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Farmers Struggle as USDA Freezes Agriculture Funds

Feb 12, 2025
By Farms.com

President’s Executive Order Halts Funding for Key Farm Programs

Farmers across the U.S. are grappling with financial uncertainty after the U.S. Department of Agriculture (USDA) froze funding for key agricultural programs under the President’s executive order.

The order halted grants and loans for initiatives such as the Environmental Quality Incentives Program and the Rural Energy for America Program, which support conservation and energy projects on farms. 

Many farmers had already invested in infrastructure, expecting federal reimbursements. Laura Beth Resnick, a Maryland flower farmer, signed a contract for a $72,900 solar panel project, expecting USDA to cover half the cost. However, her payment was rejected due to the funding freeze.

“I really don’t know what we would do,” Resnick said. “It just feels like I can’t even really think about it.” 

Other farmers, like Skylar Holden from Missouri, are also struggling. He invested $80,000 in fencing and water systems, relying on federal grants to cover part of the expenses. With the freeze, he faces financial strain and may have to sell equipment or cattle.

The freeze has impacted scientific research grants and conservation programs as well. The Iowa Soybean Association reported a $95 million climate-smart grant was suspended, affecting over 1,000 farms.

National Farmers Union President Rob Larew warned that the funding halt is creating uncertainty for farmers. “No one knows what funding will be available or if key programs will have the staff needed to operate,” he said.

Although a federal judge temporarily blocked the funding freeze, many farmers are still waiting for their promised payments. If the situation continues, farmers fear losing trust in government programs and facing long-term financial instability.


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