Rural Financial Counselling Service Victoria – North East Programs

The vast majority of Eastern Australia’s agricultural regions are now in the grips of drought, and as we move through 2020 it looks like we can expect much of the same with further dry conditions predicted.

There is some good news with various drought measures recently announced to assist farmers impacted by the drought. The below assistance programs have been made available by the Victorian State Government as part of their response to the continuing and debilitating drought that is gripping much of Eastern Australia. 

We wish to acknowledge the work of the Rural Financial Counselling Service in putting together the information that forms the basis of this article.

The most common rural and drought assistance packages that may be available to you include:

0b9cbc70-f9e8-4c47-9381-2a744e4a3cd5_event_illustration_square_event_image_farm_windmill.jpgWater for Fodder – Department of Agriculture 

Farmers in the southern connected Murray-Darling Basin can apply to purchase water at a discounted rate from the South Australian Government for $5,000. Water must be used to grow fodder or pasture in the water year it is allocated.

Facts:

  • Applications for Round 1 for the Water for Fodder program has closed, but keep an eye out for round two with 60 gigalitres available in the next water year (2020-21).
  • Eligible primary producers, including dairy farmers, in the southern connected Murray-Darling Basin, can apply to purchase 50 megalitres for $5,000.
  • The second installment of Water for Fodder will make 60 gigalitres of water available in 2020-21.
  • Water for Fodder is one measure of the Australian Government’s Drought Response, Resilience and Preparedness Plan

For more information, visit:

https://www.agriculture.gov.au/water/mdb/programs/basin-wide/water-for-fodder

0b9cbc70-f9e8-4c47-9381-2a744e4a3cd5_event_illustration_square_event_image_farm_machine - Copy.jpgOn-farm Drought Resilience Grant Program GMID

The On-Farm Drought Resilience Grant Program provides farm businesses located in Wellington, East Gippsland, Millewa and the Goulburn Murray Irrigation District with funding to invest in on-farm drought preparedness and to seek business advice.

A grant of up to $5,000 (GST exclusive) per farm business is available to assist eligible farm businesses to implement on-farm infrastructure improvements and or undertake business planning and advice activities.

This grant is available until funds are allocated.

Facts:

  • This program is available for farm businesses in Wellington Shire, East Gippsland Shire, Millewa and the Goulburn Murray Irrigation District.
  • The program aims to help farm businesses manage current drought conditions and enhance the drought preparedness and longer-term viability of their farm.
  • Grants of up to $5,000 are available.

For more information, visit:

https://www.business.gov.au/Grants-and-Programs/OnFarm-Drought-Resilience-Grant-Program-VIC

Wangaratta Floods and Storms Concessional Loans

Concessional interest rate loans are available to eligible primary producers, small business and not-for-profit organisations in the Wangaratta Local Government Area that has been affected by the December 2018 floods and storms event.

If you have suffered significant damage to assets as a direct result of the December 2018 floods and storms event or suffered a significant loss of income, you may seek loan assistance.

Facts:

  • Applications for loan assistance close on 22 May 2020.
  • The applicable concessional interest rate for loans is 0.82% for the 2019/20 financial year.
    This rate is subject to an annual review over the five year concessional interest rate period (loans revert to a commercial rate of interest after the concessional five year period).
  • Application fees will not apply, however, statutory costs and other charges to establish loan securities will apply.

For more information, visit:

https://minister.homeaffairs.gov.au/davidlittleproud/Pages/additional-assistance-flood-wangaratta-20191122.aspx

0b9cbc70-f9e8-4c47-9381-2a744e4a3cd5_event_illustration_square_event_image_farm_irrugation.pngCWA of Victoria Drought Relief Program GMID

The Victorian Government has established a Household Financial Relief program to provide funding to drought-affected farm businesses and farmworkers, located in eligible areas, to help them meet urgent household expenses.

Payments of up to $3,000 are to assist with meeting urgent household expenses such as residential rates, food, school expenses, rent, telephone, household, and urgent dental and medical bills.

Facts:

  • Close date: 30 Jun 2020 12:00 AM AEST.
  • Only one payment is available per eligible farming family.
  • Up to $3,000 is available.
  • To be eligible, you must be a property owner, share farmer or leaseholder, employed by a farming business or a farming dependent contractor.
  • You must be located in one of the following eligible areas: Wellington and East Gippsland Shires, Far Northwest Victoria — the Millewa or Goulburn Murray Irrigation District.

For more information, visit:

https://www.business.gov.au/Grants-and-Programs/CWA-of-Victoria-Drought-Relief-Program

51b867cc-606b-443d-a42c-afd0d1cc9b0f_event_illustration_square_event_image_farm_field.jpgFarm Employment Exchange –

A new program to facilitate employment opportunities for farmers and farmworkers seeking alternative farm work due to drought.

Fast Facts:

  • The program will be open to farmers and farmworkers in Wellington and East Gippsland shires, the Millewa region, and the Goulburn Murray Irrigation District region.
  • For more information, call the Agriculture Victoria Line on 136 186.
  • More details will be available soon

For more information, visit:

http://agriculture.vic.gov.au/agriculture/farm-management/drought/dry-seasons-support/regional-support

Rural Skills Connect program was a project which seeks to support dairy farming families and farmworkers. Rural Skills Connect –

Rural Skills Connect program was a project funded by Regional Development Victoria and Murray Dairy which seeks to support dairy farming families and farm workers.

This program provides support to help farmers in Northern Victoria manage the effects of dry seasonal conditions and secure their long-term future and transition to more intensive farm systems if they choose.

Facts:

  • The program supports dairy farming families and farmworkers seeking off-farm income to develop new skills and use their existing expertise to gain new employment.
  • Call Agriculture Victoria on 136 186.

For more information, visit:

https://www.premier.vic.gov.au/wp-content/uploads/2019/05/190531-More-Support-For-Northern-Dairy-Farmers.pdf

Drought Employment Program

This program gives drought-affected workers across Central and East Gippsland, the Millewa region and Goulburn Murray Irrigations District (GMID) the opportunity to earn an income off-farm by working with local Catchment Management Authorities (CMA)

Facts:

  • This program provides off-farm employment and training for farmers, farmworkers and individuals affected by drought and dry seasonal conditions to expand or obtain transferrable employment skills.
  • To be eligible for this program, applicants must reside East Gippsland and Wellington Shires, the Millewa region or the Goulburn Murray Irrigation District, have suffered financial hardship as a result of a recent drought event and be prepared to work/travel as a member of a work crew.

For further information, please contact your local CMA.

  • East Gippsland CMA (03) 5152 0600
  • Mallee CMA (03) 5051 4377
  • Goulburn Broken CMA (03) 5822 7700

For more information, visit:

https://www.water.vic.gov.au/dry/drought-employment-program

Dedicated Dairy Support Program. Dedicated Dairy Support Program -

Dairy farmers in northern Victoria thinking about making significant changes to their farm business are encouraged to access the new Dedicated Dairy Support Program.

The big decision could be to leave the industry, scale back (or up), family succession or maybe transitioning to another agricultural enterprise.

Facts:

  • Services are available including health and wellbeing support, on-farm business advice and decision-making support, increased funding for the Rural Financial Counselling Service as well as further Targeted Dairy Technical Support.

For more information, visit:

http://agriculture.vic.gov.au/agriculture/dairy/dairy-support

Emergency Water Infrastructure Rebate (EWIR) scheme has recently been extended,On-farm Emergency Water Infrastructure Rebate Scheme -

Funding for the Emergency Water Infrastructure Rebate (EWIR) scheme has recently been extended, which provides a one-off 25 per cent rebate up to $25,000 (GST exclusive) to eligible primary producers for the costs associated with the purchase and installation of on-farm water infrastructure that addresses animal welfare needs and improves resilience to drought.

The scheme is now available for the purchase and installation of emergency water infrastructure for permanent horticultural plantings which may include the costs associated with drilling new horticulture groundwater bores and desilting dams.

Facts:

  • Eligible primary producers who can claim rebates of up to $25,000 on new purchases and installation costs of water infrastructure projects for animal welfare needs. This includes the installation of pipes, water storage and water pumps, de-silting dams and associated power supplies such as generators.
  • This Rebate scheme can be applied to costs incurred from 1 July 2018.
  • This program is available until 30/6/2020

For more information, visit:

https://www.agriculture.gov.au/water/national/on-farm-infrastructure-rebate

The Drought and Farm Investment loans are low-interest loans that allow farm businesses to access up to $2 millionRegional Investment Corporation Concessional Loans -

The Drought and Farm Investment loans are low-interest loans that allow farm businesses to access up to $2m to improve long-term strength, resilience and profitability with 50% of the debt being retained by the client’s commercial lender.

The Drought loans are available for farmers to feed, water, freight, restock, refinance, or anything that might keep their operation going.

Facts:

  • The current Drought loan terms have been enhanced to offer two years interest-free, three years interest only and five years principal and interest
  • The interest rate on the Farm investment loan will be reduced from 1 February 2020 to 2.11%.
  • Up to $2m

For more information, visit:

https://www.ric.gov.au/

Farm Debt Mediation Scheme makes it compulsory for banks and other creditors to offer mediation to farmers Farm Debt Mediation Scheme -

The Farm Debt Mediation Scheme makes it compulsory for banks and other creditors to offer mediation to farmers before commencing debt recovery proceedings on farm mortgages.

A farmer has 21 days to respond to an offer to mediate, otherwise, the creditor can commence action as normal. Early engagement with a Rural Financial Counsellor is advised.

Facts:

  • It is recommended that farmers seek assistance from their local Rural Financial Counsellor, Solicitor, Accountant or some other appropriately qualified person.
  • These people can assist farmers to prepare for mediation, attend the mediation session with farmers, and help with any actions that need to be undertaken after the mediation session.
  • For more information, call 136 186 and ask for the Farm Debt Mediation Officer.
  • Email: [email protected]

For more information, visit: 

http://agriculture.vic.gov.au/agriculture/farm-management/business-management/farm-debt-mediation

On-farm Energy Grants to assist Victorian farmers improve energy efficiencyOn-farm Energy Grants

On-farm Energy Grants to assist Victorian farmers improve energy efficiency such as equipment or infrastructure that is more efficient or enables the generation of own energy.

On-Farm Energy Tier-1 Grants -

Supports farms to replace energy inefficient equipment, install more energy-efficient systems and enable own-generation capacity.

On-Farm Energy Tier-2 Grants -

Support for businesses to make connected energy improvements across farm systems.

On farm energy grants to allow farmers to improve energy efficiencyFacts:

  • On-Farm Energy Tier 1 grants support projects that will improve energy efficiency which may, reduce energy costs and boost energy productivity.
  • On-Farm Energy Tier 2 Grants of $50,000 to $250,000 (excluding GST) will provide support for activities that make energy improvements across farm systems that reflect recommendations from their On-Farm Type 2 Energy Assessments.
  • Apply by 31/03/2020.

For more information, visit:

https://www.business.vic.gov.au/support-for-your-business/grants-and-assistance/agriculture-energy-investment-plan/on-farm-energy-tier-one-grants
https://www.business.vic.gov.au/support-for-your-business/grants-and-assistance/agriculture-energy-investment-plan/on-farm-energy-tier-two-grants

Should you need assistance or feel you might qualify for assistance, please seek assistance from either your local Rural Financial Counsellor or your RSM adviser.

Please don’t self-assess, as you may end up missing out on the assistance you are entitled to.

 

Further reading...

Further Drought Support Announced by the Federal Government >>