USDA Rural Development Awards $446,047 in Grants to Lower Energy Costs for 33 Small Businesses in Rural Iowa

Contact: Darin Leach
(515) 284-4747

Rural Business-Cooperative Service Administrator Bette Brand today announced that the U.S. Department of Agriculture (USDA) is awarding grants for projects in all states and the Commonwealth of Puerto Rico to reduce energy costs (PDF, 216 KB) for farmers, ag producers and rural-based businesses and institutions.

“Lowering energy costs helps rural businesses improve their bottom line and create jobs,” Brand said. “Under the leadership of President Trump and Agriculture Secretary Perdue, USDA is committed to increasing economic development in America’s rural communities through strong partnerships because when rural America thrives, all of America thrives.”

Under today’s announcement, USDA is investing $9.3 million through the Rural Energy for America Program (REAP) for renewable energy and energy efficiency projects across the nation. Congress appropriated $50 million for REAP grants and loan guarantees in fiscal year 2019. USDA will make additional funding announcements in the REAP program in coming weeks.

Recipients can use REAP funding for a variety of needs, such as conducting energy audits and installing renewable energy systems such as biomass, geothermal, hydropower and solar. Funds also can be used to make energy efficiency improvements to heating, ventilation and cooling systems; insulation; and lighting and refrigeration. Listed below are a few examples of how farmers, rural business owners and institutions are making investments in their operations through REAP.

In Iowa, 33 rural small businesses across the state are receiving a total of $446,047 to help lower their business costs. Common types of improvements include installing solar array systems, upgrading grain drying systems and replacing inefficient lighting.

In April 2017, President Donald J. Trump established the Interagency Task Force on Agriculture and Rural Prosperity to identify legislative, regulatory and policy changes that could promote agriculture and prosperity in rural communities. In January 2018, Secretary Perdue presented the Task Force’s findings to President Trump. These findings included 31 recommendations to align the federal government with state, local and tribal governments to take advantage of opportunities that exist in rural America. Supporting the rural workforce was a cornerstone recommendation of the task force.

To view the report in its entirety, please view the Report to the President of the United States from the Task Force on Agriculture and Rural Prosperity (PDF, 5.4 MB). In addition, to view the categories of the recommendations, please view the Rural Prosperity infographic (PDF, 190 KB).

USDA Rural Development provides loans and grants to help expand economic opportunities and create jobs in rural areas. This assistance supports infrastructure improvements; business development; housing; community facilities such as schools, public safety and health care; and high-speed internet access in rural areas.

Contact USDA Rural Development

Information on programs available through USDA Rural Development is available by visiting www.rd.usda.gov/ia or by calling (515) 284-4663.

USDA Rural Development has 11 offices across the state to serve the 1.7 million Iowans living in rural communities and areas.  Office locations include a State Office in Des Moines, along with Area Offices in Albia, Atlantic, Humboldt, Indianola, Iowa Falls, Le Mars, Mount Pleasant, Storm Lake, Tipton and Waverly.

Last Modified: 08/21/2019