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Eolfc 2013 omaf and mra karen fischer - local food strategy and funding opportunities


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The Eastern Ontario Local Food Conference (EOLFC 2013) provided a great opportunity to share information, learn about success stories and gather information on innovative local food businesses, projects and best practices. The conference was organized by KEDCO (Kingston Economic Development Corporation) and the Ministry of Agriculture and Food and the Ministry of Rural Affairs. The theme of the conference was Innovation Driving Local Food and it was held December 3, 2013 at the Ambassador Hotel in Kingston, Ontario, Canada. This topic is OMAF and MRA's - local food strategy and funding opportunities.

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Eolfc 2013 omaf and mra karen fischer - local food strategy and funding opportunities

  1. 1. Local Food Funding Opportunities
  2. 2. Key Programs Supporting Local Food • The Local Food Fund – LFF is one part of a Local Food Strategy that includes the Local Food Bill, Bill 36. • Growing Forward 2 – Growing Forward 2 is a 5-year federal-provincialterritorial initiative, designed to encourage innovation, competitiveness and market development
  3. 3. Local Food Fund
  4. 4. Program Overview The Local Food Fund (LFF) is a fund that provides up to $10 million in funding per year for three years supporting innovative local food projects that: – reduce barriers to regional economic development; – result in sustainable regional economic development; and – have a positive impact on the Ontario economy
  5. 5. Program Goals and Outcomes Program Goals • • To increase the purchase of Ontario foods; and To contribute to increased economic activity (investment, sales and jobs) • Program Outcomes • • • • • Increased awareness of and celebration of local food Influencing Ontarians to demand and choose more local food Ensuring local food is identifiable and widely available Helping Ontario’s agri-food sector deliver products that consumers want Strengthening local food economies from farm to fork
  6. 6. Eligible Applicants At a minimum, all applicants must meet the following eligibility criteria: • • • • • Be a legal entity Have the authority to enter into a legal agreement Additionally applicants must: Provide financial funding to the project. Have the experience and knowledge to complete the project. A legal entity could include corporations, community or not for profit organizations, primary producers, food processors, distributors, food service, retail, municipalities, industry associations, economic development associations, First Nations, Metis and Inuit, and broader public sector organizations. • Applicant and co-applicant collaborations are not required, but are encouraged
  7. 7. Project Categories Applicants can apply to one of the four LFF project categories: 1. Regional and Local Food Networks 2. Enhanced Technology, Capacity or Minor Capital 3. Research and Best Practices 4. Education, Marketing & Outreach. Projects in the four categories are expected to contribute to the goals of the LFF.
  8. 8. 1. Regional and Local Food Networks • Projects that build capacity along the value food chain to improve access and supply of local foods by information sharing and collaboration between value chain partners. • Projects that aim to strengthen the entire supply chain, but in particular to encourage value chains i.e. individual businesses collaborating and sharing information to take advantage of an opportunity.
  9. 9. Regional and Local Food Networks continued Examples of eligible projects under this category are: • • Projects that support partnerships to promote better understanding between value chain partners such as: networking or educational events; feasibility studies; identification of barriers within the value chain; or the creation or establishment of networks or partnerships along that value chain. Projects that undertake business, industry or client intelligence; business case or strategy development. Examples of ineligible projects under this category are: • • Projects that are primarily intended to pursue export opportunities. Projects that support the continuation of existing business activities or the pursuit of existing markets (e.g. projects that support business as usual are not eligible).
  10. 10. 2. Enhanced Technology, Capacity or Minor Capital Projects that focus on increasing the supply, capacity and distribution of Ontario foods • Examples of eligible projects under this category are: – Transportation or delivery related projects (not rolling stock) – Cold storage related systems – Information sharing systems such as verification or certification systems for local foods; tracking systems to measure procurement of local foods. – Retrofit of existing structures – Supporting or promoting micro processing and community kitchens, one-time or short-term costs for regional food hubs, co-packing • Examples of ineligible projects under this category are: – Major capital such as building a new storage or manufacturing facility, or buying a new refrigerated truck
  11. 11. 3. Research and Best Practices Projects that undertake research and analysis that lead to the development and implementation of recognized best practices. • Examples of eligible research projects under this category are research that: – identifies barriers to purchasing local foods – improves understanding and access to new or improved market opportunities – leads to the development of best practices among value chain player – investigates agricultural products and production practices • Examples of eligible best practices projects under this category are: – testing or piloting new models or approaches that increase access to or awareness of local food – sharing local food best practices (i.e. tools or applications to share knowledge or communicate recognized best practices). • Examples of ineligible projects under this category are research topics: – not directly related to supporting local food (e.g. food safety, lean manufacturing)
  12. 12. 4. Marketing, Promotion and Education • Projects that focus on marketing and promotional activities that improve consumer awareness and demand for local foods. • • • • Examples of eligible projects under this category are: Promotion, marketing or branding events or activities that promote regional or local food specialties such as culinary destinations, organic products, seasonal availability, food festivals. Promotion and marketing of new products. Educational events. • Examples of ineligible projects under this category are: • Marketing/promotional activities focused on markets outside Ontario.
  13. 13. High-Level Program Parameters Local Food Definition • For the purpose of the LFF, “local” means: a) food produced or harvested in Ontario, and b) food and beverages made in Ontario if they include one or more ingredients produced or harvested in Ontario. In-kind Costs • No in-kind contribution eligible for reimbursement, can be used to demonstrate commitment for a project Reimbursement Levels • • Generally up to 50 per cent provincial investment Reimbursement of invoices submitted Caps • No cap on the amount of funding per approved eligible project under the LFF
  14. 14. Stacking • No stacking allowed with provincial government funding programs (e.g. Green Belt Fund – Broader Public Sector Grant Stream or Market Access Grant Stream, Growing Forward 2, Northern Ontario Heritage Fund, Eastern Ontario Development Fund, Southwest Ontario Development Fund, Communities in Transition, Ontario Trillium Foundation, etc.) • Stacking is allowed with federal government funding programs up to 75 per cent of eligible costs from both federal and provincial government sources. • Proof of special need must be provided in the application once a request is made for more than 50 per cent provincial funding.
  15. 15. Eligible Costs • Project Management in the form of: – Consultant fees – Business planning development – Professional fees such as legal, architectural, accounting, etc. that are project related. • Training • Marketing or promotions costs • Travel costs associated with project development and implementation, subject to Provincial directives • Studies and research • Administrative costs directly related to project implementation • Wages for new hires to work 100 per cent on project related activities
  16. 16. Eligible Costs continued • Minor capital including: – Sub-contractor fees – Equipment (e.g. reefer units, cold-storage, washing), structural modifications to accommodate the installation of equipment – Architectural design work, engineering work (studies, environmental assessments, etc.) – Renovations and retrofits to existing structures (materials or supplies and labour to renovate existing space) – Technology upgrades such as computer hardware, software, and network cables – Production expansion (e.g. a new product) to increase local food sales to local markets
  17. 17. Ineligible Costs • Hospitality costs (unless public-facing) • Direct wage subsidies for existing staff. • In-kind contributions. An in-kind contribution is identified as goods and services that are contributed to a project by the applicant and coapplicants that would otherwise have to be purchased or contracted in order to complete the project. • Debt restructuring, fundraising or financing. • Normal or on-going business and production operations not directly related to the project. • Trucks or other vehicles (although refrigeration unit could be eligible). • HST, value added tax or other cost for which a refund or rebate is received.
  18. 18. Ineligible Costs continued • Major capital including: – – – – Land, buildings and major infrastructure Additions to buildings, teardowns or rebuilds Leasing Power lines, plumbing, telecommunications lines or equipment, water lines, etc. outside of the building • Costs incurred prior to the approved project start date or after December 31, 2015 • Costs incurred in preparing an application • Costs of alcohol, international travel, per diems or gifts
  19. 19. Application In-Take Periods Complete applications received during the in-take periods listed below will be assessed and presented to the Rural Economic Development Advisory Panel as a group. These dates align with the RED program in-take periods. 2013 November 1 - December 31 2014 January 1- February 28 March 1 - April 30 May 1 - June 30 July 1 - August 31 September 1 - October 31 November 1 - December 31 2015 January 1 - February 29 March 1 - April 30 May 1 - June 30
  20. 20. Growing Forward 2
  21. 21. From Ideas to Success  Growing Forward 2 is a 5-year federal-provincial-territorial initiative, designed to encourage innovation, competitiveness and market development  Flexible and practical programming options to help producers, processors, organizations and collaborations to grow profits, expand markets and manage risk  Focused on innovation, Growing Forward 2 (GF2) is designed to contribute to the economy, help the agri-food industry be more competitive and enable you to reach your business goals 21
  22. 22. Program Framework: Areas of Focus      Environment and Climate Change Adaptation Animal and Plant Health Market Development Labour Productivity Enhancements Assurance Systems (Food Safety, Traceability, Animal Welfare)  Business and Leadership Development • Innovation is a key component of all areas of focus 22
  23. 23. Program Framework: Desired Outcomes        Use best business and leadership practices Use energy, water and other inputs efficiently Better able to adapt to climate change Maximize labour productivity Access new and emerging markets Retain and expand existing markets Market products by adopting assurance systems and/or adding value such as agri-products and food for health to meet buyer demand  Ability to respond quickly and effectively to risks  Reduce key risks
  24. 24. Program Components No-cost Education:  Environmental Farm Plan  Growing Your Farm Profits  Food Safety Workshops  Traceability Assessments  Biosecurity Workshop Funding Assistance:  Capacity Building: (Skills development, training, audits, assessments, planning)  Project Implementation 24
  25. 25. Producers Established producers:  Are those who produce agriculture commodities and file business and/or farm income/loss taxes in Ontario.  Must have a Premise Identification Number for the farm property where the proposed Capacity Building activity applies and have a valid Farm Business Registration Number or equivalent. New producers:  Are new entrants to the agricultural production industry and have business projections that demonstrate potential annual gross business income of $7,000 or more within three years of applying.  File personal income taxes in Ontario and have not filed taxes as a farm business in the two years previous to applying for GF2 funding.
  26. 26. Processors Processors are businesses that:    Are currently actively engaged and directly involved in the processing, modification, and/or transformation of agricultural commodities, food, beverage or agricultural based bioproducts in Ontario File business and/or farm income/loss taxes in Ontario; and Have a Premises Identification Number New food and bioproducts agri-product processors:     Are new entrants to the food and agri-products processing industry and have business projections that demonstrate potential annual gross business income of $30,000 or more within 3 years of applying File personal income taxes in Ontario Have not filed taxes as a food or agri-products processing business in the two years previous to applying for GF2 funding Have a Premises Identification Number (if processing facility is established) • First Nation food and bioproducts businesses that meet the above criteria are eligible
  27. 27. Organizations  Are any not-for-profit, Ontario-based, legal entity involved in the agriculture, agri-food and agri-based products sector capable of entering into a contract, including, but not limited to: • Associations • Marketing boards • Aboriginal groups  Organizations must have a membership comprised primarily of Ontario residents.  Federal, provincial, territorial government departments or agencies, and academic/research institutions are not eligible organizations.
  28. 28. Collaborations  Combinations of two or more legal for-profit businesses and/or non-profit associations/organizations, and/or academic/research institutions in the agriculture, agri-food, agri-products sector, primarily located in Ontario.  Collaboration funding is intended to support projects that demonstrate benefit beyond the collaboration members. Collaborations are strongly encouraged to involve organizations in the project to ensure results are shared broadly. Lead Applicant:  Be an organization or business located in Ontario  Be the primary point of contact with AAC and enter into a legal agreement with AAC on behalf of the other collaboration members
  29. 29. Collaborations Collaboration Members:  Have an arm’s length relationship from the lead applicant and from the other collaboration members • Organizations and businesses located outside of Ontario may be collaboration members, as long as the supply chain is primarily located in Ontario. The project outcomes must demonstrate benefit to the Ontario agriculture, agri-food and agri-products sector.
  30. 30. Funding Assistance: Intake Dates Year 1 Capacity Building Project Implementation Producers June 26th, ongoing   Processors June 26th, ongoing  Sept 9 - Oct 24  Dec 16 - Jan 30/14 Organizations and Collaborations   June 26th, ongoing   Sept 9 - Oct 24 Dec 16 - Jan 30/14 June 26 - Sept 5 Sept 9 - Oct 24 Oct 28 - Dec 12 Dec 16 - Jan 30/14 Contact OSCIA OMAF AAC 30
  31. 31. Cost-share and Funding Caps Project Project Capacity Building Implementation Total Funding Implementation Cost-share Innovation Cap over Five Cost-share Percentage Cost-share Year Program Percentage Percentage Producers 50% 35% 50% $350,000 Processors 50% 35% 50% $350,000 Organizations and Collaborations 75% 50% Up to 75% $3 Million (Flexible) 31
  32. 32. How to Apply  Enrol through GF2 Client Portal to create your profile using the link at:  Complete application(s) online through the same link  Guidebooks, enrolment and application forms are available online  Ministry staff and delivery partners are available to help Website: 32
  33. 33. Contacts Producers Ontario Soil and Crop Improvement Association (OSCIA) 1-800-265-9751 Processors Ontario Ministry of Agriculture and Food (OMAF) 1-877-424-1300 Organizations Agricultural Adaptation Council (AAC) 519-822-7554 and Collaborations 1-877-424-1300 33
  34. 34. Karen Fischer Agriculture and Rural Economic Development Advisor Ontario Ministry of Agriculture and Food Ministry of Rural Affairs Belleville 613-962-2655