Article Link: https://www.agri-pulse.com/articles/22402-funding-freeze-hits-rural-energy-grant-recipients
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The USDA has frozen payments under the Rural Energy for America Program (REAP), impacting farmers and rural businesses awaiting reimbursement for energy-efficient projects. REAP, created in 2008, provides grants and loans for renewable energy and energy-efficient technologies. The program is funded by the farm bill and the Inflation Reduction Act. The freeze is due to a government-wide review of programs.
Many farmers and rural businesses have invested in clean energy projects, relying on REAP grants. The delay in payments is causing financial hardship for some. One farmer, Michael Protas, is waiting for $50,000 from the USDA for solar panels. He has taken out a loan to cover the project cost and faces making loan payments before receiving the grant money.
Grant writer Justin Barnhart says about 60 grantees he’s worked with have been affected by the freeze. Some have paid between $200,000 and $500,000 for their projects and are waiting for reimbursement. USDA Secretary Brooke Rollins is reviewing the programs and working to make determinations quickly. She plans to share more information soon.