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Local Food Infrastructure Grant (LFIG) - Frequently Asked Questions

Responses to Application Questions

General LFIG Information

What is the timeline for the Grant?

Application Opens: February 18, 2026

Application Closes: March 27, 2026

Final Awards Sent: May 1, 2026

Funding must be spent by: June 30, 2026 

How much funding can I apply for?

An individual project is eligible for a grant of $1,000-$75,000 [505 ILCS 92/15(2(B)].

A collaborative project is eligible for a grant of $1,000-$250,000 [505 ILCS 92/15(2(A)]. In a collaborative project, only the entity identified as the lead in the application will receive the grant funds.

Is a match required for LFIG funding?

Matching funds (i.e. comparable investments) are not required for high need projects. 

 

All other projects require a 25% match. 

 

  • The recipient's comparable investments may be provided in cash, cash-equivalent investments, bonds, irrevocable letters of credits, time and labor, or any combination of those matching fund sources.

  • Acceptable providers of matching funds include, but are not limited to, commercial, municipal, and private lenders; leasing companies; and grantors of funds. [505 ILCS 92/15(3)]

Application Assistance

How do I pre-register?

1. Register in SAM.gov

 

 

2. State law requires entities to register and pre-qualify online with GATA before applying for a state grant.  Please verify that your organization/entity is in good standing with GATA and has an account on the  GATA Grantee Portal

 

3. Register on IL.amplifund.com

 

For additional help, refer to this video, which outlines the requirements for grant applicants from the State of Illinois: https://www.youtube.com/watch?v=IB_oEc4Y2Dg

Where can I get assistance registering with SAM.gov?
Where can I get assistance creating a GATA Account?
Where can I get assistance with the Amplifund/Euna grants portal?
Where can I go to receive help with my application?

Is it possible to receive an LFIG application in a language other than English?

While the Amplifund/EUNA application process is primarily in English, applicants can utilize Google Translate using the Google Chrome browser.

Eligibility

Who is eligible to apply for LFIG funding?

  • An entity that is an Illinois resident. [505 ILCS 92/20(c)]
  • Applicants must comply with all relevant State and federal laws and rules, including prevailing wage requirements, when applicable.
  • To be eligible for a grant award, an applicant shall have an active GATA registration and be qualified on the GATA Grantee Portal and SAM.gov at the time the application is submitted.
  • The entity must store, process, package, aggregate or distribute value-added agricultural products or plan to do so, and must be one of the following [505 ILCS 92/15(1)]:
    • An Illinois farm with fewer than 50 employees. [505 ILCS 92/15(1)(A)].
    • An Illinois cooperative with fewer than 50 employees.  "Illinois Cooperative" means a co-operative association organized under the Agriculture Co-Operative Act [805-ILCS 315] or the Co-operative Act [805 ILCS 310] or a limited worker cooperative association organized under the Limited Worker Cooperative Association Act [805 ILCS 317].
    • An Illinois slaughter and/or processing facility with fewer than 50 employees [505 ILCS 92/15(1)(C)]. Slaughter and/or processing facilities must be USDA or state licensed or be a custom exempt slaughter and/or processing facility.
    • An Illinois food business with fewer than 50 employees [505 ILCS 92/15(1)(D)].
    • An Illinois food hub with fewer than 50 employees [505 ILCS 92/15(1)(E)].
    • An Illinois nonprofit organization [505 ILCS 92/15(1)(F)].
    • A unit of local government in Illinois [505 ILCS 92/15(1)(G)].

What expenditures qualify for reimbursement through LFIG funding?

All grant funding must be used for purchasing, leasing to own, renting, building or installing infrastructure related to the processing, storage, aggregation, or distribution of value-added agricultural products. [505 ILCS 92/15(4)]

 

Allowable expenses include, but are not limited to, costs to purchase, lease, or install:

  • Equipment used in the production of value-added agricultural products [505 ILCS 92/15(4)(A)].
  • Sanitizing equipment.
  • Milling or pressing equipment [505 ILCS 92/15(4)(B)].
  • Honey processing equipment and packaging including mini extractors lines, extractors, uncappers, dehydrators, creamers, warmers, heated sumps, bottling tanks and bottlers.
  • Syrup processing equipment and packaging including syrup evaporators, cookers, finishers, canners and bottlers.
  • Creamery or milk product processing and packaging equipment [505 ILCS 92/15(4)(C)].
  • Food hub development or expansion [505 ILCS 92/15(4)(D)].
  • Cooler walls, freezers and refrigeration units [505 ILCS 92/15(4)(E)].
  • Grading, packing, labeling, packaging, or sorting equipment [505 ILCS 92/15(4)(F)].
  • Refrigerated trucks [505 ILCS 92/15(4)(G)].
  • Custom exempt mobile slaughter units that meet all Federal and State regulations, including being licensed as an IDOA Type II slaughter/processing facility [505 ILCS 92/15(4)(H)].
  • Livestock, meat, and poultry, processing equipment (including fixtures or equipment necessary to expand animal throughput, processing capacity, the amount or type of products produced or processing speed, equipment necessary for compliance with federal hazard analysis and critical control point (HACCP) plan) [505 ILCS 92/15(4)(H)].
  • Agroforestry processing equipment [505 ILCS 92/15(4)(I)].
  • Local fish, wild caught fish, and shrimp processing [505 ILCS 92/15(4)(J)].
  • Aquaponic and or hydroponic equipment.
  • Equipment for school meal scratch cooking (including, but not limited to refrigerators, freezers, ovens (convection, combi, or steamer), warming/holding equipment, serving tables (hot or cold), milk coolers, or dish machines.

What expenditures do not qualify for reimbursement through LFIG funding?

  • Labor, marketing, or promotion or for the costs of production agriculture, including the costs for the purchase of hoop houses, irrigation, breeding, animal housing or other infrastructure related to starting or increasing agricultural production. [505 ILCS 92/15(4)]
  • Wages or travel costs.
  • Portions of a project that have already received funding or been reimbursed by another federal or state grant program.
  • Purchase or rental of a building or facility.
  • Land acquisition or associated fees.
  • Grant funding cannot be used to recoup previously-spent money on the project

Does the eligibility requirement of “less than 50 employees” mean all at the same time or does it encompass all employees over a given period of time?

The 50‑employee threshold refers to the concurrent number of employees over a year, not the maximum number working at the same time. Seasonal or temporary increases (e.g., harvest, agritourism weekends, deer season) do not affect eligibility.

What are specific examples of "value-added agricultural products" that are eligible for funding?

Value-added agricultural products refer to products that have been processed or transformed in a way that increases their market value beyond the raw commodity stage. Examples of value-added agricultural products include but are not limited to: grain-based products milled from grains, pasta or snacks made from wheat or corn, dairy products such as cheese, yogurt, or ice cream made from milk, meat products such as sausages, smoked meats or jerky, beverages such as cider or juice made from produce, and specialty and organic products such as packaged vegetables or salad mixes.

Can I purchase land using Local Food and Infrastructure Grant Funding?

No. Land acquisition and associated fees are listed as ineligible costs under the Local Food Infrastructure Grant Administrative Rules (Section 340.30, b5).

Can funds be used for labor, marketing, or for production agriculture?

No. Labor, marketing, or promotion or for the costs of production agriculture, including the costs for the purchase of hoop houses, irrigation, breeding, animal housing or other infrastructure related to starting or increasing agricultural production. [505 ILCS 92/15(4)]

Can funds be used for wages or travel costs?

No. Wages and travel costs are listed as ineligible costs under the Local Food Infrastructure Grant Administrative Rules (Section 340.30, b2).

Can I use grant funds for a project that has already received other state or federal funding?

No. Portions of a project that have already received funding or been reimbursed by another federal or state grant program are ineligible. (Section 340.30, b3).

Is the purchase or rental of a building or facility an eligible expense?

No. Purchase or rental of a building or facility is ineligible under the Local Food Infrastructure Grant Administrative Rules (Section 340.30, b4).

Are projects that are already in progress eligible? Can an entity or entities apply for funding for projects that have already started?

Yes, applicants may apply for funding for a project that is already in progress. The project proposal will need to clearly show how LFIG funding will help the project succeed. Grant funding would need to be used to complete any unfunded portions of the project that qualify under the eligible costs.

Note: grant funding is not intended to be used to repay prior debt payments nor to meet the match requirements of another grant.

Can LFIG funding be used for land improvements, like fencing or to increase farm acreage?

No, the Local Food and Infrastructure Grant is not intended to be used for land improvements nor to increase farm acreage.

My entity does not file IRS Form 941 or Illinois Form UI-3/40. Payments for services are reported on IRS Form 1099s. What should I supply as proof of the number of employees as required in the application?

If Individuals providing services for your entity have their earnings reported on IRS Form 1099, they are independent contractors and are not included in the employee count as related to this grant application.  If you have no employees, please provide a statement to that effect.

 

For employees, generally, you must withhold and deposit income taxes, Social Security taxes and Medicare taxes from the wages paid to an employee. Additionally, you must also pay the matching employer portion of Social Security and Medicare taxes as well as pay unemployment tax on wages paid to an employee. For proof of the number of employees, please provide IRS Form 941 for the four quarters preceding application, Illinois Form UI-3/40 Employer's Contribution and Wage report for the four quarters preceding application. [8 Ill. Adm. Code 340.60(c)(5)]

Collaborative Projects

What are the detailed criteria that differentiate a "collaborative project" from an "individual project" for grant funding?

An individual project involves a single Illinois entity applying for funding to benefit its own operation. The applicant maintains full ownership and control of the project and is solely responsible for its execution and reporting. In contrast, a collaborative project involves two or more Illinois entities working together on a project. The defining characteristic of a collaborative project is that it provides mutual benefit to all participants rather than serving only one entity. The key differences lie in the number of participants, the scope of benefits, and the requirement for documented collaboration.

Do all entities in the collaborative project need to meet eligibility requirements of the grant?

Yes. All entities must meet the eligibility requirements. Eligibility requirements for the grant can be found in the eligibility section of this FAQ.

Do all entities need to meet the eligibility requirement of “less than 50 employees?”

Yes, each entity must meet the eligibility requirements. The 50 employee threshold refers to the total number of employees working at the same time during the year, not the cumulative number employed over the entire year. Seasonal or temporary increases (e.g., harvest, agritourism weekends, deer season) do not affect eligibility.

Definitions

How does an entity meet the Illinois Resident requirement?

"Illinois Resident" means an entity that is registered to do business in Illinois and has its home-base of operations in Illinois as proven by a valid W9. 

What entities are considered a “small farm?”

"Small Farm" shall have the same meaning as in the United States Department of Agriculture Census of Agriculture:  a commercial or noncommercial farm operation with a gross cash farm income (GCFI) of less than $350,000. (Documentation needs to be attached to verify.)

What entities are considered a “very small farm?”

"Very Small Farm" shall have the same meaning as in the United States Department of Agriculture Census of Agriculture:  a commercial or noncommercial farm operation with annual sales of $2,500 or less. (Documentation needs to be attached to verify.)

What entities are considered a “"Food Business" or "Food Sector Business?”

"Food Business" or "Food Sector Business" means institutions engaged in producing, processing, distributing, and selling foods; or the business of production of food and fiber, ranching and raising of livestock, aquaculture, and all other farming and agricultural related industries.

What differentiates a "collaborative project" from an "individual project?"

An individual project involves a single Illinois entity applying for funding to benefit its own operation. The applicant maintains full ownership and control of the project and is solely responsible for its execution and reporting. In contrast, a collaborative project involves two or more Illinois entities working together on a project. The defining characteristic of a collaborative project is that it provides mutual benefit to all participants rather than serving only one entity. The key differences lie in the number of participants, the scope of benefits, and the requirement for documented collaboration.

Application Evaluation

What factors will determine the scoring or approval of my application?

Projects will be evaluated by the grant administrator based on the following considerations:

  • Reasonable assurance of increasing the availability and accessibility of Illinois agricultural products among Illinois communities [505 ILCS 92/20(d)(1)].
  • Adequate and realistic budget projection [505 ILCS 92/20(d)(2)].
  • Eligibility requirements.
  • Cost eligibility.

 

Points will be awarded for proposals that:

  • Have established favorable community support [505 ILCS 92/20(e)(1)].
  • Increase the availability of Illinois agricultural products to underserved communities in Illinois [505 ILCS 92/20(e)(2)].
  • Positively impact underserved farmers in Illinois [505 ILCS 92/20(e)(3)].
  • Are submitted by established farmers and food businesses [505 ILCS 92/20(e)(4)].
  • Facilitate long-term economic development in the local food sector [505 ILCS 92/20(e)(5)].
  • Demonstrate comparable investments by the anticipated recipient [505 ILCS 92/20(e)(6)].
  • Are for high need projects [505 ILCS 92/20(e)(7)].
  • Are submitted by small and very small farms and food businesses [505 ILCS 92/20(e)(8)].
  • Are from organizations led by historically underserved farmers and food business owners.

Will my entity qualify as “established” for the purpose of receiving points for being an established farmer or food business, as defined in 8 Ill. Adm. Code 340.60(b)?

"Established" means an entity that has been doing business in the agricultural or food sectors for at least three years. [8 Ill. Adm. Code 340.10(b)]

 

Points will be awarded for proposals from established farmers and food businesses. [8 Ill. Adm. Code 340.60(b)]

 

For proof of "established": at least two types of documentation per year for at least three years, including:
A) Documentation from a source other than the applicant of the date the business was started in Illinois.
B) Documentation from government agencies of the business' operations or activities; tax records; media coverage describing the project or business's first actions (or prior actions so long as they meet the definition of "established" in the rules). [8 Ill. Adm. Code 340.60(c)]

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