USDA’s Coronavirus Food Assistance Program: Round One (CFAP-1)

USDA’s Coronavirus Food Assistance Program: Round One (CFAP-1)

USDA’s Coronavirus Food Assistance Program: November 19, 2020
Round One (CFAP-1)
Randy Schnepf
On April 17, 2020, Secretary of Agriculture Sonny Perdue announced that the U.S.
Specialist in Agricultural
Department of Agriculture (USDA) would initiate what would be the first round of the
Policy
Coronavirus Food Assistance Program (CFAP-1) to provide immediate financial relief to
farmers, ranchers, and consumers in response to the COVID-19 national emergency.

CFAP-1 consists of two distinct initiatives: a $16 bil ion direct payment program for
agricultural producers impacted by the decline in commodity prices and the disruption in food supply chains
related to COVID-19, and a $3 bil ion food purchase and distribution program. This report focuses on the larger
of these two CFAP-1 initiatives—the $16 bil ion direct payment program. The direct payment program derives its
funding from two sources: $9.5 bil ion emergency program spending authorized by the Coronavirus Aid, Relief,
and Economic Security Act (CARES Act; P.L. 116-136) and an additional $6.5 bil ion made available by
Secretary Sonny Perdue via his budgetary authority under the Commodity Credit Corporation (CCC) Charter Act
of 1948 (P.L. 80-806; 15 U.S.C. 714 et seq.).
USDA’s Farm Service Agency (FSA) is the principal agency charged with implementing CFAP-1’s direct
payment program. FSA was assisted by the Agricultural Marketing Service (AMS) with respect to matters dealing
with producers of specialty crops. On May 19, 2020, USDA released the final rule that details CFAP-1’s $16
bil ion direct payment program, including the list of eligible commodities, eligibility requirements for producers,
payment calculations, and application procedures. In its announcement, USDA stated that it would begin
accepting applications on May 26, through FSA, from agricultural producers who have suffered losses. To be
eligible, an application had to be submitted to any FSA county office by the close of business on August 28,
2020—the application period was later extended to September 11, 2020. Payments to eligible producers were to
be made soon after each application was processed.
To be eligible for a payment, a commodity must have suffered a price loss of at least 5% during the mid-January
to mid-April period, or was subject to additional significant marketing costs for unexpected supply chain
disruptions, including unsold inventories. Specialty crops may also qualify for a payment if product was shipped
off the farm, but spoiled prior to receipt of payment due to COVID-19-caused disruption of the food supply chain.
For an individual or legal entity to be eligible, they must complete an application to determine the quantities
affected and meet certain other criteria, including conservation compliance, share in the risk of profit and loss
from the farm’s operation, and an average Adjusted Gross Income (AGI) for 2016, 2017, and 2018 that is less
than $900,000, unless at least 75% of AGI is from farming and ranching activities. USDA is to track payments
made from the CARES Act and the CCC Charter Act funds separately, to ensure that the payments are consistent
with each respective authority. As a result, every eligible commodity may receive a payment based on two
different types of losses or costs: (1) income losses due to mid-January-to-mid-April price declines, which is to be
partial y offset by payments from CARES Act funds; and (2) unexpected marketing costs due to food supply
chain disruptions, which is to be partial y offset by payments from CCC funds. There is a payment limitation of
$250,000 per person or entity for al commodities combined. Applicants who are corporations, limited liability
companies, or limited partnerships may qualify for payments of up to $750,000 if at least three members each
actively provide at least 400 hours of personal labor or personal management to the farming operation.
Congress may be interested in evaluating whether CFAP-1 payments mitigate the damage caused by the COVID-
19 pandemic for individual farming operations and incentivize participation for al eligible producers, as wel as
whether additional assistance might be necessary to assist certain affected industries that are not eligible under
USDA’s final expanded eligibility list. Another immediate concern may be oversight of the large sums of
taxpayer money that flow out through the USDA and the CCC. Producer self-certification of losses may create an
incentive to over-report losses.
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Contents
Introduction ................................................................................................................... 1
CFAP-1 Includes Two Programs .................................................................................. 1
Report Overview ....................................................................................................... 1
CFAP-1 Direct Payment Program Overview........................................................................ 2
USDA Authorized to Design and Implement CFAP-1 ...................................................... 2
Funding for CFAP Direct Payments .............................................................................. 4
Eligibility Criteria for CFAP Direct Payments ................................................................ 4
Eligible Commodities ........................................................................................... 4
Request for Additional Commodities ....................................................................... 6
Ineligible Commodities ......................................................................................... 7
Eligible Producers ................................................................................................ 7
CFAP-1 Direct Payment Calculations ................................................................................. 8
Projected CFAP-1 Direct Payment Outlays .................................................................. 10
CFAP-1 Application Process ..................................................................................... 12
Producer Data Subject to Verification ......................................................................... 13
Initial Payment Tranche of 80% ................................................................................. 13
Payment Limits ....................................................................................................... 13
Issues for Congress ....................................................................................................... 14

Figures
Figure 1. CFAP-1 Payments by Commodity ...................................................................... 11
Figure 2. CFAP-1 Payments by State................................................................................ 12

Tables
Table 1. CFAP-1: Eligibility Criteria and Eligible Commodities by Category ........................... 5
Table 2. CFAP-1 Payment Formula by Commodity Category ................................................. 9

Table A-1. CFAP-1 Payment Rates (PRs): Non-Specialty Crops, Dairy, & Livestock ............... 17
Table A-2. CFAP-1 Payment Rates (PRs) for Specialty Crops .............................................. 19
Table A-3. CFAP-1 Payment Rates for Liquid and Frozen Eggs and Aquaculture .................... 25
Table A-4. Chronology of CFAP-1 Regulatory Amendments and Corrections ......................... 26
Table A-5. Additional USDA Forms for CFAP Eligibility .................................................... 28

Appendixes
Appendix. Supplementary Tables..................................................................................... 17

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Contacts
Author Information ....................................................................................................... 28

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Introduction
On April 17, 2020, Secretary of Agriculture Sonny Perdue announced that the U.S. Department of
Agriculture (USDA) would initiate what would be the first round of the Coronavirus Food
Assistance Program (CFAP-1), valued at $19 bil ion, to provide immediate financial relief to
farmers, ranchers, and consumers in response to the COVID-19 national emergency.1
CFAP-1 Includes Two Programs
According to Secretary Perdue, CFAP-1 consists of two distinct initiatives: a $16 bil ion direct
payment program for agricultural producers that have been impacted by the decline in commodity
prices and the disruption in food supply chains related to COVID-19, and a $3 bil ion food
purchase and distribution program for affected consumers referred to as the Farmers to Families
Food Box Program.
These two programs—the direct payments and food box programs—derive their specific funding
from different sources, and are being implemented by different agencies within USDA. The $16
bil ion designated for the direct payments program is funded from $9.5 bil ion of emergency
spending authorized by the Coronavirus Aid, Relief, and Economic Security Act (CARES Act;
P.L. 116-136) and an additional $6.5 bil ion made available by the Secretary of Agriculture via his
budgetary authority under the Commodity Credit Corporation (CCC) Charter Act of 1948 (P.L.
80-806; 15 U.S.C. 714 et seq.).2 The $3 bil ion for the commodity purchase portion of CFAP is
funded from the Families First Coronavirus Response Act (FFCRA; P.L. 116-127, §1101(g)) that
authorizes USDA to purchase commodities for emergency distribution in the United States.3
USDA, through its Agricultural Marketing Service (AMS), began food purchase and distribution
activities within a week of announcing the CFAP. In contrast, the direct payment component of
CFAP-1 is being implemented by USDA’s Farm Service Agency (FSA), with assistance from
AMS for specialty crop producer enrollments.4 FSA went through a longer (albeit expedited)
rulemaking process to determine how payments would be made.
Report Overview
This report describes the details of the direct payment component of the CFAP-1 initiative. It
describes how this program is funded and administered, including specific details on the
calculation and implementation of payments. It includes the program changes made by USDA
through a series eight subsequent amendments and corrections to CFAP-1 that expanded program

1 USDA, “USDA Announces Coronavirus Food Assistance Program,” Press Release no. 0222.20, April 17, 2020. On
September 18, 2020, USDA announced a second round of CFAP payments (CFAP -2) valued at up to an additional $14
billion—USDA, “ USDA to Provide Additional Direct Assistance to Farmers and Ranchers Impacted by the
Coronavirus,” Press Release No. 0378.20, September 18, 2020.
2 USDA, FSA, “Coronavirus Food Assistance Program,” 85 Federal Register 30825, May 21, 2020.
3 Agricultural Marketing Service (AMS), “Notice of Funds Availability (NOFA); Purchase of Fruit, Vegetable, Dairy,
and Meat Products Due to COVID-19 National Emergency-USDA Food Box Distribution Program,” 85 Federal
Register 23325, April 27, 2020. T he President announced on August 24, 2020, that up to an additional $1 billion was
being made available for deliveries under this program through October 31, 2020 —for details, see USDA, AMS,
“USDA Farmers to Families Food Box,” at https://www.ams.usda.gov/selling-food-to-usda/farmers-to-families-food-
box.
4 See footnote 2.
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eligibility to additional commodities, updated payment rates, and added clarity to program
definitions.5
The report begins with a brief overview of the CFAP-1 direct payment program, including its
policy objectives, funding sources, and implementing agencies. The next section describes the
details of the CFAP-1 direct payment program, including eligibility requirements for both
producers and commodities, application procedures, payment calculations, and the program’s
timeline. The report ends with a brief discussion on issues of potential interest to Congress. An
Appendix at the end of the report includes supplementary tables that provide details on USDA’s
derivation of the payment rates for affected commodities under both CARES Act and CCC
Charter Act criteria, as wel as additional USDA forms that must be completed by producers for
payment eligibility.
An earlier report by CRS provides information on how the COVID-19 pandemic affected the U.S.
food supply chain—including its deleterious impact on agricultural producers—and precipitated
the congressional and USDA actions described here.6 This earlier report also provides details on
the CFAP-1 food purchase and distribution initiative and its Farmers to Families Food Box
program. For details on the Farmers to Families Food Box Program and other nutrition-related
relief programs that responded to the COVID-19 pandemic, see CRS Report R46432, Food Banks
and Other Emergency Feeding Organizations: Federal Aid and the Response to COVID-19.
CFAP-1 Direct Payment Program Overview
USDA Authorized to Design and Implement CFAP-1
Under the CARES Act, Congress delegated broad authority to USDA to develop and administer a
support program in response to COVID-19.7 In particular, the CARES Act provided $9.5 bil ion
for USDA to “prevent, prepare for, and respond to coronavirus by providing support to
agricultural producers impacted by coronavirus, including producers of specialty crops, producers
that supply local food systems, including farmers’ markets, restaurants, and schools, and livestock
producers, including dairy producers.”8 This approach provides funding to the Secretary of
Agriculture with general authority to respond to a crisis, and therefore is similar to emergency
appropriations for wildfires and hurricanes in 2018 and 2019 in which USDA was tasked to
develop a payment program from a general appropriation.9
Similarly, USDA interprets the CCC Charter Act as providing broad authority to use CCC funds
to support the orderly production and marketing of agricultural commodities via normal
marketing channels that have been disrupted by the COVID-19 pandemic.10 Based on these broad
authorities, USDA developed the CFAP direct payment program.

5 See Table A-4 for a chronological list of regulatory amendments and corrections as posted in the Federal Register.
6 CRS Report R46347, COVID-19, U.S. Agriculture, and USDA’s Coronavirus Food Assistance Program (CFAP) .
7 T he CARES Act (P.L. 116-136), Division B—Emergency Appropriations For Coronavirus Health Response And
Agency Operations, T itle I, Agricultural Programs, Office of the Secretary.
8 USDA, “USDA Announces Coronavirus Food Assistance Program,” Release No. 0222.20, April 17, 2020. Published
in the Federal Register on May 21, 2020 (85 Federal Register 30825).
9 For example, see CRS In Focus IF11245, FY2019 Supplemental Appropriations for Agriculture.
10 For a discussion of USDA’s authority under the CCC Charter Act, see CRS Report R44606, The Commodity Credit
Corporation: In Brief.
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FSA is the principal agency charged with implementing CFAP-1’s direct payment program. AMS
assists FSA with respect to specialty crops issues, such as determinations of sales prices and
marketing costs. On May 19, 2020, USDA released a final rule to implement CFAP-1’s $16
bil ion direct payment program including eligibility requirements for commodities and producers,
application procedures, and payment calculations.11 In its announcement, USDA stated that it
would begin accepting applications on May 26, through the Farm Service Agency (FSA), from
agricultural producers who had suffered losses.12 Initial y, the deadline for CFAP-1 applications
was August 28, 2020; however, the application deadline was extended to September 11, 2020.13
CFAP-1 direct payments provide financial assistance to producers and ranchers of agricultural
commodities that suffered from price declines of at least 5% between mid-January and mid-April,
or who face additional significant marketing costs associated with unexpected carrying-costs of
unsold commodities or spoilage due to market supply-chain disruptions. The CFAP-1 direct
payment program stands in contrast to congressional y authorized farm bil support programs,
supplemental assistance, and other USDA-initiated payment programs for both its scale ($16
bil ion) and its complicated payment formulation.14 CFAP-1 separates COVID-related injury into
two components (income losses due to price declines, and unexpected marketing costs due to
food supply chain disruptions), each with its own distinct funding source—the CARES Act and
the CCC, respectively. The payments calculated for each of these two funding sources for each
eligible commodity are combined into a single payment per producer, which is distributed in two
tranches. The first tranche is equal to 80% of the combined payment for which each qualifying
producer is potential y eligible. The second tranche is conditional on funds available after
distribution of the first tranche and may be prorated as needed to avoid exceeding the program’s
$16 bil ion spending limit. This unusual payment formulation is explained in this report.
On September 18, 2020, USDA announced a second round of CFAP payments (CFAP-2) valued
at up to an additional $14 bil ion from the CCC. 15 USDA’s ability to provide $14 bil ion in
CFAP-2 funding in September may have been contingent on a CARES Act early replenishment
payment of $14 bil ion for the CCC that did not become available until later in the summer.16
Congress is also considering providing additional support, including support for additional
agricultural commodities and sectors that were not initial y eligible under CFAP-1.17 These
potential additional efforts are not discussed in this report.

11 USDA, “ USDA Announces Details of Direct Assistance to Farmers through the Coronavirus Food Assistance
Program,” News Release, May 19, 2020. T he May 19 rule was subsequently amended and/or corrected by a series of
eight additional entries in the Federal Register as listed in Table A-4.
12 For up-to-date program information, including application forms and payment processing information, visit the
USDA FSA web portal for CFAP at https://www.farmers.gov/cfap.
13 T he deadline was extended by USDA, 85 Federal Register 49593, August 14, 2020.
14 T he proposed CFAP direct payments program would exceed previous USDA ad hoc direct payment programs of
large scale, including the market loss assistance payments of 1999 ($3 billion), 2000 ($11 billion), and 2001 ($5.5
billion); source: USDA, Economic Research Service (ERS), Farm Income and Wealth Statistics, at
https://www.ers.usda.gov/data-products/farm-income-and-wealth-statistics/; and the market facilitation payment (MFP)
programs of 2018 ($8.6 billion) and 2019 ($14.5 billion), source: USDA, FSA, Market Facilitation Program, at
https://www.farmers.gov/manage/mfp.
15 USDA, “USDA to Provide Additional Direct Assistance to Farmers and Ranchers Impacted by the Coronavirus,”
Press Release No. 0378.20, September 18, 2020.
16 CARES Act (P.L. 116-136), Division B—Emergency Appropriations For Coronavirus Health Response And Agency
Operations, T itle I—Agricultural Programs, §11002, CCC, Reimbursement of Present Net Realized Losses.
17 On May 15, 2020, the House passed the HEROES Act (H.R. 6800), which would authorize $16.5 billion in
additional direct payments by the Secretary of Agricult ure. Among its provisions, the bill would compensate producers
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Funding for CFAP Direct Payments
Funding for CFAP-1’s direct payment program is from two sources: $9.5 bil ion from the CARES
Act, and $6.5 bil ion obtained with existing USDA authorities under the CCC Charter Act.18
USDA states that each of these funding sources has its own specific authority and, as a result,
USDA is to use the funds from each source to implement CFAP-1 in a manner that USDA
interprets as being consistent with that authority.19
USDA is to use the $9.5 bil ion of CARES Act funding to compensate producers for commodity
and livestock losses due to price declines of at least 5% that occurred between mid-January 2020
and mid-April 2020. In the case of specialty crops, the funding also is to compensate for losses
associated with products that were shipped from the farm by April 15, but spoiled due to market
disruptions, resulting in no payment.
USDA is to use $6.5 bil ion of CCC funding to compensate producers for unexpected costs due to
on-going market disruptions and to assist with the transition to a more orderly marketing system
as the pandemic wanes.
Thus, each of these funding sources are to be used for different types of losses or costs—CARES
Act payments for price declines and subsequent sales losses and CCC payments for unexpected
marketing costs. Such marketing costs may include the removal or disposition of surplus
agricultural commodities, the purchase of materials and facilities required to produce and market
agricultural commodities, and aid in the development of new markets, marketing facilities, and
uses for such commodities. USDA has stated that it wil track payments made from the CARES
Act and the CCC Charter Act funds separately, to ensure that the payments are consistent with
each respective authority. Nonetheless, USDA is to combine payments made under both CARES
Act and CCC funds into a single payment for eligible producers. Thus, a producer wil need to
complete only one CFAP-1 payment application.
Eligibility Criteria for CFAP Direct Payments
USDA has developed criteria to determine which commodities and which producers are eligible
for CFAP-1 support (Table 1). Eligibility criteria for producers builds off of general USDA
program eligibility criteria, whereas criteria identifying eligible commodities are largely unique to
the CFAP-1 program and vary by commodity groups.
Eligible Commodities
According to USDA, only commodities produced in the United States are eligible for CFAP-1
direct payments. In addition, USDA has specified certain eligibility criteria for each of the major
agricultural commodity groups that includes a nationwide price decline of at least 5% from
January 15, 2020, to April 15, 2020, and/or unexpected marketing costs (including spoilage) as
listed in Table 1. Based on an analysis of these criteria, USDA has determined that the
commodities listed in Table 1 are eligible for either a price-decline or marketing-cost payment, or
possibly both.

who have had to dispose of livestock and poultry that could not be sold due to processing disruptions, and would
provide special assistance targeted to dairy producers. It further includes aid targeted to biofuels plants, fruit and
vegetable growers, and local agriculture.
18 For a discussion of USDA’s authority under the CCC Charter Act, see CRS Report R44606, The Commodity Credit
Corporation: In Brief.
19 USDA, FSA, “Coronavirus Food Assistance Program,” 85 Federal Register 30825, May 21, 2020.
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Table 1. CFAP-1: Eligibility Criteria and Eligible Commodities by Category
Category
Eligibility Criteria and Eligible Commodities
Non-Specialty
Eligibility Criteria: Non-specialty crop producers who suffered at least a 5% price decline
Cropsa
between mid-January and mid-April (see Table A-1), and who face increased marketing costs
for unpriced inventories as of January 15, 2020 (see Table 2).
Eligible Non-Specialty Crops: Malting barley, canola, corn, upland cotton, mil et, oats,
soybeans, sorghum, sunflowers, durum wheat, and hard red spring wheat. Also eligible under
these criteria are liquid and frozen eggs.
Livestock
Eligibility Criteria: Livestock producers who suffered at least a 5% price decline between
Commodities
mid-January and mid-April (see Table A-1), and who face increased marketing costs for
unpriced inventories as of January 15, 2020 (see Table 2).
Eligible Livestock Commodities:b Cattle, hogs and pigs, and sheep (including lambs,
yearlings, and al other sheep).
Wool
Eligibility Criteria: Wool producers who suffered at least a 5% price decline between mid-
January and mid-April (see Table A-1), and who face increased marketing costs for unpriced
inventories as of January 15, 2020 (see Table 2).
Eligible Wool: Graded (clean basis) and ungraded (paid on a greasy basis).
Dairy
Eligibility Criteria: Al dairy operations with milk production in January, February, and/or
March 2020; as wel as any dumped milk production during the months of January, February,
and March 2020.
Eligible Dairy: Al milk produced during the first quarter of 2020.
Nursery Crops, Eligibility Criteria: Nursery crop and cut flower inventory that was shipped but
Cut Flowers
subsequently spoiled or is unpaid due to loss of marketing channels between January 15,
2020, and April 15, 2020; and nursery crop and cut flower inventory that did not leave the
farm between January 15, 2020, and April 15, 2020, due to a complete loss of marketing
channel and that wil not be sold after April 15, 2020, due to lack of markets.
Eligible Nursery Crops and Cut Flowers: ‘ Nursery crops’ means decorative or non-
decorative plants grown in a container or control ed environment for commercial sale. ‘ Cut
flowers’ include cut flowers and cut greenery from annual and perennial flowering plants
grown in a container or control ed environment for commercial sale.
Aquaculture
Eligibility Criteria: Aquaculture species sold between January 15, 2020, through April 15,
(excluding
2020; and inventory of aquaculture species that was not sold but was market size and
crawfish)
available to be marketed between January 15, 2020, and April 15, 2020.
Eligible Aquaculture: Catfish, largemouth bass and carp sold live as food, hybrid striped
bass, red drum, salmon, sturgeon, tilapia, trout, ornamental or tropical fish, and recreational
sportfish.
Crawfish
Eligibility Criteria: crawfish.
Eligible Crawfish: Crawfish sold between January 15, 2020, through April 15, 2020; and
inventory of crawfish that was not sold as of April 15, 2020, due to lack of a market and that
wil not be sold in calendar year 2020.
Specialty
Eligibility Criteria: Producers of specialty crops are eligible for CFAP payments in any of
Cropsc
the fol owing three categories: (1) Had crops that suffered at least a 5% price decline between
January 15, 2020, and April 15, 2020;d (2) Had produce that shipped by April 15, 2020, but
subsequently spoiled due to loss of marketing channel before payment was received;e and (3)
Had shipments that did not leave the farm by April 15, 2020 (for example, were harvested but
are sitting in crates on the farm), or mature crops that remained unharvested by that date
(for example, were plowed under) due to lack of buyers, and which have not been and wil
not be sold.f
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Category
Eligibility Criteria and Eligible Commodities
Eligible Specialty Crops:
Fruit: apples, avocados, bananas, blackberries, blueberries, cantaloupe, carambola (star fruit),
cherimoya, citron, coconuts, dates, dragon fruit (red pitaya), grapefruit, guava, kiwifruit,
lemons, mamey sapote, nectarines, oranges, papaya, passion fruit, peaches, pears,
persimmons, pineapples, pomegranates, pummelos, raspberries, strawberries, tangelos,
tangerines, tomatoes, and watermelons.
Vegetables: artichokes, asparagus, batatas, beans, beets, bok choy, broccoli, brussels
sprouts, cabbage, carrots, cauliflower, celery, sweet corn, cucumbers, daikon, donqua (winter
melon), eggplant, endive, escarole, frisee garlic, kale greens, col ard greens, dandelion greens,
greens (others not listed separately), kohlrabi, kumquats, leeks, iceberg lettuce, boston
lettuce, green leaf lettuce, lol a rossa lettuce, oak leaf green lettuce, oak leaf red lettuce, red
leaf lettuce, romaine lettuce, mustard, okra, dry onions, green onions, parsnips, peas green,
peppers, plantains, potatoes, pumpkins, radicchio, rhubarb, rutabagas, shal ots, sorrel, spinach,
squash, sweet potatoes, swiss chard, taro, turnip tops green, turnips (celeriac), turmeric,
upland and winter cress, watercress, yautia (malanga), and yuca (cassava).
Nuts: almonds, filberts, pecans, pistachios, and walnuts.
Other: alfalfa sprouts, aloe leaves, anise, arugula, basil, bean sprouts, celeriac (celery root),
chervil (french parsley), chives, cilantro, curry leaves, dil , horseradish, maple sap (for maple
syrup), marjoram, mesculin mix, microgreens, mint, mushrooms, oregano, parsley, rosemary,
sage, savory, sugarcane (table), and thyme.
Source: USDA, FSA, “Coronavirus Food Assistance Program,” Final Rule, 85 Federal Register 30825, May 21, 2020.
Notes: Non-specialty crops, livestock, and wool that meet the 5% price decline criteria are assumed to have met
the marketing cost criteria.
a. According to USDA’s CFAP-1 rule (85 Federal Register 30825, May 21, 2020), non-specialty crops are those
crops listed in this table, and any crops announced in a Notice of Funds Availability (NOFA). The term
excludes crops intended for grazing.
b. See the notes to Table A-1 for a details on eligible animal species.
c. According to USDA’s CFAP-1 rule (85 Federal Register 30825, May 21, 2020), specialty crops are those
crops listed in this table and any crops for which funds are made available and announced in a NOFA. The
term excludes crops intended for grazing. Additional specialty crops were added under two subsequent
NOFAs: (85 Federal Register 41321, July 10, 2020) and (85 Federal Register 49589, August 14, 2020).
d. To verify a qualifying price decline for a specialty crop, producers must maintain records, such as a bil of
sale, documenting the price received for the crop.
e. To verify market spoilage, producers must obtain documentation such as a letter from the buyer explaining
non-payment or other record validating non-payment (this applies to producers who have met contractual
obligations in delivering the crop to the buyer, but have not been paid).
f.
To verify unsold inventories, if requested, producers must provide supporting documentation, which AMS
wil use to substantiate claims on a case-by-case basis.
Request for Additional Commodities
USDA considered additional crops for eligibility for CFAP-1 payments by collecting information
on potential y eligible crops.20 Producers of commodities not included on the original CFAP-1
list, but who assert that they are eligible, could submit information to USDA for consideration in
decisions about including additional commodities. Approximately $637 mil ion or about 4% of
the CFAP-1’s $16 bil ion in funding is available to provide assistance to producers of other
commodities that are identified through the Notice of Funds Availability (NOFA) process.21
USDA had stated that it was particularly interested in obtaining information about nursery

20 For more details, see the information posted at USDA’s CFAP web portal at https://www.farmers.gov/cfap, including
a USDA Fact Sheet, “Consideration of Additional Commodities,” available under “Resources.”
21 USDA, “Coronavirus Food Assistance Program: Cost Benefit Analysis,” May 14, 2020.
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products, aquaculture products, and cut flowers. In particular, USDA reconsidered commodities
that were excluded under the initial CFAP-1 announcement if credible evidence was presented
that supported a 5% price decline or COVID-related marketing costs. Ultimately, 92 additional
specialty crops, 3 non-specialty commodities, and 11 aquaculture species were added to CFAP-1
payment eligibility.22
Ineligible Commodities
Non-specialty crops and livestock that did not suffer a price decline of at least 5% from mid-
January 2020 to mid-April 2020 are not eligible for CFAP-1. Specifical y, this includes certain
eggs and layers, soft red winter wheat, hard red winter wheat, white wheat, rice, flax, rye,
peanuts, feed barley, Extra Long Staple (ELS) cotton, alfalfa, forage crops, hemp, and tobacco.23
Any livestock breeding animals or crops that were intended for grazing were excluded from
eligibility for CFAP.
Eligible Producers
According to USDA rules, to qualify for a CFAP-1 payment, an eligible individual or legal entity
must meet the following criteria:
 Each producer or legal entity of qualifying commodities must complete a CFAP-
1 application form and provide any required documentation (as specified
below).24
 A producer must share in the risk of producing a qualifying crop or livestock and
be entitled to share in the crop or livestock available for marketing between
January 15, 2020, and April 15, 2020, or April 16, 2020, through May 14, 2020.
A contract grower who does not own the livestock is to be considered a producer
if the contract al ows the grower to have risk in the livestock.
 The producer must be in compliance with conservation provisions—including
highly erodible land conservation (Sodbuster) and wetland conservation
(Swampbuster) provisions.25
 A producer must be either a U.S. citizen or a resident alien; however, a foreign
person may qualify if they provide sufficient land, capital, and active personal
labor to the farming operation. USDA has established that 400 hours of active
personal labor or active personal management meets this standard.
 There is no requirement to have crop insurance coverage or coverage under the
Noninsured Crop Disaster Assistance Program.
 A person or legal entity, other than a joint venture or general partnership,26 is
ineligible for payments if the person’s or legal entity’s average adjusted gross
income (AGI), using the average of the AGIs for the 2016, 2017, and 2018 tax

22 Additional commodities were added under two subsequent NOFAs: 85 Federal Register 41321, July 10, 2020; and
85 Federal Register 49589, August 14, 2020.
23 For more information, see additional USDA CFAP program information at https://www.farmers.gov/cfap.
24 USDA, FSA, “Coronavirus Food Assistance Program,” Final Rule, 85 Federal Register 30825, May 21, 2020.
25 See CRS Report R42459, Conservation Compliance and U.S. Farm Policy.
26 With respect to joint ventures and general partnerships, this AGI provision will be applied to each member of the
joint venture and general partnership.
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years, is more than $900,000, unless at least 75% of that person’s or legal entity’s
average AGI is derived from farming, ranching, or forestry-related activities.
 A producer must not have a controlled substance violation.
CFAP-1 Direct Payment Calculations
A producer’s total CFAP-1 payment is determined by first, multiplying the relevant quantity of
each affected commodity by its respective payment rate. The payments from two rates—one from
the CARES Act and the other from CCC—are then combined into a single payment per eligible
commodity for each eligible producer (Table 2). Second, the total CFAP-1 payment is obtained
by summing payments across al of a producer’s commodities.27 These calculations require both
payment rates and applicable quantities as described in the box “Deriving the CFAP-1 Payment
Rates (PRs) and Payment Quantities.” Under this structure, CFAP payments are directly
proportional, or “coupled,” to actual production.28
Deriving the CFAP-1 Payment Rates (PRs) and Payment Quantities
The CFAP payment for each commodity is based on separate payment rates for each of the two funding
sources—CARES Act and CCC. The different payment rates for each commodity and their underlying derivation
are described in Table A-1 and Table A-2.
CARES Act PR: Based on the Price Decline Between Mid-January to Mid-April
The CARES Act PR reflects the income loss associated with the price decline for each commodity between mid -
January and mid-April. USDA estimates the price-loss PR for each commodity as a portion of the price decline
between the week of January 13-17, 2020, and the week of April 6-9, 2020, using futures contract prices or AMS-
reported cash prices, depending on availability.
CCC PR: Based on Unexpected Marketing Costs
The market-cost PR (CCC PR) for each commodity is based on USDA’s projection of costs likely to be incurred
for marketing the surplus inventory due to disrupted markets.
Payment Quantities Are Approximated by Inventories or 1st Quarter Sales
To approximate losses, the CARES Act and CCC PRs are multiplied by an applicable measure of the affected
quantity of an eligible commodity (depending on the commodity as shown in Table 2).
For non-specialty crops and wool: the payment quantity for both CARES Act PR and CCC PR is approximated by
using the lower of either: (1) the unsold quantity of unpriced inventory29 as of January 15, 2020, for which the
producer has vested ownership, or (2) 50% of the producer’s 2019 total production of the commodity.
For livestock (including cattle, hogs and pigs, and lambs and yearlings): the payment quantity for the CARES Act PR
is approximated by the number of animals sold during the period of January 15, 2020, to April 15, 2020; and the
payment quantity for the CCC PR is approximated by the maximum unpriced inventory of animals during the
period from April 16, 2020, to May 14, 2020.
Specialty crops may be eligible for any of three types of PRs (Table A-2):30 CARES Act PR-1 reflects the mid-
January to mid-April price decline and is applied to the producer-certified sales (in pounds) during the period of

27 Examples of how the payment formulas may be applied to certain commodities are available in Nick Paulson et al.,
“Coronavirus Food Assistance Program (CFAP) Rules Announced,” Dept. of Agricultural and Consumer Economics,
University of Illinois at Urbana-Champaign, farm doc daily, vol. 10, no. 95 (May 22, 2020); and Shelby Myers,
“Reviewing the CFAP Payment Formula for Non-Specialty Crops,” Market Intel, American Farm Bureau Federation,
May 28, 2020.
28 T he nature of the linkage—coupled versus non-coupled—between program payments and producer production
choices is relevant to how such payments may count against U.S. domestic support co mmitments at the World T rade
Organization (WT O); see CRS Report R45305, Agriculture in the WTO: Rules and Lim its on U.S. Dom estic Support.
29 Unpriced means any production or inventory that is not subject to an agreed-upon price in the future through a
forward contract, agreement, or similar binding document.
30 If a specialty crop’s price did not decline by at least 5% during this period, it is not eligible for CARES Act PR-1 but
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January 15, 2020, to April 15, 2020; and CARES Act PR-2 is applied to producer-certified product that has been
shipped from the farm by April 15, 2020, but that spoiled due to COVID-related market disruptions prior to
receiving payment.31 CCC PR-3 reflects COVID-related marketing costs and is applied to unsold inventory—
estimated by the producer-certified maximum unpriced inventory from April 16, 2020, to May 14, 2020.
For dairy: the payment quantity for the CARES Act PR is approximated by using the quantity of milk sold during
the 1st quarter of 2020; and the payment quantity for the CCC PR is theoretical y applied to the quantity of milk
sold during the 2nd quarter—which is approximated by applying a growth rate of 1.4% to 1st quarter sales.
Table 2. CFAP-1 Payment Formula by Commodity Category

Quantity Measure

Factor

Payment Rate (PR)a
Non-Specialty Crops—payment equals sum of:

1
Unpriced inventoryb as of 1/15/20
x
50%
x Cares Act PR (Table A-1)
2
Unpriced inventory as of 1/15/20
x
50%
x CCC PR (Table A-1)
Specialty Crops—payment equals sum of:

1
Quantity sold during 1/15/20 to 4/15/20
x
100%
x Cares Act PR-1 (Table A-2)
2
Quantity shipped, but spoiled:c 1/15/20 to 4/15/20
x
100%
x Cares Act PR-2 (Table A-2)
3
Unpriced quantity on farm:d 1/15/20 to 4/15/20
x
100%
x CCC PR-3 (Table A-2)
Nursery and Cut Flowerse—payment equals sum of:

1
Wholesale value of quantity shipped, but spoiled or unpaid: 1/15/20 to 4/15/20
x
15.55%f
2
Wholesale value of inventory on farm due to loss of market: 1/15/20 to 4/15/20g x
13.45%
Cattle—payment equals sum of:

1
Unpriced head sold during 1/15/20 to 4/15/20
x
100%
x Cares Act PR (Table A-1)
2
Unpriced inventory, max during 4/16/20 to 5/14/20h
x
100%
x CCC PR (Table A-1)
Hogs and Pigs—payment equals sum of:

1
Unpriced head sold during 1/15/20 to 4/15/20
x
100%
x Cares Act PR (Table A-1)
2
Unpriced inventory, max during 4/16/20 to 5/14/20
x
100%
x CCC PR (Table A-1)
Dairy—payment equals sum of:

1
1st quarter (January-March) milk production in 2020i
x 100.0%
x Cares Act PR (Table A-1)
2
1st quarter (January-March) milk production in 2020j
x 101.4%
x CCC PR (Table A-1)
Lambs and Sheep—payment equals sum of:

1
Unpriced head sold during 1/15/20 to 4/15/20
x
100%
x Cares Act PR (Table A-1)
2
Unpriced inventory, max during 4/16/20 to 5/14/20
x
100%
x CCC PR (Table A-1)
Wool—payment equals sum of:

1
Unpriced inventory as of 1/15/20
x
50%
x Cares Act PR (Table A-1)
2
Unpriced inventory as of 1/15/20
x
50%
x CCC PR (Table A-1)
Liquid and Frozen Eggs—payment equals sum of:

1
1st quarter (January-March) production in 2020
x
100%
x Cares Act PR (Table A-3)
2
1st quarter (January-March) production in 2020
x
100%
x CCC PR (Table A-3)

may be eligible for CARES Act PR-2 or CCC PR-3. See Table A-2 for examples of commodities that did not
experience a sufficient ly large price decline but were still eligible for spoilage loss or marketing loss payments.
31 T he two different types of CARES Act payments are labeled “CARES Act PR-1” for price losses and “CARES Act
PR-2” for spoilage losses in Table A-2.
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Quantity Measure

Factor

Payment Rate (PR)a
Aquaculturek—payment equals sum of:

1
Quantity sold during 1/15/20 to 4/15/20
x
100%
x Cares Act PR (Table A-3)
3
Unsold, market-ready inventory: 1/15/20 to 4/15/20
x
100%
x CCC PR (Table A-3)
Source: USDA, “Coronavirus Food Assistance Program,” Final Rule, 85 Federal Register 30825, May 21, 2020; and
USDA, “NOFA CFAP, Additional Eligible Commodities,” 85 Federal Register 49589, August 14, 2020.
Notes: Farmers and ranchers wil self-certify their claims regarding inventories, sales, and shipments. Unpriced
means any production or inventory that is not subject to an agreed-upon price in the future through a forward
contract, agreement, or similar binding document.
a. Payment rates (PR) for each commodity are listed in Table A-1, Table A-2, and Table A-3 at the end of
this report.
b. The quantity harvested, but as-yet-unpriced inventory (i.e., inventory not under a sales contract), for which
the producer has vested ownership. The inventory quantity may not exceed 50% of the producer’s 2019
total production of the commodity.
c. Quantity of the harvested crop that was shipped but was unpaid or spoiled prior to receiving a payment due
to a disruption of the marketing channel.
d. Quantity of the harvested crop that did not leave the farm (was unsold or was not under a sales contract)
or was donated and the quantity of mature crops that remained unharvested.
e. ‘ Nursery crops’ means decorative or non-decorative plants grown in a container or control ed
environment for commercial sale. ‘ Cut flowers’ includes cut flowers and cut greenery from annual and
perennial flowering plants grown in a container or control ed environment for commercial sale.
f.
The payment rates for nursery crops and cut flowers were determined using coverage rates that represent
half of input costs multiplied by the industry-reported 40.5% average revenue loss. This approach accounts
for the higher percentage of input costs incurred prior to ‘ harvest’ of the inventory compared with
traditional agricultural crops.
g. Inventory that may be sold after April 15, 2020, is not eligible for CFAP.
h. The highest inventory number between April 16, 2020, and May 14, 2020.
i.
Dairy operations that dissolved on or before March 31, 2020, are eligible for the CARES Act payment rate.
j.
Second quarter milk production is approximated by applying an adjustment factor of 1.014 to the 1 st quarter
production. Dairy operations that dissolved after March 31, 2020, are eligible for a prorated payment for
the number of days that the operation commercial y marketed milk in the second quarter.
k. Aquaculture payments are calculated separately for two categories: crawfish and al other aquaculture
excluding crawfish.
Projected CFAP-1 Direct Payment Outlays
USDA estimated that, once adjustments have been made to account for payment limits, the $16
bil ion in CFAP-1 funding is to be al ocated across four different commodity groupings as
follows: livestock ($9.4 bil ion or 58.9%); row crops ($3.5 bil ion, 21.9%); specialty crops ($2.4
bil ion, 15.0%); and “other” commodities ($670 mil ion, 4.2%) (Figure 1).32 USDA’s estimates
for direct payment spending under the livestock category can be further delineated as $5.1 bil ion
for cattle, $2.8 bil ion for dairy, and $1.6 bil ion for hogs. However, as of November 1, 2020,
USDA reports that actual outlays under CFAP-1 are at $10.345 bil ion—substantial y below the
expected $16 bil ion in available funding.33 Some possible reasons for this discrepancy are

32 USDA, “Coronavirus Food Assistance Program: Cost Benefit Analysis,” T able 11. Estimated Net CFAP Payments
by Commodity Group, after payment limitations, May 14, 2020.
33 USDA, Coronavirus Food Assistance Program 1 Data, as of November 1, 2020, at https://www.farmers.gov/cfap1/
data.
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USDA’s Coronavirus Food Assistance Program: Round One (CFAP-1)

addressed later in the “Issues for Congress” section of the report. CFAP-1 payments are
concentrated in the Corn Belt, Texas, and California (Figure 2).
Figure 1. CFAP-1 Payments by Commodity
Available Funds and Actual Outlays

Sources: USDA projected outlays based on available funding are from USDA, “Coronavirus Food Assistance
Program: Cost Benefit Analysis,” Table 11. Estimated Net CFAP Payments by Commodity Group, after payment
limitations, May 14, 2020, p. 20; actual outlays as of November 15, 2020, are from USDA, Coronavirus Food
Assistance Program 1 Data, at https://www.farmers.gov/cfap1/data.
Note: *Other includes al commodities not associated with the listed categories, including aquaculture, specialty
livestock, and others.
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USDA’s Coronavirus Food Assistance Program: Round One (CFAP-1)

Figure 2. CFAP-1 Payments by State
State Abbreviation: $ mil ions

Source: USDA, Coronavirus Food Assistance Program, CFAP-1 payment data, as of November 15, 2020, at
https://www.farmers.gov/cfap1.
Note: Total CFAP-1 outlays were $10.421 mil ion as of November 15, 2020.
CFAP-1 Application Process
USDA accepted CFAP-1 applications starting on May 26, 2020. Producers applied through their
local FSA Service Centers; however, an application could be submitted to any FSA county
office.34 To be eligible, an application had to have been submitted by the close of business on
September 11, 2020. Payments to eligible producers were expected to be made soon after each
application was processed, according to USDA.
In addition to the application form, several other standard USDA forms must be on file for al
persons and entities requesting CFAP-1 benefits (Table A-5). However, for producers that are
existing FSA program participants, most of these supplementary forms are likely already on file
at their local FSA Service Centers. In addition to these forms, if requested by USDA, an applicant
must provide documentation that verifies the quantities of production and/or inventory used in the
application, and that establishes the applicant’s ownership share and value at risk for the
commodity.

34 CFAP-1 application forms, as well as a “CFAP Payment Calculator” to assist producers with the application process,
are available from USDA at https://www.farmers.gov/cfap.
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Producer Data Subject to Verification
Producers are expected to self-certify their sales and inventories that are used to calculate CFAP-1
payments.35 Producers who are approved for participation in CFAP-1 are required to retain
documentation in support of their applications for three years after the date of approval. This
includes records and paperwork to demonstrate losses, especial y producers who have destroyed
their product (e.g., dumping of milk or plowing under specialty crops).
Participants receiving CFAP-1 payments or any other person who furnishes such information to
USDA must permit authorized representatives of USDA or the Government Accountability Office
(GAO), during regular business hours, to enter the agricultural operation and to inspect, examine,
and make copies of books, records, or other items for the purpose of confirming the accuracy of
the information provided by the participant.
Initial Payment Tranche of 80%
Initial y, USDA paid out 80% of an eligible participant’s total potential CFAP-1 payments. By
issuing initial payments, FSA’s goal was to provide assistance to those eligible participants who
immediately applied for assistance, while trying to ensure that CFAP-1 payments did not exceed
the $16 bil ion funding limit. USDA would then disburse any remaining available funding such
that the initial and final payments would not exceed a total of $9.5 bil ion for CARES Act funds
and $6.5 bil ion for CCC funds. Funds could be prorated if necessary to stay within these limits.
However, based on actual outlays it does not appear that USDA approached any CFAP-1 funding
shortfal (Figure 1).
Payment Limits
CFAP-1 payments are, in general, subject to a per-person and per-legal-entity payment limitation
of $250,000,36 which is expected to result in some eligible commodity producers not receiving the
entire calculated CFAP-1 payment. For example, USDA projects that, based on its CFAP-1
payment formula without payment limits, over $19 bil ion in CFAP-1 payments would be made.37
However, after applying the CFAP payment limit criteria, USDA projects that a net of $16 bil ion
in CFAP-1 payments wil be made.
The CFAP-1 payment limitation applies to the total amount of CFAP-1 payments made with
respect to all eligible commodities of an individual or entity. However, unlike payment limits for
other FSA programs where corporate entities are limited to a single payment limit,38 USDA has
elected to apply special payment limitation rules to CFAP-1 participants that are corporations,
limited liability companies, and limited partnerships. Under the special payment limitation rules,
these corporate entities may receive CFAP-1 payments up to $750,000 if three or more different
individual owners or shareholders of the legal entity each contributed at least 400 hours of active
personal labor or active personal management (or combination thereof) with respect to the
production of 2019 commodities.39

35 USDA, FSA, “Coronavirus Food Assistance Program,” Final Rule, 85 Federal Register 30825, May 21, 2020.
36 T his compares with a payment limit of $125,000 per individual under traditional farm programs from T itle I of the
2018 farm bill (P.L. 115-334). See CRS Report R46248, U.S. Farm Program s: Eligibility and Paym ent Lim its.
37 USDA, “Coronavirus Food Assistance Program: Cost Benefit Analysis,” May 14, 2020, p. 8.
38 CRS Report R46248, U.S. Farm Programs: Eligibility and Payment Limits.
39 USDA, FSA, “Coronavirus Food Assistance Program,” Final Rule, 85 Federal Register 30825, May 21, 2020.
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Under normal USDA rules governing recordkeeping requirements in regard to meeting the
“actively engaged in farming” criteria, al persons that provide any management to the farming
operation and seek to qualify as a farm manager—eligible for payments up to the individual
payment limit—are required to maintain contemporaneous records or activity logs of their
management activities.40
For a corporate entity,
 in general, the payment limit for the entity is $250,000;
 the payment limit for the entity is $500,000 if two different individual owners or
shareholders of the legal entity each contributed at least 400 hours of active
personal labor or active personal management (or combination thereof) with
respect to the production of 2019 commodities; and
 the limit is $750,000 if three or more different individual owners or shareholders
of the legal entity each contributed at least 400 hours of active personal labor or
active personal management (or combination thereof) with respect to the
production of 2019 commodities.
Neither the CARES Act nor the underlying CCC authority requires payment limits. Applying
payment limits was done at USDA’s discretion, as it also chose to do when establishing the
Market Facilitation Payment Program and the Wildfire and Hurricane Indemnity Program that
were undertaken at the Secretary’s discretion.41 Benefits received under traditional farm support
programs such as the Acreage Risk Coverage and Price Loss Coverage programs are not to be
added to CFAP-1 payments when evaluating payment limits.42 In other words, payment limits for
CFAP-1 are independent of other farm program benefits received by a farm.
Issues for Congress
Now that the program application period has closed (September 11, 2020) and a substantial
portion of program outlays ($10.3 bil ion as of November 1, 2020) have been made, the CFAP-1
program’s perceived strengths and weaknesses are becoming more discernible. Many Members of
Congress, as wel as program stakeholders, have raised several concerns regarding the CFAP-1.
First, an immediate congressional concern some raised involved the implementation of the CFAP-
1 to ensure that program funding was al ocated to incentivize participation by al affected
agricultural sectors and al injured producers within those sectors, to the maximum extent
possible. Based on USDA payment data through November 1, 2020, a third of the CFAP-1
outlays projected for specialty crop producers have occurred (Figure 1). Preliminary assessments
suggest that this is in large part due to the payment methodology and price data that USDA used
to determine CFAP-1 eligibility and payment rates—in particular, USDA opting to use national
price data to determine eligibility and as a basis for determining the payment for lost sales. Many
smal -scale specialty crop producers sel directly to restaurants or local food markets—a national
average price often fails to reflect the price premiums that such direct marketing captures.43

40 See CRS Report R44656, USDA’s Actively Engaged in Farming (AEF) Requirement.
41 See CRS Report R45310, Farm Policy: USDA’s 2018 Trade Aid Package, CRS Report R45865, Farm Policy:
USDA’s 2019 Trade Aid Package; and CRS In Focus IF11539, Wildfires and Hurricanes Indemnity Program (WHIP).
42 USDA, “Coronavirus Food Assistance Program: Cost Benefit Analysis,” May 14, 2020, p. 8.
43 T he predicament related to USDA’s decision to use national prices for specialty crops was highlighted by House
Agriculture Committee Chairman Collin Peterson in two letters to USDA Secretary Sonny Perdue dated June 9, 2020,
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USDA’s Coronavirus Food Assistance Program: Round One (CFAP-1)

Similarly, the cost premiums of organic crops are not captured by a national average price.
Another concern related to smal -scale producers is that—because of their dependence on local
markets—they are often less able to pivot to new markets as easily as larger growers due to
technology barriers or a lack of social capital or customer base.44 As a result, for many of these
affected specialty crop producers, the CFAP methodology may have either excluded their
commodities from eligibility or did not adequately value the resultant sales losses or marketing
costs.
Additional y, USDA elected to provide payments to non-specialty crops based on unsold
inventories held on January 15, 2020. Payments for specialty crops and livestock were based on
commodities sales between January 15 and April 15, 2020. Congress may be interested in
understanding how the decision to make payments for non-specialty crops based on unsold
inventories impacted the extent of compensation made available for other agricultural sectors.
Another concern some express relates to the types of losses that are not covered by CFAP-1
payments. This includes the costs of disposing of animal carcasses that resulted from farm-level
depopulation efforts to deal with unsustainable stocking densities due to a backing up of market-
ready cattle, hogs, and poultry in the food supply chain. In addition, CFAP-1 excluded
commodities that are routinely grown under contract, such as potatoes and malting barley. Also
excluded are processed food commodities (e.g., raisins) and aquaculture. 45
Similarly, to be eligible, a producer must stil control the affected commodity. If the producer has
already sold the commodity (perhaps out of financial necessity to meet cash flow requirements),
then that portion of commodity is no longer eligible for any CFAP-1 assistance—no matter what
type of sales loss might have resulted from the sale. Additional y, if contracted producers incurred
losses because they were provided with fewer animals than they original y expected to raise under
contract, these losses would not be eligible for CFAP-1 assistance.
Concern has also been expressed about USDA’s rigid selection of dates—January 15 and April
15—for covering livestock sales. COVID-19 livestock market declines did not begin until
February 2020, and some of the lowest market prices persisted beyond April 15. As a result, by
arbitrarily selecting the program dates, according to this critique, USDA was in effect picking
winners and losers based solely on when livestock was sold without regard to actual market
conditions.46
Another concern involved congressional monitoring and oversight of the large sums of taxpayer
money that wil be flowing out through the USDA and the CCC. This concern stemmed from the
idea that producer self-certification of the farm data needed to calculate losses might create an
incentive to over-report losses.
Policy analysts and budget hawks have expressed concern about the potential for duplication of
loss coverage between CFAP-1 and either the Agricultural Risk Coverage (ARC) and Price Loss
Coverage (PLC) programs or federal y subsidized crop insurance.47

and August 21, 2020.
44 Brad Hooker, “Smaller Farmers Are ‘Left Out’ Of Aid Programs,” AgriPulse, June 6, 2020.
45 House Agriculture Chairman Collin Peterson in a letter to USDA Secretary Perdue dated June 9, 2020.
46 House Agriculture Chairman Collin Peterson in a letter to USDA Secretary Perdue dated June 9, 2020.
47 For a description of the types of losses covered by ARC and PLC, or crop insurance, see CRS Report R45730, Farm
Com m odity Provisions in the 2018 Farm Bill (P.L. 115 -334); or CRS Report R45193, Federal Crop Insurance:
Program Overview for the 115th Congress.
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USDA’s Coronavirus Food Assistance Program: Round One (CFAP-1)

Congress may also be interested in evaluating whether CFAP-1 payments helped to mitigate the
economic damage caused by the COVID-19 pandemic. Moreover, is additional assistance needed
to support certain affected industries—such as various specialty crops—that were not eligible
under USDA’s final expanded eligibility list? Wil additional assistance be necessary later this
year for the entire U.S. agricultural sector?48
As CFAP-1 winds down and more stakeholder feedback becomes available, Congress may
evaluate whether CFAP-1 wil serve as a useful template for future disaster response programs,
and what changes might be necessary or useful in designing any future program.

48 USDA decided that the answer to these two questions was yes when, on September 18, 2020, USDA announced that
it was initiating a second round of CFAP payments (CFAP -2) but under more expansive eligibility criteria and a new
payment methodology. USDA, “USDA to Provide Additional Direct Assistance to Farmers and Ranchers Impacted by
the Coronavirus,” Press Release No. 0378.20, September 18, 2020.
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Appendix. Supplementary Tables
Table A-1. CFAP-1 Payment Rates (PRs): Non-Specialty Crops, Dairy, & Livestock
Price Change ($ per unit)
Payment Rates
Average:
Average:
Decline
%
CARES
Commodity
Unit
Jan. 13-17
Apr. 6-9
(PD)a
decline
Act
CCC
Non-Specialty Cropsb

50% PD
55% PD
Barley (malting)
Bu.
$4.27
$3.60
$0.67
15.7%
$0.34
$0.37
Canola
Lb.
$0.17
$0.15
$0.02
11.8%
$0.01
$0.01
Corn
Bu.
$3.93
$3.30
$0.63
16.0%
$0.32
$0.35
Durum wheat
Bu.
$5.83
$5.46
$0.37
6.3%
$0.19
$0.20
Hard red spring wheat
Bu.
$5.64
$5.28
$0.36
6.4%
$0.18
$0.20
Mil et
Bu.
$6.19
$5.57
$0.62
10.0%
$0.31
$0.34
Oats
Bu.
$3.04
$2.74
$0.30
9.9%
$0.15
$0.17
Sorghum
Bu.
$3.73
$3.14
$0.59
15.8%
$0.30
$0.32
Soybeans
Bu.
$9.47
$8.57
$0.90
9.5%
$0.45
$0.50
Sunflowers
Lb.
$0.18
$0.15
$0.03
16.7%
$0.02
$0.02
Upland cotton
Lb.
$0.72
$0.54
$0.18
25.0%
$0.09
$0.10
Dairyc

80% PD
25% PD
Dairy
Cwt.
$17.61
$11.72
$5.89
33.4%
$4.71
$1.47
Livestockd

80% PD
Costse
Slaughter cattle: fedf
Head
$1,736
$1,469
$267
15.4%
$214
$33
Slaughter cattle: matureg Head
$744
$630
$114
15.3%
$92
$33
Feeder cattle: < 600 lbs.h
Head
$812
$685
$127
15.6%
$102
$33
Feeder cattle: >600 lbs.i
Head
$1,107
$934
$173
15.6%
$139
$33
Al other cattlej
Head
$812
$685
$127
15.6%
$102
$33
Pigsk
Head
nal
na
$35
58%
$28
$17
Hogsm
Head
na
na
$23
21%
$18
$17
Lambs and yearlingsn
Head
na
na
$41
26%
$33
$7
Al Other Sheepo
Head
na
na
na
na
$24
$7
Woolp

50% PD
55% PD
(graded, clean)
Lb.
$5.04
$3.62
$1.42
28.2%
$0.71
$0.78
(non-graded, greasy)q
Lb.
—
—
—
—
$0.36
$0.39
Sources: USDA, FSA, “Coronavirus Food Assistance Program,” Final Rule, 85 Federal Register 30825, May 21,
2020; USDA, FSA, “Coronavirus Food Assistance Program Cost-Benefit Analysis, May 14, 2020; and 85 Federal
Register 49589, August 14, 2020. According to USDA, commodity prices are drawn from several sources as
fol ows.
For non-specialty crops with futures market data, quotes for May futures contracts from various exchang es are
used: Chicago Mercantile Exchange (CME) for corn, soybeans, and oats; Minneapolis Grain Exchange for hard
red spring (HRS) wheat; and the Intercontinental Exchange for cotton and canola. Sorghum is calculated as 95%
Congressional Research Service
17

link to page 13 USDA’s Coronavirus Food Assistance Program: Round One (CFAP-1)

of the corn futures price, durum wheat is 103.4% of the HRS wheat futures price, sunflowers is the soybean oil
CME futures price divided by two, plus one cent. AMS data is used for other non -specialty crops where futures
contracts are not traded.
For specialty crops, price data was provided by AMS and represents an average of al units shipped of domestic
production, whether conventional or organic. The raw data source for the prices is the AMS Market News
Portal, https://www.ams.usda.gov/market-news/fruits-vegetables. The prices are for the shipping point if available,
or terminal market if not. For any particular crop, shipping point and terminal market prices are not mixed.
For livestock prices, price data was provided by AMS for cattle, hogs, milk (Class III and Class IV), and lamb and
yearlings. The weighting of milk class prices to represent al -milk prices is described in the notes below.
Adjustments to per-pound prices to account for live weight for cattle, hogs, and pigs are described in the notes
below. For wool, instead of a futures or cash price, the difference in the Eastern Market Indicator, as reported
by AMS in the National Wool Review, for the same two-week period is used to calculate the price decline.
Notes: PD = price decline; na = not available.
a. The price decline (PD) is the difference between the weekly average of the futures contract prices (or
weekly average of the cash prices if the futures prices are unavailable) for the weeks of January 13 -17, 2020,
and April 6-9, 2020. Non-specialty crops and livestock commodities whose price decline is at least 5% are
listed in this table and are eligible for a CFAP payment as described in Table 2.
b. For al non-specialty crops, the CARES Act payment rate is 50% of the PD; the CCC payment rate is 55% of
the PD.
c. Dairy prices use an average of Class III (60% weight) and Class IV (40% weight) prices; the CARES Act
payment rate is 80% of the calculated price decline; the CCC payment rate is 25% of the price decline.
d. For livestock, the CARES Act payment rate is 80% of the price decline.
e. The CCC payment rate for livestock is based on projected costs likely to be incurred for marketing the
2020 inventory after April 15, 2020, due to disrupted markets.
f.
Fed cattle are cattle that are market-ready (with a weight of 1,200 lbs. or more) and intended for slaughter.
The price loss per-head of fed cattle is approximated by first calculating the difference between the weekly
average prices for January 13-17, 2020, and April 6-9, 2020. These values are multiplied by 14 (assuming an
average weight of 1,400 lbs. or 14 cwt) to approximate the equivalent per-head values for fed cattle.
g. Mature cattle are either cul cattle from a dairy herd, or breeding livestock that have been removed from
inventory and are intended for slaughter. Similar to the procedure used for fed cattle, per-head prices for
mature cattle are approximated by multiplying the per-cwt calculated average prices and their difference by
50% and 12 because cul ed cattle typical y weight about 1,200 lbs. and are worth app roximately half that of
fed cattle.
h. Feeder cattle are young cattle that are taken off pasture and brought to a feedlot for finishing weight gain to
achieve market-ready status prior to slaughter. For feeder cattle under 600 lbs., the calculated average
prices and their difference are multiplied by 5.5 to represent the average weight of 550 lbs.
i.
Similarly, for feeder cattle over 600 lbs., the calculated average prices and their difference are multiplied by
7.5 to represent 750 lbs., the average weight when feeder cattle are placed on feed.
j.
Commercial y raised or maintained bovine animals not meeting definitions of other cattle categories,
excluding beefalo, bison, and animals used for dairy production.
k. Pigs are any swine that weighs less than 120 lbs.
l.
USDA did not provide the price averages used to calculate the price decline for pigs, hogs, and lambs and
yearlings.
m. Hogs are any swine that weighs more than 120 lbs. For hogs, the negotiated purchase prices as reported by
AMS (https://mpr.datamart.ams.usda.gov/) were used to calculate the price change between the two
periods.
n. Lambs and yearlings are al sheep less than two years of age.
o. Al sheep greater than two years of age. Added as an eligible commodity by 85 Federal Register 49589,
August 14, 2020.
p. Wool means the fiber sheared from a live sheep and includes, unless noted otherwise, graded and
nongraded wool. Graded wool is paid on a clean basis, and ungraded wool is paid on a greasy basis. For al
wool, the CARES Act payment rate is 50% of the PD; the CCC payment rate is 55% of the PD.
q. USDA uses a 50% conversion rate from greasy wool to clean wool, thus the payment rates for greasy wool
are set at half the value of clean wool.
Congressional Research Service
18

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Table A-2. CFAP-1 Payment Rates (PRs) for Specialty Crops
Price Changea ($ per lb.)

Payment Rates (PR)
Avg. Price:
Avg. Price:
Price Decline

CARES Act PR-1:
CARES Act PR-2:
CCC PR-3:
Commodity
Jan. 13-17
Apr. 6-10
(PD)b
% PD
Sales Lossesc (80% PD) product spoilaged
unsold inventorye

($/lb)
($/lb)
($/lb)
%

PR-1 ($/lb)
PR-2 ($/lb)
PR-3 ($/lb)
Alfalfa Sprouts
—
—
—
—

—
$8.14
$1.59
Almonds
$1.90
$1.58
$0.32
16.8%

$0.26
$0.57
$0.11
Aloe Leaves
na
na
na
na

$0.06
$0.19
$0.04
Anise
na
na
na
na

$0.88
$0.81
$0.16
Apples
—
—
—
—

—
$0.18
$0.03
Artichokes
$1.64
$0.81
$0.83
50.6%

$0.66
$0.49
$0.10
Arugula
—
—
—
—

—
$4.64
$0.91
Asparagus
—
—
—
—

—
$0.38
$0.07
Avocados
—
—
—
—

—
$0.14
$0.03
Bananas
na
na
na
na

$0.34
$0.20
$0.04
Basil
na
na
na
na

$0.30
$1.65
$0.32
Batatas
—
—
—
—

—
$0.32
$0.06
Bean Sprouts
—
—
—
—

—
$0.26
$0.05
Beans
$0.55
$0.33
$0.22
40.0%

$0.17
$0.16
$0.03
Beets
—
—
—
—

—
$0.30
$0.06
Blackberries
na
na
na
na

$1.72
$2.11
$0.41
Blueberries
—
—
—
—

—
$0.62
$0.12
Bok Choy
na
na
na
na

$0.22
$0.23
$0.05
Broccoli
$1.62
$0.84
$0.78
48.1%

$0.62
$0.49
$0.10
Brussels Sprouts
na
na
na
na

$0.26
$0.34
$0.07
Cabbage
$0.22
$0.16
$0.06
27.3%

$0.04
$0.07
$0.01
Cantaloupe
—
—
—
—

—
$0.10
$0.02
Carambola (Star Fruit)
—
—
—
—

—
$0.58
$0.11
CRS-19

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Price Changea ($ per lb.)

Payment Rates (PR)
Avg. Price:
Avg. Price:
Price Decline

CARES Act PR-1:
CARES Act PR-2:
CCC PR-3:
Commodity
Jan. 13-17
Apr. 6-10
(PD)b
% PD
Sales Lossesc (80% PD) product spoilaged
unsold inventorye
Carrots
$0.38
$0.35
$0.03
7.9%

$0.20
$0.11
$0.02
Cauliflower
$1.02
$0.89
$0.13
12.7%

$0.11
$0.31
$0.06
Celeriac (Celery Root)
—
—
—
—

—
$0.52
$0.10
Celery
—
—
—
—

—
$0.07
$0.01
Cherimoya
na
na
na
na

$1.83
$0.98
$0.19
Chervil (French Parsley)
na
na
na
na

$2.74
$8.09
$1.58
Chives
—
—
—
—

—
$1.32
$0.26
Cilantro
na
na
na
na

$0.19
$0.23
$0.05
Cilantro (Coriander)
na
na
na
na

$0.19
$0.23
$0.05
Citron
na
na
na
na

$0.32
$0.26
$0.05
Coconuts
—
—
—
—

—
$0.25
$0.05
Col ard Greens
na
na
na
na

$0.04
$0.21
$0.04
Corn, sweet
$0.43
$0.31
$0.12
27.9%

$0.09
$0.13
$0.03
Cucumbers
$0.50
$0.34
$0.16
32.0%

$0.13
$0.15
$0.03
Curry Leaves
na
na
na
na

$2.40
$5.25
$1.03
Daikon
—
—
—
—

—
$0.19
$0.04
Dandelion Greens
na
na
na
na

$0.06
$0.26
$0.05
Dates
—
—
—
—

—
$1.44
$0.28
Dil
—
—
—
—

—
$5.38
$1.05
Donaqua (Winter Melon)
na
na
na
na

$1.42
$0.60
$0.12
Dragon Fruit (Red Pitaya)
—
—
—
—

—
$1.03
$0.20
Eggplant
$0.50
$0.40
$0.09
20.0%

$0.07
$0.15
$0.03
Endive
na
na
na
na

$0.04
$0.15
$0.03
Escarole
na
na
na
na

$0.11
$0.18
$0.04
Filberts
na
na
na
na

$0.41
$0.67
$0.13
Frisee
—
—
—
—

—
$0.69
$0.14
CRS-20

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Price Changea ($ per lb.)

Payment Rates (PR)
Avg. Price:
Avg. Price:
Price Decline

CARES Act PR-1:
CARES Act PR-2:
CCC PR-3:
Commodity
Jan. 13-17
Apr. 6-10
(PD)b
% PD
Sales Lossesc (80% PD) product spoilaged
unsold inventorye
Garlic
—
—
—
—

—
$0.85
$0.17
Grapefruit
—
—
—
—

—
$0.11
$0.02
Greens (others not listed)
na
na
na
na

$0.08
$0.16
$0.03
Guava
na
na
na
na

$1.52
$1.73
$0.34
Horseradish
—
—
—
—

—
$3.72
$0.73
Kale Greens
—
—
—
—

—
$0.22
$0.04
Kiwifruit
—
—
—
—

—
$0.32
$0.06
Kohlrabi
—
—
—
—

—
$0.24
$0.05
Kumquats
na
na
na
na

$1.28
$1.76
$0.34
Leeks
na
na
na
na

$0.14
$0.18
$0.03
Lemons
$0.70
$0.61
$0.09
12.9%

$0.08
$0.21
$0.04
Lettuce, Boston
na
na
na
na

$0.09
$0.34
$0.07
Lettuce, Green Leaf
na
na
na
na

$0.44
$0.60
$0.12
Lettuce, Lol a Rossa
—
—
—
—

—
$1.69
$0.33
Lettuce, Oak Leaf—Green
—
—
—
—

—
$1.69
$0.33
Lettuce, Oak Leaf—Red
—
—
—
—

—
$1.69
$0.33
Lettuce, Red Leaf
na
na
na
na

$0.42
$0.60
$0.12
Lettuce, iceberg
$0.50
$0.25
$0.25
50.0%

$0.20
$0.15
$0.03
Lettuce, romaine
$0.40
$0.31
$0.09
22.5%

$0.07
$0.12
$0.02
Mamey Sapote
na
na
na
na

$0.56
$0.92
$0.18
Maple Sap* (for Maple Syrup)
na
na
na
na

$0.07
$0.20
$0.04
Marjoram
na
na
na
na

$1.06
$1.42
$0.28
Mesculin Mix
—
—
—
—

—
$0.79
$0.16
Microgreens
—
—
—
—

—
$7.15
$1.40
Mint
—
—
—
—

—
$7.47
$1.46
Mint (Others not listed)
—
—
—
—

—
$0.93
$0.18
CRS-21

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Price Changea ($ per lb.)

Payment Rates (PR)
Avg. Price:
Avg. Price:
Price Decline

CARES Act PR-1:
CARES Act PR-2:
CCC PR-3:
Commodity
Jan. 13-17
Apr. 6-10
(PD)b
% PD
Sales Lossesc (80% PD) product spoilaged
unsold inventorye
Mushrooms
—
—
—
—

—
$0.59
$0.11
Mustard
—
—
—
—

—
$0.21
$0.04
Nectarines
—
—
—
—

—
$0.30
$0.06
Okra
na
na
na
na

$0.31
$0.46
$0.09
Onions, dry
$0.18
$0.16
$0.02
11.1%

$0.01
$0.05
$0.01
Onions green
—
—
—
—

—
$0.30
$0.06
Oranges
—
—
—
—

—
$0.14
$0.03
Oregano
—
—
—
—

—
$1.22
$0.24
Papaya
—
—
—
—

—
$0.32
$0.06
Parsley
na
na
na
na

$0.19
$0.23
$0.04
Parsnips
na
na
na
na

$0.06
$0.40
$0.08
Passion Fruit
na
na
na
na

$0.89
$3.21
$0.63
Peaches
—
—
—
—

—
$0.32
$0.06
Pears
$0.58
$0.49
$0.09
15.5%

$0.08
$0.18
$0.03
Peas Green
na
na
na
na

$0.10
$0.36
$0.07
Pecans
$3.10
$2.76
$0.34
11.0%

$0.28
$0.93
$0.18
Peppermint
na
na
na
na

$1.60
$5.40
$1.06
Peppers, bel type
$0.73
$0.56
$0.17
23.3%

$0.14
$0.22
$0.04
Peppers, other
$0.73
$0.55
$0.18
24.7%

$0.15
$0.22
$0.04
Persimmons
—
—
—
—

—
$0.53
$0.10
Pineapples
—
—
—
—

—
$0.23
$0.04
Pistachios
—
—
—
—

—
$0.74
$0.14
Pistachios
na
na
na
na

$0.22
$1.28
$0.25
Plantains
na
na
na
na

$0.18
$0.15
$0.03
Pomegranates
—
—
—
—

—
$0.54
$0.11
Potatoes, fresh other
—
—
—
—

$0.01
$0.04
$0.01
CRS-22

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Price Changea ($ per lb.)

Payment Rates (PR)
Avg. Price:
Avg. Price:
Price Decline

CARES Act PR-1:
CARES Act PR-2:
CCC PR-3:
Commodity
Jan. 13-17
Apr. 6-10
(PD)b
% PD
Sales Lossesc (80% PD) product spoilaged
unsold inventorye
Potatoes, fresh Russets
—
—
—
—

$0.07
$0.09
$0.02
Potatoes, processing
—
—
—
—

$0.02
$0.03
$0.01
Potatoes, seed
—
—
—
—

$0.02
$0.04
$0.01
Pummelos
—
—
—
—

—
$0.21
$0.04
Pumpkins
na
na
na
na

$0.72
$0.39
$0.08
Radicchio
—
—
—
—

—
$0.72
$0.14
Raspberries
—
—
—
—

—
$1.45
$0.28
Rhubarb
—
—
—
—

—
$1.03
$0.20
Rosemary
—
—
—
—

—
$2.60
$0.51
Rutabagas
na
na
na
na

$0.08
$0.19
$0.04
Sage
na
na
na
na

$0.72
$3.06
$0.60
Savory
—
—
—
—

—
$0.62
$0.12
Shal ots
na
na
na
na

$0.51
$0.70
$0.14
Sorrel
—
—
—
—

—
$2.85
$0.56
Spearmint
na
na
na
na

$1.60
$4.80
$0.94
Spinach
$1.22
$0.77
$0.45
36.9%

$0.37
$0.37
$0.39
Squash
$1.30
$0.40
$0.90
69.2%

$0.72
$0.39
$0.08
Strawberries
$2.40
$1.35
$1.05
43.8%

$0.84
$0.72
$0.14
Sugarcane, table
—
—
—
—

—
$0.14
$0.03
Sweetpotatoes
—
—
—
—

—
$0.18
$0.04
Swiss Chard
—
—
—
—

—
$0.25
$0.05
Tangelos
na
na
na
na

$0.05
$0.22
$0.04
Tangerines
—
—
—
—

—
$0.22
$0.04
Taro
—
—
—
—

—
$0.23
$0.05
Thyme
—
—
—
—

—
$2.63
$0.51
Tomatoes
$1.26
$0.46
$0.80
63.5%

$0.64
$0.38
$0.07
CRS-23

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Price Changea ($ per lb.)

Payment Rates (PR)
Avg. Price:
Avg. Price:
Price Decline

CARES Act PR-1:
CARES Act PR-2:
CCC PR-3:
Commodity
Jan. 13-17
Apr. 6-10
(PD)b
% PD
Sales Lossesc (80% PD) product spoilaged
unsold inventorye
Turmeric
—
—
—
—

—
$1.05
$0.20
Turnip Tops Greens
—
—
—
—

—
$0.19
$0.04
Turnips (Celeriac)
—
—
—
—

—
$0.20
$0.04
Upland and Winter Cress
—
—
—
—

—
$2.18
$0.43
Walnuts
—
—
—
—

—
$0.45
$0.09
Watercress
—
—
—
—

—
$2.18
$0.43
Watermelons
—
—
—
—

—
$0.02
—
Yautia (Malanga)
na
na
na
na

$0.48
$0.42
$0.08
Yuca (Cassava)
—
—
—
—

—
$0.16
$0.03
Sources: USDA, FSA, “CFAP,” Final Rule, 85 Federal Register 30825, May 21, 2020, as corrected by: USDA, FSA, “CFAP Additional Eligible Commodities,” 85 Federal
Register 35799, June 12, 2020; USDA, FSA, “CFAP Additional Eligible Commodities,” 85 Federal Register 41321, July 10, 2020; USDA, FSA, “CFAP Correction,” 85 Federal
Register 41328, July 10, 2020; USDA, FSA, “CFAP Additional Eligible Commodities,” 85 Federal Register 49589, August 14, 2020; and USDA, FSA, “CFAP Correction,” 85
Federal Register 49593, August 14, 2020.
Notes: CFAP-1 = Coronavirus Food Assistance Program, First Round; na = not available. Specialty crops include, but are not limited to, those commodities listed in this
table. An “—” under the sixth column (CARES Act PR-1) signifies that either a price increase occurred between the two periods used to calculate the price change, or
the price decrease was less than 5%, hence no payment wil be made under CARES Act PR-1. However, the commodity may be eligible for payments under CARES Act
PR-2 and CCC PR-3. USDA has not provided any information on the prices used for those commodities added after the initial rule was released on May 21, 2020. Prices
that appear in this table have been rounded to two digits to the right of the decimal—as a result, differences may not equate directly with the table data.
a. Weekly AMS cash prices are used to calculate the average prices for the two periods.
b. The price decline is the difference in the weekly average of cash prices between the weeks of January 13 -17, 2020, and April 6-10, 2020. Commodities whose price
decline is equal to or greater than 5% are eligible for a CFAP payment based on the CARES Act PR-1 payment rate as described in Table 2.
c. The CARES Act payment rate (PR-1) for price losses equals 80% of the calculated price decline.
d. The CARES Act payment rate (PR-2) for market spoilage equals 30% of the lost value of any shipment.
e. The CCC payment rate (PR-3) for unsold inventory equals 5.875% of the crop’s value. The 5.875% is calculated as 25% of the average price decline (of 23.5%) across
specialty crops for which data was available.

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Table A-3. CFAP-1 Payment Rates for Liquid and Frozen Eggs and Aquaculture
Added by USDA on August 14, 2020
CARES Act PR:
CCC PR:
Commodity
Unit
Sales Losses
unsold inventory
Liquid and Frozen Eggs

($/lb.)
($/lb.)
Liquid Eggs
Pound
$0.05
$0.02
Frozen Eggs
Pound
$0.06
$0.02
Aquaculture Commoditiesa

Crawfish
Pound
$0.65
$0.05
Catfish
Pound
—
$0.07
Largemouth Bass and Carp Sold as Food
Pound
$0.51
$0.39
Hybrid Striped Bass
Pound
—
$0.25
Red Drum
Pound
—
$0.24
Salmon
Pound
$1.14
$0.31
Sturgeon
Pound
—
$0.29
Tilapia
Pound
—
$0.16
Trout
Pound
—
$0.11
Ornamental or Tropical Fish
Pound
—
$0.03
Recreational Sportfish
Pound
—
$0.27
Source: 85 Federal Register 49589, August 14, 2020.
Notes: CFAP-1 = Coronavirus Food Assistance Program, First Round. An “—” under the third column (CARES
Act PR) signifies that either a price increase occurred between the two periods used to calculate the price
change, or the price decrease was less than 5%, hence no payment wil be made under CARES Act PR. However,
the commodity may be eligible for payments for a CCC payment to partial y offset additional marketing costs.
a. In extending eligibility for CFAP payments to the identified aquaculture, USDA stated that aquaculture
commodities are unique because they require continued feeding and care, and they continue to grow and
may ultimately exceed the size range that is preferred by buyers. As a result, that inventory would likely be
sold at reduced prices as animals grew past their optimal market, thus incurring sales losses. In addition,
many aquaculture producers cannot begin raising new fish while stil maintaining the fish intended to be sold
prior to April 15, 2020, thus incurring additional marketing costs.

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Table A-4. Chronology of CFAP-1 Regulatory Amendments and Corrections
Coronavirus Food Assistance Program, Round One (CFAP-1)
Federal Regulation Citatio n

(85 Federal Register 30825, May 21, 2020) CFAP-1, Final Rule

Specifies CFAP-1 eligibility requirements, payment calculations, and application procedures.

Announces that USDA wil accept CFAP-1 applications starting on May 26, 2020, with a deadline of August
28, 2020 (later extended to September 11, 2020, by 85 Federal Register 49593, August 14, 2020).

Eligible non-specialty crops include malting barley, canola, corn, upland cotton, mil et, oats, sorghum,
soybeans, sunflowers, durum wheat, and hard red spring wheat.

Eligible specialty crops include almonds, beans, broccoli, sweet corn, lemons, iceberg lettuce, spinach, squash,
strawberries, and tomatoes.

Eligible livestock include dairy, cattle, lambs and yearlings, wool, and hogs and pigs.

Announces commodity-specific payment rates and total payment calculations. To comply with funding sources
and authorities, USDA announces that payments for sales losses (i.e., lost income) and spoilage (while being
marketed) are to be paid using CARES Act funds, while payments for unexpected marketing costs due to
COVID-19 are to be paid using CCC funds.

Additional eligible commodities, such as aquaculture, nursery crops, and cut flowers to be announced in a
subsequently Notice of Funding Availability (NOFA).
(85 Federal Register 31062, May 22, 2020) NOFA, CFAP-1 Additional Commodities Request for
Information

USDA requests more information from stakeholders on potential additional commodities to be eligible for
CFAP-1 payments—to be submitted via the comment facility at the federal rulemaking portal.
(85 Federal Register 35799, June 12, 2020) CFAP-1, Correction

Correction of typo in table of CFAP-1 payment rates for the commodity carrots.

Corrections are made to definitions of several CFAP-1 program terms to add clarity.
(85 Federal Register 41321, July 10, 2020) NOFA, CFAP-1, Additional Eligible Commodities

Announces additional commodities eligible for CFAP-1 payments, including Alfalfa Sprouts, Anise, Arugula,
Basil, Bean Sprouts, Beets, Blackberries, Brussels Sprouts, Celeriac (celery root), Chives, Cilantro, Coconuts,
Col ard Greens, Dandelion Greens, Greens (others not listed separately), Guava, Kale Greens, Lettuce
Boston, Lettuce Green Leaf, Lettuce Lol a Rossa, Lettuce Oak Leaf Green, Lettuce Oak Leaf Red, Lettuce Red
Leaf, Marjoram, Mint, Mustard, Okra, Oregano, Parsnips, Passion Fruit, Peas Green, Pineapples, Pistachios,
Radicchio, Rosemary, Sage, Savory, Sorrel, Sugarcane (table), Swiss Chard, Thyme, Turnip Tops Green.
(85 Federal Register 41328, July 10, 2020) CFAP-1, Correction

Expands eligibility for sales-loss payments to apples, blueberries, garlic, potatoes, raspberries, tangerines, and
taro.

Removes peaches and rhubarb from eligibility for sales-loss payments.

Adds specificity to potato for sales-loss payments—it is separated into categories for fresh Russets, fresh
other, processing, and seed potato.

Corrects errors in payment rates for marketing costs and spoilage of apples, artichokes, asparagus,
blueberries, cantaloupes, cucumbers, garlic, kiwifruit, mushrooms, papaya, peaches, potatoes (by category),
raspberries, rhubarb, tangerines, and taro.
(85 Federal Register 49589, August 14, 2020) NOFA, CFAP-1, Additional Eligible Commodities

Announces additional eligible specialty crops including Aloe Leaves, Bananas, Batatas, Bok Choy, Carambola
(Star Fruit), Cherimoya, Chervil (French parsley), Citron, Curry Leaves, Daikon, Dates, Dil , Donqua (Winter
Melon), Dragon Fruit (Red Pitaya), Endive, Escarole, Filberts, Frisee, Horseradish, Kohlrabi, Kumquats, Leeks,
Mamey Sapote, Maple Sap (for Maple Syrup), Mesculin Mix, Microgreens, Nectarines, Parsley, Persimmons,
Plantains, Pomegranates, Pummelos, Pumpkins, Rutabagas, Shal ots, Tangelos, Turnips (Celeriac), Turmeric,
Upland and Winter Cress, Water Cress, Yautia (Malanga), and Yuca (Cassava).
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Federal Regulation Citatio n


Announces additional eligible livestock and payment rate for al other sheep (i.e., al sheep greater than 2
years of age). Al other sheep payments to be determined according to the formula for lamb and yearlings
(Table 2).

Announces payment eligibility for aquaculture, including catfish, largemouth bass and carp sold live as food
(i.e., not for breeding), hybrid striped bass, red drum, salmon, sturgeon, tilapia, trout, ornamental or tropical
fish, and recreational sportfish. Announces payment formula as described in Table 2.

Announces payment eligibility for liquid eggs, frozen eggs, nursery crops, and cut flowers.
(85 Federal Register 49593, August 14, 2020) CFAP-1, Correction

Extends CFAP-1 application deadline until September 11, 2020.

Extends CFAP-1 payment for sales losses (CARES Act funds) to green onions, walnuts, and watermelons.

Corrects CFAP-1 payment for marketing costs (CCC funds) and spoilage (CARES Act funds) for green
onions, walnuts, and watermelons.
(85 Federal Register 59174, September 21, 2020) CFAP-1, Correction

Clarifies meaning of “produced in the United States” as it relates to imported livestock.

Specifies that al barley—not just malting barley—is eligible for CFAP-1 payments.
Source: U.S. Federal Register (as cited in table); USDA, CFAP-1, web portal, at https://www.farmers.gov/cfap1.
Note: CFAP-1 = Coronavirus Food Assistance Program, First Round.

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USDA’s Coronavirus Food Assistance Program: Round One (CFAP-1)

Table A-5. Additional USDA Forms for CFAP Eligibility
Form
Purpose
CCC-901
Member Information

CCC-901 identifies members of a farm or ranch that is a legal entity. Member Information wil be
completed by legal entities and joint operations to col ect the fol owing: member names,
addresses, and Tax Identification Numbers (TINs); and citizenship status. If any member of the
legal entity is a foreign person, CCC-902 must be completed by the legal entity or joint operation.
CCC-902
Farm Operating Plan

For CFAP purposes only the fol owing fields on the CCC-902 form are required to be completed:
names, addresses, and TINs; citizenship status; and contributions to the farming operation for
foreign persons.
CCC-941
Average Adjusted Gross Income (AGI) Certification and Consent to Disclosure of Tax
Information

CCC-941 information is used to evaluate whether a producer is in compliance with AGI criteria.
CCC-942
Certification of Income from Farming, Ranching and Forestry Operations

CCC-942 must be completed if a producer exceeds the AGI criteria of $900,000, but derives at
least 75% of income from farming activities.
AD-1026
Highly Erodible Land Conservation (HELC) and Wetland Conservation (WC)
Certification

AD-1026 certifies compliance with required conservation provisions.
AD-2047
Customer Data Worksheet Request for Business Partner Record Change

AD-2047 provides basic customer contact information.
SF-3881
ACH Vendor/Miscellaneous Payment Enrollment Form (Direct Deposit)

SF-3881 col ects a producer’s banking information to al ow USDA to make payments to via direct
deposit.
Source: USDA, Coronavirus Food Assistance Program, web portal, at https://www.farmers.gov/cfap.
Notes: For producers that are existing FSA program participants, most of these forms are likely already on file
at their local FSA Service Centers. In addition to these forms, if requested by USDA, an applicant must provide
documentation that verifies the quantities of production and/or inventory used in the application, and that
establishes the applicant’s ownership share and value at risk for the commodity.

Author Information

Randy Schnepf

Specialist in Agricultural Policy

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USDA’s Coronavirus Food Assistance Program: Round One (CFAP-1)

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Congressional Research Service
R46395 · VERSION 10 · UPDATED
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