DCP sign-up runs through Sept. 30

    Bill R. Fuller, state executive director of the Kansas USDA Farm Service Agency announced Thursday that signup for the 2008 Direct and Counter-cyclical Program started Wednesday and ends Sept. 30. 
    For the 2008 crop year, USDA computes DCP payments using base acres and payment yields established for each farm. Direct payments provide no incentive to increase production of any certain crop, because the payments are not based on producers' current production choices. Producers receive direct payments at rates established by statute regardless of market prices. Advanced payments may be requested.
    Counter-cyclical payments provide support counter to the cycle of market prices as part of a "safety net" in the event of low crop prices. These payments are only issued if the effective price for a commodity is below the target price for the commodity. Counter-cyclical payment rates vary depending on market prices.  If advanced payments are requested, they will not be paid until after the first 180 days of the marketing year.
    Farms with base acres of 10 acres or less will not receive direct or counter-cyclical payments, unless the farm is wholly owned by socially disadvantaged or limited resource farmers or ranchers.
    If changes have occurred in the farming or ranching operation that would affect the financial status of the producer, then the producer must complete a revised CCC-526, Average Adjusted Gross Income, to participate in DCP.  For 2008 marketing assistance loans with market gains, loan deficiency payments and other 2008 programs, producers must complete a revised CCC-526 dated June 12 to be eligible.
    Producers and landowners who previously executed FSA-211, Power of Attorney, authorizing an attorney-in-fact to act on their behalf for anything other than "all current and future programs" will need to execute a new FSA-211 for all 2008 crop year programs.
    Farm reconstitutions must be requested by Aug. 1. Reconstitutions requested for farms with base acres of 10 acres or less will not be approved if requested after May 22. An exception would be if the farm is to be combined with another farm and one of the farms has a change in ownership with the same shares.
    For more information about DCP and other FSA programs, please contact the local county FSA office.