Programs Submission Response: ARC/PLC Payment Reports

ISSUE:
ARC/PLC Non Payment Reduction Report

FACTS:
This report can be very lengthy and consist of several pages due to listing all known errors. Many of these pages are often the result of “Less than 10 acre Bases”, which are not errors that need corrected.  While per 1-ARCPLC, paragraph 235, we do need to know these farms to ensure the SDA flag has been properly loaded if applicable, this is not necessarily a potential fixable error in all cases.

SOLUTIONS:
The report needs the ability to eliminate certain errors, specifically “Farm does not meet minimum requirement of more than 10 total base acres for all crops”. This would greatly reduce the number of resulting pages making the report more manageable and more applicable.

NATIONAL OFFICE RESPONSE:
Thank you for providing a suggestion regarding the Nonpayment Report. The problem with “eliminating” certain nonpayment reasons is that the Nonpayment Report obtains its information from the Direct Attribution process where the reductions occur and there isn’t a way to determine if the nonpayment is something the county office can correct or if it’s always going to be a reduction. The Nonpayment Report is provided to identify where reductions have occurred to the producer’s payment and for the county office to verify that the system was updated correctly at the time of payment, and if not, then they take corrective action to resolve the reason listed on the Nonpayment Report. 

An example of the problem is as follows: Producer A and producer B both don’t meet the 10 base acre provision. Producer A should have had the SDA value updated in the Subsidiary Eligibility system prior to the payment process, but the county office forgot to update the system timely. After the payment process both producers are listed on the Nonpayment Report as not meeting the 10 base acre provision. The county office should be reviewing the SDA and Limited Resource values for both producers to ensure they are updated correctly. If the Nonpayment Report no longer displayed the producers for not meeting the 10 base acre provision then the county office has no way of knowing that the SDA value for producer A should be updated and as a result producer A won’t receive the ARC/PLC payment.

As I stated above, the Nonpayment Report can’t pick and choose what reductions to display because it has no way of knowing what reductions are permanent or what changes could be made in the system to resolve the reduction reason. A suggestion might be for the county office to print the Nonpayment Report and after verifying the reductions listed, then the next time they can compare the verified Nonpayment Report to the new Nonpayment Report to identify any new producers or reductions since the last time the report was accessed.