Best Grants for Rural Development in Minnesota

The Community Innovation Grants, funded by the Bush Foundation, aim to support transformative ideas that enhance the lives of people in Minnesota and surrounding areas. These grants foster collaboration among organizations and leaders to develop and spread effective solutions to community challenges. By removing funding caps and focusing on the needs of communities, the program empowers individuals and organizations to create lasting change, ensuring that innovative ideas reach their full potential.

The Ralph K. Morris Foundation offers Cooperative Leadership Sponsorships to support training and professional development for emerging leaders, especially from rural areas. The program adapts to changing needs by providing financial assistance for cooperative education events and scholarships. Priority is given to organizations in Minnesota and Wisconsin, encouraging a collaborative approach to leadership development in communities. This initiative aims to foster the future of cooperatives through accessible education and training opportunities.

The Environmental Justice Thriving Communities Grantmaking Program, led by The Minneapolis Foundation, supports community-based nonprofits in the Great Lakes region. With a focus on underserved communities, grants will total $40 million over three years, aiming to enhance environmental health, education, and resilience. The program prioritizes applications from federally recognized tribes and organizations with limited budgets, fostering inclusive community engagement and sustainable development. Eligible projects include environmental assessments, public health initiatives, and job training.

The McKnight Foundation's Arts & Culture Grant Program supports initiatives that empower artists and culture bearers in Minnesota. With a focus on enhancing the visibility of underrepresented groups and fostering community engagement, the program provides both unrestricted and restricted grants. Organizations can apply for funding to develop innovative projects that align with the foundation's commitment to justice and creativity. Proposals are accepted on a rolling basis, with a three-month review period.

The SEMAC: General Operating Support Grants invite nonprofit arts organizations in the SEMAC region, with operating expenses under $174,000, to apply for funding aimed at enhancing their stability through administrative support. Grants of up to $5,000 annually (totaling $10,000 over two years) are available, with recipients required to submit an interim report after the first year. Applications are accepted until funds are depleted, with specific deadlines for notifications.

The Developing Markets for CLC Crops Grant aims to support organizations in Minnesota in creating supply chains and markets for continuous living cover crops and cropping systems. This initiative focuses on enhancing soil health, improving water quality, and generating new revenue streams for rural enterprises. By funding early-stage commercial development, the program fosters biodiversity and promotes sustainable agricultural practices, ultimately contributing to a robust agricultural economy in the region.

The Joyce Foundation's Education & Economic Mobility Grants aim to close income and race disparities in college and career success. The foundation prioritizes equitable access to high-quality education, supporting policies for effective educators, high school graduation, and affordable college credentials. Focused on racial equity and economic mobility, it addresses the needs of historically underserved young people in the Great Lakes region and invests in research, policy development, and advocacy to help them recover from the COVID-19 pandemic.

The Joyce Foundation's Environment Grants focus on addressing critical environmental challenges in the Great Lakes region, such as climate change and water safety. The foundation prioritizes equitable, carbon-free energy solutions and clean water access for all communities. Grants are awarded to organizations committed to environmental justice and innovation in climate policy, particularly in Illinois, Indiana, Michigan, Minnesota, Ohio, and Wisconsin, ensuring that the voices of affected communities guide project development.

The Medica Foundation Grant focuses on enhancing rural health in Minnesota by funding community-led initiatives that address health equity. With grants ranging from $5,000 to $10,000, it supports projects that improve healthcare access and quality, particularly in underserved areas. Eligible applicants include 501(c)(3) organizations, government agencies, and Tribal Nations, while emphasizing measurable outcomes and culturally-focused care.

The Rural Primary Care Residency Training Grant Program aims to enhance primary care residency training in rural Minnesota. With funding between $1.5 to $2 million, it supports planning, accreditation, and training. Grants of up to $225,000 per resident per year are available for sustainable projects. To qualify, programs must demonstrate ACGME accreditation and provide evidence of resident training. This initiative is vital for strengthening the rural physician workforce and improving healthcare access in underserved areas.

The Minnesota Department of Employment and Economic Development (DEED) is launching the Small Business Assistance Partnerships Program to provide no-cost development and technical assistance services to entrepreneurs, focusing on underserved populations. This initiative aims to foster job growth and support the economic success of diverse Minnesota communities, including Black, Indigenous, and low-income individuals. Proposals are sought from organizations and coalitions to enhance small business growth and innovation throughout the state.

The Community Facilities Grant Program in Minnesota offers essential funding to develop community facilities in rural areas. This program supports projects that enhance healthcare, public safety, education, and community services. Eligible applicants include public bodies and non-profit organizations targeting areas with populations under 20,000. Grants are awarded based on income levels and community size, ensuring that low-income and smaller communities receive priority funding. By addressing community needs, this initiative fosters sustainable development in rural Minnesota.

The Southeastern Minnesota Arts Council (SEMAC) offers Programming and Project Support Grants for organizations to fund activities in arts creation, performance, publication, and exhibition. Grants range from $3,000 to $11,000 for nonprofit arts organizations and $3,000 to $6,000 for non-arts nonprofits and educational institutions. Eligible applicants must be located in the SEMAC region and have a defined mission statement. The program aims to enhance arts access, education, and cultural heritage in southeastern Minnesota.

What does this program do?

It provides loans and grants to Microenterprise Development Organizations (MDOs) to:

• To help microenterprises startup and growth through a Rural Microloan Revolving Fund.
• Provide training and technical assistance to microloan borrowers and micro entrepreneurs.

Microenterprise Development Organizations must demonstrate experience in managing a Revolving Loan Fund, or:

• Certify that it or its employees have received education and training from a qualified microenterprise development training entity so that the applicant has the capacity to manage such a revolving loan fund.
• Demonstrate that it is actively and successfully participating as an intermediary lender in good standing under the U.S. Small Business Administration (SBA) Microloan Program or other similar loan programs as determined by the Administrator.

 What kind of funding is available?

• Grants are available to provide technical assistance to rural micro-entrepreneurs or microenterprises, up to $205,000 annually. Funding at the requested level is not guaranteed, and at least 15 percent matching funds are required.

• Loans of $50,000 to $500,000 may be used for establishing a Rural Microloan Revolving Fund managed by the Microenterprise Development Organization.
• Total aggregate debt is capped at $2.5 million.

What are the loan terms?

• Maximum term is 20 years.
• Two-year payment deferral.
• Must establish a loan loss reserve fund.

What terms are required on loans to ultimate recipients?

• Up to $50,000.
• Fixed interest rate.
• Limited to 75 percent of project cost.

How may the funds be used?

Microlenders may make microloans for qualified business activities and expenses including, but not limited to:

• Working capital.
• Debt refinancing.
• Purchasing equipment and supplies.
• Improving real estate.

The Rural Initiative Grant Program by the Laura Jane Musser Fund aims to foster collaboration among rural communities in areas like economic development and education. Emphasizing community involvement, it encourages diverse participation and measurable outcomes within 18 months. Grants of up to $25,000 for implementation or $5,000 for planning are available, targeting nonprofit organizations and local governments in select states. This initiative seeks to empower communities to achieve positive change through active engagement and support.

The Early-Career Artist Research & Development Grant supports Minnesota-based early-career artists engaged in public art research and development. This funding aims to amplify diverse artistic voices, particularly from BIPOC, LGBTQIA+, and rural communities. Grants of $2,500 each can be used for activities like planning and community dialogues related to public art projects. Applicants must demonstrate originality and reside in Minnesota, ensuring all projects are freely accessible to the community.

The Green Fertilizer Program Grant in Minnesota offers approximately $3.8 million to agricultural and rural electric cooperatives for investments in green fertilizer production facilities. Eligible projects must utilize renewable energy and green hydrogen, with a minimum grant award of $250,000. The program emphasizes strong business readiness and requires matching funds from cooperatives. Successful applicants must be licensed, in good standing, and committed to sustainable practices for fertilizer production, ensuring environmental responsibility in the agricultural sector.

The Rural Hospital Planning and Transition Grant, administered by the Minnesota Department of Health, aims to support small, nonprofit rural hospitals in developing strategic plans and implementing transition projects. This initiative enhances access to healthcare for underserved communities in Minnesota, ensuring they receive necessary services. Grant recipients will create sustainable plans to address community health needs and improve service delivery, fostering equity and inclusion in healthcare access.

The Medica Foundation Grant for MN Early Childhood Health supports early intervention programs aimed at the growth and development of children from birth to age 12. With a focus on health equity, the grant prioritizes proposals that serve marginalized communities, including BIPOC, immigrants, and individuals experiencing homelessness. Grants can be up to $100,000 and are awarded to eligible 501(c)(3) organizations in Minnesota. This initiative aims to improve healthcare access and quality through measurable outcomes.

The School Based Services Mini Grant, offered by the Minnesota Department of Human Services, aims to enhance mental health services in schools. It targets Minnesota school districts, especially those in rural and tribal areas, providing seed funding to develop sustainable behavioral health infrastructures. This initiative focuses on improving access to care through qualified providers, telehealth capabilities, and Medicaid billing systems, ensuring that all students have the support they need to thrive.

The PRISM Fund Grant, offered by PFund Foundation, aims to enhance equity within LGBTQ+ communities in the upper Midwest. It focuses on supporting rural LGBTQ+ organizations through grants, training, and collaboration. The program prioritizes communities disproportionately affected by discrimination, such as queer people of color, gender-expansive individuals, and LGBTQ+ residents of North and South Dakota. By addressing unique regional challenges, the PRISM Fund fosters resilience and connectivity among these underserved populations.

The Farmers Market Grant Program by Compeer Financial supports farmers by enhancing their marketing and technology capabilities. Grants can be utilized for branding, website creation, and payment technologies, as well as essential equipment like scales and tents. This initiative aims to promote direct consumer engagement and strengthen local food systems, ensuring fresh produce accessibility while fostering economic growth in rural communities. Eligible applicants must be Compeer clients actively participating in verified farmers markets.

The Small Communities Grant Program by the Blandin Foundation aims to empower Minnesota's smallest, most diverse, and economically challenged communities by providing essential funding for projects that enhance community well-being. By fostering collaboration and trust among residents, the program seeks to drive meaningful economic, social, and physical changes. Grant awards typically range from $25,000 to $150,000, with a focus on sustainable initiatives that build local capacity and pride.

The Blandin Foundation's Community Wealth Building Grants aim to empower rural communities in Minnesota by addressing economic disparities and fostering sustainable growth. Targeting low-income, diverse populations, the grants focus on collaborative projects that enhance affordable housing, promote local businesses, and improve access to resources. With funding ranging from $25,000 to $150,000, the foundation seeks innovative solutions to strengthen community ties and support marginalized populations, ensuring a robust future for rural Minnesota.

Enterprise Community Partners

Enterprise Community Partners is a national nonprofit that exists to make a good home possible for the millions of families without one. Home is where life happens, where plans are made, and futures begin. It is the foundation for dignity, health, education, wealth, and community. Yet rents keep going up, paychecks don’t keep pace, and good homes in strong neighborhoods are increasingly out of reach.

The system doesn’t work. It must be changed, and it must be changed by us.

Enterprise has the breadth, scale, and expertise to do it. We support community development organizations on the ground. We aggregate and invest billions to improve housing and strengthen communities across the U.S. We advance housing policy at every level of government. We build and manage communities ourselves. Everything we do is informed by the residents we serve.

Together with our partners, we focus on the greatest need — the massive shortage of affordable rental homes — to achieve three goals:

• Increase the supply of affordable homes
• Advance racial equity after decades of systematic racism in housing
• Support residents and strengthen communities to be resilient to the unpredictable, and make upward mobility possible

Since 1982, we have invested $92.0 billion and created 1.1 million homes across all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands. We do all this to make home and community places of pride, power, and belonging.

National Housing Innovation Grant Competition

Home is foundational. It’s where we plant roots, raise and care for our families, and build community bonds. Yet in every corner of the country, millions of people of all ages and backgrounds need a home they can afford.

Wells Fargo is meeting this moment with a powerful grant opportunity. Together with Enterprise, Wells Fargo has launched the third iteration of the Housing Affordability Breakthrough Challenge. The 2026 cycle of the housing innovation competition will identify and propel proven, ready-to-scale solutions that transform current practices and increase housing choice and access.

Eligible applicants will compete for five individual grants of $2 million to advance their innovation and drive meaningful, systems-level change in the housing and adjacent industries. Winners will gain access to mentorship and coaching from industry leaders and experts and join a powerful network of Breakthrough Challenge innovators.

Focus Areas

This third cycle of the Housing Affordability Breakthrough Challenge aims to meet the nation’s affordable housing challenges across all types of communities: Native, rural, suburban, tribal, and urban.

Proposals must encompass one or more of three focus areas:

• Design and Construction
• Finance
• Service Delivery and Programs

Applicants will be asked to show how their proof of concept or pilot program has achieved clear outcomes and success, and provide a clear pathway to expanding the innovation’s reach and impact

Round 1: Criteria and Scoring

Your innovation must meet the criteria below to advance to the official scoring stage.

Type of Community

Innovations can serve all types of communities:

• Rural
• Urban
• Suburban
• Tribal

Location

Priority scoring will be given to applications from entities that are based in – or whose innovations are designed for – one or more of these 28 states, plus D.C.:

• Alaska, Arizona, Arkansas, California, Colorado, Florida, Georgia, Idaho, Illinois, Iowa, Maryland, Massachusetts, Minnesota, Montana, Nevada, New Jersey, New Mexico, New York, North Carolina, North Dakota, Pennsylvania, South Carolina, South Dakota, Tennessee, Texas, Utah, Virginia, Washington, Washington D.C.

Affordability

Innovations must serve residents at these income levels:

• Rental: 80% AMI or below
• Homeownership: 120% AMI or below
• Workforce housing: 120% AMI or below

The Rural Business Development Grants in Minnesota aim to provide essential technical assistance and training for small rural businesses with fewer than 50 new workers and under $1 million in gross revenue. Funding is available for projects benefiting rural areas, focusing on enhancing economic development, offering training, and supporting community initiatives. With no maximum grant amount, priority is given to smaller funding requests, encouraging innovative projects that uplift rural economies.

The CMCF: Rural Poverty Fund Grants, offered by the Central Minnesota Community Foundation and the Initiative Foundation every even year, aim to address rural poverty through various initiatives. Grants support projects that establish emergency services, assess community needs, and develop action plans. Eligible applicants include 501(c)(3) nonprofits, schools, and government entities serving 14 counties in Central Minnesota, focusing on those in poverty while promoting diversity and inclusion.