Calculating ’04 Disaster Payment Info

It’s expected that sign-up will be in March for the Crop Disaster Assistance Program. Payments will be made to qualifying crop producers who have suffered crop losses because of natural disasters and drought in 2003 or 2004 (producer’s choice).  Rules are expected to be similar to the last round of disaster assistance.  Crop producers will be compensated if their production yield losses exceed 35% of historic yields. A quality loss provision provides compensation for losses that are at least 20% of the crop’s value.

The payment formulas provide greater benefits to producers who bought insurance on their eligible crops. Crop disaster assistance compensation rates:

• Insured crops - 65 percent of the crop insurance market price election.  (MPCI/APH established price).
• Uninsured crops - 60 percent of the crop insurance market price election.  (MPCI/APH established price).
• Non-insurable crops - 65 percent of the 5-year NASS average price.  (NAP area loss triggers do not apply).

Benefits are limited to $80,000 per person. A crop producer does not need to be located in a county with a disaster declaration to be eligible for crop disaster assistance. However, a presidential or secretarial disaster designation for a county is needed for a livestock producer to qualify for livestock assistance.

Kansas State University has an online tool to help farmers calculate whether they may exceed the 95% dollar per acre disaster limit. Go to www.agmanager.info/crops/insurance then click on “Risk Management Strategies” then download the PDF under “KSU Model to Estimate Disaster Aid Reduction.”

Disaster assistance provisions are outlined on the Internet at http://agriculture.house.gov/info/AgDisasterAsst10_04.pdf.

As well, there are several online sources to check as more details become available:

• USDA FSA http://disaster.fsa.usda.gov/agas04.htm
• FSA State Office www.fsa.usda.gov/edso/statedefault.htm (Click on the state)

Spurgat Joins NAWG Staff

Jennifer Spurgat recently joined the staff of the National Association of Wheat Growers as director of government affairs for farm policy. She succeeds Pat Buschette of Renville, Minn., in the position, which is the lead on federal farm policy issues, transportation, and several other topics.

Spurgat comes to NAWG from the office of Rep. Doc Hastings (R-WA), focusing on agriculture, trade, and resource issues. From Montana, she also served as agriculture Legislative Assistant to Rep Denny Rehberg (R-MT) during the development and passage of the 2002 Farm Bill.