7 USC 8107 - Rural Energy for America Program

View all text of Chapter 107 [§ 8101 - § 8115]

§ 8107. Rural Energy for America Program

(a) EstablishmentThe Secretary, in consultation with the Secretary of Energy, shall establish a Rural Energy for America Program to promote energy efficiency and renewable energy development for agricultural producers and rural small businesses through—

(1) grants for energy audits and renewable energy development assistance; and

(2) financial assistance for energy efficiency improvements and renewable energy systems.

(b) Energy audits and renewable energy development assistance

(1) In generalThe Secretary shall make competitive grants to eligible entities to provide assistance to agricultural producers and rural small businesses—

(A) to become more energy efficient; and

(B) to use renewable energy technologies and resources.

(2) Eligible entitiesAn eligible entity under this subsection is—

(A) a unit of State, tribal, or local government;

(B) a land-grant college or university or other institution of higher education;

(D) a council (as defined in section 3451 of title 16); and

(E) any other similar entity, as determined by the Secretary.

(3) Selection criteriaIn reviewing applications of eligible entities to receive grants under paragraph (1), the Secretary shall consider—

(A) the ability and expertise of the eligible entity in providing professional energy audits and renewable energy assessments;

(B) the geographic scope of the program proposed by the eligible entity in relation to the identified need;

(D) the potential of the proposed program to produce energy savings and environmental benefits;

(E) the plan of the eligible entity for performing outreach and providing information and assistance to agricultural producers and rural small businesses on the benefits of energy efficiency and renewable energy development; and

(F) the ability of the eligible entity to leverage other sources of funding.

(4) Use of grant fundsA recipient of a grant under paragraph (1) shall use the grant funds to assist agricultural producers and rural small businesses by—

(A) conducting and promoting energy audits; and

(B) providing recommendations and information on how—

(i) to improve the energy efficiency of the operations of the agricultural producers and rural small businesses; and

(ii) to use renewable energy technologies and resources in the operations.

(5) Limitation

(6) Cost sharing

(1) In general

(A) AssistanceIn addition to any similar authority, the Secretary shall provide—

(i) loan guarantees and grants to agricultural producers and rural small businesses—(I) to purchase renewable energy systems, including systems that may be used to produce and sell electricity; and(II) to make energy efficiency improvements; and

(ii) loan guarantees to agricultural producers to purchase and install energy efficient equipment or systems for agricultural production or processing that exceed—(I) energy efficiency building codes, if applicable;(II) Federal or State energy efficiency standards, if applicable; and(III) other energy efficiency standards determined appropriate by the Secretary.

(B) LimitationsWith respect to loan guarantees under subparagraph (A)(ii)—

(i) if no codes or standards described in such subparagraph apply to the energy efficient equipment or system to be purchased or installed pursuant to such subparagraph, the Secretary shall require, to the maximum extent practicable, such equipment or system to meet the same efficiency measurements as the most efficient available equipment or system in the market; and

(ii) the Secretary shall not provide such a loan guarantee for the purchase or installation of any energy efficient equipment or system unless more than one type of such equipment or system is available in the market.

(2) Award considerationsIn determining the amount of a loan guarantee or grant provided under this section, the Secretary shall take into consideration, as applicable—

(A) the type of renewable energy system to be purchased;

(B) the estimated quantity of energy to be generated by the renewable energy system;

(D) the quantity of energy savings expected to be derived from the activity, as demonstrated by an energy audit;

(E) the estimated period of time for the energy savings generated by the activity to equal the cost of the activity;

(F) the expected energy efficiency of the renewable energy system; and

(G) other appropriate factors.

(3) Limits

(A) Grants

(B) Maximum amount of loan guarantees

(D) Loan guarantees for energy efficient equipment to agricultural producers

(4) Tiered application process

(A) In general

(B) Tier 1

(D) Tier 3

(E) Application process

(d) Outreach

(e) Lower-cost activities

(1) Limitation on use of funds

(2) Exception

(f) Funding

(1) Mandatory fundingOf the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section, to remain available until expended—

(A) $55,000,000 for fiscal year 2009;

(B) $60,000,000 for fiscal year 2010;

(D) $70,000,000 for fiscal year 2012; and

(E) $50,000,000 for fiscal year 2014 and each fiscal year thereafter.

(2) Audit and technical assistance funding

(A) In general

(B) Other use

(3) Discretionary funding

(Pub. L. 107–171, title IX, § 9007, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1315, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2077; amended Pub. L. 112–240, title VII, § 701(f)(6), Jan. 2, 2013, 126 Stat. 2365; Pub. L. 113–79, title IX, § 9007, Feb. 7, 2014, 128 Stat. 930; Pub. L. 115–334, title IX, § 9007, Dec. 20, 2018, 132 Stat. 4886.)