2014 Request for Applications: Food Hub Development Grants
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1 Food Hub Development Grant Program: Strengthening Small-Scale Sustainable Farming and Local Food Systems by Accelerating Food Hub Development 2014 Request for Applications: Food Hub Development Grants Application Deadline: March 30, 2014 by 5:00 pm EST Wallace Center at Winrock International
2 Table of Contents Available Funding... 2 Program Overview and Award Purpose... 2 Eligibility... 3 Definitions... 4 Funding Restrictions: What We Will Not Fund... 4 Timeline and Award Process : Request for Applications Released : Applicants Prepare and Submit a Full Application : Application Review : Notification : Grantee Awards Negotiated & Initial Funds Dispersed... 5 How to Submit... 5 Proposal Review Criteria... 6 Grant Writing Tools... 6 Contact Information... 6 Wallace Center at Winrock International... 7 Walmart Foundation... 7 Attachment A: Application Instructions and Template... 8 General Guidelines... 8 Formatting Requirements... 9 Application Tips... 9 Application Template
3 Available Funding REQUEST FOR APPLICATIONS The Wallace Center at Winrock International seeks applications from food hubs for the Food Hub Development Grant program, funded by Walmart Foundation. Grants are expected to range between $10,000 and $75,000 for 12 month projects. The Wallace Center intends to award approximately grants in total. The Wallace Center reserves the right to fund any, a portion of, or none of the applications received. The Wallace Center defines a food hub as a business or organization that actively manages the aggregation, distribution, and marketing of source-identified food products primarily from local and regional producers to strengthen their ability to satisfy wholesale, retail, and institutional demand. Businesses that fit this definition are eligible to submit an application. Eligible food hubs must demonstrate that they are working with a diversity of small farms, including farms at various levels of sustainable production with a focus on fruit and vegetable products, and have developed strategies to increase the gender and ethnic diversity of the producers they source from. Hubs must have clearly identified needs for financial support for key equipment, services or operations that will remove barriers to impact and growth. To learn if your business or organization fits within Wallace s definition of a food hub and is listed as a food hub in our national food hub directory, please visit the National Good Food Networks (NGFN) Food Hub Resource page ( and scroll down to the U.S. Food Hubs Full List. If your business or organization is not listed as a food hub but you feel it should be, please let us know by filling out a short survey here: If you would like to join the NGFN Food Hub Community of Practice and engage with other food hubs in an on-going peer to peer learning community and be made aware of future of opportunities, sign up here: Program Overview and Award Purpose Consumer demand for sustainably grown local and regional agricultural products offers unprecedented opportunity not only for greater financial viability of small and mid-size independent family farms, but also for stronger environmental performance in the farm sector and increased rural economic development. Increasingly, small farmers work with a growing number of enterprises that employ cooperative aggregation, distribution, and marketing strategies often referred to as food hubs. A regional food hub is a business or organization that actively manages the aggregation, distribution, and marketing of source-identified food products primarily from local and regional producers to strengthen their ability to satisfy wholesale, retail, and institutional demand. Food hubs make it possible for small and mid-size farms to gain entry into larger-volume markets that have been difficult or impossible for producers to access on their own. Not only do they provide the conduit to markets they work with, farmers build their skill and capacity for being productive and viable. However, the majority of hubs have been in operation less than six years and face myriad challenges 2
4 including managing growth, developing financial and business acumen, accessing capital, meeting regulatory requirements, and finding scale-appropriate information technology (IT) solutions. They also need business development assistance, access to infrastructure, and stronger product supply from farms. The objective of the Food Hub Development Grant program is to build food hubs capacity to overcome current challenges and position them for long-term success. Because the food hub model is unfamiliar to most lenders and investors, and because the majority of hubs are in an early stage of development, many struggle with access to capital. Yet capital coupled with technical business assistance is often what is needed to remove barriers to growth. Capital can finance simple equipment needs (e.g., trucks, packing lines, walk-in coolers, pallet jacks) as well as system needs (e.g., product-tracking software, staff training, and basic business systems) that can improve hub operations and help refine and/or scale the operation and improving the financial viability. Coupled with capital, Wallace Center will offer intensive capacity building and technical assistance that will benefit not only hubs but also the farms they source from. The program s top five intended outcomes are: 1. Increased small and mid-scale producer capacity and access to direct, intermediate, institutional, and retail markets 2. Increased food hub financial viability and operating efficiencies 3. Increased adoption of sustainable farming practices 4. Increased access to fresh healthy food in target communities 5. Increased knowledge of successful food hub strategies, challenges, and best practices This program is made possible with funding from the Walmart Foundation. Eligibility Businesses that fit within the stated definition of a food hub are eligible to submit an application. A food hub is defined as a business or organization that actively manages the aggregation, distribution, and marketing of source-identified food products primarily from local and regional producers to strengthen their ability to satisfy wholesale, retail, and institutional demand. The main selection criteria for grantees will be: Operating food hubs that are primarily in the development stage. Such hubs will typically have been in operation for two or more years and source from multiple suppliers. Hubs must have clearly identified needs for financial support and justification as to how funds will help the food hub overcome stated bottlenecks in operations, markets, or supply chain. Hubs that demonstrate they are working with a diverse group of small farms, including farms at various levels of sustainable production and have developed strategies to increase gender and ethnic diversity. 3
5 Hubs that are willing to report on impact metrics that help us evaluate grant-making strategies. Preference will be given to food hubs that work with farmers emphasizing sustainable production practices, however, the Center will not limit the awards to only those hubs working with producers utilizing sustainable practices. This grant program is available to both nonprofit and for-profit organizations. Only one application per organization will be allowed. Multiple submissions from the same organization (even where applications propose different concepts or are for different grant types) will be disqualified. Definitions Food Hub: A regional food hub is a business or organization that actively manages the aggregation, distribution, and marketing or source-identified food products primarily from local and regional producers to strengthen their ability to satisfy wholesale, retail, and institutional demand. Sustainable Agriculture: The term ''sustainable agriculture'' means an integrated system of plant and/or animal production practices having a site-specific application that will over the long-term: Enhance environmental quality and the natural resource base upon which the agricultural economy depends. Make the most efficient use of nonrenewable resources and on-farm resources and integrate, where appropriate, natural biological cycles and controls. Sustain the economic viability of farm operations. Enhance the quality of life for farmers and society as a whole. Funding Restrictions: What We Will Not Fund This program will not support projects that have significant components of the following: Individuals: Individuals are not eligible for grants. Food Policy or Advocacy: While we believe that our collective grantee pool will ultimately have a positive effect on food policy, this program will not directly fund food policy activities. Direct Food Donations: This program will not fund direct food donation projects. Community Gardens: Community gardens with a main mission of community development or nutrition education, and that have a harvest primarily for self-use (i.e., not for sale) are not eligible. Timeline and Award Process Figure 1: Anticipated Timeline for 2014 Request for Applications - February April Request for Applications (RFA) released and disseminated Applicants prepare and submit applications Review applications and select grantees Selected grantees notified Grantees awarded contracts Grant period April March 2015 Applications due March 30 by 5 pm Eastern time Grantees selected in mid-april Initial grant funds dispersed late-april 4
6 1: Request for Applications Released With the release of this RFA the application period is open. Applications are due by March 30, 2014 by 5 pm Eastern time. The Wallace Center will host a technical assistance webinar for potential applicants on March 5, 2014 from 3:30 to 4:30 pm Eastern time, to provide an overview of the program and RFP, review the application process, and respond to applicant questions. Webinar Information: Register for the webinar here: If you are not available for this webinar, please submit questions in advance to foodhubdev@winrock.org The webinar, along with submitted questions and answers, will be posted on our website: 2: Applicants Prepare and Submit a Full Application Applicants have four weeks to submit a full application in response to the RFA. The application template with instructions is in Attachment A, and is also available to download at Applications are due by 5 pm Eastern time on Sunday, March 30, 2014 (see How to Submit section below). 3: Application Review Applications will be evaluated in April The Wallace Center may contact you for additional information or request a site visit while reviewing applications. 4: Notification Selected grantees will be contacted by in mid- to late-april to begin the grant process. Selected grantees should be ready to work with the Wallace Center to provide the appropriate contractual documentation upon request. All applicants will be contacted regarding their status by late April. 5: Grantee Awards Negotiated & Initial Funds Dispersed The Wallace Center s intention is to have grantee award documents negotiated, finalized and early payments dispersed by late-april How to Submit Applications must be submitted by to foodhubdev@winrock.org by 5 pm Eastern time on Sunday, March 30, The Wallace Center will notification that your application was received. If you do not have access to the internet or cannot submit an application online for whatever reason, please call to request permission to submit a paper application. We prefer electronic application submissions, but we will accommodate any requests for a paper application. Paper applications must be postmarked by Saturday, March 29, Please include a phone number with paper applications the Wallace Center will call to confirm receipt. Late applications will NOT be reviewed. 5
7 Proposal Review Criteria Grants will be made to applicants that directly address the goals and objectives of the project, as outlined in previous sections of this RFA. Strong consideration will be given to applicants who demonstrate the following: Overcome bottlenecks and barriers to Hub financial viability which lead to better outcomes for small and mid-scale farmers; (40 points) Build strong local and regional food supply through successful hubs: the degree to which the work will develop market opportunities for small and medium-sized farmers; (20 points) Hubs that demonstrate they are working with a diverse group of small farms, including farms at various levels of sustainable production and have developed strategies to increase gender and ethnic diversity; preference will be given to food hubs that work with farmers emphasizing sustainable production practices; (20 points) Plans for achieving economic viability of the food hub and continuity of impact; (10 points) Commitment to transparency, reporting, sharing data and learning and willingness to participate in the 2 nd Food Hub Benchmark Study. (10 points) See previous sections on Eligibility and What We Do not Fund for additional information. Grant Writing Tools Below are a few resources which may be helpful to applicants in preparing their application. The Foundation Center: Proposal Writing Short Course, Catalog of Federal Domestic Assistance (CFDA): Writing Grants, Corporation for Public Broadcasting: Grant Proposal Writing Tips, Contact Information Program Website: foodhubdev@winrock.org Phone: Mailing Address: Attn: Food Hub Development Grant Program The Wallace Center Winrock International 2121 Crystal Drive, Suite 500 Arlington, VA Feel free to contact us with questions or clarifications about the program or RFA process. All questions will be incorporated into an FAQ and posted online at 6
8 Wallace Center at Winrock International Winrock International is a nonprofit organization that works with people in the United States and around the world to empower the disadvantaged, increase economic opportunity, and sustain natural resources. The Wallace Center, a program unit of Winrock International, is a leader in developing market-based solutions that link more people and more diverse communities to good food food that is healthy, green, fair, and affordable. Since 1983, the Wallace Center at has been a prominent organization in fostering a more sustainable food and agricultural system in the United States, demonstrating a long-standing commitment to increasing opportunity for historically underserved populations in both urban and rural areas. Wallace supports entrepreneurs and communities as they build a new, 21st century food system that is healthier for people, the environment, and the economy. The Wallace Center actively advances regional collaborative efforts that assist community based partners in developing value chains that move beyond direct-marketing into larger scale markets. Wallace s programs invest in collaborative efforts for growers and their partners along the value chain to scale up production, aggregation, processing, and marketing of good food to more substantial wholesale channels. Walmart Foundation The Food Hub Development program is funded by the Walmart Foundation. The Walmart Foundation strives to provide opportunities that improve the lives of individuals in their communities including their customers and associates. Through financial contributions, in-kind donations and volunteerism, the Walmart Foundation supports initiatives focused on enhancing opportunities in their four main focus areas: Education, Workforce Development / Economic Opportunity, Environmental Sustainability, and Health and Wellness. In all of the Walmart Foundation s giving efforts, they strive to meet the unmet needs of underserved populations and support organizations that give individuals access to a better life. The Walmart Foundation believes in operating globally and giving back locally. 7
9 Attachment A: Application Instructions and Template Please review these instructions in their entirety before beginning to draft your application. There are five parts to the application, including the cover page: COVER PAGE SECTION I: Application Narrative (5 page maximum) A. Statement of Purpose and Justification of Need B. Approach and Business Model C. Objectives, Activities, and Impacts D. Organizational Capacity and Management Experience E. Collaboration Approach and Collaborators F. Capturing Knowledge, and Serving as a Model SECTION II: Cost Application (no page limit) A. Detailed Budget (template provided) B. Budget Narrative SECTION III: Required Documentation (no page limit) A. Letter of Commitment (from the applicant/organization) B. Letters of Support C. Proof of Legal business/organization Status (if applicable) D. Business/Professional References SECTION IV: Appendix with Supplementary Information (optional) (two document maximum) Submit your complete application in either Microsoft Word or PDF format and send by to foodhubdev@winrock.org. You will receive a confirmation when successfully submitted. General Guidelines Be very specific in telling us how what you are proposing and the funds you are requesting will address the goals/objectives of this program (see page 4). Tell us exactly what you want to do, why this is critical for the hub at this time, and how funding will be used. Demonstrate your explicit connection to the food hub and farmers you propose working with. Briefly describe the values based supply chain you are operating within, identify the other players (e.g., suppliers, buyers, distributors, processors, NGO partners, TA providers, etc.), and explain the working relationship between them. Applications should clearly demonstrate the ability to document results and impacts, and to report lessons learned. Follow the instructions, including formatting guidelines and page limits. Proof and edit your document for spelling and grammar errors. Submit your application on time! Late applications will not be reviewed. 8
10 We have provided a template for you to prepare your full application (Attachment A). Please use the full application template and follow the directions provided here. Formatting Requirements Format Font Margins Page Limits Requirement Times New Roman, 12-point font should be used for the narrative. Times New Roman and/or Arial 10-point font are acceptable for charts, tables, and Section II: Cost Application. Minimum of 1 inch margins for all sides. Section I: Application Narrative should not exceed 5 pages, single spaced lines. Illustrative graphics (e.g., photographs, aerial site maps), tables, and charts may be included in the narrative, but must not exceed the 5-page limit. Graphics, tables, and charts may also be included in Section V: Optional Appendix (two document maximum). There are no page limits for the other sections. Consider including additional items such as a business plan, market analysis, organizational chart, or other materials that would be useful for the reviewers. We suggest that you be as brief as possible; submitting more information than needed is not recommended. NOTE: Due to the volume of applications anticipated, please adhere to the page limits and formatting requirements. Application Tips The Wallace Center will host a technical assistance webinar for potential applicants on March 5th from 3:30 to 4:30 pm Eastern time, to provide an overview of the program and RFA, review the application process, and respond to applicant questions. Register for the webinar here: 9
11 Application Template Applications must use the following template. Please replace questions and instructions with your answers. Application Cover Page Applicant Organization / Company Information * Name (Food Hub): * Address line 1: Address line 2: * City: * State: * Zip code: Website (if applicable): * Organization type (check one that best fits your organization): For-profit commercial business, enterprise or cooperative Non-profit organization Public entity or agency Faith-based institution Other: Primary Contact Person for this Application * Name: * * Phone number: * Fax number: Grant Information * Proposal title: * Total amount requested (not to exceed $75,000): $.00 * Primary location (list all states that apply): In one or two sentences, state the strategy the Hub will employ to remove barriers for greater Hub impact and viability: 10
12 Section I: Application Narrative A. Statement of Purpose Concise and coherent vision and purpose of the proposed work. State total grant amount requested. B. Approach and Business Model Describe the bottlenecks, gaps, or barriers in your local/regional food system, and how you plan to address these. Briefly describe the values based supply chain you are operating within, identify the other players (e.g., suppliers, buyers, distributors, processors, NGO partners, TA providers, etc.), and explain the working relationship between them. Describe the food hub, the farmers/farmer groups, and the market(s) you will work with or target for their increased participation. Provide a description of the operating and business model of the food hub so we get a sense of its approach to aggregation, distribution and markets. C. Objectives, Activities, and Impacts Describe what you are proposing to achieve (objectives) and how will you do it (activities). Describe how your objectives and activities will collectively contribute to the success of the proposed work. Describe how your objectives fit with the goals of the Food Hub Development Program. List your objectives using the table below. (Please reproduce the rows as necessary so that you can include all of your objectives, activities, and outcomes/impacts.) Within each objective, provide detail on approximate time frame (e.g., first 3 months of project ), what types of activities are to occur, and the anticipated outcomes, products, deliverables and/or impacts. Be as quantitative as possible about anticipated outcomes, products, deliverables and/or impacts. Objectives do not have to be linear in time; some may be concurrent. Objective 1 Insert Objective 1 here Time frame Start date to end date (# of months) Activities Insert activity A Insert activity B Insert activity C Outcomes / Insert outcome and/or impact 1 Impacts Insert outcome and/or impact 2 Objective 2 Insert Objective 2 here Time frame Start date to end date (# of months) Activities Insert activity A Insert activity B Insert activity C Outcomes / Impacts Insert outcome and/or impact 1 Insert outcome and/or impact 2 Insert Objective 3 here Start date to end date (# of months) Objective 3 Time frame Activities Insert activity A
13 Outcomes / Impacts Insert activity B Insert activity C Insert outcome and/or impact 1 Insert outcome and/or impact 2 D. Organizational Capacity and Management Experience Describe the Hub s capacity to carry out the proposed work and proposal lead s specific management experience. Bi-annual reporting will be required for fund disbursement. Please describe the Hub s willingness and abilities to report on progress. Staff bios or roles and responsibilities directly related to what is proposed are encouraged. E. Capturing Knowledge, and Serving as a Model Describe what you hope to learn from this work. Describe how lessons learned will be captured and shared with others looking to do the same. Indicate your willingness to work with the program evaluator to implement an evaluation plan that includes a set of metrics to be tracked over the course of the grant (e.g. number of farmers with increased capacity and participation in the local/regional produce markets, changes in revenue and expenses, volume of sales, meals served, etc.). Section II: Cost Application A. Detailed Budget Using the table below, please provide a detailed budget for your project. Please remember that grants cannot exceed $75,000 and are 12 months in length. If you do not have any costs associated with a particular line item, please enter $0 to clarify. Feel free to add line items or subheadings if it helps to clarify line items for the reviewers. No. Of Units Rate (% or $/unit) DIRECT COST (list each cost) $ $ $ 1. Salaries a. Budget Total b. 2. Fringe benefits a. 3. Travel costs a. 4. Consultant Services a. 12
14 5. Subawards/contractual a. 6. Equipment a. 7. Other direct costs a. Materials & supplies b. Publication costs c. Alterations/Renovations d. Meeting expenses e. Other 8. TOTAL FUNDS REQUESTED FROM WALLACE CENTER $ $ $ 9. Matching funds or in-kind resources (not required) 10. Total estimated proposal budget (sum line 8 and line 9) B. Budget Narrative Include a written description of your detailed budget for each requested line item and how that item will be used in the project. 1. Salaries: List all names of personnel in the budget table. In the budget narrative, list each person s title (e.g., proposal director, farmer, food hub manager, etc.), role, and cost of their salaries and/or wages. Requested salaries should be based as a percentage of the annual compensation (e.g., Ms. Smith, Production Manager, earns $35,000 annually, and her role in this proposal is estimated to be 10% of her time. We request $3,500 to be paid for by the Wallace Center ). Please include any personnel who will be contributing to the enterprise, but not requesting salary to be paid for by the Wallace Center (e.g., Mr. Lewis, Proposal Assistant, will contribute his time to the proposed work with the activities listed in Objective 1, but his salary will be paid for by other sources ). 2. Fringe benefits: Total amount of benefits (including health insurance, FICA, retirement insurance, etc.) for personnel staff to be paid from this grant. Please list them separately as appropriate. 3. Travel: Travel costs associated with the application. Indicate the purpose, destination, number of individuals for each trip, and total estimated number of trips. 13
15 4. Consultant services: A consultant is someone who renders expert advice in his/her field. If your proposal requires consultants, include the name of the consultant (if known at this time), his/her organization and a short description of his/her role. 5. Subawards/collaborators/contractual: If a portion of the work proposed will be performed by outside sources or organizations (i.e., not individuals who will be serving as consultants), describe in your budget narrative the name of the subcontractor (if known) and a short description of the work to be conducted. 6. Equipment: Equipment purchases are defined as having an expected service life of more than one year and an acquisition cost of $5,000 or more. List all equipment requested and provide specifications and justification for each. Purchases of less than $5,000 may be listed under Other direct costs Materials and supplies. Items such as passenger carrying vehicles will require a lease vs. purchase cost analysis prior to approval, once grantee is selected. 7. Other direct costs a. Materials and supplies: Indicate general categories such as packaging and marketing materials, including an amount for each category. Categories less than $500 are not required to be itemized. b. Publication costs: Funds for costs of documenting, preparing, publishing, or otherwise making available to others the findings and products for the work conducted under the award. c. Alterations and renovations: Itemize by category and justify the costs of alterations and renovations including repairs, painting, removal or installation of partitions, shielding, or air conditioning. Where applicable, provide the square footage and costs. d. Meeting Expenses: Funds for costs of hosting trainings, meetings, including costs for meeting space, meeting materials, and modest refreshments. e. Other: Describe other direct costs not requested above. 8. Total funds requested from Wallace Center: Sum of lines 1 through Matching funds or in-kind resources (optional): Additional or matching funds are not required. However, if you are providing matching funds or in-kind resources that will be used over the course of the requested grant period and have already secured them, please report this in the budget table line 9 and describe those funds in the budget narrative. The value of in-kind resources should be reasonably estimated and described here. If you anticipate providing matching funds or in-kind resources but have not yet secured them, please do not include them in the budget table, but do describe in the budget narrative. If you need help understanding what counts as matching or in-kind resources contact us. 10. Total estimated proposal budget: Sum of lines 8 and 9. 14
16 Section III: Required Documentation A. Letter of Commitment from the Applicant Organization A letter from the applicant organization signed by an authorized representative (whether that be the president or owner of the business, or an authorized contract and grant officer of the organization). The letter must include a statement of commitment of the organization s willingness to conduct the proposed work if awarded, as well as a statement agreeing to comply with Winrock International on reporting and evaluation requirements. B. Letters of Support (required if working with collaborators) Please include any letters of support from your collaborators, meaning those businesses/organizations who will directly contribute to the implementation and success of the proposed enterprise. Each letter of support should be written by the collaborating business/organizations and should describe their role and which resources they are providing to the project, and why they feel the proposal will succeed. We prefer the letters of support to be included with the submission of your application. C. Proof of Legal Business/ Organization Status Please include proof of legal business/organization status (e.g. LLC, corporation, 501(c)(3), 501(c)(5), etc.) if applicable. Section IV: Optional Appendix Please include any additional items such as a business plan, market analysis, organizational chart, or other materials in this section. Include up to two documents. We suggest that you be as brief as possible; submitting more information than needed is not recommended. 15
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