Foster Creek Conservation District
Foster Creek Conservation District

Sign Up: Aid for Loss Caused by Trade Disruptions

The USDA has announced details on the 2019 Market Facilitation Program (MFP). MFP was created as one of three programs within a trade mitigation package aimed at assisting farmers suffering from financial damage caused by trade disruptions. For details on all three programs, click here. MFP is the only program to be administered through the Farm Service Agency.  

 

MFP signups began on Monday, July 29 and runs through Friday, December 6, 2019. Payments will be based on three agriculture categories: non-specialty crops, specialty crops, and livestock.

 

Non-specialty crops include alfalfa hay, barley, canola, corn, crambe, dried beans, dry peas, extra-long staple cotton, flaxseed, lentils, long grain and medium grain rice, millet, mustard seed, oats, peanuts, rapeseed, rye, safflower, sesame seed, small and large chickpeas, sorghum, soybeans, sunflower seed, temperate japonica rice, triticale, upland cotton, and wheat. These crops must be planted by August 1, 2019 to be considered eligible for MFP payments. MFP assistance for those non-specialty crops is based on a single county payment rate multiplied by a farm’s total plantings of MFP-eligible crops in 2019. Those per-acre payments are not dependent on which of those crops are planted in 2019. A producer’s total payment-eligible plantings cannot exceed total 2018 plantings. County payment rates range from $15 to $150 per acre, depending on the impact of trade disruptions in that county.

 

For the state of Washington, non-specialty crop payments will be based on the following county rates:

 

County

2019 County Per Acre Payment Rate

Chelan

$15

Douglas      

$17

Grant

$25

Okanogan

$15​

Specialty crops include almonds, cranberries, cultivated ginseng, fresh grapes, fresh sweet cherries, hazelnuts, macadamia nuts, pecans, pistachios, and walnuts. Each specialty crop will receive a payment based on 2019 acres of fruit or nut bearing plants in 2019.

Specialty crop payment rates include:

Specialty Crop

Rate Per Acre

Sweet Cherries (Fresh)

$1,555

MFP payments will be made in up-to three payment segments, with the second and third portions dependent on market conditions and trade developments. The first segment will be comprised of the higher of either 50 percent of a producer’s calculated payment or $15 per acre, which may reduce potential payments to be made in the second and third payment periods. If conditions warrant, the second and third sets of payments will be made in November and early January, respectively.

MFP payments will be limited by each payment type. For non-specialty crops, payments are limited to $250,000 per person or legal entity, for dairy and hog producers, payments are limited to $250,000, and for specialty crop producer, payments are limited to $250,000. No applicant can receive more than a total of $500,000. Eligible applicants must also have an average adjusted gross income (AGI) certification based on tax years 2015, 2016, and 2017 of less than $900,000 or, eligible applicants must be able to verify 75 percent or more of their average AGI for those same tax years was derived from farming, ranching, or forestry operations. Applicants must also comply with the provisions of the Highly Erodible Land and Wetland Conservation regulations.

To be eligible for all crop payments, applicants must have filed a 2019 acreage report with FSA or their crop insurance provider to determine the acres produced this year. For a payment on non-specialty crops, producers must have also submitted a 2018 acreage report, which will be used to ensure payment acres do not exceed total 2018 plantings. Producers who failed to file a 2019 acreage report can still do so by paying a late-filing fee and having FSA confirm the crops. Late 2018 acreage reports can no longer be accepted as the deadlines for 2018 have all passed.

Through H.R. 2157, the Additional Supplemental Appropriations for Disaster Relief Act, changes have also been made to 2018 MFP. Producers previously deemed ineligible for MFP in 2018 because they had an average AGI higher than $900,000 may now be eligible for 2018 MFP benefits. Those producers must be able to verify 75 percent or more of their average AGI was derived from farming, ranching, or forestry operations to qualify. To be eligible for the program, producers must have already reported their 2018 crops through FSA or through a federal crop insurance agent. Late-filed acreage reports for 2018 will not be accepted as all crop deadlines have now passed. The 2018 MFP signup period will run parallel to the 2019 MFP signup, from July 29 through December 6, 2019.

For more information on the MFP, visit www.farmers.gov/mfp or contact your local FSA office, which can be found at www.farmers.gov.

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Foster Creek Conservation District 203 S Rainier Waterville, WA 98858 509-888-6372 © Foster Creek CD