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HomeMy WebLinkAboutThe Goderich Signal-Star, 1987-03-18, Page 36Page 18 Numerous finanelal programs available in area by Don Pullen, P.Ag., Agricultural Representative, OMAF, Clinton, Jan.`87 Various provincial and federal govern- ment programs are available for Huron and Bruce County farmers. For more detailed information, as well as changes as. they may occur, contact the local office of the Ontario Ministry of Agriculture and Food in Clinton ( 482-3428 or 1-800-265-5170) or in_Walkerton i 881-3301 or 1-840-265-3023) . Financial Assistance Prgrams A. Operating Credit ,There has been an evolution of operating guarantee programs. While clients may be enrolled in any one of the three, CUR- RENT APPLICANTS CAN ONLY -ENROL IN THE THIRD. i lz Ontario Farm Adjustment Assistance Programs ! OFAAP1.- The. Ontario Farm Adjustment Assistance Program was in- troduced in 1982 and was reintroduced in 1983 and 1984. It is now in a three-year wind down operation for those already on the program in previous years with a renewal of existing operating loan guarantees on an annual basis for up to three years en- ding in 1987. 2. Ontario Operating Credit Assistance Program (FOCAP) - The Farm Operating Credit Assistance Program followed OFAAP in 1985. A two-part program it pro- vided interest assistance on floating rate loans and operating loan guarantees. With the reintroduction and enhancement of OFFIRR., FOCAP is also being wound down with no new applications accepted after August 31, 1986. 3. Ontario Operating Loan Guarantee Program (OLGP)- - The Operating Loan Guarantee Program succeeds the • guarantee portion of FOCAP. It is effec- tive September 1, 1986 to August 31, 1987. Interest rate is prime plus 1 percent. Eligibility criteria include: equity of 10 percent to 60 percent; minimum $12,000 agricultural production. A broad range of agricultural production including flowers and fur farmers are eligible. Application forms and procedures are' similar to FOCAP. B.. Interest Rebate 1. Ontario Family Farm Interest Rate Reduction Program (OFFIRR Plus) - The Ontario Family Farm Interest • Rate Reduction Prograni has been -reintroduced and enhanced. - application must be filed before May 18, 1987 - the program provides interest rebates - of up to 7 percentage points to $360,000 of existing debt as of September 1, 1986, down to 8 percent interest. In 1987, 70 percent of the benefit till be available; and in 1988, 40 percent will be provided. - the eligibility criteria include: equity between 10 percent and 75 percent; family net worth under $1,110,000. - the eligible debt is reduced by $1 for every $1 by which net worth exceeds $750,000 (up from $500;000.). - maximum eligible debt is no longer reduced by $1 by ever $1 which is covered - under the Beginning Farmer Assistance Program (BFAP). The OFFIRR assistance is calculated on the basis of the "net of BFAP rebate" rate of interest on debt. The reduction for Junior Farmer Loan is $2 for $1 of. loan. The rebate is reduced at the rate of 3i) cents for each $1 of off -farm income earned over $30,000. - -operating" debt may be verified at either the first of the month, the end of the month, or the 15th of the month. - documentation includes personal and/or corporate tax returns, net worth, accrual income statement, cash flow plan, production plan and verification from lenders. LUCKNOW DISTRICT CO-OP YOUR 1987 CROP HEADQUARTERS Adverse Weather Assistance Compo- nent to OFFIRR - designed for 1986 crop only. Provides special assistance to farmers who suffered crop losses in excess of 30 percent because of adverse weather in 1986 • and who are eligible for assistance under OFFIRR: - eligible OFFIRR loans in an amount equal to the value of the crop loss in excess of 30 percent Ion a crop -by -crop basis) of the county average yield can be brought -down to 0 percent interest instead of the - usual 8 percent. - 2. Ontario Beginning Farmer Assistance Program (REAP) - The pro- gram has been in place for three years. It provides up to 5 percentage points reduc- tion on interest, down to 8 percent, on mor- tgages of up to $350,000 loaned by approved lenders. The mortgage interest rate must be fixed for at least five years. To be eligi- ble, the beginning farmer cannot previous- ly have operated a viable. faith business. The 1986 Ontario spring budget proposed to enhance the program. Ideas under discus- sion include increasing eligibility criteria' and providing a phase-out period. C. Transitional Programs 1. Ontario's Farmers in Transition Pro- gram ( FIT ) - the re-establishment assistance component has been phased out as the federal Canadian Rural Transition Program was phased in early in the fall of 1986. The other parts of FIT will remain to • complement the federal program a i Helpline 1-800-265-1511 - a toll-free line for a listening ear. Staff try to match up callers experiencing financial and/or.' emotional -stress with agricultural ad- visors and/or social `agencies. b i Independent Farm Family Advisors - Peer counsellors are provided to help farmers plan for change. Farm families can access advisors through OMAF of- fices. the Helpline, and farm lenders. . 2. Canadian Rural Transition Program i CRPT ) - this retraining and adjustment program is designed to help people who. for financial reasons, must cease farming and find new employment. - A transitional grant of $1600.00 is available to farmers and their families between the time they stop farming and the time they start a_ new job or training. Turn- to page 21 • —See us for all your cre p needs: i • FERTILIZER * SEED * CHEMICALS *CHEMICALS ALSO CUSTOM APPLICATION OF FERTILIZER AN } CHEMIC Everyone Welcome To Shop Co-op LS BASF lowers prices • from page 3 , Loose said. "Just as he is having to lower his costs to stay in farming, we at BASF have been searching fot ways to lower ours. The price cut is a direct result of more efficient manufacturing for Basagran.' Loose expects the lower price to in- crease Basagran usage as a primary her- bicide, as well as a follow-up treatment to Control weeds that escape preemergence herbicide applications. In addition, he feels Basagran will be more widely used on white beans and certain vegetable crops like snap beans.- "Our eans."Our action will strengthen our fran- chise among satisfied customenswhile ad- ding new users," Loose said. He predicts thenew Basagran price will acceleratethe trend toward more widespread adoption of, conservation tillage systems that lower machinery, fuel and labor costs, control erosion and save topsoil. - BASF Canada Inc: is headquartered fn Rexdale, Ontario. In addition to Basgran; it markets a wide• variety of crop protec- tion products, including . Poast,- a postemergence grass herbicide ®for soy- beans, potatoes, canola, flax, dry beans. - dry peas and certain vegetable' - - It