D34-Lancaster Fanning Saturday, April 6,1985
WASHINGTON - Comments
will be accepted until April 10 on a
U.S. Department of Agriculture
recommended decision that
supports some amendments to the
Middle Atlantic and New York-
New Jersey federal milk
marketing orders, but denies
others.
Edward T.‘ Coughlin, dairy of
ficial with USDA’s Agricultural
Crop Insurance
(Continued from Page D 33)
Thus, over the long run, for each
70 cents a farmer pays as
premiums, $l.OO will be returned to
cover insurable losses. This is true
for the 50 to 65 percent yield
coverage levels and change
slightly for the 75 percent coverage
level. No matter which level of
coverage is selected, the
premiums are structured so that,
on average, the amount paid into
the system will be paid out as in
demnities.
Whether a given farmer pays a
premium that is below, equal to, or
above the base rate (established
by the FCIC for each crop in each
county) depends on how his or her
APH yield compares with the
county average yield.
A farmer with proven history of
above average yields will pay
lower rates, while a farmer with a
proven history of below average
yields will pay a higher rate. The
rate difference can be substantial.
For example, a low yield com
grower could be charged nearly
two and one-half times the base
rate, whereas a high yield
producer may realize up to a 40%
discount from the base rate.
Doltaave
to insure all
of my crop?
Yes, if insurance is purchased
for a particular crop, all of that
crop (located in the same county)
must be insured. It is not possible
to just insure the portion of a crop
that is most susceptible to loss.
However, each crop is insured
separately, so a grower may in
sure one crop without having
insure a second crop produced in
the same county.
In addition, claims are paid by
unit. The basis used to define a unit
is the farm accounting system. A
single farm (located in one county)
represents one unit. If a grower
crop-share rents a second farm,
the rented acreage constitutes a
second unit. Providing proper
records are maintained, a grower
may qualify for more than one unit
if his land is located in separate
sections or, if he farms both
irrigated and non-irrigated
cropland.
When Must I
Purchase Crop
ATTENTION
WE DO CUSTOM CHAINSAW
WORK
* Clearing Small Acreages
* Felling of Unwanted and Dead Trees
* Fence Row Clearing
* Firewood Cutting
* Etc.
Reasonable Rates
USD A recommends milk order amendments
Marketing Service in Washington,
D. C., said the recommended
decision is based on the record of
24 days of public hearings held in
1983. He said the recommended
amendments would:
- Include 20 additional Penn
sylvania counties in the marketing
areas of the two milk orders, 5 in
the Middle Atlantic order and 15 in
the New York-New Jersey order.
Insurance?
Generally, insurance must be
purchased at least 30 days prior to
the start of seeding in the grower’s
area, unless abnormal conditions
exist. See your local insurance
agent for sign up dates for crops in
your area.
Are There Provisions
For Late Planting?
There is a late planting
agreement option available. This
option gives farmers an op
portunity to purchase insurance on
most spring crops when they miss
final planting dates because of
adverse weather.
Under the option, insured far
mers will be able to obtain
coverage on acreage planted up to
a maximum of 20 days after the
final planting date. However, the
production guarantee on the
acreage will be reduced by 10
percent every five days through
the 20th day following the final
planting date. The premium cost
remains the same as on the final
planting date.
Will crop insurance
eliminate the need
for other risk
management strategies?
Almost certainly not. The con
cerned grower will evaluate all
means of reducing income risk,
and select that combination of risk
management devices (for
example, crop insurance, hedging,
forward contracting, and com
modity options) best suited to his
or her own needs.
This combination might include
one, several, or none of these ways
to reduce risk, depending on the
grower’s own circumstances.
Nevertheless, the new APH
program is a much needed im
provement over previous crop
insurance programs, and warrants
investigation by all Pennsylvania
farmers.
Where Can I
Learn More?
Interested farmers are en
couraged to talk with their local
crop insurance sales represen
tative. If a grower doesn’t know
who the local crop insurance sales
representative is, check with the
local ASCS office and they will
provide this information.
WOODLAND
OWNERS
■V \
717-367-7831
- Revise the location ad
justment provisions of each order
by extending the plus 15-cent fixed
differential under the New York-
New Jersey order to include the 71-
80 milk zone; and by increasing the
minus location rate to 2.2 cents per
hundredweight per 10-milk zone
under the Middle Atlantic order
except that in the Pennsylvania
counties of Berks, Dauphin and
Lebanon the location adjustment
would be minus 10 cents per
hundredweight.
Coughlin said the proposals
denied in the recommended
decision pertain to the New York-
New Jersey order and would have:
- Extended the area to include
the Pennsylvania counties of
Clinton, Potter and Tioga.
- Changed the classification of
bulk fluid milk products in ending
inventory.
-Excluded from the pooling and
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payment provisions contaminated
or unmarketable milk.
- Revised the method of
determining the maximum
allowable tank truck service
charge deductions.
The recommended amend
- ments are based on a number of
proposals submitted by
cooperative associations, milk
handler associations and an in
dividual milk handler operating
under the orders. The order ex
pansions and changes in location
adjustments are needed to reflect
current marketing conditions and
to assure orderly marketing in the
two federal order marketing
areas, Coughlin said.
Principal cities in the markpting
m r 'h|ft
areas are Philadelphia, Pa.,
Baltimore, Md., Washington, D.C.,
Newark, N.J., and Albany,
Syracuse and New York, N. Y.
The recommended decision is
scheduled to be published in the
March 11 Federal Register. Copies
also may be obtained from Joseph
D. Shine, market administrator,
P.O. Box 710, Alexandria, Va. 22313
- phone (703 ) 549-7000; lliomas A
Wilson, market administrator, 708
Third Ave., New York, N. Y. 10017 -
- phone (212) 309-1600; or Dairy
Division, AMS, USDA,
Washington, D. C. 20250.
Comments should be sent to the
Hearing Clerk, room 1077-S,
USDA, Washington, D.C. 20250,
where anyone may see them.
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