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
Jake Charleston of Specialty Risk Insurance offers his perspective on current cattle market conditions and shares advice for producers seeking to stay protected in an uncertain market.
USDA’s March WASDE report leaves U.S. corn, soybean and wheat ending stocks unchanged while adjusting global production estimates for South America.
Partnership with U.S. Army Corps of Engineers Ensures Engineering Excellence and Operational Effectiveness
USDA Under Secretary Richard Fordyce says the department stands ready to provide technical assistance with the Farm Bill if Congress requests it.
Strong corn demand and cotton shipments support export outlook.
The American Coalition for Ethanol reacts as the Farm Bill heads to a full House vote — while ethanol expansion, including year-round E15, is left out — as well as the USDA’s pursuit of global markets for ethanol.

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:

The sugar policy debate affects prices, trade, and farm stability.
Strong feedlot demand keeps beef-on-dairy calf premiums elevated.
Cattle producers face mounting pressure as U.S.-Mexico trade talks resume, but expanding drought, rising input costs, and policy work to improve the long-term industry outlook.
Lower U.S. ethanol production and stocks may support ethanol prices while strong export demand continues to support ethanol and corn markets.
More Farms File for Bankruptcy As Strong Farm Loan Demand Boosts Bank Earnings
China’s changing pork demand may limit export growth opportunities.