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Rule2025-09581

Emergency Livestock Relief Program (ELRP) 2023 and 2024

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Published

May 29, 2025

Effective

May 29, 2025

Issuing agencies

Agriculture DepartmentFarm Service Agency

Abstract

The Secretary of Agriculture is issuing this rule to implement the Emergency Livestock Relief Program (ELRP) 2023 and 2024, which provides payments to eligible livestock producers for losses due to qualifying drought and qualifying wildfire occurring in calendar years 2023 and 2024. This rule specifies the administrative provisions, eligibility requirements, and payment calculation for ELRP 2023 and 2024. The Farm Service Agency (FSA) will calculate payments using data already submitted to FSA by Livestock Forage Disaster Program (LFP) participants; therefore, producers are not required to file an additional application to receive ELRP 2023 and 2024 payments.

Full Text

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<title>Federal Register, Volume 90 Issue 102 (Thursday, May 29, 2025)</title>
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[Federal Register Volume 90, Number 102 (Thursday, May 29, 2025)]
[Rules and Regulations]
[Pages 22614-22623]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-09581]

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DEPARTMENT OF AGRICULTURE

Farm Service Agency

7 CFR Part 760

RIN 0560-AI73
[Docket ID FSA-2025-0005]

Emergency Livestock Relief Program (ELRP) 2023 and 2024

AGENCY: Farm Service Agency, U.S. Department of Agriculture (USDA).

ACTION: Final rule.

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SUMMARY: The Secretary of Agriculture is issuing this rule to implement
the Emergency Livestock Relief Program (ELRP) 2023 and 2024, which
provides payments to eligible livestock producers for losses due to
qualifying drought and qualifying wildfire occurring in calendar years
2023 and 2024. This rule specifies the administrative provisions,
eligibility requirements, and payment calculation for ELRP 2023 and
2024. The Farm Service Agency (FSA) will calculate payments using data
already submitted to FSA by Livestock Forage Disaster Program (LFP)
participants; therefore, producers are not required to file an
additional application to receive ELRP 2023 and 2024 payments.

DATES: This rule is effective on May 29, 2025.

FOR FURTHER INFORMATION CONTACT: Kathy Sayers; telephone: (202) 720-
6870; email: <a href="/cdn-cgi/l/email-protection#377c56435f4e1964564e524544774244535619505841"><span class="__cf_email__" data-cfemail="87cce6f3effea9d4e6fee2f5f4c7f2f4e3e6a9e0e8f1">[email&#160;protected]</span></a>. Individuals with disabilities who
require alternative means for communication should contact the USDA
Target Center at (202) 720-2600 (voice and text telephone (TTY mode))
or dial 711 for Telecommunications Relay Service (both voice and text
telephone users can initiate this call from any telephone).

SUPPLEMENTARY INFORMATION:

Background

Title I of the Disaster Relief Supplemental Appropriations Act,
2025 (Division B of the American Relief Act, 2025; Pub. L. 118-158;
referred to as ``the Act'' in this document) provides $30,780,000,000,
to remain available until expended, for necessary expenses related to
losses of revenue, quality or production of crops (including milk, on-
farm stored commodities, crops prevented from planting, and harvested
adulterated wine grapes), trees, bushes, and vines, as a consequence of
droughts, wildfires, hurricanes, floods, derechos, excessive heat,
tornadoes, winter storms, freeze, including a polar vortex, smoke
exposure, and excessive moisture occurring in calendar years 2023 and
2024. From that amount, the Act directs the Secretary of Agriculture to
use up to $2 billion to provide assistance to livestock producers, as
determined by the Secretary, for losses incurred during calendar years
2023 and 2024 due to drought, wildfires, or floods.
This rule specifies how FSA will implement ELRP 2023 and 2024,
which will use approximately $1 billion of the $2 billion provided by
the Act to provide financial assistance to eligible livestock producers
for losses incurred during 2023 and 2024. Payments will be made to
offset foregone profits resulting from the loss of quality and quantity
of forage due to qualifying drought and qualifying wildfires, using a
streamlined process as described below. Livestock producer losses due
to flooding which will be addressed in a later rule. If funding remains
available after issuing assistance for flooding, FSA may make
additional payments to ELRP 2023 and 2024 participants.
According to USDA National Agricultural Statistics Service (NASS)
data, average corn prices have steadily decreased and livestock prices
have increased since September 2022, meaning that margins have
substantially increased.\1\ This trend would normally cause producers
to maintain or expand their livestock operations. NASS data, however,
indicate that livestock inventories, particularly beef cattle, have
steadily decreased since 2018 \2\

[[Page 22615]]

despite cattle prices increasing over 60 percent during that period.\3\
With limited grazing capacity caused by drought and wildfires,
livestock producers were unable to expand and take advantage of
increased margins.\4\
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\1\ See the ELRP 2023 and 2024 Cost Benefit Analysis (CBA). To
obtain a copy of the ELRP 2023 and 2024 CBA, search by docket number
FSA-2025-0005 using the search box on <a href="https://www.regulations.gov/">https://www.regulations.gov/</a>.
\2\ Overall, 2018 represents a stable and typical production
year for the livestock sector compared to certain other recent
years. Cattle inventories in 2018 were approximately 8 percent
higher than in the drought-affected years of 2023-2024, while beef
prices were significantly lower, about 50-60 percent less than in
2023-24. This comparison highlights that producers were able to
maintain large herd sizes despite relatively moderate price
incentives, suggesting that grazing conditions allowed for
sustainable herd management. Despite substantially higher beef
margins in 2023-24, cattle inventories have not returned to, or
surpassed, the high levels of 2018. This is not due to economics,
but rather, the diminished grazing capacity resulting from ongoing
drought. The reduced availability of pastureland has directly
constrained producers' ability to maintain herd sizes, even in the
face of highly favorable market conditions. By choosing 2018 as the
baseline, this analysis emphasizes that the current lower
inventories are not due to a lack of economic incentives, but to
practical limitations in maintaining livestock numbers due to
drought.
\3\ See NASS cattle inventory reports, available at <a href="https://usda.library.cornell.edu/concern/publications/h702q636h?locale=en">https://usda.library.cornell.edu/concern/publications/h702q636h?locale=en</a>.
Also, the 2023 and 2024 ELRP CBA includes a detailed summary of the
change in cattle inventory from 2018 through 2024.
\4\ USDA ERS; see Figure 1 in the ELRP 2023 and 2024 CBA. Also,
the May 2023 USDA ERS ``Livestock, Dairy, and Poultry Outlook''
contains extensive analysis, including this sentence: ``Despite
recent rains, for some producers, the very low hay supplies may not
be sufficient to offset poor pastures to sustain herds this summer
and allow producers to retain breeding stock to rebuild their
herds.'' See <a href="https://ers.usda.gov/sites/default/files/_laserfiche/outlooks/106571/LDP-M-347.pdf?v=55672">https://ers.usda.gov/sites/default/files/_laserfiche/outlooks/106571/LDP-M-347.pdf?v=55672</a>.
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Drought and wildfires in the 2023 and 2024 calendar years,
particularly in the western United States, have had a significantly
negative impact on:
<bullet> Forage availability and quality--decreased grazing options
equated to reduced carrying capacities and increased expenses for
supplemental feed; \5\
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\5\ See Table 2 in the ELRP 2023 and 2024 CBA.
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<bullet> Livestock inventories and retention--the inability to
lease or purchase additional grazing land made it more difficult for
farmers and ranchers to sustain operations, and producers were forced
to cull animals rather than expand their operations; \6\ and
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\6\ See Table 2 in the ELRP 2023 and 2024 CBA.
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<bullet> Livestock revenue and production losses--poor forage
quality and quantity contributed to a reduction in livestock
production, typically through a decline in livestock condition and body
weight, which results in lower livestock weaning weights and lower
conception rates in breeding livestock.\7\
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\7\ See ``Impact of drought on livestock production and health''
available at <a href="https://tra.extension.colostate.edu/wp-content/uploads/sites/42/2018/08/3_McKensie_Effect-of-Heat-Stress-and-Drought-on-Cattle-Production-and-Health_Condensed-Drought.pdf">https://tra.extension.colostate.edu/wp-content/uploads/sites/42/2018/08/3_McKensie_Effect-of-Heat-Stress-and-Drought-on-Cattle-Production-and-Health_Condensed-Drought.pdf</a>.
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As explained in the ELRP 2023 and 2024 Cost Benefit Analysis (CBA),
persistent and severe drought and wildfire events have significantly
impacted forage availability and herd sustainability, underscoring the
necessity of federal intervention to stabilize the livestock industry
and mitigate economic losses.
ELRP 2023 and 2024 is designed to compensate livestock producers
for losses incurred during 2023 and 2024 by making payments in order to
offset foregone profits due to qualifying drought and qualifying
wildfires.\8\ Note that foregone profits represent the difference
between profits realized by a producer and the profits that could have
been achieved by the producer in the absence of certain adverse
circumstances. During 2022, feed and grazing costs were extreme, while
livestock prices were relatively normal. As a result, livestock
production returns were reduced, which became the basis for the ELRP
2022 payment. Since that time, with systemic drought occurring year
after year, livestock producers have been forced to reduce the number
of cattle grazed per acre as grazing capacity has been woefully short.
ELRP 2023 and 2024 compensates for livestock production that would have
occurred had there not been extensive drought.
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\8\ As under ELRP for 2021 and 2022, ``qualifying drought'' and
``qualifying wildfire'' for ELRP 2023 and 2024 have the same meaning
as ``drought'' and ``fire'' in determining eligibility for LFP
payments for grazing losses (7 CFR 1416.205). ``Qualifying drought''
means drought that occurs on land that is native or improved
pastureland with permanent vegetative cover or is planted to a crop
planted specifically for the purpose of providing grazing for
covered livestock, and the land is physically located in a county
rated by the U.S. Drought Monitor as having a D2 (severe drought)
intensity for at least 8 consecutive weeks or D3 (extreme drought)
or D4 (exceptional drought) intensity at any time during the normal
grazing period for the specific type of grazing land or pastureland.
As under LFP, eligible losses due to qualifying wildfire are limited
to losses occurring on rangeland managed by a Federal agency. See 7
CFR 1416.205(c).
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As an example, a livestock producer with 500 acres of pastureland
could normally graze 100 head of cattle, but with continuous annual
drought conditions during 2023 and 2024, producers have been forced to
reduce their stocking rates or livestock inventories as the
availability of grazing and supplemental feed is limited or may be cost
prohibitive. As explained above, despite increasing livestock prices
and profit margins, many producers were unable to sustain their
operations, let alone expand. In addition, drought and wildfire
impacted the quality and quantity of forage, which negatively impacted
livestock production and profits due to decreased livestock body
condition, weights, and breeding conception rates.\9\ Without these
adverse conditions, producers could have realized significantly higher
earnings.
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\9\ See ``Impact of drought on livestock production and health''
available at <a href="https://tra.extension.colostate.edu/wp-content/uploads/sites/42/2018/08/3_McKensie_Effect-of-Heat-Stress-and-Drought-on-Cattle-Production-and-Health_Condensed-Drought.pdf">https://tra.extension.colostate.edu/wp-content/uploads/sites/42/2018/08/3_McKensie_Effect-of-Heat-Stress-and-Drought-on-Cattle-Production-and-Health_Condensed-Drought.pdf</a>.
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Illustrating the decline in livestock capacity nationally due to
drought and wildfires, NASS data on the total inventory of cattle,
including calves, was 86.7 million head on January 1, 2025, compared to
the pre-pandemic and lower-drought-impact inventory of 94.7 million
head on January 1, 2019 \10\--a drop of 8.45 percent.\11\ In order to
estimate losses incurred during 2023 and 2024 as measured by foregone
profits, USDA used the average fair market value for non-adult beef
cattle weighing over 800 lbs., representing 1 animal unit (AU), which
is established for the Livestock Indemnity Program (LIP) and is
consistent with Animal Plant Health and Inspection Service programs.
The values are $1,659.50 for 2023 and $2,187.00 for 2024.\12\
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\10\ See Figure 1 of the ELRP 2023 and 2024 CBA and National
Agricultural Statistics Service (NASS) data available at <a href="https://usda.library.cornell.edu/concern/publications/h702q636h?locale=en">https://usda.library.cornell.edu/concern/publications/h702q636h?locale=en</a>.
\11\ See Table 2 of the ELRP 2023 and 2024 CBA.
\12\ LIP provides benefits to livestock producers for livestock
deaths in excess of normal mortality caused by adverse weather or by
attacks by animals reintroduced into the wild by the Federal
Government. LIP payment rates are equal to 75 percent of the average
fair market value of the livestock. See <a href="https://www.fsa.usda.gov/tools/informational/fact-sheets/livestock-indemnity-program-lip">https://www.fsa.usda.gov/tools/informational/fact-sheets/livestock-indemnity-program-lip</a>.
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For 2023, the estimated foregone profits due to drought and
wildfire are equal to: (2018 inventory of 94.7 million--2023 inventory
of 87.2 million) x $1,659.50 per AU x 10% profit margin \13\ =
approximately $1.25 billion or $165.95 per AU.
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\13\ Non adult beef cattle over 800 pounds are used as the basis
for this analysis because this represents 1 animal unit--the
measurement used for LFP payments. All other livestock are converted
to animal unit-equivalents according to feed required to sustain
them. The 10 percent profit margin used in the calculation is a
conservative estimate based on information obtained from
conversations with university extension specialists at North Dakota
State University, the University of Nebraska, and others. This
weight category is the best representation for what livestock
producers market annually.
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For 2024, the estimated foregone profits due to drought and
wildfire are equal to: (2018 inventory of 94.7 million--2024 inventory
of 86.7 million) x $2,187.00 per AU x 10% profit margin = approximately
$1.75 billion dollars or $218.70 per AU.
These calculations result in an average annual foregone profit
value of $192.32 per AU ($165.90 in 2023 + $218.70 in 2024, divided by
2), or total foregone profit for 2023 and 2024 of about $3.0 billion to
the nation's beef cattle industry or $384.65 per AU.
Similar to previous programs, ELRP 2023 and 2024 will use 2023 and
2024 LFP data already submitted by an eligible producer as a proxy for
the payment calculation, representing a percentage of the payment made
through LFP for losses incurred during 2023 and 2024 as a direct result
of a

[[Page 22616]]

qualifying drought or wildfire that impacted a producer's foregone
profits. This eliminates the requirement for producers to resubmit
information to FSA.\14\ This approach reduces application burdens for
livestock producers by eliminating the need to submit an additional
application form, and it streamlines administrative processes for FSA
county offices by eliminating the need to process an additional
application and enter data into software when the necessary data is
already on file with FSA.
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\14\ FSA has previously used LFP payments as a proxy for losses
due to drought and wildfires in calendar years 2021 and 2022. See
Notice of Funds Availability for 2021 ELRP Phase 1 (87 FR 19465-
19470), Notice of Funds Availability for 2021 ELRP Phase 2 (88 FR
66366-66372), and Notice of Funds Availability for ELRP 2022 (88 FR
66361-66366).
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Although LFP payments do not compensate livestock producers for
their foregone profits, LFP payments directly reflect the severity of
the drought or wildfire experienced by an LFP participant.\15\ LFP
payments are made to eligible owners and contract growers of covered
livestock who suffered livestock grazing losses due to qualifying
drought or fire, not to exceed five months of assistance during the
normal grazing period for drought, based on the documented livestock
inventory eligible for LFP. The gross LFP calculated payment represents
a 60 percent reimbursement of monthly feed costs for a maximum of 5
months for drought, or 50 percent of feed costs for the number of days
of prohibited grazing due to fire, not to exceed 180 days.\16\ In 2023,
the LFP monthly payment rate per AU was $58.12, while in 2024, it
decreased to $52.56. Producers receive drought payments equal to 60
percent of their estimated feed costs, amounting to $34.87 per AU in
2023 and $31.54 per AU in 2024 (see Column A in Table 1 below).\17\
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\15\ LFP payments for drought are based on both the severity and
duration of the drought conditions during the normal grazing period.
An eligible producer receives a 1-month LFP payment for D2 (severe
drought) intensity for at least 8 consecutive weeks, a 3-month LFP
payment for D3 (extreme drought) intensity for any length of time, a
4-month LFP payment for D3 intensity for at least four weeks or for
D4 (exceptional drought) intensity for any length of time, and a 5-
month LFP payment for D4 intensity for four weeks during the normal
grazing period for the county. See 7 CFR 1416.207(b) through (e).
LFP payments for fire are based on the number of days the
producer is restricted from grazing livestock on federally managed
land, not to exceed 180 days. See 7 CFR 1416.207(m).
\16\ Feed costs are based on a feed grain equivalent that is
calculated according to 7 CFR 1416.207, as specified in 7 U.S.C.
9081(c), which uses the higher of the national average corn price
per bushel for the 12- or 24-month period immediately preceding
March 1 of the calendar year. For drought, the monthly value of
forage resulted in an LFP payment rate of $58.12 for 2023 and $52.56
for 2024 per eligible animal unit per month. The rate for fire is
based on the number of fire-restricted days, not to exceed 180 days,
at a daily animal unit feed rate of $1.9374 for 2023 and $1.7521 for
2024.
\17\ Additionally, LFP offers an 80 percent compensation factor
for eligible livestock that were sold due to drought conditions in
one or both of the previous two production years.
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FSA has determined the calculated national average foregone profits
for livestock producers in 2023 and 2024 were $165.95 and $218.70 per
AU, respectively (see calculation above). ELRP 2023 and 2024 uses the
average of the calculated 2023 and 2024 foregone profits, $192.32 per
AU (see Column E in Table 1 below), as the identified loss to producers
that is compensated by ELRP 2023 and 2024. This approach streamlines
the payment calculation and provides a commensurate level of assistance
for similar losses. Total payments under ELRP 2023 and 2024, including
any subsequent payments if funding remains available, will not exceed
60 percent of the calculated foregone profits per AU for the applicable
calendar year.
FSA has determined that the initial ELRP 2023 and 2024 payment
factor is 35 percent of the LFP gross calculated payment to stay within
the funding amount that will be used for losses due to drought and
wildfire and streamline delivery of assistance. Table 1 illustrates the
percentage of calculated foregone profits per year per AU that would be
covered by the corresponding ELRP 2023 and 2024 payment--32 percent for
2023 and 29 percent for 2024 (see Column F in Table 1). LFP compensates
for grazing losses suffered in a calendar year using the drought
severity as published by the U.S. Drought Monitor which determines the
number of months of assistance provided by LFP.

Table 1--Calculated ELRP 2023 and 2024 Benefit per AU and Percent of Calculated Foregone Profits Compensated by ELRP 2023 and 2024
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Average
60 percent of ELRP 2023 and calculated Percent of
LFP payment ELRP 2023 and 2024 calculated ELRP calculated foregone foregone profit
Program year rate per 1 AU 2024 payment benefit per benefit per profits for compensated by
per month factor (%) month per eligible AU 2023 and 2024 ELRP 2023 and
eligible AU per AU 2024
(A x B) (C x 5 LFP (D / E)
payment months)
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A B C D E F
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2023........................................ $34.87 35 $12.20 $61.02 $192.32 32
2024........................................ 31.54 35 11.04 55.20 $192.32 29
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The calculations in Table 1 are based on an LFP payment for D4
(Exceptional Drought) intensity for at least 4 weeks, which results in
the maximum LFP payment equal to a five-month payment. The ELRP 2023
and 2024 calculated benefit per AU (Table 1, Column D) and the
corresponding percentage of foregone profits (Table 1, Column F) would
be lower if the LFP gross payment, used as a proxy, was based on less
than a five-month payment for drought or a payment for wildfire.
Table 2 illustrates a situation where a producer received an LFP
payment for both 2023 and 2024, representing five months of disaster
assistance for each program year. In this example, the producer has 250
head of cattle eligible for 2023 ELRP and 250 head eligible for 2024
ELRP, and received the maximum LFP payment. Therefore, the producer is
also eligible for the maximum ELRP benefit per head. In this example,
this producer's estimated gross 2023 and 2024 ELRP payments, using an
ELRP payment factor of 35 percent, are calculated to be $15,256 for
2023 losses and $13,799 for 2024 losses (Table 2 Column F), or $61.02
per AU for 2023 and $55.20 per AU for 2024 (Table 2 Column G).

[[Page 22617]]

Table 2--Example of ELRP 2023 and 2024 Payments Using a 35 percent ELRP Payment Factor
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Number of LFP LFP rate per Maximum LFP Gross ELRP
Program year eligible beef 1 AU per Maximum gross payment rate ELRP payment Gross ELRP payment rate
cows (AUs) month LFP payment per AU factor payment per AU
(A x B x 5 (C / A or B x 5) (C x E) (D x E or F / A)
months)
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A B C D E F G
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2023................................ 250 $34.87 $43,588 $174.35 35 $15,256 $61.02
2024................................ 250 31.54 39,425 157.70 35 13,799 55.20
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Additional ELRP 2023 and 2024 payments may be issued if funding is
available after losses for flooding are issued, not to exceed 60
percent of calculated foregone profits.

Producer Eligibility

To be eligible for ELRP 2023 and 2024, a livestock producer must
have an approved LFP application for the 2023, 2024, or both program
years.\18\ Eligible producers may receive payment for one or both
years. The eligibility criteria applicable to LFP also apply to ELRP
2023 and 2024, excluding the LFP average adjusted gross income (AGI)
limitation, consistent with other disaster programs including ELRP,
ELRP 2022, the Emergency Relief Program (ERP), ERP 2022, 2017 Wildfire
and Hurricane Indemnity Program (WHIP), and WHIP+.
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\18\ If a producer did not file an LFP application for 2023 or
2024 prior to the deadline, they may submit a late-filed LFP
application and request relief. If relief is granted and such
producer receives an LFP payment, the producer may be considered
eligible for ELRP 2023 and 2024.
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Payment Calculation

Because ELRP 2023 and 2024 is based on a producer's gross LFP
calculated payment, the resulting ELRP 2023 and 2024 payments will be
based on the following data reported on an eligible livestock
producer's approved CCC-853, Livestock Forage Disaster Program
Application, for the 2023 or 2024 program year:
<bullet> livestock inventories/AUs,
<bullet> forage acreage,
<bullet> restricted AUs and grazing days due to fire, and
<bullet> qualifying drought and fire information.

Any adjustments made by FSA to the information provided on the CCC-853
will also apply to ELRP 2023 and 2024.
ELRP 2023 and 2024 payments will be calculated separately for each
year by multiplying the gross LFP calculated payment for the applicable
program year (2023 or 2024) by the ELRP payment factor of 35 percent to
determine the total gross payment for the program year, prior to any
applicable payment reductions.
FSA will issue ELRP 2023 and 2024 payments as 2023 and 2024 LFP
applications are processed and approved. If a producer becomes eligible
for the increased payment limitation described below by filing the FSA-
510 form and the accompanying certification by the deadline announced
by the Deputy Administrator but after their ELRP 2023 or 2024 payment
is issued, FSA will recalculate the ELRP 2023 or 2024 payment and issue
the additional amount.

Payment Limitation

As required by the Act, ELRP 2023 and 2024 is subject to payment
limitations consistent with 7 CFR 760.1507, as in effect on December
21, 2024. Separate payment limitations apply to each year (2023 and
2024). The payment limitation for ELRP 2023 and 2024 is determined by
the person's or legal entity's average adjusted gross farm income.
Specifically, a person or legal entity, other than a joint venture or
general partnership, cannot receive, directly or indirectly, more than
$125,000 for each year if their average adjusted gross farm income is
less than 75 percent of their average adjusted gross income (AGI) for
the applicable base period. If at least 75 percent of the person or
legal entity's average AGI is average adjusted gross farm income and
the participant provides the required certification and documentation,
as discussed below, the person or legal entity, other than a joint
venture or general partnership, is eligible to receive, directly or
indirectly, up to $250,000 for each year.
Average adjusted gross farm income includes income derived from
farming, ranching, and forestry operations, which has the same meaning
for ELRP 2023 and 2024 as in other recent FSA programs such as ERP,
ELRP, and ELRP 2022. If the average adjusted gross farm income derived
from the items listed in the definition of ``income derived from
farming, ranching, and forestry operations'' (7 CFR 760.2002) is at
least 66.66 percent of the average adjusted gross income of the person
or legal entity, then the average adjusted gross farm income may also
take into consideration income or benefits derived from the sale,
trade, or other disposition of equipment to conduct farm, ranch, or
forestry operations, and the provision of production inputs and
production services to farmers, ranchers, foresters, and farm
operations. Inclusion of those items and benefits in this manner was
first introduced by section 1604 of the Food Conservation and Energy
Act of 2008 (Pub. L. 110-234), which amended section 1001D of the Farm
Security and Rural Investment Act of 2002 (Pub. L. 107-171). This
provision has been applied in other recent FSA and Commodity Credit
Corporation programs that use a producer's average adjusted gross farm
income for payment eligibility or payment limitation purposes.
As provided in 7 CFR 1400.105, a payment made to a legal entity
will be attributed to those members who have a direct or indirect
ownership interest in the legal entity unless the payment to the legal
entity has been reduced by the proportionate ownership interest of the
member due to that member's ineligibility. As in other FSA programs,
attribution of payments made to legal entities will be tracked through
four levels of ownership as follows:
<bullet> First level of ownership--any payment made to a legal
entity that is owned in whole or in part by a person will be attributed
to the person in an amount that represents the direct ownership
interest in the first level or payment legal entity; \19\
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\19\ There will be a reduction applied for the ``first level or
payment legal entity,'' and if the payment entity happens to be a
joint venture, that reduction is applied to the first level, or
highest level, for payments. The ``first level or payment legal
entity'' is the highest level of ownership of the applicant to whom
payments can be attributed or limited. If the applicant is a
business type that does not have a limitation or attribution, the
reduction is applied to the first level, but if the business type
can have the reduction applied directly to it, then the limitation
applies.

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[[Page 22618]]

<bullet> Second level of ownership--any payment made to a first-
level legal entity that is owned in whole or in part by another legal
entity (referred to as a second-level legal entity) will be attributed
to the second-level legal entity in proportion to the ownership of the
second-level legal entity in the first-level legal entity; if the
second-level legal entity is owned in whole or in part by a person, the
amount of the payment made to the first-level legal entity will be
attributed to the person in the amount that represents the indirect
ownership in the first-level legal entity by the person;
<bullet> Third and fourth levels of ownership--except as provided
in the second level of ownership bullet above and in the fourth level
of ownership bullet below, any payments made to a legal entity at the
third and fourth levels of ownership will be attributed in the same
manner as specified in the second level of ownership bullet above; and
<bullet> Fourth level of ownership--if the fourth level of
ownership is that of a legal entity and not that of a person, a
reduction in payment will be applied to the first-level or payment
legal entity in the amount that represents the indirect ownership in
the first level or payment legal entity by the fourth-level legal
entity.
If an individual or legal entity is not eligible to receive ELRP
2023 and 2024 payments due to the individual or legal entity failing to
satisfy payment eligibility provisions, the payment made either
directly or indirectly to the individual or legal entity will be
reduced to zero. The amount of the reduction for the direct payment to
the producer will be commensurate with the direct or indirect ownership
interest of the ineligible individual or ineligible legal entity.
Like other programs administered by FSA, payments made to an Indian
Tribe or Tribal organization, as defined in section 4(b) of the Indian
Self-Determination and Education Assistance Act (25 U.S.C. 5304), will
not be subject to payment limitation.
Payments made directly or indirectly to a person who is a minor
child will not be combined with the earnings of the minor's parent or
legal guardian.

Required Forms and Deadlines

To be eligible for an ELRP 2023 and 2024 payment, a livestock
producer must have an approved LFP application on file with FSA for the
applicable program year (2023, 2024, or both).\20\
---------------------------------------------------------------------------

\20\ As provided in 7 CFR 1416.206 and publicized by FSA, the
LFP application deadline for the 2023 program year was January 30,
2024, and the deadline for the 2024 program year was March 3, 2025.
---------------------------------------------------------------------------

A producer must submit the following forms for payment eligibility
associated with an approved LFP application by the deadline announced
by the Deputy Administrator, if not already on file with FSA for the
applicable program year:
<bullet> CCC-902, Farm Operating Plan, for an individual or legal
entity as provided in 7 CFR part 1400;
<bullet> CCC-901, Member Information for Legal Entities, if
applicable;
<bullet> AD-1026, Highly Erodible Land Conservation (HELC) and
Wetland Conservation (WC) Certification, for the ELRP 2023 and 2024
participant and applicable affiliates; and
<bullet> FSA-510, Request for an Exception to the $125,000 Payment
Limitation for Certain Programs, accompanied by a certification from a
certified public accountant or attorney as to that person or legal
entity's certification, for participants and members of legal entities
to be eligible for the increased payment limitation of $250,000.

Notice and Comment and Effective Date

The Administrative Procedure Act (APA, 5 U.S.C. 553(a)(2)) provides
that the notice and comment and 30-day delay in the effective date
provisions do not apply when the rule involves specified actions,
including matters relating to benefits or contracts. This rule governs
disaster assistance payments to livestock producers and therefore falls
within the benefits exemption.
This rule is exempt from the regulatory analysis requirements of
the Regulatory Flexibility Act (5 U.S.C. 601-612), as amended by the
Small Business Regulatory Enforcement Fairness Act of 1996 (SBREFA)
because it involves matters relating to benefits. The requirements for
the regulatory flexibility analysis in 5 U.S.C. 603 and 604 are
specifically tied to the requirement for a proposed rule by section 553
or any other law; in addition, the definition of rule in 5 U.S.C. 601
is tied to the publication of a proposed rule.
The Office of Management and Budget (OMB) found this rule meets the
criteria in 5 U.S.C. 804(2) of the Congressional Review Act (CRA). The
CRA, at 5 U.S.C. 808(2) allows an agency to make such regulations
effective immediately if the agency finds there is good cause to do so.
The beneficiaries of this rule have been significantly impacted by
disaster events, which resulted in losses due to the impact of drought
and wildfire conditions during normal grazing periods in calendar years
2023 and 2024, and this assistance is necessary to support livestock
producers who have incurred increased grazing and supplemental feed
costs in order to avoid further livestock liquidations. To mitigate
further adverse impacts on affected livestock producers for losses
suffered in 2023 and 2024, USDA finds that notice and public procedure
are contrary to the public interest. Therefore, USDA is not required to
delay the effective date for 60 days from the date of publication to
allow for Congressional review. Accordingly, this rule is effective
upon publication in the Federal Register.

Executive Orders 12866, 13563, and 14192

Executive Order 12866, ``Regulatory Planning and Review,'' and
Executive Order 13563, ``Improving Regulation and Regulatory Review,''
direct agencies to assess all costs and benefits of available
regulatory alternatives and, if regulation is necessary, to select
regulatory approaches that maximize net benefits (including potential
economic, environmental, public health and safety effects, distributive
impacts, and equity). Executive Order 13563 emphasized the importance
of quantifying both costs and benefits, of reducing costs, of
harmonizing rules, and of promoting flexibility. Executive Order 14192
``Unleashing Prosperity Through Deregulation'' announced the
Administration policy to significantly reduce the private expenditures
required to comply with Federal regulations to secure America's
economic prosperity and national security and the highest possible
quality of life for each citizen and to alleviate unnecessary
regulatory burdens placed on the American people. In line with the
Executive Order requirements, the Agency chose this regulatory
approach, including leveraging existing applications and data, to
maximize benefits and minimize burden on American producers. The
requirements in Executive Orders 12866 and 13563 for the analysis of
costs and benefits apply to rules that are determined to be significant
or economically significant. This rule has been designated as
economically significant.
The Office of Management and Budget (OMB) designated this rule as
economically significant under Executive Order 12866 and therefore, OMB
has reviewed this rule. The costs and benefits of this rule are
summarized

[[Page 22619]]

below. The full CBA is available on <a href="http://regulations.gov">regulations.gov</a>.

Cost Benefit Analysis Summary

Title I of the Disaster Relief Supplemental Appropriations Act,
2025 (Division B of the American Relief Act, 2025; Pub. L. 118-158)
directs the Secretary to use up to $2 billion to fund disaster
assistance to livestock producers for losses incurred during calendar
years 2023 and 2024 due to drought, wildfires, and floods. ELRP 2023
and 2024 will use approximately $1 billion of the $2 billion to provide
payments to livestock producers for losses due to qualifying drought
and wildfires that occurred in calendar years 2023 and 2024. Persistent
and severe drought and wildfire events have significantly impacted
forage availability and herd sustainability, underscoring the necessity
of Federal intervention to stabilize the livestock industry and
mitigate economic losses.
ELRP 2023 and 2024 compensates livestock producers for foregone
profits due to drought and wildfire in 2023 and 2024. Producers may
receive payments for losses in 2023, 2024, or both years. To provide a
simple process that results in quick payments to producers, ELRP 2023
and 2024 payments are based on 2023 and 2024 LFP payments; hence, no
additional application process is required.
Factors are applied to keep ELRP payments for eligible producers at
about $1.0 billion in total for 2023 and 2024, leaving another $1.0
billion for other livestock producer losses provided for in the
American Relief Act, 2025. Specifically, ELRP 2023 and 2024 will use a
program factor of 35 percent of the LFP rate. ELRP 2023 and 2024
payouts are estimated at $721 million associated with losses in 2023
and $346 million associated with losses in 2024. The largest payment
recipient states are those with large cattle and forage sectors in the
West and Mid-West, where drought has particularly strained producers'
financial viability. For 2023 losses, the top five recipient states are
Texas, Oklahoma, Kansas, Missouri, and Nebraska, accounting for 66
percent of payments. For 2024 losses, the top recipient states are
Oklahoma, Missouri, Texas, Montana, and Wyoming, accounting for 57
percent of payments. Over 95 percent of payments will be made in FY
2025.

Environmental Review

The environmental impacts have been considered in a manner
consistent with the provisions of the National Environmental Policy Act
(NEPA, 42 U.S.C. 4321-4347) and the FSA regulation for compliance with
NEPA (7 CFR part 799).
The purpose of ELRP 2023 and 2024 is to provide assistance to
eligible livestock producers for losses incurred during 2023 and 2024
which represent foregone profits as a result of the impact that drought
and wildfire has had on forage quality and quantity losses due to a
qualifying drought or wildfire in calendar years 2023 or 2024. The
limited discretionary aspects of ELRP 2023 and 2024 do not have the
potential to impact the human environment as they are administrative.
Accordingly, these discretionary aspects are covered by the FSA
Categorical Exclusions specified in Sec. 799.31(b)(6)(iv) that apply
to individual farm participation in FSA programs where no ground
disturbance or change in land use occurs as a result of the proposed
action or participation, and Sec. 799.31(b)(6)(vi) that applies to
safety net programs.
No Extraordinary Circumstances (Sec. 799.33) exist because this is
an administrative payment program that does not have the potential to
impact the human environment individually or collectively. As such, the
implementation of ELRP 2023 and 2024 and participation in ELRP 2023 and
2024 do not constitute major Federal actions that would significantly
affect the quality of the human environment, individually or
cumulatively. Therefore, FSA will not prepare an environmental
assessment or environmental impact statement for this action and this
document serves as documentation of the programmatic environmental
compliance decision for this federal action.

Executive Order 13175

This rule has been reviewed in accordance with the requirements of
Executive Order 13175, ``Consultation and Coordination with Indian
Tribal Governments.'' Executive Order 13175 requires Federal agencies
to consult and coordinate with Tribes on a Government-to-Government
basis on policies that have Tribal implications, including regulations,
legislative comments or proposed legislation, and other policy
statements or actions that have substantial direct effects on one or
more Indian Tribes, on the relationship between the Federal Government
and Indian Tribes, or on the distribution of power and responsibilities
between the Federal Government and Indian Tribes.
USDA has assessed the impact of this rule on Indian Tribes and
determined that this rule does not, to our knowledge, have Tribal
implications that required Tribal consultation at this time. If a Tribe
requests consultation, the USDA Farm Service Agency will work with the
Office of Tribal Relations to ensure meaningful consultation is
provided.

Unfunded Mandates Reform Act

Title II of the Unfunded Mandates Reform Act of 1995 (UMRA, Pub. L.
104-4) requires Federal agencies to assess the effects of their
regulatory actions of State, local, and Tribal governments or the
private sector. Agencies generally must prepare a written statement,
including cost benefit analysis, for proposed and final rules with
Federal mandates that may result in expenditures of $100 million or
more in any 1 year for State, local or Tribal governments, in the
aggregate, or to the private sector. UMRA generally requires agencies
to consider alternatives and adopt the more cost effective or least
burdensome alternative that achieves the objectives of the rule. This
rule contains no Federal mandates, as defined in Title II of UMRA, for
State, local and Tribal governments or the private sector. Therefore,
this rule is not subject to the requirements of sections 202 and 205 of
UMRA.

Paperwork Reduction Act Requirements

The Paperwork Reduction Act of 1995 (44 U.S.C. Chap. 35; see 5 CFR
part 1320), requires that OMB approve all collections of information by
a Federal agency from the public before they can be implemented.
Respondents are not required to respond to any collection of
information unless it displays a current valid OMB control number. The
information collection request has been approved by OMB under the
control number of 0503-0028; Expiration Date: 10/31/2027. FSA will use
LFP documentation as the basis for making ELRP 2023 and 2024 payments
to producers. For the information collection changes related to the
existing approval under 0503-0028, the agency is seeking to use FSA-510
with this data collection, the time per respondent is 5 minutes. This
final rule is a one-time announcement of ELRP 2023 and 2024 federal
financial assistance funding.
For Further Information Contact: Requests for additional
information or copies of this information collection should be directed
to Kathy Sayers, Farm Service Agency, U.S. Department of Agriculture,
via email to <a href="/cdn-cgi/l/email-protection#7c371d081405522f1d05190e0f3c090f181d521b130a"><span class="__cf_email__" data-cfemail="f2b993869a8bdca1938b978081b287819693dc959d84">[email&#160;protected]</span></a>.
Title: Emergency Livestock Relief Program (ELRP) 2023 and 2024.
Form Number: FSA-510.
OMB Number: 0503-0028.
Expiration Date: 10/31/2027.

[[Page 22620]]

Type of Request: Revision to Generic Information Collection.
Abstract: As required by the Paperwork Reduction Act of 1995 (44
U.S.C. 3507(d)), FSA is providing producers with ELRP 2023 and 2024
payments. ELRP 2023 and 2024 will use approximately $1 billion in funds
authorized by Section 2102 of Division B of Title I of the American
Relief Act, 2025 (``the Act''; Pub. L. 118-158) to eligible livestock
producers for losses due to qualifying drought and qualifying wildfire
occurring in calendar years 2023 and 2024. These payments will help
livestock producers to offset foregone profits due to qualifying
drought and qualifying wildfires. Foregone profits represent the
difference between profits actually achieved by a producer and the
profits that could have been achieved by a producer in the absence of
certain adverse circumstances. If funding remains available after
issuing assistance to livestock producers for other eligible losses
under the Act, which will be addressed in a later rule, FSA may make
additional payments to ELRP 2023 and 2024 participants.
FSA will calculate payments using data already submitted to FSA by
Livestock Forage Disaster Program (LFP) participants; therefore,
producers are not required to file an additional application to receive
ELRP 2023 and 2024 payments. A livestock producer must have an approved
LFP application for either 2023, 2024, or both program years. Eligible
producers may receive payment for one or both years. The eligibility
criteria applicable to LFP also apply to ELRP 2023 and 2024, excluding
the LFP average adjusted gross income (AGI) limitation.
Affected Public: Farms or businesses for profit.
Estimated Number Respondents: 100.
Estimated Number of Responses per Respondent: 1.
Estimated Time per Respondent: 0.0835 hours.
Estimated Total Annual Burden on Respondents: 8.35 burden hours.

----------------------------------------------------------------------------------------------------------------
Estimated
Respondents annual Responses per Hours per Total hours
responses year response per year
----------------------------------------------------------------------------------------------------------------
100......................................... 1 100 0.0835 8.35
----------------------------------------------------------------------------------------------------------------

There is no recordkeeping or third-party burden on the respondents.

E-Government Act Compliance

FSA is committed to complying with the E-Government Act of 2002, to
promote the use of the internet and other information technologies to
provide increased opportunities for citizen access to Government
information and services, and for other purposes.

Federal Assistance Programs

The title and number of the Federal assistance programs, as found
in the Assistance Listing, to which this document applies is 10.986--
Emergency Livestock Relief Program 2023 and 2024.

List of Subjects in 7 CFR Part 760

Acreage allotments, dairy products, indemnity payments, pesticides
and pest, reporting and recordkeeping requirements.

For the reasons discussed above, this final rule amends 7 CFR part
760 as follows:

PART 760--INDEMNITY PAYMENT PROGRAMS

0
1. Revise the authority citation for part 760 to read as follows:

Authority: 7 U.S.C. 4501 and 1531; 16 U.S.C. 3801, note; 19
U.S.C. 2497; Title III, Pub. L. 109-234, 120 Stat. 474; Title IX,
Pub. L. 110-28, 121 Stat. 211; Sec. 748, Pub. L. 111-80, 123 Stat.
2131; Title I, Pub. L. 115-123, 132 Stat. 65; Title I, Pub. L. 116-
20, 133 Stat. 871; Division B, Title VII, Pub. L. 116-94, 133 Stat.
2658; Title I, Pub. L. 117-43, 135 Stat. 356; and Division N, Title
I, Pub. L. 117-328, 136 Stat. 4459; Division B, Title I, Pub. L.
118-158, 138 Stat. 1722.

0
2. Add subpart T, consisting of Sec. Sec. 760.2000 through 760.2007,
to read as follows:

Subpart T--Emergency Livestock Relief Program 2023 and 2024

Sec.
760.2000 Applicability.
760.2001 Administration.
760.2002 Definitions.
760.2003 Eligible producers.
760.2004 Required forms and deadlines.
760.2005 Payment calculation.
760.2006 Payment limitation.
760.2007 Miscellaneous provisions.

Sec. 760.2000 Applicability.

(a) This subpart specifies the eligibility requirements and payment
calculations for the Emergency Livestock Relief Program (ELRP) 2023 and
2024, which is authorized by Title I of the Disaster Relief
Supplemental Appropriations Act, 2025 (Division B of the American
Relief Act, 2025; Pub. L. 118-158). ELRP 2023 and 2024 provides
payments to livestock producers who suffered losses incurred during
2023 and 2024 due to qualifying drought and wildfire. Payments will be
made for foregone profits as a result of forage quality and quantity
losses due to qualifying drought and qualifying wildfire in calendar
years 2023 or 2024.
(b) To be eligible for ELRP 2023 and 2024 payments, participants
must comply with all applicable provisions under this subpart.

Sec. 760.2001 Administration.

(a) ELRP 2023 and 2024 is administered under the general
supervision and direction of the Administrator, Farm Service Agency
(FSA), and the Deputy Administrator for Farm Programs (Deputy
Administrator).
(b) FSA representatives do not have authority to modify or waive
any of the provisions of the regulations of this subpart as amended or
supplemented, except as specified in paragraph (e) of this section.
(c) The State committee will take any action required by the
regulations of this subpart that the county committee has not taken.
The State committee will also:
(1) Correct, or require a county committee to correct, any action
taken by such county committee that is not in accordance with the
regulations of this subpart, or
(2) Require a county committee to withhold taking any action that
is not in accordance with this subpart.
(d) No provision or delegation to a State or county committee will
preclude the FSA Administrator, the Deputy Administrator, or a designee
or other such person, from determining any question arising under the
programs of this subpart, or from reversing or modifying any
determination made by a State or county committee.
(e) The Deputy Administrator may authorize State and county
committees to waive or modify non-statutory deadlines or other program
requirements of this subpart in cases where lateness or failure to meet
such requirements does not adversely affect operation of ELRP 2023 and
2024. Participants have no right to an exception under this provision.
The Deputy Administrator's refusal to

[[Page 22621]]

consider cases or circumstances or decisions not to exercise this
discretionary authority under this provision will not be considered an
adverse decision and is not appealable.

Sec. 760.2002 Definitions.

The definitions in 7 CFR 718, 1400, and 1416 apply to this subpart,
except where they conflict with the definitions in this section. The
following definitions also apply.
Average adjusted gross farm income means the average of the person
or legal entity's adjusted gross income derived from farming, ranching,
and forestry operations, including losses, for the base period.
(1) If the resulting average adjusted gross farm income derived
from paragraphs (1) through (13) of the definition for ``income derived
from farming, ranching and forestry operations'' is at least 66.66
percent of the average adjusted gross income of the person or legal
entity, then the average adjusted gross farm income may also take into
consideration income or benefits derived from the following:
(i) The sale, trade, or other disposition of equipment to conduct
farm, ranch, or forestry operations; and
(ii) The provision of production inputs and services to farmers,
ranchers, foresters, and farm operations.
(2) For legal entities not required to file a Federal income tax
return, or a person or legal entity that did not have taxable income in
1 or more of the tax years during the base period, the average gross
farm income will be the adjusted gross farm income, including losses,
averaged for the base period, as determined by FSA. For a legal entity
created during the base period, the adjusted gross farm income average
will include only those years of the base period for which it was in
business; however, a new legal entity will not be considered ``new'' to
the extent it takes over an existing operation and has any elements of
common ownership interest and land with the preceding person or legal
entity from which it took over. When there is such commonality, income
of the previous person or legal entity will be averaged with that of
the new legal entity for the base period. For a person filing a joint
tax return, the certification of average adjusted gross farm income may
be reported as if the person had filed a separate Federal tax return,
and the calculation is consistent with the information supporting the
filed joint return.
Average AGI means the average of the adjusted gross income as
defined under 26 U.S.C. 62 or comparable measure of the person or legal
entity for the base period.
Base period means:
(1) 2019, 2020, and 2021 for 2023; and
(2) 2020, 2021, and 2022 for 2024.
Farming operation means a business enterprise engaged in the
production of agricultural products, commodities, or livestock,
operated by a person, legal entity, or joint operation. A person or
legal entity may have more than one farming operation if the person or
legal entity is a member of one or more legal entities or joint
operations.
Gross LFP calculated payment means the LFP payment calculated
according to 7 CFR 1416.207, prior to any payment reductions for
reasons including, but not limited to, sequestration, payment
limitation, and the applicant or member of an applicant that is an
entity exceeding the average AGI limitation.
Income derived from farming, ranching, and forestry operations
means income of an individual or entity derived from:
(1) Production of crops and unfinished raw forestry products;
(2) Production of livestock, aquaculture products used for food,
honeybees, and products derived from livestock;
(3) Production of farm-based renewable energy;
(4) Selling (including the sale of easements and development
rights) of farm, ranch, and forestry land, water or hunting rights, or
environmental benefits;
(5) Rental or lease of land or equipment used for farming,
ranching, or forestry operations, including water or hunting rights;
(6) Processing, packing, storing, and transportation of farm,
ranch, or forestry commodities including for renewable energy;
(7) Feeding, rearing, or finishing of livestock;
(8) Payments of benefits, including benefits from risk management
practices, federal crop insurance indemnities, and catastrophic risk
protection plans;
(9) Sale of land that has been used for agricultural purposes;
(10) Benefits (including, but not limited to, cost-share assistance
and other payments) from any Federal program made available and
applicable to payment eligibility and payment limitation rules, as
provided in 7 CFR part 1400;
(11) Income reported on Internal Revenue Service (IRS) Schedule F
(Form 1040), Profit or Loss from Farming, or other schedule, approved
by the Deputy Administrator, used by the person or legal entity to
report income from such operations to the IRS;
(12) Wages or dividends received from a closely held corporation,
an Interest Charge Domestic International Sales Corporation (also known
as IC-DISC), or legal entity comprised entirely of family members when
more than 50 percent of the legal entity's gross receipts for each tax
year are derived from farming, ranching, and forestry activities as
defined in this subpart; and
(13) Any other activity related to farming, ranching, and forestry,
as determined by the Deputy Administrator.
IRS means the Department of the Treasury, Internal Revenue Service.
Legal entity: (1) Means an entity that is created under Federal or
State law and that:
(i) Owns land or an agricultural commodity, or
(ii) Produces an agricultural commodity; and
(2) Includes corporations, joint stock companies, associations,
limited partnerships, limited liability companies, irrevocable trusts,
estates, charitable organizations, general partnerships, joint
ventures, and other similar organizations created under Federal or
State law including any such organization participating in a business
structure as a partner in a general partnership, a participant in a
joint venture, a grantor of a revocable trust, or as a participant in a
similar organization. A business operating as a sole proprietorship is
considered a legal entity.
LFP means the Livestock Forage Disaster Program under section 1501
of the Agricultural Act of 2014 (7 U.S.C. 9081) and 7 CFR part 1416,
subpart C.
Ownership interest means to have either a legal ownership interest
or a beneficial ownership interest in a legal entity. For the purposes
of administering ELRP 2023 and 2024, a person or legal entity that owns
a share or stock in a legal entity that is a corporation, limited
liability company, limited partnership, or similar type entity where
members hold a legal ownership interest and shares in the profits or
losses of such entity is considered to have an ownership interest in
such legal entity. A person or legal entity that is a beneficiary of a
trust or heir of an estate who benefits from the profits or losses of
such entity is considered to have a beneficial ownership interest in
such legal entity.
Production inputs mean material to conduct farming operations, such
as seeds, chemicals, and fencing supplies.
Production services mean services provided to support a farming
operation, such as custom farming, custom feeding, and custom fencing.

[[Page 22622]]

Qualifying drought means drought occurring on grazing land or
pastureland that is physically located in a county that is, during the
normal grazing period for the specific type of grazing land or
pastureland for the county, rated by the U.S. Drought Monitor as having
a:
(1) D2 (severe drought) intensity in any area of the county for at
least 8 consecutive weeks during the normal grazing period for the
specific type of grazing land or pastureland for the county, as
determined by the Secretary, or
(2) D3 (extreme drought) or higher intensity in any area of the
county at any time during the normal grazing period for the specific
type of grazing land or pastureland for the county, as determined by
the Secretary.
Qualifying wildfire means fire, as provided in 7 CFR part 1416,
subpart C, that resulted in an eligible grazing loss for LFP. As
provided in 7 CFR 1416.205(c), the fire must have:
(1) Occurred on rangeland that was managed by a Federal agency; and
(2) Resulted in the eligible livestock producer being prohibited
from grazing the normal permitted livestock on the land.
U.S. Drought Monitor means the system for classifying drought
severity according to a range of abnormally dry to exceptional drought
reported by the National Drought Mitigation Center at <a href="http://droughtmonitor.unl.edu">http://droughtmonitor.unl.edu</a>. It is a collaborative effort between Federal
and academic partners, produced on a weekly basis, to synthesize
multiple indices, outlooks, and drought impacts on a map and in
narrative form.

Sec. 760.2003 Eligible producers.

(a) The eligibility provisions applicable to LFP apply to ELRP 2023
and 2024, excluding the average AGI limitation. These include the
provisions of: 7 CFR part 1416, subparts A and C; 7 CFR part 12; and 7
CFR 718.6.
(b) To be eligible for a payment under this subpart, a producer
must have an approved LFP application on file for the 2023 or 2024
program year. Producers may receive payment for one or both years, if
eligible.
(c) States, political subdivisions, and agencies thereof, are not
eligible for payments under this subpart.

Sec. 760.2004 Required forms and deadlines.

(a) To be eligible for a payment under this subpart, a producer
must have an approved LFP application on file for the applicable year
(2023 or 2024) by the deadline announced by the Deputy Administrator.
(b) A producer must also submit the following forms to FSA by the
deadline announced by the Deputy Administrator if not previously filed
for the applicable program year (2023 or 2024):
(1) CCC-902, Farm Operating Plan, for an individual or legal entity
as provided in 7 CFR part 1400;
(2) CCC-901, Member Information for Legal Entities, if applicable;
(3) AD-1026, Highly Erodible Land Conservation (HELC) and Wetland
Conservation (WC) Certification, for the ELRP 2023 and 2024 participant
and applicable affiliates; and
(4) FSA-510, Request for an Exception to the $125,000 Payment
Limitation for Certain Programs, accompanied by a certification from a
certified public accountant or attorney as to that person or legal
entity's certification, for participants and members of legal entities
to be eligible for the payment limitation of Sec. 760.2006(a)(2).

Sec. 760.2005 Payment calculation.

(a) ELRP 2023 and 2024 will use the information reported on a
producer's approved CCC-853, Livestock Forage Disaster Program
Application, for the applicable program year (2023 or 2024) as the
basis for a payment under this subpart. Any adjustments made by FSA to
the information provided on CCC-853 for the purpose of administering
LFP will also apply to ELRP 2023 and 2024.
(b) An ELRP 2023 and 2024 payment will be equal to the
participant's gross calculated LFP payment for the applicable program
year (2023 or 2024) multiplied by the applicable ELRP 2023 and 2024
payment factor of 35 percent.
(c) If funding remains available after payments are issued for
other livestock losses under the American Relief Act, 2025, FSA may
issue additional payments under this subpart, based on an increased
ELRP 2023 and 2024 payment factor.

Sec. 760.2006 Payment limitation.

(a) For each applicable year (2023 and 2024), a person or legal
entity, other than a joint venture or general partnership, is eligible
to receive, directly or indirectly, payments under this subpart of not
more than:
(1) $125,000 if less than 75 percent of the person or legal
entity's average adjusted gross income is average adjusted gross farm
income; or
(2) $250,000 if 75 percent or more of the average adjusted gross
income of the person or legal entity is average adjusted gross farm
income.
(b) To be eligible for the payment limitation in paragraph (a)(2)
of this section, a person or legal entity must submit FSA-510, Request
for an Exception to the $125,000 Payment Limitation for Certain
Programs, accompanied by a certification from a certified public
accountant or attorney as to that person or legal entity's
certification.
(c) If a producer requesting the $250,000 payment limitation is a
legal entity, all members of that entity must also complete FSA-510 and
provide the required certification according to the direct attribution
provisions in 7 CFR 1400.105. If a legal entity would be eligible for
the $250,000 payment limitation based on the legal entity's average
adjusted gross farm income but a member of that legal entity either
does not complete an FSA-510 and provide the required certification or
is not eligible for the $250,000 payment limitation, the payment to the
legal entity will be reduced for the limitation applicable to the share
of the ELRP 2023 or 2024 payment attributed to that member.
(d) If a producer or member of a legal entity files FSA-510 and the
accompanying certification after their payment is issued but before the
deadline specified in Sec. 760.2004(b), FSA will recalculate the
payment and issue the additional calculated amount.
(e) ELRP 2023 and 2024 applicants filing an FSA-510 are subject to
an FSA audit of information submitted for the purpose of increasing the
program's payment limitation. As a part of this audit, FSA may request
income tax returns, and if requested, must be supplied by all related
persons and legal entities. In addition to any other requirement under
any Federal statute, relevant Federal income tax returns and
documentation must be retained a minimum of 3 years after the end of
the calendar year corresponding to the year for which payments or
benefits are requested. Failure to provide necessary and accurate
information to verify compliance, or failure to comply with these
requirements will result in ineligibility for ELRP 2023 and 2024
benefits and require refund of any ELRP 2023 and 2024 payments,
including interest to be calculated from the date of the disbursement
to the producer.
(e) The payment limitation provisions of 7 CFR part 1400, subpart
A, and 7 CFR 1400.103 through 1400.106 apply to ELRP 2023 and 2024.
(f) Payments made directly or indirectly to a person who is a minor
child will not be combined with the earnings of the minor's parent or
legal guardian.
(g) If an individual or legal entity is not eligible to receive
ELRP 2023 and 2024 payments due to the individual or legal entity
failing to satisfy payment

[[Page 22623]]

eligibility provisions, the payment made either directly or indirectly
to the individual or legal entity will be reduced to zero. The amount
of the reduction for the direct payment to the producer will be
commensurate with the direct or indirect ownership interest of the
ineligible individual or ineligible legal entity.

Sec. 760.2007 Miscellaneous provisions.

(a) In the event that any ELRP 2023 or 2024 payment resulted from
erroneous information reported by the producer or if the producer's
2023 or 2024 LFP payment is recalculated after the ELRP 2023 or 2024
payment is issued, the ELRP 2023 or 2024 payment will be recalculated,
and the producer must refund any excess payment to FSA, including
interest to be calculated from the date of the disbursement to the
producer.
(b) If FSA determines that the producer intentionally
misrepresented information used to determine the producer's ELRP 2023
or 2024 payment amount, the application will be disapproved and the
producer must refund the full payment to FSA with interest from the
date of disbursement.
(c) Any required refunds must be resolved in accordance with debt
settlement regulations in 7 CFR part 3.
(d) Participants are required to retain documentation in support of
their application for 3 years after the date of approval. Participants
receiving ELRP 2023 or 2024 payments or any other person who furnishes
such information to USDA must permit authorized representatives of USDA
or the Government Accountability Office, during regular business hours,
to enter the agricultural operation and to inspect, examine, and to
allow representatives to make copies of books, records, or other items
for the purpose of confirming the accuracy of the information provided
by the participant.
(e) Any payment under ELRP 2023 or 2024 will be made without regard
to questions of title under State law and without regard to any claim
or lien. The regulations governing offsets in 7 CFR part 3 apply to
ELRP 2023 and 2024 payments.
(f) Participants are subject to laws against perjury and any
penalties and prosecution resulting therefrom, with such laws including
but not limited to 18 U.S.C. 1621. If a producer willfully makes and
represents as true any verbal or written declaration, certification,
statement, or verification that the producer knows or believes not to
be true, in the course of either applying for or participating in ELRP
2023 and 2024, then the producer is guilty of perjury and, except as
otherwise provided by law, may be fined, imprisoned for not more than 5
years, or both, regardless of whether the producer makes such verbal or
written declaration, certification, statement, or verification within
or outside the United States.
(g) For the purposes of the effect of a lien on eligibility for
Federal programs (28 U.S.C. 3201(e)), USDA waives the restriction on
receipt of funds under ELRP 2023 and 2024 but only as to beneficiaries
who, as a condition of the waiver, agree to apply the ELRP 2023 and
2024 payments to reduce the amount of the judgment lien.
(h) In addition to any other Federal laws that apply to ELRP 2023
and 2024, the following laws apply: 15 U.S.C. 714; and 18 U.S.C. 286,
287, 371, and 1001.
(i) Prompt pay interest is not applicable to payments under this
subpart.

William Beam,
Administrator, Farm Service Agency.
[FR Doc. 2025-09581 Filed 5-28-25; 8:45 am]
BILLING CODE 3411-E2-P

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