Organic Certification Cost Share Program - Introduction

The Organic Certification Cost Share Program (OCCSP) is funded by the United States Department of Agriculture (USDA) and administered by the Farm Service Agency (FSA).

Some state agencies also administer the program but participating states can vary year to year depending on funding and agency priorities. State agencies must apply to FSA to administer the program to producers.

The OCCSP program offsets some of the costs of organic certification for organic farmers and handlers. Organic producers and handlers may apply either to participating state agencies or to the FSA and can receive reimbursements for a range of certification costs including application fees and inspection costs.

Currently, as of 2022, the cost share program provides reimbursement of up to 50% of organic certification costs each year per scope, or, up to a maximum of $500 per scope. This is a reduction in funding levels.

In the past, organic producers and handlers could receive up to a 75% cost reimbursement or a maximum of $750 per scope. However, due to a combination of expected participation levels and limited funding for the fiscal year 2020, funding was reduced 2 .

As this reimbursement reduction coincided withthe COVID-19 pandemic, organic producers andtransitioning operations experienced greaterfinancial challenges. Operators reported significantaccounts of loss of markets, increased costs andlabor shortages, along with the preexisting costs oftransition, certification,and inspection 3 .

Due to the ongoing challenges of the Covid-19pandemic, the USDA created the Organic andTransitional Education and Certification Program(OTECP) as part of the USDA’s Pandemic Assistancefor Producers initiative 4 .

This year, 2022, OTECP covers up to 25% of eligiblecertification costs, or up to a maximum of $250 perscope. With the OTECP program, organic producersand handlers have the ability to apply to OTECPand OCCSP and receive a combinedreimbursement of up to 75% or a maximum of$750 per scope. While producers may apply forOCCSP through participating state agencies orthrough the FSA, the OTECP application is onlyaccepted through the FSA.

This white paper explores potential opportunities to improve OCCSP.

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National and Agricultural Management Assistance Organic Certification Cost Share Programs 2020 Report to Congress

United States Department of Agriculture. (2022, June 7). Organic and Transitional Education and Certification Program. USDA Farmers.gov.

NOTE: As part of the USDA’s Pandemic Assistance for Producers initiative, OTECP was created as a short-term program that is expected to be unavailable after 2022.

50% OR A MAX OF $500 OF CERTIFICATION COSTS PER “SCOPE” * REFUNDED THROUGH THE NATIONAL ORGANIC CERTIFICATION COST SHARE PROGRAM

*CROP, LIVESTOCK, WILD CROP AND HANDLING (ELIGIBLE ORGANIC OPERATIONS)