WASHINGTON, D.C. – The U.S. Department of Agriculture has designated the entire state of Indiana, which includes 92 counties, as a primary natural disaster area due to damages and losses caused by the combined effects of excessive heat, frost, freeze and drought that began Feb. 1, 2012, and continues.
“Our hearts go out to those Indiana farmers and ranchers affected by the recent natural disasters,” said Agriculture Secretary Tom Vilsack. “President Obama and I are committed to ensuring that agriculture remains a bright spot in our nation’s economy by sustaining the successes of America’s farmers, ranchers, and rural communities through these difficult times. We’re also telling Indiana producers that USDA stands with you and your communities when severe weather and natural disasters threaten to disrupt your livelihood.”
All counties listed above were designated natural disaster areas Sept. 5, 2012, making all qualified farm operators in the designated areas eligible for low interest emergency (EM) loans from USDA’s Farm Service Agency, provided eligibility requirements are met.
Farmers in eligible counties have eight months from the date of the declaration to apply for loans to help cover part of their actual losses. FSA will consider each loan application on its own merits, taking into account the extent of losses, security available and repayment ability. FSA has a variety of programs, in addition to the EM loan program, to help eligible farmers recover from adversity.
Recently, USDA effectively reduced the interest rate for EM loans from 3.75 percent to 2.25 percent, and reduced the payment reduction on Conservation Reserve Program lands qualified for emergency haying and grazing in 2012 from 25 to 10 percent.
USDA also announced that it will allow additional acres under CRP to be used for emergency haying or grazing. The action will allow lands that are not yet classified as “under severe drought” but that are “abnormally dry” to be used for haying and grazing. In addition, USDA is allowing producers to modify current Environmental Quality Incentives Program contracts to allow for grazing, livestock watering, and other conservation activities to address drought conditions, and has authorized haying and grazing of Wetlands Reserve Program easement areas in drought-affected areas where haying and grazing is consistent with conservation of wildlife habitat and wetlands.
Additional programs available to assist farmers and ranchers include the Emergency Conservation Program, Federal Crop Insurance, and the Noninsured Crop Disaster Assistance Program. Interested farmers may contact their local USDA Service Centers for further information on eligibility requirements and application procedures for these and other programs. Additional information is also available online at http://disaster.fsa.usda.gov.