In This Issue:
Happy New Year! Wishing you all a fruitful 2023. It has been an odd winter in Pennsylvania – with unusually warm days and dramatic shifts in temperature and weather. Extreme weather is much the norm anymore and Pennsylvania farmers have been extremely resilient for decades. However, many Pennsylvania farmers have struggled over the past few years due to weather issues – drought, wind, and storm damage. And yet every Spring, farmers get out into their fields, get on their tractors, and continue the important work of growing and raising food for their community. We have much to celebrate - and much to lose – which is why FSA continues the work of supporting and lifting-up our agricultural community with programs that benefit all farmers. What binds us to this important work is the common ground that brings us together as farmers - continued good health for our family and friends; a stable market for farm planning and marketing; and that everyone has a productive planting and harvest season.
State Office Farm Program and field staff attended a National Training about the new programs that are being implemented in response to the needs of the farming community. This training focused on Disaster Programs as the agency moves forward on implementing additional relief through two programs this year: the Emergency Relief Program (ERP) Phase II and the Pandemic Assistance Revenue Program (PARP). These programs are new revenue loss based programs intended to fill gaps in assistance programs previously delivered for substantial disaster and pandemic related losses. The ERP Phase 2 and PARP application period will be open from January 23, 2023, through June 2, 2023. For more information, producers should contact their respective FSA County offices.
The winter season is an important time for farmers to attend annual meetings and conferences and a time for FSA to provide information about the programs that are available to farmers. Disaster and Conservation programs like ERP, PARP, ARC-PLC, CRP, CREP as well as loans and other programs are available to help Pennsylvania farm families succeed. We hope you take the time to attend these educational events and obtain more information and acquire resources you can use on your farm. You may have seen us at the PA Farm Show in January. In February we will also be at the Mid Atlantic Fruit and Vegetable Conference, PA Dairy Summit, and Pasa Sustainable Agriculture Conference. These are great opportunities to visit with us, ask us questions about our new programs and meet producers from across the state.
We know that the time to get farm equipment ready for the season is right around the corner. And that farmers only have a few winter months left to finish planning and focusing on farm goals and dreams for the new year. Our 37 County Offices throughout Pennsylvania are standing ready to assist you with all the new programs and we want to make sure that all farmers have the information they need to succeed in the 2023 season.
Wishing you all a safe and healthy February –
From our Farm gate to yours,
Heidi Secord
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USDA extended the deadline for producers to enroll in Dairy Margin Coverage (DMC) and Supplemental Dairy Margin Coverage (SDMC) for program year 2023 to Jan. 31, 2023.
DMC is a voluntary risk management program that offers protection to dairy producers when the difference between the all-milk price and the average feed price (the margin) falls below a certain dollar amount selected by the producer.
Nearly 18,000 operations that enrolled in DMC for 2022 have received margin payments for August and September for a total of $76.3 million. At $0.15 per hundredweight for $9.50 coverage, risk coverage through DMC is a relatively inexpensive investment.
DMC offers different levels of coverage, even an option that is free to producers, aside from a $100 administrative fee. Limited resource, beginning, socially disadvantaged, and military veteran farmers and ranchers are exempt from paying the administrative fee, if requested. To determine the appropriate level of DMC coverage for a specific dairy operation, producers can use the online dairy decision tool.
Supplemental DMC
Last year, USDA introduced Supplemental DMC, which provided $42.8 million in payments to better help small- and mid-sized dairy operations that had increased production over the years but were not able to enroll the additional production. Supplemental DMC is also available for 2023. The enrollment period for 2023 Supplemental DMC is also extended to Jan. 31, 2023.
Supplemental DMC coverage is applicable to calendar years 2021, 2022 and 2023. Eligible dairy operations with less than 5 million pounds of established production history may enroll supplemental pounds.
For producers who enrolled in Supplemental DMC in 2022, the supplemental coverage will automatically be added to the 2023 DMC contract that previously established a supplemental production history.
Producers who did not enroll in Supplemental DMC in 2022 can do so now. Producers should complete their Supplemental DMC enrollment before enrolling in 2023 DMC. To enroll, producers will need to provide their 2019 actual milk marketings, which FSA uses to determine established production history.
DMC Payments
FSA will continue to calculate DMC payments using updated feed and premium hay costs, making the program more reflective of actual dairy producer expenses. These updated feed calculations use 100% premium alfalfa hay rather than 50%. For more information on DMC, visit the DMC webpage or contact your local USDA Service Center.
The U.S. Department of Agriculture (USDA) reminds agricultural producers with perennial forage crops of an option to report their acreage once, without having to report that acreage in subsequent years, as long as there are no applicable changes on the farm. Interested producers can select the continuous certification option after USDA’s Farm Service Agency (FSA) certifies their acreage report.
An acreage report documents a crop grown on a farm or ranch and its intended uses, including perennial crops like mixed forage, birdsfoot trefoil, chicory/radicchio, kochia (prostrata), lespedeza, perennial peanuts and perennial grass varieties. To access many USDA programs, producers must file an accurate and timely acreage report for all crops and land uses, including failed acreage and prevented planting acreage.
The perennial crop continuous certification process requires a producer to initially complete an acreage report certifying the perennial crop acreage. The producer may select the continuous certification option any time after the crop is certified. Once the continuous certification option is selected, the certified acreage will roll forward annually and does not require additional action on the producer’s part in subsequent years unless the acreage report changes.
Once an producer selects continuous certification, then continuous certification is appliable to all fields on the farm for the specific crop, crop type and intended use. If continuous certification is selected by any producers sharing in the crop, then the continuous certification is appliable to fields in which the producer has a share for the specific crop, crop type and intended use.
Producers can opt out of continuous certification at any time. The continuous certification will terminate automatically if a change in the farming operation occurs.
How to File a Report
To file a crop acreage report, producers need to provide:
- Crop and crop type or variety.
- Intended use of the crop.
- Number of acres of the crop.
- Map with approximate boundaries for the crop.
- Planting date(s).
- Planting pattern, when applicable.
- Producer shares.
- Irrigation practice(s).
- Acreage prevented from planting, when applicable.
- Other information as required.
More Information
Producers can contact their local FSA office to see if their crops are eligible for continuous certification or to make an appointment. Producers can make an appointment to report acres by contacting their local USDA Service Center.
The U.S. Department of Agriculture (USDA) Farm Service Agency (FSA) is currently making automatic Coronavirus Food Assistance Program 2 (CFAP 2) top-up payments to underserved farmers and ranchers. Payments will be based on the 2020 program certification on form CCC-860, Socially Disadvantaged, Limited Resource, Beginning and Veteran Farmer or Rancher Certification.
Producers who have not previously certified to their status for the 2020 program year have until Feb. 10, 2023, to submit form CCC-860 to be eligible for the additional payments. Contact your local USDA Service Center for more information.
USDA encourages urban producers, innovative producers, and other stakeholders to virtually attend the second public meeting of the Federal Advisory Committee for Urban Agriculture and Innovative Production on Feb. 23 from 3:30-6pm ET. This Committee will discuss recommendations it intends to submit to Agriculture Secretary Tom Vilsack to remove barriers to urban and innovative producers and increase access of urban and innovative producers to USDA programs and services. Learn more, submit a comment, or register to attend.
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Agricultural producers can now change election and enroll in the Agriculture Risk Coverage (ARC) and Price Loss Coverage programs for the 2023 crop year, two key safety net programs offered by the U.S. Department of Agriculture (USDA). Signup began Oct. 17, 2022, and producers have until March 15, 2023, to enroll in these two programs. Additionally, USDA’s Farm Service Agency (FSA) has started issuing payments totaling more than $255 million to producers with 2021 crops that have triggered payments through ARC or PLC.
2023 Elections and Enrollment
Producers can elect coverage and enroll in ARC-County (ARC-CO) or PLC, which provide crop-by-crop protection, or ARC-Individual (ARC-IC), which protects the entire farm. Although election changes for 2023 are optional, producers must enroll through a signed contract each year. Also, if a producer has a multi-year contract on the farm and makes an election change for 2023, they must sign a new contract.
If producers do not submit their election by the March 15, 2023 deadline, their election remains the same as their 2022 election for crops on the farm. Farm owners cannot enroll in either program unless they have a share interest in the farm.
Covered commodities include barley, canola, large and small chickpeas, corn, crambe, flaxseed, grain sorghum, lentils, mustard seed, oats, peanuts, dry peas, rapeseed, long grain rice, medium and short grain rice, safflower seed, seed cotton, sesame, soybeans, sunflower seed and wheat.
Web-Based Decision Tools
In partnership with USDA, the University of Illinois and Texas A&M University offer web-based decision tools to assist producers in making informed, educated decisions using crop data specific to their respective farming operations. Tools include:
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Gardner-farmdoc Payment Calculator, a tool available through the University of Illinois allows producers to estimate payments for farms and counties for ARC-CO and PLC.
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ARC and PLC Decision Tool, a tool available through Texas A&M that allows producers to obtain basic information regarding the decision and factors that should be taken into consideration such as future commodity prices and historic yields to estimate payments for 2022.
2021 Payments and Contracts
ARC and PLC payments for a given crop year are paid out the following fall to allow actual county yields and the Market Year Average prices to be finalized. This month, FSA processed payments to producers enrolled in 2021 ARC-CO, ARC-IC and PLC for covered commodities that triggered for the crop year.
For ARC-CO, producers can view the 2021 ARC-CO Benchmark Yields and Revenues online database, for payment rates applicable to their county and each covered commodity. For PLC, payments have triggered for rapeseed and peanuts.
For ARC-IC, producers should contact their local FSA office for additional information pertaining to 2021 payment information, which relies on producer-specific yields for the crop and farm to determine benchmark yields and actual year yields when calculating revenues.
By the Numbers
In 2021, producers signed nearly 1.8 million ARC or PLC contracts, and 251 million out of 273 million base acres were enrolled in the programs. For the 2022 crop year signed contracts surpassed 1.8 million, to be paid in the fall of 2023, if a payment triggers.
Since ARC and PLC were first authorized by the 2014 Farm Bill and reauthorized by the 2018 Farm Bill, these safety-net programs have paid out more than $34.9 billion to producers of covered commodities.
Crop Insurance Considerations
ARC and PLC are part of a broader safety net provided by USDA, which also includes crop insurance and marketing assistance loans.
Producers are reminded that ARC and PLC elections and enrollments can impact eligibility for some crop insurance products.
Producers on farms with a PLC election have the option of purchasing Supplemental Coverage Option (SCO) through their Approved Insurance Provider; however, producers on farms where ARC is the election are ineligible for SCO on their planted acres for that crop on that farm.
Unlike SCO, the Enhanced Coverage Option (ECO) is unaffected by an ARC election. Producers may add ECO regardless of the farm program election.
Upland cotton farmers who choose to enroll seed cotton base acres in ARC or PLC are ineligible for the stacked income protection plan (STAX) on their planted cotton acres for that farm.
More Information
For more information on ARC and PLC, visit the ARC and PLC webpage or contact your local USDA Service Center.
2022 is coming to an end, which means it’s time to start thinking about what you want to work on in the new year. Setting resolutions can be hard, but we’re here to help!
If you would like to make a #ConservationResolution for 2023, here are some options to consider:
- Incorporate cover crops into your operation.
- Extend your growing season by using a high tunnel.
- Improve your soil health by utilizing no-till practices.
- Provide recreational opportunities and wildlife habitat by restoring wetlands.
- Reduce input costs by focusing on nutrient management.
- Protect topsoil and groundwater quality by devoting environmentally sensitive agricultural land to conservation benefits instead of farming.
Resolutions can be daunting and hard to stick to, but here are some tips for how to make them successful.
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Make a plan- To get started on your #ConservationResolutions, we recommend you stop by your local USDA service center, so we can discuss your vision for your land. The Natural Resources Conservation Service (NRCS) can provide you with free technical assistance and or advice.
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Don’t do it alone– USDA’s conservation programs available through NRCS and the Farm Service Agency (FSA) give you the tools and resources to protect environmentally sensitive land and restore grasslands, wetlands, and forests, which leads to cleaner water and air, healthier soil, and enhanced wildlife habitat. We can also help with financial assistance to help you achieve your #ConservationResolutions
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See what other landowners are doing -Learn about the benefits of conservation practices directly from the farmers, ranchers, and forest landowners applying them with our series of 90-second videos. Explore the different types of conservation practices by watching our Conservation at Work series. You can also read producer profiles on gov.
In January, we’ll be highlighting different #ConservationResolutions that can help protect our natural resources. Follow along to start yours!
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