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<\/a><\/div>\n\n\u00a0<\/span><\/span><\/span><\/p>\n<\/div>\n\nThe Farm Bill is renewed every five years in order to
\nreflect the changing needs of the agricultural community. <\/span>This cycle includes
\nspecialty funding for small, new, low resourced, organic, minority and urban
\nfarms1<\/sub>. USDA is comprised of many agencies, which are interested in
\nreaching these non-traditional types of agricultural operations in addition to
\ntraditional large-scale agriculture and commodity operations. The goal of this
\narticle is provide an overview the agencies and allocations available to
\nfarming operations of all sizes and styles.<\/span><\/span><\/p>\n
\n<\/span><\/p>\n\nPredicting
\nweather has always been a part of the delicate dance of farming and the
\nseasons. It is true that working with nature via <\/span>sustainable farming practices such
\nas soil building, contouring and cover crops can help increase the resiliency
\nof a farm in the face of a changing climate. However, farm income can be lost
\nby unforeseen natural disasters such as severe storms; prolonged weather events
\nlike drought can reduce yields by destroying crops, land and infrastructure. Farms
\nare a business and crops are the inventory and that value must be protected in
\norder to allow for fiscal survival when natural events occur. This is the premise
\nfor crop insurance, which is just one program available to support fiscal
\nsustainability. <\/span><\/p>\n
\n<\/span><\/p>\n\nClimate related weather events
\nare costly, and on the rise, so much so that the National Oceanic and
\nAtmospheric Administration (NOAA) created a searchable online database known as
\n\u2018The Billion Dollar Club\u20192<\/sub>. This resource tracks weather and climate
\nrelated events such as super storms, winter storms, floods, and wildfires that
\ncause US$1 Billion or more in damage, of which there were ten in 2015 alone,
\nand three of those occurred in Pennsylvania. These ten events caused 155 deaths
\nand economic devastation in many sectors. Climate change scientists at Columbia
\nUniversity\u2019s Earth Institute and Tufts University are currently analyzing data
\nto understand what agriculture looks like in Pennsylvania under various climate
\nchange models, in order to understand what opportunities and interventions
\nfarmers may consider as part of the USDA Agriculture and Food Research
\nInitiative (AFRI) funded Enhancing Food
\nSecurity in the Northeast<\/i> (EFSNE) grant3<\/sub>.<\/span><\/span><\/p>\n<\/p>\n<\/span>
\n
\n<\/span><\/p>\n\nA recent example of crop damage
\nattributable to weather fluctuations which will likely hit home for many
\nreaders is the damage fruit trees suffered in April 2016. A warm March was followed
\nby hard frost and freeze in some areas of the state. NOAA classified the
\n2015-2016 winter as the warmest on record in the lower 48 states with the
\naverage temperature across the US 4.6\u00b0F higher than the average temperature
\nrecorded in the last 100 years4<\/sub>. It is too early to tell the extent
\nof the yield and related economic impacts will be from this weather event.
\nAccording to early estimates of yield impact from the Penn State Fruit Research
\nand Extension Center in Biglerville, Adams County, fruit growers are expecting <\/span>85-90 percent of a full crop of apples, 75-80 percent
\nof a full crop of peaches and 50 percent of a full crop of tart cherries5<\/sub>.
\nDamage was most significant to apricots, plums and pears due to early dormancy
\nbreaks, with peaches and apples fairing slightly better6<\/sub>.<\/span><\/span><\/p>\n<\/p>\n<\/span>
\n
\n<\/span><\/p>\n\nAccording to the 2012 PA Ag
\nCensus, agriculture in PA is valued at US$7.4 Billion annually, and $160
\nMillion of that comes from tree products including fruit and nuts7<\/sub>. The
\neconomic and social impact of all agricultural efforts shapes the fabric of our
\ncommunities and the landscape that Pennsylvanians call home. This is recognized
\nby the federal government via allocations programs designed to protect the
\nindustry, primarily through the United States Department of Agriculture (USDA).
\nFarms and businesses wanting to apply for federal grants and contracts simply
\nneed to obtain System for Award Management (SAM) and Duns & Bradstreet
\n(DUNS) numbers, which are free via a short form and take a couple of weeks to
\nprocess. Let\u2019s examine some of those programs. <\/span><\/span><\/p>\n<\/p>\n<\/span>
\n<\/p>\n<\/span><\/p>\n
\nOverview
\nof USDA Agencies and Selected Programs<\/span><\/span><\/u><\/b><\/p>\n
\n<\/span><\/p>\n\nThe United States Department of
\nAgriculture (USDA) is the federal executive body responsible for developing and
\nimplementing policy and funding programs related to forestry, agriculture, food
\nand farming. The following departments are under their purview; note this is
\nnot an exhaustive list:<\/span><\/span><\/p>\n<\/p>\n<\/span>
\n
\n<\/span><\/p>\n\nNatural
\nResources Conservation Service<\/span><\/b> (NRCS)<\/b><\/span><\/span><\/p>\n
\n<\/span><\/p>\n\nThe Natural Resources
\nConservation Service provides technical and financial assistance to farmers by
\nworking with them on the ground on projects that focus on conservation and the
\nuse of technology to improve farm systems. <\/span>NRCS\u2019s
\nmission is \u201chelping people help the land.\u201d <\/span>Staff is available to visit farms, get
\nto know the farm and provide consulting on operations as well as suggest
\nappropriate programs. NRCS receives its budget through an allocation system
\nfrom the federal government to each state. In Pennsylvania, NRCS has regional
\noffices which cover every county, and staff welcomes new relationships with
\nfarms and a variety of other land holders. <\/span><\/span><\/p>\n<\/p>\n<\/span><\/p>\n
\nNRCS programs often operate on
\nan \u2018in kind\u2019 basis, meaning that the farmer matches the award amount with
\nequipment, labor and other non-monetary contributions to the project. The farm
\nthen receives payments according to an NRCS schedule at agreed upon project
\nmilestones. There are many programs available, and when a match is not found
\nwith NRCS, there are often resources available through the Farm Service Agency
\n(FSA), and farmers and landholders are encouraged to think of these sister
\nagencies when developing the support network for their business and to be
\nproactive about relationship building. Some NCRS programs of note include:<\/span><\/span><\/p>\n<\/p>\n<\/span>
\n
\n<\/span><\/p>\n\nAgricultural
\nManagement Assistance (AMA) <\/span><\/span><\/b><\/p>\n
\n<\/span><\/p>\n\nThe
\ngoal of this program is to reduce risk in production by v<\/span>oluntarily
\naddressing water management, water quality and erosion control by incorporating
\nconservation into farming operations. Farms can have sales of over $1,000, and
\nan implementation cost of 75 percent up to $50,000.<\/span><\/span><\/p>\n<\/p>\n<\/span><\/p>\n
\nConservation
\nStewardship Program (CSP)<\/span><\/span><\/b><\/p>\n
\n<\/span><\/p>\n\nThis program assists land owners
\nto maintain existing conservation efforts and adopt new conservation efforts
\nincluding: water, energy, soil, air and habitat. Payments are performance based;
\ncontracts are five years with a $200k cap. <\/span><\/span><\/p>\n<\/p>\n<\/span><\/p>\n
\nConservation
\nInnovation Grants (CIG)<\/span><\/span><\/b><\/p>\n
\n<\/span><\/p>\n\nAs the name implies, CIG support
\ndevelopment and adoption of innovative approaches and technology to improve conservation
\nof agricultural land. \u00a0<\/span>This grant is
\nflexible in that any project proposal that ties back to that goal of improving
\nconservation may be considered. EQIP is a funding vehicle under the CIG
\numbrella. Funding levels <\/span>up to $75k per project with a 50\/50 match, therefore a total
\nproject of $150k can be accepted. <\/span><\/span><\/p>\n<\/p>\n<\/span><\/p>\n
\nEnvironmental Quality Incentives Program
\n(<\/span><\/b>EQIP)<\/span><\/b><\/span><\/p>\n
\n<\/span><\/p>\n\nEQIP is commonly known as the
\nhigh tunnel grant\u2019 because it commonly supports high tunnel projects. The
\nmission of this grant is more expansive that that\u2014its goal is for farms to
\nadopt technology practices and planning to increase growing efficiency through
\nimproving wate and air quality, reducing erosion and sedimentation,\u00a0 <\/span>and improving created habitat. This grant has
\nten year contracts, and special incentives for beginning, socially
\ndisadvantaged and limited resource farmers. For these categories of growers, up
\nto 50 percent advance on project materials\/services is possible to get the
\nproject off of the ground.<\/span><\/span><\/p>\n<\/p>\n<\/span>
\n<\/p>\n<\/span><\/p>\n
\nFarm
\nService Agency (FSA)<\/span><\/span><\/u><\/b><\/p>\n
\n<\/span><\/p>\n\nOften, if a match is not found
\nwith NRCS, the Farm Service Agency is the next stop. FSA programs are designed
\nto help small farmers to access funds through its microloan and other programs.<\/span><\/span><\/p>\n\n\u00a0<\/span><\/span><\/span><\/u><\/b><\/p>\n
\n<\/span><\/p>\n\nRural
\nDevelopment (RD)<\/span><\/span><\/u><\/b><\/p>\n\nThe role of USDA Rural
\nDevelopment is to improve the economy and quality of life in rural communities
\nthrough economic development, loans, grants and technical assistance for
\ncommunity empowerment projects. The Value Added Producer Grant Program (VAPG),
\navailable annually and usually announced in spring, is a funding option for
\nthose looking to add value to farm products, expand marketing, processing and
\ncreating new market opportunities for value-added products are goals.
\nBeginning, small and socially disadvantaged farmers and ranchers may receive
\npriority.<\/span><\/span><\/p>\n<\/p>\n<\/span><\/p>\n
\nPlanning grants are up to
\n$75,000 and working capital grants are up to $250,000. The deadlines are <\/span>July 1, 2016 for paper applications; \u00a0<\/span>June 24, 2016 for electronic applications <\/span><\/span><\/p>\n\n\u00a0<\/span><\/span><\/span><\/u><\/b><\/p>\n
\n<\/span><\/p>\n\nRMA<\/span><\/u><\/b> <\/span><\/b><\/p>\n<\/p>\n<\/span><\/p>\n
\nThe Risk Management Agency
\nadministrates and operates many programs, including all crop insurance programs
\nthrough the Federal Crop Insurance Corporation (FCIC). Crop insurance plans are
\nsold through private insurance agencies in the private sector. The mission of
\nRMA is to strengthen the economic stability of agricultural producers and rural
\ncommunities through risk management tools.<\/span><\/p>\n<\/p>\n<\/span>
\n<\/p>\n<\/span><\/p>\n
\nThere are newer crop insurance programs <\/span>for small, organic, diversified
\nand non-traditional ag production including aquaculture and mushrooms.
\nInsurance for these types of growers have benefits such as: exemption from
\nadministrative fees, reduced out-of-pocket premium expenses, additional subsidy,
\nincrease in the substitute yield adjustment, and production history from
\nfarming operation they have been involved in previously. An overview of several
\nprogram in these categories follows:<\/span><\/span><\/p>\n<\/p>\n<\/span>
\n<\/p>\n<\/span><\/p>\n
\nOrganic
\nCrop Insurance <\/span><\/span><\/b><\/p>\n\nThis program provides coverage
\nfor certified organic acreage as well as transitional acreage, including any
\ncrop grown using organic farming practices.<\/span><\/span><\/p>\n<\/p>\n<\/span><\/p>\n
\nWhole-Farm
\nRevenue Protection<\/span><\/span><\/b><\/p>\n
\n<\/span><\/p>\n\nThis is a comprehensive
\ninsurance program providing a safety net for the entire farm, and was first
\navailable in 2015. The program is crop neutral; anything is covered and is available
\nin every county in the U.S. The policy covers levels up to 85 percent of
\nrevenue and can be combined with single crop policies.<\/span><\/span><\/p>\n<\/p>\n<\/span>
\n<\/p>\n<\/span><\/p>\n
\nNoninsured Crop
\nDisaster Assistance Program (NAP)<\/span><\/span><\/b><\/p>\n
\n<\/span><\/p>\n\nCrops considered uninsurable
\nunder other programs are covered under NAP when low yields, loss of inventory,
\nor prevented planting occur due to natural disasters, excessive heat, insect
\ninfestation and plant disease.<\/span><\/span><\/p>\n<\/p>\n<\/span>
\n<\/p>\n<\/span><\/p>\n
\nNoninsured
\nCrop Disaster Assistance Program (NAP) for Underserved Farmers<\/span><\/b><\/p>\n<\/p>\n<\/span><\/p>\n
\nBeginning,
\nsocially disadvantaged and limited resource farms, and those farms that are organic
\nand sell at direct market prices are able to receive higher coverage levels than
\nunder the regular NAP program. The goal is to level the playing field for
\norganic and direct market farmers who have been farming less than 10 years.
\nAdditionally the $250 service fee is waived, and policy holders enjoy a 50
\npercent premium reduction. <\/span><\/p>\n<\/p>\n<\/span><\/p>\n
\n\u00a0<\/span><\/p>\n\nThe
\nbusiness of farming can be just as challenging as difficult weather conditions
\nor pest problems. It can be worthwhile to occasionally think of the farm in
\nbusiness terms. Those crops, animals and farm products are the revenue
\ngenerator necessary to allow a farm to continue from one season to the next.
\nBuild relationships with staff of the mentioned USDA offices and Extension to
\ncreate a network of professionals dedicated to protecting and preserving your
\nfarm.<\/span><\/p>\n
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<\/a><\/div>\n