BERLIN, GERMANY DECEMBER 01: SpaceX owner and Tesla CEO Elon Musk arrives on the red carpet for the Axel Springer Award 2020 on December 01, 2020 in Berlin, Germany. (Photo by Britta Pedersen-Pool/Getty Images)
The U.S. Department of Agriculture has canceled two programs that funded $1 billion to give states, tribal governments, schools and food banks money to buy local food from farmers. The move cancels about $660 million in funding this year for the Local Food for Schools program, which is active in 40 U.S. states, as well as about $420 million for a second program called the Local Food Purchase Assistance Cooperative Agreement, which helps food banks and other local groups provide food to their communities.
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The move follows claims by the Trump administration and Elon Musk‘s Department of Government Efficiency (DOGE) that they are cutting federal expenditures to minimize government waste. The USDA programs had been supported by the Commodity Credit Corporation, a fund established during the Great Depression to purchase goods directly from farmers.
“Unlike the Biden Administration, which funneled billions in [Commodity Credit Corporation] funds into short-term programs with no plan for longevity, USDA is prioritizing stable, proven solutions that deliver lasting impact,” a USDA spokesperson said in an email to CBS MoneyWatch.
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Sen. Deb Fischer (R-Nebraska) justified the Trump administration’s reductions in local food purchases for schools and food banks, stating that “canned food” and other shelf-stable items can still be “nutritious.”
“I think there’s different avenues we can take on that to make sure that still meet the needs of people,” Fischer said in an interview at the First 100 Days breakfast series. Fischer remarked that she remains a strong advocate for food banks and believes in ensuring “fresh food available,” but noted that “sometimes we forget that” canned food is “always an option as well.”
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