Pennsylvania Governor Rendell Seeks Federal Aid For Drought-Damaged Crops

Crop Insurance Provides Relief to Farmers

August 15, 2007 -- HARRISBURG – Pennsylvania Governor Edward G. Rendell today urged USDA Secretary Mike Johanns to authorize low-interest emergency loans for farmers in 22 Pennsylvania counties. Fifty-eight of the state’s counties have been under a drought watch since Aug. 6 due to precipitation deficits and low groundwater levels.

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During its recent meeting, the Pennsylvania State Emergency Board reviewed damage assessment reports, which projected that farmers in 22 counties have suffered a loss of at least 30 percent to one or more major crops.

“Producers are struggling to maintain profitable businesses because of drought and severe storms that have hit the commonwealth,” Governor Rendell said. “It’s important that we help our farmers recover from these extreme losses to protect their livelihoods and our agricultural industry.”

Governor Rendell’s previous requests have given farmers the opportunity to apply for low-interest loans for flood, frost, hail and drought damage.

“These emergency loans will help farmers recover from damages until crop insurance is able to assess their claims,” said the Governor. “I have asked Secretary Johanns to act quickly.”

Farmers with crop insurance can take advantage of a new USDA decision regarding sample strips of damaged crop.

Before the decision, USDA-authorized loss adjusters had to visit the affected farm, inspect the crop in person and then tell the farmer to leave sample strips. Now, during the harvest season, farmers only need to receive verbal permission over the phone. Producers must contact their crop insurance agent to file a claim and speak with a loss adjuster before they harvest their crop.

“By giving permission for sample strips over the phone, the claims process will be much faster,” said Agriculture Secretary Dennis Wolff, who noted that sample strips should be at least 10 feet wide and a length determined by the loss adjuster, depending on field acreage. “Being able to harvest their crops more quickly will help to ease the burden of drought on farmers.”

Farmers who bought crop revenue coverage before March 15, 2006, will benefit from price and yield protection, earning at the spring rate of at least $4 a bushel.

To find a crop insurance agent, visit www.rma.usda.gov. For more information on Pennsylvania’s crop insurance program and other risk management opportunities, call 717-787-6041 or visit www.agriculture.state.pa.us and click on “Crop Insurance.”

Source: Pennsylvania Governor