[Congressional Record Volume 164, Number 107 (Tuesday, June 26, 2018)]
[Senate]
[Pages S4430-S4431]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
SA 3137. Mrs. SHAHEEN (for herself, Ms. Collins, and Mr. King)
submitted an amendment intended to be proposed by her to the bill H.R.
2, to provide for the reform and continuation of agricultural and other
programs of the Department of Agriculture through fiscal year 2023, and
for other purposes; which was ordered to lie on the table; as follows:
Strike section 9112 and insert the following:
SEC. 9112. COMMUNITY WOOD ENERGY AND WOOD INNOVATION PROGRAM.
Section 9013 of the Farm Security and Rural Investment Act
of 2002 (7 U.S.C. 8113) is amended to read as follows:
``SEC. 9013. COMMUNITY WOOD ENERGY AND WOOD INNOVATION
PROGRAM.
``(a) Definitions.--In this section:
``(1) Community wood energy system.--
``(A) In general.--The term `community wood energy system'
means an energy system that--
``(i) produces useful--
``(I) thermal energy; or
``(II) combined thermal energy and electricity, where
thermal energy is the primary energy produced;
``(ii) services--
``(I) public facilities owned or operated by State or local
governments, including schools, town halls, libraries, and
other public buildings; or
``(II) private or nonprofit facilities, including
commercial and business facilities, such as hospitals, office
buildings, apartment buildings, and manufacturing and
industrial buildings; and
``(iii) uses woody biomass, including residuals from wood
processing facilities, as the primary fuel.
``(B) Inclusions.--The term `community wood energy system'
includes--
``(i) single facility central heating systems;
``(ii) district heating systems serving multiple buildings;
``(iii) combined heat and electric systems, where thermal
energy is the primary energy produced; and
``(iv) other related biomass energy systems, as determined
by the Secretary.
``(2) Eligible entity.--The term `eligible entity' means--
``(A) a State;
``(B) a local government;
``(C) a nonprofit entity; or
``(D) a private commercial entity.
``(3) Eligible project.--The term `eligible project' means
a project described in subsection (b)(2).
``(4) Innovative wood product facility.--The term
`innovative wood product facility' means a manufacturing or
processing plant or mill that produces--
[[Page S4431]]
``(A) building components or systems that use large
panelized wood construction, including mass timber;
``(B) wood products derived from nanotechnology or other
new technology processes, as determined by the Secretary; or
``(C) other innovative wood products that use wood that is
low-value and low-quality, as determined by the Secretary
(referred to in this section as `low-value, low-quality
wood').
``(5) Mass timber.--The term `mass timber' includes--
``(A) cross-laminated timber;
``(B) nail laminated timber;
``(C) glue laminated timber;
``(D) laminated strand lumber; and
``(E) laminated veneer lumber.
``(6) Secretary.--The term Secretary means the Secretary,
acting through the Chief of the Forest Service.
``(b) Grant Program.--
``(1) In general.--The Secretary shall establish a program,
to be known as the `Community Wood Energy and Wood Innovation
Program', to provide to eligible entities grants to carry out
eligible projects described in paragraph (2).
``(2) Eligible projects.--
``(A) In general.--An eligible entity that receives a grant
under paragraph (1) shall use the grant to install a
community wood energy system or to build an innovative wood
product facility in an area in which the market for low-
value, low-quality wood used by the community wood energy
system or innovative wood product facility has declined.
``(B) Limitation.--An eligible entity that receives a grant
under paragraph (1) may only use the grant to install a
community wood energy system that does not exceed a nameplate
capacity of 10 megawatts of thermal energy or combined
thermal and electric energy.
``(3) Selection of grant recipients.--
``(A) Applications.--An eligible entity 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, including a
detailed plan that describes the engineering and design work
to be carried out for the proposed eligible project.
``(B) Selection.--The Secretary shall award grants under
paragraph (1) on a competitive basis, taking into account--
``(i) the energy efficiency of the proposed eligible
project;
``(ii) the cost effectiveness of the proposed eligible
project;
``(iii) whether the proposed eligible project represents
best-in-class commercially available technology;
``(iv) whether the applicant has demonstrated a high
likelihood of the eligible project succeeding, as
demonstrated in the plan required as part of the application
under subparagraph (A); and
``(v) other technical, economic, conservation, and
environmental criteria that the Secretary considers
appropriate.
``(C) Prioritization.--In selecting eligible entities for
grants under subparagraph (B), the Secretary shall give
priority to applicants proposing eligible projects that--
``(i) are located in areas in which markets are needed for
the low-value, low-quality wood;
``(ii) are located in areas with limited access to natural
gas pipelines;
``(iii) include the use or retrofitting of existing sawmill
facilities located in counties in which the average annual
unemployment rate exceeded the national average unemployment
rate by greater than 1 percent in the previous calendar year;
or
``(iv) are located in areas in which markets will aid with
forest restoration.
``(c) Funding Requirements.--
``(1) Cap on capital costs.--
``(A) In general.--Except as provided in subparagraph (B),
the total installed capital cost of an eligible project that
receives a grant under subsection (b)(1) shall not exceed
$1,000,000.
``(B) Exception.--The Secretary may award a grant to an
eligible entity for an eligible project the total installed
capital cost of which exceeds the cap described in
subparagraph (A) but does not exceed $1,500,000 if, as
determined by the Secretary, special circumstances warrant
such a grant, such as the eligible project being carried out
at a school or hospital located in a low-income community.
``(2) Cost-sharing requirements.--
``(A) Federal share.--
``(i) In general.--Except as provided in clause (ii), the
Federal share of the installed capital cost of an eligible
project carried out by an eligible entity that receives a
grant under subsection (b)(1) shall be not greater than 35
percent.
``(ii) Exception.--The Federal share of the installed
capital cost of an eligible project carried out by an
eligible entity that receives a grant under subsection (b)(1)
may be not greater than 50 percent if the Secretary
determines that special circumstances warrant such a Federal
share, such as the eligible project being carried out at a
school or hospital located in a low-income community.
``(B) Non-federal share.--The non-Federal share of the
installed capital cost of an eligible project carried out by
an eligible entity that receives a grant under subsection
(b)(1) shall be not less than the Federal share provided
under clause (i) or (ii) of subparagraph (A), as applicable.
``(d) Report to Congress.--Not later than December 31,
2019, and not less frequently than once every 2 years
thereafter, the Secretary shall submit to the Committee on
Energy and Natural Resources of the Senate, the Committee on
Agriculture, Nutrition, and Forestry of the Senate, the
Committee on Natural Resources of the House of
Representatives, and the Committee on Agriculture of the
House of Representatives a report that--
``(1) analyzes the impact of the Community Wood Energy and
Wood Innovation Program on supporting market investments in
low-value, low-quality wood; and
``(2) identifies specific opportunities and measures
necessary to enhance support for low-value, low-quality wood.
``(e) Authorization of Appropriations.--
``(1) In general.--There is authorized to be appropriated
to the Secretary to carry out this section $25,000,000 for
each of fiscal years 2019 through 2023, to remain available
until expended.
``(2) Limitation.--The Secretary may use not greater than
25 percent of amounts made available under paragraph (1) to
make grants to eligible entities to build innovative wood
product facilities, unless the Secretary has received no
other appropriate applications for grants to install
community wood energy systems.''.
______