AGRI-BUSINESS NEWS AND NOTES

The Farm Service Agency now employs the CCC-633 EZ in place of the old CCC-709 and CCC-633-LDP. The EZ form has been created to make the application process more user-friendly. The CCC-633 EZ is a two-part loan deficiency payment request that allows producers to (1) indicate their intentions to receive LDP benefits before losing beneficial interest in the eligible commodity, and (2) submit a request for an LDP at any time during the loan/LDP availability period before or after losing beneficial interest. The EZ form was developed to cover field direct LDPs, basic LDPs and revised to cover basic and field direct LDPs for wool, mohair and unshorn pelts. By signing the first page of the EZ form, the producer indicates his or her intentions to receive LDP benefits. This one page covers all counties and all eligible harvested commodities for the entire crop year for the individual, joint operation or entity identified on the form. Once the first page of the form has been signed and submitted, the producer can submit an LDP request by completing page 2 for all harvested commodities or page 4 for wool, mohair and unshorn pelts. The LDP request can be submitted at any time during the loan availability period, before or after losing beneficial interest. A key point to remember is that page 1 of the EZ form must be signed by the producer before beneficial interest in the commodity is lost. Once beneficial interest is lost, the commodity is ineligible for an LDP even if beneficial interest is regained.
Norwalk Reflector Staff
Jul 24, 2010

 

The Farm Service Agency now employs the CCC-633 EZ in place of the old CCC-709 and CCC-633-LDP.

The EZ form has been created to make the application process more user-friendly. The CCC-633 EZ is a two-part loan deficiency payment request that allows producers to (1) indicate their intentions to receive LDP benefits before losing beneficial interest in the eligible commodity, and (2) submit a request for an LDP at any time during the loan/LDP availability period before or after losing beneficial interest. The EZ form was developed to cover field direct LDPs, basic LDPs and revised to cover basic and field direct LDPs for wool, mohair and unshorn pelts. By signing the first page of the EZ form, the producer indicates his or her intentions to receive LDP benefits. This one page covers all counties and all eligible harvested commodities for the entire crop year for the individual, joint operation or entity identified on the form. Once the first page of the form has been signed and submitted, the producer can submit an LDP request by completing page 2 for all harvested commodities or page 4 for wool, mohair and unshorn pelts. The LDP request can be submitted at any time during the loan availability period, before or after losing beneficial interest. A key point to remember is that page 1 of the EZ form must be signed by the producer before beneficial interest in the commodity is lost. Once beneficial interest is lost, the commodity is ineligible for an LDP even if beneficial interest is regained.

All operators and landowners receiving a share are encouraged to submit page 1 of the EZ for each crop year whether or not they plan to subsequently request a loan or LDP. You are asked to complete this form during DCP sign up and will be reminded of the form when you are in the office to certify your crops for 2007. Landowners who cash rent their land to their operator do not need to file this form.

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Farm operating loans: With a Direct or Guaranteed Farm Operating Loan (OL) through the Farm Service Agency (FSA), a qualified farmer can purchase or lease items needed for a successful farm operation, such as livestock, farm equipment, feed, seed, chemicals, or other operating expenses. These loans may also be used to pay for minor improvements to buildings, costs associated with land and water development, and family subsistence, as well as to refinance debt under certain conditions. To qualify for an OL, an applicant must meet certain eligibility requirements which include:

Have operated a farm for at least 1 year within the last 5 years,

Be unable to obtain sufficient credit elsewhere at reasonable rates and terms to finance loan needs.

Entities must meet these same eligibility requirements and must be authorized to operate a farm in the state of Ohio.

Additionally, the loan applicant must have a satisfactory credit history,

Demonstrate repayment ability,

And provide sufficient security for the loan.

The maximum loan size for a Guaranteed Operating Loan is $852,000. For a Direct Operating Loan, the maximum loan size is $200,000. For more information about the FSA Farm Loan Programs you may also contact your local FSA office, or the FSA Farm loan team at (419) 668-4113 or (740) 392-0801.

Diana Strouse is the county executive director for the Huron and Erie County Farm Service Agency. For more information, call the agency at (419) 668-4113.