The 2016 wheat harvest is approaching, and producers should keep in mind the possibility of a Loan Deficiency Payment (LDP) may exist. A loan deficiency payment can come into effect when the price of wheat nears the county loan rate. The 2016 Hard Red Winter Wheat loan rate for Barton County is $3.14. To be considered eligible for an LDP, producers must have form CCC-633EZ, Page 1 on file at their local FSA Office before losing beneficial interest in the crop. Pages 2, 3 or 4 of the form must be submitted when payment is requested. As of May 27, the current county price trigger for a wheat LDP is 61 cents higher than the county loan rate, so the posted county price is closer than it has been for quite some time. Before you lose beneficial interest in your wheat crop, you may want to ensure you have Page 1 of the CCC-633EZ on file at your local Farm Service Agency Office depending on what the wheat price does as we move into harvest.
Make sure the grain is delivered to the elevator or buyer using the exact name and shares as it was listed on the farm program contract. This is very important to maintain loan, LDP eligibility.