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 to implement renewable energy systems or make energy efficiency upgrades-- up to 25% of a total eligible 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

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

  • REAP grant writing

  • Submission of a REAP grant to USDA Rural Development

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

  • Connecting you to other organizations we work closely with, who may be able to support you in areas that we cannot

Am I eligible for a USDA REAP grant?

I am a…

  • The entity must be engaged in production of agricultural products with at least 50% of their gross income coming from agricultural operations.

  • The entity must meet the Small Business Administration size standards.

    The entity must be located in eligible rural areas.

    The entity must be one of the following:

    • Private for-profit entity (sole proprietorship, partnership, or corporation).

    • A cooperative (including those qualified under Section 501(c)(12) of IRS Code).

    • An electric utility (including a Tribal or governmental electric utility) that provides service to rural consumers and operates independent of direct government control).

    • A Tribal corporation or other Tribal business entities that are chartered under Section 17 of the Indian Reorganization Act (25 USC 477) or have similar structures and relationships with their tribal entity without regard to the resources of the Tribal government.

  • Not sure if you’re eligible? Contact us to verify your eligibility at no cost.

    Dara Morantes
    Rural Energy Project Manager
    (541) 978-9839
    dara@wyeast-rcd.org

    Jackie Solomon
    Rural Energy Specialist
    (541) 978-9469
    jackie@wyeast-rcd.org

What kinds of projects are eligible?

Residential use is not eligible for reimbursement with REAP.

If there is residential use on the meter that would be connected to the project, we may be able to calculate out the ineligible use and prorate your grant request. Business use must account for at least 50% of the energy usage on the meter.

Short-term residential use, which is part of the business, is eligible. Ex: hotels and lodges.

Long-term residential use is not eligible. Ex: Renting out or living at the project site, or using the energy that is related to the project for non-business purposes.

Renewable Energy Systems (RES)

RES Eligible Projects

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

  • Geothermal for electric generation or direct use

  • Hydropower below 30 megawatts

  • Hydrogen

  • Small and large wind generation

  • Small and large solar generation

  • Ocean (tidal, current, thermal) generation

RES Grant Terms

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

  • $2,500 minimum grant request (minimum total eligible project cost of $10,000)

  • $1 million maximum grant request.

Energy Efficiency Improvements (EEI)

EEI Eligible Projects

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

  • Insulation

  • Lighting

  • Cooling or refrigeration units

  • Doors and windows

  • VFDs

  • Electric, solar, or gravity 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 total eligible project cost.

  • $1,500 minimum grant request (minimum total eligible project cost of $6,000)

  • $500,000 maximum grant request.

Loan Guarantees

Loan guarantees are available on loans up to 75% of total eligible project costs. The lender, with Agency concurrence, will establish and justify the guaranteed loan term based on the use of guaranteed loan funds, the useful economic life of the assets being financed and those used as collateral, and the borrower’s repayment ability. The loan term will not exceed 40 years.

Additional Requirements

  • Individual borrowers must be citizens of the United States or reside in the U.S. after being legally admitted for permanent residence.

  • Agricultural producers and small businesses must have no outstanding delinquent federal taxes, debt, judgement, or debarment.

  • Applicants must provide matching funds if applying for a grant only.

  • Applicants must provide at least 25% of the project cost if applying for a loan.

  • All projects must have technical merit and utilize commercially available technology.

  • Energy efficiency projects require an energy assessment or energy audit.

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