USDA Links Rural Investment With Stronger County Growth

The report highlighted the role rural development programs play in supporting housing, infrastructure and essential services.

clifton-tn-antique-district_By-Austin-via-Adobe-Stock.png

The antique district in Clifton, Tennessee, was accredited by the Tennessee Main Street program in 2021 after their participation in the project. (Photo by Austin via Adobe Stock)

Photo by Austin via Adobe Stock

WASHINGTON, DC (RFD NEWS) — USDA reported last week that rural development investment is used most heavily in farming-dependent counties, connecting farm communities with housing, utilities, business financing, and essential services. The Economic Research Service reviewed Rural Development program obligations from 2000 through 2024.

Farm-dependent nonmetropolitan counties recorded the highest participation, with per-person investment rising from $3,741 in 2000-2011 to $4,693 in 2012-2024. The Southeast received the largest overall share of obligations, while the Rocky Mountain region led on a rural per-person basis.

Counties receiving the highest per-person investment averaged 39.9 percent real income growth over the study period, compared with 31.8 percent in the lowest-investment group. USDA cautions that the comparison shows an association, not proof that the funding alone caused higher growth.

Single-family housing accounted for 55 percent of obligations, and higher participation was associated with higher homeownership. Most support came through loans: 57 percent through guarantees and 33 percent through direct loans, while grants accounted for 10 percent.

For producers, rural housing, water, power, broadband, health care, and business capacity influence whether workers and families can remain in agricultural communities.

Farm-Level Takeaway: Rural development investment supports the housing, services, and infrastructure farm communities need to retain workers and remain viable.
Tony St. James, RFD News Markets Specialist
Related Stories
ASFMRA’s Chad Hertz joins us to discuss farmland trends, economic pressures facing producers, and how outside influences are shaping today’s land market.
“Irresponsible Lending Has No Place in Government Programs,” the U.S. Department of Agriculture said in a press release.
Cattle analysts say the U.S. beef cattle herd rebuild still faces major hurdles despite some minor positive signals noted in certain regions.
USDA’s first 2026/27 outlook shows tighter supplies across several markets, led by wheat, corn, cotton, rice, beef, and sugar.
Strong export demand is supportive, but higher freight costs may pressure basis and grain movement margins.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

Jenna Stanton with the United States Cattlemen’s Association joins us to discuss beef import concerns, cattle market signals, and the latest developments surrounding U.S. beef trade.
Farmers will soon be asked to help shape some of USDA’s most closely watched crop and inventory reports.
RealAg Radio Host Shaun Haney joins us to discuss the latest U.S.-China ag trade agreements, market reaction, and what producers should watch moving forward.
For farm country, that caution can mean higher costs, slower service, and less local investment.
Rayburn Electric Cooperative’s Chris Anderson discusses rapid AI data center expansion, mounting pressure on the electric grid, and impacts on agriculture and rural communities.
For producers, the next proof will be actual export sales, shipment pace, and buyer breakdowns.