Electric Co-op Today

The U.S. Agriculture Department will shutter 259 offices across the country, including more than three dozen rural development offices, in a cost-cutting measure.

Tom Vilsack

Agriculture Secretary Tom Vilsack announced the closings, the biggest wave of shutdowns in the agency’s history, as part of a plan to save $150 million annually.

“The USDA, like families and businesses across the country, cannot continue to operate like we did 50 years ago,” Vilsack said in a Jan. 10 statement. “We must build on the record accomplishments of farm communities in 2011 with a stronger, more effective USDA in 2012 and beyond.”

The cuts do not directly affect the Rural Utilities Service and the electric loan program that is critical to co-ops across the country.

But they could change the availability of rural development offices, which work with local leaders on loans for housing, community facilities, water and waste disposal, and other projects.

Forty-three rural development offices in 17 states will be eliminated. The department said most of the offices recommended for closure have no more than two employees.

Some of their workload will be transferred to the 450 rural development offices that remain open, according to the department.

Advances in technology and communications also mean brick-and-mortar buildings are not as essential, Vilsack said.

Other closings include 131 Farm Service Agency branches in 32 states, and 12 Agricultural Research Service programs at 10 locations.

For a list of rural development offices that will be closed, click here.

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Tags: Department of Agriculture, Energy and Environment, Rural Economic Development