83 FR 17522 - Notice of Solicitation of Applications for the Repowering Assistance Program

DEPARTMENT OF AGRICULTURE
Rural Business-Cooperative Service

Federal Register Volume 83, Issue 77 (April 20, 2018)

This Notice announces the solicitation of applications for up to $5 Million of available funding under the Repowering Assistance Program to encourage the use of renewable biomass as a replacement fuel source for fossil fuels used to provide process heat or power in the operation of eligible biorefineries. To be eligible for payments, biorefineries must have been in existence on or before June 18, 2008.

[Federal Register Volume 83, Number 77 (Friday, April 20, 2018)]
[Notices]
[Pages 17522-17524]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-08298]


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DEPARTMENT OF AGRICULTURE

Rural Business-Cooperative Service


Notice of Solicitation of Applications for the Repowering 
Assistance Program

AGENCY: Rural Business-Cooperative Service, USDA.

ACTION: Notice.

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SUMMARY: This Notice announces the solicitation of applications for up 
to $5 Million of available funding under the Repowering Assistance 
Program to encourage the use of renewable biomass as a replacement fuel 
source for fossil fuels used to provide process heat or power in the 
operation of eligible biorefineries. To be eligible for payments, 
biorefineries must have been in existence on or before June 18, 2008.

DATES: Applications will be accepted from April 20, 2018 through July 
19, 2018. Applications received after July 19, 2018, regardless of 
their postmark, will not receive consideration. If the actual deadline 
falls on a weekend or a federally-observed holiday, the deadline is the 
next Federal business day.

ADDRESSES: Applications and forms may be obtained from:
     USDA, Rural Business-Cooperative Service, Energy Division, 
Attention: Repowering Assistance Program, 1400 Independence Avenue SW, 
STOP 3225, Washington, DC 20250-3225.
     Agency website: http://forms.sc.egov.usda.gov/eForms. 
Follow instructions for obtaining the application and forms. 
Application materials can also be obtained from the Agency's website. 
http://www.rd.usda.gov/programs-services/repowering-assistance-program.

FOR FURTHER INFORMATION CONTACT: For further information on this 
payment program, please contact Fred Petok, USDA, Rural Business-
Cooperative Service, Energy Division, 1400 Independence Avenue SW, Room 
6870, STOP 3225, Washington, DC 20250-3225. Telephone: 202-690-0784. 
Email: [email protected].

SUPPLEMENTARY INFORMATION:

Preface

    The Agency encourages applications that will support 
recommendations made in the Rural Prosperity Task Force report to help 
improve life in rural America (www.usda.gov/ruralprosperity). 
Applicants are encouraged to consider projects that provide measurable 
results in helping rural communities build robust and sustainable 
economies through strategic investments in infrastructure,

[[Page 17523]]

partnerships, and innovation. Key strategies include:

 Achieving e-Connectivity for Rural America
 Developing the Rural Economy
 Harnessing Technological Innovation
 Supporting a Rural Workforce
 Improving Quality of Life

Paperwork Reduction Act

    In accordance with the Paperwork Reduction Act of 1995, the 
information collection requirements associated with the Section 9004 
Repowering Assistance Program, as covered in this Notice, have been 
approved by the Office of Management and Budget (OMB) under OMB Control 
Number 0570-0066.

Overview

    Federal Agency Name: Rural Business-Cooperative Service (an agency 
of the United States Department of Agriculture (USDA) in the Rural 
Development mission area).
    Payment Proposal Title: Repowering Assistance Program.
    Announcement Type: Notice of Solicitation of Applications.
    Catalog of Federal Domestic Assistance (CFDA) Number. The CFDA 
number for this Notice is 10.866.
    Dates: To receive funding consideration, applications must be 
received in the USDA Rural Business-Cooperative Service, Energy 
Division no later than 4:30 p.m. Eastern Daylight Time on July 19, 
2018. Any application received after 4:30 p.m. Eastern Daylight Time on 
July 19, 2018, will not compete for funds announced in this Notice.
    Availability of Notice and Rule. This Notice and the interim rule 
for the Repowering Assistance Program are available on the USDA Rural 
Development website at http://www.rd.usda.gov/programs-services/repowering-assistance-program and at http://www.rd.usda.gov/newsroom.

I. Funding Opportunity Description

    A. Purpose of the Program. The purpose of this program is to 
provide financial incentives to biorefineries in existence on or before 
June 18, 2008 (the date of the enactment of the Food, Conservation, and 
Energy Act of 2008 (the 2008 Farm Bill, Pub. L. 110-234) to replace the 
use of fossil fuels used to produce heat or power at their facilities 
by installing new systems that use renewable biomass, or to produce new 
energy from renewable biomass.
    B. Statutory Authority. This Program is authorized under 7 U.S.C. 
8104. Regulations are contained in 7 CFR part 4288, subpart A.
    C. Definition of Terms. The definitions applicable to this Notice 
are published at 7 CFR 4288.2.
    D. Application Awards. The Agency will review, evaluate, and award 
applications received in response to this Notice based on the 
provisions found in 7 CFR part 4288, subpart A.

II. Award Information

    A. Available Funds. The Agency is authorizing up to $5 million for 
this program in FY 2018.
    B. Number of Payments. The number of payments will depend on the 
number of participating biorefineries.
    C. Amount of Payments. The Agency will determine the amount of 
payments to be made to a biorefinery in accordance with its regulations 
at 7 CFR part 4288, subpart A, which take into consideration the 
percentage reduction in fossil fuel used by the biorefinery (including 
the quantity of fossil fuels a renewable biomass system is replacing) 
and the cost and cost-effectiveness of the renewable biomass system.
    D. Payment Limitations. There is no minimum payment amount that an 
individual biorefinery can receive. The maximum amount an individual 
biorefinery can receive under this Notice is 50 percent of total 
eligible project costs up to a maximum of $2 million.
    E. Project Costs. Eligible project costs, in accordance with 7 CFR 
4288.11, will be only for project related construction costs for 
repowering improvements associated with the equipment, installation, 
engineering, design, site plans, associated professional fees, permits 
and financing fees. Any project costs incurred by the applicant prior 
to application for payment assistance under this Notice will be 
ineligible for payment assistance.
    F. Type of Instrument. Payment agreement.

III. Eligibility Information

    A. Eligible Applicants. Applicant eligibility requirements are 
found in 7 CFR 4288.10. Among other things, to be eligible for this 
program, an applicant must be a biorefinery that has been in existence 
on or before June 18, 2008, and will utilize renewable biomass to 
replace fossil fuel for repowering the biorefinery.
    B. Ineligible Projects. In accordance with 7 CFR 4288.10(b), a 
project is not eligible under this Notice if it is using feedstocks for 
repowering that are feed grain commodities that received benefits under 
Title I of the Food, Conservation, and Energy Act of 2008. Similarly, 
in accordance with 7 CFR 4288.10(a)(3) and 7 CFR 4288.10(a)(4) projects 
that do not score the minimum 5 points for cost-effectiveness and 
percentage of reduction of fossil fuel used, as outlined in 7 CFR 
4288.21(b) will be deemed ineligible.

IV. Multiple Submissions

    In accordance with 7 CFR 4288.10(a)(2), Corporations and entities 
with more than one biorefinery can submit an application for only one 
of their biorefineries. However, if a corporation or entity has 
multiple biorefineries located at the same location, the entity may 
submit an application that covers such biorefineries provided the heat 
and power used in the multiple biorefineries are centrally produced.

V. Scoring Advice

    A. Cost Effectiveness. To be eligible and meet the minimum scoring 
criteria, the project must have a simple payback period of no more than 
10 years (i.e., must be awarded at least five points for cost-
effectiveness under 7 CFR 4288.21(b)(1)).
    B. Percentage of Reduction of Fossil Fuel Used. To be eligible and 
meet the minimum scoring criteria, the applicant must demonstrate that 
the repowering project has an anticipated annual reduction in fossil 
fuel use of at least 40 percent (i.e., the application must be awarded 
at least five points for percentage of reduction of fossil fuel used 
under 7 CFR 4288.21(b)(2)).

VI. Project Financing

    The applicant must demonstrate that it has sufficient funds or has 
obtained commitments for sufficient funds to complete the repowering 
project, taking into account the amount of the payment request in the 
application.

VII. Application and Submission Information

    A. To Request Applications. Application forms are available from 
the USDA Rural Development State Office, State Energy Coordinator, and 
the Agency website found at http://forms.sc.egov.usda.gov. Follow 
instructions on the Agency website for obtaining the application and 
forms. http://www.rd.usda.gov/programs-services/repowering-assistance-program.
    B. Content and Form of Submission. Applicants must submit a signed 
original and one copy of an application containing all the information 
specified in 7 CFR 4288.20(b) and (c).
    C. Submission Dates and Times. Applications to participate in this 
program must be submitted between April 20, 2018 and July 19, 2018. 
Applications received after 4:30 p.m. Eastern Daylight Time July 19, 
2018, regardless of their postmark, will not be

[[Page 17524]]

considered by the Agency for funding consideration.
    D. Submission Instructions. Two copies of the application materials 
should be submitted to: USDA Rural Business-Cooperative Service, Energy 
Division, Attention: Repowering Assistance Program, 1400 Independence 
Avenue SW, Room 6901, STOP 3225, Washington, DC 20250-3225.
    E. Payment Provisions. Payments will be made according to the 
provisions specified in 7 CFR 4288.13(b) and (c) and in 7 CFR 4288.24.

VIII. Application Review and Selection Information

    The Agency will evaluate projects based on the cost, cost-
effectiveness, and capacity of projects to reduce fossil fuels used.
    A. Review. The Agency will review applications submitted under this 
Notice in accordance with 7 CFR 4288.21(a).
    B. Scoring. The Agency will score applications submitted under this 
Notice in accordance with 7 CFR 4288.21(b).
    C. Ranking and Selecting Applications. The Agency will consider the 
score an application has received compared to the scores of other 
applications, with higher scoring applications receiving first 
consideration for payments. Using the application scoring criteria 
point values specified in 7 CFR 4288.21, the Agency will select 
applications for payments.
    D. Availability of Funds. As applications are funded, if 
insufficient funds remain to pay the next highest scoring application, 
the Agency may elect to pay a lower scoring application. Before this 
occurs, the Agency will provide the applicant of the higher scoring 
application the opportunity to reduce the amount of its payment request 
to the amount of funds available. If the applicant agrees to lower its 
payment request, it must certify that the purposes of the project can 
be met, and the Agency must determine the project is feasible at the 
lower amount.

IX. Administration Information

    A. Notice of Eligibility. The provisions of 7 CFR 4288.23 apply to 
this Notice. These provisions include notifying an applicant determined 
to be eligible for participation and notifying an applicant determined 
to be ineligible, including their application score and ranking and the 
score necessary to qualify for payments.
    B. Administrative and National Policy Requirements.
    (1) Review or Appeal Rights. A person may seek a review of an 
Agency adverse decision or appeal to the National Appeals Division as 
provided in 7 CFR 4288.3.
    (2) Compliance with Other Laws and Regulations. The provisions of 7 
CFR 4288.4 apply to this Notice, which includes requiring participating 
biorefineries to be in compliance with other applicable Federal, State, 
and local laws.
    (3) Oversight and Monitoring. The provisions of 7 CFR 4288.5(a) and 
(b) apply to this Notice, which includes the right of the Agency to 
verify all payment applications and subsequent payments and the 
requirement that each biorefinery must make available, at one place at 
all reasonable times for examination by the Agency, all books, 
documents, papers, receipts, payroll records, and bills of sale 
adequate to identify the purposes for which, and the manner in which, 
funds were expended for all eligible project costs for a period of not 
less than 3 years from the final payment date.
    (4) Reporting. Upon completion of the repowering project funded 
under this Notice, the biorefinery must submit a report, in accordance 
with 7 CFR 4288.5(c), to the Agency annually for the first 3 years 
after completion of the project. The reports are to be submitted as of 
October 1 of each year.
    (5) Exception Authority. The provisions of 7 CFR 4288.7 apply to 
this Notice.
    (6) Succession and Control of Facilities and Production. The 
provisions of 7 CFR 4288.25 apply to this Notice.
    C. Environmental Review. All recipients under this Notice are 
subject to the requirements of 7 CFR part 1970 or successor regulation.

X. Agency Contacts

    For further information about this Notice, please contact Fred 
Petok, USDA, Rural Business--Cooperative Service, Energy Division, 1400 
Independence Avenue SW, Room 6870, STOP 3225, Washington, DC 20250-
3225. Telephone: 202-690-0784. Email: [email protected].

XI. Nondiscrimination Statement

    In accordance with Federal civil rights law and U.S. Department of 
Agriculture (USDA) civil rights regulations and policies, the USDA, its 
Agencies, offices, and employees, and institutions participating in or 
administering USDA programs are prohibited from discriminating based on 
race, color, national origin, religion, sex, gender identity (including 
gender expression), sexual orientation, disability, age, marital 
status, family/parental status, income derived from a public assistance 
program, political beliefs, or reprisal or retaliation for prior civil 
rights activity, in any program or activity conducted or funded by USDA 
(not all bases apply to all programs). Remedies and complaint filing 
deadlines vary by program or incident.
    Persons with disabilities who require alternative means of 
communication for program information (e.g., Braille, large print, 
audiotape, American Sign Language, etc.) should contact the responsible 
Agency or USDA's TARGET Center at (202) 720-2600 (voice and TTY) or 
contact USDA through the Federal Relay Service at (800) 877-8339. 
Additionally, program information may be made available in languages 
other than English.
    To file a program discrimination complaint, complete the USDA 
Program Discrimination Complaint Form, AD-3027, found online at http://www.ascr.usda.gov/complaint_filing_cust.html and at any USDA office or 
write a letter addressed to USDA and provide in the letter all of the 
information requested in the form. To request a copy of the complaint 
form, call (866) 632-9992. Submit your completed form or letter to USDA 
by:
    (1) Mail: U.S. Department of Agriculture, Office of the Assistant 
Secretary for Civil Rights, 1400 Independence Avenue SW, Washington, DC 
20250-9410;
    (2) Fax: (202) 690-7442; or
    (3) Email: [email protected].
    USDA is an equal opportunity provider, employer, and lender.

    Dated: April 16, 2018.
Bette B. Brand,
Administrator, Rural Business-Cooperative Service.
[FR Doc. 2018-08298 Filed 4-19-18; 8:45 am]
 BILLING CODE 3410-XY-P