USDA Announces Broader Pandemic Assistance Program

In a Mar. 24 announcement, Agriculture Secretary Tom Vilsack said that USDA is establishing new programs and efforts to bring financial assistance to farmers, ranchers and producers who felt the impact of COVID-19 market disruptions.

The new $6 billion initiative – USDA Pandemic Assistance for Producers – will reach a broader set of producers than in previous COVID-19 aid programs. Existing programs like the Coronavirus Food Assistance Program (CFAP) will fall within the new initiative and, where statutory authority allows, will be refined to better address the needs of producers.

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For producers of cotton, corn, soybeans, peanuts, rice, sorghum and other eligible crops identified as CFAP 2 flat-rate or price-trigger crops, additional CFAP assistance of $20 per acre will begin in April. The USDA Farm Service Agency (FSA) will automatically issue payments to eligible price trigger and flat-rate crop producers based on the eligible acres included on their CFAP 2 applications. Eligible producers do not need to submit a new CFAP 2 application.

In addition, approximately $80 million in additional payments are earmarked for domestic users of upland and extra-long staple cotton that USDA plans to deliver through the Economic Adjustment Assistance for Textile Mills program.

Under the new program, the Department will also develop rules for new programs that put a greater emphasis on outreach to small and socially disadvantaged producers, specialty crop and organic producers, and timber harvesters, as well as provide support for the food supply chain and producers of renewable fuel, among others.

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USDA Pandemic Assistance for Producers was needed, said Vilsack, after a review of previous COVID-19 assistance programs targeting farmers identified a number of gaps and disparities in how assistance was distributed, as well as inadequate outreach to underserved producers and smaller and medium operations.

“The pandemic affected all of agriculture, but many farmers did not benefit from previous rounds of pandemic-related assistance,” said Vilsack. “The Biden-Harris Administration is committed to helping as many producers as possible, as equitably as possible. “Our new initiative will help get financial assistance to a broader set of producers, including to socially disadvantaged communities, small and medium sized producers, and farmers and producers of less traditional crops.”

USDA will reopen sign-up for CFAP 2 for at least 60 days beginning on April 5, 2021. FSA has committed at least $2.5 million to improve outreach for CFAP 2 and will establish partnerships with organizations having strong connections to socially disadvantaged communities to ensure they are informed and aware of the application process.

The newly-announced payments will go out under the existing CFAP rules. Future opportunities for USDA Pandemic Assistance will be reviewed for verified need, and, during the rulemaking process, USDA will look to make eligibility more consistent with the Farm Bill.

Moving forward, USDA Pandemic Assistance for Producers will utilize existing programs, such as the Local Agricultural Marketing Program, Farming Opportunities Training and Outreach, and Specialty Crop Block Grant Program, and others to enhance educational and market opportunities for agricultural producers.

The USDA Pandemic Assistance for Producers consists of four parts. Click here for all program details.

Based on information provided by USDA

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