120 N. Washington Square, Suite 1000

Lansing, MI 48933

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120 N. Washington Square, Suite 1000

Lansing, MI 48933

Questions? Call us!

I have just received some good news for anyone filing for the CFAP 2. The new guidance that USDA has issued today says:

“Be aware that for sales values on Greenhouse plants this will include the costs of the pots (not decorative), soil and tags which are a necessary part of the plant and shall be included in total sales of the “raw” product.”

Read the  Nursery Clarification for CFAP 2 (1).

The good news for most of you is this will increase your payments. The only items excluded at this time would be decorative pots that add value, sales tax, and any fully grown plants purchased for resale that you didn’t grow yourself. This means if you may have to revise your CFAP2 application to include the new factor of the cost of soil, basic pots and tags. There was also an update to the CFAP2 handbook on how the payment limitation and how that is calculated. If multiple members make up your entity, each member can now receive the full $250,000 payment even if one member has a 90% interest and the other has only 10% interest. If you have filed or are working on your application, contact your USDA – Farm Service Agency representative soon.

If you have not looked into the CFAP2 filing, you should contact your FSA representative to see if it will help your business.  This is a too good to be true program, but it is true. Look into it soon before the deadline passes.

 

 

Goeff Hansen
Author: Goeff Hansen