On February 17, 2009, President Obama signed the American Recovery and Reinvestment Act of 2009. The purpose of the Recovery Act is to preserve and create jobs and promote economic recovery in the near term and to invest in infrastructure that will provide long-term economic benefits.

Under Section 1603 of the American Recovery and Reinvestment Tax Act of 2009, the U.S. Department of the Treasury makes payments to eligible persons who place in service specified energy property and apply for such payments.

The purpose of the payment is to reimburse eligible applicants for a portion (up to 30 percent) of the expense of such property.

By receiving payments for property under section 1603, applicants are electing to forego tax credits.

This guidance establishes the procedures for applying for payments under the Section 1603 program and is intended to clarify the eligibility requirements under the program.

Our understanding is that manure digesters would qualify for this under the open loop biomass category. See http://www.treas.gov/recovery/docs/guidance.pdf for full guidance.

Source: EPA AgStar