Milk Loss Program (MLP) (MLP)

The American Relief Act, 2025, provides up to $1.65 million in Milk Loss Program (MLP) payments to eligible dairy operations for milk that was dumped or removed without compensation from the commercial milk market because of a qualifying weather event in 2023 and/or 2024.

Dairy operations that dumped or removed milk, without compensation, from the commercial milk market due to a qualifying weather event that impacted the delivery or storage of milk (e.g., power outages, impassable roads, infrastructure losses, etc.) during calendar years 2023 and 2024 may be eligible for assistance.

Qualifying disaster events include droughts, wildfires, hurricanes, floods, derechos, excessive heat, tornadoes, excessive moisture, winter storms, freeze (including a polar vortex) and smoke exposure that occurred in 2023 and/or 2024.

Yearly claims are limited to 30 days per year for 2023 and 2024.

The MLP payment is determined by factoring the MLP payment calculation by the 75% MLP payment percentage.

The calculation for determining MLP payments is: (Base period per cow average daily milk production x the number of milking cows in a claim period x the number of days milk was dumped in a claim period) ÷ 100 x pay price per hundredweight (cwt.). The milk loss base period is the first full month of production before milk was dumped or removed.

If program participation exceeds the $1.65 million in available MLP funding, payments will be prorated based on the sum of eligible payments and available funds.

To apply for MLP, producers must submit: 

• FSA-376, Milk Loss Program Application

• Milk marketing statement from the:

  • Month prior to the month milk was removed or dumped.

  • Affected month.

• Detailed written statement of milk removal circumstances, including the weather event type and geographic scope, what transportation limitations occurred and any information on what was done with the removed milk.

• Any other information required by the regulation.

Contact your local FSA Service Center.