RDAR — On-Farm Climate Action Fund (OFCAF)

The On-Farm Climate Action Fund (OFCAF) offers financial support to Canadian farmers to implement sustainable practices that reduce greenhouse gas emissions and improve production efficiency. Managed by Results Driven Agriculture Research (RDAR), the program focuses on improved nitrogen management, enhanced soil health through cover crops, and strengthened rotational grazing systems.

The agricultural sector is a cornerstone of the Canadian economy. However, it also faces significant challenges related to climate change. The On-Farm Climate Action Fund (OFCAF) is an innovative initiative aimed at helping Canadian farmers adopt beneficial management practices (BMPs) that reduce greenhouse gas emissions, enhance sustainability, and boost agricultural efficiency. Here's a detailed look at what OFCAF offers and how it works:

The main goal of OFCAF is to assist farmers in implementing practices that contribute to lowering their environmental footprint. By offering financial support, the fund aims to accelerate the adoption of BMPs that might not be feasible without such help. The program is strategically organized around three core activity categories: Improved Nitrogen Management, Enhanced Soil Health with Cover Crops, and Strengthened Rotational Grazing Systems.

To be eligible for funding from OFCAF, applicants must meet specific criteria: * Must be an active producer based in Alberta, with a minimum of $25,000 in gross farm income. * Collaborate with a Professional Agrologist (PAg) or Certified Crop Advisor (CCA) to develop a BMP Action Plan. * Provide date-stamped, GPS-located photographs that document pre-and post-project conditions. * Allow for post-project inspections and ensure that all submitted invoices include specific legal land descriptions and proofs of payment. * The minimum eligible project cost is $2,500, and applicants must pay 100% of the costs upfront.

OFCAF offers up to 85% reimbursement of eligible cash expenditures across the three BMP categories, with a maximum grant payment of $75,000 per applicant over the three-year period from April 1, 2022, to January 31, 2025. The same BMP cannot be funded on the same field across consecutive years—a "one-and-done" policy ensures broader access and encourages diverse practice implementation.

**1. Improved Nitrogen Management** New strategies in nitrogen management are essential for reducing nitrogen losses through runoff, leaching, and emissions of ammonia or nitrous oxide (N2O). The fund supports: * Soil Testing and Mapping: This includes increased soil sampling intensity or depth and analysis, with a maximum of $25,000 allocated per applicant in 2024. * Nitrogen Fertilizer Application: Transitioning to banding and split applications, pricing differences between standard and environmentally advanced fertilizers, and transportation and spreading costs of synthetic nitrogen alternatives. * Legume Integration: Increasing the proportion of perennial legumes in crop rotations, with specific criteria for legume content and planting timelines. **2. Enhanced Soil Health with Cover Crops** Cover crops provide additional soil cover and help in nutrient retention, and soil health enhancement. Eligible costs under this category include: * Seed Costs: Cover crops must leave significant ground cover through winter, with a maximum seed cost of $85 per acre. * Planting Costs: This covers custom rates or equipment rentals for planting cover crops, which must be seeded by September 15th to ensure adequate growth before winter. **3. Strengthened Rotational Grazing Systems** Improving grazing strategies can lead to better forage quality, soil health, and climate resilience. The fund supports: * Fencing Materials and Installation: This includes costs for cross-fencing, temporary fencing, and wildlife-friendly fencing. * Water Distribution Systems: Shallow pipeline installation and remote watering systems powered by renewable energy are covered, provided they are part of an overall rotational grazing improvement strategy. * Legume Integration: Similar to nitrogen management, this involves increasing the proportion of legumes in pastures, crucial for enhancing soil nitrogen levels naturally.

* Applications for OFCAF open on March 1, 2024, and will close once all available funding has been allocated. * Approved project activities must begin after receiving pre-approval from RDAR, and invoices must be submitted before January 31, 2025. Payments will be sent by March 31, 2025.

Applying for OFCAF involves several critical steps: * Develop a detailed BMP Action Plan in collaboration with a PAg or CCA. Templates are available on the RDAR website to guide you through this process. * Document current practices and outline planned improvements. * Submit an online application using RDAR's Agriculture Research Grant Organizer (ARGO). * After project completion, submit paid invoices along with required documentation for reimbursement.

Some expenses and activities are not covered by OFCAF, including: * In-kind payments such as farmer or family labor. * Long-term leases or rent-to-own equipment. * General operational costs not directly tied to the BMP implementation. * Costs of basic research, gifts and incentives, and lobbying activities. * Permits, approvals, and taxes eligible for rebates or refunds. * New building construction and purchasing land.

The On-Farm Climate Action Fund (OFCAF) represents a significant opportunity for Canadian farmers to adopt sustainable practices that not only improve the environment but also enhance the long-term viability and efficiency of their farming operations. By focusing on nitrogen management, soil health through cover crops, and rotational grazing systems, OFCAF provides a structured, financially supported pathway to a more sustainable agricultural future. Interested farmers should stay updated by subscribing to the OFCAF newsletter and consulting the RDAR website for detailed templates and application guidelines. With meticulous planning and strategic implementation, the OFCAF can be a game-changer for Canadian agriculture, driving meaningful progress towards climate-smart farming practices.