United States A Risk Management Agency Fact Sheet 2016 Crop Year Department of Spokane Regional Office — Spokane, WA

October 2015

Pasture, , Pilot RAINFALL INDEX — Idaho, Oregon, Washington

Crop Insured periods are called index intervals. The Rainfall Index (RI) insurance plan is a pilot area  January and February; insurance plan for pasture, rangeland, and forage  February and March; (PRF) grown for the intended use of by  March and April; or haying. The RI-PRF insurance plan is a  April and May; risk management tool designed to insure against a  May and June; decline in an index value that is based on the long-  June and July; term, historical, average precipitation for the same  July and August; area of land for the same period of time. This  August and September; innovative pilot program is based on precipitation,  September and October; Rainfall Index. This program is designed to give you  October and November; and the ability to buy insurance protection for losses of  November and December. forage produced for grazing or harvested for , The crop year begins on January 1 and ends on which result in increased costs for feed, destocking, December 31. depopulating, or other actions. Availability in RMA Spokane Region Program Summary Idaho: All counties in Idaho Unlike other Federal crop insurance area insurance Oregon: All counties in Oregon plans that are based on county boundaries, the Washington: All counties in Washington Rainfall Index (RI-PRF) program uses a numbered grid system. Each grid covers an area equal to 0.25 Important Dates degrees in latitude by 0.25 degrees in longitude and is Sales Closing ...... Nov.15, 2015 identified by a specific number code, referred to as a ...... (preceding the start of the crop year) grid ID. The grids are created by the National Oceanic Acreage Report Date ...... Nov. 15, 2015 and Atmospheric Administration Climate Prediction Center (NOAA CPC), and do not follow state, county, Crop Types Insured or other geopolitical boundaries. Haying: Severance of the plant from its root by mechanical equipment and cured. Haying does not New Coverage Available for 2016 include green chop, silage, earlage or grain For the pricing methodology will reflect your production that may be fed to livestock. replacement costs for feed and the actual losses you Grazing: Used solely as pasture for livestock to experience. RMA is also offering an irrigated hay roam and feed on. practice in some states that is designed to cover above normal expenses when normal precipitation Loss Payments shortfalls are observed. However, normal irrigation Your insurance payments are determined by using costs are not covered. NOAA CPC data for the grid(s) and index interval(s) you have chosen to insure. When the final grid index Index Intervals & Insurance Period falls below your “trigger grid index”, you may receive For the Rainfall Index, you must select at least two, 2- an indemnity. This insurance coverage is for a single month period intervals to correlate with months when peril, lack of precipitation. Coverage is based on the precipitation is critical for forage growth. These experience of the entire grid. It is not based on

This fact sheet gives only a general overview of the crop insurance program and is not a complete policy. For further information and an evaluation of your risk management needs, contact a crop insurance agent. individual or ranches or specific weather precipitation data for the same period that is stations in the general area. normally expected in the grid. When the interpolated precipitation falls below average for Frequently Questions/Answers the index interval it triggers a loss payment to all Q: What is the Pasture, Rangeland, and Forage ranchers who have signed up for the program in Insurance Policy? A: The PRF policy is an area- the grid that are covered under this interval. based insurance plan that covers perennial Producers do not need to submit a loss claim or pasture, rangeland, or forage used to feed notify their agents. RMA will calculate any loss livestock. and your insurance company will process any Q: What does “area-based” mean? A: “Area- indemnity due. based” means payments are not based on an individual rancher’s experience; rather, payments Where to Buy Crop Insurance are based on a grid’s deviation from normal All multi-peril crop insurance (MPCI), including experience. For example, under the Rainfall CAT policies, are available from private insurance Index, if your ranch received a surplus of , agents. A list of crop insurance agents is available at but the area in your grid was below average, you any USDA Service Center or on the RMA web site: could receive a payment or vice versa. http://www.rma.usda.gov/tools/agent.html. Q: In 2015 I had a Vegetation Index (VI) PRF policy, what is the difference between the Regional Contact USDA/Risk Management Agency Rainfall Index and the Vegetation Index? A: The Spokane Regional Office Rainfall Index program insures the single peril of 11707 E Sprague Ave #201 lack of precipitation based on National Oceanic Spokane Valley, WA 99206 and Atmospheric Administration (NOAA) Telephone: 509-228-6320 Climate Prediction Center (CPC) Daily Fax: 509-228-6321 Precipitation Data. The Vegetation Index E-mail: [email protected] program is based on United States Geological Service Earth Resources Observation and Science Download Copies from the Web (EROS) Normalized Difference Vegetation Index Visit our online publications/fact sheets page at: (NDVI) data. The Rainfall Index measures an http://www.rma.usda.gov/aboutrma/fields/wa_rso/ input (precipitation), and the Vegetation Index measured an output (forage growth). Q: What is a grid? Why is it important? A: A grid The U.S. Department of Agriculture (USDA) prohibits discrimination is the physical area under which your operation is in all its programs and activities on the basis of race, color, national origin, age, disability, and where applicable, sex, marital status, famil- insured. You are paid based on the losses ial status, parental status, religion, sexual orientation, genetic infor- interpolated to the grid for the Rainfall Index, mation, political beliefs, reprisal, or because all or a part of an individ- ual’s income is derived from any public assistance program. (Not all which is why it is important that you choose the prohibited bases apply to all programs.) Persons with disabilities who right grid(s) in which your operation is located. If require alternative means for communication of program information (Braille, large print, audiotape, etc.) should contact USDA’s TARGET you have any questions about your grid(s) Center at 202-720-2600 (voice and TDD). identification number, or for more information on To file a complaint of discrimination, complete, sign and mail a pro- how grids are measured please contact your crop gram discrimination complaint form, (available at any USDA office insurance agent. location or online at www.ascr.usda.gov), to: United States Depart- ment of Agriculture; Office of the Assistant Secretary for Civil Rights; Q: How is precipitation measured under the 1400 Independence Ave., SW; Washington, DC 20250-9410. Or call Rainfall Index? When are payments triggered? toll free at (866) 632-9992 (voice) to obtain additional information, the appropriate office or to request documents. Individuals who are deaf, A: The Rainfall Index uses NOAA CPC Daily hard of hearing, or have speech disabilities may contact USDA Precipitation Data that interpolates precipitation through the Federal Relay service at (800) 877-8339 or (800) 845- to the grid. RMA compares the compiled data for 6136. each 2-month interval with the historical