USDA Saves $1 Billion by Ending 2 Buy-Local Food Programs

The programs, which helped schools and food banks buy locally produced food, began during the pandemic and should be retired, the department said.

Cafeteria workers serve lunch at Medora Elementary School in Louisville, Ky., on March 17, 2021. Jon Cherry/Getty Images

The U.S. Department of Agriculture (USDA) has ended two Biden-era programs that provided billions of dollars to schools and food banks to purchase food from local farms and ranchers over recent years.

The canceled funding includes $660 million for the Local Food for Schools (LFS) program, which helped schools and child care centers buy domestic food; and $420 million for the Local Food Purchase Assistance (LFPA) program, which helped governments buy domestic food for food banks and other organizations.

On Tuesday, the USDA confirmed to The Epoch Times that while funds from existing agreements will continue to be disbursed, there will be no additional funding rounds in fiscal year 2025.

A USDA spokesperson emphasized that this change is not an abrupt shift, noting that over $500 million in previously allocated funds was released last week to fulfill outstanding commitments and support ongoing local food purchases.

The decision reflects the department’s priority to transition away from emergency COVID-era programs and focus on “long-term, fiscally responsible initiatives,” the spokesperson said in a statement.

The decision has drawn backlash from some Democratic governors, who argued the cuts will harm students and local farmers supplying fresh produce to schools.

“Cutting funds for these programs is a slap in the face to Illinois farmers and the communities they feed,” Gov. JB Pritzker said.

Massachusetts Gov. Maura Healey also criticized the move, calling it a “terrible cut with real impact on families” across her state, where rising food prices have been a primary contributor to higher costs of child care.

Both the LFPA and LFS programs were launched in December 2021, when much of the United States was still dealing with the pandemic and widespread lockdowns. At the time, the USDA said it hoped that these initiatives would help communities navigate food supply chain disruptions while also supporting food producers affected by the closure of restaurants and hotels.

However, the funding continued even after supply chains stabilized and the pandemic ended.

In December 2024, during the final weeks of the Biden administration, the USDA announced an additional $1 billion in funding for the programs through the Commodity Credit Corporation (CCC), a government fund created in 1933 to stabilize agricultural markets.

The USDA under the Trump administration said these pandemic-era programs no longer fit the post-COVID reality and should be retired.

“Unlike the Biden administration, which funneled billions in CCC funds into short-term programs with no plan for longevity, USDA is prioritizing stable, proven solutions that deliver lasting impact,” the USDA spokesperson told The Epoch Times. “The COVID era is over—USDA’s approach to nutrition programs will reflect that reality moving forward.”

The sunset of the buy-local food program comes as Congress considers proposals that could put other federally funded school meal programs on the chopping block, including the Community Eligibility Provision (CEP), which allows schools to provide free meals to all students without requiring individual verification of family income and eligibility.

Proponents of CEP argue that its axing would disproportionately affect students in high-need schools. However, critics contend that millions of children from middle- and higher-income households are receiving free meals at taxpayers’ expense.

Access to federally subsidized school meals has expanded significantly in recent years, particularly during the pandemic when the USDA temporarily allowed every student to qualify for free meals under a waiver. That policy, which began in 2020 during the first Trump administration, remained in place until 2022.