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You are here: Home / Type of Grant / Grant / Texas: Seaport and Rail Yard Areas Emissions Reduction (SPRY) Program

Texas: Seaport and Rail Yard Areas Emissions Reduction (SPRY) Program

Dated: August 1, 2022

The Texas Commission on Environmental Quality (TCEQ) invites applications from persons or entities who operate on-road and/or non-road drayage trucks and cargo handling equipment at seaports and rail yards located within the air quality nonattainment areas of Texas.

Donor Name: Texas Commission on Environmental Quality

State: Texas

County: Selected Counties

Type of Grant: Grant

Deadline: 11/22/2022

Size of the Grant: $25,000

Details:

Purpose

The Seaport and Rail Yard Areas Emissions Reduction (SPRY) Program is established under Chapter 386, Subchapter D-1, of the Texas Health and Safety Code (THSC) to implement a portion of the Texas Emissions Reduction Plan (TERP). Rules for the program have been adopted by TCEQ in Title 30 Texas Administrative Code, Chapter 114 (30 TAC 114), Subchapter K, Division 8. TCEQ has also adopted the Texas Emissions Reduction Plan: Guidelines for the Seaport and Rail Yard Areas Emissions Reduction Program (Guidelines), which contain more specific standards governing this program.

Funding Information

  • Replacement Projects
    • For replacement projects, the grant recipient may be eligible for reimbursement of up to 80% of the eligible costs associated with the purchase or lease of the replacement equipment, not to exceed the maximum grant amount listed in the Maximum Eligible Grant Amount not to exceed a cost per ton of $25,000 for the amount of NOX reduced. TCEQ may fund projects at less than the maximum grant amounts.
  • Repower Projects
    • For repower projects, the grant recipient may be eligible for reimbursement of up to 80% of the eligible costs associated with the repower of the equipment, not to exceed the maximum rebate grant amount listed in the Maximum Eligible Grant not to exceed a cost per ton of $25,000 for the amount of NOx reduced. TCEQ may fund projects at less than the maximum grant amounts.

Eligibility Criteria

A person is eligible to apply for funding if, for at least the two years immediately preceding the application signature date, the applicant has:

  • owned or leased an on-road vehicle, non-road yard truck, or other cargo handling equipment eligible to be replaced under the program; and
  • operated the vehicle or equipment in one or more of the eligible seaports or rail yards for a minimum of 200 days per year (12-month period) for the preceding two years (24-month period).

Applicant Eligibility

  • Eligible applicants include individuals, corporations, organizations, governments or governmental subdivisions or agencies, business trusts, partnerships, associations, or any other legal entity. This may include a corporation headquartered outside of Texas, but which operates eligible equipment in an eligible county in Texas.
  • All corporations, partnerships, and other business entities must be registered with the Texas Secretary of State and maintain an active registration throughout the Activity Life.
  • Businesses or other entities in which a TCEQ employee, spouse, or family member of a TCEQ employee has a direct or indirect interest, financial or otherwise, may be prohibited from receiving a grant, depending upon the nature of the interest. Any questions regarding the eligibility of an entity to apply for a grant should be referred to TERP staff early in the application process.
  • The applicant must have the authority to dispose of the equipment and engine being replaced or repowered in accordance with the grant requirements at the time the application is submitted. Applicants must certify compliance with these requirements in the application and may be required to provide documentation of such authority.
  • Entities intending to serve as a third party for the funding, whereby the grant funding and/or cost savings resulting from the funding will be passed through to the owners or operators of the equipment, are not considered eligible applicants.

Eligible Seaports and Rail Yards

  • For this grant round, eligible applicants must operate in an eligible seaport or rail yard located in the state’s air quality nonattainment areas to be considered for a grant.
  • An eligible seaport is a publicly or privately owned property associated with the primary movement of cargo or materials from oceangoing vessels or barges to shore or vice-versa, including structures and property devoted to receiving, handling, holding, consolidating, and loading or delivery of waterborne shipments.
  • An eligible seaport also includes publicly or privately owned property within a ship channel security district established under Texas Water Code, Chapter 68. Publicly or privately owned property within Houston Ship Channel Security District (HSCSD) is considered eligible for consideration of a grant under this solicitation. If an applicant is not able to determine whether a facility is part of the HSCSD or is otherwise not sure of the eligibility of a property, the applicant should contact TERP staff at (800) 919-TERP (8377) for help determining whether a particular facility is eligible.
  • An eligible rail yard is a rail facility where cargo is routinely transferred from drayage truck to train or vice versa, including structures that are devoted to receiving, handling, holding, consolidating, and loading or delivery of rail-borne cargo.

For more information, visit TCEQ.

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