The USDA Farm Service Agency has opened Phase Two of the Revenue Loss Assistance Emergency Relief Program (ERP) for those who suffered a revenue loss associated with natural disaster-affected crops during the 2020 or 2021 calendar year. According to the USDA press release, “Assistance will be primarily to producers of crops that were not covered by Federal Crop Insurance or NAP, since crops covered by Federal Crop Insurance and NAP were included in the assistance under ERP Phase One.”
A qualifying natural disaster includes “wildfires, hurricanes, floods, derechos, excessive heat, winter storms, freeze (including a polar vortex), smoke exposure, excessive moisture, qualifying drought, and related conditions.”
According to Zach Ducheneaux, Administrator, Farm Service Agency, Phase Two is “explicitly focused on filling gaps in previously implemented emergency assistance.”
To prepare for applying for Phase Two of the ERP, having supporting documentation that was used in creating the IRS Schedule F and a copy of the FSA-1099G for the benchmark and disaster years is recommended.
A contingency of the ERP is that all producers who receive payments are required to purchase crop insurance or NAP coverage where insurance isn’t available for the next two available crop years. This coverage must be purchased at a level equal to or greater than 60 percent for insurable crops or at the catastrophic level or higher for NAP crops.
Counties that are eligible for ERP related to drought can be found here.
Emergency Relief Program Drought Eligible Counties in 2020 (usda.gov)
Emergency Relief Program Drought Eligible Counties in 2021 (farmers.gov)
Click here to reference the USDA Allowable Gross Revenue table and to read the fact sheet.