2026 Wood Innovations Grant Funding Opportunity
This funding opportunity provides financial support to a variety of organizations for innovative projects that promote the use of domestically sourced wood and biomass to improve forest health, reduce wildfire risks, and boost rural economies.
The Wood Innovations Grant program, administered by the U.S. Department of Agriculture (USDA) Forest Service, aims to stimulate and support the development of wood products and wood energy markets across the United States. The program’s long-standing mission is to promote innovative uses of domestically sourced wood, particularly from National Forest System lands, to improve forest health, reduce wildfire risk, and invigorate rural economies. The FY26 funding cycle is supported by annual appropriations as well as funding from the Infrastructure Investment and Jobs Act (IIJA), with a total program funding pool of up to $30 million. The program underscores the federal government’s commitment to active forest management, renewable energy expansion, and bolstering the domestic wood product industry. This opportunity prioritizes projects that create or expand markets for wood and biomass derived from hazardous fuel reduction efforts and other forest restoration activities. Proposals should demonstrate direct benefits to forest management objectives, such as reduced costs of forest maintenance or increased efficiency in the use of woody biomass. Preferred projects may involve the development of mass timber products, stationary wood energy systems, or innovative uses of forest residues. Projects that engage with commercial building markets, industrial users, or forest products manufacturers are especially encouraged, particularly those that increase the use of domestically sourced timber. Eligible applicants include a wide range of entities, such as for-profit businesses, state and local governments, tribal entities, non-profit organizations, institutions of higher education, and special district governments. All applicants must provide a one-to-one match of non-federal funds—either cash or in-kind—to qualify. Matching funds must be directly tied to the project and documented through formal letters of commitment. The funding ceiling for most projects is $300,000, although projects involving stationary wood energy systems rated above 5 megawatts in thermal output may be eligible for up to $1 million if they meet specified efficiency criteria. Exceptions require pre-approval and submission of technical documentation regarding energy conversion efficiency. Projects must be submitted via Grants.gov by April 22, 2026, at 11:59 PM EST. No late, emailed, or mailed submissions will be accepted. Required submission components include the SF-424 and SF-424A forms, the Wood Innovations Application Form (FS-1500-0050), and supporting appendices including budget justifications, letters of support, and any documentation relevant to matching contributions or energy systems (if applicable). All submissions must also include a SAM.gov registration and a matching Grants.gov account. Applicants are strongly encouraged to consult with a USDA Forest Service Regional Wood Innovations Coordinator during the application development process. Proposals are reviewed on the basis of alignment with program goals, clarity of the project description, potential impact on wood markets and job creation, qualifications of project personnel, and past performance. Specific evaluation criteria assign up to 100 total points, including points for clearly articulated goals, measurable outcomes, and use of additional leveraged funds. The anticipated award announcement date is June 2026, and selected projects may be awarded funding for periods up to five years, depending on complexity. This grant opportunity is annual and recurring. While the next cycle has not yet been officially announced, applicants should anticipate a similar timeline in 2027. Applicants are advised to monitor the program website and SAM.gov for updates. Past awards and additional resources are available on the Wood Innovations Grant page, offering examples of successful projects. Contact information for USDA Wood Innovations Coordinators and helpful guidance for both SAM.gov and Grants.gov registration processes is provided in the full Notice of Funding Opportunity.
Award Range
Not specified - $1,000,000
Total Program Funding
$30,000,000
Number of Awards
100
Matching Requirement
Yes - 1:1
Additional Details
Funding is primarily cost-reimbursement with a standard cap of $300,000; exceptions allow up to $1M for wood energy systems over 5 MW. Indirect cost recovery is allowed with NICRA or de minimis 15%. Awards are typically for 2–5 years.
Eligible Applicants
Additional Requirements
Eligible applicants include for-profit organizations, nonprofits, state and local governments, tribal entities, institutions of higher education (public and private), and special district governments. Individuals are not eligible. All applicants must provide a non-federal 1:1 match in either cash or in-kind contributions.
Geographic Eligibility
All
Applicants are strongly encouraged to engage with USDA Regional Coordinators for feedback on competitiveness; proposals should clearly link to program goals and include match documentation; no benefit is given for exceeding 1:1 match.
Application Opens
February 18, 2026
Application Closes
April 22, 2026
Grantor
U.S. Department of Agriculture (Forest Service)
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