Dear Secretary Veneman:
I am writing to respectfully urge you to approve and expedite New York State's application for disaster assistance for the cherry growers whose livelihoods were drastically hurt by the recent ice storm in Wayne County. As you know, when a county has been declared a disaster area by the USDA, agricultural producers in that county may become eligible for low-interest emergency disaster (EM) loans available through the Farm Service Agency (FSA).
In Wayne County, approximately 75 percent of the county's 183,000 cherry trees split to the ground because of last weekend 's ice storm, leaving over 130,00 trees lost. 1,767 acres of sour cherry are planted in Wayne County and growers estimate that the damage will result in a 75 percent reduction in the yield of the crop. Because New York produced over 12.7 million pounds of sour cherries last season, it is an important secondary crop for the fruit industry in New York. It takes 5-6 years for new trees to produce significant crop.
We need to help the New York cherry growers who are now left wondering how they are going to resume business and keep their heads above water. These are honest, hard working New Yorkers who through no fault of their own, are now facing potential hardships that could wreak great financial devastation. There are some things that cherry growers can account for when they're doing business, like market conditions and costs they incur, but severe weather just isn't one of them. When this happens, it's only appropriate that the government step in and provide protection for these New Yorkers.
As you know, EM loan funds may be used to help eligible farmers and producers recover from production losses (significant loss of crop) or physical losses (eg, repairing or replacing damaged structures or equipment, or replanting permanent crops). Qualified applicants can also borrow up to 100% of actual production or physical losses (not to exceed $500,000) at a below-market interest rate (which is currently 3.75%). I believe this assistance could be of use to the cherry farmers who have suffered so severely over the last week and a half.
I am aware that for a county to be considered for the loans, the State must first apply for the federal funds, something I have encouraged the State Department of Agriculture & Markets to do.
Thank you for your attention to this matter of great importance to the cherry growers of Wayne County. I look forward to your response.
Sincerely,
Charles E. Schumer
U.S. Senator