The U.S. Department of Agriculture and its Rural Development office have been actively involved in providing significant financial support to rural and agricultural communities in Iowa. Through various programs and funding cycles, millions of dollars have been awarded in the past month alone. These funds are being utilized to drive clean energy projects, enhance community development, ensure safety, and strengthen the middle of the food supply chain.

Unleashing Rural Potential with USDA Rural Development

18.3 Million in Clean Energy Projects

Theresa Greenfield, the Iowa director for USDA Rural Development, announced the latest round of Rural Energy for America Program (REAP) funding on November 14th. A significant portion of the 195 funded projects focused on solar array installations, with one ethanol facility and several wind turbine projects also receiving support. REAP funding is available to rural small businesses and agricultural producers, enabling them to access clean energy.For instance, Bottlebrush Swine LLC in Hancock County received a $259,281 grant to install solar arrays at its operations near Garner and Ventura. This installation is expected to replace 96% of the operation's business energy use annually. Elite Octane LLC, an ethanol manufacturer in Atlantic, was awarded a $500,000 grant for a more efficient oil recovery system. This system is projected to save over 10 million kilowatt hours per year and approximately $913,582 annually for the company. Greg Popkes also won a $295,000 grant to install wind turbines on his pig and hog farms in Rock Rapids, George, and Sioux Center.All these projects funded under the REAP program showcase how rural communities in Iowa are embracing clean energy and fulfilling the promise of reliable, renewable energy. This announcement comes shortly after five more projects were awarded REAP funding in October. Since the program's inception, it has invested over $2.7 billion in rural energy projects across the country, with a substantial portion of the funding coming from the Inflation Reduction Act. The next deadlines for grant applications are December 31 and March 31, 2025.

Rural Development Community Funding

The USDA Rural Development program awarded $2.7 million towards 12 rural projects encompassing housing, small businesses, cooperatives, public safety, and community development. Theresa Greenfield announced the awarded funding and emphasized that the department is removing barriers to economic growth by advancing locally driven plans and projects.Allamakee-Clayton Electric Cooperative in Allamakee County received a $2 million loan to expand an existing feed mill. The Region XII Council of Governments in Audubon, Carroll, Crawford, Greene, and Sac counties received a $129,972 grant to revitalize 16 very low-income homes. This funding will eliminate health and safety hazards for the homeowners. The University of Northern Iowa received a $199,952 Rural Cooperative Development grant to provide technical assistance to employee-owned cooperatives supporting small businesses in rural Iowa.The City of Grant received nearly $47,000 in grant funding to purchase a grass-fire truck, and the City of Deloit received a $22,000 grant to purchase, install, and operate an outdoor warning siren, which the city had been lacking for several years. Other funding went towards updating the shared kitchen in the Community Foundation of Greater Muscatine's business incubator program and expanding a revolving loan fund for emerging businesses in the City of Hawarden. These two projects are expected to create 15 new jobs with grant amounts of $97,000 in Muscatine and $140,000 in Hawarden.

$5.2 Million to Food Supply Chain Projects

The Iowa Department of Agriculture and Land Stewardship announced an investment of more than $5.2 million in 24 Iowa projects through the USDA Resilient Food Systems Infrastructure (RFSI) grant program. Iowa Secretary of Agriculture Mike Naig stated that this funding would create more robust pathways for Iowa farmers and small businesses to bring their high-quality Iowa food and ag products to market.The awarded grants fell into two categories: infrastructure grants requiring a cost-share match and equipment grants requiring a 10% match from applicants. Four projects received infrastructure grants totaling more than $1.5 million. Two grants will assist Iowa Corn Processors in Glidden and Kalona Creamery in Kalona with purchasing and installing new equipment, enabling them to expand their processing capacities. NewBo City Market in Cedar Rapids received a $458,767 grant to add a second-floor processing kitchen and storage, which will be completed with the business incubator and event center's $780,000 in matching funds. Local Harvest CSA in Solon received a $100,000 grant to expand its frozen vegetable storage, enhancing its ability to serve schools.Twenty projects received grant funding for equipment ranging from $10,000 to $100,000. The winning applicants will use these funds to purchase delivery trucks, fruit washing equipment, refrigerators, freezers, bottling lines, canning lines, labeling equipment, a nutcracker, a butter processor for sweet cream, and other equipment related to the middle of the food chain. Nearly $1 million of the total funding was invested to increase the capacity and distribution of Iowa's wholesale food hubs by implementing new software, updating operating procedures, facilitating a supply chain coordinator, and hosting a summit to build relationships between local food buyers and producers.The press release stated that the IDALS received more than 60 eligible applicants for grants. Secretary Naig also announced on Monday that the department had opened applications for Choose Iowa Value-Added Grants, which will match local producers up to $25,000 to add processing or packaging to their operations.Iowa Capital Dispatch is part of States Newsroom, a network of news bureaus supported by grants and a coalition of donors as a 501c(3) public charity. Iowa Capital Dispatch maintains editorial independence. Contact Editor Kathie Obradovich for questions: info@iowacapitaldispatch.com. Follow Iowa Capital Dispatch on Facebook and Twitter.