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November 2007

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**LAA-2**

**Mark Kern** resides on Eielson Farm Road, Salcha, and has produced
small grains, and grass forage for 9 years.

**Mike Martin** resides in North Pole, and has produced small grain and
grass forage for 5 years. Mike Martin is an active member of the Farm
Bureau.

If you do not receive a ballot and believe you are eligible to vote,
please contact the County Office.

Elected committee members and alternates will take office in January,
2008.

Farm Reconstitutions

In program terminology, farms are *constituted* to group all tracts
having the same owner and the same operator under one farm serial
number. When changes in ownership or operation take place, a farm
*reconstitution* is necessary. The reconstitution --- or recon --- is
the process of combining or dividing farms or tracts of land based on
the farming operation.

The following are the different methods used when doing a farm
reconstitution:

**Estate Method** --- the division of bases, allotments and quotas for a
parent farm among heirs in settling an estate;

**Designation of Landowner Method** --- may be used when (1) part of a
farm is sold or ownership is transferred; (2) an entire farm is sold to
two or more persons; (3) farm ownership is transferred to two or more
persons; (4) part of a tract is sold or ownership is transferred; (5) a
tract is sold to two or more persons; or (6) tract ownership is
transferred to two or more persons. In order to use this

method, the land sold must have been owned for at least three years, or
a waiver granted, and the buyer and seller must sign a Memorandum of
Understanding;

**Cropland Method** --- the division of bases in the same proportion
that the DCP cropland for each resulting tract relates to the DCP
cropland on the parent tract;

**Default Method** --- the division of bases for a parent farm with each
tract maintaining the bases attributed to the tract level when the
reconstitution is initiated in the system.

**Reasonable Accommodations**

Reasonable accommodations will be made, upon request, for individuals
with disabilities, vision impairment, or hearing impairment to attend or
participate in meetings or events sponsored by the Farm Service
Agency. If you require special accommodations to attend or participate
in one of our events, please call the FSA county office, and we will be
happy to make any needed arrangements. 

FSA Farm Loans

Beginning farmers or ranchers can get a "regular" farm ownership loan by
using funds set aside especially for them by the Farm Service Agency.
These loans finance up to 100 percent of the land's purchase price (up
to the \$200,000 loan limit), and the term of the loan can be up to 40
years.

The interest rate can be either the regular rate of 5.375% (as of Nov 1,
2007) or the limited resource rate of 5.00% (as of Nov 1, 2007)

The regular farm ownership loan funds may also be utilized in joint
financing where FSA lends up to

50% of the amount financed and the other lender provides 50% or more.
The current interest rate is 5.00% with terms up to 40 years.

**Crop Disaster Program**

Sign-up for the Crop Disaster Program (CDP) began October 15, 2007. To
be eligible, producers must have purchased Crop Insurance or NAP for the
crop in the year of loss (2005, 2006 or 2007). Applications will be
accepted in the County Office. More information is available in a fact
sheet titled *Agricultural Assistance Act of 2007*, found on FSA's web
site at <http://www.fsa.usda.gov/> under the Disaster Assistance
Programs heading.

The United States Department of Agriculture (USDA) prohibits
discrimination in all its programs and activities on the basis of race,
color, national origin, age, disability, and where applicable, sex,
marital status, familial status, parental status, religion, sexual
orientation, genetic information, political beliefs, reprisal, or
because all or part of an individual's income is derived from any public
assistance program. (Not all prohibited bases apply to all programs.)
Persons with disabilities who require alternative means for
communication of program information (Braille, large prints, audiotape,
etc.) should contact USDA's TARGET Center at 202-720-2600 (voice and
TDD).

To file a complaint of discrimination, write USDA, Director, Office of
Civil Rights, 1400 Independence Avenue, SW, Washington, DC 20250-9410 or
call 800-795-3272 (voice) or 202-720-6382 (TDD). USDA is an equal
opportunity provider and employer.

+----------------------------------------------------+-----------------+
| **Selected Interest Rates for**                    |                 |
|                                                    |                 |
| **November, 2007**                                 |                 |
+----------------------------------------------------+-----------------+
| 90-Day Treasury Bill                               | 4.125%          |
+----------------------------------------------------+-----------------+
| Farm Operating Loans --- Direct                    | 4.75%           |
+----------------------------------------------------+-----------------+
| Farm Ownership Loans --- Direct                    | 5.375%          |
+----------------------------------------------------+-----------------+
| Limited Resource Loans                             | 5.00%           |
+----------------------------------------------------+-----------------+
| Farm Ownership Loans --- Direct Down Payment,      | 4.00%           |
| Beginning Farmer or Rancher                        |                 |
+----------------------------------------------------+-----------------+
| Emergency Loans                                    | 3.75%           |
+----------------------------------------------------+-----------------+
| Farm Storage Facility Loans                        | 4.375%          |
+----------------------------------------------------+-----------------+
| Commodity Loans                                    | 5.125%          |
+----------------------------------------------------+-----------------+

Alaska State FSA Office PRSRT STD

800 W Evergreen Postage Fees Paid

Suite 216 Farm Service Agency

Palmer, AK 99645 Permit NO G-96