During a telephone news conference, Vilsack indicated farmers could select their subsidy program as early as next week. Once farmers opt for ARC or PLC, they have to stay in the program for the five-year life of the 2014 farm law.
“They ought to wait until they are very confident in their decision,” Vilsack said when asked if farmers should wait until the last minute to make their selections. A deadline will be set for this winter for selecting either ARC or PLC. Enrollment will be held by June 1, 2015, to get crop subsidy coverage for 2014 and 2015 crops.
USDA said the online selection tool will allow farmers to see how decisions on base acres and yield history affect potential payments under ARC and PLC under various projected prices for crops.
Analsyts say commodity prices over the next few years, while still at historically high levels, will be markedly lower than the agricultural boom that began in 2006.
PLC is a traditionally styled subsidy program using a target price mechanism. ARC shields growers from shallow losses in crop revenue. Both programs can be used in combination with crop insurance.
The base acre and yield history tool is available here. A USDA Web page about base reallocation, yield updates and the new subsidy programs is available here.
The 79-page rule for the new programs appeared in the Federal Register and is available here.