2014 Farm Bill

Page 1

UNITED STATES DEPARTMENT OF AGRICULTURE

FARM SERVICE AGENCY FACT SHEET June 2016

Cotton Ginning Cost-Share (CGCS) Program

OVERVIEW

The Cotton Ginning Cost-Share (CGCS) program 

provides cost-share assistance payments to cotton 

producers with a share in the 2015 cotton crop. The 

CGCS program was established under the statutory 

authority of the Commodity Credit Corporation 

Charter Act and is under the administration of the U.S. 

Department of Agriculture (USDA) Farm Service 

Agency (FSA).

The sign-up period for the CGCS program is 

June 20, 2016, through Aug. 5, 2016.

The CGCS program is a program that provides cotton 

producers with cost-share payments for their cotton 

ginning costs based on their share of 2015 cotton 

plantings.

Through the CGCS program, eligible producers can 

receive a one-time cost share payment, which is based 

on a producer’s share of 2015 cotton acres reported to 

FSA multiplied by a payment rate equal to 40 percent of 

the average ginning cost for each production region. The 

payment rates are as follows:

• $47.44 for the Southeast (AL, FL, GA, NC, SC, 

VA);

• $56.26 for the Mid-South (AR, IL, KY, LA, MS, 

MO, TN);

• $36.97 for the Southwest (KS, OK, TX); and

• $97.41 for the West (AZ, CA, NM).

For example, a Texas cotton producer who reported 

100 acres planted to cotton and has a 100 percent stake 

in the production, would receive a CGCS program 

payment of $3,697.

Calculation: CGCS Program Cost Share Payment =

 acres x share x cost share rate

 $3,697 = 100 x 100% x $36.97 (Southwest)

All CGCS program payments are based on the acreage 

reporting the cotton producer filed at their local FSA 

service center.

LIMITATIONS

The CGCS program only applies to cotton producers 

who have an interest/share in 2015 cotton acres as 

reported to FSA county offices on form FSA-578. Cost 

share payments are capped at $40,000 per individual or 

entity. CGCS program payments do not count against 

the 2014 Farm Bill payment limitations.

ELIGIBILITY

To be eligible for a CGCS program payment, each 

applicant is required to be a person or legal entity who 

was actively engaged in farming in 2015 and who 

complies with requirements including, but not limited 

to, those pertaining to highly erodible land conservation 

and wetland conservation provisions, commonly 

referred to as the conservation compliance provisions.

A producer’s 3-year average adjusted gross income 

may not exceed $900,000 in order to be eligible CGCS 

payments.

WHERE TO FILE THE APPLICATION

CGCS program applications can be submitted to FSA 

either in person, by FAX or by email.

FOR MORE INFORMATION

For more information about the CGCS program, visit 

www.fsa.usda.gov/cgcs or contact your local FSA 

office. To find your local FSA office, visit 

http://offices.usda.gov.

_________________________________________

In accordance with Federal civil rights law and U.S. Department of Agriculture 

(USDA) civil rights regulations and policies, the USDA, its Agencies, offices, and 

employees, and institutions participating in or administering USDA programs are 

prohibited from discriminating based on race, color, national origin, religion, sex, gender identity (including gender expression), sexual orientation, disability, age, marital 

status, family/parental status, income derived from a public assistance program, political beliefs, or reprisal or retaliation for prior civil rights activity, in any program or 

activity conducted or funded by USDA (not all bases apply to all programs). Remedies 

and complaint filing deadlines vary by program or incident.

Persons with disabilities who require alternative means of communication for program 

information (e.g., Braille, large print, audiotape, American Sign Language, etc.) 

should contact the responsible Agency or USDA’s TARGET Center at (202) 720-2600 

(voice and TTY) or contact USDA through the Federal Relay Service at (800) 877-

8339. Additionally, program information may be made available in languages other 

than English.

To file a program discrimination complaint, complete the USDA Program Discrimination Complaint Form, AD-3027, found online at http://www.ascr.usda.gov/complaint_filing_cust.html and at any USDA office or write a letter addressed to USDA 

and provide in the letter all of the information requested in the form. To request a copy 

of the complaint form, call (866) 632-9992. Submit your completed form or letter to 

USDA by:

1) mail: U.S. Department of Agriculture Office of the Assistant

 Secretary for Civil Rights 1400 Independence Avenue, SW

 Washington, D.C. 20250-9410;

2) fax: (202) 690-7442; or

3) email: program.intake@usda.gov.

USDA is an equal opportunity provider, employer, and lender.