MITCHELL, SD. — Senators Mike Rounds (R-SD) and Amy Klobuchar (D-Minn.) continue to push for their Livestock Indemnity Program (LIP) Improvement Act, which was introduced in March and has since garnered the support of several agriculture stakeholders.

If ratified, the LIP Payment Improvement Act would require the Farm Service Agency (FSA) to make quarterly updates to LIP payment rates that reflect livestock market prices. Eligible livestock owners and contract growers receive LIP payments for abnormal livestock deaths caused by certain conditions, such as severe weather, disease or animal attack.

Currently, the FSA is required to update LIP payment rates annually.

“South Dakota farmers and ranchers work hard to produce quality livestock,” Rounds said. “Unfortunately, extenuating circumstances such as severe weather or disease can deplete their herds and as such, hurt their operations. These producers deserve to be paid a fair and updated market price for their livestock when tragedy strikes.”

Beef producers have expressed their support of the bill, including the National Cattlemen’s Beef Association (NCBA).

“Natural disasters take a heavy toll on cattle producers, especially when severe weather leads to livestock losses,” said Allison Rivera, executive director of government affairs at NCBA. “Many producers rely on the Livestock Indemnity Program for support during these challenging times, but the program needs to be updated in a timely manner so that cattle producers are reimbursed for the full value of their lost cattle.”

Additionally, South Dakota agriculture stakeholders have voiced support for the LIP Payment Improvement Act, including the South Dakota Farmers Union, South Dakota Stockgrowers Association, South Dakota Cattlemen’s Association and South Dakota Farm Bureau.

“In an ever-changing cattle market, timely and accurate compensation for livestock losses is vital to sustaining producers’ operations,” said Warren Symens, president of the South Dakota Cattlemen’s Association.

The House Agriculture Committee’s farm bill includes the LIP Payment Improvement Act and has been passed out of committee. The provision is also a part of the majority and minority frameworks for the Senate Agriculture Committee’s farm bill, which is awaiting markup.

“The South Dakota Farm Bureau appreciates Senator Rounds for introducing this bill that will benefit our 13,000 ranchers, farmers and rural families,” said Scott VanderWal, president of South Dakota Farm Bureau. “It is critical that we have our voices heard and we’re excited to hear progress is being made on getting this included in the farm bill.”