Funding cuts threaten small Central Valley farms as USDA program runs out early

FRESNO, Calif. (KFSN) -- The United States Department of Agriculture says the Valley is losing hundreds of farms a year, and California growers say more could soon be put out of business.

$48 million in USDA funding for small farmers will be cut by June. The money was originally expected to last through next year, but now growers in the Central Valley will lose that funding as early as April.

For 20 years, Keu Moua has been farming about 40 acres of property in Sanger. She's one of many Hmong farmers in the Central Valley who make their living off the land.

But in an area rich in agriculture, small farmers say that's becoming more difficult, and many rely on the Local Food Purchasing Assistance Program to help them stay afloat.

Since its inception, LFPA has generated around $10 million in sales for its local beneficiaries.

Soon, the funds for that program will be completely gone, meaning the food distribution hubs that work with farmers will be less likely to buy from people like Moua.

"If this is lost, we're talking about the farmers having to go right back almost to zero," said Rahseed Hislop with the Community Alliance with Family Farmers.

CAFF is a California non-profit that helps small farmers sell their produce at fair-market prices. Hislop explained that it helps growers focus on farming locally rather than stretching themselves thin to make sales.

"I drive the truck every Saturday to San Francisco," said Moau, tapping on the box truck that she uses to make the hauls.

Moua says she used to wake up at 1:30 every Saturday morning to load the truck and drive for hours to farmers' markets.

It's a burden and risk many small farmers have had to face.

"Farmers who have actually had car accidents and have actually gotten injured and even disabled from the long drives that they have to do," said Hislop.

Since LFPA was introduced, that burden has been alleviated as growers have been able to sell locally and focus more on working their land.

Now, they worry about losing more than just their partnerships with distribution hubs, like the one Moua has with Keng Veng.

"She's scared that it might be a reason for her to stop farming," said Veng, who founded Fresno BIPOC Produce Inc., a local food hub that helps farmers sell their produce.

Moau is not alone in that fear. According to the USDA Ag Census, the San Joaquin Valley is losing five farms a week.

But California is trying to pivot.

"If there's a way that we can create a way for this federal program that's going out to actually, for there to be a backfill at the state level," said Hislop.

Hislop argues that a similar state-funded program would benefit everyone in the Central Valley by keeping money circulating in our local economy and keeping local farms like Moua's open for years to come.

The Central California Food Bank says it is also preparing to continue support for local farmers. Officials there say they're requesting the state budget to include $60 million in ongoing general support.

Kerry Mannix is a general assignment reporter for ABC30 Action News. For news updates, follow her on Instagram.