The Minnesota Agricultural Water Quality Certification Program (MAWQCP) has Climate Pollution Reduction Grant funding to support the use of nitrogen enhanced efficiency fertilizers on farms in Minnesota to mitigate greenhouse gas emissions and promote water quality. For the purposes of these funding opportunities, “nitrogen enhanced efficiency fertilizers” (N EEFs) refers to the nitrification inhibitors and urease inhibitors that are on MDA’s list of acceptable nitrogen inhibitor products, as well as polymer coated urea. 

MAWQCP will provide financial support for the use of N EEFs through two funding pathways: 1) contracts with agricultural co-ops that will directly provide farmers a discount on the costs of N EEF products, and 2) individual grants with farmers who are MN Agricultural Water Quality Certified or are actively working towards Certification. Farms/farmers are NOT eligible to receive funding for N EEF use through both funding paths in the same year.

MAWQCP Nitrogen Enhanced Efficiency Fertilizers Discount Program (for Agricultural Co-ops)

MAWQCP is soliciting proposals from agricultural co-ops interested in contracting with MAWQCP to provide farmers a price discount on N EEFs that are applied on agricultural lands in Minnesota in 2026. MAWQCP is offering up to $10/acre for the documented sale/application of eligible N EEFs, not to exceed 75% of product cost. 

Project proposals that promote the use of N EEF products in ways that align with best management practices and with other State priorities will be competitively prioritized for contract selection. Payments will be dispersed according to satisfactory documentation of the application of a N EFF product that had been sold at a discount by the contracted organization(s). Payments will be made on a per-acre basis. 

Quick Facts: 

  • Open to qualified retailers of nitrogen enhanced efficiency fertilizers in Minnesota.

  • $1.5 million available through this opportunity in 2026. There will likely be similar opportunities in 2027 and 2028.

  • Contract awards can range from $25,000 to $400,000.

  • Nitrification inhibitors and polymer-coated urea qualify for up to $10/acre.

  • Urease inhibitors qualify for up to $8/acre.

  • Payment will not exceed 75% of actual product costs.

  •  At least 80% of the value of all per-acre payments distributed to contracted co-ops through this program must be directly given to the farmer(s) as a discount on the purchased N EEF product(s).

  •  To be eligible for discounts, farmers must be 1) certified through MAWQCP, 2) actively working towards MAWQCP Certification, or 3) be willing to be contacted by MAWQCP staff to receive further information about the program.

  •  Total payments tied to the discounted sale of N EEF products to an individual farm/farmer will not exceed $10,000.

We anticipate that the competitive RFP for this opportunity will be posted here between Feb. 23 and March 2. It will be posted for at least 21 days. 

MAWQCP Financial Assistance Grants (Individual Farmers)

Individual financial assistance grants to support the use of N EEFs will be available to farms that are certified or actively working towards MAWQCP certification directly through MAWQCP Financial Assistance grants. Farmers should contact their MAWQCP Certifier or other MAWQCP staff if they are interested in learning more.

Quick Facts: 

  • Nitrification inhibitors and polymer-coated urea qualify for up to $10/acre.

  • Urease inhibitors qualify for up to $8/acre.

  • Payment will not exceed 75% of actual product costs.

  • Total payments for an individual farm/farmer will not exceed $5,000.

We anticipate that this funding will be available starting in spring 2026.