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USDA Rural Development Value-Added Producer Grant

USDA Rural Development Value-Added Producer Grant. Dan Johnson Business-Cooperative Specialist (775) 738-8468 Ext. 112 dan.johnson@nv.usda.gov. The Purpose. To assist independent agricultural producers in developing value-added activities. Program Funding.

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USDA Rural Development Value-Added Producer Grant

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  1. USDA Rural Development Value-Added Producer Grant Dan Johnson Business-Cooperative Specialist (775) 738-8468 Ext. 112 dan.johnson@nv.usda.gov

  2. The Purpose • To assist independent agricultural producers in developing value-added activities.

  3. Program Funding • Fiscal Year 2005 Funding was $14.3 Million in competitive funds. • Similar amount expected for Fiscal Year 2006

  4. Application Process • Funding Announcement • 60 day application period (varies from year to year) • Eligibility determination • Completeness Check • Scoring

  5. Eligibility • Applicant • Product • Activity • Other

  6. Applicant Eligibility • Independent Producer • Farmer or Rancher Cooperative • Agricultural Producer Group • Majority-Controlled Producer-Base Business Venture

  7. Product Eligibility • Change in Physical State (i.e. fruit to jam, steer to meat) • Differentiated production or marketing (i.e. organic) • Product segregation (identity preserved) • Farm-based renewable energy production

  8. Activity Eligibility • Planning Activities • Feasibility Study • Business Plan • Marketing Plan

  9. Activity Eligibility • Working Capital • Labor • Inventory • Advertising • In general, applicants must demonstrate that the activity has not been in operation for more than two years

  10. Other Eligibility • Proposed project must be completed by the end of the next calendar year. • Sufficient information must be supplied to determine eligibility • Responsive to the submission requirements • One application per applicant • Either Planning or Working Capital not both

  11. Grant Amounts • The lesser of: • 50% of eligible project cost or • Planning • $100,000 • Working Capital • $150,000

  12. Cost Sharing or Matching • Matching funds are required. • Must be at least equal to grant request. • Must not be from another Federal Source. • May be third-party in-kind contribution.

  13. Resources • Ag Marketing Resource Center http://www.agmrc.org/agmrc • USDA Rural Development Value-Added Site http://www.rurdev.usda.gov/rbs/coops/vadg.htm

  14. Resources • University of Nevada Cooperative Extension Service http://www.unce.unr.edu/

  15. Cooperative Development • Technical Assistance • Board Training • Publications • http://www.rurdev.usda.gov/rbs/pub/NEWPUB.htm

  16. Questions? • Thank you for your interest.

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