US agricultural programs update ARC and PLC payment structures

Agricultural producers are navigating updated payment structures and enrollment timelines for the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs. For the 2025 crop year, producers will receive the higher of the ARC or PLC payments by crop and farm. In the cotton market, the 2025 marketing year average price for seed-cotton has been determined at $0.3408 per pound.

Enrollment for the 2026 crop year opened in September, with a deadline of December 11, 2026. This enrollment period was delayed from the typical spring deadline to allow for the implementation of new program rules and support levels resulting from the One Big Beautiful Bill Act of 2025. This delay may assist producers in assessing price prospects and yield results before choosing between price-based PLC support or revenue-based ARC support.

Additionally, the Budget Reconciliation Act increased program supports beginning with the 2025 crop year. While the act was passed after the initial enrollment period had ended, it included language to address these changes.