From the Washington State FSA September newsletter
The 2018 Farm Bill reauthorized the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC). Elections and enrollment for 2019 ARCPLC began on Sept. 3, 2019. The 2020 enrollment and yield updates will begin in October of 2019.
The 2018 Farm Bill requires, as a condition of base acre payment eligibility for 2019, that all producers on a farm with an interest in the farm’s base acres to elect PLC, ARC-CO, or ARC-IC programs. The election made for 2019 will also be effective for 2020. Producers will have the opportunity to reelect thereafter in each year from 2021 through 2023. Elections of PLC or ARC-CO are made on a covered commodity by covered commodity basis. If ARC-IC is elected, then all covered commodity base acres on the farm have elected ARC-IC.
Failure to make or agree to a unanimous election in 2019 for a covered commodity results in a default program designation of the current election of the covered commodity on the farm from 2018 and prohibits any 2019 payments for the covered commodity. These producers have an option to change the election starting with the 2021 crop year.
The farm owner can update the PLC program payment yield in 2020 for all covered commodities except seed cotton. Based on 90 percent of the farm’s 2013 through 2017 average yield per planted acre, excluding any year that no acreage was planted to the covered commodity, multiplied by a national ratio. If the yield in any of the years 2013 through 2017 is less than 75 percent of the county yield, then 75 percent of the 2013 through 2017 county yield will be substituted for that year.
The 2018 Farm Bill provides that a farm on which all cropland was planted to grass or pasture, including cropland that was idle or fallow, from Jan. 1, 2009, through Dec. 31, 2017, will have all base acres and payment yields maintained, but with no payment for those base acres during the years 2019 through 2023. Farms that reported all grass, idle or fallow during that entire period may be eligible for a Natural Resources Conservation Service program.
Editor’s note: WAWG is working with Washington State University Extension and local Farm Service offices to hold grower seminars once online decision tools are available. Watch wawg.org, Greensheet and Wheat Life as information becomes available.