7 $3.30 $3.70 159.9 $3.95 $632 $544 $524 $17 $46 2018 160.2 $3.30 $3.70 160.9 $3.70 $595 $512 $529 $0 $46 Five Year Average Payment $39 $38

ARC and PLC Program Payments Corn Scott County PLC Referrence Price $3.70 PLC payment Yield 180.0 Calculation for ARC and PLC Payment Check if Irrigated 5-Year 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 182.0 $3.55 $3.70 2010 164.0 $5.18 $5.18 2011 152.0 $6.22 $6.22 2012 168.0 $6.89 $6.89 2013 191.0 $4.46 $4.46 2014 200.0 $3.63 $3.70 171.3 $5.29 $906 $779 $726 $45 $11 2015 175.3 $3.81 $3.81 174.3 $5.29 $922 $793 $668 $78 $0 2016 176.8 $3.83 $3.83 178.1 $4.83 $860 $740 $677 $53 $0 2017 178.3 $3.84 $3.84 181.1 $4.03 $730 $628 $685 $0 $0 2018 179.8 $3.92 $3.92 182.1 $3.83 $697 $599 $705 $0 $0 Five Year Average Payment $35 $2

ARC and PLC Program Payments Corn County PLC Referrence Price $3.70 PLC payment Yield 180.0 Check if Irrigated 5-Year 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 182.0 $3.55 $3.70 2010 164.0 $5.18 $5.18 2011 152.0 $6.22 $6.22 2012 168.0 $6.89 $6.89 2013 191.0 $4.46 $4.46 Scott Calculation for ARC and PLC Payment $3.30 price 2015-18 2014 200.0 $3.63 $3.70 171.3 $5.29 $906 $779 $726 $45 $11 2015 175.3 $3.30 $3.70 174.3 $5.29 $922 $793 $579 $78 $61 2016 176.8 $3.30 $3.70 178.1 $4.79 $854 $734 $584 $73 $61 2017 178.3 $3.30 $3.70 181.1 $3.95 $716 $616 $589 $23 $61 2018 179.8 $3.30 $3.70 182.1 $3.70 $674 $579 $593 $0 $61 Five Year Average Payment $44 $51

ARC and PLC Program Payments Soybeans Check if Irrigated County PLC Referrence Price $8.40 PLC payment Yield 45.0 5-Year Scott Calculation for ARC and PLC Payment 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 46.0 $9.59 $9.59 2010 39.0 $11.30 $11.30 2011 41.0 $12.50 $12.50 2012 38.0 $14.40 $14.40 2013 43.0 $13.00 $13.00 2014 45.0 $10.02 $10.02 41.0 $12.27 $503 $433 $451 $0 $0 2015 43.0 $8.76 $8.76 41.0 $12.27 $503 $433 $377 $43 $0 2016 43.5 $9.11 $9.11 42.3 $11.84 $501 $431 $396 $30 $0 2017 44.0 $9.41 $9.41 43.2 $10.71 $462 $398 $414 $0 $0 2018 44.5 $9.79 $9.79 43.5 $9.51 $414 $356 $436 $0 $0 Five Year Average Payment $14 $0

ARC and PLC Program Payments Soybeans Check if Irrigated County PLC Referrence Price $8.40 PLC payment Yield 45.0 5-Year Scott Calculation for ARC and PLC Payment 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 46.0 $9.59 $9.59 2010 39.0 $11.30 $11.30 2011 41.0 $12.50 $12.50 2012 38.0 $14.40 $14.40 $7.50 price 2015-18 2013 43.0 $13.00 $13.00 2014 45.0 $10.02 $10.02 41.0 $12.27 $503 $433 $451 $0 $0 2015 43.0 $7.50 $8.40 41.0 $12.27 $503 $433 $323 $43 $34 2016 43.5 $7.50 $8.40 42.3 $11.84 $501 $431 $326 $43 $34 2017 44.0 $7.50 $8.40 43.2 $10.47 $452 $389 $330 $38 $34 2018 44.5 $7.50 $8.40 43.5 $8.94 $389 $334 $334 $1 $34 Five Year Average Payment $25 $28

ARC and PLC Program Payments Soybeans Check if Irrigated County PLC Referrence Price $8.40 PLC payment Yield 50.0 5-Year Scott Calculation for ARC and PLC Payment 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 46.0 $9.59 $9.59 2010 44.0 $11.30 $11.30 2011 43.0 $12.50 $12.50 2012 42.0 $14.40 $14.40 2013 47.0 $13.00 $13.00 2014 48.0 $10.02 $10.02 44.3 $12.27 $544 $468 $481 $0 $0 2015 46.3 $8.76 $8.76 44.7 $12.27 $548 $471 $406 $47 $0 2016 46.8 $9.11 $9.11 45.4 $11.84 $538 $463 $427 $31 $0 2017 47.3 $9.41 $9.41 46.7 $10.71 $500 $430 $445 $0 $0 2018 47.8 $9.79 $9.79 47.1 $9.51 $448 $385 $468 $0 $0 Five Year Average Payment $15 $0

ARC and PLC Program Payments Soybeans Check if Irrigated County PLC Referrence Price $8.40 PLC payment Yield 50.0 5-Year Scott Calculation for ARC and PLC Payment 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 46.0 $9.59 $9.59 2010 44.0 $11.30 $11.30 2011 43.0 $12.50 $12.50 2012 42.0 $14.40 $14.40 $7.50 price 2015-18 2013 47.0 $13.00 $13.00 2014 48.0 $10.02 $10.02 44.3 $12.27 $544 $468 $481 $0 $0 2015 46.3 $7.50 $8.40 44.7 $12.27 $548 $471 $348 $47 $38 2016 46.8 $7.50 $8.40 45.4 $11.84 $538 $463 $351 $46 $38 2017 47.3 $7.50 $8.40 46.7 $10.47 $489 $421 $355 $42 $38 2018 47.8 $7.50 $8.40 47.1 $8.94 $421 $362 $359 $3 $38 Five Year Average Payment $27 $31

ARC and PLC Program Payments Wheat Scott PLC Referrence Price $5.50 49.5 Calculation for ARC and PLC Payment Check if Irrigated 5-Year 5-Year Scott Market ARC Olympic Olympic ARC PLC County Year Avg Price Average Average Calculated Calculated Year Yield Price Yield Price Payment Payment 2009 55.0 $4.87 $5.50 2010 60.0 $5.70 $5.70 2011 52.0 $7.24 $7.24 2012 58.0 $7.77 $7.77 2013 72.0 $6.87 $6.87 2014 75.0 $6.13 $6.13 57.7 $6.60 $0 $0 2015 60.7 $5.14 $5.50 63.3 $6.75 $36 $15 2016 61.7 $5.19 $5.50 63.6 $6.75 $36 $13 2017 62.7 $5.38 $5.50 64.8 $6.17 $5 $5 2018 63.7 $5.63 $5.63 65.4 $5.71 $0 $0 Five Year Average Payment $16 $7

ARC and PLC Program Payments Wheat PLC Referrence Price $5.50 49.5 Check if Irrigated 5-Year 5-Year Scott Market ARC Olympic Olympic ARC PLC County Year Avg Price Average Average Calculated Calculated Year Yield Price Yield Price Payment Payment 2009 55.0 $4.87 $5.50 2010 60.0 $5.70 $5.70 2011 52.0 $7.24 $7.24 2012 58.0 $7.77 $7.77 2013 72.0 $6.87 $6.87 Scott Calculation for ARC and PLC Payment $5.00 price 2015-18 2014 75.0 $6.13 $6.13 57.7 $6.60 $0 $0 2015 60.7 $5.00 $5.50 63.3 $6.75 $36 $21 2016 61.7 $5.00 $5.50 63.6 $6.75 $36 $21 2017 62.7 $5.00 $5.50 64.8 $6.17 $26 $21 2018 63.7 $5.00 $5.50 65.4 $5.71 $3 $21 Five Year Average Payment $20 $17

ARC and PLC Program Payments Grain Sorghum Scott PLC Referrence Price $3.95 103.5 Calculation for ARC and PLC Payment Check if Irrigated 5-Year 5-Year Scott Market ARC Olympic Olympic ARC PLC County Year Avg Price Average Average Calculated Calculated Year Yield Price Yield Price Payment Payment 2009 73.0 $3.22 $3.95 2010 87.0 $5.02 $5.02 2011 79.0 $5.99 $5.99 2012 63.0 $6.33 $6.33 2013 93.0 $4.28 $4.28 2014 97.0 $3.80 $3.95 79.7 $5.10 $0 $13 2015 84.7 $3.58 $3.95 86.3 $5.10 $37 $33 2016 86.7 $3.55 $3.95 85.6 $4.74 $34 $35 2017 88.7 $3.69 $3.95 88.1 $4.06 $0 $23 2018 90.7 $3.81 $3.95 89.4 $3.95 $0 $12 Five Year Average Payment $14 $23

ARC and PLC Program Payments Rice Scott PLC Referrence Price $6.30 153.0 Calculation for ARC and PLC Payment Check if Irrigated 5-Year 5-Year Scott Market ARC Olympic Olympic ARC PLC County Year Avg Price Average Average Calculated Calculated Year Yield Price Yield Price Payment Payment 2009 132.7 $5.81 $6.30 2010 178.7 $4.95 $6.30 2011 177.5 $6.03 $6.30 2012 146.1 $6.48 $6.48 2013 132.7 $6.93 $6.93 2014 150.0 $5.51 $6.30 152.1 $6.36 $5 $103 2015 156.1 $5.63 $6.30 157.9 $6.36 $0 $87 2016 157.1 $5.57 $6.30 150.8 $6.36 $0 $95 2017 158.1 $5.62 $6.30 150.8 $6.36 $0 $88 2018 159.1 $5.70 $6.30 154.4 $6.30 $0 $78 Five Year Average Payment $1 $90

ARC and PLC Program Payments Canola Scott County PLC Referrence Price $0.2015 PLC payment Yield 858.0 Calculation for ARC and PLC Payment 5-Year 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 880 $0.1620 $0.2015 2010 1517 $0.1930 $0.2015 2011 1053 $0.2400 $0.2400 2012 1504 $0.2650 $0.2650 2013 880 $0.2060 $0.2060 2014 900 $0.1676 $0.2015 1146 $0.2158 $247 $213 $151 $21 $25 2015 1186 $0.1554 $0.2015 1152 $0.2158 $249 $214 $184 $21 $34 2016 1192 $0.1609 $0.2015 1046 $0.2158 $226 $194 $192 $2 $30 2017 1086 $0.1659 $0.2015 1093 $0.2030 $222 $191 $180 $9 $26 2018 1133 $0.1725 $0.2015 1057 $0.2015 $213 $183 $195 $0 $21 Five Year Average Payment $11 $27

ARC and PLC Program Payments Oats Scott County PLC Referrence Price $2.40 PLC payment Yield 39.0 Calculation for ARC and PLC Payment Check if Irrigated 5-Year 5-Year Scott Market ARC Olympic Olympic Bench ARC ARC ARC PLC County Year Avg Price Average Average Mark Revenue Actual Calculated Calculated Year Yield Price Yield Price Revenue Guarantee Revenue Payment Payment 2009 55.0 $2.02 $2.40 2010 45.0 $2.52 $2.52 2011 49.0 $3.49 $3.49 2012 52.0 $3.89 $3.89 2013 55.0 $3.75 $3.75 2014 55.0 $3.26 $3.26 52.0 $3.25 $169 $145 $179 $0 $0 2015 53.0 $3.18 $3.18 52.0 $3.50 $182 $157 $169 $0 $0 2016 54.0 $3.15 $3.15 53.3 $3.50 $187 $161 $170 $0 $0 2017 55.0 $3.15 $3.15 54.0 $3.40 $183 $158 $173 $0 $0 2018 56.0 $3.19 $3.19 54.7 $3.20 $175 $150 $179 $0 $0 Five Year Average Payment $0 $0

ARC/PLC Evaluator - Scott County Crop PLC ARC-CO Irrigated Wheat $77 $31 Non-Irrigated Wheat $77 $32 Oats $6 $18 Long Grain Rice $431 $165 Irrigated Corn $142 $194 Non-Irrigated Corn $141 $189

ARC/PLC Evaluator - Scott County Crop PLC ARC-CO Irrigated Grain Sorghum Non-Irrigated Grain Sorghum $153 $102 $152 $89 Sunflowers $62 $30 Irrigated Soybeans $31 $114 Non-Irrigated Soybeans $31 $111

Take Home Message Corn Leaning to ARC-Co Soybeans ARC-Co Wheat Leaning to PLC Milo - PLC Rice - PLC SCO Talk to your crop Ins. Agent if you take PLC Base and Yield very important for future payments Maximize Base Order: Rice, Corn, Milo, Beans & Wheat

Steps 6, 7 & 8 6. Review the spreadsheets, web based tools, calculators, and outputs 7. If you are interested in Supplemental Coverage Option (SCO), talk with your crop insurance agent 8. Visit the FSA office to submit paper work with your decisions

$11.04 $2.63 $6.15

$ per bushel Monthly Farm Price of Wheat in Illinois, January 1947 - August 2012 and Projected Future Range 12 10 $10.15 8 6 $5.80 4 $3.30 2 0 $1.81 $3.24 $5.74