$330 Million in USDA Support for Specialty Crops, Dairy Donations, and Low-Income Produce Incentives

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Apr 14, 2021

Tallahassee, Fla. — Yesterday, the U.S. Department of Agriculture announced the availability of more than $330 million to help agricultural producers and organizations in the food supply chain recover from the financial impacts of the COVID-19 pandemic. Part of the USDA’s Pandemic Assistance for Producers initiative launched in March, the funding includes $169.9 million for the Specialty Crop Block Grant Program (SCBGP) and $75 million for the Gus Schumacher Nutrition Incentive Program (GusNIP), which assists low-income consumers purchase fresh fruit and vegetables. USDA also informed dairy producers and processors about ongoing plans for the Dairy Donation Program (DDP). Agriculture Commissioner Nikki Fried applauded the availability of this funding and encouraged Florida producers to apply, if eligible.

Debt Relief for Socially Disadvantaged Farmers: It was also announced that the American Rescue Plan includes provisions for USDA to pay up to 120 percent of loan balances, as of January 1, 2021, for Farm Service Agency (FSA) loans for any socially disadvantaged agriculture producer with qualifying FSA loans. Additional information can be found at Farmers.gov/AmericanRescuePlan.

Florida Background: Growing over 300 seasonal commodities, Florida is known as the “Specialty Crop State” and leads the nation in production of oranges, grapefruit, cucumbers, bell peppers, watermelon, and snap beans, and ranks second in production of strawberries, tomatoes, sweet corn, avocados, tangerines, and cabbage, among other seasonal crops. Florida’s fruit, vegetable, and citrus crops all produce over $1 billion each in annual sales revenue, and together directly support 34,950 jobs. In the opening months of the COVID-19 pandemic, Florida’s specialty crop producers faced $522 million in estimated losses due to reduced demand and weakened economy.

“COVID-19 caused serious financial hardship for so many of Florida’s agriculture producers, especially our seasonal crop growers and dairy producers who struggled to get their products to consumers. At the same time, food insecurity has risen dramatically in Florida, with 3.5 million Floridians – 1 million of them children – facing chronic hunger. This new round of funding will provide still-needed relief for our proud growers, support our farmworkers and food businesses, and help our families afford healthy nutrition – all in a broad, equitable way,” said Commissioner Fried. “I thank the President and Secretary Vilsack for these resources that can really benefit hungry families and a huge part of Florida’s agriculture industry, and for supporting socially disadvantaged farmers as we fight this pandemic.”

Program details and deadlines are listed below.

Specialty Crop Block Grant Program: USDA’s Agricultural Marketing Service (AMS) is announcing $169.9 million for the Specialty Crop Block Grant Program (SCBGP) to fund innovative projects designed to support the expanding specialty crop food sector and explore new market opportunities for U.S. food and agricultural products. The total includes $72.9 million available as part of the annual Farm Bill funding for the program, and an additional $97 million available as emergency funding for applications under this solicitation, provided in the Consolidated Appropriations Act of 2021 due to COVID -19 impacts to the food system.

Grant project funding awarded as part of pandemic assistance can also go to organizations to assist farmworkers (e.g., for PPE and vaccination costs), projects to fund farmers, food businesses, and other relevant entities to respond to risks and supply chain disruption. The SCBGP funds are allocated to U.S. states and territories based on a formula that considers both specialty crop acreage and production value. Interested applicants should apply directly through their state departments of agriculture. A listing of state contacts is available on the USDA website. In Florida, contact Josh Johnson, Grant Manager, at (850) 617-7340 or .

Applications must be submitted electronically through www.grants.gov by 11:59 p.m. Eastern Time on June 11, 2021. Any grant application submitted after the due date will not be considered unless the applicant provides documentation of an extenuating circumstance that prevented their timely submission of the grant application. For more information about grant eligibility, visit the SCBGP website.

Fruits and Vegetables for Low-Income Consumers: Active Gus Schumacher Nutrition Incentive Program (GusNIP) and Food Insecurity Nutrition Incentive (FINI) grantees may request funding to allow them to address critical food and nutrition security needs of low-income communities, enhance the resilience of food and healthcare systems impacted by the pandemic, and maximize funds reaching participants in communities in need, through $75 million invested by USDA’s National Institute of Food and Agriculture (NIFA) as directed by the Consolidated Appropriations Act of 2021.

Eligibility to receive a GusCRR grant is limited to organizations with a current active GusNIP nutrition incentive grant, GusNIP produce prescription grant, or FINI grant that began prior to December 27, 2020. An eligible organization may submit only one GusCRR nutrition incentive grant application and one produce prescription application. NIFA will reach out directly to GusCRR eligible applicants with additional details and a copy of the Request for Applications (RFA).

Dairy Donations: The Dairy Donation Program (DDP) will facilitate the timely donation of dairy products to nonprofit organizations that distribute food to persons in need and prevent and minimize food waste. As the statute allows retroactive reimbursements of donations made before donation and distribution plans are approved, USDA provided advance notice of the minimum provisions to be included in the program, to encourage the dairy industry to process and donate surplus milk supplies as the spring surplus milk production season progresses. For more information, visit ams.usda.gov/notices.

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