Strickland Reintroduces Capital Access Bill For Farmers And Ranchers

WASHINGTON, D.C. — Congresswoman Marilyn Strickland (WA-10), Senator Peter Welch (D-VT), and Congresswoman Alma Adams (NC-12) have reintroduced the Capital for Beginning Farmers and Ranchers Act, a bicameral bill designed to ease early financial barriers for new and aspiring agricultural producers.

The legislation would create a new USDA loan pilot program offering up to $100,000 in flexible, low-interest development loans to beginning farmers and ranchers. The goal is to support early-stage investments such as equipment, soil health improvements, livestock, recordkeeping systems, and branding—critical elements for launching sustainable farm businesses.

“New farmers starting their businesses often face financial barriers,” said Strickland. “This bill gives farmers immediate access to capital as they begin their farming operations.”

Supporters of the bill say it will help address longstanding challenges for first-generation farmers and those historically excluded from capital access.

“Supporting aspiring and beginner farmers is key to ensuring the long-term sustainability of our food systems and the health and welfare of our communities,” said Welch. “Start-up funds are vital to building a business in any industry, and farming is no exception. Yet for many beginning farmers—especially first-generation and farmers of color—financial barriers can make it difficult to break ground on their farm.”

“The future of our agriculture industry depends on the next generation of farmers and ranchers, but high costs and shrinking profit margins make it difficult for them to enter the field,” said Adams. “The Capital for Beginning Farmers and Ranchers Act is a lifeline for our new agriculture producers, ensuring their access to essential programs like long-term loans, flexible financing terms, and technical assistance that strengthen their operations. Our farms, especially small, mid-sized, and family farms, need our support and I’m proud to introduce this bill to give them the resources they need to be successful.”

The bill directs the USDA’s Farm Service Agency to implement the pilot program within two years. It sets repayment terms between three and ten years, interest rates between zero and three percent, and allows flexible principal repayment plans. Training in farm business management—including bookkeeping, regulatory compliance, and cash flow planning—would be provided to borrowers through USDA-approved programs.

Reggie Knox, CEO of California FarmLink, said the loan program would help new farmers avoid under-investing in key start-up infrastructure.

“Many of the beginning farmers we work with face a fundamental challenge in obtaining intermediate-term capital. As they establish themselves in California agriculture, they need time to accumulate working capital and invest in critical startup costs like payroll, bookkeeping systems, and small equipment to ensure long-term success,” said Knox.

Duncan Orlander, policy specialist at the National Sustainable Agriculture Coalition, said the program would improve access to flexible capital that helps farmers build resilience.

“The Capital for Beginning Farmers and Ranchers Act provides necessary support for the next generation of farmers and ranchers, who face high start-up costs and too often struggle to repay loans within their first year of operation. This practical and balanced pilot program would alleviate challenges with limited access to more flexible capital, and open opportunities to invest in key start-up capacities that will benefit their farm for years to come.”

Grace Oedel, Executive Director of the Northeast Organic Farming Association of Vermont, highlighted the importance of equitable access.

“We’re grateful to Senator Welch, Representative Strickland, and Representative Adams’ steadfast support of beginning farmers,” said Oedel. “Making a start as a farmer is particularly challenging for first-generation farmers, and farmers of color who have been unfairly excluded from access to land and capital. This bill will expand opportunities for many farmers we serve to secure financing that sets them on a path to profitability.”

The bill is endorsed by more than 20 agricultural and rural development organizations and has the support of additional House co-sponsors, including Representatives Jimmy Panetta (CA-19), Terri Sewell (AL-07), Shomari Figures (AL-02), and Troy Carter (LA-02).