Renew Rural America

100 Cow Outreach Program Enters 4th Cycle

The University of Nebraska College of Technical Agriculture's 100 Beef Cow Ownership Advantage Outreach Program in Curtis, Nebraska, is entering its 4th season. The 100 Cow Outreach Program is designed for adult students and includes 4 courses taught specifically for 100 cow participants. They are the:
  • Cow/Calf College
  • UNL Ranch Practicum
  • Farm and Ranch Management
  • UNL EDGE Course

The program starts with the Cow/Calf College taught in Curtis May 12-14, 2011. The total program is 8 months and about 2 days a month. At the completion of the program the participants have the latest research based beef cattle production information and the business skills to develop a business plan, partnership agreement and a low interest FSA loan application.

The annual Cow/Calf College presented by the University of Nebraska College of Technical Agriculture and the UNL West Central Research and Extension Center will be held at the NCTA Livestock Teaching Center. The Cow/Calf College provides participants with research based information that will increase profitability, provide herd management tools, and display the latest techniques in cattle handling, health and nutrition. Find out more about the annual Cow-Calf College here.

Dave Smith, Agriculture Production Systems Division Head, said, "I am very impressed that this program brings together 16 research and teaching faculty, veterinarians, and industry representatives. Day one of the college is dedicated to a systems approach to beef production and the 100 Beef Cow Outreach program, day two, to Herd Health and day three, low stress cattle handling. Participants can register for one day or all three depending on individual needs."

The morning of May 12 will be especially important to current ranch employees and others who want to begin the process of ranch ownership through NCTA's 100 Beef Cow Ownership Advantage Outreach Program. This four course hands-on program is designed for working adults and only requires 2 days a month for 8 months away from the ranch or other employment.

The Cow/Calf College is the first of the four courses. The other courses include the UNL West Central Ranch Practicum, a farm and ranch management course and the UNL EDGE course.

Weldon Sleight, NCTA Dean, says "This combination of courses allow our adult students to apply their current beef cattle knowledge and experience to new information and techniques important to beef cattle enterprise profitability. The EDGE program and the farm and ranch management courses help students build a business plan, partnership agreement and a low interest USDA Farm Service Agency loan application. This program is of vital importance for those wonderful ranch employees who want to one day own a ranch but don't know how to make it happen." Find out more about the 100 Cow Outreach Program here.

Each course is independent of the others should participants only want to take one course. For additional information, please visit the NCTA website at http://NCTA.unl.edu or contact Dave Smith at 308.367.5284 or Jan Price at 308.367.5293.

Grants Available for Small-Town Nebraska Libraries

Small-town public libraries will receive a helping hand thanks to the generosity of a lifelong educator. A fund of the Nebraska Community Foundation, established by the late Shirley Kreutz Bennett of Lincoln, will provide matching grants for public libraries in Nebraska communities with population less than 3,000 people.

A Fund Advisory Committee composed of her nieces and nephews will recommend grants in three areas: planning grants leading to accreditation; enhancement grants to improve library services and/or programs; and facilities grants for new facilities or the renovation, restoration or rehabilitation of current libraries. All grants will require matching funds and evidence of broad community support.

Approximately $70,000 will be available each year. Grants will be awarded annually in each grantmaking area beginning in the spring of 2012. Nebraska has 228 libraries in communities with populations under 3,000. Of those, 100 are not accredited by the Nebraska Library Commission.

A life-long learner, Shirley Kreutz graduated from Harvard High School in 1941. She earned her undergraduate degree from the University of Washington and an M.A. and Ph.D. from Columbia University. She taught on both coasts before returning to Nebraska. Shirley was a retired Professor of Education at the University of Nebraska in Lincoln.

Shirley’s nephew, Russell Kreutz, said education and self-improvement were important to her; she never stopped growing and was always up for a new challenge. She and her husband, Millard Bennett, a career pilot, were taking classes together right until the end of her life. “I think Shirley chose to help small-town libraries because she felt that this would be helping where the money was needed most,” Mr. Bennett said.

To avoid duplication and to attempt to leverage existing resources, the Nebraska Library Commission will assist the Nebraska Community Foundation and the Fund Advisory Committee with grantmaking. Grant seekers are encouraged to review the guidelines and application procedures here.

For more information, contact Sheri Hink, Outreach, Education and Events Manager, Nebraska Community Foundation, 402.323.7347 or shink@nebcommfound.org.

Beginning Farmer and Rancher Advisory Committee

Traci Bruckner of the Center for Rural Affairs is the new chair of the Beginning Farmer and Rancher Advisory Committee. The committee advises the Secretary of Agriculture on assisting beginning farmers and ranchers in securing financing, increasing the number of beginning farmers and ranchers, and creating farming and ranching opportunities.

Secretary Tom Vilsack presented the advisory panel an even greater challenge, and opportunity, when he set an agency goal to help 100,000 new farmers and ranchers get started. The fastest growing age-group of farmers and ranchers are those over 70, the fastest declining age-group are those under 25, making Vilsack's challenge all the more crucial.

The 11 new members of the Committee are:

  • Luciano Alvarado of Fayetteville, N.C.
  • Bryan Barrett of Gering, Neb.
  • Francis Benton-Gibson of Manning, S.C.
  • Deborah Cavenaugh-Grant of Greenview, Ill.
  • Duncan Chembezi of Madison, Ala.
  • Dalton Henry of Manhattan, Kan.
  • Barbara Norman of Covert, Mich.
  • Rebecca Padilla of Clovis, N.M.
  • Anusuya Rangarajan of Freeville, N.Y.
  • Peter Scheffert of Northfield, Minn.
  • Maykla Yang of Carthage, N.C.

The 9 incumbent members of the Committee are:

  • Traci Bruckner of Wayne, NE (Chair)
  • Ray Ellenberger of Madison, Wis.
  • Lisa Koester of Wadesville, Ind.
  • Karen Kritz of Pemberton, N.J.
  • Ryan Luter of Morison, Okla.
  • Maria Moreira of Lancaster, Mass.
  • Mary Peabody of Burlington, Vt.
  • Amarjit Sohal of Yuba City, Calif.
  • Jeffrey Ward of Windsor Height, Iowa

The new charter for the Committee was issued on November 25, 1998, and is renewed every two years. By law, the Committee is allowed to consist of no more than 20 members and no fewer than 14. Members serve a two-year term, and can be reappointed for up to six consecutive years.

For more information, contact Traci Bruckner, tracib@cfra.org or call 402.687.2100.

Guide to Farm Service Agency Assistance for Beginning Farmers

Here is the US Department of Agriculture's Farm Service Agency (FSA) Fact Sheet outlining their programs to assist beginning farmers and ranchers. We received the fact sheet courtesy of the Nebraska Farm Service Agency. Download the Fact Sheet as a pdf here.

Direct and Guaranteed Loans

FSA makes and guarantees loans to beginning farmers who are unable to obtain financing from commercial lenders. Each fiscal year, the Agency targets a portion of its direct and guaranteed farm ownership (FO) and operating loan (OL) funds to beginning farmers.

A beginning farmer is an individual or entity who:

  1. Has not operated a farm for more than 10 years.
  2. Meets the loan eligibility requirements of the program to which he/she is applying.
  3. Substantially participates in the operation.
  4. For FO purposes, does not own a farm greater than 30 percent of the median size farm in the county. (Note: all applicants for direct FO loans must have participated in the business operation of a farm for at least 3 years.)

If the applicant is an entity, all members must be related by blood or marriage, and all members in a corporation must be eligible beginning farmers. Maximum loan amount for Direct FO or OL loans is $300,000 and for combined Guaranteed FO or OL loans is $1,119,000.

Down Payment Program

FSA has a special loan program to assist socially disadvantaged and beginning farmers in purchasing a farm. Retiring farmers may use this program to assist socially disadvantaged and beginning farmers in purchasing a farm. Retiring farmers may use their land to benefit future generations.

General qualifications are: the applicant must make a cash down payment of at least 5 percent, the maximum loan amount is $225,000, the loan is 20 years and interest rate for December 2010 is 1.5 percent. The remaining balance may be obtained from a commercial lender or private party, and participating lenders do not have to pay a guaranteed fee.

Sale of Inventory Farmland

Eligible socially disabled applicants (SDA) and beginning farmers are given first priority to purchase these properties at the appraised market value. If one or more eligible SDA or beginning farmers offer to purchase the same property in the first 135 days, the buyer is chosen randomly.

Joint Financing Arrangement

Beginning farmers may choose to participate in a joint financing arrangement. With this arrangement, FSA lends up to 50 percent or more. The interest rates can be obtained from your local FSA office, and the term of the loan will not exceed 40 years or the useful life of the security.

Transition Incentive Program (TIP)

The 2008 Farm Bill authorized a new program called the Transition Incentive Program. TIP transitions expiring Conservation Reserve Program (CRP) land from a retired or retiring owner/operator to a beginning or socially disadvantaged farmer or rancher to return the land to production for sustained grazing or crop production. TIP provides annual rental payments for up to two additional years after the CRP contract expires to the CRP contract holders, provided the transition is not to a family member.

Noninsured Crop Disaster Assistance Program (NAP)

The Noninsured Crop Disaster Assistance program provides financial assistance to producers of non-insurable crops when low yields, loss of inventory or prevented planting occur due to natural disasters. Producers must file application for coverage.

The service fee is $250 per crop or $750 limit in one county with a maximum of $1,875 for a multiple county producer. Beginning farmers may qualify as Limited Resource producers who may qualify for a waiver of these fees. NAP covers the amount of a loss greater than 50 percent of the expected production based on approved yield and reported acreage.

Direct and Counter-cyclical Program (DCP)/Average Crop Revenue Election (ACRE) The Direct and Counter-cyclical Program provides annual payments to participating producers for crops historically produced on a farm. Counter-cyclical payments may be issued in the event of low crop prices. Producers can also opt into the Average Crop Revenue Election (ACRE), which may provide additional payments when declines in either yield or price occur.

The 2008 Farm Bill mandates that farms with 10 or less base acres are not eligible for DCP or ACRE program payments, except for farms whose owners are socially disadvantaged (SDA) or are limited resource farmers or ranchers. Beginning farmers who may qualify as “limited resource” or SDA producers may be eligible for payments on these farms.

Risk Management Purchase Requirements (RMPR)

The Risk Management Purchase Requirements require producers to obtain a plan of insurance equal to Catastrophic (CAT) level coverage or Non-insured Crop Disaster Assistance Program (NAP) coverage on all crops planted on the entire farm to be eligible for LFP, ELAP and SURE. Producers who meet the requirements of a beginning farmer or rancher, socially disadvantaged applicant, or limited resource applicant do not have to meet risk management purchase requirements for LFP, ELAP and SURE.

The following describes the three programs that provide an advantage to beginning farms concerning RMPR.

Livestock Forage Program (LFP) - The 2008 Farm Bill created several new disaster programs under the title “Supplemental Agricultural Disaster Assistance.” One of the programs created is the Livestock Forage Disaster Program (LFP). This program provides financial assistance to producers who suffer grazing losses due to qualifying drought or fire on Federal lands which occurs on or after January 1, 2008, and before October 1, 2011, during the calendar year in which the loss occurs.

Emergency Livestock Assistance Program (ELAP) - The Emergency Assistance for Livestock, Honey Bees, and Farm-Raised Fish (ELAP) program provides emergency relief to eligible producers of Livestock, Honey Bees, and Farm-Raised Fish. The program is designed to aid in the reduction of losses due to eligible disaster events not covered under the Supplemental Revenue Assistance Program (SURE), Livestock Indemnity Program (LIP), Tree Assistance Program (TAP), and the Livestock Forage Program (LFP).

Supplemental Revenue Assistance Program (SURE) - SURE provides benefits for 2008 through 2011 crop year farm losses due to natural disasters. Benefits begin if a producer farms in a county that is covered by a qualifying disaster declaration (USDA Secretarial Declarations only) or a contiguous county. Producers may also qualify if they have over a 50 percent loss in a county that does not meet those criteria.

For More Information

Discover more about these and other FSA programs from your local FSA offices or on the FSA website at http://www.fsa.usda.gov. Download the Fact Sheet for Beginning Farmers and Ranchers here (opens pdf).

Information provided by the Nebraska Farm Service Agency, 12/2010.

Farm to School Case Study: Kaiser Farm

Norm Kaiser Asparagus Farm, Central City, Nebraska

Norm's Asparagus Farm

Norm Kaiser's asparagus farm in Central City, Neb.

Norm Kaiser has an acreage inside the city limits of Central City, Nebraska, and has been supplying asparagus to the Central City, Nebraska, schools through their Farm to School program for the last three years.

The Farm to School program was started by Joyce Rice, the head of the Central City Food School Service. Mrs. Rice knew students needed to eat more nutritious and fresh food, and she decided to be sure that happened.

Joyce started the program by identifying local farmers who could supply food for school lunches. She has also gotten them involved in giving presentations at school. This teaches the children more about how food is grown, where it comes from, and the importance of supporting local growers.

One of the producers Joyce has worked with is Norm Kaiser. Norm is an entrepreneur whose main business is refinishing antique furniture. He raises asparagus as a side business.

Norm and his family lived in downtown Central City. His goal was to move the antique business to a bigger location, but still close to the community where his four children attend school. Norm found an acreage with lots of things going for it. It had a 30 x 40 foot building for his successful antique refinishing business, a large home for his family to live comfortably, and over an acre of land.

Acreage Lures Norm into Farming

The extra land is what lured Norm into farming – he wanted to do something to provide additional income. About 10 years ago he began learning more about niche agricultural markets and attended a training put on by the University of Nebraska focused on small farms and truck gardening.

Norm and a young friend

Norm Kaiser and "helper" stand in front of his acre of asparagus plants.

After completing the training, Norm researched the crop best suited for his land, one with a ready market. He considered growing strawberries on a half an acre until he realized the shelf life of fresh strawberries was very short, and they were quite work intensive.

Asparagus seemed a better fit both for the time he could devote to preparing, growing and harvesting the crop and its much longer shelf life. Asparagus could be refrigerated and stay fresh for several days. It looked to Norm as though there was a niche that needed filling, and it seemed like the best possible crop for his acre of land.

He didn’t go into this venture blindly, but took a good amount of time researching and learning prior to purchasing seeds or planting even one asparagus plant. Norm contacted an asparagus producer who lived in the vicinity and who had been successfully raising and pickling asparagus for a number of years.

The grower encouraged Norm to pursue his idea and felt he could be quite successful planting the entire acre to asparagus.

Norm wanted to move slowly to be sure he understood the process and could grow the best possible crop. He purchased hybrid asparagus seed at $.65 per ounce since he felt it was imperative to plant quality seed. Nine years ago he started growing asparagus on one-half acre, and about five years later he added an additional half acre. He has been successfully producing asparagus since 2001.

It takes approximately four years to reach full production capacity, so he is happy he took his time developing this crop. Norm is harvesting 9,000 plants at over 1 ton per year. He sells his crop to the local grocery store; the local Farmer’s Market; to individuals who have placed an order or just stop by his farm; and he sells to the school as well.

Involvement in Farm to School

Joyce Rice, the Food Service Director at Central City Schools, has known Norm for years and knew he grew a high-quality vegetable. She had been purchasing local fruits and vegetables from another farm ( Helgoth’s Melons, Pumpkins and Produce ) for over a year and wanted to expand the types of vegetables offered to the students.

Joyce approached Norm about selling some of his crop for school lunches. He was open to it, and is going into his fourth year providing asparagus for the students. Norm didn’t have to do any special planning to sell to the school and has been able to meet their need easily, though he says, “I sell every single asparagus I plant – my reputation has gotten around.”

When asked what the challenges and benefits were to selling his crop to the school, he cited delivery as the biggest challenge. It takes time even though he’s located close to the school. It’s much easier to have customers come to him to purchase. However, the benefits outweigh the challenges.

Norm and a young friend

Norm delivers his produce to the school and even helps to prepare and serve it to the students.

He’s been very involved in the entire Farm to School process. Norm delivers his asparagus to school and helps prepare and serve it to the students. He provides educational sessions about how he raises the crop, the nutritional values associated with it, and the work involved in growing asparagus. That allows him to work closely with the students and answer their questions. He says that is the most rewarding part of his involvement. Joyce says most of the kids had never even SEEN an asparagus, but they cleaned their plates and are now asking their parents to buy the vegetable.

Norm also mentioned seeing students and their parents at the local Farmers Market as another benefit. Students have taken a liking to the vegetable and persuade their parents to purchase from him. It’s been rewarding to be a part of changing and improving young children’s diets and introducing them to a new vegetable packed with vitamins and nutrients, most of those kept since the asparagus is prepared within 24 hours of picking.

Discover More

Learn about the Farm to School Program here.

Contact Kathie Starkweather, kathies@cfra.org , for more information on the Kaiser case study or on Farm to School Programs in Nebraska. Click here to download the story as a pdf.

Farm to School Case Study: Helgoth Melons

Helgoth Melons, Pumpkins and Produce, St. Libory, Nebraska

Helgoth's Farm Stand at Farmers Market

Helgoth's prepare Farm Stand at Farmers Market.

Helgoth Melons, Pumpkins and Produce is a family-owned third generation farm that began in 1954. It is located in St. Libory, Nebraska. The farm has always grown fruits and vegetables. They produce sweet corn, potatoes, tomatoes, peppers, eggplant, melons, cucumbers, squash, pumpkins, cabbage and more. The Helgoths also raise corn and soybeans.

Chuck and Shelly Helgoth are the owners, and their four sons help during the season. Their oldest son, Broderick, 21, eventually plans to take over the farm. The Helgoth’s business is diverse. They sell at the local Farmers Market every day through the season – Sunday through Saturday – and also have a popular roadside stand in St. Libory. Their Pumpkin Patch, complete with a 9 hole farm-themed miniature golf course, is popular and has been quite successful.

Shelly Helgoth said it is getting more and more challenging to meet the local food demand, which has been increasing over the last few years. “Once people get ‘hooked’ on locally raised and fresh food, the demand just seems to continue,” she said.

Raising fruits and vegetables is hard work and not for everyone, but the opportunity is certainly there for people to make a living if they are willing to do the hard work. The Helgoths sell their product at a fair price and love what they do. But Shelly makes clear this work is a lot of “blood, sweat and tears.” She says it’s all worth it for them. The family business helps their sons understand the value of owning and operating a business, and it creates opportunities to supply locally grown fresh food to their neighbors.

Shelly also points out an irony, “We’re so busy during the season that we don’t even have time to eat our own fresh food! We fall into bed at midnight and then are up again the next day picking, packing up the truck and hauling either to the stand or to the Farmers Market.” Saturdays are particularly grueling since they need to be at the Farmers Market by 4 a.m. to get their trucks unloaded and ready for the crowd.

Involvement in Farm to School

Joyce Rice unloads produce at school

Joyce Rice unloads Helgoth watermelons at the school.

The Helgoths were approached by Joyce Rice, the Food Service Director at Central City schools, about four years ago. Joyce asked them about selling their fruits and vegetables to her for use in school lunches. Central City is about 30 miles from St. Libory, so the Helgoths agreed to deliver their produce to the school.

Joyce wanted to feed students at the elementary, middle and preschool (500 students) good, healthy and fresh food. She was dissatisfied with the food the students were eating and decided to do something about it. That’s when she contacted the Helgoths.

The Helgoths sell to Joyce at wholesale prices, and the cost of the food to the school system has actually come in less than when they purchased like products off the truck. And the school children benefit because their food is fresh and “actually tastes like food.”

Joyce orders so much food now that the Helgoths are no longer able to make that delivery. They just don’t have the time with their other commitments. So Joyce picks up her orders and delivers them to the school with the assistance of the other cafeteria workers. She purchases peppers, sweet corn, onions, tomatoes, eggplant, pumpkins, melons and more at wholesale prices.

The Helgoths receive Joyce’s order about a week in advance, but so much depends on the growing conditions and the amounts available at pickup time. So Joyce is flexible about what she gets and adjusts her menus based on what is available each week. But the kids love eating fresh food – their consumption of fruits and vegetables increased by nearly 200 percent since she started buying locally according to data that Joyce has tracked since starting this program.

Farmers Market

Helgoth Melons, Pumpkins and Produce is a regular at area Farmers Markets.

The Helgoths are now selling to four school systems in Nebraska, all within the general area of their farm: Central City, Wood River, Grand Island and Centura schools. Shelly calls the Farm to School program at Central City a comprehensive one since Joyce is so committed to providing fresh healthy food to the students.

“It’s a lot of hard work for the kitchen people,” she said. “However, Joyce has gotten them involved, and now they embrace the opportunity to feed the children in the schools better food. They find both pride and satisfaction in that.”

Providing food to the four schools in the area doesn’t bring in a great deal of additional income, but Shelly Helgoth feels the pride and satisfaction. She feels that her fresh local food will have a long-reaching impact on the children’s health as it builds interest in eating healthfully as they grow. And that can only improve the local economy for even more small businesses.

Discover More

Learn about the Farm to School Program here.

Contact Kathie Starkweather, kathies@cfra.org , for more information on the Helgoth case study or on Farm to School Programs in Nebraska. Click here to download the story as a pdf.

State Policies to Spur Economic Development

The state of Nebraska administers 4 entrepreneurial programs created by the Nebraska legislature that are helping to strengthen rural communities and build small businesses, including agricultural enterprises. Programs like these can serve as models for other states.

Building Entrepreneurial Communities Act
BECA supports economically distressed rural areas of Nebraska through grants that create community capacity to build and sustain programs to generate and retain wealth in the community and region. Grant purposes include:

  • energizing small business development and entrepreneurship
  • facilitating small business transfer
  • supporting leadership programs
  • attracting and retaining young people, families, and new residents
  • building community endowments and philanthropy
  • creating community marketing materials

Agricultural Opportunities and Value-Added Partnership Act
This program was created to increase the number and quality of self-employment opportunities for farming or ranching operations. Priority is given to projects that best alleviate chronic economic distress.

Nebraska Advantage Microenterprise Tax Credit Act
This program provides investment tax credits (equal to 20 percent of the new investment, with a $10,000 lifetime limit) to applicants for creating or expanding micro businesses that contribute to the revitalization of economically depressed areas through the creation of new or improved income, self-employment, or other new employment in the area.

Microenterprise Development Act
Microenterprises – businesses with 5 or fewer employees – are fertile ground for new entrepreneurs and a key income generation and economic revitalization strategy, according to the CFED organization.

The Microenterprise Development Act (MDA) provides funding to rural and urban microenterprise development organizations who provide capital, technical assistance and training to micro business owners or prospective owners.

See how your state ranks in their microenterprise support in their Assets & Opportunity Scorecard here.

Learn More

To find out more about Nebraska state policies that support rural entrepreneurship, contact Traci Bruckner, tracib@cfra.org. or 402-687-2100.

Nebraska's Building Entrepreneurial Communities Act

What is it? | Examples | How does it work? | Learn more

What Is It?

The Building Entrepreneurial Communities Act (BECA) supports economically distressed rural areas of Nebraska through grants that create community capacity to build and sustain programs to generate and retain wealth in the community and region. Specifically, the grants awarded are intended to:
  • Provide education and technical assistance to energize small business development and entrepreneurship.
  • Provide technical assistance to facilitate small business transfer.
  • Build community business capacity and leadership programs.
  • Generate opportunities to attract and retain young people and families.
  • Provide education about philanthropy and intergenerational transfer of wealth.
  • Build community endowments to support these activities.
  • Establish community initiatives to attract new residents.
  • Provide marketing assistance to communities to attract new residents from outside of the state of Nebraska. Marketing assistance may include the creation of/or improvement of web sites, creation and distribution of printed or electronic marketing materials, and programs which promote the community to new residents.

Planning grants up to $5,000 can be made directly to limited resource areas for the purpose of building collaboration and developing proposals. This Act will terminate on January 1, 2011, but its provisions can serve as an entrepreneurial model for other states.

Examples

Promoting Our Communities
Sherman County and Loup City were awarded $2,257 to develop a new website for Loup City and promotional material for Sherman County to help attract new residents and businesses to the area. The Loup City Area Chamber of Commerce and the Sherman County Economic Development Board will provide financial support. Local contact: Wesley Leihoff, Sherman County Economic Development Board, 308-750-3133.

Adding Families + Adding Businesses – Adds UP!
The Village of Emerson and the Emerson-Hubbard School Board were awarded $8,200 to help recruit new families to the area and support existing and new potential entrepreneurs. Emerson and the Emerson-Hubbard School Board will provide financial support. Local contact: Diann Ballard, db Consulting, 402-385-3829 or 402-922-1652.

Central Nebraska Career Development Partnership
Gibbon and Buffalo Counties were awarded $15,682 for a youth retention program providing career opportunity exploration and core classroom teachers targeting career pathways. The Board of Supervisors in each county will provide financial support. Local contact: Nikki Masek, Buffalo County Economic Development Council, 308-237-9346.

La Escuela para el Exito (School for Success)
A partnership between Columbus and Schuyler was awarded $7,200 to provide training on financial literacy, basic business understanding and continuing education. The Columbus Community Foundation, Columbus Area United Way and area businesses will provide financial support. Local contact: Pat Heimes, United Way of Columbus, Inc., 402-564-5661.

There’s No Place Like Home….Cedar County
Fordyce and Hartington were awarded $1,800 to purchase an entrepreneurship curriculum to be used in local schools. Fordyce, Hartington Community Development Corporation, Cedar County Commissioners, Hartington Public Schools, Cedar Catholic High School, and Wynot Public Schools will provide financial support. Local contact: Carla Becker, Hartington Community Development Corporation, 402-254-6357.

4 Regional Success
Burwell and Central Nebraska Economic Development District were awarded $16,000 to coordinate community strategic planning meetings, assist with evaluation of community training efforts and web design updates. Burwell, Arnold, Atkinson, O’Neill, and Central Nebraska Economic Development District will provide financial support. Local contact: Laurie Hansen, Central Nebraska Economic Development District, 402-925-2373.

How It Works

With assistance provided by the Rural Development Commission, the Nebraska Department of Economic Development (DED) administers a process to provide grants to local units of government who are collaborating on projects related to the purpose of the Act. Priority is given to projects that best alleviate chronic economic distress.

At least one of the partners must show chronic economic distress as indicated by:

  • An unemployment rate exceeding the statewide average unemployment rate OR
  • A per capita income below the statewide average per capita income OR
  • Population loss over a 20-year period.

Restrictions on grants include:

  • Funded at $500,000 per fiscal year (increased from $250,000 by the 2007 Nebraska Unicameral).
  • Not exceeding $75,000 per project, and recipients have 2 years to expend the grant funds.
  • Recipients provide a 50% cash match in money for grant funds. Recipients in limited resource communities provide a 25% cash match.
  • Grants are awarded directly to one of the units of government representing the collaborative project.

Learn More

For information on applying for a Building Entrepreneurial Communities Act grant, visit this page by the Rural Development Commission or contact Linda Fettig at 308-380-4966 or linda.fettig@nebraska.gov.

Nebraska's Value-Added Agriculture Program

What is it? | Examples | How does it work? | Learn more

What Is It?

The Agricultural Opportunities and Value-Added Partnership Act is a grant program that supports collaboration between farmers and ranchers; the start-up and growth of value-added ag enterprises; and growth of rural communities and regions in Nebraska.

The program was created to increase the number and quality of self-employment opportunities for farming or ranching operations. The competitive grant process was created and is administered by the Nebraska Dept. of Agriculture and the Nebraska Dept. of Economic Development. It is due to expire on Dec. 31, 2010, but can serve as a model to other states.

Grant awards are supposed to:

  • Support new small enterprises in the ag sector of Nebraska’s rural economy and the development of agricultural communities.
  • Encourage collaboration between farming and ranching operations and businesses as well as communities and regions.
  • Strengthen value-added production by promoting strategic partnerships and networks through multi-group cooperation.
  • Enhance income and opportunity for farming and ranching operations in Nebraska to stem the decline in their numbers.
  • Increase the farming and ranching operations’ share of the food-system profit.
  • Enhance opportunities for farming and ranching operations to participate in ecommerce and new and emerging markets.

Examples

Branding the Southeast Nebraska Wine Trail
The Southeast Nebraska wine growers were awarded $16,344 for their project to brand and market the regional wineries. The grant will assist with efforts to develop a brand and web site and to publicize the region through various media.

Financial and in-kind support for the project is through SchillingBridge Winery & Microbrewery, Pawnee City; Deer Springs Winery, Lincoln; Soaring Wings Vineyard, Springfield; WunderRosa Winery, Roca; Glacial Till Vineyards, Palmyra; James Arthur Vineyards, Raymond; Whiskey Run Creek Vineyard and Winery, Brownville; and Windcrest Winery, Raymond. Contact Sharon Schilling at 402-852-2400 for information.

Basset Meat Processing Plant Study
The City of Bassett was awarded $5,000 to initiate a series of studies to determine the feasibility of opening a meat processing plant. In-kind match for the grant is provided by the City of Bassett. Contact Debbie Seberger 402-684-3319 for information.

North Central Nebraska Biomass Project
An award of $13,820 was made to the Loup Basin Resource Conservation and Development Council, Ord, for a feasibility study on biomass conversion of harvested cedar trees and other wood sources b>to burnable pellets or bricks. Partnering in the project and providing in-kind support are the North Central Resource Conservation and Development Council, Bassett, and Howard Glines and Mike Valasek, Jr. Contact Sheila Luoma at 308-728-3393 for information.

Nibbly Jibbits Equipment
Nibbly Jibbits was awarded $13,100 to purchase equipment allowing the business to expand production and add staff. Nibbly Jibbits produces horse and dog treats from local grains. Cash and in-kind support will be provided by Nibbly Jibbits of Chadron. Contact Leala Jimerson at 308-432-3260 for information.

How Does It Work?

Grants, up to $75,000 annually, are awarded for a one-year period, though may be renewed for up to three years. The applicant must provide a 25 percent match. This program expires on December 31, 2010.

Grants can be used for:

  • Research
  • Market development
  • Feasibility and market studies, capitalization plans, and technical assistance
  • Community and multi community initiatives
  • Efforts to obtain start-up or working capital or other capital expenditures necessary for the development of the project
  • Education and training
  • Non-administrative business planning assistance
  • Development of cooperatives
  • Creation, retention, and transfer of value-added agricultural business initiatives in rural communities
  • Community-based, farmer or rancher-owned value-added initiatives

Eligible Entities include communities, counties, agencies, educational institutions, economic development providers, nonprofit corporations, agricultural cooperatives, agricultural associations, agricultural marketing associations or entities, resource conservation organizations, development districts, and farming or ranching operations in collaborative arrangements with other operations, entities, or organizations.

Learn More

For information on applying for a value added grant, visit this page on the Nebraska Department of Economic Development website or contact Linda Fettig at 308-380-4966 or linda.fettig@nebraska.gov.

Nebraska Advantage Microenterprise Tax Credit Act

How does it work? | Definitions | Learn more

The Nebraska Advantage Microenterprise Tax Credit Act is administered by the Department of Revenue. The program provides investment tax credits (equal to 20 percent of the new investment, with a $10,000 lifetime limit) to applicants for creating or expanding micro businesses that contribute to the revitalization of economically depressed areas through the creation of new or improved income, self-employment, or other new employment in the area.

How Does it Work?

The application includes several factors including:
  • A description of the business
  • Projected income and expenditures
  • Market to be served by the business and the way the expansion addresses the market
  • Amount of projected investment increase that would generate the credit
  • Projected improvement in income or creation of new self-employment or other jobs in the distressed area
  • Nature of the applicant’s engagement in the operation of the micro business (must be able to show personal involvement on a continuous basis in the daily management and operation of the business) or who will establish a micro business that they will actively operate in a distressed area

Once approved, applicants are entitled to a refundable investment tax credit equal to 20% of the taxpayer’s new investment in the micro business during the tax year. The Department will authorize tentative investment tax credits to the applicant.

Applications are considered on a first come first served basis, so early application is highly advised. Available funds have been allocated quickly each year. This Nebraska program will expire on January 1, 2011, and is limited to $2 million annually. It can serve as a model to other states.

Definitions

Micro businesses: any business employing five or fewer employees at the time of the application except for farm or livestock operations, unless the applicant has a family net worth of not more than $200,000 or the investment or employment is in the processing or marketing of agricultural products, aquaculture, agricultural tourism, or the production of fruits, herbs, tree products, vegetables, tree nuts, dried fruits, organic crops, or nursery crops.

New Investment: increase during the tax year in the applicant’s purchase/lease of buildings and depreciable personal property and/or the creation of new jobs or expenditures on advertising, legal or professional services, and non-vehicle repairs and maintenance. Those receiving benefits under the Employment and Investment Growth Act, the Employment Expansion and Investment Incentive Act, or Nebraska Advantage Act are ineligible.

New Employment: the amount by which the total compensation plus the employer cost for health insurance for employees paid during the tax year to or for employees who are Nebraska residents increased from the prior tax year. New employment does not include: compensation to any employee that is in excess of 150% of Nebraska average weekly wage paid by all employers as reported by the Department of Labor.

Distressed Area: a municipality, county, unincorporated area within a county, or census tract that has (a) an unemployment rate which exceeds the statewide average unemployment rate, (b) a per capita income below the statewide average per capita income, or (c) had a population decrease between the two most recent federal decennial censuses, a designated federal enterprise zone, or a census tract that based on the most recent federal decennial census date available has less than 80% or the statewide per capita income.

Learn More

Visit this page on the Nebraska Department of Revenue website for the most up-to-date information on this or any other Nebraska incentive program.

You can see if a Nebraska business qualifies for the tax credit here. And you can view a scorecard of all U.S. states' policies supporting microenterprise here.