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Hurricane season is officially underway, and it lasts until November 30. The National Oceanic and Atmospheric Administration (NOAA) predicts that the 2023 hurricane season will be near normal in the Atlantic and produce 12 to 17 named storms, of which five to nine could become hurricanes, including one to four major hurricanes.
USDA is encouraging producers to take precautions to prepare and protect their family and agricultural operations.
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Develop an Emergency Plan - Ensure your household and employees know your hurricane plan, including meeting points, emergency contact lists, and alternate evacuation routes in case infrastructure is damaged.
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Remove Debris and Secure Large Objects - Clean out culverts, ditches, and other drainage areas, especially before and during peak hurricane season to reduce water damage. Most injuries to animals, people, or structures during a hurricane are caused by flying objects. To lessen the risk, minimize the presence of equipment, supplies, and debris that may become airborne during high winds or encountered in floodwaters.
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Secure Important Records and Documents- Pre- and post-hurricane documentation is extremely important for insurance compensation and recovery assistance. You’ll want to have thorough records of damages and losses sustained on your farm as well as documentation of your cleanup and recovery efforts.
- It is critical to document inventory of farm buildings, vehicles, equipment, and livestock before a disaster occurs. Take photos, videos, or make written lists with descriptions. Keep copies of this inventory in multiple places: computer, off-site in a safe location, and on a cloud-based server where information is transmitted and saved weekly.
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Know Your Insurance Options- Regularly review your insurance policies with your agent to be sure you have adequate coverage, including flood insurance, for your facilities, vehicles, farm buildings, crops and livestock. Note, there are limitations on how soon insurance coverage will take effect. Generally, insurance policies will not cover damage if the policy was not in place before a disaster.
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Gather Supplies - Have drinking water, canned food, a generator, batteries, a flashlight, and fuel available in case you lose power. For widespread outages, credit and debit cards may not work, so have cash handy.
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Access Real-time Emergency Information- Download the FEMA app for free on the App Store and Google Play for safety tips on what to do before, during, and after disasters. Subscribe to our text message and email service to receive real-time, local operational and recovery information from the Farm Service Agency, Natural Resources Conservation Service and Risk Management Agency.
On farmers.gov, the Hurricane Webpage, Disaster Assistance Discovery Tool, Disaster-at-a-Glance fact sheet, and Loan Assistance Tool can help producers and landowners determine program or loan options. For assistance with a crop insurance claim, producers and landowners should contact their crop insurance agent. For FSA and NRCS programs, they should contact their local USDA Service Center.
USDA Farm Service Agency (FSA) reminds you to report prevented planted and failed acres in order to establish or retain FSA program eligibility for some programs.
You should report crop acreage you intended to plant, but due to natural disaster, were prevented from planting. Prevented planting acreage must be reported on form CCC-576, Notice of Loss, no later than 15 calendar days after the final planting date as established by FSA and the Risk Management Agency (RMA).
If you’re unable to report the prevented planting acreage within the 15 calendar days following the final planting date, a late-filed report can be submitted. Late-filed reports will only be accepted if FSA conducts a farm visit to assess the eligible disaster condition that prevented the crop from being planted. A measurement service fee will be charged.
Additionally, if you have failed acres, you should also use form CCC-576, Notice of Loss, to report failed acres.
For hand-harvested crops and certain perishables, you must notify FSA of damage or loss through the administrative county office within 72 hours of the date of damage or loss first becomes apparent. This notification can be provided by filing a CCC-576, email, fax or phone. If you notify the County Office by any method other than by filing the CCC-576, you are still required to file a CCC-576, Notice of Loss, within the required 15 calendar days.
For losses on crops covered by the Noninsured Crop Disaster Assistance Program (NAP), you must file a Notice of Loss within 15 days of the occurrence of the disaster or when losses become apparent. You must timely file a Notice of Loss for failed acres on all crops including grasses.
To file a Notice of Loss, contact your local USDA Service Center or visit www.fsa.usda.gov.
USDA announced that distressed borrowers with qualifying USDA farm loans have already received nearly $800 million in assistance, as part of the $3.1 billion in assistance for distressed farm loan borrowers provided through Section 22006 of the Inflation Reduction Act (IRA). The IRA directed USDA to expedite assistance to distressed borrowers of direct or guaranteed loans administered by USDA’s Farm Service Agency (FSA) whose operations face financial risk.
This recent announcement in October 2022 kicks off a process to provide assistance to distressed farm loan borrowers using several complementary approaches, with the goal of keeping them farming, removing obstacles that currently prevent many of these borrowers from returning to farming, and improving the way that USDA approaches borrowing and servicing. Through this assistance, USDA is focused on generating long-term stability and success for distressed borrowers.
Work has already started to bring some relief to distressed farmers. As of Oct. 2022, over 13,000 borrowers have already benefited from the resources provided under the Inflation Reduction Act as follows:
- Approximately 11,000 delinquent direct and guaranteed borrowers had their accounts brought current. USDA also paid the next scheduled annual installment for these direct loan borrowers giving them peace of mind in the near term.
- Approximately 2,100 borrowers who had their farms foreclosed on and still had remaining debt have had this debt resolved in order to cease debt collections and garnishment relieving that burden that has made getting a fresh start more difficult.
In addition to the automatic assistance already provided, USDA has also outlined steps to administer up to an additional $500 million in payments to benefit the following distressed borrowers:
- USDA will administer $66 million in separate automatic payments, using COVID-19 pandemic relief funds, to support up to 7,000 direct loan borrowers who used FSA’s disaster-set-aside option during the pandemic to move their scheduled payments to the end of their loans.
- USDA is also initiating two case-by-case processes to provide additional assistance to farm loan borrowers. Under the first new process, FSA will review and assist with delinquencies from 1,600 complex cases, including cases in which borrowers are facing bankruptcy or foreclosure. The second new process will add a new option using existing direct loan servicing criteria to intervene more quickly and help an estimated 14,000 financially distressed borrowers who request assistance to avoid even becoming delinquent.
More details on each of the categories of assistance, including a downloadable fact sheet, are available on the Inflation Reduction Act webpage on farmers.gov.
Similar to other USDA assistance, all of these payments will be reported as income and borrowers are encouraged to consult their tax advisors. USDA also has resources and partnerships with cooperators who can provide additional assistance and help borrowers navigate the process.
The announcement today is only the first step in USDA’s efforts to provide assistance to distressed farm loan borrowers and respond to farmers and to improve the loan servicing efforts at USDA by adding more tools and relaxing unnecessary restrictions. Additional announcements and investments in assistance will be made as USDA institutes these additional changes and improvements.
This effort will ultimately also include adding more tools and relaxing unnecessary restrictions through assistance made possible by Congress through the IRA. Further assistance and changes to the approach will be made in subsequent phases.
Background
USDA provides access to credit to approximately 115,000 producers who cannot obtain sufficient commercial credit through direct and guaranteed farm loans, which do not include farm storage facility loans or marketing assistance loans. With the funds and direction Congress provided in Section 22006 of IRA, USDA is taking action to immediately provide relief to qualifying distressed borrowers whose operations are at financial risk while working on making transformational changes to how USDA goes about loan servicing in the long run so that borrowers are provided the flexibility and opportunities needed to address the inherent risks and unpredictability associated with agricultural operations and remain in good financial standing.
In January 2021, USDA suspended foreclosures and other adverse actions on direct farm loans due to the pandemic and encouraged guaranteed lenders to follow suit. Last week, USDA reiterated this request to guaranteed lenders to provide time for the full set of IRA distressed borrower assistance to be made available before lenders take irreparable actions.
Producers can explore available loan options using the Farm Loan Discovery Tool on farmers.gov (also available in Spanish) or by contacting their local USDA Service Center. Producers can also call the FSA call center at 877-508-8364 between 8 a.m. and 7 p.m. Eastern. USDA has tax-related resources available at farmers.gov/taxes.
Farmers and ranchers rely on crop insurance to protect themselves from disasters and unforeseen events, but not all crops are insurable through the USDA’s Risk Management Agency. The Farm Service Agency’s (FSA) Noninsured Crop Disaster Assistance Program (NAP) provides producers another option to obtain coverage against disaster for these crops. NAP provides financial assistance to producers of non-insurable crops impacted by natural disasters that result in lower yields, crop losses, or prevents crop planting.
Commercially produced crops and agricultural commodities for which crop insurance is not available are generally eligible for NAP. Eligible crops include those grown specifically for food, fiber, livestock consumption, biofuel or biobased products, or value loss crops such as aquaculture, Christmas trees, ornamental nursery, and others. Contact your local FSA office to see which crops are eligible in your state and county.
Eligible causes of loss include drought, freeze, hail, excessive moisture, excessive wind or hurricanes, earthquake and flood. These events must occur during the NAP policy coverage period, before or during harvest, and the disaster must directly affect the eligible crop. For guidance on causes of loss not listed, contact your local FSA county office.
Interested producers apply for NAP coverage using FSA form CCC-471, “Application for Coverage,” and pay the applicable service fee at the FSA office where their farm records are maintained. These must be filed by the application closing date, which varies by crop. Contact your local FSA office to verify application closing dates and ensure coverage for eligible NAP crops.
At the time of application, each producer acknowledges they have received the NAP Basic Provisions, which describes NAP requirements for coverage. NAP participants must report crop acreage shortly after planting and provide verifiable or reliable crop production records when required by FSA.
Producers are required to pay service fees which vary depending on the number of crops and number of counties your operation is located in. The NAP service fee is the lesser of $325 per crop or $825 per producer per administrative county, not to exceed a total of $1,950 for a producer with farming interests in multiple counties. Premiums also apply when producers elect higher levels of coverage with a maximum premium of $15,750 per person or legal entity.
A producer’s certification on Form CCC-860 Socially Disadvantaged, Limited Resource, Beginning and Veteran Farmer or Rancher Certification may serve as an application for basic NAP coverage for all eligible crops beginning with crop year 2022. These producers will have all NAP-related service fees for basic coverage waived, in addition to a 50 percent premium reduction if higher levels of coverage are elected.
For more detailed information on NAP, download the NAP Fact Sheet. To get started with NAP, we recommend you contact your local USDA service center.
USDA is accepting more than 1 million acres in this year’s Conservation Reserve Program (CRP) General signup. This is one of several signups that USDA’s Farm Service Agency (FSA) is holding for the program. The results for CRP General signup reflect the continued importance of CRP as a tool to help producers invest in the long-term health, sustainability, and profitability of their land and resources. Offers for new land in this General CRP signup totaled about 295,000 acres nationwide. Producers submitted re-enrollment offers for 891,000 expiring acres, reflecting the successes of participating in CRP longer term. The total number of CRP acres will continue to climb in the coming weeks once FSA accepts acres from the Grassland CRP signup, which closed May 26. Additionally, so far this year, FSA has received 761,000 offered acres for the Continuous CRP signup, for which FSA accepts applications year-round. The number of accepted acres that are enrolled in General CRP will be confirmed later this year. Participating producers and landowners should also remember that submitting and accepting a CRP offer is the first step, and producers still need to develop a conservation plan before contracts become effective on October 1, 2023. Each year, during the window between offer acceptance and land enrollment, some producers ultimately decide not to enroll some accepted acres, without penalty.
General CRP Signup
The General CRP Signup 60 ran from February 27 through April 7, 2023. Through CRP, producers and landowners establish long-term, resource-conserving plant species, such as approved grasses or trees, to control soil erosion, improve soil health and water quality, and enhance wildlife habitat on agricultural land. In addition to the other well-documented benefits, lands enrolled in CRP are playing a key role in climate change mitigation efforts across the country. In 2021, FSA introduced improvements to the program, which included a new Climate-Smart Practice Incentive to increase carbon sequestration and reduce greenhouse gas emissions. This incentive provides an annual 3, 5, or 10 percent incentive payment based on the predominant vegetation type for the practices enrolled – from grasses to trees to wetland restoration.
Other CRP Signups
Grassland CRP is a working lands program that helps producers and landowners protect grassland from conversion while enabling haying and grazing activities to continue. Lands enrolled support haying and grazing operations and promotes plant and animal biodiversity. Lands are also protected from being converted to uses other than grassland. This year’s signup for Grassland CRP ran from April 17 through May 26. Continuous CRP, in which producers and landowners can enroll 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. Continuous CRP includes the State Acres for Wildlife Enhancement (SAFE) Initiative, the Farmable Wetlands Program (FWP), and the Conservation Reserve Enhancement Program (CREP). In CREP, which is available in certain geographies, partnerships with States, Tribes, and other entities are leveraged for participants to receive a variety of added incentives and flexibilities. Also available is the Clean Lakes Estuaries and Rivers (CLEAR) initiative. CLEAR30, a signup opportunity under that initiative available nationwide, gives producers and landowners across the country the opportunity to enroll in 30-year CRP contracts for water quality practices.
To learn more about FSA programs, producers can contact their local USDA Service Center. Producers can also prepare maps for acreage reporting as well as manage farm loans and view other farm records data and customer information by logging into their farmers.gov account. If you don’t have an account, sign up today.
| May 15 |
Peas and potato reporting deadline to FSA |
| July 14 |
ERP(2) & PARP deadline |
| July 17 |
Spring planted crop reporting deadline to FSA |
| August 15 |
FCIC processing beans crop reporting deadline to FSA |
| October 6 |
Emergency loan application deadline |
| **Any crops planted after the deadline have 15 calendar days from the day of planting to report to the county office. |
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