Five Eastern Iowa counties get USDA natural disaster declarations

A natural disaster declaration announced Wednesday for five southeastern Iowa counties will make it possible for eligible family farmers to obtain low-interest emergency loans.

Clinton, Lee, Louisa, Muscatine and Scott counties were included in a Secretarial Natural Disaster Desigantion by the USDA, according to John Whitaker, Iowa state executive director for the USDA Farm Service Agency.

The declaration is for production and physical losses caused by drought and excessive heat beginning July 1.

The interest rate for emergency loans is 3.75 percent. Applicants must be able to obtain credit from other usual sources to qualify for the Farm Service Agency Loan Program assistance.

The loans may by farmers to replace livestock losses, perennial crops, fruit trees, nut trees and harvested or stored crops. For production loss loans, the yields must be at least 30 percent below the normal production yield on a crop or crops that make up a basic part of the total farming operation.

The final date for applying for the loans is July 2, 2012.