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Coronavirus Food Assistance Program 2 Signup Open Until Dec. 11

Updated November 09, 2020
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Heather Gessner

SDSU Extension Livestock Business Management Field Specialist

Producer and FSA agent discussing Coronavirus Food Assistance Program signup in a cattle shed.

On Sept. 21, 2020 the Coronavirus Food Assistance Progam was expanded to offer a second round of financial assistance, referred to as the Coronavirus Food Assistance Program 2 (CFAP-2). This round of signup is available from the USDA’s Farm Service Agency offices and is open for signup until Dec. 11, 2021.

South Dakota farmers and ranchers that faced market disruptions due to the coronavirus may be eligible for assistance from the CFAP-2 payments. Producers of row crops, wool, livestock, specialty livestock, dairy, specialty crops, floriculture and nursery crops, aquaculture, broilers and eggs, and tobacco may be eligible.

Eligible Commodities

Row Crops

Common S.D. row crops included in CFAP-2 include alfalfa, barley, corn, millet, oats, sorghum, soybeans, and all wheat classes. Payments to producers of eligible row crops are based on the greater of:

  1. Eligible acres of the crop multiplied by $15 per acre, or
  2. Eligible acres multiplied by a nationwide crop marketing percentage, multiplied by a crop-specific payment rate, and then by the producer's weighted 2020 actual production history (APH) approved yield.

Producers of crops not listed in Table 1, but eligible for CFAP-2 assistance, are considered flat-rate row crops. Eligible acres of these crops, multiplied by the $15 per acre rate, determines the payment for flat-rate crops.

Table 1. Marketing percentages and payment rates for qualifying crops.

Commodity
Unit of
Measure
Crop Marketing
Percentage (%)
Payment Rate
($/Unit)
Barley
Bushel
63
$0.54
Corn
Bushel
40
$0.58
Cotton, Upland
Pound
46
$0.08
Sorghum
Bushel
55
$0.56
Soybeans
Bushel
54
$0.58
Sunflowers
Pound
44
$0.02
Wheat (All Classes)
Bushel
73
$0.54

Livestock

Livestock eligible for CFAP-2 includes non-breeding stock beef cattle, hogs and pigs, and lambs and sheep. This round of payments also includes a specialty livestock category for animals raised for food, fur, fiber or feathers. This category includes alpacas, bison, buffalo, beefalo, deer, ducks, elk, emus, geese, goats, guinea pigs, llamas, mink, mohair, ostrich, pheasants, quail, rabbits, reindeer, turkey, water buffalo, and yak.

Livestock payments are based on owned inventory of eligible animals on a date selected by the producer from April 16, 2020 through August 31, 2020.

Table 2. Livestock payment rate.

Livestock Type
Unit of Measure
Rate
Beef cattle
Head
$55
Hogs and pigs
Head
$23
Lambs and sheep
Head
$27

Specialty Livestock

Specialty livestock payments will be based on the 2019 sales of eligible commodities. The eligible sales will be multiplied by the payment rate for that amount.

Table 3. Percent payment factors.

2019 Sales Range
Percent Payment Factor for the Producer's
2019 Sales of Eligible Commodities
Falling in the Range
$0 to $49,999
10.6%
$50,000 to $99,999
9.9%
$100,000 to $499,999
9.7%
$500,000 to $999,999
9.0%
Sales over $1 million
8.8%

Dairy

Dairy operations producing milk from dairy cows and goats are eligible for CFAP-2 payments, if they are actively milking at the time of application.

Payments for cow milk will be made by adding results of the following:

  1. Multiplying the producers actual April 1, 2020, to August 31, 2020 milk production by $1.20 per hundredweight
  2. Estimated milk production from September 1, 2020, to December 31, 2020, multiplied by 122, multiplied by $1.20 per hundredweight.

Broiler and Eggs

Producers of broilers and eggs are eligible for CFAP-2 payments, as long as the grower has ownership and production risk.

Broiler payments will be equal to 75 percent of the producer's 2019 broiler production, multiplied by the payment rate of $1.01 per bird.

Eggs production eligible for CFAP-2 included dried, frozen, liquid, and shell eggs. The payment will be equal to 75 percent of the producer's 2019 egg production multiplied by the CCC payment rate.

Table 4. Payment rate for eggs.

Commodity
Units of Measure
Payment Rate ($/Unit)
Shell Eggs
Dozen
$0.05
Liquid Eggs
Pound
$0.04
Dried Eggs
Pound
$0.14
Frozen Eggs
Pound
$0.05

Other Commodities

Producers of floriculture and nursery crops, including those raising Christmas trees, wool, goat milk, aquaculture, tobacco, and most of the 240 specialty crops eligible for CFAP-2, will receive payments based on the 2019 sales of eligible commodities, utilizing the Percent Payment Factor found in Table 3. Producers of specialty crops classified as flat rate crops are paid based on the number of eligible acres multiplied by $15.

Example Utilizing Percent Payment Factor

Many crops and products utilize the percent payment factors listed in Table 3. Example: If a producer's 2019 sales of the eligible commodities totaled $75,000. The payment is calculated as ($9,999 times 10.6%) plus (25,001 times 9.9%), equaling a total payment of $7,775.

If a producer began farming in 2020 and had no 2019 sales, the payments will be based on the producer's actual 2020 sales as of their application date.

Application and Assistance

The USDA’s Coronavirus Food Assistance Program 2 website has many useful tools and pages to answer application and eligibility questions. Local office contact information can also be found on this site if producers are unsure where to apply. Producers should make a file with documentation of the acres, income, or inventory used to make the CFAP-2 application. Documentation is not required at the time of application but can be requested for verification at a later time.