Congressman David Valadao from California’s 22nd District has reintroduced the Strengthening Rural Cooperatives and Communities Act alongside Representative Josh Riley of New York’s 19th District. This bipartisan legislation aims to enhance the Rural Cooperative Development Grant Program (RCDG), which supports individuals and businesses in starting, expanding, or improving rural cooperatives through Cooperative Development Centers.
“Cooperatives are the backbone of rural communities, providing critical services like healthcare, housing, and childcare,” stated Congressman Valadao. “By strengthening federal support for these businesses, we can help our rural economies grow and ensure Central Valley families have access to the resources they need. I’m proud to reintroduce this bill with Congressman Riley to invest in the future of our rural communities.”
Rep. Riley added, “Cooperatives put funding directly into the hands of the people who build and sustain our rural communities. I’m proud to work across the aisle with Congressman Valadao on this commonsense, bipartisan effort to invest in Upstate New York and the Central Valley, not big corporations and monopolies.”
The bill seeks to reauthorize funding for Rural Community Development Grants at $40 million annually from fiscal year 2025 through 2029. It ensures that grant scoring does not disadvantage under-resourced organizations and reduces regulatory burdens by implementing multi-year grants. Additionally, it prioritizes grants for socially vulnerable, underserved, or distressed communities.
A cooperative is a business owned and controlled by its users for mutual benefit. This model allows rural communities to address economic challenges collectively. Examples include purchasing bulk goods or selling farm products collectively.
The legislation also requires an annual report from the Working Group on Cooperative Development detailing their activities submitted to Congress.
