The 2014 farm bill is basically a commodity support program as far as row crop producers are concerned. Crop insurance will still be available and part of the risk management tools available to producers. Iowa Land Management and Real Estate Company an help you with farm program selection and guide you through the process.
Farm tenants and owners who have a share of the production from the farm must make a one-time election of two different options. Option one consists of support based on county information. Option two consists of support based on the individual farm.
The county option consists of two programs, Price Loss Coverage (PLC) and Agricultural Risk Coverage (ARC). Both are commodity specific so you could end up using both programs on the same farm. The formula for calculating the possible payments from each are complicated, but just give us a call and we can walk you through how the possible payments will be figured.
The individual farm option also falls under the ARC. Its formula is also complicated but is based on your individual farm.
Updating your farm acreage bases and yields is very important and should be started by now. Producers should have received some paperwork to allow that work to begin. The process will continue through next summer. Watch for more information as it becomes available.