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As you prepare for spring field work this issue of our bulletin will review some current program signups and deadlines that may pertain to your operation.
Emergency Grain Storage Facility Program(EGSFP)
FSA began accepting applications on March 16, 2023 for the EGSFP program. Producers that produced crops in Nicollet County and other affected counties that were impacted by the damage to or destruction of large commercial grain elevators as a result of natural disasters from Dec. 1, 2021, to Aug. 1, 2022 are eligible for this program. It provides cost share assistance in putting up new or used grain storage and/or drying/handling equipment for your operation. The article below includes additional details about the program. Please review this article to see if this could benefit your operation.
Revenue Loss Assistance Programs –
Recently FSA began accepting applications for 2 different programs. The Pandemic Assistance Revenue Program (PARP) is for eligible producers who experienced a revenue decrease due to COVID-19 pandemic in 2020. The Emergency Relief Program (ERP phase 2) is a disaster relief funding for producers who were impacted by eligible natural disasters in 2020 and 2021. Both are revenue-based disaster programs that reflect your operations revenue, so there will be some research you will need to do to determine if you qualify. The factsheet at this link has a great comparison tool that will assist you in determining which revenue to include on your application for each program if you choose to apply. There is an article below that goes into more detail about the programs.
Mankato FSA is Hiring!-
We are currently accepting applications for a full-time program technician. This position comes with federal benefits including a pension, TSP(401K type matching plan), and great health insurance and leave options. The hours for this position are flexible, but are typically 8-4:30, Monday through Friday. No nights or weekends required. We are looking for the right person that is willing to step up and assist the producers we work with and ensure they timely signup for programs administered by the Farm Service Agency. If you know of anyone that you think would be a good fit and provide great customer service to the producers of Blue Earth and Nicollet County, please have them reach out to Bradley Flatin with any questions or apply online at the link below. Read more about County Program Technician position at https://www.usajobs.gov/GetJob/ViewDetails/665635400
Please contact the office at (507) 345-4651 ext 2, regarding any questions pertaining to the information within this bulletin, or any other concerns you may have.
Bradley Flatin, CED
Important Dates and Deadlines
March 31- Deadline to request Marketing Assistance Loan (MAL) for prior year
harvested wheat, barley, canola, crambe, flaxseed, honey, oats,
rapeseed, and sesame.
April 3- Deadline for annual certification of maple sap.
April 7- Deadline to apply for the Conservation Reserve Program (CRP) General
Signup.
Farm Loan Program Interest Rates
4.750% - Farm Operating Loans, Direct
4.750% - Farm Ownership Loans, Direct
2.875% - Farm Ownership, Joint Financing
1.500% - Farm Ownership Loans, Beginning Farmer Down Payment
Farm Storage Facility Loan Program Interest Rates
4.000% - Farm Storage Facility Loans, 3-Year
3.750% - Farm Storage Facility Loans, 5-Year
3.750% - Farm Storage Facility Loans, 7-Year
3.625% - Farm Storage Facility Loans, 10-Year
3.625% - Farm Storage Facility Loans, 12-Year
Commodity Loan Interest Rates
5.750% - Commodity Loans
The Blue Earth-Nicollet County Farm Service Agency (FSA) office in Mankato is hiring a full time Program Technician (PT). The deadline to apply is March 27, 2023.
Duties include general office activities supporting FSA programs administered at the field level. Successful applicants must be reliable, have a professional attitude and enjoy working with the public.
If you are interested or know of someone who might be interested, please share this information with them. Here is the direct link to the position with information on how to apply: USAJOBS - Job Announcement.
Applications must be completed through USAJOBs no later than close of business March 27, 2023.
Contact Bradley Flatin at 507-345-4651, ext 2 if you have specific questions regarding the position.
USDA is an equal opportunity provider, employer, and lender.
Agriculture Secretary Tom Vilsack today announced that producers in counties affected by eligible disaster events in Kentucky, Minnesota, South Dakota, Illinois, Indiana, Iowa, Missouri, North Dakota, and Tennessee can apply for cost-share assistance through the Emergency Grain Storage Facility Assistance Program (EGSFP). The new program provides cost-share assistance for the construction of new grain storage capacity and drying and handling needs, in order to support the orderly marketing of commodities. An initial allocation of $20 million in cost-share assistance is available to agricultural producers in affected counties impacted by the damage to or destruction of large commercial grain elevators as a result of natural disasters from Dec. 1, 2021, to Aug. 1, 2022. The application period opens later this month and closes Dec. 29, 2023.
This assistance from USDA’s Farm Service Agency (FSA) is designed to help producers affected by the December 2021 tornadoes that passed through 11 counties in Kentucky, as well as producers in Illinois, Indiana, Iowa, Minnesota, Missouri, North Dakota, South Dakota, and Tennessee affected by eligible disaster events in 2022. The program was previewed last fall and will be made available with the publication of the Notice in the Federal Register.
Eligibility
Maps showing the location of damaged grain facilities in Kentucky, Minnesota, South Dakota and surrounding eligible areas are available online. These maps depict damaged storage facility locations and the affected counties within a 30-mile radius of these facilities where producers may be eligible to apply for EGSFP benefits if they can demonstrate a need for additional on-farm grain storage capacity.
Additionally, FSA may determine a need for EGSFP assistance in counties in other states and regions during the application period where an eligible disaster event has damaged storage facility locations. Eligible disaster events include hurricanes, tornadoes, floods, derechos, straight-line winds and winter storms that occurred between Dec. 1, 2021, and Aug. 1, 2022.
EGSFP helps producers build permanent or temporary on-farm grain storage capacity, restore existing storage capacity, and purchase drying and handling equipment in affected counties.
The following types of new/used facilities and upgrades are eligible for cost-share assistance and must have a useful life of at least three years:
- conventional-type cribs or bins designed and engineered for grain storage
- open buildings with two end walls
- converted storage structures
- asphalt, concrete or gravel floors with grain piles and tarp covering,
- ag baggers (including bags)
On-farm grain storage structures may account for aeration, drainage, and may require loading or unloading augers, drying and handling equipment.
How to Apply
Producers must submit the EGSFP Application, form FSA-413, and any additional required forms to their FSA county office either in person, by mail, email, or facsimile starting later this month and by the Dec. 29, 2023, deadline. Form FSA-413-1, Continuation Sheet for EGSFP, must be submitted with the FSA-413 when a group of producers are applying for assistance.
Payment Calculation
FSA will use the producer’s self-certified cost of the additional on-farm grain storage capacity or drying and handling equipment needed multiplied by the producer’s share of grain.
This amount will then be multiplied by the cost share factor of 75% or 90%. An eligible producer who certifies they are socially disadvantaged, limited resource, beginning and veteran farmer or rancher by filing form CCC-860 with FSA will receive the higher 90% cost share rate.
More Information
For more information visit the program webpage or the EGSFP fact sheet. USDA also has an existing Farm Storage Facility Loan Program that can immediately provide low-interest financing for eligible producers who may not be eligible for EGSFP but are in need of on-farm storage capacity.
Agriculture Secretary Tom Vilsack announced that agricultural producers and private landowners can begin applying for the Conservation Reserve Program (CRP) General signup starting February 27 through April 7, 2023. CRP is a cornerstone voluntary conservation program offered by the U.S. Department of Agriculture (USDA) and a key tool in the Biden-Harris administration’s effort to address climate change and help agricultural communities invest in the long-term well-being of their land and natural resources.
Producers and landowners enrolled more than 5 million acres into CRP through signups in 2022, building on the acceptance of more than 3.1 million acres in the largest Grassland CRP signup in history. There are currently 23 million acres enrolled in CRP, with 1.9 million set to expire this year. USDA’s Farm Service Agency (FSA) is aiming to reach the 27-million-acre cap statutorily set for fiscal year 2023.
General CRP
General CRP helps producers and landowners establish long-term, resource-conserving plant species, such as approved grasses or trees, to control soil erosion, improve water quality and enhance wildlife habitat on cropland. Additionally, General CRP includes a Climate-Smart Practice Incentive to help increase carbon sequestration and reduce greenhouse gas emissions by helping producers and landowners establish trees and permanent grasses, enhance wildlife habitat, and restore wetlands.
Continuous CRP
Under Continuous CRP, producers and landowners can enroll in CRP throughout the year. Offers are automatically accepted provided the producer and land meet the eligibility requirements and the enrollment levels do not exceed the statutory cap. The Climate-Smart Practice Incentive is also available in the Continuous signup.
FSA offers several additional enrollment opportunities within Continuous CRP, including the Clean Lakes Estuaries and Rivers Initiative (CLEAR30), the State Acres for Wildlife Enhancement (SAFE) Initiative, the Farmable Wetlands Program (FWP), and the Conservation Reserve Enhancement Program (CREP). The CLEAR30 Initiative, which was originally piloted in twelve states in the Great Lakes and Chesapeake Bay watershed, has been expanded nationwide, allowing producers and landowners to enroll in 30-year CRP contracts for water quality practices. Under this administration, FSA also moved SAFE practices back to the Continuous CRP signup, giving producers and landowners more opportunities to participate in the initiative. Through the FWP, producers and landowners can enroll land in CRP as part of their efforts to restore previously farmed wetlands and wetland buffers, to improve both vegetation and water flow.
This administration has also made significant improvements to CREP, which leverages federal and non-federal funds to target specific State, regional or nationally significant conservation concerns. Specifically, USDA made significant improvements to CREP to reduce barriers and make the program more accessible to a broad range of producers and new types of partners.
These updates included flexibility for partners to provide matching funds in the form of cash, in-kind contributions, or technical assistance, along with an investment in additional staff to work directly with partners. Through CREP, for the first time ever, three Tribal Nations are now partnering with USDA to help conserve, maintain, and improve grassland productivity, reduce soil erosion, and enhance wildlife habitat.
Grassland CRP
FSA will announce the dates for Grassland CRP signup in the coming weeks. Grassland CRP is a working lands program, helping landowners and operators protect grassland, including rangeland and pastureland and certain other lands, while maintaining the areas as working grazing lands.
Protecting grasslands contributes positively to the economy of many regions, provides biodiversity of plant and animal populations, and provides important carbon sequestration benefits to deliver lasting climate outcomes.
How to Sign Up
Landowners and producers interested in CRP should contact their local USDA Service Center to learn more or to apply for the program before their deadlines.
Producers with expiring CRP acres can use the Transition Incentives Program (TIP), which incentivizes producers who sell or enter a long-term lease with a beginning, veteran, or socially disadvantaged farmer or rancher who plans to sustainably farm or ranch the land.
More Information
Signed into law in 1985, CRP is one of the largest voluntary private-lands conservation programs in the United States. It was originally intended to primarily control soil erosion and potentially stabilize commodity prices by taking marginal lands out of production. The program has evolved over the years, providing many conservation and economic benefits.
The U.S. Department of Agriculture (USDA) has developed a simplified direct loan application to provide improved customer experience for producers applying for loans from the Farm Service Agency (FSA). The simplified direct loan application enables producers to complete a more streamlined application, reduced from 29 to 13 pages. Producers will also have the option to complete an electronic fillable form or prepare a traditional, paper application for submission to their local FSA farm loan office. The paper and electronic versions of the form will be available starting March 1, 2023.
Approximately 26,000 producers submit a direct loan application to the FSA annually, but there is a high rate of incomplete or withdrawn applications, due in part to a challenging and lengthy paper-based application process. Coupled with the Loan Assistance Tool released in October 2022, the simplified application will provide all loan applicants access to information regarding the application process and assist them with gathering the correct documents before they begin the process. This new application will help farmers and ranchers submit complete loan applications and reduce the number of incomplete, rejected, or withdrawn applications.
In October 2022, USDA launched the Loan Assistance Tool, an online step-by-step guide that provides materials to help an applicant prepare their farm loan application in one tool. Farmers can access the Loan Assistance Tool by visiting farmers.gov/farm-loan-assistance-tool and clicking the ‘Get Started’ button. The tool is built to run on any modern browser like Chrome, Edge, Firefox, or the Safari browser. A version compatible with mobile devices is expected to be available by the summer. It does not work in Internet Explorer.
The simplified direct loan application and Loan Assistance Tool are the first of multiple farm loan process improvements that will be available to USDA customers on farmers.gov in the future. Other improvements that are anticipated to launch in 2023 include:
- An interactive online direct loan application that gives customers a paperless and electronic signature option, along with the ability to attach supporting documents such as tax returns.
- An online direct loan repayment feature that relieves borrowers from the necessity of calling, mailing, or visiting a local Service Center to pay a loan installment.
USDA provides access to credit to approximately 115,000 producers who cannot obtain sufficient commercial credit through direct and guaranteed farm loans. With the funds and direction Congress provided in Section 22006 of the Inflation Reduction Act, USDA took action in October 2022 to provide relief to qualifying distressed borrowers while working on making transformational changes to loan servicing so that borrowers are provided the flexibility and opportunities needed to address the inherent risks and unpredictability associated with agricultural operations.
Soon, all direct loan borrowers will receive a letter from USDA describing the circumstances under which additional payments will be made to distressed borrowers and how they can work with their FSA local office to discuss these options. Producers can explore all available options on all FSA loan options at fsa.usda.gov or by contacting their local USDA Service Center.
Today, agricultural producers can begin to apply for two new important programs for revenue losses, from 2020 and 2021 natural disasters or the COVID-19 pandemic. Both programs equitably fill gaps in earlier assistance.
First, you may be eligible for assistance through the Emergency Relief Program (ERP) Phase Two if you experienced revenue losses from eligible natural disasters in 2020 and 2021.
You may also be eligible for the Pandemic Assistance Revenue Program (PARP) if you experienced revenue losses in calendar year 2020. PARP is addressing gaps in previous pandemic assistance, which was targeted at price loss or lack of market access, rather than overall revenue losses.
Applications for both new programs are due June 2, 2023, and you can apply for both programs during your same appointment with USDA’s Farm Service Agency (FSA).
Historically, FSA programs have been designed to make direct payments to producers based on a single disaster event or for a single commodity loss. For many of you, this may be the first revenue-based program that you’ve applied for with FSA.
Why revenue-based programs?
ERP Phase Two and PARP take a much more holistic approach to disaster assistance, ensuring that producers not just make it through a single growing season but have the financial stability to invest in the long-term well-being of their operations and employees.
In general, ERP Phase Two payments are based on the difference in allowable gross revenue between a benchmark year, representing a typical year of revenue for the producer and the disaster year – designed to target the remaining needs of producers impacted by qualifying natural disasters and avoid duplicative payments. ERP Phase Two revenue loss is based on tax years.
For PARP, an agricultural producer must have been in the business of farming during at least part of the 2020 calendar year and had a decrease in revenue for the 2020 calendar year, as compared to a typical year. PARP revenue loss is based on calendar years.
How to Apply
In preparation for enrollment, producers should gather supporting documentation including:
- Schedule F (Form 1040); and
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Profit or Loss from Farming or similar tax documents for tax years 2018, 2019, 2020, 2021 and 2022 for ERP and for calendar years 2018, 2019 and 2020 for PARP.
Producers should also have, or be prepared to have, the following forms on file for both ERP and PARP program participation:
- Form AD-2047, Customer Data Worksheet (as applicable to the program participant);
- Form CCC-902, Farm Operating Plan for an individual or legal entity;
- Form CCC-901, Member Information for Legal Entities (if applicable); and
- Form AD-1026 Highly Erodible Land Conservation (HELC) and Wetland Conservation (WC) Certification.
- Form CCC-860, Socially Disadvantaged, Limited Resource, Beginning and Veteran Farmer or Rancher Certification, as certain existing permanent and ad-hoc disaster programs provide increased benefits or reduced fees and premiums.
Most producers, especially those who have previously participated in FSA programs, will likely have these required forms on file. However, those who are uncertain or want to confirm should contact FSA at their local USDA Service Center.
Yes, FSA is stepping outside of the box.
FSA is a big proponent of agricultural producers having a say in the design, implementation and delivery of the programs that directly impact their livelihoods. We also believe that some of the most creative and useful ideas for program and process improvements come from the FSA employees who administer this assistance through our network of more than 2,100 county offices. We want to thank producers across the country, along with the entire FSA workforce, for not just thinking outside of the box but also providing their input to make sure that we can improve and enhance our programs and our approach to assistance to better and more efficiently serve all producers who need our help.
Please visit your local USDA Service Center for more information on ERP Phase Two, PARP and our full portfolio of conservation, prices support, safety-net, credit and disaster assistance programs.
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