USDA Offers Direct Payments for Crop Losses.
The USDA today announced it would make available up to $250,000 apiece for farmers who lost crops, or were not paid for crops between Jan.15 – April 15.
In a statement issued today, U.S. Ag Department Secretary Sonny Perdue stated:
“America’s farming community is facing an unprecedented situation as our nation tackles the coronavirus. President Trump has authorized USDA to ensure our patriotic farmers, ranchers, and producers are supported and we are moving quickly to open applications to get payments out the door and into the pockets of farmers,” said Secretary Perdue. “These payments will help keep farmers afloat while market demand returns as our nation reopens and recovers. America’s farmers are resilient and will get through this challenge just like they always do with faith, hard work, and determination.”
For eligible specialty crops — a list which includes onions — the total payment will be based on the volume of production sold between January 15 and April 15, 2020; the volume of production shipped, but unpaid; and the number of acres for which harvested production did not leave the farm or mature product destroyed or not harvested during that same time period, and which have not and will not be sold.
Specialty crops include, but are not limited to, almonds, beans, broccoli, dry onions, sweet corn, lemons, iceberg lettuce, spinach, squash, strawberries and tomatoes. A full list of eligible crops can be found on farmers.gov/cfap. Additional crops may be deemed eligible at a later date.
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.
Producers 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, ranching or forestry-related activities. Producers must also be in compliance with Highly Erodible Land and Wetland Conservation provisions.
Producers of specialty crops are eligible for CFAP payments in the following three categories:
- Had crops that suffered a five percent-or-greater price decline between mid-January and mid-April as a result of the COVID-19 pandemic,
- Had produce shipped but subsequently spoiled due to loss of marketing channel, and
- Had shipments that did not leave the farm or mature crops that remained unharvested.
Visit farmers.gov/cfap/specialty for more information on CFAP eligibility and payment details related to specialty crops.
