New Base Acres Give Farmers a Reason to Revisit ARC & PLC

Why this year’s enrollment deserves a fresh look at your farm’s numbers

Before you repeat last year’s ARC or PLC choice, pull your new base acre allocation. The acres used to calculate potential payments may have changed, and that makes this year’s enrollment worth another look.

For an operation spread across several farm numbers, rented ground and family ownership arrangements, the first challenge is getting the right information in one place. The landowner may receive the allocation notice. Someone else handles FSA paperwork. Another person updates the cash flow.

Meanwhile, everyone wants an answer to the same question: How much USDA funding can we reasonably plan on?

That answer starts with the final acreage records and a fresh comparison of the programs. Enrollment for the 2026 crop year opened Sept. 16, with a Dec. 11 deadline. There’s time to review the decision, but some of that time will disappear into harvest.

What Changed with Base Acres

USDA has completed a nationwide expansion of base acres used in the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs. Base acres are part of FSA’s payment records; they don’t necessarily match what you planted this year.

Because eligible new acres exceeded the nationwide cap, FSA applied a 3.69% reduction to newly allocated base acres. That adjustment applies to the new acres, not the farm’s entire existing base.

Landowners can now get their final allocation notices online or through their local FSA office. The earlier period to review allocation summaries and request changes ended Aug. 31. If something on the final notice looks wrong, ask FSA what options remain.

For rented ground, that means a conversation with the landowner before running payment estimates. Use the final allocation rather than the acreage someone expected to receive.

This applies to farmers and ranchers with eligible crop base acres. A crop-and-cattle operation may have an ARC or PLC decision to make on its crop ground, but these programs don’t provide protection against falling cattle prices.

Start with the Acres, Then Compare the Programs

Suppose your operation includes owned ground and several rented farms. One landlord’s property received additional base acres. Another farm’s allocation stayed the same. Your budget still uses an estimated program payment based on last year’s records.

Before deciding whether to change programs, you need to update those records. Otherwise, you could spend an afternoon comparing ARC and PLC using the wrong acreage. Then look at the choices crop by crop:

• PLC provides price protection. A payment depends on the program’s effective commodity price falling below its effective reference price. Your local cash bid alone doesn’t determine whether it pays.
• ARC-County provides county revenue protection. Both prices and county yields affect the calculation. Your farm can have a poor harvest without the county experiencing the same loss.
• ARC-Individual considers revenue across participating farms. Ask which farms and crops would be included before comparing it with the other options. The combination matters.

ARC and PLC cover eligible commodities, including corn, soybeans, wheat and grain sorghum. Eligibility depends on the farm and producer’s circumstances.

A useful comparison should show what happens under different price and yield assumptions. What if prices weaken but yields hold up? What if county yields come in lower? Does one choice look better only under a narrow set of assumptions?

You don’t need to predict the year perfectly. You do need to understand why one program looks better for a particular crop and what would change that conclusion.

Check What the Payment Estimate Actually Includes

More base acres can change a potential payment. They don’t guarantee one.

When reviewing an estimate, ask what went into it. Does it use the final base allocation? Which price and yield assumptions does it use? Is it a preliminary calculation, or does it account for the eligibility requirements and payment limits that apply to your operation?

Those questions matter when several owners or entities are involved. The person preparing the cash flow needs to know what the estimate represents before using it to calculate borrowing needs.

Timing deserves its own line in that conversation. A projected payment amount doesn’t tell you when money will be available to cover rent, inputs or an operating loan payment.

Keep the expected amount and expected receipt date together in the budget. Then look at what happens if the payment is smaller or arrives later than assumed. That shows how much additional borrowing, or a change in grain sales or purchases, might be needed.

Waiting may Improve the Comparison, but Start the Paperwork Now

Updated harvest information and price estimates may help you make the final choice. There’s a reasonable case for reviewing the numbers again later in the enrollment window.

The useful question is what information you’re waiting for.

If a new county yield estimate could change your decision, set a date to review it. If the comparison is already clear, there may be little reason to leave enrollment unfinished.

Either way, you can confirm allocations, ownership records and required signatures now. For operations with multiple landlords or partners, those details can take longer than the program comparison itself.

Keep the two crop years separate

Don’t assume last year’s election means this year’s enrollment is complete. USDA warns that failing to meet the 2026 election and enrollment requirements by Dec. 11 can leave the farm ineligible for 2026 payments.

Previous multiyear contracts ended in 2025. USDA offers a new 2026–2031 contract option. Before signing, have FSA explain how it handles enrollment for future years, what annual confirmations remain and how later election changes work.

Before closing out the appointment, confirm which farm numbers are complete and whether any signatures or records remain outstanding. Keep that confirmation with the assumptions used in your payment estimate so the enrollment records and budget stay connected.

The new allocation may change your program choice, or the comparison may support staying where you are. Either result is useful when it comes from current records and numbers you understand.

Has your new base acre allocation changed how you’re looking at ARC or PLC this year?

Before you finalize your ARC or PLC election, make sure the comparison uses your updated base acres and fits your operation’s budget. Adams Brown’s farm program advisory team can help you review the options and understand what potential USDA funding means for your cash flow. Contact the team to talk through your farm’s numbers.