Where USDA REAP stands
USDA rescinded the REAP grant funding notice effective April 15, 2026, pending a rule rewrite; as of September 2026 grants are paused and guaranteed loans are still available. Rooftop solar on farm buildings remains eligible, while ground mounts over 50 kW are excluded or deprioritized under the current direction.
Check with your USDA Rural Development state office before planning around a grant. If one reopens, a rooftop project on a barn or shop is the shape most likely to fit.
Co-op rules shape the design
Colorado co-ops must offer net metering for commercial and agricultural-type accounts up to at least 25 kW, with monthly kWh carryforward and annual excess credited back. Above that, each co-op sets its own terms, and some pay only avoided cost for exports.
Pump loads and farm homes are often on separate meters. Solar credits generally apply to the meter they’re connected to, so we look at which meter has the load before deciding where the array goes.
Irrigation seasons and timing
Irrigation pumps run hardest in summer, which lines up with peak solar production. In winter the same array may export most of what it makes, so annual true-up rules matter a lot for pump-heavy operations.
Plains center pivots, San Luis Valley groundwater wells and Western Slope orchards have very different loads. We size from your actual meter history, not a rule of thumb.
Federal credit for farm businesses
A farm business can claim the §48E credit on solar if the system is placed in service by December 31, 2027, unless construction began by July 4, 2026 (as of September 2026; verify current terms). 100% bonus depreciation may also apply — ask your CPA.
FAQ
Questions we hear
Can I still get a USDA REAP grant for solar?
As of September 2026, REAP grants are paused after USDA rescinded the funding notice effective April 15, 2026. Guaranteed loans remain available. Check with USDA Rural Development for current status.
Can one array offset several farm meters?
Generally solar credits the meter it’s connected to. Some co-ops have aggregation options; ask your co-op or let us check the tariff.
Is solar worth it for irrigation pumps that only run in summer?
It can be, if your co-op’s true-up rules let summer production offset summer use at a fair rate. It may not be if exports earn only avoided cost.
Does the farm need to own the panels to claim the federal credit?
The owner of the system claims the §48E credit. A farm business with tax liability can claim it directly; ask your CPA about basis, timing and depreciation.