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Disaster Designation For 7 More Iowa Counties

Disaster Designation For 7 More Iowa Counties

USDA has granted 7 more counties in Iowa a "Secretarial Natural Disaster Designation" making funds available to assist eligible farmers in these counties who were smacked by storms, flooding etc. earlier this year.

The state executive director for USDA's Farm Service Agency in Iowa, John Whitaker, announced on Sept. 27  that USDA has designated 7 Iowa counties as part of a Secretarial Natural Disaster Designation. Farm operators who have suffered major production and/or physical losses caused by excessive rain, flooding, and flash flooding from April 1, 2011 through July 31, 2011 may be eligible for low-interest emergency loans. 

Other programs may also be made available to assist farmers, including the Supplemental Revenue Assistance Program (SURE) due to this designation. 

A Secretarial Natural Disaster Designation has been issued for 46 Illinois counties as the primary disaster area.  Seven Iowa counties are contiguous to this designated disaster area in Illinois, making these producers also potentially eligible for program based on this designation. The contiguous counties are:  Clinton, Des Moines, Dubuque, Jackson, Louisa, Muscatine, and Scott. 

Farmers in designated counties in the eastern Iowa area may be eligible

USDA's Farm Service Agency may make it's Emergency Loans to eligible family farmers which will enable them to return to their normal operations if they sustained qualifying losses resulting from natural disaster.

* Physical loss loans may be made to eligible farmers to enable them to repair or replace damaged or destroyed physical property, including livestock losses, essential to the success of the farming operation. Examples of property commonly affected include; essential farm buildings, fixtures to real estate, equipment, livestock, perennial crops, fruit and nut bearing trees, and harvested or stored crops.

* For production loss loans the disaster yield must be at least 30% below the normal production yield of the crop, on a crop or crops that make up a basic part of the total farming operation.

Applicants must be unable to obtain credit from other usual sources to qualify for the FSA Farm Loan Program assistance. The interest rate for emergency loans is 3.75%.  Each applicant applying for credit will be given equal consideration without regard to race, creed, color, marital status or national origin. 

Final date for making application under this designation is May 21, 2012

The repayment for most disaster loans are based on the useful life of the security, the applicant's repayment ability, and the type of loss. If the loan is secured only on crops, it must be repaid when the next crop year's income is received. Loans to replace fixtures to real estate may be scheduled for repayment for up to 40 years. 

Interested farmers may contact their local county FSA office for further information on eligibility requirements and application procedures for these and other programs. Information can also be found on-line at

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