Specialty Crop Block Grant Program 2025

The South Dakota Specialty Crop Block Grant Program (SCBGP) is administered by the South Dakota Department of Agriculture and Natural Resources (SD DANR) with funding from the United States Department of Agriculture (USDA) Agricultural Marketing Service (AMS). The purpose of the grant program is to enhance the competitiveness of specialty crops grown in South Dakota by supporting projects that increase specialty crop consumption, production, purchasing, market access, food safety knowledge, environmental sustainability, pest and disease control, seed variety development, and specialty crop research and development. This program is made possible through the Specialty Crops Competitiveness Act of 2004, as amended by the 2018 Farm Bill, which provides federal funding to state departments of agriculture.

For the 2025 grant cycle, up to $340,000 in funding is available. The maximum amount awarded per project is not capped, but projects under $75,000 are prioritized. In 2024, four projects received a total of $342,120.85, with an average award of $85,530.21. Funding is contingent upon the availability of federal funds from the USDA AMS. The period of performance for the 2025 SCBGP will be September 30, 2025 – September 29, 2028.

Eligible applicants include non-federal stakeholders in South Dakota’s specialty crop industry, such as state, local, and tribal governmental entities, nonprofit organizations, research institutions, institutions of higher education, for-profit businesses, and individual producers. However, projects that solely benefit a single entity, such as an individual producer or business, are ineligible. Projects must demonstrate significant benefits to the broader specialty crop industry in South Dakota and should include outreach plans to share findings with stakeholders. Multi-state or regional projects may be considered if the primary benefit is to South Dakota.

Project proposals must focus on at least one of the following priority outcomes:

Increasing access to specialty crops and expanding production and distribution
Increasing consumption and consumer purchasing of specialty crops
Improving environmental sustainability of specialty crops
Applicants must provide detailed budgets, including direct costs (such as personnel, supplies, and contractual services) and indirect costs (capped at 8% of the total budget). No cost-sharing or matching funds are required. Unallowable expenses include debt repayment, fundraising, lobbying, capital expenditures on general-purpose buildings or land, and marketing activities that give an unfair competitive advantage.

Applications must be submitted electronically by March 23, 2025, at 11:59 PM Central Time. Required submission materials include an application cover sheet, a project profile template (including a budget narrative), and a SAM.gov Unique Entity Identification (UEI) number. Proposals will undergo a panel review process based on criteria such as project purpose, impact, relevance to South Dakota priorities, budget justification, and sustainability. Selected projects will be included in the South Dakota State Plan, which will be submitted to USDA AMS in May 2025. Upon approval, successful applicants will enter into agreements with SD DANR, with funding announcements expected in Fall 2025.

Project awardees must submit annual performance reports and quarterly reimbursement reports throughout the grant period. Annual performance reports are due November 15 each year, and final reports must be submitted by November 15, 2028.

For more information or to submit an application, contact Timothy Schoonhoven, Policy Advisor, at timothy.schoonhoven@state.sd.us or call 605-773-6690.