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Rural Energy for America Program  (REAP) 

Description:

Section 9007 of the 2008 Farm Bill established a grant, loan, and loan guarantee program to assist eligible farmers, ranchers, and rural small businesses in purchasing renewable energy systems and for making energy efficiency improvements.

Eligible projects include those that derive energy from a wind, solar, biomass, or geothermal source, or hydrogen derived from biomass or water using wind, solar, or geothermal energy sources. Awards will be made on a competitive basis for the purchase of renewable energy systems and to make energy improvements

Energy Efficiency improvements could include replacing diesel irrigation motors, upgrading poultry houses, or retrofitting tobacco barns with new burners.  Installing more installation, new HVAC systems or more efficient windows for rural small businesses can also be eligible for grant funds.

Grant Purposes:

Grant funds must be used to finance and develop small and emerging private business enterprises in rural areas. The following 
is a list of some of the eligible purposes: 

Guarantee Loan Program

If you are interested in our REAP Guaranteed Loan Program, please go to this page for more information.

What Can You Not Do With These Funds?

Grant funds cannot be used to: Who Is Eligible?

These grants can be made to farmers, ranchers, and rural small businesses.  Farmers or ranchers must receive more than 50% of their annual income from their farming operation.  Rural Small businesses must be the SBA definition of a small business.  To see if you qualify as a small business, please go to the SBA web site at http://www.sba.gov/services/contractingopportunities/sizestandardstopics/summarywhatis/index.html.  
The following table is a summary of the SBA definition of a small business:

Industry Group

Size Standard

Manufacturing 500 employees
Wholesale Trade 100 employees
Agriculture $750,000
Retail Trade $6.5 million
General & Heavy Construction (except Dredging) $31 million
Dredging $18.5 million
Special Trade Contractors $13 million
Travel Agencies $3.5 million (commissions & other income)
Business and Personal Services Except: $6.5 million
  • Architectural, Engineering, Surveying, and Mapping Services
 $4.5 million
  • Dry Cleaning and Carpet Cleaning Services
 $4.5 million

Your business may have different standards, so it is suggested that you check the SBA site for your specific business type based on your NAICS code.  You can find your NAICS code at this site, http://www.naics.com/search.htm

Other Criteria:

FY 2009 Allocation

The application deadline for loans or loan and grant combinations is July 31, 2009.  In FY '09, the mandatory funding as specified in the new Farm Bill is $55,000,000.  Applications for the grant program are now being accepted for the 2009 program.

Loan applications will be accepted and processed when the completed application is received in the Georgia State Office.

Go to the USDA Energy Home Page for more information by clicking here.

UPDATE:

In 2008, Georgia received 44 grants totaling more than $1.3 million.  For a list of these recipients, please go to this page.

Loan and Grant Amounts:

Grants for Renewable Energy Systems have a maximum limit of $500,000 and a minimum of $2,500.  Grants for Energy Efficiency Improvements have a maximum of $250,000 and a minimum of $1,500.  The maximum loan is $10,000,000 or 50% of project costs, whichever is less.

Where Do You Apply?

Individuals may contact the Renewable Energy Coordinator at 770-267-1413 ext. 113 or 404-229-5720 (cell). To obtain additional information and/or to request an application, please click here.  Applications or information requests should be mailed to:

Craig Scroggs
USDA Rural Development
111 E. Spring St.
Monroe, GA  30655

To obtain application information for your specific type of project, please contact our Renewable Energy Coordinator, Craig Scroggs, at 770-267-1413 ext. 113, craig.scroggs@ga.usda.gov or Al Burns, 229-382-0273 or al.burns@ga.usda.gov


General Information:

2009 Energy Fact Sheet

Renewable Energy and Energy Efficiency Pamphlet

To go to the USDA National Energy web site and get other forms, please go here.

 

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Please send any comments or suggestions to:   craig.scroggs@ga.usda.gov

Last Updated : June 01, 2009