USDA Value-Added Producer Grant Extended to May 4, 2021
USDA Rural Business-Cooperative Service (USDA) has announced that the 2021 Value-Added Producer Grant program will receive an additional $35 million in funding for COVID–19 relief and will allow for a reduced cost-share match of 10 percent of the grant amount for these funds during the public health emergency. The deadline has been extended to May 4, 2021.
The VAPG provides funding for competitive grants to assist eligible agricultural producers in starting or expanding value-added activities related to the processing and marketing of new products. The goals of this program are to generate new products, create and expand marketing opportunities, and increase producer income.
USDA published a notice on December 21, 2020 announcing the availability of funding for the 2021 VAPG. Under the original notice, applicants had until March 22, 2021 to submit a paper application and until March 16, 2021 to submit applications through Grants.gov. The original solicitation required the applicant to provide cost sharing match of at least $1 for every $1 in grant funds provided by USDA.
The purpose of this Notice of Solicitation of Applications (NOSA) is to announce that the Consolidated Appropriations Act, 2021 (the FY 2021 Appropriations Act), provides an additional $35 million in funding for COVID–19 relief and allows for a reduced cost-share match of 10 percent of the grant amount (i.e., at least $1 from the applicant for every $10 in USDA grant funds) for projects awarded with these funds.
There is now approximately $76 million in available VAPG funding. Of this amount, the COVID–19 relief funds constitute $35 million and the other $41 million comes from the FY 2021 Appropriations Act and carryover funding from fiscal year 2020. The $35 million in COVID–19 relief funds may include a reduced cost share match requirement of 10 percent of the grant amount. The other available funds have a statutory cost share match requirement of 100 percent of the grant amount.
Please refer to Morrison’s initial 2021 VAPG announcement blog for a full list of eligibility requirements, which can be found here.
Applications are due by May 4, 2021 for it to be considered for funding.
The full Notice of Solicitation of Applications can be found here.
For any further information on this grant or how to apply with Morrison’s assistance, please contact the Morrison Grants Team by email at email@example.com or call us at 530-893-4764.