U.S. Department of Energy defines Community Benefit(s) Agreement (CBA) as a legally-binding document that defines multiple aspects of the relationships between a business or project developer and one or more units of local government. U.S. Department of Energy explains:

CBAs are strategic vehicles for community improvement, while benefiting private sector developers and both state and local governments. They are not zero-sum instruments. They are legal agreements between community benefit groups and developers, stipulating the benefits a developer agrees to fund or furnish, in exchange for community support of a project. Benefits can include commitments to hire directly from a community, contributions to economic trust funds, local workforce training guarantees and more. Source: U.S. Department of Energy, Office of Economic Impact and Diversity, Community Benefit Agreement (CBA) Toolkit [Web page, retrieved May 2023], https://www.energy.gov/diversity/community-benefit-agreement-cba-toolkit.

The U.S. Department of Energy has identified community benefits planning and resulting community benefits agreements as a key objective for its Energy Improvement in Rural and Remote Areas funding announcement. U.S. Department of Energy, Office of Clean Energy Demonstrations, February 2023, Guidance for Creating a Community Benefits Plan for Energy Improvements in Rural or Remote Areas, available at “Program Announcements,” https://www.energy.gov/oced/energy-improvements-rural-or-remote-areas-0.

See also: U.S. Department of Energy, Clean Energy Infrastructure, About Community Benefits Plans [Web page, retrieved May 2023], https://www.energy.gov/infrastructure/about-community-benefits-plans; and, U.S. Department of Energy, Office of Economic Impact and Diversity, 2017, Guide to Advancing Opportunities for Community Benefits through Energy Project Development, available at https://www.energy.gov/sites/default/files/2017/09/f36/CBA%20Resource%20Guide.pdf.

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Authors Tom Stanton
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Created May 25, 2023 by Tom Stanton
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