USDA Announces Record $13.8 Billion in ARC and PLC Payments

Dry peas, lentils, and chickpeas among crops triggering payments as important enrollment deadlines approach

The U.S. Department of Agriculture (USDA) announced October 7 that approximately $13.8 billion in Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) payments will be made available to eligible producers for the 2025 crop year. The announcement represents the largest annual payment total since the programs were established under the 2014 Farm Bill.

For pulse producers across Montana and North Dakota, the announcement is particularly significant. Dry peas, lentils, large chickpeas, and small chickpeas are among the commodities that triggered PLC payments for the 2025 crop year, providing additional financial support as growers navigate challenging commodity markets, elevated production costs, and continued pressure on farm profitability.

What the Announcement Means for Pulse Growers

ARC and PLC are federal farm safety net programs administered by USDA's Farm Service Agency (FSA). They provide financial protection when commodity prices or agricultural revenues fall below established levels.

PLC payments are triggered when a covered commodity's effective price falls below its effective reference price. ARC payments, meanwhile, provide support when actual crop revenue falls below a guaranteed level, based on county-level or individual farm revenue.

Under provisions of the Working Families Tax Cuts Act, enacted in July 2025, several improvements to the farm safety net took effect beginning with the 2025 crop year. These include increased statutory reference prices and adjustments to how effective reference prices are calculated.

Importantly, for the 2025 crop year only, eligible producers will automatically receive the higher payment rate calculated under ARC or PLC, regardless of their previous program election.

This one-year provision is intended to provide additional protection during a period of financial uncertainty for agricultural producers.

Stronger Reference Prices for Pulse Crops

Recent changes to the farm safety net increased statutory reference prices for several pulse commodities:

Pulse Commodity	Previous Reference Price	New Reference Price
Dry peas	$20.15/cwt	$23.75/cwt
Lentils	$19.97/cwt	$23.75/cwt
Large chickpeas	$21.54/cwt	$25.65/cwt
Small chickpeas	$19.04/cwt	$22.65/cwt

These increases strengthen the price protection available to eligible pulse producers. Actual PLC payment rates depend on the applicable effective reference price and the national market year average price or marketing assistance loan rate, whichever is higher.

Payments are based on eligible commodity base acres and established program yields rather than simply the number of acres planted or harvested during the crop year.

When Will Producers Receive Payments?

USDA has begun processing payments for the 2025 crop year, with distributions beginning in October 2026.

Actual payment timing may vary depending on FSA processing, producer eligibility, and completion of required documentation.

The announced $13.8 billion represents gross payments nationwide. Individual payments remain subject to applicable payment limitations and a federally required 5.7% sequestration reduction.

The legislation also increased the ARC and PLC payment limitation, with the limit for the 2025 crop year set at $160,000, subject to applicable eligibility requirements.

Producers should contact their local FSA office with questions about payment eligibility, payment calculations, or the status of their individual payments.

Important ARC and PLC Enrollment Deadlines

While payments for the 2025 crop year are being distributed, producers should also be preparing for upcoming program elections and enrollment.

December 11, 2026 — Deadline for 2026 Crop Year Enrollment

The election and enrollment period for the 2026 crop year opened September 16, 2026, and closes December 11, 2026.

Producers may elect ARC-County, ARC-Individual, or PLC coverage, depending on their operation and eligible commodities.

Although changing a previous program election is optional, producers must complete the required enrollment process to maintain eligibility for 2026 program payments. Producers who do not submit a new election retain their previous election but are ineligible for 2026 payments if they fail to enroll.

March 15, 2027 — Deadline for 2027 Crop Year Enrollment

The election and enrollment period for the 2027 crop year opens November 2, 2026, and runs through March 15, 2027.

Producers should review their program options and contact their local FSA office well ahead of these deadlines.

Additional Base Acres Added to Farm Safety Net Programs

Another important change involves the allocation of 30 million additional base acres nationwide, authorized under the 2025 legislation.

Because eligible acreage exceeded the nationwide allocation limit, USDA applied a proportional reduction of 3.69% to newly allocated base acres.

These additional base acres will become part of ARC and PLC program calculations beginning with the 2026 crop year and continuing into future program years.

Landowners are encouraged to review their updated base acreage notifications and verify the information with their local FSA office.

Looking Ahead

For Northern Pulse Growers Association (NPGA), effective risk management programs remain an important federal policy priority. With pulse producers facing fluctuating commodity prices, increasing input expenses, and uncertainty in international markets, maintaining a dependable agricultural safety net is essential to the long-term viability of the industry.

The recent ARC and PLC payment announcement highlights the role these programs play in helping producers manage financial risk while planning for future crop years.

NPGA encourages Montana and North Dakota pulse growers to review their payment information, evaluate upcoming ARC and PLC elections, and work with their local USDA Farm Service Agency offices to ensure enrollment requirements are completed before the applicable deadlines.

For additional information, visit USDA's ARC and PLC program website at www.fsa.usda.gov/arc-plc or contact your local USDA Farm Service Agency office.