[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6868 Introduced in House (IH)]







110th CONGRESS
  2d Session
                                H. R. 6868

 To provide for the development of advanced and alternative energy and 
    increased domestic energy production to achieve American energy 
                       independence in 15 years.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                           September 10, 2008

  Mr. Roskam introduced the following bill; which was referred to the 
Committee on Energy and Commerce, and in addition to the Committees on 
 Science and Technology, Natural Resources, and Ways and Means, 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 the development of advanced and alternative energy and 
    increased domestic energy production to achieve American energy 
                       independence in 15 years.

    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 ``Energy View Into 
Securing Independence for Our Nation Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
                         TITLE I--ENERGY VISION

Sec. 101. Prize for development of an alternative fuel for aviation.
Sec. 102. Prize for development of vehicle fuel efficiencies and 
                            alternative fuel sources with applications 
                            for surface transportation vehicles.
Sec. 103. Grant for anti-idling power unit research program.
Sec. 104. Extension and modification of credit for clean renewable 
                            energy bonds.
Sec. 105. Reestablishing FutureGen to develop a clean coal power plant 
                            and advance carbon sequestration.
Sec. 106. Funding for research and development.
Sec. 107. Various tax extenders and new credits.
Sec. 108. Extension and modification of renewable energy production tax 
                            credit.
Sec. 109. Extension and modification of residential energy efficient 
                            property credit.
Sec. 110. Extension and modification of credit for energy efficiency 
                            improvements to existing homes.
Sec. 111. Extension and modification of tax credit for energy efficient 
                            new homes.
Sec. 112. Energy Frontier Research Centers.
Sec. 113. Energy Vision Commission.
Sec. 114. Automobile efficiency upgrade credit.
             TITLE II--FUNDING THROUGH DOMESTIC PRODUCTION

Sec. 201. Energy VISION Fund.
                  Subtitle A--Outer Continental Shelf

Sec. 211. Terminating laws prohibiting Federal spending for Outer 
                            Continental Shelf leasing activities.
Sec. 212. Revocation of existing Presidential withdrawals.
Sec. 213. Revocation of existing Presidential authority.
Sec. 214. Availability of certain areas for leasing.
           Subtitle B--Drilling for Energy in the Arctic Now

Sec. 221. Definitions.
Sec. 222. Leasing program for lands within the Coastal Plain.
Sec. 223. Lease sales.
Sec. 224. Grant of leases by the Secretary.
Sec. 225. Lease terms and conditions.
Sec. 226. Coastal Plain environmental protection.
Sec. 227. Expedited judicial review.
Sec. 228. Federal and State distribution of revenues.
Sec. 229. Rights-of-way across the Coastal Plain.
Sec. 230. Conveyance.
Sec. 231. Local government impact aid and community service assistance.
                       Subtitle C--Nuclear Energy

Sec. 241. Short title.
Sec. 242. Hearings under Atomic Energy Act of 1954.
                      Subtitle D--Coal-To-Liquids

Sec. 251. Standby loans for qualifying coal-to-liquids projects.

SEC. 2. FINDINGS.

    The Congress finds that--
            (1) the United States possesses the capability of 
        innovation and sufficient domestic resources to achieve energy 
        independence in 15 years;
            (2) Americans are paying on average nearly $4 per gallon of 
        gasoline, near the highest average price in American history;
            (3) some foreign countries are using control measures to 
        hold prices artificially low for their consumers;
            (4) the countries employing such controls represent more 
        than 40 percent of world demand for oil;
            (5) increased prices have the effect of dampening demand, 
        as has been seen in the United States over the past year;
            (6) consumers in foreign countries with price controls on 
        retail gasoline currently are not able to appreciate the true 
        cost of gasoline;
            (7) the removal of price controls in foreign countries 
        would have the effect of allowing consumers in those countries 
        to realize the worldwide market pressure of their demand;
            (8) decreased demand worldwide would have the effect of 
        decreasing upward price pressures on the finite world supply of 
        oil;
            (9) price controls on retail gasoline in other foreign 
        countries are increasing the burden of energy prices on 
        American families; and
            (10) the Congress should consider the existence of 
        artificially low prices for retail gasoline in foreign 
        countries when formulating legislation regarding the energy 
        policy of the United States.

                         TITLE I--ENERGY VISION

SEC. 101. PRIZE FOR DEVELOPMENT OF AN ALTERNATIVE FUEL FOR AVIATION.

    (a) In General.--The Secretary of Energy shall consult with the 
Secretary of Transportation and the Director of the National Science 
Foundation to facilitate a competition to develop a direct drop-in 
replacement fuel for aviation.
    (b) Announcement; Regulation.--The Secretary shall announce the 
competition in the Federal Register and shall by regulation facilitate 
the competition, including provision for--
            (1) criteria to evaluate applicants, including--
                    (A) the potential for reducing our reliance on 
                foreign sources of energy;
                    (B) reducing emissions;
                    (C) providing enhanced stability to the airline 
                industry; and
                    (D) reducing fuel costs;
            (2) a prize of $177,600,000 for the development of a direct 
        drop-in replacement fuel for commercial aviation;
            (3) as many as five other smaller prizes as the Secretary 
        determines to reward, with a collective value of no more than 
        $100,000,000 for--
                    (A) advancements in technologies, components, and 
                systems;
                    (B) prototypes; or
                    (C) transformational changes in technology;
            (4) a panel of 5 expert judges who have no financial 
        interest in, and are not an employee, officer, director, or 
        agent of, and who have no familial relations with, any 
        contestant;
            (5) contestants to be private individuals that are citizens 
        or resident aliens, or private entities that are incorporated 
        and maintain a primary place of business in the United States;
            (6) the protection of the intellectual property of 
        contestants; and
            (7) the protection of the Federal Government from liability 
        claims.
    (c) Participation.--The Secretary shall widely advertise the 
competition to encourage participation by individuals, academia, and 
industry.
    (d) Reports.--The Secretary shall report annually to Congress on--
            (1) any prizes that have been awarded;
            (2) the identity of prize winners;
            (3) the technology that has won a prize; and
            (4) the actions that are being taken toward commercial 
        application of the technology.
    (e) Definition.--For purposes of this section, the term ``direct 
drop-in replacement fuel'' means a fuel that can be immediately used as 
an alternative to current conventional aviation fuel, without requiring 
adjustments to the engines or distribution infrastructure.

SEC. 102. PRIZE FOR DEVELOPMENT OF VEHICLE FUEL EFFICIENCIES AND 
              ALTERNATIVE FUEL SOURCES WITH APPLICATIONS FOR SURFACE 
              TRANSPORTATION VEHICLES.

    (a) In General.--The Secretary of Energy shall consult with the 
Secretary of Transportation and the Director of the National Science 
Foundation to facilitate a competition to develop a prototype and 
manufacturing plan for a plug-in hybrid vehicle, alternative fuel 
vehicle, electric vehicle, hydrogen fuel cell vehicle, or other 
alternative technology vehicle.
    (b) Announcement; Regulation.--The Secretary shall announce the 
competition in the Federal Register and shall by regulation facilitate 
the competition, including provision for--
            (1) criteria to evaluate applicants, including--
                    (A) the potential for reducing our reliance on 
                foreign sources of energy;
                    (B) reducing emissions;
                    (C) reducing fuel costs;
                    (D) a vehicle that is not more than 10 percent more 
                expensive than a comparable model vehicle of the same 
                model year, with--
                            (i) equal acceleration, horsepower, and top 
                        speed performance; and
                            (ii) not more than 20 percent reduction in 
                        cargo space, as compared to a comparable model 
                        vehicle of the same model year;
                    (E) a vehicle that meets or exceeds Federal safety 
                standards;
                    (F) a vehicle that can travel at least 750 miles 
                between refueling; and
                    (G) possibility of wide commercial application, not 
                hindered by lack of refueling infrastructure;
            (2) a prize of $177,600,000 for the prototype and 
        manufacturing plan;
            (3) as many as five other smaller prizes as the Secretary 
        determines to reward, with a collective value of no more than 
        $100,000,000 for--
                    (A) advancements in technologies, components, and 
                systems;
                    (B) prototypes; or
                    (C) transformational changes in technology;
            (4) a panel of 5 expert judges who have no financial 
        interest in, and are not an employee, officer, director, or 
        agent of, and who have no familial relations with, any 
        contestant;
            (5) contestants to be private individuals that are citizens 
        or resident aliens, or private entities that are incorporated 
        and maintain a primary place of business in the United States;
            (6) the protection of the intellectual property of 
        contestants; and
            (7) the protection of the Federal Government from liability 
        claims.
    (c) Participation.--The Secretary shall widely advertise the 
competition to encourage participation by individuals, academia, and 
industry.
    (d) Reports.--The Secretary shall report annually to Congress on--
            (1) any prizes that have been awarded;
            (2) the identity of prize winners;
            (3) the technology that has won a prize; and
            (4) the actions that are being taken toward commercial 
        application of the technology.

SEC. 103. GRANT FOR ANTI-IDLING POWER UNIT RESEARCH PROGRAM.

    (a) Grant.--The Secretary of Transportation may make a grant to an 
eligible grantee to establish and operate an anti-idling power unit 
research program described in subsection (b).
    (b) Description.--An anti-idling power unit research program for 
which a grant may be made under this section shall be designed--
            (1) to develop an alternative fuel-powered solid oxide fuel 
        cell power system;
            (2) to demonstrate uses of compressed natural gas, 
        liquefied natural gas, liquefied petroleum gas, hydrogen, and 
        ethanol as alternative fuels;
            (3) to optimize the use of fuel cell power systems that are 
        capable of being retrofitted into existing vehicles and 
        incorporated into new vehicle designs;
            (4) to facilitate commercial uses of fuel cell power 
        systems in vehicles, such as long-haul trucks, transit 
        vehicles, and school buses;
            (5) to reduce the Nation's dependence on imported 
        transportation fuels and improve environmental quality;
            (6) to encourage further development of the fuel cell 
        industry;
            (7) to develop technology to use alternative fuels in place 
        of diesel fuel; and
            (8) to reduce greenhouse gas emissions and energy 
        consumption currently attributed to idling of commercial 
        vehicles.
    (c) Eligible Grantee.--In this section, the term ``eligible 
grantee'' means an organization that--
            (1) is described in section 501(c)(3) of the Internal 
        Revenue Code of 1986 and exempt from taxation under section 
        501(a) of such Code;
            (2) has performed energy-related research or energy-related 
        research support activities; and
            (3) owns and maintains a state-of-the-art energy research 
        facility.
    (d) Application.--To be eligible to receive a grant under this 
section, an eligible grantee shall submit an application to the 
Secretary at such time, in such manner, and containing such information 
as the Secretary may require.
    (e) Reports.--At least once a year, the Secretary shall submit a 
report on the projects undertaken and advancements made by the eligible 
grantee to which a grant is made under this section to the Committee on 
Transportation and Infrastructure of the House of Representatives and 
the Committee on Commerce, Science, and Transportation of the Senate.
    (f) Authorization of Appropriations.--
            (1) In general.--There is authorized to be appropriated 
        $5,000,000 for each of the fiscal years 2009 to 2011 to carry 
        out a grant under this section.
            (2) Availability.--Amounts appropriated pursuant to the 
        authorization of appropriations under paragraph (1) are 
        authorized to remain available until expended.

SEC. 104. EXTENSION AND MODIFICATION OF CREDIT FOR CLEAN RENEWABLE 
              ENERGY BONDS.

    (a) Extension.--Section 54(m) of the Internal Revenue Code of 1986 
(relating to termination) is amended by striking ``December 31, 2008'' 
and inserting ``December 31, 2009''.
    (b) Increase in National Limitation.--Section 54(f) of such Code 
(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 Energy View Into Securing 
        Independence for Our Nation Act 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) of such Code 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) of 
such Code 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. 105. REESTABLISHING FUTUREGEN TO DEVELOP A CLEAN COAL POWER PLANT 
              AND ADVANCE CARBON SEQUESTRATION.

    (a) Federal Contribution.--The Secretary shall reestablish a 
Federal contribution to the FutureGen project to develop carbon 
sequestration technology and build a near-zero emissions fossil fuel 
power plant.
    (b) Emissions; Storage.--The Secretary, through the project, shall 
also seek to identify useful applications for the emissions in addition 
to developing a means for storage.
    (c) Definitions.--For purposes of this Act--
            (1) the term ``Federal contribution'' includes technical 
        assistance and financial assistance; and
            (2) the term ``FutureGen project'' means--
                    (A) the initiative first announced by President 
                George W. Bush on February 27, 2003, to build the 
                world's first integrated sequestration and hydrogen 
                production research power plant; and
                    (B) the site of Mattoon, Illinois, which the 
                FutureGen Alliance selected on December 18, 2007, as 
                the final site for the near zero-emissions fossil fuel 
                power plant.
    (d) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary for carrying our this section 
$2,000,000,000.

SEC. 106. FUNDING FOR RESEARCH AND DEVELOPMENT.

    Amounts in the Energy Vision Fund established under section 202 
shall be used, to the extent provided in appropriations acts, to carry 
out--
            (1) oil shale, tar sands, and other strategic 
        unconventional fuels research and development under section 369 
        of the Energy Policy Act of 2005 (42 U.S.C. 15927);
            (2) solar and wind technology research and development 
        under section 812 of the Energy Policy Act of 2005 (42 U.S.C. 
        16161);
            (3) renewable energy research and development under section 
        931 of the Energy Policy Act of 2005 (42 U.S.C. 16231);
            (4) innovative technologies incentives under title XVII of 
        the Energy Policy Act of 2005 (42 U.S.C. 16511 et seq.);
            (5) geothermal energy research and development under 
        subtitle B of title VI of the Energy Independence and Security 
        Act of 2007 (42 U.S.C. 17191 et seq.); and
            (6) energy storage research and development under section 
        641 of the Energy Independence and Security Act of 2007 (42 
        U.S.C. 17231).

SEC. 107. VARIOUS TAX EXTENDERS AND NEW CREDITS.

    (a) Credit for Bi-Fuel Vehicle Property.--
            (1) In general.--Subsection (a) of section 30B of the 
        Internal Revenue Code of 1986 is amended by striking ``and'' at 
        the end of paragraph (3), by striking the period at the end of 
        paragraph (4) and inserting ``, and'', and by inserting after 
        paragraph (4) the following new paragraph:
            ``(5) the bi-fuel vehicle property credit determined under 
        subsection (f).''.
            (2) Bi-fuel vehicle property.--Section 30B of such Code is 
        amended by redesignating subsections (f) through (j) as 
        subsections (g) through (k), respectively, and inserting after 
        subsection (e) the following new subsection:
    ``(f) Bi-Fuel Vehicle Property Credit.--
            ``(1) In general.--For purposes of subsection (a), the bi-
        fuel vehicle property credit determined under this subsection 
        for the taxable year is an amount equal to the applicable 
        percentage of the cost of qualified bi-fuel vehicle property 
        placed in service by a qualified taxpayer during the taxable 
        year, and is available only for one bi-fuel vehicle property 
        per vehicle identification number (as defined in section 33110 
        of title 49, United States Code).
            ``(2) Limitation.--The credit determined under this 
        subsection shall not exceed $10,000.
            ``(3) Applicable percentage.--For purposes of paragraph 
        (1), the applicable percentage with respect to any qualified 
        bi-fuel vehicle property is 50 percent, if such property--
                    ``(A) has received a certificate of conformity 
                under the Clean Air Act and meets or exceeds the most 
                stringent standard available for certification under 
                the Clean Air Act for that property (other than a zero 
                emission standard), or
                    ``(B) has received an order certifying the vehicle 
                as meeting the same requirements as vehicles which may 
                be sold or leased in California and meets or exceeds 
                the most stringent standard available for certification 
                under the State laws of California (enacted in 
                accordance with a waiver granted under section 209(b) 
                of the Clean Air Act) for that property (other than a 
                zero emission standard).
            ``(4) Qualified bi-fuel vehicle property.--For purposes of 
        paragraph (1), the term `bi-fuel vehicle property' means 
        property added to a motor vehicle that uses conventional 
        gasoline or diesel as its fuel to allow the engine of such 
        vehicle to operate on either conventional gasoline fuel or 
        another alternative fuel.
            ``(5) Alternative fuel.--For purposes of paragraph (4), the 
        term `alternative fuel' means compressed natural gas, liquefied 
        natural gas, liquefied petroleum gas, and hydrogen.
            ``(6) Qualified taxpayer.--For purposes of paragraph (1), 
        the term `qualified taxpayer' means a State or political 
        subdivision thereof, possession of the United States, or any 
        agency or instrumentality of any of the foregoing.''.
            (3) Conforming amendments.--Section 30B(h)(6) of such Code 
        is amended--
                    (A) by striking ``vehicle'' each place it appears 
                and inserting ``property'', and
                    (B) by adding at the end of the following new 
                sentence: ``For purposes of this paragraph, the term 
                `property' means a vehicle or bi-fuel vehicle 
                property.''.

SEC. 108. EXTENSION AND MODIFICATION OF RENEWABLE ENERGY PRODUCTION TAX 
              CREDIT.

    (a) Extension of Credit.--Each of the following provisions of 
section 45(d) of the Internal Revenue Code of 1986 (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) Effective Dates.--The amendments made by subsection (a) shall 
apply to property originally placed in service after December 31, 2008.

SEC. 109. EXTENSION AND MODIFICATION OF RESIDENTIAL ENERGY EFFICIENT 
              PROPERTY CREDIT.

    (a) Extension.--Section 25D(g) of the Internal Revenue Code of 1986 
(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) of such Code (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) of such Code 
        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 of such Code 
        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) of such Code is amended by 
                inserting ``and section 25D'' after ``this section''.
                    (B) Section 24(b)(3)(B) of such Code is amended by 
                striking ``and 25B'' and inserting ``, 25B, and 25D''.
                    (C) Section 25B(g)(2) of such Code is amended by 
                striking ``section 23'' and inserting ``sections 23 and 
                25D''.
                    (D) Section 26(a)(1) of such Code 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. 110. EXTENSION AND MODIFICATION OF CREDIT FOR ENERGY EFFICIENCY 
              IMPROVEMENTS TO EXISTING HOMES.

    (a) Extension of Credit.--Section 25C(g) of the Internal Revenue 
Code of 1986 (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) of such Code 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) of such Code (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) of such Code 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) of such 
        Code is amended by striking ``2006'' and inserting ``2008''.
            (3) Water heaters.--Subparagraph (E) of section 25C(d) of 
        such Code 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) of such Code 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. 111. EXTENSION AND MODIFICATION OF TAX CREDIT FOR ENERGY EFFICIENT 
              NEW HOMES.

    (a) Extension of Credit.--Subsection (g) of section 45L of the 
Internal Revenue Code of 1986 (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) of such Code 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. 112. ENERGY FRONTIER RESEARCH CENTERS.

    There are authorized to be appropriated to the Secretary of Energy 
for Energy Frontier Research Centers for activities to accelerate the 
rate of scientific breakthroughs needed to create advanced energy 
technologies for the 21st century $100,000,000 for each of the fiscal 
years 2009 through 2013.

SEC. 113. ENERGY VISION COMMISSION.

    (a) Establishment.--There shall be established the Energy View Into 
Securing Independence for Our Nation (VISION) Commission.
    (b) Functions.--The Commission shall--
            (1) not later than 1 year after the date of enactment of 
        this Act, submit to Congress and the President a report 
        containing--
                    (A) recommendations on steps, in addition to the 
                efforts prescribed in this Act, that must be taken in 
                order for the United States to achieve 50 percent 
                energy independence within 10 years and 100 percent 
                energy independence within 20 years; and
                    (B) an assessment of the impact of foreign energy 
                dependence on United States national security;
            (2) advise and make recommendations to the Secretary of 
        Energy on the design and operation, including selection 
        criteria, of the prize programs carried out under sections 101 
        and 102;
            (3) make recommendations to the Secretary of Energy 
        selecting participants who have achieved a goal for which a 
        prize will be awarded under section 101 or 102; and
            (4) submit recommendations to Congress, as appropriate 
        because of changing circumstances, for actions that would serve 
        the purpose of achieving the goal of United States energy 
        independence through the development of technologies that lead 
        to the widespread adoption of improvements that increase energy 
        supply or energy efficiency.
    (c) Membership.--The Commission shall be composed of 13 members as 
follows:
            (1) The Secretary of Energy.
            (2) The Secretary of Transportation.
            (3) The Director of the National Science Foundation.
            (4) The Administrator of the Environmental Protection 
        Agency.
            (5) The President of the National Academy of Sciences.
            (6) 2 members appointed by the Speaker of the House of 
        Representatives.
            (7) 2 members appointed by the minority leader of the House 
        of Representatives.
            (8) 2 members appointed by the majority leader of the 
        Senate.
            (9) 2 members appointed by the minority leader of the 
        Senate.
    (d) Terms of Membership.--Each member of the Commission appointed 
under subsection (c)(6) through (9) shall be appointed for a term of 2 
years, except that of the members first appointed, one under each of 
those paragraphs shall be appointed for a term of 1 year. A member of 
the Commission may serve after the expiration of the member's term 
until a successor has taken office.
    (e) Vacancies.--A vacancy in the Commission shall not affect its 
powers but, in the case of a member appointed under subsection (c)(6) 
through (9), shall be filled in the same manner as the original 
appointment was made. Any member appointed to fill a vacancy for an 
unexpired term shall be appointed for the remainder of such term.
    (f) Quorum.--Seven members of the Commission shall constitute a 
quorum.
    (g) Meetings.--The Commission shall meet at the call of the 
Chairman or a majority of its members.
    (h) Compensation.--(1) Each member of the Commission shall serve 
without compensation.
    (2) While away from their homes or regular places of business in 
the performance of duties for the Commission, members of the Commission 
shall be allowed travel expenses, including per diem in lieu of 
subsistence, at rates authorized for employees of agencies under 
sections 5702 and 5703 of title 5, United States Code.
    (i) Staff.--Subject to rules prescribed by the Commission, the 
Commission may appoint personnel as it considers appropriate.
    (j) Applicability of Certain Civil Service Laws.--The staff of the 
Commission shall be appointed subject to the provisions of title 5, 
United States Code, governing appointments in the competitive service, 
and shall be paid in accordance with the provisions of chapter 51 and 
subchapter III of chapter 53 of that title relating to classification 
and General Schedule pay rates.
    (k) Experts and Consultants.--The Commission may procure temporary 
and intermittent services under section 3109(b) of title 5, United 
States Code.
    (l) Hearings and Sessions.--The Commission may, for the purpose of 
carrying out this Act, hold hearings, sit and act at times and places, 
take testimony, and receive evidence as the Commission considers 
appropriate.
    (m) Powers of Members and Agents.--Any member or agent of the 
Commission may, if authorized by the Commission, take any action which 
the Commission is authorized to take by this section.
    (n) Obtaining Official Data.--The Commission may secure directly 
from any department or agency of the United States information 
necessary to enable it to carry out this Act. Upon request of the 
Commission, the head of that department or agency shall furnish that 
information to the Commission.
    (o) Subpoena Power.--
            (1) In general.--The Commission may issue subpoenas 
        requiring the attendance and testimony of witnesses and the 
        production of any evidence relating to any matter under 
        investigation by the Commission. The attendance of witnesses 
        and the production of evidence may be required from any place 
        within the United States at any designated place of hearing 
        within the United States.
            (2) Failure to obey a subpoena.--If a person refuses to 
        obey a subpoena issued under paragraph (1), the Commission may 
        apply to a United States district court for an order requiring 
        that person to appear before the Commission to give testimony, 
        produce evidence, or both, relating to the matter under 
        investigation. The application may be made within the judicial 
        district where the hearing is conducted or where that person is 
        found, resides, or transacts business. Any failure to obey the 
        order of the court may be punished by the court as civil 
        contempt.
            (3) Service of subpoenas.--The subpoenas of the Commission 
        shall be served in the manner provided for subpoenas issued by 
        a United States district court under the Federal Rules of Civil 
        Procedure for the United States district courts.
            (4) Service of process.--All process of any court to which 
        application is made under paragraph (2) may be served in the 
        judicial district in which the person required to be served 
        resides or may be found.
    (p) Federal Advisory Committee Act.--Section 14 of the Federal 
Advisory Committee Act (5 U.S.C. App.) shall not apply to the 
Commission.

SEC. 114. AUTOMOBILE EFFICIENCY UPGRADE 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. AUTOMOBILE EFFICIENCY UPGRADE 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. Automobile efficiency upgrade 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--FUNDING THROUGH DOMESTIC PRODUCTION

SEC. 201. ENERGY VISION FUND.

    (a) Establishment of Fund.--There is established in the Treasury a 
separate account which shall be known as the Energy View Into Securing 
Independence for Our Nation Trust Fund and may be referred to as the 
``Energy VISION Fund''.
    (b) Contents.--There shall be deposited into the Fund such amounts 
as are provided under this title and the amendments made by this title.
    (c) Use.--Amounts in the Fund shall be available, to the extent 
provided in appropriation Acts, to carry out this Act, subject to any 
limitation in this Act on appropriations.

                  Subtitle A--Outer Continental Shelf

SEC. 211. TERMINATING LAWS PROHIBITING FEDERAL SPENDING FOR OUTER 
              CONTINENTAL SHELF LEASING ACTIVITIES.

    All provisions of existing Federal law prohibiting the spending of 
appropriated funds to conduct oil and natural gas leasing and 
preleasing activities for any area of the Outer Continental Shelf shall 
have no force or effect.

SEC. 212. REVOCATION OF EXISTING PRESIDENTIAL WITHDRAWALS.

    All withdrawals of Federal submerged lands of the Outer Continental 
Shelf from leasing, including withdrawals by the President under the 
authority of section 12(a) of the Outer Continental Shelf Lands Act (43 
U.S.C. 1341(a)), are hereby revoked and are no longer in effect with 
respect to the leasing of areas for exploration for, and development 
and production of, oil, and natural gas.

SEC. 213. REVOCATION OF EXISTING PRESIDENTIAL AUTHORITY.

    All authorities given to the President with respect to the leasing 
of Federal submerged lands of the Outer Continental Shelf, given under 
section 12(a) of the Outer Continental Shelf Lands Act (43 U.S.C. 
1341(a)), are hereby revoked, except in the interest of national 
security.

SEC. 214. AVAILABILITY OF CERTAIN AREAS FOR LEASING.

    Section 8 of the Outer Continental Shelf Lands Act (43 U.S.C. 1337) 
is amended by adding at the end the following:
    ``(q) Availability of Certain Areas for Leasing.--
            ``(1) Definitions.--In this subsection:
                    ``(A) Governor.--The term `Governor' means the 
                Governor of a State.
                    ``(B) Qualified revenues.--The term `qualified 
                revenues' means all rentals, royalties, bonus bids, and 
                other sums due and payable to the United States under 
                leases entered into on or after the date of enactment 
                of this subsection for natural gas exploration and 
                extraction activities authorized by the Secretary 
                pursuant to petitions under paragraph (2).
            ``(2) Petition.--
                    ``(A) In general.--The Governor of a State may 
                submit to the Secretary a petition requesting that the 
                Secretary issue leases authorizing the conduct of oil 
                and natural gas exploration and extraction activities 
                in any area off the coast of that State that is at 
                least 50 miles beyond the coast of the State.
                    ``(B) Contents.--In any petition under subparagraph 
                (A), the Governor shall include a detailed plan of the 
                proposed exploration and extraction activities, as 
                applicable.
            ``(3) Action by secretary.--
                    ``(A) In general.--Subject to subparagraph (D), as 
                soon as practicable after the date of receipt of a 
                petition under paragraph (2)(A), the Secretary shall 
                approve or deny the petition.
                    ``(B) Requirements for exploration and 
                extraction.--The Secretary shall not approve a petition 
                submitted under paragraph (2)(A) by the Governor of a 
                State unless the State enacts legislation supporting 
                exploration and extraction of oil and natural gas in 
                the area, off the coast of the State, for which the 
                petition is submitted.
                    ``(C) Consistency with legislation.--The plan 
                provided in the petition under paragraph (2)(B) shall 
                be consistent with the legislation described in 
                subparagraph (B) as applicable.
                    ``(D) Conflicts with military operations and 
                national security.--The Secretary shall not approve a 
                petition for a drilling activity under this paragraph 
                if the drilling activity would conflict with any 
                military operation or national security, as determined 
                by the President.
            ``(4) Disposition of revenues.--Notwithstanding section 9, 
        for each applicable fiscal year, the Secretary of the Treasury 
        shall--
                    ``(A) deposit 50 percent of qualified revenues in 
                the Energy VISION Fund established by section 201 of 
                the Energy View Into Securing Independence for Our 
                Nation Act;
                    ``(B) pay to a State 45 percent of the qualified 
                revenues for leases issued pursuant to a petition 
                submitted under paragraph (2) by the Governor of the 
                State; and
                    ``(C) deposit 5 percent into a separate account in 
                the Treasury that shall be available to the Secretary 
                of the Interior and the Administrator of the 
                Environmental Protection Agency to mitigate for any 
                environmental damage that occurs as a result of 
                extraction activities authorized under this subsection, 
                regardless of whether the damage is--
                            ``(i) reasonable foreseeable; or
                            ``(ii) caused by negligence, natural 
                        disasters, or other acts.
            ``(5) Existing leases.--Any funds that would be received by 
        the United States as royalties under any Federal oil and gas 
        lease of an area on the Outer Continental Shelf within 50 miles 
        of the coastal zone of the State of Texas, Louisiana, 
        Mississippi, or Alabama that is in effect on the date of 
        enactment of the Energy View Into Securing Independence for Our 
        Nation Act shall be paid to that State if the State enacts a 
        statute that establishes a plan for expenditure of those 
        funds.''.

           Subtitle B--Drilling for Energy in the Arctic Now

SEC. 221. 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. 222. 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 Act 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 Act. 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 Act.
            (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. 223. 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 under this subtitle 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 under this 
        subtitle.
    (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 Act; 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. 224. 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 223 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. 225. LEASE TERMS AND CONDITIONS.

    An oil or gas lease issued pursuant to this subtitle shall--
            (1) provide for the payment to the United States 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) 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;
            (3) 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;
            (4) 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;
            (5) include requirements and restrictions to provide for 
        reasonable protection of fish and wildlife, their habitat, 
        subsistence resources, and the environment as determined by the 
        Secretary;
            (6) prohibit the export of oil produced under the lease; 
        and
            (7) 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.

SEC. 226. 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 222, 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) 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.
            (4) Prohibitions on general public access and use on all 
        pipeline access and service roads.
            (5) 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.
            (6) Appropriate prohibitions or restrictions on access by 
        all modes of transportation.
            (7) Appropriate prohibitions or restrictions on sand and 
        gravel extraction.
            (8) Consolidation of facility siting.
            (9) Appropriate prohibitions or restrictions on use of 
        explosives.
            (10) 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.
            (11) Avoidance or minimization of air traffic-related 
        disturbance to fish and wildlife.
            (12) 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.
            (13) Fuel storage and oil spill contingency planning.
            (14) Research, monitoring, and reporting requirements.
            (15) Field crew environmental briefings.
            (16) Avoidance of significant adverse effects upon 
        subsistence hunting, fishing, and trapping by subsistence 
        users.
            (17) Compliance with applicable air and water quality 
        standards.
            (18) Appropriate seasonal and safety zone designations 
        around well sites, within which subsistence hunting and 
        trapping shall be limited.
            (19) Reasonable stipulations for protection of cultural and 
        archeological resources.
            (20) 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. 227. EXPEDITED JUDICIAL REVIEW.

    (a) Filing of Complaint.--
            (1) Deadline.--Subject to paragraph (2), any complaint 
        seeking judicial review of any provision of this Act 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. 228. 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) 45 percent shall be paid to the State of Alaska;
            (2) 50 percent shall be deposited into the Energy VISION 
        Fund established by section 201;
            (3) 5 percent shall be deposited into a separate account in 
        the Treasury which shall be available to the Secretary of the 
        Interior and the Administrator of the Environmental Protection 
        Agency to mitigate for any environmental damage that occurs as 
        a result of extraction activities authorized under this 
        subtitle, regardless of whether the damage is--
                    (A) reasonable foreseeable; or
                    (B) caused by negligence, natural disasters, or 
                other acts.
    (b) Payments to Alaska.--Payments to the State of Alaska under this 
section shall be made semiannually.

SEC. 229. 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 2(g) provisions granting rights-of-way and easements described 
in subsection (a) of this section.

SEC. 230. 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 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. 231. 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 Act, 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 Natural 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.

                       Subtitle C--Nuclear Energy

SEC. 241. SHORT TITLE.

    This subtitle may be cited as the ``Declaring a Change in our 
Operating System for the Promotion of Nuclear Energy Act''.

SEC. 242. HEARINGS UNDER ATOMIC ENERGY ACT OF 1954.

    (a) Section 189 a.(1)(A) of the Atomic Energy Act of 1954 (42 
U.S.C. 2239(a)(1)(A)) is amended by--
            (1) in the second sentence--
                    (A) deleting that portion of the sentence that 
                begins with ``The Commission'' and ends with ``Federal 
                Register, on'' and inserting ``On'';
                    (B) inserting ``or an operating license'' after 
                ``construction permit'' each time ``construction 
                permit'' is used in the sentence; and
                    (C) deleting the period at the end of the sentence; 
                and
            (2) in the third sentence--
                    (A) deleting that portion of the sentence that 
                beings with ``In cases'' and ends with ``such a 
                hearing'';
                    (B) deleting ``therefor'' and inserting ``for a 
                hearing''; and
                    (C) deleting ``issue an operating license'' and 
                inserting ``issue a construction permit, an operating 
                license,''.
    (b) Section 189 of the Atomic Energy Act of 1954 (42 U.S.C. 2239) 
is further amended by--
            (1) in the second sentence of subsection a.(2)(A) (42 
        U.S.C. 2239(a)(2)(A)), deleting ``required hearing'' and 
        inserting ``hearing held by the Commission under this 
        section''; and
            (2) in subsection b. (42 U.S.C. 2239(b)), revising 
        paragraph (2) by deleting ``to begin operating'' and inserting 
        ``to operate''.
    (c) The first sentence of subsection b. of section 185 of the 
Atomic Energy Act of 1954 (42 U.S.C. 2235(b)) is amended by deleting 
``After holding a public hearing under section 189 a.(1)(A),'' and 
inserting ``After holding a hearing under section 189 a.(1)(A), or if 
the Commission has determined that no hearing is required to be held 
under section 189 a.(1)(A),''.
    (d) Section 193(b) of the Atomic Energy Act of 1954 (42 U.S.C. 
2243(b)) is amended by--
            (1) in paragraph (1), deleting ``on the record with regard 
        to the licensing of the construction and operation of a uranium 
        enrichment facility under sections 53 and 63'' and inserting 
        ``, if a person whose interest may be affected by the 
        construction and operation of a uranium enrichment facility 
        under sections 53 and 63 has requested a hearing regarding the 
        licensing of the construction and operation of the facility''; 
        and
            (2) in paragraph (2), deleting ``Such hearing'' and 
        inserting, ``If a hearing is held under paragraph (1), the 
        hearing''.
    (e) The amendments in this section shall apply to all applications 
and proceedings pending before the Commission on or after the date of 
enactment of this section.

                      Subtitle D--Coal-To-Liquids

SEC. 251. STANDBY LOANS FOR QUALIFYING COAL-TO-LIQUIDS PROJECTS.

    Section 1702 of the Energy Policy Act of 2005 (42 U.S.C. 16512) is 
amended by adding at the end the following new subsection:
    ``(k) Standby Loans for Qualifying CTL Projects.--
            ``(1) Definitions.--For purposes of this subsection:
                    ``(A) Cap price.--The term `cap price' means a 
                market price specified in the standby loan agreement 
                above which the project is required to make payments to 
                the United States.
                    ``(B) Full term.--The term `full term' means the 
                full term of a standby loan agreement, as specified in 
                the agreement, which shall not exceed the lesser of 30 
                years or 90 percent of the projected useful life of the 
                project (as determined by the Secretary).
                    ``(C) Market price.--The term `market price' means 
                the average quarterly price of a petroleum price index 
                specified in the standby loan agreement.
                    ``(D) Minimum price.--The term `minimum price' 
                means a market price specified in the standby loan 
                agreement below which the United States is obligated to 
                make disbursements to the project.
                    ``(E) Output.--The term `output' means some or all 
                of the liquid or gaseous transportation fuels produced 
                from the project, as specified in the loan agreement.
                    ``(F) Primary term.--The term `primary term' means 
                the initial term of a standby loan agreement, as 
                specified in the agreement, which shall not exceed the 
                lesser of 20 years or 75 percent of the projected 
                useful life of the project (as determined by the 
                Secretary).
                    ``(G) Qualifying ctl project.--The term `qualifying 
                CTL project' means--
                            ``(i) a commercial-scale project that 
                        converts coal to one or more liquid or gaseous 
                        transportation fuels; or
                            ``(ii) not more than one project at a 
                        facility that converts petroleum refinery waste 
                        products, including petroleum coke, into one or 
                        more liquids or gaseous transportation fuels,
                that demonstrates the capture, and sequestration or 
                disposal or use of, the carbon dioxide produced in the 
                conversion process, and that, on the basis of a carbon 
                dioxide sequestration plan prepared by the applicant, 
                is certified by the Administrator of the Environmental 
                Protection Agency, in consultation with the Secretary, 
                as producing fuel with life cycle carbon dioxide 
                emissions at or below the average life cycle carbon 
                dioxide emissions for the same type of fuel produced at 
                traditional petroleum based facilities with similar 
                annual capacities.
                    ``(H) Standby loan agreement.--The term `standby 
                loan agreement' means a loan agreement entered into 
                under paragraph (2).
            ``(2) Standby loans.--
                    ``(A) Loan authority.--The Secretary may enter into 
                standby loan agreements with not more than six 
                qualifying CTL projects, at least one of which shall be 
                a project jointly or in part owned by two or more small 
                coal producers. Such an agreement--
                            ``(i) shall provide that the Secretary will 
                        make a direct loan (within the meaning of 
                        section 502(1) of the Federal Credit Reform Act 
                        of 1990) to the qualifying CTL project; and
                            ``(ii) shall set a cap price and a minimum 
                        price for the primary term of the agreement.
                    ``(B) Loan disbursements.--Such a loan shall be 
                disbursed during the primary term of such agreement 
                whenever the market price falls below the minimum 
                price. The amount of such disbursements in any calendar 
                quarter shall be equal to the excess of the minimum 
                price over the market price, times the output of the 
                project (but not more than a total level of 
                disbursements specified in the agreement).
                    ``(C) Loan repayments.--The Secretary shall 
                establish terms and conditions, including interest 
                rates and amortization schedules, for the repayment of 
                such loan within the full term of the agreement, 
                subject to the following limitations:
                            ``(i) If in any calendar quarter during the 
                        primary term of the agreement the market price 
                        is less than the cap price, the project may 
                        elect to defer some or all of its repayment 
                        obligations due in that quarter. Any unpaid 
                        obligations will continue to accrue interest.
                            ``(ii) If in any calendar quarter during 
                        the primary term of the agreement the market 
                        price is greater than the cap price, the 
                        project shall meet its scheduled repayment 
                        obligation plus deferred repayment obligations, 
                        but shall not be required to pay in that 
                        quarter an amount that is more than the excess 
                        of the market price over the cap price, times 
                        the output of the project.
                            ``(iii) At the end of the primary term of 
                        the agreement, the cumulative amount of any 
                        deferred repayment obligations, together with 
                        accrued interest, shall be amortized (with 
                        interest) over the remainder of the full term 
                        of the agreement.
            ``(3) Profit-sharing.--The Secretary is authorized to enter 
        into a profit-sharing agreement with the project at the time 
        the standby loan agreement is executed. Under such an 
        agreement, if the market price exceeds the cap price in a 
        calendar quarter, a profit-sharing payment shall be made for 
        that quarter, in an amount equal to--
                    ``(A) the excess of the market price over the cap 
                price, times the output of the project; less
                    ``(B) any loan repayments made for the calendar 
                quarter.
            ``(4) Compliance with federal credit reform act.--
                    ``(A) Upfront payment of cost of loan.--No standby 
                loan agreement may be entered into under this 
                subsection unless the project makes a payment to the 
                United States that the Office of Management and Budget 
                determines is equal to the cost of such loan 
                (determined under 502(5)(B) of the Federal Credit 
                Reform Act of 1990). Such payment shall be made at the 
                time the standby loan agreement is executed.
                    ``(B) Minimization of risk to the government.--In 
                making the determination of the cost of the loan for 
                purposes of setting the payment for a standby loan 
                under subparagraph (A), the Secretary and the Office of 
                Management and Budget shall take into consideration the 
                extent to which the minimum price and the cap price 
                reflect historical patterns of volatility in actual oil 
                prices relative to projections of future oil prices, 
                based upon publicly available data from the Energy 
                Information Administration, and employing statistical 
                methods and analyses that are appropriate for the 
                analysis of volatility in energy prices.
                    ``(C) Treatment of payments.--The value to the 
                United States of a payment under subparagraph (A) and 
                any profit-sharing payments under paragraph (3) shall 
                be taken into account for purposes of section 
                502(5)(B)(iii) of the Federal Credit Reform Act of 1990 
                in determining the cost to the Federal Government of a 
                standby loan made under this subsection. If a standby 
                loan has no cost to the Federal Government, the 
                requirements of section 504(b) of such Act shall be 
                deemed to be satisfied.
            ``(5) Other provisions.--
                    ``(A) No double benefit.--A project receiving a 
                loan under this subsection may not, during the primary 
                term of the loan agreement, receive a Federal loan 
                guarantee under subsection (a) of this section, or 
                under other laws.
                    ``(B) Subrogation, etc.--Subsections (g)(2) 
                (relating to subrogation), (h) (relating to fees), and 
                (j) (relating to full faith and credit) shall apply to 
                standby loans under this subsection to the same extent 
                they apply to loan guarantees.''.
                                 <all>