Cornell Cooperative Extension tells Sullivan County federal pause on grants has frozen $2.3M farm funding and threatens food programs

Colleen, a representative of Cornell Cooperative Extension (CCE) Sullivan, told the Sullivan County Legislature that a federal pause on agency obligations has frozen a $2,300,000 USDA grant and disrupted local food, farm and prevention programs.

The issue stems from an Office of Management and Budget memo directing federal agencies to pause obligations and disbursements; the memo took effect Jan. 28, CCE said. CCE reported two USDA grant accounts were later unfrozen but said the largest grant, $2.3 million over five years for a beginner-farmer program covering Sullivan County and the region, remains frozen. Colleen said the organization is owed more than $125,000 by USDA as of Feb. 28 and has paid about $60,000 from its operating funds to cover 2024 obligations while waiting for federal reimbursements.

CCE told legislators the pause forced it to halt a mentorship program tied to that grant, eliminate two full-time-equivalent positions associated with the work and suspend direct payments to participating farmers. “The funding remains frozen despite multiple court orders to the feds to release the funding,” Colleen said.

Why it matters: CCE said federal support makes up roughly 33% of its operating budget and that the pause has already reduced service capacity across countywide programs. CCE also said New York State OASIS canceled its Community Prevention and Intervention Project (CPIP), a program funded from federal SAMHSA-originated awards that supports youth and family prevention work, immediately, producing an additional loss of about $100,000 through June 2025 and affecting 2.5 FTEs that serve all county school districts.

Colleen described growing need for food assistance and supply constraints at regional food banks. She said inquiries to the county-covered mobile food pantry (the Sullivan Fresh community cupboard) have increased more than 33% since January while USDA commodity availability and selections at the regional food bank have declined. CCE estimated operating expenses for the community-covered program at about $160,000 a year and reported receiving $214,000 in USDA commodities through the food bank in 2024.

CCE asked county leaders to publicize the local impacts and urged elected officials and the public to contact federal representatives and the attorney general’s office. Colleen said CCE submitted an amicus brief in one relevant lawsuit (the judge declined to accept it) and offered to sign onto collaborative letters from the county. She asked the legislature and county managers to note that, in CCE’s view, federally appropriated and contractually agreed funds are being withheld with little communication to grantees.

Legislators and several public commenters echoed concern about downstream effects on local economies and services. One legislator suggested a joint letter from county officials to federal representatives; Colleen said she would welcome any formal advocacy and will continue to “float” programs through June while seeking state, local or private support.

CCE provided an annual report and said it has enough reserves to meet 2025 obligations for now but warned of risks to the catalog of services, partner agencies’ capacity and local food security if funding delays continue.

CCE recommended that the county and other local partners consider contingency planning and potential sponsorships to sustain essential services while federal funding uncertainties persist.