LEXINGTON. Ky Farmers
in 27 states, including Pennsylva
nia, have a new tool to use in man
aging the risk of catastrophic crop
losses.
The new program, called the
group risk plan, (GRP) allows
many farmers to ensure their crop
against catastrophic losses mote
cheaply than with conventional
multiple peril crop insurance,
according to Jerry Skees, an agri
cultural economist with the Uni
versity of Kentucky College of
Agricudure.
Skees is conducting research on
the new program with U.S.
Department of Agriculture
officials.
‘The new program will allow
farmers to enroll their acreage into
the program at a percent of the
expected 1994 county average
yield for that commodity. If the
county average yield drops below
that threshold, the farmer receives
a payment for his losses,” Skees
said.
Commodities covered by the
new program include cotton, pea
nuts, grain sorghum, com, soy
beans, wheat, barley, and forages.
According to Skees, the new
program provides many fanners
protection that exceeds that pro
vided by the traditional federal
multiple peril crop insurance
program.
In addition, he said, the federal
contribution to the cost of the
program will be considerably less
than with gie multiple peril crop
insurance program because the
GRP program should be less
expensive to administer and there
should be fewer excess losses.
Lower costs, he said, should ap
peal to taxpayers.
Skees said the program is very
straightforward. “If an insured far
mer is in the county where the cur
rent county average yield drops
below the forecasted average, the
farmer receives payment, regard
less of his own loss.
“Some people are saying that is
like insuring your house and col
lecting only if the whole neighbor
hood bums down. That kind of
thinking is not correct The differ
ence is that crop losses due to
catastrophe are generally related.
If drought diminishes your crop, it
likely also drops yields throughout
the county,” Skees said.
Under the GRP plan, an insured
fanner receives payment when the
county yield drops below a trigger
all
New 332’ Heifer Facility Featuring 8’ Deep x 12’ Wide Manure Storage
System With Waffle Slats
• Retaining Walls • Bunker Silos • Manure Storage, Etc.
Authorized Dealer For
KEYSTONE CONCRETE PRODUCTS
* H-Bunks • J-Bunks
• Trench • Hog &
Silo Walls Cattle Slats
New Tool Deals With Crop Losses
yield he chooses. The trigger yield
is established as the coverage
level of 90. 85. 80, 75, 70, or 65
percent of the expected county
average yield based on the coun
ty’s forecasted 1994 yield, he said.
Payment is based on the level of
protection selected when he
enrolls his acreage, Skees said,
and can be up to ISO percent of the
equivalent value of the expected
county yield.
If the expected average county
yield for soybeans, for example, is
30 bushels per acre and a farmer
chooses a coverage of 90 percent,
Local Ag Producers Form Speakers Bureau
LEWISBURG (Union Co.)
The Pennsylvania Foundation for
Better Living (PA FBL) held an
agricultural industry speakers’
training and promotion seminar
here at the headquarters office of
Northeastern Farm Credit, ACA.
Attendees included agricultural
producers and agribusinessmen
from Union, Snyder, Northumber
land, Columbia, and Montour
counties.
Professor Harry Carey of Penn
State University addressed the
group regarding public speaking.
Bobby R. Jones, regional coor
dinator of the Speakers Bureau
and vice president of Northeastern
Farm Credit, reviewed the history
of the PA FBL and the goals, ob
jectives, and mission of the agri
cultural speakers bureau.
The network of speakers will be
available upon request to promote
the importance of agriculture in
Pennsylvania by speaking to vari
ous civic, church, school and other
interested organizations within
their county regions.
Speaker training participants
included: Dennis Zimmerman, a
hog producer from Beaver
Springs; Craig Bingman, Snyder
County Conservation District,
Middleburg; Barry Sands, loan of
ficer at Northeastern Farm Credit;
Jim Brubaker, a hog operator from
Lewisburg; Cliff Valentine, Lew
isburg branch manager of North
eastern Farm Credit; Allen Wehr,
a dairy producer from Mifflin
burg; Ted Retallack, Union Coun
ty Conservation District; Dave
Bailey, Northumberland County
Extension; Bob Pardoe Jr., a dairy
operator from Milton; Bob Jacobs,
Bloomsburg Branch Manager at
Northeastern Farm Credit; Phil
the trigger yield is 27 bushels.
Any time the county yield falls
below 27 bushels, regardless of
the farmer’s yield, he receives a
payment Skees said. ‘
If the fanner purchased, for
example, $2OO per acre worth of
protection for those soybeans and
the actual county yield is only 20
bushels (a 26 percent shortfall
from the trigger yield of 27
bushels), he receives $52 per acre
in payment, which is 26 percent of
his protection level of $2OO.
Farmers who expect their own
yields to be greater than the aver
Durst, Montour County Exten
sion; George Hubbard of ASCS
office, Bloomsburg; and Scott
Kriebel, a 'dairy producer from
Stillwater.
The PA FBL is a network of
many businesses and organiza
tions committed to increasing the
Farmers Union Members
Attend
FARGO, N.D. Agricultural
trade issues, preparations for the
1995 farm bill, and health care
dominated the discussions at the
92nd anniversary National Farm
ers Union convention held here re
cently.
Among the nearly 1,500 attend
ing the convention were Robert
Junk, president of the Pennsylva
nia Farmers Union (PFU); Paul
Yates; Scott McNamara; and Jerry
Seyler, state vice president, as
delegates for Representing
the PFU youth group were Erin
Snyder, Brenda Seyler, and Byron
Seyler.
Other members who attended
were Irk McConnell, president of
Washington County; Jack Philson,
president of Mercer County; Nao
mi Spahr, president of Lancaster
County; and state treasurer of
-PFU, Jack Rynd. Also attneding
were Greg Powell, Gene Martz,
Ruth McNamara, and Forney
Longenecker.
The farm convention called for
immediate action to end the in
creasing volume of grain coming
into the United States from Can
ada. The Farmers Union also said
it will oppose the recently com
pleted Uruguay Round of trade
Sizes And Layouts
To Your Specifications
We Work Hard For
Customer Satisfaction
age county yield, also can partrci
pate in the program. They can
enroll their crops for a value at as
much as 50 percent above the
county average yields. Skees said.
Skees added that GRP will
work best for farmers who have
experienced crop shortfalls in the
same years that county yields
were short.
Tt is possible for a farmer to
have a loss and not get paid under
GRP. However, we must recog
nize that two-thirds of our farmers
do not purchase the traditional
crop insurance. GRP should help
most of those farmers,” Skees
understanding of the relationship
beteeen agriculture, consumers,
and the economy.
For more information about the
PA FBL speakers’ bureau or to ar
range a speaker for your area, con
tact Speakers Bureau Committee
Chairman Jim Kohl at Furman
National Convention
negotiations under the General
Agreement on Tariffs and Trade.
The farm organization also es
tablished its proposals for con
sideration in the development of
the 1995 farm bill. Increased com
modity loan rates, the targeting of
benefits to the production level of
family farmers and ranchers, an
improved Federal Crop Insurance
program, and a reorganized U.S.
Department of Agriculture were
among the recommendations
Farmers Union will be bringing to
Congress.
The convention heard from top
USDA officials including Bob
Nash, undersecretary for Small
Communities and Rural Develop
ment; Michael Dunn, administra
tor of the Farmers Home Adminis
tration; and Grant Buntrock, ad
ministrator of the Agricultural
Stabilization and Conservation
Service.
MILK.
IT DOES A
BODY good:
• Agricultural • Commercial
Residential
LET OUR EXPERIENCE WORK FOR YOU
ESTABLISHED SINCE 1979!
v WE ORIGINATED THE CONCRETE SYSTEM!
Lancaster Farming, Saturday, April 30, 1994-817
said.
Skees said that a new provision
of the traditional federal multiple
peril crop insurnace program,
which also will be available,
requires farmers to provide four
years of yield data to participate if
they are to ensure their crop at full
coverage. Farmers who don’t have
such data available will be able to
participate in the GRP program
without penalty.
For more information, farmers
can contact their county extension
office or their crop insurance sales
agent
Foods, Inc. RR2, Northumber
land, PA 17857, (717) 437-3516,
or call Speakers Bureau Regional
Coordinator Bobby R. Jones at
Northeastern Farm Credit, P.O.
Box, Lewisburg, PA 17837, (717)
523-1201.
U.S. Senators Kent Conrad
(ND) and Byron Dorgan (ND) ad
dressed the convention. Both call
ed for a change in agricultural
trade policies to protect America’s
family farmers. U.S. Representa
tives Collin Peterson (Minn.) and
Earl Pomeroy (ND) also outlined
the need for improved farm and
trade policies.
The convention also featured
workshops on value-added
agricultural enterprises, interna
tional farmer-to-farmer programs,
and health care. Thomas Souther
land, a former hostage held by Le
banese terrorists, shared his per
sonal values and experiences in
the closing session of the conven
tion.
For more information, contact
Robert Junk, president of the
Pennsylvania Farmers Union, at
(717) 234-4311.
INC.
430 Concrete Ave.
717-656-2016
Leola, PA