The purpose of this amended rule is to provide guidance to eligible applicants for the application process, review, and administration of the Renewable Energy and Energy-Efficient Technologies Grant Program.

 

DEPARTMENT OF AGRICULTURE AND CONSUMER SERVICES

Office of Energy

RULE NOS.:RULE TITLES:

5O-1.002Definitions

5O-1.003Renewable Energy and Energy-Efficient Technologies Grants Program

PURPOSE AND EFFECT: The purpose of this amended rule is to provide guidance to eligible applicants for the application process, review, and administration of the Renewable Energy and Energy-Efficient Technologies Grant Program.

SUMMARY: The proposed rule describes the application process, review, and administration of the Renewable Energy and Energy-Efficient Technologies Grant Program.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION: The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: The Department’s economic analysis of the adverse impact or potential regulatory costs of the proposed rule did not exceed any of the criteria established in Section 120.541(2)(a), Florida Statutes. The Renewable Energy and Energy-Efficient Technologies Grant Program is a voluntary program. Eligible applicants may elect to participate to take advantage of the matching grants associated with this program.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 377.804, 570.07(23) FS.

LAW IMPLEMENTED: 377.804 FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAR.

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: John Leeds, 600 South Calhoun Street, Suite B04, Tallahassee, Florida 32399-0001 or telephone: [phone]

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

5O-1.002 Definitions.

The words, terms, and phrases used in this chapter, unless otherwise indicated, shall have the meaning set forth in Section 377.803, F.S. In addition, when used in this chapter, the following words, phrases, or terms, shall have the following meanings:

(1) “Prime Funder” is defined as the primary funding entity for which the Renewable Energy and Energy-Efficient Technologies Grant Matching Program funds will be used as match.

(1)(2) “Total Project Costs” means grant funds requested plus aApplicant mMatch plus. Department Match. This does not include funds from a “Prime Funding” Source.

(2)(3) “Department” means the Florida Department of Agriculture and Consumer Services.

(3)(4) “Matching Funds or Other In-Kind Contributions” means:

(a) Actual cash outlays contributed, including, but not limited to, cash outlays for wages, rental expenses, travel expenses, unrecovered indirect costs, and purchases of material and supplies, as a direct benefit to the project; or,

(b) Non-cash contributions necessary and reasonable for proper and efficient accomplishment of project objectives, the value of which must be established using the following guidelines:

1. Rates for donated or volunteer services of any person must be consistent with their regular rate of pay, or the rate of pay of those paid for similar work at a similar level of experience in the labor market, including the value of fringe benefits.

2. The value of donated expendable property such as office supplies or workshop supplies must not exceed the fair market value of the property.

3. The value of donated real property such as land must not exceed the fair market value of the property.

4. Donated space must be valued at fair rental value of comparable space and facilities in a privately-owned building in the same locale.

5. The value of loaned equipment cannot exceed its fair rental value.

6. In-kind travel expense must be valued at the approved State of Florida rate as specified in Section 112.061, F.S.

(5) “Notice of Award by Prime Funder” is defined as the documentation that includes funding amount to be awarded, award date (including matching obligation date if different from award date), and authorized signatory from the “Prime Funder,” notifying the applicant that funds are being awarded by the “Prime Funder”.

(6) “Letter of Reservation” is the letter from the Department reserving the grant match funds until the applicant provides the Department with the “Notice of Award by Prime Funder” or the program funds are depleted.

(4)(7) “Cost Reimbursement” means payment to grantee of reasonable costs incurred in connection with the performance of work, not to exceed the amount set forth in the budget.

(5)(8) “Indirect Costs” means costs that are incurred for common or joint objectives and, therefore, cannot be identified readily and specifically with a particular sponsored project, an instructional activity, or any other institutional activity.

(6) “University” means state universities as defined in Section 1000.21(6), F.S.

(7) “College” means Florida College System institution as defined in Section 1000.21(3), F.S.

(8) “Non-profit” means nonprofit organization as defined in Section 215.97(2)(l), F.S.

(9) “State Funds” means state financial assistance as defined in Section 215.97(2)(q), F.S.

(10) “Physical Presence” means that the entity is headquartered in the State of Florida and its principal business operations are located in the state.

(11) “Authorized Representative” means a person with the legal authority to apply for financial assistance and enter into commitments on behalf of the organization/entity, or the official designee as certified in writing.

Rulemaking Authority 377.804(3), 377.806(7), 220.192(3) FS. Law Implemented 377.802, 377.804, 377.806, 220.192 FS. History–New 10-22-07, Formerly 62-16.200, 27N-1.200, Amended 8-24-14,___________.

 

“Substantial rewording of Rule 5O-1.003 follows. See Florida Administrative Code for present text.”

5O-1.003 Renewable Energy and Energy Efficient Technologies Grants Program.

(1) REQUEST FOR GRANT PROPOSALS.

(a) The department shall issue a Notice of Funding Availability (NOFA), which shall include a copy of the grant application form, instructions for submission of the grant application, the application submittal deadline, description of ranking and point system, and contact information for the department.

(b) The NOFA shall be issued by publication in the Florida Administrative Register and on the department’s website.

(2) QUALIFIED APPLICANTS. Qualified applicants are those applicants identified in Section 377.804(2), F.S., and State of Florida agencies that are licensed to do business in the state and have a physical presence in the State of Florida.

(3) APPLICATIONS. Applications for the Renewable Energy and Energy-Efficient Technologies Grant Program shall be submitted to the Department of Agriculture and Consumer Services, Office of Energy, 600 South Calhoun Street, B04, Tallahassee, Florida 32399-0001 as follows:

(a) One original and three copies of the application shall be submitted in hard copy format using the Renewable Energy and Energy-Efficient Technologies Grants Program Application, form FDACS-01990 (rev. 02/16).

(b) Applications must be received by the department no later than 5:00 p.m. Eastern Standard Time (EST) on the date specified by the department in the NOFA.

(c) The minimum allowable amount of grant funds for an application to be eligible for consideration for award shall be $50,000, and the maximum allowable amount of grant funds shall be $400,000.

(4) ELIGIBILTY. An application shall be deemed ineligible from further review for the following reasons

(a) The applicant is not the type of entity as described in paragraph (2);

(b) The applicant did not use Renewable Energy and Energy-Efficient Technologies Grants Program Application, form FDACS-01990 (rev. 02/16);

(c) The applicant did not include an original signature from the applicant’s authorized representative;

(d) The applicant did not provide the required minimum, verifiable, matching funds as described in paragraph (6)(a);

(e) Section(s) A, F, G, or I of Renewable Energy and Energy-Efficient Technologies Grants Program Application, form FDACS-01990 (rev. 02/16), is incomplete;

(f) The applicant did not meet the criteria set forth in paragraph (3).

(g) The department has a pending civil or administrative action against the applicant;

(h) The department has a final judgment or final order finding that the applicant has committed violations against department rules or Florida Statutes unless the applicant has satisfied all requirements for corrective actions and has paid all costs, civil penalties, damages, and other financial assessments required by the judgment or order;

(i) The applicant has entered into a consent order with the department, unless the applicant has satisfied all requirements for corrective actions and has paid all costs, civil penalties, damages, and other financial assessments required by the consent order;

(j) The application did not obtain the minimum score as described in paragraph (8)(d).

(5) CRITERIA. The criteria listed in Section 377.804(4), F.S., shall be used in evaluation of grant applications.

(6) MATCHING FUNDS.

(a) For matching funds, the minimum required amount for an application to be eligible for consideration for award shall be 20% of grant funds requested. Cost share percentage shall be rounded to the nearest whole number.

(b) Expenses related to a proposed project incurred prior to the award announcement are not eligible as matching funds or in-kind contributions. Award announcement is the date in which the final rankings are posted on the department’s website.

(c) Florida state universities, colleges, and non-profit organizations may use indirect costs as matching contribution. The allowable percentage shall be capped at 10% of grant funds requested less the percentage of indirect costs claimed for grant funds.

(d) State funds are not eligible as matching funds or in-kind contributions.

(e) All matching funds and other in-kind contributions, including third party in-kind, shall be verifiable from the applicant’s and/or its partners’ records, and not be included as contributions for any other state or federal assisted project or program. All applications must include documentation of third party matching funds.

(7) GRANT FUNDS.

(a) Only state universities, colleges, or non-profits may request grant funds for indirect costs which shall be capped at 10% of the grant funds requested less the percentage of indirect costs claimed for matching funds.

(b) Grant funds shall not be used as matching funds or in-kind contributions for any other state or federally funded projects.

(8) SCORING AND RANKING.

(a) In scoring applications, points shall be awarded based on the following criteria:

Criteria	Max Points Possible
1. Cost Share Percentage	20
2. Economic Development	20
3. Technical Feasibility	15
4. Innovative Technology	15
5. Production Potential and Energy Efficiency	15
6. Fostering Awareness	10
7. Project Management	5
8. Duration & Timeline	5
9. Location Served	5
10. Public Integration	5
11. Florida Public University Preference	10
Total Numerical Rating	125

 

1. Cost Share Percentage: The availability of matching funds or other in-kind contributions applied to project from the applicant. Cost share percentage shall be rounded to the nearest whole number.

0 points = 20% of grant funds requested.

2 points = Greater than 20% up to and including 25% of grant funds requested.

4 points = Greater than 25% up to and including 30% of grant funds requested.

6 points = Greater than 30% up to and including 35% of grant funds requested.

8 points = Greater than 35% up to and including 40% of grant funds requested.

10 points = Greater than 40% up to and including 50% of grant funds requested.

12 points = Greater than 50% up to and including 60% of grant funds requested.

14 points = Greater than 60% up to and including 70% of grant funds requested.

16 points = Greater than 70% up to and including 80% of grant funds requested.

18 points = Greater than 80% up to and including 90% of grant funds requested.

20 points = Greater than 90% of grant funds requested.

2. Economic Development: The degree to which the project stimulates in-state capital investment and economic development in metropolitan and rural areas, including the creation of jobs and the future development of a commercial market for renewable energy technologies. This should also include information on where and how grant funds are expected to be used.

Minimum (0 points): Negative contribution or this element of the evaluation criteria was not addressed.

Maximum (20 points): Significant potential for economic development in Florida.

3. Technical Feasibility: The extent to which the proposed project has been demonstrated to be technically feasible based on pilot project demonstrations, laboratory testing, scientific modeling, or engineering or chemical theory that supports the proposal. This should include the demonstration of the Technical Readiness Level or other methods to prove the feasibility of the project and technology.

Minimum (0 points): No proof of feasibility or this element of the evaluation criteria was not addressed.

Maximum (15 points): Project demonstrated to be technically feasible and claims are fully supported.

4. Innovative Technology: The degree to which the project incorporates an innovative new technology or an innovative application of an existing technology. This should include background information about how the applicant’s technology compares to existing technologies and an explanation as to why it is innovative in comparison.

Minimum (0 points): No degree of innovation or this element of the evaluation criteria was not addressed.

Maximum (15 points): Project incorporates technologies or processes that are not in common use in Florida, that represent a novel application of an existing technology or process, or that overcome obstacles to meeting Florida’s energy needs in new or innovative ways.

5. Production Potential and Energy Efficiency: The degree to which a project generates thermal, mechanical, or electrical energy by means of a renewable energy resource that has substantial long-term production potential and/or demonstrates efficient use of energy and material resources. This should include information on the energy production potential of the proposed technology and an explanation as to the efficient use of materials in the manufacture and/or use of the technology. 

Minimum (0 points): No production potential or energy efficiency or this element of the evaluation criteria was not addressed.

Maximum (15 points): Significant potential for energy production in Florida and incorporates energy efficient products and practices including process improvements that lead to source reduction, waste minimization, and on-site recycling.

6. Fostering Awareness: The degree to which the project fosters overall understanding and appreciation of renewable energy technologies. This should include information about how this project will assist in advancing academic research, development, or commercialization for the renewable energy and energy efficiency industry as a whole.

Minimum (0 points): No contribution or this element of the evaluation criteria was not addressed.

Maximum (10 points): Significant potential for fostering awareness of renewable energy technologies throughout Florida.

7. Project Management: The ability to administer a complete project within the specified timeframe. This should include information about individuals working on the project and their experience as it relates to the successful completion of the proposed project.

Minimum (0 points): Project team mismatched for tasks identified. No prior management experience on project team. Budget is unrealistic.

Maximum (5 points): Project team has extensive management experience and expertise in the proposed field of study. Budget suited to tasks involved.

8. Duration & Timelines: Project duration and timeline for expenditures. This should include an explanation as to how the project will be completed in the timeframe allotted.

Minimum (0 points): Project objectives will not be met and grant funds will not be exhausted within the 3 year grant agreement timeframe.

Maximum (5 points): No difficulty accomplishing project objectives and expending funds within grant agreement timeframe.

9. Location Served: The geographic area in which the project is to be conducted in relation to other projects. This should include information about activities within the immediate area that benefit the area or enhance the project.

Minimum (0 points): Project duplicates existing efforts in the county or counties in which the project is proposed, minimizing its potential value to the community and state.

Maximum (5 points): Location of project benefits related efforts in the county or counties in which the project is proposed and surrounding areas, creating value for the community and state.

10. Public Integration: The degree of public visibility and interaction. This should include information regarding the ability of the project to educate the general public regarding renewable energy and energy efficient technologies.

Minimum (0 points): No visibility and interaction with the general public or this element of the evaluation criteria was not addressed.

Maximum (5 points): Significant potential for public visibility and interaction.

11. Florida Public University and College Preference: Florida Public Universities shall receive preference in scoring.

Minimum (0 points): The applicant is not a Florida Public University or College.

Maximum (10 points): The applicant is a Florida Public University or College.

(b) The department shall establish a review group of no less than 3 people, who shall each individually review grant applications, and score each application according to the point system provided in paragraph (8).

(c) Each reviewer's scores shall be totaled and the total score for all reviewers shall be divided by the number of reviewers. The highest averaged scored application shall be ranked number one, the second highest averaged scored application shall be ranked number two, and so on, until all eligible applications are ranked.

(d)An applicant must obtain a minimum score of 88 to be eligible for funding.

(9) AWARD. The department shall award grants based upon highest ranking and availability of grant funds. Grants shall be awarded to the top ranked application first, to the second highest ranked application second, and so on until the total amount of the fiscal appropriation in each state fiscal year is met.

(a) The department shall award up to the total amount requested in individual grant applications to the top ranked grant applicants up to the maximum amount allowed under paragraph (3)(c). If funds are not available to award the total amount requested by an applicant due to awards of grants to higher ranked applications, the department shall award partial grants to applicants up to the amount of the fiscal appropriation remaining in each state fiscal year.

(b) In the instance of a ranking tie between two or more applications, the application proposing the higher percentage of match shall be ranked higher. In the instance of a ranking tie between two or more applications, and those applications propose the same percentage of match, the application submitted earlier in date shall be ranked higher.

(10) ADMINISTRATION.

(a) Grant funds must be awarded through a formal grant agreement negotiated and executed between the department and the grant applicant. Either party has the discretion to terminate negotiations if an agreement is not reached within 45 days of announcement of award. If the department and the grant applicant are unable to negotiate an agreement, the grant shall not be awarded to that grant applicant.

(b) Grant agreements shall be limited to no longer than two years in duration.

(c) Grant funds shall be distributed as reimbursements to recipients upon receipt of a formal invoice, supporting documentation, and upon department grant manager approval for compliance with all requirements of the grant agreement, this rule chapter, and Florida Statutes.

(d) Invoices shall be submitted by grantees not more frequently than once per month, and not less frequently than once per quarter.

(e) Expenses incurred by a grantee and its project partners for its project after the execution of a formal grant agreement shall be considered as match based upon the requirements of Section 377.804, F.S., and this chapter.

(f) Expenses incurred by a grantee and its project partners for its project between the date of a award announcement, as described in paragraph (6)(b), and execution of formal grant agreement shall be considered as match if the proposed match would meet all requirements of this rule and Chapter 377, F.S., which would be otherwise applicable to an awarded grant, and if the proposed match would not violate any other provisions of the law. The department shall determine, on a case-by-case basis, whether such expenses qualify for match. Approval of such expenses as match are subject to negotiation of the grant agreement, and prior written approval by the department is required. Consideration as match is not guaranteed.

(11) Materials Incorporated by Reference. The Renewable Energy and Energy-Efficient Technologies Grants Program Application, Form FDACS-01990 (rev. 02/16) is hereby adopted and incorporated by reference. The form may be obtained by contacting the Florida Department of Agriculture and Consumer Services, Office of Energy, at 600 South Calhoun Street, Suite B04, Tallahassee, Florida 32399-0001, or emailing [e-mail], and is available online at: http://www.flrules.org/Gateway/reference.

Rulemaking Authority 377.804(3) FS. Law Implemented 377.802, 377.804 FS. History–New 10-22-07, Formerly 62-16.300, 27N-1.300, Amended 8-24-14,________.

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Kelley Smith Burk, Executive Director of the Office of Energy

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Commissioner of Agriculture Adam H. Putnam

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: 2/10/2016

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: 12/4/2015