Shutdown impacts USDA and Farm Service Agency | Michigan Farm News

Shutdown impacts USDA and Farm Service Agency

Category: Crops

by Farm News Media

farmnews_shutdown_010719

Market Facilitation Program

Market Facilitation Program (MFP) payments for producers that have already certified production with the Farm Service Agency will continue beyond January 1, 2019. USDA Secretary Sonny Perdue announced on Jan. 8 that the original Jan. 15, application deadline will be extended based on the number of days local county FSA office remained closed. Farmers have until May 1, 2019, to certify production.

FSA Loan guidance

Due to the lapse in federal government funding for all commodities, loan activity has ceased as of Jan. 3, 2019. This includes any loan activity conducted by DMAs, LSAs, and CMAs.

Access to the Commodity Loan Processing System (CLPS) automated FSA system will no longer be available.

Commodities pledged as collateral for a commodity loan

Farm-stored commodities pledged as Commodity Credit Corporation collateral can be marketed (moved for purchase to a buyer) to the fed. However, loan repayments, disbursements, refunds, or termination of transfers will not be processed while the government is shutdown.

Movement of collateral will be treated the same as loan collateral moved on a non-workday (same as a weekend or federal holiday). Producers with farm-stored loans may move loan collateral to non-designated structures during this period without prior written approval, provided the producer requests a CCC-681-1 Marketing Authorization on the next business day either by phone or in person.

FSA Farm Loan (Direct and Guaranteed) and FSA Farm Storage Facility Loans (FSFL)

Producers interested in FSA loan assistance may obtain more information for the following loan activity. The following sites provide the necessary forms to submit to apply along with information regarding the loan programs:

  • Farm Operating Loans
  • Microloans
  • Farm Ownership Loans
  • Farm Storage Facility Loans Fact Sheet

Acceptance of FSA Farm Loan and FSA Farm Storage and Facility Loan Payments:
If borrowers wish to remit payments, checks and money orders can be sent by mail to the local FSA office. Payments will be credited after the lapse in federal funding has been resolved. The postmark on the envelope will be used as the received date of the payment. FSFL and Direct Loans will not be deemed delinquent if a borrower is unable to make a payment due to offices being closed.

Editor’s note:
As of press time, this was the latest information provided by USDA’s Farm Service Agency (FSA). Updated information will be shared as it becomes available in our daily digital publication, MI Farm News, and our website: https://www.michfb.com/MI/Farm_News/Front_Page/.