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Important Information for Vermont Dairy Farmers - assistance with Dairy Margin Coverage Premium cost

In the Vermont FY22 Budget Adjustment Act, the Vermont Legislature added a provision to assist dairy farmers with the premium payment for the 2022 USDA Dairy Margin Coverage (DMC) Program. The Program will provide $2,600,000 for reimbursement of the Tier 1 level premiums paid by individual dairy farmers in Vermont for the USDA Dairy Margin Coverage Program.

The deadline to sign up for this program with USDA for the Dairy Margin Coverage Program is March 25 and all interested dairy farmers should contact their county USDA Farm Service Agency (FSA) Office as soon as possible.

Here’s a link to find your county FSA office: USDA Service Center Locator

The program is a reimbursement of the premium paid for the DMC Tier 1 level coverage of enrolling in this program. In the Tier 1 level, the maximum level of premium would be $7,500 however the reimbursement will be for the specific amount paid by the individual farmer for the coverage level desired in the program. Here are further specifics of the program:

  • The milk producer is in good standing with the Agency of Agriculture, Food and Markets and the Agency of Natural Resources; and

  • The milk producer provides proof of payment of an annual (2022) premium payment for participation in Tier 1 of DMC.

  • A milk producer shall apply to the Secretary of the Agency of Agriculture, Food and Markets on or before July 1, 2022, to participate.

  • The Secretary shall reimburse eligible applicants in the order in which the Secretary receives administratively complete applications. The Secretary shall have the discretion to determine when an application is administratively complete.

  • After funds are exhausted, applicants shall no longer be eligible for reimbursement from the Secretary unless or until additional funds are appropriated to the Assistance Program.

This is an early notice of this program, and the application process is being developed at the Agency of Agriculture, Food and Markets. Notice is being provided to encourage all interested farmers to explore the Dairy Margin Coverage Program and determine if the program is right for their farm.

For more information contact Diane Bothfeld.

Please pass along to interested parties.


Diane Bothfeld

Director of Administrative Services, IV and Dairy Policy

Vermont Agency of Agriculture, Food and Markets

116 State Street

Montpelier, Vermont 05620


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