Relief for Farmers
Agricultural producers impacted by the coronavirus pandemic and resulting economic upheaval will want to take note of a new USDA program that directs $16 billion of relief to help farmers recover from loss of sales and increased marketing costs in 2020. The Coronavirus Food Assistance Program (CFAP) is funded in part by the federal CARES Act, with additional money provided through the Commodity Credit Corporation Charter Act.
Producers of agricultural commodities that suffered a 5% or greater price decline in the wake of the pandemic may apply for CFAP payments through Aug. 28. Producers who suffered losses due to coronavirus-related market supply chain disruptions are also eligible. The program is open to anyone or any entity that shares in the risk and returns of producing a farm crop or livestock for market. Processing entities are not eligible, however. Participation in other USDA programs is not required.
Producers of traditional crops, such as corn and soybeans, will be paid based on contracted inventory held as of Jan. 15, 2020. Producers of specialty crops ̶ including a variety of fruits, vegetables and nuts – will receive compensation for price losses, spoiled produce and products that were not harvested or shipped due to market interruptions. Payments to livestock producers will be based on sales from Jan. 15 through April 15 or inventory subject to price risk on a date of the producer’s choosing between April 16 and May 14, 2020. Payments to dairy farmers will be based on milk marketed (or dumped) during January through March.
Eligible producers may receive up to $250,000 through the program. Corporate entities with multiple shareholders qualify for larger payments. To ensure availability of funding throughout the application period, producers will receive 80 percent of their total payment upon approval. The remaining portion will be paid later as funds remain available.
To apply for CFAP payments, producers should contact their county’s Farm Service Agency office by phone or email, as long as offices remain closed to walk-in traffic due to the coronavirus pandemic. More information, including a CFAP payment calculator and a frequently asked questions resource, can be found online at www.farmers.gov/cfap. One-on-one assistance is available through the CFAP call center at 877-508-8364.
It’s my honor to serve as your senator for the 16th District. If you have questions or need any assistance, please call my office at 573-751-5713 or log onto my webpage at https://www.senate.mo.gov/brown for more information.