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Published March 08, 2010, 08:10 AM

Keep loss records now for LIP program

FARGO, N.D. — Livestock producers who lose animals because of weather should think ahead to keep inventory and death records for the Livestock Indemnity Program, says Aaron Krauter, state executive director for North Dakota Farm Service Agency.

By: Mikkel Pates, Agweek

FARGO, N.D. — Livestock producers who lose animals because of weather should think ahead to keep inventory and death records for the Livestock Indemnity Program, says Aaron Krauter, state executive director for North Dakota Farm Service Agency.

LIP compensates owners for livestock deaths in excess of normal mortality that are a result of adverse weather events.

To be eligible in 2010, farmers first must file a “Notice of Loss” within 30 days of the loss being known. This notice can be done by contacting local FSA officials by telephone, in person, by e-mail or fax. This simply ties the loss to an identified weather event on a specific date.

The number and type of livestock are provided later in the application process. Those who have filed the timely notice then have until Jan. 30, 2011, to complete the application.

Proof of livestock losses can include verifiable documentation such as veterinary records, bank or other loan documents or production records. Pictures with imprinted dates and contemporaneous records such as calving books may be accepted.

In some cases, a third party can certify a loss. This third party must have specific knowledge of the death but not have an interest in the operation or be related to the owners. Inventory records should be used to back these up — vaccination records, balance sheets, loan records, sales and purchase receipts or private insurance documents.

Some $14 million in LIP so far been have been paid out to North Dakota livestock owners who had losses in 2008 and 2009. Another $4 million in applications are pending.

Payment rates for 2010 are slightly lower for beef cattle. The rate for calves that are less than 400 pounds is $302.58. The rate for adult beef cows is $631.41.

The LIP program will continue through Sept. 30, 2011, although the multiyear farm law runs through 2012. Unlike some other permanent disaster programs, LIP doesn’t require an insurance purchase.

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