Dairy producers who participated in the Margin Protection Program for Dairy (MPP-Dairy) could be eligible for repayment options. The USDA’s Farm Service Agency (FSA) announced that producers who had coverage through MPP-Dairy are eligible to receive a repayment for part of the premiums paid into the program.
Eligibility for repayment is authorized through the 2018 Farm Bill and dairies must have participated in MPP-Dairy during any calendar year from 2014 through 2017.
Repayment will be calculated and verified by FSA and dairies need to elect one of two options by September 20, 2019. A dairy can either elect to receive 50 percent of the repayment amount as a cash refund or take 75 percent of the amount as a credit that can be used toward premiums for the new Dairy Margin Coverage (DMC) Program.
“USDA recognizes that dairy producers have faced tough challenges over the years, so we’re providing them some help,” says FSA Administrator Richard Fordyce. “This repayment for part of past premiums paid, coupled with the new Dairy Margin Coverage Program and other programs, should help producers better weather the ups and downs in the industry.”
Eligible dairy producers soon will receive a letter from FSA, outlining their repayment options.
For more on this story watch the AgDay video above or read the full announcement from FSA.