Agricultural Chemical Response and Reimbursement Account Grant

The Agricultural Chemical Response and Reimbursement Account Grant, managed by the Minnesota Department of Agriculture, offers financial assistance for cleaning up pesticide and fertilizer incidents. Eligible parties can receive reimbursement for up to 80% of corrective action costs exceeding $1,000, with a maximum limit of $439,200. The application must be submitted at least 30 days before a board meeting for consideration, with 60 days recommended. Compliance with state regulations is essential for eligibility.

NOTE:  The completed application and supporting documentation must be received at least 30 days prior to the next board meeting to be considered for reimbursement at that meeting. Submitting 60 days prior is recommended. Deadlines shown on this page are the recommended 60-day deadlines. See here for 30-day deadlines.
Agricultural Chemical Response & Reimbursement Account
The Agricultural Chemical Response and Reimbursement Account (ACRRA) was created to reimburse persons for costs incurred in cleaning up agricultural chemical (pesticide and fertilizer) incidents. The account is funded by annual surcharges on pesticide and fertilizer manufacturers, distributors, applicators and dealers. The surcharge rate is determined by the Commissioner of Agriculture.
Reimbursement of Corrective Action Costs
The board may reimburse corrective action costs to an eligible person for 80 percent of costs greater than $1,000 and less than or equal to $550,000 for a maximum reimbursement amount of $439,200.
The Board will not provide reimbursement until it has determined that costs on the reimbursement request were actually incurred and were reasonable. The Board is limited to a maximum reimbursement of sixty percent (60%) if recontamination from a subsequent incident exists. In addition, they have the authority to reduce reimbursement or payment if a portion of the incident was caused by a violation of Minnesota Statutes, Chapters 18B, 18C, or 18D.
Payment of Corrective Action Costs (Hardship)
By request from an eligible party experiencing financial hardship, the Board may pay the reasonable and necessary corrective action costs.
The eligible party must return any funds received from ACRRA and is not eligible for subsequent payment or reimbursement if false statements or misrepresentations are made regarding the eligible party’s financial status (or if they fail to continue carrying out the clean-up requirements.)

Eligibility

An eligible person (party) is defined as a responsible person or an owner of real property, but does not include common carriers, the state, (excepting municipal airports) a state agency, political subdivisions of the state, the federal government or an agency of the federal government.Reimbursement of Corrective Action Costs:Criteria:The Minnesota Department of Agriculture (MDA) was given proper notice of the incident as required (Minnesota Statutes, Chapter 18D); The cost of investigation and cleanup were reasonable and necessary; andThe eligible person complied with corrective action requests or orders issued by MDA, or the eligible person took all reasonable action necessary to minimize and abate the incident, and the corrective action was subsequently approved by MDA.Payment of Corrective Action Costs (Hardship)Before any payments can be made, the Board must determine that the eligible person has complied with the following conditions:The MDA was given proper notice of the incident as required in Minnesota Statutes, Chapter 18D.The eligible party must pay the first $1,000 in corrective action costs.The eligible party provides the Board with a sworn affidavit and other convincing evidence that substantiates that they are unable to pay additional corrective actions costs.The eligible party continues to assume responsibility for carrying out the requirements of corrective action requests or orders.

Ineligibility

Ineligible Costs Include, But Are Not Limited To:

• Associated with actions that do not minimize, eliminate or clean up an incident, such as subcontractor mark-up & attorney fees.
• Related to the repair, replacement, or upgrading of facility structures or equipment.
• Loss of income.
• Relocation of residents.
• Decreased property values.
• Eligible person’s personal time spent on planning and administering corrective action design activities.
• MDA Oversight costs (Agricultural Voluntary Investigation & Cleanup (AgVIC).
• Third-party review of proposed investigative and corrective action or work plans.
• Aesthetic improvements (facility improvements).
• Any work, except for emergency corrective actions not in compliance with safety codes; including, but not limited to OSHA requirements, well and fire codes.
• Providing alternative sources for drinking water.
• Corrective action costs covered or payable under insurance or other contract.

Costs incurred in response to requests or orders issued to a person under authorities contained in Minnesota Statutes, Chapter 115B, or federal CERCLA--Superfund.