Food, Conservation and Energy Act of aka 2008 Farm Bill

Transcription

1 Food, Conservation and Energy Act of 2008 aka 2008 Farm Bill

2 Bill became law June 18, 2008 Intended to Guide Farm and Food Policies through FY2012

3 Mandatory Funding: Mandatory funds not requiring additional appropriations and secured in the bill Discretionary funds subject to annual appropriations process and called authorized funding All farm bill mandatory funds slated for FY and still subject to appropriator s final pen

4 Farm Bill Implementation USDA held meeting to get public input on energy title programs on Sept. 4 th Hoping to have loan guarantee program and BCAP up and running ASAP New provisions can take awhile Advanced Notice of Proposed Rules should be out soon Availability of funding

5 Title IX: Energy $1 billion of mandatory funding to leverage renewable energy industry investments

6 Federal Procurement of Biobased Products (Section 9002) Reauthorized program for federal procurement preference program for bio-based fuels $1 million of mandatory funding for FY08 and $2 million p/yr for FY09-12

7 Biorefinery Assistance (Section 9003) Loan Guarantees for the development and construction of advanced biofuel production plants Grants for the costs of biorefineries to demonstrate commercial viability of 1 or more processes of converting renewable biomass $320 million of mandatory funding for FY09 through FY12

8 Biorefinery Repowering Assistance Program Grants to biorefineries in existence at bill enactment to retrofit to reduce or eliminate use of fossil fuels Mandatory funding of $35 million available until expended

9 Bioenergy Program for Advance Biofuels Provides incentives for increased use of ag commodities (except corn) and ag and forestry waste Tax credit of $1.01 per gallon to producer Program will be administered by Rural Development (FSA administered in the past and known as CCC Bioenergy Program)

10 Biodiesel Fuel Education Program Reauthorized program to provide for grants to non-profits and higher education institutions to educate about the benefits of biodiesel fuel use $5 million of mandatory funding

11 Rural Energy for America Program (REAP) Revamped Renewable Energy Systems and Energy Efficiency Program Grants and loan guarantees to purchase and install renewable energy systems for farmers and small rural business Funding now available for energy audits and loan limits increased $250 million of mandatory funding for 09-12

12 Biomass Research & Development Program (Section 9008) Reauthorized program with $120 million of mandatory funding Grants to develop technologies and processes for commercial production of biofuels Eligibility includes state research agencies, non-profits and private sector entities

13 Biomass R&D continued Bill clarified cost share levels at 20% for R&D and 50% for demonstration scale projects 3 technical areas each get 15% of the funding Feedstock Development, Biofuels & Biobased Products Development and Biofuels Development Analysis Remainder left to priority areas determined by DOE/USDA & Advisory Board

14 Rural Energy Self-Sufficiency Initiative (Section 9009) Program designed to help rural communities increase energy efficiency/energy conservation and utilize their renewable energy resources No mandatory funding subject to appropriations

15 Feedstock Flexibility Program Sugar to Ethanol program Raw, refine, or in-process sugar can be purchased and then resold to biofuel producers to ensure that the US sugar program continues to run at no-net cost in times of oversupply

16 Biomass Crop Assistance Program (Section 9011) New program to help develop the next generation of feedstock for renewable energy Administered by FSA Creation of project areas by biomass growers or a biomass conversion facility Contracts with growers of up to 5-15 yrs Provides establishment payments and rental payments

17 Biomass Crop Assistance, continued: Delivery Payment Do not need to be in BCAP project area To help with collection, harvest, storage and transport costs up to $45/ton for 2 years

18 Forest Biomass for Energy Research and development grant program aimed specifically at forest biomass Subject to appropriations no mandatory funding

19 Community Wood Energy Program Creates a new program that builds on Forest Service program to help communities utilize woody biomass Provides assistance to help draw up plans as well as purchase community wood energy systems Subject to appropriations

20 Mandatory Budget Authority Levels Program FY09 FY10 FY11 FY12 Total BioPreferred* $2 m $2 m $2 m $2 m $9 million Biorefinery Assistance** $75 m $245 m $320 million Repowering Assistance** $35 m $35 million Bioenergy Program** $55 m $55 m $85 m $105 m $300 million Biodiesel Education* $1 m $1 m $1 m $1 m $5 million REAP** $55 m $60 m $70 m $70 m $255 million Biomass R&D** $20 m $28 m $30 m $40 m $118 million BCAP*** $70 million

21 Notes on funding chart *$1 million available in Fiscal Year 2008 ** Funds available until expended no year money *** BCAP was scored by Congressional Budget Office as costing $70 million to operate

22 Websites U.S. House of Representatives, Agriculture Committee: USDA Farm Bill Site:

23 Toni Merdan, Sr. Economic Development Officer Congressman Collin C. Peterson Cell Phone: