By Scout Nelson
North Dakota agriculture producers are expected to receive an estimated $721 million this month through the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs for the 2025 crop year. The increased payments result from changes to federal farm safety programs under the Working Families Tax Cut Act, also known as the One Big Beautiful Bill.
Senator John Hoeven discussed the farm programs during a roundtable at North Dakota State University with Senate Agriculture Committee Chairman John Boozman. The meeting included North Dakota farmers, ranchers, commodity groups, agriculture researchers, and agribusiness representatives.
The new law increases ARC and PLC reference prices by 10% to 20%. These higher reference prices increase the level of support available to producers when market prices fall below certain levels.
For North Dakota, the updated reference prices are expected to increase 2025 crop year payments by about $456 million. Producers are expected to receive $721 million under ARC and PLC, compared with an estimated $265 million without the new law.
The legislation also improves crop insurance affordability. Provisions from Senator Hoeven's FARMER Act provide more than $91 million in additional crop insurance premium support for North Dakota producers in 2026, based on projections from the NDSU Agricultural Risk Policy Center.
Hoeven and Boozman are also working to advance Farm Bill 2.0. The senators say the legislation builds on recent improvements to the farm safety net, creates more market opportunities and supports year-round sales of E15 fuel.
Another priority is protecting domestic sugar producers. Hoeven is working with U.S. Trade Representative Ambassador Jamieson Greer to address concerns about foreign countries selling sugar in the U.S. market at unfair levels. Hoeven also helped lead a bipartisan and bicameral letter signed by 112 members of Congress calling for action.
“We made significant enhancements to the farm safety net in the Working Families Tax Cut Act, improving the affordability of crop insurance, strengthening livestock disaster programs and updating the counter-cyclical safety net so it reflects the actual cost of production. This month, those policies come into full effect and deliver meaningful assistance to North Dakota producers, who are set to receive an estimated $721 million from ARC and PLC for the 2025 crop year. In times of market uncertainty and increased input costs, those funds will make a real difference for our farmers,” said Senator Hoeven.
“The Senate’s Farm Bill 2.0 builds on that good work and includes more than 100 bipartisan bills to support the long-term success of our farmers and ranchers. We will continue working to move this critical legislation forward and get it passed into law,” said Hoeven.
“North Dakota farm families helped shape the Working Families Tax Cuts, and because we listened to their priorities, we made sure the law included enhancements to the farm safety net. Farmers will begin receiving those benefits this month, with North Dakota producers expected to receive $721 million in ARC and PLC payments––more than double what they would have received without this law. I’m pleased to continue working with Senator Hoeven to strengthen the future of American agriculture. Together, we’ve developed policies to support our farmers, and we’re not done. We’re committed to advancing Farm Bill 2.0 and securing additional farm assistance before the end of the year,” said Senator Boozman.
Farm Bill 2.0 also includes several provisions supported by Hoeven. The PACE Act increases Farm Service Agency direct and guaranteed loan limits, while the BINS Act allows fertilizer storage and handling projects to qualify under the Farm Storage Facility Loan Program.
The SCALE Act provides matching grants for state soil health and wildlife habitat programs. The bill also includes measures to provide greater certainty for grazing permit holders affected by prairie dog colonies.
Other provisions address mandatory country-of-origin labeling for beef, known as MCOOL, and reauthorize the Joint Chiefs Program. The program has provided more than $3.2 million for partnerships with private landowners to improve and restore grasslands in North Dakota.
The Farm Ownership and Improvement Act creates a pilot program for pre-approval and pre-qualification of FSA Direct Farm Ownership loans. A dry edible beans study would examine whether the crop could be included as a Title I commodity.
Changes to the Livestock Indemnity Program would establish payment categories for calves weighing less than 400 pounds and those weighing 400 pounds or more.
The Farm Bill also includes a crop insurance fix for producers affected by the Fargo-Moorhead Diversion Project. The provision protects affected producers by excluding certain years from Actual Production History calculations.
Photo Credit: Hoeven
Categories: North Dakota, Government & Policy