Since 1999, the federal government has disbursed billions of dollars in settlement funds to address discrimination lawsuits against the United States Department of Agriculture. By July 2024, these funds had been exhausted. Several Black farmers have reported that an organization promising assistance with obtaining this settlement money ultimately failed them. This article explores the struggles faced by these farmers and the controversy surrounding the Black Farmers and Agriculturalists Association (BFAA).
Struggles and Disappointments: Farmers' Experiences
For many Black farmers, the process of applying for settlement funds has been fraught with frustration and disappointment. Vincent Bishop, a tree farmer from Colbert County, described how the stress of the application process mirrored the challenges he faced on his farm. He began paying dues to BFAA over two decades ago, believing it would secure him $50,000 in settlement money. However, despite his payments, he received nothing. Bishop feels misled and betrayed by the organization, which he believes should have taken care of all the paperwork once dues were paid.
Bishop's story is not unique. Kiki Michelle Singletary-Williams from Henry County shared a similar experience. She and her family members paid dues to BFAA for years, filled out extensive paperwork, but never received any settlement funds. Singletary-Williams filed a complaint with the Tennessee attorney general’s office, joining others who have voiced concerns about the organization's practices. The complaints suggest that BFAA may have misled its members into thinking they would receive substantial settlement money. Singletary-Williams emphasized the need for accountability, stating that such actions are not just suspicious but clearly fraudulent.
Controversy Surrounding BFAA and Advocacy Efforts
The leadership of BFAA, headed by Thomas Burrell, has vigorously defended the organization's role in advocating for Black farmers. Despite allegations of misleading members, Burrell claims that BFAA has successfully lobbied Congress and secured billions of dollars in settlement funds through various lawsuits. He argues that the issues lie elsewhere, not with BFAA. However, court documents from 2012 raise serious concerns about BFAA's conduct and representations, suggesting that their actions might have harmed the very individuals they claim to represent.
In contrast, John Boyd, founder of the National Black Farmers Association (NBFA), has taken a different approach. Boyd has been actively helping Black farmers fill out forms without charging fees, hosting sessions across the country to assist those seeking settlements. He expressed dismay at the exploitation of elderly Black farmers by organizations like BFAA. Boyd highlighted the importance of transparency and integrity in advocacy efforts. Meanwhile, the USDA acknowledges the problem of organizations collecting fees under false pretenses and emphasizes its ongoing support for farmers affected by discrimination. Bishop eventually left BFAA and managed to secure $70,000 in settlement money independently, underscoring the importance of self-reliance and vigilance in navigating complex legal processes.
States Must Prepare for a Decline in Investment Revenue to Avoid Fiscal Instability
Understanding the Surge in State Investment Income
The unexpected surge in state investment income has transformed fiscal landscapes across the nation. Historically, earnings from investments were a minor component of state revenues. Yet, following the 2020 recession and subsequent recovery, coupled with generous federal aid, states found themselves with unprecedented surpluses. By the end of fiscal 2023, general fund ending balances skyrocketed from $33 billion to $251 billion nationally. Rainy day funds also saw a significant boost, increasing from $77 billion to $183 billion over the same period.These surpluses, combined with rising interest rates starting in March 2022, led to substantial investment yields. For instance, Florida's interest and investment earnings soared from $223 million pre-pandemic to over a billion dollars by fiscal 2024. Alabama reported a staggering 902% increase in interest earnings from state deposits between fiscal 2022 and 2023. Illinois witnessed an even more dramatic 1,257% rise during this timeframe.Investment Earnings: A Double-Edged Sword
While the surge in investment earnings provided immediate financial relief, it also introduced new challenges. States typically invest surplus funds conservatively, prioritizing liquidity and minimizing losses. Pooled investment funds, often invested in U.S. Treasury bonds, became unexpectedly lucrative. In New Hampshire, these earnings were the largest source of revenue growth in dollar terms for fiscal year 2024.However, the future of this revenue stream is uncertain. As states’ total balances decline and interest rates drop, investment earnings are expected to fall. Data suggests that Florida, Maryland, Montana, and Pennsylvania’s earnings peaked in fiscal 2024, while Michigan’s peaked in fiscal 2023. The loss of this revenue could significantly alter states’ fiscal outlooks, particularly if they have become reliant on these earnings for ongoing expenses.Strategies to Mitigate Fiscal Risks
Recognizing the volatility of investment earnings, some states have implemented strategies to mitigate potential budget problems. Ohio Governor Mike DeWine vetoed a measure that would have directed rainy day fund interest earnings to the general fund, emphasizing the importance of preserving budget stability. Montana passed legislation requiring all interest earnings to be transferred to a newly created fund for debt repayment, ensuring these one-time funds are not used for recurring expenses.Alabama and Utah have adopted proactive approaches to manage extraordinary investment earnings. Alabama’s deputy director of the Legislative Service Agency, Kirk Fulford, highlighted efforts to focus abnormal growth in funds toward one-time expenses. Utah conducts trend analyses to identify nonrecurring revenue, using only the ongoing portion for recurring expenses.Learning from Past Fiscal Challenges
The current situation mirrors past instances where states faced temporary revenue spikes. Whether from higher tax collections during economic booms or major legal settlements, states have developed strategies to navigate these fluctuations. New Hampshire uses long-term projections to determine sustainable spending levels, ensuring that current commitments can be maintained in the future.By limiting the use of one-time dollars for ongoing expenses, states can benefit from revenue surges without setting themselves up for fiscal cliffs. This approach not only addresses the current challenge but also provides a framework for managing any future temporary revenue increases effectively.In a remarkable display of solidarity and compassion, students at Elder High School in Cincinnati broke from their usual attire to support an important cause. On a recent Tuesday, approximately half of the student body traded their traditional purple-collared uniforms for vibrant red clothing, symbolizing their commitment to raising awareness and funds for women's heart health. This initiative was spearheaded by Lauren Re, a sophomore from nearby Seton High School, who is part of the American Heart Association's "Teen of Impact" program. Her goal is ambitious: to raise $80,000 by April. The inspiration behind her efforts stems from the alarming statistic that one in three women succumbs to cardiovascular disease. Through various fundraising events and educational opportunities, Re aims to make a significant impact on this critical issue.
A Day of Red for Heart Health Awareness
In the heart of Cincinnati, on a crisp autumn morning, Elder High School witnessed an unusual yet inspiring scene. Instead of the customary purple-collared shirts, many students donned red hoodies, t-shirts, and sweatshirts. This change in wardrobe was not merely a fashion statement but a meaningful gesture to support women’s heart health. The initiative was driven by Lauren Re, a dynamic sophomore from neighboring Seton High School. As a designated “Teen of Impact” for the American Heart Association, Re leads a team of about 30 teenagers dedicated to raising both funds and awareness for this vital cause.
Re’s motivation comes from personal conviction. Surrounded by six sisters and attending an all-girls school, she realized the profound impact of cardiovascular disease on women. The statistic that one in three women dies from heart-related issues struck a chord with her. Consequently, she set an ambitious target of raising $80,000 by April. To achieve this, she plans multiple fundraisers and educational sessions on performing chest compressions correctly.
AJ Meyer, a fellow sophomore at Elder High School, joined Re’s campaign enthusiastically. Having raised $1,000 already, Meyer’s dedication is fueled by his family’s struggles with heart disease. He expressed, “Helping as many people as I can is a big deal, especially when it affects my loved ones.” Together, these young advocates are making a difference, turning their passion into action.
As one of five teens participating in the “Go Red for Women” campaign, Re exemplifies leadership and empathy. Her efforts highlight the power of youth in driving positive change and fostering community awareness.
This initiative serves as a powerful reminder of the importance of early education and proactive measures in combating heart disease among women. It underscores the role each individual can play in supporting and protecting the health of those around them. The enthusiasm and commitment shown by these students offer hope and inspire others to take similar actions in their communities.