USDA’s Farm Service Agency (FSA) is updating the Livestock Indemnity Program (LIP) payment rate to support livestock producers in the Midwest who have lost cattle to the extreme heat and humidity experienced this summer. The 2023 LIP payment rate for beef calves over 800 pounds will increase from $1,244 per head to $1,618. “The recent heat domes plaguing many parts of the country have proven to be unsurvivable for some animals and temperatures are not expected to let up any time soon. This is one of the latest, many examples of how a changing climate is creating immediate challenges for farmers and ranchers, and we’re finding that our emergency relief programs need to adapt accordingly,” said FSA Administrator Zach Ducheneaux. LIP provides benefits to livestock owners and some contract growers for livestock deaths exceeding normal mortality from eligible adverse weather events, certain predation losses and reduced sales prices due to injury from an eligible loss. Indemnity payments are made at a rate of 75% of the prior year’s average fair market value of the livestock. The updated LIP payment rate is effective immediately and will be applied retroactively starting January 1, 2023, for all eligible causes of loss including excessive heat, tornado, winter storms, and other qualifying adverse weather.