For Immediate Release

Farm Service Agency reminds Montana producers that Marketing Assistance Loans (MALs) and Loan Deficiency Payments (LDPs) are available to help producers through periods of low market prices. The 2014 Farm Bill authorized MALs and LDPs for the 2014 to 2018 crop years.

MALs provide interim financing and allow producers to delay the sale of the commodity at harvest-time lows and wait until more favorable market conditions emerge. A producer who is eligible to obtain a loan, but agrees to forgo the loan, may obtain an LDP if such a payment is available.

The final availability date for Loans and LDPs for 2018 Barley, Canola, Crambe, Flaxseed, Honey, Oats, Rapeseed, Wheat and Sesame Seed is April 1.

The final availability date for Loans and LDPs for 2018 Corn, Dry Peas, Grain Sorghum, Lentils, Mustard Seed, Rice, Safflower Seed, Chickpeas, Soybeans and Sunflower Seed is May 31.

FSA offices are accepting requests for 2018 MALs and LDPs for all eligible commodities after harvest.

Before MAL and LDP disbursements can be made, producers must meet the requirements of actively engaged in farming, cash-rent tenant and member contribution. Before loan disbursement, applicants will be required to provide a form CCC-679, Lien Waiver, for each lienholder discovered on a lien search. In order to meet eligibility requirements, producers must retain beneficial interest in the commodity, meaning they have control of the commodity or a title to the commodity, until the MAL is repaid or the Commodity Credit Corporation takes title to the commodity.

The 2014 Farm Bill also establishes payment limitations per individual or entity not to exceed $125,000 annually on certain commodities for the following program benefits: Agriculture Risk Coverage and Price Loss Coverage payments, Marketing Loan Gains and LDPs. These payment limitations do not apply to MAL disbursements.

Producers or legal entities whose total applicable three-year average adjusted gross income exceeds $900,000 are not eligible for Marketing Loan Gains and LDPs, but are eligible for MALs repaid at principal plus interest.

60,000 pounds or less. Pick-up trucks, semi-trucks, dump trucks, and simple insulated and ventilated vans are ineligible for FSFL.

FSFL for storage and handling trucks must be $100,000 or less. FSFL-financed storage and handling trucks must be used for the purpose for which they were acquired for the entire FSFL term.

Eligible commodities include grains, oilseeds, pulse crops, hay, honey, renewable biomass commodities, fruits and vegetables, floriculture, hops, maple sap, milk, cheese, yogurt, butter, eggs, meat/poultry (unprocessed), rye and aquaculture.

MSU Extension Farm and Ranch Management Workshops in Culbertson, Wolf Point, Chester and Fort Belknap

Montana State University Extension is offering farm management workshops in Culbertson, Wolf Point, Chester and Fort Belknap in March.

MSU Extension economists George Haynes, Kate Fuller and Joel Schumacher will lead the workshops. Other contributing faculty members will include agricultural economists Anton Bekkerman, Diane Charlton and Eric Belasco; family economist Marsha Goetting; cropping systems specialist Kent McVay; beef cattle specialist Megan Van Emon; rangeland weed specialist Jane Mangold; soil fertility specialist Clain Jones; and forage specialist Emily Meccage.

The two-day workshops will cover the following topics: financial analysis and enterprise budgeting, risk management, crop and livestock production, agricultural leases, agricultural policy issues and business succession.

The upcoming workshop locations and dates are as follows:

• Culbertson, March 13-14, Roosevelt County Extension office

• Wolf Point, March 14-15, Fort Peck Community College,

Dumont building

• Chester, March 26-27, United Methodist Church

• Fort Belknap, March 27-28, Aaniiih Nakoda College

Participation in these workshops will satisfy the requirements for Farm Service Agency production and financial management training. There is no cost to attend, but participants are asked to register by contacting Keri Hayes at 406-994-3511 or khayes@montana.edu or George Haynes at 406-994-5012 or haynes@montana.edu.x.

Farm Loan Program Availability

FSA has a number of loan programs available to assist applicants to begin or continue in agricultural production. As a farmer or rancher, whether you are just starting out or have many years of experience, loans are available for farm operating purposes and/or to purchase or improve a farm or ranch. As the “Lender of First Opportunity” FSA targets some of the direct and guaranteed loan funds for beginning and/or underserved farmers or ranchers. For purposes of this program, a beginning farmer/rancher is defined as someone who started in farming or ranching less than 10 years ago and does not currently own more land than 30 percent of the average farm size in the county; underserved individuals are women, African Americans, American Indians, Alaskan Natives, Hispanics, Asian Americans and Pacific Islanders. FSA loans are only available to applicants who meet all the eligibility requirements and are unable to obtain the needed credit elsewhere.

FSA’s farm loan program is a temporary source of credit. Farmers/ranchers with FSA farm loan programs are required to “graduate” their FSA loans to commercial credit when they are able to do so. Periodically FSA will request financial information to evaluate the producer’s ability to obtain credit from commercial resources. Failure to provide financial information when requested could jeopardize your current and future loans.

For more information, contact your local FSA office who can schedule an appointment with the Farm Loan Program (FLP) staff serving your area and/or visit the National FLP Web site..

Reminder to FSA Direct and Guaranteed

Borrowers with Real Estate Security

Farm Service Agency would like to remind farm loan borrowers who have pledged real estate as security for their loans, of key items for maintaining loan collateral. It is required that borrowers must obtain prior consent, or approval, by either FSA, for direct loans, or by a guaranteed lender, for any transaction affecting real estate security. Examples of these transactions include, but are not limited to:

• Leases of any kind;

• Easements of any kind;

• Subordinations;

• Partial releases, and

• Sales

Failure to meet or follow the requirements set forth in the loan agreement, promissory note, and other security instruments could lead to nonmonetary default which could jeopardize your current and future loans. It is critical that borrowers keep an open line of communication with their FSA loan staff or guaranteed lender whenit comes to changes in their operation. For more information on borrower responsibilities, read Your FSA Farm Loan Compass..

Reminder to Montana Livestock Producers

With the 2019 calving season near or underway, the USDA Farm Service Agency reminds Montana livestock producers about the importance of record keeping and reporting your livestock losses to FSA within 30 calendar days of when the loss of livestock is apparent. A Notice of Loss can be filed with FSA via email, phone, fax or office visit.

For more information on the Livestock Indemnity Program and other disaster programs, contact your local FSA office and/or visit online at http://www.farmers.gov/recover.