The U.S. Department of Agriculture (USDA) has frozen some farm funding as it undergoes a broad review, despite prior assurances from the Trump administration that farmer programs would remain untouched.
The freeze has affected various assistance programs, including support for ranchers fixing cattle watering systems and aid for corn growers planting cover crops to reduce wind erosion. Some halted funds stem from the 2022 Inflation Reduction Act, which allocated $19.5 billion over a decade for conservation programs.
The White House initially proposed freezing federal loans and grants on January 27 but later rescinded the plan, which remains temporarily blocked in court. However, the funding pause has added economic uncertainty for farmers already struggling with low crop prices.
Many farmers, who largely supported Trump in past elections, are now facing financial strain. National Farmers Union President Rob Larew told the Senate Agriculture Committee that farmers nationwide are missing expected USDA conservation payments.
Missouri cattle producer Skylar Holden revealed on TikTok that his $240,000 contract with USDA’s Environmental Quality Incentives Program (EQIP) was frozen. Having already paid for materials and labor, Holden fears losing his farm if the USDA does not honor its contract.
A USDA spokesperson said all agencies are reviewing programs and will provide updates once Brooke Rollins, Trump’s nominee to lead the agency, is confirmed. Meanwhile, a letter from Democratic lawmakers warned that halting payments could devastate rural economies.
The funding pause has also impacted USDA’s $3.1 billion Partnership for Climate-Smart Commodities, which supports sustainable farming projects across the U.S. The freeze extends to funds from the Commodity Credit Corporation, a key financial institution created during the Great Depression.
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