Graves Seeks Answers on Crop Insurance Reviews of Northeast Missouri Farmers

WASHINGTON, D.C.– Congressman Sam Graves (MO-06) is asking the Inspector General (IG) of the United States Department of Agriculture (USDA) to look into crop insurance reviews of dozens of farmers in mostly Northeast Missouri. Graves sent a letter to USDA IG Phyllis Fong earlier this week urging her to investigate the matter.

In November 2013, the USDA's Risk Management Agency (RMA) ordered an insurance underwriting agency to perform the reviews. Failure to comply with reviews would result in penalties totaling around $30 million for the farmers involved in the process. Producers required to participate were past and present customers of an insurance agency based in Northeast Missouri; many of these farmers went through a similar review process in 2009 with no legal implications or significant findings.

"The documentation required for the reviews is extensive. For example, some farmers have been asked to produce documentation of yields dating back as far as 20 years. This is well past normal industry standards for document retention," said Graves, a farmer from Tarkio. "Even more puzzling is why RMA is reviewing many of the same farmers and years of production that they did just four years ago."

"I have heard from dozens of farmers in Northeast Missouri asking the same questions," Graves continued. "A properly functioning crop insurance program requires healthy oversight; however, it appears RMA is acting out of bounds with these reviews and putting literally hundreds of hours of work on the backs of hard working farmers with no apparent evidence of illegal activity. For whatever reason, this agency seems to be on a witch hunt and has yet to produce any results. I do not think they realize the hardship they have put on businesses and families in the area."

Graves has been seeking answers from RMA since he first received reports of these actions from constituents. In December, Graves sent a letter to the Risk Management Agency, asking for an explanation of the reviews. Since that point, the agency has failed to respond to further questions, which led to Graves' letter to Ms. Fong seeking further inquiry into the matter.

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