Program Plan
Department of the Treasury - Cash Assistance for Specified Energy Property in Lieu of Tax Credits Recovery Plan
Updated 05/14/2009
Objectives
Program Purpose
Currently taxpayers are allowed to claim a production tax credit for electricity produced by certain renewable energy facilities and an investment tax credit for certain renewable energy property. These tax credits help attract private capital to invest in renewable energy projects. Economic conditions have severely undermined the effectiveness of these tax credits. As a result, the Recovery Act allows taxpayers to receive cash assistance from the Treasury Department in lieu of tax credits.
Public Benefits
Funds will be awarded to persons who place in service qualified energy property expanding the use of clean and renewable energy and decreasing dependency on non-renewable energy sources and reducing carbon emissions. The Treasury Department will award funds in an amount equal to 30 percent of the cost of the renewable energy facility (the percentage depends on the type of facility) within sixty days of the facility being placed in service or sixty days after receiving an eligible application. The Department of Energy and the Treasury Department are working in partnership to develop and implement the program.
Measures
The measures have been revised to enrich the performance metrics for Recovery targets. In some instances, targets will not be available until additional baseline data has been collected.
| Measure | Target/Actual |
|---|
| 2009 | 2010 | 2011 | 2012 |
|---|
[-]
Cycle time in days between receipt of application and date of award | 0/0 | - | - | - |
Measure Information
| Frequency : Quarterly | | Direction : Decreasing | | Type : Efficiency | | Explanation : Number of days between receipt of the application and the date of award notification | | Unit : Days |
|
[-]
Cycle time in days between notification date and funding | 0/0 | - | - | - |
Measure Information
| Frequency : Quarterly | | Direction : Decreasing | | Type : Efficiency | | Explanation : Number of days between award and funding | | Unit : Days |
|
Schedule and Milestones
The application package for grant awards which includes a general notice, application, instructions, and terms and conditions will be available no later than June 30, 2009.
Response time from receipt of application to award will be 60 days. Approved applications will receive funding within 5 days of notification of award.
Applications can be received beginning in July 2009 through December 31, 2011. This program and the Cash Assistance for Housing in Lieu of Tax Credits program has been appropriated $1 million for administrative expenses. A portion of this funding will be used to develop the documentation requirements and application forms, processing applications that are received, and for reimbursable expenses associated with an agreement with the Department of Energy to leverage their expertise in renewable energy.
Milestones
| Milestone |
Completion Date |
| General information is released on Treasury.gov website about the program |
03/24/2009 |
| Application package is available |
06/30/2009 |
Projects and Activities
Projects to be funded under this program include fuel cell power plants which convert fuel into electricity; projects that use solar power to generate electricity, small and large wind projects, geothermal property that generates electricity and thermal energy, micro-turbines that convert fuel into electricity, and combined heat and power system property that generates electricity. Projects will vary in size and amount of production. The Department of Energy and the Treasury Department are working in partnership to develop and implement the program.
Review Process
5.1 RISK MANAGEMENT/INTERNAL CONTROL PLAN
• For each Recovery Act program involving implementation of provisions or obligations of Recovery Act funds in FY 2009, the bureaus will perform actions 5.1.1 through 5.1.4 by April 15, 2009, with completion of 5.1.6 shortly thereafter
• Step 5.1.5 will be ongoing
• Supporting documentation will be maintained by each bureau so that it is readily accessible in the event of an audit or other needs
5.1.1 Identify and Document Program-Specific Risks
• Review pertinent existing risk assessments
• Review pertinent OMB Circular A-123/Appendix A test results, Improper Payments Information Act assessments, etc.
• Review pertinent GAO/OIG/TIGTA audit reports and related corrective action plans
5.1.2 Identify and Document Applicable Current Process Internal Controls
5.1.3 Assess Program-Specific Risks in View of Existing Controls
• Take the Risk/Impact Questionnaire to rate risks and impacts, taking into consideration the findings identified in 5.1.1 and all OMB-prescribed Recovery Act transparency and accountability objectives
• Use the “Consequence-Probability Table” (Risk/Impact Matrix) to determine the overall (combined) Risk/Impact rating
• Document assessments
5.1.4 Mitigate Risks and Impacts
• For each Program with an overall Risk/Impact rating of “High” or “Medium”:
• Identify and update existing risk mitigation plans to implement Recovery Act-related controls; plans should include regularly scheduled monitoring and testing of risk mitigation plans and controls
• Develop and execute new risk mitigation plans as needed; plans should include regularly scheduled monitoring and testing of risk mitigation plans and controls
5.1.5 Monitor Risk Mitigation Plans
• As outlined in each risk mitigation plan (per 5.1.4), each risk mitigation plan must be monitored regularly for timely and effective implementation of corrective actions and testing of controls
• Bureaus with responsibility for Recovery Act programs will leverage existing organizations and entities (e.g., A-123/Appendix A Senior Assessment Team, Senior Management Council, et al) to review, assess, and manage Recovery Act risk
• Bureaus will provide monthly progress reports on risk management to the Treasury DCFO for each program
5.1.6 Certify Completion of Risk Assessment/Development of Mitigation Plan
• Bureau Recovery Act Senior Accountable Official will sign/date a certification for each program
• Submit signed certification to Treasury DCFO
Cost and Performance Plan
Awardees will be required to report performance data as follows:
• Name of recipient entity
• Name of project
• Brief description of project
• Location of project: city/county, state, zip code
• Number of jobs created
• Number of jobs retained
• Number of total projects
• Amount of energy produced
All of the above data will be made publicly available.
Energy Efficiency Spending Plans
The funding provided to Treasury to implement the provisions of the Recovery Act has no identifiable issues with the National Environmental Policy Act, the National Historic Preservation Act, or any Federal Infrastructure investments.
Program Plan Award Types
No Data Available