South Dakota USDA Newsletter - October 17, 2024
Greetings from the South Dakota State FSA Office!
We are well into the month of October, and the start of the new fiscal year for the federal government. I know that probably doesn’t mean a lot to most folks, but October 1st does have a significant impact on farm and ranch families. After October 1st any assistance from the previous crop year (2023) is issued and CRP annual payments are made.
Unfortunately, this year, October 1st means farm and ranch families are not operating under an existing Farm Bill.
The 2018 Farm Bill, which expired September 30, 2023, was extended for an additional year in November 2023. Now the one-year extension has expired, and we are currently without a Farm Bill. So, until we have another extension, or a new Farm Bill, there is no new sign up for CRP Programs and no sign up for 2025 ARC/PLC.
Despite farm and ranch families operating without an existing Farm Bill, the South Dakota FSA staff is still here to serve. Producers can still apply for FSA Farm Loans, Farm Storage Facility Loans or Marketing Assistance Loans. For those who are done with harvest it is also a great time to update your records at FSA to reflect any changes in landowners or operators.
Your FSA County offices are also accepting applications for Livestock Forage Disaster Program (LFP). Eligible South Dakota counties include Butte, Custer, Fall River, Harding, Lawrence, Mellette, Oglala Lakota, Pennington, and Perkins.
I also want to take this opportunity to recognize Nila Woodward from the Ziebach County office for her 40 years of service with FSA. Except for her first six months working in the Minnehaha County office, Nila has spent the last 39 ½ years serving ranch families of Ziebach County. Her service reaches well beyond the Ziebach County line as she has been a trainer and mentor to countless FSA employees over the years on NAP Coverage. This past year Nila participated in a national training in Houston, TX and was part of a team that trained the South Dakota FSA employees on disaster programs. Thank you, Nila, for your commitment to ranch families!
As the days are getting shorter, please be careful as you are finishing up harvest. Remember, fewer breakdowns and accidents happen in the day light hours!
Sincerely,
Steve Dick State Executive Director USDA - Farm Service Agency
Greetings,
Last month I shared a summary of our 2024 collaborative efforts with producers where conservation plans were written for nearly 2.6 million acres. South Dakota cattle producers voluntarily enrolled 1 million acres of those 2.6 million in the Environmental Quality Incentive Program (EQIP) or Conservation Stewardship Program (CSP). These agreements obligated $67.3 million dollars in 2024! Accompanied by technical assistance, these funds build more resilient landscapes and local economies. I encourage you to view this recent South Dakota video from Growing Resilience titled “Growing Together: How Farmers/Ranchers & USDA-NRCS are Teaming Up….” which provides a glimpse into the planning process, including inventory and objectives.
Applications for EQIP and CSP are accepted year-round, however, 2025 funds will only be awarded to applications submitted by November 1. Whether you are a livestock producer, multi-generational grain farmer, tribal land lessee, or a specialty crop grower, please visit your local NRCS office to discuss your goals and learn how NRCS can support your efforts.
The United States Department of Agriculture (USDA) is providing a new email service that alerts users of select career positions within NRCS and our partner agencies. Those interested in starting a career with USDA are encouraged to subscribe to the email alerts. The article below titled ‘Subscribe to Receive Updates on Careers…” has further details. All current job openings can be viewed anytime by visiting usajobs.gov.
Thank you to all South Dakota farmers, ranchers, land managers, landowners, and conservation partners who are moving the needle of conservation in our state.
Sincerely,
Tony Sunseri State Conservationist USDA-Natural Resources Conservation Service
October 31, 2024 - Organic Certification Cost Share Program (OCCSP) deadline
November 1, 2024 - Batching date for FY2025 NRCS Environmental Quality Incentive Program (EQIP) and Conservation Stewardship Program (CSP).
November 11, 2024 - Holiday - USDA Service Centers CLOSED
November 15, 2024 - Acreage Reporting Deadline for Fall-Seeded Small Grains
November 20, 2024 - FSA State Committee Meeting
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
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.
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.
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.
Marketing Assistance Loans (MALs) and Loan Deficiency Payments (LDPs) provide financing and marketing assistance for wheat, feed grains, soybeans, and other oilseeds, pulse crops, rice, peanuts, cotton, wool and honey. MALs provide you with interim financing after harvest to help you meet cash flow needs without having to sell your commodities when market prices are typically at harvest-time lows. A producer who is eligible to obtain a loan, but agrees to forgo the loan, may obtain an LDP if such a payment is available. Marketing loan provisions and LDPs are not available for sugar and extra-long staple cotton.
FSA is now accepting requests for 2024 MALs and LDPs for all eligible commodities after harvest. Requests for loans and LDPs shall be made on or before the final availability date for the respective commodities.
Commodity certificates are available to loan holders who have outstanding nonrecourse loans for wheat, upland cotton, rice, feed grains, pulse crops (dry peas, lentils, large and small chickpeas), peanuts, wool, soybeans and designated minor oilseeds. These certificates can be purchased at the posted county price (or adjusted world price or national posted price) for the quantity of commodity under loan, and must be immediately exchanged for the collateral, satisfying the loan. MALs redeemed with commodity certificates are not subject to Adjusted Gross Income provisions.
To be considered eligible for an LDP, you must have form CCC-633EZ, Page 1 on file at your local FSA Office before losing beneficial interest in the crop. Pages 2, 3 or 4 of the form must be submitted when payment is requested.
Marketing loan gains (MLGs) and loan deficiency payments (LDPs) are no longer subject to payment limitations, actively engaged in farming and cash-rent tenant rules.
Adjusted Gross Income (AGI) provisions state that if your total applicable three-year average AGI exceeds $900,000, then you’re not eligible to receive an MLG or LDP. You must have a valid CCC-941 on file to earn a market gain of LDP. The AGI does not apply to MALs redeemed with commodity certificate exchange.
For more information and additional eligibility requirements, contact your local USDA Service Center or visit fsa.usda.gov.
If you’re enrolled in the Agriculture Risk Coverage (ARC) or Price Loss Coverage (PLC) programs, you must protect all cropland and noncropland acres on the farm from wind and water erosion and noxious weeds. By signing ARC county or individual contracts and PLC contracts, you agree to effectively control noxious weeds on the farm according to sound agricultural practices. If you fail to take necessary actions to correct a maintenance problem on your farm that is enrolled in ARC or PLC, the County Committee may elect to terminate your contract for the program year.
If you’re interested in starting a career with USDA, subscribe to receive free email alerts on select positions within the USDA Farm Service Agency, Natural Resources Conservation Service, Risk Management Agency and Farm Production and Conservation Business Center.
All federal job vacancies within USDA are posted on usajobs.gov. In order to further promote employment opportunities, we are going to start sending emails that highlight select positions.
If you want to keep up with vacancy announcements via email, you can subscribe to “Careers” by visiting farmers.gov/subscribe and completing the following steps.
- Select “email” as your subscription type
- Enter your email address
- Click “submit”
- Select the “Careers” topic under “Connect with us”
- Click “submit” to verify your subscription topic choice at the bottom of the page
Not all job vacancy announcements will be shared via email, but you can view a current list of all job openings at any time by visiting usajobs.gov.
For additional information or assistance with your subscription, contact your local USDA Service Center by visiting farmers.gov/service-center-locator.
USDA is an equal opportunity provider, employer, and lender.
The U.S. Department of Agriculture (USDA) announced up to $7.7 billion in assistance for fiscal year 2025 to help agricultural and forestry producers adopt conservation practices on working lands. This includes up to $5.7 billion for climate-smart practices, made possible by the Inflation Reduction Act, which is part of President Biden’s Investing in America Agenda and $2 billion in Farm Bill funding. This is more than double the amount available last year and the most conservation assistance made available in a single year in U.S. history for popular USDA conservation programs.
Through changing temperatures, precipitation patterns, drought, flooding, and increasingly more severe extreme events, such as hurricanes and wildfires, climate change is affecting the livelihood of USDA’s stakeholders. Innovations in adapting to such changes will be central to the future success of working lands. USDA’s Natural Resources Conservation Service (NRCS) received more than 156,485 applications for its conservation programs in fiscal year 2024. While NRCS accepts applications year-round, interested agricultural producers can now apply for fiscal year 2025 funding through NRCS at their local USDA Service Center.
The Inflation Reduction Act, the largest climate and conservation investment in history, invests an additional $19.5 billion in NRCS’ oversubscribed conservation programs over five years, which began in fiscal year 2023. This year through the Inflation Reduction Act, producers can apply for $2.8 billion through the Environmental Quality Incentives Program (EQIP), $943 million through the Conservation Stewardship Program (CSP), $472 million through the Agricultural Conservation Easement Program (ACEP), and up to $1.4 billion in the Regional Conservation Partnership Program (RCPP). This is in addition to the $2 billion available for these programs through the Farm Bill, including $860 million for EQIP, $600 million for CSP, $450 million for ACEP, and $250 million for RCPP.
This assistance through the Inflation Reduction Act also helps advance the President’s Justice40 Initiative, which set a goal that 40% of the overall benefits of certain climate, clean energy and other federal investments flow to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution. These investments also advance President Biden’s America the Beautiful Initiative, a locally led, voluntary conservation and restoration effort that aims to address the nature and climate crises, support working lands conservation, improve equitable access to the outdoors, and strengthen the economy.
Since implementation began in 2023, this climate smart conservation assistance has helped over 28,500 farmers and ranchers apply conservation to 361 million acres of land during the past two years. These funds provide direct climate mitigation benefits, advance a host of other environmental co-benefits, and expand access to financial and technical assistance for producers to advance conservation on their farm, ranch or forest land through practices like cover cropping, conservation tillage, wetland restoration, prescribed grazing, nutrient management, tree planting and more.
Climate-Smart Agriculture and Forestry Activities
NRCS recently released an updated list of Climate-Smart Agriculture and Forestry Mitigation Activities eligible for Inflation Reduction Act funding in fiscal year 2025, which includes 14 new activities. NRCS also released the NRCS Conservation Practices and Greenhouse Gas Mitigation Information dashboard sharing the expected mitigation benefits and science-based estimation approach for listed practices.
These in-demand activities are expected to reduce greenhouse gas emissions or increase carbon sequestration, as well as provide other significant benefits to natural resources like soil health, water quality, pollinator and wildlife habitat and air quality. In response to feedback received from conservation partners, producers and NRCS staff across the country, NRCS considered and evaluated activities based on scientific literature demonstrating expected climate change mitigation benefits.
These activities will also help producers mitigate the risks of climate change, including drought and flooding from extreme weather events such as the recent hurricane. Agriculture faces significant exposure to the physical risks of climate change. The USDA estimates that due to increased drought fueled by climate change, the Agency could see up to double the number of ranchers seeking assistance under the Livestock Forage Disaster Program by the end of the century compared to today. This corresponds to an increase of more than $800 million per year in Federal expenditures by the end of the century.
Conservation Easements
NRCS is accepting applications for ACEP for fiscal year 2025, which includes $472 million in Inflation Reduction Act funds for this year. ACEP helps producers conserve and protect grasslands, wetlands and farmlands. Producers interested in Inflation Reduction Act funding through ACEP should submit their applications by the next two ranking dates, Oct. 4, 2024, or Dec. 20, 2024. Any ACEP application submitted to NRCS that was unfunded in fiscal year 2024 will be automatically re-considered during the Oct. 4 funding cycle.
In addition, NRCS is also accepting ACEP applications eligible for Farm Bill funding. Application dates for fiscal year 2025 funding differ by state, and they’re available on the NRCS Ranking Dates webpage.
How to Apply
NRCS accepts producer applications for EQIP and CSP year-round, but producers interested in fiscal year 2025 funding should apply by their state’s ranking dates through NRCS at their local USDA Service Center. Funding is provided through a competitive process and is an opportunity to address the unmet demand from producers who have previously sought funding for climate-smart conservation activities.
Additionally, USDA will hold a briefing on Oct. 4 at 11:30 a.m. EDT for interested agriculture and conservation partners. USDA Farm Production and Conservation Under Secretary Robert Bonnie, NRCS Chief Cosby and several producers who have implemented NRCS programs with the help of the Inflation Reduction Act will talk about voluntary conservation on working lands. Add to your calendar: Google, iCal or Outlook.
More Information On Aug. 16, 2022, President Biden signed the Inflation Reduction Act, the largest climate investment in history, into law. It is a historic, once-in-a-generation investment and opportunity for the agricultural communities that USDA serves. The Inflation Reduction Act will help producers stay on the farm, prevent producers from becoming ineligible for future assistance and promote climate-smart agriculture by increasing access to conservation assistance.
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USDA in South Dakota
200 4th Street SW Huron, SD 57350
FSA Phone: (605) 352-1160 NRCS Phone: (605) 352-1200 RMA Phone: (406) 651-8450
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Get Started at Your USDA Service Center | Farmers.gov
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Farm Service Agency
State Executive Director: Steve Dick
Administrative Officer: Theresa Hoadley
Program Managers: Owen Fagerhaug - Conservation Logan Kopfmann - Disaster Relief Donita Garry - Program Delivery Ryan Vanden Berge - Farm Loan Program
State Outreach Coordinator: Gail Gullickson
State Committee: Troy Knecht, Chair Fanny Brewer Peggy Greenway Larry Olsen Hank Wonnenberg
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Natural Resources Conservation Service
State Conservationist: Tony Sunseri
Assistant State Conservationists: Jessica Michalski - Ecological Sciences James Reedy - Engineering Nathan Jones- Soils Val Dupraz - Programs Colette Kessler - Partnerships Deke Hobbick - Compliance Denise Gauer - Management & Strategy Shala Larson - Public Affairs Manager
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South Dakota State FSA Office (usda.gov) South Dakota State Office | Natural Resources Conservation Service (usda.gov)
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