The signup period is opening for the new Rice Production Program from the U.S. Department of Agriculture (USDA). Prefilled applications will begin being mailed to rice producers the week of May 8. USDA’s Farm Service Agency (FSA) will be providing up to $250 million in assistance through the program. Assistance payments will be based on 2022 planted and prevented planted acres.
“USDA is streamlining the application process for rice producers by mailing a pre-filled application to eligible producers,” Agriculture Secretary Tom Vilsack said in a press release. “This approach will result in significant time savings for both farmers and USDA employees, helping to ensure the swift delivery of program benefits to producers and further our goal of better serving farmers.”
Information on file with FSA or USDA’s Risk Management Agency will be the basis for applications being sent to rice producers. The Rice Production Program Application, FSA-174, will need to be submitted in person, by mail, or by email. Applications will need to be received by FSA by Monday, July 10. Producers that did not receive a pre-filled application, but reported acreage to FSA by the deadline can still apply.
Initial payments will be made at a payment rate of one cent per pound to eligible producers. A second payment capped at one cent per pound will also be issued to eligible producers if funding remains at the end of the application period. FSA will calculate payments by multiplying the payment rate, the average reported production history, and amount of certified rice acres. A prevented planted factor of 60 percent will be applied where appropriate.
Authority and funding for the Rice Production Program are established in H.R. 2617, the Consolidated Appropriations Act, 2023. Producers with 75 percent or more of their average adjusted gross income (AGI) coming from farming quality for a $250,000 payment limit. Payment totals are limited to $125,000 for those with less than 75 percent of their average AGI derived from farming.