Noninsured Crop Disaster Assistance Program

 

To provide financial assistance to producers of non-insurable crops when low yields, loss of inventory, or prevented planting occur due to natural disasters.

Active 10.451 Farm Service Agency, Department of Agriculture D - Direct Payments With Unrestricted Use Fiscal Year 2022 FSA provided $239,859,128 in assistance to producers who suffered eligible crop losses due to eligible disaster events. FSA expects to provide up to $300,000,000 in assistance in Fiscal Year 2023. Federal Agriculture Improvement and Reform Act of 1996, Public Law -104-127 Eligible crops include commercial crops and other agricultural commodities (except livestock and their by-products; tobacco; and trees grown for wood, paper, or pulp products) that are produced for food or fiber and specifically includes: Floricultural, ornamental nursery, and Christmas tree crops, turfgrass sod, seed crops, aquaculture (including ornamental fish), and industrial crops. An eligible producer is an owner, landlord, tenant, or sharecropper: (1) Who shares in the risk of producing the crop; (2) who is entitled to share in the crop available for marketing or would have shared had the crop been produced; and (3) whose average adjusted gross income (AGI) is in accord with 7 CFR Part 1400. NAP provides catastrophic level coverage based on the amount of loss that exceeds 50 percent of expected production at 55 percent of the average market price for the crop. Additional coverage levels are available ranging from 50 to 65 percent of production, in 5 percent increments, at 100 percent of the average market price. Additional coverage must be elected by a producer by the application closing date. Producers who elect additional coverage must pay a premium in addition to the service fee. Crops intended for grazing are not eligible for additional coverage. Applicant Eligibility: Eligible crops include commercial crops and other agricultural commodities (except livestock and their by-products; tobacco; and trees grown for lumber or paper products) that are produced for food, fiber, or bioenergy conversion and specifically includes: floricultural, ornamental nursery, and Christmas tree crops, turfgrass sod, seed crops, aquaculture (including ornamental fish), and industrial crops. An eligible producer is an owner, landlord, tenant, or sharecropper: (1) who shares in the risk of producing the crop; (2) who is entitled to share in the crop available for marketing or would have shared had the crop been produced; and (3) whose average AGI is in accord with 7 CFR Part 1400. NAP provides catastrophic level coverage based on the amount of loss that exceeds 50 percent of expected production at 55 percent of the average market price for the crop. Additional coverage levels are available ranging from 50 to 65 percent of production, in 5 percent increments, at 100 percent of the average market price. Additional coverage must be elected by a producer by the application closing date. Producers who elect additional coverage must pay a premium in addition to the service fee. Crops intended for grazing are not eligible for additional coverage. Applicants must provide to the local administrative FSA office, annual certifications of acreage and production and acceptable records of production. Applicants must provide evidence as necessary for a proper determination of their eligibility. This program is excluded from coverage under 2 CFR 200, Subpart E - Cost Principles. Preapplication coordination is not applicable. 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. This program is excluded from coverage under 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. This program is excluded from coverage under 2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards. Applicants must file an application for coverage in the local administrative FSA office. An applicable service fee must accompany the application. Underserved producers (socially disadvantaged, beginning, limited resource, and veteran farmers and ranchers) are eligible for a service fee waiver and premium reduction by filing CCC-860. Coverage is effective the later of: (1) 1 day after the application for coverage is filed; (2) date the crop is planted for yield-based crops or the beginning of the crop year for all other eligible crops. Other documentation required to fulfill the application requirements include: (1) A report of acreage, facility, etc.; (2) a notice of loss when the eligible crop is prevented from being planted as a result of eligible natural disaster or the eligible planted crop or commodity suffers loss due to eligible natural disaster; (3) if the crop is harvested, a certification of production or inventory, and in the crop year for which an application for payment is filed, acceptable evidence of production or inventory, (4) if the crop will not be harvested, a request to the local county FSA office for appraisal; and (5) a certification of compliance with the average AGI limitation. None. Contact the headquarters or regional location, as appropriate for application deadlines The county committee will normally make a decision regarding the application for payment within 60 calendar days after all required information and documentation is received. Applicants may request reconsideration of a decision by the decision authority or appeal such decisions to a higher authority including the county and State FSA committees and the National Appeals Division. Not applicable. Not applicable. Assistance will be used by producers of eligible crops who suffered losses due to eligible disaster events. Not applicable. Not applicable. Applicants must retain financial books and records that permit verification of all transactions for at least 3 years following the end of the calendar year in which an application for coverage is filed. Statutory formula is not applicable to this assistance listing.

Matching requirements are not applicable to this assistance listing.

MOE requirements are not applicable to this assistance listing. Assistance is normally provided in a single payment following approval of the application for payment. Method of awarding/releasing assistance: Lump. Consult the local telephone directory for location of the nearest county FSA office. If no listing, contact the appropriate State FSA office. Tona Huggins, Branch Chief
USDA, Deputy Administrator for Farm Programs, Safety Net Division, Program Policy Branch
Washington, DC 20250 USA
Tona.Huggins@usda.gov
Phone: (202) 205-9847 http://www.fsa.usda.gov/programs-and-services/disaster-assistance-program/noninsured-crop-disaster-assistance/index 12-4336-0-3-999 (Direct Payments with Unrestricted Use) FY 22$239,859,128.00; FY 23 est $300,000,000.00; FY 24 est $300,000,000.00; FY 21$178,512,000.00; FY 20$128,775,000.00; FY 19$152,624,000.00; FY 18$183,464,000.00; FY 17$157,157,000.00; FY 16$137,000,000.00; - Not applicable/available. The program is administered according to 7 CFR part 1437 and the NAP Basic Provisions. Procedural handbooks, NAP Basic Provisions, and published regulations are available in county FSA offices. Not applicable.