Enrollment Under Way for Crop Assistance Program
Enrollment for the 2010 Direct and Counter-cyclical Program (DCP) and the Average Crop Revenue Election (ACRE) program has begun, according to Mike Eaves, acting state executive director of the U.S. Department of Agriculture's Farm Service Agency in North Carolina.
Sign-up will continue through June 1, 2010.
USDA computes DCP payments using base acres and payment yields established for each farm. Eligible producers receive direct payments at rates established by statute regardless of market prices.
Eligible 2010 producers may request to receive advance direct payments based on 22 percent of the direct payment.
Counter-cyclical payment rates vary depending on market prices. Counter-cyclical payments are issued only when the effective price for a commodity is below its target price.
The effective price is the higher of the national average market price received during the 12-month marketing year for each covered commodity and the national average loan rate for a marketing assistance loan for the covered commodity.
The optional ACRE program provides a safety net based on state revenue losses and acts in place of the price-based safety net of counter-cyclical payments under DCP.
A farm's payment is based on a revenue guarantee calculated using a five-year average state yield and the most recent two-year national price for each eligible commodity. For the 2010 crop the two-year price average will be based on the 2008 and 2009 crop years.
An ACRE payment is issued when both the state and the farm have incurred a revenue loss.
The decision to enroll in the ACRE program is irrevocable. The owner of the farm and all producers on the farm must agree to enroll, and once enrolled, the farm is enrolled for the initial year and will remain in ACRE through the 2012 crop year.
Information on both programs is available at the local FSA office or at www.fsa.usda.gov. The Moore-Montgomery FSA office is located in the Moore County Agriculture Center on Pinehurst Avenue in Carthage.
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