Biden-Harris Administration Pays Farmers Who Experienced Discrimination $2.2 Billion.
The historic funding was part of the Inflation Reduction Act’s Discrimination Financial Assistance Program.
On July 31, 2024, the Biden-Harris Administration announced it had payed $2.2 billion to eligible applicants through the Discrimination Financial Assistance Program (DFAP). The purpose of the program is to provide financial assistance to farmers, ranchers, and forest landowners who experienced discrimination prior to January 2021. DFAP funding was part of the Democrats’ Inflation Reduction Act.
“Farmers and ranchers work around the clock to put food on our tables and steward our Nation’s land. But for too long, many farmers and ranchers experienced discrimination in farm loan programs and have not had the same access to federal resources and support,” said President Joe Biden. “I promised to address this inequity when I became President. Today that promise has become a reality. My Inflation Reduction Act took a bold step to address the effects of discrimination in farming and ranching, and today’s action will enable more farmers and ranchers to support themselves and their families, help grow the economy, and pursue their dreams.”
According to U.S. Department of Agriculture (USDA) data, more than 58,000 individuals filed applications with DFAP. The “categories of eligible discrimination” included discrimination by race, color, national origin or ethnicity, sex, sexual orientation, gender identity, religion, age, marital status, or disability, or in reprisal/retaliation for prior civil rights activity.
USDA provided the following data about DFAP awards:
In total, about 43,000 awards were approved.
More than 23,000 awards, about 54%, were to applicants who had or have farming or ranching operations. They received a total of about $1.9 billion with individual awards ranging from $10,000 to $500,000.
Over 20,000 awards, about 46%, were to applicants who planned to have farming or ranching operations but were unable to establish them as a result of USDA actions. They received a total of $101 million with individual awards ranging from $3,500 to $6,000.
Awards were approved for applicants from every state, the District of Columbia, U.S. Virgin Islands, Puerto Rico, and American Samoa.
“The completion of the Discrimination Financial Assistance Program is an important moment in USDA’s history, and in our journey to becoming a department that truly serves everyone who wants to participate in agriculture.” said Agriculture Secretary Tom Vilsack. “While this financial assistance is not compensation for anyone’s losses or pain endured, it is an acknowledgement. My hope is that this will ensure that many farmers can stay on their farms, contribute to our nation’s food supply, and continue doing what they love.”
Democrats are describing how critical the IRA is for meeting the needs of their constituents.
“This program is crucial for Black farmers in Mississippi and across the country, who have historically faced systemic discrimination,” said Representative Bennie Thompson (MS-2). “As the only member of Congress from Mississippi to vote for the Inflation Reduction Act, I am proud to see the positive impact this legislation is having on our farmers and ranchers. These awards are a significant step in the right direction, but our work towards equity must continue.”
Mississippi has 13,283 awards totaling $521,830,460.
“In order to address the well-documented history of discrimination over the past century by the USDA against Black farmers, I fought to include $2.2 billion in the Inflation Reduction Act to provide financial assistance to farmers who had suffered because of it,” said Senator Cory Booker (NJ). “I am pleased that today the USDA announced that this financial assistance has been disbursed to Black farmers and other farmers who were victims of USDA discrimination. This money will be a lifeline to farmers and ranchers across the country who in the past have been unfairly denied access to USDA lending and safety net programs.”
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