Federal officials are continuing to withhold money for a pair of major organic agriculture programs that make payments directly to farmers, according to three people familiar with the matter, jeopardizing millions of dollars in crucial funding just ahead of planting season.
The U.S. Department of Agriculture has yet to release funding for the programs, which was stopped after President Donald Trump directed agencies to halt spending, even though federal courts ordered an end to the across-the-board freeze.
The pause on the $85 million Organic Market Development Grant program and the $100 million Transition to the Organic Partnership Program has jolted farmers, nonprofits and businesses struggling to make planting and hiring decisions. Even if the pause on funding is lifted, it could put farmers out of business.
“I am certain there are farm businesses and nonprofits [serving farmers] that will close if this grant funding is frozen for an even quarter,” said one farmer with an OMDG contract who was granted anonymity due to concern over repercussions for their business.
