USDA Section 9003 Funding for 2020?
The USDA is still actively accepting applications and has Section 9003 loan guarantee funding available. This is mandatory funding authorized in the Farm Bill this fiscal year- approximately $63 million of loan level along with carry-over funding. Only a few Phase I applications were received by the April 1, 2020 due date and there has been no indication that the USDA will be suspending the acceptance of Phase I applications on October 1st. It is important to remember that the Letter of Intent (LOI) to file a Phase I application is due September 1, 2020. This LOI is jointly issued by the applicant and the Lender of Record that has been selected by the project entity. (The application itself actually is filed by the Lender of Record- not the applicant since this is a loan guarantee program).
A Phase I application will contain a Project Summary, an Independent Consultant Feasibility Study, an Intergovernmental Consultation, a Project Scoring, and a Business Plan. It is highly advisable to seek professional assistance in doing these as even small errors can prevent the application from being considered.
In order for a project to be ready for submission to USDA by October 1, 2020, the project entity needs to identify a Lender of Record, retain services of any consultant or experts to assist with preparation of the various loan application documents listed above, have an Independent Feasibility/Marketing Study, and work with USDA to conduct the required intergovernmental consultation (Note: this requirement varies from State to State).
Large renewable energy and biochemical consulting firms certainly have experts in the more common areas of bio and renewable fuels, biomaterials, biomass and biomass power, biomaterials, biochemicals and bio technologies. They also have an expertise in a wide variety of specialty services like expert witness testimony, techno-economic analysis, due diligence, feasibility studies, budgeting, project management, technology assessment, insurance, due diligence, risk management, bench-marking, intellectual property, HAZOP, financial modeling, competitor analysis, and assistance with RIN and Low Carbon Fuel Standards (LCFS) matters. These firms should also be able to assist with other things like Aspen plus, logistics, bioreactor design, municipal solid waste remediation, syngas and bio-based product development, carbon credits, climate change analysis, environmental permitting, equipment sales, experimental validations, grant writing, IP strategy, life cycle analysis (LCA), plant operations, plant sales and auctions, and risk analysis, and Failure Mode and Effects Analysis (FMEA).
Lee Enterprises Consulting is the world’s premier bioeconomy consulting group, with over 100 highly qualified experts serving in all these areas. We can assist with USDA Section 9003 Funding for 2020. Take a look at our experts and the services we provide. Most of our experts are also available to advise and serve as expert witnesses in bioeconomy litigation matters. For the larger projects, we specialize in putting together full service, interdisciplinary teams with one point of contact. Call us at 1+ (501) 833-8511 or email us for more information. See article for a compilation of the federal programs available for funding bioeconomy and biotechnology projects.