IN Accelerated Development of Automotive Propulsion Technology Grant
Indiana EDC
ABOUT THE GRANT
The ADAPT (Accelerated Development of Automotive Propulsion Technology) program provides Indiana automotive manufacturers with matching grants of $100,000 to $1 million to expand into the production of hybrid, plug-in hybrid, battery-electric, and hydrogen fuel cell vehicle components. Administered by the Indiana Economic Development Corporation (IEDC) in partnership with Conexus Indiana, the program is funded by a $10.79 million award from the U.S. Department of Energy. Indiana was one of five states with a significant automotive workforce selected to share a $50 million pool designed to help small and mid-size suppliers move beyond traditional combustion engine vehicles while protecting jobs.
Grants require a minimum 1:1 match from the company in each expense category and are paid on a reimbursement basis. Funds may be used for capital equipment (which must be part of every project), capital-expense software, and workforce training through a named, credentialed training provider. Projects should be a new initiative or expansion focused on commercial-ready capabilities that would not happen without the grant, and manufacturers in subsectors expected to face the biggest headwinds as electrification grows receive preference. All funding must be spent in Indiana, grant-funded equipment must stay in the county where it is installed, and projects must be completed within two years. Travel, lobbying, executive bonuses, stock and savings plans, advertising, contingency costs, and expenses incurred before the award are not eligible.
To qualify, applicants must be a for-profit small or mid-sized auto manufacturer headquartered in Indiana with a significant share of operations in the state. The company can have no more than 1,500 total employees (including parent and affiliated companies), and the Indiana facility where the project will take place must have 500 or fewer. Applicants must also be willing and able to serve as a sub-recipient of a federal grant.
The application is a two-step process. Companies first submit materials for a pre-screening, which IEDC and Conexus Indiana review to confirm eligibility. Those that advance complete a core application with a detailed line-item budget, a budget narrative explaining which costs are covered by the award and which by the match, and equipment quotes. A panel of senior automotive manufacturing leaders reviews the applications, IEDC makes award recommendations, and the Department of Energy conducts a final review before awards are finalized. Technical assistance is available to help with the application.
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NOTES
Heads up: This one is a bit different from the typical small business grant on the site. Because the money comes from a federal Department of Energy award, anyone selected becomes a federal sub-recipient. That means quarterly reporting, an environmental review, and federal approval of both the company and the project before any work starts. It’s also reimbursement-based, so you’ll be fronting the full cost of the project and matching it dollar for dollar. Great fit for the right manufacturer, but worth reading the requirements closely before you start an application.
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