Farmers and ranchers dealing with the significant impacts of the coronavirus may begin applying for direct payments from the $16 billion Coronavirus Food Assistance Program on May 26, as announced today by President Trump and U.S. Secretary of Agriculture Sonny Perdue.
CFAP will provide direct payments to agricultural producers who have “suffered a five-percent-or-greater price decline or who had losses due to market supply chain disruptions due to COVID-19 and face additional significant market costs,” according to the USDA.
Agricultural producers may apply through county USDA Farm Service Agency offices beginning May 26.
“Over the past several years, Oklahoma farmers and ranchers have faced challenge after challenge from trade disputes, devastating weather, volatile markets and now, the ripple effects of a global pandemic,” said Rodd Moesel, Oklahoma Farm Bureau president. “Though this aid will not completely heal our agricultural economy, it will go a long way in bringing critical relief to farmers and ranchers.”
Livestock eligibility
Livestock eligible for CFAP include cattle, hogs, and sheep. The total payment will be calculated using the sum of the producer’s number of livestock sold between Jan. 15 and April 15, 2020, multiplied by the payment rates per head, and the highest inventory number of livestock between April 16 and May 14, 2020, multiplied by the payment rate per head. Specifically, eligible livestock are:
- Cattle
- Feeder Cattle (<600 lbs.)
- Feeder Cattle (>600 lbs.)
- Slaughter Cattle: Fed Cattle
- Slaughter Cattle: Mature Cattle
- All Other Cattle (not including livestock used, or intended for, dairy production).
- Hogs
- Pigs (<120 lbs.)
- Hogs (>120 lbs.)
- Sheep
- Lambs and yearlings (less than 2 years of age)
The following table lists eligible livestock and payment rates for CFAP.
| Livestock | Eligible Livestock | Unit of Measure | CARES Act Part 1 Payment Rate | CCC Part 2 Payment Rate |
|---|---|---|---|---|
| Cattle | Feeder Cattle: Less than 600 pounds | Head | $102.00 | $33.00 |
| Feeder Cattle: 600 pounds or more | Head | $139.00 | $33.00 | |
| Slaughter Cattle: Fed Cattle | Head | $214.00 | $33.00 | |
| Slaughter Cattle: Mature Cattle | Head | $92.00 | $33.00 | |
| All Other Cattle | Head | $102.00 | $33.00 | |
| Hogs and Pigs | Pigs: Less than 120 pounds | Head | $28.00 | $17.00 |
| Hogs: 120 pounds or more | Head | $18.00 | $17.00 | |
| Lambs and Yearlings | All Sheep less than 2 years old | Head | $33.00 | $7.00 |
Read more details on livestock eligibility on the USDA website.
Non-specialty crop eligibility
Non-specialty crops eligible for CFAP payments include malting barley, canola, corn, upland cotton, millet, oats, soybeans, sorghum, sunflowers, durum wheat and hard red spring wheat. Producers will be paid based on inventory subject to price risk held as of Jan. 15, 2020. A payment will be made based 50% of a producer’s 2019 total production or the 2019 inventory as of Jan. 15, 2020, whichever is smaller, multiplied by the commodity’s applicable payment rates.
The following table lists eligible non-specialty commodities and payment rates for CFAP.
| Commodity | Unit of Measure | CARES Act Payment Rate | CCC Payment Rate |
|---|---|---|---|
| Barley (malting barley only) | bushel | $0.34 | $0.37 |
| Canola | pound | $0.01 | $0.01 |
| Corn | bushel | $0.32 | $0.35 |
| Upland Cotton | pound | $0.09 | $0.10 |
| Millet | bushel | $0.31 | $0.34 |
| Oats | bushel | $0.15 | $0.17 |
| Sorghum | bushel | $0.30 | $0.32 |
| Soybeans | bushel | $0.45 | $0.50 |
| Sunflowers | pound | $0.02 | $0.02 |
| Wheat, Durum | bushel | $0.19 | $0.20 |
| Wheat, Hard Red Spring | bushel | $0.18 | $0.20 |
Read more details surrounding non-specialty crop eligibility on the USDA website.
CFAP applications will be accepted through Aug. 28, 2020. Documentation to support the producer’s application and certification may be requested. FSA has streamlined the signup process to not require an acreage report at the time of application and a USDA farm number may not be immediately needed.
To ensure the availability of funding throughout the application period, producers will receive 80% of their maximum total payment upon approval of the application. The remaining portion of the payment, not to exceed the payment limit, will be paid at a later date as funds remain available.
“This pandemic has made us realize one thing: we live in a land of plenty,” said American Farm Bureau President Zippy Duvall during the announcement. “But there’s a food chain that’s just as important to us as our military. We all now realize how important that food chain is and the farmer is that very first link.
“Without (this) support, we wouldn’t be there to produce that food. Our farmers are still farming.”
For more information about the CFAP program, please visit the USDA’s website about coronavirus aid for producers at farmers.gov/cfap.
