Socially Disadvantaged Farmers Guide to the Farm Bill 2.0

Definition

Under USDA programs, “Socially Disadvantaged Farmer or Rancher” (SDA) includes individuals belonging to groups whose members have been subjected to racial or ethnic prejudice. This includes Black, Hispanic, Native American, Asian American, and Pacific Islander farmers and ranchers.

What’s in the Farm Bill 2.0 for SDA producers

Title II, Major conservation expansions

ACEP, Agricultural Conservation Easement Program

• Federal cost share rises from 50% to 65% standard
• Federal cost share up to 90% for SDA farmers/ranchers holding 50%+ ownership
• ACEP exempted from AGI limit entirely

This is one of the most consequential changes for SDA farmers in the bill.

FCEP, Forest Conservation Easement Program (NEW)

• Federal share for SDA forest landowners: 75% (vs 50% standard)
• Permanent easements at 100% of fair market value

Title V, Heirs’ Property Relending Program (NEW)

This is targeted at the persistent issue of heirs’ property, particularly affecting Black agricultural communities in the South. Heirs’ property has been a major driver of Black land loss.

The relending program funds intermediary lenders who then make loans to heirs to:

• Resolve fractional ownership
• Pay legal fees for title clearance
• Buy out other co-tenants
• Access traditional USDA programs that require clear title

See Heirs’ Property Relending Program for full details.

Title VII, 1890 Land-Grant Funding

The 1890 land-grants, the historically Black colleges and universities granted land-grant status, receive:

• Increased minimum funding levels
• State governor certification of matching fund commitments (addresses chronic underfunding)
• Continued reauthorization of Evans-Allen research, Section 1444 extension, capacity building grants, scholarship programs

For SDA students and communities, this is the most concrete federal accountability mechanism in decades.

Title XI, Crop insurance

SDA farmers continue to receive enhanced premium subsidies. The Farm Bill 2.0 doesn’t change SDA-specific subsidies directly, but the broader veteran and beginning farmer subsidy structure can stack.

Practical pathways for SDA producers

Resolving heirs’ property

1. Contact a community development financial institution (CDFI) experienced with heirs’ property
2. Document family ownership history and current heir interests
3. Determine whether to consolidate ownership, partition, or maintain undivided interest
4. Apply for Heirs’ Property Relending Program loans (when available)

Conservation easements

1. Identify potential easement holders (state agencies, accredited land trusts)
2. Determine eligibility under ACEP or FCEP
3. Negotiate easement terms with eligible entity
4. Submit application through the eligible entity to USDA

USDA loan access

1. Establish FSA farm number
2. Develop business plan with state/local resources
3. Apply for direct or guaranteed loans through FSA
4. Use 1890 institution extension for technical assistance

Conservation programs

1. Develop NRCS conservation plan
2. Apply for EQIP or CSP, SDA producers typically receive separate ranking
3. Use precision ag cost-share (90% for some practices) where applicable

Resources

• 1890 Universities Foundation: coordinates among 19 1890 institutions
• Federation of Southern Cooperatives/Land Assistance Fund: Black agricultural cooperatives
• National Association of Conservation Districts: state-level support
• USDA Office of Partnerships and Public Engagement (OPPE): federal SDA outreach
• National Family Farm Coalition: broader family farm advocacy

State-level resources

Several states have SDA-specific programs:

• Mississippi: SDA farm assistance programs
• Georgia: heirs’ property and SDA initiatives
• North Carolina: Black farmers’ associations and state programs

Check your state department of agriculture for SDA-specific resources.

Related

• Heirs’ Property Relending Program
• 1890 Land-Grant Funding
• ACEP, Agricultural Conservation Easement Program
• Forest Conservation Easement Program (FCEP)
• Title II Conservation Pillar

---