1.  Eligibility.  A selected farm business that has completed a business plan pursuant to section 318 is eligible to apply for funding to implement the plan. The applicant may apply for a reduced-interest loan from the Agricultural Marketing Loan Fund under chapter 101, subchapter 1‑D and for a grant pursuant to the terms outlined in subsection 4.  

2.  Award of grants.  The panel shall develop a competitive process to determine the farm businesses that receive grants to implement a business plan in exchange for a farmland protection agreement under subsection 4 and farm businesses that are eligible to apply for a reduced-interest loan under section 435, subsection 3‑A. This determination must be based upon selection criteria developed by the department including:  

3.  Uses and limitations of funding.  Any funds provided by the department pursuant to this section must be used to implement the business plan either in the plan's original form or in a subsequent amended version that has been approved by the department. For a farm business applying for and receiving a loan from the Agricultural Marketing Loan Fund, the loan requirements and limitations under chapter 101, subchapter 1‑D and Title 10, section 1023‑J apply. For a farm business receiving a grant, the department may provide funds to implement the business plan in an amount not to exceed $45,000 or 25% of the total investments identified by the business plan, whichever is less.  

4.  Agricultural conservation agreement or farmland protection agreement.  A farm business selected to receive a grant under subsection 2 must have an existing agricultural conservation agreement or enter into a new 7-year farmland protection agreement with the department before the department provides investment support pursuant to this section. The agreement must provide that the farm business will protect the land in agricultural use from nonagricultural development for the period of the agreement. Exceptions may be granted by the department if an applicant does not own the land on which the applicant operates the applicant's farm business but has a long-term lease arrangement. A selected farm business may terminate the farmland protection agreement at any time if the farm business repays the department for any funds provided to the farm business by the department pursuant to this section.  

5.  Review of business plan.  The department shall arrange to review the business plan for a farm business selected to receive a grant under subsection 2 within 2 years of the date the grant is awarded.