by Tyne Morgan, Farm Journal
Congress included economic aid for farmers in the continuing resolution (CR), which keeps the government funded through March 14, 2025. The “Economic Loss Assistance Program” earmarks $10 billion in direct payments for farmers.
While USDA will make the final calculations, Farm CPA Paul Neiffer estimates per acre producer payments will be the following:
*Corn: $43.80
*Soybeans: $30.61
*Wheat: $31.80
*Cotton: $84.70
*Rice: $71.37
Payment formula: Payments are calculated based on the difference between expected gross returns and production costs, with a 26% adjustment factor to stay within budget. For certain crops like barley, rice, and peanuts, a minimum payout ensures better support.
The House Ag Committee also released a chart outlining the estimated payment rates on a per acre basis for all crops, along with a fact sheet regarding details of the program. To view the fact sheet click here.
When and How Farmers Will Receive Their Payments
Economic aid will come 90 days after passage, which was Saturday, Dec. 21, 2024.
“USDA will come out with their program and since they have all of the data, the farmer will likely not have to do anything other than sign up. I would expect the payment to go out in February or perhaps early March, since they have to issue those payments within 90 days,” Neiffer said.
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