What we know at this point is up to $400 million will go toward a new dairy donation program with a focus on addressing food insecurity and food waste mitigation. There will also be additional pandemic payments for dairy farmers who demonstrate losses that were not covered under previous pandemic assistance. Implementation is also beginning on a provision of the appropriations legislation that provides $580 million in necessary cash flow assistance to small and midsized dairies through supplemental Dairy Margin Coverage. Many small and midsized dairies have grown their operations since their production history was established and locked in in previous farm bills (based on 2011 through 2013 milk marketings). This program is designed to allow for those smaller producers to qualify for additional coverage for a portion of their increases in milk production.
Stay tuned for how this might impact you as a dairy producer...we'll know more in the next 60 days.