I know we talked about this last month, but we are going to talk about it again. We may even talk about it once more if we need to. It is that important of a subject. The ARC/PLC signup deadline is five weeks away and the clock is ticking. You need to be making your selections as soon as possible.
Through the Farm Bill, the United States Department of Agriculture offers the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs. American Farm Bureau Federation Economist Shelby Myers gives a brief summary of the differences in the programs.
Myers says these programs serve one purpose, and that is to help producers manage their risks during each growing season.
However, this year will be a little different than normal. Because the 2018 Farm Bill wasn?t signed into law until right before the start of 2019, producers didn?t have an option to sign up for their risk management programs. When farmers come in to elect their coverage for 2020, it will be applied retroactively for 2019 as well. This, of course, may influence a producer?s decision, but you will have to study up on what works for you.
The 2018 Farm bill also provides another new change in the program. It used to be that when you elected your coverage under a previous Farm Bill, you were locked in for 5 years. Now after the 2020 sign up, you will be able to change your elections each growing season.
You will also be able to choose different programs for different crops. Shelby Myers tells about tools that are available to help you make the right decision for your operation.
Iowa State Farm Service Agency Director Amanda De Jong told us in January that producers need to contact their local FSA offices as soon as possible because spots will be filling up fast.
