Alfalfa deemed eligible for CFAP-2 payments

By Mike Rankin

Although hay growers got shut out of the first round of Coronavirus Food Assistance Program (CFAP), USDA has chosen to include alfalfa in Round 2.

Only acres that were certified as planted to alfalfa in 2020 will be eligible for a flat rate $15 per acre payment. No other type of hay is listed as being eligible for payments.

Last week, USDA announced it would be providing up to an additional $14 billion dollars to farmers whose markets were compromised by the coronavirus. This followed a previous round of CFAP payments that resulted in nearly $10 billion being paid out to date based on the most recent data available from USDA. About $16 billion was allocated for the first round of CFAP with applications for that program closing on September 11.

Payments from CFAP-2 will be capped at $250,000 per person or entity for all eligible commodities combined. Corporations, limited liability companies, and limited partnerships may qualify for higher payments depending on personnel engagement levels.

Producers also must certify that they meet the $900,000 limit on adjusted gross income, or confirm at least 75% of their income is from agriculture, which includes farming, ranching, or forestry.

USDA’s Farm Service Agency will accept CFAP-2 applications from September 21 through December 11, 2020. Information on how to apply for CFAP 2 funding can be found by clicking here.