FAQ: Is ACRE a year-to-year decision?

Do I keep making the choice annually?

Published on: Dec 12, 2008

FAQ: Is this a year-to-year decision, whether or not to participate in ACRE?

Answer: Provided by Steve Johnson, ISU Extension farm management specialist

No, this is a multiple-year decision. ACRE will cover the 2009 through 2012 crop years. Once a farmer elects the ACRE option to the DCP, that decision is irrevocable. ACRE on that farm will then apply to all subsequent years, but the contract is scheduled to end after the 2012 crop year.

Eligibility and level of payments under ACRE will have both state level and farm level revenue triggers. The yields that will be used annually will be the most recent 5-year Olympic average yields per planted acre. For these five years, the high and low years are thrown out and the simple average yields for the remaining three years will be used.

Collecting production data for 2004 through 2008 in advance of sign-up for ACRE next spring will likely require some good record keeping. Preserving 2008 harvest data can make the process much easier. To prepare for ACRE, farmers should consider the need to determine the net production in bushels—corn and soybeans—by farm serial number.

If you have a question you'd like answered regarding the new USDA farm program, please send it to rswoboda@farmprogress.com. We will pass it on to the ISU Extension specialists or to the program specialists at USDA's Farm Service Agency office in Des Moines and they will send you the answer.

For more information and analysis of the new Farm Bill, see ISU's Ag Decision Maker site www.extension.iastate.edu/agdm. For clarification on farm program details contact your local FSA office.