Local Solar Access Fund

Project Grants or Technical Assistance Grants

The following New Mexico entities are eligible to apply for a Project Grant or a Technical Assistance Grant:

• • • County
    • Municipality
    • School District
    • Land Grant-Merced
    • Indian Nation, Tribe or Pueblo located wholly or partially in New Mexico

Technical Assistance Grants only

The following New Mexico entities are only eligible to apply for a Technical Assistance Grant:

• • • New Mexico Council of Governments

Project Grants

Grant amounts are up to $1,000,000.

Technical Assistance Grants

Grant amounts are up to $50,000.

Project Grants – up to $1,000,000

Grants are for planning, design, construction, purchase, installation or equipment for solar energy systems used to power buildings and infrastructure in New Mexico, and include the following:

• Planning, design, and engineering services for solar energy systems;
• Purchase and installation of solar panels, inverters, and related equipment;
• Energy storage systems including batteries and management systems;
• Electrical infrastructure and utility grid interconnection equipment;
• Construction and installation labor costs;
• Necessary building upgrades or repairs to accommodate solar installations
• Project management and oversight costs.

Technical Assistance Grants – up to $50,000

Grants for technical assistance for entities to be applying for funding for a Solar Energy Project. Technical assistance includes the following:

• Professional services for grant writing and federal funding;
• Engineering and feasibility studies;
• Environmental assessments and permitting support;
• Legal and regulatory compliance assistance; and
• Project development and planning services 

Project Grants

Project Grant applications will be scored according to the following prioritization criteria. Scored applications will be ranked and funding will be awarded based on the ranking. Project Grant Prioritization Criteria:

• • Low-Income Impact (30%) – Percentage of project beneficiaries that are low-income households
  • Need for Funding (25%) – Entity’s need for funding for the project
  • Critical Infrastructure (20%) – Projects serving community services, infrastructure, or emergency shelter facilities
  • Operating Cost Savings (10%) – Projected long-term energy cost reductions
  • Energy Storage Integration (10%) – Inclusion of battery storage or grid-interactive systems
  • Workforce Development (5%) – Commitment to local hiring

Technical Assistance Grants

Technical Assistance Grants will be reviewed on a first-come, first-served basis.

At least 60% of the total funding available shall be awarded to rural entities.

No more than 25% of the fund shall be awarded within any one county.

NMFA’s partner on program implementation is the New Mexico Energy, Minerals and Natural Resources Department (“EMNRD”), which supports the state’s energy transition goals and renewable energy development. EMNRD coordinates with local governments and communities to advance clean energy infrastructure throughout New Mexico.

The Local Solar Access Fund has identified the following mission objectives:

• Increase deployment of solar energy systems in underserved and rural communities throughout New Mexico.
• Reduce energy burden for low-income households and community service providers.
• Support local workforce development in the renewable energy sector.
• Enhance community resilience through distributed solar and energy storage systems.
• Leverage federal and other funding sources to maximize project impact.

A. “Act” means the New Mexico Finance Authority Act, Section 6-21-1, et. seq., NMSA 1978 as may be amended and supplemented.

B. “Applicant” means an Eligible Entity or New Mexico Council of Governments who has filed an Application with the NMFA to obtain Financial Assistance from the Fund.

C. “Application” means a written document filed with the NMFA by an Applicant for the purpose of obtaining Financial Assistance from the Fund.

D. “Authorized Representative” means one or more individuals authorized by the governing body of an Eligible Entity or New Mexico Council of Governments to act on behalf of the Eligible Entity or New Mexico Council of Governments to the extent provided by law.

E. “Board” means the NMFA Board of Directors.

F. “Chief Executive Officer” or “CEO” means the Chief Executive Officer of the NMFA or their designee.

G. “Eligible Entity” means a county, a municipality, a school district, a land grant merced controlled and governed pursuant to Chapter 49, Article 1 NMSA 1978 or an Indian nation, tribe or pueblo located wholly or partially in New Mexico.

H. “Financial Assistance” means a Local Solar Access Project Grant or a Local Solar Access Technical Assistance Grant.

I. “Fund” means the Local Solar Access Fund created pursuant to Section 6-21-6.17 of the Act.

J.  “Interconnection Equipment” means new or upgraded infrastructure required to interconnect a new generating facility to a utility’s electrical system.

K. “Local Solar Access Project Grant” means financial assistance in the form of a grant for a Solar Energy System Project awarded pursuant to the Act and these Rules.

L. “Local Solar Access Technical Assistance Grant” means financial assistance in the form of a grant for Technical Assistance awarded pursuant to the Act and these Rules.

M. “Low Income” means 80% or less of the State’s Median Household Income, based on the most recent 5-year average of Median Household Income from U.S. census data acceptable to the Authority

N. “New Mexico Council of Governments” means a regional association of municipalities, counties and special districts formed to provide planning and other services to its member organizations.

O. “NMFA” means the New Mexico Finance Authority. 

P. “Program Policy” means this Local Solar Access Fund Policy.

Q. “Rules” means the Rules governing the Local Solar Access Fund adopted by the NMFA Board of Directors and NMFA Oversight Committee

R. “Rural” means any area not considered as Urban.

S. “Solar Energy System” means equipment used to generate, convert, store, manage and monitor solar energy for use as thermal energy or electricity and may include:

1. Energy storage systems, including batteries, that are capable of retaining, storing, and delivering electrical energy by chemical, thermal, mechanical or other means; and

2. Interconnection equipment required to safely interconnect the system with the electrical grid.

T.  “Solar Energy System Project” means the planning, design, construction, purchase, installation or equipment of Solar Energy Systems used to power buildings and infrastructure located within New Mexico that are owned and operated by an Eligible Entity, including necessary upgrades or repairs required to install or connect Solar Energy Systems.

U. “State” means the State of New Mexico.

V. “Technical Assistance” means professional services supporting the application for federal or other funding for Solar Energy System Projects.

W. “Urban” means a continuously built-up area with a population of 60,000 or more. Urban areas may include one or more municipalities or census designated places.