Climate Friendly Agricultural Practices Incentive Payments

The MDA is accepting applications for Climate Friendly Agricultural Practices (CFAP) incentive payments. CFAP provides payments at a flat rate up to $10,000 for producers to implement a selection of sustainable agricultural practices with known, quantifiable greenhouse gas emission reductions. Approved practices include:

• Conservation Cover (CPS 327)

• Pasture and Hay Planting (CPS 512)

• Conservation Crop Rotation (CPS 328)

• Tree and Shrub Establishment (CPS 612), may support the following:

  • Silvopasture

  • Windbreak/Shelterbelt

  • Forest Farming

These payments are being offered through the Minnesota Agricultural Water Quality Certification Program (MAWQCP), which certifies producers across the state for implementing conservation practices that are proven to improve and protect water. Applicants are not required to be certified in this program to apply. However, certified applicants receive a higher payment rate than non-certified applicants. 

Applicants who are certified, assessed, or working toward certification through the MAWQCP will receive a flat-rate payment of 75% of the assumed scenario cost, as established by the Natural Resource Conservation Service. All other applicants will receive a payment of 60% of the assumed scenario cost. Producers may reapply to subsequent rounds of CFAP payments to implement practices on new acres or for a practice not previously funded.

Applicants interested in becoming certified should reach out to their local area certification specialist (ACS). Your ACS’s contact information is available on the MDA’s MAWQCP webpage.

Farmers, producers, agricultural LLCs, and agricultural landowners operating on land within Minnesota are eligible to apply. Applicants are eligible to reapply if not awarded their first try. Those who have received funding are eligible to apply for additional resources so long as the request involves new practices or different acres.

How much is available?

$1.2 million is allocated for FY26. Additional funding is anticipated next year. Applications will be accepted on a rolling basis until funds are expended. Applications are accepted online through the MDA’s application webpage.

What do I need for my application?

You must complete a CFAP Budget Sheet outlining your project costs and, if non-certified, work with a technical expert to complete your application. Certified applicants may work with their certification specialist. Technical staff can be sourced from:

• University of Minnesota Forever Green
• University of Minnesota Extension
• Local Soil Water and Conservation Districts (SWCDs)
• The Natural Resources Conservation Service (NRCS)
• NRCS Technical Service Providers (TSPs)  
• MAWQCP Certification Specialists
• Department of Natural Resources (DNR) Forestry Staff

Process Overview

1. Read the CFAP Incentive Payment Overview to ensure understanding and eligibility.
2. Develop your conservation practice implementation plan. This should be done with technical staff after identifying which practice or practices you would like to implement.
3. Complete the CFAP application, including the required budget sheet.
4. MAWQCP staff will review your application to ensure eligibility. If approved, MAWQCP will notify you by email of your award amount.
5. Once the approved practices are implemented, you must submit three documents to MAWQCP staff: a completed Operation and Maintenance statement; a completed Job Verification Sheet; and proof of purchase and payment (see CFAP Incentive Payment Overview). The first two should be completed with your technical staff person.
6. Once these documents are submitted, reviewed, and approved, you will receive payment.

Practice Payment Rates

Conservation Cover

Conservation Crop Rotation

Tree/Shrub Establishment

Pasture and Hay Planting

This opportunity is part of Minnesota's $200 million climate-smart food systems (CSFS) initiative. CSFS empowers growers, processors, nonprofits, and local communities to build a food system that reduces waste and climate pollution while nourishing Minnesotans statewide.