02/18/2026
The U.S. Department of Agriculture’s Forest Service today announced up to $95 million in competitive grant funding through its Wood Innovations program for projects that advance innovative wood uses, expand wood-based construction, and grow U.S. wood energy markets and forest product processing capacity.
“A strong timber industry is essential for active forest management and the vitality of rural economies,” said Forest Service Chief Tom Schultz. “By supporting mills and markets that transform forest byproducts into valuable goods, we strengthen domestic manufacturing, reduce wildfire risks, and generate well-paying jobs across rural America.”
Funding is available through three Forest Service grant programs: the Wood Innovations Grant, Community Wood Grant, and Wood Products Infrastructure Assistance Grant programs. Together, these programs support projects that:
Develop innovative wood products
Increase the use of wood in commercial and residential construction
Expand wood energy systems
Modernize, retrofit, or increase the capacity of wood products manufacturing facilities
Eligible applicants include private businesses, for-profit and non-profit organizations, tribes, state and local governments, institutions of higher education, and public utility, fire, conservation, and school districts.