What's Up at the USDA Office?
Deadlines/Dates
September 30: Fiscal Year End
Dairy Margin Coverage (DMC) Premiums Due
Reminder - 2025 Dairy Margin Coverage (DMC) participants, premium balances are due August 30, 2025. Please call the Allamakee County office to settle any outstanding premium balances BEFORE August 29th. Checks are to be made payable to CCC. For more information about DMC, please contact the Allamakee County FSA office (563) 568-2148, Ext. 2
Celebrating 25 Years of USDA’s Farm Storage Facility Loan Program
USDA’s Farm Service Agency (FSA) is celebrating 25 years of the agency’s popular Farm Storage Facility Loan Program (FSFL) this year. For a quarter century, family-owned agricultural operations have received low-interest financing through the program to enhance or expand their operations and manage marketing of the commodities they produce by building or upgrading permanent and portable storage facilities and purchasing needed handling equipment.
“Participating in FSA’s Farm Storage Facility Loans program provides producers affordable financing that allows them to build an on-farm storage system the right way from day one - a system that provides grain handling capacity for years to come,” said FSA Administrator Bill Beam. “Many people think of grain storage when they hear on-farm commodity storage, but the reality is, the program has expanded over the past quarter century to include a variety of storage and handling options including bins, cold storage, trucks and more, all designed to help agricultural producers take their commodities from field to facility to the end user.”
The FSFL program was created in May 2000 to address existing on-farm grain storage needs. Since the program’s inception, more than 40,000 loans have been issued for on-farm storage, increasing storage capacity by one billion bushels. While many producers primarily associate the program with grain storage, over the past 25 years the eligible storage has expanded to include a wide variety of facilities and related equipment - new or used and permanent or portable - including hay barns, bulk tanks, and facilities for cold storage. Drying, handling and storage equipment is also eligible, including skid steers and storage and handling trucks.
Eligibility - Eligible commodities for storage loans include grains, oilseeds, peanuts, pulse crops, hay, hemp, honey, renewable biomass commodities, fruits and vegetables, floriculture, hops, seed cotton, wool, maple sap, maple syrup, milk, cheese, yogurt, butter, eggs, unprocessed meat and poultry, rye and aquaculture. Most recently, controlled atmosphere storage was added as an eligible facility and bison meat has been also added to the list of eligible commodities.
FSFL is an excellent financing program to address on-farm storage and handling needs for small and mid-sized farms, and for new farmers. Loan terms vary from three to 12 years. The maximum loan amount for storage facilities is $500,000. The maximum loan amount for storage and handling trucks is $100,000. In 2016, FSA introduced a new storage loan category, the microloan, for loans with an aggregate balance up to $50,000. Microloans offer a 5% downpayment requirement, compared to a 15% downpayment for a regular FSFL, and microloans waive the regular three-year production history requirement.
How to apply - Loan applications should be filed in the administrative FSA county office that maintains a producer’s farm records. Producers can contact their FSA County Office to make an appointment. Beginning farmers who haven’t worked with FSA can visit farmers.gov/your-business/beginning-farmers for more information or view the New Farmers Fact Sheet.
Supplemental Disaster Relief Program (SDRP) SIGNUP
Producers who suffered eligible crop losses due to natural disasters in 2023 & 2024 can now apply for $16 billion in assistance through the Supplemental Disaster Relief Program (SDRP).
To expedite the implementation of SDRP, USDA’s Farm Service Agency (FSA) is delivering assistance in two stages. Stage One sign-up started on July 10.
This first stage is open to producers with eligible crop losses that received assistance under crop insurance or NAP during 2023 and 2024, all producers with identifiable losses were mailed prefilled applications. “American farmers are no stranger to natural disasters that cause losses that leave no region or crop unscathed. Under President Trump’s leadership, USDA has worked around the clock to deliver this relief directly to our farmers,” said Secretary Rollins.
“We are taking swift action to ensure farmers will have the resources they need to continue to produce the safest, most reliable, and most abundant food supply in the world.” This announcement follows Secretary Rollins’ comprehensive plan to deliver the total amount of Congressionally appropriated $30 billion in disaster assistance to farmers and ranchers this year. These programs will complement the forthcoming state block grants that USDA is working with 14 different states to develop. This expeditious timeline is in direct contrast to the Biden Administration’s USDA where disaster relief programs took an average of 13 months - and in one case 19 months - to reach farmers and ranchers.
To date, USDA has issued more than $7.8 billion in Emergency Commodity Assistance Program (ECAP) payments to more than half a million eligible producers. Additionally, USDA has provided over $1 billion in emergency relief through the Emergency Livestock Relief Program to producers who suffered grazing losses due to drought or wildfires in calendar years 2023 and 2024.
How to Apply - To apply for SDRP, producers must submit the FSA-526, Supplemental Disaster Relief Program (SDRP) Stage One Application, in addition to having other forms on file with FSA. Please call the Fayette County FSA office and we will walk you through filling out your application. SDRP Stage One Payment Calculation Stage One payments are based on the SDRP adjusted NAP or Federal crop insurance coverage level the producer purchased for the crop. The net NAP or net federal crop insurance payments (NAP or crop insurance indemnities minus administrative fees and premiums) will be subtracted from the SDRP calculated payment amount.
For Stage One, the total SDRP payment to indemnified producers will not exceed 90% of the loss and an SDRP payment factor of 35% will be applied to all Stage One payments. If additional SDRP funds remain, FSA may issue a second payment.
Future Insurance Coverage Requirements - All producers who receive SDRP payments are required to purchase federal crop insurance or NAP coverage for the next two available crop years at the 60% coverage level or higher. Producers who fail to purchase crop insurance for the next two available crop years will be required to refund the SDRP payment, plus interest, to USDA.
SDRP Stage 2 - FSA will announce additional SDRP assistance for uncovered losses, including non-indemnified shallow losses and quality losses and how to apply later this fall.
Highly Erodible Land (HEL) and Wetland Conservation Compliance
Landowners and operators are reminded that in order to receive payments from USDA, compliance with Highly Erodible Land (HEL) and Wetland Conservation (WC) provisions are required. Farmers with HEL determined soils are reminded of tillage, crop residue, and rotation requirements as specified per their conservation plan. Producers are to notify the USDA Farm Service Agency prior to breaking sod, clearing land (tree removal), and of any drainage projects (tiling, ditching, etc.) to ensure compliance. Failure to update certification of compliance, with form AD-1026, triggering applicable HEL and/or wetland determinations, for any of these situations, can result in the loss of FSA farm program payments, FSA farm loans, NRCS program payments, and premium subsidy to Federal Crop Insurance administered by RMA.
