New Mexico FSA State Newsletter - July 2025
In This Issue:
U.S. Secretary of Agriculture Brooke L. Rollins announced today that agricultural producers who suffered eligible crop losses due to natural disasters in 2023 and 2024 can now apply for $16 billion in assistance through the Supplemental Disaster Relief Program (SDRP).
To expedite the implementation of SDRP, USDA’s Farm Service Agency (FSA) is delivering assistance in two stages. This first stage is open to producers with eligible crop losses that received assistance under crop insurance or the Noninsured Crop Disaster Assistance Program during 2023 and 2024. Stage One sign up will start in person at FSA county offices on July 10 and prefilled applications are being mailed to producers today, July 9. SDRP Stage Two signups for eligible shallow or uncovered losses will begin in early fall.
SDRP Stage One
FSA is launching a streamlined, pre-filled application process for eligible crop, tree, and vine losses by leveraging existing Noninsured Crop Disaster Assistance Program (NAP) and Risk Management Agency (RMA) indemnified loss data. The pre-filled applications will be mailed on July 9, 2025.
Eligibility
Eligible losses must be the result of natural disasters occurring in calendar years 2023 and/or 2024. These disasters include wildfires, hurricanes, floods, derechos, excessive heat, tornadoes, winter storms, freeze (including a polar vortex), smoke exposure, excessive moisture, qualifying drought, and related conditions.
To qualify for drought related losses, the loss must have occurred in a county rated by the U.S. Drought Monitor as having a D2 (severe drought) for eight consecutive weeks, D3 (extreme drought), or greater intensity level during the applicable calendar year.
Producers in Connecticut, Hawaii, Maine, and Massachusetts will not be eligible for SDRP program payments. Instead, these states chose to cover eligible crop, tree, bush, and vine losses through separate block grants. These block grants are funded through the $220M provided for this purpose to eligible states in the American Relief Act.
How to Apply
To apply for SDRP, producers must submit the FSA-526, Supplemental Disaster Relief Program (SDRP) Stage One Application, in addition to having other forms on file with FSA.
SDRP Stage One Payment Calculation
Stage One payments are based on the SDRP adjusted NAP or Federal crop insurance coverage level the producer purchased for the crop. The net NAP or net federal crop insurance payments (NAP or crop insurance indemnities minus administrative fees and premiums) will be subtracted from the SDRP calculated payment amount.
For Stage One, the total SDRP payment to indemnified producers will not exceed 90% of the loss and an SDRP payment factor of 35% will be applied to all Stage One payments. If additional SDRP funds remain, FSA may issue a second payment.
Future Insurance Coverage Requirements
All producers who receive SDRP payments are required to purchase federal crop insurance or NAP coverage for the next two available crop years at the 60% coverage level or higher. Producers who fail to purchase crop insurance for the next two available crop years will be required to refund the SDRP payment, plus interest, to USDA.
SDRP Stage 2
FSA will announce additional SDRP assistance for uncovered losses, including non-indemnified shallow losses and quality losses and how to apply later this fall.
Learn more by visiting fsa.usda.gov/sdrp.
This announcement follows Secretary Rollins’ comprehensive plan to deliver the total amount of Congressionally appropriated $30 billion in disaster assistance to farmers and ranchers this year. These programs will complement the forthcoming state block grants that USDA is working with 14 different states to develop.
To date, USDA has issued more than $7.8 billion in Emergency Commodity Assistance Program (ECAP) payments to eligible producers. Additionally, USDA has provided over $1 billion in emergency relief through the Emergency Livestock Relief Program to producers who suffered grazing losses due to drought or wildfires in calendar years 2023 and 2024.
USDA disaster assistance information can be found on farmers.gov, including the Disaster Assistance Discovery Tool, Disaster-at-a-Glance fact sheet, Loan Assistance Tool, and the FarmRaise online FSA education hub. Payment details will be updated here weekly. For more information, contact your local USDA Service Center.
The U.S. Department of Agriculture announced the release of Congressionally mandated Emergency Livestock Relief Program (ELRP) payments to cover grazing losses due to eligible drought or wildfire events in 2023 and/or 2024.
USDA’s Farm Service Agency (FSA) is leveraging existing Livestock Forage Disaster Program (LFP) data to streamline payment calculations and expedite relief. Emergency relief payments are automatically issued for producers who have an approved LFP application on file for 2023 and/or 2024.
The American Relief Act, 2025, provided funds for emergency relief payments. This program is the first of two programs authorized to assist with eligible losses suffered by livestock producers. FSA will announce additional ELRP assistance for other losses authorized by the Act, including flooding, later this summer.
ELRP Eligibility
ELRP payment eligibility requires livestock producers to have suffered grazing losses in a county rated by the U.S. Drought Monitor as having a D2 (severe drought) for eight consecutive weeks or a D3 (extreme drought) or higher level of drought intensity during 2023, 2024 or both calendar years, and have applied and been approved for LFP.
Additionally, producers whose permitted grazing on federally managed lands was reduced due to wildfire are also eligible for ELRP, if they applied and were approved for LFP in 2023, 2024 or both calendar years.
To streamline and simplify the delivery of ELRP benefits, producers are not required to submit an application for payment; however, they must have the following forms on file with FSA:
- CCC-853, Livestock Forage Disaster Program Application
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Form AD-2047, Customer Data Worksheet.
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Form CCC-902, Farm Operating Plan for an individual or legal entity.
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Form CCC-901, Member Information for Legal Entities (if applicable).
- Form FSA-510, Request for an Exception to the $125,000 Payment Limitation for Certain Programs (if applicable). This form is required to be on file for both 2023 and 2024 to be eligible for the payment limitation exception.
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SF-3881, Direct Deposit.
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AD-1026, Highly Erodible Land Conservation (HELC) and Wetland Conservation (WC) Certification.
Most producers, especially those who have previously participated in FSA programs, likely have these forms on file. However, those who are uncertain and want to confirm the status of their forms, can contact their local FSA county office.
ELRP Payment Calculation
To expedite payments to eligible livestock producers, determine eligibility, and calculate an ELRP payment, FSA uses livestock inventories and drought-affected forage acreage or restricted animal units and grazing days due to wildfire already reported by the producer on the CCC-853, Livestock Forage Disaster Program Application form, for 2023, 2024 or both calendar years.
ELRP payments will be equal to the eligible livestock producer’s gross LFP calculated payment for the calendar year multiplied by an ELRP 2023 or 2024 payment factor to determine the total gross ELRP payments for 2023 and/or 2024. The initial payment factor for 2023 and 2024 ELRP payments is 35%. If additional funds remain, FSA may issue a second payment.
Supplemental Disaster Assistance Timeline
USDA is fully committed to expediting remaining disaster assistance provided by the American Relief Act, 2025. On May 7, we launched our 2023/2024 Supplemental Disaster Assistance public landing page where the status of USDA disaster assistance and block grant rollout timeline can be tracked. The page is updated regularly and accessible through fsa.usda.gov.
The Act also authorized $10 billion in economic loss assistance to producers of covered commodities based on 2024 planted and prevented planted acres. To date, USDA has delivered more than $7.7 billion to producers through the Emergency Commodity Assistance Program (ECAP). The ECAP deadline is Aug. 15, 2025. Contact your local FSA county office for information.
To learn more visit the ELRP website.
In order to claim a Farm Service Agency (FSA) payment on behalf of a deceased producer, all program conditions for the payment must have been met before the applicable producer’s date of death.
If a producer earned an FSA payment prior to his or her death, the following is the order of precedence for the representatives of the producer:
- administrator or executor of the estate
- the surviving spouse
- surviving sons and daughters, including adopted children
- surviving father and mother
- surviving brothers and sisters
- heirs of the deceased person who would be entitled to payment according to the State law
For FSA to release the payment, the legal representative of the deceased producer must file a form FSA-325 to claim the payment for themselves or an estate. The county office will verify that the application, contract, loan agreement, or other similar form requesting payment issuance, was signed by the applicable deadline by the deceased or a person legally authorized to act on their behalf at that time of application.
If the application, contract or loan agreement form was signed by someone other than the deceased participant, FSA will determine whether the person submitting the form has the legal authority to submit the form.
Payments will be issued to the respective representative’s name using the deceased program participant’s tax identification number. Payments made to representatives are subject to offset regulations for debts owed by the deceased.
FSA is not responsible for advising persons in obtaining legal advice on how to obtain program benefits that may be due to a participant who has died, disappeared or who has been declared incompetent.
Marketing Assistance Loans (MALs) and Loan Deficiency Payments (LDPs) provide financing and marketing assistance for producers of many commodities, including graded and non-graded wool, mohair, and unshorn pelts. MALs and LDPs are available during shearing and provide interim financing to help you meet cash flow needs without having to sell commodities when market prices are low, enabling you to delay selling until more favorable marketing conditions emerge. LDPs are payments made to producers who, although eligible to obtain an MAL, agree to forgo the loan in return for a payment on the eligible commodity.
FSA is now accepting requests for 2025 MALs and LDPs for all eligible wool, mohair and unshorn pelts. These requests should be made on or before the final availability date of Jan. 31, 2026. USDA recently announced 2025 wool and mohair marketing assistance loan rates.
Eligibility
To be eligible for a wool or mohair MAL or LDP, producers must produce and shear eligible mohair and wool in the U.S. during the applicable crop year and must:
- comply with conservation and wetland protection requirements;
- report all cropland acreage on applicable farms where the eligible commodity is produced;
- have and retain beneficial interest in the commodity until the MAL is repaid or the Commodity Credit Corporation (CCC) takes title to the commodity, and;
- meet Adjusted Gross Income (AGI) limitations.
Unshorn pelts are eligible for LDPs only. In addition to the criteria above, producers of unshorn pelts must have sold the unshorn lamb for immediate slaughter or slaughter the lambs for personal use. LDPs and marketing loan gains are not subject to payment limitation, including actively engaged in farming and cash rent tenant provisions.
In addition to producer eligibility, the loan commodity must have been produced and shorn from live animals by an eligible producer, be in storable condition, and meet specific CCC minimum grade and quality standards. Producers are responsible for any loss in quantity or quality of the wool or mohair pledged as loan collateral.
To retain beneficial interest, the producer must have control and title of the wool, mohair, or unshorn pelt. If beneficial interest in the commodity is lost, the commodity loses eligibility for an MAL or LDP and remains ineligible even if the producer later regains beneficial interest. The producer must be able to make all decisions affecting the commodity including movement, sale, and the request for an MAL or LDP.
Producers may repay an MAL any time during the loan period at the lesser of the loan rate plus accrued interest and other charges or an alternative loan repayment rate, the national posted price, which is announced weekly. Visit the Farm Service Agency (FSA) website for posted loan and LDP rates.
How to Apply
Producers can apply for an MAL by contacting their local FSA county office. To be considered for a LDP, producers must first have the form CCC-633 EZ, Page 1, on file with FSA prior to losing beneficial interest in the wool, mohair or unshorn pelt. It is best to visit the county office and submit the CCC-633 Page 1 right before you shear. This is completed one time per crop year and indicates your intention to receive LDP benefits.
To apply and learn more information, contact your local USDA Service Center or visit fsa.usda.gov.
FarmRaise, in partnership with USDA’s Farm Service Agency (FSA), launched their online, educational hub – the FarmRaise | FSA Educational Hub – comprised of videos, tools and interactive resources that enable USDA cooperators and agricultural producers to learn about and access major FSA programs.
ELAP Decision Tool
The Emergency Assistance for Livestock, Honeybees and Farm-Raised Fish (ELAP) Decision Tool helps eligible producers impacted by qualifying natural disasters and other eligible causes of loss better understand program eligibility and application requirements, learn about record-keeping and supporting loss documentation requirements and track the steps needed before applying for program benefits. The document generated by the ELAP Decision Tool can be used to support the ELAP application process, but it is not a program application. Producers will need to complete and submit the ELAP Application to their local FSA county office. Upon request, applicants may be asked to provide additional supporting documentation per the program requirements.
Through use of the ELAP Decision Tool, producers can segment by loss type (honey bee, farm-raised fish and livestock). This enables easier navigation, as guided by the tool, to assistance available to meet specific disaster recovery needs. After entering the type of loss, identifying the loss condition and entering their inventory and loss information, producers are guided through a worksheet that helps identify required loss documentation — documentation (i.e., pictures, receipts, truck logs, etc.) that can be uploaded through the ELAP tool and sent directly to the producer’s local FSA county office, or producers can provide a copy of the tool-generated worksheet summary document when they visit their local FSA county office to complete and submit the required ELAP application.
LIP Decision Tool
The Livestock Indemnity Program (LIP) Decision Tool, also available through the FarmRaise | FSA Educational Hub, assists livestock producers who suffered losses from eligible adverse weather events and other causes of loss as well as cooperators who are helping disaster-impacted livestock producers navigate available federal disaster assistance programs. The LIP Decision Tool gives producers guidance on what is needed to gather and submit required loss documentation, reducing the amount of time needed to complete applications and enabling FSA county office staff to deliver much-needed assistance faster. Using the LIP Decision Tool is not an application for benefits or a determination of eligibility.
Additional FarmRaise Resources
In addition to the new ELAP Decision Tool and the LIP Decision Tool, the FarmRaise | FSA Educational Hub offers several, easily navigated farm loan programs how-to videos designed to introduce producers to FSA’s many farm loan programs options and guide them through the application process.
More FSA program resources and tools will continue to be added to the FarmRaise | FSA Educational Hub. Cooperators and agricultural producers are encouraged to visit the FarmRaise | FSA Educational Hub often to access all available educational resources.
Producers who received an Emergency Relief Program (ERP) payment need to meet ERP insurance linkage requirements by purchasing crop insurance, or Noninsured Crop Disaster Assistance Program (NAP) coverage where crop insurance is not available.
Purchase coverage must be at the 60/100 coverage level or higher for insured crops or at the catastrophic coverage level or higher for NAP crops for the next two available crop years, which will be determined from the date you received an ERP payment and may vary depending on the timing and availability of coverage. The insurance coverage requirement applies to the physical location of the county where the crop was located and for which an ERP payment was issued.
Contact your crop insurance agent or local FSA county office as soon as possible to ask about coverage options. Producers who do not obtain the applicable coverage by the sales/application closing date will be required to refund the ERP benefits received on the applicable crop, plus interest. To determine which crops are eligible for federal crop insurance or NAP, visit the RMA website.
The U.S. Department of Agriculture (USDA) is issuing up to $10 billion directly to agricultural producers through the Emergency Commodity Assistance Program (ECAP) for the 2024 crop year. Administered by USDA’s Farm Service Agency (FSA), ECAP will help agricultural producers mitigate the impacts of increased input costs and falling commodity prices.
Authorized by the American Relief Act, 2025, these economic relief payments are based on planted and prevented planted crop acres for eligible commodities for the 2024 crop year. To streamline and simplify the delivery of ECAP, FSA will begin sending pre-filled applications to producers who submitted acreage reports to FSA for 2024 eligible ECAP commodities soon after the signup period opens on March 19, 2025. Producers do not have to wait for their pre-filled ECAP application to apply. They can visit fsa.usda.gov/ecap to apply using a login.gov account or contact their local FSA office to request an application once the signup period opens.
Eligible Commodities and Payment Rates
The commodities below are eligible for these per-acre payment rates:
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Eligible oilseeds:
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- Upland cotton & Extra-long staple cotton - $84.74
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- Long & medium grain rice - $76.94
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Producer Eligibility
Eligible producers must report 2024 crop year planted and prevented planted acres to FSA on an FSA-578, Report of Acreage form. Producers who have not previously reported 2024 crop year acreage or filed a notice of loss for prevented planted crops must submit an acreage report by the Aug. 15, 2025, deadline. Eligible producers can visit fsa.usda.gov/ecap for eligibility and payment details.
Applying for ECAP
Producers must submit ECAP applications to their local FSA county office by Aug. 15, 2025. Only one application is required for all ECAP eligible commodities nationwide. ECAP applications can be submitted to FSA in-person, electronically using Box and One-Span, by fax or by applying online at fsa.usda.gov/ecap utilizing a secure login.gov account.
If not already on file for the 2024 crop year, producers must have the following forms on file with FSA:
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Form AD-2047, Customer Data Worksheet.
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Form CCC-901, Member Information for Legal Entities (if applicable).
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Form CCC-902, Farm Operating Plan for an individual or legal entity.
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Form CCC 943, 75 percent of Average Gross Income from Farming, Ranching, or Forestry Certification (if applicable).
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AD-1026, Highly Erodible Land Conservation (HELC) and Wetland Conservation (WC) Certification.
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SF-3881, Direct Deposit.
Except for the new CCC-943, most producers, especially those who have previously participated in FSA programs, likely have these forms on file. However, those who are uncertain and want to confirm the status of their forms or need to submit the new CCC-943, can contact their local FSA county office.
The U.S. Department of Agriculture (USDA) is announcing the launch of the Debt Consolidation Tool, an innovative online tool available through farmers.gov that allows agricultural producers to enter their farm operating debt and evaluate the potential savings that might be provided by obtaining a debt consolidation loan with USDA’s Farm Service Agency (FSA) or a local lender.
A debt consolidation loan is a new loan used to pay off other existing operating loans or lines of credit that might have unreasonable rates and terms. By combining multiple eligible debts into a single, larger loan, borrowers may obtain more favorable payment terms such as a lower interest rate or lower payments. Consolidating debt may also provide farmers and ranchers additional cash flow flexibilities.
The Debt Consolidation Tool is a significant addition to FSA’s suite of improvements designed to modernize its Farm Loan Programs. The tool enhances customer service and increases opportunities for farmers and ranchers to achieve financial viability by helping them identify potential savings that could be reinvested in their farming and ranching operation, retirement accounts, or college savings accounts.
Producers can access the Debt Consolidation Tool by visiting farmers.gov/debt-consolidation-tool. The tool is built to run on modern browsers including Chrome, Edge, Firefox, or the Safari browser. Producers do not need to create a farmers.gov account or access the authenticated customer portal to use the tool.
USDA encourages producers to reach out to their local FSA farm loan staff to ensure they fully understand the wide range of loan and servicing options available to assist with starting, expanding, or maintaining their agricultural operation. To conduct business with FSA, please contact your local USDA Service Center.
The U.S. Department of Agriculture’s (USDA) updates to the Farm Service Agency’s (FSA) Farm Loan Programs are officially in effect. These changes, part of the Enhancing Program Access and Delivery for Farm Loans rule, are designed to increase financial flexibility for agricultural producers, allowing them to grow their operations, boost profitability, and build long-term savings.
These program updates reflect USDA’s ongoing commitment to supporting the financial success and resilience of farmers and ranchers nationwide, offering critical tools to help borrowers manage their finances more effectively.
What the new rules mean for you:
- Low-interest installment set-aside program: Financially distressed borrowers can now defer up to one annual loan payment at a reduced interest rate. This simplified option helps ease financial pressure while keeping farming operations running smoothly.
- Flexible repayment terms: New repayment options give borrowers the ability to increase their cash flow and build working capital reserves, allowing for long-term financial planning that includes saving for retirement, education, and other future needs.
- Reduced collateral requirements: FSA has lowered the amount of additional loan security needed for direct farm loans, making it easier for borrowers to leverage their existing equity without putting their personal residence at risk.
These new rules provide more financial freedom to borrowers. By giving farmers and ranchers better tools to manage their operations, we’re helping them build long-term financial stability. It’s all about making sure they can keep their land, grow their business, and invest in the future.
If you’re an FSA borrower or considering applying for a loan, now is the time to take advantage of these new policies. We encourage you to reach out to your local FSA farm loan staff to ensure you fully understand the wide range of loan making and servicing options available to assist with starting, expanding, or maintaining your agricultural operation.
To conduct business with FSA, please contact your local USDA Service Center.
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