Rural Energy for America Program

Section 9007 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8107) is amended— (1) in subsection (a)— (A) in the matter preceding paragraph (1), by striking and renewable energy development and inserting, renewable energy development, and the reduction of greenhouse gas emissions; and (B) in paragraph (2), by adding that reduce greenhouse gas emissions before the period at the end; (2) in subsection (b)— (A) in paragraph (2)— (i) in subparagraph (D), by striking and at the end; (ii) by redesignating subparagraph (E) as subparagraph (G); and (iii) by inserting after subparagraph (D) the following: (E) a nonprofit corporation; (F) an agricultural cooperative or producer group; and; (B) in paragraph (3)(D), by inserting before the semicolon at the end the following:, including greenhouse gas emissions reductions; and (C) in paragraph (4)— (i) in the matter preceding subparagraph (A), by inserting, agricultural processors, after agricultural producers; (ii) in subparagraph (A), by striking and at the end; (iii) in subparagraph (B)(ii), by striking the period at the end and inserting; and; and (iv) by adding at the end the following: (C) assisting in the development of feasibility studies and plans for implementing recommendations provided under subparagraph (B).; (3) in subsection (c)— (A) in paragraph (1)(A)(i), by inserting, agricultural processors, after agricultural producers; (B) in paragraph (2)— (i) by redesignating subparagraphs (F) and (G) as subparagraphs (G) and (H), respectively; and (ii) by inserting after subparagraph (E) the following: (F) carbon accounting assessments developed under subsection (d) with respect to the renewable energy system to be installed or the energy efficiency upgrade to be undertaken;; (C) in paragraph (3)— (i) in subparagraph (A), by striking The amount and all that follows through 25 percent and inserting Except as provided in subparagraph (F), the amount of a grant under this subsection shall not exceed 50 percent; (ii) by redesignating subparagraphs (C) and (D) as subparagraphs (D) and (E), respectively; (iii) by inserting after subparagraph (B) the following: (C) Maximum percentage of loan guarantee The portion of a loan that the Secretary may guarantee under this section shall be— (i) in the case of a loan in an amount equal to not less than $1,000,000, 80 percent of the principal amount of the loan; and (ii) in the case of a loan in an amount equal to less than $1,000,000, 90 percent of the principal amount of the loan.; (iv) in subparagraph (E) (as so redesignated), by striking subsection (f) and inserting subsection (h); and (v) by adding at the end the following: (F) Underserved producers The amount of a grant provided under this subsection to an agricultural producer that is a beginning farmer or rancher, a socially disadvantaged farmer or rancher, or a veteran farmer or rancher (as those terms are defined in section 2501(a) of the Food, Agriculture, Conservation and Trade Act of 1990 (7 U.S.C. 2279(a))) shall not exceed 75 percent of the cost of the activity funded by the grant.; (D) in paragraph (4), by adding at the end the following: (F) Preapproved technologies In order to streamline the adoption of renewable energy systems and energy efficiency improvements, the Secretary shall develop a streamlined application process for projects using preapproved products and technologies included on the list described in paragraph (5).; and (E) by adding at the end the following: (5) Preapproved list The Secretary shall, beginning in fiscal year 2026— (A) develop a list of preapproved technologies and products for purposes of paragraph (4)(F); and (B) update that list every 2 fiscal years. (6) Priority In making grants or loan guarantees under this subsection, the Secretary shall give priority to proposed projects that use technologies— (A) with a substantially low carbon footprint; or (B) that would result in significant net decreases of greenhouse gas emissions, as determined by the Secretary using the carbon accounting assessments developed under subsection (d).; (4) by redesignating subsections (d), (e), and (f) as subsections (f), (g), and (h), respectively; (5) by inserting after subsection (c) the following: (d) Carbon accounting (1) In general Not later than 2 years after the date of enactment of the Agriculture Resilience Act of 2025, the Secretary, in collaboration with the National Renewable Energy Laboratory, shall develop carbon accounting assessments for renewable energy systems and energy efficiency upgrades (including technologies on the list described in subsection (c)(5)(A) and technologies described in subsection (h)(5)(A)) supported by assistance provided under this section. (2) Methodologies In developing the carbon accounting assessments under paragraph (1), the Secretary shall, to the maximum extent practicable, create accurate methodologies for assigning greenhouse gas emission values, including land use change. (3) Program guidance The Secretary shall, to the maximum extent practicable, use the carbon accounting assessments developed under paragraph (1) as guides in carrying out this section. (e) Regional demonstration projects (1) In general The Secretary shall carry out regional demonstration projects that incentivize agricultural producers to reduce their carbon footprint or overall carbon equivalent emissions to the maximum extent practicable through the use of energy efficiency improvements and renewable energy systems. (2) Publication The Secretary shall publish the results of the regional demonstration projects carried out under paragraph (1).; (6) in subsection (f) (as so redesignated)— (A) in the subsection heading, by inserting and technical assistance after Outreach; (B) by striking The Secretary shall and inserting Using funds made available under subsection (h)(4), the Secretary shall; (C) by inserting and technical assistance after outreach; and (D) by inserting or provided, as applicable, after conducted; (7) in subsection (g) (as so redesignated), by striking subsection (f) each place it appears and inserting subsection (h); and (8) in subsection (h) (as so redesignated)— (A) in paragraph (1), by striking subparagraphs (A) through (E) and inserting the following: (A) $50,000,000 for each of fiscal years 2014 through 2025; (B) $100,000,000 for fiscal year 2026; (C) $200,000,000 for fiscal year 2027; (D) $300,000,000 for fiscal year 2028; and (E) $400,000,000 for fiscal year 2029 and each fiscal year thereafter.; (B) in paragraph (2)(B), by striking become available and inserting be used; and (C) by adding at the end the following: (4) Administrative expenses Of the funds made available to carry out this section for a fiscal year, the Secretary shall use not more than 8 percent for administrative expenses. (5) Reservation of funds Of the funds made available to carry out this section for a fiscal year, the Secretary may reserve— (A) not more than 15 percent to provide grants under subsection (c) to support the adoption of underutilized but proven commercial technologies; and (B) not more than 5 percent to carry out subsection (e)..