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USDA programs helping livestock producers cope with drought

USDA programs helping livestock producers cope with drought


By Andi Anderson

The Livestock Forage Disaster Program (LFP) and the Pasture, Rangeland, and Forage (PRF) program are two important initiatives administered by the USDA to help producers cope with the challenges posed by drought conditions. Here's an overview of these programs:

Livestock Forage Disaster Program (LFP):

  • Objective: The primary goal of LFP is to compensate livestock producers for grazing losses resulting from drought conditions.
  • Eligibility: Producers can qualify for LFP based on their grazing land acreage and the cattle that graze on that land. It's not an insurance program, and there are no premiums or policy purchases required.
  • Payment Determination: LFP payments are triggered when drought conditions reach specific levels or duration, such as D2, D3, or D4 droughts. These payments are calculated based on per-head payment rates, which have increased over the past five years.
  • Severity Impact: The severity of the drought can impact the payment rate, leading to multipliers of 3, 4, or 5, depending on drought level and duration.
  • Head Count: The number of eligible cattle is determined by the lesser value of either the number of head a producer certifies or the normal carrying capacity of the grazing land reported. Unweaned livestock are ineligible.
  • Eligible Counties: Eligibility for LFP is determined based on the U.S. Drought Monitor, with counties in D3 or D4 zones being eligible. Eligible counties and pasture types are updated weekly.
  • Application Process: Producers should contact their local Farm Service Agency (FSA) service center to start the application process. Late-filing fees may apply if acreage reports for the year have not been submitted. LFP applications must be submitted by January 2024.

Pasture, Rangeland, and Forage (PRF) Program:

  • Objective: PRF, administered by USDA's Risk Management Agency (RMA), provides "rainfall" or "drought" insurance to producers, helping them manage risk related to forage production.
  • Eligibility: Producers sign up for PRF by December 1st of the previous year to get coverage for the following year. For example, the signup for 2023 coverage ended on December 1, 2022, and interested producers have until December 1, 2023, to sign up for 2024 coverage.
  • Trigger Mechanism: PRF is triggered based on the amount of rainfall received relative to historical averages during selected months chosen by producers. It is a risk management tool to help mitigate the financial impacts of drought on forage and livestock operations.

Both LFP and PRF are essential tools for livestock producers in regions affected by drought, helping them manage the challenges and uncertainties associated with adverse weather conditions and ensuring the long-term sustainability of their operations. Producers are encouraged to contact their local USDA offices to inquire about eligibility and application procedures for these programs.

 

Photo Credit: istock-heebyj

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