The American Rescue Plan enacted in March contained a provision for debt relief comprising an ethnic-based, loan-forgiveness program for “socially disadvantaged farmers”.  This demographic includes farmers of African American, Native American, Hispanic, Asian, Native Hawaiian and Pacific Islander heritage.  Debt relief was extended through the Farm Service Agency, Direct and Guaranteed Loan Program.  Approximately 17,000 “socially disadvantaged” farmers have accrued $3.7 billion in outstanding debt and guaranteed loans.

Following implementation of the program, Sid Miller, the Agricultural Commissioner of the State of Texas, filed a lawsuit in a Federal court in his home state naming USDA Secretary Tom Vilsack as the defendant. He claimed that forgiveness directed to “socially disadvantaged” farmers was discriminatory.  His lawsuit has been joined by farmers in Wisconsin, Minnesota, South Dakota, and Ohio who were recipients of loans extended by the Farm Service Agency or guaranteed by USDA.  A lawsuit filed by the Wisconsin Institute for Law and Liberty notes that the USDA program is race-based and that white farmers are accordingly discriminated against.