O DAIRY Act of 2025

This bill aims to keep organic dairy farms and processors afloat and strengthen local milk markets. It expands disaster help to cover losses from spikes in organic feed and other costs when a farm’s net income drops by more than 10% in a year, and it tells USDA to speed up payments to farmers who qualify . It also requires better data on organic milk—monthly price surveys within 90 days, and regular reports within 180 days that track the cost to produce organic milk, regional production, mailbox prices, and feed prices—so policies match real-world costs . Within a year, USDA must propose a new safety net designed for organic dairy, open it for public comment, make all organic farms eligible, and focus support on small farms; a follow-up report to Congress is due within two years .

To build stronger local markets, within 180 days USDA must start a funding program for regional organic processing—new plants that serve multiple small farms, on-farm processing and storage, milk aggregation sites, help with business plans and start-up capital, institutional buying of local organic milk, and added capacity for co-packing and tolling . USDA must also place regional Organic Dairy Market Specialists to study prices, costs, quality standards, certification, buyer competition, and branding, and to report on options like an organic dairy insurance program; these posts can be at USDA or universities and are funded for five years, with possible renewals. Congress authorizes $20 million per year for the processing program and $5 million per year for the specialist network from 2025–2029 .

• Who is affected: Organic dairy farmers and processors, especially small farms; regional buyers and consumers who want local organic milk .
• What changes: Expanded disaster aid; faster payments; new price and cost reporting; a tailored safety net; grants for processing and market-building; regional experts to guide policy and markets .
• When: Surveys in 90 days; reports and grants within 180 days; safety net proposal in 1 year; congressional report in 2 years; funding authorized 2025–2029 .