New Steam Energy Assistance Program
Cedar Rapids, IA - Today, state and local officials announced a new Steam Energy Assistance Program for Cedar Rapids. The program is designed to provide financial support to the low and high pressure steam users that relied on Alliant Energy’s Sixth Street or Prairie Creek plant in Cedar Rapids. Program benefits are designed to support two key areas including conversion costs to alternative energy sources and high steam bills received by customers post-flood due to the high cost of operating the current temporary steam system.
The total program has been allocated $21 million and will be distributed as follows: $8 million for conversion costs to low pressure users, $8 million for conversion costs to high pressure users and $5 million for post flood steam bill assistance. Approximately $5 million in state funds for the program has been approved, while the remaining $16 million is pending approval by the U.S. Dept. of Housing and Urban Development (HUD).
“We realize the overall unmet needs of the business community are significant. However, this program is a small step that will have a tremendous positive impact on businesses of all sizes that are experiencing the unique challenge of transitioning from our traditional community steam system to independent energy sources,” states Shannon Meyer, president of the Cedar Rapids Area Chamber of Commerce.
To be eligible for this program, you must be or have been a steam customer of Alliant Energy in Cedar Rapids using either the Sixth Street or Prairie Creek plant. Applicants must complete the on-line application at www.corridorrecovery.org using the Small Business Portal Application between Monday, July 6 and Friday, July 31, 2009; no extensions will be granted for filing applications. The timely completion of the application is required, regardless of the status of your project.
"There are many people working on this recovery effort on the local, state and federal level. We all share the common goal of helping Iowans recover from the worst disaster our State has ever experienced, and of helping communities regain their economic stability. While we all know there is still much to be done in the areas of housing, small business and infrastructure, today is a day to be proud of the Cedar Rapids Steam Team and those that worked so hard to make sure Cedar Rapids businesses have another resource to meet their energy needs," states Lt. General Ron Dardis, Rebuild Iowa Office Executive Director.
Steam Energy Assistance Program Details:
A duplication of benefits check is required. This involves review of any prior Jumpstart forgivable loans and/or SBA loans, their use and amount, and the eligible expenses of this program. Details of this process will be provided during your intake meeting.
Conversion:
• You must have completed and paid for your conversion to an alternative energy source prior to reimbursement.
• For low pressure steam users, the planned reimbursement is for up to 50% of the conversion expense. Conversion expense includes heating until (boiler/furnace), piping/ductwork, installation and labor, required building modifications, and other (explanation required).
• For high pressure steam users, the percentage of reimbursement will be dependent upon the total conversion costs of all the users.
• You must have applied for, and received notification, of any energy efficiency rebate programs from your new energy provider.
• Should there be additional funds remaining after all applicants payments have been made, they will be redistributed to all applicants based on their share of total expense.
Post Flood Steam Bill Assistance:
• You must have signed the Alliant Energy Third Party Authorization Form and faxed and mailed to Alliant Energy
o This allows Alliant to release billing information needed to calculate your reimbursement for high steam bills paid post-flood.
o Without this information, you will be ineligible for this portion of the programs.
• At the conclusion of the application period, all applicant accounts for which billing information is available, will be reviewed, and the funding available for this portion of the program will be distributed based on a pro-rata share of actual conversion costs.
• YOU MUST HAVE COMPLETED YOUR ON-LINE APPLICATION AND THIRD PARTY AUTHORIZATION BY FRIDAY, JULY 31, 2009 to be eligible. There will be no extensions beyond the deadline for this portion of the program. The Third party application form is available as a download when you complete the on-line application for funding.
Reimbursement Process:
• Local program administrators expect to begin scheduling and conducting intake in mid-July.
o Duplication of benefits checking will be submitted at this point, and continue as applications are received.
• The disbursement process will begin once the application process closes on July 31, 2009.
o Conversion totals will be calculated and submitted for payment
o The billing reimbursement formula will be applied to all eligible accounts
o Individual reimbursement amounts calculated
o Benefit amounts will be submitted to the City of Cedar Rapids, to Iowa’s Dept. of Economic Development, and to HUD
o Once funds become available for the program from HUD, checks will be issued to each applicant.