Opportunity Information: Apply for USDA FS COMMUNITY WOOD 2024

The 2024 Community Wood Energy and Wood Innovation Program (CWEWIP) is a discretionary grant opportunity run by the USDA Forest Service (CFDA 10.708) aimed at strengthening forest health and boosting local economies by expanding two things: thermally led community-scale wood energy systems and innovative wood products manufacturing capacity. The program is grounded in multiple federal authorities, including provisions tied to rural revitalization technologies, the Agriculture Improvement Act of 2018, and the Infrastructure Investment and Jobs Act (Bipartisan Infrastructure Law). In plain terms, the Forest Service is using this funding to help communities and businesses turn forest biomass and wood resources into practical, local infrastructure and manufacturing upgrades that also support active forest management.

The Forest Service is looking for projects that are ready to build and ready to buy equipment now. The notice emphasizes "shovel ready" proposals that can be completed within the award period without needing extra time or additional rounds of funding after the grant is awarded. Competitive projects should clearly show how they expand renewable wood energy use or grow innovative wood product outputs, while also tying those investments to measurable benefits like improved forest health outcomes (for example, better markets for restoration byproducts or residues) and local economic impacts (jobs, local spending, increased manufacturing throughput, or long-term operating savings).

Eligible projects cover a range of capital-focused installations and facility improvements. On the wood energy side, the program supports thermally led systems, meaning the primary output is heat (and possibly cooling or electricity as secondary outputs), typically serving a community facility or set of buildings while displacing fossil fuels like heating oil, propane, coal, or natural gas. On the wood innovation side, examples include purchasing and installing manufacturing equipment for mass timber production, expanding a sawmill to add higher-value product lines using innovative technology and cost-saving measures, or equipping a new facility to produce biofuels from forest residues. The common theme is that the grant is intended to pay for tangible capital costs that directly enable a project to operate or expand, not for early-stage concept work.

Funding is limited and awards depend on availability. The Forest Service plans to make up to $6 million in total awards under this announcement. The typical maximum award is $1 million per project, and that amount can cover up to 35 percent of total capital costs. For proposals that justify special consideration, the Forest Service may consider awards up to $1.5 million covering up to 50 percent of total capital costs, with a specific emphasis on projects in high-unemployment areas. This structure makes it clear the program is designed to be a catalyst rather than full project financing, with the applicant expected to carry most of the total cost.

A key requirement is leveraging. Formal matching funds are not required, but applicants must bring in and commit the remainder of the project funding beyond the Forest Service share. For example, if a project requests Forest Service funds equal to 35 percent of capital costs, the applicant must provide the other 65 percent as leveraged funds. Those leveraged funds must come from non-federal sources and must be committed within the grant timeframe. If the leveraging comes from third parties (partners, investors, utilities, philanthropic entities, or other contributors), the application must include commitment letters that state the amount being committed. While leveraged funds generally have fewer compliance burdens than federal matching funds, the notice makes it clear applicants still have to follow the program requirements tied to those leveraged contributions.

A broad range of applicants are eligible, including non-profits; local, state, and tribal governments; for-profit businesses, companies, and corporations; institutions of higher education; and special purpose districts such as public utility districts, fire districts, conservation districts, school districts, and ports. The opportunity was posted under Funding Opportunity Number "USDA FS COMMUNITY WOOD 2024," with an original closing date of December 15, 2023, and an award ceiling listed at $1,000,000 (with the separate note that certain proposals may be considered up to $1.5 million under special circumstances). Application materials and instructions are provided through the Forest Service Community Wood Program resources, including the official application form (FS-1500-0051) and a prerecorded informational webcast available online.

  • The Forest Service in the natural resources sector is offering a public funding opportunity titled "2024 Community Wood Energy and Wood Innovation Program" and is now available to receive applicants.
  • Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 10.708.
  • This funding opportunity was created on 2023-10-18.
  • Applicants must submit their applications by 2023-12-15. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
  • Each selected applicant is eligible to receive up to $1,000,000.00 in funding.
  • Eligible applicants include: Others.
Apply for USDA FS COMMUNITY WOOD 2024

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