Agricultural Innovation Grant

The Agricultural Innovation Grant (AIG) Program, administered by the Pennsylvania Department of Agriculture, is a pioneering initiative designed to bolster the Commonwealth’s agricultural sector through the strategic adoption of innovation. With funding allocated in the 2025–2026 state budget, the program builds on a foundational investment initiated under the Shapiro Administration, marking Pennsylvania as the first state in the nation to formally implement such a comprehensive agricultural innovation effort. The program’s primary objective is to support farmers, processors, and agricultural service providers in leveraging new technologies to improve efficiency, environmental stewardship, and profitability, ultimately contributing to a more resilient and sustainable agricultural economy in the state. This competitive reimbursement grant offers three distinct funding pathways: Planning Grants, On-Site Project Grants, and Regional Impact Grants. Planning Grants range from $7,500 to $50,000 and support strategic development for integrating innovative practices. On-Site Project Grants range from $5,000 to $200,000 and focus on implementing innovation at individual farms or facilities. Regional Impact Grants, which range from $100,000 to $2 million, fund collaborative efforts among multiple stakeholders aiming for broader agricultural improvements. All grant types require a non-state cash match—30% for Planning Grants and 50% for On-Site and Regional Impact Grants—with funds sourced from non-state, non-federal sources. Eligible applicants include individuals or cooperatives that grow or process agricultural commodities, as well as those providing conservation, engineering, veterinary, and other technical services to the agricultural sector. Applicants must demonstrate annual agricultural sales above $2,000 for producers or $10,000 for processors. Projects must be based in Pennsylvania and aligned with one or more of eight designated priority areas, which include enhancing energy efficiency, improving water quality, advancing biosecurity, and supporting the use of data analytics and cybersecurity in agriculture. Funded projects may encompass planning activities, new or refurbished equipment purchases, installation, and technical services. Allowable costs include precision agriculture tools, robotics, labor augmentation, and energy systems directly related to agricultural production. However, costs such as administrative overhead, wages, marketing, and utility bills are ineligible. Notably, projects involving cannabis, tobacco, alcohol processing, or those unrelated to Pennsylvania agriculture will be excluded. The grant application process involves several detailed steps via Pennsylvania’s Single Application for Assistance platform. Applicants must register for a Keystone Login, complete an online application, and upload key documents including a project narrative, detailed budget, timeline, letters of support, and an explanation of how the project aligns with AIG’s core principles—relevance, practicality, accessibility, scalability, and alignment with the triple bottom line. The evaluation process is merit-based, with points allocated across narrative quality, alignment with program goals, measurable metrics, budget accuracy, and project feasibility. Applications for the current cycle will be accepted from February 2, 2026, at 8:00 a.m. EST through April 18, 2026, at 11:59 p.m. EST. Following the submission deadline, applications will be reviewed between April 18 and May 1, 2026, with award notifications expected in May 2026. All awarded projects must be implemented within the contractual performance window, and all expenditures must occur within the grant period to be eligible for reimbursement. Contact information for inquiries includes Mike Roth, Director of Innovation, at [email protected] or 717-210-1217.

Align with priority areas and innovation principles. Be specific in metrics and outcomes.