Cattle Producers Recoup a Half-Million Dollars for Crop Losses after being Improperly Denied by USDA
August 21, 2020
OSC sent letters to the President and Congress outlining how a USDA whistleblower worked with OSC to ensure cattle producers were compensated more than a half-million dollars for crop losses.
The U.S. Office of Special Counsel (OSC) has sent letters to the President and Congress outlining how a U.S. Department of Agriculture (USDA) whistleblower worked with OSC to ensure 37 cattle producers in New Mexico were compensated more than a half-million dollars for crop losses after being improperly denied by the agency. The whistleblower disclosed to OSC that the USDA's New Mexico Farm Service Agency (FSA) wrongly denied payments to the farmers in three counties under the Noninsured Crop Disaster Assistance Program (NAP). After OSC referred the matter, USDA's Office of Inspector General conducted an investigation and substantiated the whistleblower's allegations.
The investigation identified several factors—including FSA's inconsistent acceptance of crop loss assessments, vague NAP requirements, and “problematic unofficial practices" by FSA in the crop loss assessment process—that may have caused the agency to wrongly deny the producers compensation for their crop losses. The investigation also found evidence that USDA retaliated against the whistleblower and one other employee by improperly disciplining them after they raised concerns about this wrongdoing.
In response to these findings, USDA has paid $534,800 to the cattle producers and has committed to take appropriate steps to correct retaliatory actions, including potential disciplinary action against the responsible manager. The agency has also conducted trainings on crop loss compensation and is reviewing its procedures under the NAP to address problems moving forward.
“I commend the whistleblower for coming forward to identify this mismanagement and violation of NAP regulations," said Special Counsel Henry J. Kerner. “I am also encouraged by USDA's swift and comprehensive response to this report and am hopeful the agency will continue to take steps to ensure these problems do not recur."