USDA is entering the final phase of PMVAP, and the majority of eligible producers have received PMVAP money. USDA is continuing to distribute money to the remaining eligible handlers and producers. Thank you to all handlers who have diligently worked to compile data, provide education, distribute funds to producers, and complete other government administrative requirements. USDA is now verifying that handler payments to producers have been made accurately and in a timely fashion.
Through the Pandemic Market Volatility Assistance Program, USDA will provide more than $350 million in pandemic assistance payments to dairy farmers who received a lower value due to market abnormalities caused by the pandemic and ensuing Federal policies.
- Payments will reimburse qualified dairy farmers for 80 percent of the revenue difference per month based on an annual production of up to 5 million pounds of milk marketed and on fluid milk sales from July through December 2020.
- USDA will make payments through agreements with independent handlers and cooperatives. Handlers and cooperatives will distribute the monies on the same basis July - December 2020 payments were made to their dairy farmer suppliers. USDA will reimburse handlers and cooperatives for allowed administrative costs.
- USDA contacted eligible handlers and cooperatives to notify them of the opportunity to participate in the program and will distribute payments to participating handlers within 60 days of entering into an agreement.
- 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 provide virtual or in-person education to dairy farmers on the program and other dairy topics, selecting from educational information available from USDA or other sources. A handler will have until March 1, 2022, to provide educational opportunities to dairy farmers.
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