Renewable Energy and Energy Efficiency Program FACT SHEET Per NOFA Published in the Federal Register March 28, 2005 Applications must be postmarked by Monday, June 27, 2005 Section 9006 – The Renewable Energy and Energy Efficiency Program, through USDA- Rural Development, offers grants to help farmers, ranchers, and rural small businesses purchase renewable energy systems and make energy efficiency improvements. Who is eligible? Farmers, ranchers, and rural small businesses with a demonstrated financial need. Farmers and ranchers must directly engage in the production of agricultural products and obtain at least 50% of their gross income from their agriculture business. Rural small businesses must meet the definition of a small business according to SBA (Small Business Administration) standards and must be headquartered in a rural area. SBA small size standards can be found at http://sba.gov/size/index.html. A private entity including a sole proprietorship, partnership, corporation, cooperative (including a cooperative qualified under section 501(c) (12) of the Internal Revenue Code, and an electric utility, including a Tribal or Governmental Electric Utility that provides service to rural consumers on a cost-of service basis without support from public funds or subsidy from the Government authority establishing the district. These entities must operate independent of direct Government control. Public or private non-profit entities are excluded, except as provided above. A very small business is a business with fewer than 15 employees and less than $1 million in annual receipts. How much assistance can be provided? Renewable Energy Projects Energy Efficiency Improvements Projects Description A process that PRODUCES Improvements to a facility or process energy from a renewable that energy source REDUCE energy consumption Minimum grant $ 2,500 $ 2,500 (no more than 25% of total eligible project costs) Maximum grant $ 500,000 $ 250,000 (no more than 25% of total eligible project costs) Energy assessment or NO YES energy audit required? Feasibility study For grant requests in excess NO required? of $50,000 Categories of projects Biomass, Anaerobic Energy Efficiency Improvements Digester, Geothermal – verified by an energy audit or electric generation, assessment Geothermal – direct use, Hydrogen, Small and Large Wind, Small and Large Solar Grant requests of more than $50,000 require the services of a professional engineer What are eligible costs? 1. Post application purchase and installation of equipment, except agricultural tillage 2. equipment and vehicles. All eligible projects must be located in a rural area and 3. Post application construction or project utilize a replicable pre-commercial or replicable improvements, except residential commercially available, and feasible technology. 4. Energy audits or assessments The applicant must be the owner of the project and 5. Permit fees control the operation and 6. Professional service fees, except for maintenance of the proposed project. application preparation. 7. Feasibility studies Applicants must demonstrate the project has sufficient revenues to provide for 8. Business Plans operation and maintenance. 9. Retrofitting 10. Construction of a new facility only when the facility is used for the same purpose; is approximately the same size; and based on the energy audit, will provide more energy savings than improving an existing facility Applications must be postmarked by Monday, June 27, 2005. Two (2) copies of your application are to be submitted to the USDA Rural Development 333, Phillips Dr., McDonough, GA 30253 Selection is based on a nation-wide competition for funds. To qualify for consideration for funding, an application must meet the application requirements, technical and environmental requirements. Separate applications must be submitted for renewable energy system and energy efficiency improvement projects. Only one application per each type of project may be submitted. The grant application will consist of 2 copies of: 1. Application documents, including 2. Score sheet and attached documentation, and 3. Technical report You may decide you need assistance assembling your grant application. A possible grant writing team could be composed of the following: 1. Someone to help prepare financial statements. 2. Someone to help prepare the technical report. 3. Someone to review your application for completeness. Resources to Possibly Help File an Application For a complete list of tools, forms, and links provided by Georgia Rural Development, please go to: http://www.rurdev.usda.gov/ga/energy.htm and click on Section 9006 Energy Program Georgia Rural Development Business-Cooperative Specialists – Craig Scroggs, 678-583- 0866 e-mail email@example.com For a complete list of tools, forms, and links provided by the Rural Development National Office, please go to: http://www.rurdev.usda.gov/rbs/farmbill Georgia Industrial Technology Partnership – http://www.georgiaitp.org/ Phone: (706) 542-4493 University of Georgia Extension Service– E-mail firstname.lastname@example.org Phone: 706-542-9080 The Center for Emerging Crops - http://www.emergingcrops.org/ NESPAL - http://nespal.cpes.peachnet.edu/ Your local banker or your accountant Georgia Small Business Development Centers http://www.sbdc.uga.edu Georgia Agricultural Innovation Center Resource Conservation and Development Districts (RC&D) Coordinators – for names and locations, please go to: http://www.garcd.org/ Georgia Department of Natural Resources – http://www.gadnr.org/ For help on Energy Audits – Contact your energy provider for interconnect or energy audit information. For Technical Report Guidelines –go to http://www.rurdev.usda.gov/rbs/farmbill/technicl.htm For an Application Template – go to http://www.elpc.org/farmenergy/applicationforms.htm When we review an application, we are looking for the answers to the following questions: 1. Is the applicant eligible? 2. Is the project eligible? 3. Is the application complete? 4. Does the project meet funding requirements? 5. Did the technical report have technical merit (pass or fail)? 6. How did the application score (national competition)? Funding FY 2005 (the 3rd year of a 5 year program) will have $22.8 million available nationally for the Section 9006 Energy Program. In FY 2004 (the 2nd year of the program), $22.8 million was available nationally in competitive grant funds,167 applications were approved for funding nationally, of the 3 applications received in Georgia, 1 was approved for funding. In FY 2003 (the 1st year of the program), $21.23 million was available in competitive grant funds,113 applications ere approved for funding nationally, of the 2 applications received in Georgia, 0 were approved for funding. Examples of Energy Projects Awarded Grants in Iowa in FY 2003 and FY 2004 Renewable Energy Agricultural Producer - Install a factory made wood burning furnace that is located outside. The furnace will heat water that will be pumped through insulated underground pipes. Agricultural Producer - Installing a geothermal renewable energy system at a winery and farm. Agricultural Producer - Erect a Bonus 450 KW wind turbine in order to strengthen farming operation through efficiency and diversity of operations and additional source of income. Agricultural Producer - Installation of a 5,600,000 kW wind turbine on a farm. Agricultural Producer - Installation of 10 kW wind turbine on a farm for farm electrical usage. Agricultural Producer - Manure processing project that generates own energy for drying manure on a dairy farm. Small Business Installation of a Cogeneration wood fired boiler system primarily to create heat to operate the kilns and steamer and also produce electricity. Small Business - Install hot water renewable fuel boiler along with solar PV electric and solar thermal supplemental design for heating a greenhouse project. Small Business - Provide electric power to headquarters facility with 2 wind turbines and photovoltaic systems. Small Business - Construct a wind turbine (67-1650KW) electric generation farm. Small Business - Installation of wind turbines and solar PV array pumping system. Small Business - Build a 12,000,000 gallon bio-diesel production plant. Energy Efficiency Agricultural Producer - Installation of an energy efficient grain drying bin. Small Business - Install energy efficient equipment and lighting in a restaurant using a Reverse Ambient Solar Energy Refrigeration System (RASERS). Small Business - Install new boiler system and high efficiency dry kilns. Small Business - Energy conservation and efficiency for office/warehouse for calibrated day lighting controls, lighting controls, lighting design alternatives, conditioning of outside air, and insulation.
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