1

USDA AMS NATIONAL ORGANIC PROGRAM

COST-SHARE PROGRAMS

2012 REPORT TO CONGRESS

A. BACKGROUND

The U.S. Department of Agriculture’s (USDA) Agricultural Marketing Service (AMS) National 

Organic Program (NOP) administers two organic certification cost-share programs. Each program 

provides cost-share assistance, through participating States, to organic producers and/or organic 

handlers. Recipients must receive initial certification or continuation of certification to the NOP 

regulations from a USDA-accredited certifying agent. Reimbursement is currently available at 75 

percent of an operation’s certification costs, up to a maximum of $750 per year. 

The first program is the Agricultural Management Assistance (AMA) Organic Certification

Cost-Share Program, which was established in 2001 as part of the Agricultural Management 

Assistance Program. This program is authorized under Section 1524 of the Federal Crop 

Insurance Act (FCIA), as amended, (7 U.S.C. 1501–1524). It authorizes cost-share assistance to 

producers of organic agricultural products in Connecticut, Delaware, Hawaii, Maine, Maryland, 

Massachusetts, Nevada, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, 

Utah, Vermont, West Virginia, and Wyoming. The AMS received $1.5 million for the fiscal year 

(FY) 2012 AMA program. 

The second program is the National Organic Certification Cost-Share Program, which was reestablished as a part of the Food, Conservation and Energy Act of 2008 (7 U.S.C. 6523). This 

program was initially established as a part of the Farm Security and Rural Investment Act of 2002

(7 U.S.C. 3007). It authorizes cost-share assistance to producers and handlers of organic 

agricultural products in all States and U.S. Territories (hereafter known as “States”). In FY 2008, 

Congress provided on a one-time basis $22 million for this program, to be allocated to States 

until the funds are exhausted. To prevent duplicate assistance payments, producers participating

in the AMA program are not eligible to participate in the producer portion of the National program.

AMS invited State agencies to participate through Federal Register Notices, press releases, 

Grants.gov postings, electronic communications and personal phone calls. On September 6, 

2011, a Notice of Fund Availability was published for both programs in the Federal Register (76 FR 

54999-55000). Both notices and their accompanying press releases were posted on the NOP 

website. The funding opportunities were also posted on Grants.Gov on August 1, 2011. 

B. FY 2012 PARTICIPATION AND FUNDING OBLIGATIONS

Forty-nine states, the Commonwealth of Puerto Rico, and the US Virgin Islands are all enrolled in 

at least one of the cost-share programs for FY 2012, as shown in the map below. Detailed 

enrollment and allocation data are outlined in Table 1 in the appendix. 

• Application instructions and cooperative agreements for the FY 2012 were sent to the 16 

AMA program eligible States. All but Utah are participating in the program. The Utah 
2

Department of Agriculture and Food chose not to submit an application to participate in 

either cost-share program, citing inadequate staff resources to manage it.

• Application instructions and cooperative agreements for the FY 2012 National program 

were sent to the 50 States, U.S. Virgin Islands, Guam, and Puerto Rico. All but Guam and

Utah are participating in the program.

• For the FY 2012 AMA program, $1.5 million will be allotted for cost-share assistance.

• For the FY 2012 National program, $5.747 million has been allotted to the participating 

States for the period October 1, 2011, through September 30, 2012.

1

• Total program funds allotted in FY 2012 for both cost-share programs are $7.247 million.

• To receive funds, State agencies are required to submit requests for disbursements. As of 

January 31, 2012, $6,104,376 has been disbursed to State agencies. Fund requests are 

typically more frequent in the third and fourth fiscal quarters. In FY 2011, about two-thirds 

of fund requests were received in the last half of the fiscal year. 

 1 The allotment has increased from the amount previously reported in the September 6, 2011 press release announcing the 

funds due to re-allocation of unused state funds from the prior fiscal year to meet demand. 
3

C. SUMMARY OF FY 2011 AGRICULTURAL MANAGEMENT 

ASSISTANCE COST SHARE PROGRAMS FUND USE

• Results shown in Table 2 are cumulative data of FY 2011 cost-share assistance payments 

provided to AMA-eligible organic operations certified between October 1, 2010 and 

September 30, 2011. 

• $1.495 million in annual funds were allotted through cooperative agreements to the 15 of 

16 eligible States for the AMA program in FY 2011. 

• As of January 31, 2012, AMA program States provided $1,151,327 in cost-share 

assistance to 1,861 organic producers, an average payment of $619.

• 6 States provided more funds in cost-share assistance during FY 2011 than FY 2010, and 6

states provided funding at approximately the same level. Utah did not participate in the FY 

2011 AMA program.

D. SUMMARY OF NATIONAL PROGRAM FUND USE IN FY 2011

• Results shown in Table 3 are cumulative data of FY 2011 cost-share assistance payments 

provided to organic operations certified between October 1, 2010 and September 30, 

2011. 

• In FY 2011, $5,527,5002 was allotted through cooperative agreements to the participating 

States. 

• As of January 31, 2012, National program States provided $4,953,049 in cost-share 

assistance to 7,482 organic producers or handlers, an average payment of $662. Final 

reports are pending from two States, Pennsylvania and the U.S. Virgin Islands.

• Unused funds or funds returned by States will be reallocated to States through new 

cooperative agreements. 9 States have requested fund increases since September 2011.

• 37 States provided more funds in cost-share assistance during FY 2011 than FY 2010, and 

8 States provided funding at approximately the same level. One State and three territories

did not issue any reimbursements in the FY 2011 National program: Guam, Puerto Rico, 

Utah, and the U.S. Virgin Islands. 

E. OUTREACH AND TECHNICAL ASSISTANCE

The NOP conducted a publicity campaign during FY 2011 to promote the cost-share program.

• Staff made presentations on the cost-share program at 6 national conferences.

• Staff visited 6 state government offices to conduct surveillance activities. 

• Advertisements ran in 12 organic, farmer’s market, and small farm trade publications. 

• Over 16,000 certified organic operations received postcards announcing the program.

• Approximately 3,500 email subscribers received one or more emails about the program.

• Nearly 5,000 brochures on the program were distributed nationwide. FY 2012 brochures 

are also available in Spanish. 

 2 The allotment has increased from the amount previously reported in the 2011 Report to Congress due to re-allocation of 

unused State funds from the prior fiscal year to meet demand. 
4

Table 1: USDA-AMS National Organic Program FY 2012

Cost-Share Program Fund Allotments to Participating States

State

National Program 

Allotments

AMA Program 

Allotments Total Allotments

Alabama $ 10,000 -- $ 10,000 

Alaska 20,000 -- 20,000

Arizona 50,000 -- 50,000 

Arkansas 20,000 -- 20,000 

California 1,050,000 -- 1,050,000 

Colorado 187,000 -- 187,000

Connecticut 5,000 37,500 42,500 

Delaware 7,500 15,000 22,500

Florida 135,000 -- 135,000 

Georgia 45,000 -- 45,000 

Hawaii 20,000 75,000 95,000 

Idaho 100,000 -- 100,000 

Illinois 60,000 -- 60,000 

Indiana 65,000 -- 65,000 

Iowa 305,000 -- 305,000 

Kansas 40,000 -- 40,000 

Kentucky 25,000 -- 25,000

Louisiana 12,500 -- 12,500

Maine 25,000 205,000 230,000 

Maryland 15,000 62,500 77,500 

Massachusetts 30,000 60,000 90,000 

Michigan 130,000 -- 130,000 

Minnesota 435,000 -- 435,000

Mississippi 15,000 -- 15,000 

Missouri 85,000 -- 85,000

Montana 145,000 -- 145,000 

Nebraska 120,000 -- 120,000

Nevada 10,000 15,000 25,000 

New Hampshire 25,000 45,000 70,000

New Jersey 35,000 45,000 80,000 

New Mexico 30,000 -- 30,000 

New York 450,000 450,000 900,000

North Carolina 60,000 -- 60,000 

North Dakota 140,000 -- 140,000 

Ohio 150,000 -- 150,000 

Oklahoma 20,000 -- 20,000 

Oregon 225,000 -- 225,000 

Pennsylvania 40,000 202,500 242,500 

Rhode Island 15,000 20,000 35,000 

South Carolina 10,000 -- 10,000 

South Dakota 75,000 -- 75,000

Tennessee 25,000 -- 25,000 
5

Table 1 continued 

State

National Program 

Allotments

AMA Program 

Allotments Total Allotments

Texas 75,000 -- 75,000

Utah 5,000 0 5,000 

Vermont 30,000 245,000 275,000

Virginia 50,000 -- 50,000 

Washington 600,000 -- 600,000

West Virginia 5,000 7,500 12,500 

Wisconsin 475,000 -- 475,000 

Wyoming 10,000 15,000 25,000 

Guam 5,000 -- 5,000 

Puerto Rico 20,000 -- 20,000

US Virgin Islands 5,000 -- 5,000 

TOTAL $5,747,000 $1,500,000 $7,247,000

Key: -- indicates that State is not eligible for the AMA program.

Table 2: AMA Cost-Share Fund Use by States, FY 2011

State

Total Fund 

Allocation

Funds Used by 

State3

Number of 

Operations 

Assisted

Connecticut $37,500 $21,979 44

Delaware 15,000 2,790 6

Hawaii 75,000 43,606 74

Maine 205,000 164,863 330

Maryland 62,500 32,425 73

Massachusetts 60,000 45,962 75

Nevada 15,000 5,423 17

New Hampshire 45,000 16,437 60

New Jersey 45,000 8,317 25

New York 450,000 395,310 601

Pennsylvania 202,500 156,137* 249*

Rhode Island 20,000 3,713 21

Utah Not participating N/A N/A

Vermont 240,000 240,000 263

West Virginia 7,500 2,595 4

Wyoming 15,000 11,770 19

Total $1,495,000 $1,151,327 1,861

 3 Funds requested for each of the States were the same as those used by the State, except for three States; each state 

returned the following funds: Hawaii ($43,650), Maine ($165,369), and New Hampshire ($25,000). Total fund allocation and 

funds used by state totals are rounded figures. 

Key: * indicates that the State has not submitted final financial reports.
6

Table 3: National Cost-Share State Fund Use, FY 2011

State

Total Fund 

Allocation

Funds Used by 

State4

Number of 

Operations Assisted

Alabama $10,000 $8,224 11

Alaska 22,500 10,680 13

Arizona 50,000 35,188 44

Arkansas 20,000 8,908 14

California 1,050,000 1,017,530 1,475

Colorado 175,000 174,907 240

Connecticut 5,000 5,000 9

Delaware 5,000 4,810 7

Florida 135,000 130,349 214

Georgia 45,000 32,832 48

Hawaii 20,000 9,713 15

Idaho 100,000 96,147 140

Illinois 60,000 59,966 72

Indiana 65,000 64,587 98

Iowa 305,000 232,488 300

Kansas 40,000 33,187 50

Kentucky 20,000 19,454 91

Louisiana 15,000 4,238 9

Maine 25,000 17,277 28

Maryland 15,000 8,250 19

Massachusetts 30,000 21,651 33

Michigan 130,000 128,688 181

Minnesota 405,000 380,712 480

Mississippi 15,000 949 5

Missouri 70,000 70,000 104

Montana 145,000 143,027 214

Nebraska 110,000 75,600 99

Nevada 10,000 3,499 6

New Hampshire 15,000 6,574 14

New Jersey 35,000 21,323 31

New Mexico 30,000 26,937 74

New York 90,000 90,000 116

North Carolina 60,000 59,159 97

North Dakota 140,000 119,427 154

Ohio 250,000 238,409 322

Oklahoma 20,000 5,250 55

Oregon 225,000 224,871 289

 4 Funds requested for each of the States were the same as those used by the State, except two States; each state returned 

the following funds: Kentucky ($20,000) and New Hampshire ($15,000).
7

Table 3 continued

State

Total Fund 

Allocation

Funds Used by 

State

Number of 

Operations Assisted

Pennsylvania 40,000 40,000* 62*

Rhode Island 15,000 1,361 3

South Carolina 10,000 9,464 19

South Dakota 40,000 40,000 61

Tennessee 25,000 20,331 32

Texas 90,000 84,482 128

Utah 5,000 Not participating N/A

Vermont 30,000 27,922 46

Virginia 50,000 34,019 50

Washington 565,000 565,000 1,217

West Virginia 5,000 644 1

Wisconsin 640,000 535,199 685

Wyoming 10,000 4,816 7

Guam 5,000 Not participating N/A

Puerto Rico 30,000 0 0

US Virgin Islands 5,000 0* 0

Total $5,527,500 $4,953,049 7,482

 Total fund allocation and funds used by state totals are rounded figures. All figures are current as of February 16, 2012.

 Key: * indicates that the State has not submitted final financial reports.