Distribute pandemic market volatility assistance program monies to dairy farmers who received a lower value due to market abnormalities caused by the pandemic and ensuing federal policies

Through a $1.3 million cooperative agreement from the United States Department of Agriculture Agricultural Marketing Service, Lone Star Milk Producers, Inc. will distribute Pandemic Market Volatility Assistance Program (PMVAP, CFDA 10.183) funds to eligible dairy producers. As the recipient of the award, effective April 5, 2023 through December 31, 2024, Lone Star Milk Producers will disburse PMVAP monies to dairy farmers in Texas who received lower milk prices due to market abnormalities caused by the COVID-19 pandemic and related policies. In addition to distributing funds, Lone Star Milk Producers must obtain adjusted gross income attestations, issue 1099-MISC forms reflecting payments of less than $100 to producers, document proper payment distribution according to program rules, and provide dairy policy education. There are no subawards or partners involved. The PMVAP aims to provide pandemic assistance payments through cooperative agreements with raw milk buyers to dairy farmers impacted by the pandemic.

Recipients will disburse pmvap monies to eligible producers. In additional, recipients must obtain adjusted gross income attestations from eligible producers, issue 1099-misc to each producer reflecting their pmvap payment, provide documentation payments were made in accordance to program rules, and provide dairy policy education to eligible producers. Recipients will disburse all pmvap monies to eligible producers, provide and document dairy policy education efforts, and be subject to payment verification by USDA staff. Dairy farmers whose milk we marketed to a federal milk marketing order regulated handler during july through december 2020 are the intended beneficiaries. There are no subrecipient activities.