Wednesday, March 09, 2016

Congratualtions to FSA and RMA--Expansion of ACRSI

FSA issued its notice on the expansion of ACRSI to all counties.  This means producers can file acreage reports with their insurance provider or FSA.  It's a limited set of crops, though because the major field crops are covered it will handle most crop acreage, It's a goal it's taken 25 years to achieve. ( Since they've done pilot testing, I assume the new expansion will be successful so it's not premature to credit its success.)

I do have some comments, of course:
  • I wonder about the experience in the pilots--were most reports filed with FSA or with the company--is there a structural bias to the system?  
  • Did the pilot include surveys of producers using it?
  • Will the savings of a more efficient system, besides benefiting producers, mean a reduction in funding for FSA operations or government support for insurance company administration?  
  • How is the spot-checking of acreage reports affected?  If errors/fraud is discovered, what's the reporting process?
I'm sure there are answers to the questions and other questions I'm missing.  But the bottom line is I congratulate the FSA bureaucrats (and the RMA types) for the achievement.

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