Tag: The U.S. Department of Agriculture

  • 2023 USDA Cotton Loan Rate Differentials

    The U.S. Department of Agriculture’s (USDA) Commodity Credit Corporation today announced the 2023 crop loan rate differentials for upland and extra-long staple cotton which are applied to the crop loan rate to determine the per bale actual loan rate.

    The differentials, also referred to as loan rate premiums and discounts, were calculated based on market valuations of various cotton quality factors for the prior three years. This calculation procedure is identical to that used in past years.

    The 2023 crop differential schedules are applied to 2023 crop loan rates of 52 cents per pound for the base grade of upland cotton and 95 cents per pound for extra-long staple cotton. The 2018 Farm Bill stipulates that the loan rate for the base quality of upland cotton ranges between 45 and 52 cents per pound based on the simple average of the Adjusted World Price for the two marketing years immediately preceding the next crop planting. However, the established loan rate cannot be less than 98% of the preceding year’s established loan rate. The loan rate provided to an individual cotton bale is based on the quality of each individual bale as determined by USDA’s Agricultural Marketing Service classing measurements.

    These differentials are important to cotton producers because they are used to derive the actual loan rate for each bale of cotton – above (premium) or below (discount) the average per pound loan rate, depending on the grade or quality of the cotton. The actual loan rate is significant because it is used to determine any marketing loan gains and loan deficiency payments.

    USDA’s Commodity Credit Corporation adjusts cotton loan rates by these differentials so that cotton loan values reflect the differences in market prices for color, staple length, leaf, extraneous matter, micronaire, length uniformity and strength.

    The rates are posted on the Farm Service Agency (FSA) website. To apply for loans or other programs, please contact your local USDA Service Center.

  • April USDA Lending Rates for Ag Producers

    The U.S. Department of Agriculture (USDA) announced loan interest rates for April 2023, which are effective April 3, 2023. USDA’s Farm Service Agency (FSA) loans provide important access to capital to help agricultural producers start or expand their farming operation, purchase equipment and storage structures or meet cash flow needs.

    Operating, Ownership and Emergency Loans

    FSA offers farm ownership and operating loans with favorable interest rates and terms to help eligible agricultural producers, whether multi-generational, long-time, or new to the industry, obtain financing needed to start, expand or maintain a family agricultural operation. FSA also offers emergency loans to help producers recover from production and physical losses due to drought, flooding, other natural disasters or quarantine.  For many loan options, FSA sets aside funding for underserved producers, including veterans, beginning, women, American Indian or Alaskan Native, Asian, Black or African American, Native Hawaiian or Pacific Islander, and Hispanic farmers and ranchers.

    Interest rates for Operating and Ownership loans for April 2023 are as follows:

    FSA also offers guaranteed loans through commercial lenders at rates set by those lenders.

    To access an interactive online, step-by-step guide through the farm loan process, visit the Loan Assistance Tool on farmers.gov.

    Commodity and Storage Facility Loans

    Additionally, FSA provides low-interest financing to producers to build or upgrade on-farm storage facilities and purchase handling equipment and loans that provide interim financing to help producers meet cash flow needs without having to sell their commodities when market prices are low.  Funds for these loans are provided through the Commodity Credit Corporation (CCC) and are administered by FSA.

    Simplified Direct Loan Application

    FSA developed a new, simplified direct loan application for producers seeking a direct farm loan. The new application, reduced from 29 to 13 pages, provides improved customer experience for producers applying for loans and enables them to complete a more streamlined application. Producers now also have the option to complete an electronic fillable form or a traditional paper application for submission to their local FSA service center.

    Pandemic and Disaster Support

    FSA broadened the use of the Disaster Set-Aside (DSA), normally used in the wake of natural disasters, to allow farmers with USDA farm loans who are affected by COVID-19, and are determined eligible, to have their next payment set-aside. Because of the pandemic’s continued impacts, producers can apply for a second DSA for COVID-19 or a second DSA for a natural disaster for producers with an initial DSA for COVID-19. The set-aside payment’s due date is moved to the final maturity date of the loan or extended up to 12 months in the case of an annual operating loan. Any principal set-aside will continue to accrue interest until it is repaid. Use of the expanded DSA program can help to improve a borrower’s cashflow in the current production cycle.

    FSA also reminds rural communities, farmers and ranchers, families and small businesses affected by the year’s winter storms, drought, hurricanes and other natural disasters, that USDA has programs that provide assistance. USDA staff in the regional, state and county offices are prepared to deliver a variety of program flexibilities and other assistance to agricultural producers and impacted communities. Many programs are available without an official disaster designation, including several risk management and disaster recovery options.

    Inflation Reduction Act Assistance for Distressed Producers

    On Aug. 16, 2022, President Biden signed the Inflation Reduction Act (IRA) into law. It is a historic, once-in-a-generation investment and opportunity for the agricultural communities that USDA serves. Section 22006 of the IRA provided $3.1 billion for USDA to provide relief for distressed borrowers with certain FSA direct and guaranteed loans and to expedite assistance for those whose agricultural operations are at financial risk.  In October 2022, USDA provided approximately $800 million in initial IRA assistance to more than 11,000 delinquent direct and guaranteed borrowers and approximately 2,100 borrowers who had their farms liquidated and still had remaining debt. In April 2023, USDA intends to provide a new round of relief starting that will include approximately $123 million in automatic financial assistance for qualified direct and guaranteed borrowers. Qualifying borrowers will receive an individual letter detailing the assistance as payments are made. Eligibility for these new categories of automatic payments include:

    • Assistance to direct loan borrowers who were past due on a qualifying direct loan as of September 30, 2022, but by fewer than 60 days, and remained delinquent on that loan as of March 27, 2023.
    • Assistance to borrowers who restructured a qualifying direct loan after February 28, 2020, through primary loan servicing available through FSA.
    • Assistance to borrowers whose interest owed on their qualifying direct loan debt exceeds the principal owed (on a loan-by-loan basis)

    For more information producers can contact their local USDA Service Center or visit farmers.gov/inflation-reduction-investments/assistance.

    More Information

    Producers can explore available options on all FSA loan options at fsa.usda.gov or by contacting their local USDA Service Center.

  • USDA Seeks Nominees for American Pecan Promotion Board

    The U.S. Department of Agriculture (USDA) is seeking nominees for the American Pecan Promotion Board. Nominees are needed to fill six seats for members whose terms end on Sep. 30, 2023, and one vacant seat with a term that ends on Sep. 30, 2024.

    The American Pecan Promotion Board is seeking nominees for the following seats:

    • Four producer seats representing the Western Region
    • Two importer seats
    • One vacant producer seat representing the Central Region

    Members appointed to the producer and importer seats will serve three-year terms. The member appointed to the vacant seat will serve a one-year term.

    The Western Region consists of Arizona, California, New Mexico, Alaska, Hawaii, plus any states in the U.S. whose land mass is in the Mountain or Pacific Time zones, plus any U.S. territories in the Pacific Ocean. The Central Region consists of Arkansas, Kansas, Louisiana, Mississippi, Missouri, Oklahoma, Texas, plus any U.S. state with the majority of its land mass is in the Central Time Zone.

    The board is made up of 17 industry members including ten producers and seven importers.

    To serve on the board, producers and importers must have produced or imported more than 50,000 pounds of inshell pecans (25,000 pounds of shelled pecans), on average, for four fiscal periods. Producers who produce pecans in more than one region may seek nomination only in the region in which they produce the majority of their pecans.

    More information about the board is available on the Agricultural Marketing Service’s (AMS) American Pecan Promotion Board webpage or on the board’s website at www.eatpecans.com. You may also contact the American Pecan Promotion Board at industry@eatpecans.com or by phone at (817) 985-3034, or USDA Marketing Specialist Alex Caryl at Alexandra.Caryl@usda.gov or by phone at (202) 253-4768.

    AMS policy is that diversity of the boards, councils and committees it oversees should reflect the diversity of its industries in terms of the experience of members, methods of production and distribution, marketing strategies, and other distinguishing factors, including but not limited to individuals from historically underserved communities, that will bring different perspectives and ideas to the table.  Throughout the full nomination process, the industry must conduct extensive outreach, paying particular attention to reaching underserved communities, and consider the diversity of the population served and the knowledge, skills and abilities of the members to serve a diverse population.

    Since 1966, Congress has authorized industry-funded research and promotion boards to provide a framework for agricultural industries to pool resources and combine efforts to develop new markets, strengthen existing markets and conduct important research and promotion activities. The Agricultural Marketing Service (AMS) provides oversight to 22 boards. The oversight ensures fiscal accountability and program integrity, and is paid for by industry assessments.

  • California Ag Producers Near Feb. 6 Deadline for 2022 Ag Census

    The U.S. Department of Agriculture’s (USDA) National Agricultural Statistics Service (NASS) reminds California farmers and ranchers that the deadline to respond to the 2022 Census of Agriculture is next week, Feb. 6. Producers can respond online at agcounts.usda.gov or by mail.

    Last month, NASS mailed the Census of Agriculture questionnaires to every known ag producer in California, the U.S., and Puerto Rico. Conducted just once every five years, the ag census provides a complete account of the nation’s farms and ranches and the people who operate them. Responding to the Census of Agriculture is required by federal law under Title 7 USC 2204(g) Public Law 105-113. The same law requires NASS to keep all individual operations’ informationconfidential, use the data for statistical purposes only, and publish the data in aggregate form to prevent disclosing the identity of any individual producer or farm operation.

    “The Census of Agriculture is vital to agriculture at the local, county, state, and National level. It provides the only source of uniform, comprehensive, and impartial agriculture data,” says Gary Keough, Director of the NASS Pacific Regional Field Office.

    The Census of Agriculture remains the nation’s only comprehensive and impartial agriculture data for every state, county, and U.S. territory. Farm operations of all sizes, urban and rural, which produced and sold, or normally would have sold, $1,000 or more of agricultural products in 2022, are included in the ag census.

    Producers who have submitted their completed ag censuses may disregard any additional ag census letters and forms. Whether producers responded online or by mail, they can verify their reports were received by going to agcounts.usda.gov, entering their survey codes, and checking the submitted date under the status column of the My Surveys tab. The status update is not always immediate. The update can take a few minutes up to several days, especially if the questionnaire was returned by mail.

    NASS will release the results of the ag census in 2024. Visit nass.usda.gov/agcensus, for more information.

  • 2023 Dairy Margin Coverage Deadline Extended to Jan. 31

    The U.S. Department of Agriculture (USDA) has extended the deadline for producers to enroll in Dairy Margin Coverage (DMC) and Supplemental Dairy Margin Coverage (SDMC) for program year 2023 to Jan. 31, 2023.

    DMC is a voluntary risk management program that offers protection to dairy producers when the difference between the all-milk price and the average feed price (the margin) falls below a certain dollar amount selected by the producer.

    “We recognize this is a busy time of year with many competing priorities, so we’ve extended the DMC enrollment deadline to ensure every producer who wants coverage for 2023 has the opportunity to enroll in the program,” said Farm Service Agency (FSA) Administrator Zach Ducheneaux. “Early projections indicate DMC payments are likely to trigger for the first eight months in 2023. We all know that markets fluctuate, sometimes at a moment’s notice and sometimes with no warning at all, so now’s the time to ensure your operation is covered. Please don’t let this second chance slide.”

    Nearly 18,000 operations that enrolled in DMC for 2022 have received margin payments for August and September for a total of $76.3 million. At $0.15 per hundredweight for $9.50 coverage, risk coverage through DMC is a relatively inexpensive investment.

    DMC offers different levels of coverage, even an option that is free to producers, aside from a $100 administrative fee. Limited resource, beginning, socially disadvantaged, and military veteran farmers and ranchers are exempt from paying the administrative fee, if requested. To determine the appropriate level of DMC coverage for a specific dairy operation, producers can use the online dairy decision tool.

    Supplemental DMC 

    Last year, USDA introduced Supplemental DMC, which provided $42.8 million in payments to better help small- and mid-sized dairy operations that had increased production over the years but were not able to enroll the additional production. Supplemental DMC is also available for 2023.  The enrollment period for 2023 Supplemental DMC is also extended to Jan. 31, 2023.

    Supplemental DMC coverage is applicable to calendar years 2021, 2022 and 2023.  Eligible dairy operations with less than 5 million pounds of established production history may enroll supplemental pounds.

    For producers who enrolled in Supplemental DMC in 2022, the supplemental coverage will automatically be added to the 2023 DMC contract that previously established a supplemental production history.

    Producers who did not enroll in Supplemental DMC in 2022 can do so now. Producers should complete their Supplemental DMC enrollment before enrolling in 2023 DMC. To enroll, producers will need to provide their 2019 actual milk marketings, which FSA uses to determine established production history.

    DMC Payments 

    FSA will continue to calculate DMC payments using updated feed and premium hay costs, making the program more reflective of actual dairy producer expenses.  These updated feed calculations use 100% premium alfalfa hay rather than 50%.

    For more information on DMC, visit the DMC webpage or contact your local USDA Service Center.

  • December USDA Lending Rates for Agricultural Producers

    The U.S. Department of Agriculture (USDA) announced loan interest rates for December 2022, which are effective Dec. 1, 2022. USDA’s Farm Service Agency (FSA) loans provide important access to capital to help agricultural producers start or expand their farming operation, purchase equipment and storage structures or meet cash flow needs.

    Operating, Ownership and Emergency Loans

    FSA offers farm ownership and operating loans with favorable interest rates and terms to help eligible agricultural producers, whether multi-generational, long-time, or new to the industry, obtain financing needed to start, expand or maintain a family agricultural operation. FSA also offers emergency loans to help producers recover from production and physical losses due to drought, flooding, other natural disasters or quarantine.  For many loan options, FSA sets aside funding for underserved producers, including veterans, beginning, women, American Indian or Alaskan Native, Asian, Black or African American, Native Hawaiian or Pacific Islander, and Hispanic farmers and ranchers

    Interest rates for Operating and Ownership loans for December 2022 are as follows:

    FSA also offers guaranteed loans through commercial lenders at rates set by those lenders. To access an interactive online, step-by-step guide through the farm loan process, visit the Loan Assistance Tool on farmers.gov.

    Commodity and Storage Facility Loans

    Additionally, FSA provides low-interest financing to producers to build or upgrade on-farm storage facilities and purchase handling equipment and loans that provide interim financing to help producers meet cash flow needs without having to sell their commodities when market prices are low.  Funds for these loans are provided through the Commodity Credit Corporation (CCC) and are administered by FSA.

    Pandemic and Disaster Support

    FSA broadened the use of the Disaster Set Aside (DSA), normally used in the wake of natural disasters, to allow farmers with USDA farm loans who are affected by COVID-19, and are determined eligible, to have their next payment set aside. Because of the pandemic’s continued impacts, producers can apply for a second DSA for COVID-19 or a second DSA for a natural disaster for producers with an initial DSA for COVID-19. The COVID-DSA is available for borrowers with installments due before Dec. 31, 2022, and whose installment is not more than 90 days past due when the DSA request is made. The set-aside payment’s due date is moved to the final maturity date of the loan or extended up to 12 months in the case of an annual operating loan. Any principal set-aside will continue to accrue interest until it is repaid. Use of the expanded DSA program can help to improve a borrower’s cashflow in the current production cycle.

    FSA also reminds rural communities, farmers and ranchers, families and small businesses affected by the year’s winter storms, drought, hurricanes and other natural disasters that USDA has programs that provide assistance. USDA staff in the regional, state and county offices are prepared to deliver a variety of program flexibilities and other assistance to agricultural producers and impacted communities. Many programs are available without an official disaster designation, including several risk management and disaster recovery options.

    Inflation Reduction Act Assistance for Distressed Producers

    On August 16, President Biden signed the Inflation Reduction Act (IRA) into law. It is a historic, once-in-a-generation investment and opportunity for the agricultural communities that USDA serves. Section 22006 of the IRA provided $3.1 billion for USDA to provide relief for distressed borrowers with certain FSA direct and guaranteed loans and to expedite assistance for those whose agricultural operations are at financial risk. USDA has allocated up to $1.3 billion for initial steps to help these distressed borrowers. This includes both automatic and case-by-case assistance. For more information producers can contact their local USDA Service Center or visit farmers.gov/inflation-reduction-investments/assistance.

  • Additional Pre-Filled Applications Mailing to Farmers Impacted Recent Disasters

    The U.S. Department of Agriculture (USDA) today announced another installment (phase) in assistance to commodity and specialty crop producers impacted by natural disaster events in 2020 and 2021. More than 18,000 producers will soon receive new or updated pre-filled disaster applications to offset eligible crop losses. Approximately $6.4 billion has already been distributed to 165,000 producers through USDA’s Farm Service Agency’s (FSA) Emergency Relief Program (ERP).

    “We knew when we announced ERP in May that we would have additional applications to send toward the end of the summer as we received new information, and we came to know of producers who were inadvertently left out of the first data set we used,” said USDA Under Secretary for Farm Production and Conservation Robert Bonnie. “I am proud of our team’s continued effort to capture additional insurance records to enable over 18,000 producers to receive new or updated pre-filled disaster applications to provide much needed financial relief.”

    FSA will begin mailing pre-filled applications in late August to producers who have potentially eligible losses and:

    • Received crop insurance indemnities for qualifying 2020 and 2021 disaster events after May 2, 2022.
    • Received crop insurance indemnities associated with Nursery, Supplemental Coverage Option (SCO), Stacked Income Protection Plan (STAX), Enhanced Coverage Option (ECO) and Margin Protection (MP) policies.
    • New primary policyholders not included in the initial insured producer Phase 1 mailing from May 25, 2022, because their claim records had not been filled.
    • Certain 2020 prevent plant losses related to qualifying 2020 disaster events that had only been recorded in crop insurance records as related to 2019 adverse weather events and, as such, were not previously provided in applications sent earlier this year.
    • New Substantial Beneficial Interest (SBI) records, including SBIs where tax identification numbers were corrected.

    Producers are expected to receive assistance direct deposited into their bank account within three business days after they sign and return the pre-filled application to the FSA county office and the county office enters the application into the system.

    Before applying any program payment factors or eligibility criteria, it is estimated that this next installment (phase) may generate about $756 million in assistance.

    Emergency Relief Payments to Date 
    This emergency relief under ERP complements ERP assistance recently provided to more than 165,000 producers who had received crop insurance indemnities and Noninsured Crop Disaster Assistance Program (NAP) payments for qualifying losses. USDA has processed more than 255,000 applications for ERP, and to date, has made approximately $6.4 billion in payments to commodity and specialty crop producers to help offset eligible losses from qualifying 2020 and 2021 natural disasters. Also, earlier this year, staff processed more than 100,000 payments through the Emergency Livestock Relief Program (ELRP) and paid eligible producers more than $601.3 million for 2021 grazing losses within days of the program announcement.

    Phase Two 
    The second phase of both ERP and ELRP will be aimed at filling gaps and provide assistance to producers who did not participate in or receive payments through the existing risk management programs that are being leveraged for phase one implementation. USDA will keep producers and stakeholders informed as program details are made available.

    More Information 
    In addition, on Aug. 18, 2022, USDA published a technical correction to the Notice of Funds Availability for ERP and ELRP to clarify how income from the sale of farm equipment and the provision of production inputs and services to farmers, ranchers, foresters, and farm operations are to be considered in the calculation of average adjusted gross farm income.  Producers whose average adjusted gross farm income is at least 75% of the producer’s the average Adjusted Gross Income can gain access to a higher payment limitation.

    ERP and the previously announced ELRP are authorized by the Extending Government Funding and Delivering Emergency Assistance Act, which President Biden signed into law in 2021. The law provided $10 billion to help agricultural producers impacted by wildfires, droughts, hurricanes, winter storms and other eligible disasters experienced during calendar years 2020 and 2021.

    For more information on ERP and ELRP eligibility, program provisions for historically underserved producers as well as Frequently Asked Questions, producers can visit FSA’s Emergency Relief webpage. A new public-facing dashboard on the ERP webpage has information on ERP payments that can be sorted by crop type – specialty or non-specialty– specific commodities and state. FSA will update the dashboard every Monday.

    Additional USDA disaster assistance information can be found on farmers.gov, including the Disaster Assistance Discovery Tool, Disaster-at-a-Glance fact sheet and Farm Loan Discovery Tool. For FSA and Natural Resources Conservation Service programs, producers should contact their local USDA Service Center. For assistance with a crop insurance claim, producers and landowners should contact their crop insurance agent.

  • USDA to Invest $5 Million in the Wetland Mitigation Banking Program

    The U.S. Department of Agriculture (USDA) today announced that it is investing up to $5 million in the Wetland Mitigation Banking Program (WMBP). This grant program supports the development of mitigation banks for use by agricultural producers seeking to maintain eligibility for USDA programs. Funds are available to Tribes, state and local government entities, nonprofits and other organizations.

    “Our goal is to ensure that agricultural producers have the tools they need to successfully farm or ranch and conserve natural resources,” said Terry Cosby, Chief of USDA’s Natural Resources Conservation Service (NRCS). “This investment will help Tribes, states, local governments and other qualified partners work with producers to restore, create, and enhance wetland ecosystems.”

    To participate in most USDA programs, agricultural producers agree to comply with the wetland conservation provisions, which means producers will not farm converted wetlands or convert wetlands to enable agricultural production. In situations where avoidance or on-site mitigation is challenging, the Farm Bill allows for off-site mitigation through the purchase of mitigation banking credits.

    About the Wetland Mitigation Banking Program

    Since 2016, NRCS has awarded 25 projects in 13 states. The 2018 Farm Bill provided an opportunity for funding for this program through fiscal year 2023. NRCS is prioritizing funds in states with large amounts of wetlands as well as large amounts of producers with wetland determination requests, including Georgia, Indiana, Illinois, Michigan, Nebraska, Ohio, Pennsylvania, Wisconsin, Iowa, Minnesota, North Dakota and South Dakota.

    Awardees may use WMBP funding to support mitigation bank site identification, development of a mitigation banking instrument, site restoration, land surveys, permitting and title searches, and market research. WMBP funding cannot be used to purchase land or a conservation easement.

    NRCS is accepting proposals from eligible entities through Grants.gov by 11:59 p.m. ET on Oct. 10, 2022.

  • USDA Invests $14.5 Million in Taxpayer Education, Program Outreach Efforts for Farmers

    The U.S. Department of Agriculture (USDA) is investing in two outreach and education efforts for farmers and ranchers, including those who are new to farming or who have been historically underserved by USDA programs. USDA’s Farm Service Agency (FSA) is investing $10 million for agriculture-oriented taxpayer education as well as $4.5 million in outreach for the Conservation Reserve Program’s Transition Incentives Program (CRP TIP), which helps with access to land for beginning and socially disadvantaged farmers and ranchers. Both efforts help advance equity and access to USDA programs and agriculture.

    “Running a farm operation is tough, and we are working to help meet gaps where farmers need assistance,” said Blong Xiong, FSA Executive Director in California. “First, filing taxes for an agricultural operation can be challenging and many agricultural producers may not have the funds to hire accountants or tax professionals to assist, especially for new and historically underserved producers. This new initiative offers support to producers in navigating tax season. Second, we want to make sure producers are aware of our many program options, and Conservation Reserve Program Transition Incentives Program (CRP TIP) provides a unique opportunity for producers with expiring CRP land to help bring new farmers into the fold.”

    Taxpayer Education 

    FSA’s $10 million investment funds the new Taxpayer Education and Asset Protection Initiative. As part of the first phase of this work, FSA has established a partnership with the University of Arkansas and the National Farm Income Tax Extension Committee. This partnership is establishing hubs for taxpayer education while developing and delivering tax education resources to farmers, ranchers, agricultural educators and tax professionals through partnerships with stakeholders and minority- serving institutions across the country.

    Many producers are not aware that receiving USDA program funds for activities, such as conservation contracts, disaster assistance payments, and pandemic relief are taxable income, and need support to assist with short- and long-term business planning associated with their program payments. To address these issues, FSA is investing in partnerships with the University of Arkansas, the National Farm Income Tax Extension Committee and other partners to develop and deliver taxpayer education to producers to help them better understand the important relationships between federal income taxes and USDA farm programs. The next phases of this work will include a suite of online resources for producers, continuing education opportunities for tax attorneys and CPAs, as well as cooperative agreement funding and training opportunities for stakeholder organizations.

    “Many rural areas lack legal and certified accounting services, and agricultural producers need additional knowledge and/or resources to integrate tax planning into their financial planning,” said Ronald L. Rainey, Assistant Vice President of the University of Arkansas System Division of Agriculture. “This partnership will help the University of Arkansas and USDA work together to overcome inequalities in tax services to serve agriculture communities.”

    These tax education partnerships focus on addressing the immediate needs of producers by delivering agricultural tax and asset protection training and information to farmers as well as developing infrastructure to support rural taxpayer education and tax preparation for limited resource, beginning, and historically underserved farmers and ranchers for the long term.

    Tax Estimator Tool

    Additionally, USDA is updating and expanding online tax resources for producers, including the new Tax Estimator Tool,an interactive spreadsheet that producers can download to estimate tax liability. It is for informational and educational purposes only and should not be considered tax or legal advice. Producers may need to work with a tax professional to determine the correct information to be entered in the Tax Estimator Tool. The tool is available at ruraltax.org.

    Registration is also open for a webinar on Using the Tax Calculator to estimate your tax burden. The webinar will be held on Aug. 15 at 2 p.m. Eastern Standard Time. Previous webinars, fact sheets and other resources are available on farmers.gov/taxes.

    Available Funding for CRP TIP Outreach

    TIP provides financial incentives to CRP participants with expiring contracts, if they sell or rent the land to a beginning producer, veteran farmer or rancher, or a producer from a socially disadvantaged group.

    FSA is making available up to $4.5 million in funding and expects to award 15 to 20 partner and stakeholder organizations to conduct outreach and provide technical assistance to promote awareness and understanding of CRP TIP among agricultural communities, in particular those who are military veterans, new to farming, or historically underserved.

    Eligible stakeholders include Federally-recognized Indian tribal organizations, State governments, local governments, nonprofit organizations, and higher education institutions. Interested stakeholders may submit one-to-two-year proposals, and must submit their applications via Grants.gov by October 14, 2022.

    Deputy Under Secretary Montaño added: “This technical assistance funding will be critical in helping our external stakeholders connect contract holders to beginning producers, and make sure landowners understand TIP.”

    CRP TIP Training for Staff

    FSA will also train field employees on CRP TIP to improve and increase staff and producer awareness and support participation. Training will help staff understand the larger issues that can affect landowners’ considerations around CRP TIP and allow them to further help producers.

    More Information 

    Producers interested in CRP TIP and other USDA programs should contact their local USDA Service Center to learn more or to apply for programs.

  • Nominate Farmers and Ranchers to Serve on Local FSA County Committees

    The U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) is now accepting nominations for county committee members. Elections will occur in certain Local Administrative Areas (LAA) for members. LAAs are elective areas for FSA committees in a single county or multi-county jurisdiction. This may include LAAs that are focused on an urban or suburban area.  
     
    County committee members make important decisions about how Federal farm programs are administered locally. All nomination forms for the 2022 election must be postmarked or received in the local FSA office by Aug. 1, 2022.  
      
    “It is a priority for USDA to integrate equity into its decision-making and policymaking, and that starts with our local FSA county committees,” said FSA Administrator Zach Ducheneaux. “We need enthusiastic, diverse leaders to serve other agricultural producers on these committees as we work to build equitable systems and programming inclusive of all employees and all of our customers. I ask that you consider making a difference in your community by nominating yourself, or another agricultural producer, to serve on your local FSA county committee.”  
      
    Agricultural producers who participate or cooperate in a USDA program and reside in the LAA that is up for election this year, may be nominated for candidacy for the county committee. A cooperating producer is someone who has provided information about their farming or ranching operation to FSA, even if they have not applied or received program benefits. Individuals may nominate themselves or others and qualifying organizations may also nominate candidates. USDA encourages minority producers, women, and beginning farmers or ranchers to nominate, vote and hold office.  
      
    Nationwide, more than 7,700 dedicated members of the agricultural community serve on FSA county committees. The committees are made up of three to 11 members who serve three-year terms. Producers serving on FSA county committees play a critical role in the day-to-day operations of the agency. Committee members are vital to how FSA carries out disaster programs, as well as conservation, commodity and price support programs, county office employment and other agricultural issues.  
       
    Urban and Suburban County Committees 

    The 2018 Farm Bill directed USDA to form urban county committees as well as make other advancements related to urban agriculture, including the establishment of the Office of Urban Agriculture and Innovative Production. FSA established county committees specifically focused on urban agriculture. The urban county committees will work to encourage and promote urban, indoor and other emerging agricultural production practices. Additionally, the new county committees may address areas such as food access, community engagement, support of local activities to promote and encourage community compost and food waste reduction.  
      
    Urban committee members are nominated and elected to serve by local urban producers in the same jurisdiction. Urban county committee members will provide outreach to ensure urban producers understand USDA programs and serve as the voice of other urban producers and assist in program implementation that support the needs of the growing urban community.    
      
    The following urban and suburban county committees will hold elections this year Phoenix, Atlanta, New Orleans, Minneapolis-St. Paul, St. Louis, Albuquerque, N.M., Cleveland, Portland, Ore., Philadelphia, Dallas and Richmond, Va.   
      
    USDA recently announced six new urban county committees in Chicago, Detroit, Grand Rapids, Los Angeles, Brooklyn, and Oakland. Elections will be held for these locations at a later date.  
      
    Learn more at farmers.gov/urban.  
      
    More Information 

    Producers should contact their local FSA office today to register and find out how to get involved in their county’s election, including if their LAA is up for election this year. To be considered, a producer must be registered and sign an FSA-669A nomination form. Urban farmers should use an FSA-669-A-3 for urban county committees. The form and other information about FSA county committee elections are available at fsa.usda.gov/elections.  
      
    Election ballots will be mailed to eligible voters beginning Nov. 7, 2022. Producers can find their local USDA Service Center at farmers.gov/service-locator.