State and Federal Grant Funding Opportunities

Rovolus attributes our successful history with environmental grants for airports to our company-wide focus on how airports are managed, how they operate, and how they are financed. Additionally, Rovolus personnel have spent countless hours establishing relationships with FAA’s Airports Office at headquarters and at regional and district offices throughout the United States. These longstanding relationships have allowed us to fully understand the FAA’s numerous funding requirements, scheduling milestones, and procurement criteria. 

 

Our grant funding assistance includes the following experience with the following programs:

 

FAA's Voluntary Airport Low Emission (VALE) Program

 

Rovolus staff have supported more than twenty airport sponsors to secure more than fifty air quality improvement grants from the Federal Aviation Administration’s (FAA’s) Voluntary Airport Low Emissions (VALE) Program, through the Airport Improvement Program (AIP). 

 

In 2004, the Federal Aviation Administration’s (FAA’s) Office of Airports established the VALE (Voluntary Airport Low Emission) Program as a way to encourage eligible airports to engage in clean technology projects. The VALE Program provides a significant financial contribution to airports in areas designated by the United States Environmental Protection Agency (EPA) as non-attainment or maintenance of National Ambient Air Quality Standards. More than 160 commercial service airports in the United States are currently eligible for VALE Program funding.  Eligible small-hub airports can receive up to 90% reimbursement of all eligible project costs through the VALE Program and medium- and large-hub airports can receive up to 75% reimbursement. 

 

The VALE Program is funded through the Airport Improvement Program’s (AIP’s) discretionary Environmental and Noise Set-Aside budget.  Thus, funding for VALE projects is discretionary and does not decrease an airport’s normal entitlement funding, meaning that funding represents “new money” not otherwise available to an airport sponsor. VALE-eligible project costs, importantly, may include fees associated with preparing the application and engineering/design costs. In addition to providing funding for the purchase and installation of low-emission equipment, the VALE Program can also provide funding for the necessary infrastructure to support the project, such as additional electrical upgrades required to operate equipment. 

 

Because both tenant airlines and airports benefit from many project types, stakeholders are incentivized to partner together for a VALE project by providing financial support or joint commitment to the project.  VALE-funded projects often lead to operational savings that can result in a return on investment in just a few years. VALE projects can also generate Airport Emission Reduction Credits (AERCs) that may be applied to future capital projects to avoid government-mandated airport emission control measures.  Through the VALE process, applicants will receive assurance that AERCs may be requested during any year of a project’s life.

 

Eligible project types include:

  • Gate preconditioned air (PCA) and ground power
  • Remote ground power at hardstands and RON positions
  • Alternatively fueled vehicles
  • Central utility plant improvements
  • Electric ground support equipment

 

EPA's Diesel Emission Reduction Act (DERA) Clean Diesel Program

 

The EPA’s Diesel Emission Reduction Act (DERA) or “Clean Diesel” Program offers grant funding assistance at the state and federal levels for projects that remove heavy polluting diesel engines, including diesel-powered GSE, from the nation’s transportation infrastructure.  Historically, DERA Program grants have provided funding for either (1) up to 25% of the total eGSE purchase cost, or (2) 40% of GSE conversion cost to electric.  Importantly, an award can be transferred from a recipient to a third party, such as from an airport sponsor to a partnering tenant airline.  Rovolus staff have had particular success with securing state and federal DERA Program funding for airports, including eGSE, PCA, and alternative fuel vehicle projects. DERA solicitations have typically required requested funding amounts ranging from $200,000 to $500,000, thus making it financially advantageous for airport sponsors and airlines seeking a small- to medium-scale conversion project to participate.

 

FAA's Energy Efficiency of Airport Power Sources ("Section 512") Program

 

Like VALE Program funding, Section 512 Program funding is AIP-discretionary and a sponsor would still be eligible for up to either a 75% or 90% share of federal reimbursement. However, the funding is not awarded out of the national Environmental and Noise set-aside budget, but rather it is awarded by the Region. Thus, a Section 512-funded solar PV project would (1) be scored against other discretionary projects in the Region, and (2) compete against other projects for which the sponsor may be seeking discretionary funding.  Additionally, unlike VALE Program projects, Section 512 projects only focus on energy savings, thus a sponsor would not be able to seek AERCs to offset future emission increases at their airport. 

 

Currently, the only guidance that has been provided for the Section 512 Program was issued in FY 2012.  In that year, three Section 512 Program grants were awarded, with Rovolus staff performing analysis and application services for all three grants.  New guidance is expected to be issued soon, and is expected to include updated requirements to prepare a Section 512 Program application, and the necessary components of the required “Energy Assessment.” This will be noticeably different from a VALE Program application in that the expected emission reductions would not need to be quantified, but a rigorous financial analysis demonstrating the return on investment (ROI) would be required. 

 

It is important to note that solar photovoltaic arrays used to be funded by FAA through the VALE Program, but have since been reclassified as an eligible project type under the Section 512 Program.

 

 

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