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Notice of Funds Availability for Certain Provisions of the Biomass Crop Assistance Program

June 30, 2009

The United States Department of Agriculture’s Commodity Credit Corporation (CCC) announced a Notice of Funds Availability (NOFA) for the collection, harvest, storage, and transportation of eligible material (CHST) under the Biomass Crop Assistance Program.  Although the recent NOFA will not incorporate BCAP in full, this will provide payments to both the eligible producers and qualifying biomass conversion facilities under the direction of the Executive Vice President of CCC and the Farm Service Agency’s Deputy Administrator. The NOFA will receive applications for funding opportunities once the Farm Service Agency completes the on-line application process, which should happen in early July.

The purpose of the CHST matching payment program is to assist eligible persons or entities with the collection, harvest, storage, and transportation of eligible material delivered for use in a CHST-qualified biomass conversion facility in advance of full implementation of BCAP. Through the CHST matching payment program CCC will provide payments at a rate of $1 for each $1 per dry ton paid by the CHST qualified biomass conversion facility to the owner for delivery of eligible material to the facility in an amount not to exceed $45 per dry ton. This program will be available to eligible material owners for a period of two years. These matching payments may be made to persons delivering eligible material to a CHST qualified biomass conversion facility who possess the right to collect or harvest eligible material and are considered the owners of the eligible material.

Currently, the Farm Service Agency will accept comments on the NOFA until August 10th, 2009.  Click here to review the complete NOFA and view sending details for comments.

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