Best Grants for Rural Development in Minnesota

Nonprofits, government entities, and fiscally sponsored groups in Minnesota can apply for Bush Foundation’s Community Innovation support to develop, test, and spread community-driven ideas. Projects that strengthen rural development or quality of life may be eligible, especially those with potential to scale lessons or solutions across multiple communities.

Organizations hosting cooperative education, training, or professional development programs can seek funding to support young and emerging leaders, especially from rural communities in Minnesota. Grants from Ralph K. Morris Foundation help cover scholarships and participation costs for cooperative-focused events, with priority for Minnesota- and Wisconsin-based organizations or events held in these states.

Community-based nonprofits, tribal governments, local governments, schools, and colleges in Minnesota working on environmental and public health assessment in disadvantaged communities can seek up to US $150,000 for Tier 1 projects like mapping, monitoring, and engagement. The Minneapolis Foundation supports environmental justice efforts that can benefit rural development across EPA Region 5’s Great Lakes communities.

Early-career individual artists planning public, freely accessible art projects or research in Minnesota can receive $2,500 for research and development activities. With a mission to support diverse public art practices, Forecast Public Art provides Minnesota artists with funding for planning, community engagement, site and budget development, and proposal preparation, including work in rural communities.

Nonprofit organizations and select government initiatives in Minnesota working on education policy, educator pipelines, or college and career success can apply for the Joyce Foundation’s Education & Economic Mobility Grants. Funding supports research, policy development, advocacy, and implementation that advance equitable educational and economic mobility outcomes, including for rural communities in the Great Lakes region.

Minnesota rural development and environmental organizations can access funding through the Joyce Foundation for policy and advocacy work on climate solutions and Great Lakes and drinking water issues. Eligible projects focus on clean energy, freshwater protection, water infrastructure, and environmental justice in Great Lakes states, with priority for communities most impacted by climate and water inequities.

Minnesota rural primary care residency programs can receive up to US $225,000 per resident per year to sustain ACGME-accredited rural training through this state grant. Minnesota Department of Health supports ongoing operations, recruitment, and training for residency slots established in 2022 or later, helping strengthen the rural primary care physician workforce and broader rural development.

Nonprofit arts organizations in the SEMAC region of Minnesota can receive up to US $10,000 over two years to cover general operating, administrative, and overhead expenses. Grants from Southeastern Minnesota Arts Council help smaller arts groups, including those in rural communities, strengthen and stabilize their organizations as part of broader rural development efforts.

Small nonprofit rural hospitals in Minnesota can seek funding to develop strategic plans or implement transition projects that preserve or enhance access to health services. With a mission to support rural health care access, Minnesota Department of Health provides $25,000 - $45,000 for planning, needs assessments, and service modifications benefiting underserved communities.

Minnesota 501(c)(3) nonprofits, public/government agencies, and Tribal Nations can access early childhood health funding through Medica Foundation to support children from birth through age 12. Grants up to US $100,000 back early intervention programs, with priority for rural, BIPOC, immigrant, refugee, homeless, LGBTQ+, and foster-care-affected communities that advance health equity and improve care access.

Minnesota school districts seeking to build or strengthen in-school behavioral health services for Medicaid-eligible students can apply for this mini grant in Minnesota. Minnesota Department of Human Services offers up to US $25,000 in seed funding to help rural and tribal schools develop sustainable mental health infrastructure, including providers, supervision, telehealth, and Medicaid billing systems.

Rural 501(c)(3) nonprofits and fiscally sponsored groups in Minnesota serving LGBTQ+ communities can apply for Philanthrofund Foundation’s PRISM Fund grants to build capacity and connections. Eligible organizations must primarily serve LGBTQ+ people in the upper Midwest, including Native Nations, and may especially benefit if they support queer people of color or gender-expansive individuals.

Farmers market vendors in Minnesota who are Compeer Financial clients can receive up to US $500 to improve education, marketing, or technology for their booths. Compeer Financial supports rural development by funding items like branding, websites, mobile payment tools, scales, tents, tables, coolers, and signage for bona fide farmers market participants.

Nonprofit arts and non-arts organizations, schools, and local or tribal governments in Minnesota can receive US $3,000 - US $11,000 to create, perform, publish, or exhibit arts programming. With a mission to strengthen regional arts, Southeastern Minnesota Arts Council provides funding that may benefit rural development efforts through arts access, arts education, and cultural heritage projects.

Rural Minnesota 501(c)(3) organizations, tribal governments, public agencies, and local units of government can seek funding for planning, implementation, and capacity-building projects that strengthen small communities and public spaces. Blandin Foundation supports rural development in Minnesota by offering US $25,000 - US $150,000 grants for initiatives that drive economic, physical, and social change in communities under 5,000 residents.

Eligible 501(c)(3) organizations, tribal governments, and public agencies in rural Minnesota can apply for Blandin Foundation’s community wealth building grants, awarding US $25,000 - US $150,000 for multi-year projects. Funding supports rural community development, including affordable housing, local business growth, workforce and leadership development, and equitable access to capital, with emphasis on small, low-income, and diverse communities.

Minnesota Department of Health

Mission: Protecting, maintaining and improving the health of all Minnesotans.

Vision: The vision of MDH is for health equity in Minnesota, where all communities are thriving and all people have what they need to be healthy.

Rural Health Transformation Program Funding 

The federal Rural Health Transformation Program (RHTP) was created by H.R.1 (Section 71401 of Public Law 119-21) on July 4, 2025. It is a federal initiative to help states support rural communities in improving health care access, quality, and outcomes by transforming the health care delivery ecosystem. The RHTP focuses on promoting innovation, strategic partnerships, infrastructure development, and workforce investment in rural communities. Minnesota has outlined their initiatives online (learn more about Minnesota's Rural Health Transformation Program).

Grant recipients will select activities from broad RHTP initiatives designed to advance the overarching goals of improving health outcomes and access to care for rural Minnesotans, sustainably expanding the rural health care workforce, strengthening partnerships between providers to expand service delivery in rural communities, and stabilizing rural provider financial health through strategic investments. 

Entity Type: Certified Community Behavioral Health Clinics (CCBHCs) and Community Mental Health Centers (CMHCs)

Estimated Number of Awards: 16

Estimated Maximum Award in Budget Period 1: $240,000

Applicants may request up to the maximum award.

Nonprofits, mission-oriented for-profits, and eligible housing entities in Minnesota and nationwide can seek US $2,000,000 grants to scale proven affordable housing innovations. Enterprise Community Partners and Wells Fargo support projects improving design and construction, finance, or service delivery for affordable homes, including efforts that may strengthen rural development in Minnesota communities.

Eligible rural public entities, nonprofits, tribes, and educational institutions in Minnesota can seek funding to support small and emerging rural businesses through technical assistance, training, and community economic development projects. Grants from USDA Rural Development help rural development efforts with uses including land and facility development, revolving loan funds, business incubators, and long-term strategic planning.

Minnesota organizations developing enterprises, supply chains, or markets for continuous living cover crops can seek funding to expand early-stage commercial CLC systems. Minnesota Department of Agriculture supports equipment, infrastructure, and business or market development that increases perennial and winter-annual crop production, creating new rural revenue streams while improving soil health and water quality in Minnesota’s agricultural communities.

Nonprofit 501(c)(3) organizations, schools, and government entities addressing rural poverty in Minnesota can apply for CommunityGiving’s Rural Needs Grant Round, awarding US $1,000 - US $5,000 for planning or implementation. Funding can support general operations, new or expanded programs, emergency and transitional activities, needs assessments, action plans, and project implementation in eligible central Minnesota counties.

Agricultural and rural electric cooperatives in Minnesota can apply for Minnesota Department of Agriculture’s Green Fertilizer Grant Program, awarding US $250,000 - US $3,800,000 for green fertilizer production facilities. Funding supports renewable-energy-based fertilizer plants, with priority for projects showing strong financing readiness and those located in higher-poverty rural counties.

Nonprofit 501(c)(3)s, public agencies, and Tribal Nations in rural Minnesota can apply for Medica Foundation’s Rural Health grants, awarding up to US $20,000 over two years for community-led health equity programs. Funding may support dental, mental, maternal, senior, primary, or sexual health services that strengthen rural development and quality of life.

Focused on rural development, USDA Rural Development invites Minnesota public bodies, community-based nonprofits, and federally recognized Tribes to seek funding to build, purchase, or improve essential community facilities and equipment. Rural communities under 20,000 residents, especially smaller and lower-income areas, may receive higher grant percentages toward eligible project costs.

Nonprofit 501(c)(3) organizations and local governments in rural Minnesota can seek planning and implementation support for new community projects through the Laura Jane Musser Fund’s Rural Initiative Grant Program, with awards up to US $25,000. Focus areas include rural development, economic and business development, arts and culture, education, and public space improvements that engage diverse local residents.

The Southern Minnesota Initiative Foundation's Taylor Rural Improvements Grant offers up to $30,000 for impactful capital projects in communities with populations under 10,000. The grant aims to enhance essential services such as food, clothing, shelter, transportation, and internet accessibility. Eligible applicants include government units and 501(c)(3) nonprofits within a 20-county region. A 25% cash or in-kind match is required. This funding supports projects that improve community vibrancy and serve underserved populations.