Livestock Producers Urged to Enroll in Disaster Assistance Program by Oct. 1
The USDA is encouraging livestock producers who have suffered grazing losses due to drought or fire between October 1, 2011 and December 31, 2014 to register, request an appointment or begin a Livestock Forage Disaster Program (LFP) application with their county FSA office before October 1, 2014 as the Budget Control Act passed by congress in 2011 requires the USDA to implement reductions of 7.3% to the LFP in the new fiscal year, which begins October 1, 2014.
As an additional aid to qualified producers applying for LFP, the FSA has developed an online registration that enables farmers and ranchers to put their names on an electronic list before the deadline to avoid reductions in their disaster assistance. This is an alternative to visiting or contacting the county office. To place a name on the Livestock Forage Disaster Program list online, visitwww.fsa.usda.gov/disaster-register.
Producers seeking LFP support who have scheduled appointments with their local FSA office before Oct. 1, even if the appointment occurs after Oct.1, will not see reductions in the amount of disaster relief they receive.
See the full release from the FSA here. Due to the sequestering measures passed last year, the USDA will automatically cut benefits paid after September 30, 2014 by 7.3%. This will apply to almost any program payments that may be due to producers. Unless changed, it is highly likely that USDA will even cut PLC and ARC payments owed after September 30, 2015 (for the 2014 crop) by at least 7.3% plus another 7.3% (plus or minus). Therefore, if your calculated payment was $75,000, you may end up with being paid only $64,500.
Special thanks to David Enquist in our Moses Lake office for this post.
Paul Neiffer, CPA
Paul Neiffer is a certified public accountant and business advisor specializing in income taxation, accounting services, and succession planning for farmers and agribusiness processors. Paul is a principal with CliftonLarsonAllen in Walla Walla, Washington, as well as a regular speaker at national conferences and contributor at agweb.com. Raised on a farm in central Washington, he has been immersed in the ag industry his entire life, including the last 30 years professionally. Paul and his wife purchase an 180 acre ranch in 2016 and enjoy keeping it full of animals.
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