California Ag Network

Tag: Risk Management Agency

  • USDA Beginning Farmer and Rancher Veterans Webinar Series

    CDFA Invites Organizations to Apply to Deliver SWEEP Funding

    Register for a free webinar series for military veterans and transitioning service members on how to work with the U.S. Department of Agriculture (USDA) to prepare for a career in production agriculture. This webinar series is designed to provide information about USDA Beginning Farmer and Rancher programs and resources for the military community.

    Tuesday, April 21
    2:00–4:30 p.m. Eastern

    • Farm Service Agency – Farm Loan Programs
    • Natural Resources Conservation Service – Regenerating Land, Empowering Veterans

    Register Here – Webinar Registration – Microsoft Teams


    Wednesday, April 22
    2:00–4:00 p.m. Eastern

    • Rural Development – Value-Added Producer Grants (VAPG)
    • Risk Management Agency – Beginners Guide to Crop Insurance

    Register Here – Webinar Registration – Microsoft Teams

    — By the U.S. Department of Ag

  • New Fire Insurance Protection-Smoke Index (FIP-SI) Crop Insurance Endorsement for California Grape Growers

    The U.S. Department of Agriculture (USDA) has released additional details on a new crop insurance endorsement to better protect California wine grape growers from the devastating impacts of wildfire smoke. The Fire Insurance Protection-Smoke Index (FIP-SI) endorsement, developed by USDA’s Risk Management Agency (RMA) in collaboration with industry stakeholders, including the California Association of Winegrape Growers (CAWG), is set to be available as a pilot program for the 2025 crop year.

    FIP-SI will be available to grape growers in all California counties, with the deadline to sign up for coverage being January 31, 2025.

    The endorsement is designed to provide grape growers with an additional layer of financial protection in the event of significant smoke exposure. This area-wide policy triggers a loss when a minimum number of cumulative Smoke Events occur during the insurance period, as defined in the policy using data from the National Oceanic and Atmospheric Administration’s (NOAA) Hazard Mapping System Smoke Product.

    “The 2020 wildfires sent shockwaves through the wine industry, with losses from smoke-exposed fruit felt throughout the state. Since that devastating year, we’ve been working diligently to find solutions to better safeguard California’s winegrape growers from the impacts of wildfire smoke,” said Natalie Collins, CAWG President. “The introduction of this targeted risk management tool for smoke marks a significant step forward in protecting the livelihoods of our growers and the future of the wine industry as we continue to face the challenges posed by increased wildfire activity.”

    Collins continued, “CAWG extends its gratitude to RMA’s Product Development Team for their extensive work in crafting and introducing this critical crop insurance endorsement. We also commend U.S. Senator Alex Padilla and Congressman Mike Thompson for their advocacy in calling for action through crop insurance to better protect the CA wine industry.”

    CAWG will host an educational webinar on Thursday, November 14 at 10:00am, where Relation Insurance Services will present in-depth information on the new FIP-SI endorsement. The webinar will discuss how FIP- SI interacts with growers’ existing policies, and answer any questions from growers.

    Resources:

    About the California Association of Winegrape Growers (CAWG)

    CAWG is a statewide nonprofit trade association advocating for California’s winegrape growers to ensure the sustainability of the winegrape industry. CAWG promotes the industry’s long-term success by advancing the adoption of sound public policies and fostering awareness and understanding of winegrape growers’ contributions to the economy, environment, and California communities. Learn more at cawg.org.

  • Disaster Assistance to CA Farmers/Producers Impacted by Wildfires & Drought

    California agricultural operations have been significantly impacted by the wildfires and ongoing, severe drought. The U.S. Department of Agriculture (USDA) has technical and financial assistance available to help farmers and livestock producers recover. Impacted producers should contact their local USDA Service Center to report losses and learn more about program options available to assist in their recovery from crop, land, infrastructure and livestock losses and damages.

    “Production agriculture is vital to the California economy, and USDA stands ready to assist in the recovery from these wildfires and extreme drought conditions,” said Gloria Montaño Greene as Deputy Under Secretary for Farm Production and Conservation (FPAC). “I assure you that USDA employees are working diligently to deliver FPAC’s extensive portfolio of disaster assistance programs and services to all impacted agricultural producers.”

    USDA Disaster Assistance for Wildfire and Drought Recovery

    Producers who experience livestock deaths due to wildfires may be eligible for the Livestock Indemnity Program (LIP).

    Meanwhile, for both wildfire and drought recovery,  the Emergency Assistance for Livestock, Honeybees, and Farm-Raised Fish Program (ELAP) provides eligible producers with compensation for feed losses as well as water hauling expenses associated with transportation of water to livestock. For ELAP, producers will need to file a notice of loss within 30 days and honeybee losses within 15 days.

    Livestock producers may also be eligible for the Livestock Forage Disaster Program (LFP) for 2021 grazing losses due to drought. LFP benefits may be available for loss of grazing acres due to wildfires on federally managed lands on which a producer is prohibited, by a federal agency, from grazing normally permitted livestock. FSA maintains a list of counties eligible for LFP and makes updates each Thursday.

    Additionally, eligible orchardists and nursery tree growers may be eligible for cost-share assistance through the Tree Assistance Program (TAP) to replant or rehabilitate eligible trees, bushes or vines lost during the drought. This complements Noninsured Crop Disaster Assistance Program (NAP) or crop insurance coverage, which covers the crop but not the plants or trees in all cases. For TAP, a program application must be filed within 90 days.

    “Once you are able to safely evaluate the wildfire or drought impact on your operation, be sure to contact your local FSA office to timely report all crop, livestock and farm infrastructure damages and losses,” said Jacque Johnson, Acting State Executive Director for the Farm Service Agency (FSA) in California. “To expedite FSA disaster assistance, you will likely need to provide documents, such as farm records, herd inventory, receipts and pictures of damages or losses”

    FSA also offers a variety of direct and guaranteed farm loans, including operating and emergency farm loans, to producers unable to secure commercial financing. Producers in counties with a primary or contiguous disaster designation may be eligible for low-interest emergency loans to help them recover from production and physical losses. Loans can help producers replace essential property, purchase inputs like livestock, equipment, feed and seed, cover family living expenses or refinance farm-related debts and other needs.

    Risk Management

    Producers who have risk protection through Federal Crop Insurance or FSA’s NAP should report crop damage to their crop insurance agent or FSA office. If they have crop insurance, producers should report crop damage to their agent within 72 hours of damage discovery and follow up in writing within 15 days. For NAP covered crops, a Notice of Loss (CCC-576) must be filed within 15 days of the loss becoming apparent, except for hand-harvested crops, which should be reported within 72 hours.

    “Crop insurance and other USDA risk management options are there to help producers manage risk because we never know what nature has in store for the future,” said Jeff Yasui, Director of RMA’s Regional Office that covers California. “The Approved Insurance Providers, loss adjusters and agents are experienced and well trained in handling these types of events.”

    Conservation

    Outside of the primary nesting season, emergency and non-emergency haying and grazing of Conservation Reserve Program (CRP) acres may be authorized to provide relief to livestock producers in areas affected by a severe drought or similar natural disasters. Producers interested in haying or grazing of CRP acres should contact their county FSA office to determine eligibility.

    The Emergency Conservation Program and Emergency Forest Restoration Program can assist landowners and forest stewards with financial and technical assistance to restore fencing, damaged farmland or forests.

    USDA’s Natural Resources Conservation Service (NRCS) is always available to provide technical assistance in the recovery process by assisting producers to plan and implement conservation practices on farms, ranches and working forests impacted by natural disasters.

    Long-term damage from wildfires and drought includes forage production loss in pastures and fields and increased wind erosion on crop fields not protected with soil health practices. Visit your local USDA Service Center to learn more about these impacts, potential recovery tactics, and how to take steps to make your land more resilient to drought in the future.

    “USDA can be a very valuable partner to help landowners with their recovery and resiliency efforts,” said Carlos Suarez, NRCS State Conservationist in California. “Our staff will work one-on-one with landowners to make assessments of the damages and develop approaches that focus on effective recovery of the land.”

    Assistance for Communities 

    Additional NRCS programs include the Emergency Watershed Protection (EWP) program, which provides assistance to local government sponsors with the cost of addressing watershed impairments or hazards such as damaged upland sites stripped of vegetation by wildfire, debris removal and streambank stabilization.

    Eligible sponsors include cities, counties, towns, or any federally recognized Native American tribe or tribal organization. Sponsors must submit a formal request (via mail or email) to the state conservationist for assistance within 60 days of the natural disaster occurrence or 60 days from the date when access to the sites become available. For more information, please contact your local NRCS office.

    “EWP provides immediate assistance to communities to mitigate potential hazards to life and property resulting from the fires and particularly the severe erosion and flooding that can occur after the fire,” Suarez said. “We can work with a local sponsor to help a damaged watershed so that lives and property are protected while preventing further devastation in the community.”

    In addition to EWP, Conservation Technical Assistance (CTA) is another valuable service that NRCS can provide following a wildfire. NRCS technical assistance can help fire victims with planning cost-effective post fire restoration practices.

    More Information

    On farmers.gov, the Disaster Assistance Discovery Tool, Disaster Assistance-at-a-Glance fact sheet, and Farm Loan Discovery Tool can help producers and landowners determine program or loan options. For assistance with a crop insurance claim, producers and landowners should contact their crop insurance agent. For FSA and NRCS programs, they should contact their local USDA Service Center.

  • USDA’s Risk Management Agency Amends Potato Crop Insurance Options

    The U.S. Department of Agriculture (USDA) announced on May 4th that its Risk Management Agency (RMA) is modifying four Northern Potato Crop Insurance Policy optional endorsements. The options are available to producers who choose to purchase additional coverage on top of their multi-peril crop insurance policy. The changes specify that the premium only applies to planted acreage and is no longer charged on acreage prevented from planting. The changes will be effective for the 2022 and succeeding crop years.

    RMA Acting Administrator Richard Flournoy

    “Producers will benefit from this change since the premium will only be due for years when the crop is planted, which will make the additional coverage more affordable in years when the crop is prevented from planting,” said RMA Acting Administrator Richard Flournoy.

    The modifications are applicable to the Quality Endorsement, Processing Quality Endorsement, Certified Seed Endorsement and the Storage Coverage Endorsement. Currently, insured operations are charged a premium if they elect the optional endorsements by the sales closing date, regardless if the acreage was prevented from planting or not.

    For example, the Storage Coverage Endorsement extends crop insurance coverage for potatoes that have been harvested and are in storage. Acreage prevented from planting would not need coverage that is specifically designed for a final harvested crop. Previously the acreage was still charged a premium.

    The changes are a result of RMA’s outreach to potato commodity groups and the crop insurance industry. With these changes, producers will see their premium reduced during years when there are prevented planting losses and an offsetting increase in years without those losses, which enhances the overall financial stability provided by insurance.

    Crop insurance is sold and delivered solely through private crop insurance agents. A list of crop insurance agents is available online using the RMA Agent Locator. Learn more about crop insurance and the modern farm safety net at rma.usda.gov.

    USDA touches the lives of all Americans each day in so many positive ways. In the Biden 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 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.

  • Farmers Prevented from Planting Crops on More than 19 Million Acres

    Agricultural producers reported they were not able to plant crops on more than 19.4 million acres in 2019, according to a new report released by the U.S. Department of Agriculture (USDA). This marks the most prevented plant acres reported since USDA’s Farm Service Agency (FSA) began releasing the report in 2007 and 17.49 million acres more than reported at this time last year.

    Of those prevented plant acres, more than 73 percent were in 12 Midwestern states, where heavy rainfall and flooding this year has prevented many producers from planting mostly corn, soybeans and wheat.

    “Agricultural producers across the country are facing significant challenges and tough decisions on their farms and ranches,” USDA Under Secretary for Farm Production and Conservation Bill Northey said. “We know these are challenging times for farmers, and we have worked to improve flexibility of our programs to assist producers prevented from planting.”

    Cover Crops

    USDA supported planting of cover crops on fields where farmers were not able to plant because of their benefits in preventing soil erosion, protecting water quality and boosting soil health. The report showed where producers planted 2.71 million acres of cover crops so far in 2019, compared with 2.14 million acres at this time in 2018 and 1.88 million at this time in 2017.

    To help make cover crops a more viable option, USDA’s Risk Management Agency (RMA) adjusted the haying and grazing date of cover crops, and USDA’s Natural Resources Conservation Service held signups in select states that offered producers assistance in planting cover crops. Meanwhile, USDA added other flexibilities to help impacted producers, including adjusting the deadline to file acreage reports in select states.

    About the Report

    This data report aggregates information from crop acreage reports as of August 1, 2019, which producers file with FSA to maintain program eligibility and to calculate losses for various disaster assistance programs. The crop acreage data report outlines the number of acres planted, prevented from planting, and failed by crop, county and state. To find more information, view the Aug. 12 report.

    Because some producers have not completed their filing and data are still being processed, FSA will make available subsequent data reports in September, October, November, December and January. You can find reports from 2007 to the present on FSA’s Crop Acreage Data webpage.

    To receive FSA program benefits, producers are required to submit crop acreage reports annually regarding all cropland uses on their farm. This report includes data for producers who had already filed for all deadlines in 2019, including the mid-July deadlines, which are for spring-seeded crops in many locations.

    Other Prevented Planting Indicators 

    In addition to acreage reports filed with FSA, producers with crop insurance coverage for prevented planting file claims with their insurance providers. These claims are provided to RMA and may differ from the prevented planted acres reported to FSA. More information on prevented plant coverage is available on the RMA website.

    Official USDA estimates of total acres planted, harvested and to be harvested, yield, and production are available from USDA’s National Agricultural Statistics Service at nass.usda.gov

  • USDA Providing $8.89 Million for Risk Management Education

    Applications Now Being Accepted

    The U.S. Department of Agriculture’s (USDA) Risk Management Agency (RMA) today announced the availability of $8.89 million for risk management education and training programs. The funding will allow organizations such as universities, county cooperative extension offices, and nonprofit organizations to develop training and educational tools to help farmers and ranchers learn how to effectively manage long-term risks and challenges.

    Interested organizations may apply by submitting documentation required as part of the Risk Management Education Partnerships Request for Applications (RFA). The applications are then reviewed, and awardees enter into cooperative agreements that are managed by RMA’s Risk Management Education Division.

    “Risk Management Education helps ensure that farmers and ranchers know and understand what tools are available to them and how to plan for unknown weather and financial situations. We work with private organizations to help us reach a wide range of producers, and connect them with resources from RMA, as well as from our partner agencies within USDA’s Farm Production and Conservation mission area, the Farm Service Agency and Natural Resources Conservation Service,” said RMA Administrator Martin Barbre.

    Agriculture is an inherently risky business. The farm safety net provides producers and owners various methods to mitigate production and revenue risks and helps to maintain a healthy rural economy.

    Available funding includes $4.73 million for the Crop Insurance Education in Targeted States Program for crop insurance education programs where there is a low level of Federal crop insurance participation and availability. The targeted states are Alaska, Connecticut, Delaware, Hawaii, Maine, Maryland, Massachusetts, Nevada, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, Utah, Vermont, West Virginia, and Wyoming.

    Additionally, $4.16 million in funding is available for the Risk Management Education Partnership Program, which provides funding for the development of general nationwide crop insurance education as well as other risk management training programs for producers.

    A broad range of risk management training activities are eligible for funding consideration under these programs, including training on Federal crop insurance options, risk analysis, and changes to the crop insurance program. Partners also can train farmers at all levels on risk management options that help secure local food systems and strengthen rural communities.

    Information about how to apply to these programs is available at Grants.gov (www.grants.gov). For information about the Risk Management Partnership program, search by catalog of federal domestic assistance (CFDA) for 10.460 and information on the Crop Insurance Education in Targeted States can be found by searching for 10.458.

    Applications for both programs are due by 5:00 p.m. EDT on July 30, 2018. All applications must be submitted electronically through the Results Verification System website (rvs.umn.edu) and received by the deadline.

    For the 2017 crop year the Federal crop insurance program insured 311.4 million acres, with 1.12 million policies and $106 billion worth of coverage as of May 4, 2018.

    RMA works with private partners to assist producers, especially limited resource, socially disadvantaged and other traditionally underserved farmers and ranchers, in effectively managing long-term risks and challenges. For more information about RMA, its programs, or to volunteer to serve as a reviewer, visit www.rma.usda.gov.