Tupandi is a small town in the state of Rio Grande do Sul (RS), in the far south of Brazil. With 61 Km² in area, it has a population of approximately 3,600 inhabitants. It was emancipated from Bom Princípio, another small town in the region, in 1988, and today it is part of Greater Porto Alegre. One characteristic of RS is that 64% of the towns have fewer than 10 thousand inhabitants and in general agriculture activities are their main support. In this context the mayor proposed a creation of a Fund to help the agricultural development of the region. After three months of debates, Law # 154/93 of March 31, 1993 was approved, creating the Tupandi Fund for Agricultural Development. The law was based on supporting and providing incentives for the township’s agricultural activities, establishing a sort of agreement between City Hall and the tenant farmers whereby City Hall would subsidize the producers and the latter would agree to issue bills of sale for every transaction made. With FUNDAT’s results, rural properties in Tupandi became economically feasible. The program’s success can be seen in the following indicator: in 1993 Tupandi produced 660,000 chickens and in 2005 production reached 21,170,000, for a 3,200% increase in total production. The articulation between producers and the municipal authorities with the integrated poultry production companies such as Avipal and Frango Sul/Doux also permitted Tupandi to enter the global market, with a large part of its production destined for exportation to Europe and the Middle East.