What does this program do?
Through the AIC program, RBCS makes grants to Centers that provide Producer Services to Agricultural Producers seeking to develop and market Value-Added Agricultural Products.
Program Funding: $1,500,000
Maximum Grant Amount: $1,000,000
Who may apply for this program?
- Commercial Organizations
- Indian Tribes
- Institutions of Higher Education
- Local Governments
- Nonprofit Organizations
- State Governments
Matching Funds Requirement:
Matching Funds are required for at least one-third of the total project budget. For example, if the total project budget is $1,500,000, matching funds must be at least $500,000. Matching funds may be provided in cash by the applicant or a third party or in-kind by a third party. They must be available for use during the period of performance, and they must be used for allowable expenses.
How may funds be used?
Grant and matching funds may be used to operate an agriculture innovation center, and to provide the following services to agricultural producers:
- Business development services, such as feasibility studies and business plans..
- Market development services, such as marketing plans, branding, and customer identification.
- Organizational assistance, such as legal and technical advisory services related to the development, expansion, or operation of a business.
- Financial advisory services related to the development, expansion, or operation of a business, such as assistance with obtaining credit for operating costs, training on using financial management software, and guidance on use of cash flow.
- Process development services, such as engineering services, scale production assessments, and systems development.
- Product development, such as idea generation, concept testing, feasibility and cost analysis, product taste-testing, demographic and other types of consumer analysis, production analysis, recipe development, evaluation of packaging and labeling options, and brand development for a value-added agricultural product.
- Value chain coordination, or directly working with an agricultural producer to connect that producer to a distribution system, processing facility, or commercial kitchen.
- Grants to agricultural producers for the above services, where the individual award does not exceed $5,000.
How do we get started?
Before you apply:
- Register your organization with the System for Award Management (SAM), if you aren’t already registered. The registration is free. You need to complete several steps. It’s a good idea to start the registration process at least a month before any application deadline. Before you start the registration process, we suggest reading through the HELP materials available on the SAM website. Make a note of your Commercial and Government Entity (CAGE) code and expiration date because you’ll need those for your application.
Forms and Resources:
Select the To Apply tab to access program forms and resource information.
Who can answer questions?
Gail Thuner, Direct Programs Branch, Program Management Division, Rural Business-Cooperative Service, United States Department of Agriculture
1400 Independence Avenue SW, MS 3201, Room 5803-South, Washington, DC 20250-3250
Phone - 202-720-1400 Email SM.RD.DC.AIC@usda.gov.
Persons with disabilities that require alternative means for communication should contact the U.S. Department of Agriculture (USDA) Target Center at (202) 720–2600 (voice).
Will I need to send any reports if I receive a grant?
Yes, you must send regular financial and performance reports. Your financial assistance agreement will explain how often to send the reports, what forms to use, and what information is mandatory.
Where can I get more information about the program?
The program regulation that governs this program is 7 CFR 4284 Part 4284 Subpart K and is available at this link: eCFR :: 7 CFR Part 4284 -- Grants.
To Apply
Please read the program regulation for the details on what is needed for an application. The program regulation can be found in the Code of Federal Regulations at 7 CFR Part 4284 Subpart K. It can be accessed at this link: eCFR :: 7 CFR Part 4284 -Grants. Note that this regulation was updated on September 16, 2024, so it is important to make sure you are looking at the most recent version of the regulation.
Make sure you begin gathering the required information at least two months before the application deadline. Documents, such verification of matching funds, letters of support, and letters of commitment for the Center’s Board of Directors, will take time to obtain. Developing your proposed scope of work and budget will also take time. You can find templates to assist you with compiling required information below under Application Materials.
Required Forms:
- SF-424 Application for Federal Assistance
- Form RD 4284-1 Agriculture Innovation Center Program Application Form and Instructions (coming soon)
Application Materials:
You will need to submit the two forms identified above. However, note that Form RD 4284-1 form is quite lengthy and will require significant time to complete. You will need supporting documents to help you fill out the form. You don’t need to submit these documents with your application, but you do need to submit them if your application is selected for funding, and the information on the documents must match the information you submitted in your application.
To assist you with preparing your application, we have the following templates that you can use:
- Verification of Matching Funds – Third Party Contributions
- Board of Directors Organizational Commitment
Priority Points:
In accordance with 7 CFR §§ 4284.1030(b) and 1040(d), two priorities will be identified no later than November 15, 2024 for the fiscal year 2025 funding cycle. You can address these priorities in your application on Form RD 4284-1, p. 50.
The following additional requirements apply to the AIC program.
Letter of Conditions
All applicants whose applications are selected for funding will receive a Letter of Conditions. Other Federal agencies may refer to it as an Award Notice or Award Letter. This letter describes the conditions that the applicant must meet in order for the award to be approved. You can view the standard conditions in this document: Letter of Conditions.
Award Terms
All recipients of AIC awards are required to comply with the terms of the Financial Assistance Agreement. You can review the standard award terms here: Form RD 4280-2 (coming soon).
Gail Thuner, Direct Programs Branch, Program Management Division, Rural Business-Cooperative Service, United States Department of Agriculture
1400 Independence Avenue SW, MS 3201, Room 5803-South, Washington, DC 20250-3250
Phone - 202-720-1400 Email SM.RD.DC.AIC@usda.gov
Persons with disabilities that require alternative means for communication should contact the U.S. Department of Agriculture (USDA) Target Center at (202) 720–2600 (voice) or by email at Target-center@usda.gov
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