[Federal Register Volume 60, Number 57 (Friday, March 24, 1995)]
[Notices]
[Pages 15547-15552]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-7278]



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DEPARTMENT OF ENERGY


Energy Partnerships for a Strong Economy/Renewable Energy 
Commercialization--Geothermal Power

AGENCY: Department of Energy, Idaho Operations Office.

ACTION: Solicitation for Financial Assistance: Energy Partnerships for 
a Strong Economy/Renewable Energy Commercialization--Geothermal Power.

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SUMMARY: Notice is hereby given that pursuant to Public Law 93-577, 
Federal Non-nuclear Energy Research and Development Act of 1974; Public 
Law 93-410, Geothermal Energy Research, Development and Demonstration; 
and Section 2306 of the Energy Policy Act of 1992 (EPACT); the U.S. 
Department of Energy (DOE) Idaho Operations Office (ID) is seeking 
applications for cost-shared research, development and demonstration of 
geothermal power. A minimum 50% non-federal cost share for the project 
is required. This notice is solicitation document DE-PS07-95ID13349.

FOR FURTHER INFORMATION CONTACT: Linda Hallum, Contract Specialist, 
telephone (208) 526-5545, facsimile (208) 526-5548. The Contracting 
Officer is Brad Bauer, (208) 526-0090.

DATES: The effective date of this solicitation is March 24, 1995. The 
deadline for receipt of applications is 3 p.m. MDT, May 16, 1995. Late 
applications will be handled in accordance with 10 CFR 600.13.
    Prospective applicants should request the application package by 
March 30, 1995 (which includes necessary forms, assurances and 
certifications), by writing to the DOE Contract Specialist. Facsimile 
requests are authorized. Questions regarding this solicitation should 
be submitted in writing to the DOE Contract Specialist no later than 
April 10, 1995. Questions and answers will be issued in writing as an 
amendment to this solicitation. Preproposal conferences may be 
available if a sufficient number of applicants request one. Preproposal 
conference requests should be made no later than April 10, 1995.
    DOE anticipates that this solicitation will result in the award of 
one or more cooperative agreements. Substantial involvement by DOE is 
anticipated. Selections for negotiations are expected to be made on or 
about June 28, 1995. All awards are expected to be made prior to 
September 30, 1995.

ADDRESSES: Applications shall be submitted to: Procurement Services 
Division; Attention: SOL DE-PS07-95ID13349 (Hallum/Bauer); U.S. DOE, 
Idaho Operations Office; 850 Energy Drive, MS 1221; Idaho Falls, Idaho 
83401-1563.
    CFDA Number: The Catalog of Federal Domestic Assistance Number for 
this program is 81.087.

SUPPLEMENTARY INFORMATION: Energy efficiency and renewable energy 
projects entered into by both the public and private sectors are the 
cornerstone of the U.S. Department of Energy's (DOE) Energy 
Partnerships for a Strong Economy. The purpose of various Energy 
Partnerships programs is to strengthen the economy and reduce 
greenhouse gas emissions. In support of this objective, DOE, in 
collaboration with the geothermal industry and the electric utilities, 
has developed an initiative for furthering the commercialization of 
geothermal power. A primary strategy of the initiative is the 
acceleration of geothermal development through cost-shared projects.
    This solicitation requests applications from industry for one or 
more collaborative efforts to support the development of new geothermal 
power generation. These efforts are to promote the commercialization of 
this energy source, and result in a near-term increase in the amount of 
electrical power generated from geothermal energy for sale to an end 
user in the United States. The U.S. Department of Energy, Office of 
Utility Technologies will provide $800,000 in funding for one or more 
projects. The DOE funds may be utilized only for activities directly 
related to the applicant's power plant. Applications are solicited 
which will result in the sale in the United States of new electrical 
power generated from geothermal energy by the end of 1997.

Objectives

    The objectives of this solicitation are to promote the 
commercialization of geothermal energy for the production of electrical 
power, and to reduce the emission of greenhouse gases in the United 
States. By accomplishing these objectives, it is anticipated that jobs 
will be created and that the nation's geothermal industry will be 
better positioned to compete and win in the global marketplace. The 
sale of the new power generated by the cost-shared project(s) and 
further growth of the geothermal industry will off-set the use of 
fossil fuels to generate electrical power, thereby reducing the 
nation's emissions of greenhouse gases.

Priorities

    To promote the commercialization of geothermal energy, DOE's 
geothermal power initiative identified the utilization of previously 
undeveloped geothermal resources and the use of innovative technologies 
in power plants to convert the geothermal energy to electrical power as 
specific areas for emphasis in the solicitation of applications for new 
geothermal power capacity.

Scope

    All applications that can demonstrate an existing or pending sales 
agreement for the power generated, and result in a net increase in 
geothermal power generation, will be accepted and considered. 
Applications that address either of the following two areas will 
receive a higher technical ranking than applications that utilize 
currently developed geothermal resources and/or conventional power 
plant energy conversion system technologies.
    1. Installation of a plant that initiates the commercial power 
production from a new geothermal resource, accelerating the development 
of this new resource.
    2. Retrofitting existing plants and/or constructing new plants to 
incorporate innovative improvements in power plant technology that will 
increase power generation from geothermal resources.
    In order to differentiate from the expansion of an existing 
resource, for the purpose of this solicitation, a new geothermal 
resource is the first utilization of a geothermal reservoir for the 
production of electrical power.
    The application(s) selected for award will be subject to the 
quarterly reporting requirements normally associated with DOE financial 
assistance awards. If the selected application uses an innovative power 
plant technology, the quarterly Technical Progress Report shall contain 
data and calculations which detail the performance of this technology 
during the progress reporting period. Any other use of the technology 
by the geothermal industry is also to be reported. If the selected 
application is the first production of power from a new geothermal 
resource, the quarterly [[Page 15548]] Technical Progress Report should 
indicate whether there is any further use of this resource for the 
generation of electrical power. The selected application(s) will also 
be required to report on greenhouse gas reductions in accordance with 
the reporting system developed by the DOE Energy Information 
Administration (EIA) pursuant to EPACT 1605.b. The reporting guidelines 
for this program will be provided with the application package.

DOE Funding and Cost Sharing

    The project(s) will be cost-shared, with participant(s) providing a 
minimum of 50% of the costs. Total DOE funding is $800,000, regardless 
of the number of applications selected. (If a single application is 
selected it may receive up to $800,000; if multiple applications are 
selected, the DOE share may total $800,000.) The DOE cost-sharing 
portion of this effort is limited to the following:
    1. Purchase of power plant equipment,
    2. Power plant construction costs, and
    3. Tie-in to the existing electrical power grid system.
    Although the DOE funding is available in FY-1995, these funds do 
not necessarily need to be used during this fiscal year. The DOE funds 
are intended to be used for the purchase and/or installation of the 
power plant components. It is not intended that the DOE contribution be 
used for other related activities, including ``paper'' feasibility, 
environmental, or compliance studies and/or assessments; nor is it 
intended that the funds for this solicitation be used for activities 
related to identifying and/or developing the productive capacity of the 
hydrothermal resource. It is intended that the federal funds be used to 
help mitigate a portion of the initial risk associated with the 
development of the new generation capacity from geothermal energy. It 
is not intended that the project success be based upon a continuing 
subsidy of federal dollars.

Qualified Applicants

    Private research organizations, nonprofit institutions, or profit 
making entities, and other entities are eligible to submit applications 
in response to this solicitation. OMB A-95 clearance is not required.

Eligibility Requirements

    For the application to be considered for evaluation and award, an 
agreement for the sale in the United States of the electrical power 
that will be produced by the proposed project must be demonstrated to 
exist, or to be pending.

Preparation of Applications

    Each application shall be submitted in one volume. One original and 
nine copies of each application are to be submitted. The applications 
should observe the following format, presenting information as 
completely and concisely as possible.
    Applications submitted in response to this solicitation must 
provide detailed program, management, personnel, power plant energy 
conversion process, site, environmental and budget information as 
further specified in this solicitation.
    1. Cover Page: The cover page is to include the signature, title, 
address, telephone number, and fax number of the applicant's authorized 
representative. The cover page also is to contain the copy number of 
the volume, with the original volume identified as ``Original: Copy No. 
1'', and subsequent copies identified as ``Copy No. 2'', ``Copy No. 
3'', etc.
    2. Table of Contents: The application is to include a table of 
contents and page numbers corresponding to the elements outlined in 
these preparation guidelines.
    3. Technical Summary: The application is to provide a one page 
summary that furnishes a concise and informative description of the 
proposed project. This summary should contain information which is 
releasable to the public.
    In order to expedite the evaluation process, the applications are 
to adhere to the following format, including use of the indicated 
element titles. The information presented for each element should be 
both complete and concise. These elements form the criteria upon which 
the application will be evaluated.
    4. Technical Discussion. a. Geothermal Resource. The application is 
to contain explicit statements and documentation that demonstrate that 
the resource is adequate for the proposed usage, and that the resource 
will be available to operate the proposed facility at rated capacity 
for the expected life of the project, as defined in the application. 
The adequacy of the resource can be demonstrated by inclusion of data 
such as documented well flow tests, multi-well interference tests, 
temperature logs, brine chemistry, production data from existing 
production and injection wells (including documentation of their 
characteristics), and any other suitable data that will assist in the 
evaluation of the geothermal resource.
    If this is the first application of the geothermal reservoir for 
power production, the application is to provide supporting 
documentation that clearly demonstrates this reservoir has not been 
utilized previously to produce electrical power for commercial sale.
    If the application is for the expanded use of an existing 
reservoir, the projected impact on the reservoir's present production 
and/or injection capacities is to be addressed.
    If electrical power and/or other ancillary utilities are required 
for the development of the resource for this application, their 
availability is to be discussed.
    If the applicant does not own, or otherwise control the 
availability and use of the resource, documentation is required 
demonstrating that the resource provider will furnish the fluids 
required for the new capacity during the stated project life.
    b. Power Plant Energy Conversion System. The application is to 
provide a description of the geothermal power plant's energy conversion 
system that will be used to produce the new power for sale. This 
description is to detail the power cycle and component operating 
parameters to allow evaluation of the adequacy of the proposed system 
to provide the stated power production. The assumptions used relative 
to the performance of the heat rejection system when determining the 
new generating capacity of the proposed project are to be included in 
the power plant description.
    The description of the power plant energy conversion system is to 
clearly indicate whether it employs an innovative technology that 
improves plant efficiency and is not typically utilized commercially in 
the United States. If an innovative technology is to be utilized, 
documentation is to be provided that demonstrates the viability of the 
technology and establishes that it will provide the expected generation 
capacity. This documentation is to indicate the degree to which this 
technology could be utilized in geothermal plants at other locations, 
or whether the technology is specific to the proposed site and/or 
resource.
    If the proposed new geothermal power generation will result from 
the retrofit of an existing facility, the application is to detail the 
retrofit, as well as the impact of the retrofit on the performance on 
the existing facility.
    Electrical power and/or other ancillary utilities (including make-
up water for heat rejection) required for the development of the 
proposed power plant and their availability are to be discussed, along 
with the tie-in of the [[Page 15549]] new power generation to the 
existing electrical grid system.

    Note: Underlying assumptions along with detailed calculations to 
support the claimed economic and energy efficiency benefits must be 
included in the application.

    c. Impact on Greenhouse Gas Emissions. The application's impact on 
reducing greenhouse gas emissions will be evaluated by DOE from the 
information provided. This evaluation will consider that the 
application's new, ``net'' generation capacity off-sets the use of 
fossil fuels for the generation of electrical power. The extent to 
which fossil fuels are used to generate electrical power will be 
obtained from the 1995 Annual Energy Outlook (published by DOE's Energy 
Information Administration) projections of power generation by fuel 
types. By not using fossil fuels to generate this power, the greenhouse 
gases produced by these fuels are avoided. In reviewing the 
application, DOE will adjust the prediction of avoided greenhouse gas 
emissions to account for the emissions associated with the proposed 
project.
    This evaluation will consider both the projected reduction of 
greenhouse gas emissions due to the proposed project, as well as the 
potential reduction that might occur from the further development of 
the new geothermal field, or the expanded utilization of an innovative 
technology in power plants by the geothermal industry. Projections of 
the effect of the greenhouse gas reductions will be evaluated for the 
years 2000 and 2010.
    In order to forecast the reduction in greenhouse gases, the 
application is to provide:
    (1) The project's new, net electrical generation capacity,
    (2) The plant availability,
    (3) The projected annual kW-hours produced,
    (4) The date the new power generation will come on line, and
    (5) The expected life of the new power generation.
    The amount of new, net electrical generation capacity is the 
``net'' electrical power generated for sale; all parasitic power 
requirements associated with the production of this new capacity should 
be identified and deducted, as well as any negative (or positive) 
impact on any existing generating capacity. (The parasitic power 
requirements include the power necessary to supply and dispose of the 
geothermal fluid associated with the new power capacity, as well as the 
power required to operate the proposed power plant or associated with 
the plant retrofit.)
    The application is also to include information relative to the 
anticipated emission of gases (on a kilograms per year basis) that will 
result from the new geothermal power production. This information is to 
identify the emission of non-condensable gases during the production, 
utilization and disposal (injection) of the geothermal resource fluid, 
as well as the operation of the power plant's energy conversion system, 
including the heat rejection system. If the proposed energy conversion 
system is a binary power cycle, any fugitive gas emissions from the 
power cycle are to be identified. If the level of the emission of these 
gases is unknown or uncertain, the application is to identify the 
levels of emission for any of these gases reported in the project 
permitting process.
    If the application is for the application of an innovative power 
plant technology or for a geothermal resource with the capacity for 
further development, the potential increase in power production is to 
be included, allowing the potential reduction of greenhouse gas 
emissions to be evaluated. The anticipated total additional capacity, 
the availability of the additional power capacity, the date when the 
additional power generation might be expected to come on line, and the 
expected period that the geothermal resource could support this added 
power production are to be provided.
    d. Environmental. The application is to include relevant 
information on leasing, permitting, and/or other legal and commercial 
issues which may affect the resource development and/or the power plant 
construction/operation.
    5. Management Discussion. a. Program and Management Plan, 
Organization, and Key Personnel. A program management plan is to be 
provided that includes a statement of work detailing the activities 
necessary to complete the project. This plan is to include a project 
schedule identifying major milestones associated with the proposed 
cost-shared portion of the project, and how these milestones are 
incorporated into the remaining overall project work scope. The 
management plan is also to include a discussion of all facilities to be 
constructed and/or retrofitted during the project.
    The management plan is to include the name and roles of the 
applicant and each of the participants involved in the project, 
including the contractual arrangements between the applicant and 
participants. The capabilities and responsibilities of the applicant 
and each participant; experience, qualifications, and responsibilities 
of key personnel; and any unique facilities and/or capabilities which 
would assure the success of the project are to be provided, along with 
information regarding the applicant's (or appropriate participant's) 
experience in project and construction management.
    The application is to discuss the composition of the organization 
of the applicant and participants from the standpoint of being involved 
in, and/or representative of the geothermal industry.
    b. Financial Information. The application is to provide a 
description of the applicant and all other participants in the project, 
including the type of business, history, size, and discussion of the 
ownership and/or controlling interest, along with a listing of current 
or recent (within the past two years) government grants, cooperative 
agreements, and/or other work by the applicant in this or related 
fields. This listing is to include the names of the sponsoring agency 
or firm, instrument number, amount of the instrument, subject area of 
the instrument, and the name and telephone number of the contracting 
officer, or contract specialist.
    Financial data on the applicant and participants, identifying the 
source of cost sharing and the available financial resources, are to be 
provided. These data are to include annual financial statements 
(balance sheet and income and expense statement) for the past 3 years 
for the applicant, as well as for the participants providing cost 
sharing and/or performing work. Where available, financial statements 
prepared by certified public accountants are to be submitted.
    An estimated cost to perform the tasks as identified in the 
proposed statement of work for the overall project is to be provided 
along with the basis or rationale supporting these costs. It will be 
used to evaluate the reasonableness of the project cost, the probable 
cost to the government, as well as to provide an understanding of the 
magnitude of the effort required.
    6. Economic Impact Discussion. The application is to forecast the 
economic impact of the application, including employment opportunities 
retained and/or created, estimated annual payroll, and construction and 
operation-related expenditures, as well as any other economic benefits.
    If the application involves the application of an innovative, or 
new technology, the application is to describe how this technology 
could impact the growth of the nation's geothermal industry both in the 
United States and in other countries. If the application involves the 
development of [[Page 15550]] a new resource, the economic impact of 
future development of the resource is to be addressed.
    7. Cost/Business Discussion. a. Power Sales Agreement: The 
application is to identify and document any existing or pending 
agreement for the sale of the electrical power that will be produced by 
the proposed project. An existing or pending power sales agreement is 
an eligibility requirement, i.e., it must exist for the application to 
be considered.
    b. Cost Sharing: The requested amount of DOE funds to be cost-
shared is to be identified, along with how these funds will be used and 
the year in which they will be utilized. The percentage level of the 
DOE funds to the total project cost is to be defined. The impact of 
DOE's cost share to the viability of the project is to be addressed.
    The application is to provide an estimate of the monetary value 
(basis of and the nature, e.g., equipment, labor, facilities, cash, 
etc.) of all contributions to the project by year and by party (DOE, 
applicant, and participants). If cost share is provided by someone 
other than the applicant, the application must include a statement by 
the providing entity which specifically commits the cost share for use 
on the project. Note that ``cost sharing'' is not limited to monetary 
investment. For purposes of this solicitation, the ``cost sharing'' 
definition is contained in 10 CFR 600.123, 600.206, 600.424. Foregone 
fee or profit shall not be considered cost sharing under any resulting 
agreement. Payment of actual costs in the final agreement will only 
include those costs that are allowable, incurred, costs that are 
allocable to the program as determined in accordance with the 
applicable cost principles prescribed in 10 CFR 600.127 for the 
respective participants and in the cost share ratios to be defined in 
the negotiations.
    c. Budget: A budget period is an interval of time into which the 
project period is divided for funding and reporting purposes. Project 
period means the total approved period of time that DOE will provide 
support, contingent upon satisfactory progress and availability of 
funds. The project periods may be divided into one or more budget 
periods. Project periods are not expected to exceed two years. Each 
application must contain Standard Forms 424 and 424A. The budget 
summary page only needs to be completed for the first budget period; 
all other periods of support requested should be shown on the total 
costs page. The application should contain full details of the costs 
regarding the labor, overhead, material, travel, subcontracts, 
consultants, and other support costs broken down by task and by year. 
Every cost item should be justifiable and further details of the costs 
may be required if the application is selected for the award. It is 
essential that requested details be submitted in a timely manner for 
the actual award. Items of needed equipment should be individually 
listed by description and estimated cost, inclusive of tax, and 
adequately justified. The destination and purpose of budgeted travel 
and its relevance to the research should be specified. Anticipated 
consultant services should be justified and information furnished on 
each individual's expertise, primary organizational affiliation, daily 
compensation rate and number of days of expected service. Consultant's 
travel costs should be listed separately under travel in the budget.
    d. Cost Application: In the event there are multiple projects 
proposed in a submittal, a separate cost application should be included 
for each project proposed for funding. The cost application should have 
sufficient detail that an independent evaluation of the labor, 
materials, equipment and other costs as well as verification of the 
proposed cost share can be performed.

Proprietary Application Information

    Applications submitted in response to this solicitation may contain 
trade secrets and/or privileged or confidential commercial or financial 
information which the applicant does not want used or disclosed for any 
purpose other than evaluation of the application. The use and 
disclosure of such data may be restricted provided the applicant marks 
the cover sheet of the application with the following legend, 
specifying the pages of the application which are to be restricted in 
accordance with the conditions of the legend:
    ``The data contained in pages ______ of this application have been 
submitted in confidence and contain trade secrets or proprietary 
information, and such data shall be used or disclosed only for 
evaluation purposes, provided that if this applicant receives an award 
as a result of or in connection with the submission of this 
application, DOE shall have the right to use or disclose the data 
herein to the extent provided in the award. This restriction does not 
limit the government's right to use or disclose data obtained without 
restriction from any source, including the applicant.''
    Further, to protect such data, each page containing such data shall 
be specifically identified and marked, including each line or paragraph 
containing the data to be protected with a legend similar to the 
following:
    ``Use or disclosure of the data set forth above is subject to the 
restriction on the cover page of this application.''
    It should be noted, however, that data bearing the aforementioned 
legend may be subject to release under the provisions of the Freedom of 
Information Act (FOIA), if DOE or a court determines that the material 
so marked is not exempt under the FOIA. The Government assumes no 
liability for disclosure or use of unmarked data and may use or 
disclose such data for any purpose. Applicants are hereby notified that 
DOE intends to make all applications submitted available to non-
Government personnel for the sole purpose of assisting the DOE in its 
evaluation of the applications. These individuals will be required to 
protect the confidentiality of any specifically identified information 
obtained as a result of their participation in the evaluation.

Evaluation of Applications

    Applications submitted will be subject to a preliminary review by 
DOE to check for completeness and accuracy. Applications that are 
clearly non-responsive or do not provide evidence of an existing or 
pending agreement for the sale of electrical power generated, will not 
be subject to the comprehensive evaluation or considered for award.
    DOE reserves the right to support all, none, or certain parts of 
the applications submitted in response to this solicitation.
    The information presented in each application will be evaluated to 
determine the degree to which the stated objectives and priorities of 
this solicitation are met. The following is a summary listing of the 
criteria which will be considered in the evaluation and each's relative 
importance in the ranking process: Technical and environmental, 
management, economic impact, and cost-sharing. The technical and 
environmental criteria will rank twice as much as the management 
criteria; economic and cost-sharing criteria will rank approximately 
equally and at substantially less than the management criteria. The 
following briefly identifies the factors to be considered in the 
evaluation of each of the criterion.

Criterion 1: Technical and Environmental

    The geothermal resource is to be compatible/adequate with the 
requirements of the energy conversion system for the new geothermal 
power production. The resource is to be able to [[Page 15551]] sustain 
the proposed new and, if applicable, existing generation capacity over 
the proposed life of the project. The development of a new geothermal 
resource is preferred (first power production from a geothermal 
reservoir), particularly resources with the potential for continued 
development. The applicant's control over availability of the resource 
is preferred.
    The evidence presented on the technical viability of the energy 
conversion system, including the clarity and completeness of the 
description of the power cycle to be used to generate the additional 
power will be considered. The degree to which the new power generation 
will utilize an innovative technology(s) will be weighed along with the 
evidence presented of the viability of the technology(s) and the 
probability of its successful implementation. The potential for further 
utilization of the innovative technology(s) by the geothermal industry 
to add generation capacity, i.e., use of the technology can be 
replicated in geothermal power plants at other sites, will also be 
evaluated. The evaluation will also consider the date at which the 
applicant will begin to sell the power produced, with power sales by 
1997 preferred.
    The projected impact of the proposed project on reducing greenhouse 
gas emissions will be evaluated for the year 2000 as well as for the 
year 2010 (with the emphasis on the year 2000). The potential impact on 
reducing greenhouse gas emissions as a result of increased usage of an 
innovative technology, as well as from further development of a new 
geothermal resource will be considered. The annual electrical 
production (watt-hr/yr) will be correlated to the gas emissions based 
on the projected mix of fuels used to generate this level of power in 
the absence of the new geothermal power generation.
    Issues relating to leasing, permitting, and related activities for 
the project development will be considered along with the environmental 
restrictions. The environmental evaluation will consider the impact of 
the proposed activities at the project site, as well as the potential 
environmental impact of future resource development or application of 
technology at other facilities. The availability of required ancillary 
utilities/services, as well as proximity to existing electrical grid 
system will also be considered.

Criterion 2: Management
    The statement of objectives will be evaluated for its completeness, 
and the evidence presented for completing the project activities within 
the presented overall project schedule. The adequacy of the 
organizational structure, capabilities, and resources of the applicant 
and participants to address all aspects of the proposed project will be 
considered, along with the existence of unique capabilities, 
facilities, and/or equipment which provide additional assurance as to 
the success of the proposed project. Evidence of previous successes in 
the completion of similar projects will be considered, along with the 
applicant's experience in the geothermal industry.

Criterion 3: Economic Impact

    The application will be evaluated for evidence presented of a 
positive economic impact, including the creation of additional 
employment opportunities. Evidence presented relative to the impact of 
project on the further growth of the geothermal industry within the 
U.S., as well as internationally, will be considered.

Criterion 4: Cost Sharing

    DOE cost share is limited to the purchase of power plant equipment, 
power plant construction costs, and costs for tie-ins to the existing 
electrical power grid system. The applicant must cost share those 
portions of the project that are excluded from DOE cost share. The 
application will be evaluated on the nature and amount of cost-sharing. 
The applicant must demonstrate how it will meet its mandatory 50% cost 
share. This demonstration will occur through the adequacy (e.g., 
completeness, relevancy, substantiation) of the cost portion of the 
application. The applicant is responsible for showing how any in-kind 
contributions meet criteria in 10 CFR 600.123. Cash and cash-equivalent 
items (e.g., direct labor) are preferred. More consideration may be 
given to projects with a greater-than-50% cost share.

Programmatic Selection Considerations

    In conjunction with the evaluation results and ranking of 
individual applications, the Government will make selections for 
negotiations and planned awards from among the highest ranking 
applications utilizing the following programmatic considerations:
    (1) The proposed cost of the project will not be point scored. 
Applicants are advised, however, that notwithstanding the lower 
relative importance of the cost considerations, the evaluated cost may 
be the basis for selection. In making the selection decision, the 
apparent advantages of individual technical and business applications 
will be weighed against the probable cost to the government to 
determine whether the technical and business approaches (excluding cost 
considerations) are worth the probable cost differences.
    (2) It is desirable to implement each demonstration project as a 
collaborative effort in which the participants represent both the 
scientific/engineering research disciplines as well as members of the 
geothermal industry engaged in its practical, daily operations and 
experienced in the application of geothermal industry processes.
    (3) Applications that have the potential to increase geothermal 
power capacity, reduce negative environmental impacts, and provide 
significant cost benefits are preferred.

Merit Reviews

    All applications will be evaluated under the procedure for 
``Objective Merit Review of Discretionary Financial Assistance 
Applications'', Federal Register, May 31, 1990, Vol. 55, No. 105 (copy 
provided upon request), and the criteria and programmatic 
considerations set forth in this solicitation. In conducting this 
evaluation, the Government may utilize assistance and advice from non-
Government personnel. Applicants are therefore requested to state on 
the cover sheet of the applications if they do not consent to an 
evaluation by such non-Government personnel. The applicants are further 
advised that DOE may be unable to give full consideration to an 
application submitted without such consent.

General Conditions and Notice to Applicants

    a. Applicants: All applicants will be notified in writing of the 
action taken on their applications in approximately 90 days after the 
closing date for this solicitation, provided no follow-up 
clarifications are needed. Status of any application during the 
evaluation and selection process will not be discussed with the 
applicants. Unsuccessful applications will not be returned.
    b. False Statements: Applications must set forth full, accurate, 
and complete information as required by this solicitation. The penalty 
for making false statements is prescribed in 18 U.S.C. 1001.
    c. Application Clarification: DOE reserves the right to require 
applications to be clarified or supplemented to the extent considered 
necessary either through additional written submissions or oral 
presentations.
    d. Amendments: All amendments to this solicitation will be mailed 
to recipients who submit a written request for the DOE application 
package. [[Page 15552]] 
    e. Applicant's Past Performance: DOE reserves the right to solicit 
from available sources relevant information concerning an applicant's 
past performance and may consider such information in its evaluation.
    f. Commitment of Public Funds: The Contracting Officer is the only 
individual who can legally commit the Government to the expenditure of 
public funds in connection with the proposed award. Any other 
commitment, either explicit or implied, is invalid.
    g. Effective Period of Application: All applications should remain 
in effect for at least 180 days from the closing date.
    h. Availability of Funds: The actual amount of funds to be 
obligated will be subject to availability of funds appropriated by 
Congress.
    i. Loans under DOE Minority Economic Impact (MEI) Loan Program: 
Applicants are advised that loans under the DOE Minority Economic 
Impact (MEI) Loan Program are not available to finance the cost of 
preparing an application pursuant to this solicitation.
    j. Assurances and Certifications: DOE requires the submission of 
preaward assurances of compliance and certifications which are mandated 
by law. The assurance and certification forms will be provided in the 
application package.
    k. Questions and Answers: Questions regarding this solicitation 
should be submitted in writing to the DOE Contract Specialist no later 
than April 10, 1995. Questions and answers will be issued in writing as 
an amendment to this solicitation.
    l. Preaward Costs: The government is not liable for any costs 
incurred in preparation of an application. Awardees may incur preaward 
costs up to ninety (90) days prior to the effective date of award. 
Should the awardee take such action, it is done so at the awardee's 
risk and does not impose any obligation on the DOE to issue an award.
    m. Patents, Data, and Copyrights: Applicants are advised that 
patents, data, and copyrights will be treated in accordance with 10 CFR 
600.33.
    n. Environmental Impact: An applicant environmental checklist will 
be provided in the DOE application package. Award will not be made 
until the environmental checklist is completed. An environmental review 
of the environmental checklist and the application will be conducted by 
DOE as required by 10 CFR 1021.216.
    o. EPACT: Applicants shall be required to comply with section 2306 
of the Energy Policy Act of 1992 (EPACT) (42 U.S.C. 13525), as 
applicable.
    p. Buy American Act: Any organization receiving award under this 
solicitation must comply with the Buy American Provisions of Section 
307 of Pub. L. 103-332, Department of the Interior and Related Agencies 
Appropriations Act of 1995.

    Dated: March 9, 1995.
R. J. Hoyles,
Director, Procurement Services Division.
[FR Doc. 95-7278 Filed 3-23-95; 8:45 am]
BILLING CODE 6450-01-P