NourishMD Grant Open for Round 2

The NourishMD Grant has returned for a second round of applications. Please see below for grant synopsis. To learn more or to apply visit: https://dhcd.maryland.gov/business-development/nourishmd-grant-program

Available funding

• Grant size: $25,000 – $150,000
• Total funding available: Up to $3.67 million ($2 million in state funds and $1.67 million in federal Rural Health Transformation Program funds​)

Eligible applicants

For-profit or nonprofit food retailers that:

• Serve a community with a Maryland Community Compass (MCC)​ Fresh Food Gap Score of 65% or higher
  • Watch: How to Find Your Community’s Fresh Food Gap Score​
• Operate at least 5 days per week, year round (farmer’​s markets/on-farm markets exempt from 5-day requirement and must operate 10 months out of the year)
• Currently or plan to offer fresh, frozen, or minimally processed healthy foods
• Dedicate at least 20% of inventory or food-sales space to healthy food items

Please refer to the Request for Applications (RFA) – PDF – 172.79 KB for a complete list of eligibility requirements.

Tip: Visit the Maryland Community Compass (MCC)​ to learn more, use data insights to identify new opportunities, and connect with expert resources to help your business thrive.

Eligible retailers

Eligible retailers include:

• Grocery stores
• Corner stores
• Farm stands and other on-farm markets
• Farmers’ markets
• Community Supported Agriculture (CSA, using an average FFGS for delivery area)
• Food co-ops
• Delivery retailers serving a population with low fresh food access
• Small retail stores where the majority of inventory or sales are food-related (provided no more than 25% of gross sales are derived from alcohol/tobacco products)

To qualify for Rural Health Transformation Program funds, the retailer must be located in a designated rural county – PDF

Eligible use of funds

Use of funds depends on the source of funding, though dually-sourced awards are available.

State funds

$2 million in State funds may be used to directly support improved healthy food access, including:

• Purchase of furniture, fixtures, and/or equipment (e.g., Energy Star-rated refrigeration, shelving, etc.)
• Renovation, build-out, and facility upgrades
• Capital needs related to inventory expansion (non-prepared foods)
• Working capital involved with expansion or renovations/construction
• Infrastructure and technology for SNAP/EBT setup
• Purchase of a vehicle for fresh food delivery
• Commercial solar installations or heat pumps to reduce operating costs

Rural Health Transformation Program (RHTP) funds

$1.67 million in RHTP funds can be used to directly support improved healthy food access, including:

• Purchase of furniture, fixtures, and/or equipment (e.g., Energy Star-rated refrigeration, shelving, etc.)
• Facility upgrades to support cold storage or point of sale expansion ONLY (ie. electrical upgrade for a new walk-in, grant year WIFI costs for POS terminal usage, cement slab for new walk-in)
• Infrastructure and technology for SNAP/EBT setup
• Marketing costs to promote the RHTP funded efforts only (Please note, pre-approval for these expenses is required)
• Purchase of a vehicle for fresh food delivery
• Electrical installations or heat pumps to reduce operating costs
• Expenses related to pre-harvest infrastructure are not eligible for any grant funding under this grant program

Program timeline

• September 10, 2026: Soft launch and virtual information sessions, see below for registration links.

• September 22, 2026: Official launch; Tier 1 Application Portal opens (12:00 p.m. EST).

• November 2, 2026: Tier 1 Application Portal closes (5:00 p.m. EST).

• February 4, 2027: Tier 2 Application Portal closes (5:00 p.m. EST).

• February – March 2027: Tier 2 Review & Funding Recommendations finalized.

• April 2027: Award Notifications and funding approvals.

• May 2027: Execution of grant agreements and fund disbursement.

• May 2028: End of grant period and final deliverable deadline.

All interested applicants must submit an application by November 2, 2026. Only applicants that meet the baseline requirements in Tier 1 will advance to the Tier 2 application.