Key Highlights: USDA Launches $16 Billion in Disaster Assistance for Farmers

Announced earlier this month, the Trump Administration expedited congressionally mandated Disaster Assistance for Farmers. The launch of the USDA’s Disaster Assistance for Farmers is critical to IAC because it directly impacts Native producers who have experienced difficult losses from natural disasters in 2023 and 2024. The $16 billion Supplemental Disaster Relief Program offers urgently needed financial support, especially to those who have limited access to private insurance or face systemic barriers to recovery. Ensuring that Native producers are aware of and able to access these funds is vital for protecting Tribal agricultural economies, food sovereignty, and land stewardship. 

1. New $16 Billion Program Now Open The U.S. Department of Agriculture (USDA) has opened signups for the Supplemental Disaster Relief Program (SDRP) to help farmers recover from natural disasters that occurred in 2023 and 2024. The first stage of this assistance will deliver $16 billion in direct support to qualifying producers.

   
   

2. Fast-Tracked Relief Through Two-Stage Approach To speed up support, USDA’s Farm Service Agency (FSA) is using a two-stage delivery process:

   1. Stage One begins July 10, 2025 and targets producers who already received payments through crop insurance or the Noninsured Crop Disaster Assistance Program (NAP).

   2. Stage Two, coming this fall, will cover uninsured, shallow, or quality losses.

   
   

3. Pre-Filled Applications Mailed to Eligible Producers Producers eligible for Stage One will receive pre-filled application forms (FSA-526) based on their prior insurance or NAP data. These forms were mailed starting July 9, 2025, and signups begin in person at local FSA offices on July 10.

   
   

4. Covered Disasters and Eligibility Qualifying losses must stem from natural disasters in 2023 or 2024, including:

   1. Drought (D2 intensity for 8+ weeks or D3+)

   2. Wildfires, floods, hurricanes, freezes, tornadoes, excessive heat or moisture, and more Note: Producers in CT, HI, ME, and MA are excluded from SDRP payments—they will receive disaster funding through state block grants instead.

      
      

5. Payment Details for Stage One

   1. Payments are calculated based on existing NAP or crop insurance loss data.

   2. Up to 90% of the loss may be covered after subtracting previous insurance/NAP payouts.

   3. A 35% payment factor applies to all Stage One payments

   4. Second payments may be issued if funds remain.

   
   

6. Future Coverage Requirement To remain eligible, producers who receive SDRP payments must purchase federal crop insurance or NAP coverage at 60% or higher for the next two crop years—or repay the SDRP funds with interest.

   
   

7. Broader Disaster Relief Plan Underway This effort is part of the USDA’s larger plan to distribute the full $30 billion in Congressionally authorized disaster relief in 2025. It builds on over $7.8 billion already paid through the Emergency Commodity Assistance Program (ECAP) and $1 billion through the Emergency Livestock Relief Program.

   
   

8. Resources and Next Steps Producers can:

   1. Use the Disaster Assistance Discovery Tool on farmers.gov

   2. Contact their local FSA office

   3. Visit the FarmRaise education hub for application help