Press Release

Welch Leads Bicameral Effort to Evaluate Funding and Staffing Resources for USDA Rural Development 

Nov 27, 2024

WASHINGTON, D.C. – U.S. Senator Peter Welch (D-Vt.) this week led Senators Bernie Sanders (I-Vt.), Jeanne Shaheen (D-N.H.), and Maggie Hassan (D-N.H.) and Representatives Becca Balint (VT-At-Large) and Chris Pappas (D-NH-01) this week in calling on the Government Accountability Office (GAO) to study the extent to which the U.S. Department of Agriculture’s  Rural Development (USDA RD) office has sufficient funding and staffing levels to implement its programs in rural communities.  

Rural America is home to about 14% of the U.S. population and covers 97% of the country’s landmass. Rural areas face a variety of challenges, including natural disasters caused by a changing climate, economic pressures, and housing insecurity. USDA RD connects business owners to new markets; helps modernize infrastructure and community facilities; and provides resources for both renters and homeowners. 

“Through more than 70 programs, RD delivers over $40 billion a year in loans, loan guarantees, and grants to rural communities, and manages a $200 billion loan portfolio. These programs create a crucial lifeline to rural communities by guaranteeing access to capital, and supporting community efforts related to disaster preparedness, resiliency, and recovery,” wrote the lawmakers. “However, it is our understanding that there are two key issues that impede RD’s ability to carry out its mission: Insufficient funding from Congress; and USDA’s internal processes that inhibit RD from hiring at scale.” 

“The regional RD office serving Vermont and New Hampshire has the lowest staffing rate among all regional offices, operating at just 61% capacity. This staffing shortage has limited RD’s ability to provide loans and grants promptly,” continued the lawmakers. “Insufficient RD funding and staff threaten the ability of rural communities to advance economic development efforts and build resiliency, which is needed now more than ever as states face more frequent and severe natural disasters.” 

“Given the importance of providing sufficient support and resources to America’s rural areas, we ask GAO to evaluate the extent to which RD has sufficient funding and staffing resources to effectively implement and oversee its programs for rural communities,” the lawmakers concluded

In the letter, the lawmakers asked GAO to analyze the following questions:  

  1. Does RD have sufficient resources, including funding and staffing at both headquarters and state offices, to effectively deliver its programs for rural communities? How has this changed over time? How has funding for RD compared to USDA’s funding and staffing for other USDA offices? 
  1. Earlier this year, Undersecretary Dr. Basil Gooden authorized state offices to hire at the Full-Time Equivalency (FTE) rate and has allowed for hiring incentives to be offered to attract candidates to RD regional offices like Vermont and New Hampshire.  
    • What additional efforts is RD planning to take to recruit and retain staff in both headquarters and state offices
    • What challenges has RD faced recruiting and retaining staff? 
    • What effect did the centralization of administrative services to USDA’s national headquarters during the last administration have on the ability of regional offices to hire staff? 
        1. Given recent budgetary and staffing changes, how is RD monitoring the performance of its key loan and grant programs? To what extent are these programs meeting the agency’s strategic objectives and performance goals? What is the typical timeline between application, RD approval, and the release of funds across all RD programs? 

        Read the full text of the letter. 

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