With the government shut down, we wanted to provide you with a brief summary of the status of USDA payments until doors reopen:
- (1) the additional 14 percent payment under ECAP is out the door so this is *not* affected;
- (2) crop insurance is not impacted;
- (3) ARC/PLC is affected and will not be paid until USDA reopens. The estimated outlay is approximately $2.3 billion;
- (4) There is no loan activity and loans will not be made or redeemed until USDA reopens;
- (5) The shutdown is likely to delay the rollout of Stage 2 SDRP which is slated for October;
- (6) ELRP applications are halted until USDA reopens; and
- (7) Block grants are on pause until USDA reopens.
Hopefully lawmakers will agree in short order to reopen the government and iron out long-term funding terms without a prolonged shutdown.
Additional details regarding activities that will continue or will be stalled until the government reopens may be accessed here.
In some good news, there is growing consensus on the need to take action to provide for economic relief for the 2025 crop year and for movement of commodities.
As always, please let us know if you have questions.