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Jan 28, 2021
USDA freezes $2.3B supplemental Coronavirus Food Assistance Program

USDA announced Jan. 27 that $2.3 billion in supplemental Coronavirus Food Assistance Program (CFAP) payments will be temporarily frozen.

“In accordance with the White House memo, Regulatory Freeze Pending Review, USDA has suspended the processing and payments under the Coronavirus Food Assistance Program – Additional Assistance and has halted implementation until further notice. FSA local offices will continue to accept applications during the evaluation period,” said a notice on the USDA CFAP page.

“In the coming days, USDA and the Biden Administration intend to take additional steps to bring relief and support to all parts of food and agriculture during the coronavirus pandemic, including by ensuring producers have access to the capital, risk management tools, disaster assistance, and other federal resources,” the notice continued.

The previous administration had announced the expanded eligibility for the CFAP 1 and 2 programs on Jan. 15, just days before President Joe Biden was to be sworn in. The program expansion was targeted mostly at contract pork and poultry producers and others previously excluded from the relief payments.

As outlined in the notice, USDA will continue to take applications for the CFAP program, though no checks will be cut while the program is reviewed.

USDA is providing additional assistance through the Coronavirus Food Assistance Program for certain agricultural producers whose operations were directly impacted by the coronavirus pandemic.

USDA announced the additional assistance on Jan. 15, which includes expanding CFAP eligibility for some agricultural producers and commodities and updating payments to accurately compensate some producers who already applied for earlier assistance.

This additional assistance builds on about $23.6 billion in payments made available through CFAP 1 and CFAP 2 earlier signups.

 


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