Important Updates on Direct Assistance Sign Up for Farmers
The USDA as provided updates to their website regarding the USDA Coronavirus Food Assistance Program (CFAP)
See below with updates regarding eligibility and payments for dairy:
Dairy Eligibility ( https://www.farmers.gov/cfap )
CFAP payments are eligible to all dairy operations with milk production in January, February, and/or March 2020. Any dumped milk production during the months of January, February, and March 2020 is eligible for assistance.
CFAP Payments for Dairy
For dairy, a single payment will be made based on a producer’s certification of milk production for the first quarter of calendar year 2020 multiplied by $4.71 per hundred weight. The second part of the payment is based a national adjustment to each producer’s production in the first quarter multiplied by $1.47 per hundred weight.
A single payment for dairy will be made calculated from two funding sources. Those include:
CARES Act – The payment will compensate producers for price losses during the first quarter of 2020, and
CCC Funds – The payment will compensate for marketing channel and demand disruptions for the second quarter of 2020 – April, May, and June – due to COVID-19.
May 19th Update:
Direct Assistance Sign Up for
Farmers Begins on May 26th
The USDA will begin accepting applications on May 26th, 2020 for the Coronavirus Food Assistance Program (CFAP) package through the Farm Service Agency. This program is available for all agriculture farmers who have suffered losses due to the COVID-19 pandemic.
The total payment for dairy will be calculated based on a producer’s certification of milk production for the first quarter of calendar year 2020, multiplied by a national price decline during the same quarter. The second part of the payment is based on a national adjustment to each producer’s production in the first quarter.
Non-Specialty Crops such as corn and soybeans will be paid based on inventory subject to price risk held as of January 15, 2020. A payment will be made based on 50 percent of the producer’s 2019 total production or the 2019 inventory as of January 15, 2020(whichever is smaller), multiplied by the commodity’s applicable payment rates.
The first phase payout will provide each farmer with an 80% assistance payment for this initial distribution with the remaining 20% distributed at some time in the future depending on fund availability.
There is a payment limitation of $250,000 per person or entity for all commodities combined. Applicants who are corporations, limited liability companies, or limited partnerships may qualify for additional payment limits where members actively provide personal labor or personal management for the farming operation. Farmers will also have to certify they meet the Adjusted Gross Income limitation of $900,000 unless at least 75 percent or more of their income is derived from farming. USDA is also allowing up to three individuals in a corporation who meets the definition requirements of "actively engaged in farming" will each be eligible for three separate payment limits.
USDA Service Centers are open for business by phone appointment only.
For additional information please click here: https://www.farmers.gov/cfap