Announcement of Grant Application Deadlines and Funding Levels for the Assistance to High Energy Cost Rural Communities Grant Program, 61336-61356 [2015-25975]

Agencies

• DEPARTMENT OF AGRICULTURE
• Rural Utilities Service

[Federal Register Volume 80, Number 197 (Tuesday, October 13, 2015)]
[Notices]
[Pages 61336-61356]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-25975]


-----------------------------------------------------------------------

DEPARTMENT OF AGRICULTURE

Rural Utilities Service


Announcement of Grant Application Deadlines and Funding Levels 
for the Assistance to High Energy Cost Rural Communities Grant Program

AGENCY: Rural Utilities Service, USDA.

ACTION: Notice of Solicitation of Applications (NOSA).

-----------------------------------------------------------------------

SUMMARY: The Rural Utilities Service (RUS), an agency of the United 
States Department of Agriculture (USDA), announces the availability of 
up to $10 million in fiscal year 2015 (FY15) and application deadlines 
for competitive grants to assist communities with extremely high energy 
costs. These grants are made available under the authority of section 
19 of the Rural Electrification Act, of 1936 as amended (7 U.S.C. 918a) 
and program regulations at 7 CFR part 1709. Eligibility is limited to 
communities with average annual residential energy costs exceeding 275 
percent of the national average. Grant funds may be used to acquire, 
construct, extend, upgrade, or otherwise improve energy generation, 
transmission, or distribution facilities serving eligible communities. 
Grants may also be used for programs that install on-grid and off-grid 
renewable energy systems and energy efficiency improvements in eligible 
communities. This notice describes the eligibility and application 
requirements, the criteria that will be used by RUS to award funding, 
and how to obtain application materials.

DATES: You may submit completed grant applications on paper or 
electronically according to the following deadlines:
     Paper applications must be postmarked and mailed, shipped, 
or sent overnight, no later than December 14, 2015, or hand delivered 
to RUS by this deadline, to be eligible under this NOSA. Late or 
incomplete applications will not be eligible for FY 2015 grant funding.
     Electronic applications must be submitted through 
Grants.gov no later than midnight December 14, 2015, to be eligible 
under this notice for FY 2015 grant funding. Late or incomplete 
electronic applications will not be eligible.
     Applications will not be accepted by electronic mail.
    Applications will be accepted upon publication of this notice until 
midnight (EST) of the closing date of December 14, 2015. If the 
submission deadline falls on Saturday, Sunday, or a Federal holiday, 
the application is due the next business day.

ADDRESSES: Copies of the 2015 Application Guide, required forms and 
other information on the High Energy Cost Grant Program may be obtained 
by the following:
    (1) The program Web site (https://www.rd.usda.gov/programs-services/high-energy-cost-grants) or
    (2) Grants.gov (https://www.grants.gov) by searching under 
Opportunity Number RD- RUS-HECG15; or
    (3) Contacting the RUS Electric Programs at (202) 720-9545 to 
request paper copies of the Application Guides or other materials.
    Completed applications may be submitted in the following ways:
     Paper applications are to be submitted to the Rural 
Utilities Service, Electric Programs, United States Department of 
Agriculture, 1400 Independence Avenue SW., STOP 1560, Room 5165 South 
Building, Washington, DC 20250-1560. Applications should be marked 
``Attention: High Energy Cost Grant Program.''
     Applications may be submitted electronically through 
Grants.gov. Information on how to submit applications electronically is 
available on the Grants.gov Web site (https://www.grants.gov). 
Applicants must successfully pre-register with Grants.gov to use the 
electronic applications option. Application information may be 
downloaded from Grants.gov without preregistration.

FOR FURTHER INFORMATION CONTACT: Robin Meigel, Finance Specialist, 
Rural Utilities Service, Electric Program, Office of Portfolio 
Management and Risk Assessment, U.S. Department of Agriculture, 1400 
Independence Avenue SW., STOP 1568, Room 1274-S, Washington, DC 20250-
1568. Telephone (202) 720-9452, Fax (202) 720-1401, email: 
Robin.Meigel@wdc.usda.gov.

SUPPLEMENTARY INFORMATION: 

Contents of This NoticeOverview

A. Program Description
B. Federal Award Information
C. Eligibility Information
    1. Eligible Applicants
    i. Applicants
    ii. Substantially Underserved Trust Area Applicants
    2. Cost Sharing and Matching
    3. Other
    i. Eligible Communities
    a. High Energy Cost Benchmarks
    (1) Extremely High Average Annual Household Expenditure for Home 
Energy
    (2) Extremely High Average per Unit Energy Costs
    (3) Supporting Energy Cost Data
    (4) Use of Estimated Home Energy Costs
    b. SUTA Eligible Communities
    ii. Eligible Projects
    iii. Limitations on Grant Awards
    a. Statutory Limitation on Planning and Administrative Expenses
    b. Maximum and Minimum Awards
    c. Multiple Applications
    d. Ineligible Grant Purposes for High Energy Cost Grants

[[Page 61337]]

    e. Pre-Award Activities During Environmental Review
D. Application and Submission Information
    1. Address To Request Application Package
    2. Content and Form of Application Submission
    i. Pre-Application
    ii. The Application as a Whole
    iii. Component Pieces of the Application
    a. Part A. Completed Form SF-424, ``Application for Federal 
Assistance''
    b. Part B. Project Summary and Eligibility Statement
    (1) Applicant Eligibility
    (2) Community Eligibility
    (3) Project Eligibility
    (4) Priority Considerations
    (5) Contact Information
    c. Part C. Project Narrative Proposal
    (1) Table of Contents
    (2) Executive Summary
    (3) Project Description
    (a) Community Eligibility and Assessment of Community Needs
    (b) Project Design, Technical Feasibility and Responsiveness to 
Community Needs
    (c) Applicant Organization and Eligibility
    (d) Project Management Plan
    (e) Organizational Experience
    (f) Key Staff Experience
    (g) Project Goals, Objectives and Performance Measures
    (h) Project Reporting Plan
    (i) Project Budget and Financial Capability
    (j) Rural Economic Development Initiatives
    (k) Priority Considerations
    d. Part D. Additional Required Forms and Certifications
    e. Part E. Supplementary Materials
    f. SUTA Application Package Contents
    g. Application Requirements for Applicants Requesting 
Reconsideration of an Application Submitted in 2014
    h. Number of Copies of Submitted Applications
    iv. Information That Successful Applicants Must Submit After 
Notification of Intent To Make a Federal Award
    3. Unique Entity Identifier and System for Award Management 
(SAM)
    4. Submission Dates and Times
    5. Intergovernmental Review
    6. Funding Restrictions
    7. Other Submission Requirements
    i. Submission of Paper Application Packages
    ii. Electronic Submission of Application Packages
E. Application Review Information
    1. Criteria
    i. Project Design and Technical Merit Criteria
    a. Assessment of Community Needs
    b. Project Design, Technical Feasibility and Responsiveness to 
Community Needs
    c. Management Plan
    d. Organizational Experience
    e. Key Staff Experience
    f. Project Goals, Objectives and Performance Measures
    g. Project Reporting Plan
    h. Project Budget, Financial Feasibility and Matching 
Contributions
    i. State, Local, or Tribal Rural Development Initiatives
    ii. Priority Considerations
    a. High Poverty Areas
    b. Rurality
    (1) Applications From the Fifty States, and Puerto Rico
    (2) Applications From the Virgin Islands and Pacific Insular 
Areas
    c. Renewable Energy Projects
    d. Extraordinary Conditions or Circumstances
    (1) Disaster
    (2) Unserved Energy Needs
    (3) Imminent Hazard
    (4) Extreme Economic Hardship
    e. Substantially Underserved Trust Areas
    iii. Cost Sharing (Separate Section)
    2. Review and Selection Process
    i. Determining Eligibility
    ii. Evaluation and Scoring of Eligible Applications
    iii. Review and Selection of Applications
    3. Notice to Applicants for Certain Grant Awards
    4. Anticipated Announcement and Federal Award Dates
    5. Appeals
F. Federal Award Administration
    1. Federal Award Notices
    2. Administrative and National Policy Requirements
    i. Environmental Review and Restriction on Certain Activities
    ii. Other Federal Requirements
    3. Reporting
G. Federal Awarding Agency Contact
H. Other Information
    1. Disclosure of Information
    2. Civil Rights

Overview

    Federal Agency Name: United States Department of Agriculture 
(USDA), Rural Utilities Service.
    Funding Opportunity Title: Assistance to High Energy Cost Rural 
Communities Program.
    Announcement Type: Initial announcement.
    Funding Opportunity Number: RD-RUS-HECG15.
    Catalog of Federal Domestic Assistance (CFDA) Number: 10.859. The 
CFDA title for this program is ``Assistance to High Energy Cost Rural 
Communities.''
    Dates: Applications must be postmarked and mailed or shipped, or 
hand delivered to the RUS, or filed with Grants.gov by December 14, 
2015.

A. Program Description

    The USDA through the Rural Utilities Service (RUS) provides grant 
assistance for energy facilities, including renewable energy systems 
and energy efficiency improvements, serving extremely high energy cost 
communities. This program is authorized by section 19 of the Rural 
Electrification Act of 1936, as amended (the ``RE Act'') (7 U.S.C. 
918a). Program regulations are found at 7 CFR part 1709.
    This program was established in 2000 to provide assistance for 
communities most challenged by extremely high energy costs, defined by 
statute as average annual residential home energy expenditures that are 
275 percent or more of the national average. RUS periodically 
establishes eligibility benchmarks using the most recent home energy 
data published by the Energy Information Administration. This notice 
contains the latest updates to these benchmarks. The benchmarks create 
a high threshold for community eligibility, but small rural communities 
from all regions of the United States and qualified insular areas have 
demonstrated eligibility under prior notices.
    The purpose of this program is to provide financial assistance for 
a broad range of energy facilities, equipment and related activities to 
offset the impacts of extremely high home energy costs on eligible 
communities. The grants help communities provide basic energy needs. 
Grant funds may not be used to pay utility bills or to purchase fuel. 
No funding is available for education and outreach efforts except those 
associated with project-funded energy facilities, or upgrades. Grant 
projects under this program must provide community benefits and not be 
for the primary benefit of an individual applicant, household, or 
business.
    With publication of this notice, USDA is making available up to $10 
million in new competitive grants awards under the High Energy Cost 
Grant Program. This notice describes eligibility and application 
requirements for these grants. Grants will be awarded competitively 
based on the selection criteria in Part E of this notice.
    Applicants should carefully read this notice and the 2015 
Application Guide which contains more detailed information and 
resources. Applicants must prepare their application packages according 
to the instructions contained in these documents. The Application Guide 
is available electronically on the program Web site at https://www.rd.usda.gov/programs-services/high-energy-cost-grants or through 
Grants.gov, or by request from the Agency contact for further 
information listed above.
    Applicants are advised that the application requirements in this 
notice and the 2015 Application Guide have been substantially revised 
from those in the 2014 Notice of Funding Availability published June 2, 
2014 and 2014 Application Guide. These changes are in response to new 
uniform guidance on the content of grant opportunity

[[Page 61338]]

announcements in 2 CFR part 200, Appendix I.
    Reconsideration of 2014 Applications. As provided in program 
regulations at 7 CFR 1709.122, the Administrator has determined to 
allow eligible applicants under the 2014 notice that were not selected 
for an award to be considered under this 2015 announcement by 
submitting a letter requesting reconsideration and along with any 
supplemental information, a new signed Form SF-424 (``Application for 
Federal Assistance'') and a signed Form AD-3030 (``Representations 
Regarding Felony Conviction and Tax Delinquent Status for Corporate 
Applicants''). All requests must be submitted in paper format and 
mailed, shipped, or hand delivered to the addresses shown in section 
D.7 by the closing date. The reconsidered applications will be scored 
as provided in this notice. Additional information and application 
instructions for reconsideration are set out in section D.2.iii.f of 
this notice.
    Substantially Underserved Trust Areas (SUTA). This program is 
subject to the provisions for Substantially Underserved Trust Areas of 
7 U.S.C. 936f and regulations at 7 CFR part 1700, subpart D. This 
notice provides an additional five points in scoring for applications 
from eligible underserved trust areas that have been accepted for 
special consideration by the Administrator. Applicants must submit a 
timely, complete, and eligible application under this notice and a 
separate letter and supporting material requesting consideration under 
SUTA provisions.
    Priorities. Under the authority of 7 CFRs 1709.102(b) and 1709.123, 
this notice establishes several priority scoring criteria to support 
USDA and RUS policy objectives. Additional points will be awarded for:
     Projects that provide assistance to USDA High Poverty 
Areas;
     Projects that serve small rural communities;
     Projects that support deployment of renewable energy 
technologies;
     Projects that address extraordinary circumstances 
affecting the eligible high energy cost community such as a disaster, 
imminent hazard, unserved areas, and other economic hardship, and
     Projects that serve Substantially Underserved Trust Areas.
    More information is available in section E of this notice.

B. Federal Award Information

    The RUS Administrator has established the application and selection 
requirements under this notice pursuant to and consistent with program 
regulations at 7 CFR part 1709, the Uniform Administrative 
Requirements, Cost Principles, and Audit Requirements for Federal 
Awards at 2 CFR part 200, and 2 CFR part 400 which adopts the Uniform 
Requirements for USDA awards. The total amount of funds available for 
high energy cost grants under this notice is up to $10 million. The 
maximum amount of grant assistance that may be requested or awarded for 
a grant application under this notice is $3,000,000. The minimum amount 
of assistance for a grant application under this program is $50,000.
    No more than one award will be made per applicant or project. 
Applicants may submit multiple applications, provided each is for a 
different project, but only one award per applicant will be approved.
    RUS anticipates making multiple awards under this notice. The 
number of grants awarded will depend on the number of complete 
applications submitted, the amount of grant funds requested, the 
quality and competitiveness of applications, and the availability of 
funds. There were six grant awards under the 2013 notice and awards 
ranged from $298,029 to $3,000,000. (See the program Web site (https://www.rd.usda.gov/programs-services/high-energy-cost-grants) for 
summaries of projects previously funded under the program).
    The RUS reserves the right not to award all the funds made 
available under this notice. The final decision to make an award is at 
the discretion of the Administrator (7 CFR 1709.121). The Administrator 
will select finalists for grant awards after consideration of the 
applications, the rankings, comments, and recommendations of the rating 
panel, and other pertinent information, including availability of 
funds. Upon such consideration, the Administrator may elect to offer an 
award of less than the full amount of grant requested by an applicant. 
All awards will be in the form of grants. Awardees will have to execute 
a grant agreement with conditions established by the RUS.
    Grant project performance periods typically range from one to three 
years. Grant agreements provide for terms of three years. Approvals of 
any extensions to this term are at the sole discretion of the agency.
    Applicants must provide a complete grant application package with a 
narrative grant proposal prepared according to the instructions in this 
notice and Application Guide, and including all required forms and 
certifications.
    Applicants that submitted an application under the 2014 notice and 
that were notified that their application was eligible, but did not 
receive funding may request reconsideration under this notice. 
Applicants may request reconsideration by letter and submit a statement 
with additional information and required forms. See section D of this 
notice for more information.

Application Review and Award Selections

    All timely submitted and complete applications will be reviewed for 
eligibility and rated according to the criteria described in this 
notice. Applications will be ranked in order of their numerical scores 
on the rating criteria and forwarded to the RUS Administrator. The RUS 
Administrator is the federal selection official of the competitive 
awards. The Administrator will review the rankings and the 
recommendations of the rating panel. The Administrator will select 
projects in rank order to the extent of available funds.

Funding for Pre-Award Activities

    Under 7 CFR 1709.10, grant funds may not be used to pay costs of 
preparing the application package, or for any finders' fees or 
incentives for persons or entities assisting in the preparation or 
submission of an application. Applicants are cautioned that they 
undertake any pre-award project activities at their own risk. A letter 
advising the applicant that they have been selected for an award is not 
a binding commitment to provide funding. The award is only final after 
the Administrator has signed the grant agreement.
    Program regulations provide that RUS will not pay any project 
construction costs of the project incurred before the date of grant 
award except as provided in 7 CFR 1709.10. Applicants are also advised 
that undertaking certain project activities before required 
environmental review has been completed could result in withdrawal of 
the selection (7 CFR 1794.15, or its successor).

C. Eligibility Information

1. Eligible Applicants

i. Applicants
    Applicant eligibility under this program is established by the 
Rural Electrification Act of 1936, as amended, (7 U.S.C. 913 and 918a), 
High Energy Cost Grant Program regulations at 7 CFR 1709.106, and this 
notice.
    An eligible applicant is any one of the following:

[[Page 61339]]

     A legally-organized for-profit or nonprofit organization 
such as, but not limited to, a corporation, association, partnership 
(including a limited liability partnership), cooperative, or trust;
     A sole proprietorship;
     A State or local government, or any agency or 
instrumentality of a State or local government, including a municipal 
utility or public power authority;
     An Indian tribe,\1\ a tribally-owned entity, and or Alaska 
Native Corporation;
---------------------------------------------------------------------------

    \1\ As used in the notice an ``Indian Tribe'' or ``tribal'' 
means a Federally recognized Tribe as defined under section 4 of the 
Indian Self-Determination and Education Assistance Act (25 U.S.C. 
450b) to include ``* * * any Indian Tribe, band, nation, or other 
organized group or community, including any Alaska Native village or 
regional or village corporation as defined in or established 
pursuant to the Alaska Native Claims Settlement Act [43 U.S.C. 1601 
et seq.], that is recognized as eligible for the special programs 
and services provided by the United States to Indians because of 
their status as Indians.''
---------------------------------------------------------------------------

     An individual or group of individuals applying on behalf 
of unincorporated community associations, and not for the primary 
benefit of a single household or business (with any award subject to 
special conditions discussed below); or
     Any of the above entities located in a U.S. Territory or 
other area authorized by law to participate in programs of the Rural 
Utilities Service or under the Rural Electrification Act.
    All applicants must demonstrate the legal authority and capacity to 
enter into a binding grant agreement with the Federal Government at the 
time of the award and to carry out the proposed grant funded project 
according to its terms to be an eligible applicant. The application 
must include information and/or documentation supporting your 
eligibility, legal existence, and capacity to enter into a grant 
agreement.
    Individuals are eligible grant applicants under this program. 
However, any proposed grant project must provide community benefits and 
not be for the primary benefit of the individual applicant or and 
individual household. As a practical matter, because this program 
addresses community energy needs and to facilitate compliance with 
Federal grant requirements, individuals will likely find it preferable 
to establish an independent legal entity, such as a corporation to 
actually carry out the grant project if they are selected.
    Individuals or other applicants who intend to form a new, separate 
legal entity to carry out the grant project should indicate their 
intent in their applications. The new entity must be in existence and 
legally competent to enter into a grant agreement with the Federal 
Government under appropriate State and Federal laws before a final 
grant award can be approved.
    Corporations that have been convicted of a Federal felony within 
the past 24 months are not eligible applicants. Any corporation that 
has any unpaid federal tax liability that has been assessed, for which 
all judicial and administrative remedies have been exhausted or have 
lapsed, and that is not being paid in a timely manner pursuant to an 
agreement with the authority responsible for collecting the tax 
liability, is not eligible for financial assistance. All corporate 
applicants must complete Form AD-3030 ``Representations Regarding 
Felony Conviction and Tax Delinquent Status for Corporate Applicants.''
    In addition, under program regulations at 7 CFR 1709.7, an 
outstanding judgment obtained against an applicant by the United States 
in a Federal Court (other than in the United States Tax Court), which 
has been recorded, shall cause the applicant to be ineligible to 
receive a grant or loan under this part until the judgment is paid in 
full or otherwise satisfied. RUS financial assistance under this part 
may not be used to satisfy the judgment.
    Before submitting an application, all applicants must have an 
active registration with current information in the System for Award 
Management (SAM) (previously the Central Contractor Registry (CCR)) at 
https:\\www.sam.gov and have a Dun and Bradstreet (D&B) Data Universal 
Numbering System (DUNS) number. For more information on obtaining a 
DUNS number and SAM registration see section D.3 below.
ii. Substantially Underserved Trust Area Applicants
    Consistent with section 306F of the RE Act (7 U.S.C. 936f) and 
regulations concerning SUTA applications at 7 CFR part 1700, subpart D 
this notice provides priority scoring for any complete and eligible 
application from an eligible entity that has been accepted by the 
Administrator for consideration under SUTA provisions. In addition to 
establishing that it is an eligible applicant under this notice, SUTA 
applicants must also establish its eligibility under SUTA regulations 
at 7 CFR part 1700, subpart D.
    The applicant must submit a letter to the RUS Administrator that it 
is seeking consideration under provisions of 7 CFR part 1700, subpart D 
and the action that it is requesting. The letter must be accompanied by 
a copy of the application package submitted in response to this notice. 
The request must include all information required under the SUTA 
regulations establishing that its project is for an eligible trust 
area, documenting its high need for High Energy Cost Grant funds, and 
identifying the discretionary authorities that it seeks to have applied 
to its application.
    The Administrator will review the request to determine whether the 
applicant is eligible to receive consideration under SUTA. RUS will 
notify the applicant in writing whether (1) the application has been 
accepted to receive special consideration or (2) the application has 
not been accepted for consideration under the SUTA regulation. If the 
request is not granted, the applicant may withdraw its application. If 
the application is still eligible without SUTA consideration and the 
applicant does not withdraw the application, RUS will review and score 
the application along with others received under this notice. For more 
detailed information on how to apply for a grant under SUTA, please 
refer to the FY 2015 Application Guide available at https://www.rd.usda.gov/programs-services/high-energy-cost-grants.

2. Cost Sharing and Matching

    This grant program has no cost sharing or matching funds 
requirement as a condition of eligibility. However, the RUS will 
consider other financial resources available to the grant applicant and 
any voluntary pledge of matching funds or other contributions in 
assessing the applicant's commitment and financial capacity to complete 
the proposed project successfully. If a successful applicant proposes 
to use matching funds or other cost contributions in its project, the 
grant agreement will include conditions requiring documentation of the 
availability of the matching funds and actual expenditure of matching 
funds or cost contributions. RUS may require the applicant to provide 
additional documentation confirming the availability of any matching 
contribution offered prior to approval of a project award. If an 
applicant fails to provide timely documentation of the availability of 
matching contributions, the RUS may, in its sole discretion, decline to 
award the project if uncertainties over availability of the match 
render the project financially unfeasible and impose additional 
conditions.

[[Page 61340]]

3. Other

i. Eligible Communities
    To establish community eligibility, the application must (1) 
clearly identify and define the geographic area that will be included 
in the grant project and (2) demonstrate that each of the communities 
in the proposed area meets one or more of the high energy cost 
benchmarks. Consult the program regulations at 7 CFR part 1709 and the 
2015 Application Guide for additional definitions used in this program.
    All grant projects must benefit communities with extremely high 
energy costs. The RE Act defines an extremely high energy cost 
community as one in which ``the average residential expenditure for 
home energy \2\ is at least 275 percent of the national average 
residential expenditure for home energy'' 7 U.S.C. 918a. This statutory 
requirement that community residential expenditures for home energy 
exceed 275 percent of the national average establishes a very high 
threshold for eligibility under this program.
---------------------------------------------------------------------------

    \2\ Home energy means any energy source or fuel used by a 
household for purposes other than transportation, including 
electricity, natural gas, fuel oil, kerosene, liquefied petroleum 
gas (propane), other petroleum products, wood and other biomass 
fuels, coal, wind, and solar energy. Fuels used for subsistence 
activities in remote rural areas are also included.
---------------------------------------------------------------------------

    RUS periodically establishes community eligibility benchmarks based 
on the latest available information from the Energy Information 
Administration (EIA) residential energy surveys. Home energy cost 
benchmarks are calculated for average annual household energy 
expenditures; total annual expenditures for individual fuels; annual 
average per unit energy costs for residential energy sources and are 
set at 275 percent of the relevant national average household energy 
expenditures. The current benchmarks are shown in Table 1.
    Applicants must demonstrate that proposed communities meet one or 
more benchmarks to qualify as an eligible beneficiary of a grant under 
this program. All applications must meet these current eligibility 
benchmarks for high energy cost. Based on available published 
information on residential energy costs, RUS anticipates that only 
those communities with the highest energy costs across the country will 
qualify.
    The EIA's Residential Energy Consumption and Expenditure Surveys 
(RECS) and reports provide the baseline national average household 
energy costs that were used for establishing extremely high energy cost 
community eligibility criteria for this grant program. The RECS data 
base and reports provide national and regional information on 
residential energy use, expenditures, and housing characteristics. EIA 
published its latest available RECS home energy expenditure survey 
results in 2012. These estimates of home energy usage and expenditures 
are based on national surveys conducted in 2009 survey data and are 
shown in Table 1 as follows:

    Table 1--National Average Annual Household Energy Expenditures and Extremely High Energy Cost Eligibility
                  Benchmarks Effective for Applications Submitted on or After October 13, 2013
----------------------------------------------------------------------------------------------------------------
                                      Average Annual Household Expenditure
-----------------------------------------------------------------------------------------------------------------
                                                       EIA 2009 national annual      RUS extremely high energy
                                                    average household expenditure     cost benchmark (275% of
                       Fuel                        -------------------------------       national average)
                                                                                  ------------------------------
                                                              $ per year                     $ per year
----------------------------------------------------------------------------------------------------------------
Electricity.......................................                         $1,340                         $3,685
Natural Gas.......................................                            804                          2,211
Fuel Oil..........................................                          1,338                          3,680
LPG/Propane.......................................                            972                          2,673
                                                   -------------------------------------------------------------
    Total Household Energy Use....................                          2,024                          5,566
----------------------------------------------------------------------------------------------------------------
                                Annual Average Per Unit Residential Energy Costs
----------------------------------------------------------------------------------------------------------------
Fuel                                                  EIA 2009 national average        RUS extremely high energy
                                                              unit cost                           cost benchmark
                                                                                      (275% of national average)
----------------------------------------------------------------------------------------------------------------
 (units)                                                      $ per unit                     $ per unit
----------------------------------------------------------------------------------------------------------------
Electricity (Kilowatt hours)......................                           $.12                           $.33
Natural Gas (thousand cubic feet).................                          12.18                          33.50
Fuel Oil (gallons)................................                           2.42                           6.68
LPG/Propane (gallons).............................                           2.09                           5.76
Kerosene (gallons)................................                           2.72                           7.49
                                                   -------------------------------------------------------------
    Total Household Energy (million Btus).........                          22.59                          62.12
----------------------------------------------------------------------------------------------------------------
Sources: Energy Information Administration, United States Department of Energy, 2009 Residential Energy
  Consumption Survey Data--Detailed Tables, available at: https://www.eia.gov/consumption/residential/data/2009/.

    Extremely high energy costs in rural and remote communities 
typically result from a combination of factors including high energy 
consumption, high per unit energy costs, limited availability of energy 
sources, extreme climate conditions, and housing characteristics. The 
relative impacts of these conditions exhibit regional and seasonal 
diversity. Market factors have created an additional complication in 
recent years as the prices of the major commercial residential energy 
sources--electricity, fuel oil, natural gas, and LPG/propane-- have 
fluctuated dramatically in some areas.
    The applicant must demonstrate that each community in the grant 
project's

[[Page 61341]]

proposed area exceeds one or more of these high energy cost benchmarks 
to be eligible for a grant under this program.
    a. High Energy Cost Benchmarks.
    The benchmarks measure extremely high energy costs for residential 
consumers. These benchmarks were calculated using EIA's estimates of 
national average residential energy expenditures per household and by 
primary home energy source. The benchmarks recognize the diverse 
factors that contribute to extremely high home energy costs in rural 
communities. The benchmarks allow extremely high energy cost 
communities several alternatives for demonstrating eligibility. 
Communities may qualify based on: Total annual household energy 
expenditures; total annual expenditures for commercially-supplied 
primary home energy sources, i.e., electricity, natural gas, oil, or 
propane; or average annual per unit home energy costs. By providing 
alternative measures for demonstrating eligibility, the benchmarks 
reduce the burden on potential applicants created by the limited public 
availability of comprehensive data on local community energy 
consumption and expenditures.
    A community or area will qualify as an extremely high cost energy 
community if it meets one or more of the energy cost eligibility 
benchmarks described below.
    (1) Extremely High Average Annual Household Expenditure for Home 
Energy. The area or community exceeds one or more of the following:
     Average annual residential electricity expenditure of 
$3,685 per household;
     Average annual residential natural gas expenditure of 
$2,211 per household;
     Average annual residential expenditure on fuel oil of 
$3,680 per household;
     Average annual residential expenditure on propane or 
liquefied petroleum gas (LPG) as a primary home energy source of $2,673 
per household; or
     Average annual residential energy expenditure (for all 
non-transportation uses) of $5,566 per household.
    (2) Extremely High Average per Unit Energy Costs. The average 
residential per unit cost for major commercial energy sources in the 
area or community exceeds one or more of the following:
     Annual average cost per kilowatt hour for residential 
electricity customers of $0.33 per kilowatt hour (kWh);
     Annual average residential natural gas price of $33.50 per 
thousand cubic feet;
     Annual average residential fuel oil price of $6.68 per 
gallon;
     Annual average residential price of propane or LPG as a 
primary home energy source of $5.76 per gallon;
     Annual average residential price of Kerosene as a primary 
home energy source of $7.49 per gallon or
     Total annual average residential energy cost on a Btu 
basis of $62.12 per million Btu.\3\
---------------------------------------------------------------------------

    \3\ Note: Btu is the abbreviation for British thermal unit, a 
standard energy measure. A Btu is the quantity of heat needed to 
raise the temperature of one pound of water 1 degree Fahrenheit at 
or near 39.2 degrees Fahrenheit.
---------------------------------------------------------------------------

    (3) Supporting Energy Cost Data. The applicant must include 
information that demonstrates its eligibility under RUS's high energy 
cost benchmarks for the communities and areas. The applicant must 
supply documentation or references for its sources for actual or 
estimated home energy expenditures or equivalent measures to support 
eligibility. Generally, the applicant will be expected to use 
historical residential energy cost or expenditure information for the 
local energy provider serving the community or area to determine 
eligibility. Other potential sources of home energy related information 
include Federal and State agencies, local community energy providers 
such as electric and natural gas utilities and fuel dealers, and 
commercial publications. The Application Guide includes a list of EIA 
resources on residential energy consumption and costs that may be of 
assistance.
    The grant applicant must establish eligibility for each community 
in the project's area. To determine eligibility, the applicant must 
identify each community included in whole or in part within the areas 
and provide supporting actual or estimated energy expenditure data for 
each community. The smallest area that may be designated as an area is 
a 2010 Census block. This minimum size is necessary to enable a 
determination of population size.
    Potential applicants can compare the benchmark criteria to 
available information about local energy use and costs to determine 
their eligibility. Applicants should demonstrate their eligibility 
using historical energy use and cost information. Where such 
information is unavailable or does not adequately reflect the actual 
costs of supporting average home energy use in a local community, RUS 
will consider estimated commercial energy costs. The Application Guide 
includes examples of circumstances where estimated energy costs are 
used.
    EIA does not collect or maintain data on home energy expenditures 
in sufficient detail to identify specific rural localities as extremely 
high energy cost communities. Therefore, grant applicants will have to 
provide information on local community energy costs from other sources 
to support their applications.
    In many instances, historical community energy cost information can 
be obtained from a variety of public sources or from local utilities 
and other energy providers. For example, EIA publishes monthly and 
annual reports of residential prices by State and by service area for 
electric utilities and larger natural gas distribution companies. 
Average residential fuel oil and propane prices are reported regionally 
and for major cities by government and private publications. Many State 
agencies also compile and publish information on residential energy 
costs to support State programs.
    (4) Use of Estimated Home Energy Costs. Where historical community 
energy cost data are incomplete or lacking or where community-wide data 
does not accurately reflect the costs of providing home energy services 
in the area, the applicant may substitute estimates based on 
engineering standards. The estimates should use available community, 
local, or regional data on energy expenditures, consumption, housing 
characteristics and population. Estimates are also appropriate where 
the area does not presently have centralized commercial energy services 
at a level that is comparable to other residential customers in the 
State or region. For example, local commercial energy cost information 
may not be available where the area is without local electric service 
because of the high costs of connection. Engineering cost estimates 
reflecting the incremental costs of extending service could reasonably 
be used to establish eligibility for areas without grid-connected 
electric service. Estimates also may be appropriate where historical 
energy costs do not reflect the cost of providing a necessary upgrade 
or replacement of energy infrastructure to maintain or extend service 
that would raise costs above one or more benchmarks. Information to 
support high energy cost eligibility is subject to independent review 
by RUS.
    Applications that contain information that is not reasonably based 
on credible sources of information and sound estimates will be 
rejected.
    Where appropriate, RUS may consult standard sources to confirm the

[[Page 61342]]

reasonableness of information and estimates provided by an applicant in 
determining eligibility, technical feasibility, and adequacy of 
proposed budget estimates.
    b. SUTA Eligible Communities.
    In addition to meeting extremely high energy cost and other 
criteria in this notice, applicants requesting consideration under SUTA 
must also establish their eligible community is in a substantially 
underserved trust area under the provisions of 7 CFR part 1700, subpart 
D. Applicants should consult SUTA regulations at 7 CFR part 1709 
subpart D for additional information on eligibility and qualifications 
of ``trust lands'' and of ``substantially underserved trust areas.'' 
Potential SUTA applicants are encouraged to consult with the Agency 
Contacts listed in this notice in preparation of their requests for 
consideration.
    The determination of SUTA eligibility will be made by the 
Administrator before applications are scored and ranked.
ii. Eligible Projects
    Eligible projects must serve an eligible community and must include 
only eligible grant purposes. Grant funds may be used to acquire, 
construct, extend, upgrade, or otherwise improve energy generation, 
transmission, or distribution facilities serving eligible communities. 
All energy generation, transmission, and distribution facilities and 
equipment, used to provide electricity, natural gas, home heating 
fuels, and other energy service to eligible communities are eligible. 
Projects providing or improving energy services to eligible communities 
through on-grid and off-grid renewable energy projects, energy 
efficiency, and energy conservation projects are eligible. A grant 
project is eligible if it improves, or maintains energy services, or 
reduces the costs of providing energy services to eligible communities.
    Funds may cover up to the full costs of any eligible projects 
subject to the statutory condition that no more than 4 percent of grant 
funds may be used for the planning and administrative expenses of the 
grantee.
    The project must serve communities that meet the extremely high 
energy cost eligibility requirements described in this notice. The 
applicant must demonstrate that the proposed project will benefit the 
eligible communities. Projects that primarily benefit a single 
household or business are not eligible. Additional information and 
examples of eligible project activities are contained in the 2015 
Application Guide.
    The program regulations at 7 CFR part 1709 provide more detail on 
allowable use of grant funds, limitations on grant funds, and 
ineligible grant purposes. Grant funds may not be used to refinance or 
repay the applicant's outstanding loans or loan guarantees under the RE 
Act.
    Each grant applicant must demonstrate the economic and technical 
feasibility of its proposed project. Activities or equipment that would 
commonly be considered as research, development, or demonstration, or 
commercialization activities are not eligible. Projects for deploying 
new energy technologies that are not in established commercial use will 
not be considered as technologically feasible projects and would, thus, 
be ineligible grant purposes. However, grant funds may be used for 
projects that involve the innovative use or adaptation of energy-
related technologies that have been commercially proven. RUS, in its 
sole discretion, will determine if a project consists of ineligible 
research, development, demonstration, or commercialization activities 
or relies on unproven technology, and that determination shall be 
final.
iii. Limitations on Grant Awards
    a. Statutory Limitation on Planning and Administrative Expenses.
    Section 19(b)(2) of the RE Act provides that no more than 4 percent 
of the grant funds for any project may be used for planning and 
administrative expenses of the grantee not directly related to delivery 
of the project. RUS will not make awards for any such expenses 
exceeding 4 percent of grant funds. Because of this limitation, 
applicants must detail any indirect costs.
    b. Maximum and Minimum Awards.
    For High Energy Cost Grants, the maximum amount of grant assistance 
that will be considered for funding per grant application under this 
notice is $3,000,000. The minimum amount of assistance for a 
competitive grant application under this program is $50,000.
    c. Multiple Applications.
    Eligible applicants must include only one project per application, 
but the project can include many locations. Applicants may submit 
applications for multiple projects. For high energy cost grants, no 
more than $3 million in grant funds will be awarded per project 
application. An applicant will only be awarded funding for one project 
under this notice. The award will be made to the highest ranked 
application submitted; other applications from the same applicant or 
project will remain unfunded under this notice.
    d. Ineligible Grant Purposes for High Energy Cost Grants.
    Grant funds cannot be used for: Preparation of the grant 
application, fuel purchases, routine maintenance or other operating 
costs, and purchase of equipment, structures, or real estate not 
directly associated with provision of residential energy services. In 
general, grant funds may not be used to support projects that primarily 
benefit areas outside of eligible communities. However, grant funds may 
be used to finance an eligible community's proportionate share of a 
larger energy project.
    Consistent with USDA policy and program regulations, grant funds 
awarded under this program generally cannot be used to replace other 
USDA assistance or to refinance or repay outstanding loans under the RE 
Act. Grant funds may, however, be used in combination with other USDA 
assistance programs including electric loans. Grants may be applied 
toward grantee contributions under other USDA programs depending on the 
specific terms of those programs. For example, an applicant may propose 
to use grant funds to offset the costs of electric system improvements 
in extremely high cost areas by increasing the utility's contribution 
for line extensions or system expansions to its distribution system 
financed in whole or part by an electric loan under the RE Act. An 
applicant may propose to finance a portion of an energy project for an 
extremely high energy cost community through this grant program and 
secure the remaining project costs through a loan or loan guarantee 
from RUS or other grant sources. The determination of whether a project 
will be completed in this manner will be made solely by the 
Administrator.
    e. Pre-award Activities during Environmental Review.
    RUS may refuse to provide an award where the selected applicant has 
taken actions in violation of restrictions on certain project 
activities prior to completion of pre-award environmental review. See 
section F.2.ii of this notice and 7 CFR 1794.15, or its successor.

D. Application and Submission Information

    All applications must be prepared and submitted in compliance with 
this notice and the 2015 Application Guide. The Application Guide 
contains additional information on the grant programs, sources of 
information for use in preparing applications, examples of eligible 
projects, and copies of the required application forms.

[[Page 61343]]

1. Address To Request Application Package

    The FY 2015 Application Guide, copies of required forms, and other 
information on the High Energy Cost Grant Program are available from 
these sources:
    a. The Internet at the program Web site: https://www.rd.usda.gov/programs-services/high-energy-cost-grants;
    b. Through Grants.gov (https://www.Grants.gov) under CFDA No. 
10.859);
    c. By request from Robin Meigel, Finance Specialist, Rural 
Utilities Service, Electric Program, Office of Portfolio Management and 
Risk Assessment, United States Department of Agriculture, 1400 
Independence Avenue SW., STOP 1568, Room 1274-S, Washington, DC 20250-
1568. Telephone (202) 720-9452, Fax (202) 720-1401, email: 
Robin.Meigel@wdc.usda.gov.

2. Content and Form of Application Submission

    Applicants must follow the directions in this notice and the 2015 
Application Guide in preparing and submitting their application 
packages.
i. Pre-Application
    This program does not require or accept pre-applications. This 
program is not subject to E.O. 12372 ``Intergovernmental Review of 
Federal Programs'' as implemented by USDA.
ii. The Application as a Whole
    Application packages must be prepared consistent with the 
requirements of this notice, the 2015 Application Guide and program 
regulations at 7 CFR 1709.117. Applicants are encouraged to consult the 
recently updated Uniform Administrative Requirements, Cost Principles, 
and Audit Requirements For Federal Awards, 2 CFR part 200 for 
additional requirements applicable to grants under this program. 
Application packages that do not comply with the eligibility and 
content provisions of this notice will be rejected. As used in this 
notice ``narrative'' means a written statement, description or other 
written material prepared by the applicant, for which no form exists.
    Format. The completed application package should be assembled in 
the order specified in section D.2.iii below with all pages numbered 
sequentially or by section. Application narratives and attachments 
should be formatted for 8\1/2\ by 11 inch paper (letter size) with 1 
inch margins. Preferred type faces are Times New Roman12, Calibri 11, 
Arial 11, Verdana 10 or Courier 10. Narratives may be single or double 
spaced. It is strongly recommended that Project Narratives be no longer 
than about 30 pages in length or less (exclusive of required forms and 
Project Summary) with up to 10 pages of attachments. Paper application 
packages will be scanned and should be printed single-sided on white 
letter size paper. Electronic applications must follow formatting 
directions, including acceptable file attachment types, specified on 
Grants.gov. Failure to follow these instructions may result in 
rejection of the application.
    Number of copies. A complete application submission package 
consists of one original application with original signatures on all 
forms and certifications and two copies.
iii. Component Pieces of the Application
    The completed application consists of the following sections and 
forms. Narrative sections should be formatted as indicated above and 
assembled in the sequence specified. Table 2 lists the required content 
and form of a complete application. Applicants may use this table to 
assure that their applications are complete and assembled in order.

        Table 2--Required Content and Form of Application Package
------------------------------------------------------------------------
 
--------------------
Component pieces of
 the application.
 Complete
 Applications must
 include all listed
 sections, forms,
 and certifications
 in the order shown
 in this table.
Part A. Completed
 Form SF-424
 ``Application for
   Federal
 Assistance.''
Part B, Project
 Summary and
 Eligibility
 Statement (up to 3
 pages total).
Part C. Project
 Narrative
 Proposal.
    (1) Table of
     Contents.
    (2) Executive
     Summary (1
     page).
    (3) Project
     Description
     (up to about
     30 pages).
    (a) Community
     Eligibility
     and Assessment
     of Community
     Needs.
    (b) Project
     Design,
     Technical
     Feasibility
     and
     Responsiveness
     to Community
     Needs.
    (c) Applicant
     Organization
     and
     Eligibility.
    (d) Project
     Management
     Plan.
    (e)
     Organizational
     Experience.
    (f) Key Staff
     Experience.
    (g) Project
     Goals,
     Objectives and
     Performance
     Measures.
    (h) Project
     Reporting
     Plan.
    (i) Project
     Budget and
     Financial
     Capability,
     accompanied by
     SF-424A,
     ``Budget
     Information--N
     on-
     Construction
     Programs,'' or
     SF-424C
     ``Budget
     Information--C
     onstruction
     Programs,'' as
     applicable.
    (j) Rural
     Economic
     Development
     Initiatives.
    (k) Priority
     Considerations
     .
Part D. Additional
 Required Forms and
 Certifications.
Form SF-424B,
 ``Assurances--Non-
 Construction
 Programs'' or Form
  SF-424D,
 ``Assurances--Cons
  truction
 Programs.''
Form SF-LLL,
 ``Disclosure of
  Lobbying
 Activities.''
Form AD-3030
 ``Representations
 Regarding Felony
 Conviction and Tax
 Delinquent Status
 for Corporate
 Applicants''
 (Applications from
 Corporations
    only).
Rural Utilities
   Service
 ``Certification
 Regarding
 Debarment,
 Suspension and
     Other
 Responsibility
 Matter--Primary
   Covered
 Transactions.''
RUS Environmental
 Questionnaire.
  Part E.
 Supplementary
 Materials (up to
 10 pages).
------------------------------------------------------------------------

    a. Part A. Completed Form SF-424, ``Application for Federal 
Assistance.''
    This form must be signed by a person authorized to submit the 
proposal on behalf of the applicant. Note: All applicants, except 
individuals, must include a DUNS number on the SF-424 to be considered 
complete. See section

[[Page 61344]]

D.3 for information on obtaining a DUNS Number. Copies of this form are 
available through the RUS's Web site (https://www.rd.usda.gov/programs-services/high-energy-cost-grants) or through Grants.gov, or by request 
from the Agency contact listed in section D.1 above.
    b. Part B, Project Summary and Eligibility Statement.
    The Project Summary and Eligibility Statement is a short narrative 
that establishes the application's eligibility. It describes the 
applicant, the eligible high energy cost community, the proposed 
project, and any requested priority considerations. The Project Summary 
should be no longer than three (3) pages.
    In Part B applicants must provide a brief summary of the project 
proposal. The project must be described in sufficient detail to 
establish that it is an eligible project under the High Energy Cost 
Grant Program, program regulations (7 CFR part 1709) and this notice. 
Applicants should take great care in preparing this section to include 
all elements listed below. RUS will make an initial determination of 
eligibility and whether to accept the application for further review 
and scoring based on the contents of this project summary. Application 
packages that do not meet eligibility requirements will be rejected.
    Part B will not be scored so applicants must also include any 
information on eligibility or priority scoring in the full project 
narrative proposal.
    Part B must include the following information.
    (1) Applicant Eligibility.
    This section of Part B must briefly describe the applicant, its 
capabilities, and provides information demonstrating that the applicant 
is an eligible entity under program regulations at 7 CFR 1709.106 and 
this notice. Applicants must also be free of any debarment or other 
restriction on their ability to contract with the Federal government as 
identified in section C.1.a of this notice.
    (2) Community Eligibility.
    This summary must describe the eligible community or communities to 
be served by the project including name, location, and population based 
on 2010 Census. It must also provide the name and population of the 
local government division (e.g., city, town or county for 
unincorporated areas) where the project is located. It must 
specifically identify the average community residential energy costs 
that exceed one or more of the benchmark criteria for extremely high 
energy costs as described in this notice. Local energy providers and 
sources of high energy cost data and estimates should be clearly 
identified. The Application Guide includes additional information and 
sources that the applicant may find useful in establishing community 
eligibility.
    (3) Project Eligibility.
    This section provides a brief overview of the project including the 
project title, total project costs, the amount of grant funds 
requested, amount and source of matching contributions, major project 
goals and tasks, and the location of project activities and facilities 
to be supported with grant funds. It should indicate the proposed 
project duration. It must state how the grant project will provide 
benefits to the eligible community and offset or reduce the target 
community's extremely high energy costs. The summary should briefly 
identify any state or tribal rural development initiative that the 
project supports.
    (4) Priority Considerations.
    Applicants should indicate all Priority Considerations for which 
they are seeking additional points in project scoring. Priority points 
to be awarded under this notice are set forth in section E.1.
    (5) Contact Information.
    The project summary should list the Applicant's name, address, 
telephone number, fax, and email address and contact person for the 
application. Include the contact person's address, telephone number, 
fax and email address if different from the applicant.
    c. Part C. Project Narrative Proposal.
    The project narrative proposal describes in detail the proposed 
grant project, the project benefits, and the proposed budget. Part C 
follows sequentially after Parts A and B in assembling the package and 
contents should be assembled and paginated in the order described 
below.
    In preparing the project narrative proposal, Applicants must 
address individually and in narrative form each of the proposal 
evaluation and selection criteria contained in section E.1 of this 
notice. The project narrative proposal of eligible applications will be 
scored competitively and the results used to rank applications for 
awards.
    Format and length. The narrative proposal should be formatted 
according to the instructions in section D.2.ii. Applicants are 
strongly encouraged to keep the narrative proposal to no longer than 
approximately 30 pages, exclusive of required forms. Successful 
application narratives have been shorter in length. Applicants may use 
the Supplementary Materials section to include up to ten (10) pages of 
letters of support and other information for reviewers. Letters from 
Members of Congress and senior State government officials will not 
count against this page limit.
    The project narrative proposal includes the following sections 
assembled in the order indicated.
    (1) Table of Contents.
    Part C of the application package must include a Table of Contents 
immediately before the Executive Summary. The Table of Contents must 
provide page numbers for all sections, forms, and supplemental 
materials. The Table of Contents will help reviewers assure that all 
submitted materials are included in the application package and in 
correct, intended order. This section will not be scored or counted 
against any suggested page limits.
    (2) Executive Summary.
    The Executive Summary is a one page introduction to the project 
that briefly identifies the applicant, project title, amount of grant 
funds requested, eligible communities, the activities and facilities to 
be supported, and how the grant project will benefit the community and 
offset or reduce the community's extremely high energy costs. Any 
priority considerations requested should be listed. The Executive 
Summary will be used to prepare any project descriptions or 
announcements and should list a key contact person for the application 
with telephone and fax numbers, mailing address and email address. The 
Executive Summary is a required component of the application (7 CFR 
1709.117(b)(1)), but will not be scored. The Executive Summary 
immediately follows the Table of Contents.
    (3) Project Description.
    The narrative project description should be no longer than about 30 
pages in total and should be prepared using the formatting instructions 
above in section D.2.ii.
    (a) Community Eligibility and Assessment of Community Needs.
    The Applicant must describe the community or communities to be 
served by the grant and provide supporting information establishing 
eligibility. The narrative must show that the proposed grant project's 
target area or areas are located in one or more communities where the 
average annual residential energy costs exceed one or more of the 
benchmark criteria for extremely high energy costs as described in 
section C3 and Table 1 of this notice. The narrative must clearly 
identify the location and population of the areas to be aided by the 
grant project and their energy costs. It must also include the 
population of the local government division in which each community is 
located. Local energy providers and sources of high

[[Page 61345]]

energy cost data and estimates must be clearly identified. Neither the 
applicant nor the project must be physically located in the extremely 
high energy cost community, but the funded project must serve an 
eligible community.
    The population estimates should be based on the 2010 Census 
available from the U.S. Census Bureau. Additional information and 
exhibits supporting eligibility and community energy sources may be 
obtained from the U.S. Census, the Energy Information Administration, 
other Federal and State agencies, or private sources. The Application 
Guide provides additional information and sources that are useful in 
establishing community eligibility.
    The Applicant must identify and analyze the major challenges that 
the eligible community faces and how their extremely high energy costs 
impair their ability to meet these needs or adversely affect other 
aspects of community wellbeing. The Applicant may, for example, 
describe how socioeconomic, environmental, or public policy 
considerations may affect the community's ability to meet its energy 
needs or influence the choices that they may make.
    The Applicant must describe how the proposed grant project is 
responsive to the identified community challenges or needs by, for 
example, providing or improving critical energy infrastructure or 
offsetting or reducing the impacts of high energy costs on community 
residents through energy efficiency improvements. In providing 
community information, Applicants should bear in mind that they are 
presenting a case that their project community should be ranked higher 
than competing similar projects.
    In analyzing community needs, Applicants should address any 
community characteristics or extraordinary conditions that reviewers 
should consider in weighing need for assistance. In particular, the 
narrative should address any circumstances that may qualify the 
application for one or more of the priority scoring considerations 
established in section E of this notice. Priority considerations 
include high poverty areas, rurality, renewable energy, extraordinary 
conditions or circumstances, and Substantially Underserved Trust Areas.
    (b) Project Design, Technical Feasibility and Responsiveness to 
Community Needs.
    The narrative must describe the proposed project in sufficient 
detail to establish that it is an eligible project under program 
regulations at 7 CFR 1709.109 to 1709.111, the Uniform Administrative 
Requirements, Cost Principles, and Audit Requirements for Federal 
Awards at 2 CFR part 200, and this notice.
    The applicant must describe the project design, construction, 
materials, equipment, and associated activities in sufficient detail to 
support a conclusion by reviewers of the project's eligibility and 
technical feasibility as required by program regulations 7 CFR 1709. 
117 and this notice. Proposed projects involving construction, repair, 
replacement, or improvement of electric generation, transmission, and 
distribution facilities must generally be consistent with the standards 
and requirements for projects financed with loans and loan guarantees 
under the RE Act as set forth in RUS's Electric Programs Regulations 
and Bulletins and may reference these requirements.
    The Applicant's proposed scope of work must include major tasks to 
be performed, any services to be provided directly to beneficiaries, a 
proposed timeline for completing each task; and an estimate of the 
overall project duration.
    The application must identify the location of the project target 
area with the eligible extremely high energy cost communities to be 
served, and the locations, if any, outside of these areas where project 
funded activities will be conducted.
    In describing the project plan and schedule, applicants must 
specifically identify any regulatory and other approvals required by 
Federal, State, local, or tribal agencies, or by private entities (as a 
condition of financing), that are necessary to carry out the proposed 
grant project. The Applicant must provide an estimated schedule for 
obtaining the necessary approvals. Prior to the obligation of any funds 
for the selected proposals, applicants will be required to gather 
specific information in order for RUS to comply with the National 
Environmental Policy Act of 1969 (NEPA) and National Historic 
Preservation Act (NHPA), for which the provision of funding is 
considered an undertaking subject to review. The environmental 
information that must be supplied by the applicant can be found in the 
RUS Environmental Questionnaire in the application materials.
    Finally, the Applicant must address how the project responds to the 
community needs identified in its assessment and analysis of community 
needs above.
    (c) Applicant Organization and Eligibility.
    In this section the applicant must describe its organizational 
structure and capacity to carry out the project according to its 
proposed terms and consistent with Federal requirements. The Applicant 
must establish that it is an eligible applicant under this program as 
provided in section C.1.a above. Additionally, the Applicant must 
establish that it and its project are located in the United States, its 
territories, or an eligible insular area.
    The narrative and supporting documentation must describe the 
applicant entity and establish its eligibility consistent with 
regulations at 7 CFR part 1709 and this notice. The description must 
include the entity's organizational structure, ownership, when it was 
established, where it operates, sources of funding, whether it is 
regulated, and identify any subsidiaries, affiliates, or parent 
entities. The applicant must describe its financial management system 
that it will use for grant activities. Finally, the applicant must 
demonstrate that it has or will have the legal authority to enter into 
a financial assistance relationship with the Federal Government. 
Examples of supporting evidence of applicant's legal existence and 
eligibility include: A reference to or copy of the relevant statute, 
regulation, executive order, or legal opinion authorizing a State, 
local, or tribal government program, articles of incorporation or 
certificates of incorporation or good standing for corporate 
applicants, partnership or trust agreements, and board resolutions. 
These documents will not be counted towards any page limitation and 
should be included at the end of the Application Package. Applicants 
must also be free of any debarment or other restriction on their 
ability to contract with the Federal Government or receive a Federal 
grant.
    (d) Project Management Plan.
    This section must provide a narrative describing the applicant's 
management structure, capabilities, and project performance plans. The 
application must include a description of the entity's organizational 
structure, method of funding, legal authority, key executives, project 
management experience, and financial management systems. Financial 
statements and other supporting documentation about applicant 
eligibility, experience, financial and legal capacity to carry out the 
project may be referenced here.
    The applicant must describe how and by whom the project will be 
managed during construction and all phases of operation. The 
description must include the applicant's project management structure, 
key project personnel, and the degree to which applicant's full time 
employees, affiliated entities or contractors will be used to complete

[[Page 61346]]

project tasks and provide any services to beneficiaries. The applicant 
must provide the identities, legal relationships, qualifications and 
experience of those persons that will perform project management 
functions. If the applicant proposes to use equipment or design, 
construction and other services from non-affiliated entities, the 
application must describe how it plans to contract for such equipment 
or services.
    The applicant must describe the identities, relationship, 
qualifications, and experience of these affiliated and contracted 
entities. The experience and capabilities of these affiliated and/or 
contracted entities will be reviewed by the rating panel.
    Applicants are encouraged to review the financial management 
requirements for Federal grantees in 7 CFR part 1709 and government-
wide financial assistance regulations at 2 CFR part 200, and to address 
their ability to comply with these requirements in their applications.
    Overall, this section should provide information that will support 
a finding that the overall combination of management experience, 
financial management capabilities, resources and project structure will 
enable successful completion of the project.
    (e) Organizational Experience.
    This subsection should include a detailed description of the 
applicant's relevant experience and that of any other organization that 
will carry out the proposed projects. Information should be included on 
past projects, success rates, long-term results, and community and 
individual consumer benefits. If the applicant has received any prior 
High Energy Cost Grants or other Federal funding, a detailed 
description of these awards and past performance is required in this 
section.
    (f) Key Staff Experience.
    The application must identify all key project staff and provide 
brief experience and qualifications descriptions. If the applicant 
proposes to use affiliated entities, contractors, or subcontractors to 
provide services funded under the grant, the applicant must describe 
the identities, relationship, qualifications, and experience of these 
affiliated entities. The rating panel will consider the experience and 
capabilities of these entities in scoring the proposal. If the 
application is selected for funding, key personnel provisions may be 
included in the grant agreement as a condition of the award.
    (g) Project Goals, Objectives and Performance Measures.
    Federal grant regulations provide that each grant award must 
include establishment of performance goals defined as ``a target level 
of performance expressed as a tangible, measurable objective, against 
which actual achievement can be compared'' (2 CFR 200.76. See also 2 
CFRs 200.301, and 200.308 and 7 CFR1709.117).
    In this section the applicant must explain how the project 
addresses the energy needs of the community and must clearly identify 
appropriate proposed measures of project performance and success. 
Measures of performance might include percent completion of 
construction projects over the proposed schedule. Objectives or 
measures of benefits might include, for example, expected reductions in 
home or community energy costs, avoided cost increases, enhanced 
reliability, or economic or social benefits from improvements in energy 
services available to the community. The applicant should include 
quantitative estimates of cost or energy savings and other benefits. 
The applicant should provide documentation or references to support its 
projections of cost-effectiveness savings and improved services.
    (h) Project Reporting Plan.
    The applicant must include a proposed progress reporting plan 
describing how it plans to measure, monitor, and report on the 
effectiveness of the project in delivering its projected benefits and 
on any significant developments or challenges that arise during project 
performance. RUS will use these proposed performance measures and 
reporting plans to establish the performance measures incorporated in 
the grant agreement in the event the proposal is selected for an award. 
These suggested performance criteria are not binding on the Agency.
    (i) Project Budget and Financial Capability.
    In this subsection the applicant must present its proposed project 
budget for the full term of the project and also provide information 
about its own financial capability to support the project and manage it 
in compliance with requirements for Federal assistance.
    The budget narrative must provide a detailed breakdown of all 
estimated costs and allocate these costs among the listed tasks in the 
work plan. The narrative and budget exhibits and forms must itemize and 
explain major proposed project cost components such as, but not limited 
to, the expected costs of design and engineering and other professional 
services, personnel costs (salaries/wages and fringe benefits), 
equipment, materials, property acquisition, travel (if any), and other 
direct costs, and proposed recovery of indirect costs, if any. The 
budget must document that planned administrative and other expenses of 
the project sponsor that are not directly related to performance of the 
grant will not total more than 4 percent of grant funds.
    The applicant must explain the basis for any cost estimates. A pro 
forma operating budget for the three years of operations must be 
included as an exhibit in this section.
    The applicant must clearly identify the source and amount of any 
other Federal or non-Federal contributions of funds or services that 
will be used to support the proposed project, including any program 
income.
    The detailed budget narrative must be accompanied by SF-424A, 
``Budget Information--Non-Construction Programs,'' or SF-424C ``Budget 
Information--Construction Programs,'' as applicable. All applicants 
that submit applications through Grants.gov must use SF-424A.
    Consistent with the requirements of 2 CFR 200.205, the RUS must 
review the financial risk posed by applicants. In support of this 
review, applicants must provide additional narrative regarding the 
financial capability of their organization including, for example:
    (1) Financial stability;
    (2) Quality of management systems and ability to meet the 
management standards prescribed under Federal grant regulations in 2 
CFR part 200;
    (3) History of performance in managing any other Federal awards, 
including timeliness of compliance with applicable reporting 
requirements, conformance to the terms and conditions of previous 
Federal awards, and if applicable, the extent to which any previously 
awarded amounts will be expended prior to future awards;
    (4) Reports and findings from audits performed for other Federal 
assistance under 2 CFR part 200, subpart F--Audit Requirements or the 
reports and findings of any other available audits; and/or
    (5) Any contracts with certain parties that are debarred, suspended 
or otherwise excluded from or ineligible for participation in Federal 
programs or activities.
    Applicants may cross reference relevant discussions elsewhere in 
the application in support of their financial stability and financial 
management capability.
    (j) Rural Economic Development Initiatives.
    The Applicant must address how the project will support rural 
economic

[[Page 61347]]

development in the target area. The narrative must describe whether and 
how the proposed project will support any rural economic development 
initiatives funded by, or carried out in cooperation with, a State or 
local agency, or an Indian Tribe as required by 7 CFR 1709.117(b)(11). 
If the project supports a rural development initiative, the application 
should include confirming documentation from the appropriate rural 
development agency. The application must identify the extent to which 
its proposed project performance is dependent upon or tied to other 
rural development initiatives, funding, or approvals. If the project is 
independent of and not coordinated with a State or Tribal rural 
development initiative, the applicant should clearly indicate this. 
Project narratives that do not address this requirement will receive 
zero points under this evaluation criterion.
    (k) Priority Considerations.
    The Administrator has approved certain priority considerations in 
scoring and ranking applications consistent with program regulations at 
7 CFR 1709.123. These priority scoring considerations and points to be 
awarded are described in Section E of this notice. In order to assure 
that applicants receive all of the priority points for which they are 
eligible, this section should identify each priority consideration that 
the Applicant is requesting and provide a brief statement of the 
circumstances that make them eligible for the priority criterion. 
Applicants may cross reference more detailed information elsewhere in 
the application package. Applicants should carefully read section E on 
scoring priority considerations before writing this section. Priority 
will be awarded for the following:
     High Poverty Communities;
     Rurality (population);
     Renewable Energy Projects;
     Extraordinary conditions/circumstances such as a disaster, 
imminent hazard, unserved areas, severe economic hardship for energy 
provider or community, or other circumstance; and
     Substantially Underserved Trust Areas.
    d. Part D. Additional Required Forms and Certifications.
    In order to establish compliance with other Federal requirements 
for financial assistance programs, the applicant must execute and 
submit as parts of the application package the following forms and 
certifications:
     SF 424B, ``Assurances--Non-Construction Programs'' or SF 
424D, ``Assurances--Construction Programs'' (as applicable). All 
applicants applying through Grants.gov must use form SF 424B.
     SF LLL, ``Disclosure of Lobbying Activities.'' All 
applicants must file this disclosure form (2 CFR 418.110). The 
applicant should complete name and address information. If no 
expenditure indicate $0, ``none,'' or ``not applicable'' in the 
reporting section.
     Form AD-3030 ``Representations Regarding Felony Conviction 
and Tax Delinquent Status for Corporate Applicants'' (for corporate 
applicants only).
     Rural Utilities Service ``Certification Regarding 
Debarment, Suspension and Other Responsibility Matter--Primary Covered 
Transactions''.
     High Energy Cost Grant Program RUS Environmental 
Questionnaire. The RUS environmental questionnaire solicits information 
about project characteristics and site-specific conditions that may 
involve environmental, historic preservation, and other resources. The 
information will be used by RUS's environmental staff to determine 
what, if any, additional environmental impact analyses may be necessary 
before a final grant award may be approved. A copy of the environmental 
questionnaire and instructions for completion are included in the 
Application Guide and may be downloaded from RUS's Web site or under 
funding opportunity announcement RD-RUS-HECG15 at Grants.gov.
    e. Part E. Supplementary Materials (Up to 10 pages).
    Applicants may include additional information for reviewers such as 
letters of support and any other supplementary materials not included 
as exhibits in the project narrative that support eligibility, or 
priority considerations. Letters from Congress and senior State 
Officials will not be counted against the page limitation.
    f. SUTA Application Package Contents.
    Application contents for entities that have requested SUTA 
consideration are identical to those for other applicants. The request 
for SUTA consideration is separate from the application package to be 
reviewed by the rating panel. See discussion of SUTA above in section C 
and SUTA regulations at 7 CFR 1700.108 for additional information on 
what is required in the separate SUTA request.
    g. Application Requirements for Applicants Requesting 
Reconsideration of an Application Submitted in 2014.
    The Administrator has determined to use the discretion provided 
under agency regulations at 7 CFR 1709.122 to consider under this 
notice unfunded applications submitted in response to the 2014 funding 
opportunity notice. The application contents and scoring criteria are 
sufficiently alike, so that reviewers can find all required information 
in the application package and newly submitted information. Allowing 
reconsideration reduces burdens on eligible applicant in submitting a 
new application and on the agency in reviewing applications for 
eligibility and completeness.
    Applicants that submitted applications in response to the notice 
published on June 2, 2014 (79 FR 31283) and that later were notified by 
RUS that the application was determined to be eligible and complete but 
was not selected for an award may request reconsideration of their 
applications under this notice. To request reconsideration, the 
applicant must submit a brief signed letter requesting reconsideration 
and identifying any additional information that they wish to be 
considered by the rating panel. The Applicant may also submit up to 10 
pages of new explanatory or supplementary material to be attached to 
its application. This may include, for example, updated project budgets 
or schedules. The request must be accompanied by a new original, signed 
Standard Form SF-424, ``Application for Federal Assistance'' and a 
signed Form AD-3030 ``Representations Regarding Felony Conviction and 
Tax Delinquent Status for Corporate Applicants'' (for corporate 
applicants only).
    The required application package for reconsideration will consist 
of the new signed SF-424, the letter requesting reconsideration, 
additional information or supporting materials, plus the original 
application package submitted in 2014 maintained in Agency files. The 
Agency will add the newly submitted material to the existing 
application package for review by the rating panel. You do not need to 
send a copy of the 2014 application package. Required forms are 
available on our Web site (https://www.rd.usda.gov/programs-services/high-energy-cost-grants) and in the 2015 Application Guide.
    Because this abbreviated application reconsideration package 
differs from the general application package for first time applicants, 
all requests for reconsideration must be submitted in paper form and 
sent to RUS at the addresses for paper applications indicated in 
section D.7 on or before the application deadline. RUS will not accept 
requests for reconsideration by email or fax. Requests for 
reconsideration cannot be submitted

[[Page 61348]]

through Grants.gov. Applicants also have the option of submitting an 
entirely new 2015 application package under the requirements of this 
notice.
    h. Number of Copies of Submitted Applications.
    (1) Paper application packages submitted to RUS must include the 
original signed application and two (2) copies.
    (2) Grant applications may be submitted electronically through 
Grants.gov. Please carefully read the FY 2015 Application Guide and 
Special Instructions for Grants.gov applications for additional 
guidance on submitting an electronic application. Only one submission 
through Grants.gov is required.
iv. Information That Successful Applicants Must Submit After 
Notification of Intent To Make a Federal Award
    In addition to the information required to be submitted in the 
application package, RUS may request that successful grant applicants 
provide additional information, analyses, forms and certifications 
before the grant agreement is signed and funds are obligated. These may 
include additional information and analyses for any environmental 
reviews and clearances under the National Environmental Policy Act 
(NEPA) (42 U.S.C. 4321-4370h), other statutes, and USDA regulations. 
The successful applicant may be required to submit additional 
certifications required under USDA and Government-wide assistance 
regulations. RUS will advise the applicant in writing of any additional 
information required.

3. Unique Entity Identifier and System for Award Management (SAM)

    The applicant for a grant must supply a Dun and Bradstreet Data 
Universal Numbering System (DUNS) number as part of an application. The 
Standard Form 424 (SF-424) contains a field for the DUNS number. The 
applicant can obtain a DUNS number free of charge by calling Dun and 
Bradstreet. Please see https://fedgov.dnb.com/webform for more 
information on how to obtain a DUNS number or how to verify your 
organization's number.
    Before submitting an application, the applicant must register in 
the System for Award Management (SAM) (formerly Central Contractor 
Registry (CCR)). Applicants must register for the SAM at https://www.sam.gov/portal/public/SAM/. SAM registration must remain active 
with current information at all times while RUS is considering an 
application or while a Federal grant award is active. To maintain SAM 
registration the applicant must review and update the information in 
the SAM database annually from the date of initial registration or from 
the date of the last update. The applicant must ensure that the 
information in the database is current, accurate, and complete.

4. Submission Dates and Times

    Applicants may submit applications on paper directly to the Agency 
or electronically through Grants.gov.
    a. Paper grant applications, including requests for reconsideration 
and SUTA applications, must be postmarked and mailed, shipped, or sent 
overnight no later than December 14, 2015 to be eligible for FY 2015 
grant funding. RUS will begin accepting applications on the date of 
publication of this notice. RUS will accept for review all applications 
postmarked or delivered by this deadline.
    For the purposes of determining the timeliness of an application, 
RUS will accept the following as valid postmarks: The date stamped by 
the U.S. Postal Service on the outside of the package containing the 
application delivered by U.S. Mail; the date the package was received 
by a commercial delivery service as evidenced by the delivery label; 
the date received via hand delivery to the RUS headquarters. Late 
applications will not be considered and will be rejected.
    RUS will not provide notifications acknowledging receipt of paper 
applications. Applicants should retain proof of mailing or shipping.
    b. Electronic grant applications must be filed with Grants.gov on 
or before December 14, 2015 to be eligible for FY 2015 funding. RUS 
uses the date and time an electronic application was posted for 
submission to Grants.gov to determine timeliness of application 
submittal. Applications received by Grants.gov after the deadline will 
not be eligible for FY 2015 grant funding and will be rejected.
    Applicants are encouraged to file electronic applications in 
advance of the deadline. Applicants encountering difficulty filing 
applications electronically must contact Grants.gov for assistance. 
Grants.gov will generate a receipt for application filing and for 
transmittal to USDA. RUS will not issue a separate acknowledgement of 
receipt. Acceptance of an application by Grants.gov or by the USDA 
grants warehouse does not constitute acceptance as an eligible and 
complete application by RUS.
    c. If the submission deadline falls on Saturday, Sunday, or a 
Federal holiday, the application is due the next business day.

5. Intergovernmental Review

    The High Energy Cost Grant Program is not subject to Executive 
Order 12372, ``Intergovernmental Review of Federal Programs'' as 
implemented by USDA in 2 CFR part 415. Applications do not have to be 
submitted to any State agencies for review before submittal.

6. Funding Restrictions

    Grant awards and use of High Energy Cost Grant program are subject 
to certain limitations established by Federal statutes, regulations, 
and policies. These restrictions may preclude awards or reimbursements 
to certain applicants or for certain proposed activities.
    Grant funds cannot be used for:
    (1) Preparation of the grant application; payment of any finder's 
fees or incentives for assisting in the preparation or submission of an 
application;
    (2) Purchases of fuel or payment of utility bills;
    (3) Payment of applicant's planning and administrative costs that 
are unrelated to the grant project and that exceed 4 percent of each 
grant award;
    (4) Routine maintenance or other operating costs;
    (5) Purchase of equipment, structures, or real estate not directly 
associated with provision of residential energy services;
    (6) Project construction costs incurred prior to the date of the 
grant award, except as provided in 7 CFR 1709.11(d);
    (7) Costs of project development and feasibility analyses exceeding 
10 percent of total project costs;
    (8) Projects that primarily or only consist of educational, 
outreach, and audit or assessment activities and do not include a 
substantial investment in physical infrastructure or energy saving 
improvements;
    (9) Projects that primarily benefit a single household or business;
    (10) Projects that primarily benefit areas outside of eligible 
communities;
    (11) Research, development, demonstration, or commercialization 
activities;
    (12) Refinancing or repayment of the applicant's outstanding loans 
or loan guarantees under the Rural Electrification Act of 1936, as 
amended (7 U.S.C. 901 et seq.);
    (13) Funding of political activities;
    (14) Payment of any judgment or debt owed to the United States; or
    (15) Providing any share or benefit to a member of Congress except 
as provided in 7 CFR 1709.20.

[[Page 61349]]

    In addition to the above, RUS may refuse to provide an award or 
reimbursement where the selected applicant has taken actions in 
violation of restrictions on certain project activities prior to 
completion of pre-award environmental review. See section F.2.a of this 
notice and 7 CFR 1794.15, or its successor.

7. Other Submission Requirements

    Grant applications may be submitted on paper or electronically. A 
completed paper application package must contain all required parts in 
the order indicated in the above section D.2.iii on ``Content and Form 
of Application Submission'' and Table 2. The paper application package 
must include one original application with original signatures on all 
forms and certifications and two complete copies.
    Format for paper applications and narratives. The completed paper 
application package should be assembled in the order specified in 
section D.2.iii and Table 2 with all pages numbered sequentially or by 
section. Application narratives and attachments should be formatted for 
8\1/2\ by 11 inch paper (letter size) with 1 inch margins for ease of 
copying or scanning. Preferred type faces are Times New Roman 12, 
Calibri 11, Arial 11, Verdana 10, or Courier 10. Narratives may be 
single or double spaced. It is strongly recommended that Project 
Narratives be no longer than about 30 pages in length or less 
(exclusive of required forms Project Summary, Table of Contents and 
Executive Summary) with up to 10 pages of attachments, excluding 
letters from Members of Congress, and documents establishing legal 
existence and authority to enter a grant agreement with the Federal 
Government. Paper application packages will be scanned and should be 
printed single-sided on white letter size paper. Failure to follow 
these instructions may result in rejection of the application.
    Format of Electronic applications. Applicants must follow 
formatting directions, including acceptable file attachment types 
specified on Grants.gov. Failure to follow the special instructions for 
electronic applications and Grants.gov guidance for attachments may 
result in an unreadable or incomplete application which will be 
rejected.
i. Submission of Paper Application Packages
    Completed paper applications, including requests for 
reconsideration and SUTA requests, must be delivered to the RUS 
headquarters in Washington, DC, using United States Mail, overnight 
delivery service, or by hand to the following address: Assistant 
Administrator, Electric Programs, Rural Utilities Service United States 
Department of Agriculture, 1400 Independence Avenue SW., STOP 1560, 
Room 5165 South Building, Washington, DC 20250-1560. Applications 
should be marked ``Attention: High Energy Cost Community Grant 
Program.''
    Applicants are advised that regular mail deliveries to Federal 
Agencies, especially of oversized packages and envelopes, are 
frequently delayed by increased security screening requirements that 
include irradiation which may damage contents. Applicants may wish to 
consider using Express Mail or a commercial overnight delivery service 
instead of regular mail. Applicants wishing to hand deliver or use 
courier services for delivery should contact an RUS representative in 
advance to arrange for building access. If an applicant wishes to 
submit such materials, they should contact the Agency Contact listed in 
section D.1 above for additional information.
ii. Electronic Submission of Application Packages
    a. RUS will not accept applications via fax or electronic mail.
    b. Electronic applications must be submitted through the Federal 
government's Grants.gov portal at https://www.grants.gov/.
    c. How to use Grants.gov. Grants.gov contains full instructions on 
all required passwords, credentialing and software.
    Electronic Application materials for the High Energy Cost Grant 
notice can be found by searching under Funding Opportunity Number: RD-
RUS-HECG15 or Catalog of Federal Domestic Assistance (CFDA) Number 
10.859. In addition to the Grants.gov mandatory forms, applicants must 
download, complete, and attach specific USDA and High Energy Cost Grant 
instructions, forms, and certifications to submit a complete electronic 
application package. Additional forms to be downloaded, completed, and 
uploaded to the Grants.gov application package include: The RUS 
``Certification Regarding Debarment, Suspension and Other 
Responsibility Matter--Primary Covered Transactions,'' Form AD-3030 
``Representations Regarding Felony Conviction and Tax Delinquent Status 
for Corporate Applicants'' (for corporate applicants only), and the RUS 
Environmental Questionnaire. Electronic Applications that do not 
contain these required forms will be rejected as incomplete.
    d. Credentials and Authorizations for Electronic Applications.
    1. System for Award Management. All applicants must register with 
the System for Award Management. Submitting an application through 
Grants.gov requires that your organization list in the System for Award 
Management (SAM) (formerly Central Contractor Registry, CCR). The 
Agency strongly recommends that you obtain your organization's DUNS 
number and SAM listing well in advance of the deadline specified in 
this notice. See https:\\www.sam.gov for more information on SAM and to 
register.
    2. Credentialing and authorization of applicants. Grants.gov will 
also require some credentialing and online authentication procedures 
before you can submit an application. These procedures may take several 
business days to complete, further emphasizing the need for early 
action by applicants to complete the sign-up, credentialing and 
authorization procedures at Grants.gov before you submit an application 
at that Web site.
    3. Some or all of the SAM and Grants.gov registration, 
credentialing and authorizations require updates. If you have 
previously registered at Grants.gov to submit applications 
electronically, please ensure that your registration, credentialing and 
authorizations are up to date well in advance of the grant application 
deadline.
    e. Difficulties in submitting electronic applications.
    RUS encourages applicants who wish to apply through Grants.gov to 
submit their applications in advance of the deadlines.
    If a system problem occurs or you have technical difficulties with 
an electronic application, please use the customer support resources 
available at the Grants.gov Web site.
    In case of difficulty filing electronically that cannot be 
resolved, applicants may download application materials and complete 
forms online through Grants.gov without completing the registration 
requirements. Application materials prepared online may be printed and 
submitted in paper to RUS as detailed above.

E. Application Review Information

    This section describes the process and application review criteria 
that the RUS will use to evaluate the eligibility and merit of the 
applications packages submitted. This notice establishes the criteria 
and weights to be used and the evaluation process as provided by 
program regulations at 7 CFR part 1709.

[[Page 61350]]

1. Criteria

    The Administrator of RUS has established the merit selection and 
priority consideration criteria for evaluating and scoring the 
applications submitted under this notice pursuant to program 
regulations at 7 CFRs 1709.102 and 1709.123. The criteria set forth 
below will be used by one or more rating panels to be selected by the 
Assistant Administrator, Electric Programs. Additional information on 
how scoring criteria will be applied can be found in the FY 2015 
Application Guide.
    The maximum number of points to be awarded is 100. The maximum 
points available under project design and technical merit criteria is 
65. The maximum number of points to be awarded under priority 
considerations that support USDA and RUS program priorities is 35.
    The evaluation criteria and weights in this notice differ from 
those used in the 2014 notice. For this reason any 2014 applicant's 
packages being reconsidered will be rescored according to the criteria 
in this notice.
    Table 3 shows the selection criteria and weights that will be used 
in scoring the 2015 applications.

Table 3--Project Merit and Priority Consideration Criteria for 2015 NOFA
------------------------------------------------------------------------
  Project design and technical merit (up to 65 points)    Maximum points
------------------------------------------------------------------------
Assessment of Community Needs...........................              15
Project Design, Technical Feasibility and Responsiveness              10
 to Community Needs.....................................
Management Plan.........................................              10
Organizational Experience...............................               5
Key Staff Experience....................................               5
Project Goals, Objectives and Performance Measures......               3
Project Reporting Plan..................................               2
Project Budget, Financial Feasibility and Matching                    10
 Contributions..........................................
State, Local, or Tribal Rural Development Initiatives...               5
Priority Considerations (up to 35 points)...............  ..............
High Poverty Areas Priority.............................              10
Rurality (Population)...................................              10
    (A) 50 States and Puerto Rico:
        1. 2,500 or less, 10 points;
        2. Between 2,501 and 5,000, inclusive, 7 points;
        3. Between 5,001 and 10,000, inclusive, 5
         points;
        4. Between 10,001 and 20,000, inclusive, 3
         points; and
        5. Above 20,000, 0 points.
    (B) Virgin Islands and Pacific Insular Areas, 10
     points.
Renewable Energy Projects...............................               5
Extraordinary Circumstances or Conditions...............               5
SUTA Applications.......................................               5
                                                         ---------------
    Total Points........................................             100
------------------------------------------------------------------------

i. Project Design and Technical Merit Criteria (Up to 65 Points Total)
    Reviewers will consider the soundness of applicant's analysis of 
community needs and benefits, the adequacy of the proposed project 
plan, the technical feasibility of the project, the adequacy of 
financial and other resources, the competence and experience of the 
applicant and its team, project goals and objectives, and performance 
measures. Project proposals will be evaluated on how well the proposal 
addresses application content requirements and evaluation criteria and 
how well their application compares to other applicants. A total of 65 
points may be awarded under the following criteria.
    a. Assessment of Community Needs (Up to 15 points).
    Under this criterion, reviewers will consider the applicant's 
assessment of community needs and how the grant project addresses those 
needs and how the severity of identified needs compares to other 
applications. Reviewers will consider the identification and 
documentation of eligible communities, their populations, and 
assessment of community energy needs targeted by the grant project. 
Information on the severity of physical and economic challenges 
affecting eligible communities will be considered. Reviewers will 
weigh: (1) The applicant's analysis of community energy challenges and 
(2) why the applicant's proposal presents a greater need for Federal 
assistance than other competing applications. In assessing the 
applicant's demonstration of community needs, the rating panel will 
consider information in the narrative proposal addressing the 
following:
    (1) The burden placed on the community and individual households by 
extremely high energy costs. This burden may be evidenced by such 
quantitative measures as, for example, total energy expenditures, per 
unit energy costs, energy cost intensity for occupied space, or energy 
costs as a share of average household income, and persistence of 
extremely high energy costs compared to national or statewide averages.
    (2) The hardships created by limited access to reliable and 
affordable energy services;
    (3) The availability of other resources to support or supplement 
the proposed grant funding; and
    (4) Indications of community support for the proposed project 
solution to their energy challenges.
    b. Project Design, Technical Feasibility and Responsiveness to 
Community Needs. (Up to 10 points).
    Reviewers will assess the technical and economic feasibility of the 
project and how well its goals and objectives address the challenges of 
the extremely high energy cost community. The panel will review the 
proposed design, construction, equipment, and materials for the 
community energy facilities in establishing technical feasibility. 
Reviewers may propose additional conditions on the grant award to 
assure that the project is technically sound. Reviewers will consider 
the adequacy of the applicant's budget and resources to

[[Page 61351]]

carry out the project as proposed and how the applicant proposes to 
manage available resources such as other grants, program income, and 
any other financing sources to maintain and operate a financially 
viable project once the grant period has ended. Reviewers may give 
higher scores to projects that are substantially ready to proceed with 
construction or implementation than to those that are early in the 
project development process.
    In this section, the applicant will be awarded points on the 
technological design of the project. The applicant must provide a 
narrative description of the project including a proposed scope of work 
identifying major tasks and proposed schedules for task completion, a 
detailed description of the equipment, facilities and associated 
activities to be financed with grant funds, the location of the 
eligible extremely high energy cost communities to be served, and an 
estimate of the overall duration of the project. The Project Design 
description should be sufficiently detailed to support a finding of 
technical feasibility. Proposed projects involving construction, 
repair, replacement, or improvement of electric generation, 
transmission, and distribution facilities must generally be consistent 
with the standards and requirements for projects financed with loans 
and loan guarantees under the RE Act as set forth in the Agency's 
Electric Programs Regulations and Bulletins and may reference these 
requirements.
    c. Management Plan (Up to 10 points).
    Reviewers will assess the adequacy of the proposed management plan 
against the content requirements in this notice and in comparison to 
the quality of other applications received. Applicants should take care 
to address all the required content materials. Points will be awarded 
for robust management plans, and realistic succinct schedules. If the 
applicant proposes to secure equipment, design, construction, or other 
services from non-affiliated entities, the applicant must briefly 
describe how it plans to procure and/or contract for such equipment or 
services consistent with Federal requirements. Reviewers will award the 
highest points to applications that fully include all required 
information and support a finding that the combination of management 
team's experience, financial management capabilities, resources and 
project structure will enable successful completion of the project.
    d. Organizational Experience (Up to 5 points).
    Reviewers will assess the applicant's demonstrated experience in 
successfully administering and carrying out projects comparable to the 
grant proposal. In lieu of direct experience, reviewers will consider 
the efforts applicant has taken to secure the capacity to provide 
energy services in rural areas. The Agency will consider the experience 
of the project team and the effectiveness of the program design in 
compensating for lack of extensive experience. If the applicant has 
received any HECG funding, or other Federal funding a detailed 
description of past performance is required in this section. Points 
will be awarded to organizations with proven track records or that have 
established a management structure and team with capacity and 
experience to carry out the project. Points will be awarded based on 
how well the applicant addressed the content requirements of this 
notice, the quality of the proposed project organizational capacity and 
how the proposal compares with other applications.
    e. Key Staff Experience (Up to 5 points).
    Reviewers will assess the quality and capacity of project team to 
carry out the proposal. Reviewers will consider whether the key project 
staff members possess demonstrated experience in successfully 
administering and carrying out projects that are comparable to the 
grant proposal. Reviewers may consider whether the project team 
includes staff or other identified consultants or contractors needed to 
successfully complete the project. If the applicant proposes to use 
affiliated entities, contractors, or subcontractors to provide services 
funded under the grant, reviewers will consider the identities, 
relationship, qualifications, and experience of these affiliated 
entities. Points will be awarded based on how well the applicant 
addressed the requirements in this notice and how the applicant's 
proposal compares to other applications.
    f. Project Goals, Objectives and Performance Measures (Up to 3 
points).
    Applicants must clearly identify project goals, objectives and 
performance measures to track the progress and success of their 
proposed project. Reviewers will assess how well the applicant's plan 
to evaluate and report on the success and cost-effectiveness of 
financed activities. Reviewers will consider how well the results 
obtained measure any benefits to the eligible community such as, for 
example, energy saved, costs saved or avoided, or renewable energy 
produced. Reviewers will also assess whether applicant's proposed 
measures provide a quantitative basis for tracking project success and 
whether the application provides documentation or references to support 
its statements about cost-effectiveness savings and improved services. 
Reviewers will award points based on how well the applicant meets the 
requirements of the notice, the effectiveness of the proposed measures 
to monitor performance, and how the application compares against other 
proposals.
    g. Project Reporting Plan (Up to 2 points).
    Reviewers will consider applicant's description of the reporting 
plan and how it contributes to tracking progress and performance and 
the consequences if project falls behind schedule. Reviewers will 
assess points based on the adequacy of the plan and how well it 
compares to other applications.
    h. Project Budget, Financial Feasibility and Matching Contributions 
(Up to 10 points).
    Reviewers will consider whether applicant has fully responded to 
requirements of this notice and whether the narrative, forms and 
exhibits provide sufficient information to assess the adequacy of the 
project budget and the financial feasibility of the project.
    The budget materials must document that planned administrative and 
other expenses of the project sponsor that are not directly related to 
performance of the grant will not total more than 4 percent of grant 
funds. The application must also identify the source and amount of any 
other Federal or non-Federal contributions of funds or services that 
will be used to support completion of the proposed project. Points will 
be awarded for completeness, realistic budget costs, and feasibility. 
Reviewers may consider total grant funds requested as a share of total 
project costs in assessing feasibility. All matching contributions must 
be clearly identified. No additional points will be awarded for 
matching contribution. Reviewers will consider them in assessing 
feasibility and commitment to completing the project. Reviewers will 
score the proposal based on how well the applicant's budget submission 
fully complied with requirements of the notice and whether project 
resources, including the grant request and identified matching 
contributions, are adequate to complete the project as proposed. 
Reviewers will also assess how well the applicant's proposal compared 
with other projects.
    i. State, Local, or Tribal Rural Development Initiatives (Up to 5 
points).
    The reviewing panel will assess how effectively the proposed 
project is coordinated with State rural development initiatives, if 
any, and is consistent with and supports these

[[Page 61352]]

efforts. [Note: The term ``State rural development initiatives'' refers 
to State or Tribal programs and USDA Rural Development programs. Go to: 
https://www.rd.usda.gov/contact-us/state-offices for more information.] 
The RUS will consider the documentation submitted for coordination 
efforts, community support and matching contributions, and State or 
local government recommendations. Applicants should identify the extent 
to which the project is dependent on or tied to other rural development 
initiatives, funding, and approvals. Applicants are advised that they 
should address this criterion explicitly even if only to report that 
the project is not coordinated with or supporting a State rural 
development initiative. Failure to address this criterion will result 
in zero points awarded.
    ii. Priority Considerations (up to 35 points total).
    In addition to the points awarded for project design and technical 
merit, all proposals will be reviewed and awarded additional points 
based on certain characteristics of the project or the target 
community. USDA Rural Development Mission Area policies generally 
encourage agencies to give priority in their programs to rural areas of 
greatest need and to support other Federal policy initiatives. In 
furtherance of these policies, the RUS will award additional points for 
the priorities identified in this notice. The priority criteria and 
point scores used in this notice are consistent with the program 
regulations in 7 CFR part 1709. The Agency will give priority 
consideration to areas suffering high poverty, smaller rural and remote 
communities, projects that support renewable energy, projects serving 
communities experiencing extraordinary circumstances affecting their 
ability to provide energy services, and Priority points will also be 
awarded to applications that the Administrator has accepted for 
consideration under Substantially Underserved Trust Area regulations at 
7 CFR part 1700, subpart D. A maximum of 35 total points may be awarded 
under the following priority criteria.
    a. High Poverty Areas (10 points).
    USDA Rural Development is committed to reducing the impacts of high 
and persistent poverty in rural communities. The economic hardship of 
extensive and persistent poverty exacerbates the impacts of extremely 
high energy costs on families and businesses and hampers the 
community's ability to meet their energy needs. In support of this USDA 
initiative, we will award 10 priority points for projects that serve 
communities in counties that are classified as High Poverty or 
Persistent Poverty by the USDA Economic Research Service ``Geography of 
Poverty'' Web page (https://www.ers.usda.gov/topics/rural-economy-population/rural-poverty-well-being/geography-of-poverty.aspx) or that 
are located in a county with at least one census tract with a poverty 
rate of 20 percent or more using data from the American Community 
Survey (ACS) that can easily be accessed through the Census Bureau 
American Fact Finder Web page (https://factfinder.census.gov/faces/nav/jsf/pages/index.xhtml). Applicants may use other population and income 
data from the U.S. Census, state, or tribal sources if the ACS does not 
contain information for their community or project area. In the absence 
of accurate community information The 2015 Application Guide provides 
additional details on high poverty areas. Reviewers will award 10 
points for any application that serves one or more high poverty areas 
and that has required supporting population information.
    Note on Alternative Economic and Population Data for Eligible 
Territories and Insular Areas: RUS recognizes that comparable economic 
and household income information may not be available for eligible 
areas that are not States. Applicants from these areas should provide 
any public information that is readily available on territorial or 
national median household income and local community economic 
characteristics and other indications of economic challenge posed by 
extremely high energy costs. Applications from these areas will be 
scored based on the provided data.
    b. Rurality. (Up to 10 points).
    Consistent with the USDA Rural Development policy to target 
resources to smaller rural communities with significant needs and 
recognizing that smaller and remote communities are often comparatively 
disadvantaged in seeking assistance, RUS has established a sliding 
scale for awarding points based on population. RUS has also determined 
to award the full 10 points to applications from the Virgin Islands and 
eligible Pacific Insular areas. Reviewers will award additional points 
based on the rurality (as measured by population) of the project 
communities to be served with grant funds under one of two options 
below.
    (1) Applications from the Fifty States, and Puerto Rico. 
Applications from any one of the fifty States, or Puerto Rico, will be 
scored based on the population of the largest incorporated cities, 
towns, or villages, or census designated places included within the 
grant's proposed project area. Points will be awarded on the population 
of the largest target community within the proposed target area as 
follows:
    (a) 2,500 or less, 10 points;
    (b) Between 2,501 and 5,000, inclusive, 7 points;
    (c) Between 5,001 and 10,000, inclusive, 5 points;
    (d) Between 10,001 and 20,000, inclusive, 3 points; and
    (e) Above 20,000, 0 points.
    Applicants must use the latest available population figures from 
the 2010 U.S. Census available at American Fact Finder (https://factfinder.census.gov/faces/nav/jsf/pages/index.xhtml) for every 
incorporated city, town, or village, or Census designated place 
included in the project community area.
    (2) Applications from the Virgin Islands and Pacific Insular Areas. 
(10 points).
    The priority scoring criteria are intended to carry out Rural 
Development policy to give priority to areas most challenged by 
extremely high energy costs and those without access to substantial 
alternative economic and institutional resources to address these 
challenges, particularly rural, remote, and substantially-underserved 
areas. U.S. Census population and economic data have been used as proxy 
measures for rurality, remoteness, and economic challenges. It has 
become evident that comparable, up-to-date U.S. Census population and 
economic information are not easily available or unavailable for 
communities in the Virgin Islands or Pacific insular areas. After 
consideration, the RUS has decided to adopt an alternative for scoring 
eligible applications from these areas. RUS will assign a rurality 
score of ``10'' to applications from the Virgin Islands and eligible 
insular areas in the Pacific. This policy will place these applications 
on an equal footing with competing applications from other rural and 
remote areas.
    c. Renewable Energy Projects (Up to 5 points).
    Reviewers will award up to 5 points for projects that install, 
upgrade, integrate, or connect renewable energy systems to increase 
availability of renewable generation in rural communities. This 
includes, but is not limited to, projects that support deployment of 
renewable energy technologies through acquisition, installation, 
improvement, upgrade, or integration of renewable energy for 
electricity generation, water heating, building or process heating 
systems, system controls and other smart grid

[[Page 61353]]

technologies, distribution and transmission upgrades to integrate 
renewable generation, and energy battery and storage systems tied to 
renewable energy generation.
    d. Extraordinary Conditions or Circumstances  (Up to 5 points).
    The Administrator in his sole discretion has decided to provide up 
to 5 points for project applications for communities that exhibit one 
or more extraordinary conditions or circumstances that affect the 
community's ability to provide energy services or to make investments 
to reduce energy use or costs. This priority includes considerations 
that were recognized separately under prior notices as well as allowing 
for recognition of other extraordinary circumstances adversely 
impacting eligible high energy cost communities. The 2015 Application 
Guide has more detail on situations that may qualify an application for 
priority points under this criterion. Reviewers may award up to a total 
of 5 points, based on their assessment of the hardship presented, for 
the following extraordinary circumstances:
    (1) Disaster. The community has suffered a natural or other 
disaster that affected critical community energy facilities. The 
application must provide details of when the disaster occurred, the 
extent of damage, and available resources for disaster recovery, 
including assistance from other agencies.
    (2) Unserved Energy Needs. Consistent with the purposes of the RE 
Act, projects that meet unserved or underserved energy needs may be 
awarded points under this criterion. Examples of proposals that may 
qualify under this priority include projects that extend or improve 
electric or other energy services to communities and customers that do 
not have reliable centralized or commercial service or where many homes 
remain without such service because the costs are unaffordable.
    (3) Imminent Hazard. Reviewers may award priority consideration for 
any applications including a project to correct a condition posing an 
imminent hazard to public safety, welfare, the environment, or to a 
critical community or residential energy facility. Examples include 
community energy facilities in immediate danger of failure because of 
deteriorated condition, capacity limitations, damage from natural 
disasters or accidents, or other conditions where impending failure of 
existing facilities or absence of energy facilities creates a 
substantial threat to public health or safety, or to the environment.
    (4) Extreme Economic Hardship. Reviewers may award additional 
priority points for projects serving communities with conditions 
creating a severe economic hardship to the community or the energy 
provider. The hardship must be adequately described and documented by 
the applicant. Examples include but are not limited to natural 
disasters, financially distressed local industry, and loss of major 
local employer, persistent poverty, outmigration, or other conditions 
adversely affecting the local economy, or contributing to unserved or 
underserved energy infrastructure needs that affect the economic health 
of the community. Applications from eligible areas that are not States 
will be scored under this alternative using information provided in the 
Application. The rating panel may assign points under this criterion, 
in lieu of awarding points based on the percentage of median household 
income. Award of priority points under this criterion is in addition to 
any that may be awarded for high poverty counties. Applicants may 
qualify under this criterion that do not meet the USDA Rural 
Development high poverty counties priority above.
    e. Substantially Underserved Trust Areas (5 points).
    Under SUTA regulations at 7 CFR part 1700, subpart D, eligible 
entities may request special consideration for applications for 
communities in trust areas that lack adequate levels or quality of 
service and are in high need of grant assistance. The Administrator, in 
his sole discretion, has determined, to award 5 points to any 
application from an eligible SUTA entity for projects serving eligible 
areas that are also eligible for the High Energy Cost Grant Program. To 
receive these points, the entity must submit a separate application and 
request for consideration under SUTA to the Agency on or before the 
closing date of this opportunity notice December 14, 2015. The 
Administrator will review the application and issue a letter indicating 
whether the application is complete and is accepted for consideration 
under SUTA. The decision to provide SUTA consideration to an eligible 
application is solely at the discretion of the Administrator.
    Reviewers will award 5 points to any project application that has 
been accepted for consideration under SUTA.
iii. Cost Sharing
    There is no requirement for matching contributions under the High 
Energy Cost Grant Program. The Agency has determined not to make cost 
contributions a separate scoring criterion. Consideration of matching 
contributions may be considered by the rating panel in assessing 
project design, financial capacity to complete the project, budget, and 
rural development initiative criteria.

2. Review and Selection Process

i. Determining Eligibility
    RUS will review all application packages received to determine if 
they were submitted on or before December 14, 2015. Applications that 
are not timely submitted will be rejected. All timely received 
application packages will be reviewed for eligibility and completeness. 
Project proposals that contain all required application package content 
in acceptable format and that meet eligibility criteria will be 
accepted for consideration.
    Application packages that are late, incomplete or ineligible will 
be rejected. Applicants will be notified if they were found to be 
ineligible when project selections are announced. The determinations on 
timeliness, completeness and eligibility will be final. The rejection 
notice will provide information on any appeals.
    After the application closing date, RUS will not consider any 
unsolicited information from the applicant. The Agency may contact the 
applicant for additional information or to clarify statements in the 
application required to establish applicant or community eligibility 
and completeness. The RUS will not accept or solicit any additional 
information relating to the technical merits and feasibility of the 
grant proposal after the application closing date.
    The Agency will look only at the three page narrative in Part B of 
the application package to determine if the applicant, community and 
project meet program eligibility requirements established in this 
notice and program regulations.
ii. Evaluation and Scoring of Eligible Applications.
    The Agency will use one or more rating panels composed of Agency 
employees to review and score eligible applications. The panel will 
evaluate and score the applications using the selection criteria and 
weights established in this notice along with the additional 
information provided in the 2015 Application Guide. As part of the 
proposal review and ranking process, panel members may make comments 
and recommendations for appropriate conditions on grant awards to 
promote

[[Page 61354]]

successful performance of the grant or to assure compliance with other 
Federal requirements. The decision to include panel recommendations on 
grant conditions in any grant award will be at the sole discretion of 
the RUS Administrator.
    The rating panel members' individual scores for each application 
will be consolidated with those from other members to create a total 
score for each application. The panel will forward their individual 
scores and the ranked list of projects to the Assistant Administrator, 
Electric Programs for review of consistency with this notice and 
program regulations. The Assistant Administrator may refer the ranked 
list or individual project scores back to the rating panel or to an 
individual member to correct any apparent error or inconsistency (such 
as awarding a higher number of points than allowed) or for questions 
about scoring of individual projects. The Assistant Administrator will 
then prepare a selection memo for the Administrator along with a list 
of ranked projects.
iii. Review and Selection of Applications
    The RUS Administrator will review the rankings and recommendations 
of the applications provided by the rating panel and consistent with 
the requirements of this notice. The Administrator may return any 
application to the rating panel with written instruction for 
reconsideration if, in his sole discretion, he finds that the scoring 
of an application is inconsistent with this notice and the directions 
provided to the rating panel.
    Following any adjustments to the project in ranking, as a result of 
reconsideration, the Administrator will select finalists for grant 
awards. Administrator will consider projects in rank order taking in to 
account the applications, the rankings, comments, and recommendations 
of the rating panel, and other pertinent information, including 
availability of funds. The Administrator may fund grant requests in 
rank order to the extent of available funds. Upon consideration of 
panel recommendations and availability of funds, the Administrator may, 
in his sole discretion, decide to offer an award of less than the full 
amount of grant requested by an applicant. The applicant will be 
notified and offered a partial award. If the applicant declines an 
award, the offer will be withdrawn. If at any point in the selection 
process sufficient funds are not available to fund the next ranked 
project, the Administrator may, in his sole discretion, offer a partial 
award to the next project, or skip over that project to the next 
ranking project that can be supported with available funding. The 
Administrator may in his sole discretion, make additional awards to 
unfunded applications in rank order if additional funds become 
available.
    Because of the limited amount of funds available, no applicant or 
project will receive more than one award under this notice. If two 
projects from the same applicant score high enough to potentially 
receive funding, the Administrator will select the project with the 
highest score.
    The Administrator may decide based on the recommendations of the 
rating panel, or in his sole discretion, that a grant award should be 
made contingent upon the applicant satisfying certain conditions. For 
example, RUS will not obligate funding for a selected project--such as 
projects requiring extensive environmental review and mitigation, 
preparation of detailed site specific engineering studies and designs, 
or requiring local permitting, or availability of supplemental 
financing--until any such additional conditions are satisfied and 
adequate funds remain available. In the event that any selected 
applicant fails to comply with the all pre-award conditions within the 
time set by RUS, the award selection will be withdrawn.

3. Notice to Applicants for Certain Grant Awards.

    This notice may result in awards where the total Federal share will 
be greater than the simplified acquisition threshold (See 2 CFR 200.88) 
on any Federal award under this notice over the period of performance 
(see 7 CFR 200.88). Therefore, applicants are advised that:
    (i) RUS, prior to making a Federal award with a total amount of 
Federal share greater than the simplified acquisition threshold, is 
required to review and consider any information about the applicant 
that is in the designated integrity and performance system accessible 
through SAM (currently FAPIIS) (see 41 U.S.C. 2313);
    (ii) An applicant, at its option, may review information in the 
designated integrity and performance systems accessible through SAM and 
comment on any information about itself that a Federal awarding agency 
previously entered and is currently in the designated integrity and 
performance system accessible through SAM; and
    (iii) RUS will consider any comments by the applicant, in addition 
to the other information in the designated integrity and performance 
system, in making a judgment about the applicant's integrity, business 
ethics, and record of performance under Federal awards when completing 
the review of risk posed by applicants as described in 2 CFR part 200.

4. Anticipated Announcement and Federal Award Dates

    After the Administrator's decision, the RUS will notify successful 
applicants that they have been selected for a grant award. This 
selection is subject to continued availability of funds and compliance 
with all post-award requirements including but not limited to 
completion of any additional environmental reviews and execution of a 
grant agreement satisfactory to the RUS. This selection does not bind 
the Government to making a final grant award. Only an agreement 
executed by the Administrator will constitute a binding obligation and 
commitment of Federal funds. Grant funds will not be awarded or 
disbursed until all requirements have been satisfied and are contingent 
on the continued availability of funds at the time of the award. The 
RUS will advise selected applicants of any additional requirements or 
conditions.
    RUS anticipates that award decisions will be made within 6 months 
of the closing date, depending on availability of funds. Final 
selection announcements will be posted on our Web site (https://www.rd.usda.gov/programs-services/high-energy-cost-grants).

5. Appeals

    After review, the RUS will reject any application package that in 
its sole discretion is not complete or that does not demonstrate that 
the applicant, community or project is eligible under the requirements 
of this NOSA and applicable program regulations. Applicants will be 
notified in writing of RUS's decision. Applicants may appeal the 
eligibility rejection pursuant to program regulations on appeals at 7 
CFR 1709.6 for the high energy cost grant program. Applicants must 
appeal in writing to the RUS Administrator within 10 days after the 
applicant is notified of the determination to reject the application. 
The appeal must state the basis for the appeal. Appeals must be 
directed to the Administrator, Rural Utilities Service, United States 
Department of Agriculture, 1400 Independence Ave. SW., STOP 1500, 
Washington, DC 20250-1500. The Administrator will review the appeal to 
determine whether to sustain, reverse, or modify the original 
determination by the Assistant Administrator. The Administrator's 
decision shall be final. A written copy of the Administrator's

[[Page 61355]]

decision will be furnished promptly to the applicant.

F. Federal Award Administration

1. Federal Award Notices

    The RUS will notify all applicants in writing whether they have 
been selected for an award. Successful applicants will be advised in 
writing of their selection. The receipt of an award selection letter is 
not a binding award of Federal funds. The selection letter does not 
authorize the applicant to commence performance under the award. After 
notification of selection, applicants will have to meet all pre-award 
requirements under program and other federal regulations and policies. 
The Agency will advise the applicant of any additional requirements or 
pre-award conditions. After the pre-award conditions are satisfied, the 
Agency will send a conditions letter with all project-specific terms 
and conditions to be included in the grant agreement. After the 
applicant indicates acceptance of these terms and conditions the 
Administrator will approve the award and execute the grant agreement.
    Successful applicants will be required to sign a grant agreement 
acceptable to the Agency and complete additional grant forms and 
certifications required by USDA as part of the process.
    Grant funds will not be advanced unless and until the applicant has 
executed a grant agreement and funds will not be advanced until all 
conditions have been satisfied in a manner satisfactory to RUS.

2. Administrative and National Policy Requirements

i. Environmental Review and Restriction on Certain Activities
    Following the announcement, selected applicants will be required to 
submit the appropriate environmental review documentation, as outlined 
in the RUS environmental questionnaire and to prepare and submit any 
other environmental impact analyses required by RUS Environmental 
Policies and Procedures (7 CFR part 1794, or its successor). Successful 
applicants will be advised whether additional environmental review 
requirements apply to their proposals. These reviews may result in 
additional project conditions that RUS will include in the grant 
agreement. Also, as a condition of any award, applicants must agree to 
comply with conditions imposed on the grant project by any other 
Federal, State, or Tribal environmental laws and regulations, license, 
or permit.
    In accordance with 7 CFR 1794.15, or its successor, applicants are 
restricted from taking actions that may have an adverse environmental 
impact or limit the choice of alternatives being considered until the 
environmental review process is concluded. If an applicant takes such 
actions, RUS will not award or advance grant funds. If the proposed 
grant project involves physical development activities or property 
acquisition, the applicant is generally prohibited from acquiring, 
rehabilitating, converting, leasing, repairing or constructing property 
or facilities, or committing or expending RUS or non-RUS funds for 
proposed grant activities until the RUS has completed any environmental 
review in accordance with 7 CFR part 1794 or its successor and 
determined that no environmental review is required.
ii. Other Federal Requirements
    High Energy Cost Grant Program Regulations (7 CFR part 1709), the 
requirements of this notice, the 2015 Application Guide and 
accompanying materials establish the appropriate administrative and 
national policy requirements for awards under this program. These 
requirements include but are not limited to:
    (1) Executing a Grant Agreement acceptable to the Agency;
    (2) Signing Form AD-3031 (``Assurance Regarding Felony Conviction 
or Tax Delinquent Status for Corporate Applicants'') (for corporate 
applicants only);
    (3) Using the forms specified in the Grant Agreement for requesting 
advances and reimbursements and submitting and maintaining supporting 
documentation of expenditures and receipts for use of funds awarded 
under this grant;
    (4) Providing quarterly project performance activity reports with 
required forms specified in the grant agreement until the expiration of 
the project term;
    (5) Ensuring that records are maintained to document all grant 
supported activities and expenditures and matching contributions;
    (6) Providing a final project performance report after completion 
of construction and one year's worth of operation; and
    (7) Complying with policies, guidance, and requirements as 
described in the following applicable Federal regulations, and any 
successor regulations:
     2 CFR part 200, (Office of Management and Budget, Uniform 
Administrative Requirements, Cost Principles, and Audit Requirements 
for Federal Awards);
     2 CFR part 400, (United States Department of Agriculture, 
Uniform Administrative Requirements, Cost Principles, and Audit 
Requirements for Federal Awards);
     2 CFR part 180, (Office of Management and Budget 
Government-wide Debarment and Suspension (nonprocurement);
     2 CFR part 416, (United States Department of Agriculture, 
General Program Administrative Regulations for Grants and Cooperative 
Agreements to State and Local Governments);
     2 CFR part 417, (United States Department of Agriculture, 
Government-wide debarment and suspension (non-procurement);
     2 CFR part 418 (United States Department of Agriculture, 
New restrictions on Lobbying);
     2 CFR part 421 (United States Department of Agriculture, 
Government-wide requirements for drug-free workplace (grants);
     7 CFR part 15, subpart A, (United States Department of 
Agriculture, Nondiscrimination in Federally Assisted Programs of the 
Department of Agriculture--Effectuation of Title VI of the Civil Rights 
Act of 1964);
     7 CFR part 1767 Rural Utilities Service, (Accounting 
Requirements for RUS Electric Borrowers); and
     7 CFR part 1773 Rural Utilities Service, (Policy on Audits 
of RUS Borrowers).
    Compliance with additional OMB Circulars or government-wide 
regulations may be specified in the grant agreement.
3. Reporting
    i. The grantee must provide periodic financial and performance 
reports under USDA grant regulations, program rules and the grant 
agreement. The grantee must submit a final project performance report. 
The nature and frequency of required reports is established in USDA 
grant regulations and the project-specific grant agreements.
    ii. The applicant must have the necessary processes and systems in 
place to comply with the reporting requirements for first-tier sub-
awards and executive compensation under the Federal Funding 
Accountability and Transparency Act of 2006 in the event the applicant 
receives funding unless such applicant is exempt from such reporting 
requirements pursuant to 2 CFR 170.110(b). The reporting requirements 
under the Transparency Act pursuant to 2 CFR part 170 are as follows:
    (a) First Tier Sub-Awards of $25,000 or more in non-Recovery Act 
funds (unless they are exempt under 2 CFR

[[Page 61356]]

part 170) must be reported by the Recipient to https://www.fsrs.gov no 
later than the end of the month following the month the obligation was 
made. Please note that currently underway is a consolidation of eight 
Federal procurement systems, including the Sub-award Reporting System 
(FSRS), into one system, the System for Award Management (SAM). As a 
result, the FSRS will soon be consolidated into and accessed through 
https://www.sam.gov/portal/public/SAM/.
    (b) The Total Compensation of the Recipient's Executives (5 most 
highly compensated executives) must be reported by the Recipient (if 
the Recipient meets the criteria under 2 CFR part 170) to https://www.sam.gov/portal/public/SAM/ by the end of the month following the 
month in which the award was made.
    (c) Total Compensation of the Subrecipient's Executives.
    The Total Compensation of the Subrecipient's Executives (5 most 
highly compensated executives) must be reported by the Subrecipient (if 
the Subrecipient meets the criteria under 2 CFR part 170) to the 
Recipient by the end of the month following the month in which the 
subaward was made.
    (d) If the total value of the Recipient's currently active grants, 
cooperative agreements, and procurement contracts from all Federal 
awarding agencies exceeds $10,000,000 for any period of time during the 
period of performance of this Federal award, then during that period of 
time the Recipient must maintain the currency of information reported 
to SAM that is made available in the designated integrity and 
performance system (currently the Federal Awardee Performance and 
Integrity Information System (FAPIIS)) about civil, criminal, or 
administrative proceedings as outlined further in 2 CFR part 200, 
Appendix XII.

G. Federal Awarding Agency Contact

    The RUS Contact for this grant announcement is Robin Meigel, 
Finance Specialist, Rural Utilities Service, Electric Program, Office 
of Portfolio Management and Risk Assessment, United States Department 
of Agriculture, 1400 Independence Avenue SW., STOP 1568, Room 1274-S, 
Washington, DC 20250-1568. Telephone (202) 720-9452, Fax (202) 720-
1401, email: Robin.Meigel@wdc.usda.gov.

H. Other Information

1. Disclosure of Information

    All material submitted by the applicant or grantee may be made 
available to the public in accordance with the Freedom of Information 
Act (5 U.S.C. 552) and USDA's implementing regulations at 7 CFR part 1.
    In addition, in compliance with statutory requirements for Federal 
spending transparency, USDA will announce all Federal awards publicly 
and publish the required information on a publicly available OMB-
designated government-wide Web site (at time of publication, 
www.USAspending.gov) (2 CFR 200.211).

2. Civil Rights

i. USDA Non-Discrimination Statement
    USDA prohibits discrimination against its customers, employees, and 
applicants for employment on the bases of race, color, national origin, 
age, disability, sex, gender identity, religion, reprisal, and where 
applicable, political beliefs, marital status, familial or parental 
status, sexual orientation, or all or part of an individual's income is 
derived from any public assistance program, or protected genetic 
information in employment or in any program or activity conducted or 
funded by USDA. (Not all prohibited bases will apply to all programs 
and/or employment activities.)
ii. How To File a Complaint
    If you wish to file an employment complaint, you must contact your 
agency's EEO Counselor within 45 days of the date of the alleged 
discriminatory act, event, or in the case of a personnel action. 
Additional information can be found online at https://www.ascr.usda.gov/complaint_filing_file.html.
    If you wish to file a Civil Rights program complaint of 
discrimination, complete the USDA Program Discrimination Complaint Form 
(PDF), found online at https://www.ascr.usda.gov/complaint_filing_cust.html or at any USDA office, or call (866) 632-
9992 to request the form. You may also write a letter containing all of 
the information requested in the form. Send your completed complaint 
form or letter to us by mail at U.S. Department of Agriculture, 
Director, Office of Adjudication, 1400 Independence Avenue SW., 
Washington, DC 20250-9410, by fax (202) 690-7442 or email at 
program.intake@usda.gov.
iii. Persons With Disabilities
    Individuals who are deaf, hard of hearing or have speech 
disabilities and that wish to file either an EEO or program complaint 
may contact USDA through the Federal Relay Service at (800) 877-8339 or 
(800) 845-6136 (in Spanish).
    Persons with disabilities, who wish to file a program complaint, 
please see information above on how to contact us by mail directly or 
by email. If you require alternative means of communication for program 
information (e.g., Braille, large print, audiotape, etc.) please 
contact USDA's TARGET Center at (202) 720-2600 (voice and TDD).

    Dated: September 10, 2015.
Brandon McBride,
Administrator, Rural Utilities Service.
[FR Doc. 2015-25975 Filed 10-9-15; 8:45 am]
 BILLING CODE P