2010-04-15 / General Stories

Direct & Counter-Cyclical Payment Signup Underway

John Schoenemann, Executive Director of USDA’s Farm Service Agency in Lee County says that signup begins immediately for the 2010 Direct and Counter-cyclical Payment Program (DCP) which helps deliver certainty for the crop year and the option of a timely advance payment.

Contracts are available today at USDA Service Centers and signup will continue until June 1, 2010. Producers that have current base acreage over ten acres can fill out their 2010 DCP contract with the County Office. Producers can also sign-up online. They can choose payment options, assign crop shares and sign and submit their contracts from any computer with Internet access. They can also view and print submitted contract options. USDA computes DCP payments using base acres and payment yields established for each farm. Eligible producers receive direct payments at rates established by statute regardless of market prices. For 2010, eligible producers may request to receive an advance payment of 22 percent of the direct payment for each commodity associated with the farm. USDA will issue advance direct payments as soon as practical after enrollment. Final direct payments will be issued after October 1, 2010. Counter-cyclical payments vary depending on market prices, and are issued only when the effective price for a commodity is below its target price (which takes into account the direct payment rate, market price and loan rate).

Since 2002, USDA has issued approximately $40 billion in DCP payments to America’s agricultural producers. Participants must submit the completed DCP contract by June 1, 2010. Applications filed after this date will not be approved. PLEASE CLL THE COUNTY OFFICE FOR AN APPOINTMENT TIME (979-542-5781-2. The online, electronic DCP (or eDCP) service saves producers time, reduces paperwork and speeds contract pro- cessing at USDA Farm Service Agency offices. It is available to all producers who are eligible to participate in DCP and who obtain eAuthenticication accounts.

The electronic service is available by going to http:// www.fsa.usda.gov/FSA/edcp and clicking on “Access eDCP Service.” To access the service, producers must have an active USDA eAuthentication Level 2 account. To get a Level 2 account, producers must complete an online registration form at http:// www.eauth.egov.usda.gov and then visit the local USDA Service Center to verify their identity. The service has strict security measures to protect participants’ private information. Only authorized federal employees have access to information producers submit electronically. For more information about DCP which will include a fact sheet, go to the DCP Web page at: http://www.fsa.usda.gov/ FSA/

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