Flood Recovery Programs Available from USDA's Farm Service Agency

Flood Recovery Programs Available from USDA's Farm Service Agency

June 23, 2010

“Flooding and excess moisture, as well as hail and wind, have damaged land and caused crop and livestock losses in many parts of Nebraska and the Midwest,” noted Farm Service Agency State Executive Director Dan Steinkruger. “There are a number of actions under emergency programs that farmers, ranchers, and landowners should consider.”

Programs and actions that may assist include:

  • Notice of Loss, including failed and prevented planting, should be reported to crop insurance agents for insured crops.

  • All prevented planted or failed acreages should be reported to the FSA. Prevented planted acres should be reported within 15 days of the final plant date and failed acres should be reported prior to disposition of the crop.

  • Emergency Livestock Assistance Program (ELAP) – Flood victims that have met risk management crop insurance requirements or obtained NAP coverage may be eligible for the ELAP program. The ELAP will cover losses of purchased or mechanically harvested feedstuffs or forage intended for eligible livestock that was destroyed in the flood. The program will also cover grazing losses for up to 90 days. A producer should contact their local FSA office to file a notice of loss within 30 days of becoming aware of the loss to be eligible.

  • Livestock Indemnity Program (LIP) – Eligible livestock owners that lost livestock due to flooding will be eligible to file applications for reimbursement under the LIP program. The LIP pays producers 75% of the value for the livestock losses that exceed normal mortality. A notice of loss must be filed at the county FSA office within 30 days of when the loss is apparent to be eligible. The producer would then have until January 30, 2011 to complete the application for payment.

  • Emergency Loans – Upon receiving a disaster declaration for physical losses, FSA can make emergency physical loss loans for the repair or replacement of disaster related damaged chattels or real estate essential to the farming operation, household items that must be repaired or replaced, damage to harvested or stored crops or to perennial crops. Livestock death losses which are related to the disaster are considered a physical loss. Emergency Actual Loss loans have an interest rate of 3.75%.

  • Emergency Conservation Program (ECP) – This program assists producers to rehabilitate farmland and conservation facilities damaged by flooding, tornado, etc., where the damage is of such magnitude that it would be too costly for the producer to rehabilitate without federal assistance. Producers may be eligible to receive 75% of the eligible cost of restoration not to exceed $200,000 per natural disaster occurrence. Eligible practices include debris removal, grading, shaping, re-leveling or similar measures; restoring permanent fences, restoring conservation structures, and field windbreaks and farmstead shelterbelts emergency measures.

  • Noninsured Crop Disaster Assistance Program (NAP) – This program was designed to reduce financial losses that occur when natural disasters cause a catastrophic loss of production or prevented planting of an eligible crop by providing coverage equivalent to Catastrophic Crop Insurance (CAT). Eligibility based on damaging weather can include, but is not limited to hail, excessive moisture, excessive wind, flood or any combination of these losses. It is important that if you carry the NAP coverage that you report any losses, as they occur to the crops, within 15 calendar days after the disaster occurrence, or by the final planting date for prevented planting. A notice of loss must be filed for each weather related event or adverse natural occurrence that causes damage to or loss of the specific crop or commodity.

  • The Supplemental Revenue Assistance Payments Program (SURE) provides benefits for 2008 to 2011 crop year farm losses due to natural disasters. A SURE “farm” is eligible when either of the following occurs: a portion of the farm is located in a county covered by a qualifying natural disaster declaration (USDA Secretarial Designations only) or contiguous county; or the actual production is less than 50% of the normal production. In order to be eligible for the SURE program there is a Risk Management Purchase Requirement (RMPR). A producer must have obtained a policy or plan of insurance for all crops through either the Federal Crop Insurance Act or FSA’s Noninsured Crop Disaster Assistance Program (NAP). There are limited exceptions to this rule, and SURE does not require coverage for forage crops intended for grazing.

Steinkruger added, “Farmers, ranchers, and landowners can contact their local FSA office to get more information on FSA programs.”

News Release
USDA Farm Service Agency Nebraska State Office