What's Happening?
The U.S. Department of Agriculture’s (USDA) Farm Service Agency (FSA) has announced that eligible landowners can review and consider base acre increases on farms enrolled in the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs. This
opportunity is available from June 1 until August 31, 2026, as part of the provisions included in the Working Families Tax Cuts Act, also known as the One Big Beautiful Bill Act, signed into law by President Donald J. Trump on July 4, 2025. The Act allows landowners to update and increase base acres in preparation for enrollment in ARC and PLC starting with the 2026 crop year. Nationwide, up to 30 million new base acres can be added by eligible farms. These programs are designed to provide financial protection to farmers when market prices or revenues decline, helping them manage risk and maintain economic viability.
Why It's Important?
This development is significant as it marks the first opportunity for adding base acres since 2002, providing farmers with a chance to strengthen their safety nets. By allowing for base acre increases, the USDA aims to offer greater flexibility for operations that have expanded or diversified since the last base allocation review. This move is expected to help farmers better manage risks associated with market fluctuations and adverse weather conditions, ensuring the sustainability of their operations. The initiative underscores the USDA's commitment to supporting the agricultural sector and enhancing the economic resilience of farmers across the country.
What's Next?
Eligible landowners will receive Base Allocation Summaries outlining potential base acre updates, which can be accessed online starting June 1, 2026. Landowners are encouraged to review these summaries and complete any necessary actions by August 31, 2026. If requests for new base acres exceed the nationwide cap of 30 million acres, the USDA will apply a prorated reduction to all approved new base acres. This process will require coordination between landowners and local FSA county offices to ensure compliance and successful enrollment in the updated programs.
