Differing Views Emerge on ACRE Participation for 2013 Crops Under Farm Bill Extension

January 2, 2013 11:43 PM
 
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via a special arrangement with Informa Economics, Inc.

Some say program continues as before while others say no decisions made on participation for 2013 crops

NOTE: This column is copyrighted material, therefore reproduction or retransmission is prohibited under U.S. copyright laws.


The one-year extension of the 2008 Farm Bill means that direct payments, counter-cyclical payments and the Average Crop Revenue Election (ACRE) program will continue. But there remains some debate over whether the extension means producers already enrolled in ACRE would be in the program for the 2013 crop year, whether they could opt out or whether all producers would have to enroll if they want to participate.

“They can opt in, but cannot opt out,” said one contact. Essentially, the contact noted, ACRE will function like it did under the 2008 Farm Bill – producers can sign up for ACRE if they haven’t already, but it remains a one-time decision over the life of the bill.

“Effectively, 2012 is changed in the law to 2013,” the contact added. “That means producers already in ACRE cannot opt out under the extension.”

Under the 2008 Farm Bill, once a producer made the decision to participate in ACRE, they were enrolled for the remaining crop years covered by the law.

This also means that the 20 percent reduction in direct payments that ACRE participants take would also apply to the 2013 crop year.

However, other contacts signal the matter has not yet been resolved relative to whether a producer currently enrolled in ACRE could actually get out of the program for the 2013 crop year, whether they would be automatically in ACRE or whether all producers would have to re-enroll in the program if they wanted to participate for 2013 crops.

“No decisions have been made yet,” said one administration source when asked about whether the extension of the 2008 Farm Bill meant producers could opt out for 2013, would still be in or would all those interested have to sign up for the program again.



NOTE: This column is copyrighted material, therefore reproduction or retransmission is prohibited under U.S. copyright laws.


 


 

 

 

 

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