7 U.S.C. § 8107
Section 8107 · Rural Energy for America Program
Current version, with additions and removals from the June 18, 2008 version.
The Secretary, in consultation with the Secretary of Energy, shall establish a Rural Energy for America Program to promote energy efficiency and renewable energy development for agricultural producers and rural small businesses through—
The Secretary, in consultation with the Secretary of Energy, shall establish a Rural Energy for America Program to promote energy efficiency and renewable energy development for agricultural producers and rural small businesses through—
(1) grants for energy audits and renewable energy development assistance; and
(1) grants for energy audits and renewable energy development assistance; and
(2) financial assistance for energy efficiency improvements and renewable energy systems.
(2) financial assistance for energy efficiency improvements and renewable energy systems.
(1) In general
(1) In general
The Secretary shall make competitive grants to eligible entities to provide assistance to agricultural producers and rural small businesses—
The Secretary shall make competitive grants to eligible entities to provide assistance to agricultural producers and rural small businesses—
(A) to become more energy efficient; and
(A) to become more energy efficient; and
(B) to use renewable energy technologies and resources.
(B) to use renewable energy technologies and resources.
(2) Eligible entities
(2) Eligible entities
An eligible entity under this subsection is—
An eligible entity under this subsection is—
(A) a unit of State, tribal, or local government;
(A) a unit of State, tribal, or local government;
(B) a land-grant college or university or other institution of higher education;
(B) a land-grant college or university or other institution of higher education;
(D) a council (as defined in section 3451 of title 16); and
(3) Selection criteria
(3) Selection criteria
In reviewing applications of eligible entities to receive grants under paragraph (1), the Secretary shall consider—
In reviewing applications of eligible entities to receive grants under paragraph (1), the Secretary shall consider—
(A) the ability and expertise of the eligible entity in providing professional energy audits and renewable energy assessments;
(A) the ability and expertise of the eligible entity in providing professional energy audits and renewable energy assessments;
(B) the geographic scope of the program proposed by the eligible entity in relation to the identified need;
(B) the geographic scope of the program proposed by the eligible entity in relation to the identified need;
(C) the number of agricultural producers and rural small businesses to be assisted by the program;
(C) the number of agricultural producers and rural small businesses to be assisted by the program;
(D) the potential of the proposed program to produce energy savings and environmental benefits;
(D) the potential of the proposed program to produce energy savings and environmental benefits;
(E) the plan of the eligible entity for performing outreach and providing information and assistance to agricultural producers and rural small businesses on the benefits of energy efficiency and renewable energy development; and
(E) the plan of the eligible entity for performing outreach and providing information and assistance to agricultural producers and rural small businesses on the benefits of energy efficiency and renewable energy development; and
(F) the ability of the eligible entity to leverage other sources of funding.
(F) the ability of the eligible entity to leverage other sources of funding.
(4) Use of grant funds
(4) Use of grant funds
A recipient of a grant under paragraph (1) shall use the grant funds to assist agricultural producers and rural small businesses by—
A recipient of a grant under paragraph (1) shall use the grant funds to assist agricultural producers and rural small businesses by—
(A) conducting and promoting energy audits; and
(A) conducting and promoting energy audits; and
(B) providing recommendations and information on how—
(B) providing recommendations and information on how—
(i) to improve the energy efficiency of the operations of the agricultural producers and rural small businesses; and
(i) to improve the energy efficiency of the operations of the agricultural producers and rural small businesses; and
(ii) to use renewable energy technologies and resources in the operations.
(ii) to use renewable energy technologies and resources in the operations.
(5) Limitation
(5) Limitation
Grant recipients may not use more than 5 percent of a grant for administrative expenses.
Grant recipients may not use more than 5 percent of a grant for administrative expenses.
(6) Cost sharing
(6) Cost sharing
A recipient of a grant under paragraph (1) that conducts an energy audit for an agricultural producer or rural small business under paragraph (4) shall require that, as a condition of the energy audit, the agricultural producer or rural small business pay at least 25 percent of the cost of the energy audit, which shall be retained by the eligible entity for the cost of the energy audit.
A recipient of a grant under paragraph (1) that conducts an energy audit for an agricultural producer or rural small business under paragraph (4) shall require that, as a condition of the energy audit, the agricultural producer or rural small business pay at least 25 percent of the cost of the energy audit, which shall be retained by the eligible entity for the cost of the energy audit.
(1) In general
(1) In general
(A) Assistance
(i) loan guarantees and grants to agricultural producers and rural small businesses—
(ii) loan guarantees to agricultural producers to purchase and install energy efficient equipment or systems for agricultural production or processing that exceed—
(I) energy efficiency building codes, if applicable;
(II) Federal or State energy efficiency standards, if applicable; and
(III) other energy efficiency standards determined appropriate by the Secretary.
(B) Limitations
With respect to loan guarantees under subparagraph (A)(ii)—
(i) if no codes or standards described in such subparagraph apply to the energy efficient equipment or system to be purchased or installed pursuant to such subparagraph, the Secretary shall require, to the maximum extent practicable, such equipment or system to meet the same efficiency measurements as the most efficient available equipment or system in the market; and
(ii) the Secretary shall not provide such a loan guarantee for the purchase or installation of any energy efficient equipment or system unless more than one type of such equipment or system is available in the market.
(2) Award considerations
(2) Award considerations
In determining the amount of a loan guarantee or grant provided under this section, the Secretary shall take into consideration, as applicable—
In determining the amount of a loan guarantee or grant provided under this section, the Secretary shall take into consideration, as applicable—
(A) the type of renewable energy system to be purchased;
(A) the type of renewable energy system to be purchased;
(B) the estimated quantity of energy to be generated by the renewable energy system;
(B) the estimated quantity of energy to be generated by the renewable energy system;
(C) the expected environmental benefits of the renewable energy system;
(C) the expected environmental benefits of the renewable energy system;
(D) the quantity of energy savings expected to be derived from the activity, as demonstrated by an energy audit;
(D) the quantity of energy savings expected to be derived from the activity, as demonstrated by an energy audit;
(E) the estimated period of time for the energy savings generated by the activity to equal the cost of the activity;
(E) the estimated period of time for the energy savings generated by the activity to equal the cost of the activity;
(F) the expected energy efficiency of the renewable energy system; and
(F) the expected energy efficiency of the renewable energy system; and
(G) other appropriate factors.
(G) other appropriate factors.
(3) Feasibility studies
(A) In general
The Secretary may provide assistance in the form of grants to an agricultural producer or rural small business to conduct a feasibility study for a project for which assistance may be provided under this subsection.
(B) Limitation
The Secretary shall use not more than 10 percent of the funds made available to carry out this subsection to provide assistance described in subparagraph (A).
(C) Avoidance of duplicative assistance
An entity shall be ineligible to receive assistance to carry out a feasibility study for a project under this paragraph if the entity has received other Federal or State assistance for a feasibility study for the project.
(A) Grants
(A) Grants
The amount of a grant under this subsection shall not exceed 25 percent of the cost of the activity carried out using funds from the grant.
The amount of a grant under this subsection shall not exceed 25 percent of the cost of the activity carried out using funds from the grant.
(B) Maximum amount of loan guarantees
(B) Maximum amount of loan guarantees
The amount of a loan guaranteed under this subsection shall not exceed $25,000,000.
The amount of a loan guaranteed under this subsection shall not exceed $25,000,000.
(C) Maximum amount of combined grant and loan guarantee
(C) Maximum amount of combined grant and loan guarantee
The combined amount of a grant and loan guaranteed under this subsection shall not exceed 75 percent of the cost of the activity funded under this subsection.
The combined amount of a grant and loan guaranteed under this subsection shall not exceed 75 percent of the cost of the activity funded under this subsection.
(D) Loan guarantees for energy efficient equipment to agricultural producers
Using funds made available under paragraphs (1) and (3) of subsection (f), in each fiscal year the Secretary may use for loan guarantees under paragraph (1)(A)(ii) an amount that does not exceed 15 percent of such funds.
(4) Tiered application process
(A) In general
In providing loan guarantees and grants under this subsection, the Secretary shall use a 3-tiered application process that reflects the size of proposed projects in accordance with this paragraph.
(B) Tier 1
The Secretary shall establish a separate application process for projects for which the cost of the activity funded under this subsection is not more than $80,000.
(C) Tier 2
The Secretary shall establish a separate application process for projects for which the cost of the activity funded under this subsection is greater than $80,000 but less than $200,000.
(D) Tier 3
The Secretary shall establish a separate application process for projects for which the cost of the activity funded under this subsection is equal to or greater than $200,000.
(E) Application process
The Secretary shall establish an application, evaluation, and oversight process that is the most simplified for tier I projects and more comprehensive for each subsequent tier.
The Secretary shall ensure, to the maximum extent practicable, that adequate outreach relating to this section is being conducted at the State and local levels.
The Secretary shall ensure, to the maximum extent practicable, that adequate outreach relating to this section is being conducted at the State and local levels.
(1) Limitation on use of funds
(1) Limitation on use of funds
(2) Exception
(2) Exception
Not later than 4 years after the date of enactment of the Food, Conservation, and Energy Act of 2008, the Secretary shall submit to Congress a report on the implementation of this section, including the outcomes achieved by projects funded under this section.
(1) Mandatory funding
(1) Mandatory funding
Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section, to remain available until expended—
Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section, to remain available until expended—
(A) $55,000,000 for fiscal year 2009;
(A) $55,000,000 for fiscal year 2009;
(B) $60,000,000 for fiscal year 2010;
(B) $60,000,000 for fiscal year 2010;
(E) $50,000,000 for fiscal year 2014 and each fiscal year thereafter.
(2) Audit and technical assistance funding
(2) Audit and technical assistance funding
(A) In general
(A) In general
Subject to subparagraph (B), of the funds made available for each fiscal year under paragraph (1), 4 percent shall be available to carry out subsection (b).
Subject to subparagraph (B), of the funds made available for each fiscal year under paragraph (1), 4 percent shall be available to carry out subsection (b).
(B) Other use
(B) Other use
Funds not obligated under subparagraph (A) by April 1 of each fiscal year to carry out subsection (b) shall become available to carry out subsection (c).
Funds not obligated under subparagraph (A) by April 1 of each fiscal year to carry out subsection (b) shall become available to carry out subsection (c).
(3) Discretionary funding
(3) Discretionary funding