AGRI Sustainable Agriculture Demonstration Grant

The AGRI Sustainable Agriculture Demonstration Grant is administered by the Minnesota Department of Agriculture through the Agricultural Growth, Research, and Innovation Program. The program was created to demonstrate and publicize the energy efficiency, environmental benefits, or profitability of sustainable agriculture techniques and systems from production through marketing. The grant supports research and demonstrations that explore sustainable agriculture practices and systems that could make farming more profitable or resource efficient. Projects must be conducted on Minnesota farms, last at least two years and no more than three years, and share findings so other producers can learn from the work. Final reports are published by the Minnesota Department of Agriculture in the Greenbook, and grantees must conduct an outreach activity during the final year or season of the project. Approximately $350,000 is planned for award through a competitive review process, with an expected 8 to 15 grants. Applicants may request up to $50,000 and may receive only one SustAg grant in this funding round. The first $25,000 of grant funding does not require a match. Requests above $25,000 and up to $50,000 require a dollar-for-dollar match on the portion above $25,000, which may consist of cash and/or eligible in-kind contributions. The program operates on a reimbursement basis, and recipients must document project costs before reimbursement. The final 10 percent of an award is withheld until the required outreach project and final report are completed. Eligible costs can include project-specific labor, consultants, farm equipment lease or use, qualifying special-purpose equipment, testing and analysis, project travel, postage, printing, and final-year outreach expenses. General-purpose equipment, livestock, most equipment items costing more than $1,500, indirect and general operating costs, business startup or expansion costs, grant writing or grant management consultants, and other listed prohibited costs are ineligible. Eligible applicants include Minnesota farmers, individuals at educational institutions, organizations residing or located in Minnesota for research or demonstrations on Minnesota farms, Tribal sovereign nations, Tribal organizations or educational institutions, and local units of government. A farmer is defined as a person who cultivates, operates, or manages a farm for profit and grows or raises at least $1,000 of agricultural products for sale annually. Applicants must be in good standing with the State of Minnesota, comply with current state regulations, have no disqualifying suspension or debarment, and satisfy the program's financial-crime requirements. Farmer applicants must involve at least one qualified technical cooperator who is not a family member and submit a commitment letter describing the cooperator's contribution. Non-farmer applicants must involve at least one farmer cooperator who is meaningfully involved in project design and implementation and must submit the farmer's commitment letter. If a hired consultant is included in the budget, the applicable hourly rate must be included in the commitment letter. Applications were required to be submitted through the Minnesota Department of Agriculture online application system by 4 p.m. Central Time on December 17, 2025. New users had to create an account and select AGRI Sustainable Agriculture Demonstration Grant after logging in. Late and incomplete applications are not accepted, and required application materials and attachments must be included. The application requests applicant and authorized representative information, eligibility attestations, information about previous AGRI SustAg grants, project name and location, grant request and matching funds, total project cost, project duration, a public project summary, two or three objectives, farmer or non-farmer applicant information, cooperator information, farming-operation description, project rationale, detailed design and methods, evaluation methods, an outreach plan, a completed 2026 SustAg Application Budget Spreadsheet, a budget narrative, matching-fund information when applicable, other funding information, and optional visual documents. Eligible applications are reviewed by a committee that may include soil scientists, agronomists, post-secondary educators, agricultural marketing specialists, sustainable and organic farmers, Minnesota Department of Agriculture staff, and other agricultural experts. The evaluation profile awards up to 100 points: 5 points for farmer-led projects, 15 for technical or farmer cooperators, 20 for project rationale, 15 for project design and methods, 15 for evaluation, 15 for outreach, and 15 for budget details. Reviewers may recommend full or partial funding, while the Commissioner of Agriculture makes final funding decisions. Geographic distribution, previous performance as a state grantee, regulatory compliance, and capacity to perform the work may also be considered. Applications requesting $50,000 are subject to a second-phase Organizational Capacity Review and may require additional financial, certification, and performance-capacity documentation. The deadline for written program questions was 4 p.m. Central Time on December 10, 2025, with questions directed to MDA.AGRIgrants@state.mn.us using SustAg Grant in the subject line. Online application system assistance was available at 651-201-6500 or through the same email address. Applications were due December 17, 2025, and award decisions were expected during the week of February 23, 2026. Projects were anticipated to begin in spring 2026 after execution of the grant contract and continue for two or three years. The RFP states that progress reports are required during the grant period and identifies final reporting in January of the final grant year, with two-year projects concluding in 2028 and three-year projects in 2029. No project expenses may be incurred before the grant contract is fully executed and effective. The RFP does not expressly state that this solicitation recurs annually or provide a confirmed application date for a subsequent funding round.

Use plain language and explain why the project matters to other farmers; focus on two or three clear objectives; demonstrate a new, different, modified, or locally uncommon approach; use measurable evaluation methods and a basis of comparison; provide a detailed realistic budget supported by quotes or market research; keep consulting and purchased services below 50% of total project cost; select qualified cooperators and provide complete commitment letters; develop a specific final-year outreach plan; farmer-led projects receive 5 priority points; submit early because late or incomplete applications are rejected