Browse Ambrook’s collection of funding programs by Texas Department of Agriculture (TXDA)

Applications are available twice a year. Fill out the application available online at the Texas Department of Agriculture’s website www.TexasAgriculture.gov and submit it by posted deadlines for consideration. 

Kat Neilson

Nora Noble-Christoff

Grant Specialist

Pursuant to the Texas Agriculture Code, Section 58.091, the Texas Department of Agriculture (TDA) administers the Young Farmer Grant program (YFGP). The YFGP is administered by TDA under the direction of the Texas Agricultural Finance Authority (TAFA).


The purpose of this program is to provide financial assistance in the form of dollar-for-dollar matching grant funds to young agricultural producers that are engaged or will be engaged in creating or expanding an agricultural business in Texas.


TAFA’s Young Farmer Grant Program aims to:

-  Grow and support Texas agriculture 

-  Help meet a financial need that is otherwise not met 

-  Help grow an operation that also impacts the community 

- TAFA funds will not be used to support hobby farming. A hobby farm is a small-scale farm that is primarily for pleasure instead of being a business venture.



Pursuant to the Texas Agriculture Code, Section 58.091, the Texas Department of Agriculture (TDA) administers the Young Farmer Grant program (YFGP). The YFGP is administered by TDA under the direction of the Texas Agricultural Finance Authority (TAFA).

The purpose of this program is to provide financial assistance in the form of dollar-for-dollar matching grant funds to young agricultural producers that are engaged or will be engaged in creating or expanding an agricultural business in Texas.

TAFA’s Young Farmer Grant Program aims to:
-  Grow and support Texas agriculture 
-  Help meet a financial need that is otherwise not met 
-  Help grow an operation that also impacts the community 
- TAFA funds will not be used to support hobby farming. A hobby farm is a small-scale farm that is primarily for pleasure instead of being a business venture.

Who can apply?
- Grant applications will be accepted from any individual person 18 years or older, but younger than 46 years of age as of the application deadline, who is engaged or will be engaged in creating or expanding agriculture in Texas. 
- Applications that merely propose to sustain an existing agricultural business are not eligible for an award under this program. 
- Corporations, limited liability companies, partnerships or other types of foreign or domestic entities are not eligible for awards under this program. TDA will immediately disqualify any application filed on behalf of a corporation, limited liability company, partnership or other types of foreign or domestic entity. 
- The applicant must be able to make dollar-for-dollar matching expenditures to sustain, create or expand the proposed project.
- Applicant must be a U.S. Citizen and applicants must reside and operate in Texas.
- Grant funds will not be awarded to multiple family members applying for funding for the same project. 
- To be eligible for a grant, Applicant must have a substantial interest in the agricultural business or operation identified in the application for which the project will impact.
- Each individual grant applicant must clearly describe a distinct project and demonstrate how the individual grant applicant will independently benefit from the grant.
- An applicant that has a family, employment or business relationship with an executive, officer or employee of TDA, or a member of the TAFA Board of Directors, is not eligible for a grant and may not participate in the YFG program. A family relationship is defined as a relationship within the third degree of consanguinity or second degree of affinity as outlined in Chapter 573 of the Texas Government Code.

A lump sum of money for a specific purpose that does not need to be paid back.

Grant

Deficit / Surplus Commodity Report
- FAQ 
- Texas Farm Fresh
- USDA New Farmer Guide
- USDA New Farmer - Discovery Tool
- Other Financial Assistance
    - Farmers.gov: Funding for Farmers, Ranchers, and forest landowners
    - Farm Loan Discovery Tool
    - USDA Farm Service Agency Microloan Programs


Program Highlights
- Grant recipients that have a current, open grant may not receive a new grant during this cycle. 
- Grant awards range from $5,000 to $20,000 
- Grant funds may not be used toward capital purchases (Personal property or other capital items with a unit cost of more than $5,000) 
- Applicant must be able to make dollar-for-dollar matching expenditures Grant funds are paid to grant recipients on a reimbursement basis. Funds will be distributed to the grant recipient upon TDA’s receipt of documentation, such as cancelled checks, paid invoices or properly issued vendor receipts evidencing that the grant recipient: (1) has expended the required amount of matching funds for the project; and (2)has incurred and paid out total expenses for the project in an amount equal to at least the full amount of the project budget. 
- Costs must be within the term of the grant award. 
- Successful applicants will be issued a legally binding grant agreement that will outline the grant period of performance (start and end dates). Expenses incurred before the grant approved start date or after end date of agreement. Look at the timeline in the Request for Application to help plan expenses related to your project. 

What does a matching grant mean?

Matching funds are the amount of funds you are pledging in the matching column of the grant application and there is a 1:1 matching requirement. For examples, if you are seeking a grant for $10,000 you will be expected to document a match of at least $10,000 for a total project of $20,000. In other words, for every $2 you spend you will be reimbursed $1, or 50% of each invoice your submit for payment if awarded the grant.

Applicants that indicate a higher matching amount on their grant application will be required to expend/document the amount listed in the budget section of application during the grant term. For example, if you are seeking a grant for $10,000 and said you would match $40,000 it would be the same as saying for every $5 you spend you will be reimbursed $1, or 20% of each invoice your submit for payment if awarded the grant.

- Application & Instructions
- FAQs
- Program Overview

Mindy Fryer

Director, Contracts and Grants

**Objective:** The Young Farmer Interest Rate Reduction (YFIRR) Program is intended to facilitate a lower interest rate to agricultural producers or agribusiness owners who are between 18 and 46 years of age through a commercial lender. The YFIRR program provides an interest reduction to the borrower on a qualifying bank loan for an eligible project. The Comptroller of Public Accounts for the State of Texas deposits funds in a bank (which must be a state approved depository) at a below market interest rate. The bank issues a loan of like amount, at no more than 4% above the interest rate on the state's deposit. The program does not offer a guaranty or participation by the Authority in the loan. 



Objective: The Young Farmer Interest Rate Reduction (YFIRR) Program is intended to facilitate a lower interest rate to agricultural producers or agribusiness owners who are between 18 and 46 years of age through a commercial lender. The YFIRR program provides an interest reduction to the borrower on a qualifying bank loan for an eligible project. The Comptroller of Public Accounts for the State of Texas deposits funds in a bank (which must be a state approved depository) at a below market interest rate. The bank issues a loan of like amount, at no more than 4% above the interest rate on the state's deposit. The program does not offer a guaranty or participation by the Authority in the loan. 

- Any person who is 18 years of age but younger than 46 years who proposes to use loan proceeds for the creation or expansion of an agricultural business in Texas.
- The applicant should discuss the program with his or her lender and have the lender submit the application.
- Eligible lenders include any financial institution that makes commercial loans and is an approved depository for state funds.
- Farm Credit System lenders are not eligible because they are not able to accept deposits form the Comptroller of Public Accounts.
- The lender and the borrower determine the repayment, maturity and collateral for the loan.  

A reduction or waiving of fees for meeting a certain criteria.

Discount

HVAC

Lighting

Repairs

Greenhouse

Buildings

Fencing

Construction

Storage

Use of Funds:

Loan proceeds may be used for any agriculture-related operating expense, including:
- The purchase or lease of land;
- Fixed asset acquisition or improvement; and/or
- Any enterprise based on agriculture, as identified in the application.
- A loan under this program may be applied to existing debt only when required by the lender to finance the expansion of an eligible project. 

Interest Rate Determination: The Comptroller of Public Accounts places a linked deposit with a participating financial institution. The interest rate on the linked deposit is determined on the date the loan is funded and based on matching the loan maturity date to the closest U.S. Treasury bill or note maturity date or the end of the State’s fiscal biennium (Aug. 31 of each odd numbered year). Typically, YFIRR loans offer interest rates lower than current market rates.

Term Requirements: The lender and the borrower determine repayment, maturity and collateral for the loan.

Here is the application.

Submit all required paperwork to one of the following three options:
- Email: STARFund@TexasAgriculture.gov
- Mailing Address: P.O. Box 12847, Austin, Texas 78711
- Physical Address: 1700 N. Congress Avenue, Austin, Texas 78701

**The Fund:**


The STAR Fund (State of Texas Agriculture Relief Fund) was created solely with monetary donations from private individuals and entities to fund disaster recovery efforts. STAR Fund money may be used to assist farmers, ranchers and agribusiness owners in rebuilding fences, restoring operations and paying for other agricultural disaster relief. If you’d like to help folks impacted by the wildfire, floods or tornadoes, consider making a donation to the STAR Fund. The Program is designed to provide relief to Texas agricultural entities adversely impacted by natural disasters.


**Assistance:**


We are Texans, and when disaster strikes, we rise up to help our neighbors. The STAR Fund is one way to do that. TDA is offering a cost share (50% of eligible expense) to qualified agricultural producers not to exceed $4,000 per applicant. Example: A producer would need to submit documentation for $2,000 of eligible expenses to receive $1,000 in reimbursement. STAR Fund money may be used to assist in rebuilding fences, restoring operations and paying for other agricultural disaster relief costs needed to rebuild their agricultural operations. If the applicant's county is included in the Texas Governor’s declaration of disaster, they have 90 days from the date of his proclamation to turn in an application.


 “Every day, we depend on farmers and ranchers to provide our families with the healthy food and warm clothes that sustains our lives, and now is the time for Texas producers to lean on us,” Commissioner Miller said. “This is not a hand out, rather it’s a helping hand. I hope people will take advantage of these funds if you need them.”


Funds are not intended to compensate individuals or businesses for losses incurred, but to assist agriculture producers in cost-sharing some of the unexpected expenses associated with the repair or replacement of items necessary for their agricultural operation. See the application for more information. Verification of the damage caused by the disaster is required prior to TDA disbursing funds. Please include any pictures, certifications or other documentation of the damage.



The Fund:

The STAR Fund (State of Texas Agriculture Relief Fund) was created solely with monetary donations from private individuals and entities to fund disaster recovery efforts. STAR Fund money may be used to assist farmers, ranchers and agribusiness owners in rebuilding fences, restoring operations and paying for other agricultural disaster relief. If you’d like to help folks impacted by the wildfire, floods or tornadoes, consider making a donation to the STAR Fund. The Program is designed to provide relief to Texas agricultural entities adversely impacted by natural disasters.

Assistance:

We are Texans, and when disaster strikes, we rise up to help our neighbors. The STAR Fund is one way to do that. TDA is offering a cost share (50% of eligible expense) to qualified agricultural producers not to exceed $4,000 per applicant. Example: A producer would need to submit documentation for $2,000 of eligible expenses to receive $1,000 in reimbursement. STAR Fund money may be used to assist in rebuilding fences, restoring operations and paying for other agricultural disaster relief costs needed to rebuild their agricultural operations. If the applicant's county is included in the Texas Governor’s declaration of disaster, they have 90 days from the date of his proclamation to turn in an application.

 “Every day, we depend on farmers and ranchers to provide our families with the healthy food and warm clothes that sustains our lives, and now is the time for Texas producers to lean on us,” Commissioner Miller said. “This is not a hand out, rather it’s a helping hand. I hope people will take advantage of these funds if you need them.”

Funds are not intended to compensate individuals or businesses for losses incurred, but to assist agriculture producers in cost-sharing some of the unexpected expenses associated with the repair or replacement of items necessary for their agricultural operation. See the application for more information. Verification of the damage caused by the disaster is required prior to TDA disbursing funds. Please include any pictures, certifications or other documentation of the damage.

An eligible entity is an agriculture business/operation/ranch/farm located in a county declared a disaster by the Texas Governor. Applicants should submit documentation for agricultural related expenses not paid for by insurance or other governmental sources for costs directly related to rebuild from the natural disaster. Applicant must demonstrate that expenses incurred were related to agriculture production and directly caused by the disaster. If an entity/business/operation/ranch/farm is owned by more than one person, only one application may be submitted. An entity/business/operation/ranch/farm is eligible for only one single award every 24 months, regardless of the number of owners.

Agriculture business means a business that is or proposes to be engaged in producing, processing, marketing, or exporting an agricultural product.
 
Agricultural product means an agricultural, horticultural, viticultural, or vegetable product, bees, honey, fish or other seafood, planting seed, livestock, a livestock product, a forestry product, poultry, or a poultry product. Person means one property/entity/owner.

A payment that requires some percentage of matching contributions by the recipient.

List of Texas Department of Agriculture (TXDA) Funding Opportunities

Texas Young Farmer Grant (YFGP)

Young Farmer Interest Rate Reduction Program (YFIRR)

STAR Fund (STAR)