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January 2010 - Swiss Valley Farms

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U S D A d e c i d e s h o w<br />

to distribute $290 Million<br />

by Don Boelens<br />

Published Monthly by:<br />

<strong>Swiss</strong> <strong>Valley</strong> <strong>Farms</strong><br />

Cooperative<br />

P.O. Box 4493<br />

Davenport IA 52808<br />

563.468.6600 FAX 563.468.6613<br />

www.swissvalley.com<br />

Nancy Feeney<br />

Editor/ Member Relations Mgr.<br />

<strong>Swiss</strong> <strong>Valley</strong> <strong>Farms</strong>, Co. will produce,<br />

distribute and sell value-added, quality<br />

products for our:<br />

Customers & Consumers<br />

Owner/Members<br />

Workforce<br />

<strong>Swiss</strong> <strong>Valley</strong> Board Officers<br />

Chair<br />

Pam Bolin................................................Clarksville, IA<br />

Vice Chair<br />

Randy Schaefer....................................Blue Grass, IA<br />

Assistant Secretary<br />

Jeff Nimtz...............................................Monticello, WI<br />

Assistant Treasurer<br />

James Schmitt.............................................Sherrill, IA<br />

<strong>Swiss</strong> <strong>Valley</strong> Directors<br />

Loyde M. Beers.......................................Eastman, WI<br />

Steve Klug.....................................Spring Grove, MN<br />

Dale Humpal.........................................Ridgeway, IA<br />

Francis Leibfried..................................Cuba City, WI<br />

G. Joe Lyon....................................................Toledo, IA<br />

Ken Schmitz..............................................Norwalk, WI<br />

Patrick Schroeder..............................Lancaster, WI<br />

Eugene Smith........................................Clinton, WI<br />

William Strief..................................................Farley, IA<br />

page <br />

I<br />

hope everyone had a joyous Holiday<br />

season as we wrap up a very difficult<br />

year for dairy producers. I’m sure we<br />

are all happy to see the departure of 2009<br />

as we look forward to much stronger<br />

dairy markets in <strong>2010</strong>.<br />

The big news to kick off the New Year is<br />

the USDA decided how to distribute the<br />

$290 million in the Dairy Economic Loss<br />

Assistance Payment (DELAP) program.<br />

Months ago, Congress authorized this<br />

$290 million in the <strong>2010</strong> Agricultural<br />

Appropriations Bill for loss assistance<br />

payments to eligible dairy producers to<br />

help them in this financial crisis.<br />

Farm Service Agency estimates that<br />

875 million cwt. of milk production will<br />

be eligible for a DELAP payment. The<br />

expected payment rate is $0.32 per cwt.<br />

Highlights and key points are:<br />

Secretary of Agriculture Tom<br />

Vilsack said, “Through this program,<br />

eligible dairy producers will receive<br />

economic assistance that will help<br />

stabilize their operations during these<br />

tough economic times. I have personally<br />

heard from hundreds of struggling dairy<br />

farmers from all across our country who<br />

have been hit hard by declining prices<br />

over the past year, and now, we’ll be able<br />

to offer them help.”<br />

Eligible producers will receive<br />

a one-time direct payment based on<br />

the amount of milk both produced and<br />

commercially marketed by their operation<br />

during the months of February through<br />

July 2009. Production information from<br />

these months will be used to estimate a<br />

full year’s production for an operation to<br />

calculate the payments, using a 6-millionpound<br />

per dairy operation limit.<br />

Dairy producers who have<br />

production records at the USDA Farm<br />

Service Agency (FSA) county office<br />

because they participated in another<br />

FSA dairy program do not need to apply<br />

CEO Don Boelens<br />

for the program. FSA will use existing<br />

production records for February through<br />

July 2009 to calculate and issue their<br />

payments.<br />

Producers who have not provided<br />

production data for those months to<br />

FSA have 30 days, until Jan. 19, <strong>2010</strong><br />

to apply.<br />

To be eligible for DELAP, the<br />

dairy producer and the dairy operation<br />

in which the producer has a share:<br />

Must have produced milk in<br />

the United States and marketed milk<br />

commercially at any time from February<br />

through July 2009.<br />

Must have milk production data<br />

for those months and must certify all<br />

milk production produced and marketed<br />

by the dairy during that time.<br />

Also, any dairy producer who has<br />

an annual average adjusted gross nonfarm<br />

income of more than $500,000 for<br />

calendar years 2006 through 2008 is not<br />

eligible for DELAP.<br />

For more information and eligibility<br />

requirements on the new DELAP<br />

program, please visit your local FSA<br />

county office or www.fsa.usda.gov.<br />

SWISS VALLEY FARMS DAIRYMAN

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