Washington, D.C. – Today, Congresswoman Marilyn Strickland (WA-10), Senator Peter Welch (D-VT), and Congresswoman Alma Adams (NC-12) reintroduced the bicameral Capital for Beginning Farmers and Ranchers Act. The bill will help new farmers and ranchers address early financial challenges.
“New farmers starting their businesses often face financial barriers,” said Strickland. “This bill gives farmers immediate access to capital as they begin their farming operations.”
“Supporting aspiring and beginner farmers is key to ensuring the long-term sustainability of our food systems and the health and welfare of our communities. Start-up funds are vital to building a business in any industry, and farming is no exception. Yet for many beginning farmers—especially first-generation and farmers of color—financial barriers can make it difficult to break ground on their farm,” said Senator Welch. “Our bicameral bill will make it easier for beginning farmers in Vermont, North Carolina, Washington, and across the country to start and maintain farming operations.”
“The future of our agriculture industry depends on the next generation of farmers and ranchers, but high costs and shrinking profit margins make it difficult for them to enter the field,” said Congresswoman Adams. “The Capital for Beginning Farmers and Ranchers Act is a lifeline for our new agriculture producers, ensuring their access to essential programs like long-term loans, flexible financing terms, and technical assistance that strengthen their operations. Our farms, especially small, mid-sized, and family farms, need our support and I’m proud to introduce this bill to give them the resources they need to be successful.”
“Many of the beginning farmers we work with face a fundamental challenge in obtaining intermediate term capital. As they establish themselves in California agriculture, they need time to accumulate working capital and invest in critical startup costs like payroll, bookkeeping systems, and small equipment to ensure long-term success. The USDA Farm Service Agency typically rolls these costs into annual operating loans, leading borrowers to under-invest in start-up capacities and limiting their ability to establish a financial cushion and build equity,” said Reggie Knox, CEO, California FarmLink.
“The Capital for Beginning Farmers and Ranchers Act provides necessary support for the next generation of farmers and ranchers, who face high-start up costs and too often struggle to repay loans within their first year of operation. This practical and balanced pilot program would alleviate challenges with limited access to more flexible capital, and open opportunities to invest in key start-up capacities that will benefit their farm for years to come,” said Duncan Orlander, Policy Specialist at the National Sustainable Agriculture Coalition.
“We’re grateful to Senator Welch, Representative Strickland, and Representative Adams’ steadfast support of beginning farmers. Making a start as a farmer is particularly challenging for first generation farmers, and farmers of color who have been unfairly excluded from access to land and capital,” said Grace Oedel, Executive Director of the Northeast Organic Farming Association of Vermont. “This bill will expand opportunities for many farmers we serve to secure financing that sets them on a path to profitability.”
Beginning farmers often face immediate financial hurdles during their first years of operation. This legislation directs the Farm Service Agency (FSA) to develop a multi-year loan pilot program to address financing challenges for beginning farmers and ranchers.
The bill is endorsed by the National Sustainable Agriculture Coalition, Northeast Organic Farming Association of Vermont, Rural Vermont, Latino Farmers and Ranchers International Inc., New Entry Sustainable Farming Project, California Climate and Agriculture Network, ALBA (Agriculture and Land-Based Training Association), Rural Coalition, Practical Farmers of Iowa, Sierra Harvest, Coastal Enterprises, Inc., National Young Farmers Coalition, Alabama State Association of Cooperatives, Oklahoma Black Historical Research Project, Inc., DSuput Consulting LLC, World Farmers, Ohio Ecological Food and Farm Association, Community Alliance with Family Farmers, and California Coastal Rural Development Corporation.
Representatives Jimmy Panetta (CA-19), Terri Sewell (AL-07), Shomari Figures (AL-02), and Troy Carter (LA-02) are co-sponsors of the bill.
You can read the full legislation here.
Congresswoman Marilyn Strickland (WA-10) serves on the House Armed Services Committee and the House Transportation and Infrastructure Committee. She is Whip of the New Democrat Coalition, Secretary of the Congressional Black Caucus, and is one of the first Korean-American women elected to Congress.
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