Application deadline for EQIP conservation program is July 15, 2008

We're applying for EQIP. I'd recommend any small forest owner to talk to NRCS about possible funds from EQIP for thinning, slash, pruning, etc. Just making the phone call before 7/15 I think gets you in the system ahead of the deadline.

Justin Mount (509-664-0210 x269) is being very helpful in processing our application. He says they're very interested in reducing fuels on private forests.

It's an easy application -- you just sign and date one form. We dismissed EQIP last year as not applying to us, but I believe the 2007 Farm Bill added forest practices to the previously-all-wetland EQIP.

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Application deadline for popular conservation program looms

Producers urged to apply before July 15 cut-off date

Contact: Dave Brown, Asst. State Conservationist for Programs,

NRCS (509/323-2971)

SPOKANE, Wash. (June 16, 2008) – Conservation officials are reminding Washington agricultural producers that they have less than a month remaining to apply for financial and technical assistance through USDA’s Environmental Quality Incentives Program (EQIP).

“Producers interested in receiving cost-share assistance for fiscal year 2009 have until July 15 to apply,” said Dave Brown, assistant state conservationist with the Natural Resources Conservation Service (NRCS) in Spokane.

While NRCS accepts applications on a continuous basis, Brown said applications received by July 15 will be ranked for the initial funding selection. “Applications received after that date will be considered for future funding periods,” he said. “Consequently, we’re urging producers to get their applications to the local NRCS office on or before the July 15 cut-off date.”

EQIP is a voluntary, financial assistance program that helps fund on-farm conservation practices including those aimed at improving irrigation efficiency; managing nutrient run-off and/or animal waste; improving the health of native plant communities; and reducing soil loss. In most instances, producers who participate in the program pay for roughly half of the costs of the conservation measures or practices.

In 2006 and 2007, Washington agricultural producers qualified for more than $30 million in financial assistance through the program, according to the NRCS.

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USDA is an equal opportunity employer and service provider.

316 W. Boone, Suite 450

Spokane, WA 99201

509-323-2900

FLEP grant income, expenses & income taxes

The FLEP grant claim we filed last year resulted in a co-payment check to cover half our expenses -- and an IRS form 1099, which meant we had to pay income taxes on it.

                                                                

We talked through the options with our CPA, and filed a Schedule F, "Profit and Loss from Farming," using code 11300, "Forestry and logging."

 

The income went on line 10, "Other income," and we decided the expenses should go on line 15, "Custom hire machine work," since it was hired work involving chain saws.

 

By definition of the FLEP cost-sharing agreement, the expenses outweighed the income by a factor of 2, so we reported a net farming loss, which got us a larger refund.