USDA Payment Program Supports Farmers

By Scout Nelson

The U.S. Department of Agriculture, through its Farm Service Agency is providing more than $2.5 million in payments to farmers under the On-Farm Stored Commodity Loss Program. This program supports producers who lost stored crops due to natural disasters in 2023 and 2024.

These losses occurred when harvested commodities kept in on-farm storage structures were damaged or destroyed by events such as storms or other disasters. This prevented farmers from selling their crops and caused financial challenges.

“Catastrophic natural disaster events in 2023 and 2024 destroyed harvested commodities stored on the farm, preventing farmers from marketing those commodities and adversely impacting their bottom line,” said FSA Administrator Bill Beam. “Through these On-Farm Stored Commodity Loss program payments, USDA is putting Famers First by providing critical economic support that helps sustain America’s farming operations and protects our rural economies.”

The program is authorized under the American Relief Act of 2025. The application period for this program closed on January 23, 2026.

Payments are calculated using 75% of the Market Year Average price set by the National Agricultural Statistics Service. This means farmers cover 25% of their loss. The final payment depends on the quantity of crops lost during storage and is adjusted by subtracting any insurance or salvage value received.

Farmers will receive full payments based on these calculations without any reduction factor.

In addition to this program, USDA continues to provide large-scale disaster support. More than $17.5 billion has been delivered through different programs, including emergency assistance for crops and livestock.

Farmers can learn more about this program by visiting the USDA website or contacting their local Farm Service Agency office for guidance and support.

Photo Credit: usda-farm-service-agency