The 2014 Farm Bill: Important Information And Dates To Remember

Feb 19, 2015

By Shannon Sand

The passing of the Agricultural Act of 2014, also known as the “2014 U.S. Farm Bill”, eliminated direct payments such as the direct and counter-cyclical program (DCP) and its alternative the Average Crop Revenue Program (ACRE). Producers are now allowed to make a one-time decision to reallocate base acres and update yields.

It is important for producers to take advantage of being able to update their yield information since this option has only happened twice in the last 30 years. Although they can reallocate their base acres they will not be able to increase their number however. Once producers update their yields they will then make a one-time, five-year election of either Price Loss Coverage (PLC), Ag Risk Coverage-County (ARC-CO), or Ag Risk Coverage-Individual (ARC-IC).

This election of programs is a four-step process that needs to meet specific requirements by certain dates.

Update yields (by Feb. 27, 2015)
Decide whether to reallocate base acres (by Feb. 27, 2015)
Decide which program option: PLC, ARC-CO, or ARC-IC (by Mar. 31, 2015)
Enroll for participation (mid-April 2015-summer 2015)

With several of these program deadlines coming up soon it is important for producers to make an appointment with their FSA agent to update their yields and base acres if needed. It is also important to enroll in a program if you have base acres, even if they are not planted in a commodity that’s not covered (i.e. if the base acres are planted with alfalfa- the producer would need to choose either PLC or ARC-CO). The FSA ARC/PLC Program website provides additional information about the different program options, base acre reallocation calculators, and how to compare the different programs.

Source:igrow.org

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