By Andi Anderson
The United States Department of Agriculture has finalized major updates to two key farm safety programs, the Agriculture Risk Coverage and Price Loss Coverage programs. However, enrollment for these programs will not begin until after planting season at the earliest.
Agri-Pulse reported that USDA has issued a final rule that changes ARC, PLC, and the Dairy Margin Coverage program for the 2026 crop year. These changes were required by the One Big Beautiful Bill Act passed by Congress in July.
The rule raises support levels for farmers and updates program structures, but signup will be delayed because of the heavy workload at Farm Service Agency offices.
Richard Fordyce, USDA’s undersecretary for farm production and conservation, confirmed that enrollment will not happen soon. He said, “We are going to have a signup period that is going to be certainly fair to producers (and) that will reflect the work … we’ve got to get done on the front end to get to the place where we can do that signup.” He also assured farmers, “By no means will the signup time frame put any producer in peril.”
The final rule explains that producers will know their 2026 yields before choosing a program. It states, “Producers will know their 2026 production and yields before they decide whether to elect and subsequently enroll in ARC or PLC for the 2026 crop year.”
Several important changes were introduced. Reference prices for crops have increased through 2030. Corn’s reference price rose from $3.70 to $4.10 per bushel, soybeans from $8.40 to $10.00 per bushel, and wheat from $5.50 to $6.35 per bushel.
Starting in 2031, these prices will increase by 0.5 percent each year. ARC coverage is also being strengthened, raising its revenue guarantee to 90 percent of benchmark revenue.
The law allows USDA to add up to 30 million new base acres using planting history from 2019 to 2023. However, producers cannot reallocate their existing base acres. Land planted to most non-program crops may qualify, except tobacco, marijuana, cover crops, trees, bushes, vines, and land in the Conservation Reserve Program.
Crop insurance also received updates. The Supplemental Coverage Option now provides coverage up to 90 percent at the county level, and federal premium subsidies were increased to 80 percent.
Overall, these changes aim to strengthen farm safety nets, but farmers must wait until USDA completes its preparations before signing up.
Photo Credit: gettyimages-nes
Categories: Illinois, Government & Policy