[Federal Register Volume 70, Number 58 (Monday, March 28, 2005)]
[Notices]
[Pages 15696-15721]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 05-5793]
[[Page 15695]]
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Part II
Department of Agriculture
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Rural Development; Notice of Funds Availability (NOFA) Inviting
Applications for the Renewable Energy Systems and Energy Efficiency
Improvements Grant Program; Notice
Federal Register / Vol. 70, No. 58 / Monday, March 28, 2005 /
Notices
[[Page 15696]]
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DEPARTMENT OF AGRICULTURE
Rural Development; Notice of Funds Availability (NOFA) Inviting
Applications for the Renewable Energy Systems and Energy Efficiency
Improvements Grant Program
AGENCY: Rural Development, USDA.
ACTION: Notice.
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SUMMARY: Rural Development announces the availability of up to $22.8
million in competitive grant funds for fiscal year (FY) 2005 to
purchase renewable energy systems and make energy improvements for
agricultural producers and rural small businesses. Of the $22.8
million, $11.4 million will be set aside through August 31, 2005, for
guaranteed loans. These funds will be administered under a final rule
to be published in the Federal Register later this fiscal year. Any
guaranteed loan funds not obligated by August 31, 2005, will be made
available for competitive grants under this notice.
In order to be eligible for grant funds, the agricultural producer
or rural small business must demonstrate financial need. The grant
request must not exceed 25 percent of the eligible project costs.
DATES: Applications must be completed and submitted to the appropriate
United States Department of Agriculture (USDA) State Rural Development
Office postmarked no later than 90 days after the date of the published
notice. Applications postmarked after that date will be returned to the
applicant with no action.
ADDRESSES: Submit proposals to the USDA State Rural Development Office
where your project is located or, in the case of a rural small
business, where you are headquartered. A list of the Energy
Coordinators and State Rural Development Office addresses and telephone
numbers follow. For further information about this solicitation, please
contact the applicable State Office. This document is available on our
Web site at http://www.rurdev.usda.gov/rbs/farmbill/index.html.
USDA State Rural Development Offices
Alabama
Mary Ann Clayton, USDA Rural Development
Sterling Center, Suite 601
4121 Carmichael Road
Montgomery, AL 36106-3683
(334) 279-3615
Alaska
Dean Stewart, USDA Rural Development
800 West Evergreen, Suite 201
Palmer, AK 99645-6539
(907) 761-7722
Arizona
Alan Watt, USDA Rural Development
230 N. First Avenue, Suite 206
Phoenix, AZ 85003-1706
(602) 280-8769
Arkansas
Shirley Tucker, USDA Rural Development
700 West Capitol Avenue, Room 3416
Little Rock, AR 72201-3225
(501) 301-3280
California
Joseph Choperena, USDA Rural Development
430 G Street, 4169
Davis, CA 95616-4169
(530) 792-5826
Colorado
Linda Sundine, USDA Rural Development
655 Parfet Street, Room E-100
Lakewood, CO 80215
(720) 544-2929
Delaware-Maryland
James Waters, USDA Rural Development
4607 South Dupont Hwy.
P.O. Box 400
Camden, DE 19934-0400
(302) 697-4324
Florida/Virgin Islands
Joe Mueller, USDA Rural Development
4440 NW. 25th Place
P.O. Box 147010
Gainesville, FL 32614-7010
(352) 338-3482
Georgia
J. Craig Scroggs, USDA Rural Development
333 Phillips Drive
McDonough, GA 30253
(678) 583-0866
Hawaii
Tim O'Connell, USDA Rural Development
Federal Building, Room 311
154 Waianuenue Avenue
Hilo, HI 96720
(808) 933-8313
Idaho
Brian Buch, USDA Rural Development
725 Jensen Grove Drive, Suite 1
Blackfoot, ID 83221
(208) 785-5840, Ext. 118
Illinois
Patrick Lydic, USDA Rural Development
2118 West Park Court, Suite A
Champaign, IL 61821
(217) 403-6211
Indiana
Jerry Hay, USDA Rural Development
2411 N. 1250 W.
Deputy, IN 47230
(812) 873-1100
Iowa
Teresa Bomhoff, USDA Rural Development
873 Federal Building
210 Walnut Street
Des Moines, IA 50309
(515) 284-4447
Kansas
F. Martin Fee, USDA Rural Development
1303 SW First American Place, Suite 100
Topeka, KS 66604-4040
(785) 271-2744
Kentucky
Dewayne Easter, USDA Rural Development
771 Corporate Drive, Suite 200
Lexington, KY 40503
(859) 224-7435
Louisiana
Kevin Boone, USDA Rural Development
3727 Government Street
Alexandria, LA 71302
(318) 473-7960
Maine
Valarie Flanders, USDA Rural Development
967 Illinois Avenue, Suite 4
P.O. Box 405
Bangor, ME 04402-0405
(207) 990-9168
Massachusetts/Rhode Island/Connecticut
Sharon Colburn, USDA Rural Development
451 West Street, Suite 2
Amherst, MA 01002-2999
(413) 253-4303
Michigan
Rick Vanderbeek, USDA Rural Development
3001 Coolidge Road, Suite 200
East Lansing, MI 48823
(517) 324-5218
Minnesota
Lisa Noty, USDA Rural Development
1408 21st Avenue, Suite 3
Austin, MN 55912
(507) 437-8247 ext. 150
Mississippi
G. Gary Jones, USDA Rural Development
Federal Building, Suite 831
100 West Capitol Street
Jackson, MS 39269
(601) 965-5457
Missouri
D Clark Thomas, USDA Rural Development
601 Business Loop 70 West
Parkade Center, Suite 235
Columbia, MO 65203
(573) 876-0995
Montana
John Guthmiller, USDA Rural Development
900 Technology Blvd., Unit 1, Suite B
P.O. Box 850
Bozeman, MT 59771
(406) 585-2540
Nebraska
Cliff Kumm, USDA Rural Development
201 North, 25 Street
Beatrice, NE 68310
(402) 223-3125
Nevada
Dan Johnson, USDA Rural Development
555 West Silver Street, Suite 101
Elko, NV 89801
(775) 738-8468, Ext. 112
New Hampshire
See Vermont
[[Page 15697]]
New Jersey
Michael Kelsey, USDA Rural Development
5th Floor North, Suite 500
8000 Midlantic Drive
Mt. Laurel, NJ 08054
(856) 787-7700, Ext. 7751
New Mexico
Eric Vigil, USDA Rural Development
6200 Jefferson Street, NE.
Room 255
Albuquerque, NM 87109
(505) 761-4952
New York
Scott Collins, USDA Rural Development
The Galleries of Syracuse, Suite 357
441 South Salina Street
Syracuse, NY 13202-2541
(315) 477-6409
North Carolina
H. Rossie Bullock, USDA Rural Development
P. O. Box 7426
Lumberton, NC 28359-7426
(910) 739-3349
North Dakota
Dale Van Eckhout, USDA Rural Development
Federal Building, Room 208
220 East Rosser Avenue
P.O. Box 1737
Bismarck, ND 58502-1737
(701) 530-2065
Ohio
Randy Monhemius, USDA Rural Development
Federal Building, Room 507
200 North High Street
Columbus, OH 43215-2418
(614) 255-2424
Oklahoma
Jody Harris, USDA Rural Development
100 USDA, Suite 108
Stillwater, OK 74074-2654
(405) 742-1036
Oregon
Don Hollis, USDA Rural Development
1229 SE Third Street, Suite A
Pendleton, OR 97801-4198
(541) 278-8049, Ext. 129
Pennsylvania
J. Gregory Greco, USDA Rural Development
One Credit Union Place, Suite 330
Harrisburg, PA 17110-2996
(717) 237-2289
Puerto Rico
Luis Garcia, USDA Rural Development
IBM Building
654 Munoz Rivera Avenue, Suite 601
Hato Rey, PR 00918-6106
(787) 766-5091, ext. 251
South Carolina
R. Gregg White, USDA Rural Development
Strom Thurmond Federal Building
1835 Assembly Street, Room 1007
Columbia, SC 29201
(803) 765-5881
South Dakota
Gary Korzan, USDA Rural Development
Federal Building, Room 210
200 4th Street, SW.
Huron, SD 57350
(605) 352-1142
Tennessee
Will Dodson, USDA Rural Development
3322 West End Avenue, Suite 300
Nashville, TN 37203-1084
(615) 783-1350
Texas
Pat Liles, USDA Rural Development
Federal Building, Suite 102
101 South Main Street
Temple, TX 76501
(254) 742-9780
Utah
Richard Carrig, USDA Rural Development
Wallace F. Bennett Federal Building
125 South State Street, Room 4311
Salt Lake City, UT 84138
(801) 524-4328
Vermont/New Hampshire
Lyn Millhiser, USDA Rural Development
City Center, 3rd Floor
89 Main Street
Montpelier, VT 05602
(802) 828-6069
Virginia
Laurette Tucker, USDA Rural Development
Culpeper Building, Suite 238
1606 Santa Rosa Road
Richmond, VA 23229
(804) 287-1594
Washington
Chris Cassidy, USDA Rural Development
1835 Black Lake Blvd. SW
Suite B
Olympia, WA 98512
(360) 704-7707
West Virginia
Cheryl Wolfe, USDA Rural Development
75 High Street, Room 320
Morgantown, WV 26505-7500
(304) 284-4882
Wisconsin
Mark Brodziski, USDA Rural Development
4949 Kirschling Court
Stevens Point, WI 54481
(715) 345-7615, Ext. 131
Wyoming
Milton Geiger, USDA Rural Development
1949 Sugarland Dr. Suite 118
Sheridan, WY 82801-5749
(307) 672-5820 ext. 4
SUPPLEMENTARY INFORMATION:
Programs Affected
This program is listed in the Catalog of Federal Domestic
Assistance under Number 10.755. This program is subject to the
provisions of the Executive Order 12372, which requires
intergovernmental consultation with State and local officials.
Paperwork Reduction Act
The paperwork burden has been cleared by the Office of Management
and Budget (OMB) under OMB Control Number 0570-0044.
Background
This solicitation is issued pursuant to enactment of the Farm
Security and Rural Investment Act of 2002 (2002 Act), which established
the Renewable Energy Systems and Energy Efficiency Improvements Program
under Title IX, Section 9006. The 2002 Act requires the Secretary of
Agriculture to create a program to make direct loans, loan guarantees,
and grants to agricultural producers and rural small businesses to
purchase renewable energy systems and make energy efficiency
improvements. The program is designed to help agricultural producers
and rural small businesses reduce energy costs and consumption and help
meet the nation's critical energy needs. The 2002 Act also mandates the
maximum percentage Rural Development will provide in funding for these
types of projects. The Rural Development grant will not exceed 25
percent of the eligible project cost and will be made only to those who
demonstrate financial need. Due to the time constraints for
implementing this program, Rural Development is issuing only the grant
program for FY 2005 at this time.
Definitions Aapplicable to This NOFA
Agency. Rural Development or successor Agency assigned by the
Secretary of Agriculture to administer the program.
Agricultural producer. An individual or entity directly engaged in
the production of agricultural products, including crops (including
farming); livestock (including ranching); forestry products;
hydroponics; nursery stock; or aquaculture, whereby 50 percent or
greater of their gross income is derived from the operations.
Annual receipts. The total income or gross income (sole
proprietorship) plus cost of goods sold.
Biogas. Biomass converted to gaseous fuels.
Biomass. Any organic material that is available on a renewable or
recurring basis including agricultural crops; trees grown for energy
production; wood waste and wood residues; plants, including aquatic
plants and grasses; fibers; animal waste and other waste materials; and
fats, oils, and greases, including recycled fats, oils, and greases. It
does not include paper that is commonly recycled or unsegregated solid
waste.
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Capacity. The load that a power generation unit or other electrical
apparatus or heating unit is rated by the manufacturer to be able to
meet or supply.
Commercially available. Systems that have a proven operating
history and an established design, installation, equipment, and service
industry.
Demonstrated financial need. The demonstration by an applicant that
the applicant is unable to finance the project from its own resources
or other funding sources without grant assistance.
Eligible project cost. The total project cost that is eligible to
be paid with grant funds.
Energy audit. A written report by an independent, qualified entity
or individual that documents current energy usage, recommended
improvements and costs, energy savings from these improvements, dollars
saved per year, and the weighted-average payback period in years.
Energy efficiency improvement. Improvements to a facility or
process that reduce energy consumption.
Financial feasibility. The ability of the business to achieve the
projected income and cashflow. The concept includes assessments of the
cost-accounting system, the availability of short-term credit for
seasonal business, and the adequacy of raw materials and supplies,
where necessary.
Grant close-out. When all required work is completed,
administrative actions relating to the completion of work and
expenditures of funds have been accomplished, and the Agency accepts
final expenditure information.
In-kind contributions. Applicant or third-party real or personal
property or services benefiting the federally assisted project or
program that are contributed by the applicant or a third party. The
identifiable value of goods and services must directly benefit the
project.
Interconnection agreement. The terms and conditions governing the
interconnection and parallel operation of the grantee's or borrower's
electric generation equipment and the utility's electric power system.
Other services required by the applicant from the utility are covered
under separate arrangements.
Matching funds. The funds needed to pay for the portion of the
eligible project costs not funded by the Agency through a grant under
this program.
Other waste materials. Inorganic or organic materials that are used
as inputs for energy production or are by-products of the energy
production process.
Power purchase arrangement. The terms and conditions governing the
sale and transportation of electricity produced by the grantee or
borrower to another party. Other services required by the applicant
from the utility are covered under separate arrangements.
Pre-commercial technology. Technology that has emerged through the
research and development process and has technical and economic
potential for application in commercial energy markets but is not yet
commercially available.
Renewable energy. Energy derived from a wind, solar, biomass, or
geothermal source; or hydrogen derived from biomass or water using
wind, solar, biomass or geothermal energy sources.
Renewable energy system. A process that produces energy from a
renewable energy source.
Rural. Any area other than a city or town that has a population of
greater than 50,000 inhabitants and the urbanized area contiguous and
adjacent to such a city or town.
Small business. An entity is considered a small business in
accordance with the Small Business Administration (SBA) small business
size standards by North American Industry Classification System (NAICS)
found in title 13 CFR part 121. 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
nonprofit is 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.
State. Any of the 50 States, the Commonwealth of Puerto Rico, the
Virgin Islands of the United States, Guam, American Samoa, the
Commonwealth of the Northern Mariana Islands, the Republic of Palau,
the Federated States of Micronesia, and the Republic of the Marshall
Islands.
Total project cost. The sum of all costs associated with a
completed, operational project.
Grant Amounts
The amount of funds available for this program in FY 2005 is
approximately $22.8 million. Of the $22.8 million, $11.4 million will
be set aside through August 31, 2005, for a guaranteed loan program.
These funds will be administered under a final rule implementing the
Section 9006 program, which is expected to be promulgated in FY 2005.
Any guaranteed loan funds not obligated by August 31, 2005, will be
made available for competitive grants under this notice.
Rural Development grant funds may be used to pay up to 25 percent
of the eligible project cost. Applications for renewable energy systems
must be for a minimum grant request of $2,500 but no more than
$500,000. Applications for energy efficiency improvements must be for a
minimum grant request of $2,500 but no more than $250,000. The actual
number of grants funded will depend on the quality of proposals
received and the amount of funding requested. These limits are
consistent with energy efficiency improvement projects and alternative
energy systems, which the Department has determined are appropriate for
agricultural producers and rural small businesses. Grant limitations
were based on historical data supplied from Department of Energy,
Environmental Protection Agency, and Rural Utilities Service on
renewable energy systems and from an energy efficiency state program
for energy efficiency improvements.
Applicant Eligibility
To receive a grant under this notice, an applicant must meet each
of the criteria, as applicable, as set forth in paragraphs (a) through
(f).
(a) The applicant or borrower must be an agricultural producer or
rural small business.
(b) Individuals must be citizens of the United States (U.S.) or
reside in the U.S. after being legally admitted for permanent
residence.
(c) Entities must be at least 51 percent owned, directly or
indirectly, by individuals who are either citizens of the U.S. or
reside in the U.S. after being legally admitted for permanent
residence.
(d) If the applicant or borrower, or an owner has an outstanding
judgment obtained by the U.S. in a Federal Court (other than in the
United States Tax Court), is delinquent in the payment of Federal
income taxes, or is delinquent on a Federal debt, the applicant or
borrower is not eligible to receive a grant until the judgment is paid
in full or otherwise satisfied, or the delinquency is resolved.
(e) In the case of an applicant or borrower that is applying as a
rural small business, the business headquarters must be in a rural area
and the project to be funded also must be in a rural area.
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(f) The applicant must have demonstrated financial need.
Adverse actions made on applications are appealable pursuant to 7
CFR part 11.
Project Eligibility
For a project to be eligible to receive a grant under this notice,
the proposed project must meet each of the criteria, as applicable, in
paragraphs (a) through (f).
(a) The project must be for the purchase of a renewable energy
system or to make energy efficiency improvements.
(b) The project must be for a pre-commercial or commercially
available and replicable technology, not for research and development.
(c) The project must be technically feasible.
(d) The project must be located in a rural area.
(e) The applicant must be the owner of the system and control the
operation and maintenance of the proposed project. A qualified third-
party operator may be used to manage the operation and/or for
maintenance of the proposed project.
(f) All projects must be based on satisfactory sources of revenues
in an amount sufficient to provide for the operation and maintenance of
the system or project.
(g) The total input from a nonrenewable energy source for necessary
and incidental requirements of the energy system will be determined by
the technical reviewers.
Grant Funding
(a) The amount of grant funds that will be made available to an
eligible project under this notice will not exceed 25 percent of
eligible project costs.
(1) The only eligible project costs are those costs associated with
the items identified in paragraphs (a)(1)(i) through (ix). The items
must be an integral and necessary part of the total project:
(i) Post-application purchase and installation of equipment, except
agricultural tillage equipment and vehicles;
(ii) Post-application construction or project improvements, except
residential;
(iii) Energy audits or assessments;
(iv) Permit fees;
(v) Professional service fees, except for application preparation;
(vi) Feasibility studies;
(vii) Business plans;
(viii) Retrofitting; and
(ix) 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. Only costs identified in the energy audit for energy
efficiency projects are allowed.
(2) The applicant must provide at least 75 percent of eligible
project costs to complete the project. Applicant in-kind and other
Federal grant awards cannot be used to meet the 75 percent match
requirements. However, the Agency will allow third-party, in-kind
contributions to be used in meeting the matching requirement. Third-
party, in-kind contributions will be limited to 10 percent of the 75
percent match requirement of the grantee. The Agency will advise if the
third-party, in-kind contributions are acceptable in accordance with 7
CFR part 3015.
(b) The maximum amount of grant assistance to one individual or
entity for applications for Renewable Energy Systems and Energy
Efficiency Improvements will not exceed $750,000.
(c) Applications for renewable energy systems must be for a minimum
grant request of $2,500 but no more than $500,000.
(d) Applications for energy efficiency improvements must be for a
minimum grant request of $2,500 but no more than $250,000.
Application and Documentation
(a) Application. Separate applications must be submitted for
Renewable Energy System and Energy Efficiency Improvement projects. For
each type of project, two complete copies of the application must be
submitted.
(1) Table of Contents. The first item in each application will be a
detailed Table of Contents in the order presented below. Include page
numbers for each component of the proposal. Begin pagination
immediately following the Table of Contents.
(2) Project Summary. A summary of the project proposal, not to
exceed one page, must include the following: Title of the project, a
detailed description of the project including its purpose and need,
goals and tasks to be accomplished, names of the individuals
responsible for conducting and completing the tasks, and the expected
timeframes for completing all tasks, including an operational date. The
applicant must also clearly state whether the application is for the
purchase of a renewable energy system or to make energy efficiency
improvements.
(3) Eligibility. Each applicant must describe how it meets the
eligibility requirements.
(4) Agricultural producer/small business information. All
applications must contain the following information on the agricultural
producer or small business seeking funds under this program:
(i) Business/farm/ranch operation. (A) A description of the
ownership, including a list of individuals and/or entities with
ownership interest, names of any corporate parents, affiliates, and
subsidiaries, as well as a description of the relationship, including
products, between these entities.
(B) A description of the operation.
(ii) Management. The resume of key managers focusing on relevant
business experience. If a third-party operator is used to monitor and
manage the project, provide a discussion on the benefits and burdens of
such monitoring and management, as well as the qualifications of the
third party.
(iii) Financial information. (A) Explanation of demonstrated
financial need.
(B) For rural small businesses, a current balance sheet and income
statement prepared in accordance with generally accepted accounting
principles (GAAP) and dated within 90 days of the application.
Agricultural producers must present financial information in the format
that is generally required by commercial agriculture lenders. Financial
information is required on the total operations of the agricultural
producer/small business and its parent, subsidiary, or affiliates at
other locations.
(C) Rural small businesses must provide sufficient information to
determine total annual receipts of the business and any parent,
subsidiary, or affiliates at other locations. Voluntarily providing tax
returns is one means of satisfying this requirement. Information
provided must be sufficient for the Agency to make a determination of
total income and cost of goods sold by the business.
(D) If available, historical financial statements prepared in
accordance with GAAP for the past 3 years, including income statements
and balance sheets. If agricultural producers are unable to present
this information in accordance with GAAP, they may instead present
financial information for the past 3 years in the format that is
generally required by commercial agriculture lenders.
(E) Pro forma balance sheet at startup of the agricultural
producer's/small business' business that reflects the use of the loan
proceeds or grant award; and 3 additional years, indicating the
necessary startup capital, operating capital, and short-term credit;
and projected cashflow and income
[[Page 15700]]
statements for 3 years supported by a list of assumptions showing the
basis for the projections.
(F) For agricultural producers, identify the gross market value of
your agricultural products for the calendar year preceding the year in
which you submit your application.
(iv) Production information for renewable energy system projects.
(A) Provide a statement as to whether the technology to be employed by
the facility is commercially or pre-commercially available and
replicable. Provide information to support this position.
(B) Describe the availability of materials, labor, and equipment
for the facility.
(v) Business market information for renewable energy system
projects.
(A) Demand. Identify the demand (past, present, and future) for the
product and/or service and who will buy the product and/or service.
(B) Supply. Identify the supply (past, present, and future) of the
product and/or service and your competitors.
(C) Market niche. Given the trends in demand and supply, describe
how the business will be able to sell enough of its product/service to
be profitable.
(vi) A Dun and Bradstreet Universal Numbering System (DUNS) number.
(b) Forms, certifications, and agreements. Each application
submitted must contain, as applicable, the items identified in
paragraphs (b)(1) through (15) of this section.
(1) Form SF-424, ``Application for Federal Assistance.''
(2) Form SF-424C, ``Budget Information--Construction Programs.''
Each cost classification category listed on the form must be filled out
if it applies to your project. Any cost category item not listed on the
form that applies to your project can be put under the miscellaneous
category. Attach a separate sheet if you are using the miscellaneous
category and list each miscellaneous cost by not allowable and
allowable costs in the same format as on Form SF-424C. All project
costs must be categorized as either allowable or not allowable.
(3) Form SF-424D, ``Assurances--Construction Programs.''
(4) AD-1049, ``Certification Regarding Drug-Free Workplace
Requirements.''
(5) AD-1048, ``Certification Regarding Debarment, Suspension,
Ineligibility and Voluntary Exclusion--Lower Tiered Covered
Transactions.''
(6) A copy of a bank statement or a copy of the confirmed funding
commitment from the funding source. Matching funds must be included on
Forms SF-424 and SF-424C.
(7) Exhibit A-1, (Certification for Contracts, Grants and Loans) of
RD Instruction 1940-Q required by Section 319 of Public Law 101-121 if
the grant exceeds $100,000 or Exhibit A-2, (Statement of Loan
Guarantees) of RD Instruction 1940-Q required by Section 319 of Public
Law 101-121 if the guaranteed loan exceeds $150,000.
(8) If the applicant has made or agreed to make payment using funds
other than Federal appropriated funds to influence or attempt to
influence a decision in connection with the application, Form SF-LLL,
``Disclosure of Lobbying Activities,'' must be completed.
(9) AD-1047, ``Certification Regarding Debarment, Suspension, and
Other Responsibility Matters--Primary Covered Transactions.''
(10) Form RD 400-1, ``Equal Opportunity Agreement.''
(11) Form RD 400-4, ``Assurance Agreement.''
(12) If the project involves interconnection to an electric
utility, a copy of a letter of intent to purchase power, a power
purchase agreement, a copy of a letter of intent for an interconnection
agreement, or an interconnection agreement will be required from your
utility company or other purchaser for renewable energy systems.
(13) If applicable, intergovernmental consultation comments in
accordance with Executive Order 12372.
(14) Applicants and borrowers must provide a certification
indicating whether or not there is a known relationship or association
with an Agency employee.
(15) Environmental review. All applicants must complete Form RD
1940-20, ``Request for Environmental Information.'' All applicants will
be responsible for providing all information necessary for the Agency
to do a National Environmental Policy Act (NEPA) review and analysis in
accordance with 7 CFR part 1940, subpart G. Any additional
environmental information required will be conveyed to the applicant
after a preliminary review of the grant application by the State Rural
Development Office. Any applicable analyses and studies required as
part of completing the NEPA analysis (i.e., Historical and Cultural
Resource, Biological Assessments, etc.) will be the responsibility of
the applicant. The applicant should strive to achieve positive
community support, select good sites, and mitigate environmental
impacts resulting from his/her proposal. If an environmental review
cannot be completed in sufficient time for grant funds to be obligated
by September 30, 2005, grant funds will not be awarded.
(c) Feasibility study for renewable energy systems. Each
application for a renewable energy system project, except for requests
of $50,000 or less, must include a project-specific feasibility study
prepared by a qualified independent consultant. The feasibility study
must include an analysis of the market, financial, economic, technical,
and management feasibility of the proposed project. The feasibility
study must also include an opinion and a recommendation by the
independent consultant.
(d) Technical requirements reports. The technical report must
demonstrate that the project design, procurement, installation,
startup, operation and maintenance of the Renewable Energy System or
Energy Efficiency Improvement will operate or perform as specified over
its design life in a reliable and a cost effective manner. The
technical report must also identify all necessary project agreements,
demonstrate that those agreements will be in place, and that necessary
project equipment and services are available over the design life.
All technical information provided must follow the format specified
in paragraphs (d)(1) through (10). The technical reports will provide
the basis for the technical merit score and project eligibility
determination as required by this notice. Supporting information may be
submitted in other formats. Preliminary design drawings and process
flow charts should be included as exhibits. A discussion of each topic
identified in paragraphs (d)(1) through (10) is not necessary if the
topic is not applicable to the specific project. Questions identified
in the Agency's technical review of the project must be answered to the
Agency's satisfaction before the application will be approved. The
applicant must submit the original technical requirements report, plus
one copy to the State Rural Development Office. Projects requesting
more than $50,000 require the services of a professional engineer (PE).
Depending on the level of engineering required for the specific project
or if necessary to ensure public safety, the services of a PE may be
required for smaller projects.
Below are the requirements for the technical reports for specific
technologies. It is only necessary to read the one that fits your
proposed project. The 10 technology areas are:
Biomass, bio-energy;
Biomass, anaerobic digesters;
Geothermal, electric generation;
Geothermal, direct use;
Hydrogen;
[[Page 15701]]
Solar, small;
Solar, large;
Wind, small;
Wind, large; and
Energy efficiency improvements.
(1) Biomass, bioenergy. The technical requirements specified in
paragraphs (d)(1)(i) through (x) apply to renewable energy projects
that produce fuel, thermal energy, or electric power from a biomass
source, including wood, agricultural residue excluding animal wastes,
or other energy crops considered biomass or bioenergy projects. The
major components of bioenergy systems will vary significantly depending
on the type of feedstock, product, type of process, and size of the
process, but in general includes components around which the balance of
the system is designed.
(i) Qualifications of project team. The biomass project team will
vary according to the complexity and scale of the project. For
engineered systems, the project team should consist of a system
designer, a project manager, an equipment supplier, a project engineer,
a construction contractor or system installer, and a system operator
and maintainer. One individual or entity may serve more than one role.
The project team must have demonstrated expertise in similar
biomass systems development, engineering, installation, and
maintenance. The applicant must provide authoritative evidence that
project team service providers have the necessary professional
credentials or relevant experience to perform the required services.
The applicant must also provide authoritative evidence that vendors of
proprietary components can provide necessary equipment and spare parts
for the system to operate over its design life. The application must:
(A) Discuss the proposed project delivery method. Such methods
include a design, bid, build where a separate engineering firm may
design the project and prepare a request for bids and the successful
bidder constructs the project at the applicant's risk, and a design
build method, often referred to as turn key, where the applicant
establishes the specifications for the project and secures the services
of a developer who will design and build the project at the developer's
risk;
(B) Discuss the biomass system equipment manufacturers of major
components being considered in terms of the length of time in business
and the number of units installed at the capacity and scale being
considered;
(C) Discuss the project manager, equipment supplier, system
designer, project engineer, and construction contractor qualifications
for engineering, designing, and installing biomass energy systems
including any relevant certifications by recognized organizations or
bodies. Provide a list of the same or similar projects designed,
installed, or supplied and currently operating and with references if
available; and
(D) Describe the system operator's qualifications and experience
for servicing, operating, and maintaining biomass renewable energy
equipment or projects. Provide a list of the same or similar projects
designed, installed, or supplied and currently operating and with
references if available.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the project and the
status and schedule for securing those agreements and permits,
including the items specified in paragraphs (d)(1)(ii)(A) through (G).
(A) Biomass systems must be installed in accordance with applicable
local, State, and national codes and regulations. Identify zoning and
code issues, and required permits and the schedule for meeting those
requirements and securing those permits.
(B) Identify licenses where required and the schedule for obtaining
those licenses.
(C) Identify land use agreements required for the project and the
schedule for securing the agreements and the term of those agreements.
(D) Identify any permits or agreements required for solid, liquid,
and gaseous emissions or effluents and the schedule for securing those
permits and agreements.
(E) Identify available component warranties for the specific
project location and size.
(F) Systems interconnected to the electric power system will need
arrangements to interconnect with the utility. Identify utility system
interconnection requirements, power purchase arrangements, or licenses
where required and the schedule for meeting those requirements and
obtaining those agreements. This is required even if the system is
installed on the customer side of the utility meter. For systems
planning to utilize a local net metering program, describe the
applicable local net metering program.
(G) Describe all potential environmental impacts resulting from
siting issues, construction, and operation of the proposed project.
Identify other site or design alternatives that were considered in your
planning process. Identify all environmental compliance issues such as
required permits (i.e. wetland fill, endangered species, air quality,
NPDES, etc.)
(iii) Resource assessment. The applicant must provide adequate and
appropriate evidence of the availability of the renewable resource
required for the system to operate as designed. Indicate the type,
quantity, quality, and seasonality of the biomass resource including
harvest and storage, where applicable. Where applicable, also indicate
shipping or receiving method and required infrastructure for shipping.
For proposed projects with an established resource, provide a summary
of the resource.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the system will be designed and engineered
so as to meet its intended purpose and need, ensure public safety,
mitigate any adverse environmental impacts, and comply with applicable
laws, regulations, agreements, permits, codes, and standards. Projects
shall be engineered by a qualified entity. Systems must be engineered
as a complete, integrated system with matched components. The
engineering must be comprehensive including site selection, system and
component selection, and system monitoring equipment. Systems must be
constructed by a qualified entity.
(A) The application must include a concise but complete description
of the biomass project including location of the project, resource
characteristics, system specifications, electric power system
interconnection, and monitoring equipment. Identify possible vendors
and models of major system components. Describe the expected electric
power, fuel production, or thermal energy production of the proposed
system as rated and as expected in actual field conditions. For systems
with a capacity more than 20 tons per day of biomass, address
performance on a monthly and annual basis. For small projects such as a
commercial biomass furnace or pelletizer of up to 5 tons daily
capacity, proven, commercially available devices need not be addressed
in detail. Describe the uses of or the market for electricity, heat, or
fuel produced by the system. Discuss the impact of reduced or
interrupted biomass availability on the system process.
(B) The application must include a description of the siting
criteria used in selecting the project site and the reason for
elimination of other site alternatives considered and address issues
such as site access, foundations, backup equipment when applicable, and
environmental issues with emphasis on land use, air quality, water
quality,
[[Page 15702]]
noise pollution, soil degradation, wildlife, habitat fragmentation,
aesthetics, odor, and other construction and installation issues
applicable to this type of technology. Identify any unique construction
and installation issues.
(C) Sites must be controlled by the agricultural producer or small
business for the proposed project life or for the financing term of any
associated Federal loans or loan guarantees.
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including resource assessment, system and site design, permits and
agreements, equipment procurement, and system installation from
excavation through startup and shakedown.
(vi) Financial feasibility. The applicant must provide a study that
describes costs and revenues of the proposed project to demonstrate the
financial performance of the project. Provide a detailed analysis and
description of project costs including project management, resource
assessment, project design, project permitting, land agreements,
equipment, site preparation, system installation, startup and
shakedown, warranties, insurance, financing, professional services, and
operations and maintenance costs. Provide a detailed analysis and
description of annual project revenues and expenses. Provide a detailed
description of applicable investment, productivity, tax, loan, and
grant incentives.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required by the system is available and can be procured and
delivered within the proposed project development schedule. Biomass
systems may be constructed of components manufactured in more than one
location. Provide a description of any unique equipment procurement
issues such as scheduling and timing of component manufacture and
delivery, ordering, warranties, shipping, receiving, and on-site
storage or inventory. Procurement must be made in accordance with the
requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for site development and system
installation, provide details regarding the scheduling of major
installation equipment needed for project construction, and provide a
description of the startup and shakedown specification and process and
the conditions required for startup and shakedown for each equipment
item individually and for the system as a whole.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the system necessary for the
system to operate as designed over the design life. The applicant must:
(A) Provide information regarding available system and component
warranties and availability of spare parts;
(B) Have a biomass input capacity exceeding 10 tons of biomass per
day for systems.
(1) Describe the routine operations and maintenance requirements of
the proposed system, including maintenance schedule for the mechanical,
piping, and electrical systems and system monitoring and control
requirements. Provide information that supports expected design life of
the system and timing of major component replacement or rebuilds; and
(2) Discuss the costs and labor associated with operations and
maintenance of system and plans for in or outsourcing. Describe
opportunities for technology transfer for long term project operations
and maintenance by a local entity or owner/operator; and
(C) Provide and discuss the risk management plan for handling
large, unanticipated failures or major components. Include in the
discussion, costs and labor associated with operations and maintenance
of system and plans for insourcing or outsourcing.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues,
environmental compliance requirements, and costs for removal and
disposal of the system.
(2) Biomass, Anaerobic digester. The technical requirements
specified in paragraphs (d)(2)(i) through (x) apply to renewable energy
projects, called anaerobic digester projects, that use animal waste and
other organic substrates to produce thermal or electrical energy via
anaerobic digestion. The major components of an anaerobic digester
system include the digester, the gas handling and transmission systems,
and the gas use system.
(i) Qualifications of project team. The anaerobic digester project
team should consist of a system designer, a project manager, an
equipment supplier, a project engineer, a construction contractor, and
a system operator or maintainer. One individual or entity may serve
more than one role.
The project team must have demonstrated commercial-scale expertise
in anaerobic digester systems development, engineering, installation,
and maintenance as related to the organic materials and operating mode
of the system. The applicant must provide authoritative evidence that
project team service providers have the necessary professional
credentials or relevant experience to perform the required services.
The applicant must also provide authoritative evidence that vendors of
proprietary components can provide necessary equipment and spare parts
for the system to operate over its design life. The applicant must:
(A) Discuss the proposed project delivery method. Such methods
include a design, bid, build where a separate engineering firm may
design the project and prepare a request for bids and the successful
bidder constructs the project at the applicant's risk, and a design
build method, often referred to as turn key, where the applicant
establishes the specifications for the project and secures the services
of a developer who will design and build the project at the developer's
risk;
(B) Discuss the anaerobic digester system equipment manufacturers
of major components being considered in terms of the length of time in
business and the number of units installed at the capacity and scale
being considered;
(C) Discuss the project manager, equipment supplier, system
designer, project engineer, and construction contractor qualifications
for engineering, designing, and installing anaerobic digester systems
including any relevant certifications by recognized organizations or
bodies. Provide a list of the same or similar projects designed,
installed, or supplied and currently operating consistent with the
substrate material and with references if available; and
(D) For regional or centralized digester plants, describe the
system operator's qualifications and experience for servicing,
operating, and maintaining similar projects. Farm scale systems may not
require operator experience as the developer is typically required to
provide operational training during system startup and shakedown.
Provide a list of the same or similar projects designed, installed, or
supplied and currently operating consistent with the substrate material
and with references if available.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the project and the
status and schedule for securing those agreements and permits,
[[Page 15703]]
including the items specified in paragraphs (d)(2)(ii)(A) through (G).
(A) Anaerobic digester systems must be installed in accordance with
applicable local, State, and national codes and regulations. Anaerobic
digesters must also be designed and constructed in accordance with USDA
anaerobic digester standards. Identify zoning and code issues, and
required permits and the schedule for meeting those requirements and
securing those permits.
(B) Identify licenses where required and the schedule for obtaining
those licenses.
(C) For regional or centralized digester plants, identify feedstock
access agreements required for the project and the schedule for
securing those agreements and the term of those agreements.
(D) Identify any permits or agreements required for transport and
ultimate waste disposal and the schedule for securing those agreements
and permits.
(E) Identify available component warranties for the specific
project location and size.
(F) Systems interconnected to the electric power system will need
arrangements to interconnect with the utility. Identify utility system
interconnection requirements, power purchase arrangements, or licenses
where required and the schedule for meeting those requirements and
obtaining those agreements. This is required even if the system is
installed on the customer side of the utility meter. For systems
planning to utilize a local net metering program, describe the
applicable local net metering program.
(G) Describe all potential environmental impacts resulting from
siting issues, construction and operation of the proposed project.
Identify other site or design alternatives that were considered in your
planning process. Identify all environmental compliance issues such as
required permits (i.e., wetland fill, endangered species, air quality,
NPDES, etc.)
(iii) Resource assessment. The applicant must provide adequate and
appropriate evidence of the availability of the renewable resource
required for the system to operate as designed. Indicate the substrates
used as digester inputs including animal wastes, food processing
wastes, or other organic wastes in terms of type, quantity,
seasonality, and frequency of collection. Describe any special handling
of feedstock that may be necessary. Describe the process for
determining the feedstock resource. Provide either tabular values or
laboratory analysis of representative samples that include
biodegradability studies to produce gas production estimates for the
project on daily, monthly, and seasonal bases.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the system will be designed and engineered
so as to meet its intended purpose and need, will ensure public safety,
mitigate any adverse environmental impacts, and will comply with
applicable laws, regulations, agreements, permits, codes, and
standards. Projects shall be engineered by a qualified entity. Systems
must be engineered as a complete, integrated system with matched
components. The engineering must be comprehensive including site
selection, digester component selection, gas handling component
selection, and gas use component selection. Systems must be constructed
by a qualified entity.
(A) The application must include a concise but complete description
of the anaerobic digester project including location of the project,
farm description, feedstock characteristics, a step-by-step flowchart
of unit operations, electric power system interconnection equipment,
and any required monitoring equipment. Identify possible vendors and
models of major system components. Provide the expected system energy
production, heat balances, material balances as part of the unit
operations flowchart.
(B) The application must include a description of the siting
criteria used in selecting the project site and the reason for
elimination of other site alternatives considered and address issues
such as site access, foundations, backup equipment when applicable, and
environmental issues with emphasis on land use, air quality, water
quality, noise pollution, soil degradation, wildlife, habitat
fragmentation, aesthetics, odor, and other construction and
installation issues applicable to this type of technology. Identify any
unique construction and installation issues.
(C) Sites must be controlled by the agricultural producer or small
business for the proposed project life or for the financing term of any
associated Federal loans or loan guarantees.
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including feedstock assessment, system and site design, permits and
agreements, equipment procurement, system installation from excavation
through startup and shakedown, and operator training.
(vi) Financial feasibility. The applicant must provide a study that
describes costs and revenues of the proposed project to demonstrate the
financial performance of the project. Provide a detailed analysis and
description of project costs including project management, feedstock
assessment, project design, project permitting, land agreements,
equipment, site preparation, system installation, startup and
shakedown, warranties, insurance, financing, professional services,
training and operations, and maintenance costs of both the digester and
the gas use systems. Provide a detailed analysis and description of
annual project revenues and expenses. Provide a detailed description of
applicable investment, productivity, tax, loan, and grant incentives.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required by the system is available and can be procured and
delivered within the proposed project development schedule. Anaerobic
digester systems may be constructed of components manufactured in more
than one location. Provide a description of any unique equipment
procurement issues such as scheduling and timing of component
manufacture and delivery, ordering, warranties, shipping, receiving,
and on-site storage or inventory. Procurement must be made in
accordance with the requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for site development and system
installation, provide details regarding the scheduling of major
installation equipment needed for project construction, and provide a
description of the startup and shakedown specification and process and
the conditions required for startup and shakedown for each equipment
item individually and for the system as a whole.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the system necessary for the
system to operate as designed over the design life. The applicant must:
(A) Ensure that systems must have at least a 3-year warranty for
equipment and a 10-year warranty on design. Provide information
regarding system warranties and availability of spare parts;
(B) Describe the routine operations and maintenance requirements of
the proposed project, including maintenance for the digester, the gas
[[Page 15704]]
handling equipment, and the gas use systems. Describe any maintenance
requirements for system monitoring and control equipment;
(C) Provide information that supports expected design life of the
system and the timing of major component replacement or rebuilds;
(D) Provide and discuss the risk management plan for handling
large, unanticipated failures of major components. Include in the
discussion, costs and labor associated with operations and maintenance
of system and plans for insourcing or outsourcing; and
(E) Describe opportunities for technology transfer for long-term
project operations and maintenance by a local entity or owner/operator.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues,
environmental compliance requirements, and costs for removal and
disposal of the system.
(3) Geothermal, electric generation. The technical requirements
specified in paragraphs (d)(3)(i) through (x) apply to geothermal
projects that produce electric power from the thermal potential of a
geothermal source. The major components of an electric generating
geothermal system include the production well, the separator or heat
exchanger, the turbine, the generator, condenser, and the balance of
station elements including the field piping, roads, fencing and
grading, plant buildings, transformers and other electrical
infrastructure such as interconnection equipment.
(i) Qualifications of project team. The electric generating
geothermal plant project team should consist of a system designer, a
project manager, an equipment supplier, a project engineer, a
construction contractor, and a system operator and maintainer. One
individual or entity may serve more than one role.
The project team must have demonstrated expertise in geothermal
electric generation systems development, engineering, installation, and
maintenance. The applicant must provide authoritative evidence that
project team service providers have the necessary professional
credentials or relevant experience to perform the required services.
The applicant must also provide authoritative evidence that vendors of
proprietary components can provide necessary equipment and spare parts
for the system to operate over its design life. The applicant must:
(A) Discuss the proposed project delivery method. Such methods
include a design, bid, build where a separate engineering firm may
design the project and prepare a request for bids and the successful
bidder constructs the project at the applicant's risk, and a design
build method, often referred to as turn key, where the applicant
establishes the specifications for the project and secures the services
of a developer who will design and build the project at the developer's
risk;
(B) Discuss the geothermal plant equipment manufacturers of major
components being considered in terms of the length of time in business
and the number of units installed at the capacity and scale being
considered;
(C) Discuss the project manager, equipment supplier, system
designer, project engineer, and construction contractor qualifications
for engineering, designing, and installing geothermal electric
generation systems including any relevant certifications by recognized
organizations or bodies. Provide a list of the same or similar projects
designed, installed, or supplied and currently operating and with
references if available; and
(D) Describe system operator's qualifications and experience for
servicing, operating, and maintaining electric generating geothermal
projects. Provide a list of the same or similar projects designed,
installed, or supplied and currently operating and with references if
available.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the project and the
status and schedule for securing those agreements and permits,
including the items specified in paragraphs (d)(3)(ii)(A) through (F).
(A) Electric generating geothermal systems must be installed in
accordance with applicable local, State, and national codes and
regulations. Identify zoning and code issues, and required permits and
the schedule for meeting those requirements and securing those permits.
(B) Identify any permits or agreements required for well
construction and for disposal or re-injection of cooled geothermal
waters and the schedule for securing those agreements and permits.
(C) Identify land use or access to the resource agreements required
for the project and the schedule for securing the agreements and the
term of those agreements.
(D) Identify available component warranties for the specific
project location and size.
(E) Systems interconnected to the electric power system will need
arrangements to interconnect with the utility. Identify utility system
interconnection requirements, power purchase arrangements, or licenses
where required and the schedule for meeting those requirements and
obtaining those agreements.
(F) Describe all potential environmental impacts resulting from
siting issues, construction and operation of the proposed project.
Identify other site or design alternatives that were considered in your
planning process. Identify all environmental compliance issues such as
required permits (i.e., wetland fill, endangered species, Air Quality,
State Water Quality Certification, etc.)
(iii) Resource assessment. The applicant must provide adequate and
appropriate evidence of the availability of the renewable resource
required for the system to operate as designed. Indicate the quality of
the geothermal resource including temperature, flow, and sustainability
and what conversion system is to be installed. Describe any special
handling of cooled geothermal waters that may be necessary. Describe
the process for determining the geothermal resource including
measurement setup for the collection of the geothermal resource data.
For proposed projects with an established resource, provide a summary
of the resource and the specifications of the measurement setup.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the system will be designed and engineered
so as to meet its intended purpose and need, will ensure public safety,
mitigate any adverse environmental impacts, and will comply with
applicable laws, regulations, agreements, permits, codes, and
standards. Projects shall be engineered by a qualified entity. Systems
must be engineered as a complete, integrated system with matched
components. The engineering must be comprehensive including site
selection, system and component selection, conversion system component
and selection, design of the local collection grid, interconnection
equipment selection, and system monitoring equipment. Systems must be
constructed by a qualified entity.
(A) The application must include a concise but complete description
of the geothermal project including location of the project, resource
characteristics, thermal system specifications, electric power system
interconnection equipment and project monitoring equipment. Identify
possible vendors and models of major system components. Provide the
expected system energy production on a monthly and annual basis.
(B) The application must include a description of the siting
criteria used in
[[Page 15705]]
selecting the project site and the reason for elimination of other site
alternatives considered and address issues such as site access,
foundations, backup equipment when applicable, proximity to the
electrical grid, environmental issues with emphasis on land use, air
quality, water quality, noise pollution, soil degradation, wildlife,
habitat fragmentation, aesthetics, odor, and other construction, and
installation issues applicable to this type of technology. Identify any
unique construction and installation issues.
(C) Sites must be controlled by the agricultural producer or small
business for the proposed project life or for the financing term of any
associated Federal loans or loan guarantees.
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including resource assessment, system and site design, permits and
agreements, equipment procurement, and system installation from
excavation through startup and shakedown.
(vi) Financial feasibility. The applicant must provide a study that
describes costs and revenues of the proposed project to demonstrate the
financial performance of the project. Provide a detailed analysis and
description of project costs including project management, resource
assessment, project design, project permitting, land agreements,
equipment, site preparation, system installation, startup and
shakedown, warranties, insurance, financing, professional services, and
operations and maintenance costs. Provide a detailed analysis and
description of annual project revenues including electricity sales,
production tax credits, revenues from green tags, and any other
production incentive programs throughout the life of the project.
Provide a detailed description of applicable investment incentives,
productivity incentives, loans, and grants.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required by the system is available and can be procured and
delivered within the proposed project development schedule. Geothermal
systems may be constructed of components manufactured in more than one
location. Provide a description of any unique equipment procurement
issues such as scheduling and timing of component manufacture and
delivery, ordering, warranties, shipping, receiving, and on-site
storage or inventory. Procurement must be made in accordance with the
requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for site development and system
installation, provide details regarding the scheduling of major
installation equipment needed for project construction, and provide a
description of the startup and shakedown specification and process and
the conditions required for startup or shakedown for each equipment
item individually and for the system as a whole.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the system necessary for the
system to operate as designed over the design life. The applicant must:
(A) ensure that systems must have at least a 3-year warranty for
equipment. Provide information regarding turbine warranties and
availability of spare parts;
(B) describe the routine operations and maintenance requirements of
the proposed project, including maintenance for the mechanical and
electrical systems and system monitoring and control requirements;
(C) provide information that supports expected design life of the
system and timing of major component replacement or rebuilds;
(D) provide and discuss the risk management plan for handling
large, unanticipated failures of major components such as the turbine.
Include in the discussion, costs and labor associated with operations
and maintenance of system and plans for insourcing or outsourcing; and
(E) Describe opportunities for technology transfer for long term
project operations and maintenance by a local entity or owner/operator.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues, any
environmental compliance requirements, and costs for removal and
disposal of the system.
(4) Geothermal, direct use. The technical requirements specified in
paragraphs (d)(4)(i) through (x) apply to geothermal projects that
directly use thermal energy from a geothermal source. The major
components of a direct use geothermal system include the production
well, the heat exchanger, pumps, and the balance of station elements
including the field piping, re-injection wells or other disposal
equipment as required, and final point-of-use heat exchangers and
control systems.
(i) Qualifications of project team. The geothermal project team
should consist of a system designer, a project manager, an equipment
supplier, a project engineer, a construction contractor, and a system
operator and maintainer. One individual or entity may serve more than
one role.
The project team must have demonstrated expertise in geothermal
heating systems development, engineering, installation, and
maintenance. The applicant must provide authoritative evidence that
project team service providers have the necessary professional
credentials or relevant experience to perform the required services.
The applicant must also provide authoritative evidence that vendors of
proprietary components can provide necessary equipment and spare parts
for the system to operate over its design life. The applicant must:
(A) Discuss the proposed project delivery method. Such method
include a design, bid, build where a separate engineering firm may
design the project and prepare a request for bids and the successful
bidder constructs the project at the applicant's risk, and a design
build method, often referred to as turn key, where the applicant
establishes the specifications for the project and secures the services
of a developer who will design and build the project at the developer's
risk;
(B) Discuss the geothermal system equipment manufacturers of major
components being considered in terms of the length of time in business
and the number of units installed at the capacity and scale being
considered;
(C) Discuss the project manager, equipment supplier, system
designer, project engineer, and construction contractor qualifications
for engineering, designing, and installing direct use geothermal
systems including any relevant certifications by recognized
organizations or bodies. Provide a list of the same or similar projects
designed, installed, or supplied and currently operating and with
references if available; and
(D) Describe system operator's qualifications and experience for
servicing, operating, and maintaining direct use generating geothermal
projects. Provide a list of the same or similar projects designed,
installed, or supplied and currently operating and with references if
available.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the project and the
status and schedule for securing those agreements and permits,
[[Page 15706]]
including the items specified in paragraphs (d)(4)(ii)(A) through (F).
(A) Direct use geothermal systems must be installed in accordance
with applicable local, State, and national codes and regulations.
Identify zoning and code issues, and required permits and the schedule
for meeting those requirements and securing those permits.
(B) Identify licenses where required and the schedule for obtaining
those licenses.
(C) Identify land use or access to the resource agreements required
for the project and the schedule for securing the agreements and the
term of those agreements.
(D) Identify any permits or agreements required for well
construction and for disposal or re-injection of cooled geothermal
waters and the schedule for securing those permits and agreements.
(E) Identify available component warranties for the specific
project location and size.
(F) Describe all potential environmental impacts resulting from
siting issues, construction, and operation of the proposed project.
Identify other site or design alternatives that were considered in your
planning process. Identify all environmental compliance issues such as
required permits (i.e. wetland fill, endangered species, Air Quality,
State Water Quality Certification, etc.).
(iii) Resource assessment. The applicant must provide adequate and
appropriate evidence of the availability of the renewable resource
required for the system to operate as designed. Indicate the quality of
the geothermal resource including temperature, flow, and sustainability
and what direct use system is to be installed. Describe any special
handling of cooled geothermal waters that may be necessary. Describe
the process for determining the geothermal resource including
measurement setup for the collection of the geothermal resource data.
For proposed projects with an established resource, provide a summary
of the resource and the specifications of the measurement setup.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the system will be designed and engineered
so as to meet its intended purpose and need, will ensure public safety,
mitigate any adverse environmental impacts, and comply with applicable
laws, regulations, agreements, permits, codes, and standards. Projects
shall be engineered by a qualified entity. Systems must be engineered
as a complete, integrated system with matched components. The
engineering must be comprehensive including site selection, system and
component selection, thermal system component selection, and system
monitoring equipment. Systems must be constructed by a qualified
entity.
(A) The application must include a concise but complete description
of the geothermal project including location of the project, resource
characteristics, thermal system specifications, and monitoring
equipment. Identify possible vendors and models of major system
components. Provide the expected system energy production on a monthly
and annual basis.
(B) The application must include a description of the siting
criteria used in selecting the project site and the reason for
elimination of other site alternatives considered and address issues
such as, site access, foundations, thermal backup equipment, and
environmental issues with emphasis on land use, air quality, water
quality, noise pollution, soil degradation, wildlife, habitat
fragmentation, aesthetics, odor, and other construction, and
installation issues applicable to this type of technology. Identify any
unique construction and installation issues.
(C) Sites must be controlled by the agricultural producer or small
business for the proposed project life or for the financing term of any
associated Federal loans or loan guarantees.
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including resource assessment, system and site design, permits and
agreements, equipment procurement, and system installation from
excavation through startup and shakedown.
(vi) Financial feasibility. The applicant must provide a study that
describes costs and revenues of the proposed project to demonstrate the
financial performance of the project. Provide a detailed analysis and
description of project costs including project management, resource
assessment, project design, project permitting, land agreements,
equipment, site preparation, system installation, startup and
shakedown, warranties, insurance, financing, professional services, and
operations and maintenance costs. Provide a detailed analysis and
description of annual project revenues and expenses. Provide a detailed
description of applicable investment, productivity, tax, loan, and
grant incentives.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required by the system is available and can be procured and
delivered within the proposed project development schedule. Geothermal
systems may be constructed of components manufactured in more than one
location. Provide a description of any unique equipment procurement
issues such as scheduling and timing of component manufacture and
delivery, ordering, warranties, shipping, receiving, and on-site
storage or inventory. Procurement must be made in accordance with the
requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for site development and system
installation, provide details regarding the scheduling of major
installation equipment needed for project construction, and provide a
description of the startup and shakedown specification and process and
the conditions required for startup and shakedown for each equipment
item individually and for the system as a whole.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the system necessary for the
system to operate as designed over the design life. The applicant must:
(A) Ensure that systems must have at least a 3-year warranty for
equipment. Provide information regarding system warranties and
availability of spare parts;
(B) Describe the routine operations and maintenance requirements of
the proposed project, including maintenance for the mechanical and
electrical systems and system monitoring and control requirements;
(C) Provide information that supports expected design life of the
system and timing of major component replacement or rebuilds;
(D) Provide and discuss the risk management plan for handling
large, unanticipated failures of major components. Include in the
discussion, costs and labor associated with operations and maintenance
of system and plans for insourcing or outsourcing; and
(E) Describe opportunities for technology transfer for long-term
project operations and maintenance by a local entity or owner/operator.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues,
environmental compliance requirements, and costs for removal and
disposal of the system.
[[Page 15707]]
(5) Hydrogen. The technical requirements specified in paragraphs
(d)(5)(i) through (x) apply to renewable energy projects that produce
hydrogen and renewable energy projects that use mechanical or electric
power or thermal energy from a renewable resource using hydrogen as an
energy transport medium. The major components of hydrogen systems
include reformers, electrolyzers, hydrogen compression and storage
components, and fuel cells.
(i) Qualifications of project team. The hydrogen project team will
vary according to the complexity and scale of the project. For
engineered systems, the project team should consist of a system
designer, a project manager, an equipment supplier, a project engineer,
a construction contractor or system installer, and a system operator
and maintainer. One individual or entity may serve more than one role.
The project team must have demonstrated expertise in similar
hydrogen systems development, engineering, installation, and
maintenance. The applicant must provide authoritative evidence that
project team service providers have the necessary professional
credentials or relevant experience to perform the required services.
The applicant must also provide authoritative evidence that vendors of
proprietary components can provide necessary equipment and spare parts
for the system to operate over its design life. The applicant must:
(A) Discuss the proposed project delivery method. Such methods
include a design, bid, build where a separate engineering firm may
design the project and prepare a request for bids and the successful
bidder constructs the project at the applicant's risk, and a design
build method, often referred to as turn key, where the applicant
establishes the specifications for the project and secures the services
of a developer who will design and build the project at the developer's
risk;
(B) Discuss the hydrogen system equipment manufacturers of major
components for the hydrogen system being considered in terms of the
length of time in the business and the number of units installed at the
capacity and scale being considered;
(C) Discuss the project manager, equipment supplier, system
designer, project engineer, and construction contractor qualifications
for engineering, designing, and installing hydrogen systems including
any relevant certifications by recognized organizations or bodies.
Provide a list of the same or similar projects designed, installed, or
supplied and currently operating and with references if available; and
(D) Describe the system operator's qualifications and experience
for servicing, operating, and maintaining hydrogen system equipment or
projects. Provide a list of the same or similar projects designed,
installed, or supplied and currently operating and with references if
available.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the project and the
status and schedule for securing those agreements and permits,
including the items specified in paragraphs (d)(5)(ii)(A) through (G).
(A) Hydrogen systems must be installed in accordance with
applicable local, State, and national codes and regulations. Identify
zoning and building code issues, and required permits and the schedule
for meeting those requirements and securing those permits.
(B) Identify licenses where required and the schedule for obtaining
those licenses.
(C) Identify land use agreements required for the project and the
schedule for securing the agreements and the term of those agreements.
(D) Identify any permits or agreements required for solid, liquid,
and gaseous emissions or effluents and the schedule for securing those
permits and agreements.
(E) Identify available component warranties for the specific
project location and size.
(F) Systems interconnected to the electric power system will need
arrangements to interconnect with the utility. Identify utility system
interconnection requirements, power purchase arrangements, or licenses
where required and the schedule for meeting those requirements and
obtaining those agreements. This is required even if the system is
installed on the customer side of the utility meter. For systems
planning to utilize a local net metering program, provide a description
of the applicable local net metering program.
(G) Describe all potential environmental impacts resulting from
siting issues, construction and operation of the proposed project.
Identify other site or design alternatives that were considered in your
planning process. Identify all environmental compliance issues such as
required permits (Air Quality, etc.)
(iii) Resource assessment. The applicant must provide adequate and
appropriate evidence of the availability of the renewable resource
required for the system to operate as designed. Indicate the type,
quantity, quality, and seasonality of the biomass resource. For solar,
wind, or geothermal sources of energy used to generate hydrogen,
indicate the local renewable resource where the hydrogen system is to
be installed. Local resource maps may be used as an acceptable
preliminary source of renewable resource data. For proposed projects
with an established renewable resource, provide a summary of the
resource.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the system will be designed and engineered
so as to meet its intended purpose and need, will ensure public safety,
mitigate any adverse environmental impacts, and will comply with
applicable laws, regulations, agreements, permits, codes, and
standards. Projects shall be engineered by a qualified entity. Systems
must be engineered as a complete, integrated system with matched
components. The engineering must be comprehensive including site
selection, system and component selection, and system monitoring
equipment. Systems must be constructed by a qualified entity.
(A) The application must include a concise but complete description
of the hydrogen project including location of the project, resource
characteristics, system specifications, electric power system
interconnection equipment, and monitoring equipment. Identify possible
vendors and models of major system components. Describe the expected
electric power, fuel production, or thermal energy production of the
proposed system. Address performance on a monthly and annual basis.
Describe the uses of or the market for electricity, heat, or fuel
produced by the system. Discuss the impact of reduced or interrupted
resource availability on the system process.
(B) The application must include a description of the siting
criteria used in selecting the project site and the reason for
elimination of other site alternatives considered and address issues
such as site access, foundations, backup equipment when applicable, and
any environmental issues and safety concerns with emphasis on land use,
air quality, water quality, aesthetics, odor, safety hazards, and other
construction and installation issues applicable to this type of
technology. Identify any unique construction and installation issues.
(C) Sites must be controlled by the agricultural producer or small
business for the proposed project life or for the financing term of any
associated Federal loans or loan guarantees.
[[Page 15708]]
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including resource assessment, system and site design, permits and
agreements, equipment procurement, and system installation from
excavation through startup and shakedown.
(vi) Financial feasibility. The applicant must provide a study that
describes costs and revenues of the proposed project to demonstrate the
financial performance of the project. Provide a detailed analysis and
description of project costs including project management, resource
assessment, project design and engineering, project permitting, land
agreements, equipment, site preparation, system installation, startup
and shakedown, warranties, insurance, financing, professional services,
and operations and maintenance costs. Provide a detailed analysis and
description of annual project revenues and expenses. Provide a detailed
description of applicable investment, productivity, tax, loan, and
grant incentives.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required by the system is available and can be procured and
delivered within the proposed project development schedule. Hydrogen
systems may be constructed of components manufactured in more than one
location. Provide a description of any unique equipment procurement
issues, such as scheduling and timing of component manufacture and
delivery, ordering, warranties, shipping and receiving, and on-site
storage or inventory. Procurement must be made in accordance with the
requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for site development and system
installation, provide details regarding the scheduling of major
installation equipment needed for project construction, and provide a
description of the startup and shakedown specification and process and
the conditions required for startup and shakedown for each equipment
item individually and for the system as a whole.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the system necessary for the
system to operate as designed over the design life. The applicant must:
(A) Provide information regarding system warranties and
availability of spare parts;
(B) Describe the routine operations and maintenance requirements of
the proposed project, including maintenance of the reformer,
electrolyzer, or fuel cell as appropriate, and other mechanical,
piping, and electrical systems and system monitoring and control
requirements;
(C) Provide information that supports expected design life of the
system and timing of major component replacement or rebuilds;
(D) Provide and discuss the risk management plan for handling
large, unanticipated failures of major components. Include in the
discussion, costs and labor associated with operations and maintenance
of system and plans for insourcing or outsourcing; and
(E) Describe opportunities for technology transfer for long term
project operations and maintenance by a local entity or owner/operator.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues, any
environmental compliance requirements, and costs for removal and
disposal of the system.
(6) Solar, small. The technical requirements specified in
paragraphs (d)(6)(i) through (x) of this section apply to small solar
electric projects and small solar thermal projects. Small solar
electric projects are those for which the rated power of the system is
10kW or smaller. The major components of a small solar electric system
are the solar panels, the support structure, the foundation, the power
conditioning equipment, the interconnection equipment, surface or
submersible water pumps, energy storage equipment and supporting
documentation including operations and maintenance manuals. Small solar
electric projects are either stand-alone (off grid) or interconnected
to the grid at less than 600 volts (on grid). Small solar thermal
projects are those for which the rated storage volume of the system is
240 gallons or smaller. The major components of a small solar thermal
system are the solar collector(s), the support structure, the
foundation, the circulation pump(s) and piping, heat exchanger (if
required), energy storage equipment and support.
(i) Qualifications of project team. The small solar project team
should consist of a system designer, a project manager or general
contractor, an equipment supplier of major components, a system
installer, a system maintainer, and, in some cases, the owner of the
application or load served by the system. One individual or entity may
serve more than one role.
The applicant must provide authoritative evidence that project team
service providers have the necessary professional credentials or
relevant experience to perform the required services. The applicant
must also provide authoritative evidence that vendors of proprietary
components can provide necessary equipment and spare parts for the
system to operate over its design life. The applicant must:
(A) Discuss the qualifications of the suppliers of major components
being considered;
(B) Describe the knowledge, skills, and abilities needed to
service, operate, and maintain the system for the proposed application;
and
(C) Discuss the project manager, system designer, and system
installer qualifications for engineering, designing, and installing
small solar systems including any relevant certifications by recognized
organizations or bodies. Provide a list of the same or similar systems
designed or installed by the design and installation team and currently
operating and with references if available.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the project and the
status and schedule for securing those agreements and permits,
including the items specified in paragraphs (d)(6)(ii)(A) through (D).
(A) Small solar systems must be installed in accordance with local,
State, and national building and electrical codes and regulations.
Identify zoning, building and electrical code issues, and required
permits and the schedule for meeting those requirements and securing
those permits.
(B) Identify available component warranties for the specific
project location and size.
(C) Small solar electric systems interconnected to the electric
power system will need arrangements to interconnect with the utility.
Identify utility system interconnection requirements, power purchase
arrangements, or licenses where required and the schedule for meeting
those requirements and obtaining those agreements. This is required
even if the system is installed on the customer side of the utility
meter. For systems planning to utilize a local net metering program,
describe the applicable local net metering program.
(D) Describe all potential environmental impacts resulting from
siting issues, construction and operation of the proposed project.
Identify other site or design alternatives that were
[[Page 15709]]
considered in your planning process. Identify all environmental
compliance issues such as required permits (i.e. wetland fill,
endangered species, water quality, hazard materials handling, etc.)
(iii) Resource assessment. The applicant must provide adequate and
appropriate evidence of the availability of the renewable resource
required for the system to operate as designed. Describe the local
solar resource where the solar system is to be installed. Acceptable
sources of solar resource data include state solar maps and nearby
weather station data. Incorporate information from state solar resource
maps when possible. Indicate the source of the solar data and
assumptions made when applying nearby solar data to the site.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the system will be designed and engineered
so as to meet its intended purpose and need, ensure public safety,
mitigate any adverse environmental impacts, and comply with applicable
laws, regulations, agreements, permits, codes, and standards. For small
solar electric systems, the engineering must be comprehensive,
including solar collector design and selection, support structure
design and selection, power conditioning design and selection, surface
or submersible water pumps and energy storage requirements as
applicable, and selection of cabling, disconnects and interconnection
equipment. For small solar thermal systems, the engineering must be
comprehensive, including solar collector design and selection, support
structure design and selection, pump and piping design and selection,
and energy storage design and selection.
(A) The application must include a concise but complete description
of the small solar system including location of the project and
proposed equipment specifications. Identify possible vendors and models
of major system components. Provide the expected system energy
production based on available solar resource data on a monthly (when
possible) and annual basis and how the energy produced by the system
will be used.
(B) The application must include a description of the siting
criteria used in selecting the project site and the reason for
elimination of other site alternatives considered and address issues
such as solar access, site access, foundations, backup equipment when
applicable, orientation, proximity to the load or the electrical grid,
unique safety concerns, and environmental issues with emphasis on land
use, water quality, wildlife, habitat fragmentation, aesthetics, and
other construction, and installation issues, and whether special
circumstances exist applicable to this type of technology.
(C) Sites and application load must be controlled by the
agricultural producer or small business for the proposed project life
or for the financing term of any associated Federal loans or loan
guarantees.
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including system and site design, permits and agreements, equipment
procurement, and system installation from excavation through startup
and shakedown.
(vi) Financial feasibility. The applicant must provide a study that
describes costs and revenues of the proposed project to demonstrate the
financial performance of the project. Provide a detailed analysis and
description of project costs including design, permitting, equipment,
site preparation, system installation, system startup and shakedown,
warranties, insurance, financing, professional services, and operations
and maintenance costs. Provide a detailed description of applicable
investment, productivity, tax, loan, and grant incentives. Provide a
detailed description of historic or expected energy use and expected
energy offsets or sales on a monthly and annual basis.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required by the system is available and can be procured and
delivered within the proposed project development schedule. Small solar
systems may be constructed of components manufactured in more than one
location. Provide a description of any unique equipment procurement
issues such as scheduling and timing of component manufacture and
delivery, ordering, warranties, shipping, receiving, and on-site
storage or inventory. Provide a detailed description of equipment
certification. Procurement must be made in accordance with the
requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for site development and system
installation, provide details regarding the scheduling of major
installation equipment needed for project construction, and provide a
description of the startup and shakedown specification and process and
the conditions required for startup and shakedown for each equipment
item individually and for the system as a whole.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the system necessary for the
system to operate as designed over the design life. The applicant must:
(A) Ensure that systems must have at least a 5-year warranty for
equipment. Provide information regarding system warranty and
availability of spare parts;
(B) Describe the routine operations and maintenance requirements of
the proposed system, including maintenance schedules for the mechanical
and electrical and software systems;
(C) For owner maintained portions of the system, describe any
unique knowledge, skills, or abilities needed for service operations or
maintenance; and
(D) Provide information regarding expected system design life and
timing of major component replacement or rebuilds. Include in the
discussion, costs and labor associated with operations and maintenance
of system and plans for insourcing or outsourcing.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues, any
environmental compliance requirements, such as proper disposal or
recycling procedures to reduce potential impact from hazardous
chemicals and costs for removal and disposal of the system.
(7) Solar, large. The technical requirements specified in
paragraphs (d)(7)(i) through (x) apply to large solar electric projects
and large solar thermal projects. Large solar electric systems are
those for which the rated power of the system is larger than 10kW. The
major components of a large solar electric system are the solar panels,
the support structure, the foundation, the power conditioning
equipment, the interconnection equipment, surface or submersible water
pumps and energy storage equipment and supporting documentation
including operations and maintenance manuals. Large solar electric
systems are either stand-alone (off grid) or interconnected to the grid
(on grid.) Large solar thermal systems are those for which the rated
storage volume of the system is greater than 240 gallons. The major
components of a large solar thermal system are the solar collector(s),
the support structure, the foundation, the circulation pump(s) and
piping, heat exchanger (if required), energy storage equipment and
[[Page 15710]]
supporting documentation including operations and maintenance manuals.
(i) Qualifications of project team. The large solar project team
should consist of an equipment supplier of major components, a project
manager, general contractor, a system engineer, a system installer, and
system maintainer. One individual or entity may serve more than one
role.
The applicant must provide authoritative evidence that project team
service providers have the necessary professional credentials or
relevant experience to perform the required services. The applicant
must also provide authoritative evidence that vendors of proprietary
components can provide necessary equipment and spare parts for the
system to operate over its design life. The applicant must:
(A) Discuss the proposed project delivery method. Such methods
include a design, bid, build where a separate engineering firm may
design the project and prepare a request for bids and the successful
bidder constructs the project at the applicant's risk, and a design
build method, often referred to as turn key, where the applicant
establishes the specifications for the project and secures the services
of a developer who will design and build the project at the developer's
risk;
(B) Discuss the qualifications of the suppliers of major components
being considered;
(C) Discuss the project manager, general contractor, system
engineer, and system installer qualifications for engineering,
designing, and installing large solar systems including any relevant
certifications by recognized organizations or bodies. Provide a list of
the same or similar systems designed or installed by the design,
engineering, and installation team and currently operating and with
references if available; and
(D) Describe the system operator's qualifications and experience
for servicing, operating, and maintaining the system for the proposed
application. Provide a list of the same or similar systems designed or
installed by the design, engineering, and installation team and
currently operating and with references if available.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the project and the
status and schedule for securing those agreements and permits,
including the items specified in paragraphs (d)(7)(ii)(A) through (D).
(A) Large solar systems must be installed in accordance with local,
State, and national building and electrical codes and regulations.
Identify zoning, building and electrical code issues, and required
permits and the schedule for meeting those requirements and securing
those permits.
(B) Identify available component warranties for the specific
project location and size.
(C) Large solar electric systems interconnected to the electric
power system will need arrangements to interconnect with the utility.
Identify utility system interconnection requirements, power purchase
arrangements, or licenses where required and the schedule for meeting
those requirements and obtaining those agreements. This is required
even if the system is installed on the customer side of the utility
meter. For systems planning to utilize a local net metering program,
describe the applicable local net metering program.
(D) Describe all potential environmental impacts resulting from
siting issues, construction and operation of the proposed project.
Identify other site or design alternatives that were considered in your
planning process. Identify all environmental compliance issues such as
required permits (i.e. wetland fill, endangered species, water quality,
hazard materials handling, etc.)
(iii) Resource assessment. The applicant must provide adequate and
appropriate evidence of the availability of the renewable resource
required for the system to operate as designed. Describe the local
solar resource where the solar system is to be installed. Acceptable
sources of solar resource data include state solar maps and nearby
weather station data. Incorporate information from state solar resource
maps when possible. Indicate the source of the solar data and
assumptions made when applying nearby solar data to the site.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the system will be designed and engineered
so as to meet its intended purpose and need, ensure public safety,
mitigate any adverse environmental impacts, and comply with applicable
laws, regulations, agreements, permits, codes, and standards.
(A) For large solar electric systems, the engineering must be
comprehensive, including solar collector design and selection, support
structure design and selection, power conditioning design and
selection, surface or submersible water pumps and energy storage
requirements as applicable, and selection of cabling, disconnects and
interconnection equipment. A complete set of engineering drawings,
stamped by a professional engineer must be provided.
(B) For large solar thermal systems, the engineering must be
comprehensive, including solar collector design and selection, support
structure design and selection, pump and piping design and selection,
and energy storage design and selection. Provide a complete set of
engineering drawings, stamped by a professional engineer.
(C) For either type of system, provide a concise but complete
description of the large solar system including location of the project
and proposed equipment and system specifications. Identify possible
vendors and models of major system components. Provide the expected
system energy production based on available solar resource data on a
monthly (when possible) and annual basis and how the energy produced by
the system will be used.
(D) For either type of system, provide a description of the project
site and address issues such as solar access, orientation, proximity to
the load or the electrical grid, environmental concerns such as land
use, water quality, wildlife, habitat fragmentation, aesthetics, unique
safety concerns, construction, and installation issues and whether
special circumstances exist.
(E) Sites must be controlled by the agricultural producer or small
business for the proposed project life or for the financing term of any
associated federal loans or loan guarantees.
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including system and site design, permits and agreements, equipment
procurement, and system installation from excavation through startup
and shakedown.
(vi) Financial feasibility. The applicant must provide a study that
describes costs and revenues of the proposed project to demonstrate the
financial performance of the project. Provide a detailed analysis and
description of project costs including design and engineering,
permitting, equipment, site preparation, system installation, system
startup and shakedown, warranties, insurance, financing, professional
services, and operations and maintenance costs. Provide a detailed
description of applicable investment, productivity, tax, loan, and
grant incentives. Provide a detailed description of historic or
expected energy use and expected
[[Page 15711]]
energy offsets or sales on a monthly and annual basis.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required by the system is available and can be procured and
delivered within the proposed project development schedule. Large solar
systems may be constructed of components manufactured in more than one
location. Provide a description of any unique equipment procurement
issues such as scheduling and timing of component manufacture and
delivery, ordering, warranties, shipping, receiving, and on-site
storage or inventory. Provide a detailed description of equipment
certification. Procurement must be made in accordance with the
requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for site development and system
installation, provide details regarding the scheduling of major
installation equipment, including cranes and other devices, needed for
project construction, and provide a description of the startup and
shakedown specification and process and the conditions required for
startup and shakedown for each equipment item individually and for the
system as a whole.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the system necessary for the
system to operate as designed over the design life. The applicant must:
(A) Ensure that systems must have at least a 5-year warranty for
equipment. Provide information regarding system warranty and
availability of spare parts;
(B) Describe the routine operations and maintenance requirements of
the proposed system, including maintenance schedules for the mechanical
and electrical and software systems;
(C) For owner maintained portions of the system, describe any
unique knowledge, skills, or abilities needed for service operations or
maintenance; and
(D) Provide information regarding expected system design life and
timing of major component replacement or rebuilds. Include in the
discussion, costs and labor associated with operations and maintenance
of system and plans for insourcing or outsourcing.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues, any
environmental compliance requirements such as proper disposal or
recycling procedures to reduce potential hazardous chemical
contamination and costs for removal and disposal of the system.
(8) Wind, small. The technical requirements specified in paragraphs
(d)(8)(i) through (x) apply to wind energy systems for which the rated
power of the wind turbine is 100kW or smaller and with a generator hub
height of 120 ft or less. Such systems are considered small wind
systems. The major components of a small wind system are the wind
turbine, the tower, the foundation, the inverter, the interconnection
equipment and energy storage when applicable. A small wind system is
either stand-alone or connected to the local electrical system at less
than 600 volts.
(i) Qualifications of project team. The small wind project team
should consist of a system designer, a project manager or general
contractor, an equipment supplier of major components, a system
installer, a system maintainer, and, in some cases, the owner of the
application or load served by the system. One individual or entity may
serve more than one role.
The applicant must provide authoritative evidence that project team
service providers have the necessary professional credentials or
relevant experience to perform the required services. The applicant
must also provide authoritative evidence that vendors of proprietary
components can provide necessary equipment and spare parts for the
system to operate over its design life. The applicant must:
(A) Discuss the small wind turbine manufacturers and other
equipment suppliers of major components being considered in terms of
the length of time in business and the number of units installed at the
capacity and scale being considered;
(B) Describe the knowledge, skills, and abilities needed to
service, operate, and maintain the system for the proposed application;
and
(C) Discuss the project manager, system designer, and system
installer qualifications for engineering, designing, and installing
small wind systems including any relevant certifications by recognized
organizations or bodies. Provide a list of the same or similar systems
designed, installed, or supplied and currently operating and with
references if available.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the project and the
status and schedule for securing those agreements and permits,
including the items specified in paragraphs (d)(8)(ii)(A) through (D).
(A) Small wind systems must be installed in accordance with
applicable local, State, and national building and electrical codes and
regulations. Identify zoning, building and electrical code issues, and
required permits and the schedule for meeting those requirements and
securing those permits.
(B) Identify available component warranties for the specific
project location and size.
(C) Small wind systems interconnected to the electric power system
will need arrangements to interconnect with the utility. Identify
utility system interconnection requirements, power purchase
arrangements, or licenses where required and the schedule for meeting
those requirements and obtaining those agreements. This is required
even if the system is installed on the customer side of the utility
meter. For systems planning to utilize a local net metering program,
describe the applicable local net metering program.
(D) Describe all potential environmental impacts resulting from
siting issues, construction and operation of the proposed project.
Identify other site or design alternatives that were considered in your
planning process. Identify all environmental compliance issues such as
required permits (i.e. wetland fill, endangered species, etc.)
(iii) Resource assessment. The applicant must provide adequate and
appropriate evidence of the availability of the renewable resource
required for the system to operate as designed. Indicate the local wind
resource where the small wind turbine is to be installed. Acceptable
sources of wind resource data include state wind maps and nearby
weather station data. Incorporate information from state wind resource
maps when possible. Indicate the source of the wind data and the
conditions of the wind monitoring when collected at the site or
assumptions made when applying nearby wind data to the site.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the system will be designed and engineered
so as to meet its intended purpose and need, ensure public safety,
mitigate any adverse environmental impacts, and comply with applicable
laws, regulations, agreements, permits, codes, and standards. Small
wind systems must be engineered by either the wind turbine manufacturer
or other qualified party. Systems must be offered as a complete,
integrated system with matched components. The engineering must be
comprehensive including turbine design and selection, tower design and
selection, specification of guy wire
[[Page 15712]]
anchors and tower foundation, inverter/controller design and selection,
energy storage requirements as applicable, and selection of cabling,
disconnects and interconnection equipment, as well as the engineering
data needed to match the wind system output to the application load, if
applicable.
(A) The application must include a concise but complete description
of the small wind system including location of the project, proposed
turbine specifications, tower height and type of tower, type of energy
storage and location of storage if applicable, proposed inverter
manufacturer and model, electric power system interconnection
equipment, and application load and load interconnection equipment as
applicable. Identify possible vendors and models of major system
components. Provide the expected system energy production based on
available wind resource data on a monthly (when possible) and annual
basis and how the energy produced by the system will be used.
(B) The application must include a description of the siting
criteria used in selecting the project site and address issues such as
site access, foundations, backup equipment when applicable, access to
the wind resource, proximity to the electrical gird or application
load, and environmental issues with emphasis on land use, noise
pollution, soil degradation, wildlife including migratory birds and
bats, habitat fragmentation, aesthetics, and other construction and
installation issues and whether special circumstances such as proximity
to airports exist when applicable to this type of technology. Provide a
360-degree panoramic photograph of the proposed site including
indication of prevailing winds when possible.
(C) Sites and application loads must be controlled by the
agricultural producer or small business for the proposed project life
or for the financing term of any associated Federal loans or loan
guarantees.
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including system and site design, permits and agreements, equipment
procurement, and system installation from excavation through startup
and shakedown.
(vi) Financial feasibility. The applicant must provide a study that
describes costs and revenues of the proposed project to demonstrate the
financial performance of the project. Provide a detailed analysis and
description of project costs including design, permitting, equipment,
site preparation, system installation, system startup and shakedown,
warranties, insurance, financing, professional services, and operations
and maintenance costs. Provide a detailed description of applicable
investment, productivity, tax, loan, and grant incentives. Provide a
detailed description of historic or expected energy use and expected
energy offsets or sales on a monthly and annual basis.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required by the system is available and can be procured and
delivered within the proposed project development schedule. Small wind
systems may be constructed of components manufactured in more than one
location. Provide a description of any unique equipment procurement
issues such as scheduling and timing of component manufacture and
delivery, ordering, warranties, shipping, receiving, and on-site
storage or inventory. Provide a detailed description of equipment
certification. Procurement must be made in accordance with the
requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for site development and system
installation, provide details regarding the scheduling of major
installation equipment, including cranes and other devices, needed for
project construction, and provide a description of the startup and
shakedown specification and process and the conditions required for
startup and shakedown for each equipment item individually and for the
system as a whole.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the system necessary for the
system to operate as designed over the design life. The applicant must:
(A) Ensure that systems must have at least a 5-year warranty for
equipment and a commitment from the supplier to have spare parts
available. Provide information regarding system warranty and
availability of spare parts;
(B) Describe the routine operations and maintenance requirements of
the proposed system, including maintenance schedules for the mechanical
and electrical and software systems;
(C) Provide historical or engineering information that supports
expected design life of the system and timing of major component
replacement or rebuilds. Include in the discussion, costs and labor
associated with operations and maintenance of system and plans for in
or outsourcing; and
(D) For owner maintained portions of the system, describe any
unique knowledge, skills, or abilities needed for service operations or
maintenance.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues, any
environmental compliance requirements, and costs for removal and
disposal of the system.
(9) Wind, large. The technical requirements specified in paragraphs
(d)(9)(i) through (x) apply to wind energy systems for which the rated
power of the individual wind turbine(s) is larger than 100kW. Such
systems are considered large wind systems. The major components of a
large wind system are the wind turbine rotor, the gearbox, the
generator, the tower, the power electronics, the local collection grid,
and the interconnection equipment.
(i) Qualifications of project team. The large wind project team
should consist of a project manager, a meteorologist, an equipment
supplier, a project engineer, a primary or general contractor,
construction contractor, and a system operator and maintainer and in
some cases the owner of the application or load served by the system.
One individual or entity may serve more than one role.
The applicant must provide authoritative evidence that project team
service providers have the necessary professional credentials or
relevant experience to perform the required services. The applicant
must also provide authoritative evidence that vendors of proprietary
components can provide necessary equipment and spare parts for the
system to operate over its design life. The applicant must:
(A) Discuss the proposed project delivery method. Such methods
include a design, bid, build where a separate engineering firm may
design the project and prepare a request for bids and the successful
bidder constructs the project at the applicant's risk, and a design
build method, often referred to as turn key, where the applicant
establishes the specifications for the project and secures the services
of a developer who will design and build the project at the developers
risk;
(B) Discuss the large wind turbine manufacturers and other
equipment suppliers of major components being considered in terms of
the length of time in business and the number of units
[[Page 15713]]
installed at the capacity and scale being considered;
(C) Discuss the project manager, equipment supplier, project
engineer, and construction contractor qualifications for engineering,
designing, and installing large wind systems including any relevant
certifications by recognized organizations or bodies. Provide a list of
the same or similar projects designed, installed, or supplied and
currently operating and with references if available;
(D) Discuss the qualifications of the meteorologist, including
references; and
(E) Describe system operator's qualifications and experience for
servicing, operating, and maintaining the system for the proposed
application. Provide a list of the same or similar projects designed,
installed, or supplied and currently operating and with references if
available.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the project and the
status and schedule for securing those agreements and permits,
including the items specified in paragraphs (d)(9)(ii)(A) through (E).
(A) Large wind systems must be installed in accordance with local,
State, and national building and electrical codes and regulations.
Identify zoning, building and electrical code issues, and required
permits and the schedule for meeting those requirements and securing
those permits.
(B) Identify land use agreements required for the project and the
schedule for securing the agreements and the term of those agreements.
(C) Identify available component warranties for the specific
project location and size.
(D) Large wind systems interconnected to the electric power system
will need arrangements to interconnect with the utility. Identify
utility system interconnection requirements, power purchase
arrangements, or licenses where required and the schedule for meeting
those requirements and obtaining those agreements.
(E) Describe all potential environmental impacts resulting from
siting issues, construction and operation of the proposed project.
Identify other site or design alternatives that were considered in your
planning process. Identify all environmental compliance issues such as
required permits (i.e. wetland fill, endangered species, etc.)
(iii) Resource assessment. The applicant must provide adequate and
appropriate evidence of the availability of the renewable resource
required for the system to operate as designed. Indicate the local wind
resource where the wind turbine is to be installed. Wind resource maps
may be used as an acceptable preliminary source of wind resource data.
Projects greater than 500kW must obtain wind data from the proposed
project site. For such projects, describe the proposed measurement
setup for the collection of the wind resource data. For proposed
projects with an established wind resource, provide a summary of the
wind resource and the specifications of the measurement setup. Large
wind systems larger than 500kW in size will typically require at least
1 year of on-site monitoring. If less than 1 year of data is used, the
qualified meteorological consultant must provide a detailed analysis of
correlation between the site data and a nearby long-term measurement
site.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the system will be designed and engineered
so as to meet its intended purpose and need, ensure public safety,
mitigate any adverse environmental impacts, and comply with applicable
laws, regulations, agreements, permits, codes, and standards. Large
wind systems must be engineered by a qualified entity. Systems must be
engineered as a complete, integrated system with matched components.
The engineering must be comprehensive including site selection, turbine
selection, tower selection, tower foundation, design of the local
collection grid, interconnection equipment selection, and system
monitoring equipment. For stand alone, non-grid applications,
engineering information must be provided that demonstrates appropriate
matching of wind turbine and load.
(A) The application must include a concise but complete description
of the large wind project including location of the project, proposed
turbine specifications, tower height and type of tower, the collection
grid, interconnection equipment, and monitoring equipment. Identify
possible vendors and models of major system components. Provide the
expected system energy production based on available wind resource data
on a monthly and annual basis. For wind projects larger than 500kW in
size, provide the expected system energy production over the life of
the project including a discussion on inter-annual variation using a
comparison of the on-site monitoring data with long-term meteorological
data from a nearby monitored site.
(B) The application must include a description of the siting
criteria used in selecting the project site and address issues such as
site access, foundations, backup equipment when applicable, proximity
to the electrical grid or application load, and environmental issues
with emphasis on land use, noise pollution, soil degradation, wildlife
including migratory birds and bats, habitat fragmentation, aesthetics,
and other construction, and installation issues and whether special
circumstances such as proximity to airports exist.
(C) Sites must be controlled by the agricultural producer or small
business for the proposed project life or for the financing term of any
associated federal loans or loan guarantees.
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including resource assessment, system and site design, permits and
agreements, equipment procurement, and system installation from
excavation through startup and shakedown.
(vi) Financial feasibility. The applicant must provide a study that
describes costs and revenues of the proposed renewable energy system(s)
to demonstrate the financial performance of the renewable energy
system(s). Provide a detailed analysis and description of project costs
including project management, resource assessment, project design,
project permitting, land agreements, equipment, site preparation,
system installation, startup and shakedown, warranties, insurance,
financing, professional services, and operations and maintenance costs.
Provide a detailed description of applicable investment, productivity,
tax, loan, and grant incentives. Provide a detailed analysis and
description of annual project revenues including electricity sales,
production tax credits, revenues from green tags, and any other
production incentive programs throughout the life of the project.
Provide a description of planned contingency fees or reserve funds to
be used for unexpected large component replacement or repairs and for
low productivity periods.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required by the system is available and can be procured and
delivered within the proposed project development schedule. Large wind
turbines may be constructed of components manufactured in more than
[[Page 15714]]
one location. Provide a description of any unique equipment procurement
issues such as scheduling and timing of component manufacture and
delivery, ordering, warranties, shipping, receiving, and on-site
storage or inventory. Provide a detailed description of equipment
certification. Procurement must be made in accordance with the
requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for site development and system
installation, provide details regarding the scheduling of major
installation equipment, including cranes or other devices, needed for
project construction, and provide a description of the startup and
shakedown specification and process and the conditions required for
startup and shakedown for each equipment item individually and for the
system as a whole.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the system necessary for the
system to operate as designed over the design life. The applicant must:
(A) Ensure that systems must have at least a 3-year warranty for
equipment. Provide information regarding turbine warranties and
availability of spare parts;
(B) Describe the routine operations and maintenance requirements of
the proposed project, including maintenance schedules for the
mechanical and electrical systems and system monitoring and control
requirements;
(C) Provide information that supports expected design life of the
system and timing of major component replacement or rebuilds;
(D) Provide and discuss the risk management plan for handling
large, unanticipated failures of major components such as the turbine
gearbox or rotor. Include in the discussion, costs and labor associated
with operations and maintenance of system and plans for insourcing or
outsourcing;
(E) Describe opportunities for technology transfer for long term
project operations and maintenance by a local entity or owner/operator;
and
(F) For owner maintained portions of the system, describe any
unique knowledge, skills, or abilities needed for service operations or
maintenance.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues, any
environmental compliance requirements, and costs for removal and
disposal of the system.
(10) Energy efficiency. The technical requirements specified in
paragraphs (d)(10)(i) through (ix) apply to projects that involve
improvements to a facility, building or process resulting in reduced
energy consumption or reduced amount of energy required per unit of
production are regarded as energy efficiency projects. Projects in
excess of $50,000 require a full energy audit. The system engineering
for such projects must be performed by a qualified entity certified
Professional Engineer.
(i) Qualifications of project team. The energy efficiency project
team is expected to consist of an energy auditor, a project manager, an
equipment supplier of major components, a project engineer, and a
construction contractor or system installer. One individual or entity
may serve more than one role.
The applicant must provide authoritative evidence that project team
service providers have the necessary professional credentials or
relevant experience to perform the required services. The applicant
must also provide authoritative evidence that vendors of proprietary
components can provide necessary equipment and spare parts for the
system to operate over its design life. The applicant must:
(A) Discuss the qualifications of the various project team members
including any relevant certifications by recognized organizations or
bodies;
(B) Describe qualifications or experience of the team as related to
installation, service, operation and maintenance of the project;
(C) Provide a list of the same or similarly engineered projects
designed, installed, or supplied by the team or by team members and
currently operating. Provide references if available; and
(D) Discuss the manufacturers of major energy efficiency equipment
being considered including length of time in business.
(ii) Agreements and permits. The applicant must identify all
necessary agreements and permits required for the energy efficiency
improvement(s) and the status and schedule for securing those
agreements and permits, including the items specified in paragraphs
(d)(10)(ii)(A) through (C).
(A) Energy efficiency improvements must be installed in accordance
with local, State, and national building and electrical codes and
regulations. Identify building code, electrical code, and zoning issues
and required permits, and the schedule for meeting those requirements
and securing those permits.
(B) Identify available component warranties for the specific
project location and size.
(C) Describe all potential environmental impacts resulting from
siting issues, construction and operation of the proposed project.
Identify other site or design alternatives that were considered in your
planning process. Identify all environmental compliance issues such as
required permits (i.e. wetland fill, endangered species, air quality,
State Water Quality Certification, NPDES, etc.)
(iii) Energy assessment. The applicant must provide adequate and
appropriate evidence of energy savings expected when the system is
operated as designed.
(A) The application must include information on baseline energy
usage (preferably including energy bills for at least 1 year), expected
energy savings based on manufacturers specifications or other
estimates, estimated dollars saved per year, and payback period in
years (total investment cost equal to cumulative total dollars of
energy savings). Calculation of energy savings should follow accepted
methodology and practices. System interactions should be considered and
discussed.
(B) For energy efficiency improvement projects in excess of
$50,000, an energy audit is required. An energy audit is a written
report by an independent, qualified entity that documents current
energy usage, recommended potential improvements and their costs,
energy savings from these improvements, dollars saved per year, and
simple payback period in years (total costs divided by annual dollars
of energy savings). The methodology of the energy audit must meet
professional and industry standards. The energy audit must cover the
following:
(1) Situation report. Provide a narrative description of the
facility or process, its energy system(s) and usage, and activity
profile. Also include price per unit of energy (electricity, natural
gas, propane, fuel oil, renewable energy, etc.) paid by the customer on
the date of the audit. Any energy conversion should be based on use
rather than source.
(2) Potential improvements. List specific information on all
potential energy-saving opportunities and their costs.
(3) Technical analysis. Give consideration to the interactions
among the potential improvements and other energy systems:
(i) Estimate the annual energy and energy costs savings expected
from each improvement identified in the potential project.
(ii) Calculate all direct and attendant indirect costs of each
improvement.
[[Page 15715]]
(iii) Rank potential improvements measures by cost-effectiveness.
(4) Potential improvement description. Provide a narrative summary
of the potential improvement and its ability to provide needed
benefits, including a discussion of non-energy benefits such as project
reliability and durability.
(i) Provide preliminary specifications for critical components.
(ii) Provide preliminary drawings of project layout, including any
related structural changes.
(iii) Document baseline data compared to projected consumption,
together with any explanatory notes. When appropriate, show before-and-
after data in terms of consumption per unit of production, time or
area. Include at least 1 year's bills for those energy sources/fuel
types affected by this project. Also submit utility rate schedules, if
appropriate.
(iv) Identify significant changes in future related operations and
maintenance costs.
(v) Describe explicitly how outcomes will be measured.
(iv) Design and engineering. The applicant must provide
authoritative evidence that the energy efficiency improvement(s) will
be designed and engineered so as to meet its intended purpose and need,
ensure public safety, mitigate any adverse environmental impacts, and
comply with applicable laws, regulations, agreements, permits, codes,
and standards.
(A) Energy efficiency improvement projects in excess of $50,000
must be engineered by a qualified entity. Systems must be engineered as
a complete, integrated system with matched components.
(B) For all energy efficiency improvement projects, identify and
itemize major energy efficiency improvements including associated
project costs. Specifically delineate which costs of the project are
directly associated with energy efficiency improvements. Describe the
components, materials or systems to be installed and how they improve
the energy efficiency of the process or facility being modified.
Discuss passive improvements that reduce energy loads, such as
improving the thermal efficiency of a storage facility, and active
improvements that directly reduce energy consumption, such as replacing
existing energy consuming equipment with high efficiency equipment, as
separate topics. Discuss any anticipated synergy between active and
passive improvements or other energy systems. Include in the discussion
any change in on-site effluents, pollutants, or other by-products.
(C) Identify possible suppliers and model of major pieces of
equipment.
(v) Project development schedule. The applicant must identify each
significant task, its beginning and end, and its relationship to the
time needed to initiate and carry the project through startup and
shakedown. Provide a detailed description of the project timeline
including energy audit (if applicable), system and site design, permits
and agreements, equipment procurement, and system installation from
site preparation through startup and shakedown.
(vi) Financial feasibility. Provide a detailed description of
project costs including any design, permitting, equipment, materials,
site preparation, installation, warranties, insurance, financing,
professional services, and operations and maintenance costs.
Referencing information developed in section (iii) Energy Assessment in
this subsection, provide a detailed description of monthly and annual
energy and cost savings associated with the project. Provide a detailed
description of applicable investment, productivity, tax, loan, or grant
incentives.
(vii) Equipment procurement. The applicant must demonstrate that
equipment required for the energy efficiency improvement(s) is
available and can be procured and delivered within the proposed project
development schedule. Energy efficiency improvements may be constructed
of components manufactured in more than one location. Provide a
description of any unique equipment procurement issues such as
scheduling and timing of component manufacture and delivery, ordering,
warranties, shipping, receiving, and on-site storage or inventory.
Provide a detailed description of equipment certification. Procurement
must be made in accordance with the requirements of 7 CFR part 3015.
(viii) Equipment installation. The applicant must fully describe
the management of and plan for installation of the energy efficiency
improvement(s), identify specific issues associated with installation,
provide details regarding the scheduling of major installation
equipment needed for project discussion, and provide a description of
the startup and shakedown specification and process and the conditions
required for startup and shakedown for each equipment item individually
and for the system as a whole. Include in this discussion any unique
concerns, such as the effects of energy efficiency improvements on
system power quality.
(ix) Operations and maintenance. The applicant must identify the
operations and maintenance requirements of the energy efficiency
improvement(s) necessary for the energy efficiency improvement(s) to
operate as designed over the design life. The applicant must:
(A) Provide information regarding component warranties and the
availability of spare parts;
(B) Describe the routine operations and maintenance requirements of
the proposed project, including maintenance schedules for the
mechanical and electrical systems and system monitoring and control
requirements;
(C) Provide information that supports expected design life of the
system and timing of major component replacement or rebuilds;
(D) Provide and discuss the risk management plan for handling
large, unanticipated failures of major components. Include in the
discussion, costs and labor associated with operations and maintenance
of system and plans for insourcing or outsourcing; and
(E) For owner maintained portions of the system, describe any
unique knowledge, skills, or abilities needed for service operations or
maintenance.
(x) Decommissioning. When uninstalling or removing the project,
describe the decommissioning process. Describe any issues, any
environmental compliance requirements, and costs for removal and
disposal of the system.
Evaluation of Grant Applications
(a) General review. The Agency will evaluate each application and
make a determination whether the applicant is eligible, the proposed
grant is for an eligible project, and the proposed grant complies with
all applicable statutes and regulations.
(b) Ineligible or incomplete applications. If the applicant is
ineligible or the application is incomplete, the Agency will inform the
applicant in writing of the decision, reasons therefore, and any appeal
rights, and no further evaluation of the application will occur.
(c) Technical eligibility determination. The Agency's determination
of a project's technical eligibility will be based on the information
provided by the applicant and on other sources of information, such as
recognized industry experts in the applicable technology field, as
necessary, to determine technical eligibility of the proposed project.
[[Page 15716]]
(d) Evaluation criteria. Agency personnel will score and fund each
application based on the evaluation criteria specified in this section.
These criteria must be individually addressed in narrative form on a
separate sheet of paper.
(1) Quantity of energy replaced, produced, or saved. Points may
only be awarded for only one of the following three categories:
(i) Energy replacement. If the proposed renewable energy system is
intended primarily for self use by the agricultural producer or rural
small business and will provide energy replacement of greater than 0
but equal to or less than 25 percent, 5 points will be awarded; greater
than 25 percent, but equal to or less than 50 percent, 10 points will
be awarded; or greater than 50 percent, 15 points will be awarded. The
energy replacement should be determined by dividing the estimated
quantity of renewable energy to be generated over a 12-month period by
the estimated quantity of energy consumed over the same 12-month period
by applicable agricultural or rural small business process(es). The
estimated quantities of energy must be converted to either BTUs, Watts,
or similar energy equivalents to facilitate scoring. If the estimated
energy produced equals more the 150 percent of the energy requirements
of the applicable process(es), the project will be scored as an energy
generation project.
(ii) Energy savings. If the estimated energy expected to be saved
by the installation of the energy efficiency improvements will be 35
percent or greater, 15 points will be awarded; 30 and up to but not
including 35 percent, 10 points will be awarded; or 20 and up to but
not including 30 percent, 5 points will be awarded. Energy savings will
be determined by the projections in an energy assessment or audit.
Projects with total eligible project costs equal to or less than
$50,000 that opt to obtain a professional energy audit will be awarded
an additional 5 points.
(iii) Energy generation. If the proposed renewable energy system is
intended primarily for production of energy for sale, 10 points will be
awarded.
(2) Environmental benefits. Points may only be awarded in only one
of the following two categories.
(i) Health and Sanitary Standards: If the purpose of the proposed
system is to upgrade an existing facility or construct a new facility
required to exceed applicable health or sanitary standards where the
system is installed, environmental points will be awarded. Points will
only be awarded for this paragraph if documentation is provided that a
bona fide standard exists, what that standard is, that the proposed
project exceeds the standard, and by how much the standard is exceeded.
(A) If the purpose of the above system is to exceed applicable
standards by more than 5 percent, 2 points will be awarded.
(B) If the purpose of the above system is to exceed applicable
standards by more than 10 percent, 5 points will be awarded.
(ii) Environmental Goals. If the purpose of the proposed system
contributes to the environmental goals and objectives of other Federal,
State, or local programs, 5 points will be awarded. Points will only be
awarded for this paragraph if the applicant is able to provide
documentation from an appropriate authority supporting this claim.
(3) Commercial availability. If the proposed system or improvement
is currently commercially available and replicable, 5 points will be
awarded. If the proposed system or improvement is commercially
available and replicable and is also provided with a 5-year or longer
warranty providing the purchaser protection against system degradation
or breakdown or component breakdown, 10 points will be awarded.
(4) Technical Merit Score. Each subparagraph within this paragraph
will be scored according to the following: If the description has no
significant weaknesses and exceeds the requirements of the
subparagraph, 100 percent of the total possible score for the
subparagraph will be awarded. If the description has one or more
significant strengths, and meets the requirements of the subparagraph,
80 percent of the points will be awarded. If the description meets the
basic requirements of this paragraph but also has several weaknesses,
60 percent of the points will be awarded. If the description is lacking
in one or more critical aspects, key issues have not been addressed,
but the description demonstrates some merit or strengths, 40 percent of
the points will be awarded. If the description has serious
deficiencies, internal inconsistencies or is missing information, 20
percent of the points will be awarded. If the description has no merit
in this area, 0 percent of the points will be awarded.
The score for each subparagraph will be weighted as a percentage of
the total technical merit score of 35 points.
(i) Qualifications of the project team (10 percent of 35 points).
(ii) Agreements and Permits (5 percent of 35 points).
(iii) Energy or Resource Assessment (10 percent of 35 points).
(iv) Design and Engineering (30 percent of 35 points).
(v) Project Development Schedule (5 percent of 35 points).
(vi) Financial Feasibility (20 percent of 35 points).
(vii) Equipment Procurement (5 percent of 35 points).
(viii) Equipment Installation (5 percent of 35 points).
(ix) Operations and Maintenance (5 percent of 35 points).
(x) Decommissioning (5 percent of 35 points).
(5) Readiness. If the agricultural producer or rural small business
has written commitments from the source confirming commitment of 100
percent of the matching funds by the application deadline, 15 points
will be awarded. If the agricultural producer or small rural business
has written commitments from the source confirming commitment of 75
percent of the matching funds by the application deadline, 10 points
will be awarded. If the agricultural producer or small business has
written commitments from the source confirming commitment of 50 percent
of the matching funds by the application deadline, 5 points will be
awarded.
(6) Small agricultural producer/ Very Small Business. If the
applicant is an agricultural producer producing agricultural products
with a gross market value of less than $1 million in the preceding
year, 5 points will be awarded. If the applicant is an agricultural
producer producing agricultural products with a gross market value of
less than $600,000 in the preceding year, 10 points will be awarded. If
the applicant is an agricultural producer producing agricultural
products with a gross market value of less than $200,000 in the
preceding year or is a Very Small Business, 15 points will be awarded.
(7) Previous grantees and borrowers. If an applicant has not been
awarded a grant under this program within the previous 2 years 10
points will be awarded.
(8) Return on Investment. If the proposed project will return the
cost of the investment in less than 4 years, 5 points will be awarded;
4-7 years, 2 points will be awarded; or 8-11 years, 1 point will be
awarded.
Insurance Requirements
Insurance is required to protect the interest of the recipient of
funds under this notice and the Agency. The coverage must be maintained
for the life of the grant unless this requirement is
[[Page 15717]]
waived or modified by the Agency in writing. In addition:
(a) Worker compensation insurance is required in accordance with
State law;
(b) National flood insurance is required in accordance with 7 CFR
part 1806, subpart B; and
(c) Business interruption insurance will be required.
Laws That Contain Other Compliance Requirements
The applicant must comply with all applicable laws, regulations,
Executive Orders, and other generally applicable requirements,
including those contained in 7 CFR part 3015 and such other statutory
provision as are specifically contained herein.
(a) Equal employment opportunity. For all construction contracts
and grants in excess of $10,000, the contractor must comply with
Executive Order 11246 as amended by Executive Order 11375, and as
supplemented by applicable Department of Labor regulations (41 CFR part
60). The applicant and borrower are responsible for ensuring that the
contractor complies with these requirements.
(b) Civil rights compliance. Recipients of direct loans and grants
must comply with Title VI of the Civil Rights Act of 1964 and Section
504 of the Rehabilitation Act of 1973. This may include collection and
maintenance of data on the race, sex, and national origin on the
recipient's membership/ownership and employees. These data should be
available to conduct compliance reviews in accordance with 7 CFR part
1901, subpart E, section 1901.204. Initial reviews will be conducted
after Form RD 400-4, is signed and one post award compliance review
within 90 days after grant funds have been disbursed. The Agency should
be contacted to provide further guidance on collection of information
and compliance with Civil Rights laws.
(c) National Environmental Policy Act (NEPA). Each applicant must
prepare Form RD 1940-20. The State Rural Development Office will review
the information provided and advise the applicant of the specific and
necessary environmental review and analysis to be completed for
compliance with NEPA pursuant to 7 CFR part 1940, subpart G. A site
visit by the Agency will be scheduled, if necessary, to determine the
scope of the review. The applicant will be notified of all specific
compliance requirements, such as the publication of public notices. All
required environmental analysis and compliance will be completed prior
to grant obligation. The taking of any actions or incurring any
obligations during the time of application or application review and
processing that would either limit the range of alternatives to be
considered or that would have an adverse effect on the environment,
such as the initiation of construction, will result in project
ineligibility.
(d) Executive Order 12898. When grant and loans (direct or
guaranteed) are proposed, the Agency will conduct a Civil Rights Impact
Analysis in regard to environmental justice utilizing Form RD 2006-38,
``Civil Rights Impact Analysis Certification.'' This must be done prior
to loan approval, obligation of funds, including issuance of a Letter
of Conditions, whichever occurs first.
Construction Planning and Performing Development
The requirements of 7 CFR part 1924, subpart A, apply for
construction of renewable Energy Systems and Energy Efficiency
Improvement projects as applicable.
Recipients of grants are not authorized to construct the facility,
project, or improvement in total, or in part, or utilize their own
personnel and/or equipment.
The Agency intends to promulgate a final regulation implementing
the Section 9006 energy program later in FY 2005. If the Agency
promulgates such a final regulation, the applicant may, by written
notice to the Agency, elect to comply with the subsequent construction
planning and performing development requirements in such final
regulation in lieu of the requirements of 7 CFR part 1924, subpart A.
Grantee Requirements
(a) Letter of Conditions, which is prepared by the Agency,
establishes conditions that must be understood and agreed to by the
applicant before any obligation of funds can occur. The applicant must
sign Letter of Intent to Meet Conditions and Form 1940-1, ``Request for
Obligation of Funds,'' if they accept the conditions of the grant.
These forms will be enclosed with the Letter of Conditions. The grant
will be obligated when the Agency receives an executed Letter of Intent
and Request for Obligation of Funds from the applicant agreeing to all
provisions in the Letter of Conditions.
(b) The grantee must sign a Grant Agreement (which is published at
the end of the NOFA) and abide by all requirements contained in the
Grant Agreement or any other Federal statutes or regulations governing
this program. Failure to follow the requirements may result in
termination of the grant and adoption of other remedies provided for in
the Grant Agreement.
Servicing Grants
Grants will be serviced in accordance with 7 CFR part 1951, subpart
E and the Grant Agreement.
Dated: March 17, 2005.
Gilbert Gonzalez,
Acting Under Secretary, Rural Development.
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[[Page 15720]]
General Grantee Certifications
This GRANT AGREEMENT is a contract for receipt of grant funds
under the Renewable Energy/Energy Efficiency program (Title IX,
Section 9006 of Pub. L. 107-171) between the Grantee and the United
States of America acting through Rural Development, Department of
Agriculture (Grantor). All references herein to ``Project'' refer to
installation of a renewable energy system or energy efficiency
improvement at the location identified in Block 9. Should actual
project costs be lower than projected in the agreement (see Block
5), the final amount of grant will be adjusted to remain at the
percentage (identified in Block 7) of the final Eligible Project
Cost.
(1) Assurance Agreement
Grantee assures the Grantor that Grantee is in compliance with
and will comply in the course of the Agreement with all applicable
laws, regulations, Executive Orders, and other generally applicable
requirements, including those contained in 7 CFR part 3015,
``Uniform Federal Assistance Regulations,'' which are incorporated
into this agreement by reference, and such other statutory
provisions as are specifically contained herein.
Grantee and Grantor agree to all of the terms and provisions of
any policy or regulations promulgated under Title IX, Section 9006
of the Farm Security and Rural Investment Act of 2002 as amended.
Any application submitted by the Grantee for this grant, including
any attachments or amendments, are incorporated and included as part
of this Agreement. Any changes to these documents or this Agreement
must be approved in writing by the Grantor.
The Grantor may terminate the grant in whole, or in part, at any
time before the date of completion, whenever it is determined that
the Grantee has failed to comply with the conditions of this
Agreement.
(2) Use of Grant Funds
Grantee will use grant funds and leveraged funds only for the
purposes and activities specified in the application approved by the
Grantor including the approved budget. Budget and approved use of
funds are as further described in the Grantor Letter of Conditions
and amendments or supplements thereto. Any uses not provided for in
the approved budget must be approved in writing by the Grantor. The
proposed Renewable Energy System or Energy Efficiency Improvements
shall be constructed/installed in accordance with any energy audit
recommendations or engineering or other technical reports provided
by the Grantee and approved by the Grantor.
(3) Civil Rights Compliance
Grantee will comply with Executive Order 12898, Title VI of the
Civil Rights Act of 1964, and Section 504 of the Rehabilitation Act
of 1973. This shall include collection and maintenance of data on
the race, sex, disability, faith based (if applicable) and national
origin of Grantee's membership/ ownership and employees. This data
must be available to the Grantor in its conduct of Civil Rights
Compliance Reviews, which will be conducted prior to grant closing
and 3 years later, unless the final disbursement of grant funds has
occurred prior to that date.
(4) Financial Management Systems
A. Grantee will provide a Financial Management System in
accordance with 7 CFR part 3015, including but not limited to:
(1) Records that identify adequately the source and application
of funds for grant-supported activities. Those records shall contain
information pertaining to grant awards and authorizations,
obligations, unobligated balances, assets, liabilities, outlays, and
income;
(2) Effective control over and accountability for all funds,
property, and other assets. Grantees shall adequately safeguard all
such assets and ensure that they are used solely for authorized
purposes;
(3) Accounting records prepared in accordance with generally
accepted accounting principles (GAAP) and supported by source
documentation; and
(4) Grantee tracking of fund usage and records that show
matching funds and grant funds are used in equal proportions. The
grantee will provide verifiable documentation regarding matching
funds usage, i.e., bank statements or copies of funding obligations
from the matching source.
B. Grantee will retain financial records, supporting documents,
statistical records, and all other records pertinent to the grant
for a period of at least 3 years after final grant disbursement,
except that the records shall be retained beyond the 3-year period
if audit findings have not been resolved. The Grantor and the
Comptroller General of the United States, or any of their duly
authorized representatives, shall have access to any books,
documents, papers, and records of the Grantee which are pertinent to
the grant for the purpose of making audits, examinations, excerpts,
and transcripts.
(5) Procurement and Construction
A. Grantee will comply with the applicable procurement
requirements of 7 CFR part 3015 regarding standards of conduct, open
and free competition, access to contractor records, and equal
employment opportunity requirements.
B. Grantee will, for construction contracts in excess of
$100,000, provide performance and payment bonds for 100 percent of
the contract price.
(6) Acquired Property
A. Grantee will in accordance with 7 CFR part 3015, hold title
to all real property identified as part of the project costs,
including improvements to land, structures or things attached to
them. Movable machinery and other kinds of equipment are not real
property (see Item 2 below). In addition:
(1) Approval may be requested from Grantor to transfer title to
an eligible third party for continued use for originally authorized
purposes. If approval is given, the terms of the transfer shall
provide that the transferee must assume all the rights and
obligations of the transferor, including the terms of this Grant
Agreement; and
(2) If the real property is no longer to be used as provided
above, disposition instructions of the Grantor shall be requested
and followed. Those instructions will provide for one of the
following alternatives:
a. The Grantee may be directed to sell the property, and the
Grantor shall have a right to an amount computed by multiplying the
Federal (Grantor) share of the property times the proceeds from sale
(after deducting actual and reasonable selling and fix-up expenses,
if any, from the sale proceeds). Proper sales procedures shall be
followed which provide for competition to the extent practicable and
result in the highest possible return.
b. The Grantee shall have the opportunity of retaining title. If
title is retained, Grantor shall have the right to an amount
computed by multiplying the market value of the property by the
Federal share of the property.
c. The Grantee may be directed to transfer title to the property
to the Federal Government provided that, in such cases, the Grantee
shall be entitled to compensation computed by applying the Grantee's
percentage of participation in the cost of the program or project to
the current fair market value of the property.
Disposition requirements for real property shall expire 20 years
from the date of final grant disbursement. This Grant Agreement
covers the real property described in Block 10.
Grantee will abide by the requirements of 7 CFR part 3015
pertaining to equipment, which is acquired wholly or in part with
grant funds.
B. Disposition requirements for equipment will expire at the end
of each item's useful life (which is based on a straight-line, non-
accelerated method). This Grant Agreement covers the equipment
described in Block 11. Grantee agrees not to encumber, transfer, or
dispose of the property or any part thereof, acquired wholly or in
part with Grantor funds, without the written consent of the Grantor.
C. If required by Grantor, record liens or other appropriate
notices of record to indicate that personal or real property has
been acquired or improved with Federal grant funds, and that use and
disposition conditions apply to the property as provided by 7 CFR
part 3015.
(7) Reporting
A. Grantee will after grant approval through project
construction:
(1) Provide periodic reports as required by the Grantor. A
financial status report and a project performance report will be
required on a quarterly basis (due 30 working days after end of the
quarter. For the purposes of this grant, quarters end on March 31,
June 30, September 30, and December 31). The financial status report
must show how grant funds and leveraged funds have been used to date
and project the funds needed and their purposes for the next
quarter. A final report may serve as the last quarterly report.
Grantees shall constantly monitor performance to ensure that time
schedules are being met and projected goals by time periods are
being accomplished. The project performance reports shall include
the following:
[[Page 15721]]
a. A comparison of actual accomplishments to the objectives for
that period.
b. Reasons why established objectives were not met, if
applicable.
c. Reasons for any problems, delays, or adverse conditions which
will affect attainment of overall program objectives, prevent
meeting time schedules or objectives, or preclude the attainment of
particular objectives during established time periods. This
disclosure shall be accomplished by a statement of the action taken
or planned to resolve the situation.
d. Objectives and timetables established for the next reporting
period.
(2) Final project development report which includes a detailed
project funding and expense summary; summary of facility
installation/construction process including recommendations for
development of similar projects by future applicants to the program.
(3) For the year(s) in which grant funds are received, Grantee
will provide an annual financial statement to Grantor.
B. Grantee will after project construction:
1. Allow Grantor access to the project and its performance
information during its useful life; and
2. Provide periodic reports as required by Grantor and permit
periodic inspection of the project by a representative of the
Grantor. Grantee reports will include but not be limited to the
following:
a. Purchase of Renewable Energy System Project Report.
Commencing the first full calendar year following the year in which
project construction was completed and continuing for 3 full years,
a report detailing the following will be provided:
i. Quantity of Energy Produced. Grantee to report the actual
amount of energy produced in BTUs, kilowatt-hours, or similar energy
equivalents.
ii. Environmental Benefits. If applicable, Grantee to provide
documentation that identified health and/or sanitation problem has
been solved.
iii. Return on Investment. Grantee to provide the annual income
and/or energy savings of the renewable energy system.
iv. Summary of the cost of operating and maintaining the
facility.
v. Description of any maintenance or operational problems
associated with the facility.
vi. Recommendations for development of future similar projects.
b. Energy Efficiency Improvement Project Report. Commencing the
first full calendar year following the year in which project
construction was completed and continuing for 2 full years. Grantee
will report the actual amount of energy saved due to the energy
efficiency improvements.
(8) Grant Disbursement
Grantee will disburse grant funds as scheduled. Unless required
by funding partners to be provided on a pro rata basis with other
funding sources, grant funds will be disbursed after all other
funding sources have been expended.
A. Requests for reimbursement may be submitted monthly or more
frequently if authorized to do so by the Grantor. Ordinarily,
payment will be made within 30 days after receipt of a proper
request for reimbursement.
B. Grantee shall not request reimbursement for the Federal share
of amounts withheld from contractors to ensure satisfactory
completion of work until after it makes those payments.
C. Payment shall be made by electronic funds transfer.
D. Standard Form 271, ``Outlay Report and Request for
Reimbursement for Construction Programs,'' or other format
prescribed by Grantor shall be used to request Grant reimbursements.
E. For renewable energy projects, grant funds will be disbursed
in accordance with the above through 90 percent of grant
disbursement. The final 10 percent of grant funds will be held by
the Grantor until construction of the project is completed,
operational, and has met or exceeded the test run requirements as
set out in the grant award requirements.
(9) Post-Disbursement Requirements
Grantee will own, operate, and provide for continued maintenance
of the project.
In witness whereof, Grantee has this day authorized and caused
this Agreement to be signed in its name and its corporate seal to be
hereunto affixed and attested by its duly authorized officers
thereunto, and the Grantor has caused this Agreement to be duly
executed in its behalf by:
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United States of America Rural Development
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[FR Doc. 05-5793 Filed 3-25-05; 8:45 am]
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