What is NRCS High Tunnel Funding For?

The NRCS aims to help farmers avoid soil erosion, conserve water, increase wildlife on their property, and reduce potential damage from floods, wind, and other natural disasters caused by extreme weather while providing assistance to help them grow healthy crops. 

High tunnel growing addresses many of these concerns and is, therefore, supported by NRCS as part of the Healthy Soils initiative. 

What is NRCS?

The Soil Conservation Service (SCS) was amended to become the National Resources Conservation Service, or NRCS, in 1994 to represent better its role in soil, water, and resource conservation across the United States. The service focuses on preventing valuable topsoil from eroding, conserving natural habitats of native wildlife, and assisting growers in effectively managing their land to produce high-quality yields and serve their communities. 

The NRCS mission states, “We deliver conservation solutions so agricultural producers can protect natural resources and feed a growing world.” Their vision is “​​a world of clean and abundant water, healthy soils, resilient landscapes, and thriving agricultural communities through voluntary conservation.”

NRCS High Tunnel Initiative

The Environmental Quality Incentives Program (EQIP), NRCS’s flagship conservation program, and Agricultural Management Program (AMA) are cost-share programs that help growers fund a high tunnel purchase. The High Tunnel Initiative aims to serve urban and rural communities by supporting local farmers, businesses, Native American nations, and farming groups to grow fresh, healthy, and sustainable crops. Read about EQIP success stories here. 

The program includes an in-depth visit with an NRCS representative to confirm the program aligns with your needs and that you are eligible. NRCS agents may recommend or require additional practices that include but aren’t limited to: 

• Drainage: surface, perimeter, sub-surface, or field ditches 
• Mulching 
• Irrigation and micro-irrigation systems 
• Underground outlets 
• Critical area planting 
• Diversion waterways

Eligibility for funding: 

• Applicants must:

• Be active in agriculture or forestry management or be interested in starting an operation involving these. Eligible land includes land that supports hay, various crops, range, pasture, non-industrial private forestland, farms and ranches, and environmentally sensitive areas.  
• Grow crops in the ground soil. Soil may be in the form of raised beds up to 12 inches tall.
• Have a tax ID and a farm tract number.
• Control the land or have proper paperwork that states their ability to change the land. 
• Comply with HELC and WC requirements. 
• Have an AGI of less than $900,000.

Funding may support the purchase of a manufactured high tunnel as well as energy upgrades to an existing high tunnel. 

Related: A Bootstrap Farmer Guide to the NRCS High Tunnel Initiative

Benefits of High Tunnels

• Combat effects of climate change: The continuation of climate change and fluctuating weather patterns has caused growing concerns amongst growers worldwide. Growing in high tunnels protects crops from damaging winds, rain, frost, and hail.
  Growers can create a microenvironment inside a high tunnel specific to their region and crops. Control the heat, humidity, and airflow with add-ons like shade cloth, circulation fans, and ventilation tools.
• Extend your growing season: Even unheated tunnels allow you to begin sowing seeds and transplanting seedlings four to six weeks earlier in the spring and keep crops going into the late fall. Newly transplanted seedlings are vulnerable and greatly benefit from a high tunnel's extra warmth and calmness. You can add an additional 5 to 10°F of protection with frost blankets.

 Related: Season Extension on a Flower Farm 

Improved crop quality and yield: Crops protected from strong winds, damaging rain, and frost will undoubtedly be more marketable, less stressed, and healthier overall. Foliage remains drier, reducing the chance of fungal disease spreading quickly through water droplets, and temperatures inside tunnels are higher, boosting heat-loving crops like tomatoes and peppers. 

• Water conservation: Growers typically use drip irrigation in a high tunnel for its ease of installation, customization capabilities, ability to automate, and, most importantly, it puts water just where farmers want it: at the base of the plant. Getting water to the root system, especially in hot weather, increases water conservation and encourages robust root systems and a healthy microbiome, resulting in healthier plants. Water conservation and good water drainage also decrease the chance of fungal disease.

• Pest and disease management: Crops grown inside high tunnels are far safer from pests and diseases potentially drifting over from neighboring farms. Many farmers line the walls of their high tunnels with insect netting to exclude pests. Through early detection and treatment, growers can swiftly identify and contain pest or disease issues or release beneficial insects for effective, pinpointed damage control and pollination. 

Related: Top 5 Reasons Why You Should Build a Hoop House Style Greenhouse

Preparing Your Application

Gathering Required Documentation

The amount of paperwork upfront may seem a little overwhelming, but it’s just the initial setup that takes this extra work. Once you’re in the system, it’s much more manageable.

• Register with the USDA Farm Service Agency (FSA) and obtain a farm tract number. This process registers your farm with the USDA and allows you to proceed with grant applications. 
• Complete Form AD-2047, their Customer Data Worksheet. This form asks for basic information such as growing practices, location, goals, address, etc. 
• If you are a multi-member LLC or business partnership, each member may be required to complete and sign a form. 
• Form CCC-860 will ask if you identify as socially disadvantaged, limited resource, veteran, or young or beginning farmer or rancher. 
• Read the Appendix to Form AD-1026  
• Complete Form AD-1026 Highly Erodible Land Conservation (HELC) and Wetland Conservation (WC) Certification. See instructions on proper completion here.  
• Complete form CCC-941 regarding adjusted gross income and consent to disclose tax information
• Complete Form SF-3881, Payment Enrollment Form for FSA
• Complete Form SF-1199A, Payment Enrollment Form for NRCS

This link includes the forms listed above, a glossary of terms, and a worksheet to prepare for USDA representative visits. 

Farm Records and Operation Details

Annual financial and production records will be essential to a successful application. When your NRCS agent visits, they’ll complete a conservation plan and resource inventory. With your intimate knowledge of the land and your operation, you’ll complete an environmental assessment. Then, your agent will match you with conservation practices to complement your application. 

Cost Estimates and Quotes

Ask your agent about NRCS-approved high tunnel companies in your area they recommend. Based on your land and holistic farming goals, get several quotes and determine which is best for your farm. Take into account changes inflation or shipping may cause in pricing. 

The bare minimum you’ll need to get from your agent before requesting quotes:

• Square footage approved. The max size is 30 x 72 = 2,160, but you can change the dimensions to equal this; for example, 20 x 108 = 2,160.  
• Structural dimensions
• Structure specifications you must abide by, such as gothic vs round or height requirements
• Your zip code will help the manufacturing company determine their ability to ship to you. 

Build your tunnel with all your desired features, including double poly-plastic and framed end walls. The cost-share programs pay per square foot, so you will get the most bang for your buck this way. 

Understanding the Application Process

Together with an NRCS agent, you’ll build a conservation plan that aligns with your overall farming goals. These can include immediate needs for a high tunnel and other conservation practices the agent sees fit for your farm, like installing an irrigation system, hedgerow planting, herbaceous wind barriers, pollinator patches, and drainage.

The NRCS offers free visits, advice, and technical assistance. Your friendly, local representative will help you develop a plan for your land’s vision before and during the application process. While on-site, they may suggest application add-ons based on the land and its conservation needs. 

Ask questions as they arise. The NRCS receives funding for many practices you may need to be aware of, and this is your chance to learn more about them. Many USDA offices share space with NRCS and FSA agents, making future follow-up phone calls and visits a breeze. 

Tips for Effective Communication with NRCS Representatives

• Using this tool, identify your county’s NRCS office and agent. Then, after stating your interest in the EQUIP program, request an in-person visit with them. 
• Exchange contact information and inquire about the best way to contact them and when works best for them. Texting may work best if they are mostly field workers, while others prefer phone calls. Get this information up front for the best line of communication. 
• If you have questions about the timeline or how the application process is going, contact them. The NRCS is involved in many projects, and agents are usually inundated around application deadlines and during the review process. Stay consistent with your communication, but be patient. 
• Use your NRCS agent as the first stop before making high tunnel-building decisions. Since each state has different tunnel requirements, it’s essential to be clear on them before getting their stamp of approval.  
• You can find more helpful considerations here directly from the NRCS. 

Essential EQIP Application Facts

• You must own or have control of the land on which you seek to erect a high tunnel. If you lease the land, you’ll need to acquire signatures on a property deed or lease agreement that states you have permission to make changes to the land by the land owner.
• Growers who have been historically under-served have an increased maximum of funding they may receive and may be eligible for advanced payments to help with the upfront costs. 
• Assistance differs by year and tunnel size. Applicants should apply for the size that suits their needs and the funding available. 
• Each state has different requirements for the high tunnel type you can build. For example, most northeast states require a gothic-style high tunnel under this initiative for its ability to shed snow load.
• Tunnels must be at least six feet tall in the center, and crops must grow in the ground soil. 
• DIY tunnel kits are not eligible; only pre-manufactured kits qualify. Confirm with the company that their tunnels are NRCS-approved. 
• The NRCS does not cover the cost of heat, cooling units, or power in high tunnels, although these add-ons can be installed through various other grant funding or directly by the grower. 
• You enter a legally binding contract when signing up to work with the NRCS. 

Developing a Strong Proposal

Critical elements of a compelling proposal will:

• Include an extensively researched quote from a reputable and NRCS-approved manufacturer and the means of paying for additional expenses after NRCS funding. 
• Explain how your plan to erect a high tunnel solves a conservation issue on your land. Projects that address regional or statewide conservation concerns will rank higher. 
• Map out your location, ensure an adequate water source for irrigation, plan to mulch and add cover crops, and install perimeter drainage to avoid flooding and reduce erosion. 
• Highlight gaps in your community’s food system that your project will help fulfill.
• Identify your purpose. 
• Consider minimally tilling in your high tunnel and keeping continuous root systems in the ground year-round. Include a cover crop rotation plan.
• List specific metrics you plan to track in the coming years to prove a high tunnels’ necessity, complete with studies showing farms similar to yours’ success. 
• Explain potential concerns or challenges, such as regulating temperatures, clearing snow load, rain run-off, and managing pests in this newly enclosed space. 

Managing the Funding and Project Implementation

Funding Allocation and Disbursement

Applications are accepted year-round. However, states rank them during several different funding cycles. If you are outside a funding cycle, the state will review your application and consider it for funding in future cycles. Ranking dates are set by the Inflation Reduction Act (IRA) and broken down here by state.

Most often, farmers foot the bill upfront, and the NRCS reimburses the approved costs after a visit to confirm the proper use of funds. Be prepared for them to take photos and ask follow-up questions for their records. Ask your NRCS agent if you’re eligible for advanced payments. Payment is disbursed after your agent visits and certifies the work. 

Note that recipients are responsible for paying taxes on the amount received from the NRCS. This amount is much less than the high tunnel cost, but you should prepare to claim this grant as income at tax time. Speak to a local tax expert or your CPA for questions or advice on filing. Save all receipts related to the project for payment disbursement and tax purposes. 

Project Planning and Execution

Site requirements: 

• High tunnel location must not block or cover public utility lines or pipes
• The ground must be level 
• Place the tunnel in a new growing location that is not the same site as a prior tunnel.
• Consider sunlight access, height, and penetration before deciding on the location and orientation of your high tunnel.

Tunnel requirements: 

• Minimum of 6 feet tall, no maximum  
• Maximum of 30 feet wide 
• Cannot shelter livestock, serve as a greenhouse, or store equipment
• It should be near a water source 
• Applicants must purchase a manufactured high tunnel kit constructed by a commercial source; DIY kits do not apply. 
• Select a round or gothic style based on your growing region and specific needs. Check out our articles Gothic VS. Round Hoop House | Which One is Right for You? and Managing a Greenhouse | Regulating Humidity & Temperature for help deciding which style is right for you and tips and tricks to regulate internal humidity and temperatures. 

Financial requirements: 

• Prepare to pay the upfront costs of the high tunnel. Apply for advanced payments if you’re eligible. 
• Claim properly on tax returns.

Related: High Tunnel VS. Greenhouse: Which is Right for You?

Monitoring and Evaluation

Your state may require you to submit a performance report that breaks down the project execution and payment processes for their records. These reports help the county and state identify their farmers' needs and how they use the funds received. 

During your first season growing in your new high tunnel, take notes on the impact being in a protected space has on your crops. Include yield, quality, growth habits, pests, and disease. Show as many clear metrics as possible resulting from your high tunnel installation. Take photos—note areas of concern and successes. 

After you build your first tunnel, you’ll likely see things to do differently next time and effectively plan for the next one. These might include the plastic type, end wall style, length or width, or even the company you used. 

General pro-tips: 

• Maintain your high tunnel with annual maintenance and repairs/replacements as needed to keep it performing at its best. 
• Take care during storms by closing the sides and end walls. 
• Properly clear it of snow. 
• Dispose of plastic covering correctly at the end of its life, repurposing it if possible. 
• Irrigate properly to avoid salt build-up in the soil, and do regular soil tests. 
• Control the weeds and roof run-off. 

Related: Wind & Snow Load Calculator for High Tunnel Greenhouse

FAQs

What is the maximum funding amount available?

The maximum payment cap is based on a 2,160-square-foot high tunnel and the payment rate. The NRCS pays an average of $5.90 to $12.21 per square foot. For more information, refer to the 2024 EQIP Contracting Guidance Document.  

Can I apply for funding if I already have an existing high tunnel?

Yes, but the recipient must place the new high tunnel in a new growing area. 

Are there any restrictions on the crops grown in the high tunnel?

Vegetables, small fruits, or valuable crops like ginger and turmeric that require an extended season are all applicable crops to grow in the high tunnel. Growers cannot use the funded high tunnel to grow in pots, on benches, or to produce anything violating federal laws. 

How long does the application review process typically take?

Once you have all the appropriate documents listed at the beginning of this article, have visited with your NRCS representative, and have an approved quote from an authorized manufacturer, the application process is fast and seamless. It may sit dormant for a while, depending on where the NRCS is in its ranking cycle, which differs by state. Ask your rep about the ranking cycles so you have realistic timeline expectations.  

What happens if I need to modify my project after receiving funding?

You should work closely with your NRCS agent before and during the application process so that modifying after receiving funding is unnecessary. It should not be considered a possibility, but if an emergency arises, contact your NRCS agent for advice on how to proceed. 

Related Questions

What is NRCS funding?

NRCS funding assists farmers and landowners interested in agricultural practices in improving their growing techniques while helping conserve soil, water, and wildlife. As a federal agency, funding comes from the USDA.

How much will NRCS pay for high tunnels?

The maximum differs per state but is generally between $8,000 and $10,000. Payment is by the square foot and changes each year. Depending on the specifics, it can be between $5 and $10 per square foot. The NRCS pays per square foot of the structure.  

Are high tunnels profitable?

With proper management, growing in high tunnels results in more marketable crops with less pest, disease, and weather damage. However, consider the initial investment of the high tunnel to determine how long it may take before you see the profit. You may see a quicker ROI on high-valued crops like tomatoes, cucumbers, peppers, ginger, and hemp. Review the University of Maryland Extension study for three farm case studies and their high tunnel profitability. 

How much does a high tunnel cost?

A high tunnel can cost anywhere from $5 to $12 per square foot, depending on size and the accessories you add. Equipment like extra doors, roll-up sides, ventilation, and double-layer inflation kits will bring your cost to the higher end of the range.

What are the specifications for NRCS high tunnels?

There are no hard and fast specifications for the sizing; it only needs to be at least 6 feet tall. Depending on your region’s climate, different states may have requirements, so check with your local agent.