80 FR 61336 10-13-2015.pdf

61336 Federal Register / Vol. 80, No. 197 / Tuesday, October 13, 2015 / Notices operations with production and sales of at least $10,000 of floriculture products.

Data collected from the survey will assess alternative agriculture opportunities, and provide statistics for Federal and State agencies to monitor the use of agricultural chemicals. If the information is not collected data users could not keep abreast of changes.

Description of Respondents: Farms;

Business or other-for-profit.

Number of Respondents: 8,218.

Frequency of Responses: Reporting:

Annually.

Total Burden Hours: 4,950.

National Agricultural Statistics Service Title: Mink Survey.

OMB Control Number: 0535–0212.

Summary of Collection: The primary function of the National Agricultural Statistics Service (NASS) is to prepare and issue current official State and national estimates of crop and livestock production. The mink program consists of two surveys: an annual census of all known mink producers in the 50 states (the Mink Survey) and an annual survey of two prominent mink pelt auction houses (the Mink Price Survey).

Statistics on mink production are published for the 13 major states that account for nearly 100 percent of the total U.S. pelt production. There is no other source for this type of information.

General authority for these data collection activities is granted under U.S. Code Title 7, Section 2204.

Need and Use of the Information:

NASS collects information on mink pelts produced by color, number of females bred to produce kits the following year, number of mink farms, average marketing price, and the value of pelts produced. The data is disseminated by NASS in the Mink Report and is used by the U.S.

government and other groups.

Description of Respondents: Farms.

Number of Respondents: 352.

Frequency of Responses: Reporting:

Annually.

Total Burden Hours: 89.

Charlene Parker, Departmental Information Collection Clearance Officer.

[FR Doc. 2015–25851 Filed 10–9–15; 8:45 am]

BILLING CODE 3410–20–P

DEPARTMENT OF AGRICULTURE

Rural Utilities Service

Announcement of Grant Application Deadlines and Funding Levels for the Assistance to High Energy Cost Rural Communities Grant Program

AGENCY: Rural Utilities Service, USDA.

ACTION: Notice of Solicitation of Applications (NOSA).

SUMMARY: The Rural Utilities Service (RUS), an agency of the United States Department of Agriculture (USDA), announces the availability of up to $10 million in fiscal year 2015 (FY15) and application deadlines for competitive grants to assist communities with extremely high energy costs. These grants are made available under the authority of section 19 of the Rural Electrification Act, of 1936 as amended (7 U.S.C. 918a) and program regulations at 7 CFR part 1709. Eligibility is limited to communities with average annual residential energy costs exceeding 275 percent of the national average. Grant funds may be used to acquire, construct, extend, upgrade, or otherwise improve energy generation, transmission, or distribution facilities serving eligible communities. Grants may also be used for programs that install on-grid and off-grid renewable energy systems and energy efficiency improvements in eligible communities. This notice describes the eligibility and application requirements, the criteria that will be used by RUS to award funding, and how to obtain application materials.

DATES: You may submit completed grant applications on paper or electronically according to the following deadlines:

• Paper applications must be postmarked and mailed, shipped, or sent overnight, no later than December 14, 2015, or hand delivered to RUS by this deadline, to be eligible under this NOSA. Late or incomplete applications will not be eligible for FY 2015 grant funding.

• Electronic applications must be submitted through Grants.gov no later than midnight December 14, 2015, to be eligible under this notice for FY 2015 grant funding. Late or incomplete electronic applications will not be eligible.

• Applications will not be accepted by electronic mail.

Applications will be accepted upon publication of this notice until midnight (EST) of the closing date of December 14, 2015. If the submission deadline falls on Saturday, Sunday, or a Federal holiday, the application is due the next business day.

ADDRESSES: Copies of the 2015 Application Guide, required forms and other information on the High Energy Cost Grant Program may be obtained by the following:

(1) The program Web site (http:// www.rd.usda.gov/programs-services/ high-energy-cost-grants) or

(2) Grants.gov (http://www.grants.gov) by searching under Opportunity Number RD– RUS–HECG15; or

(3) Contacting the RUS Electric Programs at (202) 720–9545 to request paper copies of the Application Guides or other materials.

Completed applications may be submitted in the following ways:

• Paper applications are to be submitted to the Rural Utilities Service, Electric Programs, United States Department of Agriculture, 1400 Independence Avenue SW., STOP 1560, Room 5165 South Building, Washington, DC 20250–1560.

Applications should be marked ‘‘Attention: High Energy Cost Grant Program.’’

• Applications may be submitted electronically through Grants.gov.

Information on how to submit applications electronically is available on the Grants.gov Web site (http:// www.grants.gov). Applicants must successfully pre-register with Grants.gov to use the electronic applications option. Application information may be downloaded from Grants.gov without preregistration.

FOR FURTHER INFORMATION CONTACT:

Robin Meigel, Finance Specialist, Rural Utilities Service, Electric Program, Office of Portfolio Management and Risk Assessment, U.S. Department of Agriculture, 1400 Independence Avenue SW., STOP 1568, Room 1274–S, Washington, DC 20250–1568.

Telephone (202) 720–9452, Fax (202) 720–1401, email: Robin.Meigel@ wdc.usda.gov.

SUPPLEMENTARY INFORMATION:

Contents of This Notice

A. Program Description B. Federal Award Information C. Eligibility Information

1. Eligible Applicants

i. Applicants

ii. Substantially Underserved Trust Area

Applicants

2. Cost Sharing and Matching

3. Other

i. Eligible Communities

a. High Energy Cost Benchmarks

(1) Extremely High Average Annual

Household Expenditure for Home Energy

(2) Extremely High Average per Unit

Energy Costs

(3) Supporting Energy Cost Data

(4) Use of Estimated Home Energy Costs

b. SUTA Eligible Communities

ii. Eligible Projects

iii. Limitations on Grant Awards

a. Statutory Limitation on Planning and

Administrative Expenses

b. Maximum and Minimum Awards

c. Multiple Applications

d. Ineligible Grant Purposes for High

Energy Cost Grants

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61337 Federal Register / Vol. 80, No. 197 / Tuesday, October 13, 2015 / Notices

e. Pre-Award Activities During Environmental Review

D. Application and Submission Information

1. Address To Request Application Package

2. Content and Form of Application

Submission

i. Pre-Application

ii. The Application as a Whole

iii. Component Pieces of the Application

a. Part A. Completed Form SF–424, ‘‘Application for Federal Assistance’’

b. Part B. Project Summary and Eligibility

Statement

(1) Applicant Eligibility

(2) Community Eligibility

(3) Project Eligibility

(4) Priority Considerations

(5) Contact Information

c. Part C. Project Narrative Proposal

(1) Table of Contents

(2) Executive Summary

(3) Project Description

(a) Community Eligibility and Assessment of Community Needs

(b) Project Design, Technical Feasibility and Responsiveness to Community Needs

(c) Applicant Organization and Eligibility

(d) Project Management Plan

(e) Organizational Experience

(f) Key Staff Experience

(g) Project Goals, Objectives and

Performance Measures

(h) Project Reporting Plan

(i) Project Budget and Financial Capability

(j) Rural Economic Development Initiatives

(k) Priority Considerations

d. Part D. Additional Required Forms and

Certifications

e. Part E. Supplementary Materials

f. SUTA Application Package Contents

g. Application Requirements for

Applicants Requesting Reconsideration of an Application Submitted in 2014

h. Number of Copies of Submitted Applications

iv. Information That Successful Applicants Must Submit After Notification of Intent To Make a Federal Award

3. Unique Entity Identifier and System for Award Management (SAM)

4. Submission Dates and Times

5. Intergovernmental Review

6. Funding Restrictions

7. Other Submission Requirements

i. Submission of Paper Application

Packages

ii. Electronic Submission of Application

Packages E. Application Review Information

1. Criteria

i. Project Design and Technical Merit

Criteria

a. Assessment of Community Needs

b. Project Design, Technical Feasibility and

Responsiveness to Community Needs

c. Management Plan

d. Organizational Experience

e. Key Staff Experience

f. Project Goals, Objectives and

Performance Measures

g. Project Reporting Plan

h. Project Budget, Financial Feasibility and

Matching Contributions

i. State, Local, or Tribal Rural Development

Initiatives

ii. Priority Considerations

a. High Poverty Areas

b. Rurality

(1) Applications From the Fifty States, and

Puerto Rico

(2) Applications From the Virgin Islands and Pacific Insular Areas

c. Renewable Energy Projects

d. Extraordinary Conditions or

Circumstances

(1) Disaster

(2) Unserved Energy Needs

(3) Imminent Hazard

(4) Extreme Economic Hardship

e. Substantially Underserved Trust Areas

iii. Cost Sharing (Separate Section)

2. Review and Selection Process

i. Determining Eligibility

ii. Evaluation and Scoring of Eligible

Applications

iii. Review and Selection of Applications

3. Notice to Applicants for Certain Grant

Awards

4. Anticipated Announcement and Federal

Award Dates

5. Appeals

F. Federal Award Administration

1. Federal Award Notices

2. Administrative and National Policy

Requirements

i. Environmental Review and Restriction on Certain Activities

ii. Other Federal Requirements

3. Reporting

G. Federal Awarding Agency Contact H. Other Information

1. Disclosure of Information

2. Civil Rights

Overview Federal Agency Name: United States

Department of Agriculture (USDA), Rural Utilities Service.

Funding Opportunity Title: Assistance to High Energy Cost Rural Communities Program.

Announcement Type: Initial announcement.

Funding Opportunity Number: RD–

RUS–HECG15.

Catalog of Federal Domestic Assistance (CFDA) Number: 10.859. The CFDA title for this program is ‘‘Assistance to High Energy Cost Rural Communities.’’

Dates: Applications must be postmarked and mailed or shipped, or hand delivered to the RUS, or filed with Grants.gov by December 14, 2015.

A. Program Description The USDA through the Rural Utilities

Service (RUS) provides grant assistance for energy facilities, including renewable energy systems and energy efficiency improvements, serving extremely high energy cost communities. This program is authorized by section 19 of the Rural Electrification Act of 1936, as amended (the ‘‘RE Act’’) (7 U.S.C. 918a). Program regulations are found at 7 CFR part 1709.

This program was established in 2000 to provide assistance for communities most challenged by extremely high energy costs, defined by statute as average annual residential home energy expenditures that are 275 percent or more of the national average. RUS periodically establishes eligibility benchmarks using the most recent home energy data published by the Energy Information Administration. This notice contains the latest updates to these benchmarks. The benchmarks create a high threshold for community eligibility, but small rural communities from all regions of the United States and qualified insular areas have demonstrated eligibility under prior notices.

The purpose of this program is to provide financial assistance for a broad range of energy facilities, equipment and related activities to offset the impacts of extremely high home energy costs on eligible communities. The grants help communities provide basic energy needs. Grant funds may not be used to pay utility bills or to purchase fuel. No funding is available for education and outreach efforts except those associated with project-funded energy facilities, or upgrades. Grant projects under this program must provide community benefits and not be for the primary benefit of an individual applicant, household, or business.

With publication of this notice, USDA is making available up to $10 million in new competitive grants awards under the High Energy Cost Grant Program.

This notice describes eligibility and application requirements for these grants. Grants will be awarded competitively based on the selection criteria in Part E of this notice.

Applicants should carefully read this notice and the 2015 Application Guide which contains more detailed information and resources. Applicants must prepare their application packages according to the instructions contained in these documents. The Application Guide is available electronically on the program Web site at http:// www.rd.usda.gov/programs-services/ high-energy-cost-grants or through Grants.gov, or by request from the Agency contact for further information listed above.

Applicants are advised that the application requirements in this notice and the 2015 Application Guide have been substantially revised from those in the 2014 Notice of Funding Availability published June 2, 2014 and 2014 Application Guide. These changes are in response to new uniform guidance on the content of grant opportunity

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61338 Federal Register / Vol. 80, No. 197 / Tuesday, October 13, 2015 / Notices announcements in 2 CFR part 200, Appendix I.

Reconsideration of 2014 Applications.

As provided in program regulations at 7 CFR 1709.122, the Administrator has determined to allow eligible applicants under the 2014 notice that were not selected for an award to be considered under this 2015 announcement by submitting a letter requesting reconsideration and along with any supplemental information, a new signed Form SF–424 (‘‘Application for Federal Assistance’’) and a signed Form AD– 3030 (‘‘Representations Regarding Felony Conviction and Tax Delinquent Status for Corporate Applicants’’). All requests must be submitted in paper format and mailed, shipped, or hand delivered to the addresses shown in section D.7 by the closing date. The reconsidered applications will be scored as provided in this notice. Additional information and application instructions for reconsideration are set out in section D.2.iii.f of this notice.

Substantially Underserved Trust Areas (SUTA). This program is subject to the provisions for Substantially Underserved Trust Areas of 7 U.S.C.

936f and regulations at 7 CFR part 1700, subpart D. This notice provides an additional five points in scoring for applications from eligible underserved trust areas that have been accepted for special consideration by the Administrator. Applicants must submit a timely, complete, and eligible application under this notice and a separate letter and supporting material requesting consideration under SUTA provisions.

Priorities. Under the authority of 7 CFRs 1709.102(b) and 1709.123, this notice establishes several priority scoring criteria to support USDA and RUS policy objectives. Additional points will be awarded for:

• Projects that provide assistance to USDA High Poverty Areas;

• Projects that serve small rural communities;

• Projects that support deployment of renewable energy technologies;

• Projects that address extraordinary circumstances affecting the eligible high energy cost community such as a disaster, imminent hazard, unserved areas, and other economic hardship, and

• Projects that serve Substantially Underserved Trust Areas.

More information is available in section E of this notice.

B. Federal Award Information The RUS Administrator has established the application and selection requirements under this notice pursuant to and consistent with program regulations at 7 CFR part 1709, the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards at 2 CFR part 200, and 2 CFR part 400 which adopts the Uniform Requirements for USDA awards. The total amount of funds available for high energy cost grants under this notice is up to $10 million. The maximum amount of grant assistance that may be requested or awarded for a grant application under this notice is $3,000,000. The minimum amount of assistance for a grant application under this program is $50,000.

No more than one award will be made per applicant or project. Applicants may submit multiple applications, provided each is for a different project, but only one award per applicant will be approved.

RUS anticipates making multiple awards under this notice. The number of grants awarded will depend on the number of complete applications submitted, the amount of grant funds requested, the quality and competitiveness of applications, and the availability of funds. There were six grant awards under the 2013 notice and awards ranged from $298,029 to $3,000,000. (See the program Web site (http://www.rd.usda.gov/programs-services/high-energy-cost-grants) for summaries of projects previously funded under the program).

The RUS reserves the right not to award all the funds made available under this notice. The final decision to make an award is at the discretion of the Administrator (7 CFR 1709.121). The Administrator will select finalists for grant awards after consideration of the applications, the rankings, comments, and recommendations of the rating panel, and other pertinent information, including availability of funds. Upon such consideration, the Administrator may elect to offer an award of less than the full amount of grant requested by an applicant. All awards will be in the form of grants. Awardees will have to execute a grant agreement with conditions established by the RUS.

Grant project performance periods typically range from one to three years.

Grant agreements provide for terms of three years. Approvals of any extensions to this term are at the sole discretion of the agency.

Applicants must provide a complete grant application package with a narrative grant proposal prepared according to the instructions in this notice and Application Guide, and including all required forms and certifications.

Applicants that submitted an application under the 2014 notice and that were notified that their application was eligible, but did not receive funding may request reconsideration under this notice. Applicants may request reconsideration by letter and submit a statement with additional information and required forms. See section D of this notice for more information.

Application Review and Award Selections

All timely submitted and complete applications will be reviewed for eligibility and rated according to the criteria described in this notice.

Applications will be ranked in order of their numerical scores on the rating criteria and forwarded to the RUS Administrator. The RUS Administrator is the federal selection official of the competitive awards. The Administrator will review the rankings and the recommendations of the rating panel.

The Administrator will select projects in rank order to the extent of available funds.

Funding for Pre-Award Activities

Under 7 CFR 1709.10, grant funds may not be used to pay costs of preparing the application package, or for any finders’ fees or incentives for persons or entities assisting in the preparation or submission of an application. Applicants are cautioned that they undertake any pre-award project activities at their own risk. A letter advising the applicant that they have been selected for an award is not a binding commitment to provide funding. The award is only final after the Administrator has signed the grant agreement.

Program regulations provide that RUS will not pay any project construction costs of the project incurred before the date of grant award except as provided in 7 CFR 1709.10. Applicants are also advised that undertaking certain project activities before required environmental review has been completed could result in withdrawal of the selection (7 CFR 1794.15, or its successor).

C. Eligibility Information

1. Eligible Applicants

i. Applicants

Applicant eligibility under this program is established by the Rural Electrification Act of 1936, as amended, (7 U.S.C. 913 and 918a), High Energy Cost Grant Program regulations at 7 CFR 1709.106, and this notice.

An eligible applicant is any one of the following:

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61339 Federal Register / Vol. 80, No. 197 / Tuesday, October 13, 2015 / Notices

1 As used in the notice an ‘‘Indian Tribe’’ or ‘‘tribal’’ means a Federally recognized Tribe as defined under section 4 of the Indian Self- Determination and Education Assistance Act (25 U.S.C. 450b) to include ‘‘* * * any Indian Tribe, band, nation, or other organized group or community, including any Alaska Native village or regional or village corporation as defined in or established pursuant to the Alaska Native Claims Settlement Act [43 U.S.C. 1601 et seq.], that is recognized as eligible for the special programs and services provided by the United States to Indians because of their status as Indians.’’

• A legally-organized for-profit or nonprofit organization such as, but not limited to, a corporation, association, partnership (including a limited liability partnership), cooperative, or trust;

• A sole proprietorship;

• A State or local government, or any agency or instrumentality of a State or local government, including a municipal utility or public power authority;

• An Indian tribe,1 a tribally-owned entity, and or Alaska Native Corporation;

• An individual or group of individuals applying on behalf of unincorporated community associations, and not for the primary benefit of a single household or business (with any award subject to special conditions discussed below); or

• Any of the above entities located in a U.S. Territory or other area authorized by law to participate in programs of the Rural Utilities Service or under the Rural Electrification Act.

All applicants must demonstrate the legal authority and capacity to enter into a binding grant agreement with the Federal Government at the time of the award and to carry out the proposed grant funded project according to its terms to be an eligible applicant. The application must include information and/or documentation supporting your eligibility, legal existence, and capacity to enter into a grant agreement.

Individuals are eligible grant applicants under this program.

However, any proposed grant project must provide community benefits and not be for the primary benefit of the individual applicant or and individual household. As a practical matter, because this program addresses community energy needs and to facilitate compliance with Federal grant requirements, individuals will likely find it preferable to establish an independent legal entity, such as a corporation to actually carry out the grant project if they are selected.

Individuals or other applicants who intend to form a new, separate legal entity to carry out the grant project should indicate their intent in their applications. The new entity must be in existence and legally competent to enter into a grant agreement with the Federal Government under appropriate State and Federal laws before a final grant award can be approved.

Corporations that have been convicted of a Federal felony within the past 24 months are not eligible applicants. Any corporation that has any unpaid federal tax liability that has been assessed, for which all judicial and administrative remedies have been exhausted or have lapsed, and that is not being paid in a timely manner pursuant to an agreement with the authority responsible for collecting the tax liability, is not eligible for financial assistance. All corporate applicants must complete Form AD– 3030 ‘‘Representations Regarding Felony Conviction and Tax Delinquent Status for Corporate Applicants.’’

In addition, under program regulations at 7 CFR 1709.7, an outstanding judgment obtained against an applicant by the United States in a Federal Court (other than in the United States Tax Court), which has been recorded, shall cause the applicant to be ineligible to receive a grant or loan under this part until the judgment is paid in full or otherwise satisfied. RUS financial assistance under this part may not be used to satisfy the judgment.

Before submitting an application, all applicants must have an active registration with current information in the System for Award Management (SAM) (previously the Central Contractor Registry (CCR)) at https:\\www.sam.gov and have a Dun and Bradstreet (D&B) Data Universal Numbering System (DUNS) number. For more information on obtaining a DUNS number and SAM registration see section D.3 below.

ii. Substantially Underserved Trust Area Applicants

Consistent with section 306F of the RE Act (7 U.S.C. 936f) and regulations concerning SUTA applications at 7 CFR part 1700, subpart D this notice provides priority scoring for any complete and eligible application from an eligible entity that has been accepted by the Administrator for consideration under SUTA provisions. In addition to establishing that it is an eligible applicant under this notice, SUTA applicants must also establish its eligibility under SUTA regulations at 7 CFR part 1700, subpart D.

The applicant must submit a letter to the RUS Administrator that it is seeking consideration under provisions of 7 CFR part 1700, subpart D and the action that it is requesting. The letter must be accompanied by a copy of the application package submitted in response to this notice. The request must include all information required under the SUTA regulations establishing that its project is for an eligible trust area, documenting its high need for High Energy Cost Grant funds, and identifying the discretionary authorities that it seeks to have applied to its application.

The Administrator will review the request to determine whether the applicant is eligible to receive consideration under SUTA. RUS will notify the applicant in writing whether

(1) the application has been accepted to receive special consideration or (2) the application has not been accepted for consideration under the SUTA regulation. If the request is not granted, the applicant may withdraw its application. If the application is still eligible without SUTA consideration and the applicant does not withdraw the application, RUS will review and score the application along with others received under this notice. For more detailed information on how to apply for a grant under SUTA, please refer to the FY 2015 Application Guide available at http://www.rd.usda.gov/ programs-services/high-energy-cost-grants.

2. Cost Sharing and Matching

This grant program has no cost sharing or matching funds requirement as a condition of eligibility. However, the RUS will consider other financial resources available to the grant applicant and any voluntary pledge of matching funds or other contributions in assessing the applicant’s commitment and financial capacity to complete the proposed project successfully. If a successful applicant proposes to use matching funds or other cost contributions in its project, the grant agreement will include conditions requiring documentation of the availability of the matching funds and actual expenditure of matching funds or cost contributions. RUS may require the applicant to provide additional documentation confirming the availability of any matching contribution offered prior to approval of a project award. If an applicant fails to provide timely documentation of the availability of matching contributions, the RUS may, in its sole discretion, decline to award the project if uncertainties over availability of the match render the project financially unfeasible and impose additional conditions.

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61340 Federal Register / Vol. 80, No. 197 / Tuesday, October 13, 2015 / Notices

2 Home energy means any energy source or fuel used by a household for purposes other than transportation, including electricity, natural gas, fuel oil, kerosene, liquefied petroleum gas (propane), other petroleum products, wood and other biomass fuels, coal, wind, and solar energy.

Fuels used for subsistence activities in remote rural areas are also included.

3. Other

i. Eligible Communities To establish community eligibility, the application must (1) clearly identify and define the geographic area that will be included in the grant project and (2) demonstrate that each of the communities in the proposed area meets one or more of the high energy cost benchmarks. Consult the program regulations at 7 CFR part 1709 and the 2015 Application Guide for additional definitions used in this program.

All grant projects must benefit communities with extremely high energy costs. The RE Act defines an extremely high energy cost community as one in which ‘‘the average residential expenditure for home energy 2 is at least 275 percent of the national average residential expenditure for home energy’’ 7 U.S.C. 918a. This statutory requirement that community residential expenditures for home energy exceed

275 percent of the national average establishes a very high threshold for eligibility under this program.

RUS periodically establishes community eligibility benchmarks based on the latest available information from the Energy Information Administration (EIA) residential energy surveys. Home energy cost benchmarks are calculated for average annual household energy expenditures; total annual expenditures for individual fuels; annual average per unit energy costs for residential energy sources and are set at 275 percent of the relevant national average household energy expenditures. The current benchmarks are shown in Table 1.

Applicants must demonstrate that proposed communities meet one or more benchmarks to qualify as an eligible beneficiary of a grant under this program. All applications must meet these current eligibility benchmarks for high energy cost. Based on available published information on residential energy costs, RUS anticipates that only those communities with the highest energy costs across the country will qualify.

The EIA’s Residential Energy Consumption and Expenditure Surveys (RECS) and reports provide the baseline national average household energy costs that were used for establishing extremely high energy cost community eligibility criteria for this grant program.

The RECS data base and reports provide national and regional information on residential energy use, expenditures, and housing characteristics. EIA published its latest available RECS home energy expenditure survey results in 2012. These estimates of home energy usage and expenditures are based on national surveys conducted in 2009 survey data and are shown in Table 1 as follows:

TABLE 1—NATIONAL AVERAGE ANNUAL HOUSEHOLD ENERGY EXPENDITURES AND EXTREMELY HIGH ENERGY COST ELIGIBILITY BENCHMARKS EFFECTIVE FOR APPLICATIONS SUBMITTED ON OR AFTER OCTOBER 13, 2013

Average Annual Household Expenditure

Fuel

EIA 2009 national annual average household expenditure

RUS extremely high energy cost benchmark

(275% of national average)

$ per year $ per year

Electricity .......................................................................................................... $1,340 $3,685 Natural Gas ...................................................................................................... 804 2,211 Fuel Oil ............................................................................................................ 1,338 3,680 LPG/Propane ................................................................................................... 972 2,673

Total Household Energy Use ................................................................... 2,024 5,566

Annual Average Per Unit Residential Energy Costs

Fuel EIA 2009 national average unit cost

RUS extremely high energy cost benchmark

(275% of national average)

(units) $ per unit $ per unit

Electricity (Kilowatt hours) ............................................................................... $.12 $.33 Natural Gas (thousand cubic feet) .................................................................. 12.18 33.50 Fuel Oil (gallons) ............................................................................................. 2.42 6.68 LPG/Propane (gallons) .................................................................................... 2.09 5.76 Kerosene (gallons) ........................................................................................... 2.72 7.49

Total Household Energy (million Btus) ..................................................... 22.59 62.12

Sources: Energy Information Administration, United States Department of Energy, 2009 Residential Energy Consumption Survey Data—De-tailed Tables, available at: http://www.eia.gov/consumption/residential/data/2009/.

Extremely high energy costs in rural and remote communities typically result from a combination of factors including high energy consumption, high per unit energy costs, limited availability of energy sources, extreme climate conditions, and housing characteristics.

The relative impacts of these conditions exhibit regional and seasonal diversity.

Market factors have created an additional complication in recent years as the prices of the major commercial residential energy sources—electricity, fuel oil, natural gas, and LPG/propane— have fluctuated dramatically in some areas.

The applicant must demonstrate that each community in the grant project’s

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61341 Federal Register / Vol. 80, No. 197 / Tuesday, October 13, 2015 / Notices

3 Note: Btu is the abbreviation for British thermal unit, a standard energy measure. A Btu is the quantity of heat needed to raise the temperature of one pound of water 1 degree Fahrenheit at or near

39.2 degrees Fahrenheit.

proposed area exceeds one or more of these high energy cost benchmarks to be eligible for a grant under this program.

a. High Energy Cost Benchmarks.

The benchmarks measure extremely high energy costs for residential consumers. These benchmarks were calculated using EIA’s estimates of national average residential energy expenditures per household and by primary home energy source. The benchmarks recognize the diverse factors that contribute to extremely high home energy costs in rural communities. The benchmarks allow extremely high energy cost communities several alternatives for demonstrating eligibility. Communities may qualify based on: Total annual household energy expenditures; total annual expenditures for commercially-supplied primary home energy sources, i.e., electricity, natural gas, oil, or propane;

or average annual per unit home energy costs. By providing alternative measures for demonstrating eligibility, the benchmarks reduce the burden on potential applicants created by the limited public availability of comprehensive data on local community energy consumption and expenditures.

A community or area will qualify as an extremely high cost energy community if it meets one or more of the energy cost eligibility benchmarks described below.

(1) Extremely High Average Annual Household Expenditure for Home Energy. The area or community exceeds one or more of the following:

• Average annual residential electricity expenditure of $3,685 per household;

• Average annual residential natural gas expenditure of $2,211 per household;

• Average annual residential expenditure on fuel oil of $3,680 per household;

• Average annual residential expenditure on propane or liquefied petroleum gas (LPG) as a primary home energy source of $2,673 per household;

or

• Average annual residential energy expenditure (for all non-transportation uses) of $5,566 per household.

(2) Extremely High Average per Unit Energy Costs. The average residential per unit cost for major commercial energy sources in the area or community exceeds one or more of the following:

• Annual average cost per kilowatt hour for residential electricity customers of $0.33 per kilowatt hour (kWh);

• Annual average residential natural gas price of $33.50 per thousand cubic feet;

• Annual average residential fuel oil price of $6.68 per gallon;

• Annual average residential price of propane or LPG as a primary home energy source of $5.76 per gallon;

• Annual average residential price of Kerosene as a primary home energy source of $7.49 per gallon or

• Total annual average residential energy cost on a Btu basis of $62.12 per million Btu.3

(3) Supporting Energy Cost Data. The applicant must include information that demonstrates its eligibility under RUS’s high energy cost benchmarks for the communities and areas. The applicant must supply documentation or references for its sources for actual or estimated home energy expenditures or equivalent measures to support eligibility. Generally, the applicant will be expected to use historical residential energy cost or expenditure information for the local energy provider serving the community or area to determine eligibility. Other potential sources of home energy related information include Federal and State agencies, local community energy providers such as electric and natural gas utilities and fuel dealers, and commercial publications. The Application Guide includes a list of EIA resources on residential energy consumption and costs that may be of assistance.

The grant applicant must establish eligibility for each community in the project’s area. To determine eligibility, the applicant must identify each community included in whole or in part within the areas and provide supporting actual or estimated energy expenditure data for each community. The smallest area that may be designated as an area is a 2010 Census block. This minimum size is necessary to enable a determination of population size.

Potential applicants can compare the benchmark criteria to available information about local energy use and costs to determine their eligibility.

Applicants should demonstrate their eligibility using historical energy use and cost information. Where such information is unavailable or does not adequately reflect the actual costs of supporting average home energy use in a local community, RUS will consider estimated commercial energy costs. The Application Guide includes examples of circumstances where estimated energy costs are used.

EIA does not collect or maintain data on home energy expenditures in sufficient detail to identify specific rural localities as extremely high energy cost communities. Therefore, grant applicants will have to provide information on local community energy costs from other sources to support their applications.

In many instances, historical community energy cost information can be obtained from a variety of public sources or from local utilities and other energy providers. For example, EIA publishes monthly and annual reports of residential prices by State and by service area for electric utilities and larger natural gas distribution companies. Average residential fuel oil and propane prices are reported regionally and for major cities by government and private publications.

Many State agencies also compile and publish information on residential energy costs to support State programs.

(4) Use of Estimated Home Energy Costs. Where historical community energy cost data are incomplete or lacking or where community-wide data does not accurately reflect the costs of providing home energy services in the area, the applicant may substitute estimates based on engineering standards. The estimates should use available community, local, or regional data on energy expenditures, consumption, housing characteristics and population. Estimates are also appropriate where the area does not presently have centralized commercial energy services at a level that is comparable to other residential customers in the State or region. For example, local commercial energy cost information may not be available where the area is without local electric service because of the high costs of connection.

Engineering cost estimates reflecting the incremental costs of extending service could reasonably be used to establish eligibility for areas without grid-connected electric service. Estimates also may be appropriate where historical energy costs do not reflect the cost of providing a necessary upgrade or replacement of energy infrastructure to maintain or extend service that would raise costs above one or more benchmarks. Information to support high energy cost eligibility is subject to independent review by RUS.

Applications that contain information that is not reasonably based on credible sources of information and sound estimates will be rejected.

Where appropriate, RUS may consult standard sources to confirm the

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61342 Federal Register / Vol. 80, No. 197 / Tuesday, October 13, 2015 / Notices reasonableness of information and estimates provided by an applicant in determining eligibility, technical feasibility, and adequacy of proposed budget estimates.

b. SUTA Eligible Communities.

In addition to meeting extremely high energy cost and other criteria in this notice, applicants requesting consideration under SUTA must also establish their eligible community is in a substantially underserved trust area under the provisions of 7 CFR part 1700, subpart D. Applicants should consult SUTA regulations at 7 CFR part 1709 subpart D for additional information on eligibility and qualifications of ‘‘trust lands’’ and of ‘‘substantially underserved trust areas.’’ Potential SUTA applicants are encouraged to consult with the Agency Contacts listed in this notice in preparation of their requests for consideration.

The determination of SUTA eligibility will be made by the Administrator before applications are scored and ranked.

ii. Eligible Projects Eligible projects must serve an eligible community and must include only eligible grant purposes. Grant funds may be used to acquire, construct, extend, upgrade, or otherwise improve energy generation, transmission, or distribution facilities serving eligible communities.

All energy generation, transmission, and distribution facilities and equipment, used to provide electricity, natural gas, home heating fuels, and other energy service to eligible communities are eligible. Projects providing or improving energy services to eligible communities through on-grid and off-grid renewable energy projects, energy efficiency, and energy conservation projects are eligible. A grant project is eligible if it improves, or maintains energy services, or reduces the costs of providing energy services to eligible communities.

Funds may cover up to the full costs of any eligible projects subject to the statutory condition that no more than 4 percent of grant funds may be used for the planning and administrative expenses of the grantee.

The project must serve communities that meet the extremely high energy cost eligibility requirements described in this notice. The applicant must demonstrate that the proposed project will benefit the eligible communities.

Projects that primarily benefit a single household or business are not eligible.

Additional information and examples of eligible project activities are contained in the 2015 Application Guide.

The program regulations at 7 CFR part 1709 provide more detail on allowable use of grant funds, limitations on grant funds, and ineligible grant purposes.

Grant funds may not be used to refinance or repay the applicant’s outstanding loans or loan guarantees under the RE Act.

Each grant applicant must demonstrate the economic and technical feasibility of its proposed project.

Activities or equipment that would commonly be considered as research, development, or demonstration, or commercialization activities are not eligible. Projects for deploying new energy technologies that are not in established commercial use will not be considered as technologically feasible projects and would, thus, be ineligible grant purposes. However, grant funds may be used for projects that involve the innovative use or adaptation of energy-related technologies that have been commercially proven. RUS, in its sole discretion, will determine if a project consists of ineligible research, development, demonstration, or commercialization activities or relies on unproven technology, and that determination shall be final.

iii. Limitations on Grant Awards

a. Statutory Limitation on Planning and Administrative Expenses.

Section 19(b)(2) of the RE Act provides that no more than 4 percent of the grant funds for any project may be used for planning and administrative expenses of the grantee not directly related to delivery of the project. RUS will not make awards for any such expenses exceeding 4 percent of grant funds. Because of this limitation, applicants must detail any indirect costs.

b. Maximum and Minimum Awards.

For High Energy Cost Grants, the maximum amount of grant assistance that will be considered for funding per grant application under this notice is $3,000,000. The minimum amount of assistance for a competitive grant application under this program is $50,000.

c. Multiple Applications.

Eligible applicants must include only one project per application, but the project can include many locations.

Applicants may submit applications for multiple projects. For high energy cost grants, no more than $3 million in grant funds will be awarded per project application. An applicant will only be awarded funding for one project under this notice. The award will be made to the highest ranked application submitted; other applications from the same applicant or project will remain unfunded under this notice.

d. Ineligible Grant Purposes for High Energy Cost Grants.

Grant funds cannot be used for:

Preparation of the grant application, fuel purchases, routine maintenance or other operating costs, and purchase of equipment, structures, or real estate not directly associated with provision of residential energy services. In general, grant funds may not be used to support projects that primarily benefit areas outside of eligible communities.

However, grant funds may be used to finance an eligible community’s proportionate share of a larger energy project.

Consistent with USDA policy and program regulations, grant funds awarded under this program generally cannot be used to replace other USDA assistance or to refinance or repay outstanding loans under the RE Act.

Grant funds may, however, be used in combination with other USDA assistance programs including electric loans. Grants may be applied toward grantee contributions under other USDA programs depending on the specific terms of those programs. For example, an applicant may propose to use grant funds to offset the costs of electric system improvements in extremely high cost areas by increasing the utility’s contribution for line extensions or system expansions to its distribution system financed in whole or part by an electric loan under the RE Act. An applicant may propose to finance a portion of an energy project for an extremely high energy cost community through this grant program and secure the remaining project costs through a loan or loan guarantee from RUS or other grant sources. The determination of whether a project will be completed in this manner will be made solely by the Administrator.

e. Pre-award Activities during Environmental Review.

RUS may refuse to provide an award where the selected applicant has taken actions in violation of restrictions on certain project activities prior to completion of pre-award environmental review. See section F.2.ii of this notice and 7 CFR 1794.15, or its successor.

D. Application and Submission Information

All applications must be prepared and submitted in compliance with this notice and the 2015 Application Guide.

The Application Guide contains additional information on the grant programs, sources of information for use in preparing applications, examples of eligible projects, and copies of the required application forms.

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61343 Federal Register / Vol. 80, No. 197 / Tuesday, October 13, 2015 / Notices

1. Address To Request Application Package

The FY 2015 Application Guide, copies of required forms, and other information on the High Energy Cost Grant Program are available from these sources:

a. The Internet at the program Web site: http://www.rd.usda.gov/programs-services/high-energy-cost-grants;

b. Through Grants.gov (http:// www.Grants.gov) under CFDA No.

10.859);

c. By request from Robin Meigel, Finance Specialist, Rural Utilities Service, Electric Program, Office of Portfolio Management and Risk Assessment, United States Department of Agriculture,…