Chairman Johnson convened a House Agriculture subcommittee hearing on USDA Rural Development to examine programs that fund hospitals, water systems, broadband, small businesses and other rural infrastructure.
The hearing brought together former USDA officials, local elected officials and regional development leaders who said Rural Development (RD) is essential but hampered by staffing cuts, complex applications and limited grant funding. "USDA Rural Development manages more than $200,000,000,000 in loans, guarantees, and grants, delivering over 40,000,000,000 each year to communities of fewer than 50,000 people," said Betty Brand, a former deputy undersecretary for rural development and CEO of Strategic Consulting LLC.
Why it matters: Many RD programs will need reauthorization in the next farm bill, witnesses said, and lawmakers from both parties emphasized that the programs are a practical way to preserve services and jobs in small towns. Members and witnesses urged Congress to consider changes that would lower barriers for very small projects and expand technical assistance.
Witnesses described concrete local impacts. A county commissioner testifying for the National Association of Counties said his Potter County, Pa., government has used RD funding for 95 projects since 2015 for energy, community facilities and affordable housing. Lynn Keller Forbes, president and CEO of the Southeastern Council of Governments, said regional development organizations serve as trusted intermediaries and urged stronger partnerships with RD field staff.
Speakers offered practical reform proposals: a simplified fast‑track pathway for small-dollar projects, allowing predevelopment costs to be eligible, a single online portal for applications and tracking, and new investments in capacity building for small counties. "There has to be a way to fast track the smaller ones," the county commissioner said, describing local governments with minimal staff.
Several witnesses and members warned that recent staffing reductions at RD headquarters and field offices have slowed approvals and left projects waiting. "Many state and field offices are currently operating at half capacity," Deputy Secretary George Small said, adding that, in some states, cuts were deeper. Members noted that delays have raised project costs and complicated planning.
The hearing included program‑level praise as well as requests for more grant funding. Brand and others pointed to examples where RD investment preserved local markets, saved hospitals and enabled small processors and producers to expand. Several witnesses urged Congress to protect programs reauthorized in the Farm, Food, and National Security Act of 2024 and to ensure adequate grant authority beyond member‑directed funding.
The subcommittee left the record open for additional material and directed written questions to witnesses. The hearing closed with bipartisan expressions of support for rural development programs and repeated requests that Congress act to simplify access and restore field capacity before the next farm‑bill reauthorization.