[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[S. 2963 Introduced in Senate (IS)]
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114th CONGRESS
2d Session
S. 2963
To provide for grants to clean technology consortia to enhance the
economic, environmental, and energy security of the United States by
promoting domestic development, manufacture, and deployment of clean
technologies, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
May 19, 2016
Mr. Markey introduced the following bill; which was read twice and
referred to the Committee on Commerce, Science, and Transportation
_______________________________________________________________________
A BILL
To provide for grants to clean technology consortia to enhance the
economic, environmental, and energy security of the United States by
promoting domestic development, manufacture, and deployment of clean
technologies, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Consortia-Led Energy and Advanced
Manufacturing Networks Act''.
SEC. 2. DEFINITIONS.
In this Act:
(1) Advanced manufacturing.--
(A) In general.--The term ``advanced
manufacturing'' means a manufacturing process that
makes extensive use of computer, high precision, or
information technologies integrated with a high
performance workforce in a production system capable of
furnishing a heterogeneous mix of products in small or
large volumes with either the efficiency of mass
production or the flexibility of custom manufacturing
in order to respond quickly to customer demands.
(B) Inclusions.--The term ``advanced
manufacturing'' includes--
(i) new ways to manufacture existing
products; and
(ii) the manufacture of new products
emerging from new advanced technologies.
(2) Clean technology.--The term ``clean technology'' means
a technology, production process, or methodology that--
(A) produces energy from solar, wind, geothermal,
biomass, tidal, wave, ocean, or another renewable
energy source (as defined in section 609(a) of the
Public Utility Regulatory Policies Act of 1978 (7
U.S.C. 918c(a)));
(B) more efficiently transmits, distributes, or
stores energy;
(C) enhances energy efficiency for buildings and
industry, including combined heat and power;
(D) enables the development of a Smart Grid (as
described in section 1301 of the Energy Independence
and Security Act of 2007 (42 U.S.C. 17381)), including
integration of renewable energy sources and distributed
generation, demand response, demand side management,
and systems analysis;
(E) produces an advanced or sustainable material
with energy or energy efficiency applications;
(F) improves energy efficiency for transportation,
including electric vehicles; or
(G) enhances water security through improved water
management, conservation, distribution, or end use
applications.
(3) Cluster.--The term ``cluster'' means a network of
entities directly involved in the research, development,
finance, and commercial application of clean technologies and
advanced manufacturing whose geographic proximity facilitates
the use and sharing of skilled human resources, infrastructure,
research facilities, educational and training institutions,
venture capital, and input suppliers.
(4) Consortium.--The term ``consortium'' means a clean
technology consortium established under the program.
(5) Institution of higher education.--The term
``institution of higher education'' has the meaning given the
term in section 101(a) of the Higher Education Act of 1965 (20
U.S.C. 1001(a)).
(6) National laboratory.--The term ``National Laboratory''
has the meaning given the term in section 2 of the Energy
Policy Act of 2005 (42 U.S.C. 15801).
(7) Program.--The term ``program'' means the clean
technology consortia grant program established under section
3(a).
(8) Project.--The term ``project'' means an activity with
respect to which a consortium provides support under this Act.
(9) Qualifying entity.--The term ``qualifying entity''
means--
(A) an institution of higher education that has
entered into a partnership agreement with a private-
sector entity;
(B) a Federal or State entity with a focus on
developing clean technologies or clusters, as
determined by the Secretary;
(C) a nongovernmental organization with expertise
in translational research, clean technology, or cluster
development; or
(D) any other entity determined appropriate by the
Secretary.
(10) Secretary.--The term ``Secretary'' means the Secretary
of Commerce.
(11) Translational research.--The term ``translational
research'' means the coordination of basic or applied research
with technical applications to enable promising discoveries or
inventions to achieve commercial application.
SEC. 3. ESTABLISHMENT OF CLEAN TECHNOLOGY CONSORTIA GRANT PROGRAM.
(a) In General.--The Secretary shall establish a program to enhance
the economic, environmental, and energy security of the United States
by promoting domestic development, manufacture, and deployment of
state-of-the-art clean technologies by making grants to eligible clean
technology consortia.
(b) Consultation and Coordination Required.--In carrying out the
program, the Secretary shall--
(1) leverage the expertise and resources of private
research communities, institutions of higher education,
industry, venture capital, National Laboratories, and other
participants in technology innovation--
(A) to support collaborative, cross-disciplinary
research and development in clean technologies and
advanced manufacturing; and
(B) to develop and accelerate the commercial
application of innovative clean technologies and
advanced manufacturing practices; and
(2) coordinate the innovation activities of consortia with
activities carried out by the Secretary of Energy, the
Secretary of Defense, other Federal agency heads, industry, and
institutions of higher education, including by annually--
(A) issuing guidance regarding national clean
technology and advanced manufacturing development
priorities and strategic objectives; and
(B) convening a conference relating to clean
technology and advanced manufacturing, which shall
bring together representatives of Federal agencies,
industry, institutions of higher education, and other
entities to share research and commercialization
results, program plans, and opportunities for
collaboration.
(c) Purposes of Consortia.--The purposes of a consortia receiving a
grant under the program shall include--
(1) promoting new innovative clean technologies that have
demonstrated interest and potential for commercialization;
(2) expanding advanced manufacturing capabilities,
networks, supply chains, and assets, in the area of clean
technologies, that contribute to regional and national
manufacturing competitiveness and potential for growth;
(3) promoting job creation and entrepreneurship through the
establishment of new companies, the expansion of existing
companies, and commercialization of clean technologies;
(4) providing technical or financial assistance to
companies desiring to invest in clean technologies, new
products or services, or enhanced processes that will grow
sales and jobs;
(5) determining opportunities and challenges that companies
are facing and how to improve the use or production by those
companies of clean technologies;
(6) assisting individual small- and medium-sized
enterprises with adopting and using new clean technologies and
related business and advanced manufacturing practices;
(7) accelerating investment in, and deployment of, clean
technologies through public-private partnerships;
(8) encouraging partnering between and among emerging and
established clean technology and advanced manufacturing
enterprises; and
(9) demonstrating a comprehensive and successful model for
commercialization of clean technologies for promotion and
emulation.
(d) Grant Program.--
(1) In general.--The Secretary shall award grants on a
competitive basis--
(A) not later than 2 years after the date of
enactment of this Act, to at least 1 eligible
consortium; and
(B) not later than 10 years after the date of
enactment of this Act, to not fewer than 6 eligible
consortia.
(2) Eligibility.--To be eligible to receive a grant under
paragraph (1), a consortium shall--
(A) consist of--
(i) one or more institutions of higher
education that can demonstrate a significant
annual clean technology research budget,
entrepreneurial support programs, and
technology licensing expertise; and
(ii) a total of 3 or more qualifying
entities that can demonstrate expertise in
translational research, clean technology, and
cluster development;
(B) have established a binding agreement among the
members of the consortium that documents--
(i) the structure of the partnership
agreement;
(ii) a governance and management structure
that enables cost-effective use of grant funds;
(iii) a conflicts-of-interest policy,
including procedures, consistent with those
procedures of the Department of Commerce, to
ensure that employees and designees for
consortium activities who are in decisionmaking
capacities disclose all material conflicts of
interest, including financial, organizational,
and personal conflicts of interest;
(iv) an accounting structure that meets the
requirements of the Secretary and that may be
audited under subsection (e); and
(v) the existence of an external advisory
committee under paragraph (5);
(C) demonstrate that the consortium receives
funding from one or more non-Federal sources, such as a
State and participants of the consortium, that may be
used to support projects;
(D) be part of an existing cluster or demonstrate
high potential to develop a new cluster;
(E) operate as a nonprofit organization or a
public-private partnership under an operating agreement
led by a nonprofit organization; and
(F) establish an external advisory committee under
paragraph (5).
(3) Grant period; amount of grant.--
(A) Grant period.--
(i) In general.--The initial period of a
grant awarded under paragraph (1) shall not
exceed 5 years.
(ii) Extension.--The Secretary may extend
the term of a grant for a period of not more
than 5 additional years.
(B) Amount of grant.--
(i) In general.--A grant awarded under
paragraph (1) shall not exceed the lesser of--
(I) $30,000,000 per fiscal year; or
(II) the collective contributions
of non-Federal entities to the
consortium, as described in paragraph
(2)(C).
(ii) Flexibility.--In determining the
amount of a grant under this section, the
Secretary shall consider--
(I) the translational research
capacity of the consortium;
(II) the financial, human, and
facility resources of the qualifying
entities; and
(III) the cluster of which the
consortium is a part.
(iii) Increases in amounts.--Subject to
clause (i), a consortium may request an
increase in the amount of a grant at the time
the consortium requests an extension under
subparagraph (A)(ii).
(4) Applications.--
(A) In general.--An eligible consortium desiring a
grant under paragraph (1) shall submit to the Secretary
an application at such time, in such manner, and
containing such information as the Secretary may
require.
(B) Disqualification.--The Secretary may disqualify
an application if the Secretary determines that the
conflicts-of-interest policy of the consortium, as
described in paragraph (2)(B)(iii), is inadequate.
(5) External advisory committees.--
(A) In general.--To be eligible to receive a grant
under paragraph (1), a consortium shall establish an
external advisory committee, the members of which shall
have extensive and relevant scientific, technical,
industry, financial, or research management expertise.
(B) Duties.--An external advisory committee shall--
(i) review the proposed plans, programs,
project selection criteria, and projects of the
consortium; and
(ii) ensure that projects selected by the
consortium meet the applicable conflicts-of-
interest policy of the consortium.
(C) Members.--An external advisory committee shall
consist of--
(i) representatives of the members of the
consortium; and
(ii) such representatives of industry,
including entrepreneurs and venture
capitalists, as the members of the consortium
determine to be necessary.
(D) Secretary as member.--The Secretary shall join
the external advisory committee of each consortium that
receives a grant.
(6) Use of grant funds.--
(A) In general.--Subject to subparagraph (C), a
consortium awarded a grant under paragraph (1) shall
use the grant amounts to support translational
research, technology development, manufacturing
innovation, and commercialization activities relating
to clean technology.
(B) Project selection.--As a condition of receiving
a grant under paragraph (1), a consortium shall--
(i) develop and make available to the
public on the website of the Department of
Commerce proposed plans, programs, project
selection criteria, and terms for individual
project awards;
(ii) establish policies--
(I) to prevent resources provided
to the consortium from being used to
displace private sector investment
otherwise likely to occur, including
investment from private sector entities
that are members of the consortium;
(II) to facilitate the
participation of private entities that
invest in clean technologies--
(aa) to perform due
diligence on award proposals;
(bb) to participate in the
award review process; and
(cc) to provide guidance to
projects supported by the
consortium; and
(III) to facilitate the
participation of entities with a
demonstrated history of commercial
application of clean technologies in
the development of consortium projects;
(iii) oversee project solicitations, review
proposed projects, and select projects for
awards; and
(iv) monitor project implementation.
(C) Limitations.--
(i) Administrative expenses.--A consortium
may not use greater than 10 percent of the
grant amounts for administrative expenses.
(ii) Prohibition on use.--A consortium may
not use any grant amounts to construct a new
building or facility.
(e) Audits.--
(1) In general.--A consortium that receives a grant under
subsection (d)(1) shall carry out, in accordance with such
requirements as the Secretary may prescribe, an annual audit to
determine whether the grant has been used in accordance with
this Act.
(2) Report.--The consortium shall submit a copy of each
audit under paragraph (1) to the Secretary and the Comptroller
General of the United States.
(3) GAO review.--As a condition of receiving a grant under
this Act, a consortium shall allow the Comptroller General of
the United States, on the request of the Comptroller General,
full access to the books, records, and personnel of consortium.
(4) Reports to congress.--The Secretary shall submit to
Congress annually a report that includes--
(A) a copy of each audit carried out under
paragraph (1); and
(B) any recommendations of the Secretary relating
to the program.
(f) Revocation of Awards.--The Secretary may--
(1) review the grants awarded under subsection (d)(1); and
(2) revoke a grant awarded under subsection (d)(1) if the
Secretary determines that a consortium has used the grant in a
manner that is not consistent with this Act.
SEC. 4. AUTHORIZATION OF APPROPRIATIONS.
There is authorized to be appropriated to the Secretary to carry
out this Act $100,000,000.
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