Government offers emergency loans to producers ahead of 2013 crop season
Agriculture Secretary Tom Vilsack has designated 597 counties in 14 states as primary natural disaster areas due to drought and heat, making all qualified farm operators in the areas eligible for low-interest emergency loans. These are the first disaster designations made by the U.S. Department of Agriculture in 2013.
The 597 counties correspond to the following states: Alabama, 14; Arkansas, 47; Arizona, 4; Colorado, 30; Georgia, 92; Hawaii, 2; Kansas, 88; Oklahoma, 76; Missouri, 31; New Mexico, 19; Nevada, 9; South Carolina, 11; Texas, 157; and Utah, 17.
“As drought persists, the USDA will continue to partner with producers to see them through longer-term recovery, while taking the swift actions needed to help farmers and ranchers prepare their land and operations for the upcoming planting season,” said Vilsack. “I will also continue to work with Congress to encourage passage of a Food, Farm and Jobs bill that gives rural America the long-term certainty they need, including a strong and defensible safety net.”
In 2012, the USDA designated 2,245 counties in 39 states as disaster areas due to drought — 71 percent of the U.S. At the height of the 2012 drought, the Secretary announced a series of USDA actions to get help to farmers, ranchers and businesses impacted by the 2012 drought, including lowering the interest rate for emergency loans, working with crop insurance companies to provide flexibility to farmers and expanding the use of Conservation Reserve Program acres for haying and grazing, which opened 2.8 million acres and brought nearly $200 million in forage for all livestock producers during a critical period. Many of those same actions continue to bring relief to producers ahead of the 2013 planting season, including:
- Simplified the Secretarial disaster designation process and reduced the time it takes to designate counties affected by disasters by 40 percent.
- Transferred $14 million in unobligated program funds into the Emergency Conservation Program to help farmers and ranchers rehabilitate farmland damaged by natural disasters and for carrying out emergency water conservation measures.
- Updated the emergency loans application process to allow these loans to be made earlier in the season.
- Filed special provisions with the federal crop insurance program to allow haying or grazing of cover crops without impacting the insurability of planted 2013 spring crops.
- Authorized up to $5 million in grants to evaluate and demonstrate agricultural practices that help farmers and ranchers adapt to drought.
- Authorized $16 million in existing funds from its Wildlife Habitat Incentive Program and Environmental Quality Incentives Program to target states experiencing exceptional and extreme drought.
- Installed conservation systems that impacted more than 1 million producers, and reduced water withdrawn from the Ogallala Aquifer by at least 860,000 acre feet, equivalent to the domestic water use of approximately 9.6 million individuals for a year.
- Worked with crop insurance companies to provide flexibility on premium payments to farmers, and one-third of all policyholders took advantage of the payment period.
- Partnered with local governments, colleges, state and federal partners to conduct a series of regional drought workshops with hundreds of producers in Nebraska, Colorado, Arkansas and Ohio.