Rebates Available for Clean Diesel Equipment Purchases (Up to 25% of cost for replacements and up to 40% of cost for repowers) Description GRADE for Landfills (Grants to Replace Aging Diesel Engines for Landfills), is a grant opportunity for non-road diesel, solid waste equipment owners to assist them with the purchase of newer, cleaner, less polluting equipment and/or engines. The goal of GRADE for Landfills is to reduce nitrogen oxide (NOx) pollution from diesel equipment operating at solid waste facilities within our region. Reducing NOx will lead to reductions in ozone pollution throughout the region. Solid Waste facility owners and operators are invited to apply for funding to pay for replacing aging equipment or repowering old equipment with a cleaner engine. This project specifically targets nitrogen oxides (NOx) that contribute to the ozone problem in the Charlotte nonattainment region. Any company that operates nonroad diesel equipment (minimum 100 hp) at Solid Waste facilities in the 8-County Charlotte nonattainment region is eligible to apply for funding to upgrade that equipment. Funding is provided by the Diesel Emission Reduction Act through the U.S. Environmental Protection Agency. Applications To apply for an award through GRADE for Landfills, fill out the appropriate application form for your project type and mail, fax or email to: Mecklenburg County Air Quality c/o GRADE for Landfills 2145 Suttle Ave. Charlotte, NC 28208 Fax: (704) 336-4391 Email: [email protected] Applications are available at www.GRADEplus.net Benefits to GRADE for Landfills Award Recipients Benefits to owners of solid waste equipment that choose to apply for GRADE for Landfills funding and receive an award include the following. reduced equipment maintenance costs newer equipment ability to list clean equipment in proposals and bids positive public image for making good air quality choices health benefit to the community and to equipment operators Eligibility Projects types eligible for funding under GRADE for Landfills include replacement or repower of nonroad diesel equipment that is used at solid waste facilities and result in a reduction of nitrogen oxide pollution. Eligible Facilities: Includes publicly and privately owned facilities that accept solid waste material such as: • municipal solid waste, • construction and demolition debris, • land clearing and inert debris, • yard waste. Eligible Location: The equipment must have operated within the 8-county Charlotte nonattainment region at least 75% of the time for the past 2 years. • Cabarrus, Gaston, Iredell, Lincoln, Mecklenburg, Rowan, Union, & York Eligible Equipment: o Old Equipment being repowered or replaced must: • be nonroad diesel equipment, • operate at least 1,000 hours per year, • be at least 100 hp, • have at least 7 years of useful life left. o New Equipment must: • perform the same function as the old equipment, • be similar horse power (within 10% of the engine being repowered or replaced), • result in an upgrade of at least two engine emission tiers, • operate within the 8-county nonattainment region 75% of the time for the next 5 years (repowers) or 10 years (replacements), • not result in fleet expansion, • be voluntary and did not fall under any federal, state, or local mandates to upgrade equipment Examples of eligible equipment includes, but is not limited to, tub-grinders, compactors, loaders, bulldozers, and excavators. If you have any questions about whether your equipment is eligible for GRADE funding please contact MCAQ at 704-336-5430. Funds Reimbursement GRADE is a reimbursement grant, which means the award recipients will be reimbursed for approved expenses after the project has been completed. No expenses incurred prior to notice of award will be reimbursed. Award recipients will be required to enter into a funding agreement with Mecklenburg County stating the terms and conditions of the reimbursement. Project Types The following section describes each project type in more detail including reimbursable expenses. Type Equipment Replacement Equipment Repower Description Limitations Maximum Funding Replacing an old piece of equipment with a 2013 model year or newer. Removing the engine from a piece of equipment and replacing it with an engine that is at least 2 engine tiers higher. The old engine and old equipment must be permanently destroyed Up to 25% of cost The old engine must be destroyed Up to 40% of cost Equipment Replacement An equipment replacement involves permanently removing an old piece of equipment from service by destroying the entire unit, and replacing it with a 2013 model year piece of equipment or newer. The engine of the new equipment must be at least two tiers higher than the engine of the replaced equipment. Because diesel equipment tends to have a very long life span, and in the past decade the federal government has implemented increasingly stringent emission standards for nonroad engines that power this equipment, upgrading to new or newer equipment has a significant air quality benefit. In order to be eligible for funding for an equipment replacement, the award recipient will have to verify that the equipment to be replaced is currently in proper working order, has worked within the 8-county Charlotte nonattainment region for the past 2 years and would otherwise continue to operate in the region at least 75% of the time for a minimum of 7 years. Additionally, the replacement equipment must be used for the same or similar purpose as the retired equipment and the horsepower of the new piece must be within 10% of the horsepower of the replaced piece of equipment. Before receiving reimbursement, the award recipient will have to provide documentation certifying that the old equipment has been permanently destroyed so that it cannot be sold or used. Expenses that are eligible for reimbursement for replacement under this project include: Invoice cost of new equipment including sales tax and delivery charges; Costs to remove and dispose of the old equipment; Other costs directly related to the project, subject to approval. Expenses that are not eligible for reimbursement for replacements under this project include: Expenses for in-house labor and travel. Expenses not directly related to the purchase of the new equipment. Ancillary repair costs. Long-term operational, maintenance, or repair costs. Interest or loan fees, application costs, and/or consulting fees. The cost of the new equipment minus any scrappage value for the old equipment will constitute the total cost of the equipment replacement. GRADE can reimburse up to 25% of this cost for the replacement equipment. Equipment Repower An equipment repower involves removing and destroying only the engine from a piece of equipment and replacing it with a new engine that is at least two tiers higher than the old engine. Because newer engines meet more stringent emission standards than older engines, this can provide a significant air quality benefit without the cost of replacing an entire piece of equipment. In order to be eligible for funding for equipment repower, the award recipient will have to verify that the equipment to be repowered is currently in proper working order, has worked in the 8County Nonattainment Region for at least the past 2 years and would otherwise continue to operate in the region at least 75% of the time for a minimum of 7 years. Before receiving reimbursement, the award recipient will have to provide documentation certifying that the old engine has been permanently destroyed so that it cannot be sold or used. Expenses that are eligible for reimbursement for repowers under this project include: Invoice cost of new engine including sales tax and delivery charges; Invoice cost of additional equipment that must be installed with the new engine; Associated supplies directly associated with installation of the engine; Costs to remove and dispose of the old engine; Installation costs; Reengineering costs, if the vehicle or equipment must be modified for the new engine to fit; Other costs directly related to the project, subject to approval. Expenses that are not eligible for reimbursement for repowers under this project include: Expenses for in-house labor and travel. Expenses not directly related to the purchase and installation of the new engine. Ancillary repair and rebuild costs. Long-term operational, maintenance, or repair costs. Interest or loan fees, application costs, and/or consulting fees. The cost of purchasing and installing the new engine and associated equipment minus the scrappage value will constitute the cost of the equipment repower. GRADE can reimburse up to 40% of this cost for the repower. Project Selection Criteria Mecklenburg County Air Quality will evaluate applications based on the following criteria. Amount of nitrogen oxide pollution reduced. (Calculated by MCAQ) Cost per pound of nitrogen oxide pollution reduced (Calculated by MCAQ) Amount of time spent in eligible region An effort will be made to distribute the awards throughout the eligible region and to fund at least one of each project type. Mecklenburg County reserves the right to reject all applications and make no awards under this announcement or make fewer awards than anticipated. Submittal of the attached forms does not guarantee acceptance. Due to limited funding, all eligible projects may not receive funding. Visit www.GRADEplus.net for more information on GRADE funding.