Hey all!

 

I was doing a little surfing and came across this nugget.  The U.S.
government gives away billions of dollars every year, some of which is
available for good reasons.  

 

There is a program in which the Feds will pay up to $450M over three
years to reimburse biofuels producers for a percentage of their
feedstock expenses. 

 

Regards,

 

-BRAH

 

 

 

 

Here is a link for the Catalog of Federal Domestic Assistance:  

 

http://12.46.245.173/cfda/cfda.html  

 

Here is the link for the actual grant:

 

http://12.46.245.173/pls/portal30/SYSTEM.PROGRAM_TEXT_RPT.SHOW?p_arg_nam
es=prog_nbr&p_arg_values=10.078

 

And here is the text of the grant:

 

 

10.078 BIOENERGY PROGRAM

 

FEDERAL AGENCY

FARM SERVICE AGENCY, DEPARTMENT OF AGRICULTURE 

 

AUTHORIZATION

Title IX, Section 9010, Farm Security and Rural Investment Act of 2002
and Section 5(e) of the CCC Charter Act, 15 U.S.C. 714c. 

 

OBJECTIVES

The goals of the Bioenergy Program are to encourage increased purchases
of eligible commodities for the purpose of expanding production of such
bioenergy and support new production capacity for such bioenergy. 

 

TYPES OF ASSISTANCE

Direct Payments for Specified Use. 

 

USES AND USE RESTRICTIONS

Bioenergy producers may increase their purchases of eligible commodities
as compared to the previous fiscal year purchases and convert that
commodity into increased commercial fuel grade ethanol and biodiesel
production as compared to previous fiscal year ethanol and biodiesel
production. The Program defines eligible commodities as barley, corn,
grain sorghum, oats, rice, wheat, soybeans, sunflower seed, canola,
crambe, rapeseed, safflower, sesame seed, flaxseed, mustard seed, and
cellulosic crops, such as switchgrass and short rotation trees, grown on
farms, for the purpose of producing ethanol and/or biodiesel or any
other commodity or commodity by-product as determined and announced by
CCC used in ethanol and biodiesel production which is produced in the
United States and its territories. 

 

ELIGIBILITY REQUIREMENTS

 

Applicant Eligibility

All bioenergy producers are eligible to participate in the program. To
participate, ethanol producers must provide USDA with evidence of
increased production of bioenergy and increased purchase and utilization
of agricultural commodities related to that increased production.
Biodiesel producers must provide evidence of production and purchase and
utilization of agricultural commodities related to that production. 

 

Beneficiary Eligibility

Bioenergy producers. 

 

Credentials/Documentation

USDA will collect information from bioenergy producers that request
payments under the Bioenergy Program as the Secretary may require to
ensure that benefits are paid only to eligible bioenergy producers for
eligible commodities. Bioenergy producers seeking program payments will
have to meet minimum requirements by providing information concerning
the production of bioenergy. Applicants must certify that they will
abide by the Bioenergy Program Agreement's provisions. This program is
excluded from coverage under OMB Circular No. A-87. 

 

APPLICATION AND AWARD PROCESS

 

Preapplication Coordination

There is no preapplication coordination related to this program. This
program is excluded from coverage under E.O. 12372. 

 

Application Procedure

The Bioenergy Program sign-up period is from August 1 through August 31,
or as announced. To participate in the program, producers must complete
a Bioenergy Program Agreement, Form CCC 850 and Bioenergy Program Annual
Production Information, Form CCC-850 Supplement. 

 

Award Procedure

None. 

 

Deadlines

Bioenergy producers who expect to have eligible production at any time
during a FY must enroll in the program during or before the applicable
FY's sign-up period. For example, a producer with a new plant that is
expected to become operational in July 2003 must enroll that plant in
the program during FY 2003's sign-up period to be eligible to receive
program payments on that new production during 2003. 

 

Range of Approval/Disapproval Time

1 to 30 days. 

 

Appeals

Any participant who is subject to an adverse determination may appeal
the determination by filing a written request with the Deputy
Administrator at the following address: Deputy Administrator, Commodity
Operations, Farm Service Agency, United States Department of
Agriculture, STOP 0550, 1400 Independence Avenue, SW., Washington, DC
20250-0550. To receive consideration, the participant must file the
appeal within 30 days after written notice of the decision, which is the
subject of the appeal, is mailed or otherwise made available to the
participant. An appeal shall be considered to have been filed when
personally delivered in writing to the Deputy Administrator or when the
properly addressed request, postage paid, is postmarked. The Deputy
Administrator may accept and act upon an appeal even though it is not
timely filed if, in the judgement of the Deputy Administrator,
circumstances warrant such action. 

 

Renewals

None. 

 

ASSISTANCE CONSIDERATIONS

 

Formula and Matching Requirements

USDA will pay eligible producers up to $150 million each FY on a
quarterly basis. Payments to each producer are capped at 5 percent of
available funding (up to $7.5 million) each FY. USDA will base ethanol
payments on the increase in ethanol production compared to the previous
FY's production and biodiesel payments on the biodiesel production each
FY. Payments will be structured to encourage participation of producers
with less than 65 million gallons annual production capacity. Producers
with total annual production of: (a) less than 65 million gallons are
reimbursed 1 feedstock unit for every 2.5 used for increased production;
(b) 65 million gallons or more are reimbursed 1 feedstock unit for every
3.5 used for increased production. In addition, biodiesel producers are
reimbursed for base production at 50 percent the rate of increased
production. If the applications exceed the program's available funding,
USDA will apply a factor to payments to hold program expenditures to
available funding for the applicable FY. 

 

Length and Time Phasing of Assistance

The program is funded at up to $150 million each FY for FYs 2003 through
2006. 

 

POST ASSISTANCE REQUIREMENTS

 

Reports

Multiple FY Agreements require annual production estimate reports to be
submitted during each applicable FY sign-up period. Such reports must
comply with the terms of the Agreement and Bioenergy Program
regulations. In all cases, the accounting for compliance will be made on
a per FY basis. 

 

Audits

Participants under this program are subject to audit by the Office of
the Regional Inspector General, U.S. Department of Agriculture. 

 

Records

Bioenergy producers or any other individual or entity receiving payments
for Bioenergy Program shall maintain and retain financial books and
records which will permit verification of all transactions for at least
3 years, following the end of the calendar year in which payments were
received. 

 

FINANCIAL INFORMATION

 

Account Identification

12-4336-0-1-271. 

 

Obligations

(Includes CCC transfer funds) From FY 03 through FY 06 estimated to be
$150,000,000 per FY. 

 

Range and Average of Financial Assistance

Not applicable. 

 

PROGRAM ACCOMPLISHMENTS

None. 

 

REGULATIONS, GUIDELINES, AND LITERATURE

Program is announced through news media and is posted on Farm Service
Agency website. Regulations published in Title IX, Section 9010, Farm
Security and Rural Investment Act of 2002. Bioenergy Program fact sheet
may be located online at
http://www.fsa.usda.gov/pas/publications/facts/html/Bioenergy03.htm. 

 

INFORMATION CONTACTS

 

Regional or Local Office

None. 

 

Headquarters Office

U.S. Department of Agriculture, Farm Service Agency, Kansas City
Commodity Office, Contract Reconciliation Division, P.O. Box 419205,
STOP 8758, Kansas City, MO 64141-6205. Telephone: 816-926-6525. 

 

Web Site Address

www.fsa.usda.gov/daco/bio_daco.htm.
<http://12.46.245.173/pls/portal30/www.fsa.usda.gov/daco/bio_daco.htm.> 

 

 

RELATED PROGRAMS

None. 

 

EXAMPLES OF FUNDED PROJECTS

Not applicable. 

 

CRITERIA FOR SELECTING PROPOSALS

(1) All fuel ethanol production is eligible; however, ethanol under 200
proof will be converted to 200 proof gallons before payment calculations
are made; (2) Ethanol producers must produce and sell ethanol
commercially and have authority from the Bureau of Alcohol, Tobacco,
Firearms, and Explosives to produce ethanol for fuel or sell denatured
ethanol rendered unfit for beverage use; (3) Biodiesel producers must
produce and sell biodiesel commercially, and the biodiesel must be a
mono alkyl ester manufactured in the United States that meets the
American Society for Testing and Materials Standard's biodiesel standard

 



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