Opportunity Information: Apply for USDA FS WOOD INNOVATIONS 2023

The Wood Utilization Assistance opportunity (also referred to as the USDA Forest Service Wood Innovations Funding Opportunity) is a discretionary grant program designed to grow and speed up wood products and wood energy markets across the United States. The core idea is to turn hazardous fuels and other low-value wood residues generated from forest management work on National Forest System lands and other forestlands into useful, saleable products and energy. By expanding end markets for this material, the program aims to make forest restoration and fuel-reduction work more practical and affordable, while also supporting local jobs and community benefits tied to a stronger forest-products economy.

This funding is framed around major federal authorities and policy goals, including the Agriculture Improvement Act of 2018, Rural Revitalization Technologies authorities, and the Inflation Reduction Act. In practical terms, the Forest Service is trying to address a nationwide problem: enormous volumes of small-diameter trees and woody debris removed to reduce wildfire risk and improve forest health often have limited market value, and disposal can be expensive. By investing in the infrastructure, project readiness, and market development needed to use that material, the program supports three main priorities: reducing hazardous fuels and improving forest health, lowering the cost of forest management across all land types, and strengthening the economic and environmental well-being of communities.

The types of projects the agency is looking for are generally later-stage and market-facing, meaning proposals should be close enough to implementation to realistically move the needle on wood utilization in the near term. Competitive applications can include work such as completing engineering designs, cost analyses, and permitting for commercial construction projects that use wood as a primary building material, or for wood energy projects that need to finish development steps in order to secure financing. The notice is clear that early-stage concepts and preliminary development ideas are not expected to be competitive, so applicants are typically expected to show a strong level of readiness, clear pathways to construction or deployment, and credible market outcomes.

Beyond readiness activities, the program also supports efforts to expand manufacturing capacity and related infrastructure for wood products that align with forest ecosystem restoration, such as processing facilities, supply-chain improvements, and market development for restoration byproducts. Another eligible direction is demonstration and data-driven storytelling: building an actual commercial structure that uses wood and then quantifying the environmental and economic benefits, along with credible projections of what those benefits could look like if similar approaches were replicated more broadly in the national commercial construction market. The opportunity also includes support for organizing and coordination at the state level, specifically to establish statewide wood utilization teams and statewide wood energy teams, but only in states that do not already have, and have not previously had, such teams. In addition, the Forest Service is interested in proposals that build clusters of wood energy projects in a particular region or within a specific sector (for example, prisons, hospitals, universities, or industrial settings), as well as projects that directly tackle market barriers that currently limit commercial adoption of wood energy.

Eligibility is broad and includes for-profit businesses, state and local governments, Tribal governments, school districts, community-based and other nonprofit organizations, institutions of higher education, and special purpose districts such as public utility districts, fire districts, conservation districts, and ports. The funding activity category is Natural Resources and the CFDA (now Assistance Listing) number is 10.674. For the referenced cycle (USDA FS WOOD INNOVATIONS 2023), the listed award ceiling is $300,000, and the original closing date shown is 2023-03-23. Application materials referenced in the announcement include the official instructions and the application form (FS-1500-050), and the Forest Service also provided a prerecorded webcast to walk applicants through the process.

  • The Forest Service in the natural resources sector is offering a public funding opportunity titled "Wood Utilization Assistance" and is now available to receive applicants.
  • Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 10.674.
  • This funding opportunity was created on 2023-01-31.
  • Applicants must submit their applications by 2023-03-23. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
  • Each selected applicant is eligible to receive up to $300,000.00 in funding.
  • Eligible applicants include: Others.
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