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 (b)— (A) in the subsection heading, by striking Energy audits and renewable energy and inserting Project; (B) in paragraph (1)— (i) by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and indenting appropriately; (ii) in the matter preceding clause (i) (as so redesignated), by striking provide assistance and inserting the following: provide— (A) assistance; (iii) in subparagraph (A)(ii) (as so redesignated), by striking the period at the end and inserting; and; and (iv) by adding at the end the following: (B) technical assistance to agricultural producers and rural small businesses to apply for financial assistance under subsection (c).; (C) in paragraph (2)— (i) in subparagraph (D), by striking and at the end; (ii) by redesignating subparagraph (E) as subparagraph (F); and (iii) by inserting after subparagraph (D) the following: (E) an agricultural producer cooperative; and; (D) in paragraph (3)— (i) in subparagraph (A), by striking audits and and inserting audits, relevant technical assistance, and; (ii) by redesignating subparagraphs (D) through (F) as subparagraphs (E) through (G), respectively; and (iii) by inserting after subparagraph (C) the following: (D) the potential improvements to the financial conditions of those agricultural producers and rural small businesses;; and (E) in paragraph (4)— (i) in subparagraph (B), by redesignating clauses (i) and (ii) as subclauses (I) and (II), respectively, and indenting appropriately; (ii) by redesignating subparagraphs (A) and (B) as clauses (i) and (ii), respectively, and indenting appropriately; (iii) in the matter preceding clause (i) (as so redesignated), by striking funds to assist and inserting the following: funds— (A) to assist; (iv) in subparagraph (A)(ii) (as so redesignated)— (I) in subclause (I) (as so redesignated), by striking and at the end; (II) in subclause (II) (as so redesignated), by striking the period at the end and inserting; and; and (III) by adding at the end the following: (III) to apply for assistance under subsection (c); and; and (v) by adding at the end the following: (B) to provide training for individuals to perform the activities described in subparagraph (A).; (2) in subsection (c)— (A) in paragraph (2)— (i) in subparagraph (F), by striking and at the end; (ii) by redesignating subparagraph (G) as subparagraph (H); and (iii) by inserting after subparagraph (F) the following: (G) the potential improvements to the financial conditions of the agricultural producer or rural small business receiving the loan guarantee or grant; and; and (B) in paragraph (3)(B), by striking $25,000,000 and inserting $50,000,000; and (C) by striking paragraph (4) and inserting the following: (4) Application process For projects carried out using assistance under this subsection, the Secretary shall establish an application, evaluation, and oversight process that is— (A) the most simplified for projects for which the cost of the activity funded under this subsection is less than $50,000; and (B) more comprehensive for projects for which the cost of the activity funded under this subsection is more than $50,000.; (3) in subsection (e)— (A) in paragraph (1)— (i) by striking 20 and inserting 25; and (ii) by striking $20,000 and inserting $50,000; and (B) by adding at the end the following: (3) Rebate pilot project (A) Definitions In this paragraph: (i) Covered rebate The term covered rebate means a rebate provided by the Secretary to an eligible entity for the purchase of certain energy efficient equipment described in subsection (c)(1)(A), to be determined by the Secretary, that was made by an eligible entity— (I) as part of a project completed in the 12-month period preceding the provision of the rebate; and (II) to meet the immediate needs of the eligible entity, which were not anticipated while the application period for assistance under subsection (c) was open but would otherwise meet the requirements for projects eligible for assistance under that subsection. (ii) Eligible entity The term eligible entity means any entity eligible to receive financial assistance under subsection (c). (iii) Pilot project The term pilot project means the pilot project established under subparagraph (B). (B) Establishment Using not more than 2 percent of the funds made available to carry out subsection (c) for each of fiscal years 2027 and 2028, the Secretary shall carry out a pilot project under which the Secretary shall— (i) award covered rebates to eligible entities; and (ii) test and evaluate a simplified application process for eligible entities to apply for those covered rebates. (C) Notification prior to commencement Not later than 30 days before the commencement of the pilot project, the Secretary shall submit to the Committee on Agriculture, Nutrition, and Forestry of the Senate and the Committee on Agriculture of the House of Representatives a notification containing— (i) the commencement date of the pilot project; (ii) a detailed description of the pilot project; (iii) a copy of the simplified application to be used under the pilot project; and (iv) a list of the equipment for which covered rebates will be provided under the pilot project. (D) Report Not later than June 30, 2027, the Secretary shall submit to the Committee on Agriculture, Nutrition, and Forestry of the Senate and the Committee on Agriculture of the House of Representatives, and make publicly available, a report on the pilot project, which shall include— (i) the total number of each type of equipment for which an application for a covered rebate was submitted, and the total number of each type of equipment for which a covered rebate was provided; and (ii) the extent to which applications for covered rebates exceeded the availability of funding, if applicable. (E) Procedures The administration of this paragraph shall be— (i) made without regard to chapter 35 of title 44, United States Code; and (ii) carried out by the Secretary using the authority provided under section 808 of title 5, United States Code.; and (4) in subsection (f)— (A) in paragraph (2)(A), by striking paragraph (1), 4 percent and inserting this subsection, 5 percent; (B) in paragraph (3), by striking 2023 and inserting 2031; and (C) by adding at the end the following: (4) 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 10 percent for awarding grants under subsection (c) that support the adoption of underutilized but proven commercial renewable energy technologies; and (B) not more than 5 percent to carry out subsection (d)..