Funding Freeze for USDA Program Puts Idaho Farmers in Limbo

BOISE, ID – A U.S. Department of Agriculture program that has funded more than $33 million in energy upgrade grants for farms in Idaho has been frozen. And that puts farmers in a tight spot.

The Rural Energy for America Program provides farmers, ranchers and other rural businesses with funds for renewable energy and energy efficiency projects. REAP saw a big bump in funding from the Inflation Reduction Act passed during the Biden Administration.

Mike Lavender is the policy director for the non-profit National Sustainable Agriculture Coalition, and noted that Idaho has seen $20 million in REAP investments from the Inflation Reduction Act.

“Twenty million dollars is a significant amount of money and a significant amount of investment,” said Lavender. “If a paused contract, if USDA not honoring its word prompts one farmer to lose their farm or to lose their livelihood, that’s too much.

Since 2014, REAP has funded nearly 250 projects in Idaho.

Along with a funding freeze, Lavender said staff layoffs at the USDA are also hurting the agency’s ability to serve people, especially in rural areas.

Richa Patel, policy specialist with the National Sustainable Agriculture Coalition said farmers often put their own money up front for projects and then see the USDA funds.

She said there could be consequences for them if the USDA doesn’t follow through on its contracts.

“If they have to be liable for those costs,” said Patel, “that could force a capacity reduction, it can force an operational reduction.”

Lavender said the moves on the federal level have caused uncertainty among National Sustainable Agriculture Coalition’s members and other farmers.

“Farmers and folks who work with USDA should expect the USDA to honor its word and honor its own legal contracts,” said Lavender. “Unfortunately, that’s not what we’re seeing right now. That creates anger, confusion because it’s threatening folks’ stability, their livelihoods and their future.”

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