The USDA defines socially disadvantaged farmers and ranchers (SDFRs) as those belonging to groups that have been subject to racial or ethnic prejudice. SDFRs include farmers who are Black or African American, American Indian or Alaska Native, Hispanic or Latino, and Asian or Pacific Islander.  

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Socially Disadvantaged Farmers and Ranchers

The USDA defines socially disadvantaged farmers and ranchers (SDFRs) as those belonging to groups that have been subject to racial or ethnic prejudice. SDFRs include farmers who are Black or African American, American Indian or Alaska Native, Hispanic or Latino, and Asian or Pacific Islander. For some but not all USDA programs, the SDFR category also includes women.

The USDA administers several programs that benefit SDFRs. For example, the U.S. Department of Agriculture's Farm Service Agency (FSA) makes and guarantees loans to eligible SDFRs to buy and operate farms and ranches. FSA also sets aside a portion of its direct and guaranteed Farm Ownership and Operating Loan funds for SDFRs. The most recent farm bill (Agriculture Improvement Act of 2018) reauthorized and expanded support for SDFRs across a range of USDA programs, including farm credit programs, crop insurance, and conservation programs, as well as provisions to incentivize research on issues faced by SDFRs.

The 2017 Census of Agriculture collected information about the race and ethnicity of farm producers (up to four producers per farm). According to the 2017 Census of Agriculture, 1.7 percent of all producers identified as American Indian or Alaska Native only, 0.6 percent identified as Asian only, 1.3 percent as Black or African American only, 0.1 percent as Native Hawaiian or other Pacific Islander only, and 0.8 percent of all producers reported more than one race. In 2017, 3.3 percent of all producers of any race indicated Hispanic, Latino, or Spanish origin. (For more information, see tables 58, 60, and 63 in the 2017 Census of Agriculture.)

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In the United States, socially disadvantaged farmers and ranchers, for USDA outreach and assistance, are defined under the 1990 farm bill as members of a socially disadvantaged group, which is defined to mean those whose identity in a group has subjected them to racial or ethnic prejudice without regard to their individual identity. For loan eligibility, section 355(e) of the Con Act(7 U.S.C. § 2003), adds gender to the definition of a socially disadvantaged group.

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In 2021 the definition garnered renewed attention due to the American Rescue Plan.

 

LCM  Farmers Stress Assistance Network wants to you to know the following: 

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American Rescue Plan Act Debt Payments

On August 16, 2022, President Joseph Biden signed into law the Inflation Reduction Act of 2022 (IRA). This legislation repealed Section 1005 of the American Rescue Plan Act (ARPA). As a result, the information previously available on this webpage concerning Section 1005 is now obsolete.

In addition to repealing Section 1005 of ARPA, the IRA also includes provisions providing the following:

• $3.1 billion in funding for USDA to provide relief for distressed Farm Loan Program borrowers with at-risk agricultural operations.

• $2.2 billion in financial assistance for farmers who have experienced discrimination in USDA farm lending programs, by amending Section 1006 of ARPA.

• Amends ARPA to continue the investments that advance equity and invest in underserved producers. Those investments include $125 million for technical assistance, $250 million to improve land access, and $250 million for eligible minority serving institutions to create career development opportunities for the next generation of agricultural leaders.

USDA is actively reviewing these provisions in the IRA. Please be assured that USDA is working to implement these provisions as expeditiously as possible. All updates will be available on the Inflation Reduction Act Investments webpage.

Call Center Available | Centro de Llamadas Disponible

If you need additional assistance, our Call Center is available weekdays from 8 a.m. – 7 p.m. ET.  Call 877-508-8364, then select “American Rescue Plan.” Assistance is available in multiple languages. If you need an operator who speaks a language other than English or Spanish, please select English and tell the operator what language you need.

Si necesita asistencia adicional, nuestro centro de llamadas está disponible de lunes a viernes de 8 a.m. a 7 p.m. ET. Llame al 877-508-8364, luego seleccione "American Rescue Plan". La asistencia está disponible en varios idiomas. Si necesita un operador que hable un idioma que no sea inglés o español, seleccione inglés y dígale al operador qué idioma necesita.

American Rescue Plan Debt Payments | Farmers.gov

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LCM Farmer's Stress Assistance Network intends to have events, workshops, and conferences to address the needs of this group.