EPA-R-OAR-CPP-24-04 v2.pdf

AGENCY: ENVIRONMENTAL PROTECTION AGENCY (EPA)

TITLE: Clean Ports Program: Zero-Emission Technology

Deployment Competition

ANNOUNCEMENT TYPE: Request for Applications (RFA)

FUNDING OPPORTUNITY NUMBER: EPA-R-OAR-CPP-24-04

ASSISTANCE LISTING NUMBER: 66.051

IMPORTANT DATES

February 28, 2024 Notice of Funding Opportunity (NOFO) Opens March 28, 2024 Optional Notice of Intent to Apply is Due May 6, 2024 Final Date to Submit Questions May 28, 2024 NOFO Closes – Applications Due by 11:59 p.m. (ET) August to September 2024 Anticipated Notification of Selection December 2024 Anticipated Awards

Application packages must be submitted electronically to the EPA through Grants.gov (www.grants.gov) no later than May 28, 2024, at 11:59 p.m. Eastern Time (ET) in order to be considered for funding.

NOTICE OF INTENT TO APPLY: To allow for efficient management of the competitive process, the EPA requests submittal of an optional informal notice of an Intent to Apply by March 28, 2024 to cleanports@epa.gov. Please use the subject line “Notice of Intent to Apply: Zero- Emission Technology Deployment.” Please include in the body of the email the name of the applicant, the estimated dollar amount of the anticipated funding request, and a sentence or two summarizing the project (if known). Submission of Intent to Apply is optional and non-binding; it is a process management tool that will allow the EPA to better anticipate the total staff time required for efficient review, evaluation, and selection of submitted applications.

NOTE: If the applicant intends to name a contractor (including consultants) or subrecipient in the application as a “partner,” the applicant should carefully review Section IV.d. of EPA’s Solicitation Clauses that are incorporated by reference in this announcement and discussed in relevant part here (See Section I.E. of this announcement). Applicants must compete contracts for services and products, including consultant contracts, and conduct cost and price analyses, to the extent required by the procurement provisions of the regulations at 2 CFR Part 200.

http://www.grants.gov/ mailto:cleanports@epa.gov https://www.epa.gov/grants/epa-solicitation-clauses

Applicants are not required to identify subrecipients and/or contractors (including consultants) in their grant application. However, if an applicant does so, the fact that an applicant selected for award has named a specific subrecipient or contractor (including consultants) in the application the EPA selects for funding does not relieve the applicant of its obligations to comply with subaward and/or competitive procurement requirements as described in Section IV.d. of the EPA’s Solicitation Clauses. Please note that applicants may not award sole source contracts to consulting, engineering, or other firms assisting applicants with the application solely based on the firm’s role in preparing the application or based on an assertion that the individual or firm has “unique qualifications.”

The EPA will not consider the qualifications, experience, and expertise of named subrecipients and/or named contractor(s) during the application evaluation process unless the applicant provides documentation that it has complied with the EPA’s competitive procurement requirements.

For additional guidance, applicants should review EPA’s Best Practice Guide for Procuring Services, Supplies, and Equipment Under EPA Assistance Agreements, EPA’s Subaward Policy, and EPA’s Subaward Policy Frequent Questions. The EPA expects recipients of funding to comply with competitive procurement contracting requirements in 2 CFR Parts 200 and 1500 as well as the EPA’s rule on Participation by Disadvantaged Business Enterprises in EPA Programs in 40 CFR Part 33. The Agency does not accept justifications for sole source contracts for services or products available in the commercial marketplace such as consulting, data analysis, or project management.

In addition, applicants are encouraged to review the Questions and Answers document posted on the Clean Ports Program website for further clarification of this NOFO.

https://www.epa.gov/grants/best-practice-guide-procuring-services-supplies-and-equipment-under-epa-assistance https://www.epa.gov/grants/best-practice-guide-procuring-services-supplies-and-equipment-under-epa-assistance https://www.epa.gov/sites/default/files/2020-11/documents/gpi-16-01-subaward-policy_attachments.pdf https://www.epa.gov/system/files/documents/2023-04/epa_subaward_policy_frequent_questions.pdf https://www.epa.gov/ports-initiative/cleanports

TABLE OF CONTENTS

I. FUNDING OPPORTUNITY DESCRIPTION

A. Background and Summary

B. Program Goals and Objectives

C. Environmental Results and Strategic Plan Information

D. Statutory Authority

E. Additional Provisions for Applicants Incorporated into the Solicitation

II. FEDERAL AWARD INFORMATION

A. Amount of Funding Available

B. Number and Amount of Awards

C. Partial Funding

D. Additional Awards

E. Award Funding and Incremental/Full Funding

F. Period of Performance

G. Funding Type

III. ELIGIBILITY INFORMATION

A. Eligible Entities

B. Cost Sharing or Matching Funds

C. Threshold Eligibility Criteria

D. Ineligible Activities and Other Considerations

IV. APPLICATION AND SUBMISSION INFORMATION

A. How to Register to Apply for Grants under this Competition

Step 1. Register Your Organization in SAM.gov

Step 2. Create a User Account and Applicant Profile in Grants.gov

Step 3. Create Individual Grants.gov Accounts for Organization Members

Step 4. Learn How to Use Workspace in Grants.gov

B. Application Process

C. Project Narrative Instructions, Format, and Content

D. Releasing Copies of Applications

E. Sharing of Application Information with other Federal Agencies

V. APPLICATION REVIEW INFORMATION

A. Evaluation Criteria

B. Review and Selection Process

C. Other Factors

D. Anticipated Announcement and Federal Award Dates

VI. AWARD ADMINISTRATION INFORMATION

A. Award Notices

B. Combining Successful Applications into One Award

C. Reporting Requirement

D. Build America, Buy America Requirements

E. Prevailing Wage Requirements

F. Restrictions Regarding China, Iran, North Korea, and Russia

VII. CONTACT INFORMATION

APPENDIX A – Further Information Regarding Contracts, Subawards, and Participant Support Costs

APPENDIX B – Statutory Partnership Agreement between a Private Entity Applicant and Statutory Partner

APPENDIX C – Voluntary Scrappage

I. FUNDING OPPORTUNITY DESCRIPTION

A. Background and Summary The EPA Office of Transportation and Air Quality (OTAQ) is issuing this NOFO to announce the availability of funds and solicit applications from eligible entities to help ports nationwide transition to zero-emission (ZE) operations under the EPA’s Clean Ports Program. The EPA’s Clean Ports Program will fund ZE port equipment and infrastructure to reduce mobile source emissions (criteria pollutants, air toxics, and/or greenhouse gases) at United States ports, delivering cleaner air for communities across the country. The Clean Ports Program will also fund climate and air quality planning activities as part of a separate NOFO – including emissions inventories, strategy analysis, community engagement, and resiliency measure identification – that will build the capacity of port stakeholders to continue to reduce pollution and transition to ZE operations over time. This new funding opportunity, made possible by funding from the Inflation Reduction Act, builds on the EPA’s Ports Initiative, an ongoing program that helps our nation’s ports, a critical part of our infrastructure and supply chain, address public health and environmental impacts on surrounding communities.

Ports are a vital part of the United States economy, serving as gateways for moving freight and passengers across the country and around the world. Ports are also places with high concentrations of mobile source equipment, including dray trucks, locomotives, cargo-handling equipment, and marine vessels. This equipment is largely powered by diesel and other fossil fuels. Older equipment, in particular, can emit significant amounts of air pollution, including fine particulate matter (PM2.5), nitrogen oxides (NOx), air toxics, and carbon dioxide (CO2), which impact human health and the environment.

Section 60102 of the Inflation Reduction Act of 2022 (IRA) amended Section 133 of the Clean Air Act (42 U.S.C. 7433) to authorize the EPA’s Clean Ports Program (or Grants to Reduce Air Pollution at Ports).

The EPA anticipates awarding up to $2.79 billion under this competition, subject to the availability of funds, the quantity and quality of applications received, and other applicable considerations. This NOFO announces the availability of funding for grants related to ZE Technology Deployment. The EPA has issued a separate NOFO under Funding Opportunity Number EPA-R-OAR-CPP-24-05 for a competition for climate and air quality planning activities.

Applicants are encouraged to apply to both grant competitions. Across both competitions, a minimum of $750 million is available for projects in nonattainment areas for PM2.5 or ozone, as defined in Section IV.C.2., Section 4.

This Clean Ports Program ZE Technology Deployment Competition is a competitive grant program. Funding for port equipment, infrastructure, and planning is also available through other programs funded by the Bipartisan Infrastructure Law and the Inflation Reduction Act.

The EPA’s Ports Initiative has a searchable table of funding opportunities that can support emissions reductions at ports. In addition, the Department of Energy, in coordination with the https://www.epa.gov/ports-initiative https://www.whitehouse.gov/build/resources/nofos-to-know/ https://www.whitehouse.gov/cleanenergy/open-funding-opportunities/ https://www.epa.gov/ports-initiative/funding-opportunities-ports-and-near-port-communities

EPA and the Department of Transportation, developed a webpage that summarizes federal funding opportunities for ports.

B. Program Goals and Objectives

The EPA’s goals for the Clean Ports Program are to: (1) build a foundation for ports across the country to transition to fully ZE operations, positioning ports to serve as a catalyst for transformational change across the freight sector; (2) reduce mobile source pollution in near-port communities, especially disadvantaged communities; and (3) help ensure that meaningful community engagement and emissions reduction planning are port industry standard practices.

The ZE Technology Deployment Competition is designed to fund deployment of strategies and solutions that will help ports achieve zero-emission operations. This includes funding the purchase of ZE equipment, technologies, and related infrastructure directly serving a port, as well as funding support expenses related to deployment. For the purpose of this funding opportunity, “ZE equipment” means a mobile source that produces zero tailpipe emissions of any criteria pollutant, air toxics, or greenhouse gas other than water vapor, specifically electric and hydrogen fuel cell technologies. Project activities eligible for funding under this NOFO include:

1. ZE Mobile Equipment: Eligible project costs include the purchase and deployment of new eligible battery-electric or hydrogen fuel cell vehicles, vessels, powertrains, and other mobile equipment that directly serve a port, which fall in these general categories:

• Cargo handling equipment (e.g., terminal tractors, forklifts, top handlers, side picks, straddle carriers)

• Drayage trucks

• Locomotives and railcar movers

• Harbor craft and other vessels (e.g., commercial and Tribal fishing vessels, tugs, ferries, patrol boats, workboats, dredges, pilot boats, barges)

2. ZE Infrastructure Serving Mobile Equipment: Eligible project costs include the purchase and installation of new or expanded electric charging and/or hydrogen fueling infrastructure serving eligible ZE port equipment purchased as part of the applicant’s grant award, as well as shore power infrastructure for marine vessels. Equipment not purchased as part of the grant award may also utilize the charging and fueling infrastructure. Specifically:

• Eligible electric charging infrastructure should be located at or behind the meter

(customer side). Eligible costs include but are not limited to: electric supply infrastructure for the new electric equipment, including the unit and charging cable, mount and/or pedestal, electrical panels, and their installation; upgrades to existing electrical panels or electrical service, wiring/conduit and its installation; the physical meter and its housing unit (if located on the customer side); and installation, such as design and engineering or labor (i.e., infrastructure costs associated with work on https://www.energy.gov/eere/federal-funding-opportunities-port-low-zero-emission-technologies https://www.energy.gov/eere/federal-funding-opportunities-port-low-zero-emission-technologies https://www.epa.gov/green-book the customer’s side of the electrical meter); and charge management software, either as standalone or part of the charging unit. Costs for minor grid upgrades in front of the meter (utility side) may be considered if the work is necessary to connect an eligible charging station to the electric distribution network.

• Funds may be used for battery energy storage systems associated with new equipment funded in the program, as well as solar and wind power generation systems that are installed to primarily power mobile equipment.

• Eligible hydrogen fueling infrastructure includes, but is not limited to, hydrogen storage tanks, liquid and gaseous hydrogen pumps and vaporizers, compressors, heat exchangers, piping and pipelines within a port facility, high-pressure dispensers (including hose, nozzles, and meters), chillers, and point-of-sale systems. Eligible costs include the purchase price and installation, such as design and engineering or labor expenses.

3. ZE Technology Deployment Support Activities: Eligible project costs include ZE technology deployment project support activities directly related to the implementation of an eligible ZE technology project, including acquiring eligible ZE equipment and infrastructure, or deploying the technology into regular service. Eligible project costs related to support may include, but are not limited to, the following activities:

• Project-specific public engagement

• Safety planning and protocol development

• Operational planning and protocol development

• Workforce training

• Project performance monitoring

• Project management and administrative costs

• Collection and analysis of in-use operational data to optimize/refine ZE technology implementation

• Infrastructure testing and approval

• Permit applications

Applicants should refer to Section III.D. for further detail on ineligible costs and activities, including what would not qualify as “serving a port.” Applicants should also note applicable Build America, Buy America requirements for eligible expenses, as described in Section VI.D.

Note that selected applicants will be expected to engage with communities about the project.

For purposes of this NOFO, a port is either a water port or a dry port, as defined below:

Water port: places on land alongside navigable water (e.g., oceans, rivers, or lakes) with one or more facilities in close proximity for the loading and unloading of passengers or cargo from ships, ferries, and other commercial vessels. This includes facilities that support non-commercial Tribal fishing operations.

Dry port: an intermodal truck-rail facility that is included in the 2024 Federal Highway Administration’s (FHWA) Intermodal Connector Database based on meeting the criteria set in 23 CFR 470. These criteria include having more than 50,000 20-foot equivalent units per year or 100 trucks per day, or comprising more than 20 percent of freight volumes handled by any mode within a State.

For purposes of this NOFO, a small water port is defined as:

• A water port (see definition above) located in a port area to and from which the average annual tonnage of cargo is less than 8,000,000 short tons for the most recent three calendar years of U.S. Army Corps of Engineers (USACE) data (2019, 2020, 2021), or

• A water port located outside of the port areas in USACE tonnage datasets.

A list of eligible dry port facilities and a list of port areas that handle greater than 8,000,000 short tons are available on the Clean Ports Program website.

In order to promote geographic and port-type diversity, the EPA plans to award a minimum number of grants to Tribal applicants, a minimum amount of funding for projects taking place at small water ports, and a minimum number of projects in each of the EPA’s ten Regions, as described in Section II.B. Although projects at dry ports are eligible, the EPA plans to set a maximum funding amount for projects taking place at dry ports, as described in Section II.B.

Eligible applications will be sorted into award tiers based on the amount of funding requested, the port type, and the applicant type. An overview of the ZE Technology Deployment Award Tiers is shown in Table 1. Applications in each tier will be evaluated and ranked against other applications within the same tier. Applicants should include information in the cover page of the project narrative about whether their project is scalable and the minimum amount of funding they would accept. This flexibility may provide a benefit to the applicant in the event that the EPA cannot fund the full project amount.

Table 1: Overview of ZE Technology Deployment Award Tiers

Tier Port Type Applicant

Type EPA Funding Range per

Award

EPA Share of Total Project

Cost (Maximum)

Mandatory Applicant Share of

Total Project Cost

(Minimum)

Anticipated Number of

Awards

Tier A

Water ports only

Any eligible entity

$150,000,000 - $500,000,000 80% 20% 5-10

Tier B

Water or dry ports

Any eligible entity

$10,000,000 - $149,999,999 (Projects at small water ports:

$5,000,000 - $149,999,999) 90% 10% 25-70

Tier C

Water or dry ports

Tribal applicants only $2,000,000 - $50,000,000 100% 0% 2-10

Programmatic Priorities The Clean Ports Program programmatic priorities under this NOFO are defined below.

Applicants should address these priorities in their applications.

• Environmental Justice and Disadvantaged Communities: The EPA is committed to accelerating environmental justice (EJ) in communities overburdened by air pollution through this program. This program is a covered program under the Justice40 Initiative set forth in Executive Order 14008: Tackling the Climate Crisis at Home and Abroad. The goal of the Justice40 Initiative is to ensure that 40 percent of the overall benefits of certain Federal investments flow to disadvantaged communities that are marginalized by underinvestment and overburdened by pollution. The EPA is committed to meeting the objectives of the Justice40 Initiative.

Specifically, this program is seeking to prioritize projects that take place in or near communities overburdened by air pollution, including those in designated PM2.5 and Ozone nonattainment areas for the EPA’s National Ambient Air Quality Standards, and with high concentrations of diesel particulate matter (PM).

The EPA will evaluate applications on their benefits to disadvantaged communities experiencing poor air quality and the quality and extent of community engagement efforts, as defined in Section IV.C.2., Section 4 and under Section V.A., Criterion 4 of this

NOFO.

Additional details on the contents of applications, including specifics on what should be included in the project narrative, are included in Section IV.C.

https://www.federalregister.gov/documents/2021/02/01/2021-02177/tackling-the-climate-crisis-at-home-and-abroad https://www.whitehouse.gov/environmentaljustice/justice40/

• Port Transformation and Pollution Reduction: Through this program, the EPA is looking to build a foundation for ports across the country to transition to fully ZE operations while reducing mobile source emissions (criteria pollutants, air toxics, and/or greenhouse gases) that disproportionately impact nearby communities. The EPA especially encourages applicants to seek funds for ZE equipment and shore power infrastructure for vessels. The EPA will evaluate proposals more favorably if the applicant proposes to use at least 50% of program funds for the purchase and installation of ZE equipment or shore power infrastructure for vessels (applicants are encouraged to use no more than 50% on other expenses such as ZE technology deployment support activities, other types of eligible infrastructure, and project administration). Please see Section IV.C.2., Section 8 for additional guidance.

• Nonattainment areas: As required by the statute and to help ensure the program’s goal of deploying ZE technologies in communities burdened by poor air quality, the EPA plans to award a minimum of $750 million for projects in nonattainment areas across this funding opportunity and Funding Opportunity Number EPA-R-OAR-CPP-24-05.

C. Environmental Results and Strategic Plan Information Pursuant to Section 6.a. of EPA Order 5700.7A1, “Environmental Results under EPA Assistance Agreements,” the EPA must link proposed assistance agreements with the Agency’s Strategic Plan. The EPA also requires that grant applicants and recipients adequately describe environmental outputs and outcomes to be achieved under assistance agreements (see EPA Order 5700.7A1, Environmental Results under Assistance Agreements). Applicants must include specific statements describing the environmental results of the proposed project in terms of well-defined outputs and, to the maximum extent practicable, well-defined outcomes that will demonstrate how the project will contribute to the Strategic Plan goals listed below.

1. Linkage to the EPA Strategic Plan: The activities to be funded under this announcement support the EPA’s Fiscal Year (FY) 2022-2026 Strategic Plan. Awards made under this announcement will support Goal 1, “Tackle the Climate Crisis;” Objective 1.1 to “Reduce emissions that cause climate change” and Goal 4, “Ensure Clean and Healthy Air for All Communities;” Objective 4.1, “Improve Air Quality and Reduce Localized Pollution and Health Impacts.” Under Objective 1.1, the EPA will “aggressively reduce the emissions of greenhouse gases from all sectors while increasing energy and resource efficiency and the use of renewable energy.” Under Objective 4.1, the EPA will “reduce air pollution on local, regional, and national scales to achieve healthy air quality for people and the environment.”

All applications must be for projects that support the goals and objectives above. For more information see EPA’s FY 2022 – FY 2026 EPA Strategic Plan.

2. Outputs: The term “output” means an environmental activity, effort, and/or associated work product related to an environmental goal and objective that will be produced or http://www.epa.gov/sites/production/files/2015-03/documents/epa_order_5700_7a1.pdf http://www.epa.gov/sites/production/files/2015-03/documents/epa_order_5700_7a1.pdf https://www.epa.gov/planandbudget/strategicplan provided over a period of time or by a specified date. Outputs may be quantitative or qualitative but must be measurable during an assistance agreement funding period.

Expected outputs from the projects to be funded under this announcement include, but are not limited to:

• Number of pieces of ZE equipment purchased overall and by type (cargo-handling equipment, dray trucks, locomotives, harbor craft, etc.)

• Number of pieces of internal combustion engine equipment scrapped overall and by type

• Number and capacity of electric charging systems installed (kW) or hydrogen fueling stations installed (kg per day)

• Documented outreach efforts (e.g., workshops) undertaken to make local residents aware of project activities and updates and to solicit feedback

Other potential outputs may include, but are not limited to:

• Summary of local residents and community-based organizations participating in the design, planning, and performance of the project

• Establishing a clear point of contact in a public platform for community issues, feedback, and complaints

• A publicly documented policy or process for collecting and addressing community input on operations and projects that impact air quality

• Number of trainings provided to staff, drivers, mechanics, or other electric vehicle or hydrogen service providers, including electric vehicle supply equipment service providers

• Technical assistance provided to project partners and beneficiaries, such as fleet subrecipients, to enable and encourage participation

• Dissemination of project/technology information via listservs, websites, journals, and outreach events

• Staff hired to implement emissions reduction measures

• Staff hired to advance environmental justice and community engagement activities

Progress reports and a final report will also be required outputs, as specified in Section VI.C.

of this NOFO.

3. Outcomes: The term “outcome” means the result, effect or consequence that will occur from carrying out an environmental program or activity that is related to an environmental or programmatic goal or objective. Outcomes may be environmental, behavioral, health-related, or programmatic in nature, but must also be quantitative. They may not necessarily be achievable within an assistance agreement funding period.

Desired outcomes from the projects to be funded under this announcement include, but are not limited to:

• Improved ambient air quality in near-port communities, especially in areas designated as nonattainment or maintenance for PM2.5 and Ozone National Ambient Air Quality Standards or areas with high concentrations of diesel PM

• Tons of pollution avoided annually and over the lifetime of the equipment, including PM2.5, NOx, and CO2

• Net reduction in gallons of fuel used annually and/or over the lifetime of the equipment

• Benefits to disadvantaged communities, including improvements to human health and the environment

• Establishment of long-term forums to engage communities

• Institutionalization of operational changes to accommodate future deployment of additional ZE technologies

• Establishment of charging/fueling and related infrastructure to support future deployment of additional ZE technologies

• Development of a workforce skilled in operating and maintaining ZE equipment

• Evidence of the feasibility of various strategies for reducing or eliminating port emissions, and development of best practices that can help other ports adopt successful approaches

Other potential outcomes may include, but are not limited to:

• An increased understanding of the environmental or economic effectiveness of the implemented technology

• Public awareness of project and results

• Creation of high-quality jobs employing workers from nearby underserved populations

D. Statutory Authority The statutory authority for this action is Section 133 of the Clean Air Act, 42 U.S.C. 7433, added by the Inflation Reduction Act, Public Law 117-169, which authorizes the EPA to award rebates and grants to purchase or install ZE port equipment or technology, conduct planning or permitting in connection with the purchase or installation of ZE port equipment or technology, and develop qualified climate action plans.

E. Additional Provisions for Applicants Incorporated into the Solicitation

Additional provisions that apply to Sections III, IV, V, and VI, and/or awards made under this solicitation, can be found at EPA Solicitation Clauses. These provisions are important for applying to this solicitation and applicants must review them when preparing applications for this solicitation. If the applicant is unable to access these provisions electronically at the website above, they should contact the EPA point of contact listed in Section VII of this solicitation to obtain the provisions.

http://www.epa.gov/grants/epa-solicitation-clauses

II. FEDERAL AWARD INFORMATION

A. Amount of Funding Available The total estimated funding expected to be available for awards under this competitive opportunity is $2.79 billion. Funding is dependent upon funding availability, Agency priorities, and other applicable considerations.

As described in Section I.A. and per the statute, the EPA intends to award a minimum of $750M for projects in nonattainment areas across both this NOFO (EPA-R-OAR-CPP-24-04 Clean Ports Program: Zero-Emission Technology Deployment Competition), and EPA-R-OAR-CPP-24-05 Clean Ports Program: Climate and Air Quality Planning Competition.

B. Number and Amount of Awards The EPA anticipates awarding 32 to 90 grants or cooperative agreements under this announcement, subject to the availability of funds, the quantity and quality of applications received, Agency priorities, and other applicable considerations.

The EPA expects to award grants within three tiers based on project size and applicant type, as described in Table 2 below. Tier A is for projects between $150 million and $500 million. Tier B is for projects less than $150 million. Tier C is only for Tribal applicants. The EPA anticipates awarding 5-10 grants under Tier A, 25-70 grants under Tier B, and 2-10 grants under Tier C of this competition. Applications in each tier will be evaluated and ranked against other applications within the same tier.

Tier A is open to projects taking place at water ports. Tier B is open to projects taking place at water ports and/or dry ports. The EPA expects to award a maximum of $250 million total for projects taking place at dry ports.

The EPA expects to award at least $250 million total to projects taking place at small water ports. For applications that include projects taking place at multiple ports, the primary project location (based on percentage of time/activity) will be used to determine whether the project qualifies as taking place at a small water port. A small water port is defined as:

• A water port located in a port area to and from which the average annual tonnage of cargo is less than 8,000,000 short tons for the most recent three calendar years of USACE data (2019, 2020, 2021), or

• A water port located outside of the port areas in USACE tonnage datasets.

A list of port areas that handle greater than 8,000,000 short tons is available on the Clean Ports Program website.

To ensure further geographic and port type diversity, the EPA plans to award a minimum of one award per each of the EPA’s ten Regions under this Competition.

The amount of federal funding requested per application must fall within the ranges shown in Table 2 below.

Table 2: Grant ranges for ZE Technology Deployment Competition

Tier Port Type Applicant

Type EPA Funding Range per

Award

EPA Share of Total Project

Cost (Maximum)

Mandatory Applicant Share of

Total Project Cost

(Minimum)

Anticipated Number of

Awards

Tier A

Water ports only

Any eligible entity

$150,000,000 - $500,000,000 80% 20% 5-10

Tier B

Water or dry ports

Any eligible entity

$10,000,000 - $149,999,999 (Projects at small water ports:

$5,000,000 - $149,999,999) 90% 10% 25-70

Tier C

Water or dry ports

Tribal applicants only $2,000,000 - $50,000,000 100% 0% 2-10

Note: Applications from Tribal applicants that are for $2,000,000 - $50,000,000 will be placed in Tier C. Applications from Tribal applicants for more than $50,000,000 will be placed in Tier A or B, depending on the amount requested.

The actual award amounts, total amount of funding, and number of awards made under each of the tiers described in this section may differ from the estimated amounts for many reasons, including, but not limited to, the number of meritorious applications received in each tier, Agency priorities, and funding availability. In addition, the EPA reserves the rights to increase or decrease (including decreasing to zero) the total dollar amount for awards under each tier.

C. Partial Funding

In appropriate circumstances, the EPA reserves the right to partially fund applications by funding discrete portions or phases of proposed projects. If the EPA decides to partially fund an application, it will do so in a manner that does not prejudice any applicants or affect the basis upon which the application, or portion thereof, was evaluated and selected for award, thereby maintaining the integrity of the competition and selection process. To be eligible for partial funding, applicants should submit information about whether their project is scalable and the minimum amount of funding they would accept. This flexibility may provide a benefit to the applicant in the event that the EPA cannot fund the full project amount.

D. Additional Awards

The EPA reserves the right to make additional awards under this solicitation, consistent with Agency policy and guidance, if additional funding becomes available after the original selections are made. Any additional selections for awards will be made no later than 6 months after the original selection decisions. In addition, the EPA reserves the right to reject all applications and make no awards under this announcement or to make fewer awards than anticipated.

E. Award Funding and Incremental/Full Funding

Awards may be fully or incrementally funded, as appropriate, based on funding availability, satisfactory performance, and other applicable considerations.

F. Period of Performance

The estimated period of performance for awards resulting from this solicitation will be up to four years. The estimated project start date for awards is December 1, 2024.

G. Funding Type

It is anticipated that grants and cooperative agreements will be funded under this solicitation.

Successful applicants will be issued a grant or cooperative agreement as appropriate. A cooperative agreement is an assistance agreement that is used when there is substantial federal involvement with the recipient during the performance of an activity or project. The EPA awards cooperative agreements for those projects in which it expects to have substantial interaction with the recipient throughout the recipient’s period of performance. The EPA will negotiate the precise terms and conditions of “substantial involvement” as part of the award process. The anticipated substantial federal involvement for cooperative agreements under the Clean Ports Program may include close monitoring of the recipient’s performance;

collaboration during the performance of the scope of work; and in accordance with 2 CFR §200.317 and 2 CFR §200.318, as appropriate, reviewing proposed procurements, reviewing qualifications of key personnel, and/or reviewing and commenting on the content of printed or electronic publications prepared. The EPA does not have the authority to select employees or contractors employed by the recipient. The final decision on the content of reports rests with the recipient.

III. ELIGIBILITY INFORMATION

Note: Additional provisions that apply to this section can be found at EPA Solicitation Clauses.

A. Eligible Entities

Consistent with Assistance Listing No. 66.051, the Clean Air Act Section 133(d) (as amended by the Inflation Reduction Act §60102), and EPA’s Policy for Competition of Assistance Agreements (EPA Order § 5700.5A1), competition under this solicitation is available to:

1. Port authorities;

2. State, regional, local, or Tribal agencies that have jurisdiction over a port authority or a port, where “port” is defined in Section I.B.;

3. Air pollution control agencies (as defined in CAA 302); and

4. Private entities that:

a. apply for a grant in a Statutory Partnership with an entity described in 1-3 above; and

b. own, operate, or use the facilities, cargo-handling equipment, transportation equipment, or related technology of a port.

https://www.epa.gov/grants/epa-order-57005a1-epas-policy-competition-assistance-agreements https://www.epa.gov/grants/epa-order-57005a1-epas-policy-competition-assistance-agreements

The term “State” means a State, the District of Columbia, the Commonwealth of Puerto Rico, the Virgin Islands, Guam, and American Samoa and includes the Commonwealth of the Northern Mariana Islands.

“Tribal agencies” are defined as any Indian Tribe, band, nation, or other organized group or community (including Alaska Native Villages), which are federally recognized as eligible for the special programs and services provided by the United States. The EPA has determined that based on the exclusion of Alaskan Native Corporations (ANCs) from the definition of “Indian tribe” in Section 302(r) of the Clean Air Act, that ANCs are not eligible as a Tribal agency for direct grants from the EPA under this program. ANCs may be eligible as a private entity, however, and may receive subawards from eligible grantees.

For the purposes of this NOFO, “intertribal consortium” is defined as a partnership between two or more eligible Tribal agencies as defined above, that is authorized by the governing bodies of those Tribes to apply for and receive assistance under this program. Intertribal consortia are eligible to receive assistance under this program only if the consortium demonstrates that all members of the consortium meet the eligibility requirements for the program and authorize the consortium to apply for and receive assistance by submitting to the EPA documentation of (1) the existence of the partnership between Indian Tribal governments, and (2) authorization of the consortium by all its members to apply for and receive the assistance.

A private entity can include for-profit businesses and nonprofit organizations, as long as they meet the requirements described in Section III.A.4.a-b. For example, a private marine terminal operator could be an eligible private entity.

As described in Section VI.F., by applying under this NOFO, applicants attest that they are not

(A) owned by, controlled by, or subject to the direction of a government of a foreign country of concern, or (B) headquartered in a foreign country of concern.

A partnership between an eligible private entity (as defined above in Section III.A.4.)

and another eligible non-private entity (as defined above in Section III.A.1-3.) is a Statutory Partnership. The Statutory Partnership application is comprised of one eligible private entity who enters into a Statutory Partnership Agreement with one or more Statutory Partners (other eligible non-private entities). In a Statutory Partnership application, the eligible private entity is considered the grant recipient and is responsible for carrying out the grant activities if the application is selected for funding. If the application is selected for award, the applicant will enter into an agreement with the Statutory Partner that must contain the elements of the Statutory Partnership Agreement in Appendix B. The applicant must include a copy of a written and signed Statutory Partnership Agreement with their application to be eligible for funding consideration.

Non-statutory partnerships are also allowable to ensure effective grant performance to meet the objectives of the program in Section I.B. Non-statutory partnerships may be established between an applicant and a Collaborating Entity, which may include both eligible and non-eligible entities. Non-statutory partnerships may be constituted by both financial and non-financial forms of collaboration, however any subawards made by the applicant to Collaborating Entities to implement the project strategies and activities under the application must be made consistent with the grant regulations at 2 CFR 200.331 and as permitted in Appendix A of the EPA Subaward Policy. Applicants may include an optional copy of a written and signed letter of commitment with each Collaborating Entity in their application.

Applicants are encouraged to describe any financial contributions (e.g., mandatory cost share or leveraged resources) being made by Statutory Partners and/or Collaborating Entities, within their applicable Statutory Partnership Agreements or optional letters of commitment.

Applicants should reference Section IV.C. for further detail on project narrative instructions and related attachments.

For both Statutory Partnerships and non-statutory partnerships, if selected for award, the applicant will become the grant recipient, operating as a pass-through entity for purposes of 2 CFR Part 200 and the EPA Subaward Policy, and taking responsibility for making subawards to Collaborating Entities, or if applicable, Statutory Partners. The applicant will also be accountable to the EPA for effectively carrying out the full scope of work and the proper financial management of the grant (including the subawards it makes under the grant, and contracts to consultants and procurement contractors selected in accordance with the competitive procurement requirements in 2 CFR Parts 200 and 1500 as well as the EPA’s 40 CFR Part 33 Disadvantaged Business Enterprise rule). Additionally, as provided in 2 CFR § 200.332, the Collaborating Entities, and other subrecipients, will be accountable to the applicant for proper use of EPA funding. Note that pursuant to 2 CFR § 200.332(a)(2), as implemented in Items 2 and 4 of the EPA’s “Establishing and Managing Subawards” General Term and Condition, successful applicants in Statutory Partnerships and non-statutory partnerships must ensure that the terms and conditions of the grant agreement “flow down” to all subrecipients in the subawards. The EPA has developed an optional template for subaward agreements, available in Appendix D of the EPA Subaward Policy.

Further information on procurement and distinguishing between subawards and procurement transactions can be found in the Best Practice Guide for Procuring Services, Supplies, and Equipment Under EPA Assistance Agreements and in the EPA Subaward Policy.

Note that an eligible entity may be listed as a Statutory Partner and/or Collaborating Entity on more than one application.

https://www.epa.gov/grants/grants-policy-issuance-gpi-16-01-epa-subaward-policy-epa-assistance-agreement-recipients https://www.epa.gov/grants/grants-policy-issuance-gpi-16-01-epa-subaward-policy-epa-assistance-agreement-recipients https://www.epa.gov/grants/grant-terms-and-conditions#general https://www.epa.gov/grants/grant-terms-and-conditions#general https://www.epa.gov/grants/grants-policy-issuance-gpi-16-01-epa-subaward-policy-epa-assistance-agreement-recipients https://www.epa.gov/sites/default/files/2021-03/documents/best-practice-guide-for-procuring-services-supplies-equipment.pdf https://www.epa.gov/sites/default/files/2021-03/documents/best-practice-guide-for-procuring-services-supplies-equipment.pdf https://www.epa.gov/grants/grants-policy-issuance-gpi-16-01-epa-subaward-policy-epa-assistance-agreement-recipients

B. Cost Sharing or Matching Funds

Any form of cost share, mandatory or voluntary, must be included in the budget detail portion of the project narrative, and the application must describe how and when the applicant will furnish the cost share and how the cost share funding will be used. Applicants may use their own funds or other sources for cost share if the standards of 2 CFR Part 200, as applicable, are met. If the proposed cost share is to be provided by a named Statutory Partner and/or Collaborating Entity, applicants are strongly encouraged to include a description of the provided cost share in an attached Statutory Partnership Agreement or letter of commitment.

Only eligible and allowable costs may be used for cost share.

Projects are subject to the mandatory cost share requirement based on the application tier, as shown below in Table 3. For territory applicants (the U.S. Virgin Islands, American Samoa, Guam, and the Commonwealth of the Northern Mariana Islands), up to $5 million of the applicant cost share will be waived, in accordance with the policies of the Omnibus Territories Act.

The cost share applies to the total project cost. For example, if a project costs $160 million, the EPA share would be $144 million (90% of $160 million) and the mandatory applicant share would be $16 million (10% of $160 million). In this example, the project is in Tier B because the EPA share is less than $150 million, even though the total project cost is greater than $150 million. For territory applicants, the applicant share in this example would be $11 million (because up to $5 million of the cost share is waived), and the EPA share would be $149 million.

In-kind administrative and implementation costs count towards the applicant cost share. State, Tribal, local, and private funds may be used as the applicant cost share. Other federal grants may not be used as the cost share unless the statute authorizing that federal funding provides that the funds may be used to meet cost share requirements on a federal grant.

Table 3: Cost Share Requirements

Tier Port Type Applicant

Type EPA Funding Range per

Award

EPA Share of Total Project

Cost (Maximum)

Mandatory Applicant Share of

Total Project Cost

(Minimum)

Anticipated Number of

Awards

Tier A

Water ports only

Any eligible entity

$150,000,000 - $500,000,000 80% 20% 5-10

Tier B

Water or dry ports

Any eligible entity

$10,000,000 - $149,999,999 (Projects at small water ports:

$5,000,000 - $149,999,999) 90% 10% 25-70

Tier C

Water or dry ports

Tribal applicants only $2,000,000 - $50,000,000 100% 0% 2-10

Note: For territory applicants (the U.S. Virgin Islands, American Samoa, Guam, and the Commonwealth of the Northern Mariana Islands), up to $5 million of the applicant cost share will be waived, in accordance with the policies of the Omnibus Territories Act.

Applications that include projects with mandatory cost share requirements must demonstrate on the SF-424 Application for Federal Assistance, on the SF-424A Budget Information for Non- Construction Programs, and in the project narrative how the applicant will be able to meet these minimum mandatory cost share requirements if they are selected for an award, or the application may be disqualified during the threshold eligibility review. Specifically, the mandatory cost share funds must be indicated in at least one of the following blocks in Section 18, Estimated Funding, on the SF-424: b. Applicant; c. State; d. Local; or e. Other. The mandatory cost shared funds must also be indicated on the SF-424A in Section A Column (f), Section B columns (2), (3) and/or (4), and Section C.

The EPA will evaluate applications under Section IV.C.2., Section 1.c., “Coordination with Complementary Initiatives” of this announcement on that the extent to which they have used or plan to use other sources of funding to bolster the impact of the EPA grant (separate and in addition to mandatory cost share requirements), such as additional private investment from other entities. For this NOFO, these additional funds will be considered “leveraged resources.”

Leveraged resources or “leveraging” is when an applicant proposes to provide additional resources to support or complement the proposed project which are above and beyond the mandatory cost share to match the EPA grant funds they are requesting. Unlike funding awarded by the EPA and mandatory cost share funds provided by the recipient as part of this funding opportunity, leveraged resources do not need to be spent on eligible or allowable costs as listed in Section I.B. Unlike the mandatory cost share, these resources should not be included in the project budget on the SF-424 or SF-424A.

If applicants propose to leverage funds, the EPA expects them to secure the leveraged resources described in their applications. If the proposed leveraging does not materialize during the performance period of the grant or cooperative agreement, the EPA may reconsider the legitimacy of the award and/or take other appropriate action authorized under 2 CFR Part 200.

Applicants should note that leveraged resources will be treated differently from voluntary cost share. Voluntary cost sharing is when an applicant voluntarily proposes to legally commit to provide costs or contributions to support the project when a cost share is not required.

Applicants who propose to use a voluntary cost share must include the costs or contributions for the voluntary cost share in the project budget on the SF-424 and SF-424A. If an applicant proposes a voluntary cost share, the following apply:

• A voluntary cost share is subject to the applicable provisions of 2 CFR § 200.306, Cost sharing or matching.

• A voluntary cost share may only be met with eligible and allowable costs.

• The recipient may not use other sources of federal funds to meet a voluntary cost share unless the statute authorizing the other federal funding provides that the federal funds may be used to meet a cost share requirement on a federal grant or cooperative agreement.

The recipient is legally obligated to meet any proposed voluntary cost share that is included in the approved project budget. If the proposed voluntary cost share does not materialize during the performance period of the grant or cooperative agreement, the EPA may reconsider the legitimacy of the award and/or take other appropriate action as authorized by 2 CFR Part 200.

C. Threshold Eligibility Criteria

All applications will be reviewed for eligibility and must meet the eligibility requirements described in Sections III.A., B., and C., to be considered eligible. If necessary, the EPA may contact applicants to clarify threshold eligibility questions prior to making an eligibility determination. Applicants deemed ineligible for funding consideration due to the threshold eligibility review will be notified within 15 calendar days of the ineligibility determination.

1. Applications must substantially comply with the application submission instructions and requirements set forth in Section IV or else they will be rejected. However, where a page limit is expressed in Section IV.C. with respect to the application, or parts thereof, pages in excess of the 25-page limitation will not be reviewed. Applicants are advised that readability is of paramount importance and should take precedence in application format, including selecting a legible font type and size for use in the application.

2. All applications must be submitted through Grants.gov as stated in Section IV.A.