REPORT TO 

CONGRESS 

Fiscal Year 2017 

NATIONAL AND AGRICULTURAL MANAGEMENT 

ASSISTANCE ORGANIC CERTIFICATION COST SHARE 

PROGRAMS 

I. BACKGROUND 

The U.S. Department of Agriculture (USDA) administers two organic certification cost share 

programs: the National Organic Certification Cost Share Program (National) and the Agricultural 

Management Assistance Organic Certification Cost Share Program (AMA), collectively referred 

to as the Organic Certification Cost Share Programs (OCCSP). USDA implemented OCCSP 

through the Agricultural Marketing Service (AMS) beginning in fiscal year (FY) 2008. In FYs 

2008 through 2016, AMS administered the program through grant agreements with State 

agencies, which allowed State agencies to accept applications from producers and handlers and 

make cost share payments after receiving funds through AMS. 

On August 3, 2016, the Secretary delegated authority to the Farm Service Agency (FSA) to 

administer OCCSP. FSA provides cost share assistance in the following two ways: 1) State 

agencies may continue to provide cost share payments to producers and handlers by establishing 

a grant agreement with FSA or 2) producers and handlers may apply directly to one of FSA's 

2,100 county offices (COF) for cost share payments. In states where a State agency continues to 

participate in OCCSP, applicants may not apply through both the State agency and FSA COF for 

cost share assistance for the same costs in the same program year. 

In 2017, FSA announced the availability of the National and AMA funds through a variety of 

communication channels, such as telephone calls and emails to state contacts, outreach 

materials, and informational postings to Grants.gov and through the FSA Web site 

https ://www/fsa. usda. gov /programs-and-services/ occsp/index. 

To be eligible for OCCSP, applicants must receive an initial certification or continuation of 

certification from a USDA-accredited certifying agent, in accordance with the USDA organic 

regulations. The annual reimbursement is set at 75 percent of certification costs, with a 

maximum of $750 per certification category: crops, livestock, wild crops, processing/handling, 

and State Organic Program fees. 1 Operations that are certified in more than one category are 

eligible for a maximum reimbursement of $750 per certification category, not to exceed 75 

percent of total certification costs. 

1 State Organic Program fee was added as an eligible category in 2017. It applies only to producers in a state with a 

recognized State Organic Program under the National Organic Program regulations. 

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A. National OCCSP 

The National OCCSP is authorized under Section 10606 of the Farm Security and Rural 

Investment Act of 2002 (7 U.S.C. 6523), as amended by Section 10004(c) of the Agriculture 

Act of 2014 (2014 Farm Bill; Public Law 113-79) which reauthorized the National OCCSP 

and provided "no year" funding, available to certified organic producers and handlers in the 50 

States, the District of Columbia, and five U.S. Territories (hereafter referred to as "States"). 

Twenty-two State agencies chose not to participate in FY 2017; however, certified operations 

in all states could participate through FSA county offices. State agencies that did not 

participate are American Samoa, Colorado, Delaware, the District of Columbia, Georgia, 

Guam, Idaho, Illinois, Indiana, Iowa, Michigan, Nevada, New Mexico, the Northern Mariana 

Islands, Oklahoma, Puerto Rico, South Carolina, South Dakota, Tennessee, U.S. Virgin 

Islands, Utah, and West Virginia. Louisiana participated by counter-signing the grant 

agreement, but no reimbursement requests have been submitted to date. 

In addition to National OCCSP funds provided through FY 2017 grant agreements, AMS 

issued multi-year National OCCSP agreements during FY 2015 to all participating State 

agencies. This enabled the State agencies to continue to have funding in later years for 

reimbursements. Some State agencies have funds remaining from their 2015 agreements, 

which they can continue to use to reimburse operations for eligible expenses incurred through 

September 30, 2018. 

B. The AMA OCCSP 

The AMA OCCSP is authorized under the Federal Crop Insurance Act (FCIA), as amended 

(7 U.S.C. 1524(b)). Under this authority, Congress authorizes USDA to annually provide 

organic certification cost share assistance to certified organic producers operating in 16 

specifically named States: Connecticut, Delaware, Hawaii, Maine, Maryland, Massachusetts, 

Nevada, New Hampshire, New Jersey, New York, Pennsylvania, Rhode Island, Utah, Vermont, 

West Virginia, and Wyoming. State agencies in Delaware, Nevada, Utah, and West Virginia 

chose not to participate, citing inadequate resources to manage the program or a decision to let 

FSA administer all OCCSP payments in that State. To prevent duplicate assistance payments, 

producers participating in the AMA OCCSP are not eligible to participate in the producer 

portion of the National OCCSP. 

II. FISCAL YEAR2017 

A. National Participation 

Under the 2017 National OCCSP, $10, 706,5002 was apportioned for 56 States. FSA allocated 

$7,004,114 to the 34 State agencies that signed grant agreements. These State agencies 

subsequently disbursed $5,915,230 in cost share assistance to 10,604 qualifying organic 

operations. Funds apportioned for FY 2017 that were not allocated to State agencies were 

2 In fiscal year 2017, National OCCSP was authorized $11,500,000 and then sequestered at 6.9% for a total apportionment of 

$10,706,500. 

2 
available to provide payments directly to certified operations through FSA COFs and cover 

FSA administrative costs. Under the 2017 National OCCSP, FSA COFs have disbursed 

$1,571,365 to 2,096 applicants. Remaining FY 2017 National OCCSP funds that were not 

spent by State agencies or FSA remain available for FY 2018. In addition to 2017 National 

OCCSP funding, State agencies provided $1,076,251 in FY 2017 payments using funds 

remaining from their 2015 multi-year agreements with AMS. 

The Appendix to this report provides state-by-state data on the funds allocated and disbursed by 

participating State agencies and FSA COFs. National OCCSP agreements signed by 

participating State agencies for 2017 are in effect from October 1, 2016, through September 30, 

2018. Over one third of participating State agencies have disbursed all of their allocated funds 

for 2017 at the time of this report. The other participating State agencies may retain their 

remaining funds until fully dispersed. Disbursements vary by the number of requests for 

reimbursement submitted by organic operations. 

B. AMA Participation 

Under the 2017 AMA OCCSP, $931,0003 was apportioned for 16 States authorized to receive 

funds by the legislation. FSA allocated $802,000 to the 12 States that signed agreements with 

FSA to participate. The $132,000 difference between the total apportionment for the program 

and the amount FSA allocated to the 12 participating States was available to make payments 

through FSA COFs and cover FSA administrative costs. The participating State agencies 

subsequently disbursed $768,610 in cost share assistance to 1,125 qualifying organic 

operations. FSA COF's disbursed $72,998 to 108 qualifying organic operations. Unused funds 

are returned to the Treasury because AMA OCCSP funds are annual funds. 

The Appendix to this report provides state-by-state data on the funds allocated and disbursed by 

participating State agencies and FSA COFs. AMA OCCSP agreements signed by participating 

State agencies for 2017 were in effect from October 1, 2016, through September 30, 2017. 

Over one third of participating State agencies disbursed their total allocation, and others did not 

receive enough requests from eligible organic operations for certification cost reimbursement to 

expend their total allocation. 

3 In fiscal year 2017, AMA OCCSP was authorized $1,000,000 and then sequestered at 6.9% for a total apportionment of 

$931,000. 

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III. APPENDIX 

National Organic Certification Cost Share Program FY 2017 Allocation and Disbursement 

State A2encv Fundin2 and Disbursements Funds 

2015 Carryover Disbursed 

by FSA Number of 

FY2017 FY 2017 Funds Funds County Operations 

State Allocation1 Disbursed2 Disbursed3 ()ffinft~ Assisted4 

Alabama $5,000 $5,000 $0 $1,260 9 

Alaska $12,000 $8,812 $0 $750 13 

American Samoa NIA $0 NIA $0 0 

Arizona $75,000 $74,574 NIA $9,825 110 

Arkansas $7,000 $6,832 $0 $6,004 23 

California $2,674,000 $1,892,080 NIA $15,609 3,140 

Colorado NIA $0 NIA $127,438 168 

Connecticut $5,000 $5,000 $18,590 $3,102 37 

Delaware NIA $0 $0 $3,428 5 

Dist. of Columbia NIA $0 NIA $0 0 

Florida $151,000 $81 ,556 $2,781 $3,751 120 

Georgia NIA $0 $0 $31,996 44 

Guam NIA $0 NIA $0 0 

Hawaii $5,000 $4,691 $41,734 $43,185 67 

Idaho NIA $0 $0 $103,287 135 

Illinois NIA $0 $0 $83,561 111 

Indiana NIA $0 $0 $109,027 133 

Iowa NIA $0 $0 $270,654 400 

Kansas $67,000 $46,962 $0 $20,416 83 

Kentucky $50,000 $50,000 NIA $750 127 

Louisiana $5,000 $0 $8,048 $9,706 11 

Maine $300,000 $290,412 NIA $0 393 

Maryland $5,000 $4,947 $25,104 $1,322 44 

Massachusetts $5,000 $5,000 $29,717 $5,716 55 

Michigan NIA $0 $0 $203, 132 276 

Minnesota $388,000 $388,000 $0 $22,744 504 

Mississippi $5,000 $825 $0 $16,330 15 

Missouri $71,000 $71 ,000 $18,031 $25,227 188 

Montana $150,000 $148,416 $2,792 $18,135 385 

Nebraska $5,000 $2,887 NIA $100,192 141 

Nevada NIA $0 $27,472 $3,376 42 

New Hampshire $5,000 $4,625 $0 $2,326 13 

New Jersey $5,000 $5,000 $58,263 $1,852 89 

New Mexico NIA $0 $14,129 $4,464 25 

New York $115,000 $113,810 $385,481 $30,648 712 

North Carolina $237,114 $209,990 $0 $17,234 872 

North Dakota $229,000 $103,600 NIA $0 137 

N. Mariana Islands NIA $0 NIA $0 0 

Ohio $200,000 $200,000 $84,915 $13,104 399 

Oklahoma NIA $0 $0 $12,994 26 

Oregon $237,000 $236,946 $45,930 $30,655 416 

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State A2encv Fundin2 and Disbursements Funds 

2015 Carryover Disbursed 

Number of by FSA FY2017 FY 2017 Funds Funds County Operations 

State Allocation1 Disbursed2 Disbursed3 orr;,..,., Assisted4 

Pennsylvania $5,000 $4,990 $236,900 $4,824 330 

Puerto Rico NIA $0 $0 $0 0 

Rhode Island $5,000 $4,804 $2,588 $1,500 21 

South Carolina NIA $0 $0 $4,595 9 

South Dakota NIA $0 $0 $37,077 51 

Tennessee NIA $0 $0 $21,113 30 

Texas $5,000 $5,000 $80,954 $37,626 165 

U.S. Virgin Islands NIA $0 $0 $0 0 

Utah NIA $0 NIA $6,774 10 

Vermont $343,000 $324,952 NIA $4,493 426 

Virginia $22,000 $19,931 $24,217 $39,759 111 

Washington $601,000 $584,631 NIA $17,938 870 

West Virginia NIA $0 $0 $4,516 7 

Wisconsin $1,005,000 $1,004,957 NIA $32,888 1,163 

Wyoming $5,000 $5,000 $18,255 $5,062 39 

Total $7,004,114 $5,915,230 $1,125,901 $1,571,365 12,700 

1 Amount FSA authorized the State agency to use for reimbursement to certified organic operations plus indirect cost, if applicable, to cover 

State agencies administrative expenses. NIA represents non-participation by the State agency. 2 Funds paid by State agency to reimburse certified organic operators plus indirect cost, if applicable, to cover State agencies administrative 

expenses. Any difference between the amount requested and the amount paid to operators is held for disbursement if needed for FY 2018. 3 

This column includes funds requested in the program year, but some requests may include funds reimbursed during the 2017 program year, 

but covering 2016 program year payments. NIA represents the State agency has no carryover funds remaining. $0 represents the Stage agency 

has carryover funds, but did not use those funds in 2017 program year. 4

This column represents all producers and handlers that received reimbursement through State agencies and FSA COFs. 

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C , 

State Agency Funding and Disbursements Funds Disbursed Number of 

by FSA County Operations 

State FY 2017 Allocation1 FY 2017 Funds Disbursed2 Offices Assisted3 

Connecticut $24,000 $24,000 $638 45 

Delaware NIA $0 $0 0 

Hawaii $30,000 $29,783 $4,958 56 

Maine $92,000 $91,609 $0 123 

Maryland $33,000 $32,940 $0 66 

Massachusetts $48,000 $45,712 $6,971 71 

Nevada NIA $0 $2,024 3 

New Hampshire $33,000 $16,132 $0 49 

New Jersey $16,000 $16,000 $1,943 47 

New York $219,000 $219,000 $22,796 329 

Pennsylvania $164,000 $164,000 $4,124 226 

Rhode Island $5,000 $4,934 $0 19 

Utah NIA $0 $13,421 18 

Vermont $120,000 $120,000 $8,042 164 

West Virginia NIA $0 $7,656 10 

Wyoming $18,000 $4,500 $425 7 

Total $802,000 $768,610 $72,998 1,233 

1 Amount FSA authorized the State agency to use for reimbursement to certified organic operations plus indirect cost, if applicable, to cover 

State agencies administrative expenses. NIA represents non-participation by the State agency. 

2 Funds paid by State agency to reimburse certified organic operators plus indirect cost, if applicable, to cover State agencies administrative 

expenses. Any difference between the amount requested and the amount paid to operators is returned to the federal government. 3 This column represents all producers that received reimbursement through State agencies and FSA COFs. 

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