The U.S. Department of Energy (DOE), in collaboration with its newly established Partnership Intermediary Agreement (PIA), called ENERGYWERX, has opened an initial round of grant funding for small and medium-sized manufacturing firms (SMMs) to implement recommendations made in Industrial Assessment Centers (IAC) assessments and/or DOE Combined Heat and Power Technical Assistance Partnership (CHP TAP) assessments, and to qualify other assessments as “equivalent” for future funding rounds.

The U.S. Department of Energy (DOE) will host Office Hours on 10 July from 1:30-3:30 PM ET to answer any remaining questions from potential applicants before the submission deadline on 14 July. Click Here to RSVP

UPDATED Complete Q&A: Click Here to Download

07/14/2023 at 05:00 PM EST

 

[Workstream 2] Complete Submission Form & Upload Completed Templates: Click Here to Submit for Workstream 2 (NLT 14 July 2023, 5:00 PM ET)

The purpose of the DOE Industrial Assessment Centers (IAC) Implementation Grant Program (Implementation Grant Program) is to provide grants funded by section 40521 of the Bipartisan Infrastructure Law, 42 USC 17116, to small and medium-sized manufacturers (SMMs) to implement recommendations made in IAC and Combined Heat and Power Technical Assistance Partnership (CHP TAP) assessments , between 2018 and 2023 and, in future rounds, recommendations made in equivalent assessments. These grants will bolster the American manufacturing base by supporting projects to improve energy and material efficiency, to increase productivity, and to reduce emissions at SMMs. DOE further intends that these grants will advance the objectives of the Justice40 initiative by improving business performance, increasing energy affordability, and creating pathways to high-quality jobs in disadvantaged communities by driving federal investment into these communities and utilizing registered apprenticeship programs and IAC Program participants in implementation projects (Workstream 1).

In addition, the Implementation Grant Program will begin soliciting applications from non-IAC or CHP TAP assessment providers to qualify assessments from other parties as “IAC-equivalent.” Qualification of third-party assessors will enable further availability of IAC grants for SMMs across the United States (Workstream 2).

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Workstreams

Workstream 1: Implementation Grants: 2018-2023 IAC or CHP TAP Assessments

The Implementation Grants: 2018-2023 IAC & CHP TAP Assessments workstream involves collecting grant applications from SMMs to implement recommendations made in IAC or CHP TAP assessments that meet the eligibility and prioritization criteria described in Attachment 1 below. These criteria advance the Administration’s goal of achieving a net-zero emissions economy.

See Attachment 1 for more details on eligibility, criteria, and how to apply to Workstream 1: Click Here to Download Attachment 1

Workstream 1 Timeline (Estimated)

Phase 1 – Grant Proposal Submissions Open [07 June 2023 to 14 July 2023]: Interested and eligible applicants should submit one (1) form below for each facility for which grant support is requested, for review. Please review Attachment 1 for more details on eligibility, evaluation criteria, and how to apply.

COMPLETED Objective Strategic Session (OSS) - Question and Answer Session [14 June 2023]: DOE will provide further details about the IAC Implementation Grant Program Round 1 Solicitation. Potential applicants had the opportunity to better understand the scope, scale, and intent of the grant program and asked questions of the Government Stakeholders. The virtual OSS - question and answer session – took place on 14 June 2023 from 2:00 PM – 3:00 PM ET. Click Here to Download the OSS Slide Deck.

Phase 2 – Government Review and Selection [Summer 2023]: DOE will downselect submissions that best meet the evaluation criteria in Attachment 1. All applicants will receive a selection or non-selection notification in late Summer or early Fall 2023.

Phase 3 – Path Forward [Fall 2023]: Subsequently, selected SMMs will participate in a discussion with DOE Subject Matter Experts (SMEs) to learn more about the scope of work, timing, and impact. At the same time, the distribution of grant funding will begin.

How to Participate in Workstream 1

 

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Workstream 2: Third-Party Assessor Qualification

The Third-Party Assessor Qualification workstream involves collecting applications from entities interested in having their assessments qualify as "equivalent to IAC assessments" in accordance with 42 USC §17116(a)(2)(C). 

See Attachment 2 for more details on eligibility and how to apply to Workstream 2: Click Here to Download Attachment 2

Workstream 2 Timeline (Estimated)

Phase 1 – Third Party Assessor Qualification Proposal Submissions Open [07 June 2023 to 14 July 2023]: Interested applicants should submit an application to quality their assessment as "IAC equivalent" for review. Please review Attachment 2 for more details on eligibility, criteria, and how to apply.

COMPLETED Objective Strategic Session (OSS) - Question and Answer Session [14 June 2023]: DOE provided further details about the IAC Implementation Grant Program Round 1 Solicitation. Potential applicants had the opportunity to better understand the scope, scale, and intent of the funding opportunity and asked questions of the Government Stakeholders. The virtual OSS - question and answer session - took place on 14 June 2023 from 2:00 PM – 3:00 PM ET. Click Here to Download the OSS Slide Deck.

Phase 2 – Government Review and Selection [Summer 2023]: DOE will select submissions that best meet the evaluation criteria in Attachment 2. All applicants will receive a selection or non-selection notification in later Summer or early Fall 2023.

Phase 3 – Path Forward [Fall 2023]: Subsequently, selected third-party assessors will participate in a discussion with the DOE to begin the qualification process.

How to Participate in Workstream 2

1. Review Details on Eligibility, Criteria, and How to Apply: Click Here to Download Attachment 2
2. Review Resources from the 14 June OSS/Q&A Session
1. Review the Slide Deck: Click Here to Download
2. Review the Transcription: Click Here to Download
3. Review the UPDATED Complete Q&A: Click Here to Download
4. Watch the Recording: Click Here to Watch (Begin at 3:10)
   
3. Join the 10 July Office Hours: Click Here to RSVP
4. Download the Workstream 2 Project Narrative Template: Click Here to Download
5. Complete Submission Form & Upload Completed Templates: Click Here to Submit for Workstream 2 (NLT 14 July 2023, 5:00 PM ET) 

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Frequently Asked Questions

Questions about grant eligibility

Q: Am I eligible to receive grant funding simply by virtue of having received an IAC and/or CHP TAP assessment?

A: No, having received an assessment is only one of several eligibility criteria. Please review the "Initial Eligibility" section of the attachments above in regard to several eligibility factors.

Q: How do I receive an assessment from an IAC or CHP TAP?

A: To inquire about receiving an IAC assessment, please visit https://iac.university. To inquire about receiving a CHP TAP assessment, please visit https://betterbuildingssolutioncenter.energy.gov/chp/chp-taps.

Q: If I didn't receive an IAC or CHP TAP assessment, can I still qualify for IAC Implementation Grants Funding?

A: No, only applicants that have received an IAC or CHP TAP assessment between 2018 through 2023 are eligible for this round of funding. However, DOE is soliciting applications from non-IAC or CHP TAP assessment providers to qualify assessments from other entities as “IAC-equivalent.” Qualification of third-party assessors will expand eligibility for implementation grants in future rounds. 

Q: Am I eligible to receive grant funding if I meet 1 or 2 out of the 3 elements of the definition of a 'small- and medium-sized' manufacturer?

A: No, you must meet all three elements to qualify for this funding round: 1) gross annual sales of less than $100 million; 2) fewer than 500 of employees at the assessed plant site; and 3) annual energy bills at the plant site between $100,000 and $3.5 million. Please review the "Initial Eligibility" section of the solicitation announcement in regard to several eligibility factors. 

Q: Are additional assessment recommendations (AARs) or appendix recommendations made in an IAC assessment eligible for grant funding? 

A: Yes, AARs and appendix recommendations made in IAC assessments are eligible for grant funding. 

Q: If my entity is a majority foreign-owned company but has a U.S. subsidiary, can we apply?

A: No, per the solicitation announcement, "To qualify as a domestic entity, the entity must be organized, chartered or incorporated (or otherwise formed) under the laws of a particular state or territory of the United States; have majority domestic ownership and control; and have a physical place of business in the United States."

Q: My facility is an individual LLC under a larger umbrella company - is eligibility based on the LLC or the parent company?

A: Eligibility is based on the parent company.

Q: For the "fewer than 500 employees at the plant size," are part-time employees included or is it solely full-time employees?

A: Full-time, part-time, and temporary employees, as well as employees obtained from a temporary employee agency, are all included in the facility eligibility count.

Q: Is eligibility based on domestic sales or international sales?

A: Eligibility is based on gross annual sales, so the combined total of both domestic and international sales.

Q: Are you considering expanding eligibility to assessments before 2018 in future rounds?

A:  At this time, we cannot speculate on future rounds. For more information or latest detail on the IAC Implementation Grants Program, please visit Industrial Research and Assessment Center Implementation Grants | Department of Energy.

Q: If I am ineligible for this grant opportunity, what are other opportunities that may pertain to my company?

A: There are several webpages that list the many other DOE funding opportunities that your company could be eligible for; please reference https://infrastructure-exchange.energy.gov, https://oced-exchange.energy.gov/, and https://eere-exchange.energy.gov

 

Questions about the cost share requirement

Q: What are eligible financing options for the required 50% Cost Share?

A: Examples of eligible financing options include: internal capital, Small Business Administration-guaranteed (SBA) loans, loans from private lenders (e.g., banks, VC firms, Community Development Funds), utility rebate programs, and state and local programs in which the funding does not originate from a federal source. For more examples and information, feel free to visit https://betterbuildingssolutioncenter.energy.gov/financing-navigator.

Q: If an entity/applicant desires to build to implement desired recommendations using a Small Business Administration (SBA) loan, is this an eligible cost share?

A: Yes, SBA-guaranteed loans are an eligible cost share, as long as the lender and SBA also deem it eligible for their lending programs.

Q: Will I be able to use tax credits as a form of cost share?

A: It depends on how the tax credit is realized: if the tax credit is paid out in cash,  the tax credit can count towards cost share. However, if the tax credit is a cost avoidance, then it is considered a forgone cost and will not count as cost share.

Q: Regarding the required 50% Cost Share, at what point does an entity/applicant need to assure that cost share is securely in place?

A: The entity/applicant is required to provide written assurance of its proposed cost share contributions in its application. If selected for an award, applicants will be required to provide documentation showing that they will meet cost share requirements. If not, DOE retains the prerogative to rescind award selections.

Questions about the grants

Q: Is the $300,000 maximum grant per individual recommendation, assessment, facility or company/manufacturer?

A: The $300,000 maximum grant is per company/manufacturer, though it can be spread across several individual projects totaling $300,000.

Q: Are payments distributed before, during, or after project implementation?

A: Payments are distributed after the 50% cost-share is verified and other program requirements are met, as set out by Statement of Effort (SOE) agreements with awardees.

Q: Do I report the estimated cost of recommendation implementation from the IAC or CHP TAP report, or should I propose an estimated cost of implementation?

A: Please cite the estimated cost of project recommendation implementation reported in the IAC or CHP TAP assessment. The application includes space to explain additional and updated cost estimates. For costs reported in any year other than 2023, please refer to the application on how to adjust cost to account for inflation using the Producer Price Index.

 

Questions about the application process
Q: Does this grant opportunity require a traditional FOA application form?

A: No; the application form is much shorter than a traditional FOA application and will be collected by ENERGYWERX, a partnership intermediary supporting the DOE. You can access the Workstream 1 (Implementation Grants) Form Here and the Workstream 2 (Third-Party Assessor Qualification) Form Here

Q: Can I apply for multiple rounds of grants (e.g. $150,000 in Round I and $150,000 in a future Round II)?

A: Yes; the manufacturer is eligible to receive a maximum of $300,000 of total grant funding. Therefore, as long as received grant totals across all rounds does not exceed $300,000, the manufacturer is eligible to apply for multiple rounds of grants.

Questions about ENERGYWERX

Q: What is ENERGYWERX?

A: ENERGYWERX is a neutral facilitator as a result of a Partnership Intermediary Agreement (PIA) with the Department of Energy. ENERGYWERX will be coordinating the collection of applications, disbursement of grant funds, and grant management for the Implementation Grant Program.

Q: Why is ENERGYWERX involved?

A: The intent is for selectees to receive a formal Business-to-Business (B2B) Research and Development Agreement (RDA) and Statement of Effort (SOE) as a sub-award (15 U.S. Code, Section 3715) from ENERGYWERX. However, after discussions with the Government, successfully negotiated awards may fall under (but are not limited to) alternate mechanism of awards/interactions with any combination of these categories:

• Cooperative Research and Development Agreement (15 U.S. Code, Section 3710a)
• OTA for research or prototype projects (10 U.S. Code Sections 4021, 4022)
• An award under 10 U. S. Code, Section 4022 may result in the further award of a follow-on production agreement without additional competition based on successful prototype completion. The Government may make this follow-on production award even if all successful prototype criteria are not fully met during the prototype project.
• Procurement for experimental purposes (10 U.S. Code Section 4023)
• Prizes for advanced technology achievements (10 U. S. Code Section 4025) and/or prize competitions (15 U.S. Code 3719)
• FAR-based procurement contract

Q: What is an ENERGYWERX Objective Strategic Session (OSS)?

A: Interested participants join a virtual, open forum session to engage with Government Partners, Subject Matter Experts (SMEs), and other potential applicants regarding the Government’s desired focus area(s) of interest.

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Questions?
If you have any questions, please contact ENERGYWERX: info@energywerx.org