rural

Last year, Secretary Perdue created the Rural Development Innovation Center, a team devoted to partnership development, regulatory reform, data analysis, and risk management. With a mission of coordinating resources and providing creative solutions for our rural customer, the Innovation Center is designed to hard wire innovation into our program delivery. In recognition of the Innovation Center’s first anniversary, I’d like to share a few reflections on a year of transformation in Rural Development through innovation.

In small towns from Maine to California, access to reliable, high-speed internet is a foundation for rural prosperity. From quality health care to advanced education and precision ag technology at the local farm equipment dealer, e-connectivity is a lifeline to the modern economy. And, yet we know that a significant number of rural Americans are not connected.

Governments in high-income countries are spending less on agricultural research. A new report from USDA’s Economic Research Service reviews long-term trends in public agricultural research and development (R&D) investment by high-income countries and examines how these investments have contributed to economic growth.

Doug Harper, a fifth-generation farmer, moved to the Texas Gulf Coast area in 2012, looking forward to the potential for increasing corn, cotton, milo, and watermelon production there.

Texas farmer Doug Harper comes from a long line of farmers. Growing up in the business, he knows there are always ups and downs, and the importance of insurance coverage to prevent against the “what ifs?”

In the early 2000’s, shopping malls were often a pinnacle of growth and prosperity in rural America. In the recent years we’ve seen the decline of so many of these rural establishments. These shopping centers were once a sign of success in rural communities, but now sit, falling apart, as disheartening archetypes of a dying era.

On April 25th, President Donald J. Trump signed an Executive Order promoting agriculture and rural prosperity in America.

Within a month of his start, Agriculture Secretary Sonny Perdue followed through on his promise to Indian Country to visit tribal leaders. Joining tribal representatives, Senators Rounds and Thune, and Congresswoman Noem at Oglala Lakota College’s Rapid City Extension Center, Secretary Perdue aimed to learn more about the topics significant to both tribal nations and colleges in South Dakota. When the meeting closed, one thought was clear: The U.S. Department of Agriculture (USDA) stands ready to partner with tribal nations in their pursuits.

Groceries, childcare, education, transportation, insurance, utilities: these are just some of the essential places families nationwide spend their paychecks every month. Making ends meet takes hard work, but sometimes even after working long hours and shopping right families need help to make it.

Twenty years ago essential affordable housing opportunities were scarce in rural America. Banks weren’t investing in these opportunities because deals that would build affordable rentals required long-term, patient capital that turned profit much slower than those big, new, luxury apartments in cities and larger towns.

“We do not inherit the land from our ancestors, we borrow it from our children.”—Navajo proverb

Last month, Rural Development and the Navajo Nation convened an economic development workshop involving an array of leaders and stakeholders from across the Navajo Nation and 14 Federal partners in Crownpoint, N.M. The convening gave me a chance to meet with Navajo Nation officials, university representatives, private business owners and nonprofit administrators.  All were focused on improving the economy and quality of life throughout the Navajo Nation.

The retirement of the baby boom generation of business proprietors is predicted to result in a major turnover in ownership. Developing an ownership succession plan is especially challenging in rural areas where many small businesses are at risk of closing from the lack of locally available financing to keep them in operation. Rural Development’s Business and Industry (B&I) Guaranteed Loan Program now has new capabilities as of this August that specifically accommodate the needs of financing ownership succession.

B&I guarantee borrowers can now apply to loans for financing the transfer of business ownership within a family, usually involving a sale from parents to children. Prior to recent changes in the rules it was assumed that within families the transfer of ownership was always a seller-financed transaction. Yet, some retiring business owners may need to immediately take the sales revenue out to finance their retirement.