A bill to amend the Rural Development Act of 1972.

Amends the Rural Development Act of 1972 to declare that small farm extension programs shall consist of extension programs with respect to improving operations of small farmers using paraprofessional personnel to work with small farmers on an intensive basis.

Authorizes appropriations not to exceed $20,000,000 for small farm research and extension programs for each of fiscal years 1978 and 1979. Specifies the allocation of such funds, with 19 percent for research and 77 percent for extension programs. Requires the Secretary of Agriculture to evaluate and report on such programs annually to Congress.

Defines "small farmer" as any farmer with gross sales from farming of under $20,000 per year who depends on farming as his primary source of income.