2008 Aquaculture Grant Program

HDOA will receive $150,526 of American Recovery and Reinvestment Act (ARRA) funds for the 2008 Aquaculture Grant Program (AGP).  The nationwide program is funded at $50 million and state distribution is based on tonnage of feed purchased in 2007.

HDOA is required to distribute the funds to industry within 60 days of receipt of the funds from the Farm Service Agency (FSA) so the AGP must adhere to strict timeframes.  All AGP applications are due by the close of business on September 18, 2009 at ADP.  Applications received after 4:30PM on September 18, 2009 shall not be considered eligible.

ADP's address is:
1177 Alakea Street, Room 400
Honolulu, HI  96813
Attention: Todd Low

Click on this link to download the application.

Details on the program are as follows: (click on this link to download a printable version)

Federal Requirements

Each producer must have records on file at an applicable Farm Service Agency county office which

1. Indicate that their average adjusted gross income does not exceed $2.5 million for the three preceding tax years (2005-2007), as calculated under regulations in 7 CFR Part 1400
2. Indicate compliance with the conservation compliance eligibility provisions for other programs found at 7 CFR Part 12

The producer will not apply for or receive any assistance covered by the Supplemental Agricultural Disaster Assistance Programs established under Section 531 of the Federal Crop Insurance Act and Section 901 of the Trade Act of 1974 (these programs include the Emergency Assistance for Livestock , Honey Bees, and Farm-Raised Fish (ELAP), Livestock Forage Disaster Program (LFP), Livestock Indemnity Program (LIP), Supplemental Revenue Assistance Program (SURE), and Tree Assistance Program (TAP) for any losses in 2008 relating to the same species of aquaculture.

State Requirements

Vendor Setup

Each producer must be a recognized vendor in the State system.  Producers who have previously received monies through the State should already be in the system.  For those who are not, please send a completed W-9 (see attached) and a blank invoice or letterhead to ADP for vendor setup.  The invoice or letterhead must match the company in the W-9.

Vendor Compliance

For the State to release monies to a vendor, the vendor must be in compliance with IRS, Department of Labor, Department of Commerce and Consumer Affairs (DCCA), and State tax offices.  ADP suggests that producers use the Hawai`i Compliance Express System. (http://vendors.ehawaii.gov/hce/splash/welcome.html).   The system eliminates the need to obtain individual copies of clearances with the IRS, Department of Labor, DCCA, and State tax offices. The service includes real time monitoring of your status of compliance with each agency and you will be automatically notified by email any time your compliance status is changed.

Program Requirements

Assistance shall only be provided to eligible aquaculture producers that:

1. Produced an aquaculture species for which 2008 feed costs represented at least 25 percent of the producer’s total input costs for the aquaculture operation, as certified by the producer.

2. Experienced at least a 25 percent price increase of 2008 feed costs above the previous five-year average (2003-2007), as certified by the producer.

Required Documentation

1. A producer will provide a letter from the feed mill that certifies, at minimum, the producer’s total feed deliveries in calendar year 2008 and the producer’s 2008 average feed price.

2. 2008 tonnage report

3. W-9 form

Funds received by the producer under this program will be used for costs associated with their current aquaculture farming operation.

The State must have producers execute whatever documents as are necessary to assure that CCC can determine that there has been full compliance with this agreement.  The failure of a producer to provide access to such documents shall result in the producer being responsible for a full refund to the State.

Payments are subject to the availability of funds and any requirements of law that may apply.

Payment Calculations

HDOA payment calculations will be determined by the average 2008 price per ton minus the average 2003-2007 price per ton multiplied by the producers tonnage delivered in 2008.

The total amount of assistance that a person may receive from the funds made available under this and any other State’s agreement shall not exceed $100,000 in aggregate, except for general partnerships and joint ventures in which case assistance shall not exceed $100,000 times the number of members that constitute the general partnership or joint venture.
Funds distributed to producers shall not exceed the total amount received by the State for the Aquaculture Grant Program.

For more information, contact ADP in Honolulu at:  (808) 587-0030.