North Carolina State FSA Office - December 29, 2025.
In This Issue:
As we approach the end of the year and holidays, I want to take a moment to remind you of some upcoming program deadlines. We’re all very busy at this time of year. I want to make sure you’re on the right track when it comes to applying for program assistance.
The Farm Service Agency (FSA) recently announced the new Farmer Bridge Assistance (FBA) program that provides a one-time bridge payment to American farmers in response to temporary trade market disruptions and increased production costs. This program is based on FSA reported planted acres. Commodity-specific payment rates will be released by the end of December and we’re expecting pre-filled applications to go out to eligible producers during the week of Feb. 23 to meet the target of FBA payments processing by Feb. 28, 2026. We continue to work on FBA policies and provisions for specialty crop producer assistance. We understand you have questions. Producers, including specialty crop producers and stakeholder groups, can submit questions to farmerbridge@usda.gov. I will provide FBA updates as details unfold.
Sign-up is underway for Stage 2 of the Supplemental Disaster Relief Program (SDRP), which covers eligible crop, tree, bush and vine losses that were not covered under Stage 1 program provisions, including non-indemnified (shallow losses), uncovered, and quality losses. Producers have until April 30, 2026, to apply for both Stage 1 and Stage 2 assistance. I strongly encourage you to use the SDRP Stage 2 Pre-Application Checklist to ensure you have the required forms on file with your FSA county office and to help you start gathering supporting documentation that may be required. When you’re ready, please make an appointment with your local FSA office.
For the first time, USDA disaster assistance will cover shallow losses – losses that didn’t trigger a crop insurance or NAP indemnity but still hit the bottom line. We heard loud and clear from producers that this was a gap in previous programs. Stage 2 also covers uninsured losses and quality losses, everything from smoke-damaged fruit to forage that lost nutritional value due to weather extremes. If the crop’s value dropped because of a disaster, we’re going to recognize that loss.
FSA is also delivering additional disaster assistance through the Milk Loss Program (MLP) for dumped milk and the On-Farm Stored Commodity Loss Program (OFSCLP), which both have a Jan. 23, 2026, signup deadline.
2025 Overview – State FSA is Delivering on Our Promise to Put Farmers First
Over the past year, the Trump Administration and FSA have demonstrated our commitment to putting North Carolina Farmers First.
Since March 2025, FSA has supported farmers and ranchers in North Carolina through supplemental disaster assistance including $138 million through the Emergency Commodity Assistance Program, more than $806,000 million through the Emergency Livestock Relief Program and more than $140 million in SDRP Stage 1 payments to date.
Last month FSA provided more than $20 million in Agriculture Risk Coverage and Price Loss Coverage (ARC/PLC) payments as well as more than $1.4 million in Conservation Reserve Program (CRP) annual rental payments to producers and landowners in North Carolina. These payments came at a critical time as I know many of you are booking inputs and planning for the 2026 crop year.
This year, FSA also provided more than $125 million to producers through the Marketing Assistance Loan (MAL) program, which provides a short-term loan on eligible commodities that gives producers marketing flexibility to sell their crops when prices are more favorable.
In addition to farm program payments, FSA farm loan staff continue to see strong interest in our direct and guaranteed ownership and operating loans, which offer loans with flexible terms and favorable loan rates. Over the last fiscal year FSA obligated a total of $60 million in direct loans and $72 million in guaranteed loans across North Carolina. These loans help borrowers start or expand their agricultural operations, pay family living expenses and fund day-to-day operating expenses.
I’m proud of the support that the FSA staff in North Carolina have provided to our producers. We recognize the challenges that producers continue to face and I look forward to working on behalf of the Trump Administration and U.S. Secretary of Agriculture Brooke Rollins to ensure the success of the agriculture industry across the state.
Read more about how The Trump Administration has been working around the clock since January 20th to put American Farmers First.
It’s an honor to serve the farmers and ranchers in the great state of North Carolina.
Wishing you a safe and happy holiday season.
Ronald Garrett
FSA State Executive Director, North Carolina
Agricultural producers who suffered eligible crop losses due to natural disasters in 2023 and 2024 can 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 started in-person at FSA county offices on July 10 and prefilled applications were mailed to producers starting July 9.
SDRP Stage One
FSA launched 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 were 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 by April 30, 2026, 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 recently announced the SDRP Stage 2 sign-up period, which also runs through April 30, 2026. Learn more by visiting fsa.usda.gov/sdrp.
Cotton producers in North Carolina may be eligible for Loan Deficiency Payments (LDPs) from the USDA Farm Service Agency (FSA). LDPs are payments made to producers who are eligible to obtain a Marketing Assistance Loan but agree to forgo the loan in return for a payment on the eligible commodity. The deadline to apply for an LDP on 2025 crop-year cotton is May 31, 2026.
An LDP triggers when the adjusted world price (AWP) for cotton falls below the loan rate. The loan rate for 2025-crop base quality upland cotton is $0.52 per pound. Extra-long staple cotton is not eligible for LDPs.
For upland cotton to be eligible for an LDP, the producer must have beneficial interest in the commodity, defined as having title, possession and control of the commodity, and is responsible for loss of or damage to the commodity. Producers must have a LDP Agreement and Request, form CCC-633EZ, Page 1 on file with the local FSA office on or before the date of losing beneficial interest in the crop. Page 3 of the CCC-633EZ form must be submitted when payment is requested, but no later than May 31 of the year following the normal harvest.
LDPs are not subject to payment limitations, actively engaged in farming and cash-rent tenant rules; however, adjusted gross income provisions are applicable.
Other eligibility requirements may apply. Contact your local FSA office for more information.
FSA offers direct farm ownership and direct farm operating loans to producers who want to establish, maintain, or strengthen their farm or ranch. Direct loans are processed, approved and serviced by FSA loan officers.
Direct farm operating loans can be used to purchase livestock and feed, farm equipment, fuel, farm chemicals, insurance, and other costs including family living expenses. Operating loans can also be used to finance minor improvements or repairs to buildings and to refinance some farm-related debts, excluding real estate.
Direct farm ownership loans can be used to purchase farmland, enlarge an existing farm, construct and repair buildings, and to make farm improvements.
The maximum loan amount for direct farm ownership loans is $600,000 and the maximum loan amount for direct operating loans is $400,000 and a down payment is not required. Repayment terms vary depending on the type of loan, collateral and the producer's ability to repay the loan. Operating loans are normally repaid within seven years and farm ownership loans are not to exceed 40 years.
Please contact your local FSA office for more information or to apply for a direct farm ownership or operating loan.
FSA guaranteed loans allow lenders to provide agricultural credit to farmers who do not meet the lender's normal underwriting criteria. Farmers and ranchers apply for a guaranteed loan through a lender, and the lender arranges for the guarantee. FSA can guarantee up to 95 percent of the loss of principal and interest on a loan. Guaranteed loans can be used for both farm ownership and operating purposes.
Guaranteed farm ownership loans can be used to purchase farmland, construct or repair buildings, develop farmland to promote soil and water conservation or to refinance debt.
Guaranteed operating loans can be used to purchase livestock, farm equipment, feed, seed, fuel, farm chemicals, insurance and other operating expenses.
FSA can guarantee farm ownership and operating loans up to $2,251,000. Repayment terms vary depending on the type of loan, collateral and the producer's ability to repay the loan. Operating loans are normally repaid within seven years and farm ownership loans are not to exceed 40 years.
For more information on guaranteed loans, contact your local County USDA Service Center or visit fsa.usda.gov.
NRCS today announced the establishment of a national January 15, 2026, batching deadline for the first funding round of key conservation programs (EQIP, CSP, ACEP, AMA and the new Regenerative Pilot Program).
USDA in State
Service Center Locator
State Executive Director - Ronald Garrett
Natural Resources Conservation Service
State Conservationist - Timothy Beard
Regional Director - Kevin Wooten
Rural Development Agency
State Director - Robert Hosford
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