USDA pullback could cost Nevada farmers $3M

Nevada farmers and food entrepreneurs are bracing for a funding shock after the U.S.

Department of Agriculture moved to end its Regional Food Business Centers program three

years early. The Southwest Regional Food Business Center—which serves Arizona, California,

Nevada and Utah—will wind down most operations this month instead of 2028.

USDA announced in mid-July that the national network, launched with one-time pandemic

funding, is being terminated. The agency says it will honor already-approved “Business Builder”

sub-grants but will cancel future rounds and repurpose remaining money. Centers that made

awards may keep limited staff to manage existing grants through May 2026.

For Nevada, the hit is significant. UNR Extension, the state’s hub within the Southwest center,

was awarded $5 million over five years to strengthen local food supply chains, including direct

grants to small and mid-sized producers. With the early shutdown, reporting indicates only about

$350,000 of the $900,000 set aside for Nevada Business Builder grants will ultimately reach

producers—leaving roughly $3 million in anticipated statewide support unrealized.

Led by UC Agriculture & Natural Resources, the Southwest center says it will operate just long

enough to transition current awards and provide limited help, with a wind-down date of Sept. 15.

The center was designed to coordinate technical assistance and small capital awards across the

four-state region.

Before USDA’s reversal, the Southwest center had planned a $4 million grant pool to tackle

bottlenecks like equipment, cold storage and marketing. About $1.6 million had been awarded

region-wide when the plug was pulled; USDA has confirmed only current and pending

commitments will be honored.

Why it matters here: Nevada agriculture is dominated by family operations that often struggle to

access large federal programs. The regional center aimed to fill that gap with on-the-ground

technical help and modest capital—precisely the kind of assistance that helps rural processors