Monthly Archives: May 2012
Farm first, then you add+ value added products+Direct marketing+Agritourism
Direct marketing in any form can provide a diversified income stream; yet its not for all agriculture producers as it doesn’t fit their business model nor should it be a one size fits all method. Do what works for your situation.
USDA-RD Single Family Housing Guarantee Loan Program (SFHGLP)
ü 102% FINANCING is still available
ü NO DOWN PAYMENT required from buyer*
ü CPR PROPERTIES are acceptable
ü CONDOS are ok so long as they are approved by either the VA, Fanni Mae, Freddie Mac or FHA
ü DHHL properties are acceptable
ü FUNDING, program well funded for FY 2012
ü DEBT TO INCOME (DTI) RATIO waivers permitted with compensating factors
ü RURAL PROPERTIES ONLY, all of Kauai is considered rural
ü CLOSING COSTS may financed into the loan*
ü ZERO FICO SCORES permitted with acceptable alternative trade lines
ü LEASEHOLD PROPERTIES are permitted, must have at least 40 years term by close of escrow
ü QUICK CLOSING; average turn time once file received at USDA is 48 hours, lender processing times apply
ü THE “MAXIMUM RATE” lenders may charge as of 5/18/2012 is 4.0%, rates subject to change daily
ü REDUCED RATES, low income applicants may finance additional points to buy down rate
ü REFINANCE a construction loan or existing USDA loan
*Discuss with your lender how to finance closing costs prior to writing an offer to purchase
Contact a USDA approved lender or myself for additional guidelines. Contact a USDA approved lender to apply.
The federal funds are provided by the Reimbursement Transportation Cost Payment Program for Geographically Disadvantaged Farms and Ranchers (RTCP) and administered by the U.S. Department of Agriculture’s Farm Service Agency (FSA). About $1.996 million in payments for fiscal year 2011 will be made.
Senator Inouye and Congresswoman Hirono helped authorize the program in the 2008 Farm Bill. The program would be re-authorized in the Senate version of the 2012 Farm Bill that is currently being considered.
The program assists farmers and ranchers in Alaska, Hawaii and insular areas, including the Commonwealth of Puerto Rico, Guam, American Samoa, Commonwealth of Northern Mariana Islands, Virgin Islands of the United States, Federated States of Micronesia, Republic of the Marshall Islands and Republic of Palau.
“The success of agriculture in Hawaii and our nation relies heavily on the hard work and sacrifice of our farmers and ranchers. Those who choose to work the land in Hawaii, raising livestock, growing produce, and creating agricultural inputs, are forced to pay significantly more to bring their goods to market than farmers on the Mainland. It is critical to their livelihood and the health of the industry that the federal government invests in their efforts. I would like to thank the administration for recognizing this need and I would encourage my colleagues in the Senate to join me in supporting the re-authorization of this important program,” said Senator Inouye.
“Agriculture has long been a significant part of the culture of Hawaii, dating back to the first kalo planted by the first Native Hawaiians. Farming and agriculture continue to play a major role in the self-sustainability and economy of our state today. I applaud the dedication of the U.S. Department of Agriculture in supporting our local farmers and ranchers, as well as those in Alaska and other U.S. territories. I urge my colleagues to help us continue this program that provides vital assistance to our farms and ranches in our geographically disadvantaged areas,” said Senator Akaka.
“Whenever I visit our farmers and ranchers, I am reminded of how hard they work and the unique challenges they face. This, and Hawaii’s need for greater food security, is why I am committed to supporting our local food producers,” said Congresswoman Hirono, who recently released an agriculture sustainability plan based on input from agriculture leaders across the state. “Thanks to the Reimbursement Transportation Cost Payment Program, Hawaii’s farmers will get help to offset some of the difference in production costs they face compared with farmers in California and other states. I was proud to join Senator Inouye and other members of the Hawaii delegation in advocating for inclusion of this program in the last Farm Bill and I’ll continue championing this for our farmers and ranchers as we look to write a new Farm Bill.”
“Because of our state’s location in the middle of the Pacific, Hawaii’s farmers and ranchers face high costs when transporting their goods between islands or to the mainland. I applaud the USDA for helping to level the playing field by providing our agriculture industry with this funding to help offset some of these expenses. It is important that we continue to support our local businesses as Hawaii works toward self-sustainability,” said Congresswoman Hanabusa.
RTCP benefits are calculated based on the amount of costs incurred by the producer for transportation of the agricultural commodity or inputs during a fiscal year, subject to an $8,000 per producer cap per fiscal year.
Fiscal year 2011 payments to geographically disadvantaged farmers and ranchers began May 3, 2012. Total claims exceeded available funding, therefore a payment factor will be applied to program payments.
Sign-up for fiscal year 2012 will begin on July 23, 2012, and end on Sept. 10, 2012.
Applicants must file their RTCP application for benefits, in their administrative county FSA office no later than Sept. 10, 2012.
Applicants will have until Nov. 5, 2012, to provide supporting documentation of actual costs of transporting agricultural inputs and commodities in fiscal year 2012 to the FSA county office.
For more information on the RTCP program please visit:
To find and visit your FSA county office in Hawaii please visit: