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
Secretary Rollins also met with specialty crop producers at a local strawberry farm to discuss workforce needs and the Trump Administration’s recent wins related to significantly cutting the cost of H-2A labor for California farmers.
USDA flash corn sales, Cattle on Feed and Inventory reports, and beef packer antitrust concerns dominate January agricultural market news.
U.S. Secretary of Agriculture Brooke Rollins said permanent access to the higher ethanol blend would provide farmers with much-needed certainty while supporting domestic crop demand.
Larger grain stocks increase supply pressure, but strong fall disappearance — especially for corn and sorghum — suggests demand remains an important offset.
Record corn and sorghum crops boost feed grain supplies, while reduced soybean and cotton production tighten outlooks for oilseeds and fiber markets.
Lewis Williamson with HTS Commodities joined us to provide analysis on the January WASDE report and expectations for grain markets going forward.

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:

Farm legal expert Roger McEowen discusses a new rail antitrust case in Kansas and its potential implications for farmers as rail upgrades signal continued export-driven demand for logistics.
Surging energy markets are quickly becoming a cost story for U.S. agriculture as crude oil climbs on supply fears tied to the Middle East conflict.
Strike risk adds volatility to already tight markets.
Technology-driven lending decisions may shape the future availability of farm credit.
Logistics remain firm, but freight costs continue to rise.
Strong corn demand and cotton shipments support export outlook.