How the Biomass Crop Assistance Program Works

What the Biomass Crop information Program Does

The Biomass Crop information Program (BCAP) is a U.S. Department of Agriculture initiative that provides payments to farmers and landowners who grow crops specifically for energy production rather than food or animal feed. The program reimburses you for the cost of establishing perennial energy crops — like switchgrass, miscanthus, or woody plants — and pays you annually for harvesting and delivering those crops to a conversion facility.

BCAP operates in two main components. The first covers the upfront costs of planting energy crops on your land. The second provides ongoing annual payments for each ton of biomass you deliver to a facility that converts it into energy, biofuel, or bio-based products. You do not receive both payments for the same acre in the same year — you choose which component fits your situation.

The program is designed for working agricultural land. You must own or control the land where crops will grow, and the facility receiving your biomass must be operational and able to process what you deliver. BCAP is not a subsidy for growing food crops or for land that is already in production for conventional agriculture.

Key Takeaways

• BCAP pays farmers to establish perennial energy crops and then compensates them for each ton delivered to a biomass conversion facility.
• You can receive establishment payments to cover planting costs, or annual harvest and delivery payments, but not both in the same year on the same land.
• Your land must be suitable for perennial crop production, and you must have a contract with a biomass conversion facility before you can receive harvest payments.
• The program is administered through your local USDA Farm Service Agency office, which handles enrollment, payment processing, and compliance verification.
• Payment rates and acreage limits vary by state and change annually, so contacting your FSA office is the only way to learn what your land may be worth.

The Two Payment Components and How They Work

Establishment payments reimburse you for the direct costs of planting perennial energy crops. These costs include seeds, seedlings, site preparation, and labor for planting. The USDA covers a percentage of your actual expenses — the exact percentage varies by state and year. You submit receipts and documentation of what you spent, and the FSA reimburses you after the crop is planted and verified.

Establishment payments are one-time only. Once you receive them for a particular acre, you cannot receive them again for that same land unless the crop dies and you replant it. The payment is meant to offset the financial burden of converting land from conventional use to energy crop production.

Harvest and delivery payments are annual payments you receive for each ton of biomass you cut and deliver to a conversion facility. The facility must be registered with USDA and must actually process the material into energy or bio-based products. You receive a payment per ton based on a formula that includes the market price of biomass in your region and a USDA-set support level.

To receive harvest payments, you must have a written contract with the conversion facility that specifies the price per ton, delivery schedule, and quality standards. The facility reports your deliveries to the USDA, and the FSA processes your payment based on those reports. Harvest payments continue year after year as long as you keep delivering biomass and meet program requirements.

Land may be able to access and What Crops may have access to

Your land must be cropland, pastureland, or marginal agricultural land — meaning it is currently used for farming or could reasonably be farmed. You cannot enroll land that is already in a federal conservation program like the Conservation Reserve Program (CRP) unless you remove it from that program first. Wetlands, highly erodible land, and protected environmental areas are generally ineligible.

The crops that may have access to are perennial plants grown specifically for energy conversion. Common examples include switchgrass, miscanthus, giant reed, and woody biomass crops like willow or poplar. Annual crops like corn or soybeans do not may have access to, even if you plan to use them for biofuel. The crop must be one that the USDA has approved for your region — approval varies by state because climate and soil conditions differ.

You must own the land outright or have a long-term lease (typically at least five years remaining). If you rent the land, you need written permission from the owner to enroll it in BCAP. The landowner may need to sign the enrollment agreement alongside you.

How to Start: Working With Your Local FSA Office

Contact your county Farm Service Agency office to learn whether BCAP is currently accepting new enrollments in your state. The program does not run continuously — it opens and closes based on available funding and congressional appropriations. Your FSA office can tell you the current status, payment rates for your region, and acreage limits.

Bring documentation of your land: a map showing the acres you want to enroll, proof of ownership or a copy of your lease, and soil test results if you have them. The FSA will assess whether your land meets the program's requirements and whether the crops you want to grow are approved for your area.

If you plan to pursue harvest and delivery payments, you will also need to identify a conversion facility that will accept your biomass. Contact facilities in your region and ask whether they are registered with USDA and whether they will sign a contract with you. Some facilities have waiting lists or specific crop preferences, so this step may take time.

Once the FSA confirms your land is may be able to access and you have a facility contract (if pursuing harvest payments), you will sign an enrollment agreement. This agreement specifies which component you are using, the payment rates that explore, and your obligations to maintain the crop and report deliveries.

Establishment Payment Process and Timeline

After you enroll, you will receive a cost-share agreement that outlines what expenses BCAP will cover. You then plant your energy crop according to the agreement's specifications. Keep all receipts and invoices for seeds, equipment rental, labor, and materials — you will need to submit these to the FSA.

Once planting is complete, notify your FSA office so they can send an inspector to verify that the crop was planted correctly and that it meets program standards. This verification usually happens within a few weeks of planting. If the inspection passes, you submit your receipts and a reimbursement request.

Payment processing typically takes four to eight weeks after the FSA receives your complete request. The FSA will reimburse you for the percentage of costs covered by the program, usually as a direct deposit to your bank account. The exact timeline depends on how quickly you submit documentation and how busy your local FSA office is.

Harvest Payments and Ongoing Compliance

Once your energy crop is mature and producing biomass, you can begin harvesting and delivering to your contracted facility. The facility will weigh and document each delivery, then report the tonnage to the USDA. You do not submit harvest reports yourself — the facility does this on your behalf.

The FSA uses the facility's reports to calculate your annual payment. Payment is based on the tons delivered multiplied by the per-ton rate set for your state that year. Rates change annually and are published by the USDA before the harvest season begins. Your FSA office can tell you what the current rate is.

You must maintain the crop in good condition and continue delivering biomass each year to keep receiving payments. If you abandon the crop or stop delivering for a year, you may lose may be able to access. The program also requires that you do not use prohibited pesticides or violate environmental rules on the enrolled land.

Payment Rates, Acreage Limits, and Regional Variation

BCAP payment rates are not fixed — they vary significantly by state and change from year to year based on market conditions and program funding. Establishment payment rates typically cover 50 to 75 percent of your planting costs, but the exact percentage depends on your state. Harvest payment rates are usually quoted as a dollar amount per ton, and they fluctuate based on regional biomass prices.

The program also sets limits on how many acres you can enroll in a single year and how much total payment you can receive. These limits vary by state and are adjusted annually. Your FSA office will tell you what the current limits are for your county.

Because rates and limits change, the only way to know what your land might be worth under BCAP is to contact your local FSA office directly. A website or general guide cannot tell you the actual payment you would receive — that number depends on your specific location, the crop you choose, and the year you enroll.

Frequently Asked Questions

Can I enroll land that is currently in the Conservation Reserve Program?

No, not while it is enrolled in CRP. You would need to request early termination of your CRP contract first, which may involve paying back some of the payments you received. Once CRP ends, the land becomes may be able to access for BCAP. Contact your FSA office to discuss the costs and timeline of exiting CRP before you commit to BCAP.

What happens if the biomass conversion facility closes or stops accepting deliveries?

If your facility closes, you lose the market for your biomass and cannot receive harvest payments unless you find another registered facility willing to contract with you. This is a real risk — before you plant, research the facility's financial stability and ask how long they have been operating. Some farmers contract with multiple facilities to reduce this risk.

Do I have to sell my biomass to the facility at the price they offer?

Yes, if you have a contract with them. The contract sets the price per ton, and that is what you receive. You cannot shop around or sell to a different buyer without breaking the contract. Read the contract carefully before you sign, and negotiate the price and terms before you commit to planting.

Can I use BCAP payments if I am already receiving crop insurance or other farm subsidies?

BCAP payments are separate from crop insurance and most other farm programs, so you can usually receive both. However, some federal programs have rules against "stacking" payments on the same land. Ask your FSA office whether combining BCAP with your other programs will affect your payments or create compliance issues.

How long does the energy crop have to stay on the land after I receive establishment payments?

BCAP requires that you maintain the crop for a minimum period — typically five to ten years depending on the crop type and your state. If you remove the crop before that period ends, you may have to repay some or all of the establishment payments you received. Check your enrollment agreement for the specific requirement in your case.