Last July, U.S. Secretary of Agriculture Sonny Perdue announced details for the 2019 Market Facilitation Program package to assist farmers in response to trade damage from retaliatory tariffs. The 2019 program is different in several ways than the 2018 program: additional specialty crops can participate in addition to almonds and sweet cherries; there is an exemption from the $900,000 Adjusted Gross Income (AGI) limitation if 75% of income is derived from farming; and payments are based on bearing acres instead of pounds.
To help growers learn about the changes to the Market Facilitation Program, the Almond Board of California (ABC) and the Almond Alliance of California (AAC) co-hosted four workshops in October with the involvement of local Farm Service Agency (FSA) offices who answered questions and set up appointments for growers to apply for the direct payments.
The workshops were held in Chico, Fresno, Bakersfield and Modesto. While workshops were held throughout the almond growing region, the questions and concerns raised were common at each event.
Many growers, for example, had concerns about where to file their applications if they farmed orchards in more than one county. FSA’s policy is that only one application is required from the primary growing county. However, acreage in each county must be verified, so growers may have to fill out supplemental information for any additional counties in which they farm.
Growers also asked, “If more than one person or entity owns the property, do all owners of that land need to apply?” FSA staff clarified that because the program is voluntary, not all owners need to apply. Still, growers will only be compensated for their share of the crop if there are multiple owners, and only those who are invested in the crop can apply – someone who owns land but leases it out cannot apply.
Many county FSA offices have received hundreds of calls requesting appointments to begin the application process, and at the workshops some growers expressed concern over missing the December 6 deadline. When growers asked if being added to a list and booking a later appointment was enough to show good faith in meeting the deadline, FSA reminded attendees that the application can be completed online, but they prefer going through the application process with growers in person.
While being on a register should be enough to show good faith, FSA staff strongly recommended growers send an email to their local FSA office verifying that:
- They called and had been placed on a register to receive an appointment,
- They were told by their local FSA office that they had formally begun the process to apply, and
- They will be contacted at a later date to complete the application.
Verifying this information via email provides a paper trail and proof that growers have taken the necessary steps to comply with MFP. Still, growers are encouraged to at least initiate the application process online to help start the process.
More information about the Market Facilitation Program can be found at Almonds.com/Growers, and growers with additional questions can contact Julie Adams, ABC’s VP of Global Trade and Regulatory Affairs, at jadams@almondboard.com.