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Audit Report: OAS-RA-11-06

March 22, 2011

The Department of Energy's American Recovery and Reinvestment Act – Massachusetts State Energy Program

The Department of Energy's (Department) State Energy Program (SEP) provides grants to states, territories, and the District of Columbia (states) to support their energy priorities. The SEP allows the states to implement energy efficiency and renewable energy projects that meet their unique energy needs and emphasizes the state's role as the administrator for the program. The American Recovery and Reinvestment Act of 2009 (Recovery Act) significantly expanded the SEP by providing an additional $3.1 billion for states' projects. The Commonwealth of Massachusetts' Department of Energy Resources (Massachusetts) was allocated $54.9 million in SEP funds under the Recovery Act – a more than 72-fold increase over its Fiscal Year 2008 SEP grant of $753,000. As specified by the Department in its grant agreement and program guidance, SEP funding was to be obligated by September 30, 2010, and spent by April 30, 2012.

Topic: Financial Assistance