Tribal groups join lawsuit over canceled USDA farm grants

Twenty-four organizations, including the South Dakota-based Four Bands Community Fund, joined a lawsuit Tuesday against the U.S. Department of Agriculture seeking reinstatement of agricultural grants canceled earlier this year, Montana Free Press reports. The lawsuit challenges the USDA’s March termination of 49 Increasing Land, Capital and Market Access Program grants that supported underserved farmers and ranchers. Affected Montana projects include a nearly $9 million grant to Piikani Lodge Health Institute on the Blackfeet Reservation, a nearly $6 million award to the Chippewa Cree Tribe, and an $8.5 million grant awarded to Four Bands Community Fund.

The lawsuit alleges the USDA unlawfully canceled the grants using claims tied to Diversity, Equity and Inclusion initiatives without reviewing individual projects. The abrupt terminations caused layoffs, stalled projects, and forced operational cuts. The plaintiffs argue the USDA’s reasoning failed to recognize that tribal citizenship is a political classification under federal Indian law, not a racial classification. The lawsuit asks the U.S. District Court for the District of Columbia to restore the $127 million in grants and block future terminations.