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2014 Farm Bill vs. 2018 Farm Bill - Agricultural Risk Coverage & Price Loss Coverage

Summary

The Agriculture Improvement Act of 2018 (the 2018 Farm Bill) amended the Agricultural Improvement Act of 2014 (2014 Farm Bill) and reauthorized the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs with modifications. The ARC Program is an income support program that provides payments when actual crop revenue declines below a specified guarantee level. The PLC Program provides payments when the effective price for a covered commodity falls below its effective reference price. Though much of the main structure of the ARC and PLC programs was retained in the 2018 Farm Bill, a few mandatory and discretionary changes were made to ARC and PLC in regulations. The following information covers the changes for the ARC and PLC programs for the 2019 through 2023 crop years.