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African American farmer talking on cell phone in field

AUBURN UNIVERSITY, Ala. – Alabama Gov. Kay Ivey recently allocated $26 million to assist Alabama agricultural producers and processors that were affected by COVID-19. Through the Alabama Agricultural Stabilization Program (AASP), eligible farmers can apply for this assistance.

The funds for the AASP were allocated from the Coronavirus Aid, Relief and Economic Security Act (CARES Act). In total, Alabama received approximately $1.9 billion through the CARES Act, to which Ivey has appropriated for different programs.

Adam Rabinowitz, an Alabama Extension economist, said the funding through AASP is essential for agribusinesses impacted by COVID-19.

“While the USDA Farm Service Agency is managing the national Coronavirus Food Assistance Program (CFAP), that program does not cover all segments of agriculture that have been impacted by the pandemic,” Rabinowitz said. “This program helps bridge that gap by providing funding for other producers and processors not covered by CFAP.”

The AASP also provides additional funding for producers that were covered by CFAP but the program did not cover the full price impact or additional costs incurred to protect workers.

Eligible Producers and Processors

The following table from the Alabama Department of Agriculture and Industries (ADAI) depicts the eligible producers and processors, as well as other important information about applying for the program. The information in the table is subject to change. For the most up-to-date information, visit the ADAI website.

 

Alabama Agricultural Stabilization Program*

courtesy of the Alabama Department of Agriculture and Industries

*information is subject to change
TypeAmountApplications Available Applications DeadlineHow to Apply
Meat Processors$1.5 MillionAugust 24September 15Contact
Lynn.Blue@agi.alabama.gov
Catfish Processors$500,000August 24September 15Contact
Patrick.Moody@agi.alabama.gov
Fruit & Vegetable Processors$500,000August 24September 15Contact
Don.Wambles@agi.alabama.gov
Cattle Producers$10.5 MillionSeptember 8October 9Application available online September 8 at www.agi.alabama.gov
Nursery Growers$1 MillionSeptember 15October 15Application available online September 15 at www.agi.alabama.gov
State CFAP Supplemental Program$8 MillionSeptember 15October 15Application available online September 15 at www.agi.alabama.gov
Poultry Farmers$4 MillionOctober 1October 31Application available online October 1 at www.agi.alabama.gov

 

Limitations

There are some limitations to how producers and processors can use the funds from the AASP. Funds cannot be used for salaries, building projects or capital improvements. There are other limitations that are specific to each program within AASP.

Rabinowitz said these limitations are specific to how different agribusinesses have been impacted as a result of COVID-19.

“For some, the primary disruptions were market access and market prices, while for others it was the need to purchase PPE and other equipment to ensure worker safety,” he said. “This is why different programs within the AASP have different limitations on what losses can be covered or expenses can be reimbursed.”

More Information

For more information on the Alabama Agricultural Stabilization Program, visit the ADAI website. There, producers and processors will find a brief summary of each program under AASP, as well as the entire memorandum of the program. For more information, contact a member of the Alabama Extension farm and agribusiness management team or visit www.aces.edu.

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