Cover photo for Connecticut Farm Enterprise Transition Grant

Connecticut Farm Enterprise Transition Grant

Connecticut Department of Agriculture

Closed April 15, 2021

About

The Farm Transition Grant Program (FTG) (C.G.S. Sec. 22-26j) is a competitive matching grant program for Connecticut farmers and agricultural cooperatives to support the diversification of existing farm operations, transitioning to value-added agricultural production and sales, and other venues in which a majority of products sold are grown in the state. Please be aware: This is a reimbursement grant.

The FTG will look different this year as it has been updated to better serve the CT agricultural industry to include supporting new and beginning farmers to research and development for farm business expansion.

**New this year for FY 2021 **

There are four different grant categories that eligible applicants may choose to apply for. Please review the 2021 Farm Transition Grant Application Guidelines and Forms document below for detailed information on how to apply and the new grant categories. 

Eligibility

The following entities are eligible to apply for all Farm Transition Grant categories:

  1. Agricultural producers, singularly or jointly, whether such producers are owners or tenants of existing agribusiness within the State of Connecticut

  2. Agricultural cooperatives To qualify for the New Farmer Micro Grant, eligible entities must meet the following to qualify:

    1. Apply for or possess a Farmers’ Tax Exemption Permit through the Connecticut Department of Revenue Services

    2. Have a 2-5-year business plan drafted

    3. Complete a crop plan

    4. Be the operation owner and have been in production for a year or more

    5. Tenants must include a written agreement between all necessary parties regarding the submitted project

To qualify for the Infrastructure Investment Grant, Research and Development Grant, and Innovation and Diversification Grant eligible entities must meet the following:

  • Be registered with the Connecticut Secretary of State, if established as a limited liability corporation or incorporation

  • Possess a Farmer’s Tax Exemption Permit

  • Have submitted a Schedule F, Form 1120S, Form 1065, or Schedule C for the previous three years

  • Tenants must include a long term written lease agreement between all necessary parties regarding the submitted project.

Previous awardees to the Farm Transition Grant can reapply.

Past awards and corresponding project completion will be taken into consideration when evaluating applications.

Applicants who have an open agreement and a project in progress are ineligible to apply. 

Terms

Match Requirement, Expenses, & Payment:

All eligible expenses funded by any Farm Transition Grant program must advance farming and agriculture as defined by Connecticut General Statutes Section 1-1(q).

All grant categories have a cash match requirement of which the percentage necessary varies. The cash match requirement for each program can be self-financed, bank-financing, or provided through another grant (federal, state, or otherwise). If a grant is providing the match, the applicant must disclose the grantor, the grant name, and amount awarded. A three-year profit and loss statement and current profit and loss must be provided.

The Farm Transition Grant must be paid directly to the applicant.

The following expenses cannot be used as a match and will not be funded by any grant category:

  • Any expense incurred prior to contract execution

  • Land acquisition/mortgages

  • Cost of borrowing (points and other fees)

  • Expenses related to establishing a new organization/business

  • Any portion of expense for which the applicant pays a contractor in merchandise or service in lieu of cash

  • Tuition/tuition reimbursement or career-related/scholarship funds

  • Routine business expenses (utilities, office supplies, etc.)

  • Disposable supplies (office, farm, otherwise) unrelated to the project

  • Legal expenses related to litigation

  • Indirect or contingency costs of any percentage

The following expenses are an acceptable match if they directly and meaningfully support the proposed project:

  • Employee salaries and fringe benefits paid to execute the project

  • State/local/federal permits

  • Attorneys’ fees (not related to litigation)

  • Consumable or disposable supplies

Eligible expenses by grant category can be found on page 4. The eligibility of general-purpose equipment will be reviewed based on grant category and project usage.

These are reimbursement grants. Incomplete projects cannot be fully reimbursed.

A reimbursement of 50% of the award can be provided to the New Farmer Micro Grant awardees during the project work, with the remaining 50% of the award reimbursed upon project completion. Receipts with proof of payment to justify the first 50% of the award must be provided.

Project Duration & Post Award Requirements

Projects must be completed within 18 months of contract execution. Contract and project extensions are not allowed.

Applicants of awarded projects will be responsible for the following:

  1. Signing an agreement with the State of Connecticut

  2. Providing a Certificate of Insurance holding the state harmless or listing the state as an additional insured on the grantee’s liability insurance policy

  3. Completing the project within the contractual timeframe

  4. Submitting a final project report in the required format per the executed contract

  5. Submitting a final financial report itemizing actual expenses. Copies of invoices and proof of payment must be submitted with the payment request at the conclusion of the project

  6. Agreeing to a site inspection once the project is complete and prior to final payment being released

  7. Other requirements as outlined in the State of Connecticut contract

Grantees will have additional training on requirements once contracts are executed.

Resources

Similar Programs

Details

Release Date

April 8, 2021

Deadline

April 15, 2021

Organization

Connecticut Department of Agriculture (CTDOAG)

Financial Instrument

Grant, Cost Share

Minimum Award Amount

$5,000

Maximum Award Amount

$49,999

Image Credit

gmtbillings

Updated September 30, 2021

This information was gathered from public sources. Ambrook is not responsible for or able to affect the results of any financial programs listed, nor are they responsible for any incorrect information that is listed or is on the hyperlinked external sites. All information is subject to change.