2023 Colorado Revised Statutes › Title 40 - UTILITIES (§§ 40-1-101 — 40-43-104) › PUBLIC UTILITIES (§§ 40-1-101 — 40-17.5-105) › GENERAL AND ADMINISTRATIVE (§§ 40-1-101 — 40-9.8-104) › Article 9.8 - MICROGRIDS FOR COMMUNITY RESILIENCE (§§ 40-9.8-101 — 40-9.8-104) › Section 40-9.8-104 - Microgrids for community resilience grant program - creation - grant application process - report - repeal

(1)
(a)
(I)
The microgrids for community resilience grant program is hereby created in the division to provide grants for cooperative electric associations and municipally owned utilities to purchase microgrid resources for eligible rural communities located within their service territories. The division, in collaboration with the office and energy office, shall award grants from the money that the general assembly appropriates to the department for use by the division for the grant program, as well as any money received from federal sources that may be used for the grant program. The department may apply for, receive, and distribute federal money for the grant program, and may seek, accept, and expend gifts, grants, and donations from private and public resources.
(II)
In addition to collaborating with the division regarding the awarding of grants pursuant to subsection (1)(a)(I) of this section, the energy office shall advise the division on criteria to consider in awarding grants, review copies of grant applications, and advise the division based on the energy office's review of the grant applications.
(III)
The division, office, energy office, and department may use a portion of the grant program money for administrative purposes in an amount not to exceed the amount of money required to cover their direct and indirect costs in administering the grant program.
(b)
To administer the grant program, the division, in collaboration with the office and the energy office, shall develop a grant application process and, on or before January 1, 2023, post information about the process, including any application form developed and deadlines set, on the department's website. The division shall begin accepting applications after it posts the information about the application process on the department's website. The division shall continue to accept applications until all of the grant money is awarded.
(c)
Only cooperative electric associations and municipally owned utilities that serve eligible rural communities are eligible to apply for a grant under the grant program.
(2)
As part of its grant application, an applicant must:
(a)
Identify one or more eligible rural communities within the applicant's service territory for which the applicant plans to utilize microgrid resources to increase the community's resilience regarding interruptions to the electric grid that can be caused by severe weather or natural disaster events; and
(b)
Submit with the application a plan detailing how the applicant will utilize microgrid resources in one or more eligible rural communities identified in the application pursuant to subsection (2)(a) of this section.
(3)
In awarding grants, the division, in collaboration with the office and energy office, shall consider the following with regard to one or more eligible rural communities that an applicant identifies in its grant program application:
(a)
Each eligible rural community's degree of exposure to severe weather or natural disaster events;
(b)
The nature of each eligible rural community's interests that are at risk from severe weather or natural disaster events;
(c)
The availability of alternative resources to meet the needs of each eligible rural community if faced with a severe weather or natural disaster event;
(d)
The opportunity for the utility to promote energy efficiency and demand-side management programs; and
(e)
The financial resources of each eligible rural community to mitigate the risks.
(4)
In awarding grants, the division, in collaboration with the office and energy office, shall prioritize microgrids with a higher reliance on nonfossil-fuel-based generation.
(5)
On or before December 1, 2023, and on or before December 1 of each year thereafter, the division shall submit a report summarizing the grants awarded in the previous twelve months through the grant program, including:
(a)
The number of grants awarded; and
(b)
For each grant awarded:
(I)
The amount awarded;
(II)
The location of the eligible rural community or communities for which the grant will be used; and
(III)
Information concerning the grantee's progress in developing microgrid resources, including a description of the microgrid resources being developed and the kilowatt-hours that the microgrid resources are or will be capable of generating.
(6)
The division shall publish the annual report on the department's website and furnish copies of the report to the house of representatives energy and environment committee and the senate transportation and energy committee, or their successor committees.
(7)
This section is repealed, effective September 1, 2026.
Added by 2022 Ch. 304,§1, eff. 8/10/2022.
2022 Ch. 304, was passed without a safety clause. See Colo. Const. art. V, § 1(3).