Notes From Nicki
The Faribault County USDA Service Center is currently staffed at 25%. We ask for your patience when contacting the office as staff may be assisting customers at the door and it takes a few rings to roll over to the staff teleworking. If prompted to leave a message, please do so that staff may return your call. We value all our producers/customers and want to be able to provide your requested information and assist you with questions and concerns.
The USDA Service Center in Blue Earth is currently closed to visitors because of the pandemic, but FSA and NRCS staff continue to work with agricultural producers via phone, email and other digital tools. To reach our office, call 507-526-3282.
Annual Program Payments Issued - FSA has completed processing the 2020 ARCPLC payments. Price Loss Coverage (PLC) payments triggered on wheat and barley. Agricultural Risk Coverage (ARC-County) payments were only triggered on wheat in Faribault County. We have processed the majority of the CRP annual rental payments. Please note, if you have CRP contract revisions pending, the payments will be delayed until the required update has been completed. All payment statements are issued from the national level following payment processing.
Organic Certification Cost Share Program (OCCSP): Application Deadline November 1 - Applications for eligible certification expenses paid between October 1, 2020, and September 30, 2021, are due at FSA by November 1, 2021. OCCSP provides cost-share assistance to producers and handlers of agricultural products for the costs of obtaining or maintaining organic certification under the USDA’s National Organic Program. Eligible producers include any certified producers or handlers who have paid organic certification fees to a USDA-accredited certifying agent. Producers can be reimbursed for expenses including application fees, inspection costs, fees related to equivalency agreement and arrangement requirements, travel expenses for inspectors, user fees, sales assessments and postage.
Acreage Report Required for Fall-Seeded Crops: Reporting Deadline November 15 - Producers planting fall-seeded crops, such as winter wheat or rye, should be aware of the requirement to file an acreage report with FSA for all fall-seeded crops by November 15, 2021. Reports filed after November 15 will be assessed a late-file fee.
CRP Contract Reminders – Even though conditions are dry, the volunteer trees and noxious weeds still seem to flourish. It is highly recommended to take some time to walk through and inspect your CRP contract acres to ensure no volunteer trees or noxious weeds are becoming a potential problem. Undetected, these issues could become costly for a participant as a noncompliance issue that could result in an annual payment reduction and/or possible contract termination.
Marketing Assistance Loans (MAL) – Numerous producers choose to utilize the FSA commodity loan program and take out a 9-month loan referred to as a Marketing Assistance Loan (MAL). MALs are a great tool for interim financing after harvest to help meet cash flow needs without having to sell commodities when market prices are typically at harvest-time lows. The loan allows for flexibility in marketing throughout the year. Contact the FSA office for additional details and to answer any questions you may have. Additional information regarding the loan and interest rate may be found in the last article of this bulletin.
Farm Storage Facility Loans (FSFL) – Grain carts, grain trucks, semi-trucks, semi-trailers (hopper, live bottom, end dump), bulk milk tanks, baggers, bale wrappers, augers, and chopper boxes are just a partial list of farm equipment that can be purchased using the FSFL program at the FSA office. Loans range from 3 to 12 years. Interest rates are very favorable at this time. Contact the FSA office for additional details.
Upcoming Faribault County FSA Committee (COC) Election - The Local Administrative Area (LAA) COC representative election this year is for LAA 1. LAA 1 consists of Barber, Delavan, Lura, Minnesota Lake, Prescott, Verona, and Winnebago City townships. On the ballot will be candidate Jean Millmann, who resides near Blue Earth. Jean was born and raised on a farm. Her and her husband Brian are pork producers and grow corn, soybeans, and canning factory crops. Jean and Brian have two children who are also actively involved in agriculture. Be on the lookout for your election ballot in the mail in the coming weeks. We appreciate those in LAA 1 taking time to vote in the FSA COC election process.
As the temperatures drop and the leaves change color, we hope everyone continues to have a safe and healthy fall.
~ Nicki
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The U.S. Small Business Administration (SBA) announced a suite of updates to their COVID-19 Economic Injury Disaster Loan (EIDL) Program effective September 8, 2021. Updates include higher available loan amounts, an increased use of funding flexibility, a deferral of 24 months from the loan origination, simplified affiliation requirements, additional options to meet program size standards and a maximum cap for corporate groups.
This federal small business loan program supports small businesses’ recovery from the COVID-19 disaster’s economic impacts by providing accessible and borrower-friendly capital. In response to COVID-19, small business owners, including agricultural businesses, and nonprofit organizations in all U.S. states, Washington D.C., and territories can apply. Visit SBA’s COVID-19 EIDL webpage to learn more about recent updates, application requirements and options to apply.
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 Faribault County USDA Service Center at 507-526-3282 or visit fsa.usda.gov.
The Farm Service Agency (FSA) makes loans to youth to establish and operate agricultural income-producing projects in connection with 4-H clubs, FFA and other agricultural groups. Projects must be planned and operated with the help of the organization advisor, produce sufficient income to repay the loan and provide the youth with practical business and educational experience. The maximum loan amount is $5,000.
Youth Loan Eligibility Requirements:
- Be a citizen of the United States (which includes Puerto Rico, the Virgin Islands, Guam, American Samoa, the Commonwealth of the Northern Mariana Islands) or a legal resident alien
- Be 10 years to 20 years of age
- Comply with FSA’s general eligibility requirements
- Be unable to get a loan from other sources
- Conduct a modest income-producing project in a supervised program of work as outlined above
- Demonstrate capability of planning, managing and operating the project under guidance and assistance from a project advisor. The project supervisor must recommend the youth loan applicant, along with providing adequate supervision.
For help preparing the application forms, contact your Faribault County USDA Service Center at 507-526-3282 or visit fsa.usda.gov.
If you are interested in getting a contract in the NRCS Environmental Quality Incentives Program (EQIP) or Agricultural Conservation Easement Program (ACEP), apply by Friday, November 19, 2021, for the first cutoff of funding in 2022. Submit your application to this Mankato field office and contact us for more information: 507-345-5651 X3. Below is the news release:
https://www.nrcs.usda.gov/wps/portal/nrcs/mn/newsroom/releases/f3f22307-900a-4260-956a-4d6e8f2b5d78/
If you are interested in getting a contract in the NRCS Environmental Quality Incentives Program (EQIP) or Agricultural Conservation Easement Program (ACEP), apply by Friday, November 19, 2021, for the first cutoff of funding in 2022. Submit your application to this Waseca field office and contact us for more information: 507-835-4800 X 3. Below is the news release:
https://www.nrcs.usda.gov/wps/portal/nrcs/mn/newsroom/releases/f3f22307-900a-4260-956a-4d6e8f2b5d78/
If you are interested in getting a contract in the NRCS Environmental Quality Incentives Program (EQIP) or Agricultural Conservation Easement Program (ACEP), apply by Friday, November 19, 2021, for the first cutoff of funding in 2022. Submit your application to this Blue Earth field office and contact us for more information: 507-526-3282 X3. Below is the news release:
https://www.nrcs.usda.gov/wps/portal/nrcs/mn/newsroom/releases/f3f22307-900a-4260-956a-4d6e8f2b5d78/
Important Dates and Deadlines
Nov 1 - Deadline to apply to the Organic Certification Cost Share Program
Nov 11- USDA offices are closed for Veteran’s Day Holiday
Nov 15 - Deadline to report fall seeded crops, such as rye and winter wheat
Nov 20 - Noninsured Crop Disaster Assistance Program application deadline for apples, blueberries, cane berries, and sage
Farm Loan Program Interest Rates
1.750% - Farm Operating Loans, Direct
2.875% - Farm Ownership Loans, Direct
2.500% - Farm Ownership, Joint Financing
1.500% - Farm Ownership Loans, Beginning Farmer Down Payment
Farm Storage Facility Loan Program Interest Rates
0.375% - Farm Storage Facility Loans, 3-Year
0.750% - Farm Storage Facility Loans, 5-Year
1.125% - Farm Storage Facility Loans, 7-Year
1.375% - Farm Storage Facility Loans, 10-Year
1.500% - Farm Storage Facility Loans, 12-Year
October 2021 Commodity Loan Interest Rates
1.125% - Commodity Loans
FARIBAULT COUNTY COMMODITY LOAN RATES for 2021 CROP
| Corn |
$2.07/bu |
| Soybeans |
$6.11/bu |
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