Farm Bill provides safety net for producers

By Chris Swick
November 04, 2015

Nearly half of the 1.7 million farms that signed up for Agricultural Risk Coverage or Price Loss Coverage under the 2014 Farm Bill will receive Safety Net payments for the 2014 crop year.

“Unlike the old, direct payments program, which paid farmers in good years and bad,” Michael Westerman, McPherson County USDA Farm Service Agent, said, “the 2014 Farm Bill authorized a new safety net that protects producers only when market forces or adverse weather cause unexpected drops in crop prices or revenues.”

An example Westerman provided said the 2014 corn price is 30 percent below the historical benchmark for the ARC-County Program.

“And revenues of the farmers participating in the ARC-County program are down by about $20 billion from the benchmark during the same period,” Westerman said. “The nearly $4 billion provided today by ARC and PLC safety net programs will give assistance to producers where revenues dropped below normal.”

If you have any questions about the Safety Net payments, or about the ARC-County, ARC, or PLC programs, you can visit