By Daniel Munch
USDA's opening of applications for Stage 1 of the new Supplemental Disaster Relief Program (SDRP) marks the start of a new chapter in federal efforts to offset crop, tree and vine losses tied to natural disasters in calendar years 2023 and 2024. Authorized by the Disaster Relief Supplemental Appropriations Act of 2025, SDRP is backed by $16.09 billion and will be administered in two stages by USDA’s Farm Service Agency (FSA). This Market Intel focuses on Stage 1, which uses existing crop insurance and Noninsured Disaster Assistance Program (NAP) data to deliver payments equal to 35% of calculated eligible losses, with the potential for increased payments as program funds allow.
While the initial rollout of Stage 1 is a welcome development for many farmers who have faced prolonged uncertainty, key questions remain about the timing and structure of Stage 2. Timely and uniform disaster assistance across states and commodities remains critical, particularly for farmers and ranchers whose losses fall outside standard insurance triggers or who operate in states that rely on alternative disaster assistance delivery systems.
A New Framework Rooted in Past Programs
SDRP builds on a progression of past ad hoc disaster programs, including Wildfire and Hurricane Indemnity Program Plus (WHIP+) and the Emergency Relief Program (ERP). While all three aim to help farmers recover from natural disasters, the way losses are calculated has evolved.
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