USDA Milk Loss Program Final Rule Released 

On September 11, the Farm Service Agency (FSA) released their final rule regarding the “Milk Loss Program (MLP) and Emergency Relief Program”. MLP establishes qualification criteria and the value formula for how assistance money will be distributed for milk loss. The assistance is targeted at milk that was on the commercial market in 2020, 2021, or 2022, but was disposed of due to natural weather events making it unable to be sold. This includes circumstances caused by the weather event, such as power outages and road shutdowns, that led to disposal of the milk.  

This program is now open for applications to be submitted, and the deadline for applications is October 16, 2023. Each application only covers losses that occurred in one specific month, so if losses were suffered in multiple months, then a separate application must be submitted for each of the months. 

To apply for MLP, producers must submit: 

1. FSA-376, Milk Loss Program Application 

2. Milk marketing statement from the: 

1. Month prior to the month milk was removed or dumped. 

2. Affected month. 

3. Detailed written statement of milk removal circumstances, including the weather event type and geographic scope, what transportation limitations occurred and any information on what was done with the removed milk. 

4. Any other information required by the regulation. 

Applicants must also submit all the following items within 60 days of the Milk Loss Program application deadline, if not previously filed with FSA: 

1. Form AD–2047, Customer Data Worksheet, for new customers or existing customers who need to update their customer profile; 

2. Form CCC–860, Socially Disadvantaged, Limited Resource, Beginning and Veteran Farmer or Rancher Certification, applicable for the program year or years for which the affected farmer is applying for the Milk Loss Program, if the applicant is an underserved farmer or rancher;  

3. Form CCC–901, Member Information for Legal Entities, if applicable; 

4. Form CCC–902, Farm Operating Plan for an individual or legal entity as provided in 7 CFR part 1400; 

5. Form FSA–510, Request for an Exception to the $125,000 Payment Limitation for Certain Programs, accompanied by a certification from a certified public accountant or attorney as to that person or legal entity’s certification, for a legal entity and all members of that entity, for each applicable program year, including the legal entity’s members, partners, or shareholders, as provided in 7 CFR part 1400; and 

6. Form AD–1026, Highly Erodible Land Conservation (HELC) and Wetland Conservation (WC) Certification, for the Milk Loss Program applicant and applicable affiliates as provided in 7 CFR part 12. 

If requested by the FSA, the affected farmer must provide additional documentation that establishes the affected farmer’s eligibility for the Milk Loss Program. If supporting documentation is requested, the documentation must be submitted to FSA within 60 calendar days from the request or the application will be disapproved by FSA. 

If you believe you are eligible for the program, you may find the forms listed above at: https://forms.sc.egov.usda.gov/eForms/welcomeAction.do?Home.