Rural Community Development Initiative (RCDI)

The Rural Housing Service (RHS), part of the United States Department of Agriculture's (USDA) Rural Development (RD) agency, is accepting applications for the Fiscal Year (FY) 2025 Rural Community Development Initiative (RCDI) program. This initiative, first authorized by Congress in 1999, provides funding to intermediary organizations to deliver financial and technical assistance to nonprofit community-based housing and development organizations, low-income rural communities, and federally recognized Tribes. The primary goal of RCDI is to build the capacity of these recipients to implement housing, community facilities, and economic development projects that support rural community revitalization. Approximately $5 million is available for awards in FY 2025. Grants will range from $50,000 to $500,000 per intermediary, and applicants must provide matching funds equal to the grant amount. The funding must be used to deliver technical assistance to build the recipient’s ability to support sustainable community initiatives. Funds can be used for activities such as leadership development training, establishing revolving loan fund procedures, preparing strategic plans, expanding access to alternative funding, and enhancing recipient organizational capacity through staff training or technology purchases up to $10,000. Funds cannot be used for construction, revolving loan funding, direct grants to individuals, or activities that pose conflicts of interest. Eligible applicants include qualified private, nonprofit, and public (including Tribal) intermediary organizations that have been legally organized for at least three years and have demonstrated experience in delivering financial and technical assistance to eligible recipients. Applicants must also be free from any federal debts or debarment and must submit documentation verifying eligibility, matching funds, and recipient details. Recipients must be located in eligible rural areas where the population is below 50,000 and meet income criteria. Individuals are not eligible as recipients. Applications must be submitted by August 7, 2025, for electronic submissions via Grants.gov and by August 12, 2025, for paper submissions to the appropriate USDA Rural Development State Office. Applications must include a comprehensive set of documents such as a one-page project overview, detailed budget and timeline, eligibility documentation for recipients, and certifications. Applications will be evaluated competitively based on criteria including capacity building, soundness of approach, population and income of target areas, and potential merit-based points awarded by state directors and the USDA Administrator. Award notifications are expected by September 30, 2025. Funds must be expended within three years from the award date, and grant performance will be tracked through quarterly and final financial and performance reporting. Successful applicants will need to execute the standard RCDI Grant Agreement and adhere to federal reporting, civil rights, and recordkeeping requirements. For questions or further assistance, applicants may contact Janelle Gustafson at (406) 585-2508 or by email at janelle.gustafson@usda.gov. Additional guidance and application packages can be accessed through Grants.gov or by contacting the Rural Development State Office in the applicant’s headquarters state.

Technical assistance is available before deadline; ensure matching funds and recipient documentation are complete to avoid ineligibility