[Congressional Record Volume 166, Number 42 (Tuesday, March 3, 2020)]
[Senate]
[Pages S1338-S1342]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]

  SA 1395. Mr. MERKLEY submitted an amendment intended to be proposed 
by him to the bill S. 2657, to support innovation in advanced 
geothermal research and development, and for other purposes; which was 
ordered to lie on the table; as follows:

        At the end of subtitle C of title II, add the following:

     SEC. 2307. GOOD JOBS FOR 21ST CENTURY ENERGY.

       (a) Department of Labor Certification of Qualified 
     Entities.--
       (1) Definitions.--In this subsection:
       (A) Applicable construction project.--The term ``applicable 
     construction project'', with respect to an entity, means 
     construction by the entity of any property described in 
     section 45L, 48D, or 179D of the Internal Revenue Code of 
     1986.
       (B) Covered project labor agreement.--The term ``covered 
     project labor agreement'' means a project labor agreement 
     that--
       (i) binds all contractors and subcontractors on the 
     construction project through the inclusion of appropriate 
     specifications in all relevant solicitation provisions and 
     contract documents;
       (ii) allows all contractors and subcontractors to compete 
     for contracts and subcontracts without regard to whether they 
     are otherwise a party to a collective bargaining agreement;
       (iii) contains guarantees against strikes, lockouts, and 
     other similar job disruptions;
       (iv) sets forth effective, prompt, and mutually binding 
     procedures for resolving labor disputes arising during the 
     covered project labor agreement; and
       (v) provides other mechanisms for labor-management 
     cooperation on matters of mutual interest and concern, 
     including productivity, quality of work, safety, and health.
       (C) Project labor agreement.--The term ``project labor 
     agreement'' means a pre-hire collective bargaining agreement 
     with one or more labor organizations that establishes the 
     terms and conditions of employment for a specific 
     construction project and is described in section 8(f) of the 
     National Labor Relations Act (29 U.S.C. 158(f)).
       (D) Qualified entity.--The term ``qualified entity'' means 
     an entity that the Secretary of Labor certifies as a 
     qualified entity in accordance with paragraph (2).
       (E) Registered apprenticeship program.--The term 
     ``registered apprenticeship program'' has the meaning given 
     the term in section 171 of the Workforce Innovation and 
     Opportunity Act (29 U.S.C. 3226).
       (2) Certification of qualified entities.--
       (A) In general.--The Secretary of Labor shall establish a 
     process for certifying entities that submit an application 
     under subparagraph (B) as qualified entities for purposes of 
     the amendments made by subsections (b), (c), and (d).
       (B) Application process.--
       (i) In general.--An entity seeking certification as a 
     qualified entity under this paragraph shall submit an 
     application to the Secretary of Labor at such time, in such 
     manner, and containing such information as the Secretary of 
     Labor may reasonably require, including information to 
     demonstrate compliance with the requirements under 
     subparagraph (C).
       (ii) Requests for additional information.--Not later than 1 
     year after receiving an application from an entity under 
     clause (i)--

[[Page S1339]]

       (I) the Secretary of Labor may request additional 
     information from the entity in order to determine whether the 
     entity is in compliance with the requirements under 
     subparagraph (C); and
       (II) the entity shall provide such additional information.

       (iii) Determination deadline.--The Secretary of Labor shall 
     make a determination on whether to certify an entity under 
     this paragraph not later than--

       (I) in a case in which such Secretary requests additional 
     information described in clause (ii)(I), 1 year after such 
     Secretary receives such additional information from the 
     entity; or
       (II) in a case that is not described in subclause (I), 1 
     year after the date on which the entity submits the 
     application under clause (i).

       (iv) Pre-certification remedies.--The Secretary of Labor 
     shall consider any corrective actions taken by an entity 
     seeking certification under this paragraph to remedy an 
     administrative merits determination, arbitral award or 
     decision, or civil judgment identified under subparagraph 
     (C)(i)(IV) and shall impose as a condition of certification 
     any additional remedies necessary to avoid further or 
     repeated violations.
       (C) Labor standards requirements.--
       (i) In general.--The Secretary of Labor shall require an 
     entity, as a condition of certification under this paragraph, 
     to satisfy each of the following requirements:

       (I) The entity shall ensure that all laborers and mechanics 
     employed by contractors and subcontractors in the performance 
     of any applicable construction project shall be paid wages at 
     rates not less than those prevailing on projects of a similar 
     character in the locality as determined by the Secretary of 
     Labor in accordance with subchapter IV of chapter 31 of title 
     40, United States Code (commonly known as the ``Davis-Bacon 
     Act'').
       (II) The entity shall give preference in hiring to workers 
     who--

       (aa) have been previously employed in the fossil fuel 
     industry;
       (bb) are members of deindustrialized communities; or
       (cc) are members of communities with a significant presence 
     of fossil fuel infrastructure or operations.

       (III) The entity shall be a party to, or require 
     contractors and subcontractors in the performance of any 
     applicable construction project to consent to, a covered 
     project labor agreement.
       (IV) The entity, and all contractors and subcontractors in 
     performance of any applicable construction project, shall 
     represent in the application submitted under subparagraph (B) 
     whether there has been any administrative merits 
     determination, arbitral award or decision, or civil judgment, 
     as defined in guidance issued by the Secretary of Labor, 
     rendered against the entity in the preceding 3 years for 
     violations of--

       (aa) the Fair Labor Standards Act of 1938 (29 U.S.C. 201 et 
     seq.);
       (bb) the Occupational Safety and Health Act of 1970 (29 
     U.S.C. 651 et seq.);
       (cc) the Migrant and Seasonal Agricultural Worker 
     Protection Act (29 U.S.C. 1801 et seq.);
       (dd) the National Labor Relations Act (29 U.S.C. 151 et 
     seq.);
       (ee) subchapter IV of chapter 31 of title 40, United States 
     Code (commonly known as the ``Davis-Bacon Act'');
       (ff) chapter 67 of title 41, United States Code (commonly 
     known as the ``Service Contract Act'');
       (gg) Executive Order 11246 (42 U.S.C. 2000e note; relating 
     to equal employment opportunity);
       (hh) section 503 of the Rehabilitation Act of 1973 (29 
     U.S.C. 793);
       (ii) section 4212 of title 38, United States Code;
       (jj) the Family and Medical Leave Act of 1993 (29 U.S.C. 
     2601 et seq.);
       (kk) title VII of the Civil Rights Act of 1964 (42 U.S.C. 
     2000e et seq.);
       (ll) the Americans with Disabilities Act of 1990 (42 U.S.C. 
     12101 et seq.);
       (mm) the Age Discrimination in Employment Act of 1967 (29 
     U.S.C. 621 et seq.);
       (nn) Executive Order 13658 (79 Fed. Reg. 9851; relating to 
     establishing a minimum wage for contractors); or
       (oo) equivalent State laws, as defined in guidance issued 
     by the Secretary of Labor.

       (V) The entity, and all contractors and subcontractors in 
     the performance of any applicable construction project, shall 
     not require mandatory arbitration for any dispute involving a 
     worker engaged in a service for the entity.
       (VI) The entity, and all contractors and subcontractors in 
     the performance of any applicable construction project, shall 
     consider an individual performing any service in such 
     performance as an employee (and not an independent 
     contractor) of the entity, contractor, or subcontractor, 
     respectively, unless--

       (aa) the individual is free from control and direction in 
     connection with the performance of the service, both under 
     the contract for the performance of the service and in fact;
       (bb) the service is performed outside the usual course of 
     the business of the entity, contractor, or subcontractor, 
     respectively; and
       (cc) the individual is customarily engaged in an 
     independently established trade, occupation, profession, or 
     business of the same nature as that involved in such service.

       (VII) The entity shall prohibit all contractors and 
     subcontractors in the performance of any applicable 
     construction project from hiring employees through a 
     temporary staffing agency unless the relevant State workforce 
     agency certifies that temporary employees are necessary to 
     address an acute, short-term labor demand.
       (VIII) The entity shall require all contractors, 
     subcontractors, successors in interest of the entity, and 
     other entities that may acquire the entity, in the 
     performance or acquisition of any applicable construction 
     project, to have an explicit neutrality policy on any issue 
     involving the organization of employees of the entity, and 
     all contractors and subcontractors in the performance of any 
     applicable construction project, for purposes of collective 
     bargaining.
       (IX) The entity shall, for each skilled craft employed on 
     any applicable construction project, demonstrate an ability 
     to use and commit to use individuals enrolled in a registered 
     apprenticeship program, which such individuals shall, to the 
     greatest extent practicable, constitute not less than 20 
     percent of the individuals working on such project.
       (X) The entity, and all contractors and subcontractors in 
     the performance of any applicable construction project, shall 
     not request or otherwise consider the criminal history of an 
     applicant for employment before extending a conditional offer 
     to the applicant, unless--

       (aa) a background check is otherwise required by law;
       (bb) the position is for a Federal law enforcement officer 
     (as defined in section 115(c) of title 18, United States 
     Code) position; or
       (cc) the Secretary of Labor, in consultation with the 
     Secretary of Energy, certifies that precluding criminal 
     history prior to the conditional offer would pose a threat to 
     national security.
       (ii) Davis-bacon act.--The Secretary of Labor shall have, 
     with respect to the labor standards described in clause 
     (i)(I), the authority and functions set forth in 
     Reorganization Plan Numbered 14 of 1950 (64 Stat. 1267; 5 
     U.S.C. App.) and section 3145 of title 40, United States 
     Code.
       (D) Period of validity for certifications.--A certification 
     made under this paragraph shall be in effect for a period of 
     5 years. An entity may reapply to the Secretary of Labor for 
     an additional certification under this paragraph in 
     accordance with the application process under subparagraph 
     (B).
       (E) Revocation of qualified entity status.--The Secretary 
     of Labor may revoke the certification of an entity under this 
     paragraph as a qualified entity at any time in which the 
     Secretary of Labor determines the entity is no longer in 
     compliance with subparagraph (C).
       (3) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $10,000,000 
     for fiscal year 2021 and each fiscal year thereafter.
       (b) Jobs in Energy Credit.--
       (1) In general.--Subpart E of part IV of subchapter A of 
     chapter 1 of the Internal Revenue Code of 1986 is amended by 
     inserting after section 48C the following new section:

     ``SEC. 48D. JOBS IN ENERGY CREDIT.

       ``(a) Investment Credit for Qualified Property.--For 
     purposes of section 46, the Jobs in Energy credit for any 
     taxable year in which the taxpayer has been certified as a 
     qualified entity (as defined in subsection (e)) is an amount 
     equal to 10 percent of the qualified investment for such 
     taxable year with respect to--
       ``(1) any qualified facility,
       ``(2) qualified carbon capture and sequestration equipment, 
     and
       ``(3) energy storage property.
       ``(b) Qualified Investment With Respect to Any Qualified 
     Facility.--
       ``(1) In general.--For purposes of subsection (a)(1), the 
     qualified investment with respect to any qualified facility 
     for any taxable year is the basis of any qualified property 
     placed in service by the taxpayer during such taxable year 
     which is part of a qualified facility.
       ``(2) Qualified property.--The term `qualified property' 
     means property--
       ``(A) which is--
       ``(i) tangible personal property, or
       ``(ii) other tangible property (not including a building or 
     its structural components), but only if such property is used 
     as an integral part of the qualified facility,
       ``(B) with respect to which depreciation (or amortization 
     in lieu of depreciation) is allowable,
       ``(C) which is constructed, reconstructed, erected, or 
     acquired by the taxpayer, and
       ``(D) the original use of which commences with the 
     taxpayer.
       ``(3) Qualified facility.--For purposes of this section, 
     the term `qualified facility' means a facility which is--
       ``(A)(i) used for the generation of electricity from 
     qualified energy resources (as such term is defined in 
     section 45(c)(1)), or
       ``(ii) described in section 638(a)(1) of the Energy Policy 
     Act of 2005 (42 U.S.C. 16014(a)(1)), and
       ``(B) originally placed in service after December 31, 2021.
       ``(c) Qualified Investment With Respect to Qualified Carbon 
     Capture and Sequestration Equipment.--
       ``(1) In general.--For purposes of subsection (a)(2), the 
     qualified investment with respect to qualified carbon capture 
     and sequestration equipment for any taxable year

[[Page S1340]]

     is the basis of any qualified carbon capture and 
     sequestration equipment placed in service by the taxpayer 
     during such taxable year.
       ``(2) Qualified carbon capture and sequestration 
     equipment.--The term `qualified carbon capture and 
     sequestration equipment' means property--
       ``(A) installed at a facility placed in service before 
     January 1, 2021, which--
       ``(i) produces electricity, or
       ``(ii) emits greenhouse gases as a result of industrial 
     processes,
       ``(B) which results in the elimination of carbon dioxide 
     emissions from the facility through the capture and disposal 
     or utilization of qualified carbon dioxide (as defined in 
     paragraph (3)),
       ``(C) with respect to which depreciation is allowable,
       ``(D) which is constructed, reconstructed, erected, or 
     acquired by the taxpayer, and
       ``(E) the original use of which commences with the 
     taxpayer.
       ``(3) Qualified carbon dioxide.--The term `qualified carbon 
     dioxide' means carbon dioxide captured from an industrial 
     source which--
       ``(A) would otherwise be released into the atmosphere as 
     industrial emission of greenhouse gas,
       ``(B) is measured at the source of capture and verified at 
     the point of disposal or utilization,
       ``(C)(i) is disposed of by the taxpayer in secure 
     geological storage (as such term is defined under section 
     45Q(f)(2)), or
       ``(ii) utilized by the taxpayer in a manner described in 
     section 45Q(f)(5), and
       ``(D) is captured and disposed or utilized within the 
     United States (within the meaning of section 638(1)) or a 
     possession of the United States (within the meaning of 
     section 638(2)).
       ``(d) Qualified Investment With Respect to Energy Storage 
     Property.--
       ``(1) In general.--For purposes of subsection (a)(3), the 
     qualified investment with respect to energy storage property 
     for any taxable year is the basis of any energy storage 
     property placed in service by the taxpayer during such 
     taxable year.
       ``(2) Energy storage property.--The term `energy storage 
     property' means property--
       ``(A) which receives, stores, and delivers electricity, or 
     energy for conversion to electricity, provided that such 
     electricity is--
       ``(i) sold by the taxpayer to an unrelated person, or
       ``(ii) in the case of a facility which is equipped with a 
     metering device which is owned and operated by an unrelated 
     person, sold or consumed by the taxpayer,
       ``(B) with respect to which depreciation is allowable,
       ``(C) which is constructed, reconstructed, erected, or 
     acquired by the taxpayer,
       ``(D) the original use of which commences with the 
     taxpayer, and
       ``(E) which is placed in service after December 31, 2021.
       ``(e) Qualified Entity.--
       ``(1) In general.--For purposes of this section, the term 
     `qualified entity' means an entity which has been certified 
     by the Secretary of Labor as being in compliance with all of 
     the applicable requirements under section 2307(a) of the 
     American Energy Innovation Act of 2020.
       ``(2) Aggregation rule.--All persons which are treated as a 
     single employer under subsections (a) and (b) of section 52 
     shall be treated as a single taxpayer.
       ``(3) Requirement for certification prior to 
     construction.--For purposes of this section, an entity shall 
     not be considered a qualified entity unless such entity--
       ``(A) has been certified by the Secretary of Labor as being 
     in compliance with all of the applicable requirements 
     described in paragraph (1) prior to the date with respect to 
     which construction of the property begins, and
       ``(B) maintains such certification for the entirety of the 
     period beginning on the date described in subparagraph (A) 
     and ending on the date in which the property is placed in 
     service.''.
       (2) Conforming amendments.--
       (A) Section 46 of such Code is amended--
       (i) by striking ``and'' at the end of paragraph (5),
       (ii) by striking the period at the end of paragraph (6) and 
     inserting ``, and'', and
       (iii) by adding at the end the following new paragraph:
       ``(7) the Jobs in Energy credit.''.
       (B) Section 49(a)(1)(C) of such Code is amended--
       (i) by striking ``and'' at the end of clause (iv),
       (ii) by striking the period at the end of clause (v) and 
     inserting a comma, and
       (iii) by adding at the end the following new clauses:
       ``(vi) the basis of any qualified property which is part of 
     a qualified facility under section 48D,
       ``(vii) the basis of any qualified carbon capture and 
     sequestration equipment under section 48D, and
       ``(viii) the basis of any energy storage property under 
     section 48D.''.
       (C) The table of sections for subpart E of part IV of 
     subchapter A of chapter 1 of such Code is amended by 
     inserting after the item relating to section 48C the 
     following new item:

``48D. Jobs in Energy credit.''.

       (3) Effective date.--The amendments made by this subsection 
     shall apply to property placed in service after December 31, 
     2021.
       (c) Extension and Enhancement of New Energy Efficient Home 
     Credit.--
       (1) Extension.--Subsection (g) of section 45L of the 
     Internal Revenue Code of 1986 is amended by striking 
     ``December 31, 2020'' and inserting ``December 31, 2030''.
       (2) Increase in credit for qualified entities.--Subsection 
     (a) of such section is amended by adding at the end the 
     following:
       ``(3) Adjustment for qualified entities.--In the case of 
     any taxable year in which the eligible contractor has been 
     certified as a qualified entity (as defined in section 
     48D(e)), paragraph (2) shall be applied--
       ``(A) in subparagraph (A) of such paragraph, by 
     substituting `$2,200' for `$2,000', and
       ``(B) in subparagraph (B) of such paragraph, by 
     substituting `$1,100' for `$1,000'.''.
       (3) Effective date.--The amendments made by this subsection 
     shall apply to any qualified new energy efficient home 
     acquired after December 31, 2021.
       (d) Extension and Enhancement of Energy Efficient 
     Commercial Building Deduction.--
       (1) Extension.--Subsection (h) of section 179D of the 
     Internal Revenue Code of 1986 is amended by striking 
     ``December 31, 2020'' and inserting ``December 31, 2030''.
       (2) Increase in deduction for qualified entities.--
     Subsection (d) of such section is amended by adding at the 
     end the following:
       ``(7) Adjustment for qualified entities.--In the case of 
     any energy efficient commercial building property placed in 
     service during any taxable year, if such property was 
     installed by an entity which is certified as a qualified 
     entity (as defined in section 48D(e)) for such taxable year, 
     subsection (b)(1) shall be applied by substituting `$2.00' 
     for `$1.80' in subparagraph (A) thereof.''.
       (3) Effective date.--The amendments made by this subsection 
     shall apply to any property placed in service after December 
     31, 2021.
       (e) Clean Energy Manufacturing Initiative.--
       (1) In general.--The Secretary shall establish a Clean 
     Energy Manufacturing Initiative within the Department--
       (A) to increase the competitiveness of the United States in 
     manufacturing clean energy technologies;
       (B) to increase the competitiveness of the United States 
     across the manufacturing sector by--
       (i) boosting energy productivity; and
       (ii) leveraging clean affordable domestic energy resources 
     and feedstocks; and
       (C) to develop manufacturing supply chains--
       (i) for the clean energy economy;
       (ii) that prioritize family-sustaining jobs; and
       (iii) that prioritize the development of manufacturing 
     facilities in deindustrialized communities.
       (2) Clean jobs workforce hub.--
       (A) In general.--As part of the Clean Energy Manufacturing 
     Initiative established under paragraph (1), the Secretary 
     shall establish a clean jobs workforce hub under which the 
     Secretary shall convene the entities described in 
     subparagraph (B) to work together to train and provide direct 
     assistance to underserved communities in accessing renewable 
     energy-related jobs.
       (B) Entities described.--The entities referred to in 
     subparagraph (A) are--
       (i) labor organizations;
       (ii) renewable energy employers and industry;
       (iii) frontline and deindustrialized communities; and
       (iv) any other community, industry, or public sector 
     stakeholders, as determined by the Secretary.
       (C) Funding.--Of the funding authorized under paragraph (3) 
     for each fiscal year, the Secretary shall use to carry out 
     this paragraph $25,000,000 each fiscal year.
       (3) Authorization of appropriations.--There is authorized 
     to be appropriated to the Secretary to carry out this 
     subsection $100,000,000 for fiscal year 2021 and each fiscal 
     year thereafter.
       (f) Job Creation Through Energy Efficient Manufacturing.--
       (1) Definitions.--In this subsection:
       (A) Energy management plan.--The term ``energy management 
     plan'' means a plan established under paragraph (2)(C)(v).
       (B) Program.--The term ``program'' means the Financing 
     Energy Efficient Manufacturing Program established under 
     paragraph (2)(A).
       (C) Program manager.--The term ``program manager'' means a 
     qualified entity that receives a grant under paragraph 
     (2)(A).
       (D) Project.--The term ``project'' means an energy 
     efficiency improvement project carried out by a small- or 
     medium-sized manufacturer using grant funds distributed by a 
     project manager.
       (E) Qualified entity.--The term ``qualified entity'' 
     means--
       (i) a State energy office;
       (ii) a nonprofit organization that--

       (I) is focused on providing energy efficiency or renewable 
     energy services; and
       (II) receives funding from a State, Tribe, or utility;

       (iii) an electric cooperative group; and
       (iv) an entity with a public-private partnership under the 
     Hollings Manufacturing Extension Partnership established 
     under section 25(b) of the National Institute of Standards 
     and Technology Act (15 U.S.C. 278k(b)).
       (F) Small- or medium-sized manufacturer.--The term ``small- 
     or medium-sized

[[Page S1341]]

     manufacturer'' means a manufacturing establishment--
       (i) classified in Sector 31, 32, or 33 in the North 
     American Industry Classification System; and
       (ii) that employs not more than 750 employees.
       (2) Financing energy efficient manufacturing program.--
       (A) Establishment.--The Secretary shall establish a 
     program, to be known as the ``Financing Energy Efficient 
     Manufacturing Program'' to provide grants to qualified 
     entities to fund energy efficiency improvement projects in 
     the manufacturing sector.
       (B) Grant applications; selection of grant recipients.--
       (i) Grant applications.--

       (I) In general.--Not later than 180 days after the date of 
     enactment of this Act, qualified entities desiring a grant 
     under subparagraph (A) shall submit to the Secretary an 
     application in such manner and containing such information as 
     the Secretary may require, including a description of--

       (aa) how the qualified entity will work with small- and 
     medium-sized manufacturers to assess the most promising 
     opportunities for energy efficiency improvements;
       (bb) how the qualified entity will work with small- and 
     medium-sized manufacturers and, if appropriate, licensed 
     engineers to establish an energy management plan for the 
     small- or medium-sized manufacturer to carry out a project;
       (cc) the methods and cost-sharing plans the qualified 
     entity will use to distribute funds to small- and medium-
     sized manufacturers to subsidize the costs of carrying out a 
     project;
       (dd) the standards by which the qualified entity will set 
     energy efficiency goals for a project that will result in 
     meaningful reductions in electricity or natural gas use by 
     the small- or medium-sized manufacturer carrying out the 
     project;
       (ee) how the qualified entity will provide support to the 
     small- or medium-sized manufacturer carrying out a project 
     during the implementation of the energy management plan;
       (ff)(AA) any history of the qualified entity of working 
     collaboratively with the regional technical assistance 
     programs of the Department; and
       (BB) how the qualified entity plans to involve the regional 
     technical assistance programs in the activities to be funded 
     by a grant; and
       (gg) how the qualified entity will collect measurements 
     throughout the implementation of the energy management plan--
       (AA) to demonstrate how energy efficiency improvements are 
     being achieved; and
       (BB) to maximize opportunities for project success.

       (II) Partnerships.--Two or more qualified entities may form 
     a partnership to apply, and act as program manager, for a 
     grant under this paragraph.

       (ii) Selection of grant recipients.--

       (I) In general.--Not later than 90 days after the date on 
     which the Secretary receives an application under clause (i), 
     the Secretary shall--

       (aa) review the application;
       (bb) provide the applicant with an opportunity to respond 
     to any questions of the Secretary regarding the application; 
     and
       (cc) select or deny the applicant based on the criteria 
     described in subclause (II).

       (II) Selection criteria.--

       (aa) In general.--The Secretary shall select for grants 
     under this paragraph qualified entities that demonstrate a 
     history of successfully implementing energy efficiency 
     improvement programs for small- and medium-sized 
     manufacturers.
       (bb) Priority.--In making selections under item (aa), the 
     Secretary shall give priority to qualified entities that 
     demonstrate--
       (AA) effective methods for reducing barriers to entry that 
     might otherwise prevent small- and medium-sized manufacturers 
     from participating in the subgrant program under subparagraph 
     (C);
       (BB) flexibility in addressing the needs of different 
     small- and medium-sized manufacturers; and
       (CC) a commitment to hiring for projects contractors that 
     comply with the labor requirements described in subparagraph 
     (D)(ii).
       (C) Subgrants for energy efficiency improvements.--
       (i) In general.--A qualified entity (including a 
     partnership of 1 or more qualified entities under 
     subparagraph (B)(i)(II)) that receives a grant under 
     subparagraph (A) shall act as a program manager to distribute 
     subgrants to small- and medium-sized manufacturers located in 
     the State in which the program manager is located to carry 
     out projects--

       (I) to improve the energy efficiency of the small- or 
     medium-sized manufacturer; and
       (II) to develop technologies to reduce electricity or 
     natural gas use by the small- or medium-sized manufacturer.

       (ii) Applications.--A small- or medium-sized manufacturer 
     desiring a subgrant under clause (i) shall submit to the 
     program manager an application at such time, in such manner, 
     and containing such information as the program manager may 
     require, including a proposal describing the project to be 
     carried out using the subgrant funds.
       (iii) Priority.--In selecting small- or medium-sized 
     manufacturers for subgrants under this subparagraph, the 
     program manager shall give priority to small- or medium-sized 
     manufacturers that commit to hiring for projects contractors 
     that comply with the labor requirements described in 
     subparagraph (D)(ii).
       (iv) Eligibility requirements.--To be eligible to receive a 
     subgrant under clause (i), a small- or medium-sized 
     manufacturer shall be a private, nongovernmental entity.
       (v) Energy management plans.--Each small- or medium-sized 
     manufacturer receiving a subgrant under clause (i), in 
     consultation with the program manager and, if appropriate, 1 
     or more licensed engineers, shall establish an energy 
     management plan for the small- or medium-sized manufacturer 
     to carry out the project.
       (vi) Effect on title to property.--The receipt of Federal 
     funds under this subparagraph shall not prohibit an entity 
     that purchased equipment or other property using those funds 
     from owning sole, permanent title to the equipment or other 
     property.
       (D) Contractors.--
       (i) In general.--Program managers and small- or medium-
     sized manufacturers may hire, if necessary, contractors to 
     perform work relating to the installation, repair, or 
     maintenance of equipment used under a project.
       (ii) Labor requirements.--In an application for a grant or 
     subgrant under this paragraph, a program manager or a small- 
     or medium-sized manufacturer, respectively, shall commit to 
     hiring contractors that are certified by the Secretary of 
     Labor under subsection (a) as being in compliance with all of 
     the applicable requirements under that subsection.
       (E) American iron, steel, and manufactured products.--
       (i) Definitions.--In this subparagraph:

       (I) Iron or steel manufactured product.--The term ``iron or 
     steel manufactured product'' includes any construction 
     material or end product (as those terms are defined in 
     subpart 25.003 of the Federal Acquisition Regulation) that 
     does not otherwise qualify as an iron or steel product, 
     including--

       (aa) an electrical component;
       (bb) a non-ferrous building material, including--
       (AA) aluminum and polyvinylchloride;
       (BB) glass;
       (CC) fiber optics;
       (DD) plastic;
       (EE) wood;
       (FF) masonry;
       (GG) rubber;
       (HH) manufactured stone; and
       (II) any other non-ferrous metals; and
       (cc) any unmanufactured construction material.

       (II) Produced in the united states.--

       (aa) In general.--The term ``produced in the United 
     States''--
       (AA) with respect to an iron or steel product or an iron or 
     steel manufactured product, means that all manufacturing 
     processes for, and materials and components of, the iron or 
     steel product or iron or steel manufactured product, from the 
     initial melting stage through the application of coatings, 
     occurred in the United States; and
       (BB) with respect to an iron or steel manufactured product, 
     means that--
       (CC) the iron or steel manufactured product was 
     manufactured in the United States; and
       (DD) the cost of the components of the iron or steel 
     manufactured product that were mined, produced, or 
     manufactured in the United States is greater than 60 percent 
     of the total cost of the components of the iron or steel 
     manufactured product.
       (bb) Exclusions.--The term ``produced in the United 
     States'', with respect to an iron or steel product or an iron 
     or steel manufactured product, does not include an iron or 
     steel product or an iron or steel manufactured product the 
     materials and components of which were manufactured--
       (AA) abroad from semi-finished steel or iron from the 
     United States; or
       (BB) in the United States from semi-finished steel or iron 
     of foreign origin.
       (ii) Requirement.--Funds made available under the program 
     may not be used for a project unless all of the iron and 
     steel products and iron and steel manufactured products used 
     in the project are produced in the United States.
       (iii) Waiver.--

       (I) In general.--On request of the recipient of a grant 
     under the program, the Secretary may grant for the project of 
     the recipient of the grant a waiver of the requirement 
     described in clause (ii) if the Secretary finds that--

       (aa) the application of clause (ii) would be inconsistent 
     with the public interest;
       (bb) iron or steel products or iron or steel manufactured 
     products are not produced in the United States--
       (AA) in sufficient and reasonably available quantities; or
       (BB) of a satisfactory quality; or
       (cc) the inclusion of iron or steel products or iron or 
     steel manufactured products produced in the United States 
     would increase the cost of the overall project by greater 
     than 25 percent.

       (II) Public notice.--On receipt of a request for a waiver 
     under subclause (I), the Secretary shall--

       (aa) make available to the public, including by electronic 
     means, including on the official public website of the 
     Department, on an informal basis, a copy of the request and 
     all information available to the Secretary relating to the 
     request; and
       (bb) provide for informal public input on the request for a 
     period of not fewer than 15 days before making with respect 
     to the request the finding described in subclause (I).

[[Page S1342]]

       (F) Reporting requirements.--
       (i) In general.--Each program manager shall--

       (I) determine what data shall be required--

       (aa) to be collected by or from each small- or medium-sized 
     manufacturer receiving a subgrant under subparagraph (C); and
       (bb) to be submitted to the program manager to permit 
     analysis of the subgrant program under subparagraph (C); and

       (II) develop metrics to determine the success of the 
     subgrant program under subparagraph (C).

       (ii) Provision of data.--As a condition of receiving a 
     subgrant under subparagraph (C), a small- or medium-sized 
     manufacturer shall provide to the program manager relevant 
     data, as determined by the program manager under clause 
     (i)(I).
       (iii) Proprietary information.--In carrying out this 
     paragraph, each program manager, as appropriate, shall 
     provide for the protection of proprietary information and 
     intellectual property rights.
       (G) Funding.--
       (i) In general.--Out of amounts made available to the 
     Secretary and not otherwise obligated, the Secretary shall 
     use to carry out this paragraph not more than $600,000,000.
       (ii) Requirements for program managers.--A program manager 
     shall use not greater than 7 percent of the grant funds 
     received by the program manager, at the discretion of the 
     program manager--

       (I) to hire and train staff to assist the program manager 
     in administering the subgrant program of the program manager; 
     and
       (II) to market the subgrant program to small- and medium-
     sized manufacturers.

       (iii) Management and oversight.--The Secretary may use not 
     greater than 0.25 percent of the funds made available under 
     clause (i) to carry out subparagraph (E).
       (g) Incentives for Innovative Technologies.--Section 
     1703(b) of the Energy Policy Act of 2005 (42 U.S.C. 16513(b)) 
     is amended--
       (1) by redesignating paragraphs (1) through (10) as 
     subparagraphs (A) through (J), respectively, and indenting 
     appropriately;
       (2) in the matter preceding subparagraph (A) (as so 
     redesignated), by striking ``Projects'' and inserting the 
     following:
       ``(1) In general.--Projects''; and
       (3) by adding at the end the following:
       ``(2) Priority.--In making guarantees under this section, 
     the Secretary shall give priority to projects proposed by 
     applicants that commit to hiring contractors that have been 
     certified by the Secretary of Labor under section 2307(a) of 
     the American Energy Innovation Act of 2020 as being in 
     compliance with all of the applicable requirements under that 
     section.''.
                                 ______