REAP-uw-extension-2 - Rural Energy for America Program (REAP) - Extension 2 Summary

Sep 16, 2026

Uploaded by Pentious

Rural Energy for America Program (REAP) provides guaranteed loans and grants for small businesses and agricultural producers to install renewable energy systems and implement energy efficiency improvement projects. Residences are excluded, and eligibility hinges on whether applicants meet agricultural producer or rural small business income, payroll documentation, and size standard thresholds using SBA rules and NAICS codes. The guidance also covers shared electrical meter handling, separate meter requirements, and eligibility calculations for business/farm versus residential energy usage to determine grant percentages and allowable EPC amounts.

LanguageEnglish

CategoryPresentations

FormatPDF

Pages21

Reading Time7 min

AccessFree to download

Eligible Applicants

Agricultural Producer

Rural Small Business

Application Requirements

SAM Registration

Shared Electrical Meter and Residence Exclusion

Eligibility Calculation Example

Business/Farm vs Residential Usage

Eligible Percentage and Grant %

Rural Energy for America Program (REAP) REAP The program provides guaranteed loans and grants to small businesses and agricultural producers to install renewable energy systems and energy efficiency improvement projects. This program excludes residences. 2 Eligible Applicants • Agricultural Producer -5 years of tax returns – average gross agricultural operational income -50% or greater of the income must be from agricultural production • Rural Small Business - Average annual gross receipts + cost of goods sold – 5 years of tax returns or financial statements - Average annual employee count – 1 year of payroll documentation - Determine NAICS code-start with code on tax return - Determine size standard threshold – either \# of employees or total annual gross receipts, use SBA rules Applicant determines if they are an eligible agricultural producer or rural small business. DO NOT SUBMIT TAX RETURNS OR FINANCIAL DOCUMENTS FOR PROJECTS $200,000 OR LESS. SBA Size Standard Tables Annual Receipts \# of Employees SAM Registration Register for a Unique Entity Identification [Number at SAM.gov](Number at SAM.gov). Start this process early. You must have an active SAM registration when you submit your application. Shared Electrical Meter Business/Agricultural Producer & Residence ATTACH A RESIDENTIAL ELECTRICAL USAGE REPORT BY UTILIZING AN ON-LINE CALCULATOR SUCH AS: [HTTPS://WWW.HOMEENERGYSAVER.LBL.GOV/CONSU](HTTPS://WWW.HOMEENERGYSAVER.LBL.GOV/CONSU)[MER](MER/ THIS IS NOT REQUIRED IF A SEPARATE METER IS)[/](MER/ THIS IS NOT REQUIRED IF A SEPARATE METER IS)[ THIS IS NOT REQUIRED IF A SEPARATE METER IS](MER/ THIS IS NOT REQUIRED IF A SEPARATE METER IS)[ ](MER/ THIS IS NOT REQUIRED IF A SEPARATE METER IS)INSTALLED FOR THE HOUSE. 50% OR MORE OF PROJECTED RENEWABLE ENERGY TOBE GENERATED MUST BENEFIT THE BUSINESS/FARM OPERATION IN ORDER FOR THE PROJECT TO BE ELIGIBLE. A SEPARATE ELECTRICAL METER MAY ALSO BE INSTALLED. CONSULT WITH YOUR ELECTRIC UTILITY, MAY HAVE ADDITIONAL FIXED METER CHARGES. Shared Electrical Meter Business/Agricultural Producer & Residence Example-solar project with a residence and business/farm share a meter. TPC $90,000 (quote) EPC Business/Farm $82,139 (91 .27%) Residential $7,861 1. Total projected solar production 64,515 kwh’s (pv watts) 2. Total historical usage 58,892 kwh’s (12 months utility statements) 3. Historical residence usage 5,635 kwh’s (online home energy calculator tool) 4. The difference is business/farm usage 53,057 kwh’s. 5. 64,515 kwh’s projected – 53,057 kwh’s actual agricultural producer/business kwh’s used = excess of 5,823 kwh’s sold to the grid. 6. 53,057 kwh’s historical business/farm & 5,823 kwh’s of supported grid sales = 58,880 kwh’s of proposed system. Eligible % of proposed production, 58,880 kwh’s/64,515 kwh’s = 91.27% . Applicant Eligibility & REAP Grant % Shared Meter Is the historical business/farm usage greater than the projected production of the system? If yes, it is eligible no production being produced for the house. If no, continue. Will 50% or more of the proposed energy production be used by the business/farm? 53,057 kwh’s historical business/farm & 5,823 kwh’s of supported grid sales = 58,880 kwh’s of proposed system. Eligible % of proposed production, 58,880 kwh’s/64,515 kwh’s = 91.27% . Business/farm usage is greater than 50%, it is eligible. TPC $90,000 x 91.27% = $82,139 .04 EPC for the business/farm Maximum grant is $20,534 .76. When the grants were 25%, now they could be up to 40% .

FAQs

Who is eligible to apply for REAP guaranteed loans and grants?

Eligible applicants include agricultural producers and rural small businesses, based on specific financial and documentation criteria. Residences are excluded from the program.

What is required for SAM registration when submitting an REAP application?

Applicants must register for a Unique Entity Identifier through SAM.gov and keep the SAM registration active when submitting the application. The process should start early.

How does a shared electrical meter affect eligibility for business/farm projects?

A shared meter requires proper documentation of residential electrical usage, except when a separate meter is installed. Eligibility depends on ensuring that 50% or more of projected renewable energy benefits the business/farm operation.

Sep 16, 2026

Uploaded by Pentious