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** **

**Avoid Preventable Heartaches (APH)**

**What is an APH and how can it help you?**

** **

**By**

**Paul J. Hlubik\
*New Jersey Farm Service Agency***

***State Executive Director***

** **

Most producers are aware of the upcoming Crop Reporting Deadline, July
15, 2006.  Prior to this date, farmers are required to accurately report
their acreage as well as their production in order to remain eligible
for all FSA programs including the Non-insured Crop Disaster Assistance
Program (NAP).  Providing documentation to establish actual production
history (APH) and to support the most recent year's production has been
underemphasized in the past even though doing so can benefit you more
than you may realize.  If you missed reporting past years' production,
now is the time to remedy the situation.  Before July 15^th^, bring in
last year's production and that of any other unreported years and watch
your APH grow.

 

As you know NAP compensates eligible producers for losses exceeding 50
percent of the expected yield based on 55 percent of the average market
price for the non-insurable commodity.  Eligible producers are also paid
for prevented planting of more that 35 percent of the intended acreage. 
Remember, NAP is not there to make you "whole" financially, but it can
provide much needed dollars for a minimum of \$100 per crop or a maximum
of \$300 per county for all crops in that county.

 

The amount of NAP benefits paid to farmers like you is directly related
to your ability to document through good records your actual history of
producing the crop or APH.  If at least four years of acceptable
production records are not provided, a yield will be assigned, which may
cause undue heartache.

 

Let me demonstrate.  It's not that complicated. 

 

**CASE ONE:                  PRODUCER REPORTS PRODUCTION**

 

Looking at charts A, B, C, and D, notice that the Approved Yield
increases with each subsequent year.  In 2002, when the producer
initially signed up for NAP coverage, he was assigned 65% of the County
Yield for the previous four years because he was unable to provide
acceptable production records.  As he began to provide production for
the next three years, that actual production along with increasing
percentages of the County Yield brought his Approved Yield up from 650
to 1186.  Remember, this is the yield that the producer will get paid on
should he suffer an eligible loss due to a natural disaster.

 

**CASE TWO:       PRODUCER DOES NOT REPORT PRODUCTION**

 

Now look at charts E, F, G, H, and I.  Failure to report production
caused the Approved Yield to eventually drop to ZERO within only a few
years.  This producer would receive ZERO benefits if he/she had suffered
an eligible loss in 2006.  Don't let this happen to you.  Report your
acreage AND PRODUCTION before July 15, 2006.  It can only help.

 

By the way, for those of you that operate retail farm stands and find it
difficult to come up with acceptable production records, you may choose
to have a pre-harvest appraisal of certain crops for a modest fee.  FSA
has twenty-five crop loss adjusters statewide ready to assist you in
this effort.

 

Lastly, Emergency Loan applications tied to the 2005 NJ USDA Secretarial
Disaster Designation must be received by **9/11/06**.  These loans are
available to those farmers who had weather related losses in 2005 and
who meet our test for credit.

 

Have a great, lighthearted and productive Summer.

 

  ------------ ----------- ------------ ----------- ------------ ----------- ----------
               **A**                                             **B**        

  **Crop       ** **       **2002**                 **Crop                   **2003**
  Year**                                            Year**                   

  **County                 **1000**                 **County                 **1000**
  Yield**                                           Yield**                  

  **Approved               **650**                  **Approved               **900**
  Yield**                                           Yield**                  

  **YEAR**     **YIELD**   **APH**                  **YEAR**     **YIELD**   **APH**

  2001         65%         650                      2002         1200        1200

  2000         65%         650                      2001         80%         800

  1999         65%         650                      2000         80%         800

  1998         65%         650                      1999         80%         800

                                                                              

               **C**                                             **D**        

  **Crop                   **2004**                 **Crop                   **2005**
  Year**                                            Year**                   

  **County                 **1000**                 **County                 **1000**
  Yield**                                           Yield**                  

  **Approved               **1075**                 **Approved               **1186**
  Yield**                                           Yield**                  

  **YEAR**     **YIELD**   **APH**                  **YEAR**     **YIELD**   **APH**

  2003         1200        1200                     2004         1200        1200

  2002         1300        1300                     2003         1300        1300

  2001         90%         900                      2002         1150        1250

  2000         90%         900                      2001         100%        1000

                                                                              

                                                                              

                                                                              

                                                                              

               **E**                                             **F**        

  **Crop                   **2002**                 **Crop                   **2003**
  Year**                                            Year**                   

  **County                 **1000**                 **County                 **1000**
  Yield**                                           Yield**                  

  **Approved               **650**                  **Approved               **488**
  Yield**                                           Yield**                  

  **YEAR**     **YIELD**   **APH**                  **YEAR**     **YIELD**   **APH**

  2001         65%         650                      2002         0           0

  2000         65%         650                      2001         65%         650

  1999         65%         650                      2000         65%         650

  1998         65%         650                      1999         65%         650

                                                                              

               **G**                                             **H**        

  **Crop                   **2004**                 **Crop                   **2005**
  Year**                                            Year**                   

  **County                 **1000**                 **County                 **1000**
  Yield**                                           Yield**                  

  **Approved               **325**                  **Approved               **163**
  Yield**                                           Yield**                  

  **YEAR**     **YIELD**   **APH**                  **YEAR**     **YIELD**   **APH**

  2003         0           0                        2004         0           0

  2002         0           0                        2003         0           0

  2001         65%         650                      2002         0           0

  2000         65%         650                      2001         65%         650

                                                                              

                                        **I**                                 

                           **Crop                   **2006**                  
                           Year**                                            

                           **County                 **1000**                  
                           Yield**                                           

                           **Approved               **0**                     
                           Yield**                                           

                           **YEAR**     **YIELD**   **APH**                   

                           2005         0           0                         

                           2004         0           0                         

                           2003         0           0                         

                           2002         0           0                         
  ------------ ----------- ------------ ----------- ------------ ----------- ----------