How federal funding cuts are impacting Chicagoland food banks, farmers

CHICAGO (WGN) — The Illinois Department of Agriculture this week ended two food programs in the state due to funding cuts at the US Department of Agriculture, and the impact is already being felt by farmers, food banks and businesses.

Halted are the Local Food Purchase Assistance Program and the Resilient Food Systems Infrastructure Program, according to a state news release.

“We’re really worried about our ability to continue distributing all the food throughout our network to make sure we’re meeting the need in our community,” said Hillary Caron, a policy advisor with the Greater Chicago Food Depository.

The Illinois programs were funded by the USDA’s Local Food for Schools Cooperative Agreement Program and the Local Food Purchase Assistance Cooperative Agreement Program. The programs provided more than $1 billion in funding to schools and food banks to buy directly from local farms, ranchers and producers. Both were canceled earlier this month because they “no longer effectuate the goals of the agency,” the USDA said in a statement to WGN’s partners at The Hill.

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A multi-year agreement approved the state to distribute $43 million. Currently, $17.8 million remains outstanding from the federal government.

“We had about $400,000 in purchases from nine farms that we are not able to continue with now,” Caron said.

The Trump administration and the Department of Government Efficiency service — DOGE — claim the federal cuts in funding are to reduce government waste, but these cuts, opponents argue, could have a devastating effect.

“I think what they didn’t realize with the funding, with these cuts that it just did not affect the individual that received them,” said Zeolon Rohwedder, president of the Farmer Veteran Coalition of Illinois, which works to mobilize military veterans to feed America.

Rohwedder said that one of their farmers based in Chicago had five pantries to which they were providing food, but that’s been scaled back to due as a consequence of the cuts.

“Those particular pantries have lost fresh products produced by people here in Chicago, for people in Chicago,” he said.

In south suburban Monee, farmer Josh Snedden signed a contract with the USDA for a new solar system he installed in December. As he hopes to expand his operation, he says its now an added stressor and one of several grants to which he applied.

“These are not new dollars. These are contracts, these are commitments that were made by the US Government,” he said.

A recent report says cutbacks to the Supplemental Nutrition Assistance Program — SNAP — could cost local economies billions each year.

“What we’re seeing now is bad enough, and Congress is already considering cutting SNAP, and that provides nine meals for every one food pantries provide,” Caron explained.

The USDA informed Illinois that it stopped reimbursements for any costs incurred by the programs after Jan 19. 2025, according to the state news release. All claims submitted after that date are being returned without explanation or timeline for reimbursement to resume.