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USDA Boosts California Agricultural Economy Through $50 Million in Safety Net and Conservation Program Payments

The U.S. Department of Agriculture’s (USDA) Farm Service Agency (FSA) is delivering approximately $50, 611,206 million in farm safety net and conservation program payments to California farmers, ranchers and landowners. USDA recently announced nationwide historic safety net assistance totaling $13.8 billion in gross payments through the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs for the 2025 crop year and an additional $1.8 billion in Conservation Reserve Program (CRP) annual payments for 2026. 

“These dollars help producers and landowners in California cover operating expenses, purchase supplies and equipment, and do business with local companies, creating a positive economic ripple effect throughout our rural communities,” said Connie Conway, State Executive Director in California. “It's a tremendous investment in California agriculture and, collectively, in American agriculture.”

ARC and PLC Working Families Tax Cuts Act Improvements

The Working Families Tax Cuts Act (WFTCA) strengthens ARC and PLC beginning with the 2025 crop year, including higher statutory reference prices and improvements to the effective reference price calculation. Additionally, for the 2025 crop year only, producers automatically receive the higher payment rate of either ARC or PLC, regardless of their program election. The WFTCA also increases the ARC and PLC payment limit from $125,000 to $155,000, starting with the 2025 crop year with annual adjustments based on inflation. The payment limit for the 2025 crop year is $160,000.

Source : usda.gov

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