1.
(a)This Act may be cited
as the Building Our Clean Energy
Future Now Act of 2011
.
(b)The table of
contents for this Act is as follows:
Sec. 1. Short title.
Title I—Public Transportation
Sec. 101. Short title.
Sec. 102. Findings.
Sec. 103. Grants to improve public transportation
services.
Sec. 104. Increased Federal share for Clean Air Act
compliance.
Sec. 105. Transportation fringe benefits.
Sec. 106. Capital cost of contracting vanpool pilot
program.
Title II—Denial of certain tax benefits to major integrated oil
companies and investment in clean energy and transportation
Sec. 201. Limitation on deduction for intangible drilling and
development costs of major integrated oil companies in the case of oil and gas
wells.
Sec. 202. Deduction for income attributable to domestic
production activities not allowed with respect to oil and gas activities of
major integrated oil companies.
Sec. 203. Major integrated oil companies ineligible for
last-in, first-out method of inventory.
Sec. 204. Credit for heavy natural gas and hybrid
vehicles.
Sec. 205. Alternative fuel vehicle refueling
property.
Sec. 206. Clean Energy Fund and deficit reduction.
Title III—Advanced and electric vehicles
Sec. 301. Plug-in hybrid electric vehicle and electric vehicle
infrastructure.
Sec. 302. Large-scale vehicle electrification
program.
Sec. 303. Advanced vehicle technology.
<enum>I</enum><header>Public
Transportation</header>
<section id="HDEB34D1143734BFF8C498ACF2823B193" section-type="subsequent-section"><enum>101.</enum><header>Short
title</header><text display-inline="no-display-inline">This title may be cited
as the <quote><short-title>Providing Gas Price Relief
Through Public Transportation Act of 2011</short-title></quote>.</text>
</section><section id="H55A4A1E4A3C641B2A19499D6DFF4B3D2"><enum>102.</enum><header>Findings</header><text display-inline="no-display-inline">Congress finds the following:</text>
<paragraph id="H127D496B32354D1B9FB5C65C24F3CEAA"><enum>(1)</enum><text>In 2008, during a
year of record-high gas prices, people in the United States took more than
10,500,000,000 trips using public transportation, the highest level in 50
years.</text>
</paragraph><paragraph id="H89FAF50F655647F790B468C7EDCC20F3"><enum>(2)</enum><text>Public
transportation use in the United States is up 31 percent since 1995, a figure
that is more than double the growth rate of the Nation’s population and is
substantially greater than the growth rate for vehicle miles traveled on the
Nation’s highways for that same period.</text>
</paragraph><paragraph id="HA506864426744EC38AFF2ABD91B23315"><enum>(3)</enum><text>High gas prices in
2011 are expected to drive the demand for transit services even higher, with
some estimates showing that $5-per-gallon gas could result in a nearly 15
percent jump in transit ridership.</text>
</paragraph><paragraph id="H106F9F5D4A77474F8D8D849D24C7056B"><enum>(4)</enum><text>Based on the price
of gas in March 2011, riding public transportation saves households an average
of $825 per month, or nearly $10,000 per year.</text>
</paragraph><paragraph id="HE243024DE3C948F79EF63EA212F4BCF1"><enum>(5)</enum><text>Despite increasing
demand for transit services, widespread cuts in State and local funding have
caused 59 percent of public transit systems in the United States to raise fares
or cut service since January 2009.</text>
</paragraph><paragraph id="H19A7B30F66DC4C649B734351E1F30032"><enum>(6)</enum><text>Although under
existing laws Federal employees in the National Capital Region receive transit
benefits, transit benefits should be available to all Federal employees in the
United States so that the Federal Government sets a leading example of greater
public transportation use.</text>
</paragraph><paragraph id="H2485455BAD3B4453B6D110D008BAAFBF"><enum>(7)</enum><text>Public
transportation stakeholders should engage and involve local communities in the
education and promotion of the importance of utilizing public
transportation.</text>
</paragraph><paragraph id="H3D2FFAA8D4464F0B8FF771C4B460C751"><enum>(8)</enum><text>Increasing public
transportation use is a national priority.</text>
</paragraph></section><section id="HA95C43DBCCA74FBDA774842F81B0ADDB"><enum>103.</enum><header>Grants to
improve public transportation services</header>
<subsection id="H74E7A35C94884A31B7C0F788D4B542F3"><enum>(a)</enum><header>Authorizations
of appropriations</header>
<paragraph id="HF470E7F7692846ECA1C4EB5A6E54EF65"><enum>(1)</enum><header>Urbanized area
formula grants</header><text>In addition to amounts allocated under section
5338(b)(2)(B) of title 49, United States Code, to carry out section 5307 of
such title, there is authorized to be appropriated $750,000,000 for each of
fiscal years 2011 and 2012 to carry out such section. Such funds shall be
apportioned not later than 7 days after the date on which the funds are
appropriated, in accordance with section 5336 (other than subsections (i)(1)
and (j)) of such section but may not be combined or commingled with any other
funds apportioned under such section 5336.</text>
</paragraph><paragraph id="H6B4BC0E2885141CEA4B929FBFB0987D9"><enum>(2)</enum><header>Formula grants
for other than urbanized areas</header><text>In addition to amounts allocated
under section 5338(b)(2)(G) of title 49, United States Code, to carry out
section 5311 of such title, there is authorized to be appropriated $100,000,000
for each of fiscal years 2011 and 2012 to carry out such section 5311. Such
funds shall be apportioned not later than 7 days after the date on which the
funds are appropriated, in accordance with such section 5311 but may not be
combined or commingled with any other funds apportioned under such section
5311.</text>
</paragraph></subsection><subsection id="HD285690B0AC04E9B9E46D2EE50E13440"><enum>(b)</enum><header>Use of
funds</header><text>Notwithstanding sections 5307 and 5311 of title 49, United
States Code, the Secretary of Transportation may make grants under such
sections from amounts appropriated under subsection (a) only for one or more of
the following:</text>
<paragraph id="H92115068913F4AF9BC785400BAA50145"><enum>(1)</enum><text>If the recipient
of the grant is reducing, or certifies to the Secretary within the time the
Secretary prescribes that, during the term of the grant, the recipient will
reduce one or more fares the recipient charges for public transportation, or in
the case of subsection (f) of such section 5311, intercity bus service, those
operating costs of equipment and facilities being used to provide the public
transportation, or in the case of subsection (f) of such section 5311,
intercity bus service, that the recipient is no longer able to pay from the
revenues derived from such fare or fares as a result of such reduction.</text>
</paragraph><paragraph commented="no" id="H496E47246FBF4B43BDCC6AB624FA5B15"><enum>(2)</enum><text>To avoid increases
in fares for public transportation, or in the case of subsection (f) of such
section 5311, intercity bus service, or decreases in current public
transportation service, or in the case of subsection (f) of such section 5311,
intercity bus service, that would otherwise result from an increase in costs to
the public transportation or intercity bus agency for transportation-related
fuel or meeting additional transportation-related equipment or facility
maintenance needs, if the recipient of the grant certifies to the Secretary
within the time the Secretary prescribes that, during the term of the grant,
the recipient will not increase the fares that the recipient charges for public
transportation, or in the case of subsection (f) of such section 5311,
intercity bus service, or, will not decrease the public transportation service,
or in the case of subsection (f) of such section 5311, intercity bus service,
that the recipient provides.</text>
</paragraph><paragraph id="H447D61AE02AE411882024A5CD4FDDBFB"><enum>(3)</enum><text>If the recipient
of the grant is expanding, or certifies to the Secretary within the time the
Secretary prescribes that, during the term of the grant, the recipient will
expand public transportation service, or in the case of subsection (f) of such
section 5311, intercity bus service, those operating and capital costs of
equipment and facilities being used to provide the public transportation
service, or in the case of subsection (f) of such section 5311, intercity bus
service, that the recipient incurs as a result of the expansion of such
service.</text>
</paragraph><paragraph id="H6AFF2BC257F6412E81618C39B3B1DAEB"><enum>(4)</enum><text>If the recipient
of the grant is acquiring, or certifies to the Secretary within the time the
Secretary prescribes that, during the term of the grant, the recipient will
acquire, clean fuel or alternative fuel vehicle-related equipment or facilities
for the purpose of improving fuel efficiency, the costs of acquiring the
equipment or facilities.</text>
</paragraph><paragraph id="HB053EDF1F3724893B9A43BD7C4C41537"><enum>(5)</enum><text>If the recipient
of the grant is establishing or expanding, or certifies to the Secretary within
the time the Secretary prescribes that, during the term of the grant, the
recipient will establish or expand commuter matching services to provide
commuters with information and assistance about alternatives to single
occupancy vehicle use, those administrative costs in establishing or expanding
such services.</text>
</paragraph></subsection><subsection id="HE3891B4C8A484BCD880BBF1C8355D66C"><enum>(c)</enum><header>Federal
share</header><text>Notwithstanding any other provision of law, the Federal
share of the costs for which a grant is made under this section shall be 100
percent.</text>
</subsection><subsection id="HD37DB40E78204E5D9CBADFC5FE5FBD58"><enum>(d)</enum><header>Period of
availability</header><text>Funds appropriated under this section shall remain
available for a period of 2 fiscal years.</text>
</subsection></section><section id="H88E7FF356D074B3B8DA01FAA13C177F2"><enum>104.</enum><header>Increased
Federal share for Clean Air Act compliance</header><text display-inline="no-display-inline">Notwithstanding section 5323(i)(1) of title
49, United States Code, a grant for a project to be assisted under chapter 53
of such title during fiscal years 2011 and 2012 that involves acquiring clean
fuel or alternative fuel vehicle-related equipment or facilities for the
purposes of complying with or maintaining compliance with the Clean Air Act (42
U.S.C. 7401 et seq.) shall be for 100 percent of the net project cost of the
equipment or facility attributable to compliance with that Act unless the grant
recipient requests a lower grant percentage.</text>
</section><section id="H68ECC9DB7D7E496C967C811EE092D3B2"><enum>105.</enum><header>Transportation
fringe benefits</header>
<subsection id="H1037D407C1D04CE9BEB68AD09B9D1E6B"><enum>(a)</enum><header>Requirement that
agencies offer transit pass transportation fringe benefits to their employees
nationwide</header>
<paragraph id="H386C461D9E2848D6BD4522DC53D54E4F"><enum>(1)</enum><header>In
general</header><text>Section 3049(a)(1) of the Safe, Accountable, Flexible,
Efficient Transportation Equity Act: A Legacy for Users (5 U.S.C. 7905 note;
119 Stat. 1711) is amended—</text>
<subparagraph id="H9AE244A5578A4922AFEB2AD8D22C833E"><enum>(A)</enum><text>by striking
<quote>Effective</quote> and all that follows through <quote>each covered
agency</quote> and inserting <quote>Each agency</quote>; and</text>
</subparagraph><subparagraph id="H231F9050C1CD42C6B4A4B0AE7BF49F41"><enum>(B)</enum><text>by inserting
<quote>at a location in an urbanized area of the United States that is served
by fixed route public transportation</quote> before <quote>shall be
offered</quote>.</text>
</subparagraph></paragraph><paragraph id="H2C4EDF3972C7408F86A50687A099C9DA"><enum>(2)</enum><header>Conforming
amendments</header><text>Section 3049(a) of such Act (5 U.S.C. 7905 note; 119
Stat. 1711) is amended—</text>
<subparagraph id="H5249AEC160A24F2795305629A42D5D91"><enum>(A)</enum><text>in paragraph
(3)—</text>
<clause id="H9C562259B8394378967DA9E5BA890A40"><enum>(i)</enum><text>by
striking subparagraph (A); and</text>
</clause><clause id="HB727663875D844168DF31E8F5A10EFC0"><enum>(ii)</enum><text>by
redesignating subparagraphs (B) through (F) as subparagraphs (A) through (E),
respectively; and</text>
</clause></subparagraph><subparagraph id="H89C105DFA90644D8A953CA514AA863B7"><enum>(B)</enum><text>in paragraph (4)
by striking <quote>a covered agency</quote> and inserting <quote>an
agency</quote>.</text>
</subparagraph></paragraph></subsection><subsection id="HE8DE15A68C36480AAF7D936C974D78A9"><enum>(b)</enum><header>Benefits
described</header><text>Section 3049(a)(2) of such Act (5 U.S.C. 7905 note; 119
Stat. 1711) is amended by striking the period at the end and inserting the
following: <quote>, except that the maximum level of such benefits shall be the
maximum amount which may be excluded from gross income for qualified parking as
in effect for a month under section 132(f)(2)(B) of the Internal Revenue Code
of 1986.</quote>.</text>
</subsection><subsection id="HEB784ADF621349628ED55D8A40646000"><enum>(c)</enum><header>Guidance</header><text>Section
3049(a) of such Act (5 U.S.C. 7905 note; 119 Stat. 1711) is amended by adding
at the end the following:</text>
<quoted-block id="HFB6B5285152A48A9892980A09948400C" style="OLC">
<paragraph id="H6ED999C8CA6349FFB0DD711AD2B7336C"><enum>(5)</enum><header>Guidance</header>
<subparagraph id="H9699631ED28445868F3F021A7A314132"><enum>(A)</enum><header>Issuance</header><text>Not
later than 60 days after the date of enactment of this paragraph, the Secretary
of Transportation shall issue guidance on nationwide implementation of the
transit pass transportation fringe benefits program under this
subsection.</text>
</subparagraph><subparagraph id="H5824902F523A43FD859BBF74E850CF23"><enum>(B)</enum><header>Uniform
application</header>
<clause id="HCF0460E1DF5A480DA4C2FBEB7A8FA6C0"><enum>(i)</enum><header>In
general</header><text>The guidance to be issued under subparagraph (A) shall
contain a uniform application for use by all Federal employees applying for
benefits from an agency under the program.</text>
</clause><clause id="HB3CE28B02F90412D8B0A9A2324328A6C"><enum>(ii)</enum><header>Required
information</header><text>As part of such an application, an employee shall
provide, at a minimum, the employee’s home and work addresses, a breakdown of
the employee’s commuting costs, and a certification of the employee’s
eligibility for benefits under the program.</text>
</clause><clause id="H90C9CF4A91E64B139AAF410CF73E77B6"><enum>(iii)</enum><header>Warning
against false statements</header><text>Such an application shall contain a
warning against making false statements in the application.</text>
</clause></subparagraph><subparagraph id="HC49163B1663C43AC83B7C306DBDE8F69"><enum>(C)</enum><header>Independent
verification requirements</header><text>The guidance to be issued under
subparagraph (A) shall contain independent verification requirements to ensure
that, with respect to an employee of an agency—</text>
<clause id="HB3DE51FE2AAD414D89ECD746C114801D"><enum>(i)</enum><text>the eligibility of
the employee for benefits under the program is verified by an official of the
agency;</text>
</clause><clause id="H175FDD4408F6415EB81673745F1CAD05"><enum>(ii)</enum><text>employee
commuting costs are verified by an official of the agency; and</text>
</clause><clause id="HA95348A8B5474321B4704BCBDEBDF34E"><enum>(iii)</enum><text>records of the
agency are checked to ensure that the employee is not receiving parking
benefits from the agency.</text>
</clause></subparagraph><subparagraph id="H40E777608F764A36A77743ED6FA3CCFC"><enum>(D)</enum><header>Program
implementation requirements</header><text>The guidance to be issued under
subparagraph (A) shall contain program implementation requirements applicable
to each agency to ensure that—</text>
<clause id="HE07E83EE640A4B0487D2C9A7B1573351"><enum>(i)</enum><text>benefits provided
by the agency under the program are adjusted in cases of employee travel,
leave, or change of address;</text>
</clause><clause id="HCB0203E6D5FF4D899ECBFBAEBDF03456"><enum>(ii)</enum><text>removal from the
program is included in the procedures of the agency relating to an employee
separating from employment with the agency; and</text>
</clause><clause id="HCDB5C9768C7C4DB3BB24F6E0848080C8"><enum>(iii)</enum><text>benefits
provided by the agency under the program are made available using an electronic
format (rather than using paper fare media) where such a format is available
for use.</text>
</clause></subparagraph><subparagraph id="HC26C6F50402546BE855E43B01F33BC16"><enum>(E)</enum><header>Enforcement and
penalties</header><text>The guidance to be issued under subparagraph (A) shall
contain a uniform administrative policy on enforcement and penalties. Such
policy shall be implemented by each agency to ensure compliance with program
requirements, to prevent fraud and abuse, and, as appropriate, to penalize
employees who have abused or misused the benefits provided under the
program.</text>
</subparagraph><subparagraph id="HE717A858EE484D70A1CFCE8CBDE93A8E"><enum>(F)</enum><header>Periodic
reviews</header><text>The guidance to be issued under subparagraph (A) shall
require each agency, not later than September 1 of the first fiscal year
beginning after the date of enactment of this paragraph, and every 3 years
thereafter, to develop and submit to the Secretary a review of the agency’s
implementation of the program. Each such review shall contain, at a minimum,
the following:</text>
<clause id="H76AD8BA09494414288B3100F2F43BE7A"><enum>(i)</enum><text>An
assessment of the agency’s implementation of the guidance, including a summary
of the audits and investigations, if any, of the program conducted by the
Inspector General of the agency.</text>
</clause><clause id="HAF52FC09CEB64A869AA510EAEAAC955E"><enum>(ii)</enum><text>Information on
the total number of employees of the agency that are participating in the
program.</text>
</clause><clause id="HB7FF8F383D6B4AB08FCDF9D4F2A5B9F5"><enum>(iii)</enum><text>Information on
the total number of single occupancy vehicles removed from the roadway network
as a result of participation by employees of the agency in the program.</text>
</clause><clause id="H576FB799E8D74AC181074AA820480410"><enum>(iv)</enum><text>Information on
energy savings and emissions reductions, including reductions in greenhouse gas
emissions, resulting from reductions in single occupancy vehicle use by
employees of the agency that are participating in the program.</text>
</clause><clause id="H56A4905BD345418AA54998F28453F8D4"><enum>(v)</enum><text>Information on
reduced congestion and improved air quality resulting from reductions in single
occupancy vehicle use by employees of the agency that are participating in the
program.</text>
</clause><clause id="H39EB9E50605345CF976D5C85307CCF07"><enum>(vi)</enum><text>Recommendations
to increase program participation and thereby reduce single occupancy vehicle
use by Federal employees nationwide.</text>
</clause></subparagraph></paragraph><paragraph id="H447843000A394AFDB7394823D7B925EC"><enum>(6)</enum><header>Reporting
requirements</header><text>Not later than September 30 of the first fiscal year
beginning after the date of enactment of this paragraph, and every 3 years
thereafter, the Secretary shall submit to the Committee on Transportation and
Infrastructure and the Committee on Oversight and Government Reform of the
House of Representatives and the Committee on Banking, Housing, and Urban
Affairs of the Senate a report on nationwide implementation of the transit pass
transportation fringe benefits program under this subsection, including a
summary of the information submitted by agencies pursuant to paragraph
(5)(F).</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H9FE9B8A2BD814F8E93CE42165920376C"><enum>(d)</enum><header>Effective
date</header><text>Except as otherwise specifically provided, the amendments
made by this section shall become effective on the first day of the first
fiscal year beginning after the date of enactment of this Act.</text>
</subsection></section><section id="H8AD1042D685649BEA0E2F96617567CEF"><enum>106.</enum><header>Capital cost of
contracting vanpool pilot program</header>
<subsection id="H537866A390064AFBACD05A72B5689085"><enum>(a)</enum><header>Establishment</header><text>The
Secretary of Transportation shall establish and implement a pilot program to
carry out vanpool demonstration projects in not more than 3 urbanized areas and
not more than 2 other than urbanized areas.</text>
</subsection><subsection id="HF4FE4723219746899FF40271459C488B"><enum>(b)</enum><header>Pilot
program</header>
<paragraph id="HA9D8B00F34CE4D4EABF94B1796C8D6E8"><enum>(1)</enum><header>In
general</header><text>Notwithstanding section 5323(i) of title 49, United
States Code, for each project selected for participation in the pilot program,
the Secretary shall allow the non-Federal share provided by a recipient of
assistance for a capital project under chapter 53 of such title to include the
amounts described in paragraph (2).</text>
</paragraph><paragraph id="H18A93D3FCF4543648ACBFB9C0957459A"><enum>(2)</enum><header>Conditions on
acquisition of vans</header><text>The amounts referred to in paragraph (1) are
any amounts expended by a private provider of public transportation by vanpool
for the acquisition of vans to be used by such private provider in the
recipient’s service area, excluding any amounts the provider may have received
in Federal, State, or local government assistance for such acquisition, if the
private provider enters into a legally binding agreement with the recipient
that requires the private provider to use all revenues it receives in providing
public transportation in such service area, in excess of its operating costs,
for the purpose of acquiring vans to be used by the private provider in such
service area.</text>
</paragraph></subsection><subsection id="H91CDF1F8E6EC41989C0107EE46F70EC4"><enum>(c)</enum><header>Program
term</header><text>The Secretary may approve an application for a vanpool
demonstration project for fiscal years 2011 through 2012.</text>
</subsection><subsection id="H6998352EEF3D4525A793D60991C8E393"><enum>(d)</enum><header>Report to
Congress</header><text>Not later than one year after the date of enactment of
this Act, the Secretary shall submit to the Committee on Transportation and
Infrastructure of the House of Representatives and the Committee on Banking,
Housing, and Urban Affairs of the Senate a report containing an assessment of
the costs, benefits, and efficiencies of the vanpool demonstration
projects.</text>
</subsection></section><enum>II</enum><header>Denial of certain
tax benefits to major integrated oil companies and investment in clean energy
and transportation </header>
<section id="HCDD41E8691594D299117397D1D993473"><enum>201.</enum><header>Limitation on
deduction for intangible drilling and development costs of major integrated oil
companies in the case of oil and gas wells</header>
<subsection commented="no" display-inline="no-display-inline" id="H7A04D0887452429C99802E505DAE0757"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subsection (c) of
<external-xref legal-doc="usc" parsable-cite="usc/26/263">section
263</external-xref> of the Internal Revenue Code of 1986 is amended by adding
at the end the following new sentence: <quote>This subsection shall not apply
to intangible drilling and development costs paid or incurred by any major
integrated oil company (as defined in section 167(h)(5)) in the case of oil and
gas wells.</quote>.</text>
</subsection><subsection id="H45B49E4A9988450DBF4D63A25E3EE4DB"><enum>(b)</enum><header>Conforming
amendment</header><text>Subsection (c) of section 263 of such Code is amended
by inserting <quote>(determined without regard to the last sentence of this
subsection)</quote> after <quote>in the same manner as such expenses are
deductible in the case of oil and gas wells</quote>.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="H69656C65EA3C412C957B15DDF0F8ED03"><enum>(c)</enum><header>Effective
date</header><text display-inline="yes-display-inline">The amendment made by
this section shall apply to amounts paid or incurred in taxable years beginning
after the date of the enactment of this Act.</text>
</subsection></section><section display-inline="no-display-inline" id="HF5A933C951F24F688EFC829ED17D1EE7" section-type="subsequent-section"><enum>202.</enum><header>Deduction for income
attributable to domestic production activities not allowed with respect to oil
and gas activities of major integrated oil companies</header>
<subsection id="HE05D14932AE649C8BB819C469D174994"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subparagraph (B) of
section 199(c)(4) of the Internal Revenue Code of 1986 is amended by striking
<quote>and</quote> at the end of clause (ii), by striking the period at the end
of clause (iii) and inserting <quote>, and</quote>, and by inserting after
clause (iii) the following new clause:</text>
<quoted-block display-inline="no-display-inline" id="HA0608A23AB6E4CB09586519E58019A2E" style="OLC">
<clause id="HBA53C67B68784C639CE9947DE0B1F2FF"><enum>(iv)</enum><text display-inline="yes-display-inline">in the case of a major integrated oil
company (as defined in section 167(h)(5)), the production, refining,
processing, transportation, or distribution of oil, gas, or any primary product
thereof.</text>
</clause><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H33E0BCCC7708448B824CDD22F4F32A17"><enum>(b)</enum><header>Effective
date</header><text>The amendment made by subsection (a) shall apply to taxable
years beginning after the date of the enactment of this Act.</text>
</subsection></section><section display-inline="no-display-inline" id="HE6779968305E4EA7B2C4E7FFEC84F19D" section-type="subsequent-section"><enum>203.</enum><header>Major integrated oil
companies ineligible for last-in, first-out method of inventory</header>
<subsection id="HCD98180B0C7249B98833D4BFB37FB066"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Section 471 of the
Internal Revenue Code of 1986 is amended by redesignating subsection (c) as
subsection (d) and by inserting after subsection (b) the following new
subsection:</text>
<quoted-block display-inline="no-display-inline" id="HF1674479DFEE4143B8B309ECF716685D" style="OLC">
<subsection id="HE2536F1F7E1B42D38137AF0B9AB43FB7"><enum>(c)</enum><header>Major integrated
oil companies ineligible for last-in, first-out method</header><text display-inline="yes-display-inline">In the case of a major integrated oil
company (as defined in section 167(h)(5)(B))—</text>
<paragraph id="H67A7A739556E4740B6C39B3B66A98963"><enum>(1)</enum><text>the last-in,
first-out method of determining inventories shall in no event be treated as
clearly reflecting income, and</text>
</paragraph><paragraph id="H8A5A8AE196AF42BBA12C7177E488CF73"><enum>(2)</enum><text>sections 472 and
473 shall not
apply.</text>
</paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="HB66A1355329A4D08B2868C43147A64DC"><enum>(b)</enum><header>Effective
date</header>
<paragraph id="H3A26535FC6944EA88B02077227194AEE"><enum>(1)</enum><header>In
general</header><text>The amendments made by this section shall apply to
taxable years beginning after the date of the enactment of this Act.</text>
</paragraph><paragraph id="HD505B9D7106C4101962B88B2DFE46E49"><enum>(2)</enum><header>Change in method
of accounting</header><text display-inline="yes-display-inline">In the case of
any taxpayer required by the amendments made by this section to change its
method of accounting for its first taxable year beginning after the date of the
enactment of this Act—</text>
<subparagraph id="HE739972193BE46F999912E0BD5C5D2FE"><enum>(A)</enum><text>such change shall
be treated as initiated by the taxpayer,</text>
</subparagraph><subparagraph id="H1C52795E59104A84A4F9F82C1D36929F"><enum>(B)</enum><text>such change shall
be treated as made with the consent of the Secretary of the Treasury,
and</text>
</subparagraph><subparagraph id="HF1747EB7F0EE4E2189E60B8DAC42207D"><enum>(C)</enum><text>if the net amount
of the adjustments required to be taken into account by the taxpayer under
section 481 of the Internal Revenue Code of 1986 is positive, such amount shall
be taken into account over a period of 8 years beginning with such first
taxable year.</text>
</subparagraph></paragraph></subsection></section><section id="HA7E95C75093C4A34843B3FF9C47D0547"><enum>204.</enum><header>Credit for
heavy natural gas and hybrid vehicles</header>
<subsection id="H721C58E1705145B4975765A4BE9B0750"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subpart B of part IV
of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by
adding at the end the following new section:</text>
<quoted-block display-inline="no-display-inline" id="H78888E258CDD4B65AF365AF5320B07A4" style="OLC">
<section id="HE78A01A68E1C4710B23CD7EDD549E7DB"><enum>30E.</enum><header>Heavy natural
gas and heavy hybrid vehicle credit</header>
<subsection id="H1760007E98F3462C94EB56C648B992F2"><enum>(a)</enum><header>Allowance of
credit</header><text display-inline="yes-display-inline">There shall be allowed
as a credit against the tax imposed by this chapter for the taxable year an
amount equal to the sum of—</text>
<paragraph id="H444C6E41969A448D9AEB13A5AB534B33"><enum>(1)</enum><text>the new qualified
heavy natural gas motor vehicle credit determined under subsection (b),
and</text>
</paragraph><paragraph id="H58D36AE444EE433984DB320182FFD55B"><enum>(2)</enum><text>the new qualified
heavy hybrid motor vehicle credit determined under subsection (c).</text>
</paragraph></subsection><subsection id="H395AB3F8C22B4850BCF95FFDCE3CD36C"><enum>(b)</enum><header>New qualified
heavy natural gas motor vehicle credit</header>
<paragraph id="HFBD5016FDB4D4006B385625AFDD257BF"><enum>(1)</enum><header>In
general</header><text display-inline="yes-display-inline">The new qualified
heavy natural gas motor vehicle credit determined under this subsection is an
amount equal to 80 percent of the incremental cost of any new qualified heavy
natural gas motor vehicle placed in service by the taxpayer during the taxable
year.</text>
</paragraph><paragraph id="H9E6CD1C2F15D44D5872BE989ADDF4C77"><enum>(2)</enum><header>New qualified
heavy natural gas motor vehicle</header><text>For purposes of this subsection,
the term <quote>new qualified heavy natural gas motor vehicle</quote> means any
motor vehicle—</text>
<subparagraph id="H584063098DDA4FE0B798604BFB1BEABE"><enum>(A)</enum><text display-inline="yes-display-inline">which is only capable of operating on
compressed or liquified natural gas,</text>
</subparagraph><subparagraph id="H598F700DE8494505A8425BCE5DCE614C"><enum>(B)</enum><text>which has a gross
vehicle weight rating of more than 8,500 pounds,</text>
</subparagraph><subparagraph id="H5101F2E4674142AA9EE703429452A453"><enum>(C)</enum><text>the original use
of which commences with the taxpayer,</text>
</subparagraph><subparagraph id="HEB35CE5B37DA4FFC81EED11915866381"><enum>(D)</enum><text>which is acquired
by the taxpayer for use or lease, but not for resale, and</text>
</subparagraph><subparagraph id="H76023D85732245CCB325CADBF0386895"><enum>(E)</enum><text>which is made by a
manufacturer.</text>
</subparagraph></paragraph><paragraph display-inline="no-display-inline" id="H7E9514C6702242CFBB78136FEFEF98FC"><enum>(3)</enum><header>Credit for
mixed-fuel vehicles</header>
<subparagraph id="H8043046DE5A44BA69497E6A5E6468956"><enum>(A)</enum><header>In
general</header><text display-inline="yes-display-inline">In the case of a
mixed-fuel vehicle placed in service by the taxpayer during the taxable year,
the credit determined under this subsection is an amount equal to—</text>
<clause id="HF8FC3346C9464F63A5F0FF0A99AE9BBE"><enum>(i)</enum><text>in
the case of a 65/35 mixed-fuel vehicle, 65 percent of the credit which would
have been allowed under this subsection if such vehicle was a new qualified
heavy natural gas motor vehicle, and</text>
</clause><clause id="H9782F62420644D2F8A34D6490033D940"><enum>(ii)</enum><text>in the case of a
90/10 mixed-fuel vehicle, 90 percent of the credit which would have been
allowed under this subsection if such vehicle was a new qualified heavy natural
gas motor vehicle.</text>
</clause></subparagraph><subparagraph id="HD1A5852334DC498193E8415E5ADB364D"><enum>(B)</enum><header>Mixed-fuel
vehicle</header><text>For purposes of this paragraph, the term
<quote>mixed-fuel vehicle</quote> means any motor vehicle which—</text>
<clause id="HF2A3A773F2D34807859307ECB0E57A85"><enum>(i)</enum><text>would be a new
qualified heavy natural gas motor vehicle but for the requirement of paragraph
(2)(A),</text>
</clause><clause id="H54C70D51CAAA49F49762A57653FDFFCA"><enum>(ii)</enum><text>is certified by
the manufacturer as being able to perform efficiently in normal operation on a
combination of compressed or liquified natural gas and another petroleum-based
fuel, and</text>
</clause><clause id="HF4CD2F6C9A31400D8A307BB1DEF144E2"><enum>(iii)</enum><text>either—</text>
<subclause id="H82BCB60209E243A9A50DDCE8E621C14C"><enum>(I)</enum><text>has received a
certificate of conformity under the Clean Air Act, or</text>
</subclause><subclause id="H1A6EE194EE0C4472BFCB33076D23A68C"><enum>(II)</enum><text>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 low emission
vehicle standard under section 88.105-94 of title 40, Code of Federal
Regulations, for that make and model year vehicle.</text>
</subclause></clause></subparagraph><subparagraph id="H51B549C33C35405CACBE85163DE4CD88"><enum>(C)</enum><header>65/35 mixed-fuel
vehicle</header><text>For purposes of this paragraph, the term <quote>65/35
mixed-fuel vehicle</quote> means a mixed-fuel vehicle which operates using at
least 65 percent compressed or liquified natural gas and not more than 35
percent petroleum-based fuel.</text>
</subparagraph><subparagraph id="H70CEE057C83F410B856A107B412B14C7"><enum>(D)</enum><header>90/10 mixed-fuel
vehicle</header><text display-inline="yes-display-inline">For purposes of this
paragraph, the term <quote>90/10 mixed-fuel vehicle</quote> means a mixed-fuel
vehicle which operates using at least 90 percent compressed or liquified
natural gas and not more than 10 percent petroleum-based fuel.</text>
</subparagraph></paragraph></subsection><subsection id="HC36B0F33A24643FE96939DE1FD792924"><enum>(c)</enum><header>New qualified
heavy hybrid motor vehicle credit</header>
<paragraph id="H120385BC5A884A98970AA9C80D76309A"><enum>(1)</enum><header>In
general</header><text display-inline="yes-display-inline">The new qualified
heavy natural gas motor vehicle credit determined under this subsection is an
amount equal to 80 percent of the incremental cost of any new qualified heavy
hybrid motor vehicle placed in service by the taxpayer during the taxable
year.</text>
</paragraph><paragraph id="HB46713632903486DB3CF27E12E8E6F54"><enum>(2)</enum><header>New qualified
heavy hybrid motor vehicle</header><text>For purposes of this
subsection—</text>
<subparagraph id="H8AF50C6ADFD1438D97D5EB2CE98A751B"><enum>(A)</enum><header>In
general</header><text>The term <quote>new qualified heavy hybrid motor
vehicle</quote> means a motor vehicle—</text>
<clause id="H0DE659BE7D72466CBFC19078D1DE2688"><enum>(i)</enum><text display-inline="yes-display-inline">which draws propulsion energy from an
onboard rechargeable energy storage system,</text>
</clause><clause id="HD4F018971112426B916A379DB0A43888"><enum>(ii)</enum><text>which, in the
case of a vehicle which has an internal combustion or heat engine which uses
consumable fuel, has received, with respect to such engine, a certificate of
conformity under the Clean Air Act as meeting the emission standards set in the
regulations prescribed by the Administrator of the Environmental Protection
Agency for 2004 through 2007 model year diesel heavy duty engines or ottocycle
heavy duty engines, as applicable,</text>
</clause><clause id="HB9F83567D58F4C0F83BE51A93F5E4B83"><enum>(iii)</enum><text>which has a
gross vehicle weight rating of more than 8,500 pounds,</text>
</clause><clause id="HB5019AF45E9049D8B96D0DB02E777313"><enum>(iv)</enum><text>which has a
maximum available power of at least—</text>
<subclause id="H83108B9C83E44633A571DD8E4ACF93FD"><enum>(I)</enum><text>10 percent in the
case of a vehicle which has a gross vehicle weight rating of not more than
14,000 pounds, and</text>
</subclause><subclause id="H5653B30CA59F4022BED6AEB42271B30F"><enum>(II)</enum><text>15 percent in the
case of a vehicle which has a gross vehicle weight rating of more than 14,000
pounds,</text>
</subclause></clause><clause display-inline="no-display-inline" id="H820A980530ED4CBEADA6408CEA6B89D2"><enum>(v)</enum><text>the original use
of which commences with the taxpayer,</text>
</clause><clause id="H82562C64BB0F4F8F884977BAA731F4E6"><enum>(vi)</enum><text>which is acquired
by the taxpayer for use or lease, but not for resale, and</text>
</clause><clause id="H3E8F4777ACF546CBA8EBF97F09780704"><enum>(vii)</enum><text>which is made by
a manufacturer.</text>
</clause></subparagraph><subparagraph id="H700D7AA622964A3E9990179F0C03F0E6"><enum>(B)</enum><header>Consumable
fuel</header><text display-inline="yes-display-inline">For purposes of
subparagraph (A)(ii)(I), the term <quote>consumable fuel</quote> means any
solid, liquid, or gaseous matter which releases energy when consumed by an
auxiliary power unit.</text>
</subparagraph><subparagraph id="HBF705C4BF133472D8F197E3509A4B5AA"><enum>(C)</enum><header>Maximum
available power</header><text display-inline="yes-display-inline">For purposes
of subparagraph (A)(iii), the term <quote>maximum available power</quote> means
the maximum power available from the rechargeable energy storage system during
a standard 10 second pulse power or equivalent test, divided by the vehicle’s
total traction power. For purposes of the preceding sentence, the term
<quote>total traction power</quote> means the sum of the peak power from the
rechargeable energy storage system and the heat engine peak power of the
vehicle, except that if such storage system is the sole means by which the
vehicle can be driven, the total traction power is the peak power of such
storage system.</text>
</subparagraph></paragraph></subsection><subsection id="HB41E91749BB942DD9E7DE7369AD2EFCD"><enum>(d)</enum><header>Application with
other credits</header>
<paragraph id="H2BD4193174FF4848AAB29AEB4254C1A6"><enum>(1)</enum><header>Business credit
treated as part of general business credit</header><text display-inline="yes-display-inline">So much of the credit which would be
allowed under subsection (a) for any taxable year (determined without regard to
this subsection) that is attributable to property of a character subject to an
allowance for depreciation shall be treated as a credit listed in section 38(b)
for such taxable year (and not allowed under subsection (a)).</text>
</paragraph><paragraph id="HB0120535F8AD45608B3914FBDD18EA4F"><enum>(2)</enum><header>Personal
credit</header>
<subparagraph id="H3DA4DC8E0B0448F39AAEE7BF4E98CB9C"><enum>(A)</enum><header>In
general</header><text display-inline="yes-display-inline">For purposes of this
title, the credit allowed under subsection (a) for any taxable year (determined
after application of paragraph (1)) shall be treated as a credit allowable
under subpart A for such taxable year.</text>
</subparagraph><subparagraph id="H3872461E5B20479A8F94713EEC1585B0"><enum>(B)</enum><header>Limitation based
on amount of tax</header><text display-inline="yes-display-inline">In the case
of a taxable year to which section 26(a)(2) does not apply, the credit allowed
under subsection (a) for any taxable year (determined after application of
paragraph (1)) shall not exceed the excess of—</text>
<clause id="H92C726673843456E845E471221C271B4"><enum>(i)</enum><text>the sum of the
regular tax liability (as defined in section 26(b)) plus the tax imposed by
section 55, over</text>
</clause><clause id="HC27BFF5D9ED04748BF6E52AD1E378863"><enum>(ii)</enum><text>the sum of the
credits allowable under subpart A (other than this section and sections 23 and
25D) and section 27 for the taxable year.</text>
</clause></subparagraph></paragraph></subsection><subsection id="H1D6AEBFD4061446B905A1BBA356672DA"><enum>(e)</enum><header>Other
definitions and special rules</header><text>For purposes of this
section—</text>
<paragraph id="H615301FF8D8141DDA7EEC5DA2CDE26B0"><enum>(1)</enum><header>Incremental
cost</header><text display-inline="yes-display-inline">The term
<quote>incremental cost</quote> means, with respect to any motor vehicle, the
excess of the manufacturer’s suggested retail price for such vehicle over such
price for a gasoline or diesel fuel motor vehicle of the same model (or, if
there is no such gasoline or diesel fuel motor vehicle of the same model, a
gasoline or diesel fuel motor vehicle which is comparable in weight, size, and
use to such vehicle), to the extent such amount does not exceed—</text>
<subparagraph id="H8155B474F7934F79A7C667837BFB33C2"><enum>(A)</enum><text display-inline="yes-display-inline">$20,000, if such vehicle has a gross
vehicle weight rating of not more than 14,000 pounds,</text>
</subparagraph><subparagraph id="H1602715163C04F6DBF82D8CAD8E6866B"><enum>(B)</enum><text display-inline="yes-display-inline">$50,000, if such vehicle has a gross
vehicle weight rating of more than 14,000 pounds but not more than 26,000
pounds,</text>
</subparagraph><subparagraph id="H3A093AA7EC8D4CFA965EBA9E13A14D74"><enum>(C)</enum><text>$80,000, if such
vehicle has a gross vehicle weight rating of more than 26,000 pounds but not
more than 33,000 pounds, and</text>
</subparagraph><subparagraph id="HDB791BBBD6DB4889A67536F53AE44819"><enum>(D)</enum><text>$100,000, if such
vehicle has a gross vehicle weight rating of more than 33,000 pounds.</text>
</subparagraph><continuation-text continuation-text-level="paragraph">The amount
described in the preceding sentence shall be certified by the manufacturer and
shall be determined in accordance with guidance prescribed by the
Secretary.</continuation-text></paragraph><paragraph id="H127DA6AE02A34B9397A80427EC0309C0"><enum>(2)</enum><header>Motor
vehicle</header><text display-inline="yes-display-inline">The term <quote>motor
vehicle</quote> means any vehicle which is manufactured primarily for use on
public streets, roads, and highways (not including a vehicle operated
exclusively on a rail or rails) and which has at least 4 wheels.</text>
</paragraph><paragraph id="HA70C0CD8D6874D5FA1E9EC4A6E2443B6"><enum>(3)</enum><header>Manufacturer</header><text display-inline="yes-display-inline">The term <quote>manufacturer</quote> has
the meaning given such term in regulations prescribed by the Administrator of
the Environmental Protection Agency for purposes of the administration of title
II of the Clean Air Act (42 U.S.C. 7521 et seq.).</text>
</paragraph><paragraph id="H982E4C3DCC7B4815AF111AEA3C62A417"><enum>(4)</enum><header>Reduction in
basis</header><text display-inline="yes-display-inline">For purposes of this
subtitle, the basis of any property for which a credit is allowable under
subsection (a) shall be reduced by the amount of such credit so allowed
(determined without regard to subsection (d)).</text>
</paragraph><paragraph commented="no" id="HBF7A3E7346F34B4FA0370E9CC4685466"><enum>(5)</enum><header>No double
benefit</header><text display-inline="yes-display-inline">The amount of any
deduction or other credit allowable under this chapter with respect to any
motor vehicle shall be reduced by the amount of the credit allowed under
subsection (a) for such vehicle (determined without regard to subsection
(d)).</text>
</paragraph><paragraph id="H56890104D53D49B68FF6EA61D408AC65"><enum>(6)</enum><header>Property used by
tax-exempt entity</header><text display-inline="yes-display-inline">In the case
of a vehicle whose use is described in paragraph (3) or (4) of section 50(b)
and which is not subject to a lease, the person who sold such vehicle to the
person or entity using such vehicle shall be treated as the taxpayer that
placed such vehicle in service, but only if such person clearly discloses to
such person or entity in a document the amount of any credit allowable under
subsection (a) with respect to such vehicle (determined without regard to
subsection (d)). For purposes of subsection (d), property to which this
paragraph applies shall be treated as of a character subject to an allowance
for depreciation.</text>
</paragraph><paragraph id="HB808CAB24649456A814343CA4F22530C"><enum>(7)</enum><header>Property used
outside United States, etc., not qualified</header><text display-inline="yes-display-inline">No credit shall be allowable under
subsection (a) with respect to any property referred to in section 50(b)(1) or
with respect to the portion of the cost of any property taken into account
under section 179.</text>
</paragraph><paragraph id="HA5E2C7FAB60943DCBE2B41101918B478"><enum>(8)</enum><header>Recapture</header><text display-inline="yes-display-inline">The Secretary shall, by regulations,
provide for recapturing the benefit of any credit allowable under subsection
(a) with respect to any property which ceases to be property eligible for such
credit (including recapture in the case of a lease period of less than the
economic life of a vehicle).</text>
</paragraph><paragraph id="H476B8DDCA78548AD9ACFB8362F201499"><enum>(9)</enum><header>Election to not
take credit</header><text display-inline="yes-display-inline">No credit shall
be allowed under subsection (a) for any vehicle if the taxpayer elects to not
have this section apply to such vehicle.</text>
</paragraph><paragraph id="H7321787C9B444BF79F40B2F037F24442"><enum>(10)</enum><header>Interaction
with air quality and motor vehicle safety standards</header><text display-inline="yes-display-inline">Unless otherwise provided in this section,
a motor vehicle shall not be considered eligible for a credit under this
section unless such vehicle is in compliance with—</text>
<subparagraph id="HED569A7A1CF548AAB80C5499A35FC901"><enum>(A)</enum><text>the applicable
provisions of the Clean Air Act for the applicable make and model year of the
vehicle (or applicable air quality provisions of State law in the case of a
State which has adopted such provision under a waiver under section 209(b) of
the Clean Air Act), and</text>
</subparagraph><subparagraph id="H90D252D824F641018FD5858350BC2FEF"><enum>(B)</enum><text>the motor vehicle
safety provisions of sections 30101 through 30169 of title 49, United States
Code.</text>
</subparagraph></paragraph></subsection><subsection id="H250E5DDAAB334EBF8E78119D8C711661"><enum>(f)</enum><header>Termination</header><text>This
section shall not apply to motor vehicles acquired after December 31,
2016.</text>
</subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H8322FBAC85904BF1BF951E46F8F3BD7C"><enum>(b)</enum><header>Coordination
with new qualified plug-in electric drive motor vehicle
credit</header><text>Subparagraph (E) of section 30D(d)(1) of such Code is
amended by striking <quote>less than 14,000 pounds</quote> and inserting
<quote>not more than 8,500 pounds</quote>.</text>
</subsection><subsection id="HC4E538C6B2974391ABDA4C2CF657EA93"><enum>(c)</enum><header>Conforming
amendments</header>
<paragraph id="H3BC76E185E5643818DE05423DBBE4AF0"><enum>(1)</enum><text>Section 38(b) of
such Code is amended by striking <quote>plus</quote> at the end of paragraph
(35), by striking the period at the end of paragraph 36 and inserting <quote>,
plus</quote>, and by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H17A6B5E101BD4796A35004D859C0C98D" style="OLC">
<paragraph id="H522B8C653C7448FC8ADC662EF91FC585"><enum>(37)</enum><text display-inline="yes-display-inline">the portion of the new qualified heavy
natural gas motor vehicle credit and the new qualified heavy hybrid motor
vehicle credit to which section 30E(d)(1)
applies.</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H064522202C8C48BF870FC7CF5BB17BF5"><enum>(2)</enum><text display-inline="yes-display-inline">Section 24(b)(3)(B) of such Code is amended
by striking <quote>and 30D</quote> and inserting <quote>30D, and
30E</quote>.</text>
</paragraph><paragraph id="H5D6A8A852C984F4F90A068A4713B3DFE"><enum>(3)</enum><text display-inline="yes-display-inline">Section 25(e)(1)(C)(ii) of such Code is
amended by inserting <quote>30E,</quote> after <quote>30D,</quote>.</text>
</paragraph><paragraph id="H8C174D48CBBB4B368D02ABC53C6C3746"><enum>(4)</enum><text display-inline="yes-display-inline">Section 26(a)(1) of such Code is amended by
striking <quote>and 30D</quote> and inserting <quote>30D, and
30E</quote>.</text>
</paragraph><paragraph id="HB164A184029845B4B917B81B39F7E53B"><enum>(5)</enum><text display-inline="yes-display-inline">Section 30(c)(2) of such Code is amended by
striking <quote>and 30D</quote> and inserting <quote>30D, and
30E</quote>.</text>
</paragraph><paragraph id="H1894B448584A49079A3FD1C38D336E1D"><enum>(6)</enum><text display-inline="yes-display-inline">Section 30B(g)(2)(B)(ii) of such Code is
amended by striking <quote>and 30D</quote> and inserting <quote>30D, and
30E</quote>.</text>
</paragraph><paragraph id="H0F7CA872F338433FB9EF834BCC04102F"><enum>(7)</enum><text display-inline="yes-display-inline">Section 30D(c)(2)(B)(ii) of such Code is
amended by striking <quote>and 25D</quote> and inserting <quote>25D, and
30E</quote>.</text>
</paragraph><paragraph id="H29D2A28E0E8547999EA5C9830B2878F5"><enum>(8)</enum><text display-inline="yes-display-inline">Section 904(i) of such Code is amended by
striking <quote>and 30D</quote> and inserting <quote>30D, and
30E</quote>.</text>
</paragraph><paragraph id="H5FAA702E158B4335BB04149E72F76B7E"><enum>(9)</enum><text display-inline="yes-display-inline">Section 1400C(d)(2) of such Code is amended
by striking <quote>and 30D</quote> and inserting <quote>30D, and
30E</quote>.</text>
</paragraph><paragraph id="HD2AFFD2B8F294CAEB147B6D5A3E9A1C9"><enum>(10)</enum><text display-inline="yes-display-inline">Section 30E(e)(2)(B)(ii) of such Code, as
added by this section, is amended by striking <quote>sections 23 and
25D</quote> and inserting <quote>section 25D</quote>.</text>
</paragraph><paragraph id="HB43C71A77FA745CBA95AEBEC65E05A80"><enum>(11)</enum><text display-inline="yes-display-inline">Section 1016(a) of such Code is amended by
striking <quote>and</quote> at the end of paragraph (36), by striking the
period at the end of paragraph (37) and inserting <quote>, and</quote>, and by
adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H8D1E2CD423DB45C78575D98746BF31D1" style="OLC">
<paragraph id="H42D565FAE9DC4AFD8479F0B7BF9D327F"><enum>(38)</enum><text display-inline="yes-display-inline">to the extent provided in section
30E(e)(4).</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="HE8975A26A2694DCFA707FE0E42CC6F41"><enum>(12)</enum><text display-inline="yes-display-inline">Section 6501(m) of such Code is amended by
inserting <quote>30E(e)(9),</quote> after <quote>30D(e)(4),</quote>.</text>
</paragraph><paragraph id="H09F25D24E199494AA9170CEB28D339D2"><enum>(13)</enum><text display-inline="yes-display-inline">The table of sections for subpart B of part
IV of subchapter A of chapter 1 of such Code is amended by adding at the end
the following new item:</text>
<quoted-block display-inline="no-display-inline" id="HE2697AAB62F749CDA63916965B5D64BE" style="OLC">
<toc container-level="quoted-block-container" idref="H78888E258CDD4B65AF365AF5320B07A4" lowest-bolded-level="division-lowest-bolded" lowest-level="section" quoted-block="no-quoted-block" regeneration="yes-regeneration">
<toc-entry idref="HE78A01A68E1C4710B23CD7EDD549E7DB" level="section">Sec. 30E. Heavy natural gas and heavy hybrid vehicle
credit.</toc-entry>
</toc>
<after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="H6B80913690D2497A96D94DAB4FA1FF71"><enum>(d)</enum><header>Effective
date</header>
<paragraph id="H9E2CF7D30B5344B49BF9DCA266B9E320"><enum>(1)</enum><header>In
general</header><text>The amendments made by this section shall apply to
vehicles acquired after December 31, 2010.</text>
</paragraph><paragraph id="HD27FD8CCC43E40CE9BD41CA96A808AA7"><enum>(2)</enum><header>Application of
EGTRRA sunset</header>
<subparagraph id="H2E989852449C42FD8EB4CB678FDF26DC"><enum>(A)</enum><text>The amendment made
by 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 provision of
such Act to which such amendment relates.</text>
</subparagraph><subparagraph id="H8FB21C6A2A0949159BEBC20B9468432D"><enum>(B)</enum><text>The amendment made
by subsection (c)(10) shall be subject to title IX of the Economic Growth and
Tax Relief Reconciliation Act of 2001 in the same manner as the amendments made
by section 10909 of the Patient Protection and Affordable Care Act.</text>
</subparagraph></paragraph></subsection></section><section display-inline="no-display-inline" id="H5CBEAFBF873342EB9438EB6C8B9F5F4D" section-type="subsequent-section"><enum>205.</enum><header>Alternative fuel
vehicle refueling property</header>
<subsection commented="no" id="H3AC082D9CA6D4FEBA44F9BE272912D8B"><enum>(a)</enum><header>Extension of
credit</header><text>Subsection (g) of section 30C of the Internal Revenue Code
of 1986 is amended by striking <quote>placed in service</quote> and all that
follows and inserting <quote>placed in service after December 31,
2014.</quote>.</text>
</subsection><subsection id="H2ABEEF90E8104871862D029F706F9E3B"><enum>(b)</enum><header>Extension of
increased credit limitations</header><text display-inline="yes-display-inline">Paragraph (6) of section 30C(e) of such
Code is amended—</text>
<paragraph commented="no" id="H64A8C2DADC794B158BB94BDC8BD3C242"><enum>(1)</enum><text>by striking
<quote>January 1, 2011</quote> and inserting <quote>January 1, 2014</quote>,
and</text>
</paragraph><paragraph id="H44543DEA89204E62B9B865F750C92AC6"><enum>(2)</enum><text>by striking
<quote><header-in-text level="paragraph" style="OLC">and
2010</header-in-text></quote> in the heading and inserting
<quote><header-in-text level="paragraph" style="OLC">thru
2013</header-in-text></quote>.</text>
</paragraph></subsection><subsection id="H669B94E19ACB44CC8A1299E790EDE569"><enum>(c)</enum><header>Extension of
credit to refueling of non-highway hydrogen fuel cell vehicles</header><text display-inline="yes-display-inline">Subsection (c) of section 30C of such Code
is amended by striking <quote>and</quote> at the end of paragraph (1), by
redesignating paragraph (2) as paragraph (3), and by inserting after paragraph
(1) the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H14054C6470B147289015A33FFE605B0A" style="OLC">
<paragraph id="H14A9BC8C077E4798A9623395128973BA"><enum>(2)</enum><text display-inline="yes-display-inline">in the case of a vehicle propelled by a
fuel cell power plant (as defined in section 48(c)(1)(C)) which converts
hydrogen into electricity, the term <quote>motor vehicle</quote> includes any
vehicle which is not operated exclusively on rails and the primary purpose of
which is other than the transport of passengers,
and</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="HADDAD309FC5A4E8CAB565B1434F427E8"><enum>(d)</enum><header>Clarification of
definition of electric refueling property</header><text display-inline="yes-display-inline">Subparagraph (B) of section 179A(d)(3) of
such Code is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="HF98DCBE26F3346669EEE0F69AFE4F30D" style="OLC">
<subparagraph id="H803EAF3630474012B124EF3EF489629B"><enum>(B)</enum><text display-inline="yes-display-inline">exclusively used for the recharging of
motor vehicles propelled by electricity (other than property used for the
generation of
electricity).</text>
</subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H44570A7AD73540938B065C2B52DBC45E"><enum>(e)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to property
placed in service after the date of the enactment of this Act.</text>
</subsection></section><section id="HDF470E32BA66461C9631F4D2B4DBC9AB"><enum>206.</enum><header>Clean Energy
Fund and deficit reduction</header>
<subsection id="HE8FE32BB6D55425F8C4919ED50C74D05"><enum>(a)</enum><header>Clean Energy
Fund</header><text>Subchapter A of chapter 98 of such Code is amended by adding
at the end the following new section:</text>
<quoted-block id="H71F799E4609741AABFD6FE89F8CDCC21">
<section id="H82CE380560544635A19051978A594571"><enum>9512.</enum><header>Clean Energy
Fund</header>
<subsection id="H8B357A4F58074EF3B60C3A92623ED040"><enum>(a)</enum><header>Creation of
trust fund</header><text>There is established in the Treasury of the United
States a trust fund to be known as the <quote>Clean Energy Fund</quote>,
consisting of such amounts as may be appropriated or credited to such fund as
provided in this section or section 9602(b).</text>
</subsection><subsection id="HA691535565494496AD1365D92CA6730B"><enum>(b)</enum><header>Transfers to
trust fund</header><text>There are hereby appropriated annually to the Clean
Energy Fund for each of fiscal years 2011 through 2020 the lesser of—</text>
<paragraph id="H074CBEB32BBD4A52832FD3D77F1D3783"><enum>(1)</enum><text>$1,000,000,000
($1,850,000,000 in the case of fiscal years 2011 and 2012), or</text>
</paragraph><paragraph id="H9A8F0F832DD34E68B7D2B19A1CC9F060"><enum>(2)</enum><text>amounts equivalent
(as determined by the Secretary) to the increase in Federal revenue with
respect to such fiscal year by reason of the amendments made by sections 201,
202, and 203 of the <short-title>Building Our Clean Energy
Future Now Act of 2011</short-title>.</text>
</paragraph></subsection><subsection id="H17E4C9F7D74E4053B1230AC6AFDBF3E8"><enum>(c)</enum><header>Expenditures</header><text>Amounts
in the Clean Energy Fund shall be available, without the need of further
appropriation, for purposes of carrying out titles I and III of the
<short-title>Building Our Clean Energy Future Now Act of
2011</short-title> (and the amendments made by such titles). Amounts
appropriated to the Clean Energy Fund shall remain available without fiscal
year
limitation.</text>
</subsection></section><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H3DFECAB934C944B7B26CFB9C9C9ACF5F"><enum>(b)</enum><header>Deficit
reduction</header><text display-inline="yes-display-inline">The excess Federal
revenue under this title shall be deposited in the Treasury and used for
Federal budget deficit reduction or, if there is no Federal budget deficit, for
reducing the Federal debt in such manner as the Secretary of the Treasury
considers appropriate. For purposes of the preceding sentence, the term
<quote>excess Federal revenue under this title</quote> means so much of the
increase in Federal revenue by reason of the amendments made by sections 201,
202, and 203 of this Act as exceeds the sum of the amounts appropriated to the
Clean Energy Fund under section 9512(b) of the Internal Revenue Code of 1986
(as added by this section) plus any reductions in Federal revenue by reason of
the amendments made by sections 204 and 205 of this Act.</text>
</subsection><subsection id="HA665EA2BC47C4E6591AA8FA819FC333C"><enum>(c)</enum><header>Clerical
amendment</header><text>The table of sections for subchapter A of chapter 98 of
such Code is amended by adding at the end the following new item:</text>
<quoted-block id="H329F799E55C34EC298CB6A8293827B30" style="OLC">
<toc regeneration="no-regeneration">
<toc-entry level="section">Sec. 9512. Clean Energy
Fund.</toc-entry>
</toc>
<after-quoted-block>.</after-quoted-block></quoted-block>
</subsection></section><enum>III</enum><header>Advanced and
electric vehicles</header>
<section id="H185FDBB19F7C49108C1FEA77E8210BC5"><enum>301.</enum><header>Plug-in hybrid
electric vehicle and electric vehicle infrastructure</header>
<subsection id="H887CEBF5397E4E0E9F04BD89B25669C3"><enum>(a)</enum><header>Amendment of
PURPA</header><text>Section 111(d) of the Public Utility Regulatory Policies
Act of 1978 (16 U.S.C. 2621(d)) is amended by adding at the end the
following:</text>
<quoted-block id="H94D741D92A8C40858399596360903BCE" style="OLC">
<paragraph id="HB59BEF1919414080862A2FE426D27F79"><enum>(20)</enum><header>Plug-in hybrid
electric vehicle and electric vehicle infrastructure</header>
<subparagraph id="HB0F9FCD96B744B6391BDF0E883A4596B"><enum>(A)</enum><header>Utility plan for
infrastructure</header><text>Each electric utility shall develop a plan to
support the use of plug-in hybrid electric vehicles and electric vehicles,
including heavy-duty hybrid electric vehicles. The plan may provide for
deployment of electrical charging stations in public or private locations,
including street parking, parking garages, parking lots, homes, gas stations,
and highway rest stops. Any such plan may also include—</text>
<clause id="HDE5D4741453042AC9F4EF3B8EA58B574"><enum>(i)</enum><text>battery exchange,
fast charging infrastructure, and other services;</text>
</clause><clause id="H1E0245B43A034AC4B6CE4557E8C76A7D"><enum>(ii)</enum><text>triggers for
infrastructure deployment based upon market penetration of plug-in hybrid
electric vehicles and electric vehicles; and</text>
</clause><clause id="H72D5FDEA5D154FBE8DAB13D9F6A3DDE0"><enum>(iii)</enum><text>such other
elements as the State determines necessary to support electric vehicles and
plug-in hybrid electric vehicles.</text>
</clause><continuation-text continuation-text-level="subparagraph">Each
plan under this paragraph shall provide for the deployment of the charging
infrastructure or other infrastructure necessary to adequately support the use
of plug-in hybrid electric vehicles and electric vehicles.</continuation-text></subparagraph><subparagraph id="H5DD9397528E54730AD2BCE67E3CB7FA3"><enum>(B)</enum><header>Support
requirements</header><text>Each State regulatory authority (with respect to
each electric utility for which it has ratemaking authority) and each
nonregulated electric utility shall—</text>
<clause id="H6B5AA58BDC7E4C2589ED6DA85B822986"><enum>(i)</enum><text>require that
charging infrastructure deployed is interoperable with products of all auto
manufacturers to the extent possible; and</text>
</clause><clause id="HC0EEADCE89934B21B4B6FE7338DA863F"><enum>(ii)</enum><text>consider adopting
minimum requirements for deployment of electrical charging infrastructure and
other appropriate requirements necessary to support the use of plug-in hybrid
electric vehicles and electric vehicles.</text>
</clause></subparagraph><subparagraph id="HEACB064604F249D4B38B4A7901B8089D"><enum>(C)</enum><header>Cost
recovery</header><text display-inline="yes-display-inline">Each State
regulatory authority (with respect to each electric utility for which it has
ratemaking authority) and each nonregulated electric utility shall consider
whether, and to what extent, to allow cost recovery for plans and
implementation of plans.</text>
</subparagraph><subparagraph id="H5290637053EE4099BE990CB4BFFBC401"><enum>(D)</enum><header>Smart grid
integration</header><text>Each State regulatory authority (with respect to each
electric utility for which it has ratemaking authority) and each nonregulated
electric utility shall—</text>
<clause id="H29543C71AF0B434BAEB14733E1E9210A"><enum>(i)</enum><text>establish any
appropriate protocols and standards for integrating plug-in hybrid electric
vehicles and electric vehicles into an electrical distribution system,
including smart grid systems and devices;</text>
</clause><clause id="HD3D03F8F2CAC4EBEBA38955AE488CBF0"><enum>(ii)</enum><text>include the
ability for each plug-in hybrid electric vehicle and electric vehicle to be
identified individually and to be associated with its owner’s electric utility
account, regardless of the location that the vehicle is plugged in, for
purposes of appropriate billing for any electricity required to charge the
vehicle’s batteries as well as any crediting for electricity provided to the
electric utility from the vehicle’s batteries; and</text>
</clause><clause id="HA19F90426286477C95DD69FF5045B149"><enum>(iii)</enum><text>review the
determination made in response to paragraph (14) in light of this paragraph,
including whether time-of-use pricing should be employed to enable the use of
plug-in hybrid electric vehicles and electric vehicles to contribute to meeting
peak-load power
needs.</text>
</clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="HB449B90F464B4B60B0AAD619C8EECE57"><enum>(b)</enum><header>Compliance</header>
<paragraph id="H97F6A6E1EB9D468993652D8B10CC57EE"><enum>(1)</enum><header>Time
limitations</header><text>Section 112(b) of the Public Utility Regulatory
Policies Act of 1978 (16 U.S.C. 2622(b)) is amended by adding the following at
the end thereof:</text>
<quoted-block id="H34FA60E5995B4AFB9A54BCAE675D7963" style="OLC">
<paragraph id="HF60F095296F14904893A9CD93506720C"><enum>(7)</enum><subparagraph commented="no" display-inline="yes-display-inline" id="H52591E33BC234D71A83642DAEBC85B2F"><enum>(A)</enum><text>Not later than 1 year
after the enactment of this paragraph, each State regulatory authority (with
respect to each electric utility for which it has ratemaking authority) and
each nonregulated electric utility shall commence the consideration referred to
in section 111, or set a hearing date for consideration, with respect to the
standard established by paragraph (20) of section 111(d).</text>
</subparagraph><subparagraph id="HB13F13A6978149F0B0EBCA6483C8D4F7"><enum>(B)</enum><text>Not later than 2
years after the date of the enactment of this paragraph, each State regulatory
authority (with respect to each electric utility for which it has ratemaking
authority), and each nonregulated electric utility, shall complete the
consideration, and shall make the determination, referred to in section 111
with respect to the standard established by paragraph (20) of section
111(d).</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H331202DEBBDE4548AE7DC6F8E876BD96"><enum>(2)</enum><header>Failure to
comply</header><text>Section 112(c) of the Public Utility Regulatory Policies
Act of 1978 (16 U.S.C. 2622(c)) is amended by adding the following at the
end:</text>
<quoted-block id="H3E41941AF42C49158CA70569099FBCB6" style="OLC">
<text display-inline="no-display-inline">In the case of the standards established by
paragraph (20) of section 111(d), the reference contained in this subsection to
the date of enactment of this Act shall be deemed to be a reference to the date
of enactment of such
paragraph.</text>
<after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H88366ECB75514BFDA8607EE84F10AC82"><enum>(3)</enum><header>Prior state
actions</header><text>Section 112(d) of the Public Utility Regulatory Policies
Act of 1978 (16 U.S.C. 2622(d)) is amended by inserting <quote>and paragraph
(20)</quote> before <quote>of section 111(d)</quote>.</text>
</paragraph></subsection></section><section id="H64280579B4B1474187312BEDEB7C8CBA"><enum>302.</enum><header>Large-scale
vehicle electrification program</header>
<subsection id="H522D9DDC871841E28660D8CDDC095623"><enum>(a)</enum><header>Deployment
program</header><text>The Secretary of Energy shall establish a program to
deploy and integrate plug-in electric drive vehicles in multiple regions. In
carrying out the program, the Secretary may provide financial assistance
described under subsection (d), consistent with the goals under subsection (b).
The Secretary shall select regions based upon applications for assistance
received pursuant to subsection (c).</text>
</subsection><subsection id="H5D3F4FAD462A4C4094B1B0A8C9529815"><enum>(b)</enum><header>Goals</header><text>The
goals of the program established pursuant to subsection (a) shall be—</text>
<paragraph id="H5AC01FC8A76B492EA36A16B27EABF0E8"><enum>(1)</enum><text>to demonstrate the
viability of a vehicle-based transportation system that is not overly dependent
on petroleum as a fuel and contributes to lower carbon emissions than a system
based on conventional vehicles;</text>
</paragraph><paragraph id="H920676ADD00748AAAC1E0BA53BF22CF2"><enum>(2)</enum><text>to facilitate the
integration of advanced vehicle technologies into electricity distribution
areas to improve system performance and reliability;</text>
</paragraph><paragraph id="HFBF1EF3DA5A5414D985A9434EEE68DA5"><enum>(3)</enum><text>to demonstrate the
potential benefits of coordinated investments in vehicle electrification on
personal mobility and a regional grid;</text>
</paragraph><paragraph id="HE8A5F6B1D7024DC293842EAF42257FA9"><enum>(4)</enum><text>to demonstrate
protocols and standards that facilitate vehicle integration into the grid;
and</text>
</paragraph><paragraph id="HAB1DBA30D56A4A959A2417294B207257"><enum>(5)</enum><text>to investigate
differences in each region and regulatory environment regarding best practices
in implementing vehicle electrification.</text>
</paragraph></subsection><subsection id="H0AAB117E607C4DFC86846AA7077C0B45"><enum>(c)</enum><header>Applications</header><text>Any
State or local government (or group of State or local governments) may apply to
the Secretary of Energy for financial assistance in furthering the regional
deployment of plug-in electric drive vehicles. Such applications may be jointly
sponsored by electric utilities, automobile manufacturers, technology
providers, car sharing companies or organizations, or other persons or
entities.</text>
</subsection><subsection id="H1168FC47D6894370A39D2E03B5ADAD8F"><enum>(d)</enum><header>Use of
funds</header><text>Pursuant to applications received under subsection (c), the
Secretary of Energy may make financial assistance available to any applicant or
joint sponsor of the application to be used for any of the following:</text>
<paragraph id="H9C2ACC19B54F462CA5FD797CC2884AF3"><enum>(1)</enum><text>Assisting persons
located in the regional deployment area, including fleet owners, in the
purchase of new plug-in electric drive vehicles by offsetting in whole or in
part the incremental cost of such vehicles above the cost of comparable
conventionally fueled vehicles.</text>
</paragraph><paragraph id="H2E71534B587F478D98403D4CCD8A4E69"><enum>(2)</enum><text>Supporting the use
of plug-in electric drive vehicles by funding projects for the deployment of
any of the following:</text>
<subparagraph id="H3A96534036144302BB8ACFEBDD65447C"><enum>(A)</enum><text>Electrical
charging stations for plug-in electric drive vehicles, including battery
exchange, fast charging infrastructure, and other services, in public or
private locations, including street parking, parking garages, parking lots,
homes, gas stations, and highway rest stops.</text>
</subparagraph><subparagraph id="H46022AD4176B4244B19B9F3121CFF0D2"><enum>(B)</enum><text>Smart grid
equipment and infrastructure to facilitate the charging and integration of
plug-in electric drive vehicles.</text>
</subparagraph></paragraph><paragraph id="H7C33A5448C864622A9BB8B698DB76042"><enum>(3)</enum><text>Such other
projects as the Secretary determines appropriate to support the large-scale
deployment of plug-in electric drive vehicles in regional deployment
areas.</text>
</paragraph></subsection><subsection id="H79CEFB1924614AE9AEFFB0EE71D4F7FA"><enum>(e)</enum><header>Program
requirements</header><text>The Secretary of Energy shall determine design
elements and requirements of the program established pursuant to subsection
(a), including—</text>
<paragraph id="H03C5ECD4B5C3435C986F5F36D6903D10"><enum>(1)</enum><text>the type of
financial mechanism with which to provide financial assistance;</text>
</paragraph><paragraph id="H788CE87133DB4851914CB203D633CFF2"><enum>(2)</enum><text>criteria for
evaluating applications submitted under subsection (c), including the
anticipated ability to promote deployment and market penetration of vehicles
that are less dependent on petroleum as fuel source; and</text>
</paragraph><paragraph id="H2251303948B64301B82F31F1691F1B66"><enum>(3)</enum><text>reporting
requirements for entities that receive financial assistance under this section,
including a comprehensive set of performance data characterizing the results of
the deployment program.</text>
</paragraph></subsection><subsection id="HDED4A1D78E8A42F88C89E748DF0F7B54"><enum>(f)</enum><header>Information
clearinghouse</header><text>The Secretary of Energy shall, as part of the
program established pursuant to subsection (a), collect and make available to
the public information regarding the cost, performance, and other technical
data regarding the deployment and integration of plug-in electric drive
vehicles.</text>
</subsection><subsection commented="no" id="H138CBF727D844F1691A1347248695ECD"><enum>(g)</enum><header>Authorization</header><text display-inline="yes-display-inline">There are authorized to be appropriated to
carry out this section, $450,000,000 for each of fiscal years 2012 through
2016.</text>
</subsection></section><section id="H58EE3C930ACE419F9326B4E307EE1F96"><enum>303.</enum><header>Advanced
vehicle technology</header>
<subsection id="HDBD6786CB63F4381A19A0B1967E8B8B1"><enum>(a)</enum><header>Short
title</header><text>This section may be cited as the <quote><short-title>Advanced Vehicle Technology Act of
2011</short-title></quote>.</text>
</subsection><subsection id="HE7B5C6922A2F42679E7045F38105F1EC"><enum>(b)</enum><header>Findings</header><text>Congress
finds the following:</text>
<paragraph id="H7AB5A4A74E524C2C820E9EFCAFC3C09D"><enum>(1)</enum><text>According to the
Energy Information Administration, the transportation sector accounts for
approximately 28 percent of the United States primary energy demand and
greenhouse gas emissions, and 24 percent of global oil demand.</text>
</paragraph><paragraph id="HE8A117F2B60B4814AC1F5A80A8C91625"><enum>(2)</enum><text display-inline="yes-display-inline">The United States transportation sector is
over 95 percent dependent on petroleum, and over 60 percent of petroleum demand
is met by imported supplies.</text>
</paragraph><paragraph id="H0B7077DBE4FC4FF29C575866F4133E2E"><enum>(3)</enum><text>United States
heavy truck fuel consumption will increase 23 percent by 2030, while overall
transportation energy use will decline by 1 percent.</text>
</paragraph><paragraph id="H78BE39BA3CCC407F933DAE5B28A6A9AE"><enum>(4)</enum><text>The domestic
automotive and commercial vehicle manufacturing sectors have increasingly
limited resources for research, development, and engineering of advanced
technologies.</text>
</paragraph><paragraph id="H768C86525EA64492A7962FBC61FC03D4"><enum>(5)</enum><text display-inline="yes-display-inline">Vehicle, engine, and component
manufacturers are playing a more important role in vehicle technology
development, and should be better integrated into Federal research
efforts.</text>
</paragraph><paragraph id="H7669958CC86549B3BD7B69230E396A07"><enum>(6)</enum><text>Priorities for the
Department of Energy’s vehicle technologies research have shifted drastically
in recent years among diesel hybrids, hydrogen fuel cell vehicles, and plug-in
electric hybrids, with little continuity among them.</text>
</paragraph><paragraph id="HF9A0A19E360C4E77A155C23F7AC8FF59"><enum>(7)</enum><text display-inline="yes-display-inline">The integration of vehicle, communication,
and infrastructure technologies has great potential for efficiency gains
through better management of the total transportation system.</text>
</paragraph><paragraph id="H67D7321326F7407EBEB95F90BF28362B"><enum>(8)</enum><text>The Federal
Government should balance its role in researching longer-term exploratory
concepts and developing nearer-term transformational technologies for
vehicles.</text>
</paragraph></subsection><subsection id="H797E6B346E98441AA51B034D38DB8515"><enum>(c)</enum><header>Objectives</header><text>The
objectives of this section are to—</text>
<paragraph id="HBD3DA97B4E07421CB654E2E68230B8AA"><enum>(1)</enum><text>develop United
States technologies and practices that—</text>
<subparagraph id="H54CFF49AF6DD480C991F15EFF83C0933"><enum>(A)</enum><text>improve the fuel
efficiency and emissions of all vehicles produced in the United States;
and</text>
</subparagraph><subparagraph id="HCB32A6BFEB9C4514BD069465299A70F0"><enum>(B)</enum><text>reduce vehicle
reliance on petroleum-based fuels;</text>
</subparagraph></paragraph><paragraph id="HCD86116C72074E39BC62E570F9150198"><enum>(2)</enum><text display-inline="yes-display-inline">support domestic research, development,
engineering, demonstration, and commercial application and manufacturing of
advanced vehicles, engines, and components;</text>
</paragraph><paragraph id="H0431C854CEEE404EBBC233D84F069628"><enum>(3)</enum><text>enable vehicles to
move larger volumes of goods and more passengers with less energy and
emissions;</text>
</paragraph><paragraph display-inline="no-display-inline" id="HC8ED96D94A54435FA9196444F884EAB9"><enum>(4)</enum><text display-inline="yes-display-inline">develop cost-effective advanced
technologies for wide-scale utilization throughout the passenger, commercial,
government, and transit vehicle sectors;</text>
</paragraph><paragraph id="H0A773ADAE30B4BFAAAD0F811FC43A610"><enum>(5)</enum><text>allow for greater
consumer choice of vehicle technologies and fuels;</text>
</paragraph><paragraph id="HBF78D908336C487D8462BDA8683CE523"><enum>(6)</enum><text>shorten technology
development and integration cycles in the vehicle industry;</text>
</paragraph><paragraph id="HD0EC66BCA77E4CD999FC6766F786A33C"><enum>(7)</enum><text>ensure a proper
balance and diversity of Federal investment in vehicle technologies; and</text>
</paragraph><paragraph id="H838B51D6BACD46C3BC7CD0C234C96C43"><enum>(8)</enum><text display-inline="yes-display-inline">strengthen partnerships between Federal and
State governmental agencies and the private and academic sectors.</text>
</paragraph></subsection><subsection id="H1E5CE273DD8341FEADC56ECEA3956E83"><enum>(d)</enum><header>Definitions</header><text>For
the purposes of this section:</text>
<paragraph id="H36E6C863D97840A187CF6D33CEE2FAA0"><enum>(1)</enum><header>Department</header><text>The
term <quote>Department</quote> means the Department of Energy.</text>
</paragraph><paragraph id="H2AF11272F13F41A1AC7DDBC94A9314CD"><enum>(2)</enum><header>Secretary</header><text>The
term <quote>Secretary</quote> means the Secretary of Energy.</text>
</paragraph></subsection><subsection id="H49C80AA16BC7435EB686D71F39195F20"><enum>(e)</enum><header>Authorization of
appropriations</header><text>There are authorized to be appropriated to the
Secretary for United States research, development, engineering, demonstration,
and commercial application of vehicles and related technologies, including
activities authorized under this section, $550,000,000 for each of fiscal years
2012 through 2016.</text>
</subsection><subsection id="HC94FFA6B337340B397DFB623DFA34907"><enum>(f)</enum><header>Vehicle Research
and Development</header>
<paragraph id="H668B3FF0298D4ECB9E622364715E1BEC"><enum>(1)</enum><header>Program</header>
<subparagraph id="H5F3BBDD225964B2AAAC426E4EC8F0D53"><enum>(A)</enum><header>Activities</header><text display-inline="yes-display-inline">The Secretary shall conduct a program of
basic and applied research, development, engineering, demonstration, and
commercial application activities on materials, technologies, and processes
with the potential to substantially reduce or eliminate petroleum use and the
emissions of the Nation’s passenger and commercial vehicles, including
activities in the areas of—</text>
<clause id="H7EFD5EC7DF8C4A96901BDD8032B45F84"><enum>(i)</enum><text>hybridization or
full electrification of vehicle systems;</text>
</clause><clause id="H2E62AB907B814711B6F8E0E1F6FF14EE"><enum>(ii)</enum><text>batteries and
other energy storage devices;</text>
</clause><clause id="H512CA31F770D408C8ED5928861BB6A04"><enum>(iii)</enum><text>power
electronics;</text>
</clause><clause id="H9F3BAC432652460289E738CD386EEC18"><enum>(iv)</enum><text>vehicle,
component, and subsystem manufacturing technologies and processes;</text>
</clause><clause id="HF7914419AE1C45EBB7D9CF0ABF04594A"><enum>(v)</enum><text>engine efficiency
and combustion optimization;</text>
</clause><clause id="HA51AFF219A55447598160DAAB975756A"><enum>(vi)</enum><text>waste heat
recovery;</text>
</clause><clause id="H691E2D015EC64ACFA03E0F26E0D181FA"><enum>(vii)</enum><text>transmission and
drivetrains;</text>
</clause><clause id="HCAE6A2EB110E44109787105BD11B4F67"><enum>(viii)</enum><text display-inline="yes-display-inline">hydrogen vehicle technologies, including
fuel cells and internal combustion engines, and hydrogen infrastructure;</text>
</clause><clause id="HF5B78EF0B2F34025AF83AADBA1313812"><enum>(ix)</enum><text display-inline="yes-display-inline">compressed natural gas vehicle
technologies;</text>
</clause><clause id="H747A2A34D67D483D86896A3160918591"><enum>(x)</enum><text>aerodynamics,
rolling resistance, and accessory power loads of vehicles and associated
equipment;</text>
</clause><clause id="H33596E13FFE24158A3931613F1F13DD8"><enum>(xi)</enum><text display-inline="yes-display-inline">vehicle weight reduction, including
lightweighting materials;</text>
</clause><clause id="H083A013A05574ACBB9E123E828938973"><enum>(xii)</enum><text>friction and
wear reduction;</text>
</clause><clause id="HFE51A1FDB6F44F0E8535674E86554F9F"><enum>(xiii)</enum><text>engine and
component durability;</text>
</clause><clause id="HB00731257E6C4E409E5D7376281B851D"><enum>(xiv)</enum><text>innovative
propulsion systems;</text>
</clause><clause id="HB964FE3A57D74C648A1186B49629236B"><enum>(xv)</enum><text>advanced boosting
systems;</text>
</clause><clause id="HCC1B2F8C41BC497CB8B8326864FE6EE0"><enum>(xvi)</enum><text>hydraulic hybrid
technologies;</text>
</clause><clause id="H1D075CCA79F6400E9CFCBE2C7805C952"><enum>(xvii)</enum><text display-inline="yes-display-inline">engine compatibility with and optimization
for a variety of transportation fuels including natural gas and other liquid
and gaseous fuels;</text>
</clause><clause id="H647291B90CF64FCEBBED62C62D979BA4"><enum>(xviii)</enum><text>predictive
engineering, modeling, and simulation of vehicle and transportation
systems;</text>
</clause><clause id="H770082B69B5E4EA4A6D97697ED02A281"><enum>(xix)</enum><text display-inline="yes-display-inline">refueling and charging infrastructure for
alternative fueled and electric or plug-in electric hybrid vehicles, including
the unique challenges facing rural areas;</text>
</clause><clause display-inline="no-display-inline" id="HC85A971459534AD7BF42D9454AB36FD7"><enum>(xx)</enum><text display-inline="yes-display-inline">gaseous fuels storage systems and system
integration and optimization;</text>
</clause><clause id="H915B1965D3374039BDC7F877A8685AA7"><enum>(xxi)</enum><text>sensing,
communications, and actuation technologies for vehicle, electrical grid, and
infrastructure;</text>
</clause><clause id="H382AD278AC8649F59D078ED938965F38"><enum>(xxii)</enum><text display-inline="yes-display-inline">efficient use, substitution, and recycling
of potentially critical materials in vehicles, including rare earth elements
and precious metals, at risk of supply disruption;</text>
</clause><clause id="H3083502892E8422AB46386C07AB8C9A7"><enum>(xxiii)</enum><text display-inline="yes-display-inline">aftertreatment technologies;</text>
</clause><clause id="H756CC97BB6A14679BBEDFB42B126B700"><enum>(xxiv)</enum><text display-inline="yes-display-inline">thermal management of battery
systems;</text>
</clause><clause display-inline="no-display-inline" id="H2BFE2E17876A47058FDA8E4C59527885"><enum>(xxv)</enum><text display-inline="yes-display-inline">retrofitting advanced vehicle technologies
to existing vehicles;</text>
</clause><clause id="H9B8AF4A981154B08A79F08DC851254E1"><enum>(xxvi)</enum><text>development of
common standards, specifications, and architectures for both transportation and
stationary battery applications;</text>
</clause><clause id="H8832F988EE844E6BB68014602CAD4857"><enum>(xxvii)</enum><text display-inline="yes-display-inline">advanced internal combustion engines;
and</text>
</clause><clause id="HA7CBDFBB4FCC46C7BA821400DB110DDF"><enum>(xxviii)</enum><text>other
research areas as determined by the Secretary.</text>
</clause></subparagraph><subparagraph id="H19935CB76A2548EBBFAFBC2D881DB0AE"><enum>(B)</enum><header>Transformational
technology</header><text display-inline="yes-display-inline">The Secretary
shall ensure that the Department continues to support research, development,
engineering, demonstration, and commercial application activities and maintains
competency in mid- to long-term transformational vehicle technologies with
potential to achieve deep reductions in petroleum use and emissions, including
activities in the areas of—</text>
<clause id="H7419088394404176B314FAE0477CAFBC"><enum>(i)</enum><text display-inline="yes-display-inline">hydrogen vehicle technologies, including
fuel cells, internal combustion engines, hydrogen storage, infrastructure, and
activities in hydrogen technology validation and safety codes and
standards;</text>
</clause><clause display-inline="no-display-inline" id="H1DE8016B24A94CB0B12C158401074977"><enum>(ii)</enum><text display-inline="yes-display-inline">multiple battery chemistries and novel
energy storage devices, including nonchemical batteries and electromechanical
storage technologies such as hydraulics, flywheels, and compressed air
storage;</text>
</clause><clause id="H47FBA53BECCD490498DCF9A55EBB1409"><enum>(iii)</enum><text display-inline="yes-display-inline">communication and connectivity among
vehicles, infrastructure, and the electrical grid; and</text>
</clause><clause id="HEA204B6C938046DCADA37AC545A5D1D7"><enum>(iv)</enum><text>other innovative
technologies research and development, as determined by the Secretary.</text>
</clause></subparagraph><subparagraph id="H23CB0A93D7CA462587BD5DCEC3298EF8"><enum>(C)</enum><header>Industry
participation</header><text display-inline="yes-display-inline">To the maximum
extent practicable, activities under this section shall be carried out in
partnership or collaboration with automotive manufacturers, heavy commercial,
vocational, and transit vehicle manufacturers, qualified plug-in electric
vehicle manufacturers, compressed natural gas vehicle manufacturers, vehicle
and engine equipment and component manufacturers, manufacturing equipment
manufacturers, advanced vehicle service providers, fuel producers and energy
suppliers, electric utilities, universities, national laboratories, and
independent research laboratories. In carrying out this section the Secretary
shall—</text>
<clause id="HB3F89567B1164B46845DBD1CB79A8506"><enum>(i)</enum><text display-inline="yes-display-inline">determine whether a wide range of companies
that manufacture or assemble vehicles or components in the United States are
represented in ongoing public private partnership activities, including firms
that have not traditionally participated in federally sponsored research and
development activities, and where possible, partner with such firms that
conduct significant and relevant research and development activities in the
United States;</text>
</clause><clause id="HDB5CAD323FF54024BDC087F2238CEFDB"><enum>(ii)</enum><text display-inline="yes-display-inline">leverage the capabilities and resources of,
and formalize partnerships with, industry-led stakeholder organizations,
nonprofit organizations, industry consortia, and trade associations with
expertise in the research and development of, and education and outreach
activities in, advanced automotive and commercial vehicle technologies;</text>
</clause><clause id="H64A7F8A334624A1A9C71A59C44888D6B"><enum>(iii)</enum><text display-inline="yes-display-inline">develop more efficient processes for
transferring research findings and technologies to industry;</text>
</clause><clause display-inline="no-display-inline" id="HC0F7E87097A143D2B4A0CE918A0BD126"><enum>(iv)</enum><text display-inline="yes-display-inline">give consideration to conversion of
existing or former vehicle technology development or manufacturing facilities
for the purposes of this section;</text>
</clause><clause id="HF7A612B3F28D4780835D9259187F9D56"><enum>(v)</enum><text display-inline="yes-display-inline">establish and support public-private
partnerships, dedicated to overcoming barriers in commercial application of
transformational vehicle technologies, that utilize such industry-led
technology development facilities of entities with demonstrated expertise in
successfully designing and engineering pre-commercial generations of such
transformational technology; and</text>
</clause><clause id="HA3F449FCDB174FD4A22F7C63A5BD9C09"><enum>(vi)</enum><text display-inline="yes-display-inline">promote efforts to ensure that technology
research, development, engineering, and commercial application activities
funded under this section are carried out in the United States.</text>
</clause></subparagraph><subparagraph id="H078B0B2F9F6E48699A5989DB876D0160"><enum>(D)</enum><header>Interagency and
intraagency coordination</header><text>To the maximum extent practicable, the
Secretary shall coordinate research, development, demonstration, and commercial
application activities among—</text>
<clause id="HEF69EAE330484F6BBA734403C465194D"><enum>(i)</enum><text>relevant programs
within the Department, including—</text>
<subclause id="H45679E2E7AAE41B2AF5DCCACBF7E7BD1"><enum>(I)</enum><text>the Office of
Energy Efficiency and Renewable Energy;</text>
</subclause><subclause id="HEE2607141B6F4D7DAD996D994F88F894"><enum>(II)</enum><text>the Office of
Science;</text>
</subclause><subclause id="HB2128A853E1F42B4B3C08779C4706E7E"><enum>(III)</enum><text>the Office of
Electricity Delivery and Energy Reliability;</text>
</subclause><subclause id="H648D2372541E4881A8904D63AEC73124"><enum>(IV)</enum><text display-inline="yes-display-inline">the Office of Fossil Energy;</text>
</subclause><subclause id="H5E1C864A25D243899A25A2F6F97535F3"><enum>(V)</enum><text display-inline="yes-display-inline">the Advanced Research Projects
Agency—Energy; and</text>
</subclause><subclause id="HA2424BFC53AB4784B6B3F949A3AC1B06"><enum>(VI)</enum><text>other offices as
determined by the Secretary; and</text>
</subclause></clause><clause commented="no" id="H12A9213C0B6142F691703687BD13487B"><enum>(ii)</enum><text display-inline="yes-display-inline">relevant technology research and
development programs within other Federal agencies, as determined by the
Secretary.</text>
</clause></subparagraph><subparagraph id="H2E33934B03324ED993A44EB5EBAA83AA"><enum>(E)</enum><header>Coordination and
nonduplication</header><text>In coordinating activities the Secretary shall
ensure, to the maximum extent practicable, that activities do not duplicate
those of other programs within the Department or other relevant research
agencies.</text>
</subparagraph><subparagraph id="H7DE5633F4A144ADE94DCF7E650E2064B"><enum>(F)</enum><header>Federal
demonstration of technologies</header><text>The Secretary shall make
information available to procurement programs of Federal agencies regarding the
potential to demonstrate technologies resulting from activities funded through
programs under this section.</text>
</subparagraph><subparagraph id="H32778EB2B8194D1787F1928ECBBC4E00"><enum>(G)</enum><header>Intergovernmental
coordination</header><text>The Secretary shall seek opportunities to leverage
resources and support initiatives of State and local governments in developing
and promoting advanced vehicle technologies, manufacturing, and
infrastructure.</text>
</subparagraph><subparagraph id="H2CB644BFDC8A473EB477460008A5CFC2"><enum>(H)</enum><header>Criteria</header><text>When
awarding grants under this program, the Secretary shall give priority to those
technologies (either individually or as part of a system) that—</text>
<clause id="H5C04371DF44E493D925262283B3D29F3"><enum>(i)</enum><text>provide the
greatest aggregate fuel savings based on the reasonable projected sales volumes
of the technology; and</text>
</clause><clause id="HAD39B385923C4D91A4E01101863D3CB8"><enum>(ii)</enum><text>provide the
greatest increase in United States employment.</text>
</clause></subparagraph></paragraph><paragraph id="HA59C7DCD2F6B4A47AC7D4C7279CF0997"><enum>(2)</enum><header>Sensing and
communications technologies</header><text>The Secretary, in coordination with
the relevant research programs of other Federal agencies, shall conduct
research, development, engineering, and demonstration activities on
connectivity of vehicle and transportation systems, including on sensing,
computation, communication, and actuation technologies that allow for reduced
fuel use, optimized traffic flow, and vehicle electrification, including
technologies for—</text>
<subparagraph id="H0D28402909D74E278981876F71D4B51D"><enum>(A)</enum><text display-inline="yes-display-inline">onboard vehicle, engine, and component
sensing and actuation;</text>
</subparagraph><subparagraph id="HA213C2F1ECC64876B25F23CF53959995"><enum>(B)</enum><text>vehicle-to-vehicle
sensing and communication;</text>
</subparagraph><subparagraph id="HA102D84387A34FBBA60CF63DCFB1D8B3"><enum>(C)</enum><text>vehicle-to-infrastructure
sensing and communication; and</text>
</subparagraph><subparagraph id="HED71CECC1195482DB3E954C42ABCBFB2"><enum>(D)</enum><text>vehicle
integration with the electrical grid.</text>
</subparagraph></paragraph><paragraph id="H2B8831C87C194E5BB91921FF2377DA44"><enum>(3)</enum><header>Manufacturing</header><text>The
Secretary shall carry out a research, development, engineering, demonstration,
and commercial application program of advanced vehicle manufacturing
technologies and practices, including innovative processes to—</text>
<subparagraph id="H0632083D19814337AA2019A79F88CEDA"><enum>(A)</enum><text>increase the
production rate and decrease the cost of advanced battery manufacturing;</text>
</subparagraph><subparagraph id="HDDCF970F52D44DBC9B4F391D79BDCABD"><enum>(B)</enum><text display-inline="yes-display-inline">vary the capability of individual
manufacturing facilities to accommodate different battery chemistries and
configurations;</text>
</subparagraph><subparagraph id="H8BCB7C5B25D34A49B3A7BAD30D83D012"><enum>(C)</enum><text display-inline="yes-display-inline">reduce waste streams, emissions, and energy
intensity of vehicle, engine, advanced battery and component manufacturing
processes;</text>
</subparagraph><subparagraph id="H27A5D91C474A4F509CE928BAE65E9807"><enum>(D)</enum><text display-inline="yes-display-inline">recycle and remanufacture used batteries
and other vehicle components for reuse in vehicles or stationary
applications;</text>
</subparagraph><subparagraph id="HD530E50D209D4762B373BFD2E07F26BC"><enum>(E)</enum><text>produce
cost-effective lightweight materials such as advanced metal alloys, polymeric
composites, and carbon fiber;</text>
</subparagraph><subparagraph display-inline="no-display-inline" id="H5619E2CE1EB14F1589E261D02AB2FDB2"><enum>(F)</enum><text display-inline="yes-display-inline">produce lightweight high pressure storage
systems for gaseous fuels;</text>
</subparagraph><subparagraph id="H681D81AF58124CC4ACB814A9B8407D44"><enum>(G)</enum><text display-inline="yes-display-inline">design and manufacture purpose-built
hydrogen and fuel cell vehicles and components;</text>
</subparagraph><subparagraph display-inline="no-display-inline" id="H3D22EA9B6258401BA47A76CFDE4F766F"><enum>(H)</enum><text display-inline="yes-display-inline">improve the calendar life and cycle life of
advanced batteries; and</text>
</subparagraph><subparagraph id="H440BE0A3D3E74FD49A951427FE5A7323"><enum>(I)</enum><text>produce permanent
magnets for advanced vehicles.</text>
</subparagraph></paragraph><paragraph id="H4220053648544EBDBB4EEE2CF074E35C"><enum>(4)</enum><header>User testing
facilities</header><text>Activities under this section may include
construction, expansion, or modification of new and existing vehicle, engine,
and component research and testing facilities for—</text>
<subparagraph id="HF0831F8281A24F5FBE685DC5C003839B"><enum>(A)</enum><text>testing or
simulating interoperability of a variety of vehicle components and
systems;</text>
</subparagraph><subparagraph id="HA939667A00BF4B428ADE58797CFEA241"><enum>(B)</enum><text>subjecting whole
or partial vehicle platforms to fully representative duty cycles and operating
conditions;</text>
</subparagraph><subparagraph id="H221D1A82E65A45CA8051A2A5AFAE9D58"><enum>(C)</enum><text>developing and
demonstrating a range of chemistries and configurations for advanced vehicle
battery manufacturing; and</text>
</subparagraph><subparagraph id="H70E74B73675746AF96F80AD614FF8AF1"><enum>(D)</enum><text display-inline="yes-display-inline">developing and demonstrating test cycles
for new and alternative fuels, and other advanced vehicle technologies.</text>
</subparagraph></paragraph><paragraph display-inline="no-display-inline" id="H9500EF21636B433D83ADEBCD99686B49"><enum>(5)</enum><header>Reporting</header>
<subparagraph id="H09714DEB88E8402AA79A8C7B39292310"><enum>(A)</enum><header>Technologies
developed</header><text display-inline="yes-display-inline">Not later than 18
months after the date of enactment of this Act and annually thereafter through
2017, the Secretary of Energy shall transmit to Congress a report regarding the
technologies developed as a result of the activities authorized by this
subsection, with a particular emphasis on whether the technologies were
successfully adopted for commercial applications, and if so, whether products
relying on those technologies are manufactured in the United States.</text>
</subparagraph><subparagraph id="H516F05B1B2294B4B85F9803ACD80835D"><enum>(B)</enum><header>Additional
matters</header><text display-inline="yes-display-inline">At the end of each
fiscal year through 2017 the Secretary shall submit to the relevant
congressional committees of jurisdiction an annual report describing activities
undertaken in the previous year under this subsection, active industry
participants, efforts to recruit new participants committed to design,
engineering, and manufacturing of advanced vehicle technologies in the United
States, progress of the program in meeting goals and timelines, and a strategic
plan for funding of activities across agencies.</text>
</subparagraph></paragraph></subsection><subsection id="H4C32B66AE1ED4C5CB8254443A36E4BFA"><enum>(g)</enum><header>Medium- and
Heavy-Duty Commercial and Transit Vehicles</header>
<paragraph id="H117E99922B074771AD636C410AF1D1EF"><enum>(1)</enum><header>Program</header>
<subparagraph id="H7C584F74C27E49AEABCC4D7CFE0A8E40"><enum>(A)</enum><header>In
general</header><text display-inline="yes-display-inline">The Secretary, in
partnership with relevant research and development programs in other Federal
agencies, and a range of appropriate industry stakeholders, shall carry out a
program of cooperative research, development, demonstration, and commercial
application activities on advanced technologies for medium- to heavy-duty
commercial, vocational, recreational, and transit vehicles, including
activities in the areas of—</text>
<clause id="H86D9EC181FA648BC999D04B0ED3768C6"><enum>(i)</enum><text>engine efficiency
and combustion research;</text>
</clause><clause display-inline="no-display-inline" id="HB0F83917C02A441D84563C67F40C50DE"><enum>(ii)</enum><text display-inline="yes-display-inline">on board storage technologies for
compressed and liquefied natural gas;</text>
</clause><clause display-inline="no-display-inline" id="H1821C7F8601A46B9A2092EAEE4780428"><enum>(iii)</enum><text>development and
integration of engine technologies designed for natural gas operation of a
variety of vehicle platforms;</text>
</clause><clause id="H4002DF8B124047EFAE0558B077F07366"><enum>(iv)</enum><text>waste heat
recovery and conversion;</text>
</clause><clause id="HAA594017141E49518493DFB2C060DE42"><enum>(v)</enum><text>improved
aerodynamics and tire rolling resistance;</text>
</clause><clause id="H16D8655AF2D0404681750C30CD49C584"><enum>(vi)</enum><text>energy and
space-efficient emissions control systems;</text>
</clause><clause id="H9F2C26A51C1C46C5962C5D843FC7775E"><enum>(vii)</enum><text display-inline="yes-display-inline">heavy hybrid, hybrid hydraulic, plug-in
hybrid, and electric platforms, and energy storage technologies;</text>
</clause><clause id="H6173EBA3D2B24048B2E02B719A0B5639"><enum>(viii)</enum><text>drivetrain
optimization;</text>
</clause><clause id="HFBDC1F26600E4ACE9AEBD112FCAC1AA5"><enum>(ix)</enum><text>friction and wear
reduction;</text>
</clause><clause id="H1D0BE50300214685ABA3AA3458F074FB"><enum>(x)</enum><text>engine idle and
parasitic energy loss reduction;</text>
</clause><clause id="H0251C9F3FA99450A8F600BB1CCDE5959"><enum>(xi)</enum><text>electrification
of accessory loads;</text>
</clause><clause id="HEA24BE445D324E0DA78C99D22D221614"><enum>(xii)</enum><text>onboard sensing
and communications technologies;</text>
</clause><clause id="H8C0F43725B3548119EFED513D7D7225E"><enum>(xiii)</enum><text display-inline="yes-display-inline">advanced lightweighting materials and
vehicle designs;</text>
</clause><clause id="H41C3B9682A684DE595AC578E438BE31F"><enum>(xiv)</enum><text>increasing load
capacity per vehicle;</text>
</clause><clause id="HFE299518C70F4E1D9D61248711423C75"><enum>(xv)</enum><text>thermal
management of battery systems;</text>
</clause><clause id="H9EC265BE01084F12813499BFA0DFE508"><enum>(xvi)</enum><text>recharging
infrastructure;</text>
</clause><clause id="H647EDB0926D2467FAF441F7B8C2FE789"><enum>(xvii)</enum><text display-inline="yes-display-inline">compressed natural gas
infrastructure;</text>
</clause><clause id="HEDC08957E7004D60A2BC0D682CC095E3"><enum>(xviii)</enum><text>advanced
internal combustion engines;</text>
</clause><clause id="H0A5DE03C096F4AF1B04CB95FF5ABE9FB"><enum>(xix)</enum><text>complete vehicle
modeling and simulation;</text>
</clause><clause id="H1781D98A1B88408DA32B0E9CCDB9021F"><enum>(xx)</enum><text display-inline="yes-display-inline">hydrogen vehicle technologies, including
fuel cells and internal combustion engines, and hydrogen infrastructure;</text>
</clause><clause id="HC54AE3387B2D4F99AB79564FC02BB410"><enum>(xxi)</enum><text>retrofitting
advanced technologies onto existing truck fleets; and</text>
</clause><clause id="HC92E06F8AC1040B19232AF59A6FB56DB"><enum>(xxii)</enum><text>integration of
these and other advanced systems onto a single truck and trailer
platform.</text>
</clause></subparagraph><subparagraph id="HCE72804E3C664826920DA4FE3889335B"><enum>(B)</enum><header>Leadership</header><text display-inline="yes-display-inline">The Secretary shall appoint a full-time
Director to coordinate research, development, demonstration, and commercial
application activities in medium- to heavy-duty commercial, recreational, and
transit vehicle technologies. Responsibilities of the Director shall be
to—</text>
<clause id="HFB6B8DC621544B9B8E7FA774608884A5"><enum>(i)</enum><text>improve
coordination and develop consensus between government agency and industry
partners, and propose new processes for program management and priority setting
to better align activities and budgets among partners;</text>
</clause><clause id="H90F86438978D4159B5E5CD20327BAA63"><enum>(ii)</enum><text>regularly convene
workshops, site visits, demonstrations, conferences, investor forums, and other
events in which information and research findings are shared among program
participants and interested stakeholders;</text>
</clause><clause id="HF10B8AF28F1C43A39626520B6F449781"><enum>(iii)</enum><text>develop a budget
for the Department’s activities with regard to the interagency program, and
provide consultation and guidance on vehicle technology funding priorities
across agencies;</text>
</clause><clause id="H564C06DF38ED48BBA97B00B393DD9998"><enum>(iv)</enum><text display-inline="yes-display-inline">determine a process for reviewing program
technical goals, targets, and timetables and, where applicable, aided by
life-cycle impact and cost analysis, propose revisions or elimination based on
program progress, available funding, and rate of technology adoption;</text>
</clause><clause id="HABFA5DFBE85C4E5AB508CCCAF2AC7E05"><enum>(v)</enum><text>evaluate ongoing
activities of the program and recommend project modifications, including the
termination of projects, where applicable;</text>
</clause><clause id="H5D62375214964D27B2CCBAA3655C2761"><enum>(vi)</enum><text>recruit new
industry participants to the interagency program, including truck, trailer, and
component manufacturers who have not traditionally participated in federally
sponsored research and technology development activities; and</text>
</clause><clause id="HB88C8C4F3E9B47BD99D0CEFBFF113D26"><enum>(vii)</enum><text>other
responsibilities as determined by the Secretary, in consultation with
interagency and industry partners.</text>
</clause></subparagraph><subparagraph display-inline="no-display-inline" id="H207A28BF8D89446DA78E63EFB7275C7E"><enum>(C)</enum><header>Reporting</header><text display-inline="yes-display-inline">At the end of each fiscal year, the
Secretary shall submit to the Congress an annual report describing activities
undertaken in the previous year, active industry participants, efforts to
recruit new participants, progress of the program in meeting goals and
timelines, and a strategic plan for funding of activities across
agencies.</text>
</subparagraph></paragraph><paragraph id="H9697A26B110C49CBADC890B74DEE7332"><enum>(2)</enum><header>Class 8 truck
and trailer systems demonstration</header><text>The Secretary shall conduct a
competitive grant program to demonstrate the integration of multiple advanced
technologies on Class 8 truck and trailer platforms with a goal of improving
overall freight efficiency, as measured in tons and volume of freight hauled or
other work performance-based metrics, by 50 percent, including a combination of
technologies listed in paragraph (1)(A). Applicant teams may be comprised of
truck and trailer manufacturers, engine and component manufacturers, fleet
customers, university researchers, and other applicants as appropriate for the
development and demonstration of integrated Class 8 truck and trailer
systems.</text>
</paragraph><paragraph id="H85262AB2BF8A42F1A25D30C7CFFAD87C"><enum>(3)</enum><header>Technology
testing and metrics</header><text display-inline="yes-display-inline">The
Secretary, in coordination with the partners of the interagency research
program described in paragraph (1)(A)—</text>
<subparagraph id="H83AC10D920BB45FAAC6CC1DB7DB92988"><enum>(A)</enum><text>shall develop
standard testing procedures and technologies for evaluating the performance of
advanced heavy vehicle technologies under a range of representative duty cycles
and operating conditions, including for heavy hybrid propulsion systems;</text>
</subparagraph><subparagraph id="H4E00337921FC407AB35E05C6BE4283AF"><enum>(B)</enum><text display-inline="yes-display-inline">shall evaluate heavy vehicle performance
using work performance-based metrics other than those based on miles per
gallon, including those based on units of volume and weight transported for
freight applications, and appropriate metrics based on the work performed by
nonroad systems; and</text>
</subparagraph><subparagraph id="HAB5200246D8B49498BD018BBE06994C2"><enum>(C)</enum><text display-inline="yes-display-inline">may construct heavy duty truck and bus
testing facilities.</text>
</subparagraph></paragraph><paragraph id="H25E0D591BBF04EFBBB6C8D008884C0F1"><enum>(4)</enum><header>Nonroad systems
pilot program</header><text>The Secretary shall undertake a pilot program of
research, development, demonstration, and commercial applications of
technologies to improve total machine or system efficiency for nonroad mobile
equipment including agricultural and construction equipment, and shall seek
opportunities to transfer relevant research findings and technologies between
the nonroad and on-highway equipment and vehicle sectors.</text>
</paragraph></subsection></section>