Greenhouse Gas Reduction Fund (GGRF) Advisory Services

The Environmental Protection Agency’s Greenhouse Gas Reduction Fund (GGRF) will provide funding to community development financial institutions (CDFIs), green banks, community development finance agencies (CDFAs), quasi-public organizations, and other nonprofit, non-depository financial institutions to finance low- and zero-emissions projects, technologies, and activities in low-income and disadvantaged communities.

With decades of experience in the renewable energy space – and a long history of working with CDFIs, green banks, and other community development entities – CohnReznick has the expertise necessary to help potential awardees and sub-awardees competitively position themselves to receive GGRF funding.

The GGRF, totaling $27 billion, is intended to affect an equitable transition to a low-carbon, electrified economy by 2030. The EPA will grant funding for well-positioned nonprofit, non-depository organizations to invest in clean technology projects and programs. Recipients will design and deploy flexible financing products and technical assistance to accelerate the adoption of green technologies at the community level, particularly in neighborhoods and townships overburdened by the legacy of pollution and climate change. The GGRF is an immediate call to action; the EPA intends to deploy funding by September 2024.

With Notices of Funding Opportunities (NOFO) available for the three funding pathways, potential awardees and sub-awardees will want to be in the best position to apply for the GGRF. To do this, it is important to engage in strategic financial and organization growth planning:

Prepare to apply for federal funds, and ensure compliance with 2 CFR 200 and the EPA sub-award policy
Conduct an internal risk assessment to evaluate ability and readiness to detect and resolve fraud, waste, and abuse of federal funding
Develop three-year investment strategies that contemplate program feasibility, sustainability, partnerships, linkages, ESG measurements, and compliance

CohnReznick can assist potential applicants with the following services to optimize operations, limit risk, and increase accountability and transparency:

ADVISORY SERVICES

Provide renewable energy industry benchmarking data to help assess qualified and deep impact activities in local markets
Evaluate feasibility and eligibility of pipeline of low and zero-emissions projects, activities, and technologies
Develop investment strategies, financial model/s, and program policies and procedures needed to apply for GGRF funding; and support post-award program implementation
Provide third-party organizational reviews of potential sub-awardees with whom participants may collaborate to achieve qualified and deep impact activity in Justice40 communities
Develop due diligence and documentation procedures to qualify private investments, financing activities, and project impacts
Evaluate internal reporting procedures and asset management technology to track and monitor qualified greenhouse gas emissions projects and their environmental and community benefits
Develop an ESG scorecard to evaluate how financing activities generate climate and environmental impacts as well as equity and community benefits

TECHNICAL and compliance SUPPORT

With a long history of providing compliance, reporting, and/or asset management services to clients who work with federal grant and tax credit programs, we understand the importance of compliance
Provide technical assistance and training on tools to geocode eligible addresses and measure community benefits using the EJScreen and CJEST methodology
Determine if program budgets will satisfy procurement standards under 2 CFR 200 and 2 CFR 1500
Prepare for institutional level reviews under this program
Develop program testing and compliance procedures for awardees and sub-awardees to satisfy Davis Bacon and Build America/Buy America programs

Federal funding awards are highly regulated programs with extensive programmatic, compliance, and reporting requirements. Our GGRF practice group has extensive experience assisting clients in:

Establishing compliance policies and procedures
Designing and implementing compliance programs/checklists
Training staff in compliance
Evaluating compliance programs
Issuing compliance reports

As an added bonus, we also provide clients with the option of outsourcing all their compliance and reporting needs to CohnReznick.

CohnReznick has a dedicated GGRF professionals with deep expertise across the government consulting, renewable energy, ESG, and community development finance industries. With involvement of team members from our Government Public Sector Advisory, Project Finance and Consulting, Renewable Energy, ESG Advisory and Internal Audit teams, we are well positioned to assist applicants, awardees, and sub-awardees optimize and operationalize GGRF funding.