[Federal Register Volume 87, Number 124 (Wednesday, June 29, 2022)]
[Notices]
[Pages 38732-38734]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-13859]



[[Page 38732]]

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DEPARTMENT OF ENERGY


Notice of Availability of State, Local, and Tribal Allocation 
Formulas for the Energy Efficiency and Conservation Block Grant Program

AGENCY: Office of Energy Efficiency and Renewable Energy, Department of 
Energy.

ACTION: Notice of availability.

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SUMMARY: The Department of Energy (DOE or the Department) is publishing 
three allocation formulas that will be used to distribute funds to 
local governments, states, and Indian tribes through the Energy 
Efficiency and Conservation Block Grant Program (EECBG Program or 
Program), as required by the Program's authorizing legislation, Title 
V, Subtitle E of the Energy Independence and Security Act of 2007. The 
purpose of the EECBG Program is to assist eligible entities in 
implementing strategies to reduce fossil fuel emissions, to reduce 
total energy use, and to improve energy efficiency. This notice 
provides the allocation formulas established by the Department to 
distribute funds to eligible entities.

FOR FURTHER INFORMATION CONTACT: Mr. Adam Guzzo, U.S. Department of 
Energy, Office of Energy Efficiency and Renewable Energy, 
Weatherization and Intergovernmental Programs Office, EE-5W, 1000 
Independence Avenue SW, Washington, DC 20585-0121. Telephone: (202) 
287-1585. Email: <a href="/cdn-cgi/l/email-protection#ceababadaca98ea6bfe0aaa1abe0a9a1b8"><span class="__cf_email__" data-cfemail="4a2f2f29282d0a223b642e252f642d253c">[email protected]</span></a>. Electronic communications are 
recommended for correspondence.

SUPPLEMENTARY INFORMATION:

I. Introduction

    DOE is publishing the formulas for allocating EECBG Program funding 
to eligible units of local government, states, and Indian tribes as 
required by section 543(e) of the Program's authorizing legislation, 
Title V, Subtitle E of the Energy Independence and Security Act of 2007 
(EISA), as amended.\1\ Through section 40552(b) of the Infrastructure 
Investment and Jobs Act of 2021 (IIJA), Public Law 117-58, Congress 
appropriated $550 million to the EECBG Program for fiscal year 2022, to 
remain available until expended.
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    \1\ 42 U.S.C. 17153(e).
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    The EECBG Program provides Federal grants to states, units of local 
government, and Indian tribes to assist eligible entities in 
implementing strategies to reduce fossil fuel emissions, to reduce 
total energy use, and to improve energy efficiency.\2\ Of the amounts 
appropriated by IIJA, DOE will allocate funds as prescribed in section 
543 of EISA:
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    \2\ 42 U.S.C. 17152.
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    <bullet> 34% to eligible units of local government-alternative 1 
through formula grants;
    <bullet> 34% to eligible units of local government-alternative 2 
through formula grants;
    <bullet> 28% to states through formula grants;
    <bullet> 2% to Indian tribes through formula grants; and
    <bullet> 2% for competitive grants to ineligible local governments 
and Indian tribes.\3\
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    \3\ 42 U.S.C. 17153(a).
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    This notice describes the three allocation formulas that DOE will 
use when issuing funds to eligible local governments, states, and 
Indian tribes. The allocation formulas described in this notice take 
into consideration feedback provided by state and local governments 
during DOE hosted listening sessions in 2022, as well as feedback from 
Indian tribes during a Tribal Consultation DOE hosted in 2022. In 
addition, DOE established the allocation formulas in alignment with the 
allocation formulas DOE used for the EECBG Program previously under the 
American Recovery and Reinvestment Act of 2009, Public Law 111-5, to 
the extent practicable. Appendices A-C of this notice provide the 
mathematical formulas and data sources used by DOE when developing the 
local government, state, and Tribal allocation formulas.

II. EECBG Local Government Allocation Formula

    The EECBG Program provides grants to local governments in two 
allocations as outlined in section 541(3) of EISA.\4\ The term 
``eligible unit of local government-alternative 1'' (Local Government-
Alternative 1) means--(1) A city with a population--of at least 35,000; 
or that causes the city to be 1 of the 10 highest populated cities of 
the state in which the city is located; and (2) A county with a 
population--of at least 200,000; or that causes the county to be 1 of 
the 10 highest populated counties of the state in which the county is 
located.\5\ The term ``eligible unit of local government-alternative 
2'' (Local Government-Alternative 2) means--(1) A city with a 
population of at least 50,000; or (2) A county with a population of at 
least 200,000.\6\ Cities and counties eligible to receive an allocation 
under the definition Local Government-Alternative 2 are also eligible 
to receive an allocation under the definition Local Government-
Alternative 1. 74 FR 17461, 17463 (Apr. 15, 2009).
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    \4\ 42 U.S.C. 17151(3).
    \5\ 42 U.S.C. 17151(3)(A).
    \6\ 42 U.S.C. 17151(3)(B).
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    Formula Factors. Section 543(b) of EISA directs DOE to establish a 
formula to distribute grant funding to eligible units of local 
government according to the following factors: (1) The population 
served by the local government, according to the latest available 
decennial census; and (2) the daytime population of the local 
government, and other similar factors determined by DOE (section 
543(b)).\7\ As utilized previously under ARRA, the local government 
allocation formula established by DOE for the EECBG Program uses the 
following two weighted factors: the population served by the local 
government weighted at 70.25%; and the daytime population of the local 
government weighted at 29.75%. 74 FR 17461, 17463.
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    \7\ 42 U.S.C. 17153(b).
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    Funding Allocation Design: Local Government-Alternative 1--34%. 
Local governments eligible under the definition Local Government-
Alternative 1 receive 34% of the grant funding available through 
section 40552(b) of the IIJA. The formula sets a minimum level of 
funding at $75,000. The formula allocates $75,000 to each eligible 
local government and then distributes the remaining funds on a pro rata 
basis via the weighted factors set in the formula.
    Funding Allocation Design: Local Government-Alternative 2--34%. 
Another 34% of the available grant funding is allocated to the subset 
of local governments that are eligible under the definition of Local 
Government-Alternative 2. There is no minimum level of funding for this 
formula. All local governments eligible under the definition of Local 
Government-Alternative 2 receive at least the minimum allocation 
through the Local Government-Alternative 1 formula. The Local 
Government-Alternative 2 formula apportions the funding to each local 
government eligible under the definition of Local Government-
Alternative 2 on a pro rata basis via the weighted factors set in the 
formula. The total allocation for each local government eligible under 
the definition Local Government-Alternative 2 is equal to its 
allocation from the Local Government-Alternative 1 formula plus its 
allocation from the Local Government-Alternative 2 formula. For more 
detail on the local government allocation formula, see Appendix A of 
this notice.

[[Page 38733]]

III. EECBG State Allocation Formula

    Under section 541(6) of EISA, the term `State' means: a state; the 
District of Columbia; the Commonwealth of Puerto Rico; and any other 
territory or possession of the United States.\8\
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    \8\ 42 U.S.C. 17151(6).
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    Formula Factors. EISA directs that, of the amount allocated for 
states, DOE shall provide not less than 1.25% to each state, and the 
remainder distributed among the states based on an allocation formula 
established by the Department that takes into account the population of 
each state and any other criteria that DOE determines to be 
appropriate.\9\
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    \9\ 42 U.S.C. 17153(c).
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    The state allocation formula established by DOE for the EECBG 
Program uses the following three equally weighted factors:
    1. The total population for the state weighted at 33.33%;
    2. The remaining population of the state after subtracting the 
populations of all eligible local governments within the state weighted 
at 33.33; and
    3. Total state energy consumption, except for consumption in the 
industrial sector, weighted at 33.33%.
    Funding Allocation Design: State--28%. Eligible states receive 28% 
of the grant funding available through section 40552(b) of the IIJA. 
The formula provides a minimum funding allocation for states of 1.25% 
of the total state allocation as mentioned previously. The formula 
distributes the minimum amount of funding to each eligible state and 
then distributes the remaining funds pro rata via the three weighted 
factors set in the formula. For more detail on the state allocation 
formula, see Appendix B of this notice.

IV. EECBG Tribal Allocation Formula

    As defined by section 541(4) of EISA, `` `Indian tribe' has the 
meaning given the term in the Indian Self-Determination and Education 
Assistance Act.'' \10\ The Indian Self-Determination and Education 
Assistance Act states that the term means any Indian tribe, band, 
nation, or other organized group or community, including any Alaska 
Native village or regional or village corporation as defined in or 
established pursuant to the Alaska Native Claims Settlement Act (85 
Stat. 688), which is recognized as eligible for the special programs 
and services provided by the United States to Indians because of their 
status as Indians.
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    \10\ 42 U.S.C. 17151(4), referencing 25 U.S.C. 5304(e).
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    Formula Factors. Section 543(d) of the EISA directs DOE to 
establish a formula to distribute grant funding to eligible Indian 
tribes taking into account any factors that the Secretary determines to 
be appropriate.\11\ The Tribal allocation formula established by DOE 
for the EECBG Program uses the following factor: Tribal population 
weighted at 100%.
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    \11\ 42 U.S.C. 17153(d).
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    Funding Allocation Design: Tribal--2%. Eligible Indian tribes 
receive 2% of the grant funding available through section 40552(b) of 
the IIJA. The formula establishes a minimum level of funding at $10,000 
and allocates $10,000 to each eligible Indian tribe. The formula then 
distributes the remaining funds via the weighted factor set in the 
formula on a pro rata basis to all eligible Indian tribes. For more 
detail on the Tribal allocation formula, see Appendix C of this notice.

Appendix A--EECBG Local Government Allocation Formula

    Local Government--Alternative 1:
    [GRAPHIC] [TIFF OMITTED] TN29JN22.001
    
    Local Government--Alternative 2:
    [GRAPHIC] [TIFF OMITTED] TN29JN22.002
    
A<INF>i1</INF> = Total amount of funding allocated to local 
government i under definition Local Government--Alternative 1
A<INF>i2</INF> = Total amount of funding allocated to local 
government i under definition Local Government--Alternative 2
m = $75,000 (the minimum amount of funding each local government 
must receive)
F = Total amount of EECBG Program funding allocated to grants
l<INF>1</INF> = 0.34 (percentage of total funding available to local 
governments eligible under definition Local Government--Alternative 
1)
l<INF>2</INF> = 0.34 (percentage of total funding available to local 
governments eligible under definition Local Government--Alternative 
2)
n<INF>1</INF> = Number of eligible local governments
n<INF>2</INF> = Number of eligible local governments under 
definition Local Government-Alternative 2 only
E<INF>i</INF> = Population served by local government i based on 
U.S. Census Bureau, Decennial Census Redistricting Data (Pub. L. 94-
171), 2020
D<INF>i</INF> = Daytime population of local government i based on 
U.S. Census Bureau, American Community Survey, 5-Year Estimates, 
2020
d = 29.75% (daytime population coefficient weighting scheme based on 
an estimated 50 working hours out of a total 168 hours in a week 
(50/168 is equal to approximately 29.75%). Working hours are used 
because daytime population estimates are based on working commutes.)
A<INF>i1</INF> + A<INF>i2</INF> = The total allocation for each 
local government eligible under the definition Local Government--
Alternative 2

    Notes:
    <bullet> EISA directs DOE to include considerations of ``daytime 
population'' in the local government allocation formula.\12\ The 
concept of the daytime population refers to the number of people who 
are present in an area during normal business hours, including 
workers. This contrasts with the ``resident'' population present 
during the evening and nighttime hours. The U.S. Census Bureau 
creates estimates of daytime population by adding the total number 
of workers working in the jurisdiction minus workers who live and 
work in the same jurisdiction with the total resident 
population.\13\ The U.S. Census Bureau estimate of daytime 
population adjusts only for work-related travel, i.e., in commuters 
to

[[Page 38734]]

an area and out commuters from an area. Data necessary to adjust for 
shopping, school, recreation, tourism, etc. is not available.
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    \12\ See 42 U.S.C. 17153(b).
    \13\ U.S. Census Bureau, Calculating Commuter-Adjusted 
Population Estimates, available at Calculating Commuter-Adjusted 
Population Estimates (census.gov).
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    <bullet> For counties, all population figures are adjusted to 
reflect only the balance of their population excluding the 
populations of any eligible entities therein. In determining county 
balance populations, DOE identified a number of cities with 
geographic boundaries that cross the borders of multiple counties. 
In calculating county balance populations for those counties which 
contain only a part of an eligible city, DOE subtracted the portion 
of the eligible city's population living within that county.

Appendix B--EECBG State Allocation Formula
[GRAPHIC] [TIFF OMITTED] TN29JN22.003

A<INF>i</INF> = Total amount of funding allocated to state i
m = 0.0125 * s * F (minimum amount of funding each state must 
receive)
F = Total amount of EECBG Program funding allocated to grants
s = 0.28 (percentage of total funding available to eligible states)
n = Number of states
E<INF>i</INF> = Total population for state i based on U.S. Census 
Bureau, Decennial Census Redistricting Data (Pub. L. 94-171), 2020; 
U.S. Census Bureau, 2020 Census of American Samoa; U.S. Census 
Bureau, 2020 Census of the Commonwealth of the Northern Mariana 
Islands; U.S. Census Bureau, 2020 Census of Guam; U.S. Census 
Bureau, 2020 Census of the Unites States Virgin Islands.
B<INF>i</INF> = Balance population for State i after subtracting the 
populations of eligible local governments in State i based U.S. 
Census Bureau, Decennial Census Redistricting Data (Pub. L. 94-171), 
2020; U.S. Census Bureau, 2020 Census of American Samoa; U.S. Census 
Bureau, 2020 Census of the Commonwealth of the Northern Mariana 
Islands; U.S. Census Bureau, 2020 Census of Guam; U.S. Census 
Bureau, 2020 Census of the Unites States Virgin Islands.
C<INF>i</INF> = Energy consumption less the industrial sector's 
consumption for State i based on U.S. Energy Information 
Administration, Total Energy Consumption Estimates by End-Use 
Sector, 2019 and U.S. Energy Information Administration, 
International, 2019 (for U.S. territories)

    Notes:
    <bullet> For those states that do not have any eligible local 
governments their balance population (B<INF>i</INF>) is equal to 
their total population (E<INF>i</INF>)
    <bullet> Energy consumption data for the industrial sector is 
not available for the U.S. territories

Appendix C--EECBG Tribal Allocation Formula
[GRAPHIC] [TIFF OMITTED] TN29JN22.004

A<INF>i</INF> = Total amount of funding allocated to Indian tribe i
m = $10,000 (minimum funding each Indian tribe must receive)
F = Total amount of EECBG Program funding allocated to grants
t = 0.02 (percentage of total funding available to eligible Indian 
tribes)
n = number of Indian tribes
E<INF>i</INF> = Tribal population based on a combination of U.S. 
Census Bureau, Decennial Census Redistricting Data (Pub. L. 94-171), 
2020 and American Community Survey 5-year Estimates, 2020 and/or 
self-reported Tribal enrollment data

Signing Authority

    This document of the Department of Energy was signed on June 19, 
2022, by Kelly Speakes-Backman, Principal Deputy Assistant Secretary 
for Energy Efficiency and Renewable Energy, pursuant to delegated 
authority from the Secretary of Energy. That document with the original 
signature and date is maintained by DOE. For administrative purposes 
only, and in compliance with requirements of the Office of the Federal 
Register, the undersigned DOE Federal Register Liaison Officer has been 
authorized to sign and submit the document in electronic format for 
publication, as an official document of the Department of Energy. This 
administrative process in no way alters the legal effect of this 
document upon publication in the Federal Register.

    Signed in Washington, DC, on June 24, 2022.
Treena V. Garrett,
Federal Register Liaison Officer, U.S. Department of Energy.
[FR Doc. 2022-13859 Filed 6-28-22; 8:45 am]
BILLING CODE 6450-01-P


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