Have your operations been directly impacted by the coronavirus pandemic? USDA is implementing Coronavirus Food Assistance Program 2 (CFAP 2) for agricultural producers who continue to face market disruptions and associated costs because of COVID-19.
USDA’s Farm Service Agency are currently accepting CFAP 2 applications through December 11, 2020. CFAP 2 follows the first round of CFAP, which had an application period of May 26 through September 11.
Based on stakeholder feedback from the first round CFAP, USDA has incorporated improvements to CFAP 2 to better meet the needs of impacted farmers and ranchers, including an expanded list of eligible commodities and an easier application process.
Payments Based on 2019 Sales, Not Losses
Unlike the first CFAP, there is no requirement to demonstrate that a crop has suffered a loss. Instead, CFAP 2 payment calculations will use a sales-based approach, where producers are paid based on five payment gradations associated with their 2019 sales. Additional commodities are eligible in CFAP 2 that were not eligible in the first iteration of the program, including most fruit, vegetable and tree nut crops. and all seed crops for eligible crops.
There is a payment limitation of $250,000 per person or entity for all commodities combined. Applicants who are corporations, limited liability companies, limited partnerships, estates or trusts may qualify for additional payment limits when members actively provide personal labor or personal management for the farming operation, with a maximum of $750,000.
Farmers who applied for and received funds from the original CFAP are eligible for CFAP 2. Any funds received from CFAP do not count toward the payment limit for CFAP 2.
Producers will also have to certify they meet the Adjusted Gross Income limitation of $900,000 unless at least 75 percent or more of their income is derived from farming, ranching or forestry-related activities. Producers must also be in compliance with Highly Erodible Land and Wetland Conservation provisions.
If your agricultural operation has been impacted by the pandemic since April 2020, we encourage you to apply for CFAP 2 at USDA’s Farm Service Agency (FSA) county offices. A complete list of eligible commodities, payment rates and calculations can be found on farmers.gov/cfap.
Additional USDA Resources
- USDA CALL Center: A call center will be available for producers who would like additional one-on-one support with the CFAP 2 application process. Please call (877) 508-8364 to speak directly with a USDA employee.
- USDA Press Release: Click HERE to access the USDA press release.
For additional information, please contact Dennis Nuxoll at [email protected].