FISCAL YEAR 2006 - Notice of Funds Availability Inviting Applications for Innovative Ways To Enhance the Economic Viability of Underserved and Limited-Resource Farmers and Ranchers

Catalog of Federal Domestic Assistance Number and Program:

10.443 Outreach and Assistance for Socially Disadvantaged Farmers and Ranchers.

This is a request by the Farm Service Agency (FSA) for proposals for applications for cooperative agreements for FY 2006 to help underserved and limited resource farmers and ranchers become more efficient operators and more economically viable. FY 2005 funding for similar cooperative agreements was $2 million. This notice is being issued prior to passage of a final Department of Agriculture Appropriations Bill to allow applicants sufficient time to prepare and submit proposals and give FSA sufficient time to process applications within FY 2006. An additional Notice of Funding Availability will be published announcing the funding level for FY 2006 once an appropriations act has been enacted. FSA requests proposals from eligible 501(c)(3) nonprofit organizations, land grant institutions, including Tuskegee University, State governments, and Federally-Recognized Indian Tribal Governments, interested in competitively awarded cooperative agreements, to demonstrate innovative and unique approaches to equip underserved and limited-resource farmers and ranchers, including beginning farmers and ranchers, to become more efficient and economically viable.

Proposals should demonstrate innovative and unique ways to help underserved and limited-resource farmers and ranchers improve their economic viability through training, technical assistance, improved farming practices, and more effective marketing approaches.

Underserved and limited-resource farmers and ranchers have different challenges to economic viability due to location, educational assets, age, and landownership. The need to properly address these challenges through education, training, technical assistance and the most creative ways of outreach is critical to the continued existence of the small farm.

People in, or entering into, farming have an array of backgrounds and varied levels of current farm and farm business experience and knowledge. More and more qualified alien immigrants are entering American farming. Often, they are unfamiliar with productive marketing practices, acquisition of land, government assistance, and crop and animal production diversity.

While there are no significant legal obstacles to becoming a farmer in the United States, many barriers to successful farming exist. Among those barriers are (1) increasing capital expenses, (2) progressive managerial requirements, and (3) competition with large-scale producers.

Among limited-resource farmers, a subgroup, the underserved farmer, faces even more barriers to achieving success. In recognition of the dynamic needs of limited-resource and underserved farmers, FSA solicits proposals for innovative approaches to assisting the diverse limited-resource and underserved farm community.

Applications should be submitted as soon as possible, but no later than 5 p.m. eastern time, December 19, 2005. Applications received after that date will not be accepted and will be returned to the applicant. Applicants must ensure that the service they use to deliver their applications can do so by the deadline. Due to security concerns, packages sent to the Agency by mail have been delayed several days or even weeks.

This solicitation is issued pursuant to 7 U.S.C. 2204b(b)(4) authorizing the Secretary of Agriculture to enter into cooperative agreements to improve the coordination and effectiveness of Federal programs affecting rural areas. The primary objective of this solicitation for cooperative agreements is to assist limited-resource and underserved farmers and ranchers to become economically viable. Thousands of rural residents have chosen or will choose to farm but lack the essential skills and resources to acquire and maintain economic viability. Therefore, FSA will provide financial assistance via cooperative agreements to increase opportunities of the most needy limited resource and underserved farmers and ranchers to achieve economic viability as the result of increased technical assistance and training. FSA is publishing this NOFA prior to passage of a final appropriations act to give applicants time to complete their applications and to provide the Agency sufficient time to select and process the selected applications within the current fiscal year. Cooperative agreements will only be awarded if the project is determined to be economically viable and technically feasible. Also, the cooperative agreements in this solicitation are subject to the availability of adequate funding and may not be awarded if funds are not appropriated to the agency that may be used for this purpose, or budgetary authority for this program is otherwise revoked or not available.

Eight to ten cooperative agreements are expected to be awarded; however, no agreements will be awarded if no submitted proposal meets the needs of the agency or the requirements of this notice. FSA anticipates approximately $3 million will be available to fund proposals in FY 2006. Awards are expected to average approximately $300,000. If lesser or no funds are made available to the agency for this purpose, fewer or no agreements may be awarded. Cooperative agreement funds may be used to cover allowable costs incurred by the recipient and approved by the Agency. Allowable costs will be governed by 7 CFR parts 3015, 3016, and 3019 and applicable Office of Management and Budget Circulars.

Applicants must be non-profit organizations, federally-recognized Indian Tribal Governments, or land grant institutions as defined in the ''Definitions'' section of this NOFA. Applications without sufficient information to determine their eligibility will not be considered.