AGRI Sustainable Agriculture Demonstration Grant Q&A

Here are some common questions about the AGRI Sustainable Agriculture Demonstration Grant (SustAg).

If you have questions that are not addressed here or in the request for proposals (RFP), email them to MDA.AGRIGrants@state.mn.us with "AGRI SustAg Questions" in the subject line. We'll post all questions and answers on this page.

• General questions
• Project eligibility
• Eligible items
• Budget
• Timeline
• Technical and farmer cooperators
• Match

General questions

• If I currently have a SustAg grant, am I eligible to apply for another project?
  • Yes, you are eligible to apply for another project.
• Can I submit more than one application for multiple project ideas?
  • Yes; however only one project can be funded each year.
• Can I submit the same project to another funder besides the MDA?
  • Yes, you can apply to multiple funders for the same (or a similar or related) project. You must include this information in your application.
• Is there a minimum or maximum acre limit for the project?
  • There is no maximum or minimum acreage for your project, but you will want it to be big enough to get meaningful results and small enough not to exceed the maximum allowed by the grant, unless you plan to pay for the remaining acreage out of pocket.
• Can we do the project variable in year 1 then control in year 2?
  • In most situations it's better do the control and the variable side by side in the same year to account for differences in weather that you can’t control.
• Can outreach be done through social media (Instagram, YouTube, etc.)? And is the outreach only limited to the final year event, or can sharing updates about the project with the public be done during all 3 years?
  • An on-farm field day is preferred. Historically that is the backbone of this grant program. If you choose to do outreach through social media you will want to have a well-developed plan of how many posts, videos, etc., and how they will be shared and promoted. You can do outreach throughout the project but you’ll be asked to summarize all your outreach in the final report in the last year of your project.
• Do farmer and non-farmer applicants get judged differently or is it the same evaluation?
  • Both farmer and non-farmer applicants are judged using the same evaluation which can be found in the RFP.

Back to top

Project eligibility

• Would my project be eligible if it was previously done in another region of the state?
  • Yes, similar projects in parts of the state where the practice or system is still considered new or innovative are eligible. Make sure to explain why the project might have different results in your part of the state in order to justify a repeated project. Reviewers are looking for interesting ideas that may or may not work to increase energy efficiency or profitable production or benefit the environment.
• If a project was training youth on creating a sustainable environment for "wild foods", such as re-establishing blueberry fields, learning maple syrup harvesting and production, creating pollinator spaces – could this qualify as a Sustainable Ag Demonstration?
  • This could certainly qualify as a demonstration as long as the requirements of the grant are met. Specifically, you would need to make sure that both a farmer and a technical cooperator are involved and plan a project that takes place over two to three years. You will also want to make sure to set some clear and measurable objectives.
• Our organization recently received a USDA Farm to School Grant to purchase some vertical hydroponic machines to start an entrepreneurial program with our Middle School, High School, and Club students. This program is a partnership between us, our local school district, and our local farmers co-op. Students get to learn and grow crops; reach out to local businesses to see if they would have any interest in purchasing and what they would be most interested in purchasing; and finally, they get to host tours and educate other students and community members/organization about the project, hydroponics, and sustainable living. We would like to potentially use a grant like this to expand outreach and what we can do. Do you think this is a good fit for this grant?
  • We would need to know more about what you plan to do with the grant to give you an idea whether it’s a fit or not. First, the Sustainable Agriculture Demonstration Grant requires that a farmer and a technical cooperator be meaningfully involved. Our definition of a farmer is someone who has sold $1,000 in product from their farm. Would your students/club members fit this requirement? If not, do you have a farmer to work with and a technical cooperator to help you with experimental design?
  • If you meet those requirements, you need to be doing something new and innovative and have clear and measurable objectives. Outreach is a requirement of the grant but it’s a small piece of the larger project. To give you some ideas of what past grantees have done, check out the Greenbook.
• The farmers I’m working with would likely be planting a crop even without the study. How much of the upkeep of the experimental systems on the farms could be attributable to this study?
  • The farmers can count the work they are doing on the research portion of their farm to the grant for reimbursement. Anything that is above and beyond their regular day to day farming activities is eligible. For example, if they would be growing and harvesting the crops anyway, that would not count. However, their time taking the leaf samples or additional time to apply the variable treatments would count as time spent on the project.
• I grow indoors year round using vertical aeroponic tower gardens and am going into my second year. I currently have the ability to harvest 260+ heads of lettuce and greens. Would adding more towers and LED lights qualify for this grant?
  • Unfortunately, no. This grant isn't intended for farm expansions. Equipment purchases are minimally allowed with the grant funds.

Back to top

Eligible items

• Can I spend grant money on equipment rental or use of my own equipment?
  • Yes to both. You can charge reasonable per acre or per hour costs (e.g., woodchipper, skidsteer use).
• Is the purchase of seed stock (nursery transplants) eligible for use of grant funds for a SustAg project?
  • Because seed is eligible as a supply, a seedling or the common method of planting a certain type of plant needed to conduct the project will be eligible. Bare root flowers, fruit tree stock, and grape and blueberry cuttings or starter plants are eligible and have been funded in the past for the amount needed to conduct the research or demonstration project.
    • Note: Funding the planting of a significant part of an orchard or field of flowers to start a new business or expand your current business is not allowed.
    • If purchasing seeds, plants, cuttings, or trees that are long-lived, justify why your project is best suited to a new planting instead of an established planting. In some cases, a new planting is not appropriate.
• I would like further explanation of what is eligible as labor costs “beyond normal farming operations.”
  • Farming labor working on the grant project is an eligible cost, while non-grant farming labor doing work on the rest of the farm is considered "normal farming operations".
    • Example: You farm a total of 10 acres but one acre is involved with the grant project; you should only include your time spent tending the one acre as your reimbursed labor.
• If a piece of equipment that costs more than $1,500 is needed to conduct my research or demonstration project, do you think there is leeway in the RFP for the grant to pay for $1,500 of the purchase and the remainder of the cost is my (the grantee’s) responsibility?
  • We will approve the use of grant funds for $1,500 towards the purchase cost of an eligible piece of equipment if the review committee approves it. We suggest that you provide sufficient justification in your application that the equipment is needed to conduct the research or demonstration project, that it’s not general-purpose farm equipment, and that it can’t be easily rented.
• Your funding opportunity states that "wages for time spent directly on the grant project" is an eligible expense. Does this mean we can request salary for our Principal Investigator and other key personnel on this proposal?
  • Yes, salary for the Principal Investigator and other staff can be included as a reimbursable expense. You should break it down into an hourly wage (you may include fringe) and estimated hours.
• Are indirect costs such as office and computing resources, administrative costs, etc. allowed in the budget?
  • We cannot reimburse general indirect costs such as administrative costs and overhead. All expenses must be directly tied to the project. The SustAg Budget Sheet in the Forms & Resources section lists the different categories expenses must fit into. Also, keep in mind that you must submit documentation for reimbursement. Those guidelines can be found in the MDA Reimbursement Guide.

Back to top

Budget

• The budget spreadsheet is protected and says, “view only.” How do I add my information?
  • Under “File,” select “Download” and “Microsoft Excel.” Save the file to your own computer and complete all the sections. Once you’re done, upload the Excel file to your application in Foundant, our online application system.
• What is an acceptable wage to pay family members while working on the grant project?
  • The wage rate you request should be the usual rate of pay for someone doing that job. We think that $15 to $20 per hour would be reasonable rate of pay for someone doing regular farm tasks like sowing and weeding or light construction that does not require certification or expertise. More skilled tasks such applying inputs, collecting data, or electrical work would command a higher wage rate.
• I am not sure how to develop my budget in the application. I am concerned that the actual expenditures will be different from the amounts I put in the budget. How does that play out?
  • When you submit financial reports for reimbursement, you will need to report your actual grant project expenditures. We allow small deviations from predicted costs as long as the grant project work plan is followed in good faith. If larger changes to the budget or work plan are needed because of circumstances out of your control, challenges encountered, or things learned as the project is proceeding, we ask that you request these changes ahead of time or as they become evident. These requests are approved a vast majority of the time.
• Are letters of support from collaborating growers with estimates of their labor and land costs good enough?
  • The value of the land is based off county averages. See the External Links section and go to the UMN Extension Farmland Rent and Economics website.
  • Labor costs should be described in the letters of support that your growers provide. They should include an hourly rate and expected number of hours or the stipend they will accept for the work they do.

Back to top

Timeline

• Could you give me an idea of when selections will be announced, and when we should plan for an earliest start date?
  • Selections are generally made by the end of February and projects can start after contracts are signed, typically in late March.
• For a 3-year project, it's from March 2025 start to March 2028 end? Or only until all data is collected by the end of the growing season of 2027?
  • Three years is the longest the project can be. Some are only two years long. Your timeline will depend on your project but the latest start date is June 30, 2025. We ask for annual reports in November and they’re due in January. Final payments are made after the final reports are complete and before the end date on your contract.

Back to top

Technical and farmer cooperators

• Where would I go for technical assistance with research and design of the field experiment and writing the grant application?
  • You can get assistance from many sources (they can also be your technical cooperators). Some ideas include University of Minnesota (UMN) Extension staff, UMN researchers studying the subject of your on-farm research project, Regional Sustainable Development Partnerships (RSDP has five regions covering Minnesota), Soil and Water Conservation District representatives, Sustainable Farming Association staff, Land Stewardship Project staff, local USDA Farm Service Agency staff, an instructor at a community college, etc.
• Many of the previous projects listed in the Greenbook have several technical cooperators listed. Will my chances of approval be higher if I add other technical cooperators in my application even though their contributions to my project are quite small?
  • The reviewers do not give extra points for entering more collaborators than required in the application. If you think you will benefit from using more technical cooperators, you should include them in your application. However, one good cooperator whose expertise complements yours may be better.
• Can technical cooperators be international?
  • Yes, you may have one or more international cooperators. Online consultations are preferred in this case.
• Can technical consultation from freelance, independent contractors be included in the budget and allowed for this grant?
  • Yes, as long as they can give you a letter of support and list their service fees in the letter.

Back to top

Match

• The SustAg application budget sheet is confusing. Do you have any guidance?
  • When filling out the budget sheet, you can delete the pre-existing equations if that helps. It’s more important to have the numbers correct from your perspective so we understand what your budget requirements are. Be sure to show the total project cost in your budget, as it the basis for the grant award amount. We request that you use our budget table since we use this structure to approve your budget and incorporate it into your contract. If you absolutely can’t use this table, reference the Project Evaluation Profile in the RFP to be sure you are meeting the minimum requirements for the budget portion of the application.
• Can an industry partner that is not Minnesota-based provide the matching dollars?
  • Yes, cooperators may be from outside of Minnesota as long as the project and farmers involved are located in Minnesota.
• Can our own labor be used toward matching funds?
  • If your grant request is over $25,000, you may use your labor as the cash match but that must be clearly described in your budget spreadsheet. Make sure to include a fair hourly wage for yourself and the expected number of hours you plan to contribute.
• What is the maximum amount of hours I could personally put into this project? I would like to match all of the funds through my own labor if possible. If I assign an hourly rate of $25 per hour for myself, and I want to request the maximum amount for this grant ($50,000), can I work 1,000 hours to meet the $25,000 match?
  • You can work as many hours as you want to on the grant, however, $25,000 in labor costs is on the high end of what these grants typically request. That large of an amount will likely be scrutinized by our reviewers and you would need to provide justification for that expense. This grant isn’t intended to cover a full time salary or an entire farming operation. It is meant to be a small-scale experiment or demonstration.
• How do we need to document the matching funds for this grant (if our budget exceeds $25,000)?
  • Except for land match contributions, matching expenses will need to be documented in a similar manner as reimbursed expenses (see the MDA Reimbursement Guide in the Forms & Resources section). Land contributions go on your SustAg Budget Sheet as a line item and count each year of the project. The value of the land is based off county averages. These can be found using the UMN Extension Farmland Rent and Economics website (see External Links).
  • For grants to the University of Minnesota, we will work directly with Sponsored Financial Reporting to get a report that indicates expenses that are counted as match.
• We hope to implement variable treatments on three farms, which would incur costs for the growers. Can we account for their time and expense as cost share?
  • These costs can either be counted as your matching funds, or they can be reimbursed by the grant. Either way you will need to document the expenses as described in the MDA Reimbursement Guide.

Back to top