Related Statutes and Rules
There are no other directly related rules or statutes, other than those cited above.
Plain Language Analysis
The Cover Crop Insurance Rebate Program is offered for acres of cover crops installed outside of state and federal program incentives (e.g., EQIP, CSP and state cost share). Interested participants may enroll acres planted to cover crops in the fall which will be planted to an insurable crop in the following growing season. Eligible applicants will receive a $5 per acre insurance premium discount on the following year's crop insurance invoice for every acre of cover crop enrolled and verified in the program. Applications will be due to the department in mid-January and must be completed in full for eligibility.
Application requirements include applicant contact information, current USDA Farm Service Agency form FSA-578 with verified cover crop acres, crop insurance policy number(s), acres of cover crops seeded to each field, farm, tract, common land unit (CLU)/Field #, and legal description of fields/acres seeded to cover crops.
The department may not provide a rebate for the planting of a cover crop on an acre for which funding for planting a cover crop is provided from a federal or state grant or incentive program, including from any of the following:
3.
A producer-led watershed protection grant under [s. 93.59, Stats.]4.
The Soil and Water Resource Management Program [s. 92.14 (3) Stats.]5.
A lake management planning grant under [s. 281.68, Stats.]6.
A lake management grant under [s. 281.69, Stats.]7.
A river protection grant under [s. 281.70, Stats.]Applicants will self-certify that the land they are enrolling in the rebate program has not received funding from any of the above sources.
Rebates will be funded on a first come, first served basis. If requests exceed available funding, the department may prioritize rebates based on the timing of the application, whether this is the first time a cover crop has been planted on the field, whether the acres have received a rebate previously, and the number of acres for which a rebate is requested. The department may place a limit on how many acres can be awarded the rebate from each application.
The department will verify applications and respective acreage. The department may contact applicants for additional clarifying information. Applicants must maintain documentation on cover crops that have been seeded (e.g., seed bills) and follow seed recommendations related to seeding dates, appropriate seeding rates and seed mixes to ensure objectives of the cover crop are being met. To ensure the practice achieves the desired results, no full width tillage/termination of the cover crop in the fall is allowed. Management/termination of the cover crops must be done in the spring in accordance with the USDA Natural Resources Conservation Service Cover Crop Termination Guidelines and Conservation Practice Standard 340. This guidance not only informs proper management of cover crops but must also be followed to maintain eligibility for federal crop insurance.
Only acres in cover crops (absent other state or federally-incentivized cover crops) will be eligible for the premium discount. Confirmed applications will be forwarded to USDA-Risk Management Agency (RMA) for processing premium discounts on crop insurance premium invoices. Applicants must certify that by signing up for this program, they give the department permission to share the information provided to the USDA-RMA for administering the benefit to the beneficiary as documented on the application. Applicants also convey permission to the department or county representative(s) access to the property enrolled, if necessary, to verify cover crop establishment.
Rebate Awards
Under this emergency rule, the department must evaluate rebate applications. If the total amount of funding requested is below total funding available, all complete applications will be funded. If the total amount of funding requested by eligible applicants exceeds the total funding available, the department will evaluate the applications on the following criteria:
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The timing of the application.-
Whether this is the first time a cover crop has been planted on the field.-
Whether the acres have received a rebate previously.-
The number of acres for which a rebate is requested.Summary of, and Comparison with, Existing or Proposed
Federal Statutes and Regulations
The Pandemic Cover Crop Program (PCCP) is a program established by USDA to help producers maintain their cover crop systems amid a financially challenging time because of the COVID-19 pandemic. PCCP is part of USDA’s Pandemic Assistance for Producers initiative, through which USDA is establishing programs and efforts to bring financial assistance to farmers, ranchers, and producers who felt the impact of COVID-19 market disruptions.
PCCP provides premium support to eligible producers who insured their spring crop with most insurance policies and planted on acreage where a qualifying cover crop was planted after June 15, 2021, of the 2021 crop year, or during the 2022 crop year. The premium support is up to $5 per acre, but no more than the full premium owed.
Funding was available for the past two years, and it is unknown how long the program will last. In 2022, Wisconsin farmers received rebates of $1,657,722 for their crop insurance. This program does not have the same restriction on providing a rebate for acres enrolled in state and federal program incentives.
If Held, Summary of Comments Received during Preliminary Comment Period
and at Public Hearing on Statement of Scope
The Joint Committee for Review of Administrative Rules did not request a preliminary hearing on the scope; thus, the department did not hold a preliminary hearing on the scope.
Comparison with Rules in Adjacent States
Illinois - The Illinois Department of Agriculture runs a Cover Crop Premium Discount Program for acres of cover crops installed outside of state and federal program incentives (e.g., EQIP, CSP and state cost share) in partnership with USDA-RMA. Interested participants may enroll acres planted to cover crops in the fall which will be planted to an insurable crop in the following growing season. Eligible applicants will receive a $5/acre insurance premium discount on the following year's crop insurance invoice for every acre of cover crop enrolled and verified in the program.
Iowa - The Iowa Department of Agriculture and Land Stewardship provides up to $5/acre for cover crops to eligible applicants. Funding will be provided through USDA-RMA as an additional insurance premium discount through normal crop insurance processes. The premium reduction will be available for fall-planted cover crops with a spring-planted cash crop. The program is offered for acres of cover crops installed outside of state/federal program incentives (WQI, IFIP, state cost share, EQIP, CSP, etc.). Participating farmers must follow all existing good farming practices required by their policy and work with their insurance agent to maintain eligibility.
Michigan – Michigan does not offer a similar program
Minnesota – Minnesota does not offer a similar program
Summary of Factual Data and Analytical Methodologies
The department worked with representatives of the agriculture industry, staff from neighboring state agencies, and collaborators to develop this emergency rule.
Analysis and Supporting Documents used to Determine Effect on Small Business or in Preparation of an Economic Impact Analysis
This emergency rule will have a fiscal impact on the department’s operations. Under this emergency rule, the department may provide rebates in the amount of $5 for each acre of a cover crop planted for crop insurance premiums paid on those acres. Department staff will review applications, process data, and work with USDA-RMA to ensure successful payments. Additionally, the department needs to conduct inspections to verify that recipients of a crop insurance premium rebate are in compliance with the program requirements.
Fiscal Estimate and Economic Impact Analysis
The Fiscal Estimate and Economic Impact Analysis is attached.
Effect on Small Business
This emergency rule will have no adverse effect on small businesses. The Program is voluntary and thus imposes no cost on businesses. By providing cover crop rebates to agricultural producers, the Program will benefit agricultural producers, other agricultural businesses, and communities that participate in the program. Rebate recipients will benefit directly, while others will benefit indirectly from the creation of a stronger agricultural industry and improved water quality. The department plans to use procedures that will make the cost of applying insignificant.
The Department’s Regulatory Review Coordinator may be contacted by:
Telephone at (608) 224-5024
The Regulatory Flexibility Analysis is attached.
Department Contact Person
Alex Elias
Division of Agricultural Resource Management
Department of Agriculture, Trade and Consumer Protection
P.O. Box 8911
