Rural Energy for America Program (REAP) Grants

What is a USDA REAP grant?

Rural Energy for America Program (REAP) grants, funded by the USDA Rural Development, work to accelerate renewable energy and energy efficiency in the rural United States. USDA REAP grants provide funding for agricultural producers and rural small businesses who have implemented renewable energy systems or made energy efficiency upgrades-- up to 25% of project cost.

REAP grants are taxable reimbursement grants. REAP grants are competitive and scored by the USDA. Residential use is not eligible for reimbursement.

Click here to see the REAP Regulation.

How can Wy’East RC&D help?

Wy’East’s trained staff—including engineers, certified energy managers, grant writers, and project managers— can assist producers and rural small business owners with the entire USDA REAP grant process from start to finish. This no-cost assistance includes services such as:

  • Site visits

  • Energy assessments or audits

  • Project planning and scoping

  • Pre-construction eligibility screening

  • Tracking documentation and 12 months of energy data collection

  • Working with your solar developer, irrigation vendor, or contractor, to collect necessary project documentation

  • Support in submission of a REAP grant to USDA Rural Development

  • Identifying and connecting you to utility incentives through Energy Trust of Oregon, or Oregon member owned utilities (MOU’s)

  • Connecting you to other potential project funding sources and incentives

Am I eligible for a USDA REAP grant?

I am a…

What kinds of projects are eligible?

Projects must have a dedicated meter that serves only the business. If your business shares a meter with a residence, a separate business meter is required.

Only these residential-type uses are eligible: for-profit hotels with stays of 30 days or less; nursing homes and assisted living facilities with 24/7 licensed medical care; and community solar subscriptions where subscribers don’t own the system. Bed and breakfasts and vacation rentals (such as Airbnb or VRBO) are not eligible.

Renewable Energy Systems (RES)

RES Eligible Projects

  • Biomass (biodiesel and ethanol, anaerobic digesters, and solid fuels)

  • Geothermal for electric generation or direct use

  • Hydropower of 30 megawatts or less

  • Hydrogen

  • Solar generation (except ground-mount systems on FSA-Defined Cropland)

RES Grant Terms

Grant funding is available for up to 25% of the project cost.

  • $1,500 minimum grant request

  • $500,000 maximum grant request.

Energy Efficiency Improvements (EEI)

EEI Eligible Projects

  • High efficiency heating, ventilation, and air conditioning systems (HVAC)

  • Insulation upgrades

  • Lighting upgrades

  • Cooling or refrigeration unit upgrades

  • Variable Frequency Drives (VFDs)

  • Pumps for sprinkler pivots

  • Switching from a diesel to electric irrigation motor

  • Replacement of energy-inefficient equipment

EEI Grant Terms

Grant funding is available for up to 25% of the project cost.

  • $1,500 minimum grant request

  • $250,000 maximum grant request.

What types of projects are ineligible?

Residential Projects

The Project includes residential RES or EEI, including, but not limited to, primary residences, such as apartments, single-family homes, and residences attached to businesses, in-home businesses, farm labor housing, apartment complexes, bed and breakfasts, and vacation rentals by owner (e.g. VRBOs, Airbnbs), regardless of whether the owner lives on-site or not.

RES Retrofitting Projects

The Project retrofits an existing ground mount solar or wind RES or any solar or wind RES on Cropland.

Multiple Location Projects

The Project installs an RES or an EEI at more than one location.

Cropland Installation Projects

The Project involves a ground mount solar photovoltaic system or wind turbine installed on FSA Designated Cropland.

Projects Including Foreign Components

The Project includes a solar photovoltaic system or wind turbine consisting of any component made in a country named as a foreign adversary as listed in 15 CFR 791.4

Storage System Projects

  • Retrofitting an existing RES to add an energy storage system. Includes Battery Energy Storage Systems as well as other energy storage systems.

  • Stand-alone energy storage systems. Includes Battery Energy Storage Systems as well as other energy storage systems.

REAP Program Updates

Wy'East is following the recent USDA REAP Program Updates and Rule Change closely and is in communication with the Oregon USDA Rural Development State Office as details become available. Some specifics, including application window dates, and the new online application portal are expected in upcoming annual program notices. Our understanding of how the rule applies to individual projects may continue to develop as USDA releases more guidance. Wy’East plans to update our REAP webpage as more information becomes available from USDA Rural Development.

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