 We're proud to bring this to you in conjunction with FSA and NDSU Extension. From NDSU, we have Ron Haugen, if he's, if there's technical difficulties, don't prevent him from presenting here. Myself, my name's Brian Parman. I'm the State Ag Finance Specialist for NDSU. And then we have Miranda Meehan, who is also going to be helping moderate and run the webinar as well. From FSA, we have Laura Heinrich, Brad Tickison, Lindsay Abintroth, hopefully I pronounced that correctly. Wanda Brayton, Ron Duvall, and Jay, his last name's a little more difficult to pronounce. So I was told to just call him Jay. So with most of our presenters, it's five to anywhere between five and 20 minutes. And I encourage everyone, if you're able to turn your mics on, make sure you leave them off. And again, at the end, hold, you can go ahead and type your questions into the chat portion, which we'll take those and we'll have a list of them. And then at the end, we'll go down and each presenter will be, the questions will be directed towards them, and then they can go ahead and answer them. So with that, I want to go ahead and kick this off with Laura. Thank you, Brian. And from FSA, we want to thank NDSU for putting this webinar together to assist us in getting this important information out on the Coronavirus Food Assistance Program. I am Laura Heinrich. I'm a state program director for the North Dakota Farm Service Agency. And I'm in charge of the overall administration of CFAP, as we call it, the Coronavirus Food Assistance Program or CFAP. I'll be covering some general information about the program. And then each section or each commodity will be covered by one of our state specialists or program directors. So with that, you can go to the next slide, Brian. So CFAP provides direct assistance to agricultural producers impacted by the effects of the COVID-19 outbreak. There's two funding sources for the program. The first is the CARES Act funds, and that's $9.5 billion that was allocated to compensate for losses due to price declines that occurred between mid-January and mid-April of 2020. The second funding source is CCC Charter Funds, and the secretary has allocated $6.5 billion in CCC funds to assist producers based on costs of dealing with ongoing market disruptions, and that transition back to an orderly marketing system. Sign-up for the program did start May 26, 2020, and our county offices have been actively accepting those applications, getting them entered in the system, and approved. This sign-up does end August 28th, so all producers want to make sure that they get their applications completed and submitted to the county office by August 28th of 2020. Producers with an ownership risk of identified commodities that suffered a 5% or greater national price loss as a result of the COVID-19 pandemic or had substantial marking costs of inventories, and who produce or own one of the following commodities, milk, non-specialty crops, wool, livestock, or specialty crops, will be eligible for the program. And even though that commodity may be eligible, there's a new term to identify which portion of that production will be eligible. So all production, sales, and inventory of eligible non-specific, non-specialty crops, wool, livestock, and specialty crops must be subject to price risk as of January 15th, 2020. This term price risk is something new that we haven't generally used in FSA programs before. And we know this has generated a lot of concern out there with producers on what production is eligible and what isn't. And so as our presenters go through each different eligible commodity, they'll go into more detail on what production is eligible in definition of price risk. There are several forms that will need to be completed to be eligible for CFAB. The first is the application itself or the AD3114. Producers will also need to submit a farm operating plan for payment eligibility if they haven't done so already. If they're a member of an entity, they'll need to provide information about the who makes up that legal entity or the members of that entity by filing a CCC901. They'll also need to certify to their adjusted gross income using the form CCC941. And if applicable, they may need to also certify to what portion of their income comes from farming, ranching, and forestry using the CCC942. And then the last form that producer may have to file or will need to file is an AD1026, which is our highly erodible and wetland certification form. It's really important for producers to remember that they do need to file all of those eligibility forms within 60 days of the date of signing that application. If they do not submit those eligibility forms timely, they will not be eligible for a payment or it may be at a reduced payment rate. Producers are going to file one application per producer, which will contain all production for all eligible commodities from all counties that that producer has an interest in. The producer is going to do, they're certifying to all of the information on the form, so all the production on the form, it's a certification. We will not be accepting any production evidence documentation at this time. It will only be required if that producer is selected by spot check or when the county committee requests it. The producer can submit the completed CFAP application to any service center, but the recording county or the producer's control county will be the county that will actually approve or act on that application. This is just an example of the form. Part A is just the producer should read through that to know exactly what they are certifying to when they sign the form in part I. Part B is where they're going to enter in their, the producer's name and address. Part C through G are, we'll go through and as we cover each individual commodity in more detail, part H is on the second page. Is where the producer will need to file additional information for payment limitation purposes and Ron will go through that in the next section. If you want to go to page two, Brian, thank you. And then part I is where the producer is signing and dating, certifying that they, all the information on the application is correct and agreeing to maintain any production evidence for three years in case they're selected for spot check. Payments will be based on specific payment rates by commodity and we'll cover that as we go through each section for the commodity. And they'll be paid at 80% of the calculated payment. Subsequent payments may be issued at a later date determined by the secretary if funding is available. And we know there's a lot of rumors out there, but this program is not first come, first serve. We're doing this 80% of the calculated payment rate to make sure that all producers will receive the payments that they're eligible for. And then again, after the signup has ended, the secretary will review to see if we can increase that payment percentage from 80% and go all the way up to 100%. With that, I'll turn it over to Ron Duvall to cover payment limitation, payment eligibility, and conservation compliance. Good morning, everybody. My name is Ron Duvall, I'm the state program director for payment eligibility, payment limitation, and conservation compliance. So this morning we're going to talk about the payment eligibility rules as they apply to the CFAP program. So what the rules that do apply to the CFAP program regarding payment limitation is that we will follow all the payments down through the fourth level of ownership through attribution. And that's not much different, really it's not any different than what we do in any of our other programs. So what we follow is the rules that apply to the CFAP program, well we'll get to that here on a different slide, but and then we're going to follow payment eligibility with the payment eligibility, the foreign personal rules apply, and like I said, we'll get to that again, that's just an overview, and then adjusted gross income rules apply, the 900,000 AGI, unless 75% of your AGI is determined from farming and the AGI again is adjusted gross income. What I do want to mention though is that rules that do not apply are common attribution for minors, so minors are eligible for this program. We're not looking at substantive change, we're not looking at active, engaged in farming rules, and we're not looking at cash rent tenant or any other crop line factor things that may be applied in the county office. Now to be eligible for CFAP, a producer has to have a share in an eligible commodity on January 15th and or April 16th through May 14th, and then they also have to be a citizen of the U.S., right, or national, a resident alien, we have to have, it must be a partnership of citizens or U.S. nationals, corporations, limited liability corps, Indian tribes, or a foreign person or foreign entity who meets the foreign person rules according to our handbook, and if anyone has any questions regarding your eligibility, feel free to reach out to your county office or you could reach out to our state office here and we'd be glad to talk to you about your eligibility. Now, ineligible producers are federal and state local governments or public schools, which are included in that, personal legal entities who do not have reported ownership in an eligible commodity on those dates, those folks aren't eligible, persons in legal entities suspended or debarred from otherwise are excluded from federal programs, those folks are not eligible, and persons in legal entities that do not meet payment limitation, payment eligibility, AGI, or wetland compliance requirements, those people will not be eligible either. So the general rule for the CFAP program, the general rule as far as payment limitations concerned is that the total amount of CFAP payments that a person or a legal entity, excluding general partnerships and joint ventures may receive is $250,000. Now, payments to joint operations, including general partnership or joint venture cannot exceed $250,000 per person or the legal entity that's part of that. So what we're looking for is the, we're looking at all of our payments always follow back to a social security number, and that's really what this is getting to is that we're going to follow the payments back. So if we have a general partnership that has three members, that general partnership is going to earn $250,000 times three if we could move to the next slide. Now, we do have an optional increase, and this is new for us at FSA. This is the first time I've run into this, and as far as I know, it's the first time we've really made a change regarding corporations. So on the form, you can see down on the bottom of this slide that part H, that we are allowing, FSA is allowing corporations and limited liability companies and limited liability partnerships to earn an additional $250,000 limitation for applicants or on this program, and that's new. Normally, a corporation would be limited to just one payment limit, but in this case, this program is written so that one corporation can earn three payment limits. But we're going to go on the next slide through the details of that. And so that optional limit increase can move up to either from $250,000 to $500,000 or $750,000 depending on how involved the members are in that entity. So when you have an entity that's comprised of multiple members, we could pay up to three payment limits for three members if those members or stockholders or partners contribute 400 hours or more of active personal labor, active personal management, or a combination of the three. So what we have here is a, there's a chart to just explain how that works. Normally, if none of the members in a corporation provide any labor or any management, that partnership, limited partnership, corporation, LLC would earn one payment limit, $250,000. Now, if you have a corporation, I'm just going to say corporation for time, if that has one member that provides 400 hours, then that payment limit doesn't change, then you still, that corp only receives $250,000 payment limit. If the corp has two members that have an ownership interest and are providing 400 hours of active personal labor, active personal management, or a combination, then that corp would earn $500,000 and so on to the $750,000 level for three persons in that corp. Now, our next slide, there's a payment factor which Laura already touched on. And the initial payment will be factored down to 80%. So the maximum, really the maximum amount of person or legal entity is going to receive in their first payment is going to be $200,000 for a corp, LLCs and LLPs qualifying for the optional increase, that's going to be $400,000 or $600,000 respectively. And then, like Laura said, that those subsequent payments may be issued at a later date if determined by the secretary. So our next slide set is those payments to persons and legal entities will be limited according to the rules of attribution and that is what I was talking about earlier. We always say in the office or amongst our offices that payments always fall down to a warm body. So like a living person is how those payments are attributed. So when we, when we're dividing out all the payments and how the payment limitations work, it's going to always follow back to a social security number. And then those CFAP payments to legal entities, those are going to be tracked through four levels of ownership and will be reduced for members or partners holding an interest below that level. And one thing that I want everybody to remember too is that if you're involved in multiple entities, like if you're, if you receive payment as an individual, receive payment as a partnership or in a corp, as a person, you're only going to be able to earn $250,000 as a, as a warm living person. And so each entity that you're involved in, if you get to that much, it's going to, you might actually lose out on a little bit of payment if, if you, if you go over as an individual. Now, what I'd like to do here is just discuss what the AGI requirements are. So what we're using for AGI is a program year 2020. And adjust or gross income requirements for this program is that your AGI, when you average 2016, 17, and 18, if you're 900,000 or less, you're eligible. Unless you have at least 75% of the AGI is derived from farming or ranching, you could earn over 900,000. Next slide. The CCC 941 is a form that we use to, to, to determine eligibility for the AGI. And then the CCC 942 is what we would use when a producer's AGI exceeds 900,000. And at least 75% of that producer's AGI is derived from farming, ranching, and forestry operations. So if you find yourself where you may over, you may fall over the $900,000 payment limit, just remember that this, the CCC 942 is an option that's available and that you, you can give the County Office a call, tell them, tell them your situation, and they'll be able to help you walk through this process. And then I just want to define just a quick definition of farm income as our handbook would, would define that and that is that one thing that we want to remember is that the ICDIC dividend income that we may, that you see often with different individuals, that that is considered farm income for the CFAP program when the, the dividend is derived from farming and ranching. So my last slide here, what I'd like to, to visit with you folks about is that conservation compliance does apply to this program. You know, we, there's, there's a lot of the, a lot of our rules that we have don't apply, but in, in this case, conservation compliance does apply. And so I just wanted to visit really quick about what conservation compliance is. And conservation compliance, it's a combination of rules to encourage good farming practices while maintaining the integrity of natural resources, mainly highly erodible lands and wetlands and everyone, most everyone out there probably has, has filled out an AD 1026 in the past and that, that's just our form in the FSA that we use to verify that a person where they certify on the, on that form where they are, they meet certain requirements. And those are all laid out on that form in the county office will help you fill it out. Also on the CFAP application, there's a certification in part A that would say that you meet those requirements as well. Now that completes my portion of this, this presentation and I'm going to pass it along to Brian Haugen, who's going to discuss non-specialty crops and wool. Thank you, Ron. As Ron mentioned, my name is Brian Haugen. Brian, you accidentally muted yourself. Okay, our portion that we cover is going to be non-specialty crops along with wool. So that'll be the items that we will be covering in the next slide. So the- Brian, I'm not hearing you. Oh, I am now. Anybody else have any issues? Okay, I'll continue. Can sound check and people hear me now, Brian? Sounds good for me here. All right, all right, let's, sorry, technical difficulties, let's move on. Okay, the next slide will identify as far as what are our eligible commodities and what is eligible under the CFAP program is for Crop Year 2019. It's a production program. So in addition to 10 commodities, including two classes of wheat are eligible. Barley, it is specific to multi-barley, and I'll address that here forthcoming. The additional commodities on the next slide indicate what are eligible for the CFAP program, including the two classes of wheat that I referenced. In addition to specific to the commodity of wool, you'll see that we have different payment factors for both graded and non-graded wool. So both of those would be eligible for the CFAP program. Our slide that we have displayed next identifies of those 10 eligible commodities that we have for the CFAP program regarding their intended use and eligibility for payment. So as an example, corn that's harvested as grain is eligible under the CFAP program and also corn silage raised for feed is going to be eligible, and that's what's identified in our intended uses. Along with an example being the commodity of oats, and oats that's in addition to being raised for grain also for forage is eligible as well. Specific to the commodity of barley to be eligible under the CFAP program needs to be delivered and marketed as multi-barrel to qualify. On the next slide to illustrate how, since our application process pays in unit of measure for bushels, there'll be one entry for those commodities that may be harvested as grain along with harvested as hay or silage specific to the commodity of corn. For example, you will be reporting one quantity of rate production from 2019 for the commodity of corn, which would include your grain corn and your silage corn. So with that, we've included here conversion factors, how you will be able to take your tonnage and convert the tonnage of silage to that of bushels. Likewise, on the next slide, we'll identify if your eligible six commodities that we have listed there, rather than taking for grain, they were taken for hay. Again, we're looking for one bushel entry under the CFAP program, so how you would be able to convert your tonnage of hay to that of actual grain bushels. So let's get into the specifics as far as what you are to provide. FSA went applying for the CFAP program, and Laura had went through and identified the application, being the AD 3114. When it comes, and it's a two-page document, and I'm going to be discussing specific to Part D that deals with our non-specialty crops along with wool. In item number 13, the very first entry there, as mentioned, we have our 10 commodities that were shown in slides 32 and 33, along with the two classes of wheat, along with wool specific to both graded and non-graded wool. Item 14, the next entry is the unit of measure. All of the eligible CFAP commodities, the unit of measure, is going to be bushels. Therefore, as referenced, you have conversion factors for commodities harvested as silage or hay to convert those two bushels. With the exception of canola sunflowers and wool, those would be your unit of measure would be pounds. Item 15 in Part D is your of the eligible CFAP commodities is going to be your certification of your total production. Again, it's a production program, so what was your total production in 2019 for that CFAP commodity? More specifically on total production, I do want to mention, as Laura said, it's one application, so that is your total production. If you have a farming interest in more than one county, it would be your share of that CFAP commodity. Your total production would be entered in item number 15. Item number 16 is an entry as far as looking at what did you have in inventory that was not sold as of January 15. The next slide further expounds on this entry for item 16, when we reference to not sold. It's quantities that you have ownership of that were subject to price risk as of January 15, so it was not subject to any agreed upon contract such as a forward contract or agreement or a binding contract that would then make the quantity ineligible. So what are some of the contracts as it would relate to eligibility and their being price risk? USDA has identified and we have six or five contracts here listed on the slide that are identified that if they were in existence as of January 15, you would have price risk and that quantity would be eligible. That was under contract the 15th of January prior for the CFAP program. Furthermore, the USDA has identified specific contracts that if they were in place on or before January 15, they would not be eligible for the CFAP program because the commodity was not at price risk. So how would that be identified in item 16 and likewise in item 15 for that matter is let's say in Croppier 2019, a producer raised 6,500 bushels of a commodity and that was still an inventory on January 15. However, 5,000 of those bushels had been contracted under a forward price contract. Based on the contracts that we just went through, that would result in what remaining quantity of the other 6,500 bushels is at price risk and the answer to that would be 1,500 bushels. 5,000 had been contracted, 1,500 were not covered by contract, they're subject to price risk and that would be our entry then that we would have you reporting in item 16. As far as the payments and again from the onset to this presentation, it was identified that there are two funding sources for the CFAP program. So the next slide that we identify as far as a list of some of the commodities that we've already touched on and their eligibility, what the funding level is under the CARES Act in addition to the funding level under CCC and we'll show you how eligible payments are computed using those two different funding sources based on your eligible quantity. And the slide that we have displayed here now just references the remaining quantities that we talked about and also further breaking down our two classes of wheat that are eligible in addition to separate payment rates for wool that is graded along with non-graded wool. So as far as those different payment rates under the CARES Act or CCC, how is part one going to be paid and the the payment rate under part one is going to be what's in block 16, your quantity that will subject to price risk as of January 15th not to exceed your total 2019 total production that would have been in block 50. So of that eligible quantity 50% of your eligible CFAP quantity will be paid using the payment rate under the CARES Act and then the next slide will identify the same calculation under the CCC Charter Act in regards to your other remaining 50% that is eligible will be paid using the CCC payment rate for that eligible quantity. And then what you will receive even though the mechanics of your eligible quantity being calculated by two different factors, half of the production under CARES, half under the CCC Charter, there will be one payment that would be issued. So let's put an example and play here in regards to you know what we've went through in regards to your certification on the application form using the commodity of soybeans and as mentioned in our earlier example we referenced to producers total 2019 production being the 6500 bushels again to to be clear that in box 15 that is the total production raised in all counties of that commodity likewise commodities that corn where we have grain corn silage corn it's one entry all converted to bushels. In this example a producer that has 6500 bushels total production in 2019 and in our example previously even though the producer still had that into January 5,000 bushels were under forward contract that were not subject to price loss so the quantity that was subject is the 1500 that would be the quantity then entered in block 16. So using the formula that we just looked at previously and using the rates how was payment computed in that instance the quantity subject to price loss block 16 was our 1500 bushels the the producer in this example had a total inventory in 2019 or total production in 2019 of 6500 bushels that's what was entered in item 15 however it's not to exceed 50 percent of your total production so that's why we have 3,250 bushels so the payment would be not to exceed 50 percent in this instance it would be the 1500 bushels is your eligible payment amount and as referenced due to the two parts in funding that 1500 bushels is split there would be you know 750 bushels paid under the CARES Act and the other 750 bushels paid under the CCC funds so a total payment in that example for the 1500 bushels would be these $712. The last slide in which I wanted to identify with you in regards to the completion of the application as mentioned the CFAT program is a certification certification to your total 2019 production of those eligible commodities along with your certification of what quantity was subject to price risk as of January 15 we're not going to be asking at the time of application for contracts that you have or asking for production records to be submitted at the time of application that may you know obviously come later under a spot check compliance oversight later on but right now at the time of application it's your certification to the form and our local county committees are going to be reviewing the apps and if they have some questions as far as eligibility they may be asking for some additional documentation whether to verify ownership of a quantity or an ownership interest in the commodity itself before they would approve the application for payment so that concludes the presentation on non-specialty crops and wool I would now like to turn it over to Jay Holter who will be discussing there thank you Brian as Brian mentioned my name is Jay Holter I work in the livestock and conservation division here in the state office in Fargo and today I'd like to thank all of you for taking the time to join us as I mentioned I will start providing with providing an overview of the dairy and livestock portion of this program and hopefully this overview will provide you with some information to help in assembling your records and identifying what you need to do to complete an application so starting with the dairy program we'll discuss what an eligible dairy operation is and and it's quite simply a dairy operation is any operation that produced milk for the following months to be eligible under CFAP it would have been producing milk in January February or March of 2020 and it would also include any dairy operations that might have dissolved during those months any milk produced from a dissolved dairy during January February or March would also be considered eligible for the program so what is no eligible milk production looking at this next slide that's it pretty much follows along with an eligible dairy we're going to eligible milk would be milk produced for the months of January February March of 2020 it would also include again any dump milk that had to be dumped during January through March and along with that any dairy that has production covered under any of the various market protection programs such as our DMC program or the dairy revenue protection program does not exclude you from eligibility for CFAP moving on to the next slide producers are going to use the following information to help them certify to their milk production for January through March of 2020 one of the easiest things to do probably in most cases would be to use your milk marketing statements for the months of January through March as far as for records of dump milk that may be a little more difficult if you've got some idea of of bulk tank measurements prior to dumping or some other type of record that can show the amount of milk that was dumped during the three three months again you can use that to help record your production and again as mentioned by the other presenters all of the production is one entry for each month so if you have actual production that was sold during January February March as well as dump milk you would combine the two for that month and make one entry on your application again as mentioned prior we are not going to take or accept the documents that used to do the certification you should keep those again like was mentioned for up to three years in case your application would be subject to spot check we need to spend a minute or two talking about various types of organizations in a dairy again as mentioned by prior presenters our applications are based on ID number so if you have a husband and wife joint venture without a employer tax identification number then each member of that joint venture would apply separately for CFAP and as far as the application itself you would need to break down your percentage of milk production enlisted on your application so if you share 50-50 in the dairy operation you would record 50% of the total production on your application and the other partner would record 50% of the production on their application okay taking a look at the application itself for dairy it's a pretty straightforward very few entries required I'd like to mention on all of these applications you see the sections for the applicable commodity or livestock you'll see a header shaded in black and a header shaded in gray the header shaded in black is information that applicants will enter the header area shaded in gray that's identified for county committee use only would be used by the county committee if for some reason they determined there needed to be an adjustment adjustment to the claimed production listed on your application again as we've other presenters have mentioned the milk portion or dairy portion of the CFAP program is again broken down into two parts for funding we have part one which will take your total production in pounds and again remember when you're entering your information on the application to enter it in pounds not in hundred weight so we'll take your production in total pounds and multiply it by the the factor of 4.7 cents per pound under the CARES Act and then for the CCC part two we would take your production in pounds and multiply it times an adjustment factor of 1.014 and then times the price of 1.47 cents per pound okay so from there that's a quick overview of the dairy portion of the program now we'll move on into the livestock portion a CFAP and initially I want to mention there are two significant parts to the livestock program there are two components to look at there's the eligible livestock producer what makes up an eligible livestock producer and then what what livestock have been determined by USDA to be eligible for this program moving on to the next slide this is an overview and I'm not going to read it to you but it provides the definition of an eligible producer as well as information on contract growers that would be considered eligible if we move on to the next slide there's kind of a summary that I will highlight livestock owners and contract growers basically who are at risk and have a share of the livestock available for marketing or would have had a share had the livestock been marketed are eligible like considered eligible livestock producers now let's take a look at the livestock eligibility uh on the next page we've received several questions over a period of time about this part of the program so I'll take a little bit of time to try and discuss this when the livestock portion was set up the department looked at livestock what types and categories of livestock realized at least a five percent or a greater national market price decline between the average price for the week of January 13th to the 17th relative to the average price for the week of April 6th to April 10th so in other words uh we're going to take the department took a look at the average price for the five days in January compared that to the average price for the five days listed in April and if that price decreased by five percent or greater from January to April then that category of livestock has been determined eligible for CFAP and as was discussed in the opening of the program there was a new term out there that was said that the commodity or livestock must have been subject to price risk and for livestock they needed to be subject to price risk as of January 15th and again we're providing assistance to producers who had commodities livestock that were subject to price risk and that price was impacted by the COVID-19 outbreak we've had a lot of questions regarding different types of contracts and agreements that were in place prior to January 15th and whether the livestock would be eligible based on that agreement and in simplest of terms what would that agreement stipulate in terms of your price did the agreement or the contract guarantee you a certain price that was not or would not be impacted by price decline if that's the case then their livestock were not subject to price risk okay the next slide identifies the eligible categories of livestock that were identified to have had a price decrease of at least five percent over the period of time that we talked about definitions for each of these categories i'll cover that here in a couple of slides later again but these are the ones that the agency was able to support had at least a five percent decline in the price from January to April so what are the definitions of some of those categories again if we're looking at feeder cattle that are less than 600 pounds simply looking at cattle weighing less than 600 pounds and similarly for over for 600 pounds or more we're going to look at cattle that weighed at least 600 pounds during that period of time but we're less than the slaughter weight definition that we will discuss on the next slide okay for slaughter cattle fed cattle it really identifies cattle that had an average weight in excess of 1400 pounds with an average carcass weight in excess of 800 pounds that were intended for slaughter but if you look at the definition in the federal regulation it the 1400 pounds came from an average of 1200 to 1600 pounds of slaughter weight so in essence if there if fed cattle have fallen to the range between 12 and 1600 pounds they would be eligible to be included under this category so it's not 1400 pounds or more if your livestock fall into the range of at least 1200 pounds up to 1600 pounds at a slaughter weight they should be included under this category additional categories we've got slaughter cattle that are mature cattle meaning these are the ones that were called that had been maintained for breeding purposes purposes but were removed from inventory and intended for slaughter and this would include such things as your gummers your open cows cow sold that were culled after losing their calf etc that would be the slaughter cattle for mature cattle that all other category all other cattle category means commercially raised or maintained bovine animals not meeting any of the other categories and this rule but this rule excludes beef low bison and animals used for dairy production or intended for dairy production so this category the all other cow category would include your breeding stock the stock that aren't intended for slaughter would include your bulls cows bread heifers etc okay moving on to the next slide we have the definition for pigs hogs and sheep so basically under swine we have two categories pigs would mean any swine that were weighing less than 1200 pounds or 120 pounds and hogs would mean any swine 120 pounds or more and for sheep we have one category and that would be lambs and yearlings meaning all sheep less than two years of age so under the lambs and the sheep there is no weight requirement it simply has an age requirement of less than two years of age further diving into the eligible livestock category again livestock need to be owned by the applicant on january 15th and then sold between january 15th and april 15th of 2020 to be considered for part one of the CFAP program and part one again we identified as being the period of time from january 15th through april 15th and that part one specifically deals with livestock that were sold during that period of time along with that you can have offspring that were born from that inventory that were born after january 15th and then subsequently sold prior to april 15th so if you have a livestock herd of and run a cow calf operation and you had cows that calved on february 1st and for whatever reason those baby calves got sold on april 1st they could be included under part one of the application even though they were not in inventory as of january 15th the second part of the CFAP application deals with livestock that were in inventory and owned between april 16th and may 14th and again that would be for livestock that were at price risk during that period of time another eligible class we talked about dairy cattle that are intended for dairy production are not eligible but any of those dairy cattle that are no longer used for producing milk and have entered the beef cattle market as slaughter animals would be included under the livestock portion of the CFAP program and again just as a note we've talked about this several times but all sales and inventory of livestock must be subject to price risk as of january 15th of 2020 okay moving on to the next slide ineligible livestock would include the following we have livestock again as we mentioned that are used for dairy production or intended for dairy production so if you're in the the business of raising dairy heifers to sell to a dairy to go into the herd for production or producing milk those again would not be eligible for the CFAP program livestock purchased after january 15th and then sold on or before the 15th of 2020 would not be eligible so in other words for part one they had to be in inventory as of january 15th and be at price risk unless they were the offspring of that inventory livestock and we've talked about this or i've talked about this in several occasions if there was an agreed upon price and such type of contract that basically guaranteed a set price that eliminated market risk from those livestock if that was in place prior to january 15th the the livestock covered by that agreement would not be considered eligible for the program as far as the dairy cattle that are no longer used in the dairy and are sold into the beef cattle market there are two categories we would have the dairy called cows that would go in under the slaughter cattle mature cattle category and any dairy calves such as your bull calves etc that are then sold to a feedlot or a feeder would go into the feeder calves greater or less than 600 pounds depending upon the category okay moving on to the next slide what kind of information is required from the from you as a producer to participate in the CFAP program again it's going to be a self-certification program that is done by the livestock producer or their authorized representative okay following the sales and inventory information is the following information is what's required for sales and inventory from the livestock producer as applicable and under part one and i guess my slide isn't showing you there we go under part one of the CFAP livestock application we're asking you for the owned inventory of eligible livestock as of january 15th and any offspring from that inventory that were subject to price risk again and then subsequently sold on the market between january 15th and april 15th so again part one of your application strictly deals with livestock eligible livestock that were sold during that period of time part two of the application is your highest owned inventory that is subject to price risk between the dates of april 16th and may 14th now for part two those livestock do not have to have been owned as of january 15th in other words this could cover livestock that you purchased on april 17th or may 1st and as long as they were still subject to price risk could be considered eligible and i've identified on this slide that under part one the entry for each of those would go on item 21 on your application and for part two they would go into item number 22 and we will take a look at that application here shortly go on to the next slide this is the livestock information portion that we will be asking the producers to complete and under the livestock section you're going to enter one of those categories that i covered previously in the presentation and as will be demonstrated later on using the front-facing excel spreadsheet tool to help you when you click on the box the drop-down will appear a drop-down box will appear with the various eligible categories and you can pick that category to enter an item 19 again for livestock the unit of measure will be per head and then in item 21 you're seeing where we've got the again information for those that were sold during the period january to april and in item 22 we're looking at the highest number of inventory that were still at price risk between april 16th and may 14th again the columns beyond that to the right are saved for county committee adjustments as other presenters have mentioned we have two separate sources of funding for this program and that's the reason that the program is divided into what i've referenced as part one which covers the cares act funding and part two comes into play with the ccc funding again we're going to in a minute we will take a look at the various classes and the payment rates for each of these two parts and here's the slide that discusses that you'll notice again that we have different payment rates for each of the different categories however you will notice over on the ccc part two payment rate for cattle the payment rate is the same for all categories for hogs and pigs the payment rate is the same for all categories so producers have asked well why do i need to identify which category my livestock how many i had in each category if the payment rate is all the same and again that comes back to the integrity of the program and if you are selected as one of the operations to be spot checked you want to be able to verify the number of head that you had in each of the applicable categories and again if we spot check you we're not going to get down to was this calf at 601 or 599 but we would look more towards the if you claimed you had x number of head between those two categories is there evidence to support your application that you have that many livestock under those two categories or the total of the two categories equals what you claimed now i'm going to run through an example real quickly of an entity that is applying for the program and their inventory as of january 15th of 2020 was 490 bred cows 15 herd bulls and 50 replacements all of these were subject to market risk in this example that's the assumption that's being made that all were subject to price risk okay for the sales for part one of the program between january 15th and april 15th the entity certified that they sold 10 cull cows and seven baby calves that were born after january 15th for the second part on the inventory portion they certified to their highest inventory on a given day they were subject to price risk between april 16th and may 14th and they certified that there were 480 cow calf pairs 18 herd bulls and 75 replacements so going over to the application section again we've entered under the sales portion in column 21 we've entered the seven baby calves that were sold they are under the feeder cattle less than 600 pound category they entered the 10 cull cows that were sold under the slaughter cattle mature cattle category for the inventory entries in item 22 again we mentioned that they had 480 baby calves so they are entered again under the feeder cattle less than 600 pounds and under the all other category for cattle there's 573 and that and if you click on the slide here I think it'll pop in and explain what was entered into that okay so it shows we had the 480 cows the 18 bulls and the 75 heifers and again remember that we're making one entry so you have to combine all of those that would fit into that all other category and in this example the producer started with 15 bulls in january but by the time we got to april had added an additional three bulls to his herd as well as picked up another 25 replacement heifers so that's where we come up with the difference between the beginning inventory and the inventory that he certified to on that day another reminder when you're doing this inventory certification it's the highest number of all classes on a given day you cannot certify to a particular class on one day and another class on a different day it has to be on one given day what was your highest inventory across all classes of livestock now this completes the livestock section of the webinar but I just wanted to mention a couple of things before I turn it back to Laura on our farmers.gov website it has some interfacing information and will provide the location of the tool that will be demonstrated later to help you complete your application also found on the CFAP portion of that farmers.gov website there is a notice of funding availability posted there and what that's allowing producers to do is provide comment to USDA through June 22nd regarding the CFAP program and why you believe there should be additional commodities or livestock added to the program or if you believe there are circumstances that weren't considered considered for livestock and commodities that are already included and I'll give you an example I had a producer call me and express his concern about the fact that he held his feeder calves until the end of April trying to hope the market would come back that producer wound up selling his feeder calves for the same price that he could have gotten in February and if he had sold them in February his price would have been much different than the inventory price from April to May and he had all of the documents he had done his research on the markets the futures etc so he was going to go put all of that information into the NOFA requirements for consideration for changing or adding some funding to the inventory class of the livestock portion there's also another document there on that page that is a very interesting document that analyzes the price and costs and how the department determined which commodities and livestock had suffered the five percent decline in price as we talked about so it's a good reference document that you may want to take a look at if you feel like things aren't reflecting what the market actually transpired over the period of time covered by this program so with that I thank you and I will turn it back over to Laura to discuss some specialty crop issues thanks Jay um so I'll be covering value loss crops and specialty crops um at this time there are no value loss crops that are eligible and as Jay just mentioned that notice of funding availability document that producers can provide comments to in regards to additional crops that should be eligible they are waiting for the conclusion of that comment period to determine which value loss crops will be eligible in regards to specialty crops this is a listing of specialty crops that are eligible at this time um you'll notice that when you look through the different crops all of the crops listed there are for fresh or processed we've had a lot of questions on whether dry edible beans or post crops are eligible at this time they are not but as Jay stated if you feel like they should be you can go ahead and make a comment and give your reasoning as to why they should be included um add to comment on that notice of funding available and we'll give you the website of where with specialty crops there's three different categories there's volume of production sold between January 15th and April 15th volume of production shipped but not sold and unpaid and acres with production not shipped or sold and this is all completed in part g of the application so for the sold portion in item 32 this is going to be the value volume or pounds of production subject to price risks sold between January 15th and April 15th of the eligible specialty crops item 33 is where you'll enter any delivered and unpaid um production so it'd be the volume of production subject to price risk shipped but not sold or unpaid between January 15th and April 15th of 2020 and then the last um category is you'll enter into item 34 is the number of acres with production subject to price risk that was not shipped or sold between January 15th and April 15th we'll calculate payments for specialty crops by taking that volume in each particular category times the payment rate for each of the three different categories in regards to not delivered when we take the acres times the payment rate that payment rate was based on the national average yield per acre times the per pound payment rate with that that was a brief um overview of what was included um in the program for specialty crops um as I said this is just a slide saying that we encourage you to uh sign up for gov delivery which is how we provide information through emails and text messages to our producers so please if you haven't already done so um sign up for that and this is a a slide indicating where all of our service centers are located throughout North Dakota um our county offices are not open to the public at this time but they are taking um appointments and questions um through either email or um by phone so you may not be able to go in for an appointment by phone or by in person but you can contact your local county office and they can answer any of the questions that you may have over the phone and they can help you complete an application and mail that out to you that you could complete complete that you could sign and send back to the county office for payment the next few slides um give you for each county office in North Dakota gives you a group email address that you can use to contact your local county office um this will send an email to every county or every employee in the county office and then there's also the phone number there to contact your local office this is um additional communication resources uh the website that uh j referred to was www.farmers.gov.cfap this is where you're going to find information on the calculator that Ron Hogan will go through and then also how you can provide a comment to that notice of funding availability if you feel that another um program should be can or another commodity should be um considered for the program and also if you want any information on um the coronavirus and how it's affecting our service centers there's a link there that you can can access that information this slide just gives all of our contact information for those of us who have presented um throughout this uh coronavirus um webinar and now I think we're gonna we'll leave questions I think until after Ron is presented is that correct Brian uh yes yes okay can you hear me this is Ron yeah I can hear you Ron okay so Brian will be advancing I still don't have any electricity but my batteries are holding up on my computer and my phone here so Brian will will be it will be uh moving around on the spreadsheet uh as I talk and hopefully we can get through this okay uh a few items I wanted to mention uh FSA a very good job with the slides that you went through very informative and I really like this calculator uh it's something that I hadn't seen before from from FSA very good um a few comments about the calculator you as was mentioned you go on to the website at a farmers.gov slash cfap and download the calculator for those that aren't real computers computer savvy um this is uh it's it's a spreadsheet an excel spreadsheet and it's in an older version of excel because not everybody has the newest version and then it's also has macros in it uh so you can click on boxes to move around fairly simply there really is only two sheets you really are should be concerned about is the data entry the first sheet and then you can go to the the uh the uh estimated payment sheet uh to see actually how things are calculated when you do download this um it'll ask you to enable for editing which you need to do and it'll also ask you to enable macros some of you may have some various forms of security on your computer um and you may have to even change your security to allow you to enable macros uh but that gets a little more technical hopefully it will work but you need to do those things to make it work so we're looking here at the first page um and Brian you could just move the cursor around as I talk and kind of figure out where I'm going to be here but on the top where you enter your the state uh and North Dakota of course and your county the control county you simply just enter your name and address and uh and your and your and your zip code there and as we scroll down I'll just I what I don't know before we scroll down I want you to look at that red number there that says 79,811 this is uh I just came up with this sample so I put all the very uh various um commodities in one file just for illustration purposes one farm would not have pods and sheep and pigs and and every every type of commodity so this number doesn't really mean anything other than that's just what it's it totals up to be when you enter your own farm in in there that's that's that's the bottom line there that's the 80 percent that you would would receive so as we scroll down Brian um we're going to look at dairy first because that's the first one on the list you scroll down a little bit and get to the dairy entry and uh you can see there that um it's asking for pounds of production and as the presenters went over over that um I just had a simple example this let's say we had 100 cow herd and and we had 20 uh 20 hundred weight per of milk produced per cow per month and it's asking for the first quarter so you enter it let's just say it's equal for January, February, and March 200,000 pounds of milk and as we mentioned before we have the various payments so from that the CARES payment would be 22,608 and the CCC payment would be 7 7154 now if you and you say well how is that calculated so if you scroll up and and click on that button on the orange button that says go to estimated payment and then you can actually go down and look at the dairy and see how it's actually calculated um you can see there the the the various months January, February, and March and um and then so the total is 600,000 pounds of milk times that factor of 4.71 cents that's where you get the 22,000 and then for the for the other the other payment you use that 600,000 and you multiply it by that adjustment factor 1.0 1.014 and then you and then on that amount you get 1.47 cents that's where you get that 7,000 those two added together are what you what you get now click back where it says go to data entry that blue box and that will go back here and then I'm going to get down here to the non-specialty crops part two and I just had a sample example farm here let's just say a typical North Dakota farm let's just say 2,500 acres 500 acres of corn a thousand acres of soybeans a thousand acres of spring wheat and you can see there uh you that you would enter in your uh your 2019 total production and and it's it's just a matter of entering that those numbers in and um and also you need to enter your inventory uh as of January 15th 2020 okay and the rule is you take the smaller of 50 of your production or your inventory on that date so based on those numbers for corn for example you're going to get a payment of 10,720 and you may wonder well let's see how that's calculated scroll back up click to that click to the box that says estimated payments and then scroll down again and look at corn and you can see there that um corn uh 80 80,000 bushels um production not yet sold not yet priced 50,000 bushels you enter the smaller so that's the smaller of uh of column e uh I write 50 percent of column smaller column e or column f 50 percent of e is uh is 40,000 and that is smaller than that column f of 50,000 uh now uh the way these factors work the carers payment uh payment is 50 percent of that 40,000 so 20,000 times that carers rate of 32 cents 51 20 and then for the uh the ccc payment 50 percent of that 40,000 is 20,000 and then times that uh times that 35 cents you get 5600 those two added together that's the simple simple way uh a very transparent on how that's calculated so let's go back up to the data entry again and look at those crops now I want to talk about soybeans a little bit here um the uh I just put an example in here that you you produced uh 40 40,000 pounds of soybeans and um 10,000 uh 10,000 40,000 bushels of soybeans 10,000 uh bushels were were uh were were um uh not sold at this time not priced and the payment for the soybeans with total 3800 let's go down and click to the estimated payment again and you can see how that's calculated it takes that uh that um that uh 10,000 uh because that's the lower of the inventory or half of the production 10,000 50 percent of that is 5,000 times 45 cents 1800 and then uh and 20 and uh for the ccc payment 50 percent of that 5,000 bushels times 50 cents um 2000 uh mathematically uh you've seen some charts that some uh some uh analysts have put out basically you're you're taking these two payments and taking a simple average of those the way that the average is what your payment would be because it's it's 50 percent um and then I'm gonna I'll just stay here just for just because of time and uh I'll let's look at the wheat and let's just pretend then that this person harvested 60,000 bushels of wheat and they sold at all before um uh January 15th okay so your inventory or your inventory on that day uh was zero okay so you enter the smaller of the inventory or 50 percent of your production you get zero and you follow it all through you are going to get zero payment for wheat and you may say well hey that's not fair why do I get nothing for wheat well you've already sold your production before that magical date of of of uh January 15th and the market was quite a bit higher at that point and it started dipping after that so really you are much better off if you did sell your crop for in most instances um if you did sell your crop before that date you and you got your money from the market rather than from the government because if you didn't sell your crop and are holding it and the price was going down now you the the the government is trying to help you out but it's only at this point 50 percent of your production what you're getting paid on so so there was a lot of a lot of people complaining about that if we don't have any inventory we aren't going to get any money well the reason you have any don't have any inventory is you probably sold it at a better price than people that people that held it okay so that pretty much covers it for the crops and let's go back to the data entries sheet again and then for the livestock on part three this is where you can actually pick your various livestock you you put your cursor in there and there's a drop down menu um and uh and and and I have a I just picked uh I just pretended to have a a 200 cow herd here and then that you sell feeder cattle and I picked those I picked this various uh livestock uh here so let's just assume that we sold 130 head the feeder cattle that weighed over 600 pounds and and as I mentioned before on the slides on the FSA slides you take your highest inventory between on a particular day uh I'll pick that day and that's your inventory for your various classes there okay for the cattle okay so on that date then whatever that highest inventory date was let's say you had still had 20 had to sell and you can see you would get a payment there the CARES payment plus the CCC payment would be 14,984 and remember that isn't adjusted to that 80 percent yeah and I think I'll just stay right here uh just in the instance for the instance of time let's just assume that you sold some more feeder feeder cattle that didn't weigh as much and uh let's say they weighed less than 600 pounds let's say you sold 40 of those uh during that sales period between January 15th and April 15th let's say you sold 40 of them and your highest inventory was 10 you get a payment of 35,28 for that and let's say you are calling some older older cows some mature cattle and let's say you you sold 30 head from your herd and you're going to be try replace those and at that time you still have 170 head in your inventory okay so let's go and click on the go back to the estimated payment one and then you can see how everything is all laid out for the livestock notice there that the um the feeder cattle 130 head uh the chart that was presented um you don't have to know that number the this calculator automatically picks that out and uh and it's 139 dollars ahead times 30 130 head uh times 80 percent is 14456 and then your inventory number of 20 times 33 dollars ahead you get 528 for those lighter lighter feeder cattle 40 head uh at 102 times 80 percent and your inventory of 10 times 33 times 80 percent for the slaughter cattle then 30 head and the rate for the slaughter cattle sold during 8 uh January 15th April 1592 and then your inventory 33 dollars ahead there okay that takes care of a lot of the of the beef cattle then let's go back to the data entry now remember now the only place you can enter things are on this first sheet and there's a drop down arrow uh that you can pick whatever uh whatever type of livestock that you're looking at now for purposes of this program pigs are considered less than 120 pounds so for example I just picked 100 head of of of of pigs less than 120 pounds uh that were sold and and I just picked 50 as the inventory on the highest point and with that the payment shows 2,920 dollars hogs are considered 120 pounds or more so let's I just assume we're going to sell 100 of those for for illustration purposes and that we have 50 in the inventory uh at the highest inventory point between that date of April 16th to May 14th and then you can see your payment there it's um it's uh all total together and then of course that's the 80 percent um I will get it I'll might as well talk about the lambs and yearlings here too um if you have sheep that's old that's older than two years of age there is no payment on that not that it couldn't be changed later as Laura talked about but at this point they're only paying for for lambs and yearlings less than two years of age um so you enter in let's say you had 100 head and you had 50 in inventory um and uh and then based on the rate you get 29,20 on that let's go back to the calculation page or the estimated payment click on that orange bar orange block and you can go down here I'll talk about the pigs here um the the 100 head the rate was 28 and then for the inventory the rate was 17 and then 80 percent of those numbers it's just a straightforward calculation okay and um for the for the hogs a hundred uh over 120 pounds the rate is 18 so 100 times 18 times 80 percent is 1440 for the highest inventory 50 times 17 times 80 percent 680 uh those those numbers added together are your payment for your pigs and hogs and and now for the lambs uh 33 dollars ahead for the sales that gets to be at times 80 percent 26 40 and if you had some inventory then it would be seven dollars ahead for 280 dollars so it's a very straightforward simple worksheet to to put in your numbers um I think it's they've done a very good job of putting this together so let's go back back to the data entry and um I'm going to cover the last thing I'm going to cover here this uh my technical difficulties kind of threw me for a loop here but I'll see if I can get through it here I uh for part five on the specialty crops uh North Dakota doesn't have a lot of specialty crops like vegetables but I know there is some people that grow carrots and I just pick carrots just to show you an example and then you always got to be concerned about when you pick your when you pick your vegetable your specialty crop there there's a drop down arrow and it'll and you can pick from a whole variety of specialty crops and make sure you make sure you uh whatever pounds of a unit of measure is used make sure you're entering your information accordingly so there's actually three payments that can be made for carrots some vegetables there's only two payments but you don't have to worry about that this spreadsheet sorts it all out for I didn't really know what the yield and carrots were for North Dakota but I just put in I'm just assuming that somebody is going to grow two acres of carrots and um and we have uh let's say 30,000 pounds produced a production that was sold between January 15th and April 15th okay and then also the volume of production that was shipped but not sold you shipped it out but it hasn't been priced yet I'll just say 10,000 pounds and then there's a third payment for vegetables call and then you enter that in acres not pounds so it may throw you for a loop there um so I just put in one acre I'll just say that one acre with the we had production that was shipped and it was not it was not shipped or it was not sold it might have been destroyed I don't know but I'll just put one acre in there and then if you follow it over you can see you you get um uh $480 for the first carers payment and it's $880 for the second carers payment and then the ccc payment would be one would be uh $1,001 and all that added together for the carrot enterprise is 2361 that's 80 percent of course okay let's go to up again and get to the get to the uh the um uh estimated payment page again okay and let's go down to the carrots and I'll and I'll show you how this is done the carrots are just in the unit of measure of course is pounds and we had 30,000 pounds and now for the quantity on the carrots there we can use 100 percent uh so then that's uh so we get 30,000 pounds that we can calculate on and the carers payment rate is two cents a pound now when this program was first rolled out there was a typo they had 20 cents a pound for carrots but it has been so correct corrected okay so it's two cents a pound and uh the carers uh the carers gross payment then would be $480 and then um the uh then the the second carers payment the 10,000 pounds of production that was shipped but not sold 10,000 pounds there the carers payment is 11 cents so 10,000 times 11 cents times 80 percent then is $880 scrolling down to the last table there for carrots um and this is the this is in terms of acres now even though that unit of measure says pounds but it's one acre 1.0000 acres okay and then that this quantity is just brought in into the program uh the the agriculture the AMS has has multiplied that has come up with that number for 62,570 pounds the CCC payment quantity okay agriculture marketing service has come up with that and then the rate is two cents so that that amount times for this one acre times two cents is $1,001 so those three payments added together are the payment for the carrots um let's go back to the data entry again please so that total there then is uh is for this for this illustrated example uh the number in the red there is away on the top is uh 79,811 dollars and 90 cents so I quickly went through that but it's very easy all you really have to do is empty if you have to know a few dates and you have to know your production and just enter it in and brian if you also click on that yellow bar or the actually the blue box called go to ad 3114 and this is what's very slick it it it automatically puts those numbers in your fsa form and you you either sign it and scan it and send it in or mail it in uh very slick so with that excuse me for the technical difficulties actually the electricity just came back on right right right when I got done here so uh uh enough I can I can stay online here and answer any questions you may have so thank you all right thanks Ron I think it went went over pretty well I tried to keep up um and uh make sure that we were on the same page and I think it went over all right so that pretty much concludes everyone's uh presentation for this uh in conjunction with fsa and ndsu and so at this time I believe Miranda may be available to help and we're going to start addressing some of the questions that were posted um um and the very first question we had was regarding uh yellow peas and the question was I'm wondering if there's a chance of amendments to include pulse crops and yellow peas and if I'm not mistaken that was addressed um pre by a previous presenter if they want to expound upon this but those that have not been included there is an opportunity for individuals to go in and type a reason why this crop should be uh included that was not included in the in the original version of this cares act so if anyone would like to expand upon that I can expand on that this is Laura Heinrich um you were correct um so pulse crops such as chick peas um and then yellow peas they and any dry edible bean are not eligible at this time um only fresh and processed beans are eligible so as Jay explained um in the cattle portion and I mentioned under the specialty crops if if producers or commodity groups feel like their commodity should be included in in the program they should go out to the um farmers.gov slash cfap and they can go down to where it talks about the notice of funding availability and they can make a comment there and justify why their particular commodity should be included. Yes and I believe that also chick peas and garbanzo beans in the specialty crop part g they're not in the excel worksheet. Correct and that that's they're not included in the program at this time. Right okay also several questions in the chat box as well um and so the first one that was there was directed to Laura as well and is what is the the ccc 36 assignment code for for the cfap program and should we use the program for now? You can enter 2020 is the program year for assignments and you're going to enter cfap is the program um fsa just got our yesterday we just got our funding um codes to load into the software to make sure that the payments go to that assignment um so county offices can start loading those as of today um so if any banks and producers want to assign their cfap payment um they can use that ccc 36 the program year is going to be 2020 and then the program is cfap. Before we move on to our next question I'm going to launch a poll and we can keep moving forward with the questions but we just have a couple questions for you guys regarding um what you thought of today's program in terms of usefulness. All right so I'm going to go back to our Q&A box um and the next question how are legal entities asked to prove the 500 hours per member of production or management hours? This is uh Ron Duvall answer that question um first first I just want to just make a little correction there is that the the legal entities the individuals have to bribe 400 hours of labor and management. So when it comes to when it comes to this 400 hours what's going to happen is each legal entity is going to certify to the names of the members that provide those 400 hours of active personal labor and active personal management or a combination of those. Now I this this question may be alluding to how is the county office going to look at those later like if we're reviewing or something and I just want everyone out there to know that that our local county committees are responsible for overseeing all our programs really in the office and so what's going to happen is they're given a discretion they're given discretion to be able to decide whether someone is whether they think they're providing that labor or not so what's going to happen is is if the county committee if there's a question by one of our county employees or county committee member then they may ask for some kind of proof from that entity for those individuals. Now that being said this is like I said it is a certification but the county committee could ask for that. So what would be a proof? Proof could be maybe they the that person would just call and talk to the county committee and conduct an interview and the county committee could make their decision based on that or they could ask for a statement or of what that producer does in the entity or maybe they could provide time cards or something like that. Now one thing to remember that this rule was was intended to capture bona fide labor being provided by members so that the entities aren't aren't hit with not earning more for what they what they produce and so then one question I just want to ask everyone to ask themselves when they're filling out that document just ask yourself do you provide the 400 hours? Okay thank you so next question posed if Malting Barley is contracted does it qualify under the unpriced rule? This is Brian Hogan I'll take that one again going back to the slides that we went through the Malting Barley is eligible and the quantity eligible as of January 15th 2020 needs to be at price risk so if the Malting Barley on that date or prior was under contract with an agreed upon price for a future date it would not be eligible or seek that eligibility for payment. Okay and I believe that answers our next question as well. All right so another question in a general partnership all individuals fill out an application and all individuals use total production numbers? A general is the entities so the partnership would be completing the application the entity itself reporting actual production and quantities at price risk as of January 15th or the entity the general partnership. And this is Ron just to add to that to the eligibility will be filled out the same way so the general partnership is going to fill out the eligibility paperwork and then all the payments the payment earned is going to go to the general partnership but and then it's going to be attributed out to the individuals that are within that partnership in the background based upon their share. Okay another question here this is basically if a small grain crop was hayed because of damage is it going to be converted and used in this program and its eligibility? Yeah this is Brian the answer to that is if it's one of our CFAP eligible commodities that is harvested as hay it would be eligible again we would be converting the quantity of hay that would be according to slide 36 converting that to bushels for payment and of course to follow up and we talked earlier about recording production any appraised production or assigned production under RMA it is excluded again this is a production program. Okay there are several different questions they're similar related to the eligibility of different crops produced from for forage for both sale and then if it was fed so from millet to oats barley alfalfa any of those type of forage crops what's eligible there? This is Brian again crops in a mixture would not be eligible alfalfa is not eligible as a non-specialty crop millet is eligible with an intended use of forage grain or seed I guess I will yield to you Ron can you help me on a compliance standpoint for acreage reporting how millet would be classified outside of millet itself? Sorry Brian what was that? For acreage reporting when we identified millet is there a separate variety for specific to forage millet? Of course under CPAP our eligibility is limited just to millet so that's how it's going to defer to you. Yeah let me look in my handbook here. We'll circle back on that one Miranda if we can. Real quick Brian I had a question about malting barley versus feed barley quality this has kind of come up if if you filled out your form basically under the assumption that it was malting barley quality and it turns out it got graded feed barley then do you have to pay back the money that you had received because of the higher grade and it turned out you only had a feed grade barley? Yeah again based on slide 34 this CPAP eligibility is limited to quantities that are delivered and graded as malting barley so I can see that question if the individual you know had already been paid and delivered and it turned out to be a barley eligibility is limited to malting so we will entertain revisions to applications up through August 28th. And I have a real quick oh sorry go ahead. Now this is Rana just was gonna just let you know that millet is reported there's different categories there's common dove prozo foxtail Japanese and pearl and then those will be all reported as forage grain grazing left stand or seed. And here's a question for Jay real quick and this has to go with intent is a replacement heifer that's below 600 pounds considered an all other cattle or a feeder calf basically so because you would tend to keep them for breeding is it a feeder calf or is it all other animals? Yes hi this is Jay and and breeding cattle that are intended to be kept in your herd for breeding would go under the all other category. Thank you and I guess we'll stick with Jay here we had another question lives how does one obtain the dollar amount used to determine the average between 113 and 117 and then the April dates is it a set county wide number for instance obtained at a local market? The payment rates set for the livestock portion of the CFAP program are a nationwide rate there's no county specific rates the markets and surveys that were done by USDA I don't have the information what futures what livestock auctions etc were used to collect that data but again it is a the the slides where we presented those rates those are the rates for the nation based on those market surveys that were done. Thank you and then we had a question do do oats and barley for hay qualify I believe we've answered that in a in a previous go ahead Miranda. Similar to that is corn that was harvested for for ear lids or silage what's the eligibility of that and what would the conversion factor be if it is eligible? Yeah this is Brian corn that is harvested as silage would be eligible for CFAP in addition to that conversion factor we have that on slide 35 if corn was harvested as ear lids again we would convert that to bushels for eligibility and we do have a forthcoming conversion factor to assist producers with that it's currently not publicized but we'll have that available in the very near future. Okay and then a question this is going to be on I guess compliance what type of records will be accepted for livestock producers for inventory verification in other words will all producers be required to provide verification or only those that are spot checked? I think that one would be for Ron for actually I think Jay can you answer that question on what documentation they can provide for verification of their numbers? Sure I'll give it a shot as far as for livestock we would look at purchase and sales documents that they may have again we would look at their contemporaneous records for calving records if you're a cow calf operation any of those types of records that would be able to support the numbers in inventory it may be again contracts that were entered into for a certain number that were sold that meet the requirements those are the documents we would be looking for. And in regards to those producers who need to provide that documentation it's just going to be those who are selected for spot check not everyone will have to be have to provide the documentation documentation those just those that are selected. Okay we had a question real quick on the conversion factor for corn silage tonnage to bushels we have that in the presentation so you can go back and watch the recording and Brian had laid that out there and he can tell you the slide but yeah it's slide 35 there Brian thank you thank you. And the slides will be posted on the on the website as well so you don't have to watch the whole presentation to get to get to that point again. Another question from the chat box is if you farm in two states do you need to submit two separate applications or would you just do one? I'll take that one Amanda this Miranda this is Laura um you're only going to file one application and it'll include all of your acreage in all counties in the United States will be included on one application. Another question I don't know if we're able to answer this but basically the payments are they going to be considered income and therefore taxed is this taxable income anyone want to field that? Brian do you want to or do you want me? I can weigh in on that I mean we haven't been provided any guidance to the contrary that all indications are now that these payments that are earned are program payments that would be populated that year calendar year and on the 1099 form. A quick question then on this if your wheat got zeroed out because we had a lot of wheat with bad falling numbers last year is it eligible for a payment despite receiving the full crop insurance payment for your for your wheat that was essentially destroyed? Well I mean again the CFAP program is a production program so as mentioned if there was assigned production or appraised production on crop insurance those quantities would not be reported on the application form however let's look at the an example where an individual produced 10,000 bushels of wheat but for crop insurance due to quality falling numbers that quantity was adjusted to 8,000 bushels. The producer still has 10,000 bushels in the bin to be marketed and again this is a production program so those 10,000 bushels are going to be subject to price risk when sold so that would be the quantity that would be reported so that would be an example where our numbers may differ from that of crop insurance. Thank you. So I have a question regarding unharvested acres from 2019 and if they would be eligible? Yeah this is Brian again and as far as the 2019 acreage needs to be harvested at the time of application to be entered onto the application form however we fully realize that there's lots of acreage of corn yet that are unharvested so the producer can apply on all crops that harvest is done at this time and wait till they're done harvesting their corn or on the flip side of that they could come in and apply today on bushels that are actual production bushels from 2019 of harvested and if sometime you know later this summer before the application deadline of August 28th the producer is able to get to those corn acres and get them harvested we'll certainly entertain that application being revised so the producer can include then that actual production from 2019. All right thanks Brian a quick question here what is the timeframe for the 400 the 400 hour requirement in other words I believe that how long of a duration do you have to tally up the 400 hours? We're going to consider like the crop year or the year as that 400 hour time frame. Thank you Ron. I have a question is are our futures and options in a trading hedge account treated the same as elevator contracts? Mr. Brian I guess without seeing the specifics of those contracts we have to in turn answer that you know with a question and the question being did the producer as of January 15th have price risk if those contracts that were referenced had a agreed upon price in the future and they were executed on or before January 15th the quantity would be ineligible. I understood one question that had come up that we this would go to you again Brian but if somebody uses options a lot of times that mitigates the price risk but it's not a one for one as it is with like a futures contract so in other words you know you're partially risk covered with an option but not fully risk covered with an option in terms of price risk so that was a question that I had also had and others had asked about with respect to an option that because it doesn't seem as though there's a partial a way to I mean you can adjust bushels or something possibly but to account for that fact. Now option contracts are referenced in our slide 45 where we differentiated between the five contracts on the previous slide that USDA had determined do provide a price risk and if a producer had one of those on it before January 15th would be eligible. On slide 45 USDA identified contracts such as the cash contracts, hedge to arrive, listed there as Walbright is an options contract that if that was in place as a January 15th of that quantity under the contract would be ineligible. Thank you. I have no more questions in the never mind had a new one. Are appraised acres that never got harvested but had an appraisal completed eligible? The answer to that is no. Again this is a production program we're looking for totals of 19 harvested production and and the quantities as of January 15th that were subject to price risk so again just like our 2019 corn that is still unharvested that's in the field that would is not eligible to be included on the app and and tell harvested so as mentioned we will take apps today for CFAP commodities and if weather cooperates and producers able to get out there and get that crop harvested will allow the application to be revised through August 28th. I have one final question is for Jay. Can you give an example of a class of livestock that would not be out that are not at price risk? The class of livestock excuse me back the class of livestock does not dictate whether or not they're at price risk it's it's the potential for a contract or a sale that occurred for any class of livestock that would determine whether or not they're at price risk. Thank you Jay. Okay so with that we are coming up on two hours so we're going to conclude the the meeting here shortly the webinar I want to thank first of all everyone who logged in and attended this live you asked some great questions in DSU we would like to thank FSA for helping put this on this was very informative and necessary and our presenters did a great job and I hopefully cleared a lot of the air on what what this program is what it isn't and sort of the mechanics on how it works. The contact information if folks have any specific questions that are highly detailed has been shown in the in the presentation in the previous slides was was laid out there and also this will be again posted online as as Miranda had mentioned so with that I we're finished here I turn it to Miranda real quick if she has any concluding remarks that she would she would like to say. Oh I have no additional remarks um so thank you all for joining us and and for those of you that stuck with us for the full two hours and if you have any questions like Brian said just reach out to the speakers their contact information is in the slides. And one last opportunity would FSA anyone from our panelists have any final concluding thoughts? I just wanted to say thank you to DSU to Brian and Miranda you guys always willing to assist us in getting information out on our programs to assist our producers is very much appreciated and and so beneficial so thank you. Okay well thank everyone very much hope you guys have a great rest of the day and thanks for thanks for watching hopefully this has been worth your time thank you.