COTTON TRANSITION ASSISTANCE PROGRAM ENROLLMENT NOW OPEN
September 03, 2014
File photo - cotton bales after harvest.
Alabama farmers may apply for the Cotton Transition Assistance Program (CTAP) at U.S. Department of Agriculture Farm Service Agency (FSA) offices through Oct. 7. CTAP was created by the 2014 farm bill as an interim payment option to assist cotton farmers until the Stacked Income Protection Plan (STAX) for upland cotton is implemented in 2015.
STAX is a new insurance product for cotton growers. It will be available all counties where insurance coverage for upland cotton is currently offered. The U.S. Department of Agriculture’s Risk Management Agency will oversee administration of STAX.
For cotton farmers in a county where STAX will not be available, CTAP will be authorized for the 2015 crop year as well. In Alabama, these are Elmore, Jefferson, Sumter and Walker counties.
“CTAP is bridging the gap between programs from the previous farm bill and STAX, which will not be available until next year,” said Alabama Farmers Federation Cotton Division Director Carla Hornady. “Because of federal government changes taking place with the new fiscal year, it’s important for farmers to apply at their local FSA offices even before the deadline.”
CTAP applications approved before Oct. 1 are subject to congressionally mandated automatic reductions of 7.2 percent, while applications received after Oct. 1 will be reduced by 7.3 percent. Cotton growers must use 2013 adjusted cotton base acres for CTAP.
For more updates on the farm bill, visit AlabamaFarmBill.com.