Iowa has developed a program to encourage agricultural value-added programs through a joint effort of the Departments of Agriculture and Economic Development. Since one department is headed by an elected official and the other by an appointee of the governor (who is often of a different party), such a joint program was seen as the best way of insuring continuity of the program.

The Department of Agriculture component (REVAMP) assists farmers and groups of farmers in developing business plans which are eligible for grants and low-interest loans from the Department of Economic Development.

The programs are funded by $4 million per year from Road Use Tax funds. This fund is tapped due to lack of surplus in the General Fund at the 1993 program start-up.

REVAMP receives $400,000 per year for a two-stage program. Mentors (experienced consultants) are provided to help farmers develop their ideas and explore feasibility. Upon the mentor's recommendation, a project is eligible for the second stage of business plan development.

When projects have developed a complete business plan, they are eligible for funds from the Value-Added Agricultural Products and Processes Financial Assistance Program (VAAPFAP) of the Department of Economic Development. Low interest loans (and small grants for exceptional projects) are provided from $3.6 million per year allocated to the program.