Governor Ned Lamont announced on May 13 that he plans to release $22.5 million from Connecticut’s Federal Cuts Response Fund to provide immediate relief to the state’s dairy farmers.
The decision comes as many small, family-owned dairy businesses in Connecticut face financial difficulties due to recent federal actions affecting milk prices and production costs. The move is intended to help protect these farms from potential closure and maintain their role in supplying fresh food and supporting local jobs.
According to Lamont, “Connecticut’s dairy farms are small, family-owned businesses that support jobs and provide fresh, nutritious food for our communities. Recent actions on the federal level are significantly driving up the costs of dairy production, causing devastating harm to this sector of our economy. We need to protect our dairy farms before they are permanently lost. Connecticut will continue standing with dairy farmers to help these businesses succeed.”
The governor cited several factors contributing to the crisis, including federally-set milk prices favoring large corporate farms over local dairies, increased costs of fertilizer and equipment due to tariff policies, retaliatory trade measures by export partners, and higher fuel and fertilizer prices linked to the U.S. war in Iran.
Under state law governing the Federal Cuts Response Fund, Lamont will send a letter notifying six bipartisan legislative leaders about his plan for the withdrawal. The leaders have 24 hours after notification either to review or disapprove of the expenditure before funds can be transferred.
The announcement highlights ongoing challenges faced by small agricultural producers amid shifting national policies and global events.
