NEW Coronavirus Food Assistance Program (CFAP)

CFAP Overview
Sign up for the CFAP (Coronavirus Food Assistance Program) at FSA is set to begin this coming Tuesday, May 26th, and go through August 28th.

  • The first round of the program is not to exceed $16 billion – you may want to try and get your application in sooner rather than later
  • Producers will receive 80% of their max payment upon application approval – with the additional 20% to be paid out if sufficient funds remain.
  • Producers will be paid based on inventory subject to price risk* held as of January 15, 2020. The payment will be made based on 50% of a producers 2019 total production or the 2019 inventory as of January 15, 2020, whichever is smaller, multiplied by the commodity’s applicable payment rates.

*At this time there is a lot of confusion what price risk actually entails – does it include any hedges in place, basis contracts, HTA’s, options, etc. As you can imagine proving exactly what was where and what was priced vs. unpriced could entail a significant amount of paperwork/headaches at FSA. The rule says “self certified” – not sure what the audit situation will be.

  • CFAP payments are subject to a per person and legal entity payment limitation of $250,000. Unlike other FSA programs, special limits apply to corporations, limited liability companies, and limited partnerships. These corporate entities will have a total limit of $750,000 with up to 3 shareholders eligible for the $250,000 limit.
  • AGI limits do not apply if 75% of adjusted gross income comes from farming and ranching.
  • Producers must comply with Highly Erodible Land and Wetland Conservation provisions.
  • Non-specialty crops included are barley, canola, corn, oats, soybeans, sunflowers and durum and spring wheat. Payment rates for some of our common crops are listed below:
    • Spring Wheat = 19 cents per bushel
    • Soybeans = 47.5 cents per bushel
    • Corn = 33.5 cents per bushel
  • Payment example – you produce 10,000 bushels of corn in 2019. All bin stored on Jan. 15th – you would take 50% of that = 5000 bushels X crop rate ($0.335) = Payment of $1,675
    • You would receive 80% initially = $1340
  • Livestock producers with hogs, cattle, and sheep are also eligible for CFAP assistance. See link below for additional details on eligible types/payment per head.

CFAP Website


CFAP -Non-Specialty Crops Info


CFAP – Livestock


Payment & Application Example Video