USDA Implements 2014 Farm Bill Provision to Limit Payments to Non-Farmers

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Vilsack
The U.S. Department of Agriculture (USDA) today announced a proposed rule to limit farm payments to non-farmers, consistent with requirements Congress mandated in the 2014 Farm Bill. The proposed rule limits farm payments to individuals who may be designated as farm managers but are not actively engaged in farm management. In the Farm Bill, Congress gave USDA the authority to address this loophole for joint ventures and general partnerships, while exempting family farm operations from being impacted by the new rule USDA ultimately implements.

“We want to make sure that farm program payments are going to the farmers and farm families that they are intended to help. So we’ve taken the steps to do that, to the extent that the Farm Bill allows,” said Agriculture Secretary Tom Vilsack. “The Farm Bill gave USDA the authority to limit farm program payments to individuals who are not actively engaged in the management of the farming operation on non-family farms. This helps close a loophole that has been taken advantage of by some larger joint ventures and general partnerships.”

The current definition of “actively engaged” for managers, established in 1987, is broad, allowing individuals with little to no contributions to critical farm management decisions to receive safety-net payments if they are classified as farm managers, and for some operations there were an unlimited number of managers that could receive payments.

The proposed rule seeks to close this loophole to the extent possible within the guidelines required by the 2014 Farm Bill. Under the proposed rule, non-family joint ventures and general partnerships must document that their managers are making significant contributions to the farming operation, defined as 500 hours of substantial management work per year, or 25 percent of the critical management time necessary for the success of the farming operation. Many operations will be limited to only one manager who can receive a safety-net payment. Operators that can demonstrate they are large and complex could be allowed payments for up to three managers only if they can show all three are actively and substantially engaged in farm operations. The changes specified in the rule would apply to payment eligibility for 2016 and subsequent crop years for Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) Programs, loan deficiency payments and marketing loan gains realized via the Marketing Assistance Loan program.

As mandated by Congress, family farms will not be impacted. There will also be no change to existing rules for contributions to land, capital, equipment, or labor. Only non-family farm general partnerships or joint ventures comprised of more than one member will be impacted by this proposed rule.

Stakeholders interested in commenting on the proposed definition and changes are encouraged to provide written comments at www.regulations.gov by May 26, 2015. The proposed rule is available at http://go.usa.gov/3C6Kk.

Farm Bureau Celebrates Virginia Agriculture Week and Ag Literacy Week

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Lindsay Reames, assistant director of Governmental Relations, reads to ABC
Preschool for Ag Literacy Week
Happy National Ag Day and happy Virginia Agriculture Week! Thank you to all our producer members:
  • for persevering despite drought and flood, freezing temperatures, parching sun, fluctuating prices and constantly changing markets;
  • for seeking better ways to do their jobs – using new techniques and advances in technology to simplify tasks, increase yields and lower prices;
  • for feeding the world – in the 1960s, one farmer supplied food for about 25 people in the U.S. and abroad; today, the number has increased to 155 people;
  • for their spirit of innovation – always looking for new products and changes that increase the quality and add value to the products they produce;
  • for valuing our land and water resources and for making their preservation and enhancement top priorities;
  • for adapting to change – expanding to meet the demands of a global marketplace while still satisfying consumers’ shifting tastes and desire for low fat, high nutrition products at home and abroad, in 2014, exports from Virginia set a record of more than $3 billion;
  • for supplying Americans with an abundant and safe food supply at a low price, enabling U.S. consumers to spend less than 7 percent of their income on food compared with more than 9 percent in Canada, 25 percent in Brazil, 28 percent in Russia and 45 percent in Kenya*;
  • for providing the basis for numerous products including medicines, cosmetics, printing supplies, fuel, lubricants, lumber, paints and sports equipment;
  • for enduring; on March 1 this year, 1,312 Virginia farms have been recognized as Virginia Century Farms, which means they have been owned by the same families for one hundred years or more.

To mark the occasion, employees at Virginia Farm Bureau’s home office collected food all week to mark National Ag Week. The food will go to the Food Bank of Wise County. The food bank’s roof collapsed in late February after a snow storm. More than $30,000 worth of food was inside, and none of it was salvageable. Employees from county Farm Bureau offices and Farm Bureau volunteers also donated to their local food banks.


We are also celebrating the Virginia Agriculture in the Classroom program’s fifth annual Agriculture Literacy Week.

Volunteers from county Farm Bureaus, the Virginia Department of Agriculture and Consumer Services, Farm Credit of the Virginias, Colonial Farm Credit, Southern States, Tyson Foods, James River Equipment and several 4-H and FFA chapters, along with AITC board members and staff and Virginia Farm Bureau Federation board members and staff, will mark the week by reading books about agriculture to children across the state. Each year more than 50,000 children learn about agriculture, food and where their basic needs come from through the Agriculture Literacy Week initiative.

Many volunteers read the 2015 Virginia AITC Book of the Year, My Virginia Plate, written by Tammy Maxey and illustrated by Greg Cravens and Kevin Pitts, and donated copies to school and classroom libraries. My Virginia Plate is a story of students learning about nutrition through preparing a Virginia-grown meal as part of a classroom assignment.

The children’s book was written to teach readers about nutrition and show how Virginia farmers produce a wide variety of foods that are a part of a healthy diet.

AFBF Says WOTUS Rule Would Disregard Exemptions

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The proposed Waters of the U.S. Rule, “unless dramatically altered,” will result in potential Clean Water Act liability and federal permit requirements for a tremendous number of commonplace and essential farming, ranching and forestry practices nationwide, according to the American Farm Bureau Federation.

In testimony today, AFBF General Counsel Ellen Steen told a House Agriculture subcommittee that the WOTUS rule will create enormous uncertainty and vulnerability for farmers and ranchers nationwide.

“It is impossible to know how many farmers, ranchers and forest landowners will be visited by [EPA] enforcement staff or will be sued by citizen plaintiffs’ lawyers—and it is impossible to know when those inspections and lawsuits will happen,” Steen said. “But what is certain is that a vast number of common, responsible farming, ranching and forestry practices that occur today without the need for a federal permit would be highly vulnerable to Clean Water Act enforcement under this rule.”

According to AFBF’s general counsel, several statutory exemptions demonstrate a clear determination by Congress not to impose Clean Water Act regulation on ordinary farming and ranching activities. However, agency and judicial interpretations over the past several decades have significantly limited the agricultural exemptions that have traditionally insulated farming and ranching from Clean Water Act permit requirements.

“Much of the remaining benefit of those exemptions would be eliminated by an expansive interpretation of ‘waters of the United States’ to cover ditches and drainage paths that run across and nearby farm and pasture lands,” Steen testified. “The result would be wide-scale litigation risk and potential Clean Water Act liability for innumerable routine farming and ranching activities that occur today without the need for cumbersome and costly Clean Water Act permits.”

Steen explained that because ditches and ephemeral drainages are ubiquitous on farm and ranch lands—running alongside and even within farm fields and pastures—“the proposed rule will make it impossible for many farmers to apply fertilizer or crop protection products to those fields without triggering Clean Water Act ‘pollutant’ discharge liability and permit requirements.”

“A Clean Water Act pollutant discharge to waters of the U.S. arguably would occur each time even a molecule of fertilizer or pesticide falls into a jurisdictional ditch, ephemeral drainage or low spot — even if the feature is dry at the time of the purported ‘discharge,’” Steen told the subcommittee. For this reason, farmers’ options under the rule are limited.

According to Steen, “they can either continue farming, but under a cloud of uncertainty and risk, they can take on the complexity, cost and equal uncertainty of Clean Water Act permitting or they can try to avoid doing anything near ditches, small wetlands, or stormwater drainage paths on their lands. It’s a no-win situation for farmers and ranchers.”

Virginia Observing Strict Biosecurity In Light Of Avian Influenza Outbreaks Elsewhere

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Dr. Richard Wilkes, State Veterinarian with the Virginia Department of Agriculture and Consumer Services (VDACS), says the good news is that Virginia is not one of the growing number of states with cases of Avian Influenza (AI) right now. The bad news is that the highly infectious disease is spreading and has entered the Mississippi flyway.
H5N2 Avian Influenza, the strain of AI that has been diagnosed on the West Coast in the past few months, has recently been detected in the Midwest, raising concern that the disease will spread to poultry on the East Coast. The disease appears to be spread by wild waterfowl. The threat of AI is of great concern to Virginia’s poultry industry.
In light of this serious situation and to prevent potential disease spread, visitors should not enter poultry operations unless absolutely necessary. For necessary visits such as bringing in feed and other supplies or providing critical services, truckers, veterinarians and even family members should take maximum biosecurity precautions such disinfecting footware, vehicle tires, equipment and anything else that enters and exits poultry houses. Poultry owners from one farm should avoid mingling with residents of other poultry farms as much as possible.

All poultry owners, both commercial and backyard flock owners, are advised to prevent exposure of poultry to wild waterfowl from fly-overs or fecal contamination of ponds and streams. “This is the time, if ever there were one, to keep your birds under cover,” said Dr. Wilkes. “Good biosecurity is the best prevention and quick response is the key to keeping the disease from spreading, should it appear here.” Any unusual increases in poultry illnesses or deaths should be reported to one of the VDACS regional offices where poultry owners may obtain disease information and assistance.
This particular strain of H5N2 does not affect people. But as a reminder, the proper handling and cooking of poultry and eggs to an internal temperature of 165˚F kills bacteria and viruses. People should avoid contact with sick/dead poultry or wildlife. If contact occurs, they should wash their hands with soap and water and change clothing before having any contact with healthy domestic poultry and birds.

For more information about biosecurity measures and plans, contact the State Veterinarian’s Office at 804.692.0601 or your local Office of Veterinary Services at the Regional Animal Health Diagnostic Laboratory in your area. See the Laboratory Services section online here.

Virginia Agricultural and Forestry Exports Reach New All-Time High

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Agricultural exports, which also include forestry products, from Virginia reached a new all-time high of more than $3.35 billion in 2014, eclipsing the previous record set in 2013 by more than 14 percent.  Virginia also became the second largest agricultural exporter on the East Coast, surpassing North Carolina and gaining ground on Georgia
Speaking about the new level for agricultural and forestry exports, Governor Terry McAuliffe stated, “This record-breaking announcement is a testament to the combined work of so many in the private and public sectors and I applaud those efforts.  Making Virginia the East Coast capital for agricultural and forestry exports is central to my administration’s efforts to build a new Virginia economy. By focusing on international trade growth, we generate many new revenue streams and job creation opportunities in Virginia, from our farms to our ports.  My administration is committed to expanding the marketplace for Virginia products and I expect to see new export records set in 2015.”

The Commonwealth previously reached a record level of agricultural exports in 2013, when just over $2.9 billion (revised) in agricultural products were shipped from Virginia ports into the global marketplace.  This is fourth consecutive year that Virginia has set new record levels for agricultural exports.  Further, agricultural exports have grown in value by 49 percent since 2010 when the Commonwealth launched a strategic plan to grow agricultural and forestry exports.  Virginia’s agricultural exports are competitive in the global marketplace because of the high-quality and diversity of products available, a global trade representative infrastructure, and the Commonwealth’s world-class sea, air, and land port system.  The growth in agricultural exports comes despite a continued slow economic recovery worldwide.
 “Virginia’s strategic investments to expand our presence in the global marketplace and grow exports are yielding exceptional returns for the Commonwealth,” said Todd Haymore, Secretary of Agriculture and Forestry.  “Significant new export increases to major countries like China, Mexico, Canada and the United Kingdom, where Virginia has dedicated trade representatives, show how the Commonwealth is playing a significant role in bringing buyer and seller together.  I look forward to expanding our global network to facilitate more opportunities and enhance the Governor’s efforts to build a New Virginia Economy.  With approximately 30 percent of gross farm income linked to exports and more than 80 percent of the world’s consumers living outside of the United States, access to vibrant international markets is important to Virginia’s overall economic prosperity.”
The top three export markets for Virginia in 2014 were China, Canada, and Switzerland, all filling the same spots they held in 2013.  China imported more than $691 million in agricultural purchases, while Canada totaled just over $279 million and Switzerland took in approximately $174 million in 2014.  China and Canada’s imports increased by 10 and 7 percent, respectively, over 2013 levels, while Switzerland’s decreased by 11 percent.  Virginia has trade representatives in China and Canada.
The remainder of Virginia’s top ten export markets, along with the values shipped rounded to the nearest million dollars, include:  Mexico, $150 million; Russia, $124 million; Japan, $114 million; United Kingdom, $110 million; Venezuela, $103 million;  Morocco, $98 million; and Indonesia, $94 million.  All countries saw double or triple percentage increases in value verses 2013, except Russia, which remained static, and Indonesia, which declined by 18 percent.  Virginia has trade representation covering Mexico, Russia, Japan, and the United Kingdom.

The top agricultural and forestry product exports from Virginia in 2014 include: soybeans, soybean meal and soy oil, lumber and logs, pork, unmanufactured leaf tobacco; poultry, processed foods and beverages, including wine; corn; wheat; animal feed; wood pellets; seafood and other marine products; raw peanuts; cotton; and animal fats and oils.
This year’s record amount of agricultural exports shipped from Virginia was driven once again by high quality products, strong international demand, and aggressive market development work conducted by the Commonwealth.  Similar to 2013, the gain in exports in 2014 came despite a continued drop in value of U.S. commodity crops.  Favorable growing conditions and record yields contributed to lower crop prices in 2014.  For example, soybean prices dropped 28% last year from 2013 and corn prices have slipped below $4 a bushel, down from a high of more than $8 per bushel in 2012.  Overall, the value of U.S. field crops fell to $149.9 billion in 2014, a decrease from $166.7 billion (revised) reported in 2013 and a significant drop from the $184.4 billion (revised) reported in 2012.

A portion of Governor McAuliffe’s strategic plan for building a New Virginia Economy includes helping existing agribusinesses expand operations, recruiting new agribusinesses to Virginia, expanding international markets for Virginia products, and making strategic investments in rural infrastructure that support job growth in these areas.  Nearly a quarter of all Virginians live in rural communities, meaning the health of Virginia’s entire economy is linked closely to the prosperity of agriculture and forestry.

USDA Provides One-Time Extension of Deadline to Update Base Acres or Yield History for ARC/PLC Programs

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Agriculture Secretary Tom Vilsack has announced that a one-time extension will be provided to producers for the new safety-net programs established by the 2014 Farm Bill, known as Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC). The final day to update yield history or reallocate base acres has been extended one additional month, from Feb. 27, 2015 until March 31, 2015. The final day for farm owners and producers to choose ARC or PLC coverage also remains March 31, 2015.
“This is an important decision for producers, because these programs provide financial protection against unexpected changes in the marketplace. Producers are working to make the best decision they can. And we’re working to ensure that they’ve got the time, the information, and the opportunities to have those final conversations, review their data, and to visit the Farm Service Agency to make those decisions,” said Vilsack.

If no changes are made to yield history or base acres by March 31, 2015, the farm’s current yield and base will be used. A program choice of ARC or PLC coverage also must be made by March 31, 2015, or there will be no 2014 payments for the farm and the farm will default to PLC coverage through the 2018 crop year.
“These are complex decisions, which is why we launched a strong education and outreach campaign back in September. Now we’re providing a one-time extension of an additional month so that every producer is fully prepared to enroll in this program,” said Vilsack.
Nationwide, more than 2.9 million educational postcards, in English and Spanish, have been sent to producers, and over 4,100 training sessions have been conducted on the new safety-net programs. The online tools, available at www.fsa.usda.gov/arc-plc, allow producers to explore projections on how ARC or PLC coverage will affect their operation under possible future scenarios.
Covered commodities include barley, canola, large and small chickpeas, corn, crambe, flaxseed, grain sorghum, lentils, mustard seed, oats, peanuts, dry peas, rapeseed, long grain rice, medium grain rice (which includes short grain rice), safflower seed, sesame, soybeans, sunflower seed and wheat. Upland cotton is no longer a covered commodity.
To learn more, farmers can contact their local Farm Service Agency county office. To find your local office visit http://offices.usda.gov.
The Farm Bill builds on historic economic gains in rural America over the past six years, while achieving meaningful reform and billions of dollars in savings for the taxpayer. Since enactment, the U.S. Department of Agriculture has made significant progress to implement each provision of this critical legislation, including providing disaster relief to farmers and ranchers; strengthening risk management tools; expanding access to rural credit; funding critical research; establishing innovative public-private conservation partnerships; developing new markets for rural-made products; and investing in infrastructure, housing and community facilities to help improve quality of life in rural America. For more information, visit www.usda.gov/farmbill.

USDA is an equal opportunity provider and employer. To file a complaint of discrimination, write: USDA, Office of the Assistant Secretary for Civil Rights, Office of Adjudication, 1400 Independence Ave., SW, Washington, DC 20250-9410 or call (866) 632-9992 (Toll-free Customer Service), (800) 877-8339 (Local or Federal relay), (866) 377-8642 (Relay voice users).

"Living in a Food Desert" to Premier at Richmond International Film Festival

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The College of Agriculture at Virginia State University is excited to invite you to attend the premier of “Living in a Food Desert” at the Richmond International Film Festival.

The premier will be held at 5:00 p.m. on March 1, 2015, at the historic Byrd Theatre. Immediately following the premier, patrons and community partners invite you to participate in a lively panel discussion to be hosted by Daphne Maxwell Reid, renowned actress and co-founder and principal partner of New Millennium Studios. 

Event Only – General Admission ($10)
Event Only – Senior and Student ($7)
One Day Screening Pass ($35)

Project History: In 2013, as a result of Delegate Delores McQuinn’s unwavering passion and commitment to citizens who live in food desert areas, the Speaker of the Virginia House of Delegates commissioned the dean of the College of Agriculture and Life Sciences at Virginia Tech and the dean of the College of Agriculture at Virginia State University to conduct a study of food deserts in the Commonwealth of Virginia. The deans led a broad-based Task Force that conducted the study and presented their findings to the Speaker of the House of Delegates in 2014. In 2014, Virginia State University created a documentary to bring additional focus and light upon this important topic and begin discussion on ways to address the issue of food deserts. We are honored and delighted to premier this important documentary during the 2015 Richmond International Film Festival.

For more information, call Cheryl Crawford at the College of Agriculture at (804) 524-5961.