Annual signup for the Average Crop Revenue Election (ACRE) program closes June 1, and the South Dakota Department of Agriculture is encouraging farmers to talk about ACRE with their local Farm Service Agency (FSA) office.
ACRE provides an option for producers to protect against declines in market revenue. The program involves state and farm revenue changes from guarantee revenue levels that are based on national prices, state-planted yields, and farm-planted yields.
"The ACRE program will not work for every farmer in every situation," said Acting State Secretary of Agriculture Jon Farris. "But I encourage wheat, corn and soybean producers to visit with FSA to see if this program fits within their management toolbox."
The ACRE program provides a safety net, based on state revenue losses, and acts in place of the price-based safety net of counter-cyclical payments. Unlike counter-cyclical payments, which are tied to a farm's base acres, ACRE payments are linked to current plantings on the farm. A farm's payment is based on a revenue guarantee calculated using a five-year average state yield and the most recent two-year national price for each eligible commodity.
For additional information about ACRE or other Farm Bill programs, contact a local FSA office or visit www.fsa.usda.gov