USDA can pay Alaska farmers

PALMER — With the U.S. Department of Agriculture-Farm Service Agency, Alaska State Executive Director Danny Consenstein announced that Alaska growers, farmers and ranchers who experience high transportation costs will soon receive payments to offset that.

Alaska farmers can enroll in the Reimbursement Transportation Cost Payment Program beginning July 20 for Federal Fiscal Year 2015. Applicants must submit their application to their Administrative County Farm Service Agency office by Sept. 11. Applicants will have until Nov. 2 to provide supporting documentation.

The 2014 Farm Bill reauthorized the payment program, which offsets a portion of the costs of transporting agricultural products over long distances. The program allows farmers and ranchers in Alaska, Hawaii and insular areas, including the Commonwealth of Puerto Rico, Guam, American Samoa, Commonwealth of Northern Mariana Islands, Virgin Islands of the United States, Federated States of Micronesia, Republic of the Marshall Islands and Republic of Palau, to recover transportation costs.

Consenstein said Alaska farmers face unique challenges.

“In addition to our northern climate, they experience high costs of fuel, equipment, materials, and fertilizer because of our location,” he said. “(The payment program) helps level the playing field for our producers and provides more local food at competitive prices for Alaskan consumers.”

Reimbursement Transportation Cost Program payments are calculated based on the costs incurred for transportation of the agricultural commodity or inputs, subject to an $8,000 per producer cap per federal fiscal year. In the event that claims for payments exceed the funds available through the program for a fiscal year, payments will be reduced on a pro-rata basis.

For more information, visit fsa.usda.gov/ak.

This information courtesy FSA.USDA.gov.