|By David Bennett|
|Penton Business Media|
Regional differences on how best to construct a farm safety net arose during Thursday morning’s
One thing that most witnesses and legislators agreed on – besides the finish of direct payments -- was a dislike of the Supplemental Revenue Assistance Payments (SURE) program which can require farmers wait 18 months for payments following a disaster.
For hearing testimony, see here.
In a statement following the hearing, the NCC stated it “believes a revenue insurance program that supplements existing insurance products would provide an important and affordable tool -- especially given the weather uncertainties and risks that farmers face.”
The NCC says effective risk management would come with the adoption of the Stacked Income Protection Plan (STAX).
“The STAX plan is designed to address revenue losses on an area-wide basis, with a county being the designated area of coverage. In counties lacking sufficient data, larger geographical areas such as county groupings may be necessary in order to preserve the integrity of the program. The ‘stacked’ feature of the program implies that the coverage would sit on top of the producer’s individual crop insurance product. While designed to complement an individual’s buy-up coverage, a producer would not be required to purchase an individual buy-up policy in order to be eligible to purchase a
“We have to have access to crop insurance, risk management tools and even emergency assistance programs to survive and recover from these natural disasters,” said Coley. He added that “the availability of effective risk management tools like crop insurance is important even in so-called normal years because cotton producers need to recover a portion of lost revenues if their crop is damaged after they have invested in the inputs, technology and equipment necessary to produce and market a crop. In those areas where cotton growers have not had access to adequate coverage, we want to continue to work with