FY26 allocation: $10 million

Purpose: A new tool for rural communities in the footprint to undertake innovative economic projects in partnership with the Tobacco Commission that support rural development and the energy supply chain through support of advanced manufacturing.

1. Supports entrepreneurial-minded projects by local governments that broadly supports economic development while also offering a strong financial return on the investment
2. Encourages public-private partnerships bringing additional capital and market expertise to develop long-term income producing investments for a community’s citizens.
3. Leans into the nimbleness and flexibility of the Commission to allow for creative funding solutions for the projects that both carry out its mission while creating opportunities for replenishing Commission coffers.

Program structure:

• Applications are received and evaluated on a rolling basis and are made by political subdivisions of the Commonwealth, either for themselves or on behalf of a private partner.
• Funds require a minimum one-to-one match and generally follow existing Tobacco Commission funding policies.
• Projects should offer project funders a clear path for recouping funds put into the project, as well as on-going returns from the use of the project or its appreciation in value.

Minimum qualifications for award:

• Project must help implement a funding priority of the Commission.
• Commission must have reasonable protections from a project’s downside risk.
• While project partners have unique strengths they bring to a project, the risks and returns of the project should, in general, be borne equally.

Application and approval process:

• Local governments may discuss project ideas with Commission staff in confidence, however all applications for funding must eventually go through a public Commission approval process.

• Submitted projects are evaluated and negotiated on an individual basis by staff, in consultation with the committee, with outside expertise brought in as needed.
• Following review by the Committee, awards up to $1M can be approved by the Executive Director, awards between $1M and $3M require a vote of the committee, and awards above $3M require a vote of the Full Commission.
• If approved, each project will have an agreement unique to the project and shared with committee for review.

Get started by filling out a pre-application and a member of the Commission staff will be in touch:

Rural Accelerator & Energy Supply Chain Advanced Manufacturing Program Pre-Application