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The Honolulu Advertiser
Updated at 4:08 p.m., Wednesday, July 30, 2008

USDA approves disaster declaration for vog damage

Advertiser Staff

The Secretary of the U.S. Department of Agriculture approved today a Secretarial Disaster Designation for production and physical losses that have resulted from volcanic emissions on the Big Island.

Senators Daniel Inouye and Daniel Akaka were informed of the disaster designation this afternoon.

Big Island farmers can now apply for low-interest emergency loans to cover losses caused by the vog.

The designation was requested by Gov. Linda Lingle.

"Intense vog from Kilauea has damaged many crops. These low interest emergency disaster loans will help Big Island farmers stay in business while they recover," Akaka said in a released statement.

The impact of vog on Big Island crops varies. The floricultural industry, a multi-million dollar a year business, and in particular, protea growers, have been hit hard. According to the University of Hawai'i College of Tropical Agriculture, vog causes proteas to suffer severe burns resulting in devastating crop losses.

With the disaster designation, farm operators on the Big Island can apply and may be approved for low-interest USDA Farm Service Agency emergency loans, provided eligibility requirements are met.

Eligible producers may borrow up to 100 percent of actual production or physical losses, not to exceed a total amount of $500,000.

For more information on the USDA loan program, go to www.fsa.usda.gov/Internet/FSA_File/emerdisproc07.pdf.