September 13, 2006, Lansing, MI - Michigan Department of Agriculture (MDA) director Mitch Irwin today reported to the Michigan Agriculture Commission that the department's recommendations for recipients of a competitive grant program could generate as many as 267 new jobs and over $43 million in capital investment. 

The Agricultural Innovation Grants are part of an aggressive effort to spur growth in several economic sectors and is a key component of the 21st Century Jobs Fund.  The 21st Century Jobs Fund is a $2 billion, ten-year initiative proposed by Governor Jennifer Granholm, approved by the Michigan Legislature, and administered by the Michigan Economic Development Corporation to accelerate the diversification of Michigan’s economy. 

“Michigan’s robust agricultural industry is a critical part of our economy,” said Granholm.  “These projects reflect the entrepreneurial spirit and sound investment we need to create jobs and diversify our economy.

Grants from the Agricultural Innovation Fund, also known as the Julian-Stille Value-added Program, are competitive and designed to establish, retain, expand, attract or develop valued-added agricultural processing and related production operations in Michigan.  MDA recommended 40 proposals covering 27 Michigan counties. "The proposals we received reflected the diversity of Michigan agriculture,” said Irwin. "From shrimp in Okemos to meat processing in Escanaba, innovation is the key to growing our state’s $60.1-billion-agriculture-industry."

MDA received a total of 225 grant proposals with requests totaling more than $36 million. The proposals were evaluated and scored based upon: economic impact on the community; economic impact or enhancement to agricultural product and/or service; amount of project innovation or initiative; clarity of project proposal with specific and measurable outcomes; and management team experience and expertise. Categories for grant awards included: Technical Assistance, Facility Improvements, Market Research/Development, Business Plan Development, and Facility/Land Purchase or Construction. Eligible applicants for the grants included individuals, farmer-owned cooperatives, commodity boards, partnerships, limited liability companies, private or public corporations and local units of government.

Applicants were also required to provide a cash match of ten percent for eligibility. Agricultural Innovation Grants are subject to final approval by the State Administrative Board, a supervisory body for state functions, which includes the Governor, Lt. Governor, Attorney General, Secretary of State, and Superintendent of Public Instruction.  The board is expected to review the recommendations at an October 3, 2006, meeting in Lansing.

For more information about the Agricultural Innovation Grants, visit www.michigan.gov/mda, or call 517-241-2178.