New data from USDA’s Economic Research Service confirms a decline in the farm Chapter 12 bankruptcy rate for much of the nation.
In 2022, the Chapter 12 bankruptcy rate reached the lowest level in nearly two decades, with 0.78 bankruptcies per 10,000 farms.
But in California and Nevada which are counted together as a region, the rate actually increased.
Under Chapter 12 bankruptcy, a financially distressed family farmer can propose and carry out a plan to repay their debts fully or partially.
