WASHINGTON, Sept. 15, 2009 - Agriculture Deputy Secretary Kathleen Merrigan today announced that 28 organizations in 21 states have been selected to receive $4.8 million in grants to spur economic development and create jobs in rural communities. This announcement comes as part of the 'Know Your Farmer, Know Your Food' initiative, a USDA-wide collaboration that will connect people more closely with the farmers who supply their food and increase the production, marketing and consumption of fresh, nutritious food that is grown locally in a sustainable manner.

"The cooperative business model continues to be a successful in creating wealth in rural communities and can also play an important role in strengthening our food systems," Merrigan said. "USDA is proud to be a partner in the effort to bolster these cooperatives and help them increase the value and appeal of the products and services they deliver."

For example, Rural Development is awarding a $200,000 grant to The Ohio State University Research Foundation to support the foundation's efforts to help individuals and new and emerging cooperative business entities. The Foundation will provide technical assistance to a statewide farmers' market management network cooperative, and a newly formed purchasing cooperative for businesses in Appalachia.

Meanwhile, the Value-Added Agriculture Development Center in Pierre, S.D., has been selected to receive a $200,000 grant to continue supporting the creation of producer-owned, value-added agriculture. The Center will help local growers educate the public, lenders and producers about the benefits of value-added agriculture. These efforts often increase sales of locally grown crops in addition to increasing local agriculture's contribution to area residents' health and to the local economy.

The grants announced today are being provided by USDA Rural Development's Rural Cooperative Development Grant program. The funds may be used for technical assistance, research and informational materials to help rural residents form cooperative businesses or improve the operations of existing cooperatives. These grants are part of USDA Rural Development's annual budget and are not funded through the American Recovery and Reinvestment Act of 2009.

Below is a complete list of the selected grant recipients. Funding of each recipient is contingent upon the recipient meeting the conditions of the grant agreement.

Alabama:

Federation of Southern Cooperatives/Land Assistance Fund - $200,000 grant

Alaska:

University of Alaska Anchorage - $197,783 grant

California:

California Cooperative Development Center - $200,000 grant

Colorado:

Rocky Mountain Farmers Union Educational & Charitable Foundation - $200,000 grant

Georgia:

Southwest Georgia United Empowerment Zone Inc. - $50,000

Indiana:

Indiana Cooperative Development Center, Inc. - $126,521 grant

Iowa:

Iowa State University - $200,000 grant

Kentucky:

Kentucky Center for Agriculture and Rural Development - $200,000 grant

Massachusetts:

Cooperative Development Institute - $200,000 grant

Michigan:

Michigan State University - $200,000 grant

Montana:

Montana Cooperative Development Center, Inc. - $200,000 grant

Lake County Community Development Corporation - $99,696 grant

Fort Peck Assiniboine & Sioux Tribes - $50,000 grant

Nebraska:

University of Nebraska - $200,000 grant

North Carolina:

North Carolina State University - $200,000 grant

North Dakota:

North Dakota Association of Rural Electric Cooperatives - $200,000 grant

Common Enterprise Development Center - $200,000 grant

ABLE Inc. - $50,000 grant

Griggs Steele Empowerment Zone - $30,600 grant

Ohio:

Kent State University - $200,000 grant

The Ohio State University Research Foundation - $200,000 grant

National Network of Forest Practitioners - $200,000 grant

Oklahoma:

East Central University - $199,966 grant

Pennsylvania:

Keystone Development Center, Inc. - $200,000 grant

South Dakota:

Value-Added Agriculture Development Center - $200,000 grant

Virginia:

Virginia Foundation for Agriculture, Innovation & Rural Sustainability - $200,000 grant

Washington:

Northwest Cooperative Development Center - $200,000 grant

Wisconsin:

Cooperative Development Services, Inc. - $200,000 grant

USDA Rural Development's mission is to increase economic opportunity and improve the quality of life for rural residents. Rural Development fosters growth in homeownership, finances business development, and supports the creation of critical community and technology infrastructure. Further information on rural programs is available at a local USDA Rural Development office or by visiting USDA Rural Development's web site at www.rurdev.usda.gov/rbs/coops/csdir.htm.

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