I’m. Knot worried about the tax part but sure could use the payment. If a farmer is making so munch that the max payout is going to hurt them on taxes sounds like they didn't need to begin with once aging the greedy getting more and leaving the ones that really could use it. In the dark
I’m sure it’s the ones that have ways around the 125 k cap because they claim the farm in every family member name.
Yup it does need to change. In our world the 5% - 10% factor we will be paid is not going to be meaningful neither in our tax burden or our loss recovery. Again, those of us who fell between the cracks remain between the cracks. What a crock these cracks are.
The farmers who actually need the money aren't worried about tax avoidance. Any amount of profit on my 2023 taxes would help my banker fund my 2024 season. It's time to stop playing games and send the checks.
I called the national FSA Hotline numerous times including today and was told payments are on hold now and no deadline has been given/updated! Sucks for those of us that really need these funds this fall.
Hang in there Julie. At this point I am hounding local representation, congressmen, to ask USDA to fully fund PARP. I ranched and still grow speciality crops. Ranchers and fruit/vegetable growers are forgotten by farm programs. PARP seemed like a program designed to address this inequity. Yet here we are, still forgotten. Good luck!
I spoke to my connections and nope and no hope as of now..
I'm trying to convince our congressmen to address this specific inequity to us small specialty growers and livestock ranchers as part of the next farm bill. I encourage others to do so also. Lump of coal is about right.
Correct Julie, don't expect them until 2024. It is a huge mess and all local FSA offices are in the dark just as much as we are regarding the PARP program.
I hope you were able to get the Track 1 application though? I don't know when they will start paying those payments out but hopefully those are before year's end, if not early 2024.
"Of note, USDA recently announced yet another ad hoc relief program, the Pandemic Assistance Revenue Program (PARP) that uses funds from the Consolidated Appropriations Act of 2021 to pay farmers who suffered an eligible revenue loss in calendar year 2020 due to the pandemic (88 C.F.R. 1862; USDA, farmers.gov: Pandemic Assistance Revenue Program). PARP offers an interesting case study: because the regulation has been published and farmers can sign up for it, the funds would be presumed to have been obligated and the rescission would not impact the payments. USDA estimated the gross estimated outlays for FY 2023 from PARP at $2.7 billion and if there is an impact from the rescission it might be to any spending above this estimate, but USDA needs to clarify if and how rescission would impact the payments."
Interesting that the $2.7 billion number was used in June for this article and upon further reading of the entire article the author interpreted this number number as an obligatory payment not subject to recissions written into the various bills and acts used to fund Covid Relief farm programs. My personal opinion is the USDA wants to pay the obligations in full but due to politics and timing are having difficulty doing so as in where is the funding coming from?
I think we all agree, this is not getting done this year and even January, given the political mire of expiring CRs, looks unlikely. Tax wise, given how late in year it is that is good news to some but bad news to those who really need the funds now. Some of us budgeted 10% PARP payment into farm planning and oops, its not here. I gave up calling the County or State FSA. They know less than we do. Yikes!
It is absolutely ridiculous that they can not give an honest update. They extended the deadline and are now over subscribed. They have the money to pay out the other programs but not PARP which helps a lot of smaller farmers and ranchers. Any type of update would be nice. I am sure they will continue to collect paychecks they were promised weekly thru the end of the year but will approve funds only to hold them. Someone should be held accountable.
Paul, every time I call the local FSA office, I am told that they have not even started preparing the final calculated payment amount. I think it is unlikely that payments are issued before the year's end. In fact, I think there is a chance that the payments for the Track 1 of the ERP 2022 program get issued before the PARP payments. I have already had multiple clients receive the pre-filled application in the mail and sent back.
It is a bit off topic, but do you know if the $400M or so of the amount allocated to the ERP Phase 2 program that was underutilized will be moved to the PARP program? Could that change the final payment amount for qualified producers? So instead of the program having $250M budget, it will have around a $650M budget? Thoughts?
The big cry baby’s that pay off the congress. And are the problem they seen a program that would help the farmers they won’t to shove out of business and decided. They anted so the program got extended for
Them cry baby’s. Which I’m sure most are farm bureau members
Pay offs get what cry baby’s want and the big guys dumping money in congressional members pockets to get what they want that’s all it comes. Down to.
If there worry about having to pay taxes on it then they allready are to greedy to start with
I’m. Knot worried about the tax part but sure could use the payment. If a farmer is making so munch that the max payout is going to hurt them on taxes sounds like they didn't need to begin with once aging the greedy getting more and leaving the ones that really could use it. In the dark
I’m sure it’s the ones that have ways around the 125 k cap because they claim the farm in every family member name.
That stuff needs to be stopped.
Yup it does need to change. In our world the 5% - 10% factor we will be paid is not going to be meaningful neither in our tax burden or our loss recovery. Again, those of us who fell between the cracks remain between the cracks. What a crock these cracks are.
The farmers who actually need the money aren't worried about tax avoidance. Any amount of profit on my 2023 taxes would help my banker fund my 2024 season. It's time to stop playing games and send the checks.
I called the national FSA Hotline numerous times including today and was told payments are on hold now and no deadline has been given/updated! Sucks for those of us that really need these funds this fall.
Hang in there Julie. At this point I am hounding local representation, congressmen, to ask USDA to fully fund PARP. I ranched and still grow speciality crops. Ranchers and fruit/vegetable growers are forgotten by farm programs. PARP seemed like a program designed to address this inequity. Yet here we are, still forgotten. Good luck!
George, Is there any talk of them coming back to fully fund since we only got 9.5% of the expected payment.
I spoke to my connections and nope and no hope as of now..
I'm trying to convince our congressmen to address this specific inequity to us small specialty growers and livestock ranchers as part of the next farm bill. I encourage others to do so also. Lump of coal is about right.
Yes, that was greatly depressing to get such a small amount
So sad we only are getting 9. 5% of the payment we expected! Does anyone know if this is the end or could they make this right at some point?
Correct Julie, don't expect them until 2024. It is a huge mess and all local FSA offices are in the dark just as much as we are regarding the PARP program.
I hope you were able to get the Track 1 application though? I don't know when they will start paying those payments out but hopefully those are before year's end, if not early 2024.
Unfortunately, we only have a ranch and not a farm, so we didn't qualify for ERP, only the PARP
Paul, I mined this from Gardner Policy Series,
Reviewing the Debt Limit Deal
Jonathan Coppess
Department of Agricultural and Consumer Economics
University of Illinois
June 1, 2023
"Of note, USDA recently announced yet another ad hoc relief program, the Pandemic Assistance Revenue Program (PARP) that uses funds from the Consolidated Appropriations Act of 2021 to pay farmers who suffered an eligible revenue loss in calendar year 2020 due to the pandemic (88 C.F.R. 1862; USDA, farmers.gov: Pandemic Assistance Revenue Program). PARP offers an interesting case study: because the regulation has been published and farmers can sign up for it, the funds would be presumed to have been obligated and the rescission would not impact the payments. USDA estimated the gross estimated outlays for FY 2023 from PARP at $2.7 billion and if there is an impact from the rescission it might be to any spending above this estimate, but USDA needs to clarify if and how rescission would impact the payments."
Interesting that the $2.7 billion number was used in June for this article and upon further reading of the entire article the author interpreted this number number as an obligatory payment not subject to recissions written into the various bills and acts used to fund Covid Relief farm programs. My personal opinion is the USDA wants to pay the obligations in full but due to politics and timing are having difficulty doing so as in where is the funding coming from?
I think we all agree, this is not getting done this year and even January, given the political mire of expiring CRs, looks unlikely. Tax wise, given how late in year it is that is good news to some but bad news to those who really need the funds now. Some of us budgeted 10% PARP payment into farm planning and oops, its not here. I gave up calling the County or State FSA. They know less than we do. Yikes!
Thanks for your articles on this!
It is absolutely ridiculous that they can not give an honest update. They extended the deadline and are now over subscribed. They have the money to pay out the other programs but not PARP which helps a lot of smaller farmers and ranchers. Any type of update would be nice. I am sure they will continue to collect paychecks they were promised weekly thru the end of the year but will approve funds only to hold them. Someone should be held accountable.
Paul, every time I call the local FSA office, I am told that they have not even started preparing the final calculated payment amount. I think it is unlikely that payments are issued before the year's end. In fact, I think there is a chance that the payments for the Track 1 of the ERP 2022 program get issued before the PARP payments. I have already had multiple clients receive the pre-filled application in the mail and sent back.
It is a bit off topic, but do you know if the $400M or so of the amount allocated to the ERP Phase 2 program that was underutilized will be moved to the PARP program? Could that change the final payment amount for qualified producers? So instead of the program having $250M budget, it will have around a $650M budget? Thoughts?
The parp was a joke and no one will answer as to how many applications was received after the Parp program was opens back up for sighn up
The 9.5% factor is disappointing but is very cluse to what Paul predicted.
The big cry baby’s that pay off the congress. And are the problem they seen a program that would help the farmers they won’t to shove out of business and decided. They anted so the program got extended for
Them cry baby’s. Which I’m sure most are farm bureau members
Pay offs get what cry baby’s want and the big guys dumping money in congressional members pockets to get what they want that’s all it comes. Down to.
If there worry about having to pay taxes on it then they allready are to greedy to start with