pandemic livestock indemnity program (plip)

Pandemic Livestock Indemnity Program (PLIP)

IntroductionJ. Latrice HillFSA National Director of Outreach

• Don’t hear audio through your device? Audience phone bridge is available

• Questions should be submitted through the chat box

• Questions as applicable, will be answered and added to the FAQ page: https://www.farmers.gov/plip

https://www.farmers.gov/plip

Today’s Discussion

• Program Purpose & Sign Up Period

• Key Terms • Eligibility

Requirements • Application Process• Payment Formula• Payment Scenarios• Resources

PLIP Purpose• Livestock and poultry producers who suffered losses

due to insufficient processing access during the pandemic can apply for assistance for those losses and the cost of depopulation and disposal of the animals.

• Eligible livestock must have been depopulated between March 1, 2020 through December 26, 2020 due to insufficient processing access as a result of the pandemic.

Presenter

Presentation Notes

USDA is continuing to establish new programs and efforts to bring financial assistance to farmers, ranchers and producers who felt the impact of COVID-19 market disruptions. We are improving and retargeting existing programs, creating new efforts to reach a broader set of producers, and bringing a new perspective and outlook to how USDA delivers assistance to producers in need. The Consolidated Appropriations Act, 2021, authorized payments to producers for losses of livestock or poultry depopulated before December 26, 2020, due to insufficient processing access. PLIP provides assistance for losses of livestock and poultry depopulated from March 1, 2020, through December 26, 2020, due to insufficient processing access during the COVID-19 pandemic, and for the cost of depopulation and disposal.

Sign-Up Period Begins - July 20, 2021Ends - September 17, 2021

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Contract Grower

Contract Grower means a person or legal entity who grows or produces eligible livestock under contract for or on behalf of another person or entity.

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Presenter

Presentation Notes

(a contract grower’s income is dependent upon the successful production of livestock and is not entitled to share from sale proceeds of the livestock)

DepopulationDepopulation means (consistent with the American Veterinary Medical Association definition), the rapid destruction of a population of livestock or poultry due to insufficient processing access during the COVID-19 pandemic with as much considerations given to the welfare of the animals as practicable.

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Live Poultry DealerLive poultry dealer means a live poultry dealer as defined in section 2(a) of the Packers and Stockyards Act, 1921 (7 U.S.C. 182(10). Therefore, live poultry dealer means any person engaged in the business of obtaining live poultry by purchase or under a poultry growing arrangement for the purpose of either slaughtering it or selling it for slaughter by another if sold or shipped in commerce, or if poultry products from poultry obtained by such person are sold or shipped in commerce.

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PackerPacker means a packer as defined in section 201 of the Packers and Stockyards Act, 1921 (7 U.S.C.191). Therefore, packer means any person engaged in the business.

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Presenter

Presentation Notes

A packer is engaged in the business of: buying livestock in commerce for purposes of slaughter manufacturing or preparing meats or meat food products for sale or shipment in commerce; or marketing meats, meat food products, or livestock products in an unmanufactured form acting as a wholesale broker, dealer, or distributor in commerce.

Swine

Swine means a domesticated omnivorous pig, hog, or boar. Swine for purposes of dividing into categories for payment calculations are further delineated by sex and weight, as determined by FSA.

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Program Eligibility

Eligible Livestock & Poultry To be considered eligible for PLIP, livestock and poultry must have been:

• Depopulated from March 1, 2020, through December 26, 2020

• Physically located in the U.S. at the time of depopulation

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Eligible for PLIPThe following livestock are eligible for PLIP:

• Swine

• Chickens

• Turkeys

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Eligible SwineThe following swine kind/type & weight ranges are eligible:

• Suckling/nursery pigs less than 50 lbs.• Lightweight barrows/gilts 50 to 150 lbs.• Sows/ boars/barrows/gilts 151 to 250 lbs.• Sows/boars/barrows/gilts 251 to 450 lbs.• Boars/sows 451 lbs. or greater

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Eligible PoultryThe following poultry kind/type & weight ranges are eligible:

• Broilers/layers/chicks• Pullets/Cornish hens less than 4.26 lbs.• Broilers/pullets 4.26 lbs. to 6.25 lbs.• Roasters 6.26 lbs. to 7.75 lbs.• Super roasters/parts 7.76 lbs. or greater• Layers • Poults• Toms/fryers/roasters

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Ineligible Livestock & Poultry

Eligible livestock does not include livestock not born, such as unborn swine that were depopulated during pre-farrowing.

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Presenter

Presentation Notes

Livestock not born, such as unborn swine that were depopulated during pre-farrowing, are ineligible for this program.

Eligible OwnersAn eligible Livestock or Poultry Owner must meet one of the following:

• Citizen of the United States.

• Resident alien, which means “lawful alien” as defined in 5-PL.

• Partnership of citizens or resident aliens of the U.S.

• Corporation, limited liability company, or other organizational structure organized under State law, solely owned by U.S. citizens or resident aliens

• Indian tribe or tribal organization, as defined in section 4(b) of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 5304)

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Ineligible OwnersInclude:

• Contract growers

• Federal, State, and local governments (including public schools)

• Live Poultry Dealers

• Packers

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Presenter

Presentation Notes

The CAA mandated that livestock poultry dealers and packers are not eligible for PLIP.

Ineligible Owners, Continued

• Persons/legal entities that do not have a reported ownership interest in the livestock or poultry depopulated

• Persons/legal entities that have been suspended or disbarred

• Persons/legal entities that do not meet payment eligibility, AGI or HELC/WC requirements 19

Payment Eligibility FormsApplicants must submit all of the following items, if not previously filed with FSA, before payments may be issued:

• CCC-902, Farm Operating Plan for Payment Eligibility 2009 and Subsequent Program YearsNotes:Only the following elements are required to be completed for PLIP purposes:

• names, addresses, and TIN’s• citizenship status.

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Payment Eligibility Forms, ContinuedApplicants must submit all of the following items, if not previously filed with FSA, before payments may be issued:

• CCC-901, Members Information, will be completed by legal entities and joint operations to collect the following:

• member names, addresses and TIN’s• citizenship status

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Presenter

Presentation Notes

To be eligible for payment, an applicant that is a legal entity must provide names and taxpayer identification numbers of all members, partners and stockholders holding an ownership interest in the legal entity. FY2020 CCC-902 Farm Operating Plan, and CCC-901 Member Information (if applicable) is required to collect information necessary to facilitate administration of payment attribution and AGI provisions. Note: Rules for direct attribution apply to PLIP payments, therefore payments will be reduced to legal entities when the 4th level owner in the business structure is not an individual person. Common attribution does NOT apply to PLIP, meaning payments to minor children will not be combined with earnings of the child’s parent or legal guardian.

Payment Eligibility Forms, Continued• CCC-941, Average Adjusted Gross

Income (AGI) Certification and Consent to Disclosure of Tax Information

• AD-1026, Highly Erodible Land Conservation (HELC) and Wetland Conservation (WC) Certification.

• SF-3881, ACH Vendor/Miscellaneous Payment Enrollment Form (Direct Deposit), if one is not currently on file. 22

Presenter

Presentation Notes

In addition to the 901 and 902, other forms that are required before payments can be issued is the CCC-941 AGI form, the AD-1026 HELC form, and the SF-3881 Direct Deposit form, if there is not one already on file.

Adjust Gross Income (AGI) RequirementsTo be eligible for payment,

• a person or legal entity must have an average AGI for program year 2020 that does not exceed the $900,000 limitation.

• The 3 base years used to compute the average AGI are 2016, 2017, and 2018.

• CCC-941, Average Adjusted Gross Income (AGI) Certification and Consent to Disclosure of Tax Information form must be completed by all PLIP applicants, unless previously filed.

Note: 75% Average Farm AGI does NOT apply to PLIP.

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• AD-2047, Customer Data Worksheet for Business Partner Record Change, if applicable

• AD-2106, Form to Assist in Assessment of USDA Compliance with Civil Rights Law

PLIP Optional Forms

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Presenter

Presentation Notes

2047 is used to enter producer information into our systems 2106 helps agency report participation in USDA programs by race, ethnicity, gender

Deadline for Filing Eligibility DocumentsALL PLIP documents must be filed within 60 days from the date of signing the PLIP application.

Failure to file all required documentation within 60 days could result in no payment or a reduced payment.

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FSA-620 – PLIP Application• One application nationwide per

producer

• Producer certification• Documentation is only required upon spot

check or when requested by COC.

• Completed FSA-620 may be submitted to any USDA Service Center

• Recording County is responsible for acting on FSA-620.

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Signing & Certifying FSA-620

By signing the FSA-620, Part E, the individual is:

• certifying that:

• amounts received from 2020 EQIP and State-funded program for disposal of depopulated livestock or poultry, is provided in Part D

• applicant’s CFAP 1 (Part 2) and CFAP 2 payment reduction(s) for hogs/pigs, if applicable, are based on the applicant’s CFAP 1 and 2 inventory that was depopulated, as provided in Part D, as of the date the applicant signs the FSA-620

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Signing & Certifying FSA-620, Continued

By signing the FSA-620, Part E, the individual is:agreeing:

• to any change made to applicant’s CFAP 1 and CFAP 2 application(s) that result in a revised payment reduction(s) for hogs/pigs, if applicable, after the date of signing FSA-620, will not be reflected in the payment reduction in Part D

• to NOT apply for CFAP 1 (Part 2) and CFAP 2 assistance for hogs/pigs after the date of signing the FSA-620

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CertificationReliance on Applicant Records and CertificationsPLIP requires accurate information from applicants. Applicants must understand that failure to provide complete and accurate information and records could result in any or all of the following:

• an application for PLIP assistance being disapproved, COC adjusted, or approved but ineligible for payment

• the applicant or applicants being liable under any civil or criminal fraud statute or any other statue or provision of law.

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Supporting Documentation Applicants are responsible for providing, upon request, additional documentation to substantiate the information on their application and ownership of the livestock and poultry claimed on the FSA-620.

• veterinarian records• feeding records• inventory records• rendering receipts• purchase receipts• other records determined acceptable

by the relevant FSA county committee

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Presenter

Presentation Notes

Examples of supporting documentation include: veterinarian records feeding records inventory records rendering receipts purchase receipts other records determined acceptable by the relevant FSA county committee If any supporting documentation is requested to verify ownership of livestock or poultry, the documentation must be submitted to FSA within 30 days from the request or the application will be disapproved by FSA.

Payment Information

Payment CalculationPLIP payments are based on a single payment rate, for each category of livestock and poultry, that compensates eligible livestock and poultry owners based on 80 percent of both the:

• loss of the eligible livestock and/or poultry depopulated, and

• cost of depopulation and disposal.

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Payment CalculationPLIP payments are calculated as follows:

• Number of head of livestock and/or poultry depopulated, times

• Applicable payment rate per head, minus

• Applicable payment reductions.

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Payment RatesPLIP has determined one single payment rate per head of each category of livestock and poultry, that includes:

• depopulation cost, based on estimates of the average costs used to depopulate animals

• disposal cost, based on common disposal methods and rates used in EQIP. 34

Payment Rates, ContinuedThe following table provides PLIP per head payment rates, by livestock & poultry category.

Eligible Livestock or Poultry Category Market Value per Head

Depopulation & Disposal Cost per Head

(after 80% Reduction)

Depopulation Payment Rate per Head


Swine: boars and sows; 451 lbs. or greater $173.25 $85.32 $258.57

Swine: sows, boars, barrows, and gilts; 251-450 lbs.$111.74 $47.13 $158.88

Swine: sows, boars, barrows, and gilts; 151-250 lbs.$87.97 $34.13 $122.10

Swine: lightweight barrows and gilts; 50-150 lbs.$68.38 $20.32 $88.70

Swine: suckling nursery pigs; less than 50 lbs.$48.81 $6.50 $55.31

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Payment Rates, ContinuedEligible Livestock or Poultry Category Market Value per

Head

Depopulation & Disposal Cost per Head


Depopulation Payment Rate per Head


Chickens: chicks $0.26 $0.06 $0.32Chickens: super roasters and parts; 7.76 lbs. or greater $4.17 $1.14 $5.31

Chickens: roasters; 6.26 - 7.75 lbs. $3.17 $0.87 $4.04

Chickens: broilers, pullets; 4.26-6.25 lbs. $2.50 $0.68 $3.18

Chickens: pullets, Cornish hens; less than 4.26 lbs. $1.70 $0.46 $2.16

Chickens: layers $3.64 $1.30 $4.94

Turkeys: poults $1.33 $0.82 $2.15

Turkeys: toms, fryers, and roasters $12.85 $2.72 $15.57

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Payment ReductionsPLIP payments will be reduced by the following:

• For swine only:

• CFAP 1 (Part 2), and• CFAP 2

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Presenter

Presentation Notes

Important: PLIP only takes into account swine payments and not poultry payments under CFAP 1 (Part 2) and CFAP 2, because poultry were not eligible for CFAP 1 (Part 2) payment and for CFAP 2, poultry payments were based on revenue and not inventory.

Payment Scenarios:Example 1 – Cooper Floyd

Example 1 - ScenarioCooper Floyd completes FSA-620, for the following livestock and poultry depopulated between March 1, 2020, and December 26, 2020, due to insufficient processing access during the COVID-19 pandemic:

• 100 head – swine, suckling/nursery pigs, less than 50 lbs.

• 200 head – swine, sows/boars/barrows/gilts, 151-250 lbs. 39

Example 1 – Depopulated Livestock/Poultry

FSA-620, Part C

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Example 1 – CFAP 1 (Part 2)Payment Reductions

Floyd certified on his CFAP 1 application, AD-3114, that his highest owned inventory on a date between April 16, 2020, and May 14, 2020, was the following:

• 100 sows• 5 boars• 25 gilts (less than 120 lbs.)

CFAP 1 (Part 2) reductions are applicable to Swine only.

CFAP 1 (Part 2)AD-3114 Part E

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Example 1 – FSA-620, Part DFloyd certifies on FSA-620, Part D, that as of the date he signed the PLIP application, that:

• his CFAP 1 (Part 2) payment was based on 25 head of swine in inventory (item 22, AD-3114), and

• the same 25 head of swine were depopulated and included in inventory on FSA-620, item 7.

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Example 1 – CFAP 2 Payment Reductions

Floyd certified on his CFAP 2 application, AD-3117, that his highest owned inventory on a date between April 16, 2020, and August 31, 2020, was 20 head of hogs/pigs.

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Presenter

Presentation Notes

Floyd subsequently depopulated the same 20 hogs/pigs.

Example 1 – FSA-620, Part DFloyd certifies on FSA-620, Part D, that as of the date he signed the PLIP application, that:

• his CFAP 2 payment was based on 20 head of hogs/pigs in inventory (item 16, AD-3117), and

• that the same 20 head of swine were depopulated and included in inventory on FSA-620, item 7 (200 head of swine; sows/boars/barrows/gilts, 151-250 lbs.).

Manual Entry

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Example 1 – Payment Reductions2020 EQIP and State-Funded Program ReductionsFloyd certifies on FSA-620, Part D, item 9, that he received a 2020 EQIP payment of $100 for the 2,000 chicks that were depopulated and claimed in item 7, FSA-620.

The County Office uses applicable 2020 EQIP reports to verify that Floyd received $100 in 2020 EQIP payments for disposing of 2,000 chicks at the landfill.

From 2020 EQIP Report

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Presenter

Presentation Notes

The County Office uses applicable 2020 EQIP reports to verify that Floyd received $100 in 2020 EQIP payments for disposing of 2,000 chicks at the landfill.

Example 1 – Payment ReductionsPLIP Payment Reductions WorksheetCOC completes the PLIP Payment Reductions Worksheet for Floyd, to reflect the following payment reductions:

Payment Reduction Livestock # of HeadPayment Amount

Swine CFAP 1 (Part 2) Payment Hogs/Pigs 25 $425.00

Swine CFAP 2 Payment Hogs/Pigs 20 $460.00

2020 EQIP Chicks 2,000 $100.00

2020 State-Funded Program - -

Total PLIP Payment Reductions $985.00From FSA-620, Item 10

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Example 1 – Payment ReductionsFSA-620, Item 10 – COC Use Only

Important: Item 10 is a required field for ALL FSA-620’s.

From PLIP Payment Reductions Worksheet, Step 16

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Example 1 - Payment Calculation

Livestock/Poultry Type Weight Range

# of Head Depopulated

PLIP Payment

Rate/Head

Estimated Calculated

PLIP Payment

Swine suckling/nursery pigs less than 50 lbs. 100 $55.31 $5,531.00

Swine sows/boars/barrows/gilts 151-250 lbs. 200 $122.10 $24,420.00

Chickens chicks 2,000 $0.32 $640.00

Total Gross Estimated Calculated PLIP Payment $30,591

Minus: COC Total Calculated Reductions for 2020 EQIP, State-Funded Program, and CFAP 1 and/or CFAP 2 Payments (FSA-620, item 10)

($985.00)

Total Net Estimated Calculated PLIP Payment $29,606.00

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Payment Scenarios:Example 2 – Carly Brooks

Example 2Carly Brooks completes a FSA-620, for the following livestock and poultry depopulated between March 1, 2020, and December 26, 2020, due to insufficient processing access during the COVID-19 pandemic:

• 326 head – swine, suckling/nursery pigs, less than 50 lbs.

• 50 head – swine, sows/boars/barrows/gilts, 151-250 lbs.

• 1,500 head – chickens, broilers/pullets, 4/26-6.25 lbs. 50

Example 2 – Depopulated Livestock /Poultry

FSA-620, Part C

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Brooks certified on her CFAP 1 application, AD-3114, that her highest owned inventory on a date between April 16, 2020, and May 14, 2020, was the following:

• 20 sows• 5 boars• 200 gilts (less than 120 lbs.)

CFAP 1 (Part 2)AD-3114 Part E

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Brooks Subsequently depopulated the same 225 pigs

Example 2 – FSA-620, Part DBrooks certifies on FSA-620, Part D, that as of the date she signed the PLIP application, that:

• her CFAP 1 (Part 2) payment was based on 225 head of swine in inventory (item 22, AD-3114), and

• the same 225 head of swine were depopulated and included in inventory on FSA-620, item 7. 53

Example 2 – FSA-620, Part DBrooks depopulated the following swine claimed in inventory under CFAP 1 (Part 2):• Pigs: Less than 120 lbs. = 200 head• Hogs: Greater than 120 lbs. = 25 head• Total Swine = 225 head

Manual Entry

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Brooks certified on her CFAP 2 application, AD-3117, that her highest owned inventory on a date between April 16, 2020, and August 31, 2020, was 400 hogs/pigs.

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Presenter

Presentation Notes

Brooks subsequently depopulated 350 hogs/pigs included in CFAP 2 inventory of 400: 300 suckling/nursery pigs less than 120 lbs. 50 sows/boars/barrows/ gilts, 151-250 lbs.

Example 2 – FSA-620, Part DBrooks certifies on FSA-620, Part D, that as of the date she signed the PLIP application, that:• her CFAP 2 payment was based on 400 head of swine in inventory (item

16, AD-3117), and • 350 head of swine, out of the 400 head paid under CFAP 2, were also

depopulated and included in inventory on FSA-620, item 7:• 300 head of swine: suckling nursery pigs, less than 50 lbs. and

• 50 head of swine: sows/boars/boars/barrows/gilts, 151-250 lbs.

Manual Entry

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Example 2 – Payment Reductions2020 EQIP and State-Funded Program ReductionsBrooks certifies on FSA-620, Part D, item 9, that she did not receive a 2020 EQIP payment or a state-funded program payment for the 376 head of swine or 1,500 head of broilers, 4.26-6.25 lbs. depopulated.

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Example 2 – Payment ReductionsPLIP Payment Reductions WorksheetCOC completes the PLIP Payment Reductions Worksheet for Brooks, to reflect the following payment reductions:

Payment Reduction Livestock # of HeadPayment Amount

Swine CFAP 1 (Part 2) Payment Hogs/Pigs 225 $3,625.00

Swine CFAP 2 Payment Hogs/Pigs 350 $7,750.00

2020 EQIP - - -

2020 State-Funded Program - - -

Total PLIP Payment Reductions $11,375.00From FSA-620, Item 10

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Example 2 – Payment ReductionsFSA-620, Item 10 – COC Use Only

Important: Item 10 is a required field for ALL FSA-620’s.

From PLIP Payment Reductions Worksheet

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Example 2 - Payment Calculation

Livestock/Poultry Type Weight Range

# of Head Depopulated

PLIP Payment

Rate/Head

Estimated Calculated

PLIP Payment

Swine suckling/nursery pigs less than 50 lbs. 326 $55.31 $18,031.06

Swine sows/boars/barrows/gilts 151-250 lbs. 50 $122.10 $6,105.00

Chickens Broilers 4.26-6.25 lbs. 1,500 $3.18 $4,770.00

Total Gross Estimated Calculated PLIP Payment $28,906.06

Minus: COC Total Calculated Reductions for 2020 EQIP, State-Funded Program, and CFAP 1 and/or CFAP 2 Payments (FSA-620, item 10)

($11,375.00)

Total Net Estimated Calculated PLIP Payment $17,531.06

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Utilizing the Customer Call Center• FSA applicants can call: 877-508-8364• Work one-on-one with an employee and get a direct

transfer to the applicable service center

Presenter

Presentation Notes

Before we conclude today’s presentation I just wanted to provide a few key resources that are available. FSA formed a customer call center comprised of FSA field staff from around the country. The call center was established to hand hold customers who may have never done business with USDA before and have questions about the application.

Limited English Proficiency ResourcesAll FSA county offices offer language interpretation services for customers with Limited English Proficiency.

Customers need only to ID their language to the office employee.

Call Center: Press 2 for Spanish

Presenter

Presentation Notes

Language line—producers are now able to ID their language to employee as employee connects with translator on the phone to assist customer.

Stakeholder ToolkitAvailable on www.farmers.gov/plip

Contents to help you amplify the program:•Fact Sheet•Key Messaging Points•Newsletter Article •Sample posts for social media activity

Presenter

Presentation Notes

As a partner stakeholder, we encourage you to download the stakeholder toolkit to help amplify the program with potential livestock and poultry producers you work with or serve.

Partnering with FSA State Outreach Coordinators

STATE OUTREACH COORDINATOR LISTING

COORDINATED WEBINARS WITH STAKEHOLDER ORGANIZATIONS

www.fsa.usda.gov/outreachOffice Locator:

www.offices.usda.gov

Presenter

Presentation Notes

If you're not familiar with FSA's outreach program, there are State Outreach Coordinators in every state, listed on the fsa.usda.gov/outreach public website and click on State Outreach Coordinators. There are also county outreach coordinators in each county office. These are the main POCs for program information and collaborating outreach activities. If your organization covers multiple states, please reach out directly to our national outreach division team at: [email protected]. If your organization covers a state or multiple counties in a state, our State and local offices stand ready to collaborate with your organization to conduct state webinars to help educate producers about the program and how to sign up. The partnership with our offices will help us reach the livestock and poultry producers that you work with and serve. Reach out to them directly to schedule FSA participation in your organization’s next webinar or meeting.

http://www.fsa.usda.gov/outreach

http://www.offices.usda.gov/