USDA Invests over $5 Million in Biofuel Infrastructure Projects that Include Kansas

Expanding Availability and Infrastructure of Higher-Blend Renewable Fuels in Salina, McPherson and Kansas City, Kansas

TOPEKA, Aug. 19, 2021 – United States Department of Agriculture (USDA) Acting State Director for Rural Development Kansas Dan Fischer today announced that USDA is investing $5.19 million to build infrastructure to expand the availability of higher-blend renewable biofuels through three projects in Kansas.

USDA is making the awards under the Higher Blends Infrastructure Incentive Program. The funding will help significantly increase the use of biofuels derived from U.S. agricultural products and prioritize climate-smart solutions that will help rural America.

“Investments like these increase energy options for Kansas consumers,” Fischer said. “By expanding the availability of higher-blend biofuels, we’re also expanding an important market for Kansas farmers.”

Today’s announcement includes investments in California, Connecticut, Florida, Georgia, Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Massachusetts, Michigan, Mississippi, Missouri, Nebraska, New Mexico, New York, North Carolina, Ohio, Oklahoma, Rhode Island, Texas and Wisconsin.

The projects involving Kansas include:

• TA Operating LLC will replace 28 dispensers and two storage tanks at two fueling stations in Salina, Kan. and Gary, Ind. This project is a $190,000 USDA investment and is expected to increase the amount of ethanol sold by 1,104,682 gallons per year. 
• Three G Energy Inc. will replace four dispensers at a fueling station in McPherson, Kan. This project is a $117,000 USDA investment and is expected to increase the amount of ethanol sold by 894,742 gallons per year. 
• Magellan Pipeline Company LP will install a 25,000-barrel storage tank, piping, pumps, gauging, manways, tank insertion heater and insulation, and small biodiesel mechanical building at a location in Kansas City, Kan. It also will install a 10,000-barrel storage tank with piping, pumps, gauging, manways tank insertion heater and insulation, and small biodiesel mechanical building at a distribution facility in Brookline, Mo. This project is a $ 4,884,077 USDA investment and is expected to increase the amount of biodiesel sold by 223,661,458 gallons per year. 

Background:

Today’s announcement marks the one-year anniversary of the Higher Blends Infrastructure Incentive Program. To date, USDA has invested $66.4 million for projects that are expected to increase biofuels sales by 1.2 billion gallons annually.

Through this program, USDA helps transportation fueling and biodiesel distribution facilities offer higher ethanol and biodiesel blends to customers by sharing the costs to install fuel pumps, equipment and infrastructure. For more information on the program, visit www.rd.usda.gov/hbiip. If you’d like to subscribe to USDA Rural Development updates, visit our GovDelivery subscriber page.

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USDA is an equal opportunity provider, employer and lender.

USDA Accepting Applications to Help Cover Costs for Organic Certification

WASHINGTON, Aug. 17, 2021 – Organic producers and handlers can now apply for U.S. Department of Agriculture (USDA) funds to assist with the cost of receiving or maintaining organic certification. Applications for the Organic Certification Cost Share Program (OCCSP) are due Nov. 1, 2021.  

“USDA is here to help all producers, including those who grow our nation’s organic food and fiber. Many farmers have told us that cost was a barrier to their ability to get an organic certification,” said Zach Ducheneaux, administrator of USDA’s Farm Service Agency (FSA). “By assisting with the costs, this program can help organic farmers get their certification along with the benefits that come with it.” 

OCCSP provides cost-share assistance to producers and handlers of agricultural products for the costs of obtaining or maintaining organic certification under the USDA’s National Organic Program. Eligible producers include any certified producers or handlers who have paid organic certification fees to a USDA-accredited certifying agent during the 2021 and any subsequent program year. Producers can be reimbursed for expenses made between Oct. 1, 2020 and Sept. 30, 2021 including application fees, inspection costs, fees related to equivalency agreement and arrangement requirements, travel expenses for inspectors, user fees, sales assessments and postage. 

For 2021, OCCSP will reimburse 50% of a certified operation’s allowable certification costs, up to a maximum of $500 for each of the following categories (or “scopes”):  

·       crops  

·       wild crops  

·       livestock  

·       processing/handling  

·       State organic program fees. 

Organic farmers and ranchers may apply through an FSA county office or a participating state agency.  

This funding will be complemented by an additional $20 million for organic and transitioning producers through the Pandemic Assistance for Producers initiative. More information on that funding will be available in the coming weeks.

More Information 

To learn more about organic certification cost share, please visit the OCCSP webpage, visit usda.gov/organic, or contact your local USDA Service Center. 

In the Biden-Harris Administration, USDA is transforming America’s food system with a greater focus on more resilient local and regional food production, fairer markets for all producers, ensuring access to safe, healthy and nutritious food in all communities, building new markets and streams of income for farmers and producers using climate smart food and forestry practices, making historic investments in infrastructure and clean energy capabilities in rural America, and committing to equity across the Department by removing systemic barriers and building a workforce more representative of America. To learn more, visit http://www.usda.gov. 

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USDA is an equal opportunity provider, employer and lender.