USDA Resilient Food System Infrastructure Program

Program Overview

The Resilient Food Systems Infrastructure Program is a federal cooperative agreement awarded by the U.S. Department of Agriculture (USDA), Agriculture Marketing Service (AMS) to the Missouri Department of Agriculture. The purpose of this program is to build resilience in the middle of the supply chain and strengthen local food systems by creating new revenue streams for producers. This program, funded through Section 1001(b)(4) of the American Rescue Plan Act (ARPA) of 2021, aims to create expanded and improved processing options for local and regional producers across the middle of the food supply chain.

Funds will support expanded capacity for the aggregation, processing, manufacturing, storing, transporting, wholesaling and distribution of locally and regionally produced food products, including specialty crops, dairy, grains for human consumption, aquaculture and other food products. This program is to support food system crops and products meant for human consumption. Ineligible products include meat and poultry products, wild-caught seafood including animal feed and forage products, fiber, landscaping products, tobacco, and dietary supplements.

The middle-of-the-food-supply-chain refers to the activities that take place after the production and harvesting of the agricultural products, before reaching consumers. These activities include the processing, aggregation, and distribution of agricultural products. Grant funds cannot be used for cultivation, harvest or retail marketing.

Request for Applications

Through this program, approximately $6.9 million is available for competitive subaward grants through the Missouri Department of Agriculture. MDA announces two grant opportunities.

Applicants may only apply for one grant type.

RFSI Timeline

Date
January 8, 2024
March 8, 2024
March 15, 2024
July 1, 2024
Task
Applications launched and posted to website
Simplified Equipment-Only Grant applications due by 3 p.m.
Infrastructure Grant applications due by 3 p.m.
Announce awardees

Simplified Equipment-Only Grants

Minimum award of $10,000 and maximum award of $100,000.

These projects offer a simplified application to fund smaller grants for equipment purchases. The Simplified Equipment-Only option is a Fixed Price Grant, meaning it will fund only equipment purchases (and not associated facility upgrades, staffing, or other costs), and the amount awarded will be equal to the cost of the equipment up to $100,000.

No match is required for this grant type.

Applicants must attach documentation to substantiate the costs of each piece of equipment, which can include quotes, contracts and catalog pricing. Equipment must be within the USDA’s definition of special purpose equipment for processing, aggregation and distribution.

Examples:
Canners, hulling processors, reverse osmosis systems, egg packing machines, flotation tanks, other processing equipment, packing and labeling equipment, or delivery vehicles. See Grant Guidance document for more information.

RFSI Simplified Equipment-Only Grant Application Files for Completion

Other supporting documents to include with the application:

Infrastructure Grants

Minimum award of $100,000 and maximum award of $3,000,000.

RFSI funds may be used for improvements, rearrangements, or alterations of an existing building or facility to use a space more effectively, and to accommodate new or upgraded equipment and processes. Funds may also be used for new construction of buildings or structural changes to an existing building/facility resulting in a square foot expansion or requiring changes to the building’s floor, foundation, and exterior or load bearing walls.

Infrastructure grants require a match of 50% of the project cost. For underserved farmers and ranchers, a reduced match is required at 25% of the project cost. See the Match Requirements section below for more details.

RFSI Infrastructure Grant Application Files for Completion

Other supporting documents to include with the application:

Allowable Activities

The RFSI program will focus on funding Infrastructure Grant activities that:

  • Expand capacity for processing, aggregation and distribution of agricultural products to create expanded and improved markets for producers;
  • Modernize manufacturing, tracking, storage, and information technology systems;
  • Modernize equipment or facilities through upgrades, repairs, or retooling (e.g. adapting product lines for institutional procurement or adding parallel processing capacity)
  • Purchase and install specialized equipment, such as processing components, sorting equipment, packing and labeling equipment or delivery vehicles.
  • Enhance worker safety through adoption of new technologies or investment in equipment or facility improvements;
  • Improve the capacity for entities to comply with federal, state and local food safety requirements;
  • Improve operations through training opportunities;
  • Construction of a new facility;
  • Modernize or expand an existing facility (including expansion and modifications to existing buildings and/or construction of new buildings at existing facilities);
  • Construction of wastewater management structures, etc.;
  • Develop, customize or install equipment that reduces greenhouse gas emissions, increases efficiency in water use, improves air and/or water quality and/or meets one or more of USDA’s climate action goals.

Match Requirements

Infrastructure grant recipients are required to contribute 50% of the total proposed project cost as a match to federal funding. For historically underserved farmers and ranchers, or for other businesses that qualify under Small Business Administration (SBA) categories as a small disadvantaged business, women-owned small business, or veteran-owned small business, the required match funding contribution or cost share is reduced to 25% of the project cost.

Matching Funds 25% Example:

LFPP Match Calculator

  Amount
Federal Funds Requested $100,000.00
Cost-Sharing & Matching Amount $33,333.33
Total Project Amount $133,333.33

Matching Funds 50% Example:

RFSI Match Calculator

  Amount
Federal Funds Requested $250,000.00
Cost-Sharing & Matching Amount $250,000.00
Total Project Amount $500,000.00

Do I have enough match?

Use this formula to calculate if you are providing enough match for your project:

  • Grant Request + Matching Funds = Total Project. Match % = Matching Funds/ Total Project.

A 50% cash match is equivalent to providing $1 for every $1 you are requesting in reimbursement.

  • Infrastructure investment of $300,250 (Project total) = Grant request of $150,125 with a match of $150,125.

A 25% cash match is equivalent to providing $1 for every $3 you are requesting in reimbursement. In an Infrastructure investment of a $100,000 = A request for $100,000 in federal funds and a cash match of $33,334. The total cost of the project would be $133,334.

Application Process

Applicants must demonstrate how the proposed project will expand capacity in the middle of the supply chain for food products AND increase the economic viability of local and regional producers and processors. Projects with higher anticipated impacts will be prioritized. Applications are accepted on a competitive basis and will be scored and ranked by an internal and external review panel. Applicants must be a legal entity with a Unique Entity ID and have the legal capacity to contract with MDA.

Complete and submit the MDA RFSI Simplified Equipment-Only Application by 3 p.m. on Friday, March 8, 2024 and the MDA RFSI Infrastructure Application by 3 p.m. on Friday, March 15, 2024. Late submissions will not be accepted.

Eligible Entities

MDA will make subawards in the form of Infrastructure and Equipment-Only Grants. Eligible entities include:

  • Agricultural producers or processors, or groups of agricultural producers/processors;
  • For-profit entities operating middle-of-the-supply chain activities such as processing, aggregation, and/or distribution of targeted agricultural products whose activities are primarily focused for the benefit of local and regional producers. The eligibility requirements of the SBA small business size standards must be met.
  • Nonprofit organizations operating middle-of-the-supply-chain activities such as processing, aggregation, and/or distribution of targeted agricultural products;
  • Local government entities operating middle-of-the-supply-chain activities such as processing, aggregation, and/or distribution of targeted agricultural products;
  • Tribal government entities operating middle-of-the-supply-chain activities such as processing, aggregation, and/or distribution of targeted ag
  • Institutions such as schools, universities and hospitals that are bringing producers together to establish cooperative or shared infrastructure or are investing in equipment that will benefit multiple middle-of-the-supply-chain activities such as processing, aggregation, and/or distribution of targeted agricultural products.

Funding Priorities

Through the initial comment period held earlier this year, MDA has identified the following funding priorities:

  1. Aggregation, processing and manufacturing infrastructure, including but not limited to facilities for sorting, storing, boxing, cleaning and value-added processing;
  2. Transportation methods, availability and costs and transportation equipment for aggregating and distributing food products;
  3. Cold storage including walk-in coolers and refrigerated trucks to extend the shelf-life and improve the quality and safety of food products;
  4. Processing equipment to reduce time, labor and costs associated with middle-of-the-supply-chain activities that will allow operations to expand and feed more people;
  5. Technology solutions such as barcoding and scanner systems that allow producers to more efficiently and safely manage and track inventories as they scale up.

Application Resources

Missouri Agriculture, Food & Forestry Innovation Center (MAFFIC) – MDA has partnered with MAFFIC to help provide free technical assistance to RFSI applicants. Please request assistance by signing up for technical assistance online at https://missouriaginnovation.com/

Business development assistance is available throughout the grant application period and after to awarded businesses, as well as to other value-added agricultural producers who are working in the middle of the supply chain by processing, aggregating and/or distributing eligible food crops.

Other Resources

For more information, contact Rachel Heimericks at 573-522-1955 or by email at Rachel.Heimericks@mda.mo.gov.