Illinois - November 2023 FPAC Newsletter

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US Department of Agriculture

November  FPAC Newsletter  -  November, 2023

In This Issue:


A Message from the State Executive Director

SED

As the leaves turn and begin to fall, creating crisp, colorful carpets, the raking, mulching and burning has begun. Autumn is definitely in the air.  While driving the countryside, I still see a little harvesting and ground tillage being completed as we wrap up another successful fall harvest in Illinois.

Although Veterans Day is past, I would still like to take a moment to remember all the veterans and their many sacrifices for the sake of keeping so many others safe!  Thank you to those that left their families and comfort zones; to those that did without the luxuries of their warm beds and cozy homes; those that missed many family dinners at Grandma’s on Sundays; and to those that lost their lives, to ensure our country is a safe place for all of us to live.  Next week we will be celebrating Thanksgiving with our families and friends.  Not only on Thanksgiving but every day, I am thankful for the many freedoms we experience in this country.  Many other countries are not as blessed with the opportunities that we have, here in America and for that, I am very grateful.  We forever owe all our veterans for their selfless sacrifices, as you they made it possible for us to live in America, the home of the brave!

I have a few things to mention this month:

On October 31st USDA-FSA announced the Emergency Relief Program (ERP) 2022 sign up.  ERP 2022 will provide more than $3 billion to commodity and specialty crop producers impacted by natural disaster events in 2022.  The program will help offset the financial impacts of crop yield and value losses from qualifying disasters occurring in 2022.  There has not been a deadline for the program announced yet.   Contact or visit your local County FSA Office for more information or to apply today.

The 2023 FSA County Committee (COC) nomination ballots were mailed to eligible producers the week of November 6th and must be returned by COB December 4, 2024.  Producers elected will begin their roles on the FSA COCs on January 1, 2024.

We continue to fill open positions at FSA as employees retire and or transfer positions.  FSA open positions are advertised through USAjobs, if you or anyone you know may be interested in an FSA career, please go to https://www.usajobs.gov for current available positions. 

Important Dates to Remember:

November 23, 2023 – Thanksgiving Day - FSA Offices are Closed
December 4, 2023-County Committee election ballots must be returned to FSA Offices December 25, 2023 – Christmas Day Holiday – FSA Offices are Closed
January 1, 2024 – New Years Day Holiday – FSA Office are Closed
January 30, 2024–Final date to apply for 2023 Livestock Forage Disaster
February 29, 2024–Final date to apply for Livestock Indemnity Program

My family and I would like to wish you a wonderful Thanksgiving, and hope you enjoy your time with your families. 

As always, stay safe on and around the farm, your families will be very thankful that you do.

Scott Halpin
State Executive Director
Farm Service Agency


Is the Noninsured Crop Disaster Assistance Program Right for You?

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.


Disaster Assistance Available for Livestock Losses

The Livestock Indemnity Program (LIP) provides assistance to you for livestock deaths in excess of normal mortality caused by adverse weather, disease and attacks by animals reintroduced into the wild by the federal government or protected by federal law.

For disease losses, FSA county committees can accept veterinarian certifications that livestock deaths were directly related to adverse weather and unpreventable through good animal husbandry and management.

For 2023 livestock losses, you must file a notice within 30 calendar days of when the loss is first apparent.  You then must provide the following supporting documentation to your local FSA office no later than 60 calendar days after the end of the calendar year in which the eligible loss condition occurred.

  • Proof of death documentation
  • Copy of grower’s contracts
  • Proof of normal mortality documentation

USDA has established normal mortality rates for each type and weight range of eligible livestock, i.e. Adult Beef Cow = 1.5% and Non-Adult Beef Cattle (less than 250 pounds) = 5%.  These established percentages reflect losses that are considered expected or typical under “normal” conditions.

In addition to filing a notice of loss, you must also submit an application for payment by March 1, 2024.

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


NRCS Seminars

 

Conservation Cropping 2024 Seminars

Attention Illinois Farmers! The annual Conservation Cropping Seminar will be taking place January 31st, 2024 with both virtual and in-person options.  The event will be held from 9am-3:30pm with the in-person attendees meeting at the Illinois Department of Ag Building in Springfield, IL.  The in-person event costs only $25 (lunch included) and the virtual tickets are only $15. Soil & water CEUs will be available.

This event is an excellent way to learn more on how to improve soil health, cover crops, adopt new technologies, improve root health, manage nutrients, and hear the latest on agronomic research.  There will be a question & answer session with an IL farmer panel, as well as helpful resources to access.

Topics & speakers for this year include:

∙ Alternative Farming Methods

   Greg Thoren-Stockton, Illinois farmer

∙ Next Generation of Digital Agriculture: Digital  De-commoditization, Smart Tillage, and AI

   Dr. Lars Dyrud-Earth Optics

∙ Struggles with Stratification

   Marion Calmer-Calmer Corn Heads

∙ Banded Systems Management – To the Root of High Yield

   Chris Perkins-Banded Ag, LLC

∙ Farmer Panel

This event is organized and made possible with the involvement and support of the Illinois Department of Agriculture, Illinois Environmental Protection Agency, USDA’s Natural Resources Conservation Service, Champaign County Soil and Water Conservation District, Doug Hanson, Randy McElroy, and local Soil & Water Conservation Districts. Look for newspaper stories, ads, tweets, Facebook posts, and other reminders!

Don’t miss this opportunity to learn from the experts and network with other conservation-minded attendees.  Register by January 24th at https://www.ccswcd.com/conservation-cropping-seminars to learn more and reserve your spot. In-person spots are limited so sign-up today!


Making Farm Reconstitutions

When changes in farm ownership or operation take place, a farm reconstitution is necessary. The reconstitution — or recon — is the process of combining or dividing farms or tracts of land based on the farming operation.

To be effective for the current fiscal year, farm combinations and farm divisions must be requested by August 1 of the fiscal year for farms subject to the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) program.  A reconstitution is considered to be requested when all of the required signatures are on FSA-155 and all other applicable documentation, such as proof of ownership, is submitted.

Total Conservation Reserve Program (CRP) and non-ARC/PLC farms may be reconstituted at any time. 

The following are the different methods used when doing a farm recon:

  • Estate Method — the division of bases, allotments and quotas for a parent farm among heirs in settling an estate
  • Designation of Landowner Method — may be used when (1) part of a farm is sold or ownership is transferred; (2) an entire farm is sold to two or more persons; (3) farm ownership is transferred to two or more persons; (4) part of a tract is sold or ownership is transferred; (5) a tract is sold to two or more persons; or (6) tract ownership is transferred to two or more persons. In order to use this method, the land sold must have been owned for at least three years, or a waiver granted, and the buyer and seller must sign a Memorandum of Understanding
  • DCP Cropland Method — the division of bases in the same proportion that the DCP cropland for each resulting tract relates to the DCP cropland on the parent tract
  • Default Method — the division of bases for a parent farm with each tract maintaining the bases attributed to the tract level when the reconstitution is initiated in the system.

Actively Engaged Provisions for Non-Family Joint Operations or Entities

Many Farm Service Agency (FSA) programs require all program participants, either individuals or legal entities, to be “actively engaged in farming.”  This means participants provide a significant contribution to the farming operation, whether it is capital, land, equipment, active personal labor and/or management.  For entities, each partner, stockholder or member with an ownership interest, must contribute active personal labor and/or management to the operation on a regular basis that is identifiable and documentable as well as separate and distinct from contributions of any other member. Members of joint operations must have a share of the profits or losses from the farming operation commensurate with the member’s contributions to the operation and must make contributions to the farming operation that are at risk for a loss, with the level of risk being commensurate with the member’s claimed share on the farming operation.

Joint operations comprised of non-family members or partners, stockholders or persons with an ownership in the farming operation must meet additional payment eligibility provisions.  Joint operations comprised of family members are exempt from these additional requirements.  For 2016 and subsequent crop years, non-family joint operations can have one member that may use a significant contribution of active personal management exclusively to meet the requirements to be determined “actively engaged in farming.”  The person or member will be defined as the farm manager for the purposes of administering these management provisions. 

Non-family joint operations may request to add up to two additional managers for their farming operation based on the size and/or complexity of the operation.  If additional farm managers are requested and approved, all members who contribute management are required to complete form CCC-902MR, Management Activity Record.  The farm manager should use the form to record management activities including capital, labor and agronomics, which includes crop selection, planting decisions, acquisition of inputs, crop management and marketing decisions.  One form should be used for each month and the farm manager should enter the number of hours of time spent for each activity under the date of the month the actions were completed.  The farm manager must also document if each management activity was completed on the farm or remotely. 

The records and supporting business documentation must be maintained and timely made available for review by the appropriate FSA reviewing authority, if requested.  If the farm manager fails to meet these requirements, their contribution of active personal management to the farming operation for payment eligibility purposes will be disregarded and their payment eligibility status will be re-determined for the applicable program year.

In some instances, additional persons or members of a non-family member joint operation who meet the definition of farm manager may also be allowed to use such a contribution of active personal management to meet the eligibility requirements.  However, under no circumstances may the number of farm managers in a non-family joint operation exceed a total of three in any given crop and program year.


FSA Offers Drought Assistance for Livestock Producers Through Emergency Assistance for Livestock, Honey Bees and Farm-raised Fish Program (ELAP)

If you’ve suffered above normal expenses for hauling feed or water to livestock or hauling livestock to forage/grazing acres due to the impacts of drought, you may be eligible for financial assistance through the Emergency Assistance for Livestock, Honey Bees, and Farm-Raised Fish Program (ELAP).  The following Illinois counties have reached the D3 designation:  Adams, Hancock, Pike, Randolph, and Schuyler, Stephenson, and Winnebago.  The Illinois counties that have reached the D2 designation: Boone, Fulton, Mason, McDonough, McHenry, Mercer, and Tazewell.

For eligible producers in qualifying counties, ELAP provides financial assistance for:

  • the transportation of water to livestock;
  • the above normal cost of mileage for transporting feed to livestock,
  • the above normal cost of transporting livestock to forage/grazing acres.*

*Hauling livestock one-way, one haul per animal reimbursement and no payment for “empty miles.”

Eligible livestock include cattle, buffalo, goats and sheep, among others, that are maintained for commercial use and located in a county where the qualifying drought conditions occur.  A county must have had D2 severe drought intensity on the U.S. Drought Monitor for eight consecutive weeks during the normal grazing period, or D3 or D4 drought intensity at any time during the normal grazing period.  Producers must have risk in both eligible livestock and eligible grazing land in an eligible county to qualify for ELAP assistance.

Water Transportation

For ELAP water transportation assistance, a producer must be transporting water to eligible livestock on eligible grazing land where the producer had adequate livestock watering systems or facilities in place before the drought occurred and where they do not normally require the transportation of water.  Payments are for costs associated with personal labor, equipment, hired labor, equipment, and/or contracted water transportation fees. Cost of the water itself is not covered.  The ELAP payment formula uses a national average price per gallon.

Above Normal Costs of Transporting Feed

ELAP provides financial assistance to livestock producers who incur above normal expenses for transporting feed to livestock during drought.  The payment formula excludes the first 25 miles and any mileage over 1,000 miles. The reimbursement rate is 60% of the costs above what would normally have been incurred during the same time period in a normal (non-drought) year.

Above Normal Costs of Transporting Livestock to Forage/Grazing Acres

ELAP provides financial assistance to livestock producers who are hauling livestock to a new location for feed resources due to insufficient feed and/or grazing in drought-impacted areas.  Please contact your county FSA office for additional details.

For calendar year 2022 forward, producers must submit a notice of loss to your local FSA office within 30 calendar days of when the loss is apparent; producers should contact their county FSA office as soon as the loss of water resources or feed resources are known.  For ELAP eligibility, documentation of expenses is critical.  Producers should maintain records and receipts associated with the costs of transporting water to eligible livestock, the costs of transporting feed to eligible livestock, and the costs of transporting eligible livestock to forage/grazing acres.

ELAP also offers assistance to producers impacted by wildfire.  Contact your county FSA office for more information on ELAP resources for wildfire losses.  In addition, beekeepers also can benefit from ELAP provisions and should contact their county FSA office within 15 calendar days of when a loss occurs or from when the loss is apparent.

For more information and additional eligibility requirements, contact your local County USDA Service Center or visit fsa.usda.gov.

Disaster Assistance Available for Livestock Losses

The Livestock Indemnity Program (LIP) provides assistance to you for livestock deaths in excess of normal mortality caused by adverse weather, disease and attacks by animals reintroduced into the wild by the federal government or protected by federal law.

For disease losses, FSA county committees can accept veterinarian certifications that livestock deaths were directly related to adverse weather and unpreventable through good animal husbandry and management.

For 2023 livestock losses, you must file a notice within 30 calendar days of when the loss is first apparent.  You then must provide the following supporting documentation to your local FSA office no later than 60 calendar days after the end of the calendar year in which the eligible loss condition occurred.

  • Proof of death documentation
  • Copy of grower’s contracts
  • Proof of normal mortality documentation

USDA has established normal mortality rates for each type and weight range of eligible livestock, i.e. Adult Beef Cow = 1.5% and Non-Adult Beef Cattle (less than 250 pounds) = 5%.  These established percentages reflect losses that are considered expected or typical under “normal” conditions.

In addition to filing a notice of loss, you must also submit an application for payment by March 1, 2024.

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


Applying for FSA Guaranteed Loans

Farm Loan Programs

FSA guaranteed loans allow lenders to provide agricultural credit to farmers who do not meet the lender's normal underwriting criteria.  Farmers and ranchers apply for a guaranteed loan through a lender, and the lender arranges for the guarantee.  FSA can guarantee up to 95 percent of the loss of principal and interest on a loan. Guaranteed loans can be used for both farm ownership and operating purposes. 

Guaranteed farm ownership loans can be used to purchase farmland, construct or repair buildings, develop farmland to promote soil and water conservation or to refinance debt.

Guaranteed operating loans can be used to purchase livestock, farm equipment, feed, seed, fuel, farm chemicals, insurance and other operating expenses.

FSA can guarantee farm ownership and operating loans up to $2,236,000.  Repayment terms vary depending on the type of loan, collateral and the producer's ability to repay the loan.  Operating loans are normally repaid within seven years and farm ownership loans are not to exceed 40 years.

For more information on guaranteed loans, contact your local County USDA Service Center or visit fsa.usda.gov.


Applying for FSA Direct Loans

FSA offers direct farm ownership and direct farm operating loans to producers who want to establish, maintain, or strengthen their farm or ranch.  Direct loans are processed, approved and serviced by FSA loan officers. 

Direct farm operating loans can be used to purchase livestock and feed, farm equipment, fuel, farm chemicals, insurance, and other costs including family living expenses. Operating loans can also be used to finance minor improvements or repairs to buildings and to refinance some farm-related debts, excluding real estate.

Direct farm ownership loans can be used to purchase farmland, enlarge an existing farm, construct and repair buildings, and to make farm improvements.

The maximum loan amount for direct farm ownership loans is $600,000 and the maximum loan amount for direct operating loans is $400,000 and a down payment is not required. Repayment terms vary depending on the type of loan, collateral and the producer's ability to repay the loan.  Operating loans are normally repaid within seven years and farm ownership loans are not to exceed 40 years.

Please contact your local FSA office for more information or to apply for a direct farm ownership or operating loan.


Urban and Innovative Producers, Public Invited to Attend November Meeting of Federal Advisory Committee for Urban Agriculture and Innovative Production 

The U.S. Department of Agriculture (USDA) encourages urban producers, innovative producers, and other stakeholders to submit comments for and virtually attend the upcoming public meeting of the Federal Advisory Committee for Urban Agriculture and Innovative Production (Committee) on November 29, 2023.  

“USDA relies on input from the urban agriculture and innovative production community to develop programs that meet their needs,” said Terry Cosby, Chief of USDA’s Natural Resources Conservation Service (NRCS), which houses USDA’s Office of Urban Agriculture and Innovative Production (OUAIP).  “I encourage members of the public to attend and submit comments for the Committee.”   

The Committee is part of USDA’s efforts to support urban and innovative agriculture, creating a network for feedback.  Members include agricultural producers and representatives from higher education or extension programs, non-profits, business and economic development, supply chains and financing.  The committee last met in August 2023.   

About the Meeting  

Topics for the upcoming meeting will include addressing public comments and discussing the following recommended topics:

  • Federal crop insurance for innovative producers
  • Research, extension, and education in innovative production
  • Access to technical assistance
  • Urban soil health and safety
  • Scholarship and education support

The Committee will deliberate and vote on proposed recommendations and address public comments during the meeting.  USDA will share the agenda between 24 to 48 hours prior to the meeting on the Committee’s webpage.

The virtual meeting will run from 1 p.m. to 3 p.m. Eastern on November 29, 2023. To attend virtually, register by November 29, 2023, on the Committee’s webpage. To submit comments, send by 11:59 p.m. ET on December 13, 2023, through the Federal eRulemaking Portal.  Docket NRCS-2023-0019. For special accommodations, contact Markus Holliday at UrbanAgricultureFederalAdvisoryCommittee@usda.gov. Additional details are available in the Federal Register notice. 

More Information   

The OUAIP was established through the 2018 Farm Bill.  It is led by NRCS and works in partnership with numerous USDA agencies that support urban agriculture and innovative production.  The Committee is part of a broad USDA investment in urban agriculture. Other efforts include:       

  • Investing $9.1 million for Urban Agriculture and Innovative Production competitive grants in fiscal year 2023.   
  • Investing a projected $9.5 million for Composting and Food Waste Reduction (CFWR) pilot projects for fiscal year 2023 solicitation.  
  • Renewing the People’s Garden movement to connect communities with gardens across the country, grow using sustainable practices that benefit people and wildlife, and teach about gardening and resilient, local food systems.
  • Providing technical and financial assistance through NRCS conservation programs.    
  • Organizing 17 Farm Service Agency urban county committees and opening USDA urban service centers in the 17 cities.   
  • Investing nearly $44 million in grants through the Agricultural Marketing Service’s Local Agriculture Market Program (LAMP) fiscal year 2023 funding that develop, coordinate, and expand producer-to-consumer marketing, local and regional food markets, and local food enterprises.   
  • Helping child nutrition program operators incorporate local foods through the Food and Nutrition Services Farm to School Program.  

USDA touches the lives of all Americans each day in so many positive ways.  Under the Biden-Harris administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy, and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities throughout America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America.  To learn more, visit www.nrcs.usda.gov/il.  


Report Banking Changes to FSA

Farm Service Agency (FSA) program payments are issued electronically into your bank account. In order to receive timely payments, you need to notify your FSA servicing office if you close your account or if your bank information is changed for any reason (such as your financial institution merging or being purchased).  Payments can be delayed if FSA is not notified of changes to account and bank routing numbers.

For some programs, payments are not made until the following year.  For example, payments for crop year 2019 through the Agriculture Risk Coverage and Price Loss Coverage program aren’t paid until 2020.  If the bank account was closed due to the death of an individual or dissolution of an entity or partnership before the payment was issued, please notify your local FSA office as soon as possible to claim your payment.


November Interest Rates and Important Dates

Interest Rates


Illinois / FPAC Newsletter

3500 Wabash Ave.
Springfield, Illinois 62711
Phone: 217-241-6600
Fax: 217-855-800-1760
Natural Resources Conservation Service
2118 W. Park Court
Champaign, Illinois 61821
217-353-6600

 

 

Farm Service Agency
Scott Halpin
State Executive Director

Risk Management Agency
Brian Frieden
Regional Director

Natural Resources Conservation Service
Tammy Willis
State Conservationist

 

   





 


USDA is an equal opportunity provider, employer and lender. To file a complaint of discrimination, write: USDA, Office of the Assistant Secretary for Civil Rights, Office of Adjudication, 1400 Independence Ave., SW, Washington, DC 20250-9410 or call (866) 632-9992 (Toll-free Customer Service), (800) 877-8339 (Local or Federal relay), (866) 377-8642 (Relay voice users).