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by Scott Stiles, Instructor of Agricultural Economics and Agribusiness - November 2, 2021
The USDA Farm Service Agency (FSA) reminds producers to contact their local USDA Service Centers and sign-up for the 2022 Agriculture Risk Coverage (ARC) or Price Loss Coverage (PLC) programs.
The election and enrollment period opened on October 18, 2021 and runs through March 15, 2022.
For the 2022 crop year, producers can elect ARC-County or PLC, which are both crop-by-crop, or ARC-IC, which is for the entire farm.
Although election changes for 2022 are optional, producers must enroll through a signed contract each year.
Also, if a producer has a multi-year contract on the farm and makes an election change for 2022, it will be necessary to sign a new contract.
If an election is not submitted by the March 15, 2022 deadline, the election remains the same as the 2021 election for crops on the farm.
In partnership with USDA, the University of Illinois and Texas A&M University offer web-based decision tools to assist producers in making ARC and PLC election decisions using crop data specific to their respective farming operations. Tools include:
Additional resources for ARC/PLC decision making can be found on the Farming & Risk Management Planning webpage on the University of Arkansas Cooperative Extension website.
ARC and PLC are part of a broader safety net provided by USDA, which also includes crop insurance. Producers are reminded that ARC and PLC elections and enrollments can impact eligibility for some crop insurance products.
Producers on farms with a PLC election have the option of purchasing Supplemental Coverage Option (SCO) through their Approved Insurance Provider. However, producers on farms where ARC is elected are ineligible for SCO on their planted acres for that crop on that farm.
The Enhanced Coverage Option (ECO) is unaffected by an ARC election. Producers may add ECO regardless of the farm program election.
Upland cotton farmers who choose to enroll seed cotton base acres in ARC or PLC are ineligible for the Stacked Income Protection Plan (STAX) on their planted cotton acres for that farm.
For more information on ARC and PLC, visit FSA’s Agriculture Risk and Price Loss Coverage webpage or contact your local USDA Service Center.