Continuous living cover crops and cropping systems for purposes of this grant refer to agroforestry, perennial biomass, perennial forage, perennial grains, and winter-annual cereal grains and oilseeds that have market value as harvested or grazed commodities.
Purpose
CLC crops have been shown to enhance water and soil quality, sequester carbon, build soil health, and provide greater biodiversity and pollinator habitat. Significant environmental benefits of these crops will result from widespread production, which requires robust value chains and markets.
The goal is to provide grants to CLC crops and cropping systems value chain enterprises for equipment infrastructure and business and market development. For example, this could include customized equipment to harvest the crop, clean and store seeds, and process crops for food products. The intended outcome is supply chain and market development that can increase CLC crops and cropping systems on agricultural lands in Minnesota.
Projects must aim to develop and accelerate enterprises, supply chains, and markets for CLC crops and cropping systems in the early stage of commercial development in Minnesota.
Funded Projects
This grant round was federally funded under the Minnesota Climate-Smart Food Systems Initiative.
The Request for Proposals for this competitive grant opportunity opened May 6, 2025 and closed July 9, 2025. A summary of selected projects is included in the table below.
| Organization Name | Project Summary | Award Total |
|---|---|---|
| 40 Century Grain | Develop commercial granola products featuring Minnesota-grown agroforestry crops (hazelnuts, elderberries, currants, aronia berries) and Kernza flakes and establish direct purchase agreements with Minnesota CLC farmers while developing marketing strategies that communicate measurable regenerative outcomes. | $60,228 |
| Gerten Greenhouses | Transition from small, test scale indoor plant management to a large-scale, dedicated, outdoor mound bed operation. Grow up to 8,000 farm-ready hybrid hazelnut plants. | $74,610 |
| Ivy & Karma Inc. (Green Acres Milling) | Support the growth of continuous living cover (CLC) systems by developing a modern oat processing facility. Project funds will help purchase a Caterpillar 926HL end loader, which is essential for handling by-products from oat processing. | $100,000 |
| Midwest Hazelnuts, LLC | Midwest Hazelnuts, LLC is at a critical stage of growth in taking Upper Midwest Hazelnut Development Initiative's high-performing hybrid hazelnut genetics to market. This project will support expanding Midwest Hazelnut's Co-Founding Team to expand plant sales, as well as the annual legal and business development costs of clear nursery contracts. | $30,881 |
| Minnesota Native Landscapes | Improve the availability of current and future Continuous Living Cover (CLC) crops by expanding our cleaning operation to include a Brush Machine. This item will enable us to more efficiently process the wide variety of CLC crops, resulting in more and better seed available for farmers and businesses to utilize on the landscape. | $42,500 |
| MSX Nexgen Inc. | Add an auger and generator to a seed cleaner to make it more mobile and allow for on-farm cleaning. Most farms don't have the correct power or handling equipment to accommodate the cleaner. These additions will make the cleaner a standalone unit that can move from farm to farm. | $49,000 |
| Perennial Pantry | We will upgrade our Kernza milling and baking operation, expand marketing, and launch a brick-and-mortar grocery store dedicated to CLC crops. Grant funds will purchase and install a hammer mill, flour sifter, dough mixer, and proofing cabinet to boost production of high-quality Kernza flour and baked goods. We will also build out a retail space in our Northfield bakery to make CLC crops more accessible and affordable. | $100,000 |
| Regenerative Agriculture Alliance | This project will procure the latest genetics developed by the Upper Midwest Hazelnut Development Initiative and distribute seedlings and tree tubes directly to farmers looking to increase the productivity and diversity of their farms, with the new material allowing for the distribution to be spread out over two years. This project will also support the processing of the 2025 hazelnut harvest, as well as fund opportunities for training and connecting within perennial agricultural networks. | $35,460 |
This grant round was funded with the remaining money allocated to the MDA by the LCCMR and the General Fund.
The Request for Proposals for this competitive grant opportunity opened June 10, 2024 and closed July 15, 2024. A summary of selected projects is included in the table below.
| Organization Name | Project Summary | Award Total |
|---|---|---|
| Bang Brewing Company LLC | Increase the percentage of Kernza® in their beer to meet the Perennial Percent™ label and improve marketing. Purchase and convert a van to sell beer as the sole brewer at Mill City Market. | $45,000 |
| Estling Farms Inc | Develop a dedicated seed cleaning line for emerging continuous living cover crops. A new seed cleaning line will reduce the cost of CLC crop seed for farmers in northern Minnesota. | $45,000 |
| Midwest Elderberry Cooperative | Improve the developing regional hub for harvested American elderberries by purchasing a used refrigerated container for storage and paving the driveway to accommodate large trucks. | $45,000 |
| Midwest Hazelnuts, LLC | Purchase the equipment, supplies, and services needed for one aggregation station at a Midwest Hazelnuts, LLC Go First Farm in Minnesota. | $44,772 |
| Perennial Pantry | Create marketing content and strategies to enhance capacity and increase sales of CLC products. | $45,000 |
| Perennial Promise Growers | Continue market expansion for Kernza® and value-added products through customer lead generation/qualification/cultivation; provision of samples to prospective users; placement and fulfillment of orders; post-sale customer service; and coordination with value-added partners. | $45,000 |
| Regenerative Agriculture Alliance | Purchase and distribute improved Midwest Hazelnut LLC plant material directly to growers involved with the Poultry-Centered Regenerative Agroforestry ecosystem. This project will also fund training opportunities for growers. | $35,865 |
| Sturdiwheat,Inc. | Modify existing recipes to include 1% to 5% perennial grain flour and update the packaging design to highlight the perennial grains. | $45,000 |
| SUN Consulting Inc. | Build a self-propelled, mound bed cutter to sever the new woody stem of hazelnuts below the new root base, to harvest 2-year-old, farm-ready, bare root “whips” from propagation beds. | $36,000 |
| Tree Range Farms | Increase operational capacity to market the silvopasture poultry to Minnesota schools, communities, retailers, and restaurants. | $45,000 |
In 2023, the Minnesota Legislature provided funding to the MDA for grants to organizations in Minnesota to develop enterprises, supply chains, and markets for continuous-living cover crops and cropping systems in the early stages of commercial development.
The first of two Requests for Proposals (RFP) for this competitive grant opened Monday, September 11, 2023 and closed October 2, 2023. A summary of selected project is included in the table below.
| Organization Name | Project Summary | Award Total |
|---|---|---|
| Gertens | Propagate up to 10,000 farm-ready hybrid hazelnut plants | $50,000 |
| MSX Nexgen Inc. | Supply a regional location to preclean, dry, and store winter camelina, Kernza, and other CLC crops as needed. | $50,000 |
| Perennial Promise Growers Cooperative | Expand marketing to existing customers and sales of Kernza grain to new customers. | $48,000 |
| River Rock Kitchen & Baking Co | Incorporate Kernza into at least 75% of their baked goods. This project was featured in one of the Meet the Minnesota Makers articles. | $50,000 |
| Rookie Farmers, LLC | Purchase a winter camelina cleaning trailer. | $50,000 |
In 2022, the Minnesota Legislature provided funding to the MDA through the Legislative-Citizen Commission on Minnesota Resources (LCCMR) for grants to organizations in Minnesota to develop enterprises, supply chains, and markets for continuous living cover (CLC) crops and cropping systems in the early stage of commercial development. This includes, but not limited to, regenerative poultry silvopasture systems, Kernza® perennial grain, winter camelina, and elderberry.
The Request for Proposals for this one-time competitive grant opportunity opened Monday, March 13, 2023 and closed April 23, 2023. A summary of selected projects is included in the table below.
| Organization Name | Project Summary | Award Total |
|---|---|---|
| Dawson Drug & Gifts | Purchase a freeze dryer to expand the market of continuous living cover crops, primarily fruit. | $50,000 |
| Midwest Elderberry Cooperative | Design, build, and test a continuous flow prototype elderberry destemmer that can be linked to a wash, dry, and freeze process conveyor line. | $48,800 |
| Regenerative Agriculture Alliance | Purchase a mechanical harvester and two de-husking units for two hazelnut grower networks in Minnesota to hasten ongoing development of supply chains. | $50,000 |
| Nine Hazels Farm | Improve greenhouse operation to produce hybrid hazelnut seedling plugs for sale. | $29,657 |
| Perennial Pantry | Build team capacity and develop standard operating procedures to operationalize a processing plant dedicated to the production of CLC products. | $50,000 |
| Perennial Promise Growers Cooperative | Develop capacities to and systems required to market Kernza. | $50,000 |
Unused funds may be included in a second RFP in June 2024.
LCCMR Approved Project Work Plan
Funding for the program was provided by the Minnesota Environment and Natural Resources Trust Fund as recommended by the Legislative-Citizen Commission on Minnesota Resources (LCCMR).
For the purposes of this grant “continuous living cover crops and cropping systems” refer to agroforestry, perennial biomass, perennial forage, perennial grains, and winter-annual cereal grains and oilseeds that have market value as harvested or grazed commodities.
