CREP contracts can be modified
Recently FSA made two decisions that will assist local producers.
First, acreage that is enrolled into the Conservation Reserve Enhancement Program may be hayed or grazed after the primary nesting season for 2008 only.
USDA determined that prices for most field crops have advanced to record or near-record levels in recent months, reflecting strong demand, tight supplies, and competition for acres.
The increased demand for commodities and resulting higher prices have impacted the livestock industry. The path of future crop prices is projected to moderate somewhat in the next year as production increases in the United States and globally.
However, assuming no global recession, demand is not expected to slow down noticeably.
What this means is that CREP participants with certain established vegetative cover may voluntarily have their contract modified to utilize certain land enrolled in CREP for critical feed use, including haying or grazing.
The critical feed use modification to the CREP contract will limit the scope, frequency and duration of haying and grazing.
To ensure protection of the resources, critical feed use is not authorized during the primary bird nesting or brood-rearing season. This modification for critical feed use is only available in 2008 after the primary nesting season's end through Nov. 10, 2008. No more than 50 percent of the eligible CREP acreage may be used for haying.
It is important for producers requesting to hay or graze CREP land that no payment reduction will be assessed on contracts being utilized for this critical feed use. However, producers will be required to pay a fee of $75 for the modification of their CREP contract.
The second announcement was that acreage reporting deadlines have been extended until Aug. 15.
Both the June 15 and July 15 deadlines were extended, giving producers more time to file reports with FSA. This decision was made since the Farm Bill was only recently enacted into law and in some cases poor weather has delayed planting or replanting if the initial crop failed.
By extending the deadline, producers can complete their planting and then report planted acres, failed acres or even prevented from planting acres.
This will generally affect grain producers in the flooding areas of the Midwest.
However, local producers will benefit by the extended deadline as well, but it would not be a good idea to wait until the deadline.
Luke Fritz is executive director of the Butler County Farm Service Agency.
