[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 348 Referred in House (RFH)]

  2d Session
                                 S. 348


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 27, 2000

                 Referred to the Committee on Commerce

_______________________________________________________________________

                                 AN ACT


 
To authorize and facilitate a program to enhance training, research and 
development, energy conservation and efficiency, and consumer education 
 in the oilheat industry for the benefit of oilheat consumers and the 
                    public, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

        TITLE I--NATIONAL OIL HEAT RESEARCH ALLIANCE ACT OF 1999

SEC. 101. SHORT TITLE.

    This title may be cited as the ``National Oilheat Research Alliance 
Act of 1999''.

SEC. 102. FINDINGS.

    Congress finds that--
            (1) oilheat is an important commodity relied on by 
        approximately 30,000,000 Americans as an efficient and 
        economical energy source for commercial and residential space 
        and hot water heating;
            (2) oilheat equipment operates at efficiencies among the 
        highest of any space heating energy source, reducing fuel costs 
        and making oilheat an economical means of space heating;
            (3) the production, distribution, and marketing of oilheat 
        and oilheat equipment plays a significant role in the economy 
        of the United States, accounting for approximately 
        $12,900,000,000 in expenditures annually and employing millions 
        of Americans in all aspects of the oilheat industry;
            (4) only very limited Federal resources have been made 
        available for oilheat research, development, safety, training, 
        and education efforts, to the detriment of both the oilheat 
        industry and its 30,000,000 consumers; and
            (5) the cooperative development, self-financing, and 
        implementation of a coordinated national oilheat industry 
        program of research and development, training, and consumer 
        education is necessary and important for the welfare of the 
        oilheat industry, the general economy of the United States, and 
        the millions of Americans that rely on oilheat for commercial 
        and residential space and hot water heating.

SEC. 103. DEFINITIONS.

    In this title:
            (1) Alliance.--The term ``Alliance'' means a national 
        oilheat research alliance established under section 104.
            (2) Consumer education.--The term ``consumer education'' 
        means the provision of information to assist consumers and 
        other persons in making evaluations and decisions regarding 
        oilheat and other nonindustrial commercial or residential space 
        or hot water heating fuels.
            (3) Exchange.--The term ``exchange'' means an agreement 
        that--
                    (A) entitles each party or its customers to receive 
                oilheat from the other party; and
                    (B) requires only an insubstantial portion of the 
                volumes involved in the exchange to be settled in cash 
                or property other than the oilheat.
            (4) Industry trade association.--The term ``industry trade 
        association'' means an organization described in paragraph (3) 
        or (6) of section 501(c) of the Internal Revenue Code of 1986 
        that is exempt from taxation under section 501(a) of that Code 
        and is organized for the purpose of representing the oilheat 
        industry.
            (5) No. 1 distillate.--The term ``No. 1 distillate'' means 
        fuel oil classified as No. 1 distillate by the American Society 
        for Testing and Materials.
            (6) No. 2 dyed distillate.--The term ``No. 2 dyed 
        distillate'' means fuel oil classified as No. 2 distillate by 
        the American Society for Testing and Materials that is 
        indelibly dyed in accordance with regulations prescribed by the 
        Secretary of the Treasury under section 4082(a)(2) of the 
        Internal Revenue Code of 1986.
            (7) Oilheat.--The term ``oilheat'' means--
                    (A) No. 1 distillate; and
                    (B) No. 2 dyed distillate;
        that is used as a fuel for nonindustrial commercial or 
        residential space or hot water heating.
            (8) Oilheat industry.--
                    (A) In general.--The term ``oilheat industry'' 
                means--
                            (i) persons in the production, 
                        transportation, or sale of oilheat; and
                            (ii) persons engaged in the manufacture or 
                        distribution of oilheat utilization equipment.
                    (B) Exclusion.--The term ``oilheat industry'' does 
                not include ultimate consumers of oilheat.
            (9) Public member.--The term ``public member'' means a 
        member of the Alliance described in section 105(c)(1)(F).
            (10) Qualified industry organization.--The term ``qualified 
        industry organization'' means the National Association for 
        Oilheat Research and Education or a successor organization.
            (11) Qualified state association.--The term ``qualified 
        State association'' means the industry trade association or 
        other organization that the qualified industry organization or 
        the Alliance determines best represents retail marketers in a 
        State.
            (12) Retail marketer.--The term ``retail marketer'' means a 
        person engaged primarily in the sale of oilheat to ultimate 
        consumers.
            (13) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (14) Wholesale distributor.--The term ``wholesale 
        distributor'' means a person that--
                    (A)(i) produces No. 1 distillate or No. 2 dyed 
                distillate;
                    (ii) imports No. 1 distillate or No. 2 dyed 
                distillate; or
                    (iii) transports No. 1 distillate or No. 2 dyed 
                distillate across State boundaries or among local 
                marketing areas; and
                    (B) sells the distillate to another person that 
                does not produce, import, or transport No. 1 distillate 
                or No. 2 dyed distillate across State boundaries or 
                among local marketing areas.
            (15) State.--The term ``State'' means the several States, 
        except the State of Alaska.

SEC. 104. REFERENDA.

    (a) Creation of Program.--
            (1) In general.--The oilheat industry, through the 
        qualified industry organization, may conduct, at its own 
        expense, a referendum among retail marketers and wholesale 
        distributors for the establishment of a national oilheat 
        research alliance.
            (2) Reimbursement of cost.--The Alliance, if established, 
        shall reimburse the qualified industry organization for the 
        cost of accounting and documentation for the referendum.
            (3) Conduct.--A referendum under paragraph (1) shall be 
        conducted by an independent auditing firm.
            (4) Voting rights.--
                    (A) Retail marketers.--Voting rights of retail 
                marketers in a referendum under paragraph (1) shall be 
                based on the volume of oilheat sold in a State by each 
                retail marketer in the calendar year previous to the 
                year in which the referendum is conducted or in another 
                representative period.
                    (B) Wholesale distributors.--Voting rights of 
                wholesale distributors in a referendum under paragraph 
                (1) shall be based on the volume of No. 1 distillate 
                and No. 2 dyed distillate sold in a State by each 
                wholesale distributor in the calendar year previous to 
                the year in which the referendum is conducted or in 
                another representative period, weighted by the ratio of 
                the total volume of No. 1 distillate and No. 2 dyed 
                distillate sold for nonindustrial commercial and 
                residential space and hot water heating in the State to 
                the total volume of No. 1 distillate and No. 2 dyed 
                distillate sold in that State.
            (5) Establishment by approval of two-thirds.--
                    (A) In general.--Subject to subparagraph (B), on 
                approval of persons representing two-thirds of the 
                total volume of oilheat voted in the retail marketer 
                class and two-thirds of the total weighted volume of 
                No. 1 distillate and No. 2 dyed distillate voted in the 
                wholesale distributor class, the Alliance shall be 
                established and shall be authorized to levy assessments 
                under section 107.
                    (B) Requirement of majority of retail marketers.--
                Except as provided in subsection (b), the oilheat 
                industry in a State shall not participate in the 
                Alliance if less than 50 percent of the retail marketer 
                vote in the State approves establishment of the 
                Alliance.
            (6) Certification of volumes.--Each person voting in the 
        referendum shall certify to the independent auditing firm the 
        volume of oilheat, No. 1 distillate, or No. 2 dyed distillate 
        represented by the vote of the person.
            (7) Notification.--Not later than 90 days after the date of 
        enactment of this title, a qualified State association may 
        notify the qualified industry organization in writing that a 
        referendum under paragraph (1) will not be conducted in the 
        State.
    (b) Subsequent State Participation.--The oilheat industry in a 
State that has not participated initially in the Alliance may 
subsequently elect to participate by conducting a referendum under 
subsection (a).
    (c) Termination or Suspension.--
            (1) In general.--On the initiative of the Alliance or on 
        petition to the Alliance by retail marketers and wholesale 
        distributors representing 35 percent of the volume of oilheat 
        or weighted No. 1 distillate and No. 2 dyed distillate in each 
        class, the Alliance shall, at its own expense, hold a 
        referendum, to be conducted by an independent auditing firm 
        selected by the Alliance, to determine whether the oilheat 
        industry favors termination or suspension of the Alliance.
            (2) Volume percentages required to terminate or suspend.--
        Termination or suspension shall not take effect unless 
        termination or suspension is approved by--
                    (A) persons representing more than one-half of the 
                total volume of oilheat voted in the retail marketer 
                class and more than one-half of the total volume of 
                weighted No. 1 distillate and No. 2 dyed distillate 
                voted in the wholesale distributor class; or
                    (B) persons representing more than two-thirds of 
                the total volume of fuel voted in either such class.
    (d) Calculation of Oilheat Sales.--For the purposes of this section 
and section 105, the volume of oilheat sold annually in a State shall 
be determined on the basis of information provided by the Energy 
Information Administration with respect to a calendar year or other 
representative period.

SEC. 105. MEMBERSHIP.

    (a) Selection.--
            (1) In general.--Except as provided in subsection 
        (c)(1)(C), the qualified industry organization shall select 
        members of the Alliance representing the oilheat industry in a 
        State from a list of nominees submitted by the qualified State 
        association in the State.
            (2) Vacancies.--A vacancy in the Alliance shall be filled 
        in the same manner as the original selection.
    (b) Representation.--In selecting members of the Alliance, the 
qualified industry organization shall make best efforts to select 
members that are representative of the oilheat industry, including 
representation of--
            (1) interstate and intrastate operators among retail 
        marketers;
            (2) wholesale distributors of No. 1 distillate and No. 2 
        dyed distillate;
            (3) large and small companies among wholesale distributors 
        and retail marketers; and
            (4) diverse geographic regions of the country.
    (c) Number of Members.--
            (1) In general.--The membership of the Alliance shall be as 
        follows:
                    (A) One member representing each State with oilheat 
                sales in excess of 32,000,000 gallons per year.
                    (B) If fewer than 24 States are represented under 
                subparagraph (A), 1 member representing each of the 
                States with the highest volume of annual oilheat sales, 
                as necessary to cause the total number of States 
                represented under subparagraph (A) and this 
                subparagraph to equal 24.
                    (C) 5 representatives of retail marketers, 1 each 
                to be selected by the qualified State associations of 
                the 5 States with the highest volume of annual oilheat 
                sales.
                    (D) 5 additional representatives of retail 
                marketers.
                    (E) 21 representatives of wholesale distributors.
                    (F) 6 public members, who shall be representatives 
                of significant users of oilheat, the oilheat research 
                community, State energy officials, or other groups 
                knowledgeable about oilheat.
            (2) Full-time owners or employees.--Other than the public 
        members, Alliance members shall be full-time owners or 
        employees of members of the oilheat industry, except that 
        members described in subparagraphs (C), (D), and (E) of 
        paragraph (1) may be employees of the qualified industry 
        organization or an industry trade association.
    (d) Compensation.--Alliance members shall receive no compensation 
for their service, nor shall Alliance members be reimbursed for 
expenses relating to their service, except that public members, on 
request, may be reimbursed for reasonable expenses directly related to 
participation in meetings of the Alliance.
    (e) Terms.--
            (1) In general.--Subject to paragraph (4), a member of the 
        Alliance shall serve a term of 3 years, except that a member 
        filling an unexpired term may serve a total of 7 consecutive 
        years.
            (2) Term limit.--A member may serve not more than 2 full 
        consecutive terms.
            (3) Former members.--A former member of the Alliance may be 
        returned to the Alliance if the member has not been a member 
        for a period of 2 years.
            (4) Initial appointments.--Initial appointments to the 
        Alliance shall be for terms of 1, 2, and 3 years, as determined 
        by the qualified industry organization, staggered to provide 
        for the subsequent selection of one-third of the members each 
        year.

SEC. 106. FUNCTIONS.

    (a) In General.--
            (1) Programs, projects; contracts and other agreements.--
        The Alliance--
                    (A) shall develop programs and projects and enter 
                into contracts or other agreements with other persons 
                and entities for implementing this title, including 
                programs--
                            (i) to enhance consumer and employee safety 
                        and training;
                            (ii) to provide for research, development, 
                        and demonstration of clean and efficient 
                        oilheat utilization equipment; and
                            (iii) for consumer education; and
                    (B) may provide for the payment of the costs of 
                carrying out subparagraph (A) with assessments 
                collected under section 107.
            (2) Coordination.--The Alliance shall coordinate its 
        activities with industry trade associations and other persons 
        as appropriate to provide efficient delivery of services and to 
        avoid unnecessary duplication of activities.
            (3) Activities.--
                    (A) Exclusions.--Activities under clause (i) or 
                (ii) of paragraph (1)(A) shall not include advertising, 
                promotions, or consumer surveys in support of 
                advertising or promotions.
                    (B) Research, development, and demonstration 
                activities.--
                            (i) In general.--Research, development, and 
                        demonstration activities under paragraph 
                        (1)(A)(ii) shall include--
                                    (I) all activities incidental to 
                                research, development, and 
                                demonstration of clean and efficient 
                                oilheat utilization equipment; and
                                    (II) the obtaining of patents, 
                                including payment of attorney's fees 
                                for making and perfecting a patent 
                                application.
                            (ii) Excluded activities.--Research, 
                        development, and demonstration activities under 
                        paragraph (1)(A)(ii) shall not include 
                        research, development, and demonstration of 
                        oilheat utilization equipment with respect to 
                        which technically feasible and commercially 
                        feasible operations have been verified, except 
                        that funds may be provided for improvements to 
                        existing equipment until the technical 
                        feasibility and commercial feasibility of the 
                        operation of those improvements have been 
                        verified.
    (b) Priorities.--In the development of programs and projects, the 
Alliance shall give priority to issues relating to--
            (1) research, development, and demonstration;
            (2) safety;
            (3) consumer education; and
            (4) training.
    (c) Administration.--
            (1) Officers; committees; bylaws.--The Alliance--
                    (A) shall select from among its members a 
                chairperson and other officers as necessary;
                    (B) may establish and authorize committees and 
                subcommittees of the Alliance to take specific actions 
                that the Alliance is authorized to take; and
                    (C) shall adopt bylaws for the conduct of business 
                and the implementation of this title.
            (2) Solicitation of oilheat industry comment and 
        recommendations.--The Alliance shall establish procedures for 
        the solicitation of oilheat industry comment and 
        recommendations on any significant contracts and other 
        agreements, programs, and projects to be funded by the 
        Alliance.
            (3) Advisory committees.--The Alliance may establish 
        advisory committees consisting of persons other than Alliance 
        members.
            (4) Voting.--Each member of the Alliance shall have 1 vote 
        in matters before the Alliance.
    (d) Administrative Expenses.--
            (1) In general.--The administrative expenses of operating 
        the Alliance (not including costs incurred in the collection of 
        assessments under section 107) plus amounts paid under 
        paragraph (2) shall not exceed 7 percent of the amount of 
        assessments collected in any calendar year, except that during 
        the first year of operation of the Alliance such expenses and 
        amounts shall not exceed 10 percent of the amount of 
        assessments.
            (2) Reimbursement of the secretary.--
                    (A) In general.--The Alliance shall annually 
                reimburse the Secretary for costs incurred by the 
                Federal Government relating to the Alliance.
                    (B) Limitation.--Reimbursement under subparagraph 
                (A) for any calendar year shall not exceed the amount 
                that the Secretary determines is twice the average 
                annual salary of 1 employee of the Department of 
                Energy.
    (e) Budget.--
            (1) Publication of proposed budget.--Before August 1 of 
        each year, the Alliance shall publish for public review and 
        comment a proposed budget for the next calendar year, including 
        the probable costs of all programs, projects, and contracts and 
        other agreements.
            (2) Submission to the secretary and congress.--After review 
        and comment under paragraph (1), the Alliance shall submit the 
        proposed budget to the Secretary and Congress.
            (3) Recommendations by the secretary.--The Secretary may 
        recommend for inclusion in the budget programs and activities 
        that the Secretary considers appropriate.
            (4) Implementation.--The Alliance shall not implement a 
        proposed budget until the expiration of 60 days after 
        submitting the proposed budget to the Secretary.
    (f) Records; Audits.--
            (1) Records.--The Alliance shall--
                    (A) keep records that clearly reflect all of the 
                acts and transactions of the Alliance; and
                    (B) make the records available to the public.
            (2) Audits.--
                    (A) In general.--The records of the Alliance 
                (including fee assessment reports and applications for 
                refunds under section 107(b)(4)) shall be audited by a 
                certified public accountant at least once each year and 
                at such other times as the Alliance may designate.
                    (B) Availability of audit reports.--Copies of each 
                audit report shall be provided to the Secretary, the 
                members of the Alliance, and the qualified industry 
                organization, and, on request, to other members of the 
                oilheat industry.
                    (C) Policies and procedures.--
                            (i) In general.--The Alliance shall 
                        establish policies and procedures for auditing 
                        compliance with this title.
                            (ii) Conformity with gaap.--The policies 
                        and procedures established under clause (i) 
                        shall conform with generally accepted 
                        accounting principles.
    (g) Public Access to Alliance Proceedings.--
            (1) Public notice.--The Alliance shall give at least 30 
        days' public notice of each meeting of the Alliance.
            (2) Meetings open to the public.--Each meeting of the 
        Alliance shall be open to the public.
            (3) Minutes.--The minutes of each meeting of the Alliance 
        shall be made available to and readily accessible by the 
        public.
    (h) Annual Report.--Each year the Alliance shall prepare and make 
publicly available a report that--
            (1) includes a description of all programs, projects, and 
        contracts and other agreements undertaken by the Alliance 
        during the previous year and those planned for the current 
        year; and
            (2) details the allocation of Alliance resources for each 
        such program and project.

SEC. 107. ASSESSMENTS.

    (a) Rate.--The assessment rate shall be equal to two-tenths-cent 
per gallon of No. 1 distillate and No. 2 dyed distillate.
    (b) Collection Rules.--
            (1) Collection at point of sale.--The assessment shall be 
        collected at the point of sale of No. 1 distillate and No. 2 
        dyed distillate by a wholesale distributor to a person other 
        than a wholesale distributor, including a sale made pursuant to 
        an exchange.
            (2) Responsibility for payment.--A wholesale distributor--
                    (A) shall be responsible for payment of an 
                assessment to the Alliance on a quarterly basis; and
                    (B) shall provide to the Alliance certification of 
                the volume of fuel sold.
            (3) No ownership interest.--A person that has no ownership 
        interest in No. 1 distillate or No. 2 dyed distillate shall not 
        be responsible for payment of an assessment under this section.
            (4) Failure to receive payment.--
                    (A) Refund.--A wholesale distributor that does not 
                receive payments from a purchaser for No. 1 distillate 
                or No. 2 dyed distillate within 1 year of the date of 
                sale may apply for a refund from the Alliance of the 
                assessment paid.
                    (B) Amount.--The amount of a refund shall not 
                exceed the amount of the assessment levied on the No. 1 
                distillate or No. 2 dyed distillate for which payment 
                was not received.
            (5) Importation after point of sale.--The owner of No. 1 
        distillate or No. 2 dyed distillate imported after the point of 
        sale--
                    (A) shall be responsible for payment of the 
                assessment to the Alliance at the point at which the 
                product enters the United States; and
                    (B) shall provide to the Alliance certification of 
                the volume of fuel imported.
            (6) Late payment charge.--The Alliance may establish a late 
        payment charge and rate of interest to be imposed on any person 
        who fails to remit or pay to the Alliance any amount due under 
        this title.
            (7) Alternative collection rules.--The Alliance may 
        establish, or approve a request of the oilheat industry in a 
        State for, an alternative means of collecting the assessment if 
        another means is determined to be more efficient or more 
        effective.
    (c) Sale for Use Other Than as Oilheat.--No. 1 distillate and No. 2 
dyed distillate sold for uses other than as oilheat are excluded from 
the assessment.
    (d) Investment of Funds.--Pending disbursement under a program, 
project, or contract or other agreement the Alliance may invest funds 
collected through assessments, and any other funds received by the 
Alliance, only--
            (1) in obligations of the United States or any agency of 
        the United States;
            (2) in general obligations of any State or any political 
        subdivision of a State;
            (3) in any interest-bearing account or certificate of 
        deposit of a bank that is a member of the Federal Reserve 
        System; or
            (4) in obligations fully guaranteed as to principal and 
        interest by the United States.
    (e) State, Local, and Regional Programs.--
            (1) Coordination.--The Alliance shall establish a program 
        coordinating the operation of the Alliance with the operator of 
        any similar State, local, or regional program created under 
        State law (including a regulation), or similar entity.
            (2) Funds made available to qualified state associations.--
                    (A) In general.--
                            (i) Base amount.--The Alliance shall make 
                        available to the qualified State association of 
                        each State an amount equal to 15 percent of the 
                        amount of assessments collected in the State.
                            (ii) Additional amount.--
                                    (I) In general.--A qualified State 
                                association may request that the 
                                Alliance provide to the association any 
                                portion of the remaining 85 percent of 
                                the amount of assessments collected in 
                                the State.
                                    (II) Request requirements.--A 
                                request under this clause shall--
                                            (aa) specify the amount of 
                                        funds requested;
                                            (bb) describe in detail the 
                                        specific uses for which the 
                                        requested funds are sought;
                                            (cc) include a commitment 
                                        to comply with this title in 
                                        using the requested funds; and
                                            (dd) be made publicly 
                                        available.
                                    (III) Direct benefit.--The Alliance 
                                shall not provide any funds in response 
                                to a request under this clause unless 
                                the Alliance determines that the funds 
                                will be used to directly benefit the 
                                oilheat industry.
                                    (IV) Monitoring; terms, conditions, 
                                and reporting requirements.--The 
                                Alliance shall--
                                            (aa) monitor the use of 
                                        funds provided under this 
                                        clause; and
                                            (bb) impose whatever terms, 
                                        conditions, and reporting 
                                        requirements that the Alliance 
                                        considers necessary to ensure 
                                        compliance with this title.

SEC. 108. MARKET SURVEY AND CONSUMER PROTECTION.

    (a) Price Analysis.--Beginning 2 years after establishment of the 
Alliance and annually thereafter, the Secretary of Commerce, using only 
data provided by the Energy Information Administration and other public 
sources, shall prepare and make available to the Congress, the 
Alliance, the Secretary of Energy, and the public, an analysis of 
changes in the price of oilheat relative to other energy sources. The 
oilheat price analysis shall compare indexed changes in the price of 
consumer grade oilheat to a composite of indexed changes in the price 
of residential electricity, residential natural gas, and propane on an 
annual national average basis. For purposes of indexing changes in 
oilheat, residential electricity, residential natural gas, and propane 
prices, the Secretary of Commerce shall use a 5-year rolling average 
price beginning with the year 4 years prior to the establishment of the 
Alliance.
    (b) Authority To Restrict Activities.--If in any year the 5-year 
average price composite index of consumer grade oilheat exceeds the 5-
year rolling average price composite index of residential electricity, 
residential natural gas, and propane in an amount greater than 10.1 
percent, the activities of the Alliance shall be restricted to research 
and development, training, and safety matters. The Alliance shall 
inform the Secretary of Energy and the Congress of any restriction of 
activities under this subsection. Upon expiration of 180 days after the 
beginning of any such restriction of activities, the Secretary of 
Commerce shall again conduct the oilheat price analysis described in 
subsection (a). Activities of the Alliance shall continue to be 
restricted under this subsection until the price index excess is 10.1 
percent or less.

SEC. 109. COMPLIANCE.

    (a) In General.--The Alliance may bring a civil action in United 
States district court to compel payment of an assessment under section 
107.
    (b) Costs.--A successful action for compliance under this section 
may also require payment by the defendant of the costs incurred by the 
Alliance in bringing the action.

SEC. 110. LOBBYING RESTRICTIONS.

    No funds derived from assessments under section 107 collected by 
the Alliance shall be used to influence legislation or elections, 
except that the Alliance may use such funds to formulate and submit to 
the Secretary recommendations for amendments to this title or other 
laws that would further the purposes of this title.

SEC. 111. DISCLOSURE.

    Any consumer education activity undertaken with funds provided by 
the Alliance shall include a statement that the activities were 
supported, in whole or in part, by the Alliance.

SEC. 112. VIOLATIONS.

    (a) Prohibition.--It shall be unlawful for any person to conduct a 
consumer education activity, undertaken with funds derived from 
assessments collected by the Alliance under section 107, that 
includes--
            (1) a reference to a private brand name;
            (2) a false or unwarranted claim on behalf of oilheat or 
        related products; or
            (3) a reference with respect to the attributes or use of 
        any competing product.
    (b) Complaints.--
            (1) In general.--A public utility that is aggrieved by a 
        violation described in subsection (a) may file a complaint with 
        the Alliance.
            (2) Transmittal to qualified state association.--A 
        complaint shall be transmitted concurrently to any qualified 
        State association undertaking the consumer education activity 
        with respect to which the complaint is made.
            (3) Cessation of activities.--On receipt of a complaint 
        under this subsection, the Alliance, and any qualified State 
        association undertaking the consumer education activity with 
        respect to which the complaint is made, shall cease that 
        consumer education activity until--
                    (A) the complaint is withdrawn; or
                    (B) a court determines that the conduct of the 
                activity complained of does not constitute a violation 
                of subsection (a).
    (c) Resolution by Parties.--
            (1) In general.--Not later than 10 days after a complaint 
        is filed and transmitted under subsection (b), the complaining 
        party, the Alliance, and any qualified State association 
        undertaking the consumer education activity with respect to 
        which the complaint is made shall meet to attempt to resolve 
        the complaint.
            (2) Withdrawal of complaint.--If the issues in dispute are 
        resolved in those discussions, the complaining party shall 
        withdraw its complaint.
    (d) Judicial Review.--
            (1) In general.--A public utility filing a complaint under 
        this section, the Alliance, a qualified State association 
        undertaking the consumer education activity with respect to 
        which a complaint under this section is made, or any person 
        aggrieved by a violation of subsection (a) may seek appropriate 
        relief in United States district court.
            (2) Relief.--A public utility filing a complaint under this 
        section shall be entitled to temporary and injunctive relief 
        enjoining the consumer education activity with respect to which 
        a complaint under this section is made until--
                    (A) the complaint is withdrawn; or
                    (B) the court has determined that the consumer 
                education activity complained of does not constitute a 
                violation of subsection (a).
    (e) Attorney's Fees.--
            (1) Meritorious case.--In a case in Federal court in which 
        the court grants a public utility injunctive relief under 
        subsection (d), the public utility shall be entitled to recover 
        an attorney's fee from the Alliance and any qualified State 
        association undertaking the consumer education activity with 
        respect to which a complaint under this section is made.
            (2) Nonmeritorious case.--In any case under subsection (d) 
        in which the court determines a complaint under subsection (b) 
        to be frivolous and without merit, the prevailing party shall 
        be entitled to recover an attorney's fee.
    (f) Savings Clause.--Nothing in this section shall limit causes of 
action brought under any other law.

SEC. 113. SUNSET.

    This title shall cease to be effective as of the date that is 4 
years after the date on which the Alliance is established.

            TITLE II--SMALL HYDROELECTRIC PROJECTS IN ALASKA

SEC. 201. ALASKA STATE JURISDICTION OVER SMALL HYDROELECTRIC PROJECTS.

    Park I of the Federal Power Act (16 U.S.C. 792 et seq.) is amended 
by adding at the end the following:

``SEC. 32. ALASKA STATE JURISDICTION OVER SMALL HYDROELECTRIC PROJECTS.

    ``(a) Discontinuance of Regulation by the Commission.--
Notwithstanding sections 4(e) and 23(b), the Commission shall 
discontinue exercising licensing and regulatory authority under this 
Park over qualifying project works in the State of Alaska, effective on 
the date on which the Commission certifies that the State of Alaska has 
in place a regulatory program for water-power development that--
            ``(1) protects the public interest, the purposes listed in 
        paragraph (2), and the environment to the same extent provided 
        by licensing and regulation by the Commission under this part 
        and other applicable Federal laws, including the Endangered 
        Species Act (16 U.S.C. 1531 et seq.) and the Fish and Wildlife 
        Coordination Act (16 U.S.C. 661 et seq.);
            ``(2) gives equal consideration to the purposes of--
                    ``(A) energy conservation;
                    ``(B) the protection, mitigation of damage to, and 
                enhancement of, fish and wildlife (including related 
                spawning grounds and habitat);
                    ``(C) the protection of recreational opportunities;
                    ``(D) the preservation of other aspects of 
                environmental quality;
                    ``(E) the interests of Alaska Natives; and
                    ``(F) other beneficial public uses, including 
                irrigation, flood control, water supply, and 
                navigation; and
            ``(3) requires, as a condition of a license for any project 
        works--
                    ``(A) the construction, maintenance, and operation 
                by a licensee at its own expense of such lights and 
                signals as may be directed by the Secretary of the 
                Department in which the Coast Guard is operating, and 
                such fishways as may be prescribed by the Secretary of 
                the Interior or the Secretary of Commerce, as 
                appropriate;
                    ``(B) the operation of any navigation facilities 
                which may be constructed as part of any project to be 
                controlled at all times by such reasonable rules and 
                regulations as may be made by the Secretary of the 
                Army; and
                    ``(C) conditions for the protection, mitigation, 
                and enhancement of fish and wildlife based on 
                recommendations received pursuant to the Fish and 
                Wildlife Coordination Act (16 U.S.C. 661 et seq.) from 
                the National Marine Fisheries Service, the United 
                States Fish and Wildlife Service, and State fish and 
                wildlife agencies.
    ``(b) Definition of `Qualifying Project Works'.--For purposes of 
this section, the term `qualifying project works' means project works--
            ``(1) that are not part of a project licensed under this 
        Part or exempted from licensing under this part or section 405 
        of the Public Utility Regulatory Policies Act of 1978 prior to 
        the date of enactment of this section;
            ``(2) for which a preliminary permit, a license 
        application, or an application for an exemption from licensing 
        has not been accepted for filing by the Commission prior to the 
        date of enactment of subsection (c) (unless such application is 
        withdrawn at the election of the applicant);
            ``(3) that are part of a project that has a power 
        production capacity of 5,000 kilowatts or less;
            ``(4) that are located entirely within the boundaries of 
        the State of Alaska; and
            ``(5) that are not located in whole or in part on any 
        Indian reservation, a conservation system unit (as defined in 
        section 102(4) of the Alaska National Interest Lands 
        Conservation Act (16 U.S.C. 3102(4))), or segment of a river 
        designated for study for addition to the Wild and Scenic Rivers 
        System.
    ``(c) Election of State Licensing.--In the case of nonqualifying 
project works that would be a qualifying project works but for the fact 
that the project has been licensed (or exempted from licensing) by the 
Commission prior to the enactment of this section, the licensee of such 
project may in its discretion elect to make the project subject to 
licensing and regulation by the State of Alaska under this section.
    ``(d) Project Works on Federal Lands.--With respect to projects 
located in whole or in part on a reservation, a conservation system 
unit, or the public lands, a State license or exemption from licensing 
shall be subject to--
            ``(1) the approval of the Secretary having jurisdiction 
        over such lands; and
            ``(2) such conditions as the Secretary may prescribe.
    ``(e) Consultation with Affected Agencies.--The Commission shall 
consult with the Secretary of the Interior, the Secretary of 
Agriculture, and the Secretary of Commerce before certifying the State 
of Alaska's regulatory program.
    ``(f) Application of Federal Laws.--Nothing in this section shall 
preempt the application of Federal environmental, natural resources, or 
cultural resources protection laws according to their terms.
    ``(g) Oversight by the Commission.--The State of Alaska shall 
notify the Commission not later than 30 days after making any 
significant modification to its regulatory program. The Commission 
shall periodically review the State's program to ensure compliance with 
the provisions of this section.
    ``(h) Resumption of Commission Authority.--Notwithstanding 
subsection (a), the Commission shall reassert its licensing and 
regulatory authority under this part if the Commission finds that the 
State of Alaska has not complied with one or more of the requirements 
of this section.
    ``(i) Determination by the Commission.--
            ``(1) Upon application by the Governor of the State of 
        Alaska, the Commission shall within 30 days commence a review 
        of the State of Alaska's regulatory program for water-power 
        development to determine whether it complies with the 
        requirements of subsection (a).
            ``(2) The Commission's review required by paragraph (1) 
        shall be completed within one year of initiation, and the 
        Commission shall within 30 days thereafter issue a final order 
        determining whether or not the State of Alaska's regulatory 
        program for water-power development complies with the 
        requirements of subsection (a).
            ``(3) If the Commission fails to issue a final order in 
        accordance with paragraph (2), the State of Alaska's regulatory 
        program for water-power development shall be deemed to be in 
        compliance with subsection (a).

              TITLE III--HYDROELECTRIC PROJECTS IN HAWAII

SEC. 301. PROJECTS ON FRESH WATERS IN THE STATE OF HAWAII.

    Section 4(e) of the Federal Power Act (16 U.S.C. 797(e)) is amended 
in the first sentence by striking ``several States, or upon'' and 
inserting ``several States (except fresh waters in the State of Hawaii, 
unless a license would be required under section 23), or upon''.

             TITLE IV--ARROWROCK DAM HYDROELECTRIC PROJECT

SEC. 401. EXTENSION OF TIME FOR FEDERAL ENERGY REGULATORY COMMISSION 
              PROJECT.

    Notwithstanding the time period specified in section 13 of the 
Federal Power Act (16 U.S.C. 806) that would otherwise apply to the 
Federal Energy Regulatory Commission project numbered 4656, the 
Commission may, at the request of the licensee for the project and 
after reasonable notice, in accordance with the good faith, due 
diligence, and public interest requirements of that section and the 
Commission's procedures under that section, extend until March 26, 
2005, the time period during which the licensee is required to commence 
construction of the project.

            Passed the Senate November 19, 1999.

            Attest:

                                                    GARY SISCO,

                                                             Secretary.