An Iowan who had a leadership role in the Farm Service Agency a decade ago says a federal government shutdown would delay Conservation Reserve Program payments, which are issued in October.
President Obama appointed John Whitaker as Iowa State Executive Director of the Farm Service Agency in 2009 and Whitaker was in that role when the federal government shutdown for 16 days in October of 2013. “The more that we delay making those payments, the more likely it is the federal government will have to pay interest on those payments,” Whitaker said during an online news conference organized by the Iowa Democratic Party. “That adds to our cost, the cost of doing government.”
If Conservative Reserve Program or CRP payments aren’t made by October 31, Whjtaker said the federal government is required to pay a penalty and add interest onto those checks. Even a week-long federal government shutdown in October would create issues with CRP payments, according to Whitaker.
“It’s going to be more and more difficult to get them all certified and all through the system and the staff is stressed because they know the cost of not getting the payment made and they also know those producers are waiting on those payments,” Whitaker said. “They expect that payment to be paid in early October, not the end of October or in November or later than that.”
Two years ago, the federal government paid $382 million dollars on Iowa CRP contracts that keep the land out of corn and soybean production for up to 15 years.
Farm Service Agency offices will be closed if congress does not pass a spending plan for the next federal fiscal year, which begins Sunday. Whitaker said that means farmers will not be able to submit required reports to the U.S.D.A. about cover crops that are being planted this fall. “You know, Iowa’s agricultural areas are heavily dependent on the U.S.D.A. and U.S.D.A. programs,” Whitaker said.
Whitaker served on the Van Buren County Board of Supervisors for 10 years. Whitaker served seven years in the Iowa House before he was appointed to lead the Farm Service Agency operations in Iowa.