We recognize that full awards are typically needed for the success and completion of a project. The grant review committee will strive to fully fund all eligible costs and activities for selected grant projects when possible. However, due to the limited availability of funding, it may be necessary to make some partial awards.
If your grant project is recommended for partial funding, you may work with us to review and revise your scope of work and budget as necessary before a final grant contract agreement is executed. For example, you may be awarded grant funds to expand your facility but not to purchase additional equipment, and you will be given the opportunity to remove the purchase and installation of equipment from your work plan and budget. It is also allowable to turn down partial project funding if it’s no longer feasible to complete your project with only a portion of the funds.
We are not able to provide an exact date at this time, but we expect that it will be in late summer or fall of 2024. Following our MDA application review and final application review conducted by USDA, we expect that we’ll notify applicants of decisions sometime this summer (2024), but the review process could take more or less time than expected. Once we have notified applicants of award decisions, we’ll set up grant contract agreements sometime in late summer or fall (2024). Once your grant contract agreement is fully executed (signed by all parties), only then may you begin your project and request reimbursement for funds.
We expect that grant contract agreements will begin sometime in late summer or fall 2024. The project timeline and acquisition dates you provide in your grant application should be your best estimate for your project. We recommend beginning your project timeline no earlier than August 2024, with the understanding that your timeline may need to be pushed back if the USDA review process or the environmental review process cause grant awards to be delayed.
You can request reimbursement after you have paid for expenses that are part of your grant budget. Typically, requests are made quarterly, but exceptions to this schedule can be made if needed. More information can be found in this MDA Reimbursement Guide, but note there may be additional or different requirements because RFSI grants are federal funds.
We are not able to provide a definitive answer on how funds will be split between larger projects requesting more funds and smaller projects requesting less funds, nor specific guidance on how big to make your request. We expect to award approximately $9.6 million using a competitive review process. The smallest possible award will be $100,000 and the largest will be $3 million. Although you may request up to $3 million, you should expect that very few, if any, applicants will receive the largest award amount. We expect to award between 25 to 40 grants, but the final number of grants will depend on the size of each grant award.
We encourage you to scale your project appropriately and request funds that correspond to the individual characteristics of your project, your actual need, and the size of your operation, rather than determining the scale of your project based on the amount of available grant funding. The impact of your project relative to the amount of funds you are requesting, how realistic your project's workplan is, your readiness to take on a project at the scale requested, and the cost effectiveness of your budget are all criteria that will be considered by the review committee when making award recommendations. The Project Evaluation Profile in the RFP outlines how applications will be scored.
We recognize that full awards are typically needed for the success and completion of a project. The grant review committee will strive to fully fund all eligible costs and activities for selected grant projects when possible. However, due to the limited availability of funding, it may be necessary to make some partial awards.
If your grant project is recommended for partial funding, you may work with us to review and revise your scope of work and budget as necessary before a final grant contract agreement is executed. For example, you may be awarded grant funds to expand your facility but not to purchase additional equipment, and you will be given the opportunity to remove the purchase and installation of equipment from your work plan and budget. It is also allowable to turn down partial project funding if it’s no longer feasible to complete your project with only a portion of the funds.
On our RFSI Grant Reviewers web page, there is information about the grant review committee selection process and an interest form for those interested in serving as a reviewer for the RFSI grant.
Requirements for grant recipients
Yes, you will need to pay taxes on the grant funds in the year that you receive them. All grantees will receive a 1099 from the State of Minnesota for income tax purposes.
Yes, you will need to pay taxes on the grant funds in the year that you receive them. All grantees will receive a 1099 from the State of Minnesota for income tax purposes.
If your grant proposal is selected for funding, it must comply with the National Environmental Policy Act (NEPA) and related applicable agency regulations and instructions; Section 106 of the National Historic Preservation Act (NHPA); the Endangered Species Act (ESA); other federal environmental laws and regulations; and any applicable state, local, or tribal laws.
A review for NEPA compliance is required prior to the award of grant funds. If selected for an award, applicants must provide all requested information to support compliance with NEPA, NHPA, ESA, and all other federal environmental laws and regulations. USDA has released information about the type of information and documents that will be requested from RFSI grantees during this review on their NEPA Resources website. Projects involving construction of new structures, the expansion of existing structures, wastewater structures, ground disturbance, or other resource impacts are most likely to require additional site-specific environmental review and consultation. Please be advised that while we expect the environmental review process to go quickly for many grantees, some projects could be delayed by several months or more depending on the level of review required.
Resource: A Citizen's Guide to NEPA (PDF) provides an overview of NEPA requirements.
If your grant proposal is selected for funding, it must comply with the National Environmental Policy Act (NEPA) and related applicable agency regulations and instructions; Section 106 of the National Historic Preservation Act (NHPA); the Endangered Species Act (ESA); other federal environmental laws and regulations; and any applicable state, local, or tribal laws.
A review for NEPA compliance is required prior to the award of grant funds. If selected for an award, applicants must provide all requested information to support compliance with NEPA, NHPA, ESA, and all other federal environmental laws and regulations. USDA has released information about the type of information and documents that will be requested from RFSI grantees during this review on their NEPA Resources website. Projects involving construction of new structures, the expansion of existing structures, wastewater structures, ground disturbance, or other resource impacts are most likely to require additional site-specific environmental review and consultation. Please be advised that while we expect the environmental review process to go quickly for many grantees, some projects could be delayed by several months or more depending on the level of review required.
Resource: A Citizen's Guide to NEPA (PDF) provides an overview of NEPA requirements.
The Build America, Buy America (BABA) Act, enacted in 2021, established a domestic content procurement preference for all federal financial assistance obligated for infrastructure projects after May 14, 2022. The domestic content procurement preference requires that all iron, steel, manufactured products, and construction materials used in covered infrastructure projects are produced in the United States. Any public infrastructure project funded under the RFSI program must coordinate with us and USDA AMS to ensure it adheres to BABA guidance. We will help you determine if your project must comply with BABA. For such projects, you must comply with the Buy America Sourcing requirements outlined in the BABA provisions of the Infrastructure Investment and Jobs Act, and further described in 2 CFR Part 184 – Buy America Preferences For Infrastructure Projects.
For-Profit Entities: BABA does not apply to for-profit entities (either primary grantee or subrecipient) for infrastructure projects. AMS will review facilities owned by public entities to determine whether BABA requirements apply, following USDA guidance to exempt de minimis grant awards and other inapplicable activities. All other Infrastructure Grant recipients that surpass the $250,000 threshold of applicable procurement costs must adhere to BABA.
Small Grants Waiver: The small grants waiver will apply to awards with total federal funding below the Simplified Acquisition Threshold, which is currently set at $250,000.
Resource: See BABA requirements for USDA sub-awards (PDF) for additional guidance.
The Build America, Buy America (BABA) Act, enacted in 2021, established a domestic content procurement preference for all federal financial assistance obligated for infrastructure projects after May 14, 2022. The domestic content procurement preference requires that all iron, steel, manufactured products, and construction materials used in covered infrastructure projects are produced in the United States. Any public infrastructure project funded under the RFSI program must coordinate with us and USDA AMS to ensure it adheres to BABA guidance. We will help you determine if your project must comply with BABA. For such projects, you must comply with the Buy America Sourcing requirements outlined in the BABA provisions of the Infrastructure Investment and Jobs Act, and further described in 2 CFR Part 184 – Buy America Preferences For Infrastructure Projects.
For-Profit Entities: BABA does not apply to for-profit entities (either primary grantee or subrecipient) for infrastructure projects. AMS will review facilities owned by public entities to determine whether BABA requirements apply, following USDA guidance to exempt de minimis grant awards and other inapplicable activities. All other Infrastructure Grant recipients that surpass the $250,000 threshold of applicable procurement costs must adhere to BABA.
Small Grants Waiver: The small grants waiver will apply to awards with total federal funding below the Simplified Acquisition Threshold, which is currently set at $250,000.
Resource: See BABA requirements for USDA sub-awards (PDF) for additional guidance.
Yes, you will need to pay taxes on the grant funds in the year that you receive them. All grantees will receive a 1099 from the State of Minnesota for income tax purposes.
No, please do not include the documents such as tax returns or Form 990 that are required for the pre-award risk assessment with your application. If you are a selected as a finalist and your application is moved forward to the USDA round of the review process, we will request these documents from you at that time, likely in May or June.
If your grant proposal is selected for funding, it must comply with the National Environmental Policy Act (NEPA) and related applicable agency regulations and instructions; Section 106 of the National Historic Preservation Act (NHPA); the Endangered Species Act (ESA); other federal environmental laws and regulations; and any applicable state, local, or tribal laws.
A review for NEPA compliance is required prior to the award of grant funds. If selected for an award, applicants must provide all requested information to support compliance with NEPA, NHPA, ESA, and all other federal environmental laws and regulations. USDA has released information about the type of information and documents that will be requested from RFSI grantees during this review on their NEPA Resources website. Projects involving construction of new structures, the expansion of existing structures, wastewater structures, ground disturbance, or other resource impacts are most likely to require additional site-specific environmental review and consultation. Please be advised that while we expect the environmental review process to go quickly for many grantees, some projects could be delayed by several months or more depending on the level of review required.
Resource: A Citizen's Guide to NEPA (PDF) provides an overview of NEPA requirements.
The Build America, Buy America (BABA) Act, enacted in 2021, established a domestic content procurement preference for all federal financial assistance obligated for infrastructure projects after May 14, 2022. The domestic content procurement preference requires that all iron, steel, manufactured products, and construction materials used in covered infrastructure projects are produced in the United States. Any public infrastructure project funded under the RFSI program must coordinate with us and USDA AMS to ensure it adheres to BABA guidance. We will help you determine if your project must comply with BABA. For such projects, you must comply with the Buy America Sourcing requirements outlined in the BABA provisions of the Infrastructure Investment and Jobs Act, and further described in 2 CFR Part 184 – Buy America Preferences For Infrastructure Projects.
For-Profit Entities: BABA does not apply to for-profit entities (either primary grantee or subrecipient) for infrastructure projects. AMS will review facilities owned by public entities to determine whether BABA requirements apply, following USDA guidance to exempt de minimis grant awards and other inapplicable activities. All other Infrastructure Grant recipients that surpass the $250,000 threshold of applicable procurement costs must adhere to BABA.
Small Grants Waiver: The small grants waiver will apply to awards with total federal funding below the Simplified Acquisition Threshold, which is currently set at $250,000.
Resource: See BABA requirements for USDA sub-awards (PDF) for additional guidance.
Because RFSI is funded by the American Rescue Plan Act, the program is exempt from federal prevailing wage requirements (commonly known as Davis-Bacon rules). Most RFSI projects are also exempt from state prevailing wage requirements (the Minnesota Prevailing Wage Act), as long as you don’t use state funds to meet your project’s matching requirement.
If you do plan to use more than $200,000 in state funds (i.e., state financial assistance such as a state grant or loan) to meet all or a part of your project’s matching requirement — and if your project involves construction — the Minnesota Department of Labor and Industry will need to evaluate your project to determine if state prevailing wage requirements will apply. These rules require that the wages of laborers and workers should be comparable to wages paid for similar work in the community as a whole.
While you should do your best to accurately estimate your costs in your grant application, we understand that your actual costs may differ from what you originally proposed. If your costs change significantly, you can request approval from us to amend your budget. If your amendment is approved, you would be able to move funds between categories within your budget, but the overall amount of funds you are awarded will not be increased.
For example, if your costs for constructing your facility came in higher than expected, you could request to purchase less equipment in order to cover the full construction costs. Your total award amount would not be increased to accommodate your increased construction costs.
There is no date that your new processing facility needs to be operational by, but you will be asked to describe your project work plan and timeline in the application. Your project will be scored based on whether you have provided a thorough and realistic work plan and timeline that can be achieved during the project period.
The definition of equipment for this grant is “tangible personal property (including information technology systems) having a useful life of more than one year and a per-unit acquisition cost of $5,000 or more.” RFSI grantees will not be subject to federal management and disposition requirements for equipment purchased using grant funds, and instead will only be subject to the state’s policies and procedures regarding management and disposition of equipment. In Minnesota, grantees must use equipment purchased with grant funds to carry out their grant project during the grant period. At the time of your grant’s closeout, you must account for and report on the status of any equipment purchased in your final report. Following the completion of your project and the closeout of your grant, the use and disposition of the purchased equipment is at the discretion of the grantee without further obligation to the state.