The USDA ends funding for Regional Food Business Centers, impacting local food systems and small farm businesses
The U.S. Department of Agriculture (USDA) recently announced the discontinuation of the Regional Food Business Center (RFBC) program, which has been instrumental in supporting small and medium-sized local farm and food businesses. The program was launched to strengthen food supply chains and improve access to fresh, local foods. The Heartland Regional Food Business Center, which served Nebraska, Iowa, Kansas, Missouri, Oklahoma, and northwest Arkansas, will officially end its operations by September 15, 2025.
“The purpose of the regional centers was to organize groups of people who are involved in local and regional food systems together so that their combined efforts would be much greater than their individual efforts,” said Emery, a professor at the University of Nebraska-Lincoln.
The RFBC program, which distributed USDA funds to food businesses, had planned to distribute $12 million in Business Builder grants in two rounds. The first round of grants, totaling $3.7 million, has already been awarded, with Nebraska receiving 16 projects. Unfortunately, the second round, which was set to award $8.3 million in grants, has been canceled due to the program’s termination.
Robinette Farms, a food producer based in Martell, Nebraska, was one of the businesses set to benefit from these grants. Co-owner Alex McKiernan expressed disappointment over the program’s cancellation, highlighting its potential to connect small producers to local consumers and improve food distribution systems.
The USDA's decision to cut the RFBC program reflects its position that it was a “pandemic-era initiative” created without long-term funding plans. However, regional partners like the Heartland Center are committed to continuing their work, even without federal resources.
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