OMAHA (DTN) -- Crop farmers who suffered losses due to natural disasters in 2023 and 2024 can now apply for $16 billion in assistance through the Supplemental Disaster Relief Program (SDRP), USDA stated Wednesday.

Funding for the program was passed by Congress in December as part of a $31.78 billion overall package that earmarked $10 billion for economic assistance and $21.78 billion for natural disasters in 2023 and 2024.

To expedite the implementation of SDRP, USDA's Farm Service Agency (FSA) is delivering assistance in two stages, the agency stated. This first stage is open to producers with eligible crop losses that received assistance under crop insurance or the Noninsured Crop Disaster Assistance Program (NAP) during 2023 and 2024.

Stage-one sign-up will start in person at FSA county offices on July 10. FSA stated the agency also is launching a streamlined, pre-filled application process for eligible crop, tree, and vine losses by using existing (NAP) and Risk Management Agency (RMA) indemnified loss data. The pre-filled applications will be mailed on July 9, 2025.

Eligible losses must be the result of natural disasters occurring in calendar years 2023 and/or 2024. These disasters include wildfires, hurricanes, floods, derechos, excessive heat, tornadoes, winter storms, freeze (including a polar vortex), smoke exposure, excessive moisture, qualifying drought, and related conditions.

To qualify for drought-related losses, the loss must have occurred in a county rated by the U.S. Drought Monitor as having a D2 (severe drought) for eight consecutive weeks, D3 (extreme drought), or greater intensity level during the applicable calendar year.

To apply for SDRP, producers must submit the FSA-526, Supplemental Disaster Relief Program (SDRP) Stage One Application, in addition to having other forms on file with FSA.

Producers in Connecticut, Hawaii, Maine and Massachusetts will not be eligible for SDRP program payments. Instead, these states chose to cover eligible crop, tree, bush, and vine losses through separate block grants. These block grants are funded through the $220 million provided for this purpose to eligible states in the American Relief Act.

PAYMENT CALCULATION

Stage-one payments are based on the SDRP adjusted NAP or Federal crop insurance coverage level the producer purchased for the crop. The net NAP or net federal crop insurance payments (NAP or crop insurance indemnities minus administrative fees and premiums) will be subtracted from the SDRP calculated payment amount.

For stage one, the total SDRP payment to indemnified producers will not exceed 90% of the loss. Due to high demand expectations following natural disasters during the past two years, the SDRP stage one also will include a 35% payment factor. That means if a farmer's calculated loss is $100,000, the payment will be $35,000.

If additional SDRP funds remain, FSA may issue a second payment.

FSA will announce additional SDRP assistance for uncovered losses, including non-indemnified shallow losses and quality losses and how to apply later this fall.

This announcement follows Secretary Brooke Rollins' plan to deliver the total amount of the appropriated $30 billion in disaster assistance to farmers and ranchers this year.

"American farmers are no stranger to natural disasters that cause losses that leave no region or crop unscathed. Under President Trump's leadership, USDA has worked around the clock to deliver this relief directly to our farmers," Rollins said. "We are taking swift action to ensure farmers will have the resources they need to continue to produce the safest, most reliable, and most abundant food supply in the world."

To date, USDA has issued more than $7.8 billion in Emergency Commodity Assistance Program (ECAP) payments to more than half a million eligible producers. Additionally, USDA has provided more than $1 billion in emergency relief through the Emergency Livestock Relief Program to producers who suffered grazing losses because of drought or wildfires in calendar years 2023 and 2024.

USDA disaster assistance information can be found on: https://www.farmers.gov/….

Disaster-at-a-Glance fact sheet can be found at https://www.farmers.gov/….

For more information, contact your local USDA Service Center.

Chris Clayton can be reached at Chris.Clayton@dtn.com

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