WASHINGTON, Dec. 20, 2024 — The U.S. Department of Agriculture (USDA) announced the final approximately $300 million in assistance to distressed direct and guaranteed farm loan borrowers under Section 22006 of the Inflation Reduction Act. Over the past two years, USDA acted swiftly to assist distressed borrowers in retaining their land and continuing their agricultural operations. Since President Biden signed the Inflation Reduction Act into law in August 2022, USDA has provided approximately $2.5 billion in assistance to more than 47,800 distressed borrowers.

The assistance announced today is expected to provide $300 million in assistance to over 12,800 distressed direct and guaranteed Farm Loan Programs (FLP) borrowers.

“USDA has always been committed to standing by our nation’s farmers and ranchers, especially in their most challenging times,” said Agriculture Secretary Tom Vilsack. “The final round of payments announced today under President Biden’s Inflation Reduction Act provides much-needed relief to more than 12,800 producers, helping them stay on their land and continue farming. At USDA, we are not only addressing immediate financial challenges but also working every day to build a stronger, more supportive loan system that ensures farmers have the tools they need to succeed now and into the future.”

 This round of automatic assistance includes approximately:

• $168.5 million for payments in the amount of any outstanding delinquencies on qualifying direct loans as of Nov. 30, 2024, for direct borrowers one or more days delinquent as of that date, and in the amount of any outstanding delinquencies, as of Sept. 30, 2024, on qualifying guaranteed loans of guaranteed borrowers one or more days delinquent or flagged for liquidation on a qualifying loan as of that date (including those who received prior IRA 22006 assistance).

• $5 million for payments in the amount of any outstanding delinquencies on qualifying guaranteed loans as of Sept. 30, 2024, for guaranteed borrowers who were delinquent as of Sept. 30, 2024, on a qualifying loan but by fewer than 30 days and were therefore not eligible for the assistance announced on Oct. 7, 2024.

• $67.3 million for payment of the next installment due on all FLP direct loans for borrowers that received direct borrower delinquency assistance under IRA 22006 announced on Oct. 7, 2024, not to exceed the remaining balance.

• $35 million for payment in the amount of the next installment due on qualifying direct loans for borrowers that restructured or who have accepted an offer to restructure, a qualifying direct loan between March 27, 2023, and today through primary loan servicing available through FSA. This assistance will be equal to the amount of the next installment (first applied toward any delinquency) for all qualifying direct loans held by the borrower, not to exceed the remaining balance. For any borrowers who have accepted an offer to restructure, payment will be equal to the next installment for all qualifying direct loans post-restructure, not to exceed the remaining balance.

• $9 million for the payment of outstanding direct Emergency Loans as of Nov. 30, 2024.

• $4.1 million in assistance for borrowers of qualifying direct loans with protective advances outstanding as of Nov. 30, 2024, and borrowers of qualifying guaranteed loans with protective or emergency advances as of Sept. 30, 2024. Protective advances are defined in 7 C.F.R. 761.2 and are those made consistent with 7 C.F.R. 765.203 or 762.149; emergency advances are those made consistent with 7 C.F.R. 762.146(a)(3).  For direct loan borrowers, payments will be in the amount of the outstanding protective advance as of Nov. 30, 2024, where possible based on the structure of the account. For guaranteed loan borrowers, payments will be in the amount of the outstanding protective or emergency advance balance as of Sept. 30, 2024, where possible based on the structure of the account.

• $3.9 million for payment of outstanding interest for direct borrowers whose interest exceeds their principal debt owed as of Nov. 30, 2024.

• $1.8 million for payment of outstanding Economic Emergency (EE) loans for borrowers who have both EE loans and qualifying Consolidated Farm and Rural Development Act loans as of Nov. 30, 2024.

• $109,000 for the payment of outstanding non-capitalized interest for all direct borrowers as of Nov. 30, 2024.

For more information, visit fsa.usda.gov.