WASHINGTON, D.C. — USDA Secretary Tom Vilsack hosted a press conference Monday outlining additional steps the administration is taking to help drought-stricken farmers. Vilsack said after disaster aid relief was announced earlier this month, President Obama tasked the USDA to come up with more measures.

“Our tools are limited,” Vilsack said. “We’re continuing to look at ways we can provide additional help and assistance.”

Specifically, he announced help in four areas: Conservation Reserve Program (CRP), Environmental Quality Incentives Program (EQIP), Wetland Reserve Program (WRP) and crop insurance.

With CRP, Vilsack said he’s using his discretionary authority to allow additional acres in the program to be used for haying or grazing under emergency conditions.

Monday’s action will allow lands that aren’t yet classified as under severe drought, but abnormally dry, to be used for haying and grazing. Wetlands, stream buffers and rare habitats will not be eligible, however. With EQIP, the changes will allow farmers and ranchers to modify their contracts to allow for prescribed grazing, livestock watering facilities, water conservation and other conservation activities to address drought conditions.

EQIP money that has not been spent “will be directed to D-4 areas,” Vilsack said, referring to a U.S. Drought Monitor classification. These are the areas “most seriously affected by drought.” He is directing Natural Resources Conservation Service personnel to work with producers to reapply conservation activities where drought has destroyed their efforts.

On the WRP, he announced the authorization of haying and grazing of easement land in drought-affected areas, as long as the haying and grazing doesn’t conflict with WRP conservation goals. “This should provide added flexibility,” Vilsack said.

Delay insurance penalty?

Vilsack said the USDA is asking crop insurance companies to voluntarily forego charging interest on unpaid crop insurance premiums an extra 30 days, to Nov. 1, for spring crops. Farmers who are unable to pay their premiums in a timely manner accrue an interest penalty of 1.25 percent per month until payment is made.

“We realize we’re asking insurance companies to do something they’re not required to do,” Vilsack said. To help the insurers, in turn, the USDA will not require the firms to pay uncollected producer premiums until one month later.

To date for 2012, the USDA has designated 1,297 counties in 29 states as disaster areas, making all qualified farm operators in those areas eligible for low-interest loans. The department also reduced the interest rate for emergency loans from 3.75 to 2.25 percent, and lowered the reduction in the annual rental payment to producers on CRP acres used for emergency haying or grazing from 25 to 10 percent.

It’s also reduced the time it takes to designate a county as a disaster area by 40 percent, according to the Monday announcement.

Vilsack said Congress should pass the 2012 farm bill soon. He added an extension of the 2008 farm bill will not continue current disaster programs.

“There’s no reason why they can’t take this matter up,” he said. “(Farmers) need certainty as soon as possible. There’s time and no doubt, Congress can find time. An extension of the current farm bill won’t get the job done.”

Vilsack said it’s “guesswork” as to what crop yields will be at this point. He stated he’s seen crops in Iowa that have “significant damage” and other fields that are doing fine. “Livestock operators in particular are affected,” he said. “Their costs are going to be significantly higher.”