AGRI Biofuels Infrastructure Grant

The AGRI Biofuels Infrastructure Grant is administered by the Minnesota Department of Agriculture as part of the Agricultural Growth, Research, and Innovation Program, which was established to advance Minnesota’s agricultural and renewable energy industries. The program is designed to increase productivity, improve efficiency, and support the development of agricultural products and renewable energy solutions within the state. This specific funding opportunity focuses on expanding access to and increasing the sales of higher ethanol fuel blends by supporting infrastructure upgrades at retail fueling locations. The grant provides financial assistance to eligible Minnesota-based retail petroleum dispensers seeking to upgrade or replace equipment to enable the sale of motor fuel blends containing at least 15 percent ethanol. Funded projects must involve the installation or replacement of equipment that is compatible with E25 or higher ethanol blends, such as dispensers, storage tanks, and associated infrastructure. The program is intended to help fuel retailers modernize their equipment and contribute to statewide biofuel adoption goals established by Minnesota law. Funding for this program is competitive, with approximately $4.7 million expected to be distributed across awarded projects. Individual applicants may request between 5000 and 199000 dollars per project. The grant operates on a reimbursement basis and covers up to 65 percent of eligible project costs, requiring applicants to contribute at least 35 percent of the total project cost as a cash match. Matching funds may come from cash, loans, or other eligible financial sources, but in-kind contributions are not allowed. Eligible applicants include retail petroleum dispensers located in Minnesota that serve the public and operate no more than 20 retail fueling sites. Applicants must be actively operating at the time of application, properly licensed, and either own the project site or have documented permission from the property owner. New or planned stations are not eligible. The program encourages participation from businesses that serve or are operated by Native American tribal communities, although eligibility is not limited to those entities. Applications must be submitted through the Minnesota Department of Agriculture’s online application system. Applicants are required to create an account if they do not already have one and complete all required forms and documentation. Questions regarding the application must be submitted in writing by May 19, 2026, and final applications must be received by 4 p.m. Central Time on June 2, 2026. Late or incomplete applications are not accepted. The review process includes multiple phases, including an initial evaluation and a pre-award risk assessment for selected applicants. Applications are evaluated based on a structured scoring system that considers project outcomes, organizational capacity, financial readiness, and alignment with program priorities. Additional considerations include geographic distribution of funding, service to underserved communities, and the applicant’s ability to increase access to higher ethanol blends. Award decisions are expected in August 2026, with project implementation beginning around September 2026 and lasting up to three years. Projects must be completed no later than August 2029, and recipients are required to comply with reporting, monitoring, and financial documentation requirements throughout the grant period.

Submit early to avoid technical issues. Ensure all required fields are complete and align proposal with evaluation criteria including project outcomes and financial readiness. Provide clear and realistic budget justification.