IA DNR: Iowa Wins Big at Energy Program Awards

DES MOINES - Rural Communities and farmers in Iowa have won big as recipients of grant and loan money from the U.S. Department of Agriculture. U.S.D.A. Rural Development's mission is to increase economic opportunity and improve the quality of life for rural residents.

The U.S. Secretary of Agriculture Ed Schafer announced Aug. 27, that 769 individuals and businesses in 43 states will receive $35 million in energy grants and loan guarantees. The guarantees are important since the U.S.D.A. guarantees a portion of the loan that the bank or lending institution makes.

Together with award announcements made since May, Iowans will receive more than 24 percent of all awards, and 27 percent of budget authority for the nation.

Iowa received 167 awards out of 171 applications that Iowans submitted, and secured almost $8.3 million in grant funds/budget authority. Iowa also received nearly $4.8 million in guaranteed loan funds.

The grants and loan guarantees are being awarded through U.S.D.A. Rural Development's Section 9006 Renewable Energy Systems and Energy Efficiency Improvements program. The program provides financial assistance to agricultural producers and rural small businesses to support renewable energy projects across a wide range of technologies. Eligible projects include biomass (including anaerobic digesters), geothermal, hydrogen, solar and wind energy. It also provides support to increase energy efficiency improvements, helping recipients reduce energy consumption and improve operations.

One of the applicants, D.J. Keehner Farms, Inc. of Monona, will receive an $11,561 grant. Keehner plans to replace a propane heating system with a more energy-efficient geothermal heating system, which is expecting to reduce energy costs by 78 percent.

A special thank you goes out to all public and private entities that played such an important role in Iowa's receipt of so many financial awards. "Thank you for being such great partners in the 9006 program. Your help has been invaluable," said Teresa Bomhoff, State Office Rural Energy Coordinator for Iowa.

For more information and qualifications to apply for future awards, visit www.rurdev.usda.gov/rbs/farmbill/index.html