Dive Brief:
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The U.S. Department of Agriculture's Rural Development program has delayed the application period for the Rural Energy for America Program, which funds energy technologies installed on farms including solar, wind and anaerobic digestion.
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REAP is one of the largest programs in USDA that funds waste-related projects. It provides both grant and loan funding options for applicants.
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The USDA said in a statement the delay was "due to the overwhelming response and continued popularity of the program resulting in a backlog of applicants." The agency said it would reopen the application period for fiscal year 2026 on Oct. 1, 2025.
Dive Insight:
REAP got a boost from the Inflation Reduction Act of 2022 thanks to the program’s mission of funding clean energy technologies and energy efficiency projects, with USDA promising to obligate more than $1 billion through fiscal years 2023 and 2024. The agency added application windows for the program last year, with the most recent period ending on Sept. 20, 2024.
The most recent tranche of investments made through the program, outlined by USDA on Jan. 10, included a $1 million grant toward the construction of an anaerobic digestion facility on a farm in Scott County, Kansas.
Federal lawmakers on both sides of the aisle have also proposed expanding the program. Last year, both the House and Senate versions of the USDA's budget bill included a provision doubling REAP's maximum guaranteed loan amount to $50 million. Congress ultimately did not pass either bill, opting to pass a short-term budget reauthorization for USDA instead.
But Agriculture Sec. Brooke Rollins has worked to remake REAP and other USDA programs to align with the goals of President Donald Trump’s administration. In March, the USDA instructed REAP applicants to remove “harmful” language related to diversity, equity and inclusion and other “far-left climate” priorities from their applications in order to receive funding. The instructions were announced at the same time as the Trump administration withheld funds from a variety of grant and loan program recipients, including those working on waste and recycling related projects.
In its announcement of the application period delay on June 30, USDA said it would work to address a backlog of applications for REAP.
