As South Australia’s pastoral region and many parts of the rest of the State are in drought, Livestock SA welcomes the proposed changes to the Farm Household Allowance. Livestock SA’s submission discusses the increase of the offset amount, as the ability to offset off-farm income against debt servicing is extremely useful and raising it brings the offset more in line with real debt situations. It also discusses extending the scope of the FHA program, which means that the availability of support is more likely to be able to be linked to actual seasonal conditions at any time rather than being a once off event. As farmers come out of a drought, the biggest problem they will face is the availability of capital. By adding in lump sum payments, the impact of the drought situation on farming families can be reduced.