( Washington, D.C., January 15, 2021)— U.S. Secretary of Agriculture Sonny Perdue revealed the U.S. Department of Agriculture (USDA) will provide additional assistance through the Coronavirus Food Assistance Program (CFAP), broadening eligibility for some farming manufacturers and commodities along with updating payments to precisely compensate some producers who currently made an application for the program. Manufacturers who are now eligible and those who need to modify existing applications due to these updates can call USDA’s Farm Service Firm (FSA) in between Jan. 19 and Feb.26 Some of these changes are being made to align with the just recently enacted Consolidated Appropriations Act of 2021 while others are discretionary modifications being made in reaction to continuous examination of CFAP.
” The COVID-19 pandemic has left a deep influence on the farm economy, and we are making use of the tools and monies offered to reduce a few of the financial burdens on American producers to guarantee our farming economy stays strong, independent and a global leader in production,” stated Secretary Perdue. “As part of carrying out CFAP 1 and CFAP 2, we recognized brand-new locations of support and Congress just recently directed us to provide extra relief. This extra help develops on to the $236 billion in support already offered to our farmers and ranchers affected by the pandemic, and we will continue to implement other arrangements enacted by Congress.”
Background:
Expanded Eligibility for CFAP 2
Contract manufacturers of swine, broilers, laying hens, chicken eggs and turkeys who suffered a drop in profits in 2020 as compared to their 2019 profits since of the pandemic now are qualified for assistance. Producers could receive approximately 80%of their profits loss, subject to the accessibility of funds.
Manufacturers of pullets and turfgrass sod also now are eligible for CFAP payments. The products were not explicitly included in the preliminary CFAP 2 guideline. Payments are based on qualified sales, and the payment computation in the upgraded guideline includes crop insurance coverage indemnities, Noninsured Crop Catastrophe Help Program (NAP), and Wildfire and Typhoon Indemnity Program– Plus (WHIP ) payments.
Updated Payment Computations for CFAP 2
Similarly, FSA adjusted the payment calculation to utilize the producer’s eligible 2019 fiscal year sales, and 2019 crop insurance coverage indemnities, NAP, and WHIP payments, increased by the suitable payment rate for all sales commodities, which include specialty crops, aquaculture, tobacco, specialized livestock, nursery crops and floriculture, for CFAP 2. Producers who used throughout the sign-up duration that closed Dec. 11, 2020, can customize an existing CFAP 2 application between Jan. 19 and Feb. 26, 2021.
In addition, FSA changed the payment estimation for certain row crops for CFAP 2, specifically those for which a manufacturer had crop insurance coverage but not a readily available 2020 Real Production History (APH) approved yield. Producers who applied throughout the sign-up duration that closed Dec. 11, 2020, can modify an existing CFAP 2 application between Jan. 19 and Feb. 26,2021
CFAP 1 ‘Top-up’ Payments for Swine
FSA is providing an extra CFAP 1 inventory payment for swine to help producers who face continuing market disruptions from modifications in U.S. meat consumption due to the pandemic. Swine producers with authorized CFAP 1 applications will soon automatically get a “top-up” payment of $17 per head increasing the overall CFAP1 stock payment to $34 per head.
More Information
Recently qualified producers who need to submit a CFAP 2 application or manufacturers who need to customize an existing one can do so between Jan. 19 and Feb. 26, 2021, by calling their regional USDA Service. New candidates can likewise get one-on-one support with applications by calling 877-508-8364
In addition to the changes being made to CFAP, per language in the Consolidated Appropriations Act of 2021, FSA will extend 2020 Marketing Support Loans to offer extra versatilities for farmers. FSA is likewise preparing to move forward on implementation of the staying provisions of the just recently passed Consolidated Appropriations Act of 2021.
For more information about this extra support, check out farmers.gov/ cfap
All USDA Service Centers are open for organization, including those that limit in-person visits or need consultations. All Service Center visitors wanting to conduct organization with FSA, Natural Resources Preservation Service or any other Service Center agency need to call ahead and arrange a visit. Service Centers that are open for visits will pre-screen visitors based upon health issues or current travel, and visitors should follow social distancing guidelines. Visitors are also required to wear a face covering during their appointment. Our program delivery staff will continue to deal with our manufacturers by phone, e-mail and using online tools. More info can be found at farmers.gov/ coronavirus
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