IN.gov - Skip Navigation

Note: This message is displayed if (1) your browser is not standards-compliant or (2) you have you disabled CSS. Read our Policies for more information.


Subscribe for e-mail updates
Print This Page Rate This Page Suggest a Link E-mail This Page HELP Find a Person Find an Agency

OCRA > Rural Capacity Grants > FAQs FAQs

What is a Rural Capacity Grant?

A Rural Capacity Grant is a funding opportunity designed to enhance the economic development of Indiana's rural communities. The Rural Capacity Grant fund provides financial resources for a variety of initiatives in the areas of rural entrepreneurship as well as workforce and educational development.

What are some examples of past projects that were funded?

This is not intended to be an exhaustive list but to provide applicants with an understanding of the intent of the Rural Capacity Grants.

Rural Entrepreneurial Support: Examples of projects include, but are not limited to those designed to: facilitate new business or minority business development; identify, train and mentor entrepreneurs; foster relationships between banking and investor networks with entrepreneurs; provide resources to "early stage" businesses to promote the success of the businesses and entrepreneurs; and foster an entrepreneurial culture.

Workforce and Educational Development: Examples of projects include: training programs designed to meet the job market of the area being served; educational projects intended to increase basic skills, such as literacy and math, of the local workforce; projects that seek to increase problem-solving, conflict resolution or other workplace-related soft skills; and other projects which address critical education and workforce development issues.

A compelling project would facilitate partnerships with various community agencies, Community Foundations, private sector entities, financial institutions, Chambers of Commerce, local economic development organizations, educational institutions and other interested parties.

Who is eligible to apply for an RCG?

The goal of the grant program is to spark discussions between as many community entities as possible. A not-for-profit properly registered with the Secretary of State, educational or governmental entities, local economic development organizations, Chambers of Commerce, workforce boards, Small Business Development Centers, Community Foundations and other non-profit organizations are eligible to apply as the lead applicant. As previously stated in the above questions, partnerships are required.

Previous Rural Capacity grantees are eligible to apply provided that satisfactory progress has been made on the current grant project and all quarterly reports have been submitted to OCRA.

What is the definition of rural?

Projects funded through the Rural Capacity Grant program must serve beneficiaries in rural communities. A rural community is defined by the U.S. Department of Housing and Urban Development (HUD) as having a population of 50,000 or less. County-wide or regional projects may have a population total greater than 50,000, but cannot benefit a city or town with a population greater than 50,000.

Is there a match required?

Required local match for a project is 20% of the amount of the grant funds requested. For example, if the applicant's grant request is $100,000 the minimum required local match must equal $20,000. In-kind match will not count toward the 20% match requirement.

Federal and other state funds may not be used as local match. The Rural Capacity Grant program encourages collaboration and the leveraging of local resources to address the challenges faced by a community. The intent is to promote local community investment in the project.
Philanthropic Foundations, especially Community Foundations, are strongly encouraged to participate and provide cash match. Such match will be favorably factored into the scoring of the grant application. Please note that matches from Community Foundations or endowments, which originated as CAPE monies from Lilly, will not be considered as philanthropic match. The intent is to promote and encourage additional philanthropic giving.

How should the application be submitted?

Five hard copies of the proposal, one marked as the original that includes signatures (signed in blue ink), may be sent via mail or hand-delivered to OCRA's office. No electronic submissions will be accepted.

If one submits a successful grant request, what is the time frame for funding?

Once we've identified these, it will take a minimum of 60 days for a fully executed grant agreement. More specific dates will be identified during the grant agreement process.

Is the cost of land acquisition an eligible in-kind or cash match?

No. Land or land use is not an eligible source of match funds nor is it an eligible use of grant funds.

Can money used to purchase, improve, or remodel a facility be counted as cash or in-kind contribution?

No. Facility or building costs, including rent and utilities, cannot count as match funds nor are they eligible uses of grant funds. 

Is creating an endowment an eligible component of a project?

Yes, but the endowment must come from the cash match rather than the requested grant funds.

What is a Community Foundation?

According to the Council on Foundations, a Community Foundation is a tax-exempt, non-profit, autonomous, publicly supported, philanthropic institution composed primarily of permanent funds established by many separate donors for the long-term, diverse, charitable benefit of the residents of a defined geographic area.
Community Foundations provide an array of services to donors who wish to establish endowed funds without incurring the administrative and legal costs of starting independent foundations. 

Why are Philanthropic Foundations, especially Community Foundations, strongly encouraged to participate and provide cash match?

During statewide discussions with rural stakeholders, one common theme emerged that has become one of OCRA's priorities: Developing a strategy to attract and expand philanthropic capital.
Community Foundations are set up to ensure the long-term sustainability of communities' philanthropic dollars. Simply stated, our goal is to keep your dollars in your community.

Is cash match from other philanthropic sources (i.e. service organizations) factored the same as cash match from a Foundation?

No, while all cash match counts favorably and is encouraged, Foundation match receives extra consideration. This is because of the long-term sustainability of Foundation money.

Can philanthropic cash match pass through a Community Foundation?

Yes, this would be ideal, because the Foundations will add that to their endowment, building equity that will keep your money in your community. We encourage you to discuss this process with your Community Foundation. 

Can the funding cycle for the Rural Capacity Grants be aligned with our Community Foundation's funding cycle?

It is not possible to match all, or even a majority of Community Foundations' cycles. Our intention is to encourage partnerships between Community Foundations and other local entities. Our hope is that these discussions will continue after our funding cycle for the betterment of rural communities. 

Who should I contact with any additional questions?

Please contact your Community Liaison. Click HERE for their contact information.