What happens with a cash rent farm in ACRE if tenant decides to quit farming it?

What happens with a cash rent farm in ACRE if tenant decides to quit farming it?

When you get a new operator, that farmer can enroll in ACRE.

FAQ: My farm is enrolled in ACRE. The farmer was cash renting it but has decided to quit farming this farm. What is the risk to me as the landlord?

Answer: Provided by Kevin McClure, program specialist with state FSA office in Des Moines, and Steve Johnson, ISU Extension farm management specialist.

Once a farm has been enrolled in ACRE, then the DCP program is no longer an option for that farm through 2012. If you have a new operator in a future year, that farmer can enroll in ACRE. It does not make him or her ineligible for ACRE just because they are a new operator of that farm.

For most row crop farms the initial decision is between participating in DCP or ACRE. Once you make that choice, then an annual decision and enrollment is required to participate in ACRE each year. If the farm has elected to be in ACRE and is rented to another tenant, the farm can only be in ACRE, not the DCP. However, an annual enrollment is required.

If you have specific questions or need details regarding USDA farm programs, contact your local USDA Farm Service Agency office. You can also get news and information about DCP, ACRE and other USDA programs at www.fsa.usda.gov.

Two Iowa State University Extension Web sites have farm program information and analysis. They are ISU's Ag Decision Maker site at www.extension.iastate.edu/agdm and ISU Extension Specialist Steve Johnson's site at www.extension.iastate.edu/polk/farmmanagement.htm.

And be sure to read the regular column "Frequently Asked Questions about the Farm Program" that appears in each issue of Wallaces Farmer magazine and at www.WallacesFarmer.com

TAGS: USDA
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