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USDA/RBS RIN: 0570-AA69 Publication ID: Fall 2009 
Title: Renewable Energy--Clarify Requirements for Construction/Development of Energy Program Projects(Rulemaking Resulting From a Section 610 Review) 
Abstract: This regulation provides financial assistance to agricultural producers and rural small businesses for the purpose of purchasing and installing renewable energy systems and energy efficiency improvements in rural areas. Financial assistance to any single entity may be provided as a guaranteed loan or grant, or a combination of a loan and grant. Since the programs inception, it has become evident that some of the language in the existing regulation was misinterpreted by field offices and applicants. The changes are as follows: - Clarify that surety requirements for projects under $100,000, no surety is required. For projects between $100,000 and $200,000, no surety would be required if the contractor will accept payment as a "lump sum" at the end of the work. For projects more than $200,000, surety is required. - The requirements for a review of plans and specifications by the Agency will refer to either the State Architect or State Engineer to perform the review rather than just an Agency employee. - Clarify contract administration requirements for a design/build contract of more than $200,000. - Compliance with Executive Order 11246 is necessary for all construction contracts issued by non-profit applicants (not just those in excess of $10,000). - Non-profits must meet the requirements of 7 CFR 3019.40-48(e). Additional changes for non-for-profit entities are required as well. (The vast majority of Renewable Energy applicants are "for profit" entities. However, some non-profits are acceptable applicants.) The regulation does not adequately cover the additional requirements for a non-profit entity. - Revise procurement, construction contract and construction administration requirements. The present language needs to incorporate “lessons learned” with the experience gained in the five years since the inception of this new program. - Include minor revisions to the application, application processing, and grant/loan-making requirements to clarify intentions not fully explained in the existing 7 CFR 4280 language. 
Agency: Department of Agriculture(USDA)  Priority: Info./Admin./Other 
RIN Status: Previously published in the Unified Agenda Agenda Stage of Rulemaking: Proposed Rule Stage 
Major: Undetermined  Unfunded Mandates: No 
RFA Section 610 Review: Rulemaking Resulting From a Section 610 Review 
CFR Citation: 7 CFR 4280-B (To search for a specific CFR, visit the Code of Federal Regulations.
Legal Authority: 5 USC 301; 7 USC 1989; 42 USC 1480 
Legal Deadline:  None
Timetable:
Action Date FR Cite
NPRM  04/00/2010   
NPRM Comment Period End  06/00/2010   
Regulatory Flexibility Analysis Required: No  Government Levels Affected: None 
Small Entities Affected: No  Federalism: No 
Included in the Regulatory Plan: No 
RIN Data Printed in the FR: Yes 
Agency Contact:
Larry Fleming
Senior Architect
Department of Agriculture
STOP 0761, 1400 Independence Avenue SW,
Washington, DC 20250
Phone:202 720-8547
Fax:202 690-4335
Email: larry.fleming@wdc.usda.gov

 
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