Morgan County Service Center Updates - August 6, 2024
In This Issue:
If you have experienced delays in receiving Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) payments, Loan Deficiency Payments (LDPs) and Market Gains on Marketing Assistance Loans (MALs), it may be because you have not filed form CCC-941, Adjusted Gross Income Certification.
If you don’t have a valid CCC-941 on file for the applicable crop year you will not receive payments. All farm operator/tenants/owners who have not filed a CCC-941 and have pending payments should IMMEDIATELY file the form with their recording county FSA office. Farm operators and tenants are encouraged to ensure that their landowners have filed the form.
FSA can accept the CCC-941 for 2018, 2019, 2020, 2021, and 2022. Unlike the past, you must have the CCC-941 certifying your AGI compliance before any payments can be issued.
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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 Logan County USDA Service Center at 970-522-7440, extension 2 or visit fsa.usda.gov.
Agricultural producers impacted by drought can now request haying and grazing on Conservation Reserve Program (CRP) acres in certain Colorado counties, while still receiving their full rental payment for the land.
Outside of the primary nesting season, emergency haying and grazing of CRP acres may be authorized to provide relief to livestock producers in areas affected by a severe drought or similar natural disaster. The primary nesting season for Colorado ended July 15. Counties are approved for emergency haying and grazing due to drought conditions on a county-by-county basis when a county is designated as level “D2 Drought - Severe” according to the U.S. Drought Monitor. FSA provides a weekly, online update of eligible counties.
Producers can use the CRP acreage under the emergency grazing provisions for their livestock or may grant another livestock producer use of the CRP acreage.
Producers interested in emergency haying or grazing of CRP acres must notify their FSA county office before starting any activities. This includes producers accessing CRP acres held by someone else. To maintain contract compliance, producers must have their conservation plan modified by USDA’s Natural Resources Conservation Service.
Emergency CRP Haying and Grazing Option
CRP emergency haying and grazing is currently available in Weld County as long as stand condition can support grazing and a modified conservation plan is in place. In eligible counties, hay may be cut once each program year (Oct. 1-Sept. 30). According to an approved conservation plan, haying must conclude prior to Aug. 31 to allow time for regrowth prior to winter conditions.
CRP emergency grazing is available in eligible counties as long as it does not exceed 90 days each program year (Oct. 1-Sept. 30) and must stop when the minimum grazing height is reached, as established within the modified CRP conservation plan or when the county is no longer eligible for emergency haying and grazing.
Non-Emergency CRP Haying and Grazing Option
For producers not in an eligible county, there are options available under non-emergency haying and grazing provisions outside of the primary nesting season, including:
- Haying of all CRP practices, except for CP12 Wildlife Food Plots and several tree practices not more than once every three years for a 25% payment reduction. For non-emergency haying requests, 25% of the requested acreage must be left un-hayed.
- Grazing of CRP acres not more than every other year for a 25% payment reduction.
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The Noninsured Crop Disaster Assistance Program (NAP) provides financial assistance to producers of noninsurable crops when low yields, loss of inventory, or prevented planting occur due to natural disasters (includes native grass for grazing).
To receive payment, you had to purchase NAP coverage for 2024 crops and file a notice of loss the earlier of 15 days of the occurrence of the disaster or when losses become apparent or 15 days of the final harvest date.
For hand-harvested crops and certain perishable crops, you must notify FSA within 72 hours of when a loss becomes apparent.
Eligible crops must be commercially produced agricultural commodities for which crop insurance is not available, including perennial grass forage and grazing crops, fruits, vegetables, mushrooms, floriculture, ornamental nursery, aquaculture, turf grass, ginseng, honey, syrup, bioenergy, and industrial crops.
For more information on NAP, contact your Morgan County USDA Service Center at 970-867-8568 or visit fsa.usda.gov/nap.
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The Farm Loan team in Logan County is already working on operating loans for spring 2025 and asks potential borrowers to submit their requests early so they can be timely processed. The farm loan team can help determine which loan programs are best for applicants.
FSA offers a wide range of low-interest loans that can meet the financial needs of any farm operation for just about any purpose. The traditional farm operating and farm ownership loans can help large and small farm operations take advantage of early purchasing discounts for spring inputs as well expenses throughout the year.
Microloans are a simplified loan program that will provide up to $50,000 for both Farm Ownership and Operating Microloans to eligible applicants. These loans, targeted for smaller and non-traditional operations, can be used for operating expenses, starting a new operation, purchasing equipment, and other needs associated with a farming operation. Loans to beginning farmers and members of underserved groups are a priority.
Other types of loans available include:
Marketing Assistance Loans allow producers to use eligible commodities as loan collateral and obtain a 9-month loan while the crop is in storage. These loans provide cash flow to the producer and allow them to market the crop when prices may be more advantageous.
Farm Storage Facility Loans can be used to build permanent structures used to store eligible commodities, for storage and handling trucks, or portable or permanent handling equipment. A variety of structures are eligible under this loan, including bunker silos, grain bins, hay storage structures, and refrigerated structures for vegetables and fruit. A producer may borrow up to $500,000 per loan.
Morgan County USDA Service Center
200 West Railroad Avenue
Fort Morgan, CO 80701
Phone: 970-867-8568
Fax: 844-332-7503
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Mickaela Gronsten, County Executive Director
970-522-7440 ex3142 jakob.arment@usda.gov
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Brenda Weems, Farm Loan Manager
970-522-7440 ex3156 brenda.weems@usda.gov
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David Colburn, NRCS Team Lead
970-522-7440 ex3155 david.colburn@usda.gov
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Next COC Meeting:
August 13, 2024 @ 8:30 AM
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