Farm loan programs guide and compass

FSA offers online resources that can help producers understand our programs. The Your Guide to FSA Farm Loans guidebook simplifies information on the types of farm loans available; how to apply for a guaranteed loan, direct loan, or land contract guarantee; what you can expect once you submit your application; and most importantly, your rights and responsibilities as an FSA customer. The Your FSA Farm Loan Compass guidebook simplifies information regarding the responsibilities of FSA loan borrowers and the loan servicing options available to them. Spanish language versions of the Your Guide to FSA Farm Loans and Your FSA Farm Loan Compass guidebooks are available as well. FSA website fsa.usda.gov. Annual Review of Payment Eligibility for New Crop Year FSA and NRCS program applicants benefits are required to submit a completed CCC-902 (Farming Operation Plan) and CCC-941 Average Gross Income (AGI) Certification and Consent to Disclosure of Tax Information for FSA to determine the applicant's payment eligibility and establish the maximum payment limitation applicable to the program applicant. Participants are not required to annually submit new CCC-902s for payment eligibility and payment limitation purposes unless a change in the farming operation occurs that may affect the previous determination of record. A valid CCC-902 filed by the participant is considered to be a continuous certification used for all payment eligibility and payment limitation determinations applicable for the program benefits requested. Participants are responsible for ensuring that all CCC-902 and CCC-941 and related forms on file in the county office are updated, current, and correct. Participants are required to timely notify the county office of any changes in the farming operation that may affect the previous determination of record by filing a new or updated CCC-902 as applicable. Changes that may require a NEW determination include, but are not limited to, a change of: • Shares of a contract, which may reflect: • A land lease from cash rent to share rent. • A land lease from share rent to cash rent (subject to the cash rent tenant rule). • A modification of a variable/fixed bushel-rent arrangement. • The size of the producer's farming operation by the addition or reduction of cropland that may affect the application of a cropland factor, the structure of the farming operation, including any change to a member's share, the contribution of farm inputs of capital, land, equipment, active personal labor, and/or active personal management. • Farming interests not previously disclosed on CCC-902 including the farming interests of a spouse or minor child. • Certifications of average AGI are required to be filed annually for participation in an annual USDA program. • For multi-year conservation contracts and NRCS easements, a certification of AGI must be filed prior to approval of the contract or easement and is applicable for the duration of the contract period. Participants are encouraged to file or review these forms within the deadlines established for each applicable program for which program benefits are being requested. 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. Highly Erodible Land and Wetland Conservation Certification Must be Filed to Receive FSA Benefits The 2014 Farm Bill requires farmers to have a Highly Erodible Land Conservation and Wetland Conservation Certification (AD-1026) on file with their local Farm Service Agency (FSA) office in order to maintain eligibility for premium support on federal crop insurance. Since enactment of the 1985 Farm Bill, eligibility for most commodity, disaster and conservation programs has been linked to compliance with the highly erodible land conservation and wetland conservation provisions. The 2014 Farm Bill continues the requirement that producers adhere to conservation compliance guidelines to be eligible for most programs administered by FSA and the Natural Resources Conservation Service (NRCS). This includes financial assistance from the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs, the Conservation Reserve Program (CRP), livestock disaster assistance programs, Marketing Assistance Loans (MALs) and most programs implemented by FSA. It also includes the Environmental Quality Incentives Program (EQIP), the Conservation Stewardship Program (CSP) and other conservation programs implemented by NRCS. Producers certify to conservation compliance at FSA with form AD-1026. This is a continuous certification that only requires updates when changes occur. A producer will be ineligible for any premium support paid by Federal Crop Insurance Corporation on their policy or plan of insurance if they do not have a completed AD-1026 on file with FSA certifying compliance on or before the premium billing date for their policy or plan of insurance, unless otherwise exempted. When a producer completes and submits the AD-1026 certification form, FSA and NRCS staff will review the associated farm records and outline any additional actions that may be required to meet the required conservation compliance provisions. Form AD-1026 is available at USDA Service Centers and online at: fsa.usda.gov. Please contact your local USDA Service Center for more information. FROM THE HURON/ERIE COUNTY FARM SERVICE AGENCY AGRI-BUSINESS NOTES FOR THE HURON AND ERIE COUNTY PRODUCERS.