Pennsylvania FSA Update - February 2026
Hello! The days are getting longer and hopefully we’re out of the deep freeze of winter as we have had our fair share of it this year. Producers are encouraged to report storm-related losses to your county office and inform local FSA county committee representatives of your experiences. The more data we can collect such as extreme temperatures, livestock loss, etc., the better FSA is equipped to respond and meet your recovery needs as a producer when disaster strikes.
There is a lot happening at FSA that you need to be aware of as deadlines approach. The Dairy Margin Coverage (DMC) sign up is currently ongoing with an upcoming signup deadline of Feb. 26. Two major improvements to the program are that producers will update their production history using the higher of years 2021, 2022 or 2023, so bring your production history with you when you come to obtain coverage. Also, producers can enroll up to six million pounds of production in the Tier 1 category at a discounted rate compared to five million before. And there’s a 25% discount if you sign up for five years. So please make your appointment and consider enrolling your dairy in this risk mitigation opportunity before the Feb. 26 deadline.
Additionally, we’ve announced enrollment is open for the Farmer Bridge Assistance Program (FBA). FBA provides a “financial bridge” to assist producer in covering some of their losses for 2025. Pre-filled applications are now available online to producers with a Login.gov account who timely filed their 2025 crop acreage report for eligible commodities. Producers who have a Login.gov account can access and submit their pre-filled application from fsa.usda.gov/fba or you can request your pre-filled FBA application from their FSA county office. Payment rates, by commodity are also available on the FBA website.
If you have questions regarding any of the numerous programs we deliver on a daily basis, please reach out to your local FSA Service Center. Have a great day!
Rick Ebert
State Executive Director
Pennsylvania Farm Service Agency
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The USDA Farm Service Agency’s (FSA) Direct Farm Ownership loans are a resource to help farmers and ranchers become owner-operators of family farms, improve and expand current operations, increase agricultural productivity, and assist with land tenure to save farmland for future generations.
There are three types of Direct Farm Ownership Loans: regular, down payment and joint financing. FSA also offers a Direct Farm Ownership Microloan option for smaller financial needs up to $50,000.
Direct Farm Ownership Loans can be used to construct, purchase or improve farm dwellings, service buildings or other facilities, and to make improvements essential to an operation.
Applicants must provide FSA with an estimate of the total cost of all planned development that completely describe the work, prior to loan approval and must show proof of sufficient funds to pay for the total cost of all planned development at or before loan closing. In some instances, applicants may be asked to provide certified plans, specifications or contract documents. The applicant cannot incur any debts for materials or labor or make any expenditures for development purposes prior to loan closing with the expectation of being reimbursed from FSA funds.
Construction and development work may be performed either by the contract method or the borrower method. Under the contract method, construction and development contractors perform work according to a written contract with the applicant or borrower. If applying for a direct loan to finance a construction project, the applicant must obtain a surety bond that guarantees both payment and performance in the amount of the construction contract from a construction contractor.
A surety bond is required when a contract exceeds $100,000. An authorized agency official determines that a surety bond appears advisable to protect the borrower against default of the contractor or a contract provides for partial payments in excess of the amount of 60 percent of the value of the work in place.
Under the borrower method, the applicant or borrower will perform the construction and development work. The borrower method may only be used when the authorized agency official determines, based on information from the applicant, that the applicant possesses or arranges to obtain the necessary skill and managerial ability to complete the work satisfactorily and that such work will not interfere with the applicant’s farming operation or work schedule.
Potential applicants should visit with FSA early in the initial project planning process to ensure environmental compliance.
For more eligibility requirements and information about FSA Loan programs, contact your local USDA Service Center or visit fsa.usda.gov.
Major weather events leave damage and destruction in their wake, and often financial and tax records are lost. In the second part of an Ask the Expert series on taxes and dealing with disasters, Dr. Tamara Cushing provides tips for reconstructing records after a disaster. Dr. Cushing is an Extension Forest Business Specialist from the University of Florida, working in the area of taxation.
Learn more about record keeping after disasters.
The Farm Loan team in Pennsylvania is already working on operating loans for spring 2026 and asks potential borrowers to submit their requests early so they can be timely processed. The farm loan team can help determine which loan programs are best for applicants.
FSA offers a wide range of low-interest loans that can meet the financial needs of any farm operation for just about any purpose. The traditional farm operating and farm ownership loans can help large and small farm operations take advantage of early purchasing discounts for spring inputs as well expenses throughout the year.
Microloans are a simplified loan program that will provide up to $50,000 for both Farm Ownership and Operating Microloans to eligible applicants. These loans, targeted for smaller and non-traditional operations, can be used for operating expenses, starting a new operation, purchasing equipment, and other needs associated with a farming operation. Loans to beginning farmers and members of underserved groups are a priority.
Other types of loans available include:
Marketing Assistance Loans allow producers to use eligible commodities as loan collateral and obtain a 9-month loan while the crop is in storage. These loans provide cash flow to the producer and allow them to market the crop when prices may be more advantageous.
Farm Storage Facility Loans can be used to build permanent structures used to store eligible commodities, for storage and handling trucks, or portable or permanent handling equipment. A variety of structures are eligible under this loan, including bunker silos, grain bins, hay storage structures, and refrigerated structures for vegetables and fruit. A producer may borrow up to $500,000 per loan.
The USDA Natural Resources Conservation Service (NRCS) will be holding Local Working Group meetings around Pennsylvania between February 23 and April 3, 2026. These meetings are open to the public.
The Local Working Groups will focus on identifying agricultural and natural resource issues existing in your community and providing information and feedback to NRCS. Participants may be agricultural producers; owners of nonindustrial private forestland; representatives of agricultural and environmental organizations; and representatives of governmental agencies carrying out environmental, agricultural, or natural resource conservation programs and activities.
NRCS Local Working Groups are subcommittees of the NRCS State Technical Committee and provide recommendations on local natural resource priorities and Farm Bill program conservation activities. For information about the State Technical Committee, contact Dayanna Barnes at Dayanna.Barnes@usda.gov
To find a list of Local Working Group meetings, visit https://www.nrcs.usda.gov/events and filter for Pennsylvania, or contact your local USDA Service Center. Directions and phone numbers to your Service Center can be found online at https://www.farmers.gov/working-with-us/service-center-locator. If your location isn't listed yet, please check back.
Are you interested in working with USDA to start or grow your farm, ranch, or private forest operation, but don’t know where to start?
Whether you’re looking to access capital or disaster assistance through USDA’s Farm Service Agency (FSA) or address natural resource concerns on your land with assistance from USDA’s Natural Resources Conservation Service (NRCS), a great place to start is farmers.gov.
Farmers.gov is a one-stop shop for information about the assistance available from FSA and NRCS. The site also offers many easy-to-use tools for farmers, ranchers, and private forestland owners, whether you are reaching out for the first time or are a long-term customer with a years-long relationship with USDA.
With a farmers.gov account you can:
- Complete an AD-2047, Customer Data Worksheet, prior to your first meeting with FSA and NRCS.
- View farm loan payments history from FSA.
- View cost share assistance received and anticipated from NRCS conservation programs.
- Request conservation assistance from NRCS as well as view and track your conservation plans, practices, and contracts.
- View, print, and export detailed farm records and farm/tract maps for the current year, which are particularly useful when fulfilling acreage reporting requirements.
- Print FSA-156 EZ, Abbreviated Farm Record and your Producer Farm Data Report for the current year.
- Pay FSA debt using the “Make an FSA Payment” feature
- Apply for a farm loan online, view information on your existing loans, and make USDA direct farm loan payments using the Pay My Loan feature.
Learn how to create a farmers.gov account today!
The USDA is launching a new online portal to streamline reporting of transactions involving U.S. agricultural land by foreign persons, which can include businesses and governments, under the Agricultural Foreign Investment Disclosure Act of 1978 (AFIDA). The new online portal is part of a broader effort to strengthen enforcement and protect American farmland as USDA continues its implementation of the National Farm Security Action Plan.
The new online portal is available at afida.landmark.usda.gov. Users can access the portal with Login.gov, a sign in service that provides secure online access to participate in certain government programs and reporting requirements.
The new digital portal will gather the same information found on the current form FSA-153 and those subject to filing may still file using the current FSA-153 hard copy form if desired. However, filers should not duplicate filings by using both submission options.
About the National Farm Security Action Plan
One of the key tenets of USDA’s National Farm Security Action Plan (PDF, 1.2 MB) is strengthening processes around disclosure of foreign persons who have an interest in U.S. farmland. This historic plan, announced in July 2025, calls for aggressive implementation of reforms to the AFIDA process including improved verification and monitoring of collected AFIDA data. In addition to the new portal, USDA published an Advanced Notice of Proposed Rulemaking for AFIDA in December 2025.
About AFIDA
The new portal is part of USDA’s efforts to streamline its process for electronic submission and retention of AFIDA disclosures, as initially required by the Consolidated Appropriations Act, 2023. Today USDA also shared its annual AFIDA report for 2024 with Congress, which is available online. The report lists foreign holdings of U.S. agricultural land as 46 million acres, as of December 31, 2024 and includes a section on land held and acquired by China, Russia, Iran, and North Korea in recent years. The data obtained from AFIDA disclosures are used in the preparation of an annual report to Congress, which is published online.
The AFIDA regulations define the term “foreign person” and specifies the information that must be included in the report. AFIDA focuses on foreign persons who hold direct or indirect interest in the agricultural land, provided those foreign persons with an indirect interest have “significant interest or substantial control” in the direct interest holder.
The U.S. Department of Agriculture (USDA) announced the enrollment period for the Dairy Margin Coverage (DMC) program for the 2026 coverage year, an important safety net program that provides producers with price support to help offset milk and feed price differences. Dairy producers can enroll in DMC from January 12, 2026, to February 26, 2026.
The One Big Beautiful Bill Act (OBBBA), signed by President Donald J. Trump on July 4, 2025, reauthorized DMC for calendar years 2026 through 2031 and provided substantial program improvements, including establishing new production history and increasing Tier 1 coverage.
The OBBBA increased DMC’s Tier 1 coverage level increased from five million pounds to six million pounds. All dairy operations that elect to enroll in DMC for 2026 will establish a new production history.
- Existing dairy operations that started marketing milk on or before January 1, 2023, will use the higher of milk marketings for the years of 2021, 2022, or 2023.
- New dairy operations starting after January 1, 2023, will use their first year of monthly milk marketings, even for a partial year.
- Milk marketing statements or production evidence are required to establish a production history.
Dairy operations also have the option to lock-in coverage levels for six years (2026-2031) with premium fees discounted by 25%.
DMC offers different levels of coverage, including an option that is free to producers, minus a $100 administrative fee. To determine the appropriate level of DMC coverage for a specific dairy operation, producers can use the .
For more information visit the or contact your local .
The U.S. Department of Agriculture’s Risk Management Agency (RMA) made significant enhancements to federal crop insurance programs by expanding benefits for beginning farmers and ranchers, increasing coverage options, and making crop insurance more affordable and accessible across multiple insurance programs.
Putting American Farmers First with Enhanced Support for Beginning Farmers and Ranchers
Beginning farmers and ranchers will receive substantially increased premium support during their first decade of farming operations, making crop insurance more affordable for the next generation of American agricultural producers. The enhanced benefits mean beginning farmers and ranchers will now receive:
- 15 percentage points additional subsidy for the first two crop years
- 13 percentage points for the third crop year
- 11 percentage points for the fourth crop year
- 10 percentage points for years five through ten
These benefits build upon existing support that waives administrative fees and provides base premium subsidies. A beginning farmer or rancher is now defined as an individual who has not actively operated and managed a farm or ranch for more than 10 crop years.
Making Crop Insurance More Accessible with Expanded Coverage Options
Improvements to area-based crop insurance programs include:
- Whole Farm Revenue Protection (WFRP) maximum coverage level increase from 85% to 90%, providing producers with enhanced protection for diversified operations.
- Supplemental Coverage Option (SCO) premium support increase from 65% to 80%, making this valuable gap coverage more affordable. Additionally, producers can now purchase SCO regardless of their Area Risk Coverage (ARC) elections with the Farm Service Agency, dramatically increasing accessibility.
- Enhanced Coverage Option (ECO) and similar programs including Margin Coverage Option (MCO), Hurricane Insurance Protection Wind Index (HIP-WI), and Fire Insurance Protection Smoke Index (FIP-SI) will also receive the increased 80% in premium support, making comprehensive coverage more affordable than ever.
- SCO coverage will also expand to a coverage level of 90% (from 86%). Producers will have access to this option in 2026 via the ECO product, which has identical coverage at the same cost and premium support levels. USDA will then change the SCO policy for the 2027 crop year.
These changes will be effective for all crops with sales closing dates on or after July 1, 2025.
RMA will provide additional guidance on other provisions within the One Big Beautiful Bill Act as implementation details are finalized. Producers should contact their local crop insurance agent or visit the RMA website for more information about how these changes may affect their coverage options.
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