Lawyer: Black Farmers Won’t See Money Until 2012

WASHINGTON — It could be at least a year before black farmers get any payments from the $1.2 billion fund set up to settle decades of discrimination claims against federal agriculture officials.

"There will be a deadline for claims, but it has not yet been set," said Andrew Marks, a lead counsel for the farmers. "It's highly unlikely that anyone will get any money until some time in 2012."

Last week, President Barack Obama signed legislation setting up a fund to pay thousands of black farmers who say they were denied loans and other assistance for years by federal agriculture officials because of their race.

This marks the second round of payments for black farmers. Thousands of farmers received payments as part of a 1999 class-action settlement in what is known as the Pigford I case. The fund created by the new law would pay others who missed that filing deadline.

Before any money is paid out, the settlement must be approved by a court, an arbitration system must be set up to review claims, and notices must be sent to thousands of farmers.

"It's got to be done right," said Marks, a lawyer with Crowell and Moring in Washington.

Question: What should farmers do now?

Answer: They should start gathering information, particularly any proof that they filed a claim in the original Pigford case. They also should gather any proof they were denied loans or other assistance or received less favorable terms than white farmers got.

Q: Who can apply?

A: This settlement applies only to black farmers who missed the deadline for filing a claim in the Pigford I case. But even farmers who can't prove they filed an application past that deadline should move forward in pursuing a claim, because claims arbitrators should have those records, Marks said.

Q: When can farmers apply and where?

A: They will be notified later, perhaps early next year, about where and when to file a claim.

Q: Why is it taking so long to get the money to farmers?

A: Final court approval of the settlement may not happen until next summer, Marks said. Farmers likely will have six months after that to file claims. Meanwhile, arbitrators are expected to begin reviewing claims.

Q: How much will black farmers get?

A: Farmers can choose two options for payment. The fast-track option pays a fixed amount. The other may pay more but requires a higher burden of proof, including evidence of economic damages.