Nebraska FSA and NRCS State Office Electronic Newsletter - December 20, 2024
In This Issue:
With the holidays around the corner, I want to take this opportunity to wish you all a Merry Christmas and Happy New Year. We at Nebraska Farm Service Agency have appreciated the opportunity to work with you, our farmer and rancher customers, over the past year for the betterment of the agriculture industry in the state.
We are anxiously waiting on a farm bill passage or extension of the previous farm bill in order to move forward with farm program signups.
A few program reminders of approaching deadlines to keep on your radar are the Livestock Forage Program (LFP) and Emergency Livestock Assistance Program (ELAP) that some of our counties in Nebraska triggered for in 2024 and have an application deadline of January 30, 2025.
Counties are also currently holding signup through January 8, 2025, for the Marketing Assistance for Specialty Crops (MASC) program aimed at helping specialty crop producers expand markets and manage higher costs.
MASC covers the following commercially marketed specialty crops:
- Fruits (fresh, dried);
- Vegetables (including dry edible beans and peas, mushrooms, and vegetable seed);
- Tree nuts;
- Nursery crops, Christmas trees, and floriculture;
- Culinary and medicinal herbs and spices; and
- Honey, hops, maple sap, tea, turfgrass and grass seed.
To learn more program details, read the full news release and visit the MASC website
Thank you to all who submitted a ballot for your local County Committee elections. Committees play an important role in program and management decisions for our local farmers and ranchers. We appreciate all they do to represent their local producers.
Combine all of this work with the efforts of our farm loan staff to meet producer financing needs, and you have very busy county FSA staff across the state. They are working hard for you, so please join me in wishing them all the best for the new year.
Merry Christmas and Happy New Year to all!
Talk to you in January.
--Tim Divis
The U.S. Department of Agriculture (USDA) is expanding the Food Safety Certification for Specialty Crops (FSCSC) program to now include medium-sized businesses in addition to small businesses. Eligible specialty crop growers can apply for assistance for expenses related to obtaining or renewing a food safety certification. The program has also been expanded to include assistance for 2024 and 2025 expenses. Producers can apply for assistance on their calendar year 2024 expenses through Jan. 31, 2025. For program year 2025, the application period will be Jan. 1, 2025, through Jan. 31, 2026.
FSCSC assists specialty crop operations that incurred eligible on-farm food safety certification and expenses related to obtaining or renewing a food safety certification. FSCSC covers a percentage of the specialty crop operation’s cost of obtaining or renewing its certification, as well as a portion of related expenses.
Eligible FSCSC applicants must be a specialty crop operation, meet the definition of a small or medium-size business and have paid eligible expenses related to certification.
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A small business has an average annual monetary value of specialty crops sold by the applicant during the three-year period preceding the program year of no more than $500,000.
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A medium size business has an average annual monetary value of specialty crops the applicant sold during the three-year period preceding the program year of at least $500,001 but no more than $1,000,000.
Specialty crop operations can receive the following cost assistance:
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Developing a food safety plan for first-time food safety certification.
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Maintaining or updating an existing food safety plan.
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Food safety certification.
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Certification upload fees.
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Microbiological testing for products, soil amendments and water.
FSCSC payments are calculated separately for each eligible cost category. Details about payment rates and limitations are available at farmers.gov/food-safety.
Interested applicants have until Jan. 31, 2025, to apply for assistance for 2024 eligible expenses. FSA will issue payments as applications are processed and approved. For program year 2025, the application period will be January 1, 2025, through January 31, 2026. FSA will issue 50% of the calculated payment for program year 2025 following application approval, with the remaining amount to be paid after the application deadline. If calculated payments exceed the amount of available funding, payments will be prorated.
Specialty crop producers can apply by completing the FSA-888-1, Food Safety Certification for Specialty Crops Program (FSCSC) for Program Years 2024 and 2025 application. The application, along with the AD-2047, Customer Data Worksheet and SF-3881, ACH Vendor/Miscellaneous Payment Enrollment Form, if not already on file with FSA, can be submitted to the FSA office at any USDA Service Center nationwide by mail, fax, hand delivery or via electronic means. Alternatively, producers with an eAuthentication account can apply for FSCSC online. Producers interested in creating an eAuthentication account should visit farmers.gov/sign-in.
Specialty crop producers can also call 877-508-8364 to speak directly with a FSA employee ready to assist. Visit farmers.gov/food-safety for additional program details, eligibility information and forms needed to apply.
The Livestock Indemnity Program (LIP) provides financial benefits to producers who suffer livestock losses above normal mortality due to adverse weather. Producers also can receive some compensation for livestock that have been injured as a direct result of an eligible adverse weather event and were sold at a reduced price due to that injury within 30 calendar days of the end date of the weather event.
Livestock producers who have experienced weather-related livestock losses or injury are reminded that reporting and documenting those losses is an important part of the LIP application process. Producers should report losses or injury as soon as possible. A phone call to the county FSA office can serve as official notice of loss.
Adequate documentation must be provided that proves the death or injury of eligible livestock occurred as a direct result of an eligible loss condition in the calendar year for which benefits are being requested. Documentation also must provide sufficient data that identifies the quantity and the livestock kind/type and weight range. Documents providing acceptable evidence may include, but are not limited to, any or a combination of the following:
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contemporaneous producer records existing at the time of event - pictures with a date
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rendering truck receipts or certificates
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records assembled for tax purposes
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private insurance documents
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bank or other loan documents
Livestock owners or contract growers who suffered livestock losses will file a notice of loss and an application for payment at the USDA Service Center responsible for the physical location county where the livestock deaths or injuries occurred. Producers have until March 1, 2025, to file a notice of loss and application for payment and provide the supporting documentation for 2024 losses.
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 2025 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 FSA County Office or visit fsa.usda.gov.
FSA is cleaning up our producer record database and needs your help. Please report any changes of address, zip code, phone number, email address or an incorrect name or business name on file to our office. You should also report changes in your farm operation, like the addition of a farm by lease or purchase. You should also report any changes to your operation in which you reorganize to form a Trust, LLC or other legal entity.
FSA and NRCS program participants are required to promptly report changes in their farming operation to the County Committee in writing and to update their Farm Operating Plan on form CCC-902.
To update your records, contact your local county USDA Service Center.
Accessing capital to begin, extend or support an agriculture operation can be especially challenging to new producers. Farm Service Agency offers a variety of resources to assist those who are just starting out, including “Beginning Farmer” direct and guaranteed loan programs that have funding targeted for qualified applicants. To access these programs, beginning farmers/ranchers must meet these basic qualifiers:
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Has operated a farm/ranch for not more than 10 years
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Will materially and substantially participate in the operation of the farm/ranch
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Agrees to participate in a loan assessment, borrower training and financial management program required by FSA
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Does not own a farm in excess of 30 percent of the county’s average size farm.
Individuals interested in learning more should contact their county FSA office. A couple of loan programs to inquire about include:
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Direct Farm Ownership Down Payment Loan – this type of loan may be used by beginning farmers/ranchers to purchase a farm or ranch. It requires a 5% cash down payment, but also offers a low interest rate that can be as low as 1.5%.
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Direct Farm Ownership Loan – Joint Financing - this type of loan may be used by any qualified borrower but is often used by beginners to purchase a farm or ranch with no down payment required. Financing is provided jointly by FSA and another lender. This program also offers a low interest rate, which can be as low as 2.5%.
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Microloans – this type of loan may be used by any qualified borrower but is designed to meet the needs of small and beginning farmers/ranchers by easing some requirements and offering less paperwork. It can be used for purchasing a farm or ranch (ownership), but also for operational expenses (operating) and other needs. It does have a $50,000 loan limit for each type of loan.
Other loan programs may be appropriate, depending on individual needs. Potential customers are encouraged to check out the Farm Loan Discovery Tool to review the various loan options. There also is an online Loan Assistance Tool, which takes potential applicants through an eligibility checklist and provides line-by-line guidance on the FSA loan paperwork.
There are FSA farm programs that have specific provisions for individuals meeting the beginning farmer/rancher definition, and producers are encouraged to ask about these programs at their FSA office. For example, the Noninsured Crop Disaster Assistance Program (NAP) helps producers manage risk for both crop losses and crop plantings that were prevented due to natural disaster. NAP is available for crops not covered by federal crop insurance and basic coverage is available at no cost to qualified beginning farmers/ranchers. Other programs with beginning farmer/rancher provisions include the Emergency Conservation Program and the Dairy Margin Coverage Program, among others.
For additional information about these and other FSA resources for beginning farmers/ranchers, contact your local county USDA Service Center.
USDA’s Farm Service Agency (FSA) is committed to helping navigate the many opportunities we provide to farmers, ranchers, tribal nations, and landowners. Our agency is honored to partner with agricultural producers as they navigate every stage of their operation — from getting started to expanding.
FSA offers a full suite of programs to help agricultural producers access capital, protect the land and manage risk. We recognize it can be challenging for new customers to navigate the agency and get started, so we developed a packet of information that will help producers get to know FSA.
The new FSA Apply Now Packets will ensure a more productive customer experience when visiting with local FSA staff. The forms in the packet are needed for customers to participate in FSA and Natural Resources and Conservation Service (NRCS) programs.
• FSA Apply Now Packet for Individuals • FSA Apply Now Packet for Entities • FSA Apply Now Packet for Tribal Nations
To access these resources, visit www.farmers.gov/working-with-us/common-forms. Get started today!
For more information on FSA programs, contact your local FSA office or visit fsa.usda.gov.
USDA increased the minimum annual payment for agricultural producers participating in the Conservation Stewardship Program (CSP) from $1,500 to $4,000 starting in fiscal year 2024. The increase addresses challenges faced by small scale, underserved, and urban producers and improves equity in the program by making participation more financially beneficial for smaller operations. The new minimum payment is available for new and renewed CSP contracts, and applications for the program in Nebraska will be accepted until a ranking date yet to be determined in 2025.
CSP offers technical and financial assistance to help agricultural and forest producers take their conservation efforts to the next level. The program is designed to compensate agricultural and forest producers who agree to increase their level of conservation by adopting additional conservation activities and maintaining their baseline level of conservation.
Examples of CSP enhancements that are suitable for being adopted by smaller scale and urban producers include:
- Planting multi-species cover crops
- Mulching with natural materials
- Establishing pollinator habitats
- Soil health crop rotation
Inflation Reduction Act and CSP
Currently, an unprecedented amount of funding is available for CSP through the Inflation Reduction Act and Farm Bill. The Inflation Reduction Act provided $19.5 billion in additional funding for NRCS’ oversubscribed programs like CSP for five years. Inflation Reduction Act funds are available to help producers adopt climate-smart practices.
How to Apply
NRCS accepts producer applications for its conservation programs year-round, but producers interested in this cycle of Inflation Reduction Act funding should apply as soon as possible. Funding is provided through a competitive process and will include an opportunity to address the unmet demand from producers who have previously sought funding for climate-smart conservation activities.
For more information about assistance available, contact your local USDA Service Center.
Dec. 24, 2024 - USDA Service Centers closed Dec. 25, 2024 – USDA Service Centers closed for federal holiday Jan. 1, 2025 – USDA Service Centers closed for federal holiday Jan. 8, 2025 - FSA deadline for application to the Marketing Assistance for Specialty Crops Program Jan. 30, 2025 – FSA deadline to apply for Livestock Forage Disaster Program (LFP) and Emergency Assistance for Livestock, Honeybees and Farm-raised Fish Program (ELAP) in eligible counties
OPERATING/OWNERSHIP
Farm Operating: 4.75% Farm Ownership: 5.25% Farm Ownership – Limited Resource: 5% Farm Ownership - Joint Financing: 3.25% Farm Ownership - Down Payment: 1.5% Emergency - Actual Loss: 3.75%
FARM STORAGE FACILITY LOAN
3-year term: 4.125% 5-year term: 4.125% 7-year term: 4.25% 10-year term: 4.375% 12-year term: 4.375%
MARKETING ASSISTANCE
Commodity Loan: 5.25%
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Nebraska FSA and NRCS State Office
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Farm Service Agency 1121 Lincoln Mall Suite 330 Lincoln, NE 68508 Phone: (402) 437-5581 Fax: (844) 930-0237
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Natural Resources Conservation Service 1121 Lincoln Mall Suite 360 Lincoln, NE 68508 Phone: (402) 437-5300
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Tim Divis, FSA Deputy State Executive Director timothy.divis@usda.gov
FSA State Office Programs Chiefs Cathy Anderson, Product. & Compliance Pat Lechner, Price Support & Conserv. Mark Wilke, Farm Loans Patty Wilke, Administrative Officer
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Robert Lawson, NRCS State Conservationist robert.lawson@usda.gov
FSA State Committee Roy Stoltenberg, Cairo, Chair Bill Armbrust, Elkhorn Aaron LaPointe, Winnebago Becky Potmesil, Alliance Paula Sue Steffen, Humboldt
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Visit the Nebraska FSA website at www.fsa.usda.gov/ne. Visit the Nebraska NRCS website at www.nrcs.usda.gov/ne.
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