After the first week of the sign-up period, U.S. dairy producers received about $128.6 million in direct payments through the Coronavirus Food Assistance Program (CFAP), according to an initial report from the USDA.
Natzke dave
Editor / Progressive Dairy

The USDA’s Farm Service Agency (FSA) began taking applications May 26. In the first six business days of the application period, the top states for CFAP dairy payments were:

  • Wisconsin: $33.7 million – 4,115 applicants
  • New York: $15 million – 584 applicants
  • Pennsylvania: $11.5 million – 461 applicants
  • Michigan: $10.7 million – 232 applicants
  • California: $5.2 million – 173 applicants
  • Virginia: $5 million – 121 applicants
  • Ohio: $4.8 million – 228 applicants
  • Illinois: $4.7 million – 117 applicants

Overall, U.S. Secretary of Agriculture Sonny Perdue announced the USDA FSA had approved more than $545 million in payments to more than 35,000 agricultural producers who applied for assistance through the CFAP as of June 3.

In addition to dairy, payments totaled $267.8 million to livestock producers, $140.3 million to producers of non-specialty crops and $8.4 million to producers of specialty crops.

Applications will be accepted through Aug. 28, 2020, with application numbers and program payments announced each Monday on the CFAP website.

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Through CFAP, the USDA is making available about $16 billion in financial assistance to producers of agricultural commodities who have suffered a 5%-or-greater price decline due to COVID-19 and face additional significant marketing costs as a result of lower demand, surplus production and disruptions to shipping patterns and the orderly marketing of commodities.

Producers will receive 80% of their maximum total payment upon approval of the application. The remaining portion of the payment, not to exceed the payment limit, will be paid at a later date nationwide as funds remain available.

Read: CFAP application period to open May 26; dairy payment is about $6.20 on 1Q production.

CFAP questions? NMPF, USDA have answers

For dairy producers who haven’t filed an application and still have questions related to the CFAP, the National Milk Producers Federation (NMPF) has compiled and answered the most frequently asked questions from dairy farmers about the program. Topics include milk and dairy livestock payment levels and application procedures.

The USDA also has an extensive list of tools and resources on the CFAP website to help producers understand the program and enable them to work with FSA staff to complete applications.

  • New FSA customers seeking one-on-one support with the CFAP application process can call (877) 508-8364 to speak directly with a USDA employee ready to offer general assistance. This is a recommended first step before a producer engages the team at the FSA county office at their local USDA Service Center.

  • Producers can download the application, supporting documents and other eligibility forms from the CFAP webpage.

  • A payment calculator can help identify sales and inventory records needed to apply and calculate potential payments. Those who use the online calculator tool will be able to print a pre-filled CFAP application, sign it and submit it to your local FSA office either electronically or via hand delivery through an office drop box.

  • FSA has published a matrix of common marketing contracts that impact eligibility for non-specialty crops and has provided a table that crosswalks common livestock terms to CFAP cattle categories.

Due to COVID-19 restrictions, USDA Service Centers are open for business by phone appointment only, and fieldwork will continue with appropriate social distancing. Team members at FSA county offices will be able to answer detailed questions and help producers apply quickly and efficiently through phone and online tools.

Ag Secretary Perdue also announced that the USDA Farmers to Families Food Box Program has reached a milestone, distributing more than 5 million food boxes and expects up to deliver 40 million boxes throughout the country by June 30.

Read: USDA approves contracts for ‘Food Box’ program; dairy purchases to top $317 million.  end mark

Dave Natzke