Local Agricultural Growth Zones Program

The North Carolina Department of Agriculture and Consumer Services, through the Agricultural Development and Farmland Preservation (ADFP) Trust Fund, administers the Local Agricultural Growth Zones (AGZ) program to support farmland preservation in counties across the state. North Carolina is the second-most threatened state for farmland loss in the United States, with significant acreage lost in recent decades and projections for continued decline. The AGZ program enables counties and nonprofit conservation organizations to apply for matching funds from the state to enhance local investments in agricultural conservation easements. These easements create concentrated, permanently protected areas of farmland that act as buffers against urban and suburban sprawl, preserve rural character, and improve efficiency in agricultural production and marketing. Coordination with local, regional, and state land use planning ensures that these protected blocks are strategically located to maximize their effectiveness. The program is open to nonprofit conservation organizations and county governments. Farmers and landowners cannot apply directly but may partner with eligible entities to participate. There is no limit to the number of proposals an organization can submit per cycle, but funding caps apply if requests exceed available resources. The application process involves two steps: Part 1, the Intent to Apply, is open from the first business day of August through the last business day of August; and Part 2, which covers Eligibility, Background, and Purpose, opens on the second Monday of September and closes on the last Monday before Christmas. Both parts must be completed on time, and eligible applicants will proceed to an interview stage as part of the scoring process. Applications are evaluated on the basis of the written proposal, budget, and interview. Scoring criteria award points for including agricultural land as a separate category in local land use plans, having a formal scoring rubric for selecting easements, providing a property priority zones map, and offering program accessibility to any eligible landowner. Additional points may be awarded for prioritizing certain groups, such as beginning farmers, Got to Be NC members, Century Farm members, parcels in Voluntary Agricultural Districts, certified forestry parcels, or those located near existing conservation easements or compatible protected lands. Eligible properties must be privately owned, located within North Carolina, in active agricultural, horticultural, or forestry use, and meet minimum acreage thresholds—5 acres for horticulture, 10 acres for agriculture, or 20 acres for forestry. Easements on properties with existing development rights removed are ineligible. Approved projects must partner with an eligible entity that serves as the easement-holding organization and complies with all program requirements, including on-site verification during the Baseline Documentation Report process. Applicants may request up to $2 million per AGZ application, with transactional costs capped at 10% of the total request. The program requires a 1:1 cash match for easement purchase costs, sourced from local governments, conservation nonprofits, or private funds; federal and state funds cannot be used for match. Secured match funds must be obtained before grant disbursement, and applicants have until the start of the next fiscal year after award to secure them. Non-allowable costs include personnel, administrative services, appraisals, entertainment, lobbying, and several other categories. If federal funds are later secured for a project, the AGZ and local contributions must be reduced proportionally to maintain the 1:1 ratio. AGZ agreements are active for three years and may be extended for up to two one-year terms, with renewals subject to meeting specific expenditure or obligation conditions. Renewal requests are limited to $2 million with the same transactional cost limits. Contact for the program is Allison Rodriguez at Allison.rodriguez@ncagr.gov.

Higher consideration is given to applications with secured cash contributions for easement purchase.