A federal funding freeze has indefinitely delayed the reimbursement of approximately $580,000 to Ronnybrook Farm in Ancramdale for a large-scale solar energy project aimed at reducing electricity costs and promoting sustainable farming practices.
A third-generation dairy farm that has operated for 90 years, Ronnybrook was awarded the funds through the United States Department of Agriculture’s Rural Energy for America Program (REAP) in late 2023 to support the installation of a 500-kilowatt solar array. Under the terms of the REAP grant, recipients must first finance the project themselves, then are paid back upon completion.
Ronnybrook Farm owner Rick Osofsky said the project cost an estimated $1.2 million and was partially funded through state NYSERDA grants and the sale of tax credits. He took out a loan to cover the remainder, anticipating a $580,000 federal reimbursement he had been awarded. In February, he was told the money had been put on indefinite hold.
“We borrowed the money. The project is basically complete,” Osofsky said at a Poughkeepsie Town Hall event with Congressman Pat Ryan (D-NY-18) on Wednesday, March 19. “So we’re out there having borrowed all these funds and we get a notice from Washington that the funds are frozen. And we have no idea why.”
The pause on USDA reimbursements could threaten the farm’s existence, Osofsky said. Despite the uncertainty, he remains hopeful: “I do believe they’ll come around. We just have to be patient, but we also need to remind policymakers that these grants serve a real purpose.”
A spokesperson for the USDA made the following statement to the Herald: “President Trump is taking strong action to rein in reckless spending, cut needless regulations, and make the entire federal government more effective at serving the American people, including our farmers.”
“USDA has a solemn responsibility to be good stewards of the American people’s hard-earned taxpayer dollars and to ensure that every dollar spent goes to serve the people, not the bureaucracy. As part of this effort, Secretary Rollins is carefully reviewing this funding and will provide updates as soon as they are made available.”
The project will reduce Ronnybrook Farm’s monthly electricity expenses from approximately $9,000 to about $6,000, according to Osofsky. Unlike traditional ground-mounted solar farms, Ronnybrook’s system is elevated, allowing cows to graze beneath it, maximizing land-use efficiency.
“The Trump Administration is directly threatening to put Hudson Valley family farms out of business,” Ryan told the Herald. “They’re not only going back on promises made to our farmers, but also making it abundantly clear that they simply don’t care about their livelihoods. I’m working around the clock with farmers like Rick to get them every piece of federal assistance possible — we cannot give up the fight. For the sake of family farms in the Hudson Valley and across the country, Trump’s USDA must release all unjustly frozen funds.”
Rep. Josh Riley (D-NY-19) mirrored Ryan’s concerns: “I’ve spoken with farmers across Upstate New York who count on USDA programs like REAP to lower costs and stay competitive,” he said. “I’ll continue to oppose these cuts because I don’t know a single Upstate New Yorker who thinks billionaires like Elon Musk deserve another tax break paid for by gutting family farms.”
The REAP grant freeze is part of a broader reassessment of federal allocations. While federal officials have suggested that funding for previously awarded grants may still be honored, no timeline has been provided.
Osofsky said the delay highlights the challenges faced by dairy farmers across the country: “In 1980, there were 650,000 working family dairy farms. In 2025, there are 20,000 left. Farmers work on tight margins, and access to funding like this makes sustainability efforts feasible.”