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2021 and Subsequent Years STAX and Agriculture Risk Coverage and Price Loss Coverage
March 9, 2021

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  • Q Does electing ARC cause a farm to be ineligible for STAX? What about PLC?

    A

    Electing ARC or PLC does not cause a farm to be ineligible for STAX coverage. However, STAX coverage is affected by ARC/PLC enrollment decisions. Enrolling seed cotton base on a farm in ARC/PLC makes that farm ineligible for STAX.

  • Q Can a producer have STAX coverage and seed cotton ARC/PLC on the same acreage?

    A

    No. Enrolling a farm in seed cotton ARC/PLC makes the farm’s seed cotton or upland cotton ineligible for STAX coverage.

  • Q Can a producer get STAX coverage on a farm with seed cotton base acres? What if the producer has no seed cotton base acres?

    A

    Yes. A farm’s upland cotton is eligible for STAX if seed cotton base acres are not enrolled in ARC/PLC for that year. STAX eligibility is not affected by ARC/PLC enrollment on a farm that has no seed cotton base acres or no seed cotton base acres enrolled.

  • Q If a producer purchased STAX and decides not to enroll a farm in ARC/PLC for seed cotton for a particular year, can they enroll in ARC/PLC for other commodities on the farm?

    A

    Yes. Enrolling commodities other than seed cotton in ARC/PLC will not make the farm’s upland cotton ineligible for STAX coverage.

  • Q If a producer has more than one farm and chooses not to enroll one of them in ARC/PLC is that farm eligible for STAX?

    A

    Yes, if the producer has purchased STAX, STAX coverage will apply to all acreage on farms in the county that do not have base acres enrolled in seed cotton ARC/PLC (unless those acres are uninsurable for a different reason).

  • Q If a grower enrolled in ARC/PLC but does not qualify for ARC/PLC payments due to AGI limits, would he be eligible for STAX coverage on farms enrolled in ARC/PLC?

    A

    No. Enrolling a farm’s seed cotton base acres in ARC/PLC makes the farm’s upland cotton ineligible for STAX even if the producer is later found to be ineligible for ARC/PLC payments.

  • Q If I want to remain eligible for STAX, will I have the flexibility to enroll my other crop base acres (e.g. corn, soybeans, wheat, sorghum, etc.) in ARC/PLC but choose NOT to enroll my seed cotton base acres in ARC/PLC?

    A
    Yes. Your eligibility for STAX on a farm is NOT impacted by ARC/PLC enrollment for any covered commodity other than seed cotton. As long as the farm does not have seed cotton base acres enrolled in an annual ARC/PLC contract, the farm’s upland cotton remains eligible for STAX.

  • Q If a producer plants 500 acres of upland cotton on a farm with 200 seed cotton base acres (and those 200 acres are enrolled in an annual ARC/PLC contract) can he have STAX coverage on the remaining 300 acres?

    A

    No. Enrolling a farm in seed cotton ARC/PLC makes all upland cotton acreage on that farm ineligible for STAX coverage.

  • Q If I have corn base acres enrolled in ARC but I plant upland cotton, am I eligible to purchase a STAX policy?

    A

    Yes. As long as the farm does not have seed cotton base acres enrolled in an annual ARC/PLC contract, the farm remains eligible for STAX.

  • Q If I don’t have seed cotton base acres (or only have unassigned base acres), am I eligible for STAX?

    A

    Yes. As long as the farm does not have seed cotton base acres enrolled in an annual ARC/PLC contract, the farm’s upland cotton remains eligible for STAX.

  • Q Can a producer with a partial share choose not to enroll their share in ARC/PLC while other share owners do enroll in ARC/PLC?

    A

    No. All producers with a share in a covered commodity must jointly enroll or not enroll in ARC/PLC for each covered commodity. Only enrolled covered commodities on the farm may qualify for ARC/PLC payments.