WASHINGTON — USDA’s Farm Service Agency is reminding farmers and ranchers who participate in FSA programs to plan accordingly in FY2014 for automatic spending reductions known as sequestration.

The Budget Control Act of 2011 mandates that federal agencies implement automatic, annual reductions to discretionary and mandatory spending limits. For mandatory programs, the sequestration rate for FY2014 is 7.2 percent. Accordingly, FSA is implementing sequestration for the following programs: Dairy Indemnity Payment Program; marketing assistance loans; loan deficiency payments; sugar loans; Noninsured Crop Disaster Assistance Program; Tobacco Transition Payment Program; 2013 direct and counter-cyclical payments; 2013 Average Crop Revenue Election Program; 2011 and 2012 Supplemental Revenue Assistance Program; storage, handling; and Economic Adjustment Assistance for upland cotton.

Conservation Reserve Program payments are specifically exempt by statute from sequestration, thus these payments will not be reduced.

For information about FSA programs, visit your county USDA Service Center or go to www.fsa.usda.gov.