USDA Announces Repayment Options for Producers with Coverage in Previous Margin Protection Program for Dairy

USDA’s Farm Service Agency (FSA) announced that dairy producers who had coverage under the Margin Protection Program for Dairy (MPP-Dairy), which provided payments to producers when the price of milk fell below the feed costs to produce it, are eligible to receive a repayment for part of the premiums paid into the program. To be eligible for this repayment, which was authorized by the 2018 Farm Bill, a dairy operation must have participated in the MPP-Dairy during any calendar year from 2014 through 2017, have the repayment calculated and verified by FSA and elect one of two options by September 20, 2019. Operations whose established production history has been transferred to an heir or new owner also are eligible.An operation’s repayment amount is calculated for each applicable calendar year in which that dairy participated in MPP-Dairy, from 2014 through 2017. The repayment amount is equal to the difference between the total amount of premiums paid by the dairy operation for each applicable calendar year of coverage and the total amount of payments made to the MPP-Dairy participating dairy operation for that applicable calendar year.