Farm Progress

NDSU Extension projects payments on base acres for wheat, barley, corn, soybeans, sunflowers and other crops.

July 6, 2018

2 Min Read
ONLINE ESTIMATIONS: To estimate your payments online, use NDSU’s 2017 ARC-PLC Calculator at ag.ndsu.edu/farmmanagement/tools.SimonSkafar/Getty Images

There could be some significant farm bill payments made in North Dakota this fall, according to projections by North Dakota State University Extension farm management specialists. The payments this year are for the 2017 crop.

Base acres of canola, barley and sunflowers should provide payments of about $43 million, $23 million and $15 million, respectively, after sequestration.

All wheat base enrolled in Price Loss Cover programs will receive payments, which will total more than $50 million after sequestration.

More than 75% of North Dakota’s 9.6 million wheat base acres are enrolled in the Agriculture Risk Coverage program. Total ARC program payments on the wheat base will be about $126 million.

Due to strong yields in 2017, the six Red River Valley counties and Sargent County will most likely not receive ARC payments on the wheat base, says Andrew Swenson, NDSU Extension farm resource management specialist.

Thirty-three counties, including all of the western half of the state, will receive the maximum ARC payment due to low wheat yields from drought.

The maximum payment rate per base acre for these counties range from $35.50 in Barnes County to $20.20 in Grant County.

Payments are applied to only 85% of base acres; therefore, the effective rate averaged across all wheat base acres would range from $30.17 in Barnes County to $17.17 in Grant County. Thirteen counties in the eastern half of North Dakota should receive some ARC payment on the wheat base but less than the maximum.

Eighty percent of North Dakota’s nearly 1.2 million acres of barley base is enrolled in the PLC program. This is the first year with a PLC payment on barley.

The projected 2017 national marketing year average barley price of $4.50 per bushel is below the reference price of $4.95, which was set in the 2014 farm bill, and would trigger a 45-cent-per-bushel payment rate on the farm’s PLC payment yield.

All counties but one in the western two-thirds of North Dakota will receive barley ARC payments.

Nearly all of the state’s corn and soybean bases are enrolled in ARC. Only western counties, which have low corn and soybean bases, triggered payments.

An exception will be ARC payments on the soybean base in Pembina, Foster and LaMoure counties.

Total payments, after sequestration, will be about $10 million each for North Dakota’s corn and soybean base acres.

To estimate your payments, use NDSU’s 2017 ARC-PLC Calculator at ag.ndsu.edu/farmmanagement/tools.

Source: NDSU

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