Agricultural Development Projects in North Carolina

The North Carolina Agricultural Development and Farmland Preservation (ADFP) Trust Fund is administered by the N.C. Department of Agriculture & Consumer Services. The fund was created in response to significant farmland loss in North Carolina, which has been identified as one of the most threatened states for agricultural land conversion in the United States. Reports from the American Farmland Trust show that from 2001 to 2016, North Carolina lost 732,000 acres of farmland, and projections suggest that the state will lose the second most acres of farmland nationally by 2040. The ADFP Trust Fund aims to protect and promote profitable, sustainable family farms through competitive grant programs supporting a broad range of agricultural development initiatives. The Agricultural Development Projects program funds public or public-private enterprise programs that provide assistance to farmers in developing and implementing plans to produce food, fiber, value-added products, agritourism activities, marketing and sales of agricultural products, and other farm-related business activities. The program does not fund projects that offer individual benefit. Eligible projects include but are not limited to marketing plans and studies, livestock facilities, farmers markets, shared-use equipment, slaughter and meat-processing facilities, processing and value-added facilities, vocational-agricultural education, farm-to-table and agritourism initiatives, training programs, pilot programs for farmland preservation, agricultural economic development studies, on-farm studies, alternative fuels, sustainable energy, and climate-resilient farming practices. Applicants must be nonprofit conservation organizations or county governments as specified in N.C.G.S. 106-744. Farmers and landowners may participate only if partnering with an eligible applicant. The number of proposals per funding cycle is unlimited per organization, though contract awards depend on available funding, and limits apply when requests exceed the allocation. The program requires matching funds based on applicant type and county development tier. Nonprofit conservation organizations must match at least 30% of the award with non-state funds. Counties with approved farmland protection plans in tiers two or three must match at least 15%, while those without plans must match at least 30%. Tier one counties with approved plans require no match. The application process has two parts. Part 1, the Intent to Apply, opens the first business day of August and closes the last business day of August. Part 2, Eligibility, Background, and Purpose, opens the second Monday of September and closes the last Monday before Christmas. Applications are narrative-driven, identifying specific local needs and outlining how projects build upon existing efforts. Scoring is based on the application, budget, and an interview, with the Commissioner of Agriculture making final award decisions in consultation with the advisory committee. The maximum request per project is $500,000, with budget scoring influenced by the percentage of secured matching funds. Funded projects must produce specific outputs depending on their category, such as reports with economic impact analyses for marketing plans, conceptual drawings for facility projects, or cost-benefit analyses for pilot programs. All funded activities must comply with eligible cost categories, and prohibited expenses include personnel services, appraisals, alcohol, entertainment, lobbying, and general government costs. The funding period for Cycle 19 awards will end on September 30, 2028, with extension requests due at least 60 days before expiration. Interested applicants should review the full guidelines and budget instructions on the ADFP Trust Fund website. Questions about allowable costs or match requirements can be directed to Allison Rodriguez at Allison.rodriguez@ncagr.gov.

Applicants should secure matching funds early to increase budget scoring and ensure all required commitment letters are included for secured match