“The last thing you want to do is saddle that hospital with a lot of debt,” Caldwell said. “That USDA funding mechanism was massive. It really helped move the needle.”
But former agency officials worry fewer projects like the hospital could be built in rural America as the Trump administration and Elon Musk’s DOGE have targeted Rural Development for large staffing cuts. With fewer employees in rural communities assisting local leaders with their funding needs, there is concern Trump’s chainsawing of the federal workforce could leave rural America without a robust safety net.
“We invest in so many businesses in rural America, and when you have fewer businesses, you have fewer jobs and fewer economic opportunities,” said Basil Gooden, who led Rural Development during Biden’s last year in office. “It’s not going to happen overnight. It’s going to take a little while before people realize things have really broken.”
In a statement, the USDA said Biden officials left the USDA “in complete disarray, including hiring thousands of employees with no sustainable way to pay them. … Fortunately, President Trump is taking strong action to support farmers.”
Rural Development is how the federal government ensures rural areas aren’t left behind as those residents move to cities for higher living standards. It funds broadband infrastructure and helps lifelong renters buy homes in population-losing communities.
Former agency officials said keeping rural areas attractive is essential to national security. Consumers have grown accustomed to the convenience of fully stocked grocery store shelves and freezers, and the country’s fuel supply increasingly uses ethanol grown in Midwestern corn fields. To keep the supply chain running, some people have to live in areas often bereft of modern-day necessities, such as hospitals or high-speed internet.
Investing in rural communities is critical to ensure a long-term agricultural workforce, especially as the average age of U.S. farmers increases rapidly. That means the people growing America’s food and fuel need access to quality grocery stores, childcare and health care.
“Farming ranks among the most hazardous occupations, making access to emergency medical services and hospitals a critical infrastructure need,” said Bette Brand, who led the agency during Trump’s first term. “Ensuring that rural families can live and work safely is fundamental to maintaining a stable food supply and sustaining agricultural productivity.”
The number of projects Rural Development has funded each year has trended downward for years, but it began to nosedive in 2021, agency data shows. Biden officials pointed to the loss of about 2,000 agency employees, out of a total of about 6,000, during the first Trump administration.
“Our investments have gone down because we just don’t have the staffing that we used to have,” Gooden said. “We don’t have the people on the ground. That’s very detrimental.”
Gooden hired about 800 more staffers during his tenure, he said, but they were probationary employees, the classification the administration has targeted for dismissal. More than 500 of the employees were let go in the administration’s mass terminations at the USDA in February.
To date, more than 1,500 Rural Development staffers have left, the USDA said — likely leaving the agency with fewer staffers than at the end of the first Trump administration. That’s roughly 10% of the 15,000 total USDA employees who have left the department.
Brand said the agency made meaningful gains in efficiency in Donald Trump’s first term. Continuing to improve efficiency, DOGE’s stated goal, is important, she said, but the recent job cuts risk destabilizing rural communities, which have largely supported Trump’s candidacies.
“There’s a persistent undercurrent of stress among federal employees that’s slowing the pace of loans and program implementation,” she said. “That doesn’t mean change isn’t needed, but the way it’s executed matters.”
She likened the agency to an ocean liner that’s left port. “It’s as if the agency is mid-voyage — charting a course and making progress — and someone dropped anchor without warning,” she said. “You don’t stop a ship of that size without consequences. The abruptness disrupts momentum, strands key personnel and risks throwing off balance the very systems rural communities rely on. Reform is necessary, but if the process causes collateral damage to people who are simply doing their jobs, it could create long-term harm.”
Brand added reforms must produce lasting results to justify the disruption.
“If you’re going to put the agency — and the communities it serves — through this kind of turbulence, the outcomes better be meaningful and durable,” she said. “Otherwise, the cost to individuals and local economies may never be recouped.”
In an early March speech, Brooke Rollins, Trump’s agriculture secretary, announced she would release a plan to restore rural prosperity in the “coming weeks.” No plan has been released yet, but she said it would improve the agency’s efficiency.
On Trump’s 100th day, Rollins released her own list of accomplishments, which included taking “leadership to make rural America prosper again.” It linked to her previous statement about her unreleased plan. In a statement to Investigate Midwest, the USDA said “more information … will be released soon.”
Rollins also said the USDA would “invite the private sector” to participate in the endeavor, and she specifically mentioned satellite internet. Musk owns Starlink, which provides satellite internet. The White House has said Musk has pledged to avoid potential conflicts of interest, according to NBC News.
Across the country, only 55% of farms have broadband access, and Starlink has been pushed as an alternative in rural areas because it relies on satellites instead of traditional cable infrastructure. But the federal official who led the government’s broadband program pilloried Starlink in a resignation letter in March, according to Politico.
“Stranding all or part of rural America with worse internet so that we can make the world’s richest man even richer is yet another in a long line of betrayals by Washington,” the official, Evan Feinman, wrote.
Asked if the USDA saw a conflict of interest in Rollins pushing satellite internet, the department did not answer directly. It said its programs are “technology neutral” and it will allow communities to decide what technology “is best for their project.”
In her March speech, Rollins added her plan will “restore more power to … local leaders who know (their) communities better than anyone in Washington.”
It’s unclear how Rollins’ plan differs from Rural Development’s existing role. The agency was designed to spur private investment in underserved areas, with the USDA acting as a lender of last resort that cannot compete with banks. Former officials said local communities largely drive what projects are funded.
The federal employees working in state Rural Development offices are also members of the communities in which they operate.
For instance, in South Dakota, local developers have received grants to update rural water systems. “It’s South Dakotans doing the work, and it’s South Dakotans who care about making sure that they’ve got clean water for their community,” said Nikki Gronli, a Biden political appointee who led the agency’s state office.
“We are a place that is often forgotten,” she added. “I think the best people to do the work here are South Dakotans because they care. It’s personal for them. I don’t see some large developer coming from Chicago or L.A. that’s going to want to invest in South Dakota with our small population.”
Out of 39 people in the South Dakota office, nine were fired in February and a few others have accepted retirement offers, Gronli said. In a matter of months, the office has been reduced to 26 staffers.
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