USDA is giving $2.2 billion to farmers who experienced discrimination; regional office in Petersburg to assist

Farmers and ranchers who faced discrimination prior to Jan. 2021 when trying to get loan assistance through the USDA will have the opportunity to get financial assistance.
Farmers and ranchers who faced discrimination prior to Jan. 2021 when trying to get loan assistance through the USDA will have the opportunity to get financial assistance.

To address decades of systematic disparities, the United States Department of Agriculture (USDA) is offering a total of $2.2 billion in grants to farmers, ranchers, and land-owners who faced discrimination while trying to obtain USDA loan.

As recently as 2022, Black farmers received the highest rejection rate from the department when applying for direct loans, at 16%, while only 4% of white farmers were rejected, according to an NPR analysis of USDA data. Concurrently, the department only granted 36% of Black farmers direct loans; 72% of white farmers were approved.

These direct loans were supposed to be for farmers who couldn't obtain loans elsewhere to get the business up and running or to keep it afloat.

While historically Black farmers have been the ones who have experienced the most discrimination, spokesperson for the Discrimination Financial Assistance Program Myles Caggins III said money is for anyone that has experienced any type of discrimination, including small farmers, those with disabilities, those who were illiterate, and more.

“The opening of the application process is an important step in delivering on our commitment of providing financial assistance to those who faced discrimination in USDA farm lending, as swiftly and efficiently as possible,” said Agriculture Secretary Tom Vilsack.

Only discrimination cases that happened prior to Jan. 2021 will be eligible. Those with assigned USDA farm loan debt that was subject to discrimination prior to 2021 will also be eligible.

Some examples of discrimination could be a failure to provide appropriate assistance, a delay in processing a loan, denial of a loan or loan service, adverse loan terms that make it difficult to repay, and more.

Providing documentation will be key in advancing your case.

Farmers and ranchers who have experienced discrimination in 2021 and after wont be able to apply but can still address their issues by contacting the USDA inspector general, filing or joining a lawsuit, or apply for a different loan, said Caggins.

Farmers and ranchers can file applications online at 22007apply.gov, by mail, or by turning in their application at the brick-and-mortar office in Petersburg. Staff in the office will be ready to assist anyone with questions.

The USDA Financial Assistance Program Virginia office is located at the Cameron Lofts Building at 325 Brown St. Petersburg, Va. 23803. Office hours are 9 a.m. - 5 p.m. ET, Monday - Friday. The application process and services provided are all free of charge.

“Our field representatives are trained and ready to give support that eligible applicants deserve," said Caggins. "We want to maintain the trust with our agricultural community by guiding them through a friendly and transparent application process.”

The program also offers a call center, 1-800-721-0970, which is open from 8 a.m. ET to 8 p.m. PT, seven days a week except for Federal holidays—the call center has English and Spanish-speaking agents.

Applications are due by October 31.

Applications will be reviewed in November and December, with payments reaching recipients soon thereafter. The application process is not on a first come, first served, basis. All applications received or postmarked before the October 31 deadline will be considered.

Joyce Chu, an award-winning investigative journalist, is the Social Justice Watchdog Reporter for The Progress Index. Contact her with comments, concerns, or story-tips at Jchu1@gannett.com or on Twitter @joyce_speaks.

This article originally appeared on The Progress-Index: USDA giving $2.2 billion to farmers who experienced discrimination