The U.S. Department of Agriculture announced the release of $20 million in funding paused under the administration’s review of the Inflation Reduction Act. Small farms, with tighter profit margins and limited access to credit, are particularly vulnerable as they make up a large portion of the farms participating in federal grant programs that have been frozen. This uncertainty is causing farmers to pull out of markets and cancel contracts, impacting their business plans.
Agriculture Secretary Brooke Rollins criticized the previous administration’s policies and stated that some of the funding released by the USDA went to programs unrelated to agriculture, which is why they are still under review. Farmers like Brian Geier, who was counting on a grant to expand his grazing area, are facing uncertainty as they await the release of promised funds. Geier had to secure a loan from a friend to ensure his lambs have a place to graze.
Farmers, especially those receiving grants related to climate change, are concerned about the freeze on funding and its impact on their projects. Pasa Sustainable Agriculture, managing climate-related projects in 15 states, is owed close to $2 million in reimbursement from the USDA. Executive Director Hannah Smith-Brubaker fears having to lay off staff if the freeze continues. Farmers like Roell, seeking funds to support a new orchard after a hurricane destroyed bee hives, feel let down by the government’s lack of support in times of crisis. The uncertainty surrounding the release of funds is causing farmers to rethink their plans and may have long-term effects on the agricultural industry.
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