Agriculture Risk Coverage Program
The ARC program carried over from the 2014 Farm Bill. ARC provides income support to eligible producers of covered commodities.
General information about this opportunity
Last Known Status
Farm Service Agency, Department of Agriculture
Type(s) of Assistance Offered
C - Direct Payments For Specified Use; D - Direct Payments With Unrestricted Use
The 2014 Farm Bill, Title 1, Section 1115, Public Law 113-79
The Agriculture Improvement Act of 2018, Public Law 115-334
Who is eligible to apply/benefit from this assistance?
An eligible producer is eligible to enter into a contract if 1) the owner of the farm has an ownership of a crop and assumes all or a part of the risk producing a crop that is commensurate with that claimed ownership of the crop; 2) a producer, other than the owner, on a farm with a share-rent lease for such farm, regardless of the length of the lease, if the owner of the farm enters into the same contract; 3) a producer, other than an owner, on a farm who rents such farm under a lease expiring on or after September 30 of the year of the contract in which case the owner is not required to enter into the contract; 4) a producer, other than an owner , on a farm who cash rents such farm under a leasing expiring before September 30 of the year of the contract; 5)An owner of an eligible farm who cash rents such farm and the lease expires before September 30 of the year of the contract, if the tenant declines to enter into a contract for the applicable year.
When required, the Farm Service Agency (FSA), may require documentary evidence supporting any certification of yield, production, occupancy by providing that documentation to the county committee of the county where the farm is administratively located.
What is the process for applying and being award this assistance?
Preapplication coordination is not applicable.
2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. Not Applicable
ARC is income support through a revenue-based program that is designed to cover a portion of a farmer's out-of-pocket loss when crop revenues fall below the guarantee, with the benchmark revenue based on either county level for ARC-CO or the individual farms historic revenue for ARC-IC. ARC-CO payment calculation is based on base acres. Payments are triggered when actual county crop revenue of a covered commodity is less than the ARC-CO guarantee for the covered commodity. ARC-IC payments are triggered when the actual crop revenue, averaged across all covered commodities planted on the ARC-IC farm, is less than ARC-IC guarantee, averaged across those covered commodities planted or eligible subsequently planted crop acreage on the farm. Producers receive their ARC payments after October 1, after the end of the marketing year for a specific covered commodity.
Contact the headquarters or regional location, as appropriate for application deadlines
Approval/Disapproval Decision Time
From 15 to 30 days. Approval of payments depends on farmer compliance with conservation and wetland provisions.
From 15 to 30 days. A producer may obtain reconsideration and review of any adverse determination made under this part in accordance with the appeal regulations specified in 7 CFR parts 11 and 780.
How are proposals selected?
How may assistance be used?
The Agricultural Risk Coverage-County Coverage (ARC-CO) provides income support through revenue loss coverage at the county level for selected covered commodities on a farm. The Agricultural Risk Coverage-Individual Coverage program provides income support through revenue loss coverage at the farm level for all acreage devoted to covered commodities across all of a producer's ARC-IC farms.
ARC income support through a revenue-based program designed to cover a portion of a farmer's out-of-pocket loss (referred to as "shallow loss:) when crop revenues fall below benchmark revenue levels, with the benchmark revenue based on either county level historic revenue for ARC-CO or the individual farm's historic revenue for ARC-IC.
What are the requirements after being awarded this opportunity?
An owner or any other individual or entity receiving assistance for ARC shall maintain and retain financial books and records which will permit verification of all transactions for at least three years, following the end of the calendar year in which assistance was provided.
Other Assistance Considerations
Formula and Matching Requirements
Statutory Formula: Title Agriculture Risk Coverage Chapter 7 Part 1412 Public Law 113-79 as amended by Public Law 115-334.
Matching requirements are not applicable to this assistance listing.
MOE requirements are not applicable to this assistance listing.
Length and Time Phasing of Assistance
There is no limit placed on the time permitted to spend the money awarded. Method of awarding/releasing assistance: Lump.
Who do I contact about this opportunity?
Regional or Local Office
Consult the appropriate FSA State office where the property is located. For a list of FSA State offices with telephone numbers and addresses, information is available on the internet, visit FSA website at www.fsa.usda.gov to locate nearest office.
Brently N Orr
1400 Independence Ave SW Room 4759-S
Washington, DC 20250 US
(Direct Payments with Unrestricted Use) FY 18$673,000,000.00; FY 19 est $104,000,000.00; FY 20 est $106,000,000.00; FY 17$5,992,305,000.00; FY 16$17,907,000,000.00; -
Range and Average of Financial Assistance
No data available.
Regulations, Guidelines and Literature
Program is announced through news media and in letters to agricultural producers in the counties. Regulations published in the Federal Register and 7 CFR, Part 1412.
Examples of Funded Projects