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(2) catastrophe management;

(3) valuing and trading ecological services;

(4) energy conservation, biomass energy and bio-based materials development; (5) forest fragmentation:

(6) carbon sequestration and climate change; and

(7) ways of fostering healthy forests and a globally competitive forest resources

sector.

Additionally, M/S funds should be allocated to the following high priority issues:

(1) science of integration (ecosystem or landscape approaches including interdisciplinary multi-state projects);

(2) forest ecosystem services;

(3) human attitudes and behaviors;

(4) conflict, uncertainty, and decision-making;

(5) technological advancements (biotechnology, nanotechnology and geospatial technology), productivity, and forest applications; and

(6) urban ecosystems.

Funding is provided to the States through a formula-based allocation process which depends on several factors. First, a base amount (approximately $25,000) is allocated to each State; however, this base amount is excluded from the formula. The balance of funding to each State is determined through a ranking process and dependent upon the following three factors:

(1) forty percent of the remaining balance is allocated based on the area of non-Federal commercial forest land;

(2) forty percent is allocated based upon the volume of timber cut annually from stock; and

(3) twenty percent is allocated based on the total expenditures for forestry research from non-Federal sources.

Funds are then distributed to the eligible State-certified Institutions within the State as determined by the Governors designee. pplications may be submitted by State-certified Schools of Forestry as stipulated in accordance with Section 2 of Public Law 87-788, McIntire-Stennis Act. Section 7412 of the Food, Conservation, and Energy Act of 2008 amended Section 2 of the McIntire-Stennis Cooperative Forestry Act (16 U.S.C. 582a-1) to include the 1890 Land-grant Institutions and made this change effective October 1, 2008. (1) Approved CSREES M/S Projects, CSREES will fund the M/S Program for authorized activities. Funds must be expended on approved M/S projects.

(2) Cost-Sharing and Matching funds are mandated in Section 4 of the McIntire-Stennis Act (16 U.S.C. 582a-3). 7 CFR 3015.50-56 prescribes the standards applicable to determining the allowability of cash and in-kind contributions for matching funds. Matching funds also must be expended on approved M/S projects. Formula grant recipients are to provide matching (as detailed in Part VIII.A.6 of the Formula Grant Opportunity (FGO)), either cash or in-kind, on a dollar-for-dollar basis (100 percent) on all Federal funds allotted. Eligible institutions located in insular areas (i.e., American Samoa, Guam, Micronesia, Northern Marianas, Puerto Rico, and the Virgin Islands) are not required to match amounts at or below $100,000, if the allocation is below $200,000.

(3) Waiver of Indirect Costs. Only applicable to Insular Areas (i.e., American Samoa, Guam, Micronesia, Northern Marianas, Puerto Rico, and the Virgin Islands) for amounts at or below $200,000.

(4) Indirect Costs and Tuition Remission. In accordance with Section 1473 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3319), indirect costs and tuition remission are unallowable as an M/S formula grant or matching expenditure. Fully discretionary. Applicant Eligibility:

Funds are appropriated by Congress for distribution to State institutions certified as eligible by a State representative designated by the Governor of each State. Funds are apportioned among States by the Secretary of Agriculture after consultation with a National Advisory Council representing the Statecertified forestry schools and other groups concerned with forestry research. This program is also available to Guam, Puerto Rico, the Virgin Islands,

American Samoa, Northern Mariana Islands, and Micronesia.

Beneficiary Eligibility:

Funds are appropriated by Congress for distribution to State institutions certified as eligible by a State representative designated by the Governor of each State. Funds are apportioned among States by the Secretary of Agriculture after consultation with a National Advisory Council representing the Statecertified forestry schools and other groups concerned with forestry research. This program is also available in Guam, Puerto Rico, the Virgin Islands, American Samoa, Northern Mariana, and Micronesia.

Credentials/Documentation:

No Credentials or documentation are required. This program is excluded from coverage under OMB Circular No. A-87.

Preapplication Coordination:

All Formula Grant Opportunities (FGOS) are published on the Agencys website and Grants.gov. Applicants must complete the Grants.gov registration process. Please see the following Grants.gov link for more information: http://www.grants.gov/applicants/get_registered.jsp.

NIFA Applications (R&R Other Project Information - Section 4.4) requires a response to the question regarding "Actual or Potential Impact on the Environment." For this program the response is "No.". Environmental impact information is not required for this program. This program is excluded from coverage under E.O. 12372. Application Procedures:

This program is excluded from coverage under OMB Circular No. A-102. OMB Circular No. A-110 applies to this program. Applications should be submitted as outlined in the FGO. Applications must follow the instructions provided per Grants.Gov. Applicants are required to submit applications in response to both an interim FGO and a final FGO. The final FGO reflects the final formula allocations for the current fiscal year (FY). Award Procedure:

Funding is provided to the States through a formula-based allocation process which depends on several factors. First, a base amount (approximately $25,000) is allocated to each State; however, this base amount is excluded from the formula. The balance of funding to each State is determined through a ranking process and dependent upon the following three factors: (1) forty percent of the remaining balance is allocated based on the area of non-Federal commercial forest land; (2) forty percent is allocated based upon the volume of timber cut annually from stock; and (3) twenty percent is allocated based on the total expenditures for forestry research from non-Federal sources. Funds are then distributed to the eligible State-certified Institutions within the State as determined by the Governors designee. All individual MS projects, as well as the annual Programs of Research, are reviewed and approved by the National Program Leader (NPL). Funds are not released on a quarterly basis unless an annual Program of Research is approved by the NPL. Deadlines:

Contact the headquarters or regional office, as appropriate, for application deadlines.

Range of Approval/Disapproval Time:

From 30 to 60 days. Dates for specific deadlines are announced in the FGO each fiscal year (FY).

Appeals:

Not Applicable. Renewals:

Not applicable, each year of funding is awarded as a new grant.
Formula and Matching Requirements:

Statutory Formula: Public Law 87-778. 76 Stat. 806, 16 U.S.C. 582a, et seq. Matching Requirements: Percent: 100.%. Funding is provided to the States through a formula-based allocation process which depends on several factors. First, a base amount (approximately $25,000) is allocated to each State; however, this base amount is excluded from the formula. The balance of funding to each State is determined through a ranking process and dependent upon the following three factors: (1) forty percent of the remaining balance is allocated based on the area of non-Federal commercial forest land; (2) forty

percent is allocated based upon the volume of timber cut annually from stock; and (3) twenty percent is allocated based on the total expenditures for forestry research from non-Federal sources. Funds are then distributed to the eligible State-certified Institutions within the State as determined by the Governors designee. Formula grant recipients are to provide matching [as detailed in Part VIII.A.6 of the Formula Grant Opportunity (FGO)], either cash or in-kind, on a dollar-for-dollar basis (100 percent) on all Federal funds allotted. Eligible institutions located in insular areas (i.e., American Samoa, Guam, Micronesia, Northern Marianas, Puerto Rico, and the Virgin Islands) are not required to match amounts at or below $100,000, if the allocation is below $200,000. MOE requirements are not applicable to this program.

Length and Time Phasing of Assistance:

M/S funds are expected to be fully expended in the fiscal year (FY) of appropriation; however funds may be carried forward one (1) additional fiscal year (FY). These carryover funds must be fully expended by September 30 of the following year. No prior approval to carryover these funds is required from NIFA. Method of awarding/releasing assistance: quarterly.

Reports:

Institutions are expected to submit an annual Program of Research, a listing of all approved McIntire-Stennis projects for said institution. Institutions must submit a Form AD-416, Work Unit Description; Form AD-417, Project Classification; CSREES-2008, Assurance Form; and Project Proposal through the Current Research Information System prior to the initiation of each M/S project. The project must undergo a review process and be approved before it is incorporated into the Program of Research. Each institution shall submit a CRIS Form AD-421, Accomplishments Report, annually for each eligible project. Reports from institutions reporting on a calendar year shall be submitted by April 1, 2010 for the preceding calendar year. Reports from institutions reporting on a fiscal year shall be submitted by February 1, 2010 for the preceding fiscal year.

An Accomplishments Report, CRIS Form AD-421, shall be submitted to CSREES for each completed or terminated project. Such reports shall be submitted at the same time as are progress reports on active projects and should include a brief summary of accomplishments for the entire life of the project.

A CRIS Form AD-419, Financial and Staff Support Report, shall be submitted to CSREES annually for all projects. CRIS Form AD-419 reports are also required for expenditures on all State projects that are to be included in the non-Federal funds and matching funds computation. Reports shall be made on a fiscal year basis and are to be submitted by February 1, 2010.

Institutions are required to submit the SF-425, Federal Financial Report, per Agency instructions. NIFA uses the SF-425, Federal Financial Report to monitor cash. Grantees are to submit initial project information and annual summary reports to NIFAs electronic, Web-based inventory system that facilitates both grantee submissions of project outcomes and public access to information on Federally-funded projects. The details of the reporting requirements are included in the award terms and conditions. Institutions are required to submit the SF-425, Federal Financial Report per Agency instructions. The office listed below provides agency oversight of these reports:

Formula Grant Branch

Awards Management Division

Office of Grants and Financial Management (OGFM)

National Institute of Food and Agriculture (NIFA)

U.S. Department of Agriculture (USDA)

STOP 2298

1400 Independence Avenue, SW

Washington, DC 20250-2298

Telephone: (202) 401-6520

Fax: (202) 690-3002

E-mail: formulagrantquestions@nifa.usda.gov. Grantees are to submit initial project information and annual summary reports to NIFAS electronic, Web-based inventory system that facilitates both grantee submissions of project outcomes and public access to information on Federally-funded projects. The details of the reporting requirements are included in the award terms and conditions.

Audits:

In accordance with the provisions of OMB Circular No. A-133 (Revised, June 27, 2003), "Audits of States, Local Governments, and Non-Profit Organizations," nonfederal entities that expend financial assistance of $500,000 or more in Federal awards will have a single or a program-specific audit conducted for that year. Nonfederal entities that expend less than $500,000 a year in Federal awards are exempt from Federal audit requirements for that year, except as noted in Circular No. A-133. Audits will be conducted in accordance with guidelines established in the revised OMB Circular No. A-133 and implemented in 7 CFR 3052. This program is also subject to audit by the cognizant Federal audit agency and the USDA Office of Inspector General. Records:

In accordance with the Uniform Administrative Requirements for Grants and Agreements with Institutions of Higher Education, Hospitals, and other Non-profit Organizations [2 CFR 215, Subpart C, Section 215.53, (OMB Circular A-110)] grantees shall maintain separate records for each grant to ensure that funds are used for authorized purposes. Grant-related records are subject to inspection during the life of the grant and must be retained at least three (3) years. Records must be retained beyond the three-year period if litigation is pending or audit findings have not been resolved. Account Identification:

12-1500-0-1-352.

Obligations:

(Formula Grants (Apportionments)) FY 11 $31,110,110; FY 12 est $31,077,985; and FY 13 est $31,083,439 - The difference between the appropriation and obligation numbers reflects legislative authorized set-asides deducted as appropriate, and in some cases the availability of obligational authority from prior years.

Range and Average of Financial Assistance:

If minimum or maximum amounts of funding are established, these will be announced in the Initial and/or Final Formula Grant Opportunity (FGO). PROGRAM ACCOMPLISHMENTS:

Fiscal Year 2011: $32,934,000 was appropriated by Congress for the McIntire-Stennis Cooperative Forestry Research Program. After deducting administrative costs and other assessments, the total amount going to States was $31,110,110 with a corresponding match of $30,833,716. All these funds supported a total of more than 700 projects of which 157 are new. Accomplishments include:

1. Low nutrient availability limits growth rates on many forest plantations in the southeastern United States. North Carolina State University s nutrition research on southern pine plantations including weed control and tillage has established prescriptive fertilization rates. Over 1.5 million acres of southern pine plantations are now fertilized annually. One year of fertilization results in the production of at least an additional 30 million tons of southern pine wood. Diagnostic tools, prescriptions, and response information are now available and play a key role in the adoption of and wise use of fertilizers as a silvicultural tool.

2. Currently used wood adhesives are predominately derived from non-renewable petrochemicals and may contain hazardous formaldehyde. Oregon State University has successfully developed an environmentally friendly wood adhesive from soybean flour. The adhesive is currently used in the commercial production of interiorly used plywood panels. One of the adhesives has been successfully commercialized for production of plywood and particleboard in a number of plants.

The emission of volatile organic compounds and hazardous air pollutants in each plant has been reduced by 90% by replacing the urea-formaldehyde resin with this new alternative adhesive. It is estimated that plywood plants adopting this technology consumed about 26,000,000 lbs of soy flour in one year and that particleboard plants will consume additional 15,000,000 lbs of soy flour per year after its full conversion.

3. Accidental or diffuse release of pollutants from urban and industrial areas, including those resulting from widespread application of agrochemicals, clearly

impinges on the quality of surface and ground water. Thus, it is important to develop cost-effective methods to cleanup contaminated water. The University of Massachusetts develops a novel and value-added avenue for forest thinnings and other wood wastes through basic understanding of their chemical and physical properties that promote the attenuation of pollutants (both organic and inorganic contaminants) from contaminated water. The results of this project suggest aromatic moieties and polarity of Aspen wood fibers play significant roles in polyaromatic hydrocarbons (PAHs) sorption and desorption. .Aspen wood fibers are a potential sorbent for organic contaminants from waste water. Chemical modifications of the wood matrix can effectively increase its sorption and cleanup efficiency.

4. As systemic problems of declining environmental quality due to impacts of modern intensive row-crop agriculture continue to escalate from local to regional scales in the Midwestern U.S., there is a need to integrate more holistic, integrated and ecologically-based approaches to producing food, fiber, and fuel while sustaining communities and economies. Iowa State University research is demonstrating that diverse perennial vegetation (native prairie plantings, encroached and restored oak savannas) provide important ecological functions related to the uptake and cycling of water, nutrients, and carbon, and that their incorporation into annual cropping systems can reduce losses of key resources and enhance overall sustainability of agricultural landscapes.

These results are providing a scientific basis for strategically incorporating perennial plants into agricultural systems to achieve multiple environmental and societal benefits, thereby serving as a guideline for developing more effective agricultural policies that take into account the ecosystem services afforded by diverse, perennial-based agroecosystems.

5. Increasing dependency on fossil power is true in the forest products industry both in the field (harvest) and in the mill (product conversion). The University of Georgia, using Langdale Industries Inc. as the experimental site, examined the efficacy of economically chipping unmerchantable forest understory and logging slash for biomass conversion to fuel for co-generation facilities. Chipping unmerchantabile understory and logging slash did not negatively impact round wood production, but provided a source of chips to the mill below average market prices for fuel chips. The energy balance for these chips had a ratio of 44:1 delivered to the mill, one of the best ratios for any feedstock. Using mill residues and these fuel chips, Langdales OSB mill is now fossil-fuel independent. Fiscal Year 2012: $32,934,000 was appropriated by Congress for the Program for FY 2012. The net amount awarded to support the different programs was $31,077,985. Each recipient of the grant is expected to match the grant amount 100%. For this year the actucal amount is not yet available.

Accomplishments have not yet been reported. Fiscal Year 2013: 2013
Appropriations have not been approved but it is expected to be similar to 2012
appropriations based on Appropriations Committee deliberations.
REGULATIONS, GUIDELINES, AND LITERATURE:

Administrative Manual for the McIntire-Stennis Cooperative Forestry Research
Program, (manual is currently under review); 7 CFR Part 3015, USDA
Uniform Federal Assistance Regulations; 7 CFR Part 3017, Government wide
Debarment and Suspension (Nonprocurement); 7 CFR Part 3018, New
Restrictions on Lobbying; 7 CFR Part 3019, Uniform Administrative
Requirements for Grants and Agreements with Institutions of Higher Education,
Hospitals, and Other Non-profit Organizations; and 7 CFR Part 3021 USDA
implementation of Governmentwide Requirements for Drug-free Workplace
(Financial Assistance).

Regional or Local Office:

None.

Headquarters Office:

USDA, NIFA, National Program Leader, Institute of Bioenergy, Climate and Environment Division of Environmental Systems, 1400 Independence Avenue, SW., STOP 2210,, Washington, District of Columbia 20250-2210 Phone: (202) 720-5229 Fax: (202) 720-3945

Website Address:

http://www.nifa.usda.gov/

RELATED PROGRAMS:

Not Applicable.

EXAMPLES OF FUNDED PROJECTS:

Fiscal Year 2011: Quantifying Forest Ecosystem Structure and Functioning Related To Changes In Air Quality In The Southern United States: Ecosystem productivity is affected by many environmental factors. Stresses induced by changes in both the physical and chemical climate of the Earth may have a dramatic effect on the growth and function of southern forested ecosystems. The overall goal of this project is to determine the effects of changes in air quality on forested and associated ecosystems structure and function. Results will provide critically needed data on physiological and growth responses of mature trees and associated herbaceous species in the field under a range of ambient air pollution exposure regimes. To meet the overall goal three major objectives have been formulated:

1. Delineate the exposure-response relationship between selected air pollutants and growth of mature forest trees in the eastern United States.

2. Determine the effects of air pollutants on the structure and function of select native plant communities.

3. Estimation of carbon storage and air pollution removal by the urban forest and comparison among forest types in a small, expanding southern metropolis.

Improving Profitability of Forest Operations in The Southern United States
Through Incorporation of Ecosystem Services:

This project focuses on examining the feasibility of providing ecosystem services by two Southern U.S. forestry stakeholder groups: non-industrial private forest landowners (NIPF) and primary forest products manufacturers. The study will examine willingness of NIPF landowners to provide ecosystem services such as game and non-game wildlife habitat, recreational leasing, wetland banking, and carbon sequestration. Also, it will determine capacity of primary forest products manufacturers to participate in biomass and carbon markets by utilizing logging residues for bioenergy production and reduction of carbon dioxide (CO2) emissions. Two mail surveys will be conducted at the beginning of the study to determine landowner willingness to provide ecosystem services and capacity of Southern mills to utilize logging residues and reduce CO2 emissions. An additional mail survey will be conducted in the study mid-term to examine feasibility of incorporating utilization of woody residues into bioenergy clusters.

New Systems For Controlling Transportation Costs in The Pacific Northwest's Bioenergy Supply Chain

Forest residues, agricultural residues and urban waste have been identified as three of the large sources of raw material available for bioenergy conversion in the USA. Perlack et al. (2005) note that over a billion dry tons per year would be available from forest and agricultural sources and from recycled wood from urban waste. OREAP notes that, although investment in forest and other biomass conversion to energy will lead to multiple environmental, economic and social benefits, "the high cost of gathering and transporting [this raw material] to an energy conversion facility continues to be [a] barrier to economic biomass development." Oregon is not alone in having such concerns. The Roadmap identified "reducing the cost of harvesting, transportation, and storage" as a major barrier to overcome in biomass feedstock systems. The long-term goal of this project is to remove one of the barriers to economic biomass development by reducing biomass transportation costs. This will be achieved by adopting a systems. Fiscal Year 2012: Synthesis of Novel Biomass-Based Polymeric Materials For Composite Application: Abundant and renewable biomass provides a great potential for the discovery and development of novel materials and polymers. These sustainable materials can serve as important substitutes to replace petroleum-based chemicals and products. Chemical synthesis of carbohydrates-based biomaterials has attracted substantial amount of attention associated with energy production. Furan resin can be produced by polymerization of furans with phenol or urea. However, the production of furan through hydrolysis and dehydration of biomass is limited by low yield and lack of selectivity. We propose a "Synthesis of novel biomass-based polymeric materials for composite application" through one-pot innovative polymerization system with urea and hemicellulose stream, will

overcome this bottleneck and efficiently synthesize new polymer for potential composite application. The long term goal of this research is to discover and develop value added biomaterials and polymers from biomass that can be used as green adhesive and resin with non-emission of volatile organic compounds (VOCs) in composite application. The specific objective in this proposal is to investigate the condensation reaction among urea, furfural and xylose and to identify the mechanism of their polymerization.. Our central hypothesis is that hemiacetal group on xylose and aldehyde group on furfural can act as functional groups to replace formaldehyde and react with urea for polymerization. One-pot polymerization of urea and hemicellulose stream is an innovative approach to advance the furan polymer synthesis that traditionally requires conversion of sugars to furfural. At the completion of this project, we expect new hemicellulose based polymeric materials will be developed with low VOCs emissions, and could replace the petroleum-based urea-formaldehyde polymer.

Factors Affecting the Durability of Engineered Wood Composites: Increasing the durability of EWC offers real challenges and impacts not only companies which manufacture such products, but also the consumer who

desires a long-lived product, especially in housing. Increasing the durability and better understanding the impacts of moisture, temperature, and biotic organisms on composite material will help us to create better demand for Mississippi's most economically important industrial feedstock, wood. The relationship between decay rate and strength loss in wood is a complex one hindered by our abiltity to accurately assess decay rate, especially using non-destructive evaluation (NDE) techniques. This proposal examines the factors affecting the durability of basic requirements and impact of environmental factors will be used in developing a model for composite durability.

Evaluation of Silvicultural Practices and Development of Growth and Yield
Models To Enhance Value of Southern Pine Plantation Management:
Georgia had 24.2 million acres of timberland available for commercial use,
which was 65% of the total land area of the state. Georgia's forest resources had
a total economic annual impact of $26 billion with an annual direct economic
impact of $16.1 billion. Forestry directly created over 67,000 jobs statewide and
supported in excess of 150,000 total jobs Pine plantations constitute 27% or 6.5
million acres of the state's commercial forest land and will become increasingly
important as a source or raw materials for the forest products industry and for
other uses such as wildlife habitat, bio-energy production, recreation, and
carbon sequestration. Knowledge of how pine plantations respond to different
silvicultural treatments and regimes in regards to productivity, product
distribution, and quality over a rotation period will aid in developing effective
and efficient silvicultural prescriptions. This project will improve knowledge of
silvicultural and genetic treatments impacts on loblolly and slash pine
plantation performance by analysis of unique, large regional studies that test
numerous combinations of silvicultural and genetic treatments over a range of
sites. Fiscal Year 2013: To be provided by Program at a future date.
CRITERIA FOR SELECTING PROPOSALS:

Within guidelines established for the program as described in the Formula
Grant Opportunity (FGO).

10.203 PAYMENTS TO AGRICULTURAL EXPERIMENT STATIONS UNDER THE HATCH ACT

Hatch Act and The Hatch Act of 1887 aka

PAYMENTS TO AGRICULTURAL EXPERIMENT STATIONS UNDER THE HATCH ACT:

(A) The Hatch Act of 1887 (Regular Research)

(B) The Hatch Act of 1887 (Multistate Research Fund)

FEDERAL AGENCY:

National Institute of Food and Agriculture, Department of Agriculture
AUTHORIZATION:

Hatch Act of 1887, as amended; Public Law 84-352, 7 U.S.C. 361a-361i;
Education Amendments of 1972, Section 506, Public Law 92-318; Public Law
93-471; Public Law 95-113; Education Amendments of 1980, Section 1361,
Public Law 96-374, 7 U.S.C. 301; Public Law 97-98; Public Law 99-198;
Public Law 101-624; Public Law 104-127; Public Law 105-185.

, Public Law 084-352, 7 U.S.C 361.

OBJECTIVES:

To support agricultural research at State Agricultural Experiment Stations. Its purpose is to promote efficient production, marketing, distribution, and utilization of products of the farm as essential to the health and welfare of people and to promote a sound prosperous agriculture and rural life. Up to 25 percent (25%) of funds to be used for integrated cooperative research and extension activities.

TWO (2) PROGRAMS ARE FUNDED UNDER CFDA 10.203. SPECIFIC OBJECTIVES ARE AS FOLLOWS:

(A) The Hatch Act of 1887 (Regular Research)

The Hatch Act of 1887 provides the basis for Federal funding for agricultural research activities at the State Agricultural Experiment Stations in the 50 States, the District of Columbia, and the Insular Areas.

State Agricultural Experiment Stations are eligible for funds appropriated under this Act according to the following formula: The previous years base plus the current year increase as follows:

Three percent (3%) for Federal Administration,

Twenty percent (20%) equally,

Twenty-six percent (26%) in an amount which bears the same ratio to the total amount to be allotted as the rural population of the State bears to the total rural population of all the States as determined by the last preceding decennial

census;

Twenty-six percent (26%) t in an amount which bears the same ratio to the total amount to be allotted as the farm population of the State bears to the total farm population of all the States as determined by the last preceding decennial census; and

Twenty-five percent (25%) for the Hatch Multistate Research Fund.

(B) The Hatch Act of 1887 (Multistate Research)

Not less than twenty-five percent (25%) of the total Hatch Act of 1887 funding is allotted to the States for cooperative research employing multidisciplinary approaches in which a State agricultural experiment station, working with another State agricultural experiment station, the Agricultural Research Service, or a college or university, cooperates to solve problems that concern more than one (1) State. These funds are designated as the Multistate Research Fund, State Agricultural Experiment Stations. Funds are allocated on a prorata basis and allocations are adjusted to support national and regional projects. These projects and their associated budgets are reviewed and approved annually. TYPES OF ASSISTANCE:

FORMULA GRANTS

USES AND USE RESTRICTIONS: USES:

Money appropriated pursuant to this Act shall also be available, in addition to meeting expenses for research and investigations conducted under authority of Section 2, for printing and disseminating the results of such research, retirement of employees subject to the provisions of an Act approved March 4, 1940 (54 Stat. 39), administrative planning and direction, and for the purchase and rental of land and the construction, acquisition, alteration, or repair of buildings necessary for conducting research. The State Agricultural Experiment Stations are authorized to plan and conduct any research authorized under Section 2 of this Act in cooperation with each other and such other agencies and individuals as may contribute to the solution of the agricultural problems involved, and moneys appropriated pursuant to this Act shall be available for paying the necessary expenses of planning, coordinating, and conducting such cooperative research. Up to twenty-five percent (25%) of funds to be used for integrated cooperative research and extension activities.

(A) The Hatch Act of 1887 (Regular Research)

This grant is used to support continuing agricultural research at institutions eligible to receive funds under the Act approved July 2, 1862 (12 Stat. 503, as amended) (1862 Land-Grant Institutions), as well as State agricultural experiment stations. Funds appropriated under this section shall be used to

conduct original and other researches, investigations, and experiments bearing directly on and contributing to the establishment and maintenance of a permanent and effective agricultural industry of the United States, including researches basic to the problems of agriculture in its broadest aspects, and such investigations as have for their purpose the development and improvement of the rural home and rural life and the maximum contribution by agriculture to the welfare of the consumer, as may be deemed advisable, having due regard to the varying conditions and needs of the respective States. Further, funds may be used printing and disseminating the results of such research, retirement of employees subject to the provisions of an Act approved March 4, 1940 (54 Stat. 39), administrative planning and direction, and for the purchase and rental of land and the construction, acquisition, alteration, or repair of buildings necessary for conducting research.

(B) The Hatch Act of 1887 (Multistate Research)

In addition to the uses applicable to the Regular Research funds, Multistate Research funds must be used for cooperative research employing multidisciplinary approaches in which a State agricultural experiment station, working with another State agricultural experiment station, the Agricultural Research Service, or a college or university, cooperates to solve problems that concern more than one (1) State.

These funds are known as the Hatch Multistate Research Fund (MRF). RESTRICTIONS:

(A) The Hatch Act of 1887 (Regular Research)

(1) Approved NIFA Hatch Projects

Hatch Federal funding must be used on approved Hatch projects including Hatch Multistate Research Fund (MRF) projects.

(2) Matching

Section 3(d)(1) of the Hatch Act of 1887 (7 U.S.C. 361c(d)(1)) states, with regard to institutions in the 50 states, no allotment shall be made to a State under subsection (b) or (c), and no payments from the allotment shall be made to a State, in excess of the amount that the State makes available out of non-Federal funds for agricultural research and for the establishment and maintenance of facilities for the performance of the research. However, section 3(d)(4) of the Hatch Act of 1887 (7 U.S.C. 361c(d)(4)) provides that Effective beginning for fiscal year (FY) 2003, in lieu of the matching funds requirement of paragraph (1), the insular areas of American Samoa, the Commonwealth of Puerto Rico, Guam, Micronesia, Northern Mariana Islands, and the Virgin Islands of the United States shall provide matching funds from non-Federal sources in an amount equal to not less than fifty percent (50%) of the formula funds distributed by the Secretary to each of the insular areas, respectively, under this section. The Secretary may waive the matching fund requirement [of fifty percent (50%)] for any fiscal year (FY) if the Secretary determines that the government of the insular area will be unlikely to meet the matching requirement for the fiscal year (FY).

Section 7403 of the Food, Conservation, and Energy Act of 2008 amended section 3(d)(4) of the Hatch Act to subject the District of Columbia to the same matching requirements as the insular 1862 Land-Grant Institutions upon enactment (May 22, 2008).

NIFA may consider and approve matching waivers submitted by State Agricultural Experiment Stations in the Insular Areas and the District of

Columbia.

(3) Indirect Costs and Tuition Remission

In accordance with section 1473 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3319), indirect costs and tuition remission are unallowable as Hatch formula grant expenditures.

(B) The Hatch Act of 1887 (Multistate Research) (1) Approved NIFA Hatch MRF Projects

Hatch MRF Federal funding must be used on approved Hatch MRF projects.

(2) Matching

Section 3(d)(1) of the Hatch Act of 1887 (7 U.S.C. 361c(d)(1)) states, with

regard to institutions in the 50 states, no allotment shall be made to a State under subsection (b) or (c), and no payments from the allotment shall be made to a State, in excess of the amount that the State makes available out of non-Federal funds for agricultural research and for the establishment and maintenance of facilities for the performance of the research. However, section 3(d)(4) of the Hatch Act of 1887 (7 U.S.C. 361c(d)(4)) provides that Effective beginning for fiscal year (FY) 2003, in lieu of the matching funds requirement of paragraph (1), the insular areas of American Samoa, the Commonwealth of Puerto Rico, Guam, Micronesia, Northern Mariana Islands, and the Virgin Islands of the United States shall provide matching funds from non-Federal sources in an amount equal to not less than fifty percent (50%) of the formula funds distributed by the Secretary to each of the insular areas, respectively, under this section. ... The Secretary may waive the matching fund requirement [of fifty percent (50%)] for any fiscal year (FY)if the Secretary determines that the government of the insular area will be unlikely to meet the matching requirement for the fiscal year (FY).

Section 7403 of the Food, Conservation, and Energy Act of 2008 amended section 3(d)(4) of the Hatch Act to subject the District of Columbia to the same matching requirements as the insular 1862 Land-Grant Institutions upon enactment (May 22, 2008).

NIFA may consider and approve matching waivers submitted by State Agricultural Experiment Stations in the Insular Areas and the District of Columbia.

(3) Indirect Costs and Tuition Remission

In accordance with section 1473 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3319), indirect costs and tuition remission are unallowable as Hatch MRF formula grant expenditures.

Section 3(d)(1) of the Hatch Act of 1887 (7 U.S.C. 361c(d)(1))states, with regard to institutions in the 50 states, no allotment shall be made to a State under subsection (b) or (c), and no payments from the allotment shall be made to a State, in excess of the amount that the State makes available out of non-Federal funds for agricultural research and for the establishment and maintenance of facilities for the performance of the research. However, section 3(d)(4) of the Hatch Act of 1887 (7 U.S.C. 361c(d)(4)) provides that Effective beginning for fiscal year (FY) 2003, in lieu of the matching funds requirement of paragraph (1), the insular areas of American Samoa, the Commonwealth of Puerto Rico, Guam, Micronesia, Northern Mariana Islands, and the Virgin Islands of the United States shall provide matching funds from non-Federal sources in an amount equal to not less than fifty percent (50%) of the formula funds distributed by the Secretary to each of the insular areas, respectively, under this section. ... The Secretary may waive the matching fund requirement [of fifty percent (50%)] for any fiscal year (FY) if the Secretary determines that the government of the insular area will be unlikely to meet the matching requirement for the fiscal year (FY).

Section 7403 of the Food, Conservation, and Energy Act of 2008 amended section 3(d)(4) of the Hatch Act to subject the District of Columbia to the same matching requirements as the insular 1862 Land-Grant Institutions upon enactment (May 22, 2008).

Applicant Eligibility:

(A) The Hatch Act of 1887 (Regular Research)

Hatch Act funds are provided for agricultural research on an annual basis to the State Agricultural Experiment Stations (SAESS) which were established under the direction of the college or university or agricultural departments of the college or university in each State in accordance with the act approved July 2, 1862 (7 U.S.C. 301 et seq.); or such other substantially equivalent arrangements as any State shall determine.

Award recipients may subcontract to organizations not eligible to apply for funding provided that such arrangements are necessary to complete the project.

(B) The Hatch Act of 1887 (Multistate Research)

Hatch Act funds are provided for agricultural research on an annual basis to the

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