Pandemic Assistance Programs and Agricultural Disaster Assistance Programs rule (2023)

| What is a significant rule? Significant regulatory action is a term used to describe an agency rule that has had or might have a large impact on the economy, environment, public health, or state or local governments. These actions may also conflict with other rules or presidential priorities. As part of its role in the regulatory review process, the Office of Information and Regulatory Affairs (OIRA) determines which rules meet this definition. |
| Administrative State |
|---|
| Five Pillars of the Administrative State |
| •Agency control • Executive control • Judicial control •Legislative control • Public Control |
| Click here for more coverage of the administrative state on Ballotpedia.
|
| Click here to access Ballotpedia's administrative state legislation tracker. |
The Pandemic Assistance Programs and Agricultural Disaster Assistance Programs rule is a significant rule issued by the Commodity Credit Corporation (CCC), Farm Service Agency (FSA), and Office of the Secretary, U.S. Department of Agriculture (USDA) effective January 11, 2023, that provided assistance to producers who suffered crop losses due to natural disasters, created a new program that provides support for agricultural producers impacted by the COVID-19 pandemic, and updated several agriculture-related Acts, pursuant to the Consolidated Appropriations Act of 2021.[1]
Timeline
The following timeline details key rulemaking activity:
- March 13, 2023: Comment period closed.[1]
- January 11, 2023: Rule published.[1]
- January 11, 2023: Final rule effective.[1]
Note: No proposed rule was found.
Background
| “ | This rule announces ERP Phase 2 and PARP, a new program. In addition, this rule amends the CFAP regulations to provide an additional CFAP 2 payment for underserved producers; makes clarifying changes based on previously implemented provisions of the Consolidated Appropriations Act, 2021 (CAA); and amends the payment provisions for producers of swine. It also updates provisions for and makes technical changes to the regulations for BCAP, ECP, ELAP, LFP, LIP, NAP, and payment eligibility provisions of 7 CFR part 1400, as described in this document.[2] | ” |
Summary of the rule
The following is a summary of the rule from the rule's entry in the Federal Register:
| “ | This rule announces Phase 2 of the Emergency Relief Program (ERP), which provides assistance to producers who suffered crop losses due to wildfires, hurricanes, floods, derechos, excessive heat, winter storms, freeze (including a polar vortex), smoke exposure, excessive moisture, and qualifying droughts occurring in calendar years 2020 and 2021. It also announces Pandemic Assistance Revenue Program (PARP), a new program that provides support for agricultural producers impacted by the COVID-19 pandemic. In addition, this rule makes changes to the Coronavirus Food Assistance Program (CFAP); the Emergency Conservation Program (ECP); the Emergency Forest Restoration Program (EFRP); the Emergency Assistance for Livestock, Honeybees, and Farm-Raised Fish Program (ELAP); the Livestock Forage Disaster Program (LFP); the Livestock Indemnity Program (LIP); the Noninsured Crop Disaster Assistance Program (NAP); and general payment eligibility provisions. This rule also makes a technical correction to the Biomass Crop Assistance Program (BCAP).[2] | ” |
Summary of provisions
The following is a summary of the provisions from the rule's entry in the Federal Register:[1]
A. Emergency Relief Program (ERP) Phase 2
ERP Phase 2, part of the Extending Government Funding and Delivering Emergency Assistance Act, allocates $10 billion for expenses related to crop, tree, and vine losses due to various disasters in 2020 and 2021. It builds on ERP Phase 1, which streamlined the process for receiving assistance for losses of crops and trees. Phase 2 covers both production and quality losses of eligible crops, using a decrease in gross revenue as a measure of losses. To be eligible, producers must have suffered losses from qualifying disaster events and must meet certain requirements. Payments are calculated based on benchmark revenue, allowable gross revenue, and other factors. Producers are also required to purchase crop insurance or NAP coverage for the next two available crop years to qualify for ERP Phase 2 payments.
B. Pandemic Assistance for Producers
PARP, the Pandemic Assistance for Producers program, is part of the USDA's broader Pandemic Assistance for Producers initiative announced in March 2021. It aims to provide support to a wide range of agricultural producers who suffered eligible revenue losses in 2020 due to the COVID-19 pandemic. The program has specific eligibility criteria, including a 15% decrease in allowable gross revenue in 2020 compared to benchmark years or expected 2020 revenue, and it's open to various types of agricultural producers. PARP payments are calculated based on revenue differences, with different rates for different producer categories, and have payment limitations. The application process includes specific forms and documentation requirements, and the program follows general requirements of FSA-administered commodity programs.
C. Coronavirus Food Assistance Program (CFAP)
The Coronavirus Food Assistance Program (CFAP) was established by the USDA to assist agricultural producers affected by market disruptions, price reductions, and increased production costs due to COVID-19 in 2020. CFAP included two rounds of payments, CFAP 1 and CFAP 2, for various commodities, with specific rules and eligibility criteria. A new rule provides an additional CFAP 2 payment to underserved farmers and ranchers, equivalent to 15% of their previous CFAP 2 payment, with contract producers excluded. Socially Disadvantaged, Limited Resource, Beginning, and Veteran Farmer or Rancher Certification (CCC-860) is required for eligibility, and it updates provisions on handling applications when taxpayer identification numbers are not provided.
D. Emergency Conservation Program (ECP), Emergency Forest Restoration Program (EFRP), and Biomass Crop Assistance Program (BCAP)
This rule amends ECP to allow land owned or controlled by the United States or States, including State agencies, to be eligible under specific conditions, enabling producers who lease federal and state land to participate. It also permits advance payments for all ECP practices and provides clarifications to avoid duplicate benefits. The rule includes minor technical amendments such as updating definitions and recognizing specific legislative provisions.
E. Supplemental Agricultural Disaster Assistance Programs
This rule modifies the eligibility criteria for livestock under the Emergency Livestock Assistance Program (ELAP), Livestock Forage Program (LFP), and Livestock Indemnity Program (LIP). It removes the previous restrictions that deemed livestock maintained for pleasure, roping, pets, or show ineligible for these programs. It also clarifies that animals used for racing or wagering are considered ineligible livestock. Furthermore, the rule extends the deadline for filing notices of loss related to ostriches under ELAP and LFP through February 10, 2023. The rule eliminates the section related to equitable relief determinations and makes minor clarifications and corrections to definitions and sections within the programs.
F. Noninsured Crop Disaster Assistance Program (NAP
This rule updates the regulations for the Noninsured Crop Disaster Assistance Program (NAP) to allow applications for coverage to be filed in any FSA county office, not just the producer's administrative county. It also introduces flexibility to streamline the application process for underserved farmers and ranchers eligible for catastrophic coverage without a service fee. Additionally, the rule clarifies that the CCC-860 will be designated as an application for catastrophic coverage and defines how the continuous coverage will work for eligible crops. It also removes unnecessary provisions related to applications filed after the deadline and makes minor clarifications.
Significant impact
- See also: Significant regulatory action
Executive Order 12866, issued by President Bill Clinton (D) in 1993, directed the Office of Management and Budget (OMB) to determine which agency rules qualify as significant rules and thus are subject to OMB review.
Significant rules have had or might have a large impact on the economy, environment, public health, or state or local governments. These actions may also conflict with other rules or presidential priorities. Executive Order 12866 further defined an economically significant rule as a significant rule with an associated economic impact of $100 million or more. Executive Order 14094, issued by President Joe Biden (D) on April 6, 2023, made changes to Executive Order 12866, including referring to economically significant rules as section 3(f)(1) significant rules and raising the monetary threshold for economic significance to $200 million or more.[1]
The text of the Pandemic Assistance Programs and Agricultural Disaster Assistance Programs rule states that OMB deemed this rule economically significant under E.O. 12866:
| “ | The Office of Management and Budget (OMB) designated this rule as economically significant under Executive Order 12866 and therefore, OMB has reviewed this rule.[2] | ” |
Text of the rule
The full text of the rule is available below:[1]
See also
External links
Footnotes