Montana producers have until March 15, 2017 to sign-up for FSA’s Noninsurable Crop Disaster Assistance Program (NAP) coverage for all 2017 spring planted NAP crops except spring seeded rye, speltz, triticale, wheat, and mixed forage. Since these crops can also be fall seeded, the deadline to request NAP coverage was last September 30.
NAP provides a catastrophic level (CAT) coverage based on the amount of loss that exceeds 50 percent of the expected production at 55 percent of the average market price for the crop. NAP offers buy-up coverage for the 2015 through 2018 crop years in addition to the basic CAT-level coverage, on all crops except those intended for grazing. These additional coverage levels range from 50-65 percent of the expected production, in 5 percent increments, at 100 percent of the average market price.
In order to meet eligibility requirements for NAP, crops must be noninsurable, commercially-produced agricultural commodity crops for which the catastrophic risk protection level of crop insurance is not available. If the Risk Management Agency (RMA) offers coverage for a crop in the county, NAP coverage is not available for that crop. For questions regarding insurability of a crop, please contact your local crop insurance agent. For information on whether a crop is eligible for NAP coverage, please contact your local FSA office.
The NAP service fee for all coverage levels is the lesser of $250 per crop or $750 per producer per administrative county, not to exceed a total of $1,875 for a producer with farming interest in multiple counties. In addition to the service fee, producers who elect buy-up coverage must pay a premium equal to the lesser of 5.25 percent of the guarantee or 5.25 percent of the payment limit. FSA will waive NAP service fees and reduce buy-up premiums by 50 percent for underserved, limited resource, and beginning farmers. For questions regarding how to calculate the premium, please contact your local FSA office.
For more information, visit the national NAP page at: http://www.fsa.usda.gov/nap.
