N.C. Value-Added Cost Share
Introduction to the N.C. Value-Added Cost Share Program
NCVACS Overview Presentation (PDF)
N.C. MarketReady administers the North Carolina Value-Added Cost Share Program (NCVACS). Initially f unded by the N.C. Tobacco Trust Fund Commission at $1.2 million for 2008-2011, the primary objective of NCVACS wa s to complement the USDA Value-Added Producer Grant (VAPG) by offsetting the expenses associated with the VAPG by approximately 50 percent, including professional grant writing, feasibility assessment and equipment purchases. In August 2010, additional funding was made available from the N.C. Rural Economic Development Center and the N.C. Tobacco Trust Fund Commission to expand the Equipment cost share program to include processors of value-added products derived from North Carolina agricultural crops.
Like the VAPG, NCVACS is designed for independent producers of agricultural commodities, agricultural producer groups, farmer and rancher cooperatives and majority-controlled producer-based business ventures. In the fall of 2009 and summer of 2010, NCVACS awarded cost share funding for value-added enterprises through a competitive application process for the following award categories:
- VAPG Grant Writing ($3,500) for professional grant writing assistance for Planning VAPG or Working Capital VAPG applications.
- Enterprise Feasibility Assessment ($20,000) to prepare the required supplemental documents for a Working Capital VAPG request.
NOTE: USDA requires a third-party, independent feasibility assessment for all Working Capital VAPG requests. Cost share applicants who do not have the required documents for Working Capital VAPG should consider this cost share option or choose to apply for the Planning VAPG.
- USDA Matching Funds Assistance (up to $10,000) to VAPG recipients to leverage the producer’s funding requirements.
A third cycle of funding is now open for eligible applicants interested in pursuing a USDA-VAPG. This cycle will be open until funding is exhausted. Prior to applying, contact Brittany Whitmire, NCVACS program coordinator, to confirm eligibility and funding availability.
In the spring of 2010 , NCVACS awarded cost share funding for value-added enterprises through a competitive application process for the following award:
- Equipment Cost Share to supplement equipment costs directly tied to the processing and production of value-added agricultural products.
With the expansion of the Equipment cost share program in August 2010, a second cycle of funding has been extended to accept applications from producers and processors through December 31, 2010.
Value-added refers to the incremental value realized by the producer from an agricultural commodity or product as the result of:
- A change in the physical state
- Differentiated production
- Physical product segregation
- Production of farm- or ranch-based renewable energy
- Aggregation and marketing of locally produced agricultural food products
For more information on the VAPG, visit http://www.rurdev.usda.gov/nc/vapg.htm or contact Neal Sherrod at 919-873-2043 or neal.sherrod@nc.usda.gov.
For more information on the N.C. Value-Added Cost Share Program, visit http://www.ncmarketready.org or contact Brittany Whitmire at 919-830-9557 or brittany_whitmire@ncsu.edu.
