Photo: Rusty Halvorson, KFGO Ag News
Today, U.S. Secretary of Agriculture Brooke L. Rollins announced that the Farm Service Agency’s Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) will generate approximately $13.8 billion in gross payments to eligible agricultural producers for the 2025 crop year; the largest annual payout by far since these key safety net programs were established in the 2014 Farm Bill.
The 2025 crop year stands alone in the history of ARC and PLC since Congress created the programs as key components of the commodity safety net in the Agricultural Act of 2014. Since 2015, no previous crop year has generated payments approaching this level. While ARC and PLC payments total $13.8 billion, producers are reminded that this does not account for payment limitation reductions and the 5.7% sequestration rate required by statute that will be applied to all ARC and PLC payments.
The following 16 crops triggered a PLC payment for the 2025 crop year: Chickpeas (small and large), canola, corn, dry peas, flaxseed, grain sorghum, lentils, peanuts, rice (long grain, medium grain, japonica), safflower, seed cotton, soybeans, and wheat. ARC-County (ARC-CO) payments are based on county-level revenue and therefore trigger at the county level. FSA will issue payments to eligible producers as calculations are completed.
As a reminder, the ARC and PLC election and enrollment period for the 2026 crop year is now open.
The Working Families Tax Cuts Act added an additional 30 million new base acres to farms nationwide. Because eligible acres exceeded the nationwide 30-million-acre cap, FSA applied an across-the-board, prorated reduction of 3.69% to all newly allocated base acres. These additional base acres impact ARC and PLC starting with the 2026 and future crop years, further improving the farm safety net.
Producers should make an appointment with their FSA county office to complete their 2026 ARC and PLC election and enrollment.
Source: USDA
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