In the first round of the Pandemic Market Volatility Assistance Program, USDA distributed over $250 million in pandemic assistance payments to more than 25,000 eligible dairy farmers who received a lower value due to market abnormalities caused by the pandemic and ensuing Federal policies. The first round of payments were made on production up to 5 million pounds. USDA will now make PMVAP payments to eligible dairy farmers for fluid milk sales between 5 million and 9 million pounds from July through December 2020. This level of production was not eligible for payment under the first round of the PMVAP.
In the second round:
- Payment rates will be calculated identically to the first round of payments.
- USDA has contacted handlers who have eligible producers to notify them of the opportunity to participate in the Program.
- USDA will again make payments through agreements with independent handlers and cooperatives. USDA will distribute payments to participating handlers within 60 days of entering into an agreement.
- USDA will inform handlers of payment amounts to producers.
- Once payment is received, a handler will have 30 days to distribute monies to qualifying dairy farmers. Handlers will also be reimbursed for limited administrative and educational costs.
- As part of the program, handlers also will relay AMS-supplied education to dairy farmers on a range of dairy topics. A handler will have until September 30, 2023, to provide the educational opportunity to dairy farmers.
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