Risk Management Partnership Agreements (RMA)

Providing partnership agreements to advance agricultural research and development, education, and community outreach

The USDA's Risk Management Agency offers Partnership Agreements to advance its work in three program areas: Research and Development (R&D), Education, and Community Outreach.

R&D: The Research Management Research Partnerships fund qualified public and private organizations to research and develop new non-insurance risk management tools. For example, these tools may include risk mitigation for livestock, forage and rangeland, and organic producers. Project objectives to fund research activities may vary each year.

Education: The Commodity Partnerships for Risk Management Education and the Crop Insurance Education in Targeted States are aimed at educating producers about how to use financial management, crop insurance, marketing contracts, and other existing and emerging risk management tools. The Targeted States program delivers crop insurance education and information through cooperative agreements to producers in fifteen states that have been specifically designated as historically underserved with respect to crop insurance.

Outreach: The Community Outreach and Assistance Partnership Program aims to ensure that information on how to use such tools is effectively targeted to women, limited-resource, socially disadvantaged, and other traditionally underserved producers of priority commodities. The RMA maintains an active presence in collaborating with the partners it funds to implement the work designated by its agreements.

Risk management tools aren't limited to insurance products, but include a variety of risk management options and strategies to assist producers in mitigating risks inherent in agricultural production. They may include financial management tools to mitigate price and production risks; tools to enhance measurement and prediction of risks in order to facilitate risk diversification; and tools to improve production management, harvesting, record keeping, or marketing.

Project Examples
Research and Development Partnership Agreements

The Rodale Institute received two grants. One was for $718,314 to expand the geographic scope of the Organic Price Index. The second was for $2,328,519 to develop an enhanced Organic Transition Simulation Model to help farmers analyze a wide variety of risk factors and costs when considering a transition to organic.
Iowa State University received $438,738 to develop and implement a web-based management system for organic apple growers in the Eastern United States.
The Rural Coalition received $715,000 to develop and provide risk management tools to reduce risk exposure and increase health and safety through farmworker/farmer partnership and training.

Commodity Partnerships for Risk Management Education

Midwest Organic and Sustainable Education Services (MOSES) received $129,775 to deliver risk management training, tools, and resources that address the needs of Wisconsin farmers engaged in organic production, marketing, and accessing new markets for farm products.
Small Farm Today received $96,600 to change awareness and behavior in new and beginning small farmers and ranchers in Missouri by giving them information about managing risk with specialty crops and livestock to help them farm more successfully and sustainably.

Crop Insurance Education and Information Programs in Targeted States

The New England Small Farm Institute received $221,426 to deliver crop insurance education and information to Massachusetts producers.

Community Outreach and Assistance Partnership Agreements

Growing Power of Milwaukee,WI, received $75,000 to provide follow-up technical assistance and risk management education workshops on production, marketing, finances, human resources, and legal risk. Training will focus on sustainable farming practices, food processing, packaging, and marketing.
Sustainable Agriculture Education (SAGE) received $75,000 to create innovative, replicable strategies that link solutions to the market development and land access needs of underserved specialty crop producers.
The Minnesota Department of Agriculture received $85,410 to implement a variety of strategies to deliver risk management tools that will help organic producers assess and manage production and economic (including marketing) risks associated with organic systems.

A complete listing of 2003 agreements can be found at the following websites:

R&D: www.rma.usda.gov/news/2003/10/03rdtable.html
Education: www.rma.usda.gov/news/2003/10/03educationtable.html
Outreach: www.rma.usda.gov/news/2003/10/03outreachtable.html

Application and Financial Information
Application information is available at the RMA website at www.rma.usda.gov. Applicants may also request application materials from the contacts listed below.

Education and Outreach Agreements are for up to 1 year. Research and Development Partnership Agreements may last up to 3 years. Except for Education Agreements, wherein levels are partially determined by formulas explained in the application materials, these agreements have no maximum or minimum funding levels. In 2003, $24.7 million in partnership agreements was awarded, including $10.6 million in Research and Development Agreements, $5 million for Community Outreach and Assistance Agreements with 49 community-based partners, and $9.1 million in Education Partnership Agreements, including $4.5 million for the Targeted States Program for crop insurance education in 15 historically underserved states.

Eligibility, Uses, and Restrictions
For all three programs, individuals are ineligible to apply. Eligible applicants for the Research Partnerships are all colleges and universities; federal, state and local agencies; nonprofit and for-profit private organizations; or corporations and other entities.

For both kinds of Education Partnerships, eligible applicants include state departments of agriculture, universities, nonprofit agricultural organizations, and other public or private organizations able to lead a local program of risk management or crop insurance education. For the Outreach Partnerships, eligible applicants include educational institutions; community-based organizations; and associations of farmers, ranchers and other nonprofit organizations with demonstrated abilities to develop and implement risk management and other marketing options for priority commodities.

Partnership agreement funds may not be used for building or equipment purchases, rental or repair, to repair or maintain privately owned vehicles, or to prepare a partnership agreement application.

Contact
David W. Fulk
Research Management Research Partnerships
Phone (816) 926-6343; Fax (816) 926-7343
E-mail: david.fulk@rma.usda.gov

Michelle Fuller
Commodity Partnerships for Risk Management Education and the Crop Insurance Education in Targeted States
Phone (202) 720-6356; Fax (202) 690-3605
E-mail: michelle.fuller@wdc.usda.gov

Marie Buchanan
Community Outreach and Assistance Partnerships
Phone (202) 690-2686
E-mail: Marie.Buchanan@wdc.usda.gov

Internet
www.rma.usda.gov

Last Updated January 24, 2005