On December 24, 2009, US Department of Agriculture Secretary Tom Vilsack made an announcement about the implementation of a new crop disaster program the department hopes will provide needed relied for farmers struggling as a result of natural disasters.The new program is the Supplemental Revenue Assistance Payments program (SURE). SURE was authorized as part of the 2008 Farm Bill. Now, county Farm Service Agency (FSA) offices will begin taking applications for SURE starting January 4, 2010. In the news release by the department, the Secretary “encourages” producers to participate in the program if they had crop losses in the 2008 crop year as a result of natural disasters.
The Secretary stated in the news release, ‘"This program is an important component of the farm safety net and will provide financial assistance to producers who have suffered crop losses due to natural disasters. . . Producers will receive payments beginning in January, in time to help them with planning for next year's crop."’
As the news release explains, SURE provides assistance payments to “eligible producers” that have crop production or crop quality losses. The program takes into account all crops grown by a producer nationwide, and will provide assistance
“equal to 60 percent of the difference between the SURE farm guarantee and total farm revenue. The farm guarantee is based on the amount of crop insurance and Non-insured Crop Disaster Assistance Program (NAP) coverage on the farm. Total farm revenue takes into account the actual value of production on the farm as well as insurance indemnities and certain farm program payments.”
Eligible producers must have suffered at least a 10 percent production loss “on a crop of economic significance.” Further, there are risk management obligations that require producers to cover some risk management by purchasing insurance policies or plans under the Federal crop Insurance Act or NAP—for economically significant crops.
Additionally, the farming interest in question must be located in a county that has been declared a federal disaster area, or a contiguous county. The agriculture secretary makes these declarations via a Secretarial Disaster Designation. Those producers without a secretarial declaration must have over a 50 percent loss in farm production from what is normal, as a result of a natural disaster. “For SURE, a farm is defined as all crops in which a producer had an interest nationwide.”
For more information on the SURE program see your local FSA county office or click here.
To read the USDA news release click here.
Posted: 12/28/09
