[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6161 Introduced in House (IH)]







110th CONGRESS
  2d Session
                                H. R. 6161

      To provide for American energy independence by July 4, 2015.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 22, 2008

    Mr. Rogers of Michigan introduced the following bill; which was 
 referred to the Committee on Energy and Commerce, and in addition to 
the Committees on Ways and Means, Natural Resources, Transportation and 
 Infrastructure, Rules, and Science and Technology, for a period to be 
subsequently determined by the Speaker, in each case for consideration 
  of such provisions as fall within the jurisdiction of the committee 
                               concerned

_______________________________________________________________________

                                 A BILL


 
      To provide for American energy independence by July 4, 2015.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``American Energy 
Independence Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
            TITLE I--PASSENGER AUTOMOBILE REPLACEMENT CREDIT

Sec. 101. Passenger automobile replacement credit.
           TITLE II--ENERGY EFFICIENT SERVER COMPUTER CREDIT

Sec. 201. Energy efficient server computer credit.
     TITLE III--LOAN GUARANTEES FOR ADVANCED CONSERVATION AND FUEL 
              EFFICIENCY MOTOR VEHICLE TECHNOLOGY PROJECTS

Sec. 301. Authority.
Sec. 302. Amount.
                  TITLE IV--TRANSPORTATION TECHNOLOGY

Sec. 401. Addition to CMAQ-eligible projects.
                 TITLE V--COAL-TO-LIQUID AVIATION FUEL

Sec. 501. Aviation fuel produced from clean coal and alternative and 
                            unconventional domestic feedstocks for 
                            civilian and military aircraft.
                        TITLE VI--NUCLEAR ENERGY

Sec. 601. Incentives for innovative technologies.
Sec. 602. Standby support for certain nuclear plant delays.
Sec. 603. Authorization for nuclear power 2010 program.
Sec. 604. Domestic manufacturing base for nuclear components and 
                            equipment.
Sec. 605. Nuclear energy workforce.
Sec. 606. Licensing of new nuclear power plants.
Sec. 607. Investment tax credit for investments in nuclear power 
                            facilities.
Sec. 608. National Nuclear Energy Council.
Sec. 609. Temporary spent nuclear fuel storage agreements.
Sec. 610. Implementation of temporary spent nuclear fuel storage 
                            agreements.
Sec. 611. Expedited procedures for congressional review of temporary 
                            spent nuclear fuel storage agreements.
Sec. 612. Contracting and Nuclear Waste Fund.
Sec. 613. Confidence in availability of waste disposal.
      TITLE VII--ENERGY PRODUCTION AND CONSERVATION TAX INCENTIVES

Sec. 700. Amendment of 1986 Code.
      Subtitle A--Extension of Clean Energy Production Incentives

Sec. 701. Extension and modification of renewable energy production tax 
                            credit.
Sec. 702. Extension and modification of solar energy and fuel cell 
                            investment tax credit.
Sec. 703. Extension and modification of residential energy efficient 
                            property credit.
Sec. 704. Extension and modification of credit for clean renewable 
                            energy bonds.
Sec. 705. Extension of special rule to implement FERC restructuring 
                            policy.
    Subtitle B--Extension of Incentives to Improve Energy Efficiency

Sec. 711. Extension and modification of credit for energy efficiency 
                            improvements to existing homes.
Sec. 712. Extension and modification of tax credit for energy efficient 
                            new homes.
Sec. 713. Extension and modification of energy efficient commercial 
                            buildings deduction.
Sec. 714. Modification and extension of energy efficient appliance 
                            credit for appliances produced after 2007.
  TITLE VIII--REPEAL OF LIMITATION ON TAX CREDIT FOR EFFICIENT WINDOWS

Sec. 801. Repeal of separate dollar limitation applicable to efficient 
                            windows under the nonbusiness energy 
                            property credit.
             TITLE IX--NEW DOMESTIC SUPPLIES OF OIL AND GAS

              Subtitle A--Arctic National Wildlife Refuge

Sec. 901. Short title.
Sec. 902. Definitions.
Sec. 903. Leasing program for lands within the Coastal Plain.
Sec. 904. Lease sales.
Sec. 905. Grant of leases by the Secretary.
Sec. 906. Lease terms and conditions.
Sec. 907. Coastal plain environmental protection.
Sec. 908. Expedited judicial review.
Sec. 909. Federal and State distribution of revenues.
Sec. 910. Rights-of-way across the Coastal Plain.
Sec. 911. Conveyance.
Sec. 912. Local government impact aid and community service assistance.
                    Subtitle B--Offshore Oil and Gas

Sec. 921. Termination of moratoria on leasing and permitting.
        TITLE X--CLIMATE CHANGE RESEARCH AND DEVELOPMENT FUNDING

Sec. 1001. Applied research.

            TITLE I--PASSENGER AUTOMOBILE REPLACEMENT CREDIT

SEC. 101. PASSENGER AUTOMOBILE REPLACEMENT CREDIT.

    (a) In General.--Subpart C of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by redesignating 
section 36 as section 37 and by inserting after section 35 the 
following new section:

``SEC. 36. PASSENGER AUTOMOBILE REPLACEMENT CREDIT.

    ``(a) Allowance of Credit.--In the case of an individual, there 
shall be allowed as a credit against the tax imposed by this subtitle 
an amount equal to the amount paid or incurred by the taxpayer during 
the taxable year for a new passenger automobile in connection with a 
qualified trade-in.
    ``(b) Limitations.--
            ``(1) Dollar limitation.--The credit allowed under this 
        section shall not exceed $1,500 with respect to any taxpayer 
        for any taxable year.
            ``(2) No credit with respect to automobile manufacturers 
        out of compliance with cafe standards.--No credit shall be 
        allowed under subsection (a) with respect to the purchase of 
        any new passenger automobile if a penalty was imposed under 
        chapter 329 of title 49, United States Code, with respect to 
        the manufacturer of such new passenger automobile at any time 
        during the 1-year period ending on the date of such purchase.
    ``(c) Qualified Trade-In.--For purposes of this section--
            ``(1) In general.--The term `qualified trade-in' means, 
        with respect to the purchase of any new passenger automobile, 
        the transfer of a qualified used automobile to the dealer from 
        whom such new passenger automobile is purchased as part of the 
        same transaction as such purchase.
            ``(2) Qualified used automobile.--The term `qualified used 
        automobile' means any passenger automobile which was originally 
        placed in service at least 15 years before the date of the 
        qualified trade-in and title to which has been held by the 
        taxpayer at all times during the 2-year period ending on the 
        date of the qualified trade-in.''.
    (b) Conforming Amendments.--
            (1) Section 6211(b)(4)(A) of the Internal Revenue Code of 
        1986 is amended by striking ``34,'' and all that follows 
        through ``6428'' and inserting ``34, 35, 36, 53(e), and 6428''.
            (2) Section 1324(b)(2) of title 31, United States Code, is 
        amended by inserting ``, 36,'' after ``section 35''.
            (3) The table of sections for subpart C of part IV of 
        subchapter A of chapter 1 of the Internal Revenue Code of 1986 
        is amended by redesignating the item relating to section 36 as 
        an item relating to section 37 and by inserting before such 
        item the following new item:

``Sec. 36. Passenger automobile replacement credit.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.

           TITLE II--ENERGY EFFICIENT SERVER COMPUTER CREDIT

SEC. 201. ENERGY EFFICIENT SERVER COMPUTER CREDIT.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 (relating to business-related 
credits) is amended by adding at the end the following new section:

``SEC. 45O. ENERGY EFFICIENT SERVER COMPUTER CREDIT.

    ``(a) General Rule.--For purposes of section 38, the energy 
efficient server computer credit determined under this section for the 
taxable year is an amount equal to 20 percent of the amount paid or 
incurred by the taxpayer during the taxable year for server computers 
which meet the Energy Star program requirements and are used in the 
taxpayer's trade or business.
    ``(b) No Double Benefit.--No deduction or credit shall be allowed 
under any other provision of this chapter with respect to the amount of 
the credit determined under this section.''.
    (b) Credit To Be Part of General Business Credit.--Subsection (b) 
of section 38 of such Code (relating to general business credit) is 
amended by striking ``plus'' at the end of paragraph (30), by striking 
the period at the end of paragraph (31) and inserting ``, plus'' , and 
by adding at the end the following new paragraph:
            ``(32) the energy efficient server computer credit 
        determined under section 45O(a).''.
    (c) Clerical Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 of such Code is amended by 
inserting after the item relating to section 45N the following new 
item:

``Sec. 45O. Energy efficient server computer credit.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.

     TITLE III--LOAN GUARANTEES FOR ADVANCED CONSERVATION AND FUEL 
              EFFICIENCY MOTOR VEHICLE TECHNOLOGY PROJECTS

SEC. 301. AUTHORITY.

    Section 1703 of the Energy Policy Act of 2005 (42 U.S.C. 16513) is 
amended by adding at the end the following new subsection:
    ``(f) Fuel Efficient Vehicle Projects.--The Secretary shall make 
guarantees under this title to motor vehicle manufacturers and 
suppliers in the United States for advanced conservation and fuel 
efficiency motor vehicle technology projects for the production of new 
motor vehicles that do not exceed 10,000 lbs. gross vehicle weight, 
including gasoline and diesel vehicles, flexible fuel vehicles, and 
hybrid electric vehicles, that reduce dependence on oil and the 
emissions of one or more greenhouse gases.''.

SEC. 302. AMOUNT.

    Section 1702(c) of the Energy Policy Act of 2005 (42 U.S.C. 
16512(c)) is amended by adding at the end the following: ``In the case 
of advanced conservation and fuel efficiency motor vehicle technology 
projects under section 1703(f), the aggregate amount of guarantees 
under this title shall not exceed $20,000,000,000.''.

                  TITLE IV--TRANSPORTATION TECHNOLOGY

SEC. 401. ADDITION TO CMAQ-ELIGIBLE PROJECTS.

    (a) In General.--Section 149(b) of title 23, United States Code, is 
amended--
            (1) by striking ``or'' at the end of paragraph (6);
            (2) by striking the period at the end of paragraph (7) and 
        inserting ``; or''; and
            (3) by inserting after paragraph (7) the following:
            ``(8) if the project or program is for operation and 
        maintenance of intelligent transportation system strategies 
        that serve a nonattainment or maintenance area.''.
    (b) Applicability.--The amendment made by subsection (a) shall take 
effect on October 1, 2008.

                 TITLE V--COAL-TO-LIQUID AVIATION FUEL

SEC. 501. AVIATION FUEL PRODUCED FROM CLEAN COAL AND ALTERNATIVE AND 
              UNCONVENTIONAL DOMESTIC FEEDSTOCKS FOR CIVILIAN AND 
              MILITARY AIRCRAFT.

    (a) Establishment of Alternative Jet Fuel Program.--From amounts 
made available under section 48102(a) of title 49, United States Code, 
the Secretary of Transportation, in consultation with the Secretary of 
the Air Force, shall establish a program related to developing jet fuel 
produced from clean coal and from alternative and unconventional 
domestic feedstocks. The program shall include participation by 
educational and research institutions that have existing facilities and 
experience in the development and deployment of technologies that 
process coal and alternative and unconventional domestic feedstocks 
into aviation fuel.
    (b) Program Requirements.--Any alternative jet fuel program 
established by a Federal agency, including the program established 
under subsection (a) and the Department of the Air Force alternative 
jet fuel program, may include grants, reimbursable agreements, long-
term contracts, and other instruments authorized under section 
106(l)(6) of title 49, United States Code. Such program may include 
long-term contracts or agreements for the acquisition of alternative 
jet fuel, but only if such contracts or agreements are--
            (1) for a term of not more than 25 years;
            (2) at a price that is competitive, throughout the term of 
        the contract or agreement, with the market price of petroleum-
        derived aviation fuel of similar quality; and
            (3) for a fuel that has lower lifecycle greenhouse gas 
        emissions as compared to the lifecycle greenhouse gas emissions 
        of the petroleum-based aviation fuel that was displaced.
    (c) Clarification.--In the case of a Federal agency agreement for 
alternative jet fuel, the lifecycle greenhouse gas emissions associated 
with the production and combustion of the fuel supplied under the 
contract shall be considered to be less than such emissions from the 
equivalent conventional fuel produced from conventional petroleum 
sources if such emissions are determined to be lower--
            (1) by peer-reviewed research conducted or reviewed by a 
        national laboratory; or
            (2) by the head of the Federal agency, based on available 
        research and testing.
    (d) Designation of Institution as a Center of Excellence.--Not 
later than 180 days after the date of enactment of this Act, the 
Administrator of the Federal Aviation Administration shall designate an 
institution described in subsection (a) as a Center for Excellence for 
Coal-to-Jet-Fuel Research.
    (e) Tax Credit for Alternative and Unconventional Aviation Fuel 
Mixture.--
            (1) In general.--Section 6426 of the Internal Revenue Code 
        of 1986 is amended by adding at the end the following new 
        subsection:
    ``(i) Alternative and Unconventional Aviation Fuel Mixture.--
            ``(1) In general.--For purposes of this section, the 
        alternative and unconventional aviation fuel mixture credit is 
        the product of 50 cents and the number of gallons of 
        alternative and unconventional aviation fuel used by the 
        taxpayer in producing any alternative and unconventional 
        aviation fuel mixture for sale or use in a trade or business of 
        the taxpayer.
            ``(2) Alternative and unconventional aviation fuel 
        mixture.--For purposes of this subsection, the term 
        `alternative and unconventional aviation fuel mixture' means a 
        mixture of alternative and unconventional aviation fuel and 
        aviation-grade kerosene which--
                    ``(A) is sold by the taxpayer producing such 
                mixture to any person for use as a fuel; or
                    ``(B) is used as a fuel by the taxpayer producing 
                such mixture.
            ``(3) Alternative and unconventional aviation fuel.--For 
        purposes of this subsection, the term `alternative and 
        unconventional aviation fuel' means aviation fuel that is 
        produced from unconventional resources (including coal, natural 
        gas, biomass, ethanol, butanol, and hydrogen) and is 
        determined, through peer-reviewed research conducted or 
        reviewed by a national laboratory, or by the head of a Federal 
        agency, would produce lower lifecycle greenhouse gas emissions, 
        as compared to the lifecycle greenhouse gas emissions of the 
        displaced aviation fuel.
            ``(4) Termination.--This subsection shall not apply to any 
        sale or use for any period after December 31, 2016.''.
            (2) Conforming amendment.--Section 6426(a)(1) of the 
        Internal Revenue Code of 1986 is amended by striking ``and 
        (e)'' and inserting ``(e), and (i)''.
            (3) Effective date.--The amendments made by this subsection 
        shall apply to any sale or use after the date of the enactment 
        of this Act.
    (f) Sense of Congress.--It is the sense of Congress that the 
Department of Transportation, Federal Aviation Administration, 
Department of the Air Force, and other Federal agencies should continue 
research, testing, evaluation, and use of alternative fuels as defined 
in this section with the goals of--
            (1) reducing emissions;
            (2) lowering the cost of aviation fuel; and
            (3) increasing the performance, reliability, and security 
        of aviation fuel production and supply.

                        TITLE VI--NUCLEAR ENERGY

SEC. 601. INCENTIVES FOR INNOVATIVE TECHNOLOGIES.

    (a) Definition of Project Cost.--Section 1701(1) of the Energy 
Policy Act of 2005 (42 U.S.C. 16511(1)) is amended by inserting a new 
paragraph (4) and renumbering the paragraphs accordingly:
            ``(4) Project cost.--The term `project cost' means all 
        costs associated with the development, planning, design, 
        engineering, permitting and licensing, construction, 
        commissioning, start-up, shakedown and financing of the 
        facility, including but not limited to reasonable escalation 
        and contingencies, the cost of and fees for the guarantee, 
        reasonably required reserve funds, initial working capital and 
        interest during construction.''.
    (b) Terms and Conditions.--Section 1702 of the Energy Policy Act of 
2005 (42 U.S.C. 16512) is amended by striking subsections (b) and (c) 
and inserting the following:
    ``(b) Specific Appropriation or Contribution.--
            ``(1) In general.--No guarantee shall be made unless--
                    ``(A) an appropriation for the cost has been made; 
                or
                    ``(B) the Secretary has received from the borrower 
                a payment in full for the cost of the obligation and 
                deposited the payment into the Treasury; or
                    ``(C) a combination of (A) and (B) has been made, 
                that when combined is sufficient to cover the cost of 
                the obligation.
            ``(2) Relation to other laws.--Section 504 (b) of the 
        Federal Credit Reform Act of 1990 (2 U.S.C. 661c (b)) shall not 
        apply to a loan guarantee made in accordance with paragraph 
        (1)(B).''.
    (c) Amount.--Section 1702 of the Energy Policy Act of 2005 (42 
U.S.C. 16512) is amended by striking subsection (c) and inserting the 
following:
    ``(c) Amount.--
            ``(1) In general.--Subject to paragraph (2), the Secretary 
        shall guarantee 100 percent of the obligation for a facility 
        that is the subject of the guarantee, or a lesser amount if 
        requested by the borrower.
            ``(2) Limitation.--The total amount of loans guaranteed for 
        a facility by the Secretary shall not exceed 80 percent of the 
        total cost of the facility, as estimated at the time at which 
        the guarantee is issued.''.
    (d) Fees.--Section 1702(h) of the Energy Policy Act of 2005 (42 
U.S.C. 16512(h)) is amended by striking paragraph (2) and inserting the 
following:
            ``(2) Availability.--Fees collected under this subsection 
        shall--
                    ``(A) be deposited by the Secretary into a special 
                fund in the Treasury to be known as the `Incentives For 
                Innovative Technologies Fund'; and
                    ``(B) remain available to the Secretary for 
                expenditure, without further appropriation or fiscal 
                year limitation, for administrative expenses incurred 
                in carrying out this title.''.

SEC. 602. STANDBY SUPPORT FOR CERTAIN NUCLEAR PLANT DELAYS.

    (a) Definitions.--Section 638(a) of the Energy Policy Act of 2005 
(42 U.S.C. 16014(a)) is amended as follows:
            (1) By inserting the following:
            ``(4) Full power operation.--The term `full power 
        operation' means whichever occurs first of--
                    ``(A) the `commercial operation date' or the 
                equivalent under the terms of the financing documents 
                for such facility, or
                    ``(B) operation of such facility at an average of 
                50 percent or greater of nameplate capacity over any 
                consecutive 30-day period.
            ``(5) Increased project costs.--The term `increased project 
        costs' means the increased cost of constructing, commissioning, 
        testing, operating or maintaining a reactor prior to full-power 
        operation incurred as a result of a delay covered by the 
        contract including but not limited to costs of demobilization 
        and remobilization, increased costs of equipment, materials and 
        labor due to delay (including idle time), increased general and 
        administrative costs, and escalation costs for completing 
        construction.
            ``(6) Litigation.--The term `litigation' means adjudication 
        in Federal, State, local or tribal courts and administrative 
        proceedings or hearings at or before Federal, State, local or 
        tribal agencies or administrative bodies.''.
            (2) By redesignating paragraph (4) as paragraph (7).
    (b) Contract Authority.--Section 638(b) of the Energy Policy Act of 
2005 (42 U.S.C. Sec. 16014(b)) is amended by striking paragraph (1) and 
inserting the following:
            ``(1) In general.--The Secretary may enter into contracts 
        under this section with sponsors of an advanced nuclear 
        facility that cover at any one time outstanding a total of not 
        more than 6 reactors, with the 6 reactors consisting of not 
        more than 3 different reactor designs, in accordance with 
        paragraph (2). In the event that any contract entered into 
        under this section terminates or expires without a claim being 
        paid by the Secretary thereunder, then the Secretary may enter 
        into a new contract under this section in replacement or 
        substitution for such contract.''.
    (c) Covered Costs.--Section 638(d) of the Energy Policy Act of 2005 
(42. U.S.C. Sec. 16014(d)) is amended by striking paragraphs (2) and 
(3) and inserting the following:
            ``(2) Coverage.--In the case of reactors that receive 
        combined licenses and on which construction is commenced, the 
        Secretary shall pay--
                    ``(A) 100 percent of the covered costs of delay 
                that occur after the initial 30-day period of covered 
                delay; but
                    ``(B) not more than $500,000,000 per contract.
            ``(3) Covered debt obligations.--Debt obligations covered 
        under subparagraph (A) of paragraph (5) shall include but not 
        be limited to debt obligations incurred to pay increased 
        project costs.''.
    (d) Dispute Resolution.--Section 638 of the Energy Policy Act of 
2005 (42 U.S.C. 16014) is amended as follows:
            (1) by inserting the following:
    ``(f) Dispute Resolution.--Any controversy or claim arising out of 
or relating to any contract entered into under this section shall be 
determined by arbitration in Washington, DC according to the then 
prevailing Commercial Arbitration Rules of the American Arbitration 
Association. A decision by the arbitrator(s) shall be final and 
binding, and any court having jurisdiction may enter judgment on it.''; 
and
            (2) by designating subsections (f), (g), and (h) as 
        subsections (g), (h), and (i) respectively.

SEC. 603. AUTHORIZATION FOR NUCLEAR POWER 2010 PROGRAM.

    Section 952(c) of the Energy Policy Act of 2005 (42 U.S.C. 16014) 
is amended by striking subsections (1) and (2) and substituting the 
following:
            (1) In general.--The Secretary shall carry out a Nuclear 
        Power 2010 Program to position the nation to start construction 
        of new nuclear power plants by 2010 or as close to 2010 as 
        achievable.
            (2) Scope of program.--The Nuclear Power 2010 Program shall 
        be cost-shared with the private sector and shall support the 
        following objectives:
                    (A) Demonstrating the licensing process for new 
                nuclear power plants, including the Nuclear Regulatory 
                Commission process for obtaining early site permits 
                (EPS), combined construction/operating licenses (cols), 
                and design certifications.
                    (B) Conducting first-of-a-kind design and 
                engineering work on at least two advanced nuclear 
                reactor designs sufficient to bring those designs to a 
                state of design completion sufficient to allow 
                development of firm cost estimates.
            (3) Authorization of appropriations.--There are authorized 
        to be appropriated to the Secretary to carry out the Nuclear 
        Power 2010 Program--
                    (A) $182,800,000 for fiscal year 2008;
                    (B) $159,600,000 for fiscal year 2009;
                    (C) $135,600,000 for fiscal year 2010;
                    (D) $46,900,000 for fiscal year 2011; and
                    (E) $2,200,000 for fiscal year 2012.

SEC. 604. DOMESTIC MANUFACTURING BASE FOR NUCLEAR COMPONENTS AND 
              EQUIPMENT.

    (a) Establishment of Interagency Working Group.--
            (1) Purposes.--
                    (A) to increase the competitiveness of the United 
                States nuclear energy products and services industries;
                    (B) to identify the stimulus or incentives 
                necessary to cause United States manufacturers of 
                nuclear energy products to expand manufacturing 
                capacity;
                    (C) to facilitate the export of United States 
                nuclear energy products and services;
                    (D) to reduce the trade deficit of the United 
                States through the export of United States nuclear 
                energy products and services;
                    (E) to retain and create nuclear energy 
                manufacturing and related service jobs in the United 
                States;
                    (F) to integrate the objectives in paragraphs (1) 
                through (4) in a manner consistent with the interests 
                of the United States, into the foreign policy of the 
                United States; and
                    (G) to authorize funds for increasing United States 
                capacity to manufacture nuclear energy products and 
                supply nuclear energy services.
            (2) Establishment.--
                    (A) There shall be established an interagency 
                working group that, in consultation with representative 
                industry organizations and manufacturers of nuclear 
                energy products, shall make recommendations to 
                coordinate the actions and programs of the Federal 
                Government in order to promote increasing domestic 
                manufacturing capacity and export of domestic nuclear 
                energy products and services.
                    (B) The Interagency Working Group shall be composed 
                of--
                            (i) The Secretary of Energy, or the 
                        Secretary's designee, shall chair the 
                        interagency working group. The Secretary of 
                        Energy shall provide staff for carrying out the 
                        functions of the interagency working group 
                        established under this section.
                            (ii) representatives of--
                                    (I) the Department of Energy;
                                    (II) the Department of Commerce;
                                    (III) the Department of Defense;
                                    (IV) the Department of Treasury;
                                    (V) the Department of State;
                                    (VI) the Environmental Protection 
                                Agency;
                                    (VII) the United States Agency for 
                                International Development;
                                    (VIII) the Export-Import Bank of 
                                the United States;
                                    (IX) the Trade and Development 
                                Agency;
                                    (X) the Small Business 
                                Administration;
                                    (XI) the Office of the U.S. Trade 
                                Representative; and
                                    (XII) other Federal agencies, as 
                                determined by the President.
                            (iii) The heads of appropriate agencies 
                        shall detail such personnel and furnish such 
                        services to the interagency group, with or 
                        without reimbursement, as may be necessary to 
                        carry out the group's functions.
            (3) Duties of the interagency working group.--
                    (A) Within six months of enactment, the interagency 
                working group established under section (1)(A) shall 
                identify the actions necessary to promote the safe 
                development and application in foreign countries of 
                nuclear energy products and services in order to--
                            (i) increase electricity generation from 
                        nuclear energy sources through development of 
                        new generation facilities;
                            (ii) improve the efficiency, safety and/or 
                        reliability of existing nuclear generating 
                        facilities through modifications; and
                            (iii) enhance the safe treatment, handling, 
                        storage and disposal of used nuclear fuel.
                    (B) Within 6 months of enactment, the interagency 
                working group shall identify mechanisms (including, but 
                not limited to, tax stimulus for investment, loans and 
                loan guarantees, and grants) necessary for United 
                States companies to increase their capacity to produce 
                or provide nuclear energy products and services, and to 
                increase their exports of nuclear energy products and 
                services. The interagency working group shall identify 
                administrative or legislative initiatives necessary 
                to--
                            (i) encourage United States companies to 
                        increase their manufacturing capacity for 
                        nuclear energy products;
                            (ii) provide technical and financial 
                        assistance and support to small and mid-sized 
                        businesses to establish quality assurance 
                        programs in accordance with domestic and 
                        international nuclear quality assurance code 
                        requirements;
                            (iii) encourage, through financial 
                        incentives, private sector capital investment 
                        to expand manufacturing capacity; and
                            (iv) provide technical assistance and 
                        financial incentives to small and mid-sized 
                        businesses to develop the work-force necessary 
                        to increase manufacturing capacity and meet 
                        domestic and international nuclear quality 
                        assurance code requirements.
                    (C) Within 9 months of enactment, the interagency 
                working group shall provide a report to Congress on its 
                findings under Section (2)(A) and (B), including 
                recommendations for new legislative authority where 
                necessary.
            (4) Trade assistance.--The interagency working group shall 
        encourage the member agencies of the interagency working group 
        to--
                    (A) provide technical training and education for 
                international development personnel and local users in 
                their own country;
                    (B) provide financial and technical assistance to 
                nonprofit institutions that support the marketing and 
                export efforts of domestic companies that provide 
                nuclear energy products and services;
                    (C) develop nuclear energy projects in foreign 
                countries;
                    (D) provide technical assistance and training 
                materials to loan officers of the World Bank, 
                international lending institutions, commercial and 
                energy attaches at embassies of the United States and 
                other appropriate personnel in order to provide 
                information about nuclear energy products and services 
                to foreign governments or other potential project 
                sponsors;
                    (E) support, through financial incentives, private 
                sector efforts to commercialize and export nuclear 
                energy products and services in accordance with the 
                subsidy codes of the World Trade Organization; and
                    (F) augment budgets for trade and development 
                programs in order to support prefeasibility or 
                feasibility studies for projects that utilize nuclear 
                energy products and services.
            (5) Authorization of appropriations.--There are authorized 
        to be appropriated to the Secretary for purposes of carrying 
        out this title $20,000,000 for fiscal years 2008 and 2009.
    (b) Credit for Qualifying Nuclear Power Manufacturing.--Subpart E 
of part IV of subchapter A of chapter 1 of the Internal Revenue Code is 
amended by inserting after section 48B the following new section:

``SEC. 48C. QUALIFYING NUCLEAR POWER MANUFACTURING CREDIT.

    ``(a) In General.--For purposes of section 46, the qualifying 
nuclear power manufacturing credit for any taxable year is an amount 
equal to 20 percent of the qualified investment for such taxable year.
    ``(b) Qualified Investment.--
            ``(1) In general.--For purposes of subsection (a), the 
        qualified investment for any taxable year is the basis of 
        eligible property placed in service by the taxpayer during such 
        taxable year--
                    ``(A) which is either part of a qualifying nuclear 
                power manufacturing project or is qualifying nuclear 
                power manufacturing equipment,
                    ``(B)(i) the construction, reconstruction, or 
                erection of which is completed by the taxpayer, or
                    ``(ii) which is acquired by the taxpayer if the 
                original use of such property commences with the 
                taxpayer,
                    ``(C) with respect to which depreciation (or 
                amortization in lieu of depreciation) is allowable, and
                    ``(D) which is placed in service on or before 
                December 31, 2015.
            ``(2) Special rule for certain subsidized property.--Rules 
        similar to section 48(a)(4) shall apply for purposes of this 
        section.
            ``(3) Certain qualified progress expenditures rules made 
        applicable.--Rules similar to the rules of subsections (c)(4) 
        and (d) of section 46 (as in effect on the day before the 
        enactment of the Revenue Reconciliation Act of 1990) shall 
        apply for purposes of this section.
    ``(c) Definitions.--For purposes of this section--
            ``(1) Qualifying nuclear power manufacturing project.--The 
        term `qualifying nuclear power manufacturing project' means any 
        project which is designed primarily to enable the taxpayer to 
        produce or test equipment necessary for the construction or 
        operation of a nuclear power plant.
            ``(2) Qualifying nuclear power manufacturing equipment.--
        The term `qualifying nuclear power manufacturing equipment' 
        means machine tools and other similar equipment, including 
        computers and other peripheral equipment, acquired or 
        constructed primarily to enable the taxpayer to produce or test 
        equipment necessary for the construction or operation of a 
        nuclear power plant.
            ``(3) Project.--The term `project' includes any building 
        constructed to house qualifying nuclear power manufacturing 
        equipment.''.
    (c) Conforming Amendments.--
            (1) Additional investment credit.--Section 46 is amended 
        by--
                    (A) striking ``and'' at the end of paragraph (3);
                    (B) striking the period at the end of paragraph (4) 
                and inserting ``, and''; and
                    (C) inserting after paragraph (4) the following new 
                paragraph:
            ``(5) the qualifying nuclear power manufacturing credit.''.
            (2) Application of section 49.--Subparagraph (C) of section 
        49(a)(1) is amended by--
                    (A) striking ``and'' at the end of clause (iii);
                    (B) striking the period at the end of clause (iv) 
                and inserting ``, and''; and
                    (C) inserting after clause (iv) the following new 
                clause:
                            ``(v) the basis of any property which is 
                        part of a qualifying nuclear power equipment 
                        manufacturing project under section 48C.''.
            (3) Table of sections.--The table of sections preceding 
        section 46 is amended by inserting after the line for section 
        48B the following new line:

``Sec. 48C. Qualifying nuclear power manufacturing credit.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to property--
            (1) the construction, reconstruction, or erection of which 
        of began after the date of enactment; or
            (2) which was acquired by the taxpayer on or after the date 
        of enactment and not pursuant to a binding contract which was 
        in effect on the day prior to the date of enactment.

SEC. 605. NUCLEAR ENERGY WORKFORCE.

    Section 1101 of the Energy Policy Act of 2005 (42 U.S.C. 16411) is 
amended (1) by redesignating subsection (d) as subsection (e); and by 
inserting after subsection (c) the following:
    ``(d) Workforce Training.--
            ``(1) In general.--The Secretary of Labor, in cooperation 
        with the Secretary of Energy, shall promulgate regulations to 
        implement a program to provide workforce training to meet the 
        high demand for workers skilled in the nuclear utility and 
        nuclear energy products and services industries.
            ``(2) Consultation.--In carrying out this subsection, the 
        Secretary of Labor shall consult with representatives of the 
        nuclear utility and nuclear energy products and services 
        industries, and organized labor, concerning skills that are 
        needed in those industries.
            ``(3) Authorization of appropriations.--There are 
        authorized to be appropriated to the Secretary of Labor, 
        working in coordination with the Secretaries of Education and 
        Energy $20,000,000 for each of fiscal years 2008 through 2012 
        for use in implementing a program to provide workforce training 
        to meet the high demand for workers skilled in the nuclear 
        utility and nuclear energy products and services industries.''.

SEC. 606. LICENSING OF NEW NUCLEAR POWER PLANTS.

    Sections 189 and 185 of the Atomic Energy Act are amended thus:
            (1) Hearings and judicial review.--Section 189a.(1)(A) is 
        modified thus: ``In any proceeding under this Act, for the 
        granting, suspending, revoking, or amending of any license or 
        construction permit, or application to transfer control, and in 
        any proceeding for the issuance or modification of rules and 
        regulations dealing with the activities of licensees, and in 
        any proceeding for the payment of compensation, an award, or 
        royalties under section 153, 157, 186c., or 188, the Commission 
        shall grant a hearing upon the request of any person whose 
        interest may be affected by the proceeding, and shall admit any 
        such person as a party to such proceeding. The Commission may, 
        in the absence of a request therefor by any person whose 
        interest may be affected, issue a construction permit, an 
        operating license or an amendment to a construction permit or 
        an amendment to an operating license without a hearing, but 
        upon thirty days' notice and publication once in the Federal 
        Register of its intent to do so. The Commission may dispense 
        with such thirty days' notice and publication with respect to 
        any application for an amendment to a construction permit or an 
        amendment to an operating license upon a determination by the 
        Commission that the amendment involves no significant hazards 
        consideration.''.
            (2) Construction permits and operating licenses.--Section 
        185b is modified thus: ``After any public hearing held under 
        section 189a.(1)(A), the Commission shall issue to the 
        applicant a combined construction and operating license if the 
        application contains sufficient information to support the 
        issuance of a combined license and the Commission determines 
        that there is reasonable assurance that the facility will be 
        constructed and will operate in conformity with the license, 
        the provisions of this Act, and the Commission's rules and 
        regulations. The Commission shall identify within the combined 
        license the inspections, tests, and analyses, including those 
        applicable to emergency planning, that the licensee shall 
        perform, and the acceptance criteria that, if met, are 
        necessary and sufficient to provide reasonable assurance that 
        the facility has been constructed and will be operated in 
        conformity with the license, the provisions of this Act, and 
        the Commission's rules and regulations. Following issuance of 
        the combined license, the Commission shall ensure that the 
        prescribed inspections, tests, and analyses are performed and, 
        prior to operation of the facility, shall find that the 
        prescribed acceptance criteria are met. Any finding made under 
        this subsection shall not require a hearing except as provided 
        in section 189a.(1)(B).''.

SEC. 607. INVESTMENT TAX CREDIT FOR INVESTMENTS IN NUCLEAR POWER 
              FACILITIES.

    (a) New Credit for Nuclear Power Facilities.--Section 46 is amended 
by--
            (1) striking ``and'' at the end of paragraph (3);
            (2) striking the period at the end of paragraph (4) and 
        inserting ``, and''; and
            (3) inserting after paragraph (4) the following new 
        paragraph:
            ``(5) the nuclear power facility construction credit.''.
    (b) Nuclear Power Facility Construction Credit.--Subpart E of part 
IV of subchapter A of chapter 1 is amended by inserting after section 
48B the following new section:

``SEC. 48C. NUCLEAR POWER FACILITY CONSTRUCTION CREDIT.

    ``(a) In General.--For purposes of section 46, the nuclear power 
facility construction credit for any taxable year is 10 percent of the 
qualified nuclear power facility expenditures with respect to a 
qualified nuclear power facility.
    ``(b) When Expenditures Taken Into Account.--
            ``(1) In general.--Qualified nuclear power facility 
        expenditures shall be taken into account for the taxable year 
        in which the qualified nuclear power facility is placed in 
        service.
            ``(2) Coordination with subsection (c).--The amount which 
        would (but for this paragraph) be taken into account under 
        paragraph (1) with respect to any qualified nuclear power 
        facility shall be reduced (but not below zero) by any amount of 
        qualified nuclear power facility expenditures taken into 
        account under subsection (c) by the taxpayer or a predecessor 
        of the taxpayer (or, in the case of a sale and leaseback 
        described in section 50(a)(2)(C), by the lessee), to the extent 
        any amount so taken into account has not been required to be 
        recaptured under section 50(a).
    ``(c) Progress Expenditures.--
            ``(1) In general.--A taxpayer may elect to take into 
        account qualified nuclear power facility expenditures.
                    ``(A) Self-constructed property.--In the case of a 
                qualified nuclear power facility which is a self-
                constructed facility, in the taxable year for which 
                such expenditures are properly chargeable to capital 
                account with respect to such facility.
                    ``(B) Acquired facility.--In the case of a 
                qualified nuclear facility which is not self-
                constructed property, in the taxable year in which such 
                expenditures are paid.
            ``(2) Special rules for applying paragraph (1).--For 
        purposes of paragraph (1):
                    ``(A) Component parts, etc.--Property which is not 
                self-constructed property and which is to be a 
                component part of, or is otherwise to be included in, 
                any facility to which this subsection applies shall be 
                taken into account in accordance with paragraph (1)(B).
                    ``(B) Certain borrowing disregarded.--Any amount 
                borrowed directly or indirectly by the taxpayer on a 
                nonrecourse basis from the person constructing the 
                facility for the taxpayer shall not be treated as an 
                amount expended for such facility.
                    ``(C) Limitation for facilities or components which 
                are not self-constructed.--
                            ``(i) In general.--In the case of a 
                        facility or a component of a facility which is 
                        not self-constructed, the amount taken into 
                        account under paragraph (1)(B) for any taxable 
                        year shall not exceed the amount which 
                        represents the portion of the overall cost to 
                        the taxpayer of the facility or component of a 
                        facility which is properly attributable to the 
                        portion of the facility or component which is 
                        completed during such taxable year.
                            ``(ii) Carry-over of certain amounts.--In 
                        the case of a facility or component of a 
                        facility which is not self-constructed, if for 
                        the taxable year--
                                    ``(I) the amount which (but for 
                                clause (i)) would have been taken into 
                                account under paragraph (1)(B) exceeds 
                                the limitation of clause (i), then the 
                                amount of such excess shall be taken 
                                into account under paragraph (1)(B) for 
                                the succeeding taxable year; or
                                    ``(II) the limitation of clause (i) 
                                exceeds the amount taken into account 
                                under paragraph (1)(B), then the amount 
                                of such excess shall increase the 
                                limitation of clause (i) for the 
                                succeeding taxable year.
                    ``(D) Determination of percentage of completion.--
                The determination under subparagraph (C)(i) of the 
                portion of the overall cost to the taxpayer of the 
                construction which is properly attributable to 
                construction completed during any taxable year shall be 
                made on the basis of engineering or architectural 
                estimates or on the basis of cost accounting records. 
                Unless the taxpayer establishes otherwise by clear and 
                convincing evidence, the construction shall be deemed 
                to be completed not more rapidly than ratably over the 
                normal construction period.
                    ``(E) No progress expenditures for certain prior 
                periods.--No qualified nuclear facility expenditures 
                shall be taken into account under this subsection for 
                any period before the first day of the first taxable 
                year to which an election under this subsection 
                applies.
                    ``(F) No progress expenditures for property for 
                year it is placed in service, etc.--In the case of any 
                qualified nuclear facility, no qualified nuclear 
                facility expenditures shall be taken into account under 
                this subsection for the earlier of--
                            ``(i) the taxable year in which the 
                        facility is placed in service; or
                            ``(ii) the first taxable year for which 
                        recapture is required under section 50(a)(2) 
                        with respect to such facility, or for any 
                        taxable year thereafter.
            ``(3) Self-constructed.--For purposes of this subsection:
                    ``(A) The term `self-constructed facility' means 
                any facility if it is reasonable to believe that more 
                than half of the qualified nuclear facility 
                expenditures for such facility will be made directly by 
                the tax-payer.
                    ``(B) A component of a facility shall be treated as 
                not self-constructed if the cost of the component is at 
                least 5 percent of the expected cost of the facility 
                and the component is acquired by the taxpayer.
            ``(4) Election.--An election shall be made under this 
        section for a qualified nuclear power facility by claiming the 
        nuclear power facility construction credit for expenditures 
        described in paragraph (1) on a tax return filed by the due 
        date for such return (taking into account extensions). Such an 
        election shall apply to the taxable year for which made and all 
        subsequent taxable years. Such an election, once made, may be 
        revoked only with the consent of the Secretary.
    ``(d) Definitions and Special Rules.--For purposes of this section:
            ``(1) Qualified nuclear power facility.--The term 
        `qualified nuclear power facility' means an advanced nuclear 
        power facility, as defined in section 45J, the construction of 
        which was approved by the Nuclear Regulatory Commission on or 
        before December 31, 2013.
            ``(2) Qualified nuclear power facility expenditures.--
                    ``(A) In general.--The term `qualified nuclear 
                power facility expenditures' means any amount properly 
                chargeable to capital account--
                            ``(i) with respect to a qualified nuclear 
                        power facility;
                            ``(ii) for which depreciation is allowable 
                        under section 168; and
                            ``(iii) which are incurred before the 
                        qualified nuclear power facility is placed in 
                        service or in connection with the placement of 
                        such facility in service.
                    ``(B) Pre-effective date expenditures.--Qualified 
                nuclear power facility expenditures do not include any 
                expenditures incurred by the taxpayer before January 1, 
                2007, unless such expenditures constitute less than 20 
                percent of the total qualified nuclear power facility 
                expenditures (determined without regard to this 
                subparagraph) for the qualified nuclear power facility.
            ``(3) Delays and suspension of construction.--
                    ``(A) In general.--For purposes of applying this 
                section and section 50, a nuclear power facility that 
                is under construction shall cease to be treated as a 
                facility that will be a qualified nuclear power 
                facility as of the earlier of--
                            ``(i) the date on which the taxpayer 
                        decides to terminate construction of the 
                        facility; or
                            ``(ii) the last day of any 24-month period 
                        in which the taxpayer has failed to incur 
                        qualified nuclear power facility expenditures 
                        totaling at least 20 percent of the expected 
                        total cost of the nuclear power facility.
                    ``(B) Authority to waive.--The Secretary may waive 
                the application of clause (ii) of subparagraph (A) if 
                the Secretary determines that the taxpayer intended to 
                continue the construction of the qualified nuclear 
                power facility and the expenditures were not incurred 
                for reasons outside the control of the taxpayer.
                    ``(C) Resumption of construction.--If a nuclear 
                power facility that is under construction ceases to be 
                a qualified nuclear power facility by reason of 
                paragraph (2) and work is subsequently resumed on the 
                construction of such facility--
                            ``(i) the date work is subsequently resumed 
                        shall be treated as the date that construction 
                        began for purposes of paragraph (1); and
                            ``(ii) if the facility is a qualified 
                        nuclear power facility, the qualified nuclear 
                        power facility expenditures shall be determined 
                        without regard to any delay or temporary 
                        termination of construction of the facility.''.
    (c) Provisions Relating to Credit Recapture.--
            (1) Progress expenditure recapture rules.--
                    (A) Basic rules.--Subparagraph (A) of section 
                50(a)(2) is amended to read as follows:
                    ``(A) In general.--If during any taxable year any 
                building to which section 47(d) applied or any facility 
                to which section 48C(c) applied ceases (by reason of 
                sale or other disposition, cancellation or abandonment 
                of contract, or otherwise) to be, with respect to the 
                taxpayer, property which, when placed in service, will 
                be a qualified rehabilitated building or a qualified 
                nuclear power facility, then the tax under this chapter 
                for such taxable year shall be increased by an amount 
                equal to the aggregate decrease in the credits allowed 
                under section 38 for all prior taxable years which 
                would have resulted solely from reducing to zero the 
                credit determined under this subpart with respect to 
                such building or facility.''.
                    (B) Amendment to excess credit recapture rule.--
                Subparagraph (B) of section 50(a)(2) is amended by--
                            (i) inserting ``or paragraph (2) of section 
                        48C(b)'' after ``paragraph (2) of section 
                        47(b)'';
                            (ii) inserting ``or section 48C(b)(1)'' 
                        after ``section 47(b)(1)''; and
                            (iii) inserting ``or facility'' after 
                        ``building''.
                    (C) Amendment of sale and leaseback rule.--
                Subparagraph (C) of section 50(a)(2) is amended by--
                            (i) inserting ``or section 48C(c)'' after 
                        ``section 47(d)''; and
                            (ii) inserting ``or qualified nuclear power 
                        facility expenditures'' after ``qualified 
                        rehabilitation expenditures''.
                    (D) Other amendment.--Subparagraph (D) of section 
                50(a)(2) is amended by inserting ``or section 48C(c)'' 
                after ``section 47(d)''.
    (d) No Basis Adjustment.--Section 50(c) is amended by inserting at 
the end thereof the following new paragraph:
            ``(6) Nuclear power facility construction credit.--
        Paragraphs (1) and (2) shall not apply to the nuclear power 
        facility construction credit.''.
    (e) Technical Amendments.--The table of sections for subpart E of 
part IV of subchapter A of chapter 1 is amended by inserting after the 
line for section 48B the following new line:

``Sec. 48C. Nuclear power facility construction credit.''.
    (f) Effective Date.--The amendments made by this section of this 
Act shall be effective for expenditures incurred and property placed in 
service in taxable years beginning after the date of enactment.

SEC. 608. NATIONAL NUCLEAR ENERGY COUNCIL.

    (a) In General.--
            (1) The Secretary of Energy shall establish a National 
        Nuclear Energy Council (hereinafter the ``Council'').
            (2) The National Nuclear Energy Council shall be subject to 
        the requirements of the Federal Advisory Committee Act (5 
        U.S.C. Appendix 2).
    (b) Purpose.--The National Nuclear Energy Council shall--
            (1) serve in an advisory capacity to the Secretary of 
        Energy regarding nuclear energy on matters submitted to the 
        Council by the Secretary of Energy; and
            (2) advise, inform, and make recommendations to the 
        Secretary of Energy, and represent the views of the nuclear 
        energy industry with respect to any matter relating to nuclear 
        energy.
    (c) Membership and Organization.--
            (1) The members of the Council shall be appointed by the 
        Secretary of Energy.
            (2) The Council may establish such study and administrative 
        committees as it may deem appropriate. Study committees shall 
        only assist the Council in preparing its advice, information, 
        or recommendations to the Secretary of Energy. Administrative 
        committees shall be formed solely for the purpose of assisting 
        the Council or its Chairman in the management of the internal 
        affairs of the Council.
            (3) The officers of the Council shall consist of a 
        Chairman, a Vice Chairman, and such other officers as may be 
        approved by the Council. The Chairman and Vice Chairman must be 
        members of the Council and shall receive no compensation for 
        service as officers of the Council.
            (4) The Secretary of Energy shall be Cochairman of the 
        Council. If the Secretary of Energy designates a full-time, 
        salaried official of the Department of Energy as his alternate, 
        such alternate may exercise any duties of the Secretary of 
        Energy and may perform any function on the Council otherwise 
        reserved for the Secretary of Energy.
            (5) The Chairman and the Vice Chairman shall be elected by 
        the Council at its organizational meeting to serve until their 
        successors are elected at the next organizational meeting of 
        the Council.
    (d) Meetings.--
            (1) Regular meetings of the Council shall be held at least 
        twice each year at times determined by the Chairman and 
        approved by the Government Cochairman.
            (2) No meeting of the Council shall be held unless the 
        Government Cochairman approves the agenda thereof, approves the 
        calling thereof, and is present thereat.
            (3) The time and place of all Council meetings shall be 
        given general publicity and such meetings shall be open to the 
        public.
    (e) Studies by the Council.--
            (1) The Council may establish study committees to prepare 
        reports for the consideration of the Council pursuant to 
        requests from the Secretary of Energy for advice, information, 
        and recommendations.
            (2) The Secretary of Energy or a full-time employee of the 
        Department of Energy designated by the Secretary shall be the 
        Cochairman of each study committee.
            (3) The members of study committees shall be selected from 
        the Council membership on the basis of their training, 
        experience, and general qualifications to deal with the matters 
        assigned.

SEC. 609. TEMPORARY SPENT NUCLEAR FUEL STORAGE AGREEMENTS.

    (a) Authorization and Location.--The Secretary of Energy 
(Secretary) is authorized to initiate spent nuclear fuel storage 
agreements as provided herein.
            (1) No later than 180 days from the date of enactment of 
        this Act, representatives of a community may submit written 
        notice to the Secretary that the community is willing to host a 
        temporary spent nuclear fuel storage facility within its 
        jurisdiction.
            (2) Within 90 days of the receipt of the notification under 
        subsection (a)(1), the Secretary shall determine whether the 
        identified site is suitable for a temporary storage facility. 
        In determining the site's suitability, the Secretary will 
        evaluate technical feasibility and consider favorably local 
        support for collocating a temporary spent nuclear fuel storage 
        facility with facilities in-tended to develop and implement 
        advanced nuclear fuel cycle technologies.
    (b) Content of Agreements.--If the Secretary determines one or more 
sites to be suitable in accordance with subsection (a)(2), negotiation 
of a temporary spent nuclear fuel storage facility agreement shall 
proceed.
            (1) Any temporary spent nuclear fuel storage agreement 
        shall contain such terms and conditions, including financial, 
        institutional and such other arrangements as the Secretary and 
        community determine to be reasonable and appropriate.
            (2) Any temporary spent nuclear fuel storage agreement may 
        be amended only with the mutual consent of the parties to the 
        agreement.
    (c) Environmental Impact Statement.--Execution of a temporary spent 
nuclear fuel storage agreement shall not require preparation of an 
environmental impact statement under section 102(2)(C) of the National 
Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)) or require any 
environmental review under subparagraph (E) or (F) of section 102(2) of 
such Act (42 U.S.C. 4332(2)(E), (F)).

SEC. 610. IMPLEMENTATION OF TEMPORARY SPENT NUCLEAR FUEL STORAGE 
              AGREEMENTS.

    (a) In General.--Any temporary spent nuclear fuel storage agreement 
or agreements entered into under section 1 shall enter into force with 
respect to the United States if (and only if)--
            (1) the Secretary, at least 60 days before the day on which 
        he or she enters into the temporary spent nuclear fuel storage 
        agreement or agreements notifies the House of Representatives 
        and the Senate of his intention to enter into the agreement or 
        agreements, and promptly thereafter publishes notice of such 
        intention in the Federal Register;
            (2) the Governor of the State or States in which the 
        facility is proposed to be located submits written notice to 
        the Secretary that the Governor supports the temporary spent 
        nuclear fuel storage agreement; and
            (3) after entering into the agreement, the Secretary 
        submits to the House of Representatives and to the Senate a 
        copy of the final text of the agreement, together with--
                    (A) a draft of an implementing bill; and
                    (B) a statement of any administrative action 
                proposed to implement the agreement.
    (b) Application of Expedited Procedures to Implementing Bills.--The 
provisions of section 3 apply to implementing bills submitted with 
respect to temporary spent nuclear fuel storage agreements entered into 
and submitted pursuant to section 2.

SEC. 611. EXPEDITED PROCEDURES FOR CONGRESSIONAL REVIEW OF TEMPORARY 
              SPENT NUCLEAR FUEL STORAGE AGREEMENTS.

    (a) Rules of House of Representative and Senate.--The provisions of 
this subsection are enacted by the Congress--
            (1) as an exercise of the rulemaking power of the House of 
        Representatives and the Senate, respectively, and as such they 
        are deemed a part of the rules of each House, respectively, but 
        applicable only with respect to the procedure to be followed in 
        that House in the case of implementing bills de-scribed in 
        subsection (b)(2) of this section and approval resolutions 
        described in subsection (b)(3) of this section; and they 
        supersede other rules only to the extent that they are 
        inconsistent therewith; and
            (2) with full recognition of the constitutional right of 
        either House to change the rules (so far as relating to the 
        procedure of that House) at any time, in the same manner and to 
        the same extent as in the case of any other rule of that House.
    (b) Definitions.--For purposes of this section--
            (1) The term ``community'' means any entity of local 
        government appropriate, in terms of legal authority, for 
        negotiating and entering into temporary spent nuclear fuel 
        storage agreements provided for in section 1.
            (2) The term ``implementing bill'' means only a bill of 
        either House of Congress which is introduced as provided in 
        subsection (c) of this section with respect to one or more 
        temporary spent nuclear fuel storage agreements and which 
        contain--
                    (A) a provision approving such storage agreements;
                    (B) a provision approving the statement of 
                administrative action (if any) proposed to implement 
                such storage agreements;
                    (C) if changes in existing laws or new statutory 
                authority is required to implement such storage 
                agreement or agreements, provisions necessary or 
                appropriate to implement such agreement or agreements 
                either repealing or amending existing laws or providing 
                new statutory authority; and
                    (D) a provision containing revenue measures (if 
                any), by reason of which the bill must originate in the 
                House of Representatives as provided for in subsection 
                (c).
            (3) The term ``approval resolution'' means only a joint 
        resolution of the two Houses of the Congress, the matter after 
        the resolving clause of which is as follows: ``That the 
        Congress approves the temporary spent nuclear fuel storage 
        agreement between the Secretary of Energy and _________ on 
        ______,'' the first blank space being filled with the name of 
        the governor involved and the second blank space being filled 
        in with the appropriate date.
    (c) Introduction and Referral.--On the day on which the temporary 
spent nuclear fuel storage agreement is submitted to the House of 
Representatives and the Senate under this title, the implementing bill 
submitted by the Secretary with respect to such temporary spent nuclear 
fuel storage agreement shall be introduced (by request) in the House by 
the majority leader of the House, for himself and the minority leader 
of the House, or by Members of the House designated by the majority 
leader and minority leader of the House; and shall be introduced (by 
request) in the Senate by the majority leader of the Senate, for 
himself and the minority leader of the Senate, or by Members of the 
Senate designated by the majority leader and minority leader of the 
Senate. If either House is not in session on the day on which such 
temporary spent nuclear fuel storage agreement is submitted, the 
implementing bill shall be introduced in that House, as provided in the 
preceding sentence, on the first day thereafter on which that House is 
in session. Such bills shall be referred by the Presiding Officers of 
the respective Houses to the appropriate committee, or, in the case of 
a bill containing provisions within the jurisdiction of two or more 
committees, jointly to such committees for consideration of those 
provisions within their respective jurisdictions.
    (d) Amendments Prohibited.--No amendment to an implementing bill or 
approval resolution shall be in order in either the House of 
Representatives or the Senate; and no motion to suspend the application 
of this subsection shall be in order in either House, nor shall it be 
in order in either House for the Presiding Officer to entertain a 
request to suspend the application of this subsection by unanimous 
consent.
    (e) Period for Committee and Floor Consideration.--
            (1) Except as provided in subsection (e)(2), if the 
        committee or committees of either House to which an 
        implementing bill or approval resolution has been referred have 
        not reported it at the close of the 45th day after its 
        introduction, such committee or committees shall be 
        automatically discharged from further consideration of the bill 
        or resolution and it shall be placed on the appropriate 
        calendar. A vote on final passage of the bill or resolution 
        shall be taken in each House on or before the close of the 15th 
        day after the bill or resolution is reported by the committee 
        or committees of that House to which it was referred, or after 
        such committee or committees have been discharged from further 
        consideration of the bill or resolution. If prior to the 
        passage by one House of an implementing bill or approval 
        resolution of that House, that House receives the same 
        implementing bill or approval resolution from the other House, 
        then--
                    (A) the procedure in that House shall be the same 
                as if no implementation bill or approval resolution had 
                been received from the other House; but
                    (B) the vote on final passage shall be on the 
                implementing bill or approval resolution of the other 
                House.
            (2) For purposes of computing a number of days in either 
        House as provided for in subsection (e)(1), there shall be 
        excluded any day on which that House is not in session.
            (3) If the implementing bill contains one or more revenue 
        measures--
                    (A) the provisions of subsection (e)(1) shall not 
                apply; and
                    (B) the Senate shall not take final action on the 
                bill until it is received from the House.
    (f) Floor Consideration in the House.--
            (1) A motion in the House of Representatives to proceed to 
        the consideration of an implementing bill or approval 
        resolution shall be highly privileged and not debatable. An 
        amendment to the motion shall not be in order, nor shall it be 
        in order to move to reconsider the vote by which the motion is 
        agreed to or disagreed to.
            (2) Debate in the House of Representatives on an 
        implementing bill or approval resolution shall be limited to 
        not more than 10 hours, which shall be divided equally between 
        those favoring and those opposing the bill or resolution. A 
        motion further to limit debate shall not be debatable. It shall 
        not be in order to move to recommit an implementing bill or 
        approval resolution or to move to reconsider the vote by which 
        an implementing bill or approval resolution is agreed to or 
        disagreed to.
            (3) Motions to postpone, made in the House of 
        Representatives with respect to the consideration of an 
        implementing bill or approval resolution, and motions to 
        proceed to the consideration of other business, shall be 
        decided without debate. If a motion to proceed to consideration 
        is agreed to, such resolution shall remain unfinished business 
        of House until disposed of.
            (4) All appeals from the decisions of the Chair relating to 
        the application of the Rules of the House of Representatives to 
        the procedure relating to an implementing bill or approval 
        resolution shall be decided without debate.
            (5) Except to the extent specifically provided in the 
        preceding provisions of this subsection, consideration of an 
        implementing bill or approval resolution shall be governed by 
        the Rules of the House of Representatives applicable to other 
        bills and resolutions in similar circumstances.
    (g) Floor Consideration in the Senate.--
            (1) A motion in the Senate to proceed to the consideration 
        of an implementing bill or approval resolution shall be 
        privileged and not debatable. An amendment to the motion shall 
        not be in order, nor shall it be in order to move to reconsider 
        the vote by which the motion is agreed to or disagreed to.
            (2) Debate in the Senate on an implementing bill or 
        approval resolution, and all debatable motions and appeals in 
        connection therewith, shall be limited to not more than 10 
        hours. The time shall be equally divided between, and 
        controlled by, the majority leader and the minority leader or 
        their designees.
            (3) Debate in the Senate on any debatable motion or appeal 
        in connection with an implementing bill or approval resolution 
        shall be limited to not more than 1 hour, to be equally divided 
        between, and controlled by, the mover and the manager of the 
        bill or resolution, except that in the event the manager of the 
        bill or resolution is in favor of any such motion or appeal, 
        the time in opposition thereto shall be controlled by the 
        minority leader or his designee. Such leaders, or either of 
        them, may, from time under their control on the passage of an 
        implementing bill or approval resolution, allot additional time 
        to any Senator during the consideration of any debatable motion 
        or appeal.
            (4) A motion in the Senate to further limit debate is not 
        debatable. A motion to recommit an implementation bill or 
        approval resolution is not in order.

SEC. 612. CONTRACTING AND NUCLEAR WASTE FUND.

    Section 302 of the Nuclear Waste Policy Act of 1982 (42 U.S.C. 
10222) is amended--
            (1) in subsection (a)(1), by adding at the end the 
        following: ``For any civilian nuclear power reactor a license 
        application for which is filed with the Commission, pursuant to 
        its authority under section 103 or 104 of the Atomic Energy Act 
        of 1954, after the date of enactment of this Act, contracts 
        entered into under this section shall--
                    ``(A) except as provided in subsections 
                302(a)(1)(B), (C), (D), and (E), below, be generally 
                consistent with the terms and conditions of the 
                `Standard Contract for Disposal of Spent Nuclear Fuel 
                and/or High-Level Radioactive Waste,' as codified at 10 
                C.F.R. Part 961 and in effect on January 1, 2007;
                    ``(B) provide for the taking of title to, and for 
                the Secretary to dispose of, the high-level waste or 
                spent nuclear fuel involved beginning no later than 15 
                years following the start of commercial operation;
                    ``(C) contain no provisions providing for 
                adjustment of the 1.0 mil per kilowatt-hour fee 
                established by paragraph (2);
                    ``(D) be entered into no later than 60 days 
                following the docketing of the license application by 
                the Commission, or the date of enactment of this Act, 
                whichever is later;
                    ``(E) provide that, on a schedule consistent with 
                the Secretary's acceptance of spent nuclear fuel from 
                each civilian nuclear power reactor or site, and 
                completed not later than the Secretary's completing the 
                acceptance of all spent nuclear fuel from that 
                commercial nuclear power reactor or site, the Secretary 
                shall accept from each such reactor or site, all low-
                level radioactive waste defined in section 3(b)(1)(D) 
                of the Low-level Radioactive Waste Policy Act, as 
                amended, 42 U.S.C. 2021c(b)(1)(D).''; and
            (2) in subsection (a)(4), by striking all after ``herein.'' 
        in the second sentence;
            (3) in subsection (a)(6), by adding at the end the 
        following: ``Further, the Secretary shall offer to settle any 
        actions pending on the date of enactment of this Act for 
        damages resulting from failure to commence accepting spent 
        nuclear fuel or high-level radioactive waste on or before 
        January 31, 1998. Each offer to settle shall provide for the 
        payment of $150 to the other party to a contract for disposal 
        of spent nuclear fuel and high-level radioactive waste for each 
        kilogram of spent nuclear fuel which such party was or shall be 
        entitled to deliver to the Department in a particular year, 
        based on the following aggregate acceptance rates: 400 MTU for 
        1998; 600 MTU for 1999; 1,200 MTU for 2000; 2,000 MTU for 2001; 
        and 3,000 MTU for 2002 and thereafter; provided that the 
        Secretary shall adjust the payment amount per kilogram of spent 
        nuclear fuel under this subsection (a)(6) annually according to 
        the most recent Producer Price Index published by the 
        Department of Labor. Such aggregate acceptance rates shall be 
        allocated among parties to contracts with the United States 
        based upon the age of spent nuclear fuel, as measured by the 
        date of the discharge of such spent nuclear fuel from the 
        civilian nuclear power reactor. Such offer to settle also shall 
        include an annual payment to be determined by the Secretary to 
        any such party where a civilian nuclear power reactor has been 
        decommissioned, except for those portions of the facility that 
        cannot be decommissioned until removal of spent nuclear fuel 
        and high-level radioactive waste. The Secretary also shall 
        offer like compensation to parties to contracts entered into 
        pursuant to section 302 of the Nuclear Waste Policy Act of 1982 
        (42 U.S.C. 10222) who brought actions for damages prior to the 
        date of enactment of this Act, but which were no longer pending 
        as of said date, provided that such compensation shall be 
        reduced by the amount of any settlement or judgment received by 
        such party.''; and
            (4) in subsection (d), by adding at the end the following: 
        ``No amount may be expended by the Secretary from the Waste 
        Fund to carry out research and development activities on 
        advanced nuclear fuel cycle technologies.''.

SEC. 613. CONFIDENCE IN AVAILABILITY OF WASTE DISPOSAL.

    (a) Congressional Determination.--The Congress finds that--
            (1) there is reasonable assurance that high-level 
        radioactive waste and spent nuclear fuel generated in reactors 
        licensed by the Nuclear Regulatory Commission in the past, 
        currently, or in the future will be managed in a safe manner 
        without significant environmental impact until capacity for 
        ultimate disposal is available; and
            (2) the Federal Government is responsible and has 
        established a policy for the ultimate safe and environmentally 
        sound disposal of such high-level radioactive waste and spent 
        nuclear fuel.
    (b) Regulatory Consideration.--Notwithstanding any other provision 
of law, for the period following the licensed operation of a civilian 
nuclear power reactor or any facility for the treatment or storage of 
spent nuclear fuel or high-level radioactive waste, no consideration of 
the public health and safety, common defense and security, or 
environmental impacts of the storage of high-level radioactive waste 
and spent nuclear fuel generated in reactors licensed by the Nuclear 
Regulatory Commission in the past, currently, or in the future, is 
required by the Department of Energy or the Nuclear Regulatory 
Commission in connection with the development, construction, and 
operation of, or any permit, license, license amendment, or siting 
approval for, a civilian nuclear power reactor or any facility for the 
treatment or storage of spent nuclear fuel or high-level radioactive 
waste. Nothing in this section shall affect the Department of Energy's 
and Nuclear Regulatory Commission's obligation to consider the public 
health and safety, common defense and security, and environmental 
impacts of storage during the period of licensed operation of a 
civilian nuclear power reactor or facility for the treatment or storage 
of spent nuclear fuel or high-level radioactive waste.

      TITLE VII--ENERGY PRODUCTION AND CONSERVATION TAX INCENTIVES

SEC. 700. AMENDMENT OF 1986 CODE.

    Except as otherwise expressly provided, whenever in this title an 
amendment or repeal is expressed in terms of an amendment to, or repeal 
of, a section or other provision, the reference shall be considered to 
be made to a section or other provision of the Internal Revenue Code of 
1986.

      Subtitle A--Extension of Clean Energy Production Incentives

SEC. 701. EXTENSION AND MODIFICATION OF RENEWABLE ENERGY PRODUCTION TAX 
              CREDIT.

    (a) Extension of Credit.--Each of the following provisions of 
section 45(d) (relating to qualified facilities) is amended by striking 
``January 1, 2009'' and inserting ``January 1, 2010'':
            (1) Paragraph (1).
            (2) Clauses (i) and (ii) of paragraph (2)(A).
            (3) Clauses (i)(I) and (ii) of paragraph (3)(A).
            (4) Paragraph (4).
            (5) Paragraph (5).
            (6) Paragraph (6).
            (7) Paragraph (7).
            (8) Paragraph (8).
            (9) Subparagraphs (A) and (B) of paragraph (9).
    (b) Production Credit for Electricity Produced From Marine 
Renewables.--
            (1) In general.--Paragraph (1) of section 45(c) (relating 
        to resources) is amended by striking ``and'' at the end of 
        subparagraph (G), by striking the period at the end of 
        subparagraph (H) and inserting ``, and'', and by adding at the 
        end the following new subparagraph:
                    ``(I) marine and hydrokinetic renewable energy.''.
            (2) Marine renewables.--Subsection (c) of section 45 is 
        amended by adding at the end the following new paragraph:
            ``(10) Marine and hydrokinetic renewable energy.--
                    ``(A) In general.--The term `marine and 
                hydrokinetic renewable energy' means energy derived 
                from--
                            ``(i) waves, tides, and currents in oceans, 
                        estuaries, and tidal areas,
                            ``(ii) free flowing water in rivers, lakes, 
                        and streams,
                            ``(iii) free flowing water in an irrigation 
                        system, canal, or other man-made channel, 
                        including projects that utilize nonmechanical 
                        structures to accelerate the flow of water for 
                        electric power production purposes, or
                            ``(iv) differentials in ocean temperature 
                        (ocean thermal energy conversion).
                    ``(B) Exceptions.--Such term shall not include any 
                energy which is derived from any source which utilizes 
                a dam, diversionary structure (except as provided in 
                subparagraph (A)(iii)), or impoundment for electric 
                power production purposes.''.
            (3) Definition of facility.--Subsection (d) of section 45 
        is amended by adding at the end the following new paragraph:
            ``(11) Marine and hydrokinetic renewable energy 
        facilities.--In the case of a facility producing electricity 
        from marine and hydrokinetic renewable energy, the term 
        `qualified facility' means any facility owned by the taxpayer--
                    ``(A) which has a nameplate capacity rating of at 
                least 150 kilowatts, and
                    ``(B) which is originally placed in service on or 
                after the date of the enactment of this paragraph and 
                before January 1, 2010.''.
            (4) Credit rate.--Subparagraph (A) of section 45(b)(4) is 
        amended by striking ``or (9)'' and inserting ``(9), or (11)''.
            (5) Coordination with small irrigation power.--Paragraph 
        (5) of section 45(d), as amended by subsection (a), is amended 
        by striking ``January 1, 2010'' and inserting ``the date of the 
        enactment of paragraph (11)''.
    (c) Sales of Electricity to Regulated Public Utilities Treated as 
Sales to Unrelated Persons.--Section 45(e)(4) (relating to related 
persons) is amended by adding at the end the following new sentence: 
``A taxpayer shall be treated as selling electricity to an unrelated 
person if such electricity is sold to a regulated public utility (as 
defined in section 7701(a)(33).''.
    (d) Trash Facility Clarification.--Paragraph (7) of section 45(d) 
is amended--
            (1) by striking ``facility which burns'' and inserting 
        ``facility (other than a facility described in paragraph (6)) 
        which uses'', and
            (2) by striking ``combustion''.
    (e) Effective Dates.--
            (1) Extension.--The amendments made by subsection (a) shall 
        apply to property originally placed in service after December 
        31, 2008.
            (2) Modifications.--The amendments made by subsections (b) 
        and (c) shall apply to electricity produced and sold after the 
        date of the enactment of this Act, in taxable years ending 
        after such date.
            (3) Trash facility clarification.--The amendments made by 
        subsection (d) shall apply to electricity produced and sold 
        before, on, or after December 31, 2007.

SEC. 702. EXTENSION AND MODIFICATION OF SOLAR ENERGY AND FUEL CELL 
              INVESTMENT TAX CREDIT.

    (a) Extension of Credit.--
            (1) Solar energy property.--Paragraphs (2)(A)(i)(II) and 
        (3)(A)(ii) of section 48(a) (relating to energy credit) are 
        each amended by striking ``January 1, 2009'' and inserting 
        ``January 1, 2017''.
            (2) Fuel cell property.--Subparagraph (E) of section 
        48(c)(1) (relating to qualified fuel cell property) is amended 
        by striking ``December 31, 2008'' and inserting ``December 31, 
        2016''.
            (3) Qualified microturbine property.--Subparagraph (E) of 
        section 48(c)(2) (relating to qualified microturbine property) 
        is amended by striking ``December 31, 2008'' and inserting 
        ``December 31, 2016''.
    (b) Allowance of Energy Credit Against Alternative Minimum Tax.--
Subparagraph (B) of section 38(c)(4) (relating to specified credits) is 
amended by striking ``and'' at the end of clause (iii), by striking the 
period at the end of clause (iv) and inserting ``, and'', and by adding 
at the end the following new clause:
                            ``(v) the credit determined under section 
                        46 to the extent that such credit is 
                        attributable to the energy credit determined 
                        under section 48.''.
    (c) Repeal of Dollar Per Kilowatt Limitation for Fuel Cell 
Property.--
            (1) In general.--Section 48(c)(1) (relating to qualified 
        fuel cell), as amended by subsection (a)(2), is amended by 
        striking subparagraph (B) and by redesignating subparagraphs 
        (C), (D), and (E) as subparagraphs (B), (C), and (D), 
        respectively.
            (2) Conforming amendment.--Section 48(a)(1) is amended by 
        striking ``paragraphs (1)(B) and (2)(B) of subsection (c)'' and 
        inserting ``subsection (c)(2)(B)''.
    (d) Public Electric Utility Property Taken Into Account.--
            (1) In general.--Paragraph (3) of section 48(a) is amended 
        by striking the second sentence thereof.
            (2) Conforming amendments.--
                    (A) Paragraph (1) of section 48(c), as amended by 
                this section, is amended by striking subparagraph (C) 
                and redesignating subparagraph (D) as subparagraph (C).
                    (B) Paragraph (2) of section 48(c), as amended by 
                subsection (a)(3), is amended by striking subparagraph 
                (D) and redesignating subparagraph (E) as subparagraph 
                (D).
    (e) Effective Dates.--
            (1) Extension.--The amendments made by subsection (a) shall 
        take effect on the date of the enactment of this Act.
            (2) Allowance against alternative minimum tax.--The 
        amendments made by subsection (b) shall apply to credits 
        determined under section 46 of the Internal Revenue Code of 
        1986 in taxable years beginning after the date of the enactment 
        of this Act and to carrybacks of such credits.
            (3) Fuel cell property and public electric utility 
        property.--The amendments made by subsections (c) and (d) shall 
        apply to periods after the date of the enactment of this Act, 
        in taxable years ending after such date, under rules similar to 
        the rules of section 48(m) of the Internal Revenue Code of 1986 
        (as in effect on the day before the date of the enactment of 
        the Revenue Reconciliation Act of 1990).

SEC. 703. EXTENSION AND MODIFICATION OF RESIDENTIAL ENERGY EFFICIENT 
              PROPERTY CREDIT.

    (a) Extension.--Section 25D(g) (relating to termination) is amended 
by striking ``December 31, 2008'' and inserting ``December 31, 2009''.
    (b) No Dollar Limitation for Credit for Solar Electric Property.--
            (1) In general.--Section 25D(b)(1) (relating to maximum 
        credit) is amended by striking subparagraph (A) and by 
        redesignating subparagraphs (B) and (C) as subparagraphs (A) 
        and (B), respectively.
            (2) Conforming amendments.--Section 25D(e)(4) is amended--
                    (A) by striking clause (i) in subparagraph (A),
                    (B) by redesignating clauses (ii) and (iii) in 
                subparagraph (A) as clauses (i) and (ii), respectively, 
                and
                    (C) by striking ``, (2),'' in subparagraph (C).
    (c) Credit Allowed Against Alternative Minimum Tax.--
            (1) In general.--Subsection (c) of section 25D is amended 
        to read as follows:
    ``(c) Limitation Based on Amount of Tax; Carryforward of Unused 
Credit.--
            ``(1) Limitation based on amount of tax.--In the case of a 
        taxable year to which section 26(a)(2) does not apply, the 
        credit allowed under subsection (a) for the taxable year shall 
        not exceed the excess of--
                    ``(A) the sum of the regular tax liability (as 
                defined in section 26(b)) plus the tax imposed by 
                section 55, over
                    ``(B) the sum of the credits allowable under this 
                subpart (other than this section) and section 27 for 
                the taxable year.
            ``(2) Carryforward of unused credit.--
                    ``(A) Rule for years in which all personal credits 
                allowed against regular and alternative minimum tax.--
                In the case of a taxable year to which section 26(a)(2) 
                applies, if the credit allowable under subsection (a) 
                exceeds the limitation imposed by section 26(a)(2) for 
                such taxable year reduced by the sum of the credits 
                allowable under this subpart (other than this section), 
                such excess shall be carried to the succeeding taxable 
                year and added to the credit allowable under subsection 
                (a) for such succeeding taxable year.
                    ``(B) Rule for other years.--In the case of a 
                taxable year to which section 26(a)(2) does not apply, 
                if the credit allowable under subsection (a) exceeds 
                the limitation imposed by paragraph (1) for such 
                taxable year, such excess shall be carried to the 
                succeeding taxable year and added to the credit 
                allowable under subsection (a) for such succeeding 
                taxable year.''.
            (2) Conforming amendments.--
                    (A) Section 23(b)(4)(B) is amended by inserting 
                ``and section 25D'' after ``this section''.
                    (B) Section 24(b)(3)(B) is amended by striking 
                ``and 25B'' and inserting ``, 25B, and 25D''.
                    (C) Section 25B(g)(2) is amended by striking 
                ``section 23'' and inserting ``sections 23 and 25D''.
                    (D) Section 26(a)(1) is amended by striking ``and 
                25B'' and inserting ``25B, and 25D''.
    (d) Effective Date.--
            (1) In general.--The amendments made by this section shall 
        apply to taxable years beginning after December 31, 2007.
            (2) Application of egtrra sunset.--The amendments made by 
        subparagraphs (A) and (B) of subsection (c)(2) shall be subject 
        to title IX of the Economic Growth and Tax Relief 
        Reconciliation Act of 2001 in the same manner as the provisions 
        of such Act to which such amendments relate.

SEC. 704. EXTENSION AND MODIFICATION OF CREDIT FOR CLEAN RENEWABLE 
              ENERGY BONDS.

    (a) Extension.--Section 54(m) (relating to termination) is amended 
by striking ``December 31, 2008'' and inserting ``December 31, 2009''.
    (b) Increase in National Limitation.--Section 54(f) (relating to 
limitation on amount of bonds designated) is amended--
            (1) by inserting ``, and for the period beginning after the 
        date of the enactment of the Clean Energy Tax Stimulus Act of 
        2008 and ending before January 1, 2010, $400,000,000'' after 
        ``$1,200,000,000'' in paragraph (1),
            (2) by striking ``$750,000,000 of the'' in paragraph (2) 
        and inserting ``$750,000,000 of the $1,200,000,000'', and
            (3) by striking ``bodies'' in paragraph (2) and inserting 
        ``bodies, and except that the Secretary may not allocate more 
        than \1/3\ of the $400,000,000 national clean renewable energy 
        bond limitation to finance qualified projects of qualified 
        borrowers which are public power providers nor more than \1/3\ 
        of such limitation to finance qualified projects of qualified 
        borrowers which are mutual or cooperative electric companies 
        described in section 501(c)(12) or section 1381(a)(2)(C)''.
    (c) Public Power Providers Defined.--Section 54(j) is amended--
            (1) by adding at the end the following new paragraph:
            ``(6) Public power provider.--The term `public power 
        provider' means a State utility with a service obligation, as 
        such terms are defined in section 217 of the Federal Power Act 
        (as in effect on the date of the enactment of this 
        paragraph).'', and
            (2) by inserting ``; Public Power Provider'' before the 
        period at the end of the heading.
    (d) Technical Amendment.--The third sentence of section 54(e)(2) is 
amended by striking ``subsection (l)(6)'' and inserting ``subsection 
(l)(5)''.
    (e) Effective Date.--The amendments made by this section shall 
apply to bonds issued after the date of the enactment of this Act.

SEC. 705. EXTENSION OF SPECIAL RULE TO IMPLEMENT FERC RESTRUCTURING 
              POLICY.

    (a) Qualifying Electric Transmission Transaction.--
            (1) In general.--Section 451(i)(3) (defining qualifying 
        electric transmission transaction) is amended by striking 
        ``January 1, 2008'' and inserting ``January 1, 2010''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to transactions after December 31, 2007.
    (b) Independent Transmission Company.--
            (1) In general.--Section 451(i)(4)(B)(ii) (defining 
        independent transmission company) is amended by striking 
        ``December 31, 2007'' and inserting ``the date which is 2 years 
        after the date of such transaction''.
            (2) Effective date.--The amendment made by this subsection 
        shall take effect as if included in the amendments made by 
        section 909 of the American Jobs Creation Act of 2004.

    Subtitle B--Extension of Incentives to Improve Energy Efficiency

SEC. 711. EXTENSION AND MODIFICATION OF CREDIT FOR ENERGY EFFICIENCY 
              IMPROVEMENTS TO EXISTING HOMES.

    (a) Extension of Credit.--Section 25C(g) (relating to termination) 
is amended by striking ``December 31, 2007'' and inserting ``December 
31, 2009''.
    (b) Qualified Biomass Fuel Property.--
            (1) In general.--Section 25C(d)(3) is amended--
                    (A) by striking ``and'' at the end of subparagraph 
                (D),
                    (B) by striking the period at the end of 
                subparagraph (E) and inserting ``, and'', and
                    (C) by adding at the end the following new 
                subparagraph:
                    ``(F) a stove which uses the burning of biomass 
                fuel to heat a dwelling unit located in the United 
                States and used as a residence by the taxpayer, or to 
                heat water for use in such a dwelling unit, and which 
                has a thermal efficiency rating of at least 75 
                percent.''.
            (2) Biomass fuel.--Section 25C(d) (relating to residential 
        energy property expenditures) is amended by adding at the end 
        the following new paragraph:
            ``(6) Biomass fuel.--The term `biomass fuel' means any 
        plant-derived fuel available on a renewable or recurring basis, 
        including agricultural crops and trees, wood and wood waste and 
        residues (including wood pellets), plants (including aquatic 
        plants), grasses, residues, and fibers.''.
    (c) Modifications of Standards for Energy-Efficient Building 
Property.--
            (1) Electric heat pumps.--Subparagraph (B) of section 
        25C(d)(3) is amended to read as follows:
                    ``(A) an electric heat pump which achieves the 
                highest efficiency tier established by the Consortium 
                for Energy Efficiency, as in effect on January 1, 
                2008.''.
            (2) Central air conditioners.--Section 25C(d)(3)(D) is 
        amended by striking ``2006'' and inserting ``2008''.
            (3) Water heaters.--Subparagraph (E) of section 25C(d) is 
        amended to read as follows:
                    ``(E) a natural gas, propane, or oil water heater 
                which has either an energy factor of at least 0.80 or a 
                thermal efficiency of at least 90 percent.''.
            (4) Oil furnaces and hot water boilers.--Paragraph (4) of 
        section 25C(d) is amended to read as follows:
            ``(4) Qualified natural gas, propane, and oil furnaces and 
        hot water boilers.--
                    ``(A) Qualified natural gas furnace.--The term 
                `qualified natural gas furnace' means any natural gas 
                furnace which achieves an annual fuel utilization 
                efficiency rate of not less than 95.
                    ``(B) Qualified natural gas hot water boiler.--The 
                term `qualified natural gas hot water boiler' means any 
                natural gas hot water boiler which achieves an annual 
                fuel utilization efficiency rate of not less than 90.
                    ``(C) Qualified propane furnace.--The term 
                `qualified propane furnace' means any propane furnace 
                which achieves an annual fuel utilization efficiency 
                rate of not less than 95.
                    ``(D) Qualified propane hot water boiler.--The term 
                `qualified propane hot water boiler' means any propane 
                hot water boiler which achieves an annual fuel 
                utilization efficiency rate of not less than 90.
                    ``(E) Qualified oil furnaces.--The term `qualified 
                oil furnace' means any oil furnace which achieves an 
                annual fuel utilization efficiency rate of not less 
                than 90.
                    ``(F) Qualified oil hot water boiler.--The term 
                `qualified oil hot water boiler' means any oil hot 
                water boiler which achieves an annual fuel utilization 
                efficiency rate of not less than 90.''.
    (d) Effective Date.--The amendments made this section shall apply 
to expenditures made after December 31, 2007.

SEC. 712. EXTENSION AND MODIFICATION OF TAX CREDIT FOR ENERGY EFFICIENT 
              NEW HOMES.

    (a) Extension of Credit.--Subsection (g) of section 45L (relating 
to termination) is amended by striking ``December 31, 2008'' and 
inserting ``December 31, 2010''.
    (b) Allowance for Contractor's Personal Residence.--Subparagraph 
(B) of section 45L(a)(1) is amended to read as follows:
                    ``(B)(i) acquired by a person from such eligible 
                contractor and used by any person as a residence during 
                the taxable year, or
                    ``(ii) used by such eligible contractor as a 
                residence during the taxable year.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to homes acquired after December 31, 2008.

SEC. 713. EXTENSION AND MODIFICATION OF ENERGY EFFICIENT COMMERCIAL 
              BUILDINGS DEDUCTION.

    (a) Extension.--Section 179D(h) (relating to termination) is 
amended by striking ``December 31, 2008'' and inserting ``December 31, 
2009''.
    (b) Adjustment of Maximum Deduction Amount.--
            (1) In general.--Subparagraph (A) of section 179D(b)(1) 
        (relating to maximum amount of deduction) is amended by 
        striking ``$1.80'' and inserting ``$2.25''.
            (2) Partial allowance.--Paragraph (1) of section 179D(d) is 
        amended--
                    (A) by striking ``$.60'' and inserting ``$0.75'', 
                and
                    (B) by striking ``$1.80'' and inserting ``$2.25''.
    (c) Effective Date.--The amendments made by this section shall 
apply to property placed in service after the date of the enactment of 
this Act.

SEC. 714. MODIFICATION AND EXTENSION OF ENERGY EFFICIENT APPLIANCE 
              CREDIT FOR APPLIANCES PRODUCED AFTER 2007.

    (a) In General.--Subsection (b) of section 45M (relating to 
applicable amount) is amended to read as follows:
    ``(b) Applicable Amount.--For purposes of subsection (a)--
            ``(1) Dishwashers.--The applicable amount is--
                    ``(A) $45 in the case of a dishwasher which is 
                manufactured in calendar year 2008 or 2009 and which 
                uses no more than 324 kilowatt hours per year and 5.8 
                gallons per cycle, and
                    ``(B) $75 in the case of a dishwasher which is 
                manufactured in calendar year 2008, 2009, or 2010 and 
                which uses no more than 307 kilowatt hours per year and 
                5.0 gallons per cycle (5.5 gallons per cycle for 
                dishwashers designed for greater than 12 place 
                settings).
            ``(2) Clothes washers.--The applicable amount is--
                    ``(A) $75 in the case of a residential top-loading 
                clothes washer manufactured in calendar year 2008 which 
                meets or exceeds a 1.72 modified energy factor and does 
                not exceed a 8.0 water consumption factor,
                    ``(B) $125 in the case of a residential top-loading 
                clothes washer manufactured in calendar year 2008 or 
                2009 which meets or exceeds a 1.8 modified energy 
                factor and does not exceed a 7.5 water consumption 
                factor,
                    ``(C) $150 in the case of a residential or 
                commercial clothes washer manufactured in calendar year 
                2008, 2009, or 2010 which meets or exceeds 2.0 modified 
                energy factor and does not exceed a 6.0 water 
                consumption factor, and
                    ``(D) $250 in the case of a residential or 
                commercial clothes washer manufactured in calendar year 
                2008, 2009, or 2010 which meets or exceeds 2.2 modified 
                energy factor and does not exceed a 4.5 water 
                consumption factor.
            ``(3) Refrigerators.--The applicable amount is--
                    ``(A) $50 in the case of a refrigerator which is 
                manufactured in calendar year 2008, and consumes at 
                least 20 percent but not more than 22.9 percent less 
                kilowatt hours per year than the 2001 energy 
                conservation standards,
                    ``(B) $75 in the case of a refrigerator which is 
                manufactured in calendar year 2008 or 2009, and 
                consumes at least 23 percent but no more than 24.9 
                percent less kilowatt hours per year than the 2001 
                energy conservation standards,
                    ``(C) $100 in the case of a refrigerator which is 
                manufactured in calendar year 2008, 2009, or 2010, and 
                consumes at least 25 percent but not more than 29.9 
                percent less kilowatt hours per year than the 2001 
                energy conservation standards, and
                    ``(D) $200 in the case of a refrigerator 
                manufactured in calendar year 2008, 2009, or 2010 and 
                which consumes at least 30 percent less energy than the 
                2001 energy conservation standards.''.
    (b) Eligible Production.--
            (1) Similar treatment for all appliances.--Subsection (c) 
        of section 45M (relating to eligible production) is amended--
                    (A) by striking paragraph (2),
                    (B) by striking ``(1) In general'' and all that 
                follows through ``the eligible'' and inserting ``The 
                eligible'', and
                    (C) by moving the text of such subsection in line 
                with the subsection heading and redesignating 
                subparagraphs (A) and (B) as paragraphs (1) and (2), 
                respectively.
            (2) Modification of base period.--Paragraph (2) of section 
        45M(c), as amended by paragraph (1) of this section, is amended 
        by striking ``3-calendar year'' and inserting ``2-calendar 
        year''.
    (c) Types of Energy Efficient Appliances.--Subsection (d) of 
section 45M (defining types of energy efficient appliances) is amended 
to read as follows:
    ``(d) Types of Energy Efficient Appliance.--For purposes of this 
section, the types of energy efficient appliances are--
            ``(1) dishwashers described in subsection (b)(1),
            ``(2) clothes washers described in subsection (b)(2), and
            ``(3) refrigerators described in subsection (b)(3).''.
    (d) Aggregate Credit Amount Allowed.--
            (1) Increase in limit.--Paragraph (1) of section 45M(e) 
        (relating to aggregate credit amount allowed) is amended to 
        read as follows:
            ``(1) Aggregate credit amount allowed.--The aggregate 
        amount of credit allowed under subsection (a) with respect to a 
        taxpayer for any taxable year shall not exceed $75,000,000 
        reduced by the amount of the credit allowed under subsection 
        (a) to the taxpayer (or any predecessor) for all prior taxable 
        years beginning after December 31, 2007.''.
            (2) Exception for certain refrigerator and clothes 
        washers.--Paragraph (2) of section 45M(e) is amended to read as 
        follows:
            ``(2) Amount allowed for certain refrigerators and clothes 
        washers.--Refrigerators described in subsection (b)(3)(D) and 
        clothes washers described in subsection (b)(2)(D) shall not be 
        taken into account under paragraph (1).''.
    (e) Qualified Energy Efficient Appliances.--
            (1) In general.--Paragraph (1) of section 45M(f) (defining 
        qualified energy efficient appliance) is amended to read as 
        follows:
            ``(1) Qualified energy efficient appliance.--The term 
        `qualified energy efficient appliance' means--
                    ``(A) any dishwasher described in subsection 
                (b)(1),
                    ``(B) any clothes washer described in subsection 
                (b)(2), and
                    ``(C) any refrigerator described in subsection 
                (b)(3).''.
            (2) Clothes washer.--Section 45M(f)(3) (defining clothes 
        washer) is amended by inserting ``commercial'' before 
        ``residential'' the second place it appears.
            (3) Top-loading clothes washer.--Subsection (f) of section 
        45M (relating to definitions) is amended by redesignating 
        paragraphs (4), (5), (6), and (7) as paragraphs (5), (6), (7), 
        and (8), respectively, and by inserting after paragraph (3) the 
        following new paragraph:
            ``(4) Top-loading clothes washer.--The term `top-loading 
        clothes washer' means a clothes washer which has the clothes 
        container compartment access located on the top of the machine 
        and which operates on a vertical axis.''.
            (4) Replacement of energy factor.--Section 45M(f)(6), as 
        redesignated by paragraph (3), is amended to read as follows:
            ``(6) Modified energy factor.--The term `modified energy 
        factor' means the modified energy factor established by the 
        Department of Energy for compliance with the Federal energy 
        conservation standard.''.
            (5) Gallons per cycle; water consumption factor.--Section 
        45M(f) (relating to definitions), as amended by paragraph (3), 
        is amended by adding at the end the following:
            ``(9) Gallons per cycle.--The term `gallons per cycle' 
        means, with respect to a dishwasher, the amount of water, 
        expressed in gallons, required to complete a normal cycle of a 
        dishwasher.
            ``(10) Water consumption factor.--The term `water 
        consumption factor' means, with respect to a clothes washer, 
        the quotient of the total weighted per-cycle water consumption 
        divided by the cubic foot (or liter) capacity of the clothes 
        washer.''.
    (f) Effective Date.--The amendments made by this section shall 
apply to appliances produced after December 31, 2007.

  TITLE VIII--REPEAL OF LIMITATION ON TAX CREDIT FOR EFFICIENT WINDOWS

SEC. 801. REPEAL OF SEPARATE DOLLAR LIMITATION APPLICABLE TO EFFICIENT 
              WINDOWS UNDER THE NONBUSINESS ENERGY PROPERTY CREDIT.

    (a) In General.--Section 25C(b) of the Internal Revenue Code of 
1986 is amended by striking paragraph (2).
    (b) Effective Date.--The amendment made by this section shall apply 
to expenditures made after December 31, 2007.

             TITLE IX--NEW DOMESTIC SUPPLIES OF OIL AND GAS

              Subtitle A--Arctic National Wildlife Refuge

SEC. 901. SHORT TITLE.

    This subtitle may be cited as the ``American-Made Energy and Good 
Jobs Act''.

SEC. 902. DEFINITIONS.

    In this subtitle:
            (1) Coastal plain.--The term ``Coastal Plain'' means that 
        area described in appendix I to part 37 of title 50, Code of 
        Federal Regulations.
            (2) Secretary.--The term ``Secretary'', except as otherwise 
        provided, means the Secretary of the Interior or the 
        Secretary's designee.

SEC. 903. LEASING PROGRAM FOR LANDS WITHIN THE COASTAL PLAIN.

    (a) In General.--The Secretary shall take such actions as are 
necessary--
            (1) to establish and implement, in accordance with this 
        subtitle and acting through the Director of the Bureau of Land 
        Management in consultation with the Director of the United 
        States Fish and Wildlife Service, a competitive oil and gas 
        leasing program that will result in an environmentally sound 
        program for the exploration, development, and production of the 
        oil and gas resources of the Coastal Plain; and
            (2) to administer the provisions of this subtitle through 
        regulations, lease terms, conditions, restrictions, 
        prohibitions, stipulations, and other provisions that ensure 
        the oil and gas exploration, development, and production 
        activities on the Coastal Plain will result in no significant 
        adverse effect on fish and wildlife, their habitat, subsistence 
        resources, and the environment, including, in furtherance of 
        this goal, by requiring the application of the best 
        commercially available technology for oil and gas exploration, 
        development, and production to all exploration, development, 
        and production operations under this subtitle in a manner that 
        ensures the receipt of fair market value by the public for the 
        mineral resources to be leased.
    (b) Repeal.--
            (1) Repeal.--Section 1003 of the Alaska National Interest 
        Lands Conservation Act of 1980 (16 U.S.C. 3143) is repealed.
            (2) Conforming amendment.--The table of contents in section 
        1 of such Act is amended by striking the item relating to 
        section 1003.
    (c) Compliance With Requirements Under Certain Other Laws.--
            (1) Compatibility.--For purposes of the National Wildlife 
        Refuge System Administration Act of 1966 (16 U.S.C. 668dd et 
        seq.), the oil and gas leasing program and activities 
        authorized by this section in the Coastal Plain are deemed to 
        be compatible with the purposes for which the Arctic National 
        Wildlife Refuge was established, and no further findings or 
        decisions are required to implement this determination.
            (2) Adequacy of the department of the interior's 
        legislative environmental impact statement.--The ``Final 
        Legislative Environmental Impact Statement'' (April 1987) on 
        the Coastal Plain prepared pursuant to section 1002 of the 
        Alaska National Interest Lands Conservation Act of 1980 (16 
        U.S.C. 3142) and section 102(2)(C) of the National 
        Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)) is 
        deemed to satisfy the requirements under the National 
        Environmental Policy Act of 1969 that apply with respect to 
        prelease activities, including actions authorized to be taken 
        by the Secretary to develop and promulgate the regulations for 
        the establishment of a leasing program authorized by this 
        subtitle before the conduct of the first lease sale.
            (3) Compliance with nepa for other actions.--Before 
        conducting the first lease sale under this subtitle, the 
        Secretary shall prepare an environmental impact statement under 
        the National Environmental Policy Act of 1969 with respect to 
        the actions authorized by this subtitle that are not referred 
        to in paragraph (2). Notwithstanding any other law, the 
        Secretary is not required to identify nonleasing alternative 
        courses of action or to analyze the environmental effects of 
        such courses of action. The Secretary shall only identify a 
        preferred action for such leasing and a single leasing 
        alternative, and analyze the environmental effects and 
        potential mitigation measures for those two alternatives. The 
        identification of the preferred action and related analysis for 
        the first lease sale under this subtitle shall be completed 
        within 18 months after the date of enactment of this subtitle. 
        The Secretary shall only consider public comments that 
        specifically address the Secretary's preferred action and that 
        are filed within 20 days after publication of an environmental 
        analysis. Notwithstanding any other law, compliance with this 
        paragraph is deemed to satisfy all requirements for the 
        analysis and consideration of the environmental effects of 
        proposed leasing under this subtitle.
    (d) Relationship to State and Local Authority.--Nothing in this 
subtitle shall be considered to expand or limit State and local 
regulatory authority.
    (e) Special Areas.--
            (1) In general.--The Secretary, after consultation with the 
        State of Alaska, the city of Kaktovik, and the North Slope 
        Borough, may designate up to a total of 45,000 acres of the 
        Coastal Plain as a Special Area if the Secretary determines 
        that the Special Area is of such unique character and interest 
        so as to require special management and regulatory protection. 
        The Secretary shall designate as such a Special Area the 
        Sadlerochit Spring area, comprising approximately 4,000 acres.
            (2) Management.--Each such Special Area shall be managed so 
        as to protect and preserve the area's unique and diverse 
        character including its fish, wildlife, and subsistence 
        resource values.
            (3) Exclusion from leasing or surface occupancy.--The 
        Secretary may exclude any Special Area from leasing. If the 
        Secretary leases a Special Area, or any part thereof, for 
        purposes of oil and gas exploration, development, production, 
        and related activities, there shall be no surface occupancy of 
        the lands comprising the Special Area.
            (4) Directional drilling.--Notwithstanding the other 
        provisions of this subsection, the Secretary may lease all or a 
        portion of a Special Area under terms that permit the use of 
        horizontal drilling technology from sites on leases located 
        outside the Special Area.
    (f) Limitation on Closed Areas.--The Secretary's sole authority to 
close lands within the Coastal Plain to oil and gas leasing and to 
exploration, development, and production is that set forth in this 
subtitle.
    (g) Regulations.--
            (1) In general.--The Secretary shall prescribe such 
        regulations as may be necessary to carry out this subtitle, 
        including rules and regulations relating to protection of the 
        fish and wildlife, their habitat, subsistence resources, and 
        environment of the Coastal Plain, by no later than 15 months 
        after the date of enactment of this subtitle.
            (2) Revision of regulations.--The Secretary shall 
        periodically review and, if appropriate, revise the rules and 
        regulations issued under subsection (a) to reflect any 
        significant biological, environmental, or engineering data that 
        come to the Secretary's attention.

SEC. 904. LEASE SALES.

    (a) In General.--Lands may be leased pursuant to this subtitle to 
any person qualified to obtain a lease for deposits of oil and gas 
under the Mineral Leasing Act (30 U.S.C. 181 et seq.).
    (b) Procedures.--The Secretary shall, by regulation, establish 
procedures for--
            (1) receipt and consideration of sealed nominations for any 
        area in the Coastal Plain for inclusion in, or exclusion (as 
        provided in subsection (c)) from, a lease sale;
            (2) the holding of lease sales after such nomination 
        process; and
            (3) public notice of and comment on designation of areas to 
        be included in, or excluded from, a lease sale.
    (c) Lease Sale Bids.--Bidding for leases under this subtitle shall 
be by sealed competitive cash bonus bids.
    (d) Acreage Minimum in First Sale.--In the first lease sale under 
this subtitle, the Secretary shall offer for lease those tracts the 
Secretary considers to have the greatest potential for the discovery of 
hydrocarbons, taking into consideration nominations received pursuant 
to subsection (b)(1), but in no case less than 200,000 acres.
    (e) Timing of Lease Sales.--The Secretary shall--
            (1) conduct the first lease sale under this subtitle within 
        22 months after the date of the enactment of this subtitle; and
            (2) conduct additional sales so long as sufficient interest 
        in development exists to warrant, in the Secretary's judgment, 
        the conduct of such sales.

SEC. 905. GRANT OF LEASES BY THE SECRETARY.

    (a) In General.--The Secretary may grant to the highest responsible 
qualified bidder in a lease sale conducted pursuant to section 904 any 
lands to be leased on the Coastal Plain upon payment by the lessee of 
such bonus as may be accepted by the Secretary.
    (b) Subsequent Transfers.--No lease issued under this subtitle may 
be sold, exchanged, assigned, sublet, or otherwise transferred except 
with the approval of the Secretary. Prior to any such approval the 
Secretary shall consult with, and give due consideration to the views 
of, the Attorney General.

SEC. 906. LEASE TERMS AND CONDITIONS.

    (a) In General.--An oil or gas lease issued pursuant to this 
subtitle shall--
            (1) provide for the payment of a royalty of not less than 
        12\1/2\ percent in amount or value of the production removed or 
        sold from the lease, as determined by the Secretary under the 
        regulations applicable to other Federal oil and gas leases;
            (2) provide that the Secretary may close, on a seasonal 
        basis, portions of the Coastal Plain to exploratory drilling 
        activities as necessary to protect caribou calving areas and 
        other species of fish and wildlife;
            (3) require that the lessee of lands within the Coastal 
        Plain shall be fully responsible and liable for the reclamation 
        of lands within the Coastal Plain and any other Federal lands 
        that are adversely affected in connection with exploration, 
        development, production, or transportation activities conducted 
        under the lease and within the Coastal Plain by the lessee or 
        by any of the subcontractors or agents of the lessee;
            (4) provide that the lessee may not delegate or convey, by 
        contract or otherwise, the reclamation responsibility and 
        liability to another person without the express written 
        approval of the Secretary;
            (5) provide that the standard of reclamation for lands 
        required to be reclaimed under this subtitle shall be, as 
        nearly as practicable, a condition capable of supporting the 
        uses which the lands were capable of supporting prior to any 
        exploration, development, or production activities, or upon 
        application by the lessee, to a higher or better use as 
        approved by the Secretary;
            (6) contain terms and conditions relating to protection of 
        fish and wildlife, their habitat, subsistence resources, and 
        the environment as required pursuant to section 903(a)(2);
            (7) provide that the lessee, its agents, and its 
        contractors use best efforts to provide a fair share, as 
        determined by the level of obligation previously agreed to in 
        the 1974 agreement implementing section 29 of the Federal 
        Agreement and Grant of Right of Way for the Operation of the 
        Trans-Alaska Pipeline, of employment and contracting for Alaska 
        Natives and Alaska Native Corporations from throughout the 
        State;
            (8) prohibit the export of oil produced under the lease; 
        and
            (9) contain such other provisions as the Secretary 
        determines necessary to ensure compliance with the provisions 
        of this subtitle and the regulations issued under this 
        subtitle.
    (b) Project Labor Agreements.--The Secretary, as a term and 
condition of each lease under this subtitle and in recognizing the 
Government's proprietary interest in labor stability and in the ability 
of construction labor and management to meet the particular needs and 
conditions of projects to be developed under the leases issued pursuant 
to this subtitle and the special concerns of the parties to such 
leases, shall require that the lessee and its agents and contractors 
negotiate to obtain a project labor agreement for the employment of 
laborers and mechanics on production, maintenance, and construction 
under the lease.

SEC. 907. COASTAL PLAIN ENVIRONMENTAL PROTECTION.

    (a) No Significant Adverse Effect Standard To Govern Authorized 
Coastal Plain Activities.--The Secretary shall, consistent with the 
requirements of section 903, administer the provisions of this subtitle 
through regulations, lease terms, conditions, restrictions, 
prohibitions, stipulations, and other provisions that--
            (1) ensure the oil and gas exploration, development, and 
        production activities on the Coastal Plain will result in no 
        significant adverse effect on fish and wildlife, their habitat, 
        and the environment;
            (2) require the application of the best commercially 
        available technology for oil and gas exploration, development, 
        and production on all new exploration, development, and 
        production operations; and
            (3) ensure that the maximum amount of surface acreage 
        covered by production and support facilities, including 
        airstrips and any areas covered by gravel berms or piers for 
        support of pipelines, does not exceed 2,000 acres on the 
        Coastal Plain.
    (b) Site-Specific Assessment and Mitigation.--The Secretary shall 
also require, with respect to any proposed drilling and related 
activities, that--
            (1) a site-specific analysis be made of the probable 
        effects, if any, that the drilling or related activities will 
        have on fish and wildlife, their habitat, subsistence 
        resources, and the environment;
            (2) a plan be implemented to avoid, minimize, and mitigate 
        (in that order and to the extent practicable) any significant 
        adverse effect identified under paragraph (1); and
            (3) the development of the plan shall occur after 
        consultation with the agency or agencies having jurisdiction 
        over matters mitigated by the plan.
    (c) Regulations To Protect Coastal Plain Fish and Wildlife 
Resources, Subsistence Users, and the Environment.--Before implementing 
the leasing program authorized by this subtitle, the Secretary shall 
prepare and promulgate regulations, lease terms, conditions, 
restrictions, prohibitions, stipulations, and other measures designed 
to ensure that the activities undertaken on the Coastal Plain under 
this subtitle are conducted in a manner consistent with the purposes 
and environmental requirements of this subtitle.
    (d) Compliance With Federal and State Environmental Laws and Other 
Requirements.--The proposed regulations, lease terms, conditions, 
restrictions, prohibitions, and stipulations for the leasing program 
under this subtitle shall require compliance with all applicable 
provisions of Federal and State environmental law, and shall also 
require the following:
            (1) Standards at least as effective as the safety and 
        environmental mitigation measures set forth in items 1 through 
        29 at pages 167 through 169 of the ``Final Legislative 
        Environmental Impact Statement'' (April 1987) on the Coastal 
        Plain.
            (2) Seasonal limitations on exploration, development, and 
        related activities, where necessary, to avoid significant 
        adverse effects during periods of concentrated fish and 
        wildlife breeding, denning, nesting, spawning, and migration.
            (3) That exploration activities, except for surface 
        geological studies, be limited to the period between 
        approximately November 1 and May 1 each year and that 
        exploration activities shall be supported, if necessary, by ice 
        roads, winter trails with adequate snow cover, ice pads, ice 
        airstrips, and air transport methods, except that such 
        exploration activities may occur at other times if the 
        Secretary finds that such exploration will have no significant 
        adverse effect on the fish and wildlife, their habitat, and the 
        environment of the Coastal Plain.
            (4) Design safety and construction standards for all 
        pipelines and any access and service roads, that--
                    (A) minimize, to the maximum extent possible, 
                adverse effects upon the passage of migratory species 
                such as caribou; and
                    (B) minimize adverse effects upon the flow of 
                surface water by requiring the use of culverts, 
                bridges, and other structural devices.
            (5) Prohibitions on general public access and use on all 
        pipeline access and service roads.
            (6) Stringent reclamation and rehabilitation requirements, 
        consistent with the standards set forth in this subtitle, 
        requiring the removal from the Coastal Plain of all oil and gas 
        development and production facilities, structures, and 
        equipment upon completion of oil and gas production operations, 
        except that the Secretary may exempt from the requirements of 
        this paragraph those facilities, structures, or equipment that 
        the Secretary determines would assist in the management of the 
        Arctic National Wildlife Refuge and that are donated to the 
        United States for that purpose.
            (7) Appropriate prohibitions or restrictions on access by 
        all modes of transportation.
            (8) Appropriate prohibitions or restrictions on sand and 
        gravel extraction.
            (9) Consolidation of facility siting.
            (10) Appropriate prohibitions or restrictions on use of 
        explosives.
            (11) Avoidance, to the extent practicable, of springs, 
        streams, and river system; the protection of natural surface 
        drainage patterns, wetlands, and riparian habitats; and the 
        regulation of methods or techniques for developing or 
        transporting adequate supplies of water for exploratory 
        drilling.
            (12) Avoidance or minimization of air traffic-related 
        disturbance to fish and wildlife.
            (13) Treatment and disposal of hazardous and toxic wastes, 
        solid wastes, reserve pit fluids, drilling muds and cuttings, 
        and domestic wastewater, including an annual waste management 
        report, a hazardous materials tracking system, and a 
        prohibition on chlorinated solvents, in accordance with 
        applicable Federal and State environmental law.
            (14) Fuel storage and oil spill contingency planning.
            (15) Research, monitoring, and reporting requirements.
            (16) Field crew environmental briefings.
            (17) Avoidance of significant adverse effects upon 
        subsistence hunting, fishing, and trapping by subsistence 
        users.
            (18) Compliance with applicable air and water quality 
        standards.
            (19) Appropriate seasonal and safety zone designations 
        around well sites, within which subsistence hunting and 
        trapping shall be limited.
            (20) Reasonable stipulations for protection of cultural and 
        archeological resources.
            (21) All other protective environmental stipulations, 
        restrictions, terms, and conditions deemed necessary by the 
        Secretary.
    (e) Considerations.--In preparing and promulgating regulations, 
lease terms, conditions, restrictions, prohibitions, and stipulations 
under this section, the Secretary shall consider the following:
            (1) The stipulations and conditions that govern the 
        National Petroleum Reserve-Alaska leasing program, as set forth 
        in the 1999 Northeast National Petroleum Reserve-Alaska Final 
        Integrated Activity Plan/Environmental Impact Statement.
            (2) The environmental protection standards that governed 
        the initial Coastal Plain seismic exploration program under 
        parts 37.31 to 37.33 of title 50, Code of Federal Regulations.
            (3) The land use stipulations for exploratory drilling on 
        the KIC-ASRC private lands that are set forth in Appendix 2 of 
        the August 9, 1983, agreement between Arctic Slope Regional 
        Corporation and the United States.
    (f) Facility Consolidation Planning.--
            (1) In general.--The Secretary shall, after providing for 
        public notice and comment, prepare and update periodically a 
        plan to govern, guide, and direct the siting and construction 
        of facilities for the exploration, development, production, and 
        transportation of Coastal Plain oil and gas resources.
            (2) Objectives.--The plan shall have the following 
        objectives:
                    (A) Avoiding unnecessary duplication of facilities 
                and activities.
                    (B) Encouraging consolidation of common facilities 
                and activities.
                    (C) Locating or confining facilities and activities 
                to areas that will minimize impact on fish and 
                wildlife, their habitat, and the environment.
                    (D) Utilizing existing facilities wherever 
                practicable.
                    (E) Enhancing compatibility between wildlife values 
                and development activities.
    (g) Access to Public Lands.--The Secretary shall--
            (1) manage public lands in the Coastal Plain subject to 
        subsections (a) and (b) of section 811 of the Alaska National 
        Interest Lands Conservation Act (16 U.S.C. 3121); and
            (2) ensure that local residents shall have reasonable 
        access to public lands in the Coastal Plain for traditional 
        uses.

SEC. 908. EXPEDITED JUDICIAL REVIEW.

    (a) Filing of Complaint.--
            (1) Deadline.--Subject to paragraph (2), any complaint 
        seeking judicial review of any provision of this subtitle or 
        any action of the Secretary under this subtitle shall be 
        filed--
                    (A) except as provided in subparagraph (B), within 
                the 90-day period beginning on the date of the action 
                being challenged; or
                    (B) in the case of a complaint based solely on 
                grounds arising after such period, within 90 days after 
                the complainant knew or reasonably should have known of 
                the grounds for the complaint.
            (2) Venue.--Any complaint seeking judicial review of any 
        provision of this subtitle or any action of the Secretary under 
        this subtitle may be filed only in the United States Court of 
        Appeals for the District of Columbia.
            (3) Limitation on scope of certain review.--Judicial review 
        of a Secretarial decision to conduct a lease sale under this 
        subtitle, including the environmental analysis thereof, shall 
        be limited to whether the Secretary has complied with the terms 
        of this subtitle and shall be based upon the administrative 
        record of that decision. The Secretary's identification of a 
        preferred course of action to enable leasing to proceed and the 
        Secretary's analysis of environmental effects under this 
        subtitle shall be presumed to be correct unless shown otherwise 
        by clear and convincing evidence to the contrary.
    (b) Limitation on Other Review.--Actions of the Secretary with 
respect to which review could have been obtained under this section 
shall not be subject to judicial review in any civil or criminal 
proceeding for enforcement.

SEC. 909. FEDERAL AND STATE DISTRIBUTION OF REVENUES.

    (a) In General.--Notwithstanding any other provision of law, of the 
amount of adjusted bonus, rental, and royalty revenues from Federal oil 
and gas leasing and operations authorized under this subtitle--
            (1) 50 percent shall be paid to the State of Alaska; and
            (2) except as provided in section 912(d), the balance shall 
        be deposited into the Treasury as miscellaneous receipts.
    (b) Payments to Alaska.--Payments to the State of Alaska under this 
section shall be made semiannually.

SEC. 910. RIGHTS-OF-WAY ACROSS THE COASTAL PLAIN.

    (a) In General.--The Secretary shall issue rights-of-way and 
easements across the Coastal Plain for the transportation of oil and 
gas--
            (1) except as provided in paragraph (2), under section 28 
        of the Mineral Leasing Act (30 U.S.C. 185), without regard to 
        title XI of the Alaska National Interest Lands Conservation Act 
        (30 U.S.C. 3161 et seq.); and
            (2) under title XI of the Alaska National Interest Lands 
        Conservation Act (30 U.S.C. 3161 et seq.), for access 
        authorized by sections 1110 and 1111 of that Act (16 U.S.C. 
        3170 and 3171).
    (b) Terms and Conditions.--The Secretary shall include in any 
right-of-way or easement issued under subsection (a) such terms and 
conditions as may be necessary to ensure that transportation of oil and 
gas does not result in a significant adverse effect on the fish and 
wildlife, subsistence resources, their habitat, and the environment of 
the Coastal Plain, including requirements that facilities be sited or 
designed so as to avoid unnecessary duplication of roads and pipelines.
    (c) Regulations.--The Secretary shall include in regulations under 
section 903(g) provisions granting rights-of-way and easements 
described in subsection (a) of this section.

SEC. 911. CONVEYANCE.

    In order to maximize Federal revenues by removing clouds on title 
to lands and clarifying land ownership patterns within the Coastal 
Plain, the Secretary, notwithstanding the provisions of section 
1302(h)(2) of the Alaska National Interest Lands Conservation Act (16 
U.S.C. 3192(h)(2)), shall convey--
            (1) to the Kaktovik Inupiat Corporation the surface estate 
        of the lands described in paragraph 1 of Public Land Order 
        6959, to the extent necessary to fulfill the Corporation's 
        entitlement under sections 12 and 14 of the Alaska Native 
        Claims Settlement Act (43 U.S.C. 1611 and 1613) in accordance 
        with the terms and conditions of the Agreement between the 
        Department of the Interior, the United States Fish and Wildlife 
        Service, the Bureau of Land Management, and the Kaktovik 
        Inupiat Corporation effective January 22, 1993; and
            (2) to the Arctic Slope Regional Corporation the remaining 
        subsurface estate to which it is entitled pursuant to the 
        August 9, 1983, agreement between the Arctic Slope Regional 
        Corporation and the United States of America.

SEC. 912. LOCAL GOVERNMENT IMPACT AID AND COMMUNITY SERVICE ASSISTANCE.

    (a) Financial Assistance Authorized.--
            (1) In general.--The Secretary may use amounts available 
        from the Coastal Plain Local Government Impact Aid Assistance 
        Fund established by subsection (d) to provide timely financial 
        assistance to entities that are eligible under paragraph (2) 
        and that are directly impacted by the exploration for or 
        production of oil and gas on the Coastal Plain under this 
        subtitle.
            (2) Eligible entities.--The North Slope Borough, the City 
        of Kaktovik, and any other borough, municipal subdivision, 
        village, or other community in the State of Alaska that is 
        directly impacted by exploration for, or the production of, oil 
        or gas on the Coastal Plain under this subtitle, as determined 
        by the Secretary, shall be eligible for financial assistance 
        under this section.
    (b) Use of Assistance.--Financial assistance under this section may 
be used only for--
            (1) planning for mitigation of the potential effects of oil 
        and gas exploration and development on environmental, social, 
        cultural, recreational, and subsistence values;
            (2) implementing mitigation plans and maintaining 
        mitigation projects;
            (3) developing, carrying out, and maintaining projects and 
        programs that provide new or expanded public facilities and 
        services to address needs and problems associated with such 
        effects, including fire-fighting, police, water, waste 
        treatment, medivac, and medical services; and
            (4) establishment of a coordination office, by the North 
        Slope Borough, in the City of Kaktovik, which shall--
                    (A) coordinate with and advise developers on local 
                conditions, impact, and history of the areas utilized 
                for development; and
                    (B) provide to the Committee on Resources of the 
                House of Representatives and the Committee on Energy 
                and Natural Resources of the Senate an annual report on 
                the status of coordination between developers and the 
                communities affected by development.
    (c) Application.--
            (1) In general.--Any community that is eligible for 
        assistance under this section may submit an application for 
        such assistance to the Secretary, in such form and under such 
        procedures as the Secretary may prescribe by regulation.
            (2) North slope borough communities.--A community located 
        in the North Slope Borough may apply for assistance under this 
        section either directly to the Secretary or through the North 
        Slope Borough.
            (3) Application assistance.--The Secretary shall work 
        closely with and assist the North Slope Borough and other 
        communities eligible for assistance under this section in 
        developing and submitting applications for assistance under 
        this section.
    (d) Establishment of Fund.--
            (1) In general.--There is established in the Treasury the 
        Coastal Plain Local Government Impact Aid Assistance Fund.
            (2) Use.--Amounts in the fund may be used only for 
        providing financial assistance under this section.
            (3) Deposits.--Subject to paragraph (4), there shall be 
        deposited into the fund amounts received by the United States 
        as revenues derived from rents, bonuses, and royalties from 
        Federal leases and lease sales authorized under this subtitle.
            (4) Limitation on deposits.--The total amount in the fund 
        may not exceed $11,000,000.
            (5) Investment of balances.--The Secretary of the Treasury 
        shall invest amounts in the fund in interest bearing government 
        securities.
    (e) Authorization of Appropriations.--To provide financial 
assistance under this section there is authorized to be appropriated to 
the Secretary from the Coastal Plain Local Government Impact Aid 
Assistance Fund $5,000,000 for each fiscal year.

                    Subtitle B--Offshore Oil and Gas

SEC. 921. TERMINATION OF MORATORIA ON LEASING AND PERMITTING.

    No prohibition on leasing of Federal submerged lands of the Outer 
Continental Shelf for exploration, development, or production of oil or 
gas, on for the issuance of any permit under Federal law for 
exploration, development, or production of oil or gas under a leases 
for such submerged lands, or on the expenditure of Federal funds with 
respect to such leasing or issuance, shall have any force or effect.

        TITLE X--CLIMATE CHANGE RESEARCH AND DEVELOPMENT FUNDING

SEC. 1001. APPLIED RESEARCH.

    Each Federal agency to which funds have been appropriated for 
conducting climate change basic research, as identified by the Office 
of Management and Budget in its annual report to Congress entitled 
``Federal Climate Change Expenditures Report to Congress'', may use 
such funds only for climate change applied research, including research 
carried out through grants to universities.
                                 <all>