USDA Reorganization Threatens Iowa Agriculture, Food Aid Programs

By John Damon | Just The News Iowa

A massive reorganization at the U.S. Department of Agriculture is raising alarms among employees and Iowa agricultural leaders who warn the plan could cripple critical programs, including international food aid and agricultural research that directly impacts the state's farmers.

The restructuring, which aims to relocate more than one-third of Foreign Agricultural Service workers out of Washington, D.C., to Kansas City, Missouri, has sparked fears of mass resignations and a loss of institutional expertise. Collin Bradley, president of the AFSCME Local 3976 union representing FAS workers, told Politico that the billions of dollars flowing through the Food for Peace program — the United States' international food aid initiative — could be managed by fewer than 10 people remaining in the capital.

“It's going to decimate the agency,” Bradley said.

What the USDA Reorganization Means for Iowa Farmers

Iowa, as the nation's leading corn and soybean producer and a top pork and egg supplier, relies heavily on USDA research and trade programs. The relocation of the Environmental Microbial and Food Safety Laboratory from Beltsville, Maryland, and the Global Services branch that supports U.S. embassies abroad could disrupt food safety inspections and export assistance vital to Iowa's agricultural economy.

Food safety experts and scientists urged Agriculture Secretary Brooke Rollins to pause the lab's relocation, warning in a letter that “the loss of highly specialized scientific expertise would be substantial.” They noted that past USDA moves often led to significant staff attrition, creating gaps in institutional knowledge.

An Agricultural Research Service employee, speaking anonymously, described the internal mood as bleak: “It's just bad for agricultural research, and everybody is just really in a bad place mentally.”

USDA spokesperson Michael Abboud pushed back, stating the reorganization is a “regimented, multi-step process” and that research “continues without interruption, except the research Congress chose to defund.”

High Attrition Predicted as Workers Refuse to Relocate

An internal FAS survey found that only 4 percent of employees said they would relocate to Kansas City. Union leaders predict a wave of departures could wipe out decades of expertise in trade negotiations, food aid, and crop research — areas critical to Iowa's agricultural competitiveness.

Internal planning documents from 2025 show USDA expects to reduce its workforce by approximately 23,177 positions, a 23 percent overall reduction. A coalition of unions has renewed efforts to halt the reorganization, citing these projections.

USMCA Trade Talks Include Iowa Agricultural Interests

As the reorganization unfolds, U.S. trade negotiators are heading to Mexico this week for bilateral talks on the U.S.-Mexico-Canada Agreement review. Representatives from agriculture and steel industries will join the delegation, according to sources familiar with the plans.

U.S. Trade Representative Jamieson Greer will meet with Mexican President Claudia Sheinbaum and Economy Secretary Marcelo Ebrard. The Trump administration is expected to leave the statutory text of the agreement unchanged, using interpretive agreements or side letters to make adjustments — a move that avoids a full congressional vote.

Iowa farmers, who exported over $3 billion in agricultural goods to Mexico and Canada in 2024, have a direct stake in these negotiations. The state's pork, corn, and dairy producers depend on stable trade relationships under USMCA.

Sheep Producers Push for Tariffs on Lamb Imports

In a separate development, Greer held a roundtable with sheep producers in Utah, where he signaled support for tariffs on lamb imports from New Zealand and Australia. Those imports now control over 70 percent of the U.S. market, according to the American Sheep Industry Association.

Carson Jorgensen, a sheep producer and former chair of the Utah Republican Party, said Greer has been “pretty vocal since the beginning that he's in favor of these tariffs.” The International Trade Commission will investigate whether imports are causing injury to domestic producers.

While Iowa is not a major sheep-producing state, the broader push for tariffs reflects the Trump administration's focus on protecting domestic agriculture — a priority that resonates with many Iowa voters.

Democrats Target Agricultural Consolidation, Worker Standards

Senator Peter Welch (D-Vt.) is set to introduce two bills targeting consolidation in the agricultural economy and wage standards for food company workers. The Fairness for Small-Scale Farmers and Ranchers Act would impose a moratorium on mergers of big food and ag companies and reinstate mandatory country-of-origin labeling for beef.

The Agricultural Worker Justice Act would prohibit USDA from buying meat, poultry, or processed food made by workers paid below the prevailing wage rate. Co-sponsors include Senators Cory Booker, Elizabeth Warren, Bernie Sanders, John Fetterman, and Ron Wyden.

“Rapid consolidation has jeopardized the well-being and vitality of farms across America,” Welch said in a statement.

Iowa Voters Oppose Save Our Bacon Act

A July poll of 625 registered Iowa voters found that nearly twice as many oppose the Save Our Bacon Act as support it. The legislation would roll back California's Proposition 12, which sets standards for animal confinement. The poll, conducted by Mason-Dixon Polling and Strategy, showed opposition across all congressional districts except the 4th District. Fifty-three percent of independents opposed the bill.

More than 700 veterinarians also urged Congress to keep the Save Our Bacon Act out of the farm bill, arguing it would strip states of their rights to protect animal welfare and public health.

Bayer Withdraws Glyphosate Tariff Petition

Bayer, the parent company of Monsanto, withdrew its request for countervailing duties on glyphosate imports from China after backlash from the agriculture industry. The company said it made the decision to “put farmers first” during a challenging farm economy.

Iowa farmers, who use glyphosate extensively for weed control, had expressed concerns that tariffs would raise input costs.

What's Next for Iowa Agriculture

With the USDA reorganization moving forward, trade talks continuing, and legislative battles over consolidation and animal welfare standards, Iowa's agricultural community faces a period of significant change. The outcome of these developments will shape the state's farming economy for years to come.