For Immediate Release

October 5, 2009

Release 0012.09

Contact: Salomon Ramirez (505) 761-4900

ALBUQUERQUE, NM - New Mexico Farm Service Agency (FSA), Executive Director, Salomon Ramirez, today reminded producers participating in the Milk Income Loss Contract (MILC) program of the adjusted gross income (AGI) filing requirements.

Changes in the Food, Conservation and Energy Act of 2008 (2008 Farm Bill) require producers to annually certify to their AGI on FSA form CCC-926. Producers must certify that their nonfarm average AGI does not exceed $500,000 or they are ineligible for MILC benefits. Although MILC contracts are multi-year contracts, producers are required to certify to the AGI requirement each fiscal year.

?We understand the economic situation the dairy industry is facing and we want to do everything possible to ensure that producers that are eligible for MILC program benefits receive their payments timely?, said Ramirez. ?We want to make certain that the requirement for certifying AGI is filed timely so payments can be issued once payment rates are announced.?

Fiscal Year 2009 ended on September 30, 2009, and Fiscal Year 2010 began October 1, 2009; therefore MILC payments calculated on October 2009 production will be issued in December 2009, and a new AGI certification is required before the October MILC payment is issued.

Producers needing to file their Fiscal Year 2010 AGI certification or if they have questions about this requirement should contact their local FSA County Office.

For more information regarding the MILC program and other FSA programs, visit www.fsa.usda.gov.