RURAL ENERGY FOR AMERICA PROGRAM (REAP) FARM ENERGY EFFICIENCY WORKSHOP
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1 RURAL ENERGY FOR AMERICA PROGRAM (REAP) FARM ENERGY EFFICIENCY WORKSHOP April 2, 2014 PRINCE EDWARD AGRICULTURAL SERVICES BUILDING Farmville, VA
2 THE RURAL ENERGY FOR AMERICA PROGRAM (9007) The REAP program assists rural small businesses and agriculture producers in purchasing and installing renewable energy systems and in making energy efficiency improvements. Financial assistance can be in the form of grants, loan guarantees, or a combination of both. In addition to providing assistance with renewable energy systems and energy efficiency improvements REAP can also provide assistance with energy audits and renewable development assistance.
3 USDA ENERGY MATRIX MAP
4 Renewable Energy Systems and Energy Efficiency Program
5 Must be an Agricultural Producer or Rural Small Business Must have DUNS and be registered in SAM Must be a citizen of the U.S. ELIGIBILITY Must not have federal judgments or delinquent federal taxes The project must be for the purchase of a renewable energy system or energy efficiency improvement. For energy efficiency projects applicants must have an energy audit. Grant request must not exceed 25 percent of the total eligible project costs. Commercially available and replicable technology Project must be technically Feasible Applicant must show adequate revenues for Operation & Maintenance 5
6 AGRICULTURAL PRODUCERS Must be directly engaged in the production of agricultural products At least 51% of gross income must be from their agriculture business Normally evidenced by a Schedule F
7 RURAL SMALL BUSINESSES Proposed project in a rural area Meets the definition of a small business according to SBA ( Can be a private entity (including a sole proprietorship, partnership, or corporation); cooperative or an electric utility Non-Profit organizations and public entities are not eligible 7
8 Post application purchase & installation of equipment (agricultural tillage equipment and vehicles not eligible) Post application construction or project improvements (except residential facilities) Energy audits or assessments Permit Fees Retrofitting ELIGIBLE PROJECT COSTS Professional Service Fees (except application preparation) Feasibility Studies Business Plans 8
9 PROJECT TYPES 9
10 RENEWABLE ENERGY TYPES WIND & HYDROPOWER SOLAR 10
11 ENERGY EFFICIENCY IMPROVEMENTS GRAIN DRYER REPLACEMENTS 11
12 POULTRY HOUSE IMPROVEMENTS Lighting Replacements Ventilation Replacements Insulation Curtains, Fans 12
13 TOBACCO HOUSE IMPROVEMENTS OLD BARN NEW BARN 13
14 TYPES OF ASSISSTANCE GRANTS LOANS COMBINATION LOAN/GRANT
15 Pay a maximum of 25% of total eligible project costs, up to: $250,000 Energy Efficiency Projects $500,000 Renewable Energy Projects GUARANTEED LOANS Provides a loan guarantee to banks on loans made to customers intending to finance energy related projects Loans cannot exceed 75% of total eligible project costs Minimum loan request is $5,000; Maximum is $25 Million Equity injection between 15% up to 25% 1% guaranteed loan fee GRANTS LOAN/GRANT COMBINATIONS The total loan/grant combination cannot exceed 75% of the total eligible project costs and eligible costs are the same as the individual loan and grant requirements 15
16 VIRGINIA PROJECTS & PERFORMANCE 16
17 FY2011 Project Funding FY Projects Funded Total Funding - $1,076,679 $43,343 $49, $455,600 $273,712 $183,523 Energy Efficiency Biomas Hybrid Solar Geothermal FFP
18 FY2012 Project Funding FY Projects Funded including 1 guaranteed loan for $236,625 Total Funding - $482, Energy Efficiency Biomas Hybrid Solar Geothermal FFP
19 FY2013 Project Funding FY Projects Funded Total Funding - $685,378 Energy Efficiency Solar Geothermal Biomass 19
20 APPLICATION PROCESS The application is a competitive process All applications require a technical report Only energy efficiency requests require an audit Only one of each application type can be submitted in the same year; total grant requests cannot exceed $750,000 Applications can be submitted year round to our State Office 20
21 CONTACT INFORMATION Laurette Tucker Energy Coordinator USDA Rural Development 100 Dominion Drive Farmville, VA , extension 125 State Office: USDA is an equal opportunity provider, employer and lender. To file a complaint of discrimination, write USDA, Assistant Secretary for Civil Rights, 1400 Independence Avenue, S.W., Stop 9410 Washington, DC or call toll-free (866) (English) or (800) (TDD) or (866) (English Fed-relay) or (800) (Spanish Fed-relay). 21
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