USDA - Missouri State Office Newsletter - August 20, 2024
In This Issue:
USDA at the 2024 Missouri State Fair!
Did you know? USDA participates each year in the Missouri State Fair! USDA staff from a number of agencies including: Farm Service Agency, Natural Resource Conservation Service, Rural Development, National Agricultural Statistics Service and Risk Management Agency were present on different days at the USDA a booth in the Agriculture building on the fairgrounds. Agency volunteers worked directly with customers to enhance communication avenues, answer questions and provide insight into agency opportunities.The USDA booth was visited by thousands of fairgoers and shared resources with many of those individuals. Be sure to put the USDA Booth in the Agriculture building on your list to visit next year at the 2025 Missouri State Fair.
USDA supports the fair in more ways than just as a booth holder. Agency staff from the Pettis County USDA Service Center designed and created a parade float to participate in the 2024 Opening Day Parade following the fair theme 'Summer's Best Story'.
Outreach is a priority for USDA and our staff work diligently to be accessible and approachable when they are present at events. Feel welcome to reach out to your local USDA service center with outreach opportunities. Find your local office here.
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The U.S. Department of Agriculture (USDA) today announces changes to the Farm Service Agency’s (FSA) Farm Loan Programs, effective Sept. 25, 2024 — changes that are intended to increase opportunities for farmers and ranchers to be financially viable. These improvements, part of the Enhancing Program Access and Delivery for Farm Loans rule, demonstrate USDA’s commitment to improving farm profitability through farm loans designed to provide important financing options used by producers to cover operating expenses and purchase land and equipment.
Farm loan policy changes outlined in the Enhancing Program Access and Delivery for Farm Loans rule, are designed to better assist borrowers to make strategic investments in the enhancement or expansion of their agricultural operations.
The three most notable policy changes include:
- Establishing a new low-interest installment set-aside program for financially distressed borrowers. Eligible financially distressed borrowers can defer up to one annual loan installment per qualified loan at a reduced interest rate, providing a simpler and expedited option to resolve financial distress in addition to FSA’s existing loan servicing programs.
- Providing all eligible loan applicants access to flexible repayment terms that can increase profitability and help build working capital reserves and savings. By creating upfront positive cash flow, borrowers can find opportunities in their farm operating plan budgets to include a reasonable margin for increased working capital reserves and savings, including for retirement and education.
- Reducing additional loan security requirements to enable borrowers to leverage equity. This reduces the amount of additional security required for direct farm loans, including reducing the frequency borrowers must use their personal residence as additional collateral for a farm loan.
Additional Farm Loan Program Improvements
Under the Biden-Harris Administration, USDA’s FSA has embarked on a comprehensive and systemic effort to ensure equitable delivery of Farm Loan Programs and improve access to credit for small and mid-size family farms. FSA has also included additional data in its annual report to Congress to provide information that Congress, stakeholders, and the general public need to hold USDA accountable on the progress that has been made in improving services to underserved producers. This year’s report shows FSA direct and guaranteed loans were made to a greater percentage of young and beginning farmers and ranchers, as well as improvements in the participation rates of minority borrowers. The report also highlights FSA’s microloan program’s new focus on urban agriculture operations and niche market lending, as well as increased support for producers seeking direct loans for farm ownership in the face of increasing land values across the country.
FSA has a significant initiative underway to streamline and automate the Farm Loan Program customer-facing business process. For the over 26,000 producers who submit a direct loan application annually, FSA has made several impactful improvements including:
- The Loan Assistance Tool that provides customers with an interactive online, step-by-step guide to identifying the direct loan products that may be a fit for their business needs and to understanding the application process.
- The Online Loan Application, an interactive, guided application that is paperless and provides helpful features including an electronic signature option, the ability to attach supporting documents such as tax returns, complete a balance sheet, and build a farm operating plan.
- An online direct loan repayment feature that relieves borrowers from the necessity of calling, mailing, or visiting a local USDA Service Center to pay a loan installment.
- A simplified direct loan paper application, reduced from 29 pages to 13 pages.
USDA encourages producers to reach out to their local FSA farm loan staff to ensure they fully understand the wide range of loan and servicing options available to assist with starting, expanding, or maintaining their agricultural operation. To conduct business with FSA, please contact your local USDA Service Center
FSA helps America’s farmers, ranchers and forest landowners invest in, improve, protect and expand their agricultural operations through the delivery of agricultural programs for all Americans. FSA implements agricultural policy, administers credit and loan programs, and manages conservation, commodity, disaster recovery and marketing programs through a national network of state and county off ices and locally elected county committees. For more information, visit, www.fsa.usda.gov
USDA touches the lives of all Americans each day in so many positive ways. In 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 in rural 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.usda.gov.
2024 CRP signups successfully bring CRP nearer to acreage cap
The U.S. Department of Agriculture (USDA) is accepting offers for more than 2.2 million acres from agricultural producers and private landowners through this year’s Grassland, General, and Continuous Conservation Reserve Program (CRP) signups administered by USDA’s Farm Service Agency (FSA). With these accepted acres, enrollment is very near the 27 million CRP acreage cap.
Grassland CRP
Including the nearly 1.44 million acres recently accepted in Grassland CRP for offers received in 2024, producers will have enrolled more than 10 million acres in this popular working-lands program.
Grassland CRP allows producers and landowners to continue grazing and haying practices while protecting grasslands and further CRP’s impacts. Grassland CRP leverages working lands practices to improve biodiversity and conserve environmentally sensitive land.
Enrolled acres 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.
Top states for this year’s Grassland CRP signup include:
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Nebraska with 237,853 acres accepted
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Colorado with 218,145 acres accepted
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New Mexico with 185,619 acres accepted
Additionally, to target conservation in key geographies, USDA prioritizes land within two National Priority Zones: The Greater Yellowstone Ecosystem and the Dust Bowl area. The 2024 Grassland CRP enrollment has added more than 560,000 acres in the Priority Zones, bringing the total acres to 3.8 million. By conserving working grasslands and other lands that underpin iconic big game migrations, land enrolled in these zones contributes to broader USDA conservation efforts through Working Lands for Wildlife.
General and Continuous CRP
FSA also has accepted nearly 200,000 acres through the General signup, bringing total acres enrolled in General CRP to 7.9 million acres. As one of the largest private lands conservation programs in the United States, CRP offers a range of conservation options to farmers, ranchers and landowners. It has been an especially strong opportunity for farmers with less productive or marginal cropland, helping them re-establish valuable land cover to help improve water quality, prevent soil erosion and support wildlife habitat.
In January 2024, FSA opened enrollment for Continuous CRP. Under this enrollment, 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. To date, in 2024, more than 565,000 acres have been offered through Continuous CRP bringing the total acres enrolled to 8.5 million.
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.
MU Extension is excited to share Intel for Ag, a free online platform with decision-support tools designed to help beginning and established producers start or grow their agriculture ventures.
Intel for Ag guides users through land, marketing and management considerations using interactive maps, customizable reports and self-assessments. With Intel for Ag, individuals can self-evaluate their property’s suitability for specific products, as well as their own management capabilities and marketing opportunities for informed decision-making. Whether individuals are interested in putting their rural property to work, or existing agriculture operations are exploring opportunities to diversify their income, Intel for Ag offers insights to simplify the business planning process.
For questions about using Intel for Ag, please contact Mallory Rahe (MU Extension associate professor) at Mallory.rahe@missouri.edu or 573-884-7606.
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, 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 County USDA Service Center or visit fsa.usda.gov/pricesupport.
Agriculture offers a major potential to support water quality improvements nationwide. At USDA’s Natural Resources Conservation Service (NRCS), we deliver science and data, one-on-one technical support, and cost share opportunities to ensure this potential is realized.
This blog by Chief Terry Cosby details some of the key ways NRCS supports producers and conservation partners in improving water quality and strengthening agricultural operations through voluntary conservation.
Read Chief Cosby’s Blog
The University of Missouri Extension is hosting a virtual series on successfully producing perennial crops. This webinar series is targeting current or aspiring farmers, but all are welcome to attend!
- Topic in this Six Session Series Include:
- Peaches
- Apples and Pears
- Nuts
- Specialty Fruit Trees (Pawpaw, Persimmon, etc.)
- Syrup Trees
- Farmer Panel
- When:
- Tuesday's 6:30 PM - 8:00 PM
- September 10th through October 15th.
Where: Zoom
Price: $60.00
Registration for this webinar will also give you access to previously recorded classes on fruit production including the following topics: site selection & planting, fertility management, weed management, insect & disease management, marketing, and economics of fruit production. It is suggested that you attend the live classes and view the previously recorded topics on your own time. The live classes will also be recorded in case you miss one of the live classes.
$50 scholarship are available to Missouri beginning farmers in Missouri's Urban East Counties: St. Louis City/County, St. Charles, Jefferson, Lincoln, Franklin, Warren, St. Genevieve, St. Francois, and Washington Counties. Scholarships are available through a grant serving the listed counties. Scholarships are limited and will be awarded at checkout.
Register deadline: Monday September 9th at 5:00 p.m.. Zoom link and access to view previously recorded classes will be provided via email on the morning of the first class.
If you have additional questions call the Pike County MU Extension 573-324-5464.
This program is supported in part by the USDA NIFA under grant #2023-0075343
Equal Opportunity/ADA Institution For ADA accommodations call Karen Funkenbusch at 573-884-1268
Applications must be received by Sept. 15, 2024.
JEFFERSON CITY, Mo. –The Missouri Department of Agriculture announced funding for the Urban Agriculture Cost-Share Grant Program. The Department will award grants of up to $10,000 for reimbursement of expenses associated with urban agriculture and economic development. Applications are due by Sep. 15, 2024 and awarded projects must be complete or near completion by April 30, 2025.
The Urban Agriculture Cost-Share Grant will fund urban agriculture projects which may include introducing a new crop or product to an area, expanding the use of an agricultural product, or adding value to agricultural products. Applicants will only be reimbursed for 75% of the total project expenses made during the grant period.
Projects that demonstrate an economic benefit and potential for sustainable revenue generation and job creation will be given priority. Examples of projects include developing small agribusinesses, implement production infrastructure, creating direct distribution venues, developing agricultural workforce, or providing training and development skills for agricultural business sustainability.
Projects must reside in areas which have been designated as an urbanized area by the 2020 United States Census Bureau. If you have questions about your location qualifying, please reach out to Whitney.Williams@mda.mo.gov, or call (573)-751-7794.
Applications, grant guidelines and requirements can be found online here.
To learn more about the Missouri Department of Agriculture and other financial assistance, please visit Agriculture.Mo.Gov.
The USDA Farm Service Agency’s (FSA) Direct Farm Ownership loans can help farmers and ranchers become owner-operators of family farms, improve and expand current operations, increase agricultural productivity, and assist with land tenure to save farmland for future generations.
There are three types of Direct Farm Ownership Loans: regular, down payment and joint financing. FSA also offers a Direct Farm Ownership Microloan option for smaller financial needs up to $50,000.
Joint financing allows FSA to provide more farmers and ranchers with access to capital. FSA lends up to 50 percent of the total amount financed. A commercial lender, a State program or the seller of the property being purchased, provides the balance of loan funds, with or without an FSA guarantee. The maximum loan amount for a joint financing loan is $600,000, and the repayment period for the loan is up to 40 years.
The operation must be an eligible farm enterprise. Farm Ownership loan funds cannot be used to finance nonfarm enterprises and all applicants must be able to meet general eligibility requirements. Loan applicants are also required to have participated in the business operations of a farm or ranch for at least three years out of the 10 years prior to the date the application is submitted. The applicant must show documentation that their participation in the business operation of the farm or ranch was not solely as a laborer.
For more information about farm loans, contact your local USDA Service Center or visit fsa.usda.gov.
The Missouri Agricultural and Small Business Development Authority (MASBDA) is now accepting applications for a new program supporting beginning farmers.
A farm owner may qualify for a deduction from their Missouri adjusted gross income based on the income received by either selling or renting/leasing farmland to a beginning farmer.
A farm owner who sold farmland to a beginning farmer on, or after, Aug. 28, 2023, may subtract from their Missouri adjusted gross income, to the extent included in federal adjusted gross income, an amount equal to the portion of capital gains received from the sale of the farmland according to the following:
Capital Gain Amount: Percentage of Capital Gains Subtraction:
$0 - $2 million 100%
$2,000,001 - $3,000,000 80%
$3,000,001 - $4,000,000 60%
$4,000,001 - $5,000,000 40%
$5,000,001 - $6,000,000 20%
A farm owner who rents, leases or enters into a crop-share arrangement (not exceeding 10 years) with a qualified beginning farmer may also qualify for a deduction to their Missouri adjusted gross income. This deduction will be equal to the amount of annual income received by the farm owner under the agreement, to the extent included in federal adjusted gross income, up to $25,000 per tax year.
Once MASBDA verifies both the farm owner and beginning farmer meet the requirements of the program, a dated certification letter will be provided to the farm owner. The beginning farmer and the Missouri Department of Revenue will also be provided a copy of the certification. To receive the deduction, it is the responsibility of the farm owner to provide the certification to the Missouri Department of Revenue when filing their tax return, using Form MO-5955. For transactions that took place in tax year 2023, the farm owner may have to file an amended return to utilize the deduction.
For program information and an application, visit masbda.com or contact the Missouri Agricultural and Small Business Development Authority at (573) 751-2129 or masbda@mda.mo.gov.
Through the Organic Certification Cost Share Program (OCCSP), USDA’s Farm Service Agency (FSA) will cover up to 75% of organic certification costs at a maximum of $750 per certification category. FSA is now accepting applications, and organic producers and handlers should apply for OCCSP by the Oct. 31, 2024, deadline for eligible expenses incurred from Oct. 1, 2023, to Sept. 30, 2024. FSA will issue payments as applications are received and approved.
OCCSP was part of a broader organic announcement made by Agriculture Secretary Tom Vilsack on May 15, 2024, which also included the Organic Market Development Grant program and Organic Transition Initiative.
Eligible Applicants, Expenses and Categories
OCCSP provides cost-share assistance to producers and handlers of organic agricultural commodities for expenses incurred obtaining or maintaining organic certification under USDA’s National Organic Program. Eligible OCCSP applicants include any certified organic producers or handlers who have paid organic certification fees to a USDA-accredited certifying agent.
Cost share assistance covers expenses including application fees, inspection costs, fees related to equivalency agreement and arrangement requirements, inspector travel expenses, user fees, sales assessments and postage. OCCSP pays a maximum of $750 per certification category for crops, wild crops, livestock, processing/handling, and state organic program fees (California only).
How to Apply
To apply, producers and handlers should contact FSA at their local USDA Service Center and be prepared to provide documentation of organic certification and eligible expenses. OCCSP applications can also be submitted through participating state departments of agriculture. For more information, visit the OCCSP webpage.
Opportunity for State Departments of Agriculture
FSA is also accepting applications from state departments of agriculture to administer OCCSP. FSA posted a funding opportunity summary on grants.gov and will electronically mail the Notice of Funding Opportunity to all eligible state departments of agriculture. Applications are due July 12, 2024.
If a state department of agriculture chooses to participate in OCCSP, both the state department of agriculture and FSA county offices in that state will accept OCCSP applications and make payments to eligible certified operations. Producers or handlers can receive OCCSP assistance from either FSA or the participating state department of agriculture but not both.
More Information
USDA offers other assistance for organic producers, including the Organic Transition Initiative (OTI), which includes direct farmer assistance for organic production and processing and conservation. For more information on organic agriculture, visit farmers.gov/organic.
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.
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USDA - Missouri FSA
601 Business Loop 70 West Columbia, MO 65203
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Click Here for Service Center Locator
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FARM SERVICE AGENCY (FSA)
601 Business Loop 70 West, Suite 225 Columbia, MO 65203 Phone: 573-876-0925 Fax: 855-830-0680
State Executive Director Joe Aull
fsa.usda.gov
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NATURAL RESOURCE CONSERVATION SERVICE (NRCS)
601 Business Loop 70 West, Suite 250 Columbia, MO 65203 Phone: 573-876-0901 Fax: 855-865-2188
State Conservationist Scott Edwards
nrcs.usda.gov
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