Click Cover to Read Digital Edition

AVAILABLE IN THE APP STORE
iPAD APP
iPHONE APP

UPCOMING EVENTS

 
 
2014 RDC Summit
Sept. 30 - Oct. 2
Las Vegas
 
PayThink (formerly ATM, Debit & Prepaid Forum)
October 20-22
JW Marriott Desert Ridge
Phoenix
 
Money20/20
November 2-6
Aria
Las Vegas
 
ABA National Agricultural Bankers Conference
November 9-12
Hilton
Omaha, Neb.
More events >  

<- Back

Share |

Print Friendly and PDF

FSA Announces Sequester-Based Changes to 2013 Crop Marketing Assistance Loans

 

Oct 1 - USDA’s Farm Service Agency has announced several adjustments to commodity loan programs to accommodate the automatic funding reductions known as sequester that are mandated by the Balanced Budget and Emergency Deficit Control Act of 1985 as amended by the Budget Control Act of 2011.

The programs, which provide interim financing for agricultural commodities to be stored after harvest and sold throughout the year when unaffected by harvest-season pressure on prices, are subject to sequester reductions of 5.1 percent. With commodity loan programs operating on a crop year basis and Sept. 30 marking the end of the federal fiscal year, adjustments will occur for the 2013 crop year as follows:

Loan-making for all commodities will be suspended on Oct. 1 and are targeted to resume mid-October. Loan repayment and loan servicing for all disbursed commodity loans will continue. Beginning in mid-October, the 2013 crop loans, and if applicable, loan deficiency payments will receive 5.1 percent reductions. Re-pledged 2012 crop sugar loans are not subject to sequester. 2013 crop loan rates are not affected.

Commodity loans issued by FSA, marketing associations and loan servicing agents are all subject to these reductions.

 


Back