Rebates Available for Clean Diesel Equipment Purchases

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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.
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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.
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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.
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