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State Rep. Woody Burton wants the community to know that since Johnson County was recently deemed a natural disaster area by the United States Department of Agriculture (USDA), residents may qualify for help.

“The lack of rain and record breaking temperatures has made for a harsh summer for everyone in our community,” said Rep. Burton.

Farm and Foreign Agricultural Services Undersecretary, Michael Scuse, is set to visit Kelsay Farms, a sixth-generation dairy and crop farm, on Thursday morning in Whiteland. Scuse visited farms in Allen and White counties on Wednesday.

Farmers may be the most effected by recent weather conditions, but the effects do not stop there. All Hoosiers are experiencing the effects of the current weather conditions and will continue to do so if those conditions persist.

Because of the expected high loss of corn, consumers will soon notice higher prices at the supermarket. The price of corn jumped to $7.79 a bushel in a month’s time, a 40 percent increase. On average, a 50 percent increase in the price of corn will result in a one percent increase in the price of food. The cost of meat could increase as much as 10 percent because corn serves as the main feed for livestock.

However, the increase in food prices will not be immediate. Consumers can expect products at the local supermarket to increase in price around the time farmers begin harvesting and selling their yield. The increase could then remain steady and gradually rise for several months.

“We will probably see the effects of the drought for months to come, and it will take a toll on our pocketbooks,” said Rep. Burton.

In order to better help farmers in the designated disaster areas, the USDA will offer a reduced rate for emergency loans that will effectively lower the current rate from 3.75 percent to 2.25 percent, providing eligibility requirements are met. Farmers in eligible counties have eight months from the date of the declaration to apply for low interest loans. The USDA will also create a payment reduction on Conservation Reserve Program lands qualified for emergency haying and grazing in 2012 from 25 to 10 percent.

The USDA is urging all farmers to contact their crop insurance companies as well as their local USDA Farm Service Agency Service Centers to report crop damage or livestock loss. In addition, they are reminding livestock producers to keep thorough records of losses, including additional expenses for such things as food purchased due to lost supplies.

For more information from the USDA on disaster recovery assistance, visit www.usda.gov/disaster. Additional resources to help farmers are available at www.in.gov/isda/2533.htm.

The annual Legislative Vote Analysis completed by the Indiana Chamber of Commerce ranked State Rep. Woody Burton as having a 97 percent when it comes to legislation creating jobs in Indiana.

“I continue to work hard to pass legislation to create jobs in Indiana,” said Rep. Burton. “I am grateful for the Chamber’s recognition of my efforts.”

“We want employers and citizens to take note of this report because it makes it very clear which legislators were supportive of bettering Indiana’s economic climate and which were not,” said Indiana Chamber President Kevin Brinegar.

The Chamber’s Vote Analysis has been produced for the past 28 years after every legislative session. The legislator’s scores are determined by his or her votes on particular bills and select amendments where the outcome of those bills and amendments on the state’s economy would have an impact on Indiana businesses.

Over the past eight years, House Republicans have built the best toolbox in the Midwest and arguably the nation when it comes to creating a climate for job growth. Indiana was also ranked as the number one state in biosciences, in addition to having 58 companies indicate to the IEDC that Indiana’s enactment of Right to Work will be a positive factor in their decision-making process of where to locate their current projects.

“I will continue to work with my fellow legislators to build a work environment that attracts employers to build and stay in Indiana – which will bring more jobs to our community,” said Rep. Burton.

All scores and a full report can be viewed on the Indiana Chamber’s web site at www.indianachamber.com/lva.

You may have heard rumors of a 3.8% tax on home sales. Shortly after the tax was approved, misleading documents went viral online and caused a great deal of misunderstanding. It is true that a new 3.8% real estate tax is on the horizon, but it applies only to a limited group of taxpayers.

Given my background as a real estate broker, I wanted to take the opportunity to clear up some confusion over this news.

Beginning January 1, 2013, a new 3.8% tax on some investment income will take effect. This new tax is included in The Health Care and Education Reconciliation Act (commonly known as Obamacare) passed by Congress in 2010. It is expected to generate $210 billion (over 10 years) to fund health care reform. The revenues generated from this tax will be allocated to the Medicare Trust Fund that is part of the Social Security System.

This tax applies to investment income including capital gains, interest, dividends, annuities, royalties and rent. The tax will apply to individuals with an adjusted gross income (AGI) greater than $200,000 and couples filing a joint return with more than $250,000 AGI.

What does this mean for Hoosiers? This tax does not affect all real estate transactions. It only applies to net investment income. It is not a tax on the selling price of the home. It is rather, a tax on the profit.

Furthermore, for a principal residence (the one a homeowner lives in), only the amount of profit that exceeds $250,000 (or $500,000 in the case of a couple) will be taxed. For example, a couple that makes a profit of $525,000 selling their primary residence would owe $950 or 3.8 percent of the amount of profit over $500,000.

Make no mistake about it, this is a new tax. Since the tax does not begin until 2013, I suggest you utilize this window of opportunity to analyze your investments and plan your strategy to lessen the impact of the new tax. I recommend you contact a tax professional for the most detailed explanation.