New York FSA August News

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New York FSA Newsletter - August 9, 2023

Dates to Remember

July 26
Aug 11

Organic Dairy Marketing Assistance Program Deadline

Aug 15

Acreage Reporting Deadline for Cabbage and Beans

Sept 1

Noninsured Crop Disaster Assistance Program (NAP) Coverage Deadline for garlic

Sept 4

All Offices Closed for Labor Day

Oct 2

Noninsured Crop Disaster Assistance Program (NAP)  Coverage Deadline for all perennial grasses, alfalfa, clover, and mixed forage; all small grains such as barley, oats, wheat, and rye; and value loss crops (aquaculture, Christmas trees, finfish, floriculture, ginseng root, ginseng seed, mollusk, mushrooms, and turf grass sod)

Oct 2

Acreage Reporting Deadline for value loss/controlled environment crops for subsequent year (except nursery). Includes Mollusk, Christmas trees, floriculture and turf grass sod.

Oct 31

Organic Certification Cost-Share Program Deadline

Oct 31

Deadline to apply for Inflation Reduction Act Section 22007 – Discrimination Financial Assistance Program

Ongoing

Conservation Reserve Program (CRP) - Continuous Enrollment


From the State Executive Director

Barber

It’s the peak of summer here in New York! County fairs are in full swing, local sweet corn and tomatoes are ripe and delicious, and FSA offices are finished with our big crop reporting rush. Of course, we still have deadlines on the horizon. This Friday, the 11th is the final day for organic dairy producers to sign up for the Organic Dairy Marketing Assistance Program. If you know an organic dairy producer, make sure they’ve taken advantage of this payment program!

Last month, Secretary Vilsack announced the opening of the financial assistance application process for eligible farmers, ranchers, and forest landowners who experienced discrimination in USDA farm lending programs prior to January 2021. Section 22007 of the Inflation Reduction Act (IRA) directs USDA to provide this assistance. Since the law’s passage, USDA has worked diligently to design the Discrimination Financial Assistance Program in accordance with significant stakeholder input. The program website, 22007apply.gov, is now open. The website includes an English- and Spanish-language application that applicants can download or submit via an e-filing portal. The website also has information on how to obtain technical assistance in-person or virtually, and additional resources and details about the program. 

Recently, we have become aware of some groups attempting to deceive farmers into paying for their legal services to apply for the 22007 program. The application process for 22007 is free and no legal fees will be paid by the USDA. We have a group of organizations tasked with helping producers, at no cost, to apply for the 22007 program: AgrAbilityFarmer Veteran CoalitionFarmers’ Legal Action GroupFederation of Southern CooperativesIntertribal Agriculture CouncilLand Loss Prevention ProgramNational Young Farmers Coalition, and Rural Coalition.  Make sure you are working with a reputable organization and applying on the 22007apply.gov website. Applicants can also use the free call center at: 1-800-721-0970 to request assistance. The application process for 22007 is open through October 31, 2023.

All the best,

Jim Barber


USDA Extends Deadline for Organic Dairy Marketing Assistance Until August 11

USDA is extending the deadline for the new Organic Dairy Marketing Assistance Program (ODMAP) to August 11, 2023. This extension gives organic dairy producers more than two additional weeks to apply for the program. ODMAP helps producers mitigate market volatility, higher input and transportation costs, and unstable feed supply and prices that have created unique hardships in the organic dairy industry. This assistance will help keep organic dairy operations sustainable until markets return to more normal conditions.   

Through USDA’s Farm Service Agency (FSA), $104 million is available to organic dairy operations to assist with projected marketing costs in 2023. Eligible producers include certified organic dairy operations that produce milk from cows, goats and sheep. ODMAP assistance is calculated using a producers’ marketing costs in 2022. For new, transitioning or expanded organic dairy operations, assistance is based on projected marketed production in 2023. Eligible producers include certified organic dairy operations that produce milk from cows, goats and sheep. 

FSA will make an initial ODMAP payment to eligible applicants factored by 75%. If funds remain at the end of the application period, an additional payment, not to exceed the remaining 25%, may be issued to eligible producers.   

Signup opened May 24 and closes Aug. 11, 2023. To apply, producers should contact FSA at their local USDA Service Center. To complete the ODMAP application, producers must certify to pounds of 2022 milk production or to a projection of marketed pounds in 2023, if applicable, and submit a completed application form.   

At the time of application, organic dairy operations are required to provide their USDA certification of organic status confirming the operation as an organic dairy in 2023 and 2022 along with the certification of 2022 milk production in hundredweight.  

ODMAP complements other assistance available to dairy producers, including Dairy Margin Coverage (DMC) and Supplemental DMC, with more than $611 million in benefits paid for the 2023 program year to date.  For details, visit the FSA Dairy Programs webpage


Financial Assistance Application Process Opens for USDA Farm Loan Borrowers Who Have Faced Discrimination

USDA announced the opening of the financial assistance application process for eligible farmers, ranchers, and forest landowners who experienced discrimination in USDA farm lending programs prior to January 2021. Section 22007 of the Inflation Reduction Act (IRA) directs USDA to provide this assistance. Since the law’s passage, USDA has worked diligently to design the program in accordance with significant stakeholder input. 

The program website, 22007apply.gov, is now open. The website includes an English- and Spanish-language application that applicants can download or submit via an e-filing portal, information on how to obtain technical assistance in-person or virtually, and additional resources and details about the program. 

Farmers, ranchers, and forest landowners who experienced discrimination by USDA in its farm loan programs prior to January 1, 2021 and/or are currently debtors with assigned or assumed USDA farm loan debt that was the subject of USDA discrimination that occurred prior to January 1, 2021, are eligible for this program.  

To apply, borrowers have the option to apply via the e-filing portal at 22007apply.gov or submit paper-based forms via mail or in-person delivery to the program’s local offices. The application process will be open from July 7 to October 31, 2023. Under the planned timeline, applications will be reviewed in November and December, with payments reaching recipients soon thereafter. Importantly, applicants should know that the application process is not on a first come, first served, basis. All applications received or postmarked before the October 31 deadline will be considered. 

To support producers throughout the application process, USDA is ensuring that organizations with extensive experience conducting outreach to farm organizations are able to support individuals who may be eligible for the program. These groups include AgrAbilityFarmer Veteran CoalitionFarmers’ Legal Action GroupFederation of Southern CooperativesIntertribal Agriculture CouncilLand Loss Prevention ProgramNational Young Farmers Coalition, and Rural Coalition.  

Vendors operating four regional hubs are also providing technical assistance and working closely with these and other community-based organizations to conduct outreach using digital and grassroots strategies, to ensure potential applicants are informed about the program and have the opportunity to apply. These hubs are operating a network of brick-and-mortar program offices and will conduct extensive outreach about the program. Windsor Group serves farmers in the eastern regions of the U.S. and Analytic Acquisitions serves the western regions. A national administrator, Midtown Group, is responsible for program oversight and integrity, and will lead a national call-center, operate the application website - 22007apply.gov, which is now open – and review and process applications and payments. All vendors have experience in professional services, supporting government contracts, and complex program operations.   

In standing up this program, USDA has become aware of some lawyers and groups spreading misleading information about the discrimination assistance process, pressuring people to sign retainer agreements, and asking people to fill out forms with private and sensitive information. As of today, the official application process has begun and filling out an application is free. 

No attorneys’ fees will be paid to applicants or their counsel by USDA or by any other agency or department of the United States. The amount of financial assistance will not be increased for those claimants who are represented by an attorney. Applicants are not required to retain an attorney. USDA, the national administrator, and the regional hub vendors will neither recommend that any applicant retain counsel or retain a specific attorney or law firm, nor discourage an applicant from obtaining counsel or using a specific attorney or law firm. For more information, read our fact sheet about the program timeline and ways to protect against possible scams. 


Is the Noninsured Crop Disaster Assistance Program Right for You?

flickr garlic

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 Develops Simplified Direct Loan Application to Improve Customer Service

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


USDA Accepts Nearly 2.7 Million Acres in Grassland CRP Signup

dairy pasture usdaflickr

USDA is accepting offers for nearly 2.7 million acres from agricultural producers and private landowners through this year’s Grassland Conservation Reserve Program(CRP) signup, which received a record setting sign-up of 4.6 million acres in offers. This working lands program allows producers and landowners to continue grazing and haying practices while protecting grasslands and further the CRP’s impacts. Grassland CRP is part of the Biden-Harris administration’s broader effort to address climate change and conserve natural resources. 

Grassland CRP leverages working lands practices to improve biodiversity and conserve environmentally sensitive land. To target conservation in key geographies, USDA prioritizes land within two National Priority Zones: the Greater Yellowstone Ecosystem and the Dust Bowl area. Building upon the nearly 2.4 million acres already in the Priority Zones, this year’s more than 900,000 acres continues to robustly demonstrate that producers in these areas recognize the keen conservation value of Grassland CRP. Land enrolled in these zones will contribute to broader USDA conservation efforts through Working Lands for Wildlife by conserving working grasslands and other lands that underpin iconic big game migrations.  

Grasslands enrolled in CRP help sequester carbon in vegetation and soil, while enhancing resilience to drought and wildfire. Meanwhile, producers can still conduct common grazing practices, such as haying, mowing or harvesting seed from the enrolled land, which supports agricultural production.      

In addition to the Grassland signup, FSA also has accepted more than 1 million acres through the General signup, and more than 465,800 acres have been submitted through the Continuous CRP signup so far this year, on pace to be similar to last year’s nearly 900,000-acre enrollment.  

As part of USDA’s Justice40 efforts, producers and landowners who are underserved, including beginning farmers, limited-resource producers and military veterans, received 20 additional ranking points to enhance their offers. USDA accepted 1.8 million acres from underserved producers, about 74% of the total acres submitted by the 6,400 underserved producers who submitted offers.    

Additionally, USDA is working to broaden the scope and reach of Grassland CRP by leveraging CREP to engage underserved communities. CREP is a partnership program that enables states, Tribal governments, and non-profit entities to partner with FSA to implement CRP practices and address high priority conservation and environmental objectives. Interested entities are encouraged to contact FSA.    

Producers can still make an offer to participate in CRP through the Continuous CRP signup, which is ongoing, by contacting FSA at their local USDA Service Center.   


USDA Microloans Help Farmers Purchase Farmland and Improve Property

flickr Holstein calf

Farmers can use USDA farm ownership microloans to buy and improve property. These microloans are especially helpful to beginning or underserved farmers, U.S. veterans looking for a career in farming, and those who have small and mid-sized farming operations. Microloans have helped farmers and ranchers with operating costs, such as feed, fertilizer, tools, fencing, equipment, and living expenses since 2013.

Microloans can also help with farmland and building purchases and soil and water conservation improvements. FSA designed the expanded program to simplify the application process, expand eligibility requirements and expedite smaller real estate loans to help farmers strengthen their operations. Microloans provide up to $50,000 to qualified producers and can be issued to the applicant directly from the USDA Farm Service Agency (FSA).

To learn more about the FSA microloan program, contact your local USDA Service Center or visit fsa.usda.gov/microloans.


Signature Policy

Using the correct signature when doing business with FSA can save time and prevent a delay in program benefits.

The following are FSA signature guidelines: 

  • A married woman must sign her given name: Mrs. Mary Doe, not Mrs. John Doe
  • For a minor, FSA requires the minor's signature and one from the minor’s parent

Note, by signing a document with a minor, the parent is liable for actions of the minor and may be liable for refunds, liquidated damages, etc.

When signing on one’s behalf the signature must agree with the name typed or printed on the form or be a variation that does not cause the name and signature to be in disagreement. Example - John W. Smith is on the form. The signature may be John W. Smith or J.W. Smith or J. Smith. Or Mary J. Smith may be signed as Mrs. Mary Joe Smith, M.J. Smith, Mary Smith, etc. 

FAXED signatures will be accepted for certain forms and other documents provided the acceptable program forms are approved for FAXED signatures. Producers are responsible for the successful transmission and receipt of FAXED information. 

Spouses may sign documents on behalf of each other for FSA and CCC programs in which either has an interest, unless written notification denying a spouse this authority has been provided to the county office. 

Spouses cannot sign on behalf of each other as an authorized signatory for partnerships, joint ventures, corporations or other similar entities.  Likewise, a spouse cannot sign a document on behalf of the other in order to affirm the eligibility of oneself. 

Any member of a general partnership can sign on behalf of the general partnership and bind all members unless the Articles of Partnership are more restrictive. Spouses may sign on behalf of each other’s individual interest in a partnership, unless notification denying a spouse that authority is provided to the county office. Acceptable signatures for general partnerships, joint ventures, corporations, estates, and trusts must consist of an indicator “by” or “for” the individual’s name, individual’s name and capacity, or individual’s name, capacity, and name of entity.

For additional clarification on proper signatures contact your local FSA office.


Applying for Farm Storage Facility Loans

sap tap usdaflickr

The Farm Service Agency’s (FSA) Farm Storage Facility Loan (FSFL) program provides low-interest financing to help you build or upgrade storage facilities and to purchase portable (new or used) structures, equipment and storage and handling trucks.

Eligible commodities include corn, grain sorghum, rice, soybeans, oats, peanuts, wheat, barley, minor oilseeds harvested as whole grain, pulse crops (lentils, chickpeas and dry peas), hay, honey, renewable biomass, fruits, nuts and vegetables for cold storage facilities, floriculture, hops, maple sap and syrup, rye, milk, cheese, butter, yogurt, meat and poultry (unprocessed), eggs, and aquaculture (excluding systems that maintain live animals through uptake and discharge of water). Qualified facilities include grain bins, hay barns and cold storage facilities for eligible commodities.  

Loans up to $50,000 can be secured by a promissory note/security agreement, loans between $50,000 and $100,000 may require additional security, and loans exceeding $100,000 require additional security.

You do not need to demonstrate the lack of commercial credit availability to apply. The loans are designed to assist a diverse range of farming operations, including small and mid-sized businesses, new farmers, operations supplying local food and farmers markets, non-traditional farm products, and underserved producers.

For more information, contact your local USDA Service Center or visit fsa.usda.gov/pricesupport.

Farm Service Agency
New York State Office

441 S. Salina St.
Syracuse, NY 13202

Phone: 315-477-6300
http://www.fsa.usda.gov/ny

State Executive Director:
Jim Barber

jim.barber2@usda.gov 

Farm Program Chief:
Jenifer Dean

jenifer.dean@usda.gov

Farm Loan Chief:
John Liddington

john.liddington@usda.gov

New York FSA State Committee

Norman Greig - Chairperson
Larry Eckhardt
Jill Gould
Julian Mangano
Michael McMahon


Current Interest Rates

Farm Storage Facility Loans:
3 yr - 4.375%​ ​
5 yr - 4.125%​ ​
7 yr - 4.000%​ ​​​
10 yr - 3.875%​ ​​
12 yr - 3.875%​
 ​

Commodity Loans: 6.375%

Farm Loan Programs:
Farm Operating: 4.875%
Farm Ownership: 5.000%
Conservation Loans: 5.000%
Direct Down Payment: 1.50%
Joint Financing: 3.000%

 

To find contact information for your local New York office click here.