USDA’s Discrimination Financial Assistance Program
In collaboration with Rural Coalition, we seek to support you through this application process.
July 7, 2023 – The U.S. Department of Agriculture (USDA) announced the opening of the financial assistance application process for eligible farmers, ranchers, and forest landowners who experienced discrimination in USDA farm lending programs prior to January 2021.
The application process is open from until October 31, 2023.
Join Rural Coalition, and FLAG (Farmers Legal Action Group) for Information Sessions for Farmers every Tue (English) 6pm and Thur (Spanish) 6pm to answer questions, connect with other farmers in the process & learn more about the program. Register here
To implement the Inflation Reduction Act (IRA), Section 22007, the United States Department of Agriculture (USDA) Discrimination Financial Assistance Program (DFAP or “the Program”) will provide financial assistance to farmers, ranchers, and forest landowners (producers) who experienced discrimination by USDA in USDA’s farm lending prior to January 1, 2021. Below is a 2 page guide from FLAG on the program.
- You can submit an Application through October 31, 2023. If your Application is late, it will not be reviewed, and you will not receive financial assistance. There will be no extensions.
- To be counted as timely, Applications submitted by U.S. or overnight mail must be postmarked no later than October 31, 2023
- If you need FSA records, you must request your records in writing. You can do this by emailing email@example.com no later than Wednesday, September 6, 2023.
- When you email, you should provide the following:
• Your name, address, phone number, and email.
• Proof of your identity. In order to protect your file, FSA needs authentication of your identity. You can
provide your social security number, or a scan or photo of your driver’s license or of other state
• Whether the request is for your own records or for someone else’s records. If you are requesting someone
else’s records, you need proof of their identity, proof of your identity, and also proof that they have
authorized you to request their file (for example, written consent from the person, or a court order, or a
power of attorney).
• The state and county/counties where loans and loan servicing were sought.
• The type of records you want (for example, farm loan records).
• The relevant year or range of years in which the records requested were created.
• How you would like to receive the copy of the records; mailed paper-copy or electronic file.
- When you email, you should provide the following:
- Download the template email to USDA here
What is Needed to Apply?
Please refer to this link for a detailed list of documents
Quick Links & Document Template List
W-8 BEN Tax Form (English )
W-8 ECI Tax Form (English )
Who is eligible for this program?
This Application is for individuals who:
(1) Experienced discrimination, prior to January 1, 2021, by the Department of Agriculture (USDA) in USDA farm
loan programs, which are currently administered by the Farm Service Agency (FSA);
(2) Are currently debtors with assigned or assumed USDA farm loan debt that was the subject of USDA
discrimination that occurred prior to January 1, 2021. (This applies, for example, if you inherited the debt
that was the subject of USDA farm loan program discrimination.)
What is discrimination, for purposes of this program?
Discrimination means treating some people differently from others, for illegitimate reasons. In this program, a
claim of discrimination may be based on different treatment you experienced because of race, color, national
origin or ethnicity, sex, sexual orientation, gender identity, religion, age, marital status, or disability, or in
reprisal/retaliation for prior civil rights activity. Covered discrimination could include, for example: failure to
provide appropriate assistance; delay in processing a loan or loan servicing application; denial of a loan or loan
servicing; prevention from applying for a loan or loan servicing; adverse loan terms; unduly onerous supervision
of loan requirements—where these were due to the customer’s race, color, national origin or ethnicity, sex,
sexual orientation, gender identity, religion, age, marital status, or disability, or in reprisal/retaliation for prior
civil rights activity.
Download the Narrative Questionnaire for examples of evidence to build your discrimination case here
Am I eligible to participate in this program if I inherited debt from a family member who experienced discrimination in a USDA farm loan program, or as a representative of the estate of a now-deceased borrower?
You can participate only if you experienced covered discrimination, or if you are currently a debtor with assigned
or assumed USDA farm loan debt incurred by a person who was the subject of USDA discrimination. You cannot
participate as the representative of the estate of a now-deceased borrower.
How much financial assistance is available?
Congress provided a total of $2.2 billion for this program. The amount of money awarded to individuals through
this program therefore depends on the number of eligible applicants and the consequences of the
discrimination. The statute caps any single award at $500,000. However, it is important to understand that
nearly all awards of financial assistance will be less than this amount.
When will decisions be made, and by whom?
Decisions will be made for all Applications, at the same time, within several months after the close of the
Application period. As required by the Inflation Reduction Act, individual decisions are being made by the non-
governmental program administrators, using standards set by USDA and with oversight by USDA
Will I have to pay taxes on any financial assistance?
Any financial assistance received in this program will very likely be considered income, for tax purposes.
Individuals receiving financial assistance will receive an IRS-1099 form showing the amount of assistance they
have received. USDA is unable to determine if you will owe taxes, because every individual’s circumstances are
different, and USDA recommends that you speak with a tax professional. USDA has partnered with Southern
Extension Risk Management Education Center, the National Farm Income Tax Extension Committee and other
tax experts across the country to provide general information and resources regarding USDA program payments
and agricultural taxes. These resources are available online at farmers.gov/taxes, ruraltax.org, and agftap.org. In
addition, tax information related to this particular program is available at 22007apply.gov
Ways to Apply
Need Help Applying?
Check out the calendar and register for an appointment slot to submit online with a TA.
Office Hours for general questions regarding the program are Monday, Tuesday, Thursdays at 7pm via zoom Meeting ID: 847 326 9518
Ready to Submit?
If you’ve filled out all applicable fields in the form and would like someone from our team to double check it before you submit please upload it here.
Upload Your DFAP Application Here
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