New and beginning farmers will receive special consideration under the USDA's interim rule addressing changes in the federal crop insurance program.
The rule, published July 1 in the Federal Register, waives the $300 administrative fee for catastrophic policies for new farmers, who will also receive an increase of 10 percentage points on their premium subsidy rates during their first five years of farming and a greater yield adjustment when their yields are below 60 percent of the applicable transitional yield.
Other key provisions in the interim rule address conservation compliance, irrigated vs. non-irrigated acres, correction of errors and data collection.
The farm bill requires those enrolled in crop insurance to comply with conservation compliance requirements or forego premium subsidies beginning in 2015. The Natural Resources Conservation Service (NRCS) is responsible for drafting the regulations to implement this provision, which could be made available this fall. The interim rule requires that farmers certify that they are in compliance via Form 1026 at their Farm Service Agency office by June 1, 2015.
Insurance coverage by separate enterprise units based on irrigated and non-irrigated acreage of crops within counties will be available in the spring of 2015.
Click here to see more...