The Biden administration has initiated the distribution of millions of dollars in relief checks to farmers who have encountered discrimination in farm loan programs. This move comes amidst an emergency request at a federal court to temporarily halt the process.
President Joe Biden and the White House are highlighting the payments to over 43,000 individuals as part of an endeavor to rectify inequities in farm loan programs, particularly affecting Black farmers as revealed by data obtained through a Freedom of Information Act request.
In a statement, President Biden emphasized the importance of addressing the historical discrimination faced by farmers and ranchers in accessing federal resources and support.
The relief payments, eagerly awaited by many, have sparked a legal challenge from a group of Black farmers who argue that the Discrimination Financial Assistance Program should be open to applicants filing on behalf of deceased relatives who experienced discrimination.
The Black Farmers and Agriculturalists Association, representing over 20,000 members, is seeking to pause the relief payment process through the 6th US Circuit Court of Appeals, citing a recent Supreme Court decision that overturned a longstanding precedent regarding agency actions.
The USDA has refrained from commenting on the lawsuit, which has become a significant test for federal courts in interpreting the new Supreme Court ruling.
More than 23,000 individuals are set to receive payments ranging from $10,000 to $500,000, with an additional 20,000 farmers and ranchers who were unable to secure loans receiving $3,500 to $6,000.
The USDA had announced the acceptance of applications for financial relief in July 2023, with a deadline extended to January 2024, for farmers who faced discrimination in USDA lending programs prior to 2021.
Despite concerns raised by some Black farmers regarding the inclusion of heirs in the relief program, there is a consensus that the timely distribution of payments is crucial for those in need of federal assistance.
The USDA has been actively working to dismantle systemic barriers to loan access, with efforts to evaluate application trends and implement changes to facilitate a more inclusive and simplified loan application process.
