USDA FY 2023 Budget Summary

United States Department of Agriculture

FY 2023

BUDGET SUMMARY

CONTENTS

PREFACE ........................................................................................................................................ iii

OVERVIEW .......................................................................................................................................1

HIGHLIGHTS BY GOAL ....................................................................................................................3

MISSION AREA/AGENCY DETAILS:

FARM PRODUCTION AND CONSERVATION:

Farm Service Agency .............................................................................................................20

Risk Management Agency .....................................................................................................31

Natural Resources Conservation Service ...............................................................................33

Farm Production and Conservation Business Center .............................................................35

TRADE AND FOREIGN AGRICULTURAL AFFAIRS:

Foreign Agricultural Service ..................................................................................................39

RURAL DEVELOPMENT:

Rural Utilities Service ............................................................................................................46

Rural Housing Service ............................................................................................................50

Rural Business-Cooperative Service ......................................................................................53

Rural Development Salaries and Expenses ............................................................................56

FOOD, NUTRITION, AND CONSUMER SERVICES:

Food and Nutrition Service ....................................................................................................57

FOOD SAFETY:

Food Safety and Inspection Service .......................................................................................65

NATURAL RESOURCES AND ENVIRONMENT:

Forest Service .........................................................................................................................69

MARKETING AND REGULATORY PROGRAMS:

Animal and Plant Health Inspection Service ..........................................................................75

Agricultural Marketing Service ..............................................................................................79

RESEARCH, EDUCATION, AND ECONOMICS:

Agricultural Research Service ................................................................................................84

National Institute of Food and Agriculture ............................................................................89

Economic Research Service ...................................................................................................92

National Agricultural Statistics Service .................................................................................93

DEPARTMENTAL STAFF OFFICES .....................................................................................................95

OFFICE OF INSPECTOR GENERAL ...................................................................................................101

ii 2023 USDA BUDGET SUMMARY

APPENDIX:

New Budget Authority .............................................................................................................102

Available Resources – Discretionary / Mandatory ..................................................................103

Program Level ..........................................................................................................................105

Discretionary Outlays by Agency ............................................................................................106

Outlays by Agency ...................................................................................................................107

FTEs by Agency .......................................................................................................................108

Budget-Related Proposals ........................................................................................................109

PREFACE iii

PREFACE

This publication summarizes the fiscal year (FY) 2023 Budget for the U.S. Department of

Agriculture (USDA). Throughout this publication any reference to the “Budget” is in regard to the

2023 Budget, unless otherwise noted. All references to years refer to fiscal year, except where

specifically noted. The budgetary tables throughout this document show actual amounts for 2021,

annualized continuing resolution levels for 2022, and the President’s Budget request for 2023.

The performance tables throughout this document, unless otherwise noted, show target levels for

2022 and 2023 and a baseline amount for target comparison. Performance goals reflect

performance levels at ongoing funding levels and do not include the effect of supplemental

appropriations. Performance target levels are estimates and subject to change.

Throughout this publication, the “2018 Farm Bill” is used to refer to the Agriculture Improvement

Act of 2018. Most programs funded by the 2018 Farm Bill are funded through 2023. Amounts

shown in 2023 for most Farm Bill programs reflect those confirmed in the baseline.

Pursuant to the Balanced Budget and Emergency Deficit Control Act of 1985, sequestration is

included in the numbers for mandatory programs in 2021 and 2022. The sequestration rate for

2021 and 2022 is 5.7 percent. The 2023 sequestration rate was not released at the time of this

publication, however, mandatory funds for 2023 reflect a sequester reduction of 5.7 percent.

DOCUMENT ORGANIZATION

The Budget Summary is organized into four sections:

• Overview – provides an overview of USDA’s funding.

• Budget Highlights – describes key budget proposals and changes in budget authority and

outlays.

• Mission Area and Agency Details – summarizes agency funding, programs, and performance

goals.

• Appendix – Department-wide summary tables.

BUDGET AND PERFORMANCE PLAN TERMS:

Budget Authority (BA): Authority to commit funds of the Federal Treasury. Congress provides

this authority through annual appropriations acts and substantive legislation, which authorizes

direct spending. The President's budget requests the Congress to appropriate or otherwise provide

an amount of budget authority sufficient to carry out recommended Government programs.

Obligations: Commitments of Government funds that are legally binding. For USDA to make a

valid obligation, it must have a sufficient amount of BA to cover the obligation.

Outlays: Cash disbursements from the Federal Treasury to satisfy a valid obligation.

Program Level (PL): The gross value of all financial assistance USDA provides to the public.

This assistance may be in the form of grants, guaranteed or direct loans, cost-sharing, professional

services, such as research or technical assistance activities, or in-kind benefits, such as

commodities.

iv 2023 USDA BUDGET SUMMARY

Performance Goal: The target level of performance at a specified time or period expressed as a

tangible, measurable outcome against which actual achievement can be compared, including a goal

expressed as a quantitative standard, value, or rate. A performance goal comprises a performance

measure with targets and timeframes.

Performance Measures: Indicators, statistics, or metrics used to gauge program performance.

Program performance measures include outcome, output, and efficiency measures.

DATA DISPLAY – ZERO TREATMENT

Amounts in text and tables throughout this document are calculated with the greatest level of

precision (decimal places) available and rounded for display purposes. Therefore, amounts in

tables and charts may not add to displayed totals due to rounding. Due to rounding, amounts in

this document may appear to be marginally different than those shown in the President’s Budget,

which is developed in millions of dollars.

In tables throughout this document, amounts equal to zero (0) are displayed as dashes (-). Amounts

less than 0.5 and greater than zero are rounded and shown as a zero (0). This display treatment is

used to prevent the masking of non-zero amounts that do not round up to one (1).

DATA DISPLAY – SCALE

The Budget is most often depicted or described using budget authority as the scale of measurement.

However, there are some cases when other measures or scales are used, so the reader should be

aware of the context. Note that the budget authority tables contained in this document reflect

operating levels. In addition, performance goals reflect performance levels at ongoing funding

levels and do not include the effect of supplemental appropriations. Performance data for 2022 and

2023 are estimates and subject to change

OTHER PUBLICATIONS

The 2021 Annual Performance Report and 2023 Annual Performance Plan, which provides

performance information concerning USDA achievements in 2021 and plans for 2023, can be

found at: http://www.obpa.usda.gov.

CONTACT INFORMATION

Questions may be directed to the Office of Budget and Program Analysis via e-mail at obpa-

[email protected].

OVERVIEW 1

OVERVIEW

MISSION STATEMENT

To serve all Americans by providing effective, innovative, science-based public policy leadership

in agriculture, food and nutrition, natural resource protection and management, rural development,

and related issues with a commitment to delivering equitable and climate smart opportunities that

inspire and help America thrive.

VISION STATEMENT

An equitable and climate smart food and agriculture economy that protects and improves the

health, nutrition and quality of life of all Americans, yields healthy land, forests and clean water,

helps rural America thrive, and feeds the world.

2023 FUNDING OVERVIEW

Under the current law, the 2023 request for discretionary budget authority to fund programs and

operating expenses is $31.1 billion, slightly more than 12 percent increase, or $3.8 billion, above

the 2021 enacted level.

The 2023 request for mandatory programs is $164.8 billion, a $14.7 billion decrease from 2021

enacted levels. USDA is requesting a total of $195.9 billion in 2023. Compared to 2021, this

amount represents a decrease of around $10.2 billion.

The budget assumes a pay cost increase of 4.6 percent and includes an increase of $365 million

across the Department to cover the pay and benefit increases.

Figure OV-1. USDA New Budget Authority

Under current law, USDA’s total outlays for 2023 are estimated at $209.3 billion. Outlays for

mandatory programs are $169.4 billion, 80.9 percent of total outlays. Mandatory programs provide

services required by law but are not funded through annual appropriations acts. Mandatory outlays

include crop insurance, most nutrition assistance programs, farm commodity and trade programs,

and a number of conservation programs. The remaining $39.9 billion, or 19.1 percent, of outlays

2 2022 USDA BUDGET SUMMARY

are for discretionary programs such as: the Special Supplemental Nutrition Program for Women,

Infants, and Children (WIC), food safety, rural development loans and grants, research and

education, soil and water conservation technical assistance, animal and plant health, management

of national forests, wildland firefighting, other Forest Service activities, and domestic and

international marketing assistance.

Figure OV-2. USDA 2023 Outlays

Figure OV-3. 2023 Mandatory and Discretionary Outlays (All Other includes Rural Development,

Research, Food Safety, Marketing and Regulatory, and Departmental Management.)

HIGHLIGHTS BY GOAL 3

HIGHLIGHTS BY STRATEGIC GOAL

The Budget supports achievement of USDA’s six strategic goals.

STRATEGIC GOAL 1: COMBAT CLIMATE CHANGE TO SUPPORT AMERICA’S

WORKING LANDS, NATURAL RESOURCES, AND COMMUNITIES

Climate change poses a significant risk to agriculture, forests, and grasslands across the United

States and the communities that support and depend on them. Now is the time to act. Our

agricultural lands, National forests, and private working lands require conservation and restoration

efforts to strengthen their resilience to drought, invasive species, and wildfire. The Department

must lead with investments in science, research, and climate-smart solutions. These investments

will mitigate the impacts of climate change, increase adaptation to climate change, generate new

income opportunities, and build generational wealth in disadvantaged communities.

Agriculture can lead the fight on climate using climate-smart agriculture, forestry, and renewable

energy practices that sequester carbon, reduce emissions, improve adaptation, and increase market

opportunities for all producers. USDA is working to develop and implement a comprehensive

climate-smart strategy that is centered on voluntary incentives and meeting the needs of our diverse

producers, landowners, and communities. Our approach includes significant investments in

resources for all producers and landowners. Additionally, it provides a host of new tools to deploy

important conservation practices and the research essential to inform them.

Table HBG-1. Departmental Administration KPIs – Climate Outreach & Education and Greenhouse Gas

Reduction

Key Performance Indicator

Baseline

2022 Target

2023 Target

Number of stakeholders supported through Climate Hubs

capacity-building activities (% increase)

24,773 2.5% 5%

Percent change in Scope 1 and Scope 2 greenhouse gas emissions

482,097

MTCO2E

1% 1%

Select Goal-Centric Programs and Initiatives

Lead Efforts to Adapt to the Consequences of Climate Change in Agriculture and Forestry

Steps are being taken across USDA to improve adaptation and increase resilience to the impacts

of climate change, including identifying agency vulnerabilities. Within the Office of the Secretary,

$4.5 million is requested to coordinate such activities across the Department. In addition, the

Office of the Chief Economist is requesting $6 million for research and analysis necessary to assist

stakeholders in implementing climate smart agriculture and forestry practices and oversee the

production of the Department’s resilience and climate change adaptation plan. The Budget

includes an increase of $39 million above the 2021 enacted for the Forest Service to invest more

in research related to climate mitigation, adaptation, and resilience, including expanding the scope

and scale of research and program delivery related to reforestation, carbon sequestration, carbon

accounting, and fire and fuels research. The Budget includes $6 million for Forest Service and $8

million for the Natural Resources Conservation Service (NRCS) for climate hubs.

4 2023 USDA BUDGET SUMMARY

Maintain and restore climate-resilient landscapes

Within the Animal and Plant Health Inspection Service (APHIS), the agency has requested $6

million to work with cooperators to enhance detection and response to invasive species. These

plants, pathogens, and animals can have strong detrimental effects on agriculture. Through this

work, APHIS will contribute to the protection of the biodiversity our rural communities are reliant

upon. The Budget also seeks to improve the health and resilience of our national forests,

prioritizing forest restoration, forest health, and climate smart land management. This includes a

$70 million investment to help support post-wildfire restoration work necessary for improving

watershed and landscape conditions for areas impacted by catastrophic wildfire). This additional

funding to rehabilitate burned areas would prevent having to choose between rehabilitation of

burned areas and other natural resource management priorities. Focusing on collaborative, science-

based restoration of priority forest landscapes, the Budget requests a $26 million increase from

2021 enacted for work on Forest Health Management, Landscape Scale Restoration, and Forest

Stewardship to support performance measures for the America the Beautiful initiative and other

climate resilience outcomes.

Support Carbon Sequestration and Reduce Greenhouse Gas Emissions

Furthering USDA objective of resilience to the impacts of climate change the Rural Utilities

Service will incentivize electric projects for de-carbonization.

The Budget requests $300 million in new funding for rural electric utilities to support the transition

to carbon pollution-free electricity by 2035. Additional funding of $15 million is also requested to

increase coordination between USDA, Department of Energy, and Department of Interior to

support the creation of the Rural Clean Energy Initiative to achieve the President's clean energy

goals. A $261 million funding request for construction, preservation and rehabilitation under Rural

Housing Service will target projects that promote clean energy or address climate resilience by

improving energy or water efficiency, and energy saving features.

The Budget includes more than $134.8 million for the USDA Agriculture Buildings and Facilities

account, of which $25 million will provide for the hire and purchase of motor vehicles and the

transformation of vehicle fleet to provide hybrid, alternative, and/or electric vehicle (EV) charging

infrastructure. The USDA modernization of the South Building continues to be the top priority for

the Agriculture Buildings and Facilities, Building Operations and Maintenance account in 2023.

Additionally, the Budget requests $21 million to support key climate priorities within the Natural

Resources Conservation Service (NRCS), including establishing a soil health monitoring network

that will include a network of soil sampling sites, integrating soil carbon monitoring into the

conservation planning process, and efforts to increase the internal capacity of NRCS staff

regarding key soil carbon and climate smart activities.

Reduce the Risk of Wildfires

Climate change is increasing the severity and frequency of wildfires. The summer of 2021 was

one of the worst fire seasons in modern times- the agency was at a record 68 days at Preparedness

Level 5, indicating the highest demand for wildland fire suppression resources. Wildfire risk

management helps the agency improve the resilience of forest and rangeland ecosystems from

HIGHLIGHTS BY GOAL 5

multiyear drought conditions and protect watersheds, habitat, and communities from the negative

impacts of uncharacteristically severe wildfire.

The Budget includes $2.7 billion to mitigate wildfire risk, an increase of $751 million from 2021

enacted. This includes $321 million for hazardous fuels reduction, an increase of $141 million

from the 2022 annualized CR level. This builds on the over $300 million in hazardous fuels

funding the Forest Service will receive through the Infrastructure Investment and Jobs Act in 2023,

a significant investment to prioritize and target landscape treatments across multiple jurisdictions.

In 2023 the agency projects that it will be able to mitigate wildfire risk on 3.8 million acres in high

priority and high-risk areas, important progress towards implementing its 10-year Fire Risk

Reduction Strategy. The strategy entails working with partners to restore fire resilience across

multiple jurisdictions. In addition, the Hazardous Fuels program will move from the National

Forest System account to the Wildland Fire Management account in 2023 in keeping with the

intent of Congressional direction to restructure the agency budget for increased transparency.

Farm Bill Conservation Programs

The Budget includes $2.4 billion for the Conservation Reserve Program (CRP) to protect up to 27

million acres of environmentally sensitive cropland and grassland. In addition, $2 billion is

included for the Environmental Quality Incentives Program, $1 billion for the Conservation

Stewardship Program, $450 million for the Agricultural Conservation Easement Program, and

$300 million for the Regional Conservation Partnership Program. The budget proposes $20 million

for the Healthy Forests Reserve Program to enroll private lands and acreage owned by Indian

Tribes for the purpose of restoring, enhancing, and protecting forestland to enhance carbon

sequestration, improve plant and animal biodiversity, and promote recovery of endangered and

threatened species under the Endangered Species Act. Of note, an increase of $41 million for

NRCS will expand staffing capacity to keep pace with increased mandatory programs.

Equity Conservation Cooperative Agreements

The budget proposes to enhance the Equity Conservation Cooperative Agreements, begun in 2021,

with an additional $50 million, bringing total funding for this initiative to $100 million. The

Agreements are two-year projects that expand the delivery of conservation assistance for climate-

smart agriculture and forestry to farmers and ranchers who are beginning, limited resource,

historically underserved and/or veterans.

STRATEGIC GOAL 2: ENSURE AMERICA’S AGRICULTURAL SYSTEM IS

EQUITABLE, RESILIENT, AND PROSPEROUS

A strong and prosperous agricultural sector is essential to the well-being of the U.S. economy.

America’s farmers and ranchers ensure a reliable food supply, support job growth, and promote

economic development. To maintain an equitable and competitive agricultural sector, USDA will

safeguard animal and plant health, support farmers and ranchers’ ability to start and maintain

profitable cooperatives and businesses and offer financial support to all producers affected by

natural disasters. Additionally, USDA’s research agencies will continue to introduce high-

performance plants and animals and offer integrated management options to increase the efficiency

of farming practices.

6 2023 USDA BUDGET SUMMARY

Select Goal-Centric Programs and Initiatives

Commodity Programs

The Budget provides $9.1 billion for commodity program payments to maintain an effective farm

safety net. Commodity programs are critical components of the farm safety net, serving to provide

risk management and financial tools to farmers and ranchers. Approximately 1.8 million farms are

enrolled in the Agriculture Risk Coverage (ARC) and Price Loss Coverage (PLC) programs, which

are helping cushion the financial strain felt by producers due to continued low prices for many

commodities.

Federal Crop Insurance Program

The Budget provides $13.2 billion for the Federal crop insurance program, enough to provide crop

insurance coverage for $151 billion in crop value. Crop insurance provides farmers and ranchers

a means to effectively manage their risk through difficult periods, helping to maintain America's

safe and affordable food supply.

Farm Loans

The Budget includes funding to fully support the estimated $10.7 billion demand for farm loans,

providing loans to over 33,000 farmers and ranchers to finance operating expenses, refinance debt,

or acquire a farm. In addition, the Budget provides $61 million for the Heir’s Relending Program,

authorized in the 2018 Farm Bill, to resolve ownership and succession of farmland.

Research, Education and Economics

The Budget includes $4 billion to support research to advance the competitiveness of U.S.

agriculture, promote food security and increase climate change research. This includes $1.9 billion

to support core research projects of the Agricultural Research Service (ARS) covering a wide range

of critical problems facing American agriculture, ranging from animal and crop protection and

production, new product development, environmental stewardship, food safety, and human

nutrition. The Budget includes $45.4 million for the construction and modernization of existing

ARS buildings and facilities. Also included in the ARS budget is an increase of $99 million for

clean energy, $92 million for climate science, $11 million for Greenhouse Gas Monitoring and

Measurement, $11 million for Adaptation and Resilience Activities, $55 million for additional

investments and $5 million for climate hubs.

In addition, $2 billion is included to support extramural agricultural research, education, and

extension activities of the National Institute of Food and Agriculture (NIFA), including

$564 million for competitive grants through the Agriculture and Food Research Initiative (AFRI).

For the Economic Research Service, the Budget proposes a total of $100 million to focus on core

data analysis related to agricultural production, as well as $2 million for climate science research.

For the National Agricultural Statistics Service, the Budget includes $217 million, including

$66 million for the Census of Agriculture and $8 million to help measure and inform climate

science research.

Next Generation Producer Education

The Budget includes $50 million to educate America’s next generation of farmers. Funding will

be used to support agriculture science literacy programs and other community-based efforts, such

HIGHLIGHTS BY GOAL 7

as 4-H Clubs. Developing a future agriculture workforce is not only critical to the Nation’s food

security, but also vital in promoting rural prosperity and improving quality of life.

Strengthening Market News

The Budget includes $37 million for Market News to support data collection and reporting of

commodity information. This funding will enable enhancements of the cattle market reporting

through Livestock Mandatory Reporting to show more clarity on formula trades. Clarity on cattle

market transactions support fair and competitive markets.

Addressing Agricultural Pest and Disease

The Budget includes $1.149 billion to protect agriculture from pests and diseases, address sanitary

(animal) and phytosanitary (plant) trade concerns, and enforce animal care legislation. This

includes programs that support the U.S. field crop, cotton, forestry, livestock, poultry, and

specialty crop industries. Of note, the Budget includes increases to address chronic wasting disease

and fruit flies, and also proposes to build plant health initiatives that are currently funded through

General Provisions into base funding. The Budget also includes an increase to sustain criminal

investigations. The Budget maintains the Department’s ability to transfer funds to address

emergencies.

Combating Antimicrobial Resistance

The Budget includes $4 million to expand data collection efforts on antibiotic use in swine and

cattle operations. These efforts will be key in preserving the viability of antimicrobial treatments.

This work will be done in partnership with producer groups, academia, Federal partners, and other

stakeholders.

National Bio and Agro-Defense Facility

The Budget supports the continued establishment of the National Bio and Agro-Defense Facility

(NBAF) and provides $112 million for operations and maintenance costs in 2023. Once construction is

complete, USDA will operate NBAF and ARS will use the facility to study diseases that threaten the

animal agricultural industry and public health while the Animal and Plant Health Inspection Service

(APHIS) performs diagnostics related to foreign diseases of animals. The Budget supports increased

staffing as NBAF becomes fully operational.

Promote Agriculture and Food Business Innovation

The Budget includes $22 million to promote dairy business innovation. The 2018 Farm Bill

authorized the establishment of centers to promote business innovation in the dairy sector.

STRATEGIC GOAL 3: FOSTER AN EQUITABLE AND COMPETITIVE MARKETPLACE

FOR ALL AGRICULTURAL PRODUCERS

America’s farmers and ranchers ensure a reliable food supply, support job growth, and promote

economic development. USDA will provide tools to producers so that they are well-positioned to

secure a share of the growing global market for agricultural products.

Expanding international marketing opportunities for U.S. farmers and exporters is critical to

fostering business and income growth across rural America. It is essential for USDA to continue

its efforts to promote American agricultural products and exports through promotion activities,

8 2023 USDA BUDGET SUMMARY

development of international standards, removal of trade barriers by monitoring and enforcing

existing trade agreements, and negotiation of trade agreements that benefit the U.S. agricultural

economy. USDA will also work with developing countries to grow their economies and facilitate

trade, developing markets of the future for all our producers. USDA will also provide tools to

producers so that they are well-positioned to secure a share of the growing global market for

agricultural products.

Select Goal-Centric Programs and Initiatives

International Markets for U.S. Agricultural Exports

The Budget includes $247 million for the Foreign Agricultural Service to reduce trade barriers that

disadvantage U.S. agricultural exports and to open new markets for U.S. farm products. The value

of agricultural exports resulting from participation in foreign food and agricultural trade shows

and missions is expected to reach $2 billion.

Prevent Sanitary and Phytosanitary Barriers to Exports

The Budget includes $27 million for the Animal and Plant Health Inspection Service (APHIS) to

address sanitary and phytosanitary barriers that restrict trade. This includes an increase to address

the escalating cost of maintaining an overseas workforce. Producers rely on fair and open access

to markets. This funding will strengthen USDA’s ability to help U.S. agricultural producers export

their products to other countries by resolving concerns over animal and plant health issues.

Strengthen Packers and Stockyards Oversight

The Budget includes $35 million for the Packers and Stockyards program, to regulate and monitor

the activities of livestock, meat, and poultry market participants to support fair practices. This

funding will promote competition by strengthening oversight of livestock and poultry markets,

supporting new statutory requirements and minimalizing IT security vulnerabilities. The requested

additional funding will allow the program to begin to address the long-standing threats to

competition within the meat and poultry industry.

STRATEGIC GOAL 4: MAKE SAFE, NUTRITIOUS FOOD AVAILABLE TO ALL

AMERICANS

USDA plays a critical role in preventing foodborne illness and protecting public health, while

ensuring Americans have access to healthy foods and beverages, as well as nutrition education that

supports American agriculture and inspires public confidence. USDA is focused on ensuring that

all Americans have consistent access to the safe, healthy, affordable foods and beverages essential

to optimal health and well-being. While keeping the food supply safe, the Department must also

reduce food insecurity and prioritize nutrition insecurity, which emphasizes providing Americans

not just calories, but calories that matter for their health and well-being.

To ensure that the food supply is safe, the Department will continue to enhance its food inspection

system with the goal of reducing illnesses from meat, poultry, and egg products and drive

compliance with food safety regulations. At the same time, USDA’s research, education, and

extension programs will continue to provide science, information, tools, and technologies to reduce

the incidence of foodborne illness. USDA will continue to develop partnerships that support best

HIGHLIGHTS BY GOAL 9

practices in implementing effective programs to ensure that eligible populations have access to

programs that support their nutrition needs.

Select Goal-Centric Programs and Initiatives

Safeguards the Nation's Food Supply

The Budget includes $1.2 billion to fully fund the costs necessary to support nearly 8,600 FSIS

personnel who ensure the safety of meat, poultry, and egg products at over 6,600 processing,

slaughter, and import establishments in the U.S. Nearly 90 percent of these personnel act as

frontline inspectors and investigators and provide surveillance to protect the Nation's food supply.

Funding will ensure that FSIS has a workforce and the information technology to efficiently and

effectively further its mission. FSIS also proposes to reduce the full rate charges for overtime and

holiday inspection services for small and very small establishments. This will allow these

operations to be competitive and expand while providing smaller farmers with more options for

their product. Very small establishments would have a reduction to 25 percent of the published

rate, while small establishments would pay 70 percent of the published rate.

Nutrition Assistance

The pandemic added urgency to the already critical issue of nutrition insecurity. No one should

have to worry about whether they can provide nutritious food for themselves or their children. It

is not enough to return to where we were; as a nation, we must build back a better America and

ensure no one is left behind. To more effectively promote heathier diets and racial equity, we need

to transform the federal nutrition safety net to not only focus on food security, but also nutrition

security; the idea that all people at all times have access to nutritious foods and beverages that

meets their dietary needs for an active and healthy life.

Bold action by the Biden-Harris Administration in the American Rescue Plan demonstrated

marked progress to addressing nutrition security. The Budget seeks to cement that progress and

continue to provide access to the array of nutrition programs used by households across the nation.

The Budget includes funding to support estimated participation levels under current law, including

$111.2 billion for the Supplemental Nutrition Assistance Program (SNAP), $28.6 billion for Child

Nutrition Programs, and $6.0 billion for the Special Supplemental Nutrition Program for Women,

Infants, and Children (WIC). In 2023, estimated participation levels are on average of: 43.5 million

per month for SNAP, 30 million per day for the National School Lunch Program, and 6.3 million

per month for WIC.

The Budget assumes that, while economic recovery continues, the supplemental nutrition benefits

designed to assist during the Public Health Emergency will largely expire. In the wake of the

pandemic, work at FNS will turn toward evaluating and implementing effective strategies to tackle

food and nutrition security and improve health outcomes for all Americans. This includes

evaluation of the impact of the Thrifty Food Plan on various programs and participating

populations, efforts to stimulate State, Tribal, and local government innovations and strategies to

promote heathier behaviors, developing innovative partnerships with State, Tribal, and local

governments, non-government organizations – and potentially the private sector –to amplify and

disseminate nutrition education messages and materials. At the same time, FNS is also focusing

on improving customer service to States and local agencies, as well as Tribes, farmers, vendors,

10 2023 USDA BUDGET SUMMARY

farmers’ markets and retail grocery stores through the development of automated tools and the

provision of additional technical assistance. Finally, the 2023 Budget request continues to provide

more fruits and vegetables to WIC participants promoting greater nutrition security.

STRATEGIC GOAL 5: EXPAND OPPORTUNITIES FOR ECONOMIC DEVELOPMENT

AND IMPROVE QUALITY OF LIFE IN RURAL AND TRIBAL COMMUNITIES

Rural America provides our Nation’s food and energy resources, produces the fiber for goods and

manufacturing, contributes more than 35 percent of our Nation’s military members, and operates

about 80 percent of the Nation’s critical infrastructure lifelines. Unfortunately, it is also where the

country’s majority of underserved communities and persistent poverty communities are located

and where repeat disaster losses and climate change risks occur. It is also home to the country’s

fastest aging population, as well as the majority of the Nation’s aging infrastructure. USDA is

taking bold action to promote rural prosperity and economic development by providing technical

assistance and financing investments in rural water, electric, broadband, housing, community

facilities, local and regional food systems, and rural businesses and cooperatives. USDA will

leverage funds, stimulate private-public partnerships, and collaborate with communities to

increase economic opportunities in underserved communities and build rural infrastructure. This

includes working with Federal partners and various stakeholder groups to help rural and Tribal

communities thrive.

Select Goal-Centric Programs and Initiatives

Expands Access to Clean Energy

The Budget includes $6.5 billion in loan authority for rural electric loans, an increase of $1 billion

over the 2021 enacted level, to support additional clean energy, energy storage, and transmission

projects that help get people back to work in good-paying jobs.

The budget also includes $300 million in new funding to provide rural electric cooperatives

financial flexibility as they continue investments in renewable energy systems, fossil fuel

generating plants with carbon sequestration systems, and investments in environmental

improvements to reduce emissions of pollutants and accelerate progress to zero carbon electricity

by 2035 and create good paying jobs that provide the free and fair change to join a union and

collective bargain. Every community can benefit from taking bold action to achieve 100 percent

zero carbon electricity by 2035, including rural communities and communities of color.

Rural e-Connectivity/ReConnect

Rural Americans are more than 10 times likelier than urban residents to lack access to quality

broadband, with unique challenges for tribal communities. In addition to $690 million for the

telecommunication infrastructure program which supports communities with population of under

5,000, the Budget provides $600 million, to support broadband loans, grants, and loan/grant

combinations that will provide high speed broadband services to communities with populations

under 20,000. The ReConnect Program provides grants, loans, and combinations of loans and

grants to deploy broadband to tribal lands and unserved areas, particularly in communities of color.

High-speed internet would serve as an economic equalizer for rural America, while the work of

installing broadband would create high-paying union jobs with benefits in rural communities. This

HIGHLIGHTS BY GOAL 11

investment would build on the funding provided in the Infrastructure Investment and Jobs Act of

2022.

The budget also provides $35 million for broadband grants to rural Americans who currently do

not receive any broadband service. In addition, the Budget includes $60 million for distance

learning and telemedicine grants.

Provides Safe Drinking Water and Wastewater Infrastructure to Rural Communities

The Budget provides $727 million for Rural Water and Wastewater Grants and Loans. The funding

supports $1.4 billion in direct loans and $50 million in guaranteed loans. In addition, $140 million

is requested for loans at an interest rate of 1 percent and 0 percent rates for disadvantaged

communities. Safe drinking water and sanitary waste disposal systems are vital to achieving a high

quality of life and are essential to rural residents. The Budget request sets aside $100 million to

replace existing lead pipes and provide clean drinking water. With USDA’s targeting help to

communities disproportionately lacking access to quality water and sewer infrastructure, these

resources would also advance environmental justice in distressed communities and coal-based

energy communities.

Partners with Rural Leaders to Grow Rural Economies and Tackle Rural Poverty

The Budget provides $39 million for a renewed and expanded initiative to leverage USDA’s

extensive network of offices to help people in high poverty communities, including energy

communities, tap into Federal resources, referred to as the Rural Partners Network initiative.

USDA will coordinate with other Federal agencies on an all of Government approach to connect

rural stakeholders with Federal programs and resources.

Community Infrastructure

The Budget includes $2.8 billion to support the Community Facilities Direct Loan Program and

$500 million to support the Community Facilities Guaranteed Loan Program for investment in

critical community infrastructure, such as healthcare, safety, and educational facilities. This

funding will continue support for environmental justice for distressed communities and coal-based

energy communities.

Rural Housing Infrastructure

The Budget provides $32.3 billion in funding for Single-Family and Multi-Family housing

programs which have experienced a steady increase in demand. The requested increase of $6

billion for the Single-Family Guaranteed loan program will support the additional demand for

homeownership opportunities in rural areas. With a total of $30 billion in lending capacity, the

program will increase guaranteed loans to over 163,200.

To help very low- and low-income households afford their rental payments, the Budget includes

$1.56 billion to continue assisting residents in obtaining and sustaining decent, safe, and sanitary

housing and fund the existing units and the units funded under the American Rescue Plan Act. The

Budget also requests $38 million for the Rural Voucher program.

12 2023 USDA BUDGET SUMMARY

Rural Business Support

Rural areas have traditionally been challenged by the lack of private funding to support business

development. The Business and Industry (B&I) Guaranteed Loan Program provides protection to

private lenders against loan losses and encourages them to extend credit to establish, expand, or

modernize rural businesses. The Budget provides $1.5 billion in funding for B&I loan guarantees.

Use and Access Opportunities in National Forests

National Forest System (NFS) lands have seen an unprecedented increase in the number of visitors

during the pandemic, and the Forest Service is pursuing innovative ways to serve the recreational

needs of new and returning visitors while managing the associated social and environmental

impacts. The Budget includes $74 million to increase capacity for critical recreation operations,

planning, services, and improvements, with particular emphasis on creating welcoming,

sustainable, and equitable recreation opportunities for all Americans with a focus towards

underserved and Tribal communities. The Budget will prioritize permitting for outfitters and

guides, maintaining, and growing strong collaborations with partners and volunteer groups, and

working to address the recreational needs of today's public, who want year-round activities on NFS

lands. The agency will also continue to improve its permitting processes to promote other critical

land uses on NFS lands such as energy, utility, and communication infrastructure.

Forest Service Tribal Initiatives

The Forest Service is addressing equity by recognizing opportunities within the agency that ensure

historically underserved groups more fully access and participate in Forest Service programs and

services. This includes expanding Tribal Self-Governance/Co-Governance/Co-Management with

impacted Tribes. In 2023, the Forest Service will utilize $11 million of base funds from multiple

programs to increase equity for Tribes to expand utilization of the Tribal Forest Protection Act

(TFPA), the TFPA 638 pilot, and other authorities which allow Tribes to participate in stewardship

contracts and other agreements. These authorities provide opportunity to protect and preserve

Tribal trust assets on the National Forest System as well as maintain healthy landscapes.

STRATEGIC GOAL 6: ATTRACT, INSPIRE, AND RETAIN AN ENGAGED AND

MOTIVATED WORKFORCE THAT’S PROUD TO REPRESENT USDA

At USDA, we are committed to reaching new heights by recruiting, onboarding, supporting, and

retaining a diverse and talented workforce and cultivating a workplace environment that is

collaborative, service-oriented, mission-centered, healthy, inclusive, and welcoming. This

includes leaders and staff who work together to build a culture that welcomes, respects, and

supports everyone in reaching their highest potential by ensuring equal opportunity compliance,

providing proactive civil rights, and championing USDA’s zero-tolerance policy for unlawful

discrimination and sexual harassment for all employees. We believe this focus on organizational

culture will enable us to build the USDA back better as a premier organization and model employer

that lives by its values.

HIGHLIGHTS BY GOAL 13

As the landscape of talent continues to evolve, it is imperative that USDA seek to continuously

find ways to attract talent that represents the diversity of America. The COVID-19 pandemic has

also catapulted leaders to rethink and reimagine where and how we work. In the coming years, we

will build on best practices for a hybrid work environment and continue to evaluate the future of

work at USDA. As such, we are committed to being a learning organization that tolerates risk-

taking, explores the untested and unknown, and nurtures innovative ideas at all levels of the

organization. We will prioritize learning and training throughout the employee experience at

USDA.

Table HBG-2. Departmental Administration KPIs – Time to Hire & Property Footprint

Key Performance Indicator

Baseline

2022 Target

2023 Target

Period of time between Request Hiring Validation Date (SF-

52 approved date) and New Hire Actual Start Date (Entry on

Duty date)

60% of

employees

hired within

80 days

60% of

employees

hired within

80 days

Reduce the Department's overall real property footprint

through effective disposal and consolidation efforts (Thousand

Square Feet)

31,200,000 31,100,000 30,800,000

Select Goal-Centric Programs and Initiatives

Placeholder for talent team/intern hiring

USDA will leverage existing outreach and recruitment efforts across the Department to create

effective pipelines for hiring a more diverse and talented future workforce that is responsive to and

more reflective of the agricultural sector and customers. This includes creating a DEIA strategic

plan and hiring the Department’s first-ever Chief Diversity and Inclusion Officer.

Wildland Firefighter Workforce Reform

The Budget includes an increase of $334 million to support necessary staff levels to enhance

response to year-round fire activity and allow the agency to continue important investments that

support the health, well-being, and resilience of the agency’s wildland firefighting force. This

includes ensuring all wildland firefighters receive a minimum wage of not less than $15 per hour

and increasing the firefighting workforce by over 3,200 FTEs from 2022 (firefighters and

firefighting support personnel). This builds on the additional increase for wildland fire salary and

expenses from the Infrastructure Investment and Jobs Act (H.R. 3684), which provides an

additional $96,000,000 annually for five years ($480,000,000 total). This funding will be used to

support a long-term solution for a market-based salary rate to bridge the pay disparity with State,

local, and private firefighting entities.

Effective Government Operations

Congress has placed great confidence in the Department by providing significant funding through

pandemic assistance, disaster funding, and the Bipartisan Infrastructure Law. USDA has a

responsibility to ensure that these funds are managed effectively and to do so requires ample

funding for key operational offices and functions that experienced significant budget cuts and

staffing reductions in the recent past. The increased resources we are requesting for core operations

are absolutely critical to ensuring USDA has the ability to deliver on programmatic and operational

14 2023 USDA BUDGET SUMMARY

priorities ranging from climate, equity, and implementation of the Bipartisan Infrastructure Law

to the President’s Management Agenda. Departmental staff offices provide essential support to

Departmental agencies and programs, ensuring that all agencies can carry out their duties, and lead

the Department’s efforts to improve customer service to the public. The Budget proposes funding

to ensure that these offices can support staffing levels needed to provide leadership, oversight, and

coordination.

The Budget requests $57.6 million to ensure that resources are available for the Office of General

Counsel to carry out its full range of responsibilities and support USDA program delivery, which

includes $6.1 million and 51 FTEs to fill critical vacancies and rebuild OGC. Similarly, the request

includes $5.5 million for the Office of Ethics, an increase of $1.2 million and 6 FTEs to address

the demand for ethics services and historic reduction in ethics staffing at USDA. This Budget also

includes $15.9 million to establish the Office of Information Affairs (OIA), a standalone office

within OGC that manages Freedom of Information Act (FOIA) functions and Records

Management (RM) programs for the entire Department. Of this increase, $12.5 million will

support the realignment of RM from OCIO appropriations to OIA.

In addition, the Budget includes $20.8 million for the Office of Budget and Program Analysis

(OBPA) to rebuild OBPA’s capacity to support the Department’s mission areas, staff offices, and

performance and evaluation team, as well as carry out new policy priorities.

Cyber Security

OCIO provides policy guidance, leadership and coordination for the Department's information

management, technology investment and cyber security activities in support of USDA program

delivery. A customer-focused approach to USDA's digital services requires us to streamline the

Department's complex network of online resources that must be navigated today to find or access

services. The Budget includes $97.5 million for OCIO to fund ongoing activities and increase

efforts for cybersecurity enhancements, including $17.4 million to enhance the Department’s cyber

security profile through the acquisition and implementation of relevant tools and services. The

Budget also includes an increase of $5 million to support the Continuous Diagnostics and

Mitigation Program, $1.6 million for the Cyber Workforce Requirements and Training Program,

and $4.3 million to streamline the Enterprise Data Analytics Program from the Shared Costs

Program compared to the 21 enacted bill. In addition to OCIO’s efforts, the Budget includes an

increase for remote cloud storage under APHIS. This storage will help reduce cybersecurity

vulnerabilities.

HIGHLIGHTS BY GOAL 15

The Next Farm Bill

USDA looks forward to Congressional hearings on the status of implementation of the 2018 Farm

Bill and the opportunity to consider how the urgent challenges faced by farmers, ranchers, forest

landowners, workers, families, rural communities, and USDA partners can best be addressed in

the next Farm Bill. The COVID-19 pandemic exposed a food system that is inequitable, rigid,

consolidated, and fragile, and opened new avenues for increased fairness and competition as well

as heightened attention to the critical importance of consistent access to safe, healthy, nutritious,

and affordable food. We look forward to working with Congress to address climate change through

climate-smart agriculture and forestry and investments in renewable energy that open new market

opportunities and provide a competitive advantage for American producers of climate-smart

commodities, including small and historically underserved producers and early adopters, and

through voluntary incentives to reduce climate risk.

USDA’s nutrition programs are among the most far-reaching tools available to improve health and

well-being and to ensure all Americans have access to healthy, affordable food. This is an

important moment to reconsider barriers to food assistance for vulnerable groups that are likely

undermining their chances of success, such as youth who aged out of foster care, individuals re-

entering society and seeking a second chance after a drug felony conviction, grandparents and

other relatives taking on caregiving responsibilities for children in their families when their parents

are unable to care for them, and low-income individuals pursuing opportunity and a better life

through higher education. The USDA Equity Commission will deliver recommendations for policy

and program reform to advance justice, equity, and opportunity for underserved communities. We

encourage Congress to grant U.S. territories the option to transition from current block grants to

SNAP and to make progress towards food sovereignty for Tribal nations. As we work together,

we must work to ensure our policies and programs effectively speed the transition to a circular

economy in rural America, so that wealth created stays in small towns and in tribal communities.

The Farm Bill is a critical opportunity to advance a new vision for locally-led rural economic

development—one that ensures rural communities are empowered with the technical assistance

and tools necessary to thrive.

We anticipate sharing more detail on the Administration’s Farm Bill priorities and look forward

to working this year with Congress, partners, stakeholders, and the public to identify shared

priorities for the 2023 Farm Bill that position USDA to live up to its moniker as “the People’s

Department” and deliver on its mission to serve all Americans by providing effective, innovative,

science-based public policy leadership in agriculture, food and nutrition, natural resource

protection and management, and rural development.

Supporting Economically Distressed Farmers. USDA is committed to examining barriers faced

by all underserved borrowers, especially those in economic distress, beginning farmers, and

veterans. The Administration is interested in working with Congress on legislative changes that

will ease the debt burden for economically distressed farm loan borrowers to achieve a robust and

competitive agriculture sector.

16 2023 USDA BUDGET SUMMARY

Infrastructure Investment and Jobs Act (IIJA)

IIJA provides the Forest Service almost $5.5 billion from 2022 through 2026. This represents a

significant addition of $1.7 billion to the agency’s 2023 request of $8.9 billion for discretionary

appropriations. The additional funding in the infrastructure bill offers the Forest Service an

opportunity to begin changing the wildland fire trajectory and reducing wildfire risk to

communities and ecosystems now as we work long-term to benefit the climate, communities, and

conservation. Broadly, the funding falls into four categories: wildland fire, ecosystem restoration,

and other mission critical issues (recreation, heritage, support to rural economies, and abandoned

oil and gas wells). IIJA provides the opportunity to work more inclusively with states, Tribes, other

land managers, and the scientific community through shared stewardship; addressing

Administration priorities around climate change, diversity, equity, inclusion, and access; cross-

fertilizing our infrastructure work with priorities such as Justice 40; and learning lessons from

similar experiences such as the Great American Outdoors Act.

The IIJA provides a historic federal investment of $65 billion for broadband deployment,

affordability, and digital inclusion. The majority of the funds, $42 billion, will be distributed by

the Department of Commerce’s National Telecommunications and Information Administration

(NTIA) to states to administer their own programs. USDA received $2 billion of these funds for

two of its broadband programs to be delivered through the Rural Utilities Service (RUS). The RUS

will use these funds over the next five years to deliver higher speeds broadband service in the rural

America.

The Bipartisan Infrastructure Law, signed in November by President Biden, provided $918 million

for NRCS watershed programs, which includes the Watershed and Flood Prevention Operations

(WFPO) Program, Watershed Rehabilitation Program (REHAB) and Emergency Watershed

Protection (EWP) Program. Through NRCS watershed programs, NRCS works with local, eligible

sponsors, including state government entities, local municipalities, conservation districts and

federally recognized tribal organizations.

American Rescue Plan: COVID Response and Recovering the Economy

The American Rescue Plan provides USDA the opportunity to respond to the pandemic crisis

while creating lasting recovery and change to systems and groups with historical vulnerabilities

that were accentuated by the Corona Virus Disease 2019 (COVID-19) crisis. Throughout the

COVID pandemic, USDA and its employees have provided critical support services to the

American public. USDA will continue to focus on responding to the direct effects of the pandemic

and will also make investments targeted at the long-term recovery of the economy that experienced

dramatic negative effects because of the pandemic; and contain the COVID crisis through prevention

and protection.

USDA’s investments will have embedded departmental goals for racial justice and

equity, climate smart agriculture, supporting workers and producers, improving the food supply

chain, and providing nutritious foods to millions of Americans.

Delivering Nutrition Assistance to Millions

The COVID-19 pandemic underscored how essential the nutrition assistance programs are for

millions of Americans. At the peak of the hunger crisis in December of 2020, as many as 30 million

HIGHLIGHTS BY GOAL 17

adults and 14 million children reported that they did not have enough to eat, with disproportionate

impacts on communities of color. USDA’s nutrition assistance programs are among the most far-

reaching, powerful tools available to ensure that all Americans, regardless of race, ethnicity, or

background, have access to healthy, affordable food. The American Rescue Plan provided a

number of mechanisms to continue and expand these powerful tools such as:

• Extending Pandemic Electronic Benefit Transfer (P-EBT) benefits for low-income

children of all ages through the summer of 2022 and increasing Women, Infants, and

Children (WIC) benefits for the purchase of additional fruits and vegetables. Continuing

Supplemental Nutrition Assistance Program (SNAP) benefit increases and providing

additional funding for the Nutrition Assistance Programs in Puerto Rico and the other

U.S. Territories.

• Providing access to meals to young adults in homeless shelters, as well as increasing

access to food for seniors through the Commodity Supplemental Food Program.

• Making investments to carry out outreach, innovation and modernization of the WIC

program and the WIC Farmers Market Nutrition Program.

These activities have continued to promote food access for all ages, but especially infants and

young children, for whom nutrition security is particularly critical for growth and development.

In continued support of COVID relief efforts, USDA also extended a broad range of flexibilities

through School Year 2021-22 to support school meal programs and childcare institutions across

the country in serving healthy meals as they reopen. These flexibilities included allowing schools

to serve meals at no charge to all students, providing higher reimbursement rates and additional

commodities for all meals in order to help schools overcome supply chain disturbances and higher-

than-expected food inflation. These flexibilities were funded through the use of carryover balances

from prior years. USDA will continue to seek innovative ways to provide support and technical

assistance to States and schools as they transition back to regular program operations in school

year 2022-23. The budget request supports continuation of an increase in funding for fruits and

vegetables in WIC through 2023to encourage more nutritious diets and to boost retention.

Strengthening the Food Supply Chain

The COVID-19 pandemic caused widespread disruptions in the food supply chain impacting

millions of Americans. The American Rescue Plan makes investments that respond to the impacts

of the COVID crisis and that facilitate the recovery and transformation of our food supply system.

USDA is investing $3.6 billion to:

• Support for infrastructure and retooling for food processors, farmers markets, food banks,

local food systems, with capacity to deliver food to their recipients.

• Promote sustainable, local value chains by improving food systems for better food security

and nutrition.

• Build a fairer, more transparent food system rooted in local and regional production

18 2023 USDA BUDGET SUMMARY

• Help states, tribes, and other local and regional partners purchase food from historically

underserved producers.

• Provide grants and loans to reimburse or purchase personal protective equipment, test kits,

and other measures to help keep essential food workers safe.

Ensuring Equity for Farmers of Color

For generations, historically underserved farmers have struggled due to systemic discrimination

and a cycle of debt. This struggle is exacerbated by a disproportionate amount of COVID-19

infection rates, loss of property, hospitalizations, death, and economic hurt among historically

underserved groups. The American Rescue plan takes key steps to address longstanding inequities

in the delivery of USDA programs and services.

• $1.01 billion in USDA funding USDA to create a racial equity commission and address

longstanding discrimination across USDA by investing in land access, outreach, education,

and technical assistance in overcoming barriers to accessing USDA programs, business

development, and more.

Strengthening Infrastructure, Housing, and Health Care in Rural America

Many of the same rural families that experienced food insecurity during COVID-19 pandemic

have also faced housing and healthcare insecurities. Families have lost their homes, renters

continue to be under threat of eviction, and access to healthcare remains limited. The American

Rescue Plan implements funding that invests in the people of Rural America:

• $500 million through September 2023 in Community Facility Program funds to help rural

hospitals and local communities broaden access to COVID-19 vaccines and food

assistance; and strengthen the sustainability of rural healthcare.

• $100 million through September 2022 in rental assistance for low-income and elderly

borrowers.

• $39 million through September 2023 to help refinance direct loans under the Single-Family

Housing Loan Program and the Single-Family Housing Repair Loans.

Consolidated Appropriations Act of 2021

This Act provided supplemental appropriations for coronavirus response and relief. It provided

$11.2 billion to prevent, prepare for, and respond to coronavirus by providing support for

agricultural producers, growers, and processors impacted by coronavirus, including producers and

growers of specialty crops, non-specialty crops, dairy, livestock, and poultry, producers that supply

local food systems, including farmers markets, restaurants, and schools, and growers who produce

livestock or poultry under a contract for another entity. Further appropriations were provided for

other specialty crop, local agriculture, dairy, and farm outreach efforts, among others. In addition,

funds were provided to increase benefits under the Supplemental Nutrition Assistance Program,

expand program eligibility, and for States’ program administration.

HIGHLIGHTS BY GOAL 19

Implementation of America the Beautiful

Since the Conserving and Restoring America the Beautiful Report was released, the Forest Service

has been working with the Department on a series of short- and longer-term projects, activities,

and commitments to fulfill the Administration’s goals around America the Beautiful. These

activities will contribute to the six focus areas in the report.

• Create More Parks and Safe Outdoor Opportunities in Nature-Deprived Communities

• Support Tribally Led Conservation and Restoration Priorities

• Expand Collaborative Conservation of Fish and Wildlife Habitats and Corridors

• Increase Access for Outdoor Recreation

• Incentivize and Reward the Voluntary Conservation Efforts of Fishers, Ranchers, Farmers,

and Forest Owners

• Create Jobs by Investing in Restoration and Resilience

20 2023 USDA BUDGET SUMMARY

FARM PRODUCTION AND CONSERVATION

MISSION

The Farm Production and Conservation (FPAC) mission area focuses on domestic agricultural

issues. Locating the Farm Service Agency (FSA), the Risk Management Agency (RMA), the

Natural Resources Conservation Service (NRCS) and the FPAC Business Center under one

mission area provides a simplified one-stop shop for USDA’s primary customers, the farmers,

ranchers, and forest managers across America. FSA, RMA, and NRCS implement programs

designed to mitigate the significant risks of farming through crop insurance, conservation

programs and technical assistance, and commodity, lending, and disaster programs.

Agriculture, food, and related industries contributed $1.055 trillion to the U.S. gross domestic

product (GDP) in 2020, a five percent share. The output of America’s farms contributed $134.7

billion of this sum—about 0.6 percent of GDP. The overall contribution of agriculture to GDP is

larger than 0.6 percent because sectors related to agriculture rely on agricultural inputs to

contribute added value to the economy. In 2020, 19.7 million full- and part-time jobs were related

to the agricultural and food sectors—10.3 percent of total U.S. employment. Direct on-farm

employment accounted for about 2.6 million of these jobs, or 1.4 percent of U.S. employment.

Employment in agriculture- and food-related industries supported another 17.1 million jobs. The

agricultural sector has a significant impact on not only the rural economy, but the National

economy as well.

When American farmers are financially healthy, they not only support themselves and their

families, but also their employees, local equipment dealers, farm service suppliers and the rural

communities where they live and do business. USDA’s farm safety-net and disaster programs play

a critical role to help ensure that American agriculture continues to be financially healthy.

In 2021, the FPAC Mission Area worked to make several changes, as authorized by the Agriculture

Improvement Act of 2018 (2018 Farm Bill), to strengthen USDA’s commodity, disaster,

conservation, and farm loan programs. The 2018 Farm Bill repealed certain programs, continued

some programs with modifications and authorized several new programs, including improving the

safety net for dairy producers. The 2018 Farm Bill included a number of changes to the

Conservation Reserve Program (CRP) such as dedicating 2 million acres for grassland enrollment

and gradually increasing the CRP acreage cap to 27 million acres by 2023. The 2018 Farm Bill

also reauthorized and increased funding for the Environmental Quality Incentives Program

(EQIP), eliminated the former Conservation Stewardship Program (CSP) authorized under the

2014 Farm Bill and authorized a new dollar-capped CSP that is more closely aligned with EQIP.

The 2018 Farm Bill continued to strengthen the Federal crop insurance program and increased the

loan limits under the FSA farm ownership and operating loan programs.

To improve customer service and efficiency, the FPAC Business Center was created in 2018 to

provide mission support services to FSA, RMA, and NRCS including acquisition, budget,

economic analysis, finance, homeland security, human resources, information technology,

performance, and related activities.

In 2021, FSA provided over $6.2 billion in Agriculture Risk Coverage (ARC) and Price Loss

Coverage (PLC) payments to producers for the 2019 crop year. ARC and PLC are an important

FARM PRODUCTION AND CONSERVATION 21

part of the farm safety net and provide assistance during crop revenue or commodity price

downturns.

The 2018 Farm Bill authorized several changes to the Margin Protection Program for Dairy (MPP-

Dairy) and renamed the program as the Dairy Margin Coverage (DMC) program. DMC offers

protection to dairy producers when the difference between the all-milk price and the average feed

cost (the margin) falls below a certain dollar amount selected by the producer. As of January, 2022,

DMC indemnity payments since the 2018 Farm Bill total over $1.64 billion, of which $1.19 billion

were from 2021 alone. As part of a subsequent effort by Congress to help the dairy industry

respond to the pandemic and other challenges, the Consolidated Appropriations Act established

Supplemental Dairy Margin Coverage Payments for calendar years 2021-2023. These payments

are limited to farms enrolled in DMC with a production history of less than 5,000,000 pounds, and

reflect increases in their production since 2014. The Supplemental DMC rule was published on

December 13, 2021, with enrollment from December 13, 2021, through February 18, 2022. As of

January 2022, approximately $20.6 million was disbursed for 2,369 operations with established

supplemental production history.

FSA continues to provide tools for America’s farmers to be good stewards of the land. The

Conservation Reserve Program (CRP) has protected and conserved environmentally sensitive land

since 1986. To target climate impacts, FSA has made several improvements to the CRP, including

providing higher rental rates to increase producer interest and enrollment; establishing a new

Climate-Smart Practice Incentive for CRP general and continuous signups to increase carbon

sequestration and reduce greenhouse gas emissions; and rolling out a CRP Climate Change

Mitigation Assessment Initiative to measure program climate impacts and increase climate

outcomes over time. In 2021, producers enrolled more than 5.3 million acres in CRP through the

General, Continuous, and Grassland signups, surpassing USDA’s 4-million-acre goal.

FSA farm loan programs provide an important safety net for producers, by providing a source of

credit when they are temporarily unable to obtain credit from commercial sources. The majority

of FSA’s direct and guaranteed farm ownership and operating loans are targeted to underserved

populations such as beginning farmers and historically underserved producers, who generally have

had a more difficult time obtaining credit to maintain and expand their operations. In 2021, FSA

provided more than 29,000 direct and guaranteed loans to farmers and ranchers, totaling about

$6.4 billion.

Crop insurance is designed to allow farmers and ranchers to effectively manage their risk through

difficult periods, helping to maintain America's food supply and the sustainability of small, limited

resource, historically underserved and other underserved farmers. In crop year 2021, the Federal

crop insurance program provided protection for nearly $137 billion in agricultural production.

NRCS works in partnership with private landowners, communities, local governments, and other

stakeholders to promote the sustainable use and safeguard the productivity of the Nation’s private

working lands. The agency provides conservation planning, technical assistance, and financial

assistance to farmers, ranchers, and foresters to help them conserve, enhance and protect natural

resources. In addition, NRCS works with these partners to leverage resources and innovative ideas

to make the landscape and critical infrastructure more resilient. In 2021, NRCS developed

conservation plans covering almost 24 million acres. In accordance with those plans and utilizing

22 2023 USDA BUDGET SUMMARY

Conservation Technical Assistance (CTA) Program support, conservation practices and systems

designed to improve soil quality were applied to 3.6 million acres of cropland.

FARM SERVICE AGENCY

FSA supports the delivery of farm loans, commodity, conservation, disaster assistance, and related

programs. FSA utilizes the Commodity Credit Corporation (CCC), which funds most of the USDA

commodity, export, and conservation programs.

Table FPAC-1. FSA Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

FSA Salaries and Expenses:

Salaries and Expenses (Direct Appropriation) .......................................

$1,143

$1,232

Transfer from Program Accounts ..........................................................

294

306

Total, Salaries and Expenses .............................................................

1,437

1,538

Agricultural Credit Insurance Fund Program Account:

Loan Subsidy .........................................................................................

Loan Program Expenses ........................................................................

Total, ACIF Program Account ..........................................................

State Mediation Grants ..............................................................................

Grassroots Source Water Protection Program ...........................................

Total, FSA .....................................................................................................

1,534

1,532

1,618

Totals may not sum due to rounding.

Salaries and Expenses

The Budget includes about $1.54 billion to support Federal and non-Federal staffing. FSA delivers

its programs through more than 2,100 USDA Service Centers, 50 State offices, and an area office

in Puerto Rico. For 2023, the Budget includes an increase of $5.5 million for outreach to

historically underserved producers in support of the Presidential priority to promote racial and

economic equity. The Budget also supports $1.6 million for the Urban Agriculture Initiative, which

would support county committees to facilitate urban agricultural production and help address

climate change. An additional $2.3 million is provided to support temporary staffing and overtime

for the implementation of the Pandemic Assistance for Producers Program and loan debt

forgiveness initiatives. Other funds are requested for needed IT improvements as part of an effort

to modernize FSA systems to provide the highest quality service and to support participants in the

Farm Loan Programs.

Funding for State Mediation Grants is proposed at $6.9 million. These grants are made to States

to support certified programs to provide alternative dispute resolution. The 2018 Farm Bill

expanded the issues covered under these program funds, such as lease issues, family farm

transition, and farmer-neighbor disputes.

FARM PRODUCTION AND CONSERVATION 23

Table FPAC-2. FSA Staff Years

Item

2021

Actual

2022

Estimate

2023

Budget

Federal ............................................................

3,008

3,117

Non-Federal:

Permanent Full-Time ..................................

6,900

7,168

Temporary ..................................................

610

717

Total, Non-Federal .................................

7,510

7,885

Total, FSA Staff Years

10,518

11,002

Table FPAC-3. ACIF Program Level (PL) and Budget Authority (BA) (millions of dollars)

Item

2021 PL

2022 PL

2023 PL

Discretionary:

Farm Operating Loans:

Guaranteed Unsubsidized .......................

$2,118

$24

$3,042

$24

$2,118

$11

Direct ......................................................

1,633

1,580

1,633

Total, Operating Loans .......................

3,751

4,622

3,751

Farm Ownership Loans:

Guaranteed Unsubsidized .......................

3,300

3,500

Direct ......................................................

3,125

2,500

3,100

Total, Ownership Loans .....................

6,425

5,800

6,600

Emergency Loans .......................................

Indian Land Acquisition Loans ..................

Highly Fractionated Indian Land Loans .....

Boll Weevil Eradication Loans ...................

Guaranteed Conservation Loans .................

150

Heirs Relending Program ...........................

Program Loan Cost Expense (PLCE) .........

Total, ACIF ....................................................

10,483

10,751

10,652

*Represents values less than $500,000

Totals may not sum due to rounding

The farm loan programs serve as an important safety net for America’s farmers by providing a

source of credit if they are temporarily unable to obtain credit from commercial sources. The 2018

Farm Bill increased the loan limits for many of the farm loan programs, thereby increasing loan

demand in 2020, particularly direct farm ownership loans. To meet the anticipated demand for

farm credit, the Budget supports almost $10.7 billion in farm loans.

The Budget supports over 33,000 farmers and ranchers by financing operating expenses and

providing opportunities to acquire a farm or keep an existing one. The availability of farm

operating loans provides farmers with short-term credit to finance the costs of continuing or

improving their farming operations, such as purchasing seed, fertilizer, livestock, feed, equipment,

and other supplies. For farm operating loans, the Budget supports over $1.6 billion in direct loans

and over $2.1 billion in guaranteed loans. The requested loan levels for operating loans will serve

24 2023 USDA BUDGET SUMMARY

approximately 20,000 farmers, about 18,000 of whom will receive direct loans and over 2,000 will

receive guaranteed loans. For farm ownership loans, the Budget includes funding to support $3.1

billion in direct loans and $3.5 billion for guaranteed loans. These loan levels will provide an

estimated 13,700 farmers with the opportunity to either acquire their own farm or keep an existing

one, and an estimated 8,600 farmers will receive direct loans and about 5,100 farmers will receive

guaranteed loans.

The Budget will provide $61 million for the Heirs’ Relending Program, authorized in the 2018

Farm Bill, to resolve ownership and succession of farmland. Also, the Budget supports a $4 million

loan level for emergency (EM) loans. Demand for EM loans is difficult to predict; funding is

requested to be no-year money to account for this and to ensure that support is available in the

event of a natural disaster. In addition, the budget includes additional authorization changes to the

EM loans to make them a more useful tool to farmers who have suffered a loss due to a natural

disaster. Specifically, the Budget seeks to make EM loans more accessible to producers by

including provisions such as eliminating the need for both loss documentation and a Presidential

or Secretarial Disaster Declaration, eliminating the requirement that applicants show denials from

commercial lenders for eligibility, and ensuring that EM funds are available until expended. The

Budget also supports $60 million in boll weevil eradication loans, $20 million in Indian Land

Acquisition loans and $5 million in funding for the Highly Fractionated Indian Loan Program.

Table FPAC-4. FSA Key Performance Indicators Measures

Key Performance Indicators

2021

Actual

2022

Target

2023

Target

Restored wetland acreage (million acres)

2.34 2.64 2.76

Average number of days to process direct loans

32 34 34

Percentage of direct and guaranteed loan borrowers who

are beginning farmers

59.9 59.9 59.9

First installment delinquency rate on direct loans

9 9 9

Direct loan delinquency rate

7 7 7

COMMODITY CREDIT CORPORATION (CCC) PROGRAMS

COMMODITY PROGRAMS

Table FPAC-5. CCC Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Commodity Credit Corporation Fund ....................................................

$6,248

$8,032

$5,026

The commodity programs provide risk management and financial tools to farmers and ranchers.

These programs, including the Agriculture Risk Coverage (ARC), Price Loss Coverage (PLC),

and Dairy Margin Coverage (DMC) program, provide protection against adverse market

FARM PRODUCTION AND CONSERVATION 25

fluctuations. As a result, outlays for many of these programs vary significantly from year to year

as market conditions change. Total CCC net outlays are about $5.7 billion, a decrease of about

$2.5 billion from the 2022 estimates.

Table FPAC-6. CCC Net Outlays (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Commodity Programs:

Loan Deficiency Payments ...................................................

$10

Agriculture Risk Coverage/Price Loss Coverage .................

6,282

2,333

641

Dairy Margin Coverage* ......................................................

771

1,579

990

Other .....................................................................................

-556

124

Subtotal, Commodity Payments ........................................

6,507

4,012

1,755

Disaster Programs .................................................................

646

1,906

563

Noninsured Crop Disaster Assistance Program ....................

170

177

All Other** ...........................................................................

493

360

169

Total, CCC Commodity Programs ...................................

7,816

5,735

2,664

Conservation Programs:

Conservation Reserve Program ........................................

2,090

2,146

2,476

Total, Conservation Programs .....................................

2,090

2,146

2,476

Export & Foreign Assistance Programs:

Food for Progress .............................................................

370

173

230

Market Access Program (MAP) .......................................

157

225

Foreign Market Development (Cooperator) Program .......

Quality Samples Program .................................................

Technical Assistance for Specialty Crops Program ..........

Emerging Markets Program ..............................................

Priority Trade Trust ..........................................................

Vessel Loading Observation .............................................

Total, Export Programs ................................................

563

292

522

Total CCC Fund .......................................................................

10,469

8,173

5,662

Other CCC Activities:

CCC Export Loans (current, discretionary) ............................

Pima Agriculture Cotton Trust Fund ......................................

Agricultural Wool Apparel Manufacturers Trust Fund ..........

Total, Other CCC Programs ......................................................

Total, Current Law .....................................................................

10,521

8,225

5,714

Total, CCC ..............................

10,521

8,225

5,714

* Includes Collections for Premiums for Dairy Margin Coverage.

**All Other includes Trade Mitigation Program (MFP) and other CCC programs.

ARC and PLC provide assistance only when commodity revenue or price downturns occur. Under

ARC, producers were given the choice to elect ARC–County (ARC-CO) or ARC-Individual

(ARC-IC). ARC-CO offers revenue protection on a county basis. ARC-IC offers revenue

protection on an individual farm basis. Producers are able to elect PLC or ARC-CO on a

26 2023 USDA BUDGET SUMMARY

commodity-by-commodity basis, but ARC-IC has to be elected on a farm basis. Payments under

PLC occur if the U.S. average market price for the crop is less than the effective reference price,

therefore offering price protection. Payments under ARC-CO occur when actual crop revenue is

below the ARC revenue guarantee for a crop year. Under ARC-IC, payments are issued when the

actual individual crop revenues, summed across all covered commodities on the farm, are less than

ARC individual guarantees summed across those covered commodities on the farm. ARC and PLC

payments are issued after October 1 or as soon as practicable thereafter, after the end of the

applicable marketing year for the covered commodity. The ARC and PLC payment issued in fiscal

year 2021 were primarily for the 2019 crop year, and similarly the payments to be made in fiscal

years 2022 and 2023 are for crop years 2020 and 2021, respectively. The 2018 Farm Bill allowed

producers the opportunity to elect either ARC-CO or PLC by crop for both the 2019 and 2020 crop

years. Then, starting with the 2021 crop, the choice between ARC-CO and PLC can be made for

each crop year through 2023. Also, the 2018 Farm Bill authorizes a nationwide one-time PLC

yield update that will be in effect for 2020-2023 crops. In addition, the PLC reference price now

has an escalator option, not to exceed 115 percent of the statutory reference price.

The 2018 Farm Bill renamed the Margin Protection Program for Dairy (MPP-Dairy) as the Dairy

Margin Coverage (DMC) program. Other changes included lowering premiums, adding new levels

of coverage, and allowing producers to make a separate election for covered production over 5

million pounds. The 2018 Farm Bill also provided for the repayment of premium previously paid

under MPP-Dairy by allowing a 50 percent cash payment or a 75 percent credit toward new

premiums, based on the amount of premium the dairy operation paid for coverage during 2014 to

2017. Finally, the Dairy Product Donation Program was repealed and replaced with a new fluid

milk donation program. In 2021, as part of Congress’ efforts to provide broader pandemic

assistance, USDA expanded DMC to include coverage for supplemental production. The

Supplemental DMC will provide over $644 million to better help small- and mid-sized dairy

operations.

FARM PRODUCTION AND CONSERVATION 27

Table FPAC-7. CCC Payments by Commodity (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Commodity:

Feed Grains .....................................................

$3,125

$1,436

$1,410

Wheat .............................................................

1,848

1,103

162

Rice .................................................................

686

478

506

Extra Long Staple Cotton ...............................

137

145

Upland Cotton ................................................

2,179

1,723

2,125

Seed Cotton ....................................................

988

512

Lentils .............................................................

Honey .............................................................

Dairy and Products .........................................

781

1,656

1,064

Soybeans .........................................................

1,192

794

1,226

Other Oilseeds ................................................

123

Sugar ...............................................................

1,050

1,087

1,111

Peanuts ...........................................................

1,293

1,327

1,268

Soybeans Products ..........................................

Other Commodities ........................................

Total, Commodity Payments ..............................

13,482

10,326

9,118

*Includes Marketing Assistance Loans, however, doesn’t reflect loan repayments

Conservation Programs

Most of the conservation programs administered by FSA and NRCS (see NRCS section for further

information) are funded through the CCC. These programs help farmers adopt and maintain

conservation systems that protect water and air quality, reduce soil erosion, protect and enhance

wildlife habitat and wetlands, conserve water, and sequester carbon.

Conservation Reserve Program (CRP)

The purpose of CRP is to assist farm owners and operators in conserving and improving soil, water,

air, and wildlife resources by converting highly erodible and other environmentally sensitive

acreage normally devoted to the production of agricultural commodities to a long-term resource-

conserving cover. CRP participants enroll in contracts for periods from 10 to 15 years in exchange

for annual rental payments and cost-share and technical assistance for installing approved

conservation practices. Amounts for CRP include financial and technical assistance. CRP enrolls

highly erodible cropland, and also cropland and marginal pastureland in areas adjacent to lakes

and streams that are converted to buffers, and cropland that can serve as restored or constructed

wetlands, cropland contributing to water quality problems, and cropland converted to valuable

wildlife habitat.

CRP enrolls land through general signups and continuous signups, including the Conservation

Reserve Enhancement Program (CREP). CREP agreements are Federal/State partnerships

designed to address specific environmental objectives. Under general signup provisions, producers

compete nationally during specified enrollment periods for acceptance based on an environmental

28 2023 USDA BUDGET SUMMARY

benefits index. Under continuous signup provisions, producers enroll specified high-

environmental value lands such as wetlands, riparian buffers, and various types of habitat at any

time during the year without competition.

The 2018 Farm Bill extended and modified the authorization for CRP through 2023. The acreage

cap is increased from 24 million acres to 27 million acres by 2023 and included 8.6 million acres

for continuous practices and 2 million acres for grasslands. Two new pilot programs were created:

the Clean Lakes, Estuaries, and Rivers initiative (CLEAR 30, which has 30-year contracts) and

the Soil Health and Income Protection Program (SHIPP). FSA is expected to target at least 40

percent of continuous CRP acres to the practices considered as CLEAR 30. A proportional, historic

State acreage allocation was included for a portion of the acres available for enrollment. As of

February 2022, over 23,000 acres in 28 States were enrolled under the 30-year CLEAR contracts,

and more than 3,000 acres in SHIPP, which focuses on the prairie pothole States of Iowa,

Minnesota, Montana, North Dakota, and South Dakota. The 2018 Farm Bill authorized up to $12

million in incentive payments for tree thinning and related activities and provides additional haying

and grazing flexibilities. In addition, the 2018 Farm Bill reauthorized up to $50 million for the

Transition Incentive Program (TIP) through 2023. The TIP encourages the transition of expiring

CRP land to a beginning, historically underserved, or veteran farmer or rancher so land can be

returned to sustainable grazing or crop production. By early 2022, over 205,000 acres were

enrolled in TIP across 28 States.

In 2021, 1.7 million acres were enrolled in CRP under general signup, about 861,000 acres were

enrolled under continuous signup, and over 2.1 million acres were enrolled in the CRP Grasslands

program. Total CRP enrollment at the end of 2021 was about 20.5 million acres, of which about

11.1 million acres were enrolled under general signups, 7.6 million acres under continuous signups

and 1.8 million acres under grasslands signups. About 4 million acres in CRP will be expiring at

the end of 2022 and 2 million expiring at the end of 2023.

CRP Grasslands helps landowners and operators protect grassland, including rangeland,

pastureland, and certain other lands, while maintaining the areas as grazing lands. The program

emphasizes support for grazing operations, plant and animal biodiversity, and grassland and land

containing shrubs and forbs under the greatest threat of conversion.

Several assessments of CRP-related outcomes are ongoing or have recently started. These include

a trio of projects that will monitor the impact on soil carbon, as well as greenhouse gas emissions

and biomass carbon, of marginal cropland conversion to perennial cover. These projects involve

visiting roughly 1,000 grass, tree, and wetland enrollments at least twice over the next five years

to collect and analyze samples.

Riparian and grass buffers improve water quality and provide vital habitat for wildlife. By reducing

water runoff and sedimentation, riparian and grass buffers protect groundwater and help improve

the condition of lakes, rivers, ponds and streams.

FARM PRODUCTION AND CONSERVATION 29

Table FPAC-8. KPI – CRP Acreage Enrolled

Key Performance Indicators

2021

Actual

2022

Target

2023

Target

Acreage enrolled in Conservation Reserve Program (CRP)

riparian and grass buffers (Cumulative, Million Acres)

1.46 1.56 1.61

Agricultural Disaster Assistance

The Livestock Indemnity Program (LIP), Livestock Forage Disaster Program (LFP), Emergency

Assistance for Livestock, Honey Bees, and Farm-Raised Fish Program (ELAP), and the Tree

Assistance Program (TAP) were authorized by the 2008 Farm Bill, through September 30, 2011,

under the USDA Supplemental Disaster Assistance Program. The 2018 Farm Bill made changes

to several of them.

Table FPAC-9. Supplemental Agricultural Disaster Assistance Outlays (millions of dollars)

Item

2021

Actual

2022

Estimated

2023

Budget

Commodity:

LFP ..............................................................................................

$544

$1,652

$386

LIP ...............................................................................................

TAP .............................................................................................

ELAP ...........................................................................................

211

135

Total, Current Law ......................................................................

645

1,906

563

Total, Supplemental Agricultural Disaster Assistance ................

645

1,906

563

Totals may not sum due to rounding.

LIP provides benefits to producers for livestock deaths in excess of normal mortality caused by

adverse weather or attacks by animals reintroduced into the wild by the Federal Government. The

2018 Farm Bill amends LIP to include coverage for: 1) death or sale loss resulting from diseases

caused by, or transmitted by, a vector that cannot be controlled by vaccination or acceptable

management practices; and 2) death of unweaned livestock due to adverse weather. In addition,

the Bipartisan Budget Act of 2018 eliminated the payment limit for LIP. LFP provides

compensation to livestock producers who have suffered grazing losses due to drought on land that

is native or improved pastureland with permanent vegetative cover or is planted specifically for

grazing. It also provides compensation to producers who have suffered grazing losses due to fire

on rangeland managed by a Federal agency.

ELAP provides emergency assistance to eligible producers of livestock, honeybees and farm-

raised fish for losses due to disease (including cattle tick fever), adverse weather, or other

conditions, such as blizzards and wildfires, not covered by LFP and LIP. In addition, the 2018

Farm Bill eliminated the payment limit for ELAP.

TAP provides financial assistance to qualifying orchardists and nursery tree growers to replant or

rehabilitate eligible trees, bushes, and vines damaged by natural disasters. The 2018 Farm Bill

raised the number of acres for which payments could be received from 500 to 1,000 acres.

30 2023 USDA BUDGET SUMMARY

In addition to the disaster programs authorized by the Farm Bill, the Wildfire and Hurricane

Indemnity Program Plus (WHIP+) provided payments to producers to offset losses from

hurricanes, wildfires, and other qualifying natural disasters that occurred in 2018 and 2019.

WHIP+ covered losses of crops, trees, bushes, and vines that occurred as a result of those disaster

events, milk losses due to adverse weather conditions, and losses to on-farm stored commodities.

The enrollment period for WHIP+ ended on October 30, 2020. Nearly $2.4 billion in WHIP+

funding was provided in 2021. Supplemental disaster assistance authorized by Congress in the

Extending Government Funding and Delivering Emergency Assistance Act (P.L. 117-43) will

make $10 billion available for a broader range of disasters and will extend WHIP+ payments to

cover losses in calendar years 2020 and 2021. The expanded program includes $750 million

specifically for livestock producers with losses in 2021 due to drought and wildfire.

Pandemic Assistance for Producers

USDA announced in March, 2021, the new Pandemic Assistance for Producers Program to bring

financial assistance to a broader set of farmers and ranchers than in previous COVID-19 aid

programs. As part of this broader program, the Coronavirus Food Assistance Program 2 (CFAP 2)

was re-opened and updated to include additional payments for eligible cattle and row crop

producers and the processing of payments for certain applications filed as part of CFAP Additional

Assistance. CFAP 2 ultimately provided nearly $13.4 billion to impacted farmers and ranchers in

2021. Additional eligible commodities and flexibility to payment calculations for sales-based

commodities and eligible livestock and poultry contract producers were announced in August,

2021. Additional initiatives include, among others, the Organic and Transitional Education and

Certification Program (OTECP), the Pandemic Assistance for Timber Harvesters and Haulers

program (PATHH), the Pandemic Livestock Indemnity Program (PLIP), and the Spot Market Hog

Pandemic Program (SMHPP). The OTECP provides up to $20 million to reimburse agricultural

producers and handlers who are certified organic and crop and livestock producers who are

transitioning to organic for eligible expenses incurred during fiscal years 2020, 2021, and/or 2022.

PATHH, a program jointly administered by FSA and USDA’s Forest Service, further expands

pandemic assistance to support up to $200 million in relief to timber harvesting and timber hauling

business that experienced a decrease of 10 percent or more for calendar year 2020 compared to

calendar year 2019. PLIP provided over $21 million in assistance to chicken, turkey, and swine

producers who suffered losses during the pandemic due to insufficient access to processing, and

for the cost of depopulation and disposal in 2021. Under SMHPP, USDA allocated $50 million in

assistance to hog producers who sold hogs through a negotiated sale from April 16, 2020, through

September 1, 2020.

FARM PRODUCTION AND CONSERVATION 31

RISK MANAGEMENT AGENCY

Table FPAC-10. RMA Budget Authority (millions of dollars)

Item

2021

Enacted

2022

Estimated

2023

Budget

Discretionary:

RMA Salaries and Expenses Appropriations .......

$60

$75

Transfer from FCIC (Mandatory) ........................

Total, Salaries and Expenses ...................................

Mandatory:

Indemnities Net of Producer Paid Premium

......

4,257

8,884

9,630

Delivery Expense

...............................................

1,907

1,719

1,736

Underwriting Gain

.............................................

1,517

1,638

1,837

FCIA Initiatives ....................................................

Mandatory Appropriations .......................................

7,714

12,274

13,236

Total, RMA ..............................................................

7,781

12,341

13,318

The amount of premium subsidy paid by the Federal government is not reflected in the table above. The Budget

for the Federal Crop Insurance Program assumes a crop year loss ratio (gross indemnities/total premium) of 1.0

for 2022. However, the fiscal year loss ratio could be higher or lower than 1.0 due to differences in the timing of

certain cash flows (see discussion below on estimated indemnities).

Reimbursements to private companies.

Payments to private insurance companies. The 2023 underwriting gains reflect a projected 1.0 loss ratio for the

2023 crop year.

Discretionary Funding – Salaries and Expenses

Discretionary funds for the Federal crop insurance program cover most of Federal salaries and

related expenses to manage the program. The Budget includes $75 million in discretionary

appropriations for these costs. Of note, this includes $1.2 million for additional staff focused on

underserved communities; $2 million to research, review, and ensure actuarial soundness of new

products addressing climate change; $2.5 million for a critically needed upgrade to an IT system

that enhances program compliance and integrity; and $4.5 million to conduct research and

development and carry out contracting and partnerships. Further, the RMA plans to transfer $7

million each fiscal year from mandatory funding to RMA’s Salaries and Expenses for program

compliance and integrity reviews.

Mandatory Funding

The Federal crop insurance program provides a safety net that protects producers from a wide

range of risks caused by natural disasters, as well as the risk of price fluctuations. The crop

insurance program covers around 130 crops. However, the ten principal row crops (barley, corn,

cotton, peanuts, potatoes, rice, sorghum, soybeans, tobacco, and wheat) account for around 65

percent of total insured value. The participation rate is high for the principal row crops with around

87 percent of acres covered by insurance.

32 2023 USDA BUDGET SUMMARY

Federal crop insurance is delivered to producers through private insurance companies that share in

the risk of loss and opportunity for gain. The companies are reimbursed for their delivery expenses

and receive underwriting gains in years of favorable loss experience. The costs associated with the

Federal crop insurance programs include premium subsidies, indemnity payments (in excess of

producer paid premiums), underwriting gains paid to private companies, reimbursements to private

companies for delivery expenses, and other authorized expenditures.

A key performance measure for the Federal crop insurance program is the normalized value of risk

protection provided by Federal Crop Insurance Corporation (FCIC)-sponsored insurance – shown

in table FPAC-9 on a crop year basis. The value of FCIC risk protection is the actual dollar

insurance liability for a given crop year. However, this value is strongly influenced by commodity

price swings or trends. The normalized value of risk protection uses a five-year baseline to smooth

variations caused by these trends. The baseline model uses the most recent crop insurance data,

and other USDA market conditions data, to develop normalized value projections for major crops.

For the 2021 crop year, the Federal crop insurance program provided about $137 billion in risk

protection or about $78.2 billion in (normalized) risk protection. The 2022 and 2023 crop year

targets reflect projections of normalized value of risk protection as described above.

Actual indemnities for 2021 reflect crop year 2020 losses that were paid out in 2021, plus the

portion of crop year 2021 losses paid out in 2021. The loss ratio for the 2020 crop year was 0.77.

Estimated losses for crop years 2022 and 2023 reflect the statutory target loss ratio of 1.0.

Table FPAC-11. Risk Protection Through FCIC-Sponsored Insurance (billions of dollars)

Key Performance Indicators

2021

Actual

2022

Target

2023

Target

The annual normalized value of risk protection provided to

agricultural producers through the Federal Crop Insurance

program ($ billion)

78.2 78.2 78.5

In 2021, the total cost for the Federal crop insurance programs was about $7.7 billion. Of this

amount, about $4.3 billion was for net indemnities to producers (gross indemnities minus producer

paid premiums/fees). Another $1.9 billion was paid to the private insurance companies for delivery

expenses and $1.5 billion for underwriting gains, and $33 million was used for Federal Crop

Insurance Act initiatives.

FARM PRODUCTION AND CONSERVATION 33

NATURAL RESOURCES CONSERVATION SERVICE

Table FPAC-12: NRCS Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Conservation Operations ..........................................................

$833

$1,001

Watershed Rehabilitation Program ...........................................

Watershed and Flood Prevention Operations ...........................

175

125

Urban Agriculture and Innovative Production

.......................

Healthy Forests Reserve Program ............................................

Total, Discretionary Programs ......................................................

1,025

1,169

Other funding:

Water Bank Program ................................................................

Wetlands Mitigation Banking ...................................................

Total, Other Funding ....................................................................

Mandatory:

Farm Bill Programs:

Environmental Quality Incentives Program .........................

1,800

1,850

2,025

Agricultural Conservation Easement Program .....................

450

Regional Conservation Partnership Program ........................

300

Conservation Stewardship Program (2018) ..........................

750

800

1,000

Agricultural Management Assistance

.................................

Conservation Reserve Program Tech. Assist ........................

236

328

256

Watershed Protection and Flood Prevention ....................... .

Total, Mandatory Programs

........................................................

3,591

3,783

4,086

Supplemental:

Watershed and Food Prevention Operations (IIJA) .................

500

Emergency Watershed Protection Program (IIJA) ..................

300

Watershed Rehabilitation Program (IIJA) ...............................

118

Total, Supplemental ......................................................................

918

Total, Current Law .......................................................................

4,625

5,735

5,255

Total, NRCS .................................................................................

4,625

5,735

5,255

For 2020 and 2021, Urban Agriculture was funded through a General Provision. For 2022 and 2023, funding is

requested through a new discretionary account.

NRCS is authorized to receive 50 percent of total AMA funding and the rest is provided to RMA and AMS.

The amounts for Total Mandatory Programs include the Technical Assistance funding levels in Table FPAC-13.

Totals may not sum due to rounding.

Conservation Operations (CO)

The proposed discretionary funding for CO for 2022 is $1.0 billion, of which $886 million is for

the Conservation Technical Assistance (CTA) Program, and $115 million is for Soil Survey, Snow

Survey, and Plant Materials Centers. Increases are requested to address the Administration’s

priority of addressing climate change (climate-smart agriculture and climate hubs) and will allow

34 2023 USDA BUDGET SUMMARY

the agency to increase its staffing needed to provide assistance for its mandatory (Farm Bill)

programs.

As support for climate-smart agriculture, NRCS will expand its greenhouse gas monitoring,

measuring, reporting, and verification (MMRV) efforts as well as increase internal capacity related

to climate change science. NRCS will integrate soil carbon monitoring work as part of a broader

effort to establish a soil health monitoring network, including a network of soil sampling sites.

Targeted hiring and training will further expand NRCS’ ability to deliver conservation planning

and technical assistance that supports soil health and climate science.

Funding for climate hubs will be used to establish regional and State-based projects that understand

how natural resource conditions on working lands are affected by climate change. This is essential

to improve the performance of programs that conserve the land and sustain agriculture production.

Increased funding will assist the climate hubs expand NRCS outreach through more effective and

efficient delivery of research to end users.

An additional $50 million in CTA funding will be used to continue Equity Conservation

Cooperative Agreements, two-year agreements which support historically underserved farmers

and ranchers with climate-smart agriculture and forestry; combined with base funding, total

resources for this initiative will be $100 million.

Also within CO, the Soil Survey Program will enhance evaluation of the effects of conservation

practices on soil health, soil erosion, carbon sequestration, and other resource issues. The Snow

Survey and Water Supply Forecasting Program will enhance data collection and analysis to

provide estimates of water availability, drought conditions, and flooding potential to water users

(e.g., farmers, ranchers, recreationists) and to water managers (irrigation districts, soil and water

conservation districts, municipal and industrial water providers, hydroelectric power utilities, fish

and wildlife management, reservoir managers, Tribal Nations, Federal, State, and local

government agencies, and the countries of Canada and Mexico). NRCS Plant Materials Centers

will accelerate development of information and training for field staff to meet emerging

environmental challenges associated with climate change. A total of $1.74 billion in mandatory

TA is estimated to be needed to support Farm Bill conservation program implementation.

FARM PRODUCTION AND CONSERVATION 35

Table FPAC-13: NRCS Technical Assistance (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Conservation Operations (Technical Assistance):

Conservation Technical Assistance ..........................................

$731

$885

Soil Surveys ..............................................................................

Snow Surveys ...........................................................................

Plant Materials ..........................................................................

Watershed Projects ...................................................................

Total, Discretionary Programs ..........................................................

$832

$1,001

Mandatory:

Farm Bill Programs (Technical Assistance):

Environmental Quality Incentives Program .............................

617

625

593

Agricultural Conservation Easement Program .........................

192

219

162

Regional Conservation Partnership Program ............................

289

370

287

Conservation Stewardship Program .........................................

659

504

423

Agricultural Management Assistance

.....................................

Conservation Reserve Program Tech. Assist ............................

236

328

256

Voluntary Public Access and Habitat Incentive Program .........

Feral Swine Eradication and Control Pilot ...............................

Agriculture Water Enhancement Program ................................

Farm and Ranchland Protection Program .................................

Grassland Reserve Program ......................................................

Wetland Reserve Program ........................................................

Wildlife Habitat Incentives Program ........................................

Chesapeake Bay Watershed Program .......................................

Healthy Forest Reserve Program ..............................................

Total, Mandatory Programs ..........................................................

$2,097 $2,132 $1,743

Total, Technical Assistance ..............................................................

$2,929 $2,964 $2,744

This table reflects the total staff resources necessary to implement the private lands conservation programs

administered by the Natural Resources Conservation Service. This table includes the total for discretionary

technical assistance and associated science and technology programs provided through the Conservation Operations

account in addition to the total technical assistance necessary to implement Farm Bill Program.

NRCS is authorized to receive 50 percent of total AMA funding and the rest is provided to RMA and AMS.

2023 budget includes estimated carryover of $504 million.

Totals may not sum due to rounding.

Through the CTA Program, NRCS works with landowners and managers to develop conservation

plans that outline the specific conservation practices needed to improve farm operations and

enhance farm environmental sustainability. NRCS partners with third-party private sector entities

(known as Technical Service Providers) to collaborate and provide technical assistance for

conservation planning and activities.

36 2023 USDA BUDGET SUMMARY

Environmental Quality Incentives Program (EQIP)

EQIP provides assistance to landowners who face serious natural resource challenges (such as soil

erosion, air quality, water quality and quantity, and the sustainability of fish and wildlife habitat)

that impact soil, water, and related natural resources, including grazing lands, wetlands, and

wildlife habitat. The 2018 Farm Bill reauthorized EQIP and provided enhanced authorities,

including new conservation planning activities, increased payments for certain incentive practices,

and places a greater emphasis on soil testing and health.

Agricultural Conservation Easement Program (ACEP)

ACEP has two components: agricultural land easements, under which NRCS assists eligible

entities to protect agricultural land by limiting non-agricultural land uses; and wetland reserve

easements, under which NRCS provides technical and financial assistance to landowners to

restore, protect and enhance wetlands through the purchase of wetlands reserve easements. NRCS

continues to maintain existing easements and contracts formed under the previous programs. The

2018 Farm Bill reauthorized funding for ACEP and further authorized new enhancements to

streamline the agricultural land easement process, which will build upon prior years’ efforts to

help farmers and ranchers keep their land in agriculture. NRCS continues to maintain existing

easements and contracts formed under the previous programs.

Regional Conservation Partnership Program (RCPP)

Producers receive technical and financial assistance through RCPP while NRCS and its partners

help producers install and maintain conservation activities. These projects may focus on water

quality and quantity, soil erosion, wildlife habitat, drought mitigation, flood control, and other

regional priorities. Partners include producer associations, State or local governments, Indian

Tribes, non-governmental organizations, and institutions of higher education. The 2018 Farm Bill

reauthorized funding for RCPP and created new opportunities for farmers.

Conservation Stewardship Program (CSP)

CSP encourages participants to undertake new conservation activities to build upon existing

conservation activities. CSP was authorized under the 2014 Farm Bill. However, the 2018 Farm

Bill eliminated the former program and created a new CSP that is closely aligned with EQIP,

provided enhanced features, and modified the program to be dollar based (not acre-based) by

eliminating the $18-per-acre payment rate.

FARM PRODUCTION AND CONSERVATION 37

Table FPAC-14. NRCS Key Performance Indicators

Key Performance Indicators

2021

Actual

2022

Target

2023

Target

Contract implementation ratio 87.0 87.0 87.0

Practice implementation rate 53.0 53.0 53.0

Cropland with conservation applied to improve soil

quality (Million Acres) - EQIP

3.4 3.4 3.4

Cropland with conservation applied to improve soil

quality (Million Acres) - CTA

6.0 6.0 6.0

Tons of sediment prevented from leaving cropland and

entering waterbodies (Million Tons)

6.0 6.0 6.0

Working lands protected by conservation easements 163.0 163.0 163.0

FARM PRODUCTION AND CONSERVATION BUSINESS CENTER

The FPAC BC was formed to consolidate mission support functions within the FPAC mission

area. FPAC BC is responsible for financial management, budgeting, human resources, information

technology, acquisitions/procurement, customer experience, internal controls, risk management,

strategic and annual planning, and other mission-wide activities in support of the customers and

employees of FSA, NRCS, and RMA. The FPAC BC was established in 2018 via a transfer of

funding and personnel from FSA, RMA, and NRCS. The FPAC BC also provides administrative

support for the CCC.

The 2023 Budget provides $262 million in discretionary funding for FPAC BC. This includes,

among other changes, an increase of $12 million for additional staff to support increased

demands for administrative support to implement the mission-critical work of the

programmatic agencies. This reflects an increased demand on key areas such as budget,

financial management, grants and agreements, human resources, and information solutions.

Investment in salaries for FPAC BC also supports the agencies that FPAC BC serves. In

addition, the Budget includes almost $1 million for recruitment efforts with a special emphasis

on historically underserved populations. Including mandatory funding, the 2023 budget

provides a total of $322 million for the FPAC BC.

38 2023 USDA BUDGET SUMMARY

Table FPAC-15. FPAC Business Center Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

FPAC Business Center .......................................................

$231

$262

Mandatory:

NRCS - Agricultural Conservation Easement Program ......

NRCS - Conservation Stewardship Program ......................

NRCS - Environmental Quality Incentives Program ..........

Total, Mandatory Programs ....................................................

Total, FPAC BC .....................................................................

291

322

TRADE AND FOREIGN AGRICULTURAL AFFAIRS 39

TRADE AND FOREIGN AGRICULTURAL AFFAIRS

MISSION

Agricultural trade is essential for the vitality of the U.S. agricultural sector and the economy as a

whole. Agricultural exports make a critical contribution to the prosperity of local and regional

economies across rural America. Every $1 billion worth of agricultural exports supports an

estimated 7,700 jobs and $1.14 billion in additional economic activity. In 2021, U.S. farm and

food exports reached a record $172.2 billion. U.S. agricultural exports outpaced U.S. agricultural

imports, generating a surplus in U.S. agricultural trade. Agricultural exports in 2022 are currently

forecast to reach $175.5 billion.

The Trade and Foreign Agricultural Affairs mission area (TFAA), works to reduce trade barriers

that impede or disadvantage U.S. agricultural exports and open new markets for U.S. farm

products. The mission area includes the activities of the Foreign Agricultural Service (FAS) and

the U.S. Codex Alimentarius Office, an interagency partnership that engages stakeholders in the

development of international governmental and non-governmental food standards.

Recent U.S. successes in international trade include prevailing in the first dispute settlement panel

under the U.S.-Mexico-Canada-Agreement, securing full access to the Canadian market for the

U.S. dairy sector, and securing a commitment from the Vietnamese government to reduce tariffs,

giving U.S. corn, wheat and pork producers greater access to the U.S.’ seventh largest agricultural

export market. During the G20 Agriculture Ministers’ meeting in Italy, the Secretary made the

case for joint action on climate, food security, agricultural innovation and closer global integration

through trade. Market access was opened or expanded for numerous farm products, including pork

to India, poultry to Venezuela, processed foods to Mexico, seafood to Indonesia and beef to Egypt.

FOREIGN AGRICULTURAL SERVICE

FAS administers a variety of programs that are designed to facilitate access to international

markets and thereby support a competitive U.S. agricultural system. FAS also carries out activities

that promote productive agricultural systems in developing countries and contribute to increased

trade and enhanced global food security. Working bilaterally and with international organizations,

FAS encourages the development of transparent and science-based regulatory systems that allow

for the safe development and use of agricultural goods derived from new technologies. FAS works

with other USDA agencies, the Office of the United States Trade Representative, and others in the

Federal government to monitor and negotiate new trade agreements and enforce existing trade

agreements. The United States has free trade agreements (FTA) with 20 countries around the world

that expand export opportunities for U.S. food and agricultural producers.

40 2023 USDA BUDGET SUMMARY

Table TFAA-1. FAS Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

FAS Salaries and Expenses:

Salaries and Expenses (Direct Appropriation) ........................

$222

$241

Transfer from CCC Export Credit Program Account .............

Total, FAS Salaries and Expenses ......................................

228

247

Foreign Food Assistance:

McGovern-Dole International Food for Education Program ..

230

P.L. 480 Title II Donations .....................................................

1,740

P.L. 480 Title I Program Account: .............................................

P.L. 480 Title I Program Account: Transfer to FSA S&E ..........

CCC Export Credit Program Account:

Transfer to FSA and FAS Salaries and Expenses ...................

Total, Discretionary Programs ........................................................

2,198

2,217

Mandatory:

Quality Samples Program ...........................................................

Foreign Food Assistance:

P.L. 480 Title II - American Rescue Plan ...............................

800

Food for Progress - CCC Funded ...........................................

175

165

175

Bill Emerson Humanitarian Trust ...........................................

Farm Bill Market Development Programs:

Market Access Program..........................................................

200

Emerging Markets Program ....................................................

Foreign Market Development (Cooperator) Program .............

Technical Assistance for Specialty Crops Program ................

Priority Trade Fund ................................................................

Pima Agriculture Cotton Trust Funds .....................................

Agricultural Wool Trust Fund ................................................

Total, Farm Bill Market Development Programs ...............

302

Total, Mandatory Programs ............................................................

1,280

470

480

Total, Current Law .........................................................................

3,478

2,668

2,697

Total, FAS ......................................................................................

3,478

2,668

2,697

Table Footnotes

$23 million can be used for local and regional procurement in 2021.

Assets of the Trust can be released any time the Administrator of the U.S. Agency for International Development

determines that P.L. 480 Title II funding for emergency needs is inadequate to meet those needs in any fiscal year.

TRADE AND FOREIGN AGRICULTURAL AFFAIRS 41

CCC Export Credit Guarantee Programs (GSM-102)

Table TFAA-2. FAS CCC Export Credit Programs Program Level (PL) and Budget Authority (BA) (millions of

dollars)

Item

2021 PL

2022 PL

2023 PL

Discretionary:

GSM-102 Guarantees ...................

$2,130

$5,000

Facilities Financing Guarantees ....

500

Total, CCC Export Credit .............

2,130

5,500

The CCC (Commodity Credit Corporation) export credit guarantee programs, administered by

FAS in conjunction with USDA Farm Production and Conservation (FPAC), provide payment

guarantees for the commercial financing of U.S. agricultural exports. These programs facilitate

exports to buyers in countries where credit is necessary to maintain or increase U.S. sales.

The Budget includes an overall program level of $5.5 billion for CCC export credit guarantees in

2023. This estimate reflects the statutory requirement to make that level of programming available

for credit guarantees each fiscal year. However, the actual level of sales expected to be registered

under the export credit guarantee programs could vary from this estimate, depending upon program

demand, market conditions, and other relevant factors during the course of the year. Of the total

program level for export credit guarantees in 2023, $5 billion will be made available under the

GSM-102 program, which provides guarantees on commercial export credit extended with short-

term repayment terms (18 months).

The Budget also includes an estimated program level of $500 million for guarantees under the

Facility Guarantee Program. Under this program, CCC provides guarantees to facilitate the

financing of goods and U.S. services to improve or establish agriculture-related facilities in

emerging markets where demand is constricted due to inadequate storage, processing, or handling

capabilities if determined that such guarantees will primarily promote the export of U.S.

agricultural commodities.

Trade Shows

In 2021, 179 U.S. companies and organizations participated in 11 USDA endorsed trade shows in

5 countries, drawing buyers from all over the world. Twelve-month projected sales reported by

exhibitors were estimated at $93.3 million.

Quality Samples Program (QSP)

Under QSP, CCC provides funding to assist private entities to furnish samples of U.S. agricultural

products to foreign importers in order to overcome trade and marketing obstacles. The program,

which is carried out under the authority of the CCC Charter Act, provides foreign importers with

a better understanding and appreciation of the characteristics of U.S. agricultural products.

Agricultural Trade Promotion and Facilitation Programs

FAS administers several programs, in partnership with private sector cooperator organizations or

State agencies, which support the development, maintenance, and expansion of commercial export

markets for U.S. agricultural commodities and products.

Market Access Program (MAP)

Under MAP, CCC funds are used to reimburse participating organizations for a portion of the cost

of carrying out overseas marketing and promotional activities, such as consumer promotions. MAP

participants include nonprofit agricultural trade organizations, State-regional trade groups,

42 2023 USDA BUDGET SUMMARY

cooperatives, and state agencies. MAP has a brand promotion component that provides export

promotion funding to small companies and thereby helps expand the number of small and medium-

sized entities that export. The 2018 Farm Bill provides not less than $200 million per year for this

program.

Emerging Markets Program (EMP)

EMP authorizes CCC funding to be made available to carry out technical assistance activities that

promote the export of U.S. agricultural products and address the food and rural business system

needs of emerging markets. Many types of technical assistance activities are eligible for funding,

including feasibility studies, market research, industry sector assessments, specialized training,

and business workshops. The 2018 Farm Bill provides not more than $8 million per year for this

program.

Foreign Market Development (Cooperator) Program

This program provides cost-share assistance to nonprofit commodity and agricultural trade

associations to support overseas market development activities that are designed to remove long-

term impediments to increased U.S. trade. These activities include technical assistance, trade

servicing, and market research. Unlike MAP, Cooperator Program activities are carried out on a

generic commodity basis and do not include brand-name or consumer promotions. The 2018 Farm

Bill provides not less than $34.5 million per year for this program.

Technical Assistance for Specialty Crops (TASC) Program

TASC is designed to address unique barriers that prohibit or threaten the export of U.S. specialty

crops. Under the program, grants are provided to assist U.S. organizations in activities designed to

overcome sanitary, phytosanitary, or technical barriers to trade. The 2018 Farm Bill provides $9

million per year for this program.

Priority Trade Fund

When the amounts requested under applications for the Agricultural Trade Promotion and

Facilitation Programs exceed available funding for one or more of those programs, the 2018 Farm

Bill provides an additional $3.5 million per year through the Priority Trade Fund to access,

develop, maintain, and expand markets for United States agricultural commodities via these

programs.

Foreign Food Assistance

USDA supports global food security through in-country capacity building, basic and applied

research, improved market information, statistics and analysis, as well as food assistance. FAS

contributes to these efforts by carrying out a variety of food aid programs that support economic

growth and development in recipient countries.

McGovern-Dole International Food for Education and Child Nutrition Program

The program provides for the donation of U.S. agricultural commodities and associated financial

and technical assistance to carry out preschool and school feeding programs in foreign countries.

Maternal, infant, and child nutrition programs also are authorized under the program. The Budget

provides $230 million for McGovern-Dole.

International Food Aid

Assistance provided under the authority of P.L. 480 is a primary means by which the United States

provides foreign food assistance. Title I provides for sales of U.S. agricultural commodities

TRADE AND FOREIGN AGRICULTURAL AFFAIRS 43

governments and private entities of developing countries through concessional financing

agreements, however, new Title I agreements are no longer utilized. P.L. 480 Title II provides

emergency and development food assistance in foreign countries.

P.L. 480 Title II

P.L. 480 Title II grants fund emergency and development food aid programs authorized under Title

II of the Food for Peace Act (P.L. 83-480). Funding for Title II is appropriated to the USDA and

is administered by the U.S. Agency for International Development (USAID). The Budget provides

$1.74 billion for P.L. 480 Title II.

Food for Progress

The Food for Progress Act of 1985 authorizes U.S. agricultural commodities to be provided to

developing countries and emerging democracies that have made commitments to introduce and

expand free enterprise in their agricultural economies. Food for Progress agreements can be

entered into with foreign governments, private organizations, nonprofit agricultural organizations,

cooperatives, or intergovernmental organizations. Agreements currently provide for the

commodities to be supplied on grant terms. The Food for Progress authorizing statute provides for

the use of CCC funding for commodity procurement, transportation, and associated non-

commodity costs for the program. The 2018 Farm Bill authorizes funding for this program based

on metric tonnage, which is estimated to equate to $175 million in 2023.

Bill Emerson Humanitarian Trust

The Bill Emerson Humanitarian Trust (the Trust) is a commodity and/or monetary reserve

designed to ensure that the United States can meet its international food assistance commitments

under P.L. 480 Title II. The Trust’s assets can be released any time the Administrator of the United

States Agency for International Development (USAID) determines that P.L. 480 Title II funding

for emergency needs is inadequate to meet those needs in any fiscal year. When a release from the

Trust is authorized, the Trust’s assets (whether commodities or funds) cover all commodity costs

associated with the release. All non-commodity costs, including ocean freight charges; internal

transportation, storage, and handling overseas; and certain administrative costs are paid for by

CCC.

No assistance has been provided using the Trust’s authority in 2021 or to date in 2022. As of

December 31, 2021, the Trust held $282 million of cash and no commodities.

Trust Funds

The 2018 Farm Bill authorized two trust funds for payments to reduce injury to domestic

manufacturers resulting from U.S. tariffs on inputs to their manufacturing processes. These include

the Agricultural Wool Apparel Manufacturers Trust Fund, which provides CCC funding for up to

$30 million for reducing injury to domestic manufacturers resulting from tariffs on wool fabric

that are higher than tariffs on certain apparel articles made of wool fabric, and the Pima Agriculture

Cotton Trust Fund, which provides CCC funding of up to $16 million for reducing injury to

domestic manufacturers resulting from tariffs on cotton fabric that are higher than tariffs on certain

apparel articles made of cotton fabric. Payments are made to manufacturers that submit an affidavit

certifying that U.S. tariffs caused them injury.

Salaries and Expenses

FAS headquarters staff and attaches covering more than 170 countries partner with other U.S.

government agencies, trade associations, as well as regional and international organizations in a

44 2023 USDA BUDGET SUMMARY

coordinated effort to negotiate trade agreements; establish transparent, science-based standards;

and resolve trade barriers.

Table TFAA-3. FAS Salaries and Expenses (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Appropriated Programs ....................................................................

$222

$241

Reimbursable Program Activities:

FAS Computer Facility and Other IRM Costs Funded by CCC ...

USAID and Dept. of State Assist. and Reconstruction and

Stabilization ..............................................................................

Other Reimbursable Agreements ..................................................

Total, Reimbursable Program Activities ..................................

Total, FAS Salaries and Expenses ....................................................

305

306

325

Unnecessarily restrictive regulations to address risks to human, animal, and plant health (SPS) are

major barriers to the expansion of global agricultural trade. The proliferation of labeling,

registration, certification, and quality standards requirements for routinely consumed food

products can also result in unnecessary technical barriers to trade (TBT). Working in concert with

other U.S. trade and regulatory agencies and in frequent communication with private sector

stakeholders, FAS works to improve market access for U.S. agricultural products and reduce the

harm to the industry resulting from unnecessarily restrictive regulations by monitoring and

enforcing international rules, strengthening the global regulatory framework, and encouraging the

adoption of international standards.

FAS promotes science-based standards and supports trade in U.S. agricultural products produced

with new technologies by monitoring worldwide developments in technologies, including their

adoption and regulation by trading partners, and promoting the use of new technologies in support

of food security and sustainable agriculture. A proactive stance is critical, because the development

of divergent regulatory systems for new technologies could bring a virtual halt to trade in some

commodities with a potential trade impact reaching billions of dollars.

TRADE AND FOREIGN AGRICULTURAL AFFAIRS 45

Table TFAA-4. KPI – Export Support (billions of dollars)

Key Performance Measure

2021

Actual

2022

Target

2023

Target

Value of agricultural exports resulting from participation in foreign

agricultural trade shows and trade missions

0.1*

2.13

2.00

Value of trade preserved through resolution of foreign market access issues

such as U.S. export detainment, restrictive SPS and TBT issues, and trade

regulations

5.78

6.10

5.75

*This KPI is unmet due to the cancelation of activities due to the Global COVID-19 pandemic.

In 2023, FAS will conduct its activities and programs through offices in Washington, D.C. and at

97 overseas locations, including two new offices that FAS plans to open in Almaty, Kazakhstan

and Guadalajara, Mexico. The overseas offices represent and advocate for U.S. agricultural

interests; provide reporting on agricultural policies, production, and trade for more than 170

countries; assist U.S. exporters, trade groups, and State export marketing officials in their trade

promotion efforts; and help to implement technical assistance and trade capacity building

programs that contribute to increased food security. The Budget provides an appropriated funding

level of $241 million for FAS activities. The Budget supports an increase of $4.2 million for

overseas costs, including International Cooperative Administrative Support Services, Capital

Security Cost-Sharing, and the Department of State IT Transition, as well as an increase of $7.3

million for pay and inflation costs.

In addition, the Budget assumes an estimated $84 million in funding to be made available to FAS

through reimbursable agreements. This includes funding for technical assistance, training, and

research activities that FAS carries out overseas on behalf of USAID, foreign governments, and

international organizations, and development assistance activities that are funded by USAID and

the Department of State. Although funded by other agencies, these activities are an important

component of the Department’s efforts to support economic development and enhance food

security in developing countries. Six million will be transferred from CCC for administrative

expenses to carry out the CCC Export Credit Guarantee Program.

46 2023 USDA BUDGET SUMMARY

RURAL DEVELOPMENT

MISSION

USDA’s Rural Development (RD) serves a leading role in facilitating rural prosperity and

economic development by financing investments in rural utilities, housing, and business

investments. Building and modernizing rural America’s infrastructure is critical to create jobs and

increase our country’s productivity of vital goods and services. Additionally, communities that do

not invest in critical infrastructure upgrades risk losing their ability to provide clean, safe, and

reliable water; electric, broadband, health, other community services; and business growth.

Continued investment will be required to close infrastructure gaps and connect rural residents and

businesses to nationwide and global commerce. RD is comprised of three agencies: (1) Rural

Business-Cooperative Service (RBCS) provides assistance for the development of business and

industry, including small businesses, and renewable energy and energy improvement projects; (2)

Rural Housing Service (RHS) provides assistance for home ownership, multi-family housing, and

essential community facilities such sectors as healthcare, education, and public safety; and (3)

Rural Utilities Service (RUS) provides financing to build or improve rural water and waste

disposal, rural electric and telecommunications infrastructure (including broadband access).

RD is committed to driving prosperity across rural America, securing environmental justice, and

spurring economic opportunity for disadvantaged communities that have been historically

marginalized, overburdened by pollution, and have experienced underinvestment in essential

services. Through the programs administered by RD, USDA will promote job creation and

economic development, increase availability of high-speed e-connectivity, strengthen community

infrastructure, provide affordable and safe housing, advance education opportunities, modernize

healthcare, strengthen utility infrastructure, and support workforce training and veterans’

employment to enhance quality of life in the rural communities. RD programs will also continue

to expand stakeholder participation and facilitate the involvement of local, tribal, and State

governments to support inclusive rural prosperity efforts.

The type of assistance offered includes direct and guaranteed loans, grants, and other payments.

RD staff and partners also provide technical assistance to help communities access RD’s programs.

Several programs require or encourage recipients to contribute their own resources or obtain third-

party financing to support the total cost of projects, thereby leveraging government support with

private sector financing.

Direct and guaranteed loan subsidy costs depend on several factors, including default rates, the

prevailing interest rates, whether the interest rate is subsidized by the government, and whether

there are fees. All the loan programs also have administrative costs. In the tables below the budget

authority for each loan program reflects the subsidy cost to the government to support these loan

levels. Several of the loan programs operate at a very low or negative subsidy rate. These less-

costly loan programs provide most of the financial assistance in RD’s loan portfolio.

The programs of RD directly support the Secretary’s Strategic Goals 1, 2, 5 and 6 of the

Department’s Strategic Goals in the current 2022 – 2026 plan.

• Objective 1.4: Increase Carbon Sequestration and Reduce Greenhouse Gas Emissions

• Objective 2.2: Build Resilient Food Systems, Infrastructure, and Supply Chain

• Objective 5.1: Improve Rural and Tribal Community Infrastructure, Including Affordable

RURAL DEVELOPMENT 47

E-Connectivity, Cornerstone Community Facilities, Sustainable and Reliable Power, and

Clean and Safe Water and Sewer Systems

• Objective 5.2: Boost the Financial Security of Rural and Tribal Communities through

Access to Affordable Housing

• Objective 5.3: Increase Capacity, Sustainability, and Economic Vitality in Rural and Tribal

Communities

• Objective 5.4: Promote Environmental Justice by Maximizing Sustainable and Green

Economic Development in Rural and Tribal communities

• Objective 6.2: Establish a Customer-Centric, Inclusive, High-Performing Workforce that

is Representative of America and the Communities we serve.

Table RD-1. KPIs

RURAL UTILITIES SERVICE

Table RD-2. RUS Program Level (PL) and Budget Authority (BA) (millions of dollars)

Key Performance Indicators

2021

Actual

2022

Target

2023

Target

E-Connectivity: Number of households with potential

access to RD-funded new and/or improved e-

connectivity services

156,501 200,000 250,000

Equity in Field-Based Programs: Engagement in

underserved, historically underserved and vulnerable

rural and Tribal communities in field-based

programs, and investment in these designated

communities. (EC=Equity Communities)

Not

Applicable

460 EC

$12M

460 EC

$18M

Distressed Communities Assistance: Percentage of

RD assistance that went to distressed communities

(measured at the zip code level)

20% 25% 30%

Non-Federal Funding: Percentage of RD

commercial/infrastructure investments that leverage

non-Federal funding

81% 81% 81%

Climate/Coal Decline Geographies: Percentage of

25 priority geographies hard-hit by declines in coal

production and consumption that are being served by

RD programs

6% 7% 8%

OneRD Customer Experience: Percentage of OneRD

customers whose application processing time (receipt

to Conditional Commitment) does not exceed 30 days.

Part 2: Percentage of OneRD program customer

(lender) satisfaction survey ratings of 4 or above

Processing:

39%

CX Survey:

55%

Processing:

45%,

CX: 60%

Processing:

55%,

CX: 65%

48 2023 USDA BUDGET SUMMARY

Item

2021

2022

2023

Discretionary:

Electric Programs:

Direct Loans

$5,500

$6,500

Direct Loans/Grants, Carbon Pollution Free

$300

Rural Clean Energy Technical Assistance

Rural Energy Saving Program

107

$11

199

$11

254

Guaranteed Loans

750

Telecommunications Programs:

Treasury Loans

345

759

690

Treasury Loans, modifications

Direct FFB

345

Distance Learning and Telemedicine Grants

Broadband Programs:

Direct Loans

Direct Loans/Grants Combination

642

531

600

Direct Loans/Grants Combination - CoC Account

(104)

Grants

High Energy Costs Grants

Water and Waste Disposal Programs:

Direct Loans

1,400

Direct 0%

Direct 1%

Guaranteed Loans

Grants

Subtotal, Water and Waste

Subtotal, RUS Programs

617

717

690

2,067

617

2,084

617

2,307

717

9,873

1,268

10,286

1,268

10,486

1,794

Salaries and Expenses

Total, Discretionary Programs

9,906

1,301

10,319

1,301

10,519

1,827

Supplemental Funding:

Infrastructure Investment and Jobs Act:

IIJA Reconnect Grants/Loans

Total, Supplemental Funding

Total, RUS

2,000

9,906

1,301

12,319

3,301

10,519

1,827

Electric and Telecommunications Programs

RUS provides loan and grant financing for electric and broadband infrastructure serving rural and

remote communities through the Electric and Telecommunications programs.

Electric Loan Program

The Budget supports $6.5 billion in electric loans to construct, acquire, and improve electric

infrastructure including renewable energy, electric transmission, distribution, smart grid

RURAL DEVELOPMENT 49

technology, energy efficiency, grid resiliency, and security enhancements. The lending will be

split between $4.3 billion in direct Treasury loans and $2.2 billion in the Federal Financing Bank

loan guarantees. This is an increase of $1 billion over the 2021 enacted level to support additional

reliable and affordable clean energy, energy storage, and transmission projects to put people back

to work in good-paying jobs to help meet the climate adaptation and resilience goals of the

administration.

The Budget provides $300 million in new funding to support de-carbonization of the electric grid

in order to meet the Administration’s goal of zero carbon electricity by 2035.

The Budget also provides $26 million for the Rural Energy Savings Program to implement cost-

effective energy efficiency measures in rural areas to advance clean energy and decrease energy

use or costs for rural families and small businesses.

Furthermore, the Budget provides $15 million for a new technical assistance funding to support

the Rural Clean Energy Initiative. This initiative will increase coordination between USDA,

Department of Energy, and Department of Interior to achieve the President's de-carbonation goals

and ensure clean energy funding is implemented effectively in rural areas.

Telecommunication Loan Program

The Budget supports $690 million in telecommunications Treasury loans for the construction,

extension and improvement of telecommunication facilities that expand broadband and e-

connectivity to communities with populations of up to 5,000.

The Budget also provides $25 million for modification of existing loans for financially distressed

borrowers, and for refinancing outstanding loans where the borrower maintains service despite

non-payment and offers broadband service with the speed of at least 100/20 megabits per second.

Broadband, Distance Learning and Telemedicine Programs

The Budget includes $600 million in budget authority to continue the Broadband Pilot Program

(ReConnect) that provides loans, grants, and a loan/grant combination. This amount builds on the

$2 billion provided in the Infrastructure Investment and Jobs Act (P.L. 117-58) for the rural e-

connectivity program. ReConnect provides financial assistance to deploy broadband to

underserved areas. In addition, the Budget continues to include $35 million for broadband grants

to support new or improved broadband access in communities with populations of up to 20,000.

These programs provide capital access for strengthening e-connectivity that broadens economic

opportunities and job creation in rural America. Improved connectivity means rural communities

can offer robust business services, expand access to modern healthcare, and improve education.

The Budget also includes $60 million for Distance Learning and Telemedicine (DLT) grants. This

program is designed specifically to assist rural communities that would otherwise be without

access to learning and medical services over the Internet.

Water and Waste Disposal Program

The Water and Waste Disposal Program provides financing for rural communities to establish,

expand or modernize water treatment and waste disposal facilities. These facilities provide safe

drinking water and sanitary waste disposal for residential users, and help communities thrive by

attracting new business. Projects are designed to improve the energy efficiency of water and waste

facilities and expand water conservation efforts.

50 2023 USDA BUDGET SUMMARY

The Budget supports $1.4 billion in regular direct loans and $50 million in guaranteed loans for

water and waste disposal facilities to provide safe and sanitary water services. A set aside, not to

exceed $26.5 million has been requested to support distressed communities at 0% and 1% direct

loans that will provide an additional $70 million in direct loans for each new risk category. Overall,

the budget requests $727 million in budget authority, of which $717 million will provide a total

water and waste disposal program level of $2.28 billion. This funding is an increase of more than

$100 million over the 2021 enacted level, including an increase of $25 million over enacted for

grants targeted to Colonias, Native Americans, and Alaska Native Villages. The remaining $10

million will be directed to High Energy Cost Grants.

Priority for financing is given to communities with low median household income levels. The

funding also makes lead pipe replacement a priority by setting aside $100 million for this purpose.

The Water and Waste Direct program focuses on rural water and waste infrastructure needs of

rural communities. Assistance may be provided to financially needy communities with populations

of up to 10,000 through direct loans and grants, and up to 50,000 with guaranteed loans.

RURAL HOUSING SERVICE

Table RD-3. RHS Program Level (PL) and Budget Authority (BA) (millions of dollars)

Item

2021

2022

2023

Discretionary:

Single Family Housing (Sec. 502):

Direct Loans ........................................................................

$1,000

$55

$2,978

$55

$1,500

$56

Native American Relending Pilot Loans .............................

Guaranteed Loans ................................................................

24,000

30,000

Multi Family Housing:

Direct Loans (Sec. 515) .......................................................

200

Multi-Family Housing Preservation and Revitalization

...

Guaranteed Loans (Sec. 538) ...............................................

230

400

Very Low-Income Repair (Sec. 504):

Direct Loans ........................................................................

128

Grants ..................................................................................

Farm Labor Housing Grants (Sec. 516) ...................................

Farm Labor Housing Loans (Sec. 514) ....................................

All Other Direct Loans ............................................................

Grants and Payments:

Rental Assistance (Sec. 521) ...............................................

1,410

1,564

Multi-Family Housing Voucher

.......................................

Mutual and Self-Help (Sec. 523) .........................................

Multi-Family Housing Preservation and Revitalization

...

Multi-Family Housing Voucher

.......................................

Rural Housing Preservation .................................................

Community Facilities Programs:

Direct Loans ........................................................................

2,800

Guaranteed Loans ................................................................

500

Non-Conforming CF Loans .................................................

Grants ..................................................................................

RURAL DEVELOPMENT 51

Item

2021

2022

2023

Subtotal, RHS Programs ..........................................................

30,265

1,714

32,423

1,714

37,425

2,000

Salaries and Expenses ..........................................................

412

Total, Discretionary Programs .....................................................

30,677

2,126

32,835

2,126

37,837

2,412

Supplemental Funding:

American Rescue Plan:

Single Family Housing (Sec. 502) ...................................

657

Very Low-Income Repair (Sec. 504) ...............................

Admin. Expenses .............................................................

Rental Assistance (Sec. 521) ...........................................

100

Rural Community Facilities Grants .................................

475

Admin. Expenses - Technical Assistance ........................

Admin. Expenses .............................................................

Total, Supplemental Funding ......................................................

1,276

639

Total, RHS ...................................................................................

31,953

2,765

32,835

2,126

37,837

2,412

Table Footnotes

a/,b/

2023 is proposing moving this program under different treasury symbol.

Single Family Loan Program

The Single-Family Housing programs support homeownership opportunities for low-income

families in rural areas. Guaranteed loans are limited to families with incomes less than 115 percent

of area median income. The interest rate on guaranteed loans is negotiated between the borrower

and the private lender.

The Budget provides $56 million to support a $1.5 billion Single Family Housing Direct Loan

program. The Budget also supports a $30 billion loan level for the Guaranteed Single Family

Housing program. Together, these two programs are expected to provide approximately 171,000

homeownership opportunities. The Budget continues to support $10 million in program level for

Single Family Housing Credit Sales of acquired property, increases very low-income housing

repair grants from $30 million to $45 million and doubles the Housing Preservation grants from

$15 million to $30 million.

Multi-Family Housing Programs

The Multi-Family Housing program (direct and guaranteed loan portfolio) provides financing for

rental housing projects and rental assistance payments for the low-income tenants of those projects.

The increased funding levels for the Multifamily (MF) housing programs reflects the

Administration’s commitment to preserving and providing additional low-income multifamily

housing in rural areas in a way that promotes climate resilient construction. This includes the

requested proposal to authorize the decoupling of the rental assistance grants from MF mortgage,

with this design, the demand for USDA tenant protection vouchers is expected to decrease. To

address this, instead of new vouchers for paid off properties that don’t decouple, the Budget

reflects up to $20 million in funding for the HUD Tenant Protection Vouchers for those

beneficiaries. This provides a better voucher for the tenant, reduces duplication within Federal

programs, and allows USDA to fully focus on its priority mission of preservation and promotion

of climate smart housing construction and renovation.

A key component of the increases in rural housing funding is an additional requirement that all of

the housing funding for construction or rehabilitation be targeted to projects that improve energy

52 2023 USDA BUDGET SUMMARY

or water efficiently, implement green features, including clean energy generation or building

electrification, electric car charging station installations, or address climate resilience of properties.

Specifically, the Budget requests $1.564 billion in budget authority for Rental Assistance to fund

the regular renewals and to make permanent the actual Pandemic Emergency Rental Assistance

contracts. The Budget also includes $38 million for Vouchers ensuring continued benefits to the

existing residents receiving these vouchers. The requested amount will be used to renew existing

contracts to provide rental assistance payments. Most Section 515 projects that are financed with

direct loans receive rental assistance payments. These payments are made to the project sponsors

and are used to reduce the rents of occupants to no more than 30 percent of the family income.

Vouchers are provided for those tenants living in projects graduating from the USDA mortgage on

the property, either because of foreclosure or payoff/graduation. The budget is requesting authority

for RHS to continue providing Rental Assistance to certain properties that no longer have Direct

Multi-Family Housing direct loans (Section 515). Several Section 515 properties are aging and

will be exiting the multi-family housing program leaving tenants without Rental Assistance and

affordable housing. This request of decoupling of properties from the Rental Assistance program

will ensure a steady cash flow to these projects and ensure safe and affordable housing for tenants

in rural areas. The Budget is also requesting an increase of $38 million for repair, rehabilitation

and new construction of rental housing to further the objective of affordable housing. Savings from

this proposal will be realized in 2025 and 2026.

The Budget increases support for the Section 538 Guaranteed Loans for Multi-Family Housing to

$400 million. This increase of $170 million from the 2021 enacted authority will focus on new

construction in 2023 to improve the overall housing stock in rural areas. In addition, the Budget

requests $75 million in budget authority for the Multi-Family Housing Preservation and

Revitalization program.

Community Facilities Loan Program

Community Facilities loans provide funding for a wide range of essential community facilities to

rural communities with populations of 20,000 or less, with priority given to healthcare, public

safety, and education facilities.

The Budget continues to support $2.8 billion in Community Facilities Direct Loans and $500

million in Community Facilities Guaranteed Loans. The Budget requests $52 million in

Community Facilities Grants, which will be targeted towards underserved communities.

The Budget doubles the request from $6 million to $12 million for Rural Community Development

Initiative grants to provide financial and technical assistance to low-income communities,

nonprofit organizations, and tribes. The Budget also provides $10 million for Tribal College grants

to improve education and career-building opportunities, specifically for STEM (science,

technology, engineering, and math) programs.

RURAL DEVELOPMENT 53

RURAL BUSINESS-COOPERATIVE SERVICE

Table RD-4. RBS Program Level (PL) and Budget Authority (BA) (millions of dollars)

Item

2021 PL

2022 PL

2023

Discretionary:

Business and Industry Guar. Loans ............................

$912

$10

$517

$10

$1,500

$32

Rural Business Development Grants ..........................

Regional Grants ..........................................................

Intermediary Relending Program ...............................

Healthy Food Financing Initiative ..............................

Rural Economic Development

Direct Loans ...........................................................

Grants .....................................................................

Rural Microentrepreneur Assistance Lns. and Grts. ...

Rural Innovation Stronger Economy Grant ................

Rural Cooperative Development Grants:

Rural Cooperative Development Grants .................

Appropriate Tech. Transfer to Rural Areas ............

Grants to Assist Minority Producers .......................

Agriculture Innovation Center ....................................

Value-Added Producer Grants ....................................

Rural Energy for America Grants ...............................

Rural Energy for America Loans ................................

Subtotal, RBS Programs .............................................

1,122

112

778

112

1,771

158

Salaries and Expenses .............................................

Total, Discretionary Programs ........................................

1,126

117

783

117

1,775

163

Mandatory:

Farm Bill:

Biorefinery for Advanced Biofuels ........................

Higher Blends Infrastructure Program ....................

100

Rural Energy for America Loans ............................

530

595

635

Rural Energy for America Grants ...........................

Local Agriculture Market Program ........................

Biobased Market Program ......................................

Rural Economic Development Grants ....................

Total, Mandatory Programs ............................................

598

774

184

718

Supplemental Funding:

Value-Added Producer Grants (LAMP COVID) .......

Total, Supplemental Funding .........................................

Total, RBS ......................................................................

1,763

233

1,557

301

2,493

247

Table Footnotes

Funding for these programs is provided from electric cooperative investments and fees.

54 2023 USDA BUDGET SUMMARY

Business and Industry Guaranteed Loan Program

The Business and Industry (B&I) Guaranteed Loan Program provides lenders protection against

loan losses so they are willing to extend credit to establish, expand, or modernize rural businesses.

The B&I program promotes the creation and expansion of rural businesses by assisting them to

secure start-up capital, finance business expansion, and create jobs, which helps to diversify the

rural economy, including in such sectors as local and regional food and the bioenergy/bio-

economy.

The Budget supports $1.5 billion in B&I loan guarantees – an increase of $600 million from the

2021 enacted level with a budget authority of $32 million.

Rural Innovation Stronger Economy Grants (RISE)

The Budget requests $5 million for the Rural Innovation Stronger Economy grants program

established by the Agriculture Improvement Act of 2018. These grants will assist distressed rural

communities, particularly energy communities, in establishing jobs accelerators to create good

jobs.

Rural Business Development Grants

The Budget maintains $37 million in budget authority for the rural business development grant

program. The program provides grants and technical assistance to small and emerging private

businesses in rural areas for economic and community development.

Intermediary Relending Program

The Intermediary Relending Program provides one percent interest direct loans to entities that

relend to rural businesses and use their interest earnings to pay for their administrative expenses

and develop capital reserves. The Budget maintains a program level of $19 million in direct loans.

Rural Economic Development Loans and Grants

This program provides zero percent interest loans to local utilities which, in turn, provide funding

to local businesses for projects that will create and retain employment in rural areas. Grant funds

are provided to local utility organizations that use the funding to establish revolving loan funds.

Loans are made from the revolving loan fund to projects that will create or retain rural jobs. The

Budget requests an increase of $5 million in grants to $15 million and an increase of $25 million

in loans to a total of $75 million in loans.

Rural Microentrepreneur Assistance Program

The Budget request $6 million in budget authority to support a total program level of $30 million.

Grants are made to provide training, operational support, business planning, and market

development assistance. Loans are made to microenterprise development organizations for

relending to rural businesses. This program is essential for developing small business in rural areas.

Rural Cooperative Development Grants

The Budget increase its request by $4.1 million from the 2021 enacted level to $30.7 million for

Rural Cooperative Development Grants. The request includes $4.1 million to assist minority

producers with distribution systems for locally produced products and the development of new

cooperatives. This request also includes $15 million for the Value-Added Producer Grants

Program and $3 million for the Agriculture Innovation Center.

RURAL DEVELOPMENT 55

Rural Energy for America Program (Section 9007).

The Budget requests $20 million in loans and $30 million in grants under this program in addition

to the mandatory funding of $50 million for renewable energy systems and energy efficiency

improvements.

Healthy Foods Financing Initiative.

The Budget requests $5 million for loans and grants under the Healthy Foods Financing Initiative.

This program supports access to healthy foods in underserved areas, helping create and preserve

quality jobs and revitalize low-income communities.

RURAL DEVELOPMENT

In USDA’s efforts to enhance customer services with streamlined processes, RD is making strides

to reduce redundancies and inefficiencies. Supporting these objectives, the Budget proposes an

increase of 593 FTEs, of which 16 FTEs are supported by ReConnect administrative set aside. The

Budget provides a total of $954 million for salaries and expenses, which will enable RD to

modernize its workforce by building capacity with an emphasis on customer service, of which

$93.7 million increase is for increased staffing capacity. The Budget requests $73.6 million for

Information Technology (IT) capabilities to support a mobile workforce, improve customer

interactions, and to replace or migrate IT legacy systems.

Over the past 20 years, RD staff has declined significantly while program level funding has

increased. RD used productivity data to create a five-year staffing model to estimate the full

staffing level required to deliver its authorized permanent programs (not including supplemental

programs such as those authorized in the CARES Act, the American Rescue Plan Act, or the

Infrastructure Investment and Jobs Act) and determined it would require 6,556 FTES (including

3,185 at the State level and 1,172 program staff in RUS, RHS, and RBCS) to effectively deliver

those programs.

It is essential that RD continue to increase its staffing levels, especially because of the new, more

comprehensive programs being implemented, such as climate-smart building requirements in the

housing programs, that require more time to review and evaluate applications and to obligate the

funding. Providing additional program funding without building the capacity to deliver on those

programs means the full potential for those programs may not be realized.

Similarly, RD faces a serious backlog in its efforts to modernize its IT infrastructure. RD

implemented an Investment Review Board (IRB) process in 2021 that ensures agency leadership

can evaluate and rank IT DME requests and identify those that best support Administration

priorities and/or mitigate agency risks. Those rankings, along with other factors such as critical

operational upgrades or IT needs for new programs, are used to make final funding decisions for

IT DME projects. Failure to upgrade and modernize the IT infrastructure increases the manual

workload on staff, delays funding decisions for program participants, and increases the risk for

improper payments or errors.

Some key IT investments include modernizing the mission systems, including single family

housing delegated authority; modernizing the financial system, including the loan accounting

platform and the default management service; and improving document management, including

enhanced automated mail processing. Some projects would improve the customer experience,

empowering the public to access RD programs remotely, while others would lessen the

administrative burden on staff, enabling them to focus on program customer service.

56 2023 USDA BUDGET SUMMARY

Included in the Budget request is $39 million for a renewed and expanded initiative to leverage

USDA’s extensive network of county-based offices to help people in high poverty counties,

including energy communities. Referred to as the Rural Partners Network, RD will coordinate with

other USDA and Federal agencies in an all-of-Government approach to connect rural stakeholders

with Federal programs and resources.

Table RD-5. Rural Development (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Salaries and Expenses:

Appropriation ............................................................................

$264

$504

Transfers:

Rural Electric and Telecommunications Loan Program ............

Rural Housing Insurance Fund Program ...................................

412

Rural Development Loan Fund Program ...................................

Total, Transfers ......................................................................

450

Total, Salaries and Expenses .............................................

714

954

Total, Rural Development .............................................................

714

954

FOOD, NUTRITION, AND CONSUMER SERVICES 57

FOOD, NUTRITION, AND CONSUMER SERVICES

MISSION

The Food and Nutrition Service (FNS) mission area includes programs and funding to provide

access to safe, nutritious, and wholesome meals, while promoting a healthy diet.

Within the FNS mission, the Food and Nutrition Service (FNS) administers USDA’s domestic

nutrition assistance programs. Working in partnership with State agencies and other cooperating

organizations, FNS helps ensure children and low-income Americans have sufficient food to

support nutritious diets. Within FNS, the Center for Nutrition and Policy Promotion (CNPP)

improves the health of Americans by developing and promoting dietary guidance that links the

best evidence-based, scientific research to the nutrition needs of Americans. Over the course of a

year, one in four Americans is served by one of USDA’s 15 nutrition assistance programs. FNS is

committed to continually improving the performance, efficiency, and integrity of these programs.

FNS Federal staff leverage their efforts by working with State and local partners to deliver nutrition

assistance through the Supplemental Nutrition Assistance Program (SNAP); Child Nutrition

Programs, including the National School Lunch Program (NSLP), the School Breakfast Program

(SBP), the Summer Food Service Program (SFSP), and the Child and Adult Care Food Program

(CACFP); the Special Supplemental Nutrition Program for Women, Infants and Children (WIC);

The Emergency Food Assistance Program (TEFAP); the Food Distribution Program on Indian

Reservations (FDPIR); and several similar programs targeted to specific needs.

58 2023 USDA BUDGET SUMMARY

FOOD AND NUTRITION SERVICE

The Budget provides funding for the major nutrition assistance programs, accounting for projected

program participation and food cost inflation. It seeks to prevent and reduce food insecurity and

improve the nutritional status of recipients.

FNS will continue efforts to promote healthy eating in part by the use and promotion of MyPlate

and the Dietary Guidelines for Americans. CNPP works in collaboration with the Department of

Health and Human Services to develop the Dietary Guidelines for Americans to promote health

and prevent chronic disease. Funding requested for nutrition education and security will be used

to address core Administration priorities such as tackling health inequities by meeting the

individual needs of culturally diverse communities; understanding key barriers and motivators to

healthy eating; lifting up credible voices and working with those trusted partners to help reach

these communities with evidence-based strategies and resources that meet people where they are

culturally, financially and personally; and identifying systems of support to encourage sustained

healthy eating behaviors to protect their health.

Mounting evidence supports the effectiveness of USDA nutrition education and promotion efforts

to improve knowledge and catalyze healthier behaviors. Still, USDA faces multiple challenges in

its efforts to deliver effective and cohesive nutrition education across programs. The Budget seeks

funding for a new initiative to build and broaden FNS’ capacity to deliver effective nutrition

education and promotion to all Americans within existing program structures by supporting

research and evaluation of effective strategies; leveraging partnerships with States, local, and

nongovernmental organizations; targeting underserved communities with culturally appropriate

resources and interventions; and improving public access to USDA’s nutrition education

resources.

Table FNS-1. FNS Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary Programs:

Special Supplemental Nutrition Program (WIC)

..........................................

$6,000

Commodity Assistance Program:

Commodity Supplemental Food Program ..................................................

325

339

The Emergency Food Assistance Program (TEFAP), Soup Kitchens, Food

Banks ......................................................................................................

100

Farmers' Market Nutrition Program ...........................................................

Pacific Island Assistance and Disaster Assistance......................................

Nutrition Services Incentive Program

......................................................

Total, Commodity Assistance Program ..................................................

428

427

465

Nutrition Programs Administration ................................................................

157

239

Total, Discretionary Programs ............................................................................

6,585

6,584

6,704

Mandatory Programs:

WIC: Universal Product Database ..................................................................

Supplemental Nutrition Assistance Program (SNAP) ....................................

114,040

140,360

111,182

Child Nutrition Programs (CNP) ....................................................................

25,124

26,850

28,588

Permanent Appropriations ..........................................................................

214

219

230

Farm Bill:

Seniors Farmers' Market Nutrition Program ...............................................

FOOD, NUTRITION, AND CONSUMER SERVICES 59

Item

2021

Actual

2022

Estimate

2023

Budget

TEFAP Farm Bill Projects ..........................................................................

Total, Mandatory Programs ................................................................................

139,404

167,455

140,026

Total, FNS ..........................................................................................................

145,988

174,039

146,730

Additional Coronavirus Response and Relief:

Emergency Supplemental (Division N)

Pandemic EBT ............................................................................................

44,000

PEBT Grants to States ................................................................................

1,100

Emergency Costs for State and Local CN Providers .................................. 1,500

SNAP Waiver Authority .............................................................................

3,600

SNAP Relief Benefits – 15% increase to SNAP ........................................

7,634

SAE Mass Change ......................................................................................

100

Puerto Rico Supplemental .......................................................................... 597

American Samoa Supplemental ..................................................................

CNMI Supplemental ...................................................................................

TEFAP Food and Admin ............................................................................

400

Commodity Supplemental Food Program .................................................. 13

Online Purchasing & Tech Improvements..................................................

American Rescue Plan Act

SNAP Relief Benefits – Extension of 15% increase ..................................

3,817

State Administrative Expenses ...................................................................

1,135

P-EBT Benefits ...........................................................................................

25,000

PEBT Grants to States ................................................................................

300

Online Purchasing & Tech Improvements..................................................

Puerto Rico Supplemental ..........................................................................

966

American Samoa Supplemental ..................................................................

CNMI Supplemental ...................................................................................

Extension of SNAP Waiver Authority .......................................................

3,600

Commodity Supplemental Food Program ..................................................

Improvements to WIC Benefits ..................................................................

490

WIC Program Modernization .....................................................................

390

CACFP Benefits in Homeless Shelters up to Age 25 .................................

180

Total, Additional Coronavirus Response and Relief ..............................

66,039

28,900

Total, FNS

212,027

202,939

146,730

a/ Does not reflect cancelled unobligated balances.

b/ Funds are transferred from the Department of Health and Human Services, Administration on Aging. Funds for

2022 will be determined at a later date.

60 2023 USDA BUDGET SUMMARY

Figure FNS-1. FNS Budget Authority

$6.0

$25

$114

$6.0

$27

$140

$6.0

$29

$111

100

120

140

160

WIC CNP SNAP

$Billions

2021 Actual 2022 Estimate 2023 Estimate

Supplemental Nutrition Assistance Program (SNAP)

SNAP will continue to respond to economic need during the Nation’s recovery from the pandemic.

In 2023, participation is estimated to increase to an average level of 43.5 million participants per

month from 42.3 million in 2022. This post-recession uptick in SNAP is consistent with

participation trends following past economic crisis. While participation is expected to increase, the

overall cost of the program is expected to decrease. The decrease is due to the expected expiration

of emergency authorization (EA) payments that were provided through the Families First

Coronavirus Response Act (FFCRA) during fiscal years 2020 through 2022. EA payments and

other program waivers are anticipated to continue for the length of the Public Health Emergency,

likely through the majority of 2022.

Requested increases for SNAP focus on research funding to evaluate the changes to the Thrifty

Food Plan, improving customer service for retailers through the development of an on-line case

management and communication portal, increasing the number of store visits, and developing a

fraud framework information clearinghouse.

Research has shown that participation in SNAP reduces food insecurity and enables families to

have healthier diets. SNAP stretches the food budget of eligible low-income people by providing

a monthly allotment of benefits on a debit card to purchase healthy food at authorized stores. The

SNAP participation rate is the percentage of eligible people in the United States who participate

in the program. Participation rates vary widely from State to State with the highest rates at close

to 100 percent and the lowest at around 50 percent. Often, the lowest participation rates are among

the working poor, i.e., those families with earned income that still qualify for SNAP. Strategies to

improve participation rates include efforts to reduce the time, cost, and administrative burdens of

States participating in the nutrition assistance programs so that State agencies can spend more time

on outreach and application support for SNAP participants.

FOOD, NUTRITION, AND CONSUMER SERVICES 61

Table FNS-2. KPI – Access to Food and Participation in SNAP

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Percentage of American households with

consistent, dependable access to food

- 89.2 89.4

Annual average monthly Supplemental

Nutrition Assistance Program (SNAP)

participation rate

- 82.1 82.2

FDPIR provides food packages to Indian Tribal Organizations to improve nutrition and provide

culturally appropriate sustenance. The Budget requests $145 million in 2023 to fund FDPIR food

and administrative costs, up from $126 million in 2022. The increase is due to an expected increase

in FDPIR participation as Emergency Allotment payments in SNAP expire - with a resulting

decline in monthly SNAP benefits. FDPIR participants are generally able to choose whether they

participate in SNAP or FDPIR. As SNAP benefits decline, the budget anticipates that more eligible

Tribal members will choose to participate in FDPIR. The program is projected to serve 80,000

participants a month in 2023, an increase from expected annual participation of about 55,000 in

2022. The request includes almost $31 million for the Nutrition Assistance Program (NAP) in The

Commonwealth of the Northern Mariana Islands (CNMI) to ensure they have the resources needed

to support current NAP participation and benefit levels.

Child Nutrition Programs

Through subsidies for meals that meet program standards, the National School Lunch Program,

School Breakfast Program, Summer Food Service Program, Child and Adult Care Food Program,

Fresh Fruit and Vegetable Program, and Special Milk Program assist State and local governments

and private non-profit organizations in ensuring that meals provided to children in schools and

child care – and adults in adult day care programs – meet their nutritional needs, foster healthy

eating habits, and safeguard their health with a goal of reducing the number of overweight and

obese children. The Budget funds the Child Nutrition Programs through new appropriations and

prior year balances, at a level that will support anticipated increases in participation and food cost

inflation. The Budget projects serving 5.6 billion lunches and snacks (an increase of about 350

million over the current estimate for 2022) and 2.7 billion breakfasts in schools, 2.2 billion meals

in child and adult care programs, and 145 million meals through the Summer Food Service

Program.

Requested increases for Child Nutrition Programs include funding to research the feasibility of a

national technology system for States conducting Administrative Reviews of the school meals

programs, as well as reviews of CACFP and SFSP providers, additional funding to expand Food

Safety education, modernizing food ordering and commodity inventory management systems, and

funding to restore FNS’ ability to provide timely technical support to States.

The budget request includes a level of funding for State Administrative Expenses, to ensure that

States are held harmless from dramatic shifts in Child Nutrition operations during School Year

2021-2022 as a result of the pandemic.

The Budget funds Farm to School initiatives at $23.4 million, including $6.4 million for the Farm

to School Team, $5 million provided annually under Section 18 of the Richard B. Russell National

School Lunch Act for Farm to School grants, and an additional $12 million requested in a General

Provision.

62 2023 USDA BUDGET SUMMARY

The budget also maintains the maximum level of a Farm to School grant of $500,000, as provided

in 2021 appropriations to ensure that the grants are large enough to launch or expand Farm to

School programming. These grants ensure continued support of local and regional food systems

by facilitating linkages between schools and their local food producers.

Table FNS-3. KPI - National School Lunch Program (NSLP) and School Breakfast Program (SBP)Participation

Key Performance

Indicator

2021

Actual

2022

Target

2023

Target

Annual percentage of eligible children participating in NSLP

82.1

82.2

Annual percentage of eligible children participating in School Breakfast

Program

* 31 31

* Note: Due to unanticipated school closures as a result of the Coronavirus pandemic (COVID-19), the actual 2021 figure is

impacted due to the changes in meal service levels. Additionally, many schools served meals through the Summer Food Service

Program (SFSP) which is not included in this metric.

Special Supplemental Nutrition Program for Women, Infant, and Children (WIC)

WIC helps improve the health and nutritional intake of low-income pregnant, breastfeeding, and

postpartum women, infants, and children up to their fifth birthday. WIC serves about half of all

babies in the United States. It provides participants with benefits, redeemable at certified WIC

retailers, for foods dense in nutrients known to be lacking in the diets of eligible groups. The

program also provides nutrition education, breastfeeding counseling, and referrals to critical health

and social services.

The Budget includes $6.0 billion to serve all projected participants seeking WIC benefits in 2023.

Building on increases provided by the American Rescue Plan Act in 2021, the budget proposes to

continue the provision of enhanced Cash Value Benefits (CVBs) through 2023 to ensure that all

participating women and children have access to the scientific-based recommended level of fruits

and vegetables thereby improving health outcomes as well as program retention. In addition, the

program projects an increase in the food package cost that is being driven by food inflation costs.

In 2023, an average of 6.3 million low-income women, infants and children are expected to

participate in the program each month.

Table FNS-4. KPI –Participation in WIC (in millions)

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Annual average monthly participation in the Special

Supplemental Nutrition Program for Women, Infants,

and Children

6.25 6. 15 6.25

Commodity Assistance Program (CAP)

The Budget provides $464 million for CAP. The Budget includes a $13.6 million increase for the

Commodity Supplemental Food Program to ensure caseloads do not decline; a $20.4 million

increase for TEFAP administration, bringing the request up to the authorized level of $100 million;

and a $3.5 million increase for the Farmers’ Market Nutrition Program.

Nutrition Programs Administration (NPA)

The Budget provides almost $239 million for NPA to support Federal management and oversight

of USDA’s investment in nutrition programs. This will help ensure oversight and program

integrity, simplify, and improve the programs, and encourage healthy and nutritious diets. The

request includes an increase of over $17 million for CNPP, an increase of $2 million to provide

cross-program technical assistance for Tribal Communities, an increase of $1 million to ensure

FNS programs are administered equitably, an increase of $16 million to focus on improving

FOOD, NUTRITION, AND CONSUMER SERVICES 63

nutrition security, an increase of $1 million to research the impact of the Thrifty Food Plan on FNS

programs outside of SNAP, and an increase of $6 million to focus on research into infant and

maternal mortality.

Table FNS-5. FNS Key Indicators

Item

2021

Actual

2022

Estimate

2023

Estimate

Average Participation, Millions:

Supplemental Nutrition Assistance Program (per month)

41.5

42.3

43.5

Free School Lunch

9.0

21.0

All School Lunches (per day)

9.0

30.0

Free School Breakfast

6.0

13.0

All School Breakfasts (per day)

6.0

16.0

WIC (per month)

6.2

6.3

Commodity Supplemental Food Program (CSFP):

Elderly (per month)

0.66

0.76

FDPIR (per month)

0.05

0.06

0.08

Average/Person/Month Food Benefit:

Supplemental Nutrition Assistance Program

$217.33

$250.98

$186.99

WIC

36.01

49.03

51.56

CSFP: Elderly (FNS Funded)

27.37

33.24

37.31

FDPIR (FNS Funded)

78.51

81.96

85.42

Per Meal Subsidies Including Commodities:

School Lunch:

Free

3.60

3.75

3.90

Reduced

3.20

3.35

3.50

Paid

0.42

0.44

0.45

School Breakfast:

Free

2.26

2.35

2.44

Reduced

1.96

2.05

2.14

Paid

0.32

0.33

0.34

1/ Includes the cost of the additional Cash Value Voucher funding in 2022 and 2023.

64 2023 USDA BUDGET SUMMARY

Figure FNS-2. People Served Through Nutrition Assistance Programs (Actual and Projected)

FOOD SAFETY 65

FOOD SAFETY

MISSION

The Food Safety mission area is responsible for ensuring that the Nation’s commercial supply of

meat, poultry, and egg products is safe, wholesome, and properly labeled and packaged. This

includes products produced domestically in Federally inspected establishments, and products

imported from foreign countries.

The mission area covers the activities of the Food Safety and Inspection Service (FSIS), a public

health regulatory agency which provides Federal inspection of meat (including Siluriformes fish),

poultry and egg products; supports cost-share funding of State meat and poultry inspection

programs; implements the Public Health Information System to assign and track science-based,

data-driven inspections; and determines international equivalence of foreign food safety systems

and verifies that these systems maintain equivalence. Additionally, the Under Secretary for Food

Safety chairs the U.S. Codex Policy Committee, which is an interagency partnership providing

leadership for U.S. Government participation in the work of the Codex Alimentarius to develop

the international food standards used by governments and industry to protect consumer health and

to ensure fair trade practices. FSIS coordinates the development of its policies with other USDA

and Federal agencies, including the Food and Drug Administration (FDA), the Centers for Disease

Control and Prevention (CDC), and the Environmental Protection Agency, to support an integrated

approach to food safety.

One of FSIS’ strategic goals is to prevent foodborne illness. Foodborne illness is recognized as a

significant public health problem in the United States. About 128,000 people are hospitalized, and

3,000 die each year from foodborne diseases, according to estimates from the CDC. USDA and

other Federal agencies are working in cooperation to ensure that Americans have access to safe

and healthy food and to prevent foodborne illnesses.

The safety and well-being of FSIS employees continues to be a top priority as the agency fulfills

its Congressionally mandated mission to provide safe and wholesome meat, poultry, and egg

products to consumers. Throughout the COVID-19 pandemic, FSIS protected its employees by

supplying and requiring the use of personal protective equipment (PPE) and adapted its policies

as the CDC, Occupational Safety and Health Administration and USDA guidance evolved.

In 2021, FSIS and the state of South Dakota finalized a Cooperative Interstate Shipment (CIS)

agreement, which allow for certain state-inspected very small and small meat and poultry

processors to ship their products across state lines, bringing the total number of states participating

in this program to nine. FSIS continues to work with additional states to bring them into the CIS

program which will allow for the expansion of business opportunities for state-inspected meat and

poultry establishments that have fewer than 25 employees. Recognizing how critical small and

very small plants are to the Nation’s food supply, FSIS is working to strengthen and build fairer

markets for these producers through critical infrastructure and business investments in 2021. In

the American Rescue Plan Act (ARP), enacted on March 11, 2021, Congress provided FSIS with

$100 million to reduce the costs of overtime and holiday inspection fees for small and very small

federally inspected meat, poultry, and egg products establishments.

In 2021, FSIS announced the availability of revised guidelines to assist poultry establishments in

controlling Salmonella and Campylobacter in raw poultry. The revised guidelines will assist FSIS

66 2023 USDA BUDGET SUMMARY

in achieving its public health goal of preventing foodborne illnesses and further protecting the food

supply by providing “best practice” recommendations for poultry establishments.

FSIS will continue to move forward in developing a more comprehensive strategy to reduce

Salmonella illnesses associated with poultry products. The agency is initiating several key

activities to gather the data and information necessary to support future action. FSIS will seek

stakeholder feedback on specific Salmonella control and measurement strategies, including pilot

projects, in poultry slaughter and processing establishments. A key component of this approach is

encouraging preharvest controls to reduce Salmonella contamination coming into the

slaughterhouse. The data generated from pilots and other sources will be used to determine if a

different approach could result in a reduction of Salmonella illness in consumers. FSIS has created

a new Key Performance Indicator in 2022 to track its success with these activities.

In addition to its work ensuring safe and wholesome products are available to the consumer, FSIS

also develops materials for consumers and conducts public education campaigns to inform

consumers about safe food handling methods to decrease the likelihood of foodborne illness from

improper storage, handling, or preparation.

FSIS continues to strengthen its collaboration with the CDC and FDA to meet its goal to improve

coordination of Federal food safety efforts and address cross-cutting priorities for food safety data

collection, analysis, and use. On July 28, 2021, USDA and FDA signed a Memorandum of

Understanding (MOU) to permit more efficient use of resources and contribute to improved public

health protection. FSIS expects the MOU to enhance the exchange of information between USDA

and FDA related to dual jurisdiction establishments and operations. In recent years, the

development of cell-cultured products derived from the cells of animals has raised questions about

regulatory jurisdiction, food safety controls and the labeling of cell-cultured meat and poultry

products. FSIS and FDA also continued their collaboration on cellular agriculture through 2021.

FSIS published an advance notice of proposed rulemaking (ANPR) to solicit public comments

pertaining to the labeling of meat and poultry products comprised of or containing cultured cells

derived from animals subject to the FMIA or the PPIA. FSIS will use the comments and

information submitted through this ANPR to develop proposed regulations for the labeling of meat

and poultry products made using animal cell culture technology.

To accomplish its functions, FSIS inspectors are located at over 6,600 regulated establishments,

including slaughtering and processing establishments and import establishments. Headquarter

personnel are responsible for overseeing administration of inspection and ensuring that scientific

and technological developments are incorporated into inspection procedures, as well as developing

policies and guidance documents for the regulated industry.

Table FSIS-1 Key Performance Indicator Targets by Fiscal Year

Item

2021 Actual

2022 Target

2023 Target

Percent reduction in the proportion of poultry samples with

Salmonella serotypes commonly associated with human illness*

0 2 4

*Targets are a total reduction from a baseline established in 2021.

FOOD SAFETY 67

BUDGET

The Budget proposes discretionary funding of $1.226 billion, an increase of $150.4 million from

the 2022 Annualized Continuing Resolution (CR). FSIS spends 80 percent of its funding on

salaries and benefits, predominantly for inspection personnel in establishments, and other frontline

employees such as investigators and laboratory technicians. The budget includes $52.2 million for

pay costs, $6.4 million for Federal Employees' Retirement System contributions, and $4.9 million

for non-salary inflationary increases to support and maintain the staffing levels necessary to carry

out the Agency’s critical food safety mission.

USDA continues to make significant investments to expand capacity and increase competition in

meat and poultry slaughter and processing in an effort to make agricultural markets more

accessible, fair, competitive, and resilient for American farmers and ranchers. With funding made

available in the American Rescue Plan, FSIS has reduced the overtime and holiday fees by 30

percent for small and 75 percent for very small establishments. The agency continues to assess the

factors affecting the ability of small slaughter and processing establishments to remain competitive

with larger facilities that can more easily absorb the overtime charges due to their production

volume. To alleviate the disproportionate financial impact that overtime and holiday inspection

fees have on small and very small establishments, the Budget includes $44.1 million to continue

reducing the full rate charges that hamper small and very small establishment’s ability to be

competitive and expand. This proposal will not only help small establishments stay in business,

but it also helps provide smaller farmers with more options for their product.

The Budget also includes an investment of $10.3 million to modernize FSIS’ aging information

technology (IT) infrastructure. These funds will be used to increase connectivity to mission critical

systems for frontline FSIS inspectors, veterinarians and public health professionals; reduce

security issues; facilitate domestic and international trade; and develop a capability to receive lab

sample data from external organizations. Mission critical IT assets, such as the Public Health

Information System, facilitate the collection and sharing of vital data that allows FSIS to

continually improve performance of its food safety mission and achieve operational excellence.

To address the continuing difficulty that FSIS has in recruiting and retaining Public Health

Veterinarians (PHVs), the budget includes $2.8 million for incentives to recruit and retain PHVs.

With this funding, FSIS is expected to decrease vacancies, reduce in-plant PHV turnover, improve

employee morale and free up supervisors to perform other important functions instead of

continually recruiting, interviewing, and training new PHV employees.

Lastly, the Budget requests the final installment of $29.7 million for the relocation, due to

environmental issues and deteriorating infrastructure, of its Mid-Western Laboratory (MWL)

currently located in St. Louis, Missouri. The General Services Administration has developed more

detailed build requirements for the MWL and assessed local factors more closely resulting in the

latest cost estimate.

FSIS continually searches for ways to improve its processes and gain savings through ongoing

management reforms and modernization efforts. These efforts will allow FSIS to maintain food

safety oversight and reduce operating expenses while allowing FSIS to continue to meet its

mandate to protect public health.

68 2023 USDA BUDGET SUMMARY

Table FdS-1. FSIS Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Federal Food Safety and Inspection ....................................................

$957

$1,104

State Food Safety and Inspection ........................................................

International Food Safety and Inspection ............................................

Public Health Data Communication Infrastructure System .................

Goodfellows Mid-Western Laboratory Relocation (GP) .....................

Total, Discretionary Programs .................................................................

1,092

1,076

1,226

Mandatory:

Trust Funds (Voluntary Inspection Services) ......................................

User Fees (Overtime/Holiday Inspection Services) .............................

253

205

American Rescue Plan .........................................................................

100

Total, Mandatory Programs .....................................................................

371

222

Total, FSIS .............................................................................................

1,462

1,298

1,448

User Fees and Trust Funds

FSIS estimates it will collect $222 million in 2023 through existing user fee and trust fund activities

for providing overtime, holiday, and voluntary inspection services.

Proposed Legislation

In 2023, FSIS will propose changes to the current Overtime/Holiday billing policy. Current policy

prevents FSIS from employing part-time employees or providing flexible schedules to employees

while still collecting fees for services provided as requested by the plant.

FSIS will propose changes to provide flexible scheduling for inspectors who prefer to work fewer

hours rather than requiring them to work all hours and days of plant operations. FSIS will also

review how fees are applied to establishments outside of their normal hours of operations to ensure

that there is equity between very small, small, and large establishments.

NATURAL RESOURCES AND ENVIRONMENT 69

NATURAL RESOURCES AND ENVIRONMENT

MISSION

The Natural Resources and Environment (NRE) mission area ensures the sustainable and

productive use of the over 193 million acres of National Forest System (NFS) lands, works to

increase the resilience of Federal, State, private, and Tribal lands to the impacts of climate change,

delivers high quality and equitable recreation and other human connections to National Forests,

supports jobs and the economic stability of rural and urban forest-dependent communities, and

helps the Nation mitigate wildfire risk through improved forest conditions and wildland fire

fighting. The Mission Area includes the Forest Service.

FOREST SERVICE

Table NRE-1. FS Budget Authority (millions of dollars)

Items

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Forest Service Operations .................................................. .

$1,026

$1,113

Forest and Rangeland Research ..........................................

259

318

State and Private Forestry ...................................................

267

307

National Forest System .......................................................

1,787

2,181

Wildland Fire Activities .....................................................

1,927

2,679

Capital Improvement and Maintenance ..............................

140

Land Acquisition accounts .................................................

Other Appropriations ..........................................................

Total, Discretionary Programs ........................................

5,411

6,741

Wildfire Suppression Operations Reserve Fund:

Wildfire Suppression Operations Reserve Fund .................

2,040

2,210

Mandatory:

Permanent Appropriations ..................................................

487

507

Trust Funds .........................................................................

141

236

Other Mandatory ................................................................

221

Total, Mandatory Programs ............................................

850

964

Supplemental Appropriations:

Disaster Relief Appropriations (P.L. 117-43) .....................

1,360

Infrastructure Investment and Jobs Act (P.L. 117-58) ........

1,666

945

Total, Supplemental Appropriations ...............................

3,026

945

Total, FS .................................................................................

8,301

11,442

10,860

Table Footnote 1: Other Mandatory includes Forest Legacy (Great American Outdoors Act), Land Acquisition (Great

American Outdoors Act), and Land facilities enhancement.

Table Footnote 2: The 2023 Infrastructure Investment and Jobs Act (P.L. 117-58) funds are advance appropriations.

The 2023 Forest Service Budget request prioritizes critical investments to address threats from

wildfire, tackle climate change, protect communities, provide economic relief through job creation,

advance racial equity, and further improve our work environment. To address these challenges,

the Forest Service requests significant investments for wildfire risk management to implement the

Administration’s climate innovation agenda. Wildfire risk management helps the agency improve

the resilience of forest and rangeland ecosystems from multiyear drought conditions and protect

70 2023 USDA BUDGET SUMMARY

watersheds, habitat, and communities from the negative impacts of uncharacteristically severe

wildfire. These priorities build on the unprecedented additional funding provided by the

Infrastructure Investment and Jobs Act, (P.L. 117-58), and will allow the Forest Service to build

new and increased capacity to work with partners to improve the resilience of landscapes and

watersheds across boundaries, reduce wildfire risk by treating the right acres at the right scale,

restore infrastructure, support outdoor recreation, and invest in the reforestation of impacted

landscapes. The proposed 2023 investments are detailed in Figure NRE-1 and described in further

detail in the program areas below.

Figure NRE-1. FS Discretionary Budget Authority

Forest Service Operations

For 2023, $1.1 billion is proposed for Forest Service Operations to support staff salaries and

expenses, facilities maintenance and leases, information technology, and administrative support

for the agency. This account was created in 2021 as part of the Forest Service budget restructure

and is the result of the agency’s ongoing commitment to transparency in the delivery of its mission.

The Budget provides funds for increased staffing levels necessary to address the Administration’s

priorities of racial justice, equity, and inclusion, as well as increased Information Technology

funds to help the agency address climate resilience and conservation on public and private lands,

remediate abandoned wells and mines, and mitigate wildfire risk through data and system

developments.

Forest and Rangeland Research

The Forest Service maintains the world's largest forest research organization, with a mission to

develop the knowledge and technology needed to improve the health and use of our Nation’s

forests and grasslands, making the agency uniquely poised to help mitigate the adverse impacts

from climate change. For 2023, $318 million is proposed for Forest and Rangeland Research to

continue investments in scientific research priorities, including improving the understanding of

Wildland Fire

Management

30%

Wildland Fire

Suppression Reserve

25%

Forest Management

24%

Forest Service

Operations

12%

Forest and Rangeland

Research

State and Private

Forestry

Capital Improvement &

Maintenance

Total = $9.0 Billion

NATURAL RESOURCES AND ENVIRONMENT 71

climate change, increasing adaptation and resilience to climate change, and pursuing nature-based

climate solutions. This funding includes an increase of $39 million, which will allow the Forest

Service to invest more in research related to climate mitigation, adaptation, and resilience,

including expanding the scope and scale of research and program delivery related to reforestation,

carbon sequestration, carbon accounting, and fire and fuels research. The Forest Service will also

dedicate $6 million to USDA Climate Hubs, accelerating science production and technology

transfer to aid land management agencies, private landowners, and agricultural producers,

including foresters, with information on scientifically sound climate adaptation practices.

State and Private Forestry

Through State and Private Forestry programs, the Forest Service advances the health of Federal,

State, and private lands, creating a more connected, contiguous, and resilient forest landscape. For

2023, $307 million is proposed for State and Private Forestry programs, which will help provide

support to keep working forests intact, facilitate sound stewardship of lands across all ownerships

on a landscape scale, and provide an avenue for nature-based climate solutions to enhance

ecosystem and human community resilience to climate change.

State and Private Forestry programs support voluntary stewardship efforts of private landowners

to pursue a collaborative and inclusive approach to conservation. The Budget continues the Forest

Service’s Shared Stewardship approach of working together to make decisions and take actions on

the land, sharing information and risks, and achieving measurable outcomes. Focusing on

collaborative, science-based restoration of priority forest landscapes, the Budget requests a $26

million increase, in addition to an associated increase for salary and expense funding, for work on

Forest Health Management, Landscape Scale Restoration, and Forest Stewardship to support

performance measures for the America the Beautiful initiative and other climate resilience

outcomes.

National Forest System

The Forest Service manages over 193 million acres of public land in 44 States and Puerto Rico,

collectively known as the National Forest System (NFS). The Budget proposes to fund NFS at

$2.2 billion, prioritizing forest restoration, recreation service delivery, climate smart land

management, and reducing wildfire risk. Over the past 15 years, the Forest Service has lost more

than 40 percent of its non-fire positions, significantly limiting its ability to perform other critical

mission work within the NFS. The Budget includes an investment of $170 million to strengthen

its workforce in support of the Infrastructure Investment and Jobs Act (H.R. 3684) and other

agency priorities.

NFS lands have seen an unprecedented increase in the number of visitors during the pandemic,

and the Forest Service is pursuing innovative ways to serve the recreational needs of new and

returning visitors while managing the associated social and environmental impacts. The Budget

includes a $74 million increase to expand capacity for critical recreation operations, planning,

services, and improvements, which will allow the Forest Service to address and serve the

recreational needs of the increasing numbers of visitors on NFS lands, particularly in more

dispersed recreation settings.

The Budget requests a $70 million investment in Vegetation and Watershed Management to help

support post-wildfire restoration work necessary for improving watershed and landscape

conditions for areas impacted by catastrophic wildfire that do not qualify for Burned Area

72 2023 USDA BUDGET SUMMARY

Emergency Response (BAER). This additional funding to rehabilitate burned areas would reduce

the negative impacts of having to choose between rehabilitation of burned areas and other natural

resource management priorities.

Wildland Fire Management

Climate change is increasing the severity and frequency of wildfires. The summer of 2021 was

one of the worst fire seasons in modern times- the agency was at a record 68 days at Preparedness

Level 5, indicating the highest demand for wildland fire suppression resources. Traditional fire

seasons of the past have now extended to year-round events, with wildfires occurring outside of

historic fire season timeframes in different parts of the country, and in 2022, the agency anticipates,

and is prepared for, another significant fire year. Through Wildland Fire Management (WFM), the

Forest Service protects life, property, and natural resources on NFS lands, other Federal lands, and

an additional 20 million acres of non-Federal lands under protection agreements. The Budget

proposes $2.7 billion for WFM activities, focusing critical investments in hazardous fuels

treatments, firefighter compensation, and supporting the objectives of the agency’s 10-year

strategy to confront the Nation’s wildfire crisis.

The Budget includes an increase of $334 million to support necessary staff levels to enhance

response to year-round fire activity and allow the agency to continue important investments that

support the health, well-being, and resilience of the agency’s wildland firefighting force. This

includes ensuring all wildland firefighters receive a minimum wage of not less than $15 per hour

and increasing the firefighting workforce by over 3,200 FTEs from 2022 (firefighters and

firefighting support personnel).

The Hazardous Fuels program will move from the NFS account to the WFM account in 2023.

Along with this realignment, the Budget dedicates $321 million toward management for hazardous

fuels reduction, an increase of $141 million from the 2022 annualized CR level. This will allow

the agency to mitigate wildfire risk on 3.8 million acres in high priority and high-risk areas and

builds on the over $300 million in hazardous fuels funding the Forest Service will receive through

the Infrastructure Investment and Jobs Act in 2023, a significant investment to prioritize and target

landscape treatments across multiple jurisdictions. Critically, this investment will focus resources

on high-priority, large-scale fuel mitigation, forest resilience projects, and other restoration work,

helping the agency improve the resilience of forest and rangeland ecosystems from multiyear

drought conditions and protect watersheds, habitat, and communities from the negative impacts of

uncharacteristically severe wildfire. The Budget proposes $1.01 billion for Suppression to fund

firefighters and equipment in direct support of wildfire incidents; aviation asset operations;

incident support functions; and wildfire management administration. This funding amount was

established by Division O of the Consolidated Appropriations Act of 2018 (P.L. 115-141). The

Budget also includes $192 million for Preparedness, an increase of $40 million, to maintain a

robust aviation program to maximize the agency’s capacity to ensure safe, timely, and effective

aerial response. The Forest Service continues to improve Preparedness budgeting by evaluating

cost centers, eliminating redundancies, and ensuring more consistency in contracting for assets on

wildfire incidents.

Wildfire Suppression Operations Reserve Fund

The risk and frequency of severe wildfire continues to increase, but the Forest Service is mitigating

the risk, protecting public safety, property, and natural resources. Division O of the Consolidated

Appropriations Act of 2018 (P.L. 115-141) provided new budget authority to fight wildfires known

as the “fire fix.” Beginning in 2020, the Forest Service and the Department of the Interior have

NATURAL RESOURCES AND ENVIRONMENT 73

budget authority available when base Suppression funding has been exhausted. This budget

authority is $2.55 billion in 2023 (of which $2.21 billion is allocated to the Forest Service) and

increases by $100 million each year through 2027. The budget stability enabled by the additional

budget authority allows the agency to take a more strategic approach to the fiscal planning and

execution of both wildland fire management programs and national forest system management

programs.

Capital Improvement and Maintenance

The Forest Service manages a capital asset portfolio to provide public access to national forests

for recreation; facilities for fire response and forest research; and infrastructure for businesses and

industries. For 2023, the Budget proposes $140 million for the construction and maintenance of

infrastructure on NFS lands. Capital Improvement and Maintenance funding is also complemented

by the Great American Outdoors Act (P.L. 116-152) National Parks and Public Land Legacy

Restoration Fund, which provides mandatory funding for deferred maintenance projects on public

lands. The Budget contains 2023 National Parks and Public Land Legacy Restoration Fund project

lists, which will reduce the deferred maintenance backlog, while at the same time improve access,

enhance forest conditions, and improve the quality of the visitor experience.

Table NRE-2. KPI -Terrestrial Condition Assessment

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Percent of National Forest System (NFS) landscape

ecosystems improved, maintained, or recovering

due to management actions, Terrestrial Condition

Assessment (TCA)

33 35 38

Table NRE-3. KPI – Forest Legacy Program

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Number of private forest acres protected through the

Forest Legacy Program

69,000 69,000 64,000

This is a new KPI in 2022.

Table NRE-4. KPI – Wildfire Risk Reduction

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Number of high priority areas where treatments

have occurred to reduce wildfire risk to

communities (number of firesheds, annually)

0 3 3

Fireshed is a term similar to watershed. It refers to a geographic region with a similar risk of wildfire to adjacent communities.

Reducing hazardous fuels within parts of the fireshed may reduce the overall risk to the adjacent community.

Table NRE-5. KPI – Hazardous Fuels Reduction

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Annual acreage treated to reduce or maintain fuel

conditions on NFS and non-

Federal lands (million

acres, annually)

3.6 3.7 3.8

74 2023 USDA BUDGET SUMMARY

Table NRE-6. KPI – Final Acreage Treatment

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Annual acreage of NFS lands where final treatment

effectively mitigates wildfire risk (million acres,

annually)

1.28 1.4 1.6

Table NRE-7. KPI – Timber Volume

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Timber volume sold (billion board feet)

2.8

3.4

Table NRE-8. KPI – Watershed Restoration

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Number of watersheds moved to improved

condition class or sustained in Condition Class 1

12 15 16

Table NRE-9. KPI – National Forest Customer Satisfaction

Key Performance Indicator

2021

Actual

2022

Target

2023

Target

Percent of customers satisfied with recreation

facilities, services, and settings in National Forest

95 95 98

MARKETING AND REGULATORY PROGRAMS 75

MARKETING AND REGULATORY PROGRAMS

MISSION

The Marketing and Regulatory Programs (MRP) mission is to facilitate and expand the domestic

and international marketing of U.S. agricultural products, to help protect the agricultural sector

from animal and plant health threats, and to ensure humane care and treatment of regulated

animals. These programs provide the basic infrastructure to improve agricultural market

competitiveness for the overall benefit of consumers and producers of American agriculture. U.S

agricultural exports totaled $146 billion in 2020, supported by MRP and other mission areas in

USDA.

To meet demand for American grain and to ensure consistent grain quality, MRP is providing

service at export facilities 24 hours a day. MRP also assists producers in management and domestic

marketing by providing market trend analysis and business and marketing tools. MRP also helps

increase the competitiveness of the agricultural sector by working to protect the Nation’s

agriculture from pests and diseases, thereby increasing the efficiency of production.

ANIMAL AND PLANT HEALTH INSPECTION SERVICE

Table MRP-1. APHIS Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Safeguarding and Emergency Preparedness/Response:

Animal Health:

Animal Health Technical Services

$38

$39

Aquatic Animal Health

Avian Health

Cattle Health

105

109

Equine, Cervid and Small Ruminant Health

National Veterinary Stockpile

Swine Health

Veterinary Biologics

Veterinary Diagnostics

Zoonotic Disease Management

Total, Animal Health

366

384

Plant Health:

Agricultural Quarantine Inspection (Appropriated)

Cotton Pests

Field Crop and Rangeland Ecosystems Pests

Pest Detection

Plant Protection Methods Development

Specialty Crop Pests

197

219

Tree and Wood Pests

Total, Plant Health

363

399

76 2023 USDA BUDGET SUMMARY

Item

2021

Actual

2022

Estimate

2023

Budget

Wildlife Services:

Wildlife Damage Management

112

116

Wildlife Services Methods Development

Total, Wildlife Services

133

141

Regulatory Services:

Animal and Plant Health Regulatory Enforcement

Biotechnology Regulatory Services

Total, Regulatory Services

Emergency Management:

Civilian Climate Corps

Contingency Fund

Emergency Preparedness & Response

Total, Emergency Management

Total, Safeguarding and Emergency Preparedness

939

1,013

Safe Trade and International Technical Assistance:

Agriculture Import/Export

Overseas Technical & Trade Operations

Total, Safe Trade and International Technical Assistance

Animal Welfare

Agency-Wide Activities (including GSA Rent/DHS Security)

Total, Salaries and Expenses

1,064

1,149

Buildings and Facilities

General Provisions:

Citrus Greening

Cogongrass

Total, Non-Emergency Programs

1,079

1,152

Total, Discretionary Programs

1,079

1,152

Mandatory:

Agricultural Quarantine Inspection (AQI) Fees

234

Consolidated Appropriations Act, Division A, GP 799D

635

American Rescue Plan

300

Trust Funds and User Fees

Farm Bill: Plant Pest and Disease Mgmt. and Disaster Prev.

Total, Mandatory Programs

1,248

314

Total, APHIS

2,327

1,393

1,466

a/ Amounts less than $1 million.

APHIS works cooperatively with State and local agencies, private groups, and foreign

governments to protect the Nation’s agriculture. The Budget includes discretionary funding of

$1.149 billion for Salaries and Expenses and $3.175 million for the Buildings and Facilities

account. These levels include funding to provide a minimum wage of $15 an hour.

MARKETING AND REGULATORY PROGRAMS 77

Table MRP-2. APHIS KPI – Wildlife Disease Sampling and Climate Suitability Mapping

Key Performance Measure

2021

Actual

2022

Target

2023

Target

Number of zoonotic and agricultural diseases sampled in wildlife 15 16 17

Number of priority pests for which climate suitability maps have been

completed

6 14 22

As part of the Salaries and Expenses amount, the Budget requests $1.0 billion to support

safeguarding and emergency programs. Animal health and plant health programs protect domestic

livestock, poultry, field crop, and specialty crops production annually valued at more than $233

billion.

To combat any sudden, urgent, and unforeseen pest and disease outbreaks, the Secretary retains

authority to transfer funds from the Commodity Credit Corporation or other USDA accounts.

Animal Health

The Budget supports a total of $383.560 million for Animal Health. The Budget proposes to

enhance chronic wasting disease efforts and to expand antimicrobial resistance data collection.

The Budget continues support for cattle, poultry, swine, and aquatic animal health efforts. At the

proposed funding level, APHIS is requesting an increase to further staff the National Bio and Agro-

Defense Facility. The Budget also proposes a decrease of $4.000 million in discretionary funding

for the National Animal Health Laboratory Network as mandatory funds are also provided for this

purpose.

Plant Health

The Budget includes $398.755 million for Plant Health. The Budget proposes building plant health

initiatives that are currently funded through General Provisions into base funding. This shows as

an increase to address cogongrass and citrus greening in base funding. In addition, the Budget

proposes an increase to address fruit flies given detections in recent years.

Wildlife Services

The Budget includes a total of $141.137 million for Wildlife Services. APHIS will use this funding

to continue to resolve human/wildlife conflicts and protect agriculture, human health and safety,

personal property, and natural resources from wildlife damage and wildlife-borne diseases in the

United States, including the management of rabies and other zoonotic diseases caused by various

wildlife species. The Budget proposes an increase for chronic wasting disease research, including,

but not limited to, the persistence of causal agents of the disease in the environment. This research

is especially important given the changing climate.

Regulatory Services

The Budget includes $38.492 million for Regulatory Services. This includes an increase for the

Animal and Plant Health Regulatory Enforcement (APHRE) program, which promotes the

integrity of APHIS programs by providing effective investigative and enforcement services. In

2021, APHRE initiated 1,253 new cases, issued 466 official warnings, issued 491 pre-litigation

settlements resulting in the collection of $883,525 in stipulated penalties, and obtained

administrative orders assessing $48,100 in civil penalties.

78 2023 USDA BUDGET SUMMARY

Emergency Management

The Budget includes $50.794 million for Emergency Management. The Budget proposes funding

for the Civilian Climate Corps (Climate Corps) as part of a Government-wide initiative. With this

funding, APHIS will lead coordination between Federal agencies and the Climate Corps on issues

related to invasive species. Under this initiative, APHIS will expand efforts to develop and

implement surveillance methods to more quickly detect incursions of invasive pests as well as

develop mitigation methods to address those already present and causing economic and

environmental damages.

Safe Trade and International Technical Assistance

The Budget provides $43.360 million for Safe Trade and International Technical Assistance

activities. This includes an increase to address rising costs associated with maintaining a robust

overseas presence which will allow APHIS to continue to facilitate safe U.S. agricultural trade. In

2021, APHIS successfully secured the release of 275 shipments worth approximately $84 million.

Animal Welfare

The Budget for Animal Welfare activities is $35.477 million. APHIS will continue to support

activities related to the protection of animal species covered under the Animal Welfare Act and

the Horse Protection Act.

Buildings and Facilities

The Budget includes $3.175 million in funding for general facility improvement projects. The

program will continue to centrally coordinate and prioritize facility improvement projects using

available funds.

User Fees

In addition to discretionary funding, APHIS collects mandatory user fees to cover costs related to

agricultural quarantine and inspection activities that occur at ports of entry. A portion of these

collections are provided to the Department of Homeland Security’s Customs and Border Protection

(CBP) to conduct front line inspections at points of entry. With user fee funding, APHIS supports

international trade by assessing the plant and animal health risks associated with such trade. APHIS

also develops regulations to protect agricultural health; inspects and quarantines imported plant

materials intended for planting; trains agricultural inspectors and detector dog teams; and provides

the scientific support necessary to carry out these activities as well as those carried out by CBP.

Given recent disruption to mandatory user fee collections, APHIS is exploring options to facilitate

full cost recovery based on program data.

MARKETING AND REGULATORY PROGRAMS 79

AGRICULTURAL MARKETING SERVICE

Table MRP-3. AMS Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Marketing Services:

Market News

$34

$37

Shell Egg Surveillance

Standardization

Market Protection and Promotion

National Bioengineered Food Disclosure Standard

Transportation and Market Development

Farmers Market and Local Food Promotion Program

Acer Access and Development

Packers and Stockyards

Hemp Production

Grain Regulatory

US Warehouse Activities

Appropriated GSA Rent and DHS Security

International Food Procurement Program

Dairy Business Innovation

Total, Marketing Services

188

233

Payments to States and Possessions

General Provisions:

Micro-Grants for Food Security

Dairy Business Innovation

Total, Discretionary Programs

216

234

Mandatory:

Funds for Strengthening Markets, Income, and Supply (Section 32):

Commodity Program Expenses

1,204

1,491

1,212

Section 32 Administrative Funds:

Marketing Orders and Agreements

Commodity Purchase Services

Total, Section 32 Administrative Funds

Total, Section 32 Funds

1,258

1,549

1,271

User Fees:

Perishable Agricultural Commodities Act

Commodity Grading Services

167

170

175

Inspection and Weighing Services

Total, User Fee Funded Programs

233

236

241

Farm Bill:

Wool Research, Development and Promotion

Specialty Crop Block Grants

Local Agriculture Market Program

Milk Donation Program

Modernization Tech--National Organic Program

Sheep Production and Marketing Grant Program

Total, Farm Bill Programs

123

Additional Coronavirus Response and Relief:

Dairy Donation Program

400

Specialty Crop Block Grant

100

Meat and Poultry Interstate Shipment Grants

Local Agriculture Market Program

Total, Mandatory Programs

2,236

1,908

1,635

Total, AMS

2,452

2,124

1,869

a Funded through General Provision, specific to dairy (FY20 - 20M, FY21 - 22M).

b Funding shifted into Marketing Services for Business Innovation Centers.

c Funding made available in previous years is available for multiple years.

80 2023 USDA BUDGET SUMMARY

Table MRP-4. AMS KPI – Grader’s Time Livestock and Poultry

Key Performance Measure

2021

Actual

2022

Target

2023

Target

Recover 83 percent of graders’ time through customer billing

(poultry)

95 83 83

Recover 83 percent of graders’ time through customer billing

(meat livestock)

95 83 83

AMS’ mission is to facilitate the competitive and efficient marketing of agricultural products in

domestic and international markets, while ensuring fair trading practices. AMS programs aid

producers in meeting the changing demands of consumers and domestic and international

marketing practices. The Budget proposes discretionary funding of $234 million.

AMS administers a variety of programs that enhance the marketing and distribution of agricultural

products. Activities include, but are not limited to: the collection, analysis, and dissemination of

market information; surveillance of shell egg handling operations; development of commodity

grade standards; protection of producers from unfair marketing practices; statistical sampling and

analysis of commodities for pesticide residues; development and enforcement of organic

standards; facilitating hemp production; enforcing labeling standards; and research and technical

assistance aimed at improving efficiency of food marketing and distribution.

Marketing Services

Market News

The Budget proposes $37.060 million for Market News to support data collection and reporting of

commodity information. The information provided by Market News assists producers and other

marketers of farm products and those in related industries in making critical daily decisions.

Egg Surveillance

The Budget funds Shell Egg Surveillance at $2.769 million. The Shell Egg Surveillance Program

inspects registered shell egg facilities and monitors the disposition of restricted eggs to limit the

number of restricted eggs in consumer channels. The program prevents eggs not meeting minimum

U.S. standards from entering the consumer marketplace.

Standardization

The Budget funds Standardization at $5.604 million. This program develops, reviews, and

maintains agricultural commodity standards that describe a product’s attributes for trade purposes.

Market Protection and Promotion-Federal Seed Act Program

The Budget provides $2.567 million for the Federal Seed Act Program. This program promotes

fair competition in the seed trade, by among other requirements, ensuring seed is accurately

labeled.

MARKETING AND REGULATORY PROGRAMS 81

Market Protection and Promotion-Country of Origin Labeling

The Budget provides $5.062 million for the Country of Origin Labeling program. The program

requires retailers to notify their customers of the country of origin of covered commodities, and

that the method of production for fish and shellfish be noted at the final point of sale.

Market Protection and Promotion-Pesticide Data Program

The Budget provides $15.782 million for the Pesticide Data Program, which is the main supplier

of data regarding actual levels of pesticide residues on commodities. The program works

collaboratively with the Environmental Protection Agency and the Centers for Disease Control

and Prevention to target residue data collection related to high-risk commodities and vulnerable

populations.

Market Protection and Promotion-National Organic Program

The Budget provides $19.436 million for the National Organic Program, which works to meet

consumer demand for organically-produced goods by supporting the development, maintenance,

and enforcement of national standards governing the production and handling of organic

agricultural products.

Farmers Market and Local Food Promotion Program

The Budget maintains funding for this program at $7.400 million. The program executes competitive

grants through the Farmers Market Promotion Program (FMPP) and the Local Food Promotion

Program (LFPP) to develop, coordinate, and expand local food markets in the U.S to help increase

access to and availability of locally and regionally produced agricultural products. This funding is used

in concert with funding provided by P.L. 115-334, Sec. 10102.

National Bioengineered Food Disclosure Standard

The Budget requests $2.094 million to maintain the National Bioengineered Food Disclosure Standard

efforts. T

he Standard requires food manufacturers, importers, and certain retailers to ensure

bioengineered foods are appropriately disclosed.

Transportation and Market Development

The Budget requests $9.855 million for Transportation and Market Development, which conducts

research and outreach related to grain shipping and supply chains. The program connects

agricultural producers with high value market opportunities through its national market directories.

Dairy Business Innovation Centers

Dairy Business Innovation grants were authorized by the 2018 Farm Bill and funded in 2020 and

2021 through General Provisions. These initiatives provide direct technical assistance and grants

to dairy businesses. The 2023 budget request $22 million for this effort.

Acer Access and Development

The Budget requests $6.004 million for Acer Access and Development to support market

development and promotion projects that improve consumer, producer, and landowner awareness

and understanding of the American maple syrup and maple-sap industry and related products and

production.

Packers and Stockyards

The Budget includes $35.555 million for the Packers and Stockyards program, which regulates

and monitors the activities of livestock, meat, and poultry market participants to support fair

82 2023 USDA BUDGET SUMMARY

practices. Increased funding is requested to fund new statutory requirements, to strengthen

oversight of livestock and poultry markets and minimalize IT security vulnerabilities.

Hemp Production

The Budget includes $15.547 million for the Hemp Production program, which regulates the

commercial production of industrial hemp as authorized by Section 10113 of the 2018 Farm Bill.

The decreases result from increased efficiencies and maturation of the program.

Grain Regulatory Program

The Budget includes $20.023 million for the Federal Grain Inspection Service. The program

establishes the official U.S. standards and quality assessment methods for grain and related

products and regulates handling practices to ensure compliance with the United States Grain

Standards Act and the Agricultural Marketing Act of 1946. This funding is used in combination

with user-fee funded field activities.

U.S. Warehouse Activities

The Budget requests $11.289 million for U.S. Warehouse Activities

This program supports the

efficient use of commercial facilities in the storage of Commodity Credit Corporation-owned

commodities. The program administers a nationwide warehousing system, establishes posted

county prices for major farm program commodities, and manages CCC commodity inventories.

The United States Warehouse Act (USWA) authorizes the licensing of operators who store

agricultural products and a separate licensing for qualified persons to sample, inspect, weigh, and

grade agricultural products. The USWA authorizes the application of user fees to cover the costs

of administering the Act, including unannounced warehouse examinations to encourage

compliance. Warehouses engaged in export food aid operations are required to be licensed.

International Food Procurement

The Budget requests $9.035 million for International Food Aid Commodity Procurement. Through

this program, AMS purchases and delivers U.S.-produced food aid commodities for international

food aid programs for overseas use to meet USDA and USAID program requirements, assisting

vulnerable populations around the world.

Payments to States and Possessions

The Budget requests $1.235 million for the Federal-State Marketing Improvement Program

(FSMIP). The proposed funding level is consistent with the fiscal year 2021 enacted level.

Section 32 Funds

Section 32 of the Act of August 24, 1935, authorizes the appropriation for each fiscal year of an

amount equal to 30 percent of the gross receipts from duties collected under customs laws of the

United States during the preceding calendar year. These funds are used to encourage domestic

consumption of perishable commodities that are not eligible for price support from USDA and

encourage the export of agricultural products. This includes purchases of commodities and

removal of surplus commodities from the marketplace for distribution to Federal nutrition

assistance programs such as the National School Lunch Program and diversion programs that bring

production in line with demand. Section 32 funds are also used to finance the administrative costs

associated with the purchase of commodities and developing the specifications used for food

procurement throughout the Federal government.

Federal expenses for administration and oversight of Marketing Orders and Agreements are also

funded from Section 32.

MARKETING AND REGULATORY PROGRAMS 83

Marketing Orders and Agreements help stabilize market prices and the supply of milk and certain

specialty crops. The Orders are administered locally by marketing order committees and market

administrators. Local activities are funded through assessments on regulated handlers.

User Fee Programs

AMS operates select programs through license fees and user fees. The Commodity Grading Services

program provides voluntary commodity grading and classing services for dairy products, fresh and

processed fruits and vegetables, meat and meat products, poultry, eggs, tobacco, and cotton. Due to the

improving economy, we are expecting collections to increase. AMS also offers certification services

to verify contract specifications on quantity and quality, acceptance and condition inspection services

for all agricultural commodities upon request, and export certification services for a number of

commodities. AMS’ audit verification services review production and quality control systems and

verify industry marketing claims. The Warehouse Examinations license fee provides for unannounced

examinations to encourage compliance with licensing terms under the USWA.

In addition, AMS enforces the Perishable Agricultural Commodities Act which prohibits unfair and

fraudulent practices in the marketing of perishable agricultural commodities by regulating shippers,

distributors, and retailers. Full and prompt payment for fresh fruits and vegetables is a key objective

of the program.

The Grain Inspection and Weighing user fees provide for the mandatory inspection and weighing of

grain at export ports and the inspection and weighing of grain at domestic locations. AMS is required

to conduct or delegate inspection and weighing, and to supervise such activities.

84 2023 USDA BUDGET SUMMARY

RESEARCH, EDUCATION, AND ECONOMICS

MISSION

USDA supports a variety of agricultural research topics to address complex challenges that require

multi-faceted approaches through in-house research and in partnership with land-grant institutions,

non-profits, and the private sector. USDA brings together expertise from a wide range of scientific

disciplines to address sustainable agricultural growth and food security. Key themes include:

Sustainable Agricultural Intensification, Agricultural Climate Mitigation and Adaptation, Food

and Nutrition Translation, Value-added Innovations, and Agriculture Science-Policy

Leadership. These programs, among others, will ensure that the U.S. can do its part to meet present

and future food, feed, fiber, and fuel needs both at home and abroad as the world population is

expected to grow to nearly 10 billion people by 2050.

Research, Education, and Economics (REE) responsibilities are carried out by four agencies and a

staff office: (1) the Agricultural Research Service (ARS) conducts intramural research in natural

and biological sciences; (2) the National Institute of Food and Agriculture (NIFA) partners with

land-grant and non-land grant colleges and universities in carrying out extramural research, higher

education, and extension activities; (3) the Economic Research Service (ERS) performs intramural

economic and social science research and market analysis, and produces indicators of agricultural

and rural economic performance, and of food security; (4) the National Agricultural Statistics

Service (NASS) conducts the Census of Agriculture and provides the official, current statistics on

agricultural production and indicators for the economic and environmental health of the farm

sector; and (5) the Office of the Chief Scientist (OCS) provides strategic coordination of the

science that informs the Department’s and the Federal government’s decisions, policies, and

regulations that impact all aspects of U.S. food and agriculture, related landscapes, and

communities. In 2021, ARS conducted retrospective reviews of its Food Animal Production; and

Plant Genetic Resources, Genomics and Genetic Improvement research programs. Overall, the

programs were found to have had high impact (i.e., significant benefit or influence). In 2021, NIFA

invested $146.8 million in research projects to improve the sustainability of the nation’s food

supply through the second and third installments of a new program within NIFA’s AFRI

Sustainable Agricultural Systems program. During 2021, NASS collected data from the 2020

Local Food Marketing Practices Survey. This survey will provide updated metrics on the value of

agriculture products sold by marketing practice and marketing channel, as well as the geographic

location of production and the distance traveled to market directly to consumers. This Census

Special Study, conducted as a follow-on survey to the 2017 Census of Agriculture, is the leading

source of detailed data for these agricultural marketing practices. In 2021, ERS funded 22

cooperative research efforts to analyze food security; assess the impacts of several initiatives

related to sustainable agriculture; research equity in agricultural programs; analyze research and

development costs of greenhouse gas mitigation and address market responses to, and trade and

global security implications of, the COVID-19 pandemic. Their selection strategy covered a broad

range of commodities, including specialty crops, livestock commodities, and field crops, including

ethanol.

RESEARCH, EDUCATION, AND ECONOMICS 85

Figure REE-1. REE Discretionary Budget Authority

REE performance, evaluation, evidence, and risk management efforts are coordinated and led by

the Office of the Chief Scientist (OCS) on behalf of the Mission Area. REE and OCS activities

contribute to the success of USDA’s mission to provide effective, innovative, science-based

public policy leadership in agriculture, food and nutrition, natural resource protection and

management, rural development, and related issues with a commitment to deliverable equitable

and climate-smart opportunities that inspire and help America thrive.

Additionally, the REE/OCS Mission Area:

• coordinates efforts to develop and manage USDA’s science strategy,

• leads efforts to articulate, measure and communicate the impact of USDA Science

(through the development of Key Performance Indicators (KPIs))

• coordinates and leads USDA Science initiatives in support of The Foundations of

Evidence-Based Policymaking Act (PUB.L. 115-435),

• and other Department-wide efforts to coordinate the integrity and impact of USDA

science.

The Mission Area is responsible for achieving and measuring results with respect to the

following 2022 – 2026 Strategic Goal and Objectives:

Strategic Goal 2: Ensure America’s Agricultural System is Equitable, Resilient, and Prosperous

Waterways

• Objective 2.3: Foster Agricultural Innovation

Strategic Goal 6: Attract, Inspire, and Retain an Engaged and Motivated Workforce that's Proud

to Represent USDA

86 2023 USDA BUDGET SUMMARY

• Objective 6.2: Establish a Customer-Centric, Inclusive, High-Performing Workforce that

is Representative of America and the Communities We Serve

Table REE-1. KPI – Agriculture Innovation / Science Impact / Science Workforce Development

Key Performance Indicators

2021 Actual

2022 Target

2023 Target

Techn

ology Transfer Percentage (Number of USDA Patents

Licensed / Number of USDA Patents Issued) (Percentage)

50 35 35

Citations of REE Reports (Number of Citations)

109 126 129

Agriculture Workforce Development (Number of AFRI-

supported undergraduate

/graduate/post-doctoral students) (

4,462 3,342 4,016

AGRICULTURAL RESEARCH SERVICE

ARS is the USDA’s chief scientific, in-house research agency. ARS conducts research to solve

technical problems of broad scope and high national priority and provides access to scientific

information. ARS’s research covers a wide range of critical problems affecting American

agriculture and the Nation as a whole, ranging from animal and crop protection and production to

human nutrition, food safety, and natural resources conservation. ARS employs over 6,000

employees and carries out approximately 690 research projects at 90 research locations throughout

the Nation and in several foreign countries. ARS includes the National Arboretum and the National

Agricultural Library, the Nation's major information resource on food, agriculture, and natural

resource sciences.

The Budget includes discretionary funding of $1.9 billion to support ARS research, including

increases of $127 million for climate science and adaptation and resilience research, $101 million

for clean energy R&D, $5 million for Climate Hubs, and $75 million for additional high priority

investments.

The ARS Budget also includes an increase of $48 million for research and operations at the

National Bio and Agro-Defense Facility (NBAF), a state-of-the-art biocontainment facility for the

study of foreign, emerging, and zoonotic animal diseases that pose a threat to U.S. animal

agriculture and public health, which will replace the Plum Island Animal Disease Center. The

Budget also provides $45 million for renovation/construction at the Beltsville Agricultural

Research Center (BARC) in Maryland and capital improvement at NBAF.

Table REE-2. ARS Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Product Quality/Value Added .......................

$121

$205

Livestock Production .....................................

124

144

Crop Production ............................................

301

347

Food Safety ....................................................

116

130

Livestock Protection ......................................

127

160

Crop Protection .............................................

223

249

RESEARCH, EDUCATION, AND ECONOMICS 87

Item

2021

Actual

2022

Estimate

2023

Budget

Human Nutrition ............................................

102

Environmental Stewardship ...........................

252

355

Total, Research Programs ..........................

1,363

1,692

National Agricultural Library ........................

Repair and Maintenance ................................

ARPA-C ........................................................

Buildings and Facilities .................................

NBAF Operations and Maintenance ..............

112

Total, Discretionary Programs ...........................

1,529

1,904

Mandatory:

Human Nutrition ............................................

Trust Funds ....................................................

Total, Mandatory Programs ...............................

Total, ARS .........................................................

1,566

1,942

Product Quality/Value Added

The Budget includes $205 million for this program. ARS has active research programs directed

toward: (1) improving the efficiency and reducing the cost for the conversion of agricultural

products into biobased products and biofuels; (2) developing new and improved products for

domestic and foreign markets; and (3) providing higher quality, healthy foods that satisfy

consumer needs in the U.S. and abroad.

Livestock Production

The Budget includes $144 million for this program. ARS’ livestock production program is directed

toward: (1) safeguarding and utilizing animal genetic resources, associated genetic and genomic

databases, and bioinformatic tools; (2) developing a basic understanding of the physiology of

livestock and poultry; and (3) developing information, tools, and technologies that can be used to

improve animal production systems. The research is heavily focused on the development and

application of genomics technologies to increase the efficiency and product quality of beef, dairy,

swine, poultry, aquaculture, and sheep systems.

Crop Production

The Budget includes $347 million for this program. ARS’ crop production program focuses on

developing and improving ways to reduce crop losses while protecting and ensuring a safe and

affordable food supply. The research program concentrates on effective production strategies that

are environmentally friendly, safe to consumers, and compatible with sustainable and profitable

crop production systems. Research activities are directed at safeguarding and utilizing plant

genetic resources and their associated genetic, genomic, and bioinformatic databases that facilitate

selection of varieties and/or germplasm with significantly improved traits.

Food Safety

The Budget includes $130 million for this program. Ensuring that the U.S. has the highest levels

of affordable, safe food requires that the food system be protected at each stage from production

through processing and consumption from pathogens, toxins, and chemical contaminants that

cause diseases in humans. ARS’ current food safety research is designed to yield science-based

knowledge on the safe production, storage, processing, and handling of plant and animal products;

88 2023 USDA BUDGET SUMMARY

and on the detection and control of toxin producing and/or pathogenic bacteria and fungi, parasites,

chemical contaminants, and plant toxins.

Livestock Protection

The Budget includes a total of $160 million for this program. ARS’ animal health program is

directed at protecting and ensuring the safety of the Nation’s agriculture and food supply through

improved disease detection, prevention, control, and treatment. Basic and applied research

approaches are used to solve animal health problems, with emphasis on methods and procedures

to control animal diseases.

Crop Protection

The Budget includes $249 million to support these activities. ARS research on crop protection is

directed to understand pest and disease transmission mechanisms and identify and apply new

technologies that increase understanding of virulence factors and host defense mechanisms.

Human Nutrition

The Budget includes $102 million for this program. As excessive consumption replaces diseases

related to malnutrition as a primary public health concern in the U.S., the ARS human nutrition

research program has increasingly focused on research studying the maintenance of health

throughout the lifespan along with prevention of obesity and chronic diseases via food-based

recommendations. ARS also receives $20 million annually in mandatory funding to address gaps

in nutrition research, human nutrition and health. This funding was provided in the FY 2021

Consolidated Appropriations Act.

Environmental Stewardship

The Budget includes $355 million for this program. ARS research programs in environmental

stewardship emphasize developing technologies and systems that support profitable production

and enhance the Nation’s vast renewable natural resource base. ARS is currently developing the

scientific knowledge and technologies needed to meet challenges and opportunities in: water

availability and watershed management, changes in climate, gaseous and particulate matter

emissions, soil health and productivity, agricultural and industrial byproducts, agricultural system

competitiveness and sustainability, and conservation and restoration of range lands, pasture

ecosystems, and agroecosystems.

National Agricultural Library (NAL)

The Budget includes $35 million for NAL. NAL is the primary agricultural information resource

of the U.S. NAL is the premier library for collecting, managing, and disseminating agricultural

knowledge. It provides services directly to the staff of USDA and to the public, primarily via the

NAL web site, www.nal.usda.gov. NAL provides library and information services that delivers

agricultural information to the public through Agricultural Online Access (AGRICOLA);

conserves rare and at-risk items; and works in partnership with other USDA and Federal agencies

to broadly disseminate information.

Repair and Maintenance

The Budget includes $20 million to address repair and maintenance needs. ARS allocates funding

for the repair and maintenance of existing ARS facilities and infrastructure. Performing regular

repair and maintenance on ARS infrastructure can extend the life span of research laboratories and

facilities, provide opportunities for longer term savings, and ensure Federal scientists’ capacity to

RESEARCH, EDUCATION, AND ECONOMICS 89

conduct safe, quality research. Funding will support specific projects such as the replacement of

air handling units, boilers, and chillers that have reached the end of their service lives.

Figure REE-2. ARS Research Programs

NATIONAL INSTITUTE OF FOOD AND AGRICULTURE

NIFA provides linkages between the Federal and State components of a national agricultural

research, extension, and education system. NIFA funds projects conducted in partnership with

State Agricultural Experiment Stations, the Cooperative Extension System, the Land-grant

University System, colleges of agriculture, community colleges, and other institutions, as well

as non-governmental organizations and small businesses. NIFA programs propel cutting-edge

discoveries from research laboratories to farms, classrooms, and communities, with the help of

Cooperative Extension. Federal funds are distributed to enhance capacity at universities and

institutions by statutory formula funding and competitive grants. NIFA administers the Nation’s

leading competitive grants program for agricultural sciences, the Agriculture and Food Research

Initiative (AFRI), which supports research with strong potential to contribute to major

breakthroughs in the food, agricultural, natural resource, and human sciences. NIFA’s mission is

to invest in and advance agricultural research, education and extension to solve societal challenges

related to food and agriculture.

The Budget includes $1.8 billion in discretionary funding for NIFA, including $564 million for

AFRI. The Department continues to support capacity funds and competitive grants to generate

science-based solutions to the Nation’s critical food and agriculture problems and to proactively

identify and address emerging needs and opportunities using a grassroots model in every

community in the Nation. The additional funding provided to capacity programs is to be

coordinated with the funding for research and extension activities at Historically Black Colleges

and Universities and multicultural serving institutions provided in the agriculture portion of the

American Rescue Plan along with a wide range of programs for historically underserved farmers,

ranchers and producers.

Formula (Capacity) Programs

The Budget includes $863 million for these programs. NIFA manages programs that provide

grants to the States using statutory formulas. These formula grants provide long-term, sustainable

90 2023 USDA BUDGET SUMMARY

support needed to grow the capacity for agricultural research, education, and extension activities

at land-grant institutions and State Agricultural Experiment Stations. These programs include

Hatch Act, Smith-Lever 3(b) and 3(c), 1890 Land-grant Institutions, McIntire-Stennis Cooperative

Forestry, and other grants. In 2023, NIFA will increase its investments to $265 million for Hatch

Act programs, to support agricultural research at 1862 Land-grant Universities (LGUs) and State

Agricultural Experiment Stations (SAES). Hatch Act funded scientists undertake critical

research on the national, regional and local challenges to agricultural systems through

sustained efforts. An increase of $7.3 million will be invested in the McIntire-Stennis Research

Program in 2023. These funds, totaling $43.3 million, will be used to support research in some of

the following topic areas: understanding the impacts of new stressors and developing management

solutions; adaptation to climate change environmental factors and utilization of forest ecosystems

to mitigate climate change; utilization of wood and new applications for forest products; and

increasing the use of agroforestry by landowners and communities, with a priority on underserved

and minority audiences. Increases of $18.5 million are provided to Extension capacity programs

for increasing services and ensuring equity in access and opportunities to minority, historically

underserved, or Tribal communities with special emphasis on climate change, workforce, nutrition

and health promotion education, and support for youth Climate Corps through 4-H programming.

Agriculture and Food Research Initiative (AFRI)

The Budget includes $564 million for AFRI. AFRI is the Nation’s premier competitive, peer-

reviewed research program for fundamental and applied sciences in agriculture. It is broad in scope

with programs ranging from fundamental science to farm management and community issues.

NIFA will also include a broad emphasis on climate-smart agriculture, nutrition security, and the

application of clean energy. Focused investments in these topics will be made in the three major

complementary components of AFRI: 1) Sustainable Agricultural Systems, 2) Foundational and

Applied Science, and 3) Education and Workforce Development. Transformative innovations in

U.S. agriculture are needed to address climate change, promote innovations in nutrition research,

and enhance economic growth and agricultural education, especially in historically underserved

communities. Through this investment, NIFA will contribute to a whole-of-government approach

to climate change by supporting research, extension and education projects that advance the

achievement of economy-wide, net-zero emissions, by 2050. These investments address the

Presidents priorities to combat climate change, lay the foundation for economic growth and

creation of good-paying jobs, and ensure that benefits accrue to marginalized and underserved

communities.

Minority-Serving Institution Programs

The Budget includes $315 million for Minority-Serving Institution (MSI) programs. Partnerships

with MSI programs support capacity building initiatives, education, and pathways to employment

for students and faculty and help develop a strong pipeline of talented individuals for USDA and

USDA partner jobs. NIFA administers programs dedicated to strengthening research and

extension capacity at minority-serving institutions and the ability of these institutions to continue

their effective programming. These include research, extension, teaching, and facilities programs

at the 1890 Land-grant institutions; research, education and extension grants for Tribal colleges

(including the Federally Recognized Tribes Extension Program) and Hispanic-serving institutions;

and education grants for Alaska Native-Serving, Native Hawaiian-serving institutions, and Insular

Areas institutions; New Beginning for Tribal Students, Centers of Excellence at 1890 Institutions,

Institution Challenge, Multicultural Scholars, and Graduate Fellowships, Agriculture Business

Innovation Centers at Historically Black Colleges and Universities, and Grants for Insular Areas.

Evans-Allen capacity funds support agricultural research activities at 1890 LGUs. The increased

RESEARCH, EDUCATION, AND ECONOMICS 91

funding totaling $93 million in 2023 is distributed to Historically Black LGUs and is

leveraged with matching funding from non-federal sources. Currently, the program supports over

200 active research projects that will enhance innovation support training of the next generation

of black workers and researchers and address various issues in limited-resourced communities

such as food security and nutrition, climate change and workforce development. This program

supports many of the Administration's budget priorities, including ensuring the benefits accrue to

marginalized and overburdened communities.

The Budget includes $2.3 million for Women and Minorities in STEM Fields. The goal of the

Women and Minorities in Science, Technology, Engineering and Mathematics Fields Grant

Program (WAMS) is to develop and implement robust collaborations to increase the

representation, participation, and entrepreneurial skills and abilities of rural women and

underrepresented minorities from rural areas in STEM careers, thereby contributing to economic

prosperity in rural areas across the nation. This funding will further support development of a

robust and diverse food and agricultural STEM workforce that is highly competent applying STEM

knowledge and skills, with increased participation of women and minorities from rural areas across

a broad spectrum of rural, local, State or national communities.

Table REE 3. NIFA Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Formula Grants:

Smith-Lever 3 (b) and (c) ..........................................................................

$315

$320

Hatch Act ...................................................................................................

259

265

1890 Research and Extension ....................................................................

135

158

McIntire-Stennis Cooperative Forestry......................................................

Expanded Food and Nutrition Education Program ....................................

Renewable Resources Extension Act (RREA) ..........................................

Facility Improvements at 1890 Institutions ...............................................

Tribal Colleges Education Equity Grants Program ....................................

Animal Health and Disease Research ........................................................

Total, Formula Grants ............................................................................

850

901

1890 Capacity Building Grants (Research) ...................................................

Agriculture and Food Research Initiative ......................................................

435

564

Integrated Activities - Section 406 Organic Transition .................................

Crop Protection and Pest Management Activities .........................................

Sustainable Agriculture Research/Education and Extension .........................

IR-4 Minor Crop Pest Management ..............................................................

Scholarships at 1890 Institutions ...................................................................

Native American Endowment Fund Interest ..................................................

Other Higher Education Programs .................................................................

Federally-Recognized Tribes Extension Program .........................................

Food Safety Outreach Program .....................................................................

Extension Services at 1994 Institutions .........................................................

Federal Administration ..................................................................................

Electronic Grants Administration System .....................................................

Food and Ag. Defense Initiative (Reg. Diagnostic Network) ........................

Veterinary Medical Services Act ...................................................................

92 2023 USDA BUDGET SUMMARY

Item

2021

Actual

2022

Estimate

2023

Budget

Children, Youth, and Families at Risk ...........................................................

Bioproduct Pilot Program ..............................................................................

Other Research, Extension and Integrated Programs .....................................

Total, Discretionary Programs ...........................................................................

1,605

1,611

1,836

Mandatory:

Native American Endowment Fund ..............................................................

Farm Bill:

Food Insecurity Nutrition Incentive Program/Gus Schumacher Nutrition .

Agricultural Risk Management Education Program ..................................

Beginning Farmer and Rancher Development Program ............................

Specialty Crop Research Initiative ............................................................

Emergency Citrus Research and Extension Program .................................

Organic Agriculture Research and Education Initiative ............................

Urban, Indoor & Other Emerging Ag Production ......................................

Scholarships for 1890 Students .................................................................

Total, Farm Bill Programs .....................................................................

194

205

232

Suppl-COVID ........................................................................................

141

Total, Mandatory Programs ...............................................................................

347

217

244

Total, NIFA .......................................................................................................

1,952

1,828

2,080

ECONOMIC RESEARCH SERVICE

ERS’ mission is to inform and enhance public and private decision making by anticipating

emerging issues and conducting sound, peer-reviewed economic research on policy-relevant issues

related to agriculture, food, natural resources, and rural America. ERS is also the primary source

of statistical indicators that, among other things, gauge the health of the farm sector (including

farm income estimates and projections), assess the current and expected performance of the

agricultural sector (including trade), and provide measures of food security in the U.S. and abroad.

The Agency's intramural research is conducted by a highly trained staff of economists and social

scientists through an integrated program of research, market outlook, analysis, and data

development addressing a broad range of topics, including but not limited to global agricultural

market conditions, trade restrictions, agribusiness concentration, farm business and household

income, farm program participation and risk management, farm and retail food prices, foodborne

illnesses, food labeling, local and organic products and markets, nutrition, food assistance

programs, drought resilience, conservation, technology adoption, and rural employment. Key

clientele includes White House and USDA policy officials, program administrators/managers, the

U.S. Congress, other Federal agencies, State and local government officials, and organizations

including farm and industry groups interested in public policy issues. ERS develops its research

program in coordination with other USDA research agencies, USDA-program agencies, and other

external collaborators.

The budget includes $100 million in program funding, and an additional $2 million to support

climate science activities. Research results and economic indicators on such important agricultural,

food, natural resource, and rural issues are fully disseminated to public and private decision makers

through reports and articles; special staff analyses, briefings, and presentations; databases; and

individual contact. ERS will expand its research portfolio to address Administration priorities,

including climate change, open and competitive markets, and racial and social equity.

RESEARCH, EDUCATION, AND ECONOMICS 93

It also included an increase of $6.5 million for conducting a second round of the USDA’s National

Household Food Purchase and Acquisition Survey (FoodAPS-2).

The research from FoodAPS-1 has produced the much-needed evidence for policy and program

officials on several critical areas of concern: 1) food choices and shopping behaviors of SNAP and

low-income households, 2) impact of SNAP benefits on diet quality and food security of low-

income households, 3) affordability of healthy diets, and 4) the role of the local food environment

and other geographic factors driving food purchase and acquisition decisions of SNAP and non-

SNAP households.

With this FY 2023 initiative, ERS and FNS jointly propose to field a second round of FoodAPS

called FoodAPS-2. Several projects have assessed lessons learned from FoodAPS-1 to develop

new data collection methodologies and contents that minimize respondent burden and improve

data quality for a FoodASP-2. Examples include 12-month data collection to reduce seasonality,

expanded target population to cover Alaska and Hawaii, WIC as a sampling domain leading to

larger WIC sample, better identification of SNAP, WIC, and school meal program participants,

and addition of new survey concepts – food pantry usage, veterans’ status, online ordering.

Table REE-4. ERS Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Economic Research Service .....................................................

$85

$100

Total, ERS ....................................................................................

100

NATIONAL AGRICULTURAL STATISTICS SERVICE

NASS’ mission is to provide timely, accurate, and useful statistics in service to U.S. agriculture.

Each year, NASS conducts over 450 surveys on 200 different commodities. These data illustrate

the changing nature and needs of agriculture and provide accurate and up-to-date information

necessary for decision-making by producers, agribusinesses, farm organizations, commodity

groups, public officials, and others. NASS data also keep agricultural markets stable, efficient, and

fair by ensuring accessible and objective data are available to both commodity market buyers and

sellers. NASS also conducts the quinquennial Census of Agriculture (Ag Census), a complete

count of U.S. farms and ranches and the people who operate them. The Ag Census surveys farmers

and ranchers on land use and ownership, operator characteristics, production practices, income and

expenditures, and other topics.

The Budget includes $217 million in program funding, including $8 million to help measure

climate science research.

The Ag Census provides comprehensive data on the agricultural economy with national, State, and

county level details. The Ag Census data are relied upon to measure trends and new developments

in the agricultural sector. Fiscal Year 2023 marks the fourth year in the five-year funding cycle for

conducting the 2022 Census of Agriculture. The largest portion of the funding will be used for

outsourcing all necessary functions associated with mailing and processing the Census of

Agriculture.

94 2023 USDA BUDGET SUMMARY

Table REE-5. NASS Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Agricultural Estimates ..............................................................

$138

$151

Census of Agriculture ...............................................................

Total, NASS .................................................................................

184

217

OFFICE OF THE CHIEF SCIENTIST

The mission of the Office of the Chief Scientist (OCS) is to provide strategic coordination of the

science that informs the Department's and the Federal government's decisions, policies, and

regulations that impact all aspects of U.S. food and agriculture, related landscapes, and

communities. The OCS was established in accordance with the Food, Conservation, and Energy

Act of 2008 to provide strategic coordination of the science that informs the Department's and the

Federal government's decisions, policies and regulations that impact all aspects of U.S. food and

agriculture and related landscapes and communities.

OCS advises USDA's Chief Scientist and the Secretary of Agriculture in the following areas of

science:

• Agricultural Systems and Technology

• Animal Health and Production, and Animal Products

• Plant Health and Production, and Plant Products

• Renewable Energy, Natural Resources, and Environment

• Food Safety, Nutrition, and Health

• Agricultural Economics and Rural Communities

The OCS supports larger goals of scientific prioritization and coordination across the entire

Department through which federal agencies provide Senior Advisors to serve in a detail capacity

within OCS. The OCS identifies, prioritizes and evaluates Department-wide agricultural research,

education, and extension needs. In addition, the Office of the Chief Scientist regularly convenes a

USDA Science Council to further facilitate cross-Departmental scientific coordination and

collaboration.

DEPARTMENTAL ACTIVITIES 95

DEPARTMENTAL ACTIVITIES

MISSION

Departmental staff offices provide essential support to Departmental agencies and programs,

ensuring that all agencies can carry out their duties and lead the Department’s efforts to improve

customer service to the public. Their functions include legal counsel, promoting civil rights,

economic analysis, communications coordination, financial management, budget and policy

support, and program appeal hearings for the Department’s program activities. The Budget

proposes funding to ensure that these offices can support staffing levels needed to provide

leadership, oversight, and coordination.

Table DA-1. Departmental Activities Budget Authority (millions of dollars)

Item

2021

Actual

2022

Estimate

2023

Budget

Discretionary:

Office of the Secretary ................................................................

$21

$41

$39

Office of Tribal Affairs...............................................................

Office of Homeland Security ......................................................

Office of Partnerships and Public Engagement ..........................

Departmental Administration .....................................................

Office of Communications .........................................................

Total, Office of the Secretary .............................................................

108

104

Executive Operations:

Office of the Chief Economist ....................................................

Office of Hearings and Appeals .................................................

Office of Budget and Program Analysis .....................................

Office of the Chief Information Officer .....................................

101

Office of the Chief Financial Officer ..........................................

Office of Civil Rights .................................................................

Office of the General Counsel ....................................................

Office of Ethics .........................................................................

Office of Information Affairs ...................................................

Agriculture Buildings and Facilities ...........................................

108

133

135

Office of Safety, Security and Protection ...................................

Hazardous Materials Management .............................................

Total, Discretionary Programs ............................................................

392

538

559

Mandatory:

Farm Bill:

Farming Opportunities and Training Outreach .............................

Multiple Crop and Pesticide Use Survey ......................................

Total, Mandatory Programs ................................................................

Supplemental Funding:

Office of the Secretary ....................................................................

Coronavirus Food Assistance (CFAP) Payments .........................

9,688

3,600

96 2023 USDA BUDGET SUMMARY

Item

2021

Actual

2022

Estimate

2023

Budget

Animal Health ..............................................................................

300

Assistance and Support for Socially Disadvantaged Farmers,

Ranchers, Forest Land Owners and Operators, and Groups ......

1,010

Total, Supplemental Funding .............................................................

9,688

4,910

Total, Departmental Staff Offices ......................................................

10,098

5,468

559

DEPARTMENTAL STAFF OFFICES

Office of the Secretary (OSEC)

OSEC serves as the management arm of the Department, administering and overseeing the work

of the organization. This involves formulating and providing policy direction for all areas of the

Department’s responsibilities including research, educational and regulatory activities, nutrition,

conservation and farm programs, forestry, and international agriculture. This Budget includes

$38.3 million for OSEC, of which $4.9 million will support the Agriculture Advanced Research

and Development Authority (AgARDA) in the Office of the Chief Scientist. The Budget also

requests $6.2 million to bring the offices up to optimal staffing levels to better serve America’s

agricultural interests, meet the needs of its customers, and remain in compliance with USDA’s

Department policies and federal laws and regulations. The Budget also provides $6.5 million for

the Office of Tribal Relations, of which $1.8 million will facilitate the realignment of programs

within the Shared Cost Programs to direct appropriations.

The Office of the Secretary is led by the Secretary of Agriculture and includes the Deputy

Secretary, Chief of Staff, Under Secretaries, Assistant Secretaries, the Executive Secretariat, and

members of their immediate staffs. The Office of the Secretary serves as the management arm of

the Department, administering and overseeing the work of the organization. This involves

formulating and providing policy direction for all areas of the Department’s responsibilities

including research, educational and regulatory activities, nutrition, conservation and farm

programs, forestry, and international agriculture. It also involves maintaining relationships with

organizations and others in the development of programs and maintaining a liaison with the

Executive Office of the President and members of Congress on all matters pertaining to

Departmental policy. The Office of the Secretary also oversees special projects that are conducted

at the behest of Congress and the Administration. These projects include short-term studies,

investigations, and research on matters affecting agriculture or the agricultural community. Project

results are reported to the appropriate Congressional Committees.

Office of Homeland Security (OHS)

The Budget includes $2.3 million for OHS to provide overall leadership and coordination of

programs in the Department to plan for and respond to major natural and terrorist emergencies and

threats. This involves coordination with mission areas/agencies for policy formulation, response

plans, reporting, and action assignments to meet acute and major threats to the food and agriculture

system and key USDA assets.

Office of Partnerships and Public Engagement (OPPE)

This Budget includes $10.5 million for OPPE. The Secretary established the OPPE to rapidly

expand outreach to America’s agricultural community and facilitate greater access to USDA

DEPARTMENTAL ACTIVITIES 97

programs. Additionally, OPPE serves as the lead agent for USDA partnership and outreach

activities, with tasking and reporting authority to direct, coordinate, and control all target

programs. Programs include all components of the former Office of Advocacy and Outreach,

including Small Farms and Beginning Farmer/Rancher and Youth Outreach and Integration into

Workforce Diversity 2030, Military Veterans Agricultural Liaison and Supporting Veterans

Program Initiative, The Center for Faith-Based and Neighborhood Partnerships, and any other

outreach or partnership program that the Secretary deems essential to serve the interest of USDA.

In addition, the 2018 Farm Bill provides mandatory funding for the Farming Opportunities

Training and Outreach Program, formerly known as the Outreach and Education for Socially

Disadvantaged Farmers and Ranchers and Veteran Farmers and Ranchers Program – 2501 Grant

Program. The Budget includes $4 million to develop general technical assistance capabilities and

training curriculum for partner organizations so that the Department can more effectively serve

disadvantaged communities and expand participation in and results from USDA programs.

Departmental Administration (DA)

DA was established to ensure that the USDA administrative programs and policies meet the needs

of USDA program organizations and are consistent with laws and mandates. DA provides

leadership to ensure the timely and effective delivery of high quality and cost-effective mission

support services across the Department and coordinates human resources, procurement, property

management, emergency preparedness and response activities, and programs for small and

disadvantaged business utilization. This Budget includes $33.3 million for DA. This includes: $1.3

million to support the Acquisition Workforce Succession Plan which requires hiring of interns and

experienced personnel who will succeed the work force that is eligible for retirement in the next

five years; $2 million for the Office of Customer Experience to lead USDA’s coordination and

response to Executive Order (E.O.) 14058 and support the implementation of the President’s

Management Agenda Priority #2 and USDA Agency Priority Goal (APG) planning process; $1.3

million for the Office of Property and Environmental Management to build staffing capacity and

support E.O. 14057 on the acquisition of zero-emission vehicles in 2022 and beyond; and $5.9

million for the Office of Human Resource Management to establish the Office of Employee

Engagement, a Diversity, Recruitment, and Employee Engagement Division, a Training and Talent

Management Division, and a Strategic Human Resources Planning and Accountability Division.

Office of Communications (OC)

OC provides leadership and coordination for the development of communication strategies for the

Department and plays a critical role in disseminating information about USDA’s programs to the

general public. The Budget includes $11.4 million for OC to continue to develop effective

communications strategies that increase the visibility and the transparency of USDA programs.

The Budget will support an increase of $1.6 million to support the launch of Digital Magazine that

will feature long-form analysis, news stories, and in-depth examples for farmers, foresters,

producers, and ranchers to learn about and utilize USDA programs to benefit their operations.

Office of the Chief Economist (OCE)

OCE advises the Secretary and Department officials on the economic implications of Department

policies, programs, associated regulations, and proposed legislation; and serves as the focal point

for the Department’s economic intelligence, analysis and review related to domestic and

international food and agriculture markets.

98 2023 USDA BUDGET SUMMARY

OCE also leads the Department in energy and environmental policy by providing advice and

analysis on bioenergy, global climate change, environmental services markets, sustainable

development, agricultural labor, and new uses of agricultural products. The Budget requests $32

million for OCE, of which $6 million will be used for activities relating to climate change,

including coordinating such activities across the Department and $0.4 million will be used for IT

support for the World Agricultural Outlook Board. The Budget also proposes to shift $500,000 for

a Food Loss and Waste Reduction Liaison provided under a General Provision in 2021 and 2022

to discretionary appropriations in 2023. Ensuring consistency in the program over the long term

requires permanent appropriated funding for the program.

Office of Hearings and Appeals (OHA)

OHA, formerly the National Appeals Division, conducts evidentiary administrative appeal

hearings and reviews arising from program operations of the Service Center Agencies, which

include the Rural Development mission area, and Farm Production and Conservation. OHA is also

responsible for the regulatory hearing and administrative proceedings conducted by the

Administrative Law Judges and the Judicial Officer. The Budget includes $16.7 million for OHA,

including a $471,000 increase compared to the 2021 enacted bill to fill three critical positions to

ensure that OHA can carry out its mission of promoting the fairness, transparency, and consistency

of USDA hearings and appeals services and coordinate administrative and legal activities for the

National Appeals Division, the Office of the Administrative Law Judges, and the Office of the

Judicial Officer.

Office of Budget and Program Analysis (OBPA)

OBPA ensures that USDA programs are delivered efficiently, effectively, and with integrity by

incorporating performance, evidence and risk into decision making OBPA advocates for the

necessary resources required and executes the budget to ensure the USDA can effectively and

efficiently accomplish its mission for the benefit of the American people. OBPA leads USDA’s

strategic planning; enterprise risk management; performance management and reporting; budget

analysis, justification, and control; and legislative and regulatory actions. The Budget requests

$20.7 million for OBPA. This includes: $7.5 million to support the Department’s Evidence Act

Deliverables and lead the design, direction, and oversight of evidence building activities,

developing and implementing evaluation policy and procedures, and enhancing performance

management throughout the Department; $0.6 million for a Regulatory Management System

(ESPER); $0.8 million to support the realignment of the Departmental Directives and 3 FTEs from

the Office of the Chief Information Officer to OBPA; and $1.5 million for hiring and personnel

costs to rebuild OBPA’s capacity to support the Department’s Mission Areas and staff offices.

DEPARTMENTAL ACTIVITIES 99

Office of the Chief Information Officer (OCIO)