The U.S. Department of Agriculture has made the significant decision to discontinue two key programs that previously allocated funding to schools and food banks for the procurement of food from local agricultural producers. This move effectively halts over $1 billion in federal investment aimed at supporting local food systems.
The School Nutrition Association has reported that the Local Food for Schools Cooperative Agreement Program, which was projected to incur costs of approximately $660 million in 2025, has been officially terminated. State officials received notification of the USDA’s decision to cease the LFS program for the upcoming year on Friday. In previous years, the School Nutrition Association, along with various state agencies, indicated that participation agreements had been established in more than 40 states, highlighting the program’s widespread support and utilization.
In addition to the LFS program, the Local Food Purchase Assistance Cooperative Agreement Program, which provides essential support to food banks and other organizations dedicated to feeding those in need, has also faced restrictions. The USDA has informed states that while it will be releasing funds for existing LFPA agreements, it does not plan to initiate a second round of funding for the fiscal year 2025. This decision raises concerns about the future of local food initiatives and the impact on communities that rely on these vital resources.

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