Background: Quelling and DNA damage induce small RNA from repetitive DNA regions. Results: Genetic Screen identified RTT109 as a critical component of the siRNA production pathway in Neurospora. Conclusion: RTT109 acts as a histone H3K56 acetyltransferase to mediate siRNA biogenesis through its role in homologous recombination. Significance: This study identifies a new link between DNA damage response and small RNA production at the chromatin level.