The U.S. Department of Agriculture Farm Service Agency is reminding producers who are interested in the 2016 Noninsured crop disaster Assistance Program (NAP) of the need to apply for coverage by the deadline of March 15, 2016, for coverage this year on forage sorghum, oats, potatoes, sunflowers, and all other spring planted specialty crops grown for food.
The 2014 Farm Bill provides greater coverage for losses when natural disasters affect specialty crops. The program offers the same basic coverage as prior years, at 55 percent of the average market price when crop losses resulted in yields below 50 percent of expected production. However, producers can now choose the additional “buy up” option for higher levels of coverage, up to 65 percent of their expected production at 100 percent of the average market price.
The expanded protection is especially helpful to beginning and socially disadvantaged producers, as well as farmers with limited resources, who will receive fee waivers and premium reductions for expanded coverage. Interested producers should contact their local county level FSA office for a worksheet of the estimated premium by March 15, 2016.
Eligible producers can apply for 2016 NAP coverage at their local FSA Office using form CCC-471, Application for Coverage. The service fee for basic NAP coverage is the lesser of $250 per crop or $750 per producer per administrative county, not to exceed a total of $1,875 for a producer with farming interest in multiple counties. Producers interested in “buy-up” coverage must pay a premium, in addition to the service fee. The maximum premium will be $6,564.
Producers meeting the definition of a socially disadvantaged farmer, beginning farmer, or limited resource farmer will have service fees waived. Producers meeting this definition that choose to purchase buy-up coverage will also have service fees waived and the premium will be capped at $3,282.
For more information and more extensive details about USDA FSA farm programs visit www.fsa.usda.gov. Or, contact your local FSA office located in most county agricultural service centers.