Partnership Agreements to Develop Non-Insurance Risk Management Tools for Producers (Farmers)

To develop risk management tools (risk management tools do not include insurance products, plans of insurances, policies, modifications thereof or any related material) for the U. S. agriculture producers with an emphasis on specialty crop(s) producers, livestock producers, rangeland producers and producers
of underserved commodities currently covered by section 196 of the Agricultural Market Transition Act (7 U.S.C.


Agency - Department of Agriculture

Established in 1862, the Department of Agriculture serves all Americans through anti-hunger efforts, stewardship of nearly 200 million acres of national forest and rangelands, and through product safety and conservation efforts. The USDA opens markets for American farmers and ranchers and provides food for needy people around the world.

Office - Risk Management Agency, Stop 0813, 6501 Beacon Drive, Kansas City, MO 64133-4676.

Telephone: (816) 926-6343.

Fax: (816) 926-7343.


Program Accomplishments

Not available.

Uses and Use Restrictions

The availability of research partnership monies (variable) is announced on a yearly basis.

The partnership agreements are for the development of non-insurance risk management tools for use directly by agricultural producers.

Each partnership agreement recipient must demonstrate non-financial benefits from the partnership agreement and the partner must agree to substantial involvement of RMA in the project.

Indirect costs must be limited to ten percent of the total direct costs.

Eligibility Requirements

Applicant Eligibility

Proposals are invited from all qualified public and private entities.

Eligible applicants include all colleges and universities, Federal, State, local government agencies, Native American Tribal Organizations, nonprofit and for-profit private organizations or corporations, and other entities.

Individuals are not eligible applicants.

Beneficiary Eligibility

The research partnerships will result in the development of non-insurance risk management tools to be utilized by agricultural producers to assist them in mitigating the risks inherent in agricultural production.


Although an applicant may be eligible to compete for an award based on its status as an eligible entity, other facts may exclude an applicant from receiving Federal assistance under this program (e.g., debarment and suspension; a determination of non-performance on a prior contract, cooperative agreement, grant or partnership; a determination of a violation of applicable ethical standards).

Aplication and Award Process

Preapplication Coordination


This program is excluded under E.O.


Application Procedures

This program is subject (as applicable) to the provisions of OMB Circular Nos. A-21, A-87, A-102, A-110, A-122, A-133 and FAR, Part 31. Eligible applicants submit proposals according to published guidelines (generally in the Federal Register). Objectives will vary for the research proposals solicited and funded each year. Application procedures and guidelines may change each year. See the yearly Request for Applications (RFA) for specific guidelines.

Award Procedures

Project funds for successful applicants are awarded to recipients based upon a merit review (panel) of all applications that meet the objectives outlined in the RFA announcement. The evaluation of each application will be conducted by a panel of not less than three independent reviewers. The panel will be comprised of representatives from USDA, other federal agencies, and others representing public and private organizations, as needed. The panel will examine and score applications based on the evaluation criteria and weights contained in the RFA. After assigning points based upon the evaluation criteria and weights, recommended applications will be listed in rank order and presented, along with funding level recommendations, to the Manager of FCIC, who will make the final selection and funding decisions.


As specified in the RFA.


Federal Crop Insurance Act, 7 U.S.C. 1501, et. seq.), Section 522(d); Agricultural Market Transition Act, 7 U.S.C. 7333.

Range of Approval/Disapproval Time

From 30 180 days as specified in the RFA.


Not applicable.


Renewal possible depending upon agency review and needs.

Assistance Considerations

Formula and Matching Requirements

This program has no statutory formula other than the general yearly funding availability established under section 522(e)(A) of the Federal Crop Insurance Act. This program has no matching requirements.

Length and Time Phasing of Assistance

Each approved project will be funded for a period of up to three years for the activities described in the RFA. Projects can also be in two parts with the first part including the research and feasibility studies and the second part including the development, implementation, delivery and maintenance of the non-insurance risk management tool. If the development of the tool is determined not to be feasible, the partnership may be terminated by RMA after completion of the first part, with funding reduced accordingly.

Post Assistance Requirements


All partnership recipients will submit progress and financial reports throughout the project period as specified in the partnership agreement as well as a final program and financial report not later than 90 days after the end of the mutually agreed upon project period.


In accordance with the provisions of OMB Circular No. A-133 (Revised, June 27, 2003), Audits of States, Local Governments, and Nonprofit Organizations, non-federal 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 OMB Circular No. A-123.


Financial records, supporting documentation, statistical records and all other records pertinent to the partnership agreement must be retained for a period of at least 3 years after closing.

Financial Information

Account Identification



(Partnerships) FY 07 $4,000,000; FY 08 est not available; and FY 09 est not reported.

Range and Average of Financial Assistance

Not available.

Regulations, Guidelines, and Literature

Information concerning the Risk Management Agency and associated publications can be obtained using the public website at:

Information Contacts

Regional or Local Office

Risk Management Agency, Stop 0813, 6501 Beacon Drive, Kansas City, MO 64133-4676. Telephone: (816) 926-6343. Fax: (816) 926-7343. E-mail:

Headquarters Office

Not applicable.

Criteria for Selecting Proposals

Evaluation criteria are specified in the Request for Application.

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