Highlights from the President's FY15 Department of Agriculture Budget Request

FY14 estimated funding is used for Department of Agriculture funding comparisons, unless otherwise noted.

The president’s FY15 budget request would provide $23.7 billion (12 percent decrease) in discretionary funding for the Department of Agriculture (USDA). The proposed budget would launch three new multidisciplinary agricultural research institutes dedicated to crop science, advanced biobased manufacturing, and anti-microbial resistance research, and double funding for rural broadband access. Through the president’s Opportunity, Growth, and Security Initiative, additional funding would be provided for natural resource conservation programs and the construction of a new national biosafety research laboratory.

Research, Education, and Economics

USDA’s Research, Education, and Economics (REE) agencies would receive a total of $4.1 billion (2 percent increase) under the proposed FY15 budget. These agencies include:

• Agricultural Research Service (ARS) — $1.1. billion (no change);
• National Institute of Food and Agriculture (NIFA) — 1.5 billion (6 percent increase);
• Economic Research Service (ERS) — $83 million (6 percent increase); and,
• National Agriculture Statistics Service (NASS) — $179 million (10 percent increase).

ARS research would be directed towards several key research areas. The FY15 budget would allocate $44 million to research the effects of Climate Change on agriculture and assist with developing resilient agricultural production systems. The proposed budget would provide $25.9 million for investment in Genetic Improvements and Translational Breeding, developing resilient breed lines and strains that tolerate disease, drought, and reduce environmental impact. Active research programs to support improved agricultural Product Quality, including biobased products and biofuels, would receive $90 million in research funding.

Under the proposed budget, $698 million would be allocated to support Crop Production, Food Safety, Livestock Protection, Livestock Production, and Environmental Stewardship. As part of the Bipartisan Budget Act of 2013, discretionary funding in the proposed Opportunity, Growth, and Security Initiative would provide an additional $197 million to support various ARS initiatives, including the construction of a new Southeast Poultry Disease Research Laboratory (SEPRL) in Athens, Georgia.

The proposed FY15 budget would support modest increases in USDA competitive grants for research and development. NIFA research funding would include $3 million (no change) for Biomass R&D, $20 million (no change) for the Organic Agriculture Research and Education Initiative, $20 million (no change) for the Beginning Farmer and Rancher Development Program, and $80 million (no change) for the Specialty Crop Research Initiative. USDA discretionary funding would provide $75 million for the creation of three new agricultural innovation institutes, and include funding for:

• Agriculture and Food Research Initiative — $325 million (2 percent increase);
• Sustainable Agriculture Research / Education and Extension — $23 million (no change);
• Higher Education Programs — $34 million (11 percent decrease); and,
• Food and Ag Defense Initiative — $7 million (no change).

Under the proposed budget, USDA STEM programs would be consolidated within STEM programs at the Department of Education and National Science Foundation, including Higher Education Challenge Grants, Women and Minorities in STEM Program, and Secondary and Postsecondary Challenge Grants.

Rural Development

Rural Development (RD) includes most of USDA’s programs covering rural economic growth. Under the proposed budget, RD would receive $1.3 billion (23 percent decrease) in total funding. Despite significant reductions in RD program funding, the proposed budget would double funding for rural broadband access. The FY15 budget provides $8.3 million in budget authority to support $44.2 million in broadband loans, $21 million in broadband grant funding, and $25 million to support the Distance Learning and Telemedicine Program.

RD Rural Development and Business and Cooperative programs support entrepreneurship, energy, and appropriate technology development. Proposed FY15 funding includes:

• Rural Business and Cooperative Grants — $57.5 million for a new consolidated grant program to target small and emerging private businesses and cooperatives in rural areas with populations of 50,000 or less;
• Rural Economic Development Loans and Grants — $69 million (37 percent increase) to provide zero interest loans to rural utilities to establish revolving loan funds for local business projects that create jobs;
• Rural Microentrepreneur Assistance Program — $3.3 million for a new consolidated program to support nearly $26 million in loans that support microenterprise development organizations (MDOs);
• Rural Business Investment Program — $6 million to support loan guarantees and grants for a new consolidated program that supports equity funds that invest in rural business development; and,
• Rural Energy for America Program (REAP) — $52 million (75 percent increase) in loan guarantees and grants that provide financing for rural renewable energy systems, energy efficiency improvements, and energy audits and feasibility studies.