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In the News - August 2008
New Permanent Disaster Programs "Buy-In" Deadline is September 16
PINE BLUFF, Ark. - New in the 2008 Farm Bill is the creation of permanent
disaster relief programs. In the past whenever a widespread natural disaster
occurred, producers had to wait for Congress to vote on implementing a disaster
relief program. Not so anymore.
"A few key members of Congress pushed hard and were successful in including
permanent disaster assistance programs in the 2008 Farm Bill," says Dr. Henry
English, director of the Small Farm Program at the University of Arkansas at
Pine Bluff. The most recent disaster bills had a difficult time getting through
Congress, as the president insisted on budget offsets to pay for the program.
The 2008 Act requires producers who wish to participate in the new disaster
programs to have crop insurance or non-insured crop disaster assistance (NAP)
program. Since the Act was enacted after the Feb. 28 deadline to purchase NAP or
crop insurance, producers without it can request a waiver and pay a "buy-in" fee
to be eligible for the new disaster assistance programs, says Dr. English. And,
farmers who meet the definition of "Socially Disadvantaged, Limited Resource" or
"Beginning Farmer or Rancher" are not required to pay the buy-in fee, he says.
Every producer whose crops, including grazing lands, are not fully covered by
crop insurance or NAP may take advantage of this one-time opportunity. The
buy-in fee is due by Sept. 16, 2008, and those without 2008 catastrophic risk
protection (CAT) or NAP coverage who do not buy-in will not be eligible for any
disaster assistance should one occur in 2008.
The buy-in fee for 2008 eligibility for either the catastrophic risk
protection insurance CAT or NAP is $100 per crop, but not more than $300 per
producer per county or $900 total for all counties minus any previously paid CAT
or NAP fees.
Producers can contact their local Farm Service Agency (FSA) county office to
fill out an application for a waiver and pay the buy-in fee, but before paying,
Dr. English advises small, limited resource and beginning farmers and ranchers
to verify their status. Income levels and criteria vary from county to county.
Even if small, limited resource and beginning farmers and ranchers may be exempt
from the fees, they must still sign up for CAT or NAP to be eligible for
participation in 2008 disaster assistance programs, says Dr. English.
Payment of the buy-in fee allows producers to be eligible for benefits from a
fleet of disaster assistance programs created by the 2008 Farm Bill. The largest
disaster programs assistance program are the Supplemental Revenue Assistance
Payments (SURE) Program, which covers program crops such as wheat, rice, cotton
and vegetable crops and the Livestock Disaster Program (LEP) which covers
grazing losses because of drought.
For more information on the provisions of the recently enacted 2008 Farm
Bill, contact a UAPB Extension associate.
Precious Williams (870) 774-0446 - Clark, Columbia, Nevada, Ouachita and
Sevier counties; Arlanda Jacobs (870) 572-2966 - Lee, Phillips, St. Francis,
Arkansas and Monroe counties; Janet Breckenridge (870) 489-2336 - Chicot, Drew,
Ashley and Desha counties; Kandi Williams (870) 774-0446 - Howard, Little River,
Miller, Hempstead and Lafayette counties; Carolyn Prowell (870) 489-5585 - St.
Francis, Crittenden, Woodruff and Cross counties; Stephan Walker (870) 575-7237
- Jefferson, Desha, Lincoln and Pulaski counties. Those elsewhere can contact
Dr. English at (870) 575-7246.
August 1, 2008
By: Carol Sanders
Writer/editor
UAPB School of Agriculture
Fisheries and Human Sciences
(870) 575-7238
sanders_c@uapb.edu
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