In RY2026, LRP Feeder Cattle SCE introduced a “Drought Hardship Exemption”: if the drought substantially worsened during the LRP Feeder Cattle SCE coverage period, insureds were allowed to sell feeder cattle more than 60 days prior to the end date, and remain eligible for indemnity.

Unfortunately, recent events have reminded us that cattle may have to be sold early for other causes as well. Farm Progress reported on March 16, 2026:

For ranchers in western and central Nebraska, it seems their whole world is on fire. On March 12, huge wildfires began spreading across numerous fronts in the state, thanks to low humidity and raging winds. 

So far, it is estimated that well over 600,000 acres have burned from 24 wildfires, and those fires are persisting, eclipsing the previous record for the scope of wildfires set in the extreme drought of 2012. Some experts are saying it is the worst weekend of wildfires in the history of the state. One person was killed trying to evacuate. 

Last week, in the Farm Bill markup session, Rep. Jackson of Texas offered an amendment to address this issue:

The amendment would direct the USDA to study the feasibility of allowing cattle producers with Livestock Risk Protection policies to sell cattle outside the standard contract window without penalty due to adverse weather events, such as wildfires, force early sales.

I would like to express my gratitude to Mr. Stetson Bryson, Deputy Chief of Staff and Legislative Director for Rep. Jackson, who first brought this issue to my attention in mid-December 2025. We worked around the clock to meet the 508(h) submission deadline in early January 2026, and I am very happy to be able to report that two weeks ago the FCIC Board approved modifications to the 2027 LRP Feeder Cattle SCE to address the issue.

The “Drought Hardship Exemption” will be renamed to “Forage Disaster Exemption” and the conditions under which it will trigger will be expanded to cover persistent drought during the grazing period, as well forced sales due to a fire or natural disaster. Specifically to fire or natural disaster, the intent of the change is to provide exemption whenever:

The grazing land is located in a county or area subject to a federal, state or local declaration, designation, order, advisory, or closure relating to a fire or natural disaster that occurs or materially worsens during the coverage period.

The new language will apply to all endorsements sold on or after July 1, 2026.