PARP can help producers offset losses

   Agriculture Secretary Tom Vilsack has announced plans for additional emergency relief and pandemic assistance from the U.S. Department of Agriculture (USDA).

   USDA is preparing to roll out the  Phase Two as well as the new Pandemic Assistance Revenue Program (PARP), which are two programs to help offset crop and revenue losses for producers.  USDA is sharing early information to help producers gather documents and train front-line staff on the new approach.

   “We have worked diligently to help agricultural producers bounce back from devastating natural disasters as well as the coronavirus pandemic through an extensive suite of programs,” said Vilsack.

   “No matter how well we design these targeted efforts, we often find that some producers fall through the cracks or were harmed more severely than their neighbors.”

   ERP Phase Two will assist eligible agricultural producers who suffered eligible crop losses, measured through decreases in revenue, due to wildfires, hurricanes, floods, derechos, excessive heat, winter storms, freeze (including a polar vortex), smoke exposure, excessive moisture and qualifying droughts occurring in calendar years 2020 and 2021.

   PARP will assist eligible producers of agricultural commodities who experienced revenue decreases in calendar year 2020 compared to 2018 or 2019 due to the COVID-19 pandemic. PARP will help address gaps in previous pandemic assistance, which was targeted at price loss or lack of market access, rather than overall revenue losses.

   ERP is authorized under the Extending Government Funding and Delivering Emergency Assistance Act, which includes $10 billion in assistance to agricultural producers impacted by wildfires, droughts, hurricanes, winter storms and other eligible disasters experienced during calendar years 2020 and 2021.

   Phase Two builds on ERP Phase One, which was  and has since paid more than $7.1 billion to producers who incurred eligible crop losses that were covered by federal crop insurance or Non-insured Crop Disaster Assistance Program.

   ERP Phase Two includes producers who suffered eligible losses but may not have received program benefits in Phase One. To be eligible for Phase Two, producers must have suffered a loss in allowable gross revenue as defined in forthcoming program regulations in 2020 or 2021 due to necessary expenses related to losses of eligible crops from a qualifying natural disaster event.

   Eligible crops include both traditional insurable commodities and specialty crops that are produced in the United States as part of a farming operation and are intended to be commercially marketed.

   Most producers, especially those who have previously participated in FSA programs, will likely have the required application forms on file. However, those who are uncertain or want to confirm should contact FSA at their local USDA Service Center.