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Shaggy98
Senior Advisor

Re: ZERO 2014 FARM BILL PAYMENT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

What has happened to all the CRP acres that were enrolled and then placed back into production?  Did they place the base acres back in the farm?

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clayton58
Veteran Advisor

Re: ZERO 2014 FARM BILL PAYMENT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Generally yes unless that base was assigned to other land. That's my understanding but it may not always be the case
WCMO
Senior Advisor

Re: ZERO 2014 FARM BILL PAYMENT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

It most likely was cropland, yet it had only a 7.5 acre base established.  Although he's been farming a lot more than that, the farm program allows us to reallocate our base proportionate to the crops we've been planting 2008-2012, yet the farm program does not allow us to increase our base acres overall.  Therefore, even though he's been cropping 140 acres, and can still do so, he only has 7.5 program base acres, and only qualifies for potential program participation on 7.5 acres -- and payments are furthur only 85% of that base on PLC and ARC-CO, and 65% of that base on ARC-IC.

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Shaggy98
Senior Advisor

Re: ZERO 2014 FARM BILL PAYMENT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

What were the additional acres previously used for or categorized as?

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WCMO
Senior Advisor

Re: ZERO 2014 FARM BILL PAYMENT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

I've been farming only since 1995, but since then, I think we've been able to update base acres one time.  It might have been in 1996 -- I think we added soybeans as a program crop, and were given the opportunity to increase program base acres for the soybeans, and were also given the choice to reallocate based on whatever 5-year history they were looking at then.  If it wasn't 1996, then it was 2002.  And, it might have been that we were able to add soybean base one time, and the reallocation choice might have been the other time.

 

Personally, I think it should be a "rolling" average of what has actually been planted, and the average should be based on 6 or 8 years, not 5, and automatically updates every year.  Plus, no "grandfathering" of old base acres, no choices, either an actual average or nothing.  But then, nobody asked me.

 

I know of farms that basically have a 100% corn base, yet haven't planted 100% corn in at least 20 years.  They were able to "grandfather" their old corn base acres in current and previous farm programs, and had a fairly nice Direct payment under that program. 

 

I also know of farms (and rent a few small tracts myself) that have -0- base acres simply because nobody signed them up when they had the chance, they didn't participate in the farm programs.  Because they haven't participated in the past and have -0- base acres, they aren't eligible now since it's all based on base acres.

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WCMO
Senior Advisor

Re: ZERO 2014 FARM BILL PAYMENT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

I assume you're referring again to Hobby's example.  He said he bought the ground from an elderly farmer that hadn't farmed very much of it, and it had 7.5 acre base.  If Hobby is farming 140 acres, then the rest of it was probably classified as "cropland", but was not actually planted in crops, and/or the previous owner never updated base acres, and/or the previous owner transferred part of the base acres to other ground at some time at or before when Hobby bought it.

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Hobbyfarmer
Honored Advisor

Re: ZERO 2014 FARM BILL PAYMENT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

He bought it in 1944, never messed much with the ascs, scs, just row cropped maybe 20/ 30 acres a year, Hayed and pastured the rest. Raised 8 kids on it . .had known him since 1966, called me in 1999 and wanted me to bale his hay and help him put in a few acres of crop. He was 89 at that time the next year he asked me it when the time came if I would buy his farm,  Two years later I did after his wife passed. He lived five more years and passed on one night with two of his kids and and spouses, my wife and I in attendance in the new little house I had built for him on that farm. He was 97 years young.

 

When he quit farming his tractors were a 3000 Ford diesel, H farmall, and super C Farmall, this was the only farm he ever owned.

 

No relation at all to me but I still miss him. 

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Re: ZERO 2014 FARM BILL PAYMENT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

Of course that was for a year when people with near average yields had a shot at decent profitability if they did some pricing. Very good year for those with strong yields and some sales in place.

 

This year is shaping up differently but as I understand the program construction, there will be a better chance of some support.

 

I think that is how it is supposed to work- as a safety net, not as a revenue enhancer.

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kyu2852570
Veteran Contributor

Re: ZERO 2014 FARM BILL PAYMENT!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

I still hear $70-$80+ payments per acre, those yields are harvested yields and arc pays off planted yields which are lower. Guess we will know alot more in October when we get paid....
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