Direct and Counter-cyclical Payments Program


To provide income support to eligible producers of covered commodities.

General information about this opportunity
Last Known Status
Deleted 03/27/2024 (Archived.)
Program Number
Federal Agency/Office
Farm Service Agency, Department of Agriculture
Type(s) of Assistance Offered
C - Direct Payments For Specified Use; D - Direct Payments With Unrestricted Use
Program Accomplishments
Not applicable.
The American Taxpayer Relief Act Of 2012, Public Law 112-240
Food, Conservation, and Energy Act of 2008, Public Law 110-627, 7 U.S.C. 1412
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
To be eligible for payments under DCP, owners, operators, landlords, tenants, or sharecroppers must (1) share in the risk of producing a crop on base acres on a farm enrolled in DCP, and be entitled to share in the crop available for marketing from the base acres, or would have shared had a crop been produced; (2) annually report the use of the farm's cropland acreage; (3) comply with conservation and wetland protection requirements on all of their land; (4) comply with planting flexibility requirements; (5) use the base acres for agricultural or related activities; and (5) protect all base acres from erosion, including providing sufficient cover as determined necessary by the county FSA committee, and control weeds.
Beneficiary Eligibility
DCP provides payments to eligible producers on farms enrolled for the 2008 through 2013 crop years.
As a condition of eligibility for direct and counter-cyclical payments, the operator or owner must submit a report of all cropland acreage on the farm. Reports of production evidence for all covered commodities shall be provided to the county committee of the county where the farm is administratively located, by farm and crop in such manner as required by CCC on a CCC-approved standard, uniform form designated by CCC. When disposition of production has been through commercial channels, CCC may require the producer to furnish documentary evidence in order to verify the information provided on the report of production.
What is the process for applying and being award this assistance?
Pre-Application Procedure
Preapplication coordination is not applicable.
Application Procedure
2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. The CCC-509 must be submitted. The following documents are required and applicable determinations must be made before the county committee can approve a producer's share on the CCC-509 for payment: (1) a farm operating plan (CCC-902 and related forms); (2) an average adjusted gross income certification (CCC-933); (3) a certification of compliance with highly erodible land and wetland conservation provisions (AD-1026). A certification of the acreage of all cropland on the farm (FSA-578) is needed before final payments can be issued.
Award Procedure
Producers receive their direct payments after October 1, 2013. Producers receive their final counter-cyclical payments are made after the end of the marketing year for the crop.
February 19, 2013 to August 2, 2013 Please contact the program contact listed in the Information Contacts section below.
Approval/Disapproval Decision Time
From 15 to 30 days. Approval of payments depends on farmer compliance with conservation and wetland protection requirements on all of the producers' farms, planting flexibility requirements and other eligibility requirements mentioned above, and is fairly routine and prompt.
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 found at parts 11 and 780 of Title 7 Agriculture.
Not applicable.
How are proposals selected?
Not applicable.
How may assistance be used?
With respect to Fiscal Year 2008 payments, CCC will offer to enter into a contract with eligible producers of covered commodities on June 25, 2008 through the date announced by CCC. With respect to Fiscal Years 2009 through 2013, CCC shall offer to annually enter into a contract with an eligible producer on a farm having base acreage with respect to a covered commodity at the beginning of each such fiscal year 2009 through 20013 through the date announced by CCC for each such year.
What are the requirements after being awarded this opportunity?
Not applicable.
Recipients under this program are subject to audit by the Office of the Regional Inspector General, USDA.
An owner or any other individual or entity receiving assistance for DCP shall maintain and retain financial books and records which will permit verification of all transactions for at least 3 years, following the end of the calendar year in which assistance was provided.
Other Assistance Considerations
Formula and Matching Requirements
Statutory Formula: Title 7 Agriculture Part 1412 Subpart E Public Law 110-627 7 Agriculture

Matching requirements are not applicable to this assistance listing.

MOE requirements are not applicable to this assistance listing.
Length and Time Phasing of Assistance
Direct payments are made after October 1, 2013. Counter-cyclical payments are made after the end of the marketing year for the applicable crop. Both dates are statutory. Method of awarding/releasing assistance: Lump.
Who do I contact about this opportunity?
Regional or Local Office
Consult the local phone directory for location of the nearest county FSA office. If no listing, contact the appropriate State FSA office listed in the Farm Service Agency section of Appendix IV of the Catalog or on the WEB at
Headquarters Office
Daniel P. McGlynn
1400 Independence Ave, SW Stop 0517
Washington, DC 20250 US
Phone: 202-720-7641
Fax: 202-690-2130
Website Address
Financial Information
Account Identification
(Direct Payments with Unrestricted Use) FY 17$0.00; FY 18 est $0.00; FY 19 est $0.00; FY 15$23,588,000.00; FY 16 est $0.00; - Direct Payments repealed by 2014 Farm Bill(Direct Payments with Unrestricted Use) FY 17$0.00; FY 18 est $0.00; FY 19 est $0.00; FY 15$0.00; FY 16 est $0.00; - Counter-Cyclical Payments repealed by 2014 Farm Bill
Range and Average of Financial Assistance
Not applicable/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, 7 CFR Part 1412.
Examples of Funded Projects
Not applicable.


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