[Congressional Record (Bound Edition), Volume 153 (2007), Part 27]
[House]
[Pages 35833-35934]
[From the U.S. Government Publishing Office, www.gpo.gov]




              ENERGY INDEPENDENCE AND SECURITY ACT OF 2007

  Mr. DINGELL. Mr. Speaker, pursuant to House Resolution 877 and as the 
designee of the majority leader, I call up from the Speaker's table the 
bill (H.R. 6) to move the United States toward greater energy 
independence and security, to increase the production of clean 
renewable fuels, to protect consumers, to increase the efficiency of 
products, buildings, and vehicles, to promote research on and deploy 
greenhouse gas capture and storage options, and to improve the energy 
performance of the Federal Government, and for other purposes, with a 
Senate amendment to the House amendment to the Senate amendment 
thereto, and ask for its immediate consideration in the House.
  The Clerk read the title of the bill.
  The SPEAKER pro tempore. The Clerk will designate the Senate 
amendment.
  The text of the Senate amendment is as follows:

       Senate amendment to House amendment to Senate amendment:
       In lieu of the matter proposed to be inserted by the House 
     amendment to the text of the bill, insert:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Energy 
     Independence and Security Act of 2007''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
Sec. 3. Relationship to other law.

     TITLE I--ENERGY SECURITY THROUGH IMPROVED VEHICLE FUEL ECONOMY

     Subtitle A--Increased Corporate Average Fuel Economy Standards

Sec. 101. Short title.
Sec. 102. Average fuel economy standards for automobiles and certain 
              other vehicles.
Sec. 103. Definitions.
Sec. 104. Credit trading program.
Sec. 105. Consumer information.
Sec. 106. Continued applicability of existing standards.
Sec. 107. National Academy of Sciences studies.
Sec. 108. National Academy of Sciences study of medium-duty and heavy-
              duty truck fuel economy.
Sec. 109. Extension of flexible fuel vehicle credit program.
Sec. 110. Periodic review of accuracy of fuel economy labeling 
              procedures.
Sec. 111. Consumer tire information.
Sec. 112. Use of civil penalties for research and development.
Sec. 113. Exemption from separate calculation requirement.

                Subtitle B--Improved Vehicle Technology

Sec. 131. Transportation electrification.
Sec. 132. Domestic manufacturing conversion grant program.
Sec. 133. Inclusion of electric drive in Energy Policy Act of 1992.
Sec. 134. Loan guarantees for fuel-efficient automobile parts 
              manufacturers.
Sec. 135. Advanced battery loan guarantee program.
Sec. 136. Advanced technology vehicles manufacturing incentive program.

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                   Subtitle C--Federal Vehicle Fleets

Sec. 141. Federal vehicle fleets.
Sec. 142. Federal fleet conservation requirements.

   TITLE II--ENERGY SECURITY THROUGH INCREASED PRODUCTION OF BIOFUELS

                  Subtitle A--Renewable Fuel Standard

Sec. 201. Definitions.
Sec. 202. Renewable fuel standard.
Sec. 203. Study of impact of Renewable Fuel Standard.
Sec. 204. Environmental and resource conservation impacts.
Sec. 205. Biomass based diesel and biodiesel labeling.
Sec. 206. Study of credits for use of renewable electricity in electric 
              vehicles.
Sec. 207. Grants for production of advanced biofuels.
Sec. 208. Integrated consideration of water quality in determinations 
              on fuels and fuel additives.
Sec. 209. Anti-backsliding.
Sec. 210. Effective date, savings provision, and transition rules.

             Subtitle B--Biofuels Research and Development

Sec. 221. Biodiesel.
Sec. 222. Biogas.
Sec. 223. Grants for biofuel production research and development in 
              certain States.
Sec. 224. Biorefinery energy efficiency.
Sec. 225. Study of optimization of flexible fueled vehicles to use E-85 
              fuel.
Sec. 226. Study of engine durability and performance associated with 
              the use of biodiesel.
Sec. 227. Study of optimization of biogas used in natural gas vehicles.
Sec. 228. Algal biomass.
Sec. 229. Biofuels and biorefinery information center.
Sec. 230. Cellulosic ethanol and biofuels research.
Sec. 231. Bioenergy research and development, authorization of 
              appropriation.
Sec. 232. Environmental research and development.
Sec. 233. Bioenergy research centers.
Sec. 234. University based research and development grant program.

                  Subtitle C--Biofuels Infrastructure

Sec. 241. Prohibition on franchise agreement restrictions related to 
              renewable fuel infrastructure.
Sec. 242. Renewable fuel dispenser requirements.
Sec. 243. Ethanol pipeline feasibility study.
Sec. 244. Renewable fuel infrastructure grants.
Sec. 245. Study of the adequacy of transportation of domestically-
              produced renewable fuel by railroads and other modes of 
              transportation.
Sec. 246. Federal fleet fueling centers.
Sec. 247. Standard specifications for biodiesel.
Sec. 248. Biofuels distribution and advanced biofuels infrastructure.

                  Subtitle D--Environmental Safeguards

Sec. 251. Waiver for fuel or fuel additives.

TITLE III--ENERGY SAVINGS THROUGH IMPROVED STANDARDS FOR APPLIANCE AND 
                                LIGHTING

                Subtitle A--Appliance Energy Efficiency

Sec. 301. External power supply efficiency standards.
Sec. 302. Updating appliance test procedures.
Sec. 303. Residential boilers.
Sec. 304. Furnace fan standard process.
Sec. 305. Improving schedule for standards updating and clarifying 
              State authority.
Sec. 306. Regional standards for furnaces, central air conditioners, 
              and heat pumps.
Sec. 307. Procedure for prescribing new or amended standards.
Sec. 308. Expedited rulemakings.
Sec. 309. Battery chargers.
Sec. 310. Standby mode.
Sec. 311. Energy standards for home appliances.
Sec. 312. Walk-in coolers and walk-in freezers.
Sec. 313. Electric motor efficiency standards.
Sec. 314. Standards for single package vertical air conditioners and 
              heat pumps.
Sec. 315. Improved energy efficiency for appliances and buildings in 
              cold climates.
Sec. 316. Technical corrections.

                 Subtitle B--Lighting Energy Efficiency

Sec. 321. Efficient light bulbs.
Sec. 322. Incandescent reflector lamp efficiency standards.
Sec. 323. Public building energy efficient and renewable energy 
              systems.
Sec. 324. Metal halide lamp fixtures.
Sec. 325. Energy efficiency labeling for consumer electronic products.

           TITLE IV--ENERGY SAVINGS IN BUILDINGS AND INDUSTRY

Sec. 401. Definitions.

              Subtitle A--Residential Building Efficiency

Sec. 411. Reauthorization of weatherization assistance program.
Sec. 412. Study of renewable energy rebate programs.
Sec. 413. Energy code improvements applicable to manufactured housing.

           Subtitle B--High-Performance Commercial Buildings

Sec. 421. Commercial high-performance green buildings.
Sec. 422. Zero Net Energy Commercial Buildings Initiative.
Sec. 423. Public outreach.

             Subtitle C--High-Performance Federal Buildings

Sec. 431. Energy reduction goals for Federal buildings.
Sec. 432. Management of energy and water efficiency in Federal 
              buildings.
Sec. 433. Federal building energy efficiency performance standards.
Sec. 434. Management of Federal building efficiency.
Sec. 435. Leasing.
Sec. 436. High-performance green Federal buildings.
Sec. 437. Federal green building performance.
Sec. 438. Storm water runoff requirements for Federal development 
              projects.
Sec. 439. Cost-effective technology acceleration program.
Sec. 440. Authorization of appropriations.
Sec. 441. Public building life-cycle costs.

                Subtitle D--Industrial Energy Efficiency

Sec. 451. Industrial energy efficiency.
Sec. 452. Energy-intensive industries program.
Sec. 453. Energy efficiency for data center buildings.

              Subtitle E--Healthy High-Performance Schools

Sec. 461. Healthy high-performance schools.
Sec. 462. Study on indoor environmental quality in schools.

                   Subtitle F--Institutional Entities

Sec. 471. Energy sustainability and efficiency grants and loans for 
              institutions.

                Subtitle G--Public and Assisted Housing

Sec. 481. Application of International Energy Conservation Code to 
              public and assisted housing.

                     Subtitle H--General Provisions

Sec. 491. Demonstration project.
Sec. 492. Research and development.
Sec. 493. Environmental Protection Agency demonstration grant program 
              for local governments.
Sec. 494. Green Building Advisory Committee.
Sec. 495. Advisory Committee on Energy Efficiency Finance.

     TITLE V--ENERGY SAVINGS IN GOVERNMENT AND PUBLIC INSTITUTIONS

               Subtitle A--United States Capitol Complex

Sec. 501. Capitol complex photovoltaic roof feasibility studies.
Sec. 502. Capitol complex E-85 refueling station.
Sec. 503. Energy and environmental measures in Capitol complex master 
              plan.
Sec. 504. Promoting maximum efficiency in operation of Capitol power 
              plant.
Sec. 505. Capitol power plant carbon dioxide emissions feasibility 
              study and demonstration projects.

           Subtitle B--Energy Savings Performance Contracting

Sec. 511. Authority to enter into contracts; reports.
Sec. 512. Financing flexibility.
Sec. 513. Promoting long-term energy savings performance contracts and 
              verifying savings.
Sec. 514. Permanent reauthorization.
Sec. 515. Definition of energy savings.
Sec. 516. Retention of savings.
Sec. 517. Training Federal contracting officers to negotiate energy 
              efficiency contracts.
Sec. 518. Study of energy and cost savings in nonbuilding applications.

           Subtitle C--Energy Efficiency in Federal Agencies

Sec. 521. Installation of photovoltaic system at Department of Energy 
              headquarters building.
Sec. 522. Prohibition on incandescent lamps by Coast Guard.
Sec. 523. Standard relating to solar hot water heaters.
Sec. 524. Federally-procured appliances with standby power.
Sec. 525. Federal procurement of energy efficient products.
Sec. 526. Procurement and acquisition of alternative fuels.
Sec. 527. Government efficiency status reports.
Sec. 528. OMB government efficiency reports and scorecards.
Sec. 529. Electricity sector demand response.

          Subtitle D--Energy Efficiency of Public Institutions

Sec. 531. Reauthorization of State energy programs.
Sec. 532. Utility energy efficiency programs.

      Subtitle E--Energy Efficiency and Conservation Block Grants

Sec. 541. Definitions.
Sec. 542. Energy Efficiency and Conservation Block Grant Program.
Sec. 543. Allocation of funds.
Sec. 544. Use of funds.
Sec. 545. Requirements for eligible entities.
Sec. 546. Competitive grants.
Sec. 547. Review and evaluation.
Sec. 548. Funding.

             TITLE VI--ACCELERATED RESEARCH AND DEVELOPMENT

                        Subtitle A--Solar Energy

Sec. 601. Short title.
Sec. 602. Thermal energy storage research and development program.
Sec. 603. Concentrating solar power commercial application studies.
Sec. 604. Solar energy curriculum development and certification grants.

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Sec. 605. Daylighting systems and direct solar light pipe technology.
Sec. 606. Solar Air Conditioning Research and Development Program.
Sec. 607. Photovoltaic demonstration program.

                     Subtitle B--Geothermal Energy

Sec. 611. Short title.
Sec. 612. Definitions.
Sec. 613. Hydrothermal research and development.
Sec. 614. General geothermal systems research and development.
Sec. 615. Enhanced geothermal systems research and development.
Sec. 616. Geothermal energy production from oil and gas fields and 
              recovery and production of geopressured gas resources.
Sec. 617. Cost sharing and proposal evaluation.
Sec. 618. Center for geothermal technology transfer.
Sec. 619. GeoPowering America.
Sec. 620. Educational pilot program.
Sec. 621. Reports.
Sec. 622. Applicability of other laws.
Sec. 623. Authorization of appropriations.
Sec. 624. International geothermal energy development.
Sec. 625. High cost region geothermal energy grant program.

   Subtitle C--Marine and Hydrokinetic Renewable Energy Technologies

Sec. 631. Short title.
Sec. 632. Definition.
Sec. 633. Marine and hydrokinetic renewable energy research and 
              development.
Sec. 634. National Marine Renewable Energy Research, Development, and 
              Demonstration Centers.
Sec. 635. Applicability of other laws.
Sec. 636. Authorization of appropriations.

    Subtitle D--Energy Storage for Transportation and Electric Power

Sec. 641. Energy storage competitiveness.

                  Subtitle E--Miscellaneous Provisions

Sec. 651. Lightweight materials research and development.
Sec. 652. Commercial insulation demonstration program.
Sec. 653. Technical criteria for clean coal power Initiative.
Sec. 654. H-Prize.
Sec. 655. Bright Tomorrow Lighting Prizes.
Sec. 656. Renewable Energy innovation manufacturing partnership.

              TITLE VII--CARBON CAPTURE AND SEQUESTRATION

Subtitle A--Carbon Capture and Sequestration Research, Development, and 
                             Demonstration

Sec. 701. Short title.
Sec. 702. Carbon capture and sequestration research, development, and 
              demonstration program.
Sec. 703. Carbon capture.
Sec. 704. Review of large-scale programs.
Sec. 705. Geologic sequestration training and research.
Sec. 706. Relation to Safe Drinking Water Act.
Sec. 707. Safety research.
Sec. 708. University based research and development grant program.

 Subtitle B--Carbon Capture and Sequestration Assessment and Framework

Sec. 711. Carbon dioxide sequestration capacity assessment.
Sec. 712. Assessment of carbon sequestration and methane and nitrous 
              oxide emissions from ecosystems.
Sec. 713. Carbon dioxide sequestration inventory.
Sec. 714. Framework for geological carbon sequestration on public land.

            TITLE VIII--IMPROVED MANAGEMENT OF ENERGY POLICY

                  Subtitle A--Management Improvements

Sec. 801. National media campaign.
Sec. 802. Alaska Natural Gas Pipeline administration.
Sec. 803. Renewable energy deployment.
Sec. 804. Coordination of planned refinery outages.
Sec. 805. Assessment of resources.
Sec. 806. Sense of Congress relating to the use of renewable resources 
              to generate energy.
Sec. 807. Geothermal assessment, exploration information, and priority 
              activities.

 Subtitle B--Prohibitions on Market Manipulation and False Information

Sec. 811. Prohibition on market manipulation.
Sec. 812. Prohibition on false information.
Sec. 813. Enforcement by the Federal Trade Commission.
Sec. 814. Penalties.
Sec. 815. Effect on other laws.

                TITLE IX--INTERNATIONAL ENERGY PROGRAMS

Sec. 901. Definitions.

     Subtitle A--Assistance to Promote Clean and Efficient Energy 
                   Technologies in Foreign Countries

Sec. 911. United States assistance for developing countries.
Sec. 912. United States exports and outreach programs for India, China, 
              and other countries.
Sec. 913. United States trade missions to encourage private sector 
              trade and investment.
Sec. 914. Actions by Overseas Private Investment Corporation.
Sec. 915. Actions by United States Trade and Development Agency.
Sec. 916. Deployment of international clean and efficient energy 
              technologies and investment in global energy markets.
Sec. 917. United States-Israel energy cooperation.

           Subtitle B--International Clean Energy Foundation

Sec. 921. Definitions.
Sec. 922. Establishment and management of Foundation.
Sec. 923. Duties of Foundation.
Sec. 924. Annual report.
Sec. 925. Powers of the Foundation; related provisions.
Sec. 926. General personnel authorities.
Sec. 927. Authorization of appropriations.

                  Subtitle C--Miscellaneous Provisions

Sec. 931. Energy diplomacy and security within the Department of State.
Sec. 932. National Security Council reorganization.
Sec. 933. Annual national energy security strategy report.
Sec. 934. Convention on Supplementary Compensation for Nuclear Damage 
              contingent cost allocation.
Sec. 935. Transparency in extractive industries resource payments.

                          TITLE X--GREEN JOBS

Sec. 1001. Short title.
Sec. 1002. Energy efficiency and renewable energy worker training 
              program.

           TITLE XI--ENERGY TRANSPORTATION AND INFRASTRUCTURE

                Subtitle A--Department of Transportation

Sec. 1101. Office of Climate Change and Environment.

                         Subtitle B--Railroads

Sec. 1111. Advanced technology locomotive grant pilot program.
Sec. 1112. Capital grants for class II and class III railroads.

                   Subtitle C--Marine Transportation

Sec. 1121. Short sea transportation initiative.
Sec. 1122. Short sea shipping eligibility for capital construction 
              fund.
Sec. 1123. Short sea transportation report.

                          Subtitle D--Highways

Sec. 1131. Increased Federal share for CMAQ projects.
Sec. 1132. Distribution of rescissions.
Sec. 1133. Sense of Congress regarding use of complete streets design 
              techniques.

               TITLE XII--SMALL BUSINESS ENERGY PROGRAMS

Sec. 1201. Express loans for renewable energy and energy efficiency.
Sec. 1202. Pilot program for reduced 7(a) fees for purchase of energy 
              efficient technologies.
Sec. 1203. Small business energy efficiency.
Sec. 1204. Larger 504 loan limits to help business develop energy 
              efficient technologies and purchases.
Sec. 1205. Energy saving debentures.
Sec. 1206. Investments in energy saving small businesses.
Sec. 1207. Renewable fuel capital investment company.
Sec. 1208. Study and report.

                         TITLE XIII--SMART GRID

Sec. 1301. Statement of policy on modernization of electricity grid.
Sec. 1302. Smart grid system report.
Sec. 1303. Smart grid advisory committee and smart grid task force.
Sec. 1304. Smart grid technology research, development, and 
              demonstration.
Sec. 1305. Smart grid interoperability framework.
Sec. 1306. Federal matching fund for smart grid investment costs.
Sec. 1307. State consideration of smart grid.
Sec. 1308. Study of the effect of private wire laws on the development 
              of combined heat and power facilities.
Sec. 1309. DOE study of security attributes of smart grid systems.

                     TITLE XIV--POOL AND SPA SAFETY

Sec. 1401. Short title.
Sec. 1402. Findings.
Sec. 1403. Definitions.
Sec. 1404. Federal swimming pool and spa drain cover standard.
Sec. 1405. State swimming pool safety grant program.
Sec. 1406. Minimum State law requirements.
Sec. 1407. Education program.
Sec. 1408. CPSC report.

                      TITLE XV--REVENUE PROVISIONS

Sec. 1500. Amendment of 1986 Code.
Sec. 1501. Extension of additional 0.2 percent FUTA surtax.
Sec. 1502. 7-year amortization of geological and geophysical 
              expenditures for certain major integrated oil companies.

                       TITLE XVI--EFFECTIVE DATE

Sec. 1601. Effective date.

     SEC. 2. DEFINITIONS.

       In this Act:
       (1) Department.--The term ``Department'' means the 
     Department of Energy.
       (2) Institution of higher education.--The term 
     ``institution of higher education'' has the meaning given the 
     term in section 101(a) of the

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     Higher Education Act of 1965 (20 U.S.C. 1001(a)).
       (3) Secretary.--The term ``Secretary'' means the Secretary 
     of Energy.

     SEC. 3. RELATIONSHIP TO OTHER LAW.

       Except to the extent expressly provided in this Act or an 
     amendment made by this Act, nothing in this Act or an 
     amendment made by this Act supersedes, limits the authority 
     provided or responsibility conferred by, or authorizes any 
     violation of any provision of law (including a regulation), 
     including any energy or environmental law or regulation.

     TITLE I--ENERGY SECURITY THROUGH IMPROVED VEHICLE FUEL ECONOMY

     Subtitle A--Increased Corporate Average Fuel Economy Standards

     SEC. 101. SHORT TITLE.

       This subtitle may be cited as the ``Ten-in-Ten Fuel Economy 
     Act''.

     SEC. 102. AVERAGE FUEL ECONOMY STANDARDS FOR AUTOMOBILES AND 
                   CERTAIN OTHER VEHICLES.

       (a) Increased Standards.--Section 32902 of title 49, United 
     States Code, is amended--
       (1) in subsection (a)--
       (A) by striking ``Non-Passenger Automobiles.--'' and 
     inserting ``Prescription of Standards by Regulation.--'';
       (B) by striking ``(except passenger automobiles)'' in 
     subsection (a); and
       (C) by striking the last sentence;
       (2) by striking subsection (b) and inserting the following:
       ``(b) Standards for Automobiles and Certain Other 
     Vehicles.--
       ``(1) In general.--The Secretary of Transportation, after 
     consultation with the Secretary of Energy and the 
     Administrator of the Environmental Protection Agency, shall 
     prescribe separate average fuel economy standards for--
       ``(A) passenger automobiles manufactured by manufacturers 
     in each model year beginning with model year 2011 in 
     accordance with this subsection;
       ``(B) non-passenger automobiles manufactured by 
     manufacturers in each model year beginning with model year 
     2011 in accordance with this subsection; and
       ``(C) work trucks and commercial medium-duty or heavy-duty 
     on-highway vehicles in accordance with subsection (k).
       ``(2) Fuel economy standards for automobiles.--
       ``(A) Automobile fuel economy average for model years 2011 
     through 2020.--The Secretary shall prescribe a separate 
     average fuel economy standard for passenger automobiles and a 
     separate average fuel economy standard for non-passenger 
     automobiles for each model year beginning with model year 
     2011 to achieve a combined fuel economy average for model 
     year 2020 of at least 35 miles per gallon for the total fleet 
     of passenger and non-passenger automobiles manufactured for 
     sale in the United States for that model year.
       ``(B) Automobile fuel economy average for model years 2021 
     through 2030.--For model years 2021 through 2030, the average 
     fuel economy required to be attained by each fleet of 
     passenger and non-passenger automobiles manufactured for sale 
     in the United States shall be the maximum feasible average 
     fuel economy standard for each fleet for that model year.
       ``(C) Progress toward standard required.--In prescribing 
     average fuel economy standards under subparagraph (A), the 
     Secretary shall prescribe annual fuel economy standard 
     increases that increase the applicable average fuel economy 
     standard ratably beginning with model year 2011 and ending 
     with model year 2020.
       ``(3) Authority of the secretary.--The Secretary shall--
       ``(A) prescribe by regulation separate average fuel economy 
     standards for passenger and non-passenger automobiles based 
     on 1 or more vehicle attributes related to fuel economy and 
     express each standard in the form of a mathematical function; 
     and
       ``(B) issue regulations under this title prescribing 
     average fuel economy standards for at least 1, but not more 
     than 5, model years.
       ``(4) Minimum standard.--In addition to any standard 
     prescribed pursuant to paragraph (3), each manufacturer shall 
     also meet the minimum standard for domestically manufactured 
     passenger automobiles, which shall be the greater of--
       ``(A) 27.5 miles per gallon; or
       ``(B) 92 percent of the average fuel economy projected by 
     the Secretary for the combined domestic and non-domestic 
     passenger automobile fleets manufactured for sale in the 
     United States by all manufacturers in the model year, which 
     projection shall be published in the Federal Register when 
     the standard for that model year is promulgated in accordance 
     with this section.''; and
       (3) in subsection (c)--
       (A) by striking ``(1) Subject to paragraph (2) of this 
     subsection, the'' and inserting ``The''; and
       (B) by striking paragraph (2).
       (b) Fuel Economy Standard for Commercial Medium-Duty and 
     Heavy-Duty On-Highway Vehicles and Work Trucks.--Section 
     32902 of title 49, United States Code, is amended by adding 
     at the end the following:
       ``(k) Commercial Medium- and Heavy-Duty On-Highway Vehicles 
     and Work Trucks.--
       ``(1) Study.--Not later than 1 year after the National 
     Academy of Sciences publishes the results of its study under 
     section 108 of the Ten-in-Ten Fuel Economy Act, the Secretary 
     of Transportation, in consultation with the Secretary of 
     Energy and the Administrator of the Environmental Protection 
     Agency, shall examine the fuel efficiency of commercial 
     medium- and heavy-duty on-highway vehicles and work trucks 
     and determine--
       ``(A) the appropriate test procedures and methodologies for 
     measuring the fuel efficiency of such vehicles and work 
     trucks;
       ``(B) the appropriate metric for measuring and expressing 
     commercial medium- and heavy-duty on-highway vehicle and work 
     truck fuel efficiency performance, taking into consideration, 
     among other things, the work performed by such on-highway 
     vehicles and work trucks and types of operations in which 
     they are used;
       ``(C) the range of factors, including, without limitation, 
     design, functionality, use, duty cycle, infrastructure, and 
     total overall energy consumption and operating costs that 
     affect commercial medium- and heavy-duty on-highway vehicle 
     and work truck fuel efficiency; and
       ``(D) such other factors and conditions that could have an 
     impact on a program to improve commercial medium- and heavy-
     duty on-highway vehicle and work truck fuel efficiency.
       ``(2) Rulemaking.--Not later than 24 months after 
     completion of the study required under paragraph (1), the 
     Secretary, in consultation with the Secretary of Energy and 
     the Administrator of the Environmental Protection Agency, by 
     regulation, shall determine in a rulemaking proceeding how to 
     implement a commercial medium- and heavy-duty on-highway 
     vehicle and work truck fuel efficiency improvement program 
     designed to achieve the maximum feasible improvement, and 
     shall adopt and implement appropriate test methods, 
     measurement metrics, fuel economy standards, and compliance 
     and enforcement protocols that are appropriate, cost-
     effective, and technologically feasible for commercial 
     medium- and heavy-duty on-highway vehicles and work trucks. 
     The Secretary may prescribe separate standards for different 
     classes of vehicles under this subsection.
       ``(3) Lead-time; regulatory stability.--The commercial 
     medium- and heavy-duty on-highway vehicle and work truck fuel 
     economy standard adopted pursuant to this subsection shall 
     provide not less than--
       ``(A) 4 full model years of regulatory lead-time; and
       ``(B) 3 full model years of regulatory stability.''.

     SEC. 103. DEFINITIONS.

       (a) In General.--Section 32901(a) of title 49, United 
     States Code, is amended--
       (1) by striking paragraph (3) and inserting the following:
       ``(3) except as provided in section 32908 of this title, 
     `automobile' means a 4-wheeled vehicle that is propelled by 
     fuel, or by alternative fuel, manufactured primarily for use 
     on public streets, roads, and highways and rated at less than 
     10,000 pounds gross vehicle weight, except--
       ``(A) a vehicle operated only on a rail line;
       ``(B) a vehicle manufactured in different stages by 2 or 
     more manufacturers, if no intermediate or final-stage 
     manufacturer of that vehicle manufactures more than 10,000 
     multi-stage vehicles per year; or
       ``(C) a work truck.'';
       (2) by redesignating paragraphs (7) through (16) as 
     paragraphs (8) through (17), respectively;
       (3) by inserting after paragraph (6) the following:
       ``(7) `commercial medium- and heavy-duty on-highway 
     vehicle' means an on-highway vehicle with a gross vehicle 
     weight rating of 10,000 pounds or more.'';
       (4) in paragraph (9)(A), as redesignated, by inserting ``or 
     a mixture of biodiesel and diesel fuel meeting the standard 
     established by the American Society for Testing and Materials 
     or under section 211(u) of the Clean Air Act (42 U.S.C. 
     7545(u)) for fuel containing 20 percent biodiesel (commonly 
     known as `B20')'' after ``alternative fuel'';
       (5) by redesignating paragraph (17), as redesignated, as 
     paragraph (18);
       (6) by inserting after paragraph (16), as redesignated, the 
     following:
       ``(17) `non-passenger automobile' means an automobile that 
     is not a passenger automobile or a work truck.''; and
       (7) by adding at the end the following:
       ``(19) `work truck' means a vehicle that--
       ``(A) is rated at between 8,500 and 10,000 pounds gross 
     vehicle weight; and
       ``(B) is not a medium-duty passenger vehicle (as defined in 
     section 86.1803-01 of title 40, Code of Federal Regulations, 
     as in effect on the date of the enactment of the Ten-in-Ten 
     Fuel Economy Act).''.

     SEC. 104. CREDIT TRADING PROGRAM.

       (a) In General.--Section 32903 of title 49, United States 
     Code, is amended--
       (1) by striking ``section 32902(b)-(d) of this title'' each 
     place it appears and inserting ``subsections (a) through (d) 
     of section 32902'';
       (2) in subsection (a)(2)--
       (A) by striking ``3 consecutive model years'' and inserting 
     ``5 consecutive model years'';
       (B) by striking ``clause (1) of this subsection,'' and 
     inserting ``paragraph (1)'';
       (3) by redesignating subsection (f) as subsection (h); and
       (4) by inserting after subsection (e) the following:
       ``(f) Credit Trading Among Manufacturers.--
       ``(1) In general.--The Secretary of Transportation may 
     establish, by regulation, a fuel economy credit trading 
     program to allow manufacturers whose automobiles exceed the 
     average fuel economy standards prescribed under section

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     32902 to earn credits to be sold to manufacturers whose 
     automobiles fail to achieve the prescribed standards such 
     that the total oil savings associated with manufacturers that 
     exceed the prescribed standards are preserved when trading 
     credits to manufacturers that fail to achieve the prescribed 
     standards.
       ``(2) Limitation.--The trading of credits by a manufacturer 
     to the category of passenger automobiles manufactured 
     domestically is limited to the extent that the fuel economy 
     level of such automobiles shall comply with the requirements 
     of section 32902(b)(4), without regard to any trading of 
     credits from other manufacturers.
       ``(g) Credit Transferring Within a Manufacturer's Fleet.--
       ``(1) In general.--The Secretary of Transportation shall 
     establish by regulation a fuel economy credit transferring 
     program to allow any manufacturer whose automobiles exceed 
     any of the average fuel economy standards prescribed under 
     section 32902 to transfer the credits earned under this 
     section and to apply such credits within that manufacturer's 
     fleet to a compliance category of automobiles that fails to 
     achieve the prescribed standards.
       ``(2) Years for which used.--Credits transferred under this 
     subsection are available to be used in the same model years 
     that the manufacturer could have applied such credits under 
     subsections (a), (b), (d), and (e), as well as for the model 
     year in which the manufacturer earned such credits.
       ``(3) Maximum increase.--The maximum increase in any 
     compliance category attributable to transferred credits is--
       ``(A) for model years 2011 through 2013, 1.0 mile per 
     gallon;
       ``(B) for model years 2014 through 2017, 1.5 miles per 
     gallon; and
       ``(C) for model year 2018 and subsequent model years, 2.0 
     miles per gallon.
       ``(4) Limitation.--The transfer of credits by a 
     manufacturer to the category of passenger automobiles 
     manufactured domestically is limited to the extent that the 
     fuel economy level of such automobiles shall comply with the 
     requirements under section 32904(b)(4), without regard to any 
     transfer of credits from other categories of automobiles 
     described in paragraph (6)(B).
       ``(5) Years available.--A credit may be transferred under 
     this subsection only if it is earned after model year 2010.
       ``(6) Definitions.--In this subsection:
       ``(A) Fleet.--The term `fleet' means all automobiles 
     manufactured by a manufacturer in a particular model year.
       ``(B) Compliance category of automobiles.--The term 
     `compliance category of automobiles' means any of the 
     following 3 categories of automobiles for which compliance is 
     separately calculated under this chapter:
       ``(i) Passenger automobiles manufactured domestically.
       ``(ii) Passenger automobiles not manufactured domestically.
       ``(iii) Non-passenger automobiles.''.
       (b) Conforming Amendments.--
       (1) Limitations.--Section 32902(h) of title 49, United 
     States Code, is amended--
       (A) in paragraph (1), by striking ``and'' at the end;
       (B) in paragraph (2), by striking the period at the end and 
     inserting ``; and''; and
       (C) by adding at the end the following:
       ``(3) may not consider, when prescribing a fuel economy 
     standard, the trading, transferring, or availability of 
     credits under section 32903.''.
       (2) Separate calculations.--Section 32904(b)(1)(B) is 
     amended by striking ``chapter.'' and inserting ``chapter, 
     except for the purposes of section 32903.''.

     SEC. 105. CONSUMER INFORMATION.

       Section 32908 of title 49, United States Code, is amended 
     by adding at the end the following:
       ``(g) Consumer Information.--
       ``(1) Program.--The Secretary of Transportation, in 
     consultation with the Secretary of Energy and the 
     Administrator of the Environmental Protection Agency, shall 
     develop and implement by rule a program to require 
     manufacturers--
       ``(A) to label new automobiles sold in the United States 
     with--
       ``(i) information reflecting an automobile's performance on 
     the basis of criteria that the Administrator shall develop, 
     not later than 18 months after the date of the enactment of 
     the Ten-in-Ten Fuel Economy Act, to reflect fuel economy and 
     greenhouse gas and other emissions over the useful life of 
     the automobile;
       ``(ii) a rating system that would make it easy for 
     consumers to compare the fuel economy and greenhouse gas and 
     other emissions of automobiles at the point of purchase, 
     including a designation of automobiles--

       ``(I) with the lowest greenhouse gas emissions over the 
     useful life of the vehicles; and
       ``(II) the highest fuel economy; and

       ``(iii) a permanent and prominent display that an 
     automobile is capable of operating on an alternative fuel; 
     and
       ``(B) to include in the owner's manual for vehicles capable 
     of operating on alternative fuels information that describes 
     that capability and the benefits of using alternative fuels, 
     including the renewable nature and environmental benefits of 
     using alternative fuels.
       ``(2) Consumer education.--
       ``(A) In general.--The Secretary of Transportation, in 
     consultation with the Secretary of Energy and the 
     Administrator of the Environmental Protection Agency, shall 
     develop and implement by rule a consumer education program to 
     improve consumer understanding of automobile performance 
     described in paragraph (1)(A)(i) and to inform consumers of 
     the benefits of using alternative fuel in automobiles and the 
     location of stations with alternative fuel capacity.
       ``(B) Fuel savings education campaign.--The Secretary of 
     Transportation shall establish a consumer education campaign 
     on the fuel savings that would be recognized from the 
     purchase of vehicles equipped with thermal management 
     technologies, including energy efficient air conditioning 
     systems and glass.
       ``(3) Fuel tank labels for alternative fuel automobiles.--
     The Secretary of Transportation shall by rule require a label 
     to be attached to the fuel compartment of vehicles capable of 
     operating on alternative fuels, with the form of alternative 
     fuel stated on the label. A label attached in compliance with 
     the requirements of section 32905(h) is deemed to meet the 
     requirements of this paragraph.
       ``(4) Rulemaking deadline.--The Secretary of Transportation 
     shall issue a final rule under this subsection not later than 
     42 months after the date of the enactment of the Ten-in-Ten 
     Fuel Economy Act.''.

     SEC. 106. CONTINUED APPLICABILITY OF EXISTING STANDARDS.

       Nothing in this subtitle, or the amendments made by this 
     subtitle, shall be construed to affect the application of 
     section 32902 of title 49, United States Code, to passenger 
     automobiles or non-passenger automobiles manufactured before 
     model year 2011.

     SEC. 107. NATIONAL ACADEMY OF SCIENCES STUDIES.

       (a) In General.--As soon as practicable after the date of 
     enactment of this Act, the Secretary of Transportation shall 
     execute an agreement with the National Academy of Sciences to 
     develop a report evaluating vehicle fuel economy standards, 
     including--
       (1) an assessment of automotive technologies and costs to 
     reflect developments since the Academy's 2002 report 
     evaluating the corporate average fuel economy standards was 
     conducted;
       (2) an analysis of existing and potential technologies that 
     may be used practically to improve automobile and medium-duty 
     and heavy-duty truck fuel economy;
       (3) an analysis of how such technologies may be practically 
     integrated into the automotive and medium-duty and heavy-duty 
     truck manufacturing process; and
       (4) an assessment of how such technologies may be used to 
     meet the new fuel economy standards under chapter 329 of 
     title 49, United States Code, as amended by this subtitle.
       (b) Report.--The Academy shall submit the report to the 
     Secretary, the Committee on Commerce, Science, and 
     Transportation of the Senate, and the Committee on Energy and 
     Commerce of the House of Representatives, with its findings 
     and recommendations not later than 5 years after the date on 
     which the Secretary executes the agreement with the Academy.
       (c) Quinquennial Updates.--After submitting the initial 
     report, the Academy shall update the report at 5 year 
     intervals thereafter through 2025.

     SEC. 108. NATIONAL ACADEMY OF SCIENCES STUDY OF MEDIUM-DUTY 
                   AND HEAVY-DUTY TRUCK FUEL ECONOMY.

       (a) In General.--As soon as practicable after the date of 
     enactment of this Act, the Secretary of Transportation shall 
     execute an agreement with the National Academy of Sciences to 
     develop a report evaluating medium-duty and heavy-duty truck 
     fuel economy standards, including--
       (1) an assessment of technologies and costs to evaluate 
     fuel economy for medium-duty and heavy-duty trucks;
       (2) an analysis of existing and potential technologies that 
     may be used practically to improve medium-duty and heavy-duty 
     truck fuel economy;
       (3) an analysis of how such technologies may be practically 
     integrated into the medium-duty and heavy-duty truck 
     manufacturing process;
       (4) an assessment of how such technologies may be used to 
     meet fuel economy standards to be prescribed under section 
     32902(k) of title 49, United States Code, as amended by this 
     subtitle; and
       (5) associated costs and other impacts on the operation of 
     medium-duty and heavy-duty trucks, including congestion.
       (b) Report.--The Academy shall submit the report to the 
     Secretary, the Committee on Commerce, Science, and 
     Transportation of the Senate, and the Committee on Energy and 
     Commerce of the House of Representatives, with its findings 
     and recommendations not later than 1 year after the date on 
     which the Secretary executes the agreement with the Academy.

     SEC. 109. EXTENSION OF FLEXIBLE FUEL VEHICLE CREDIT PROGRAM.

       (a) In General.--Section 32906 of title 49, United States 
     Code, is amended to read as follows:

     ``Sec. 32906. Maximum fuel economy increase for alternative 
       fuel automobiles

       ``(a) In General.--For each of model years 1993 through 
     2019 for each category of automobile (except an electric 
     automobile), the maximum increase in average fuel economy for 
     a manufacturer attributable to dual fueled automobiles is--
       ``(1) 1.2 miles a gallon for each of model years 1993 
     through 2014;
       ``(2) 1.0 miles per gallon for model year 2015;
       ``(3) 0.8 miles per gallon for model year 2016;
       ``(4) 0.6 miles per gallon for model year 2017;
       ``(5) 0.4 miles per gallon for model year 2018;
       ``(6) 0.2 miles per gallon for model year 2019; and

[[Page 35838]]

       ``(7) 0 miles per gallon for model years after 2019.
       ``(b) Calculation.--In applying subsection (a), the 
     Administrator of the Environmental Protection Agency shall 
     determine the increase in a manufacturer's average fuel 
     economy attributable to dual fueled automobiles by 
     subtracting from the manufacturer's average fuel economy 
     calculated under section 32905(e) the number equal to what 
     the manufacturer's average fuel economy would be if it were 
     calculated by the formula under section 32904(a)(1) by 
     including as the denominator for each model of dual fueled 
     automobiles the fuel economy when the automobiles are 
     operated on gasoline or diesel fuel.''.
       (b) Conforming Amendments.--Section 32905 of title 49, 
     United States Code, is amended--
       (1) in subsection (b), by striking ``1993-2010,'' and 
     inserting ``1993 through 2019,'';
       (2) in subsection (d), by striking ``1993-2010,'' and 
     inserting ``1993 through 2019,'';
       (3) by striking subsections (f) and (g); and
       (4) by redesignating subsection (h) as subsection (f).
       (c) B20 Biodiesel Flexible Fuel Credit.--Section 
     32905(b)(2) of title 49, United States Code, is amended to 
     read as follows:
       ``(2) .5 divided by the fuel economy--
       ``(A) measured under subsection (a) when operating the 
     model on alternative fuel; or
       ``(B) measured based on the fuel content of B20 when 
     operating the model on B20, which is deemed to contain 0.15 
     gallon of fuel.''.

     SEC. 110. PERIODIC REVIEW OF ACCURACY OF FUEL ECONOMY 
                   LABELING PROCEDURES.

       Beginning in December, 2009, and not less often than every 
     5 years thereafter, the Administrator of the Environmental 
     Protection Agency, in consultation with the Secretary of 
     Transportation, shall--
       (1) reevaluate the fuel economy labeling procedures 
     described in the final rule published in the Federal Register 
     on December 27, 2006 (71 Fed. Reg. 77,872; 40 C.F.R. parts 86 
     and 600) to determine whether changes in the factors used to 
     establish the labeling procedures warrant a revision of that 
     process; and
       (2) submit a report to the Committee on Commerce, Science, 
     and Transportation of the Senate and the Committee on Energy 
     and Commerce of the House of Representatives that describes 
     the results of the reevaluation process.

     SEC. 111. CONSUMER TIRE INFORMATION.

       (a) In General.--Chapter 323 of title 49, United States 
     Code, is amended by inserting after section 32304 the 
     following:

     ``Sec. 32304A. Consumer tire information

       ``(a) Rulemaking.--
       ``(1) In general.--Not later than 24 months after the date 
     of enactment of the Ten-in-Ten Fuel Economy Act, the 
     Secretary of Transportation shall, after notice and 
     opportunity for comment, promulgate rules establishing a 
     national tire fuel efficiency consumer information program 
     for replacement tires designed for use on motor vehicles to 
     educate consumers about the effect of tires on automobile 
     fuel efficiency, safety, and durability.
       ``(2) Items included in rule.--The rulemaking shall 
     include--
       ``(A) a national tire fuel efficiency rating system for 
     motor vehicle replacement tires to assist consumers in making 
     more educated tire purchasing decisions;
       ``(B) requirements for providing information to consumers, 
     including information at the point of sale and other 
     potential information dissemination methods, including the 
     Internet;
       ``(C) specifications for test methods for manufacturers to 
     use in assessing and rating tires to avoid variation among 
     test equipment and manufacturers; and
       ``(D) a national tire maintenance consumer education 
     program including, information on tire inflation pressure, 
     alignment, rotation, and tread wear to maximize fuel 
     efficiency, safety, and durability of replacement tires.
       ``(3) Applicability.--This section shall apply only to 
     replacement tires covered under section 575.104(c) of title 
     49, Code of Federal Regulations, in effect on the date of the 
     enactment of the Ten-in-Ten Fuel Economy Act.
       ``(b) Consultation.--The Secretary shall consult with the 
     Secretary of Energy and the Administrator of the 
     Environmental Protection Agency on the means of conveying 
     tire fuel efficiency consumer information.
       ``(c) Report to Congress.--The Secretary shall conduct 
     periodic assessments of the rules promulgated under this 
     section to determine the utility of such rules to consumers, 
     the level of cooperation by industry, and the contribution to 
     national goals pertaining to energy consumption. The 
     Secretary shall transmit periodic reports detailing the 
     findings of such assessments to the Senate Committee on 
     Commerce, Science, and Transportation and the House of 
     Representatives Committee on Energy and Commerce.
       ``(d) Tire Marking.--The Secretary shall not require 
     permanent labeling of any kind on a tire for the purpose of 
     tire fuel efficiency information.
       ``(e) Application With State and Local Laws and 
     Regulations.--Nothing in this section prohibits a State or 
     political subdivision thereof from enforcing a law or 
     regulation on tire fuel efficiency consumer information that 
     was in effect on January 1, 2006. After a requirement 
     promulgated under this section is in effect, a State or 
     political subdivision thereof may adopt or enforce a law or 
     regulation on tire fuel efficiency consumer information 
     enacted or promulgated after January 1, 2006, if the 
     requirements of that law or regulation are identical to the 
     requirement promulgated under this section. Nothing in this 
     section shall be construed to preempt a State or political 
     subdivision thereof from regulating the fuel efficiency of 
     tires (including establishing testing methods for determining 
     compliance with such standards) not otherwise preempted under 
     this chapter.''.
       (b) Enforcement.--Section 32308 of title 49, United States 
     Code, is amended--
       (1) by redesignating subsections (c) and (d) as subsections 
     (d)and (e), respectively; and
       (2) by inserting after subsection (b) the following:
       ``(c) Section 32304A.--Any person who fails to comply with 
     the national tire fuel efficiency information program under 
     section 32304A is liable to the United States Government for 
     a civil penalty of not more than $50,000 for each 
     violation.''.
       (c) Conforming Amendment.--The chapter analysis for chapter 
     323 of title 49, United States Code, is amended by inserting 
     after the item relating to section 32304 the following:

``32304A. Consumer tire information''.

     SEC. 112. USE OF CIVIL PENALTIES FOR RESEARCH AND 
                   DEVELOPMENT.

       Section 32912 of title 49, United States Code, is amended 
     by adding at the end the following:
       ``(e) Use of Civil Penalties.--For fiscal year 2008 and 
     each fiscal year thereafter, from the total amount deposited 
     in the general fund of the Treasury during the preceding 
     fiscal year from fines, penalties, and other funds obtained 
     through enforcement actions conducted pursuant to this 
     section (including funds obtained under consent decrees), the 
     Secretary of the Treasury, subject to the availability of 
     appropriations, shall--
       ``(1) transfer 50 percent of such total amount to the 
     account providing appropriations to the Secretary of 
     Transportation for the administration of this chapter, which 
     shall be used by the Secretary to support rulemaking under 
     this chapter; and
       ``(2) transfer 50 percent of such total amount to the 
     account providing appropriations to the Secretary of 
     Transportation for the administration of this chapter, which 
     shall be used by the Secretary to carry out a program to make 
     grants to manufacturers for retooling, reequipping, or 
     expanding existing manufacturing facilities in the United 
     States to produce advanced technology vehicles and 
     components.''.

     SEC. 113. EXEMPTION FROM SEPARATE CALCULATION REQUIREMENT.

       (a) Repeal.--Paragraphs (6), (7), and (8) of section 
     32904(b) of title 49, United States Code, are repealed.
       (b) Effect of Repeal on Existing Exemptions.--Any exemption 
     granted under section 32904(b)(6) of title 49, United States 
     Code, prior to the date of the enactment of this Act shall 
     remain in effect subject to its terms through model year 
     2013.
       (c) Accrual and Use of Credits.--Any manufacturer holding 
     an exemption under section 32904(b)(6) of title 49, United 
     States Code, prior to the date of the enactment of this Act 
     may accrue and use credits under sections 32903 and 32905 of 
     such title beginning with model year 2011.

                Subtitle B--Improved Vehicle Technology

     SEC. 131. TRANSPORTATION ELECTRIFICATION.

       (a) Definitions.--In this section:
       (1) Administrator.--The term ``Administrator'' means the 
     Administrator of the Environmental Protection Agency.
       (2) Battery.--The term ``battery'' means an electrochemical 
     energy storage system powered directly by electrical current.
       (3) Electric transportation technology.--The term 
     ``electric transportation technology'' means--
       (A) technology used in vehicles that use an electric motor 
     for all or part of the motive power of the vehicles, 
     including battery electric, hybrid electric, plug-in hybrid 
     electric, fuel cell, and plug-in fuel cell vehicles, or rail 
     transportation; or
       (B) equipment relating to transportation or mobile sources 
     of air pollution that use an electric motor to replace an 
     internal combustion engine for all or part of the work of the 
     equipment, including--
       (i) corded electric equipment linked to transportation or 
     mobile sources of air pollution; and
       (ii) electrification technologies at airports, ports, truck 
     stops, and material-handling facilities.
       (4) Nonroad vehicle.--The term ``nonroad vehicle'' means a 
     vehicle--
       (A) powered--
       (i) by a nonroad engine, as that term is defined in section 
     216 of the Clean Air Act (42 U.S.C. 7550); or
       (ii) fully or partially by an electric motor powered by a 
     fuel cell, a battery, or an off-board source of electricity; 
     and
       (B) that is not a motor vehicle or a vehicle used solely 
     for competition.
       (5) Plug-in electric drive vehicle.--The term ``plug-in 
     electric drive vehicle'' means a vehicle that--
       (A) draws motive power from a battery with a capacity of at 
     least 4 kilowatt-hours;
       (B) can be recharged from an external source of electricity 
     for motive power; and
       (C) is a light-, medium-, or heavy-duty motor vehicle or 
     nonroad vehicle (as those terms are defined in section 216 of 
     the Clean Air Act (42 U.S.C. 7550)).
       (6) Qualified electric transportation project.--The term 
     ``qualified electric transportation project'' means an 
     electric transportation technology project that would 
     significantly reduce emissions of criteria pollutants, 
     greenhouse gas emissions, and petroleum, including--

[[Page 35839]]

       (A) shipside or shoreside electrification for vessels;
       (B) truck-stop electrification;
       (C) electric truck refrigeration units;
       (D) battery powered auxiliary power units for trucks;
       (E) electric airport ground support equipment;
       (F) electric material and cargo handling equipment;
       (G) electric or dual-mode electric rail;
       (H) any distribution upgrades needed to supply electricity 
     to the project; and
       (I) any ancillary infrastructure, including panel upgrades, 
     battery chargers, in-situ transformers, and trenching.
       (b) Plug-in Electric Drive Vehicle Program.--
       (1) Establishment.--The Secretary shall establish a 
     competitive program to provide grants on a cost-shared basis 
     to State governments, local governments, metropolitan 
     transportation authorities, air pollution control districts, 
     private or nonprofit entities, or combinations of those 
     governments, authorities, districts, and entities, to carry 
     out 1 or more projects to encourage the use of plug-in 
     electric drive vehicles or other emerging electric vehicle 
     technologies, as determined by the Secretary.
       (2) Administration.--The Secretary shall, in consultation 
     with the Secretary of Transportation and the Administrator, 
     establish requirements for applications for grants under this 
     section, including reporting of data to be summarized for 
     dissemination to grantees and the public, including safety, 
     vehicle, and component performance, and vehicle and component 
     life cycle costs.
       (3) Priority.--In making awards under this subsection, the 
     Secretary shall--
       (A) give priority consideration to applications that--
       (i) encourage early widespread use of vehicles described in 
     paragraph (1); and
       (ii) are likely to make a significant contribution to the 
     advancement of the production of the vehicles in the United 
     States; and
       (B) ensure, to the maximum extent practicable, that the 
     program established under this subsection includes a variety 
     of applications, manufacturers, and end-uses.
       (4) Reporting.--The Secretary shall require a grant 
     recipient under this subsection to submit to the Secretary, 
     on an annual basis, data relating to safety, vehicle 
     performance, life cycle costs, and emissions of vehicles 
     demonstrated under the grant, including emissions of 
     greenhouse gases.
       (5) Cost sharing.--Section 988 of the Energy Policy Act of 
     2005 (42 U.S.C. 16352) shall apply to a grant made under this 
     subsection.
       (6) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $90,000,000 
     for each of fiscal years 2008 through 2012, of which not less 
     than \1/3\ of the total amount appropriated shall be 
     available each fiscal year to make grants to local and 
     municipal governments.
       (c) Near-Term Transportation Sector Electrification 
     Program.--
       (1) In general.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary, in consultation with 
     the Secretary of Transportation and the Administrator, shall 
     establish a program to provide grants for the conduct of 
     qualified electric transportation projects.
       (2) Priority.--In providing grants under this subsection, 
     the Secretary shall give priority to large-scale projects and 
     large-scale aggregators of projects.
       (3) Cost sharing.--Section 988 of the Energy Policy Act of 
     2005 (42 U.S.C. 16352) shall apply to a grant made under this 
     subsection.
       (4) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $95,000,000 
     for each of fiscal years 2008 through 2013.
       (d) Education Program.--
       (1) In general.--The Secretary shall develop a nationwide 
     electric drive transportation technology education program 
     under which the Secretary shall provide--
       (A) teaching materials to secondary schools and high 
     schools; and
       (B) assistance for programs relating to electric drive 
     system and component engineering to institutions of higher 
     education.
       (2) Electric vehicle competition.--The program established 
     under paragraph (1) shall include a plug-in hybrid electric 
     vehicle competition for institutions of higher education, 
     which shall be known as the ``Dr. Andrew Frank Plug-In 
     Electric Vehicle Competition''.
       (3) Engineers.--In carrying out the program established 
     under paragraph (1), the Secretary shall provide financial 
     assistance to institutions of higher education to create new, 
     or support existing, degree programs to ensure the 
     availability of trained electrical and mechanical engineers 
     with the skills necessary for the advancement of--
       (A) plug-in electric drive vehicles; and
       (B) other forms of electric drive transportation technology 
     vehicles.
       (4) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as may be necessary to carry out 
     this subsection.

     SEC. 132. DOMESTIC MANUFACTURING CONVERSION GRANT PROGRAM.

       Section 712 of the Energy Policy Act of 2005 (42 U.S.C. 
     16062) is amended to read as follows:

     ``SEC. 712. DOMESTIC MANUFACTURING CONVERSION GRANT PROGRAM.

       ``(a) Program.--
       ``(1) In general.--The Secretary shall establish a program 
     to encourage domestic production and sales of efficient 
     hybrid and advanced diesel vehicles and components of those 
     vehicles.
       ``(2) Inclusions.--The program shall include grants to 
     automobile manufacturers and suppliers and hybrid component 
     manufacturers to encourage domestic production of efficient 
     hybrid, plug-in electric hybrid, plug-in electric drive, and 
     advanced diesel vehicles.
       ``(3) Priority.--Priority shall be given to the 
     refurbishment or retooling of manufacturing facilities that 
     have recently ceased operation or will cease operation in the 
     near future.
       ``(b) Coordination With State and Local Programs.--The 
     Secretary may coordinate implementation of this section with 
     State and local programs designed to accomplish similar 
     goals, including the retention and retraining of skilled 
     workers from the manufacturing facilities, including by 
     establishing matching grant arrangements.
       ``(c) Authorization of Appropriations.--There are 
     authorized to be appropriated to the Secretary such sums as 
     may be necessary to carry out this section.''.

     SEC. 133. INCLUSION OF ELECTRIC DRIVE IN ENERGY POLICY ACT OF 
                   1992.

       Section 508 of the Energy Policy Act of 1992 (42 U.S.C. 
     13258) is amended--
       (1) by redesignating subsections (a) through (d) as 
     subsections (b) through (e), respectively;
       (2) by inserting before subsection (b) the following:
       ``(a) Definitions.--In this section:
       ``(1) Fuel cell electric vehicle.--The term `fuel cell 
     electric vehicle' means an on-road or nonroad vehicle that 
     uses a fuel cell (as defined in section 803 of the Spark M. 
     Matsunaga Hydrogen Act of 2005 (42 U.S.C. 16152)).
       ``(2) Hybrid electric vehicle.--The term `hybrid electric 
     vehicle' means a new qualified hybrid motor vehicle (as 
     defined in section 30B(d)(3) of the Internal Revenue Code of 
     1986).
       ``(3) Medium- or heavy-duty electric vehicle.--The term 
     `medium- or heavy-duty electric vehicle' means an electric, 
     hybrid electric, or plug-in hybrid electric vehicle with a 
     gross vehicle weight of more than 8,501 pounds.
       ``(4) Neighborhood electric vehicle.--The term 
     `neighborhood electric vehicle' means a 4-wheeled on-road or 
     nonroad vehicle that--
       ``(A) has a top attainable speed in 1 mile of more than 20 
     mph and not more than 25 mph on a paved level surface; and
       ``(B) is propelled by an electric motor and on-board, 
     rechargeable energy storage system that is rechargeable using 
     an off-board source of electricity.
       ``(5) Plug-in electric drive vehicle.--The term `plug-in 
     electric drive vehicle' means a vehicle that--
       ``(A) draws motive power from a battery with a capacity of 
     at least 4 kilowatt-hours;
       ``(B) can be recharged from an external source of 
     electricity for motive power; and
       ``(C) is a light-, medium-, or heavy duty motor vehicle or 
     nonroad vehicle (as those terms are defined in section 216 of 
     the Clean Air Act (42 U.S.C. 7550).'';
       (3) in subsection (b) (as redesignated by paragraph (1))--
       (A) by striking ``The Secretary'' and inserting the 
     following:
       ``(1) Allocation.--The Secretary''; and
       (B) by adding at the end the following:
       ``(2) Electric vehicles.--Not later than January 31, 2009, 
     the Secretary shall--
       ``(A) allocate credit in an amount to be determined by the 
     Secretary for--
       ``(i) acquisition of--

       ``(I) a hybrid electric vehicle;
       ``(II) a plug-in electric drive vehicle;
       ``(III) a fuel cell electric vehicle;
       ``(IV) a neighborhood electric vehicle; or
       ``(V) a medium- or heavy-duty electric vehicle; and

       ``(ii) investment in qualified alternative fuel 
     infrastructure or nonroad equipment, as determined by the 
     Secretary; and
       ``(B) allocate more than 1, but not to exceed 5, credits 
     for investment in an emerging technology relating to any 
     vehicle described in subparagraph (A) to encourage--
       ``(i) a reduction in petroleum demand;
       ``(ii) technological advancement; and
       ``(iii) a reduction in vehicle emissions.'';
       (4) in subsection (c) (as redesignated by paragraph (1)), 
     by striking ``subsection (a)'' and inserting ``subsection 
     (b)''; and
       (5) by adding at the end the following:
       ``(f) Authorization of Appropriations.--There are 
     authorized to be appropriated such sums as are necessary to 
     carry out this section for each of fiscal years 2008 through 
     2013.''.

     SEC. 134. LOAN GUARANTEES FOR FUEL-EFFICIENT AUTOMOBILE PARTS 
                   MANUFACTURERS.

       (a) In General.--Section 712(a)(2) of the Energy Policy Act 
     of 2005 (42 U.S.C. 16062(a)(2)) (as amended by section 132) 
     is amended by inserting ``and loan guarantees under section 
     1703'' after ``grants''.
       (b) Conforming Amendment.--Section 1703(b) of the Energy 
     Policy Act of 2005 (42 U.S.C. 16513(b)) is amended by 
     striking paragraph (8) and inserting the following:
       ``(8) Production facilities for the manufacture of fuel 
     efficient vehicles or parts of those vehicles, including 
     electric drive vehicles and advanced diesel vehicles.''.

     SEC. 135. ADVANCED BATTERY LOAN GUARANTEE PROGRAM.

       (a) Establishment of Program.--The Secretary shall 
     establish a program to provide guarantees of loans by private 
     institutions for the construction of facilities for the 
     manufacture of advanced vehicle batteries and battery systems

[[Page 35840]]

     that are developed and produced in the United States, 
     including advanced lithium ion batteries and hybrid 
     electrical system and component manufacturers and software 
     designers.
       (b) Requirements.--The Secretary may provide a loan 
     guarantee under subsection (a) to an applicant if--
       (1) without a loan guarantee, credit is not available to 
     the applicant under reasonable terms or conditions sufficient 
     to finance the construction of a facility described in 
     subsection (a);
       (2) the prospective earning power of the applicant and the 
     character and value of the security pledged provide a 
     reasonable assurance of repayment of the loan to be 
     guaranteed in accordance with the terms of the loan; and
       (3) the loan bears interest at a rate determined by the 
     Secretary to be reasonable, taking into account the current 
     average yield on outstanding obligations of the United States 
     with remaining periods of maturity comparable to the maturity 
     of the loan.
       (c) Criteria.--In selecting recipients of loan guarantees 
     from among applicants, the Secretary shall give preference to 
     proposals that--
       (1) meet all applicable Federal and State permitting 
     requirements;
       (2) are most likely to be successful; and
       (3) are located in local markets that have the greatest 
     need for the facility.
       (d) Maturity.--A loan guaranteed under subsection (a) shall 
     have a maturity of not more than 20 years.
       (e) Terms and Conditions.--The loan agreement for a loan 
     guaranteed under subsection (a) shall provide that no 
     provision of the loan agreement may be amended or waived 
     without the consent of the Secretary.
       (f) Assurance of Repayment.--The Secretary shall require 
     that an applicant for a loan guarantee under subsection (a) 
     provide an assurance of repayment in the form of a 
     performance bond, insurance, collateral, or other means 
     acceptable to the Secretary in an amount equal to not less 
     than 20 percent of the amount of the loan.
       (g) Guarantee Fee.--The recipient of a loan guarantee under 
     subsection (a) shall pay the Secretary an amount determined 
     by the Secretary to be sufficient to cover the administrative 
     costs of the Secretary relating to the loan guarantee.
       (h) Full Faith and Credit.--The full faith and credit of 
     the United States is pledged to the payment of all guarantees 
     made under this section. Any such guarantee made by the 
     Secretary shall be conclusive evidence of the eligibility of 
     the loan for the guarantee with respect to principal and 
     interest. The validity of the guarantee shall be 
     incontestable in the hands of a holder of the guaranteed 
     loan.
       (i) Reports.--Until each guaranteed loan under this section 
     has been repaid in full, the Secretary shall annually submit 
     to Congress a report on the activities of the Secretary under 
     this section.
       (j) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.
       (k) Termination of Authority.--The authority of the 
     Secretary to issue a loan guarantee under subsection (a) 
     terminates on the date that is 10 years after the date of 
     enactment of this Act.

     SEC. 136. ADVANCED TECHNOLOGY VEHICLES MANUFACTURING 
                   INCENTIVE PROGRAM.

       (a) Definitions.--In this section:
       (1) Advanced technology vehicle.--The term ``advanced 
     technology vehicle'' means a light duty vehicle that meets--
       (A) the Bin 5 Tier II emission standard established in 
     regulations issued by the Administrator of the Environmental 
     Protection Agency under section 202(i) of the Clean Air Act 
     (42 U.S.C. 7521(i)), or a lower-numbered Bin emission 
     standard;
       (B) any new emission standard in effect for fine 
     particulate matter prescribed by the Administrator under that 
     Act (42 U.S.C. 7401 et seq.); and
       (C) at least 125 percent of the average base year combined 
     fuel economy for vehicles with substantially similar 
     attributes.
       (2) Combined fuel economy.--The term ``combined fuel 
     economy'' means--
       (A) the combined city/highway miles per gallon values, as 
     reported in accordance with section 32904 of title 49, United 
     States Code; and
       (B) in the case of an electric drive vehicle with the 
     ability to recharge from an off-board source, the reported 
     mileage, as determined in a manner consistent with the 
     Society of Automotive Engineers recommended practice for that 
     configuration or a similar practice recommended by the 
     Secretary.
       (3) Engineering integration costs.--The term ``engineering 
     integration costs'' includes the cost of engineering tasks 
     relating to--
       (A) incorporating qualifying components into the design of 
     advanced technology vehicles; and
       (B) designing tooling and equipment and developing 
     manufacturing processes and material suppliers for production 
     facilities that produce qualifying components or advanced 
     technology vehicles.
       (4) Qualifying components.--The term ``qualifying 
     components'' means components that the Secretary determines 
     to be--
       (A) designed for advanced technology vehicles; and
       (B) installed for the purpose of meeting the performance 
     requirements of advanced technology vehicles.
       (b) Advanced Vehicles Manufacturing Facility.--The 
     Secretary shall provide facility funding awards under this 
     section to automobile manufacturers and component suppliers 
     to pay not more than 30 percent of the cost of--
       (1) reequipping, expanding, or establishing a manufacturing 
     facility in the United States to produce--
       (A) qualifying advanced technology vehicles; or
       (B) qualifying components; and
       (2) engineering integration performed in the United States 
     of qualifying vehicles and qualifying components.
       (c) Period of Availability.--An award under subsection (b) 
     shall apply to--
       (1) facilities and equipment placed in service before 
     December 30, 2020; and
       (2) engineering integration costs incurred during the 
     period beginning on the date of enactment of this Act and 
     ending on December 30, 2020.
       (d) Direct Loan Program.--
       (1) In general.--Not later than 1 year after the date of 
     enactment of this Act, and subject to the availability of 
     appropriated funds, the Secretary shall carry out a program 
     to provide a total of not more than $25,000,000,000 in loans 
     to eligible individuals and entities (as determined by the 
     Secretary) for the costs of activities described in 
     subsection (b).
       (2) Application.--An applicant for a loan under this 
     subsection shall submit to the Secretary an application at 
     such time, in such manner, and containing such information as 
     the Secretary may require, including a written assurance 
     that--
       (A) all laborers and mechanics employed by contractors or 
     subcontractors during construction, alteration, or repair 
     that is financed, in whole or in part, by a loan under this 
     section shall be paid wages at rates not less than those 
     prevailing on similar construction in the locality, as 
     determined by the Secretary of Labor in accordance with 
     sections 3141-3144, 3146, and 3147 of title 40, United States 
     Code; and
       (B) the Secretary of Labor shall, with respect to the labor 
     standards described in this paragraph, have the authority and 
     functions set forth in Reorganization Plan Numbered 14 of 
     1950 (5 U.S.C. App.) and section 3145 of title 40, United 
     States Code.
       (3) Selection of eligible projects.--The Secretary shall 
     select eligible projects to receive loans under this 
     subsection in cases in which, as determined by the Secretary, 
     the award recipient--
       (A) is financially viable without the receipt of additional 
     Federal funding associated with the proposed project;
       (B) will provide sufficient information to the Secretary 
     for the Secretary to ensure that the qualified investment is 
     expended efficiently and effectively; and
       (C) has met such other criteria as may be established and 
     published by the Secretary.
       (4) Rates, terms, and repayment of loans.--A loan provided 
     under this subsection--
       (A) shall have an interest rate that, as of the date on 
     which the loan is made, is equal to the cost of funds to the 
     Department of the Treasury for obligations of comparable 
     maturity;
       (B) shall have a term equal to the lesser of--
       (i) the projected life, in years, of the eligible project 
     to be carried out using funds from the loan, as determined by 
     the Secretary; and
       (ii) 25 years;
       (C) may be subject to a deferral in repayment for not more 
     than 5 years after the date on which the eligible project 
     carried out using funds from the loan first begins 
     operations, as determined by the Secretary; and
       (D) shall be made by the Federal Financing Bank.
       (e) Improvement.--The Secretary shall issue regulations 
     that require that, in order for an automobile manufacturer to 
     be eligible for an award or loan under this section during a 
     particular year, the adjusted average fuel economy of the 
     manufacturer for light duty vehicles produced by the 
     manufacturer during the most recent year for which data are 
     available shall be not less than the average fuel economy for 
     all light duty vehicles of the manufacturer for model year 
     2005. In order to determine fuel economy baselines for 
     eligibility of a new manufacturer or a manufacturer that has 
     not produced previously produced equivalent vehicles, the 
     Secretary may substitute industry averages.
       (f) Fees.--Administrative costs shall be no more than 
     $100,000 or 10 basis point of the loan.
       (g) Priority.--The Secretary shall, in making awards or 
     loans to those manufacturers that have existing facilities, 
     give priority to those facilities that are oldest or have 
     been in existence for at least 20 years. Such facilities can 
     currently be sitting idle.
       (h) Set Aside for Small Automobile Manufacturers and 
     Component Suppliers.--
       (1) Definition of covered firm.--In this subsection, the 
     term ``covered firm'' means a firm that--
       (A) employs less than 500 individuals; and
       (B) manufactures automobiles or components of automobiles.
       (2) Set aside.--Of the amount of funds that are used to 
     provide awards for each fiscal year under subsection (b), the 
     Secretary shall use not less than 10 percent to provide 
     awards to covered firms or consortia led by a covered firm.
       (i) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section for each of fiscal years 2008 through 2012.

                   Subtitle C--Federal Vehicle Fleets

     SEC. 141. FEDERAL VEHICLE FLEETS.

       Section 303 of the Energy Policy Act of 1992 (42 U.S.C. 
     13212) is amended--

[[Page 35841]]

       (1) by redesignating subsection (f) as subsection (g); and
       (2) by inserting after subsection (e) the following new 
     subsection:
       ``(f) Vehicle Emission Requirements.--
       ``(1) Definitions.--In this subsection:
       ``(A) Federal agency.--The term `Federal agency' does not 
     include any office of the legislative branch, except that it 
     does include the House of Representatives with respect to an 
     acquisition described in paragraph (2)(C).
       ``(B) Medium duty passenger vehicle.--The term `medium duty 
     passenger vehicle' has the meaning given that term section 
     523.2 of title 49 of the Code of Federal Regulations, as in 
     effect on the date of enactment of this paragraph.
       ``(C) Member's representational allowance.--The term 
     `Member's Representational Allowance' means the allowance 
     described in section 101(a) of the House of Representatives 
     Administrative Reform Technical Corrections Act (2 U.S.C. 
     57b(a)).
       ``(2) Prohibition.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     no Federal agency shall acquire a light duty motor vehicle or 
     medium duty passenger vehicle that is not a low greenhouse 
     gas emitting vehicle.
       ``(B) Exception.--The prohibition in subparagraph (A) shall 
     not apply to acquisition of a vehicle if the head of the 
     agency certifies in writing, in a separate certification for 
     each individual vehicle purchased, either--
       ``(i) that no low greenhouse gas emitting vehicle is 
     available to meet the functional needs of the agency and 
     details in writing the functional needs that could not be met 
     with a low greenhouse gas emitting vehicle; or
       ``(ii) that the agency has taken specific alternative more 
     cost-effective measures to reduce petroleum consumption 
     that--

       ``(I) have reduced a measured and verified quantity of 
     greenhouse gas emissions equal to or greater than the 
     quantity of greenhouse gas reductions that would have been 
     achieved through acquisition of a low greenhouse gas emitting 
     vehicle over the lifetime of the vehicle; or
       ``(II) will reduce each year a measured and verified 
     quantity of greenhouse gas emissions equal to or greater than 
     the quantity of greenhouse gas reductions that would have 
     been achieved each year through acquisition of a low 
     greenhouse gas emitting vehicle.

       ``(C) Special rule for vehicles provided by funds contained 
     in members' representational allowance.--This paragraph shall 
     apply to the acquisition of a light duty motor vehicle or 
     medium duty passenger vehicle using any portion of a Member's 
     Representational Allowance, including an acquisition under a 
     long-term lease.
       ``(3) Guidance.--
       ``(A) In general.--Each year, the Administrator of the 
     Environmental Protection Agency shall issue guidance 
     identifying the makes and model numbers of vehicles that are 
     low greenhouse gas emitting vehicles.
       ``(B) Consideration.--In identifying vehicles under 
     subparagraph (A), the Administrator shall take into account 
     the most stringent standards for vehicle greenhouse gas 
     emissions applicable to and enforceable against motor vehicle 
     manufacturers for vehicles sold anywhere in the United 
     States.
       ``(C) Requirement.--The Administrator shall not identify 
     any vehicle as a low greenhouse gas emitting vehicle if the 
     vehicle emits greenhouse gases at a higher rate than such 
     standards allow for the manufacturer's fleet average grams 
     per mile of carbon dioxide-equivalent emissions for that 
     class of vehicle, taking into account any emissions 
     allowances and adjustment factors such standards provide.''.

     SEC. 142. FEDERAL FLEET CONSERVATION REQUIREMENTS.

       Part J of title III of the Energy Policy and Conservation 
     Act (42 U.S.C. 6374 et seq.) is amended by adding at the end 
     the following:

     ``SEC. 400FF. FEDERAL FLEET CONSERVATION REQUIREMENTS.

       ``(a) Mandatory Reduction in Petroleum Consumption.--
       ``(1) In general.--Not later than 18 months after the date 
     of enactment of this section, the Secretary shall issue 
     regulations for Federal fleets subject to section 400AA to 
     require that, beginning in fiscal year 2010, each Federal 
     agency shall reduce petroleum consumption and increase 
     alternative fuel consumption each year by an amount necessary 
     to meet the goals described in paragraph (2).
       ``(2) Goals.--The goals of the requirements under paragraph 
     (1) are that not later than October 1, 2015, and for each 
     year thereafter, each Federal agency shall achieve at least a 
     20 percent reduction in annual petroleum consumption and a 10 
     percent increase in annual alternative fuel consumption, as 
     calculated from the baseline established by the Secretary for 
     fiscal year 2005.
       ``(3) Milestones.--The Secretary shall include in the 
     regulations described in paragraph (1)--
       ``(A) interim numeric milestones to assess annual agency 
     progress towards accomplishing the goals described in that 
     paragraph; and
       ``(B) a requirement that agencies annually report on 
     progress towards meeting each of the milestones and the 2015 
     goals.
       ``(b) Plan.--
       ``(1) Requirement.--
       ``(A) In general.--The regulations under subsection (a) 
     shall require each Federal agency to develop a plan, and 
     implement the measures specified in the plan by dates 
     specified in the plan, to meet the required petroleum 
     reduction levels and the alternative fuel consumption 
     increases, including the milestones specified by the 
     Secretary.
       ``(B) Inclusions.--The plan shall--
       ``(i) identify the specific measures the agency will use to 
     meet the requirements of subsection (a)(2); and
       ``(ii) quantify the reductions in petroleum consumption or 
     increases in alternative fuel consumption projected to be 
     achieved by each measure each year.
       ``(2) Measures.--The plan may allow an agency to meet the 
     required petroleum reduction level through--
       ``(A) the use of alternative fuels;
       ``(B) the acquisition of vehicles with higher fuel economy, 
     including hybrid vehicles, neighborhood electric vehicles, 
     electric vehicles, and plug-in hybrid vehicles if the 
     vehicles are commercially available;
       ``(C) the substitution of cars for light trucks;
       ``(D) an increase in vehicle load factors;
       ``(E) a decrease in vehicle miles traveled;
       ``(F) a decrease in fleet size; and
       ``(G) other measures.''.

   TITLE II--ENERGY SECURITY THROUGH INCREASED PRODUCTION OF BIOFUELS

                  Subtitle A--Renewable Fuel Standard

     SEC. 201. DEFINITIONS.

       Section 211(o)(1) of the Clean Air Act (42 U.S.C. 7545(o)) 
     is amended to read as follows:
       ``(1) Definitions.--In this section:
       ``(A) Additional renewable fuel.--The term `additional 
     renewable fuel' means fuel that is produced from renewable 
     biomass and that is used to replace or reduce the quantity of 
     fossil fuel present in home heating oil or jet fuel.
       ``(B) Advanced biofuel.--
       ``(i) In general.--The term `advanced biofuel' means 
     renewable fuel, other than ethanol derived from corn starch, 
     that has lifecycle greenhouse gas emissions, as determined by 
     the Administrator, after notice and opportunity for comment, 
     that are at least 50 percent less than baseline lifecycle 
     greenhouse gas emissions.
       ``(ii) Inclusions.--The types of fuels eligible for 
     consideration as `advanced biofuel' may include any of the 
     following:

       ``(I) Ethanol derived from cellulose, hemicellulose, or 
     lignin.
       ``(II) Ethanol derived from sugar or starch (other than 
     corn starch).
       ``(III) Ethanol derived from waste material, including crop 
     residue, other vegetative waste material, animal waste, and 
     food waste and yard waste.
       ``(IV) Biomass-based diesel.
       ``(V) Biogas (including landfill gas and sewage waste 
     treatment gas) produced through the conversion of organic 
     matter from renewable biomass.
       ``(VI) Butanol or other alcohols produced through the 
     conversion of organic matter from renewable biomass.
       ``(VII) Other fuel derived from cellulosic biomass.

       ``(C) Baseline lifecycle greenhouse gas emissions.--The 
     term `baseline lifecycle greenhouse gas emissions' means the 
     average lifecycle greenhouse gas emissions, as determined by 
     the Administrator, after notice and opportunity for comment, 
     for gasoline or diesel (whichever is being replaced by the 
     renewable fuel) sold or distributed as transportation fuel in 
     2005.
       ``(D) Biomass-based diesel.--The term `biomass-based 
     diesel' means renewable fuel that is biodiesel as defined in 
     section 312(f) of the Energy Policy Act of 1992 (42 U.S.C. 
     13220(f)) and that has lifecycle greenhouse gas emissions, as 
     determined by the Administrator, after notice and opportunity 
     for comment, that are at least 50 percent less than the 
     baseline lifecycle greenhouse gas emissions. Notwithstanding 
     the preceding sentence, renewable fuel derived from co-
     processing biomass with a petroleum feedstock shall be 
     advanced biofuel if it meets the requirements of subparagraph 
     (B), but is not biomass-based diesel.
       ``(E) Cellulosic biofuel.--The term `cellulosic biofuel' 
     means renewable fuel derived from any cellulose, 
     hemicellulose, or lignin that is derived from renewable 
     biomass and that has lifecycle greenhouse gas emissions, as 
     determined by the Administrator, that are at least 60 percent 
     less than the baseline lifecycle greenhouse gas emissions.
       ``(F) Conventional biofuel.--The term `conventional 
     biofuel' means renewable fuel that is ethanol derived from 
     corn starch.
       ``(G) Greenhouse gas.--The term `greenhouse gas' means 
     carbon dioxide, hydrofluorocarbons, methane, nitrous oxide, 
     perfluorocarbons, sulfur hexafluoride. The Administrator may 
     include any other anthropogenically-emitted gas that is 
     determined by the Administrator, after notice and comment, to 
     contribute to global warming.
       ``(H) Lifecycle greenhouse gas emissions.--The term 
     `lifecycle greenhouse gas emissions' means the aggregate 
     quantity of greenhouse gas emissions (including direct 
     emissions and significant indirect emissions such as 
     significant emissions from land use changes), as determined 
     by the Administrator, related to the full fuel lifecycle, 
     including all stages of fuel and feedstock production and 
     distribution, from feedstock generation or extraction through 
     the distribution and delivery and use of the finished fuel to 
     the ultimate consumer, where the mass values for all 
     greenhouse gases are adjusted to account for their relative 
     global warming potential.
       ``(I) Renewable biomass.--The term `renewable biomass' 
     means each of the following:
       ``(i) Planted crops and crop residue harvested from 
     agricultural land cleared or cultivated at

[[Page 35842]]

     any time prior to the enactment of this sentence that is 
     either actively managed or fallow, and nonforested.
       ``(ii) Planted trees and tree residue from actively managed 
     tree plantations on non-federal land cleared at any time 
     prior to enactment of this sentence, including land belonging 
     to an Indian tribe or an Indian individual, that is held in 
     trust by the United States or subject to a restriction 
     against alienation imposed by the United States.
       ``(iii) Animal waste material and animal byproducts.
       ``(iv) Slash and pre-commercial thinnings that are from 
     non-federal forestlands, including forestlands belonging to 
     an Indian tribe or an Indian individual, that are held in 
     trust by the United States or subject to a restriction 
     against alienation imposed by the United States, but not 
     forests or forestlands that are ecological communities with a 
     global or State ranking of critically imperiled, imperiled, 
     or rare pursuant to a State Natural Heritage Program, old 
     growth forest, or late successional forest.
       ``(v) Biomass obtained from the immediate vicinity of 
     buildings and other areas regularly occupied by people, or of 
     public infrastructure, at risk from wildfire.
       ``(vi) Algae.
       ``(vii) Separated yard waste or food waste, including 
     recycled cooking and trap grease.
       ``(J) Renewable fuel.--The term `renewable fuel' means fuel 
     that is produced from renewable biomass and that is used to 
     replace or reduce the quantity of fossil fuel present in a 
     transportation fuel.
       ``(K) Small refinery.--The term `small refinery' means a 
     refinery for which the average aggregate daily crude oil 
     throughput for a calendar year (as determined by dividing the 
     aggregate throughput for the calendar year by the number of 
     days in the calendar year) does not exceed 75,000 barrels.
       ``(L) Transportation fuel.--The term `transportation fuel' 
     means fuel for use in motor vehicles, motor vehicle engines, 
     nonroad vehicles, or nonroad engines (except for ocean-going 
     vessels).''.

     SEC. 202. RENEWABLE FUEL STANDARD.

       (a) Renewable Fuel Program.--Paragraph (2) of section 
     211(o) (42 U.S.C. 7545(o)(2)) of the Clean Air Act is amended 
     as follows:
       (1) Regulations.--Clause (i) of subparagraph (A) is amended 
     by adding the following at the end thereof: ``Not later than 
     1 year after the date of enactment of this sentence, the 
     Administrator shall revise the regulations under this 
     paragraph to ensure that transportation fuel sold or 
     introduced into commerce in the United States (except in 
     noncontiguous States or territories), on an annual average 
     basis, contains at least the applicable volume of renewable 
     fuel, advanced biofuel, cellulosic biofuel, and biomass-based 
     diesel, determined in accordance with subparagraph (B) and, 
     in the case of any such renewable fuel produced from new 
     facilities that commence construction after the date of 
     enactment of this sentence, achieves at least a 20 percent 
     reduction in lifecycle greenhouse gas emissions compared to 
     baseline lifecycle greenhouse gas emissions.''
       (2) Applicable volumes of renewable fuel.--Subparagraph (B) 
     is amended to read as follows:
       ``(B) Applicable volumes.--
       ``(i) Calendar years after 2005.--

       ``(I) Renewable fuel.--For the purpose of subparagraph (A), 
     the applicable volume of renewable fuel for the calendar 
     years 2006 through 2022 shall be determined in accordance 
     with the following table:

                                    Applicable volume of renewable fuel
``Calendar year:                              (in billions of gallons):
  2006..............................................................4.0
  2007..............................................................4.7
  2008..............................................................9.0
  2009.............................................................11.1
  2010............................................................12.95
  2011............................................................13.95
  2012.............................................................15.2
  2013............................................................16.55
  2014............................................................18.15
  2015.............................................................20.5
  2016............................................................22.25
  2017.............................................................24.0
  2018.............................................................26.0
  2019.............................................................28.0
  2020.............................................................30.0
  2021.............................................................33.0
  2022.............................................................36.0

       ``(II) Advanced biofuel.--For the purpose of subparagraph 
     (A), of the volume of renewable fuel required under subclause 
     (I), the applicable volume of advanced biofuel for the 
     calendar years 2009 through 2022 shall be determined in 
     accordance with the following table:

                                  Applicable volume of advanced biofuel
``Calendar year:                              (in billions of gallons):
  2009..............................................................0.6
  2010.............................................................0.95
  2011.............................................................1.35
  2012..............................................................2.0
  2013.............................................................2.75
  2014.............................................................3.75
  2015..............................................................5.5
  2016.............................................................7.25
  2017..............................................................9.0
  2018.............................................................11.0
  2019.............................................................13.0
  2020.............................................................15.0
  2021.............................................................18.0
  2022.............................................................21.0

       ``(III) Cellulosic biofuel.--For the purpose of 
     subparagraph (A), of the volume of advanced biofuel required 
     under subclause (II), the applicable volume of cellulosic 
     biofuel for the calendar years 2010 through 2022 shall be 
     determined in accordance with the following table:

                                Applicable volume of cellulosic biofuel
``Calendar year:                              (in billions of gallons):
  2010..............................................................0.1
  2011.............................................................0.25
  2012..............................................................0.5
  2013..............................................................1.0
  2014.............................................................1.75
  2015..............................................................3.0
  2016.............................................................4.25
  2017..............................................................5.5
  2018..............................................................7.0
  2019..............................................................8.5
  2020.............................................................10.5
  2021.............................................................13.5
  2022.............................................................16.0

       ``(IV) Biomass-based diesel.--For the purpose of 
     subparagraph (A), of the volume of advanced biofuel required 
     under subclause (II), the applicable volume of biomass-based 
     diesel for the calendar years 2009 through 2012 shall be 
     determined in accordance with the following table:

                              Applicable volume of biomass-based diesel
``Calendar year:                              (in billions of gallons):
  2009..............................................................0.5
  2010.............................................................0.65
  2011.............................................................0.80
  2012..............................................................1.0
       ``(ii) Other calendar years.--For the purposes of 
     subparagraph (A), the applicable volumes of each fuel 
     specified in the tables in clause (i) for calendar years 
     after the calendar years specified in the tables shall be 
     determined by the Administrator, in coordination with the 
     Secretary of Energy and the Secretary of Agriculture, based 
     on a review of the implementation of the program during 
     calendar years specified in the tables, and an analysis of--

       ``(I) the impact of the production and use of renewable 
     fuels on the environment, including on air quality, climate 
     change, conversion of wet lands, eco-systems, wildlife 
     habitat, water quality, and water supply;
       ``(II) the impact of renewable fuels on the energy security 
     of the United States;
       ``(III) the expected annual rate of future commercial 
     production of renewable fuels, including advanced biofuels in 
     each category (cellulosic biofuel and biomass-based diesel);
       ``(IV) the impact of renewable fuels on the infrastructure 
     of the United States, including deliverability of materials, 
     goods, and products other than renewable fuel, and the 
     sufficiency of infrastructure to deliver and use renewable 
     fuel;
       ``(V) the impact of the use of renewable fuels on the cost 
     to consumers of transportation fuel and on the cost to 
     transport goods; and
       ``(VI) the impact of the use of renewable fuels on other 
     factors, including job creation, the price and supply of 
     agricultural commodities, rural economic development, and 
     food prices.

     The Administrator shall promulgate rules establishing the 
     applicable volumes under this clause no later than 14 months 
     before the first year for which such applicable volume will 
     apply.
       ``(iii) Applicable volume of advanced biofuel.--For the 
     purpose of making the determinations in clause (ii), for each 
     calendar year, the applicable volume of advanced biofuel 
     shall be at least the same percentage of the applicable 
     volume of renewable fuel as in calendar year 2022.
       ``(iv) Applicable volume of cellulosic biofuel.--For the 
     purpose of making the determinations in clause (ii), for each 
     calendar year, the applicable volume of cellulosic biofuel 
     established by the Administrator shall be based on the 
     assumption that the Administrator will not need to issue a 
     waiver for such years under paragraph (7)(D).
       ``(v) Minimum applicable volume of biomass-based diesel.--
     For the purpose of making the determinations in clause (ii), 
     the applicable volume of biomass-based diesel shall not be 
     less than the applicable volume listed in clause (i)(IV) for 
     calendar year 2012.''.
       (b) Applicable Percentages.--Paragraph (3) of section 
     211(o) of the Clean Air Act (42 U.S.C. 7545(o)(3)) is amended 
     as follows:
       (1) In subparagraph (A), by striking ``2011'' and inserting 
     ``2021''.
       (2) In subparagraph (A), by striking ``gasoline'' and 
     inserting ``transportation fuel, biomass-based diesel, and 
     cellulosic biofuel''.
       (3) In subparagraph (B), by striking ``2012'' and inserting 
     ``2021'' in clause (i).
       (4) In subparagraph (B), by striking ``gasoline'' and 
     inserting ``transportation fuel'' in clause (ii)(II).
       (c) Modification of Greenhouse Gas Percentages.--Paragraph 
     (4) of section 211(o) of the Clean Air Act (42 U.S.C. 
     7545(o)(4)) is amended to read as follows:
       ``(4) Modification of greenhouse gas reduction 
     percentages.--
       ``(A) In general.--The Administrator may, in the 
     regulations under the last sentence of paragraph (2)(A)(i), 
     adjust the 20 percent, 50 percent, and 60 percent reductions 
     in lifecycle greenhouse gas emissions specified in paragraphs 
     (2)(A)(i)(relating to renewable fuel), (1)(D) (relating to 
     biomass-based diesel), (1)(B)(i)(relating to advanced 
     biofuel), and

[[Page 35843]]

     (1)(E) (relating to cellulosic biofuel) to a lower 
     percentage. For the 50 and 60 percent reductions, the 
     Administrator may make such an adjustment only if he 
     determines that generally such reduction is not commercially 
     feasible for fuels made using a variety of feedstocks, 
     technologies, and processes to meet the applicable reduction.
       ``(B) Amount of adjustment.--In promulgating regulations 
     under this paragraph, the specified 50 percent reduction in 
     greenhouse gas emissions from advanced biofuel and in 
     biomass-based diesel may not be reduced below 40 percent. The 
     specified 20 percent reduction in greenhouse gas emissions 
     from renewable fuel may not be reduced below 10 percent, and 
     the specified 60 percent reduction in greenhouse gas 
     emissions from cellulosic biofuel may not be reduced below 50 
     percent.
       ``(C) Adjusted reduction levels.--An adjustment under this 
     paragraph to a percent less than the specified 20 percent 
     greenhouse gas reduction for renewable fuel shall be the 
     minimum possible adjustment, and the adjusted greenhouse gas 
     reduction shall be established by the Administrator at the 
     maximum achievable level, taking cost in consideration, for 
     natural gas fired corn-based ethanol plants, allowing for the 
     use of a variety of technologies and processes. An adjustment 
     in the 50 or 60 percent greenhouse gas levels shall be the 
     minimum possible adjustment for the fuel or fuels concerned, 
     and the adjusted greenhouse gas reduction shall be 
     established at the maximum achievable level, taking cost in 
     consideration, allowing for the use of a variety of 
     feedstocks, technologies, and processes.
       ``(D) 5-year review.--Whenever the Administrator makes any 
     adjustment under this paragraph, not later than 5 years 
     thereafter he shall review and revise (based upon the same 
     criteria and standards as required for the initial 
     adjustment) the regulations establishing the adjusted level.
       ``(E) Subsequent adjustments.--After the Administrator has 
     promulgated a final rule under the last sentence of paragraph 
     (2)(A)(i) with respect to the method of determining lifecycle 
     greenhouse gas emissions, except as provided in subparagraph 
     (D), the Administrator may not adjust the percent greenhouse 
     gas reduction levels unless he determines that there has been 
     a significant change in the analytical methodology used for 
     determining the lifecycle greenhouse gas emissions. If he 
     makes such determination, he may adjust the 20, 50, or 60 
     percent reduction levels through rulemaking using the 
     criteria and standards set forth in this paragraph.
       ``(F) Limit on upward adjustments.--If, under subparagraph 
     (D) or (E), the Administrator revises a percent level 
     adjusted as provided in subparagraph (A), (B), and (C) to a 
     higher percent, such higher percent may not exceed the 
     applicable percent specified in paragraph (2)(A)(i), 
     (1)(D),(1)(B)(i), or (1)(E).
       ``(G) Applicability of adjustments.--If the Administrator 
     adjusts, or revises, a percent level referred to in this 
     paragraph or makes a change in the analytical methodology 
     used for determining the lifecycle greenhouse gas emissions, 
     such adjustment, revision, or change (or any combination 
     thereof) shall only apply to renewable fuel from new 
     facilities that commence construction after the effective 
     date of such adjustment, revision, or change.''.
       (d) Credits for Additional Renewable Fuel.--Paragraph (5) 
     of section 211(o) of the Clean Air Act (42 U.S.C. 7545(o)(5)) 
     is amended by adding the following new subparagraph at the 
     end thereof:
       ``(E) Credits for additional renewable fuel.--The 
     Administrator may issue regulations providing (i) for the 
     generation of an appropriate amount of credits by any person 
     that refines, blends, or imports additional renewable fuels 
     specified by the Administrator and (ii) for the use of such 
     credits by the generator, or the transfer of all or a portion 
     of the credits to another person, for the purpose of 
     complying with paragraph (2).''.
       (e) Waivers.--
       (1) In general.--Paragraph (7)(A) of section 211(o) of the 
     Clean Air Act (42 U.S.C. 7545(o)(7)(A)) is amended by 
     inserting ``, by any person subject to the requirements of 
     this subsection, or by the Administrator on his own motion'' 
     after ``one or more States'' in subparagraph (A) and by 
     striking out ``State'' in subparagraph (B).
       (2) Cellulosic biofuel.--Paragraph (7) of section 211(o) of 
     the Clean Air Act (42 U.S.C. 7545(o)(7)) is amended by adding 
     the following at the end thereof:
       ``(D) Cellulosic biofuel.--(i) For any calendar year for 
     which the projected volume of cellulosic biofuel production 
     is less than the minimum applicable volume established under 
     paragraph (2)(B), as determined by the Administrator based on 
     the estimate provided under paragraph (3)(A), not later than 
     November 30 of the preceding calendar year, the Administrator 
     shall reduce the applicable volume of cellulosic biofuel 
     required under paragraph (2)(B) to the projected volume 
     available during that calendar year. For any calendar year in 
     which the Administrator makes such a reduction, the 
     Administrator may also reduce the applicable volume of 
     renewable fuel and advanced biofuels requirement established 
     under paragraph (2)(B) by the same or a lesser volume.
       ``(ii) Whenever the Administrator reduces the minimum 
     cellulosic biofuel volume under this subparagraph, the 
     Administrator shall make available for sale cellulosic 
     biofuel credits at the higher of $0.25 per gallon or the 
     amount by which $3.00 per gallon exceeds the average 
     wholesale price of a gallon of gasoline in the United States. 
     Such amounts shall be adjusted for inflation by the 
     Administrator for years after 2008.
       ``(iii) 18 months after date of enactment of this 
     subparagraph, the Administrator shall promulgate regulations 
     to govern the issuance of credits under this subparagraph. 
     The regulations shall set forth the method for determining 
     the exact price of credits in the event of a waiver. The 
     price of such credits shall not be changed more frequently 
     than once each quarter. These regulations shall include such 
     provisions, including limiting the credits' uses and useful 
     life, as the Administrator deems appropriate to assist market 
     liquidity and transparency, to provide appropriate certainty 
     for regulated entities and renewable fuel producers, and to 
     limit any potential misuse of cellulosic biofuel credits to 
     reduce the use of other renewable fuels, and for such other 
     purposes as the Administrator determines will help achieve 
     the goals of this subsection. The regulations shall limit the 
     number of cellulosic biofuel credits for any calendar year to 
     the minimum applicable volume (as reduced under this 
     subparagraph) of cellulosic biofuel for that year.''.
       (3) Biomass-based diesel.--Paragraph (7) of section 211(o) 
     of the Clean Air Act (42 U.S.C. 7545(o)(7)) is amended by 
     adding the following at the end thereof:
       ``(E) Biomass-based diesel.--
       ``(i) Market evaluation.--The Administrator, in 
     consultation with the Secretary of Energy and the Secretary 
     of Agriculture, shall periodically evaluate the impact of the 
     biomass-based diesel requirements established under this 
     paragraph on the price of diesel fuel.
       ``(ii) Waiver.--If the Administrator determines that there 
     is a significant renewable feedstock disruption or other 
     market circumstances that would make the price of biomass-
     based diesel fuel increase significantly, the Administrator, 
     in consultation with the Secretary of Energy and the 
     Secretary of Agriculture, shall issue an order to reduce, for 
     up to a 60-day period, the quantity of biomass-based diesel 
     required under subparagraph (A) by an appropriate quantity 
     that does not exceed 15 percent of the applicable annual 
     requirement for biomass-based diesel. For any calendar year 
     in which the Administrator makes a reduction under this 
     subparagraph, the Administrator may also reduce the 
     applicable volume of renewable fuel and advanced biofuels 
     requirement established under paragraph (2)(B) by the same or 
     a lesser volume.
       ``(iii) Extensions.--If the Administrator determines that 
     the feedstock disruption or circumstances described in clause 
     (ii) is continuing beyond the 60-day period described in 
     clause (ii) or this clause, the Administrator, in 
     consultation with the Secretary of Energy and the Secretary 
     of Agriculture, may issue an order to reduce, for up to an 
     additional 60-day period, the quantity of biomass-based 
     diesel required under subparagraph (A) by an appropriate 
     quantity that does not exceed an additional 15 percent of the 
     applicable annual requirement for biomass-based diesel.
       ``(F) Modification of applicable volumes.--For any of the 
     tables in paragraph (2)(B), if the Administrator waives--
       ``(i) at least 20 percent of the applicable volume 
     requirement set forth in any such table for 2 consecutive 
     years; or
       ``(ii) at least 50 percent of such volume requirement for a 
     single year,

     the Administrator shall promulgate a rule (within one year 
     after issuing such waiver) that modifies the applicable 
     volumes set forth in the table concerned for all years 
     following the final year to which the waiver applies, except 
     that no such modification in applicable volumes shall be made 
     for any year before 2016. In promulgating such a rule, the 
     Administrator shall comply with the processes, criteria, and 
     standards set forth in paragraph (2)(B)(ii).''.

     SEC. 203. STUDY OF IMPACT OF RENEWABLE FUEL STANDARD.

       (a) In General.--The Secretary of Energy, in consultation 
     with the Secretary of Agriculture and the Administrator of 
     the Environmental Protection Agency, shall enter into an 
     arrangement with the National Academy of Sciences under which 
     the Academy shall conduct a study to assess the impact of the 
     requirements described in section 211(o) of the Clean Air Act 
     on each industry relating to the production of feed grains, 
     livestock, food, forest products, and energy.
       (b) Participation.--In conducting the study under this 
     section, the National Academy of Sciences shall seek the 
     participation, and consider the input, of--
       (1) producers of feed grains;
       (2) producers of livestock, poultry, and pork products;
       (3) producers of food and food products;
       (4) producers of energy;
       (5) individuals and entities interested in issues relating 
     to conservation, the environment, and nutrition;
       (6) users and consumer of renewable fuels;
       (7) producers and users of biomass feedstocks; and
       (8) land grant universities.
       (c) Considerations.--In conducting the study, the National 
     Academy of Sciences shall consider--
       (1) the likely impact on domestic animal agriculture 
     feedstocks that, in any crop year, are significantly below 
     current projections;
       (2) policy options to alleviate the impact on domestic 
     animal agriculture feedstocks that are significantly below 
     current projections; and

[[Page 35844]]

       (3) policy options to maintain regional agricultural and 
     silvicultural capability.
       (d) Components.--The study shall include--
       (1) a description of the conditions under which the 
     requirements described in section 211(o) of the Clean Air Act 
     should be suspended or reduced to prevent adverse impacts to 
     domestic animal agriculture feedstocks described in 
     subsection (c)(2) or regional agricultural and silvicultural 
     capability described in subsection (c)(3); and
       (2) recommendations for the means by which the Federal 
     Government could prevent or minimize adverse economic 
     hardships and impacts.
       (e) Deadline for Completion of Study.--Not later than 18 
     months after the date of enactment of this Act, the Secretary 
     shall submit to Congress a report that describes the results 
     of the study under this section.
       (f) Periodic Reviews.--Section 211(o) of the Clean Air Act 
     is amended by adding the following at the end thereof:
       ``(11) Periodic reviews.--To allow for the appropriate 
     adjustment of the requirements described in subparagraph (B) 
     of paragraph (2), the Administrator shall conduct periodic 
     reviews of--
       ``(A) existing technologies;
       ``(B) the feasibility of achieving compliance with the 
     requirements; and
       ``(C) the impacts of the requirements described in 
     subsection (a)(2) on each individual and entity described in 
     paragraph (2).''.

     SEC. 204. ENVIRONMENTAL AND RESOURCE CONSERVATION IMPACTS.

       (a) In General.--Not later than 3 years after the enactment 
     of this section and every 3 years thereafter, the 
     Administrator of the Environmental Protection Agency, in 
     consultation with the Secretary of Agriculture and the 
     Secretary of Energy, shall assess and report to Congress on 
     the impacts to date and likely future impacts of the 
     requirements of section 211(o) of the Clean Air Act on the 
     following:
       (1) Environmental issues, including air quality, effects on 
     hypoxia, pesticides, sediment, nutrient and pathogen levels 
     in waters, acreage and function of waters, and soil 
     environmental quality.
       (2) Resource conservation issues, including soil 
     conservation, water availability, and ecosystem health and 
     biodiversity, including impacts on forests, grasslands, and 
     wetlands.
       (3) The growth and use of cultivated invasive or noxious 
     plants and their impacts on the environment and agriculture.

     In advance of preparing the report required by this 
     subsection, the Administrator may seek the views of the 
     National Academy of Sciences or another appropriate 
     independent research institute. The report shall include the 
     annual volume of imported renewable fuels and feedstocks for 
     renewable fuels, and the environmental impacts outside the 
     United States of producing such fuels and feedstocks. The 
     report required by this subsection shall include 
     recommendations for actions to address any adverse impacts 
     found.
       (b) Effect on Air Quality and Other Environmental 
     Requirements.--Except as provided in section 211(o)(12) of 
     the Clean Air Act, nothing in the amendments made by this 
     title to section 211(o) of the Clean Air Act shall be 
     construed as superseding, or limiting, any more 
     environmentally protective requirement under the Clean Air 
     Act, or under any other provision of State or Federal law or 
     regulation, including any environmental law or regulation.

     SEC. 205. BIOMASS BASED DIESEL AND BIODIESEL LABELING.

       (a) In General.--Each retail diesel fuel pump shall be 
     labeled in a manner that informs consumers of the percent of 
     biomass-based diesel or biodiesel that is contained in the 
     biomass-based diesel blend or biodiesel blend that is offered 
     for sale, as determined by the Federal Trade Commission.
       (b) Labeling Requirements.--Not later than 180 days after 
     the date of enactment of this section, the Federal Trade 
     Commission shall promulgate biodiesel labeling requirements 
     as follows:
       (1) Biomass-based diesel blends or biodiesel blends that 
     contain less than or equal to 5 percent biomass-based diesel 
     or biodiesel by volume and that meet ASTM D975 diesel 
     specifications shall not require any additional labels.
       (2) Biomass based diesel blends or biodiesel blends that 
     contain more than 5 percent biomass-based diesel or biodiesel 
     by volume but not more than 20 percent by volume shall be 
     labeled ``contains biomass-based diesel or biodiesel in 
     quantities between 5 percent and 20 percent''.
       (3) Biomass-based diesel or biodiesel blends that contain 
     more than 20 percent biomass based or biodiesel by volume 
     shall be labeled ``contains more than 20 percent biomass-
     based diesel or biodiesel''.
       (c) Definitions.--In this section:
       (1) Astm.--The term ``ASTM'' means the American Society of 
     Testing and Materials.
       (2) Biomass-based diesel.--The term ``biomass-based 
     diesel'' means biodiesel as defined in section 312(f) of the 
     Energy Policy Act of 1992 (42 U.S.C. 13220(f)).
       (3) Biodiesel.--The term ``biodiesel'' means the monoalkyl 
     esters of long chain fatty acids derived from plant or animal 
     matter that meet--
       (A) the registration requirements for fuels and fuel 
     additives under this section; and
       (B) the requirements of ASTM standard D6751.
       (4) Biomass-based diesel and biodiesel blends.--The terms 
     ``biomass-based diesel blend'' and ``biodiesel blend'' means 
     a blend of ``biomass-based diesel'' or ``biodiesel'' fuel 
     that is blended with petroleum based diesel fuel.

     SEC. 206. STUDY OF CREDITS FOR USE OF RENEWABLE ELECTRICITY 
                   IN ELECTRIC VEHICLES.

       (a) Definition of Electric Vehicle.--In this section, the 
     term ``electric vehicle'' means an electric motor vehicle (as 
     defined in section 601 of the Energy Policy Act of 1992 (42 
     U.S.C. 13271)) for which the rechargeable storage battery--
       (1) receives a charge directly from a source of electric 
     current that is external to the vehicle; and
       (2) provides a minimum of 80 percent of the motive power of 
     the vehicle.
       (b) Study.--The Administrator of the Environmental 
     Protection Agency shall conduct a study on the feasibility of 
     issuing credits under the program established under section 
     211(o) of the Clean Air Act to electric vehicles powered by 
     electricity produced from renewable energy sources.
       (c) Report.--Not later than 18 months after the date of 
     enactment of this Act, the Administrator shall submit to the 
     Committee on Energy and Natural Resources of the United 
     States Senate and the Committee on Energy and Commerce of the 
     United States House of Representatives a report that 
     describes the results of the study, including a description 
     of--
       (1) existing programs and studies on the use of renewable 
     electricity as a means of powering electric vehicles; and
       (2) alternatives for--
       (A) designing a pilot program to determine the feasibility 
     of using renewable electricity to power electric vehicles as 
     an adjunct to a renewable fuels mandate;
       (B) allowing the use, under the pilot program designed 
     under subparagraph (A), of electricity generated from nuclear 
     energy as an additional source of supply;
       (C) identifying the source of electricity used to power 
     electric vehicles; and
       (D) equating specific quantities of electricity to 
     quantities of renewable fuel under section 211(o) of the 
     Clean Air Act.

     SEC. 207. GRANTS FOR PRODUCTION OF ADVANCED BIOFUELS.

       (a) In General.--The Secretary of Energy shall establish a 
     grant program to encourage the production of advanced 
     biofuels.
       (b) Requirements and Priority.--In making grants under this 
     section, the Secretary--
       (1) shall make awards to the proposals for advanced 
     biofuels with the greatest reduction in lifecycle greenhouse 
     gas emissions compared to the comparable motor vehicle fuel 
     lifecycle emissions during calendar year 2005; and
       (2) shall not make an award to a project that does not 
     achieve at least a 80 percent reduction in such lifecycle 
     greenhouse gas emissions.
       (c) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $500,000,000 for 
     the period of fiscal years 2008 through 2015.

     SEC. 208. INTEGRATED CONSIDERATION OF WATER QUALITY IN 
                   DETERMINATIONS ON FUELS AND FUEL ADDITIVES.

       Section 211(c)(1) of the Clean Air Act (42 U.S.C. 
     7545(c)(1)) is amended as follows:
       (1) By striking ``nonroad vehicle (A) if in the judgment of 
     the Administrator'' and inserting ``nonroad vehicle if, in 
     the judgment of the Administrator, any fuel or fuel additive 
     or''; and
       (2) In subparagraph (A), by striking ``air pollution 
     which'' and inserting ``air pollution or water pollution 
     (including any degradation in the quality of groundwater) 
     that''.

     SEC. 209. ANTI-BACKSLIDING.

       Section 211 of the Clean Air Act (42 U.S.C. 7545) is 
     amended by adding at the end the following:
       ``(v) Prevention of Air Quality Deterioration.--
       ``(1) Study.--
       ``(A) In general.--Not later than 18 months after the date 
     of enactment of this subsection, the Administrator shall 
     complete a study to determine whether the renewable fuel 
     volumes required by this section will adversely impact air 
     quality as a result of changes in vehicle and engine 
     emissions of air pollutants regulated under this Act.
       ``(B) Considerations.--The study shall include 
     consideration of--
       ``(i) different blend levels, types of renewable fuels, and 
     available vehicle technologies; and
       ``(ii) appropriate national, regional, and local air 
     quality control measures.
       ``(2) Regulations.--Not later than 3 years after the date 
     of enactment of this subsection, the Administrator shall--
       ``(A) promulgate fuel regulations to implement appropriate 
     measures to mitigate, to the greatest extent achievable, 
     considering the results of the study under paragraph (1), any 
     adverse impacts on air quality, as the result of the 
     renewable volumes required by this section; or
       ``(B) make a determination that no such measures are 
     necessary.''.

     SEC. 210. EFFECTIVE DATE, SAVINGS PROVISION, AND TRANSITION 
                   RULES.

       (a) Transition Rules.--(1) For calendar year 2008, 
     transportation fuel sold or introduced into commerce in the 
     United States (except in noncontiguous States or 
     territories), that is produced from facilities that commence 
     construction after the date of enactment of this Act shall be 
     treated as renewable fuel within the meaning of section 
     211(o) of the Clean Air Act only if it achieves at least a 20 
     percent reduction in lifecycle greenhouse gas emissions 
     compared to baseline lifecycle greenhouse gas emissions. For 
     calendar years 2008 and 2009, any ethanol plant

[[Page 35845]]

     that is fired with natural gas, biomass, or any combination 
     thereof is deemed to be in compliance with such 20 percent 
     reduction requirement and with the 20 percent reduction 
     requirement of section 211(o)(1) of the Clean Air Act. The 
     terms used in this subsection shall have the same meaning as 
     provided in the amendment made by this Act to section 211(o) 
     of the Clean Air Act.
       (2) Until January 1, 2009, the Administrator of the 
     Environmental Protection Agency shall implement section 
     211(o) of the Clean Air Act and the rules promulgated under 
     that section in accordance with the provisions of that 
     section as in effect before the enactment of this Act and in 
     accordance with the rules promulgated before the enactment of 
     this Act, except that for calendar year 2008, the number 
     ``9.0'' shall be substituted for the number ``5.4'' in the 
     table in section 211(o)(2)(B) and in the corresponding rules 
     promulgated to carry out those provisions. The Administrator 
     is authorized to take such other actions as may be necessary 
     to carry out this paragraph notwithstanding any other 
     provision of law.
       (b) Savings Clause.--Section 211(o) of the Clean Air Act 
     (42 U.S.C. 7545(o)) is amended by adding the following new 
     paragraph at the end thereof:
       ``(12) Effect on other provisions.--Nothing in this 
     subsection, or regulations issued pursuant to this 
     subsection, shall affect or be construed to affect the 
     regulatory status of carbon dioxide or any other greenhouse 
     gas, or to expand or limit regulatory authority regarding 
     carbon dioxide or any other greenhouse gas, for purposes of 
     other provisions (including section 165) of this Act. The 
     previous sentence shall not affect implementation and 
     enforcement of this subsection.''.
       (c) Effective Date.--The amendments made by this title to 
     section 211(o) of the Clean Air Act shall take effect January 
     1, 2009, except that the Administrator shall promulgate 
     regulations to carry out such amendments not later than one 
     year after the enactment of this Act.

             Subtitle B--Biofuels Research and Development

     SEC. 221. BIODIESEL.

       (a) Biodiesel Study.--Not later than 180 days after the 
     date of enactment of this Act, the Secretary, in consultation 
     with the Administrator of the Environmental Protection 
     Agency, shall submit to Congress a report on any research and 
     development challenges inherent in increasing the proportion 
     of diesel fuel sold in the United States that is biodiesel.
       (b) Material for the Establishment of Standards.--The 
     Director of the National Institute of Standards and 
     Technology, in consultation with the Secretary, shall make 
     publicly available the physical property data and 
     characterization of biodiesel and other biofuels as 
     appropriate.

     SEC. 222. BIOGAS.

       Not later than 180 days after the date of enactment of this 
     Act, the Secretary, in consultation with the Administrator of 
     the Environmental Protection Agency, shall submit to Congress 
     a report on any research and development challenges inherent 
     in increasing the amount of transportation fuels sold in the 
     United States that are fuel with biogas or a blend of biogas 
     and natural gas.

     SEC. 223. GRANTS FOR BIOFUEL PRODUCTION RESEARCH AND 
                   DEVELOPMENT IN CERTAIN STATES.

       (a) In General.--The Secretary shall provide grants to 
     eligible entities for research, development, demonstration, 
     and commercial application of biofuel production technologies 
     in States with low rates of ethanol production, including low 
     rates of production of cellulosic biomass ethanol, as 
     determined by the Secretary.
       (b) Eligibility.--To be eligible to receive a grant under 
     this section, an entity shall--
       (1)(A) be an institution of higher education (as defined in 
     section 2 of the Energy Policy Act of 2005 (42 U.S.C. 
     15801)), including tribally controlled colleges or 
     universities, located in a State described in subsection (a); 
     or
       (B) be a consortium including at least 1 such institution 
     of higher education, and industry, State agencies, Indian 
     tribal agencies, National Laboratories, or local government 
     agencies located in the State; and
       (2) have proven experience and capabilities with relevant 
     technologies.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary to carry out this section 
     $25,000,000 for each of fiscal years 2008 through 2010.

     SEC. 224. BIOREFINERY ENERGY EFFICIENCY.

       Section 932 of Energy Policy Act of 2005 (42 U.S.C. 16232) 
     is amended by adding at the end the following new 
     subsections:
       ``(g) Biorefinery Energy Efficiency.--The Secretary shall 
     establish a program of research, development, demonstration, 
     and commercial application for increasing energy efficiency 
     and reducing energy consumption in the operation of 
     biorefinery facilities.
       ``(h) Retrofit Technologies for the Development of Ethanol 
     From Cellulosic Materials.--The Secretary shall establish a 
     program of research, development, demonstration, and 
     commercial application on technologies and processes to 
     enable biorefineries that exclusively use corn grain or corn 
     starch as a feedstock to produce ethanol to be retrofitted to 
     accept a range of biomass, including lignocellulosic 
     feedstocks.''.

     SEC. 225. STUDY OF OPTIMIZATION OF FLEXIBLE FUELED VEHICLES 
                   TO USE E-85 FUEL.

       (a) In General.--The Secretary, in consultation with the 
     Secretary of Transportation and the Administrator of the 
     Environmental Protection Agency, shall conduct a study of 
     whether optimizing flexible fueled vehicles to operate using 
     E-85 fuel would increase the fuel efficiency of flexible 
     fueled vehicles.
       (b) Report.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall submit to the 
     Committee on Science and Technology and the Committee on 
     Energy and Commerce of the House of Representatives, and to 
     the Committee on Energy and Natural Resources, the Committee 
     on Environment and Public Works, and the Committee on 
     Commerce, Science, and Transportation of the Senate, a report 
     that describes the results of the study under this section, 
     including any recommendations of the Secretary.

     SEC. 226. STUDY OF ENGINE DURABILITY AND PERFORMANCE 
                   ASSOCIATED WITH THE USE OF BIODIESEL.

       (a) In General.--Not later than 30 days after the date of 
     enactment of this Act, the Secretary, in consultation with 
     the Administrator of the Environmental Protection Agency, 
     shall initiate a study on the effects of the use of biodiesel 
     on the performance and durability of engines and engine 
     systems.
       (b) Components.--The study under this section shall 
     include--
       (1) an assessment of whether the use of biodiesel lessens 
     the durability and performance of conventional diesel engines 
     and engine systems; and
       (2) an assessment of the effects referred to in subsection 
     (a) with respect to biodiesel blends at varying 
     concentrations, including the following percentage 
     concentrations of biodiesel:
       (A) 5 percent biodiesel.
       (B) 10 percent biodiesel.
       (C) 20 percent biodiesel.
       (D) 30 percent biodiesel.
       (E) 100 percent biodiesel.
       (c) Report.--Not later than 24 months after the date of 
     enactment of this Act, the Secretary shall submit to the 
     Committee on Science and Technology and the Committee on 
     Energy and Commerce of the House of Representatives, and to 
     the Committee on Energy and Natural Resources and the 
     Committee on Environment and Public Works of the Senate, a 
     report that describes the results of the study under this 
     section, including any recommendations of the Secretary.

     SEC. 227. STUDY OF OPTIMIZATION OF BIOGAS USED IN NATURAL GAS 
                   VEHICLES.

       (a) In General.--The Secretary, in consultation with the 
     Administrator of the Environmental Protection Agency and the 
     Secretary of Transportation, shall conduct a study of methods 
     of increasing the fuel efficiency of vehicles using biogas by 
     optimizing natural gas vehicle systems that can operate on 
     biogas, including the advancement of vehicle fuel systems and 
     the combination of hybrid-electric and plug-in hybrid 
     electric drive platforms with natural gas vehicle systems 
     using biogas.
       (b) Report.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall submit to the 
     Committee on Energy and Natural Resources, the Committee on 
     Environment and Public Works, and the Committee on Commerce, 
     Science, and Transportation of the Senate, and to the 
     Committee on Science and Technology and the Committee on 
     Energy and Commerce of the House of Representatives, a report 
     that describes the results of the study, including any 
     recommendations of the Secretary.

     SEC. 228. ALGAL BIOMASS.

       (a) In General.--Not later than 90 days after the date of 
     enactment of this Act, the Secretary shall submit to the 
     Committee on Science and Technology of the House of 
     Representatives and the Committee on Energy and Natural 
     Resources of the Senate a report on the progress of the 
     research and development that is being conducted on the use 
     of algae as a feedstock for the production of biofuels.
       (b) Contents.--The report shall identify continuing 
     research and development challenges and any regulatory or 
     other barriers found by the Secretary that hinder the use of 
     this resource, as well as recommendations on how to encourage 
     and further its development as a viable transportation fuel.

     SEC. 229. BIOFUELS AND BIOREFINERY INFORMATION CENTER.

       (a) In General.--The Secretary, in cooperation with the 
     Secretary of Agriculture, shall establish a biofuels and 
     biorefinery information center to make available to 
     interested parties information on--
       (1) renewable fuel feedstocks, including the varieties of 
     fuel capable of being produced from various feedstocks;
       (2) biorefinery processing techniques related to various 
     renewable fuel feedstocks;
       (3) the distribution, blending, storage, and retail 
     dispensing infrastructure necessary for the transport and use 
     of renewable fuels;
       (4) Federal and State laws and incentives related to 
     renewable fuel production and use;
       (5) renewable fuel research and development advancements;
       (6) renewable fuel development and biorefinery processes 
     and technologies;
       (7) renewable fuel resources, including information on 
     programs and incentives for renewable fuels;
       (8) renewable fuel producers;
       (9) renewable fuel users; and
       (10) potential renewable fuel users.
       (b) Administration.--In administering the biofuels and 
     biorefinery information center, the Secretary shall--
       (1) continually update information provided by the center;

[[Page 35846]]

       (2) make information available relating to processes and 
     technologies for renewable fuel production;
       (3) make information available to interested parties on the 
     process for establishing a biorefinery; and
       (4) make information and assistance provided by the center 
     available through a toll-free telephone number and website.
       (c) Coordination and Nonduplication.--To maximum extent 
     practicable, the Secretary shall ensure that the activities 
     under this section are coordinated with, and do not duplicate 
     the efforts of, centers at other government agencies.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.

     SEC. 230. CELLULOSIC ETHANOL AND BIOFUELS RESEARCH.

       (a) Definition of Eligible Entity.--In this section, the 
     term ``eligible entity'' means--
       (1) an 1890 Institution (as defined in section 2 of the 
     Agricultural Research, Extension, and Education Reform Act of 
     1998 (7 U.S.C. 7061));
       (2) a part B institution (as defined in section 322 of the 
     Higher Education Act of 1965 (20 U.S.C. 1061)) (commonly 
     referred to as ``Historically Black Colleges and 
     Universities'');
       (3) a tribal college or university (as defined in section 
     316(b) of the Higher Education Act of 1965 (20 U.S.C. 
     1059c(b)); or
       (4) a Hispanic-serving institution (as defined in section 
     502(a) of the Higher Education Act of 1965 (20 U.S.C. 
     1101a(a)).
       (b) Grants.--The Secretary shall make cellulosic ethanol 
     and biofuels research and development grants to 10 eligible 
     entities selected by the Secretary to receive a grant under 
     this section through a peer-reviewed competitive process.
       (c) Collaboration.--An eligible entity that is selected to 
     receive a grant under subsection (b) shall collaborate with 1 
     of the Bioenergy Research Centers of the Office of Science of 
     the Department.
       (d) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary to make grants described 
     in subsection (b) $50,000,000 for fiscal year 2008, to remain 
     available until expended.

     SEC. 231. BIOENERGY RESEARCH AND DEVELOPMENT, AUTHORIZATION 
                   OF APPROPRIATION.

       Section 931 of the Energy Policy Act of 2005 (42 U.S.C. 
     16231) is amended--
       (1) in subsection (b)--
       (A) in paragraph (2), by striking ``and'' at the end;
       (B) in paragraph (3), by striking the period at the end and 
     inserting ``; and''; and
       (C) by adding at the end the following:
       ``(4) $963,000,000 for fiscal year 2010.''; and
       (2) in subsection (c)--
       (A) in paragraph (2)--
       (i) by striking ``$251,000,000'' and inserting 
     ``$377,000,000''; and
       (ii) by striking ``and'' at the end;
       (B) in paragraph (3)--
       (i) by striking ``$274,000,000'' and inserting 
     ``$398,000,000''; and
       (ii) by striking the period at the end and inserting ``; 
     and''; and
       (C) by adding at the end the following:
       ``(4) $419,000,000 for fiscal year 2010, of which 
     $150,000,000 shall be for section 932(d).''.

     SEC. 232. ENVIRONMENTAL RESEARCH AND DEVELOPMENT.

       (a) In General.--Section 977 of the Energy Policy Act of 
     2005 (42 U.S.C. 16317) is amended--
       (1) in subsection (a)(1), by striking ``and computational 
     biology'' and inserting ``computational biology, and 
     environmental science''; and
       (2) in subsection (b)--
       (A) in paragraph (1), by inserting ``in sustainable 
     production systems that reduce greenhouse gas emissions'' 
     after ``hydrogen'';
       (B) in paragraph (3), by striking ``and'' at the end;
       (C) by redesignating paragraph (4) as paragraph (5); and
       (D) by inserting after paragraph (3) the following:
       ``(4) develop cellulosic and other feedstocks that are less 
     resource and land intensive and that promote sustainable use 
     of resources, including soil, water, energy, forests, and 
     land, and ensure protection of air, water, and soil quality; 
     and''.
       (b) Tools and Evaluation.--Section 307(d) of the Biomass 
     Research and Development Act of 2000 (7 U.S.C. 8606(d)) is 
     amended--
       (1) in paragraph (3)(E), by striking ``and'' at the end;
       (2) in paragraph (4), by striking the period at the end and 
     inserting a semicolon; and
       (3) by adding at the end the following:
       ``(5) the improvement and development of analytical tools 
     to facilitate the analysis of life-cycle energy and 
     greenhouse gas emissions, including emissions related to 
     direct and indirect land use changes, attributable to all 
     potential biofuel feedstocks and production processes; and
       ``(6) the systematic evaluation of the impact of expanded 
     biofuel production on the environment, including forest 
     lands, and on the food supply for humans and animals.''.
       (c) Small-Scale Production and Use of Biofuels.--Section 
     307(e) of the Biomass Research and Development Act of 2000 (7 
     U.S.C. 8606(e)) is amended--
       (1) in paragraph (2), by striking ``and'' at the end;
       (2) in paragraph (3), by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(4) to facilitate small-scale production, local, and on-
     farm use of biofuels, including the development of small-
     scale gasification technologies for production of biofuel 
     from cellulosic feedstocks.''.

     SEC. 233. BIOENERGY RESEARCH CENTERS.

       Section 977 of the Energy Policy Act of 2005 (42 U.S.C. 
     16317) is amended by adding at the end the following:
       ``(f) Bioenergy Research Centers.--
       ``(1) Establishment of centers.--In carrying out the 
     program under subsection (a), the Secretary shall establish 
     at least 7 bioenergy research centers, which may be of 
     varying size.
       ``(2) Geographic distribution.--The Secretary shall 
     establish at least 1 bioenergy research center in each 
     Petroleum Administration for Defense District or Subdistrict 
     of a Petroleum Administration for Defense District.
       ``(3) Goals.--The goals of the centers established under 
     this subsection shall be to accelerate basic transformational 
     research and development of biofuels, including biological 
     processes.
       ``(4) Selection and duration.--
       ``(A) In general.--A center under this subsection shall be 
     selected on a competitive basis for a period of 5 years.
       ``(B) Reapplication.--After the end of the period described 
     in subparagraph (A), a grantee may reapply for selection on a 
     competitive basis.
       ``(5) Inclusion.--A center that is in existence on the date 
     of enactment of this subsection--
       ``(A) shall be counted towards the requirement for 
     establishment of at least 7 bioenergy research centers; and
       ``(B) may continue to receive support for a period of 5 
     years beginning on the date of establishment of the 
     center.''.

     SEC. 234. UNIVERSITY BASED RESEARCH AND DEVELOPMENT GRANT 
                   PROGRAM.

       (a) Establishment.--The Secretary shall establish a 
     competitive grant program, in a geographically diverse 
     manner, for projects submitted for consideration by 
     institutions of higher education to conduct research and 
     development of renewable energy technologies. Each grant made 
     shall not exceed $2,000,000.
       (b) Eligibility.--Priority shall be given to institutions 
     of higher education with--
       (1) established programs of research in renewable energy;
       (2) locations that are low income or outside of an 
     urbanized area;
       (3) a joint venture with an Indian tribe; and
       (4) proximity to trees dying of disease or insect 
     infestation as a source of woody biomass.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary $25,000,000 for carrying 
     out this section.
       (d) Definitions.--In this section:
       (1) Indian tribe.--The term ``Indian tribe'' has the 
     meaning as defined in section 126(c) of the Energy Policy Act 
     of 2005.
       (2) Renewable energy.--The term ``renewable energy'' has 
     the meaning as defined in section 902 of the Energy Policy 
     Act of 2005.
       (3) Urbanized area.--The term ``urbanized area'' has the 
     mean as defined by the U.S. Bureau of the Census.

                  Subtitle C--Biofuels Infrastructure

     SEC. 241. PROHIBITION ON FRANCHISE AGREEMENT RESTRICTIONS 
                   RELATED TO RENEWABLE FUEL INFRASTRUCTURE.

       (a) In General.--Title I of the Petroleum Marketing 
     Practices Act (15 U.S.C. 2801 et seq.) is amended by adding 
     at the end the following:

     ``SEC. 107. PROHIBITION ON RESTRICTION OF INSTALLATION OF 
                   RENEWABLE FUEL PUMPS.

       ``(a) Definition.--In this section:
       ``(1) Renewable fuel.--The term `renewable fuel' means any 
     fuel--
       ``(A) at least 85 percent of the volume of which consists 
     of ethanol; or
       ``(B) any mixture of biodiesel and diesel or renewable 
     diesel (as defined in regulations adopted pursuant to section 
     211(o) of the Clean Air Act (40 CFR, Part 80)), determined 
     without regard to any use of kerosene and containing at least 
     20 percent biodiesel or renewable diesel.
       ``(2) Franchise-related document.--The term `franchise-
     related document' means--
       ``(A) a franchise under this Act; and
       ``(B) any other contract or directive of a franchisor 
     relating to terms or conditions of the sale of fuel by a 
     franchisee.
       ``(b) Prohibitions.--
       ``(1) In general.--No franchise-related document entered 
     into or renewed on or after the date of enactment of this 
     section shall contain any provision allowing a franchisor to 
     restrict the franchisee or any affiliate of the franchisee 
     from--
       ``(A) installing on the marketing premises of the 
     franchisee a renewable fuel pump or tank, except that the 
     franchisee's franchisor may restrict the installation of a 
     tank on leased marketing premises of such franchisor;
       ``(B) converting an existing tank or pump on the marketing 
     premises of the franchisee for renewable fuel use, so long as 
     such tank or pump and the piping connecting them are either 
     warranted by the manufacturer or certified by a recognized 
     standards setting organization to be suitable for use with 
     such renewable fuel;
       ``(C) advertising (including through the use of signage) 
     the sale of any renewable fuel;
       ``(D) selling renewable fuel in any specified area on the 
     marketing premises of the franchisee (including any area in 
     which a name or logo of a franchisor or any other entity 
     appears);
       ``(E) purchasing renewable fuel from sources other than the 
     franchisor if the franchisor does not offer its own renewable 
     fuel for sale by the franchisee;
       ``(F) listing renewable fuel availability or prices, 
     including on service station signs, fuel dispensers, or light 
     poles; or

[[Page 35847]]

       ``(G) allowing for payment of renewable fuel with a credit 
     card,
     so long as such activities described in subparagraphs (A) 
     through (G) do not constitute mislabeling, misbranding, 
     willful adulteration, or other trademark violations by the 
     franchisee.
       ``(2) Effect of provision.--Nothing in this section shall 
     be construed to preclude a franchisor from requiring the 
     franchisee to obtain reasonable indemnification and insurance 
     policies.
       ``(c) Exception to 3-Grade Requirement.--No franchise-
     related document that requires that 3 grades of gasoline be 
     sold by the applicable franchisee shall prevent the 
     franchisee from selling an renewable fuel in lieu of 1, and 
     only 1, grade of gasoline.''.
       (b) Enforcement.--Section 105 of the Petroleum Marketing 
     Practices Act (15 U.S.C. 2805) is amended by striking ``102 
     or 103'' each place it appears and inserting ``102, 103, or 
     107''.
       (c) Conforming Amendments.--
       (1) In general.--Section 101(13) of the Petroleum Marketing 
     Practices Act (15 U.S.C. 2801(13)) is amended by aligning the 
     margin of subparagraph (C) with subparagraph (B).
       (2) Table of contents.--The table of contents of the 
     Petroleum Marketing Practices Act (15 U.S.C. 2801 note) is 
     amended--
       (A) by inserting after the item relating to section 106 the 
     following:

``Sec. 107. Prohibition on restriction of installation of renewable 
              fuel pumps.''; and
       (B) by striking the item relating to section 202 and 
     inserting the following:

``Sec. 202. Automotive fuel rating testing and disclosure 
              requirements.''.

     SEC. 242. RENEWABLE FUEL DISPENSER REQUIREMENTS.

       (a) Market Penetration Reports.--The Secretary, in 
     consultation with the Secretary of Transportation, shall 
     determine and report to Congress annually on the market 
     penetration for flexible-fuel vehicles in use within 
     geographic regions to be established by the Secretary.
       (b) Dispenser Feasibility Study.--Not later than 24 months 
     after the date of enactment of this Act, the Secretary, in 
     consultation with the Department of Transportation, shall 
     report to the Congress on the feasibility of requiring motor 
     fuel retailers to install E-85 compatible dispensers and 
     related systems at retail fuel facilities in regions where 
     flexible-fuel vehicle market penetration has reached 15 
     percent of motor vehicles. In conducting such study, the 
     Secretary shall consider and report on the following factors:
       (1) The commercial availability of E-85 fuel and the number 
     of competing E-85 wholesale suppliers in a given region.
       (2) The level of financial assistance provided on an annual 
     basis by the Federal Government, State governments, and 
     nonprofit entities for the installation of E-85 compatible 
     infrastructure.
       (3) The number of retailers whose retail locations are 
     unable to support more than 2 underground storage tank 
     dispensers.
       (4) The expense incurred by retailers in the installation 
     and sale of E-85 compatible dispensers and related systems 
     and any potential effects on the price of motor vehicle fuel.

     SEC. 243. ETHANOL PIPELINE FEASIBILITY STUDY.

       (a) In General.--The Secretary, in coordination with the 
     Secretary of Transportation, shall conduct a study of the 
     feasibility of the construction of pipelines dedicated to the 
     transportation of ethanol.
       (b) Factors for Consideration.--In conducting the study 
     under subsection (a), the Secretary shall take into 
     consideration--
       (1) the quantity of ethanol production that would make 
     dedicated pipelines economically viable;
       (2) existing or potential barriers to the construction of 
     pipelines dedicated to the transportation of ethanol, 
     including technical, siting, financing, and regulatory 
     barriers;
       (3) market risk (including throughput risk) and means of 
     mitigating the risk;
       (4) regulatory, financing, and siting options that would 
     mitigate the risk and help ensure the construction of 1 or 
     more pipelines dedicated to the transportation of ethanol;
       (5) financial incentives that may be necessary for the 
     construction of pipelines dedicated to the transportation of 
     ethanol, including the return on equity that sponsors of the 
     initial dedicated ethanol pipelines will require to invest in 
     the pipelines;
       (6) technical factors that may compromise the safe 
     transportation of ethanol in pipelines, including 
     identification of remedial and preventive measures to ensure 
     pipeline integrity; and
       (7) such other factors as the Secretary considers to be 
     appropriate.
       (c) Report.--Not later than 15 months after the date of 
     enactment of this Act, the Secretary shall submit to Congress 
     a report describing the results of the study conducted under 
     this section.
       (d) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary to carry out this section 
     $1,000,000 for each of fiscal years 2008 and 2009, to remain 
     available until expended.

     SEC. 244. RENEWABLE FUEL INFRASTRUCTURE GRANTS.

       (a) Definition of Renewable Fuel Blend.--For purposes of 
     this section, the term ``renewable fuel blend'' means 
     gasoline blend that contain not less than 11 percent, and not 
     more than 85 percent, renewable fuel or diesel fuel that 
     contains at least 10 percent renewable fuel.
       (b) Infrastructure Development Grants.--
       (1) Establishment.--The Secretary shall establish a program 
     for making grants for providing assistance to retail and 
     wholesale motor fuel dealers or other entities for the 
     installation, replacement, or conversion of motor fuel 
     storage and dispensing infrastructure to be used exclusively 
     to store and dispense renewable fuel blends.
       (2) Selection criteria.--Not later than 12 months after the 
     date of enactment of this Act, the Secretary shall establish 
     criteria for evaluating applications for grants under this 
     subsection that will maximize the availability and use of 
     renewable fuel blends, and that will ensure that renewable 
     fuel blends are available across the country. Such criteria 
     shall provide for--
       (A) consideration of the public demand for each renewable 
     fuel blend in a particular geographic area based on State 
     registration records showing the number of flexible-fuel 
     vehicles;
       (B) consideration of the opportunity to create or expand 
     corridors of renewable fuel blend stations along interstate 
     or State highways;
       (C) consideration of the experience of each applicant with 
     previous, similar projects;
       (D) consideration of population, number of flexible-fuel 
     vehicles, number of retail fuel outlets, and saturation of 
     flexible-fuel vehicles; and
       (E) priority consideration to applications that--
       (i) are most likely to maximize displacement of petroleum 
     consumption, measured as a total quantity and a percentage;
       (ii) are best able to incorporate existing infrastructure 
     while maximizing, to the extent practicable, the use of 
     renewable fuel blends; and
       (iii) demonstrate the greatest commitment on the part of 
     the applicant to ensure funding for the proposed project and 
     the greatest likelihood that the project will be maintained 
     or expanded after Federal assistance under this subsection is 
     completed.
       (3) Limitations.--Assistance provided under this subsection 
     shall not exceed--
       (A) 33 percent of the estimated cost of the installation, 
     replacement, or conversion of motor fuel storage and 
     dispensing infrastructure; or
       (B) $180,000 for a combination of equipment at any one 
     retail outlet location.
       (4) Operation of renewable fuel blend stations.--The 
     Secretary shall establish rules that set forth requirements 
     for grant recipients under this section that include 
     providing to the public the renewable fuel blends, 
     establishing a marketing plan that informs consumers of the 
     price and availability of the renewable fuel blends, clearly 
     labeling the dispensers and related equipment, and providing 
     periodic reports on the status of the renewable fuel blend 
     sales, the type and amount of the renewable fuel blends 
     dispensed at each location, and the average price of such 
     fuel.
       (5) Notification requirements.--Not later than the date on 
     which each renewable fuel blend station begins to offer 
     renewable fuel blends to the public, the grant recipient that 
     used grant funds to construct or upgrade such station shall 
     notify the Secretary of such opening. The Secretary shall add 
     each new renewable fuel blend station to the renewable fuel 
     blend station locator on its Website when it receives 
     notification under this subsection.
       (6) Double counting.--No person that receives a credit 
     under section 30C of the Internal Revenue Code of 1986 may 
     receive assistance under this section.
       (7) Reservation of funds.--The Secretary shall reserve 
     funds appropriated for the renewable fuel blends 
     infrastructure development grant program for technical and 
     marketing assistance described in subsection (c).
       (c) Retail Technical and Marketing Assistance.--The 
     Secretary shall enter into contracts with entities with 
     demonstrated experience in assisting retail fueling stations 
     in installing refueling systems and marketing renewable fuel 
     blends nationally, for the provision of technical and 
     marketing assistance to recipients of grants under this 
     section. Such assistance shall include--
       (1) technical advice for compliance with applicable Federal 
     and State environmental requirements;
       (2) help in identifying supply sources and securing long-
     term contracts; and
       (3) provision of public outreach, education, and labeling 
     materials.
       (d) Refueling Infrastructure Corridors.--
       (1) In general.--The Secretary shall establish a 
     competitive grant pilot program (referred to in this 
     subsection as the ``pilot program''), to be administered 
     through the Vehicle Technology Deployment Program of the 
     Department, to provide not more than 10 geographically-
     dispersed project grants to State governments, Indian tribal 
     governments, local governments, metropolitan transportation 
     authorities, or partnerships of those entities to carry out 1 
     or more projects for the purposes described in paragraph (2).
       (2) Grant purposes.--A grant under this subsection shall be 
     used for the establishment of refueling infrastructure 
     corridors, as designated by the Secretary, for renewable fuel 
     blends, including--
       (A) installation of infrastructure and equipment necessary 
     to ensure adequate distribution of renewable fuel blends 
     within the corridor;
       (B) installation of infrastructure and equipment necessary 
     to directly support vehicles powered by renewable fuel 
     blends; and
       (C) operation and maintenance of infrastructure and 
     equipment installed as part of a project funded by the grant.

[[Page 35848]]

       (3) Applications.--
       (A) Requirements.--
       (i) In general.--Subject to clause (ii), not later than 90 
     days after the date of enactment of this Act, the Secretary 
     shall issue requirements for use in applying for grants under 
     the pilot program.
       (ii) Minimum requirements.--At a minimum, the Secretary 
     shall require that an application for a grant under this 
     subsection--

       (I) be submitted by--

       (aa) the head of a State, tribal, or local government or a 
     metropolitan transportation authority, or any combination of 
     those entities; and
       (bb) a registered participant in the Vehicle Technology 
     Deployment Program of the Department; and

       (II) include--

       (aa) a description of the project proposed in the 
     application, including the ways in which the project meets 
     the requirements of this subsection;
       (bb) an estimate of the degree of use of the project, 
     including the estimated size of fleet of vehicles operated 
     with renewable fuels blend available within the geographic 
     region of the corridor, measured as a total quantity and a 
     percentage;
       (cc) an estimate of the potential petroleum displaced as a 
     result of the project (measured as a total quantity and a 
     percentage), and a plan to collect and disseminate petroleum 
     displacement and other relevant data relating to the project 
     to be funded under the grant, over the expected life of the 
     project;
       (dd) a description of the means by which the project will 
     be sustainable without Federal assistance after the 
     completion of the term of the grant;
       (ee) a complete description of the costs of the project, 
     including acquisition, construction, operation, and 
     maintenance costs over the expected life of the project; and
       (ff) a description of which costs of the project will be 
     supported by Federal assistance under this subsection.
       (B) Partners.--An applicant under subparagraph (A) may 
     carry out a project under the pilot program in partnership 
     with public and private entities.
       (4) Selection criteria.--In evaluating applications under 
     the pilot program, the Secretary shall--
       (A) consider the experience of each applicant with 
     previous, similar projects; and
       (B) give priority consideration to applications that--
       (i) are most likely to maximize displacement of petroleum 
     consumption, measured as a total quantity and a percentage;
       (ii) are best able to incorporate existing infrastructure 
     while maximizing, to the extent practicable, the use of 
     advanced biofuels;
       (iii) demonstrate the greatest commitment on the part of 
     the applicant to ensure funding for the proposed project and 
     the greatest likelihood that the project will be maintained 
     or expanded after Federal assistance under this subsection is 
     completed;
       (iv) represent a partnership of public and private 
     entities; and
       (v) exceed the minimum requirements of paragraph 
     (3)(A)(ii).
       (5) Pilot project requirements.--
       (A) Maximum amount.--The Secretary shall provide not more 
     than $20,000,000 in Federal assistance under the pilot 
     program to any applicant.
       (B) Cost sharing.--The non-Federal share of the cost of any 
     activity relating to renewable fuel blend infrastructure 
     development carried out using funds from a grant under this 
     subsection shall be not less than 20 percent.
       (C) Maximum period of grants.--The Secretary shall not 
     provide funds to any applicant under the pilot program for 
     more than 2 years.
       (D) Deployment and distribution.--The Secretary shall seek, 
     to the maximum extent practicable, to ensure a broad 
     geographic distribution of project sites funded by grants 
     under this subsection.
       (E) Transfer of information and knowledge.--The Secretary 
     shall establish mechanisms to ensure that the information and 
     knowledge gained by participants in the pilot program are 
     transferred among the pilot program participants and to other 
     interested parties, including other applicants that submitted 
     applications.
       (6) Schedule.--
       (A) Initial grants.--
       (i) In general.--Not later than 90 days after the date of 
     enactment of this Act, the Secretary shall publish in the 
     Federal Register, Commerce Business Daily, and such other 
     publications as the Secretary considers to be appropriate, a 
     notice and request for applications to carry out projects 
     under the pilot program.
       (ii) Deadline.--An application described in clause (i) 
     shall be submitted to the Secretary by not later than 180 
     days after the date of publication of the notice under that 
     clause.
       (iii) Initial selection.--Not later than 90 days after the 
     date by which applications for grants are due under clause 
     (ii), the Secretary shall select by competitive, peer-
     reviewed proposal up to 5 applications for projects to be 
     awarded a grant under the pilot program.
       (B) Additional grants.--
       (i) In general.--Not later than 2 years after the date of 
     enactment of this Act, the Secretary shall publish in the 
     Federal Register, Commerce Business Daily, and such other 
     publications as the Secretary considers to be appropriate, a 
     notice and request for additional applications to carry out 
     projects under the pilot program that incorporate the 
     information and knowledge obtained through the implementation 
     of the first round of projects authorized under the pilot 
     program.
       (ii) Deadline.--An application described in clause (i) 
     shall be submitted to the Secretary by not later than 180 
     days after the date of publication of the notice under that 
     clause.
       (iii) Initial selection.--Not later than 90 days after the 
     date by which applications for grants are due under clause 
     (ii), the Secretary shall select by competitive, peer-
     reviewed proposal such additional applications for projects 
     to be awarded a grant under the pilot program as the 
     Secretary determines to be appropriate.
       (7) Reports to congress.--
       (A) Initial report.--Not later than 60 days after the date 
     on which grants are awarded under this subsection, the 
     Secretary shall submit to Congress a report containing--
       (i) an identification of the grant recipients and a 
     description of the projects to be funded under the pilot 
     program;
       (ii) an identification of other applicants that submitted 
     applications for the pilot program but to which funding was 
     not provided; and
       (iii) a description of the mechanisms used by the Secretary 
     to ensure that the information and knowledge gained by 
     participants in the pilot program are transferred among the 
     pilot program participants and to other interested parties, 
     including other applicants that submitted applications.
       (B) Evaluation.--Not later than 2 years after the date of 
     enactment of this Act, and annually thereafter until the 
     termination of the pilot program, the Secretary shall submit 
     to Congress a report containing an evaluation of the 
     effectiveness of the pilot program, including an assessment 
     of the petroleum displacement and benefits to the environment 
     derived from the projects included in the pilot program.
       (e) Restriction.--No grant shall be provided under 
     subsection (b) or (c) to a large, vertically integrated oil 
     company.
       (f) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary for carrying out this 
     section $200,000,000 for each of the fiscal years 2008 
     through 2014.

     SEC. 245. STUDY OF THE ADEQUACY OF TRANSPORTATION OF 
                   DOMESTICALLY-PRODUCED RENEWABLE FUEL BY 
                   RAILROADS AND OTHER MODES OF TRANSPORTATION.

       (a) Study.--
       (1) In general.--The Secretary, in coordination with the 
     Secretary of Transportation, shall jointly conduct a study of 
     the adequacy of transportation of domestically-produced 
     renewable fuels by railroad and other modes of transportation 
     as designated by the Secretaries.
       (2) Components.--In conducting the study under paragraph 
     (1), the Secretaries shall--
       (A) consider the adequacy of existing railroad and other 
     transportation and distribution infrastructure, equipment, 
     service and capacity to move the necessary quantities of 
     domestically-produced renewable fuel within the timeframes;
       (B)(i) consider the projected costs of moving the 
     domestically-produced renewable fuel by railroad and other 
     modes transportation; and
       (ii) consider the impact of the projected costs on the 
     marketability of the domestically-produced renewable fuel;
       (C) identify current and potential impediments to the 
     reliable transportation and distribution of adequate supplies 
     of domestically-produced renewable fuel at reasonable prices, 
     including practices currently utilized by domestic producers, 
     shippers, and receivers of renewable fuels;
       (D) consider whether adequate competition exists within and 
     between modes of transportation for the transportation and 
     distribution of domestically-produced renewable fuel and, 
     whether inadequate competition leads to an unfair price for 
     the transportation and distribution of domestically-produced 
     renewable fuel or unacceptable service for transportation of 
     domestically-produced renewable fuel;
       (E) consider whether Federal agencies have adequate legal 
     authority to address instances of inadequate competition when 
     inadequate competition is found to prevent domestic producers 
     for renewable fuels from obtaining a fair and reasonable 
     transportation price or acceptable service for the 
     transportation and distribution of domestically-produced 
     renewable fuels;
       (F) consider whether Federal agencies have adequate legal 
     authority to address railroad and transportation service 
     problems that may be resulting in inadequate supplies of 
     domestically-produced renewable fuel in any area of the 
     United States;
       (G) consider what transportation infrastructure capital 
     expenditures may be necessary to ensure the reliable 
     transportation of adequate supplies of domestically-produced 
     renewable fuel at reasonable prices within the United States 
     and which public and private entities should be responsible 
     for making such expenditures; and
       (H) provide recommendations on ways to facilitate the 
     reliable transportation of adequate supplies of domestically-
     produced renewable fuel at reasonable prices.
       (b) Report.--Not later than 180 days after the date of 
     enactment of this Act, the Secretaries shall jointly submit 
     to the Committee on Commerce, Science and Transportation, the 
     Committee on Energy and Natural Resources, and the Committee 
     on Environment and Public Works of the Senate and the 
     Committee on Transportation and Infrastructure and the 
     Committee on Energy and Commerce of the House of 
     Representatives a report that describes

[[Page 35849]]

     the results of the study conducted under subsection (a).

     SEC. 246. FEDERAL FLEET FUELING CENTERS.

       (a) In General.--Not later than January 1, 2010, the head 
     of each Federal agency shall install at least 1 renewable 
     fuel pump at each Federal fleet fueling center in the United 
     States under the jurisdiction of the head of the Federal 
     agency.
       (b) Report.--Not later than October 31 of the first 
     calendar year beginning after the date of the enactment of 
     this Act, and each October 31 thereafter, the President shall 
     submit to Congress a report that describes the progress 
     toward complying with subsection (a), including identifying--
       (1) the number of Federal fleet fueling centers that 
     contain at least 1 renewable fuel pump; and
       (2) the number of Federal fleet fueling centers that do not 
     contain any renewable fuel pumps.
       (c) Department of Defense Facility.--This section shall not 
     apply to a Department of Defense fueling center with a fuel 
     turnover rate of less than 100,000 gallons of fuel per year.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.

     SEC. 247. STANDARD SPECIFICATIONS FOR BIODIESEL.

       Section 211 of the Clean Air Act (42 U.S.C. 7545) is 
     amended by redesignating subsection (s) as subsection (t), 
     redesignating subsection (r) (relating to conversion 
     assistance for cellulosic biomass, waste-derived ethanol, 
     approved renewable fuels) as subsection (s) and by adding the 
     following new subsection at the end thereof:
       ``(u) Standard Specifications for Biodiesel.--(1) Unless 
     the American Society for Testing and Materials has adopted a 
     standard for diesel fuel containing 20 percent biodiesel 
     (commonly known as `B20') within 1 year after the date of 
     enactment of this subsection, the Administrator shall 
     initiate a rulemaking to establish a uniform per gallon fuel 
     standard for such fuel and designate an identification number 
     so that vehicle manufacturers are able to design engines to 
     use fuel meeting such standard.
       ``(2) Unless the American Society for Testing and Materials 
     has adopted a standard for diesel fuel containing 5 percent 
     biodiesel (commonly known as `B5') within 1 year after the 
     date of enactment of this subsection, the Administrator shall 
     initiate a rulemaking to establish a uniform per gallon fuel 
     standard for such fuel and designate an identification so 
     that vehicle manufacturers are able to design engines to use 
     fuel meeting such standard.
       ``(3) Whenever the Administrator is required to initiate a 
     rulemaking under paragraph (1) or (2), the Administrator 
     shall promulgate a final rule within 18 months after the date 
     of the enactment of this subsection.
       ``(4) Not later than 180 days after the enactment of this 
     subsection, the Administrator shall establish an annual 
     inspection and enforcement program to ensure that diesel fuel 
     containing biodiesel sold or distributed in interstate 
     commerce meets the standards established under regulations 
     under this section, including testing and certification for 
     compliance with applicable standards of the American Society 
     for Testing and Materials. There are authorized to be 
     appropriated to carry out the inspection and enforcement 
     program under this paragraph $3,000,000 for each of fiscal 
     years 2008 through 2010.
       ``(5) For purposes of this subsection, the term `biodiesel' 
     has the meaning provided by section 312(f) of Energy Policy 
     Act of 1992 (42 U.S.C. 13220(f)).''.

     SEC. 248. BIOFUELS DISTRIBUTION AND ADVANCED BIOFUELS 
                   INFRASTRUCTURE.

       (a) In General.--The Secretary, in coordination with the 
     Secretary of Transportation and in consultation with the 
     Administrator of the Environmental Protection Agency, shall 
     carry out a program of research, development, and 
     demonstration relating to existing transportation fuel 
     distribution infrastructure and new alternative distribution 
     infrastructure.
       (b) Focus.--The program described in subsection (a) shall 
     focus on the physical and chemical properties of biofuels and 
     efforts to prevent or mitigate against adverse impacts of 
     those properties in the areas of--
       (1) corrosion of metal, plastic, rubber, cork, fiberglass, 
     glues, or any other material used in pipes and storage tanks;
       (2) dissolving of storage tank sediments;
       (3) clogging of filters;
       (4) contamination from water or other adulterants or 
     pollutants;
       (5) poor flow properties related to low temperatures;
       (6) oxidative and thermal instability in long-term storage 
     and uses;
       (7) microbial contamination;
       (8) problems associated with electrical conductivity; and
       (9) such other areas as the Secretary considers 
     appropriate.

                  Subtitle D--Environmental Safeguards

     SEC. 251. WAIVER FOR FUEL OR FUEL ADDITIVES.

       Section 211(f)(4) of the Clean Air Act (42 U.S.C. 7545(f)) 
     is amended to read as follows:
       ``(4) The Administrator, upon application of any 
     manufacturer of any fuel or fuel additive, may waive the 
     prohibitions established under paragraph (1) or (3) of this 
     subsection or the limitation specified in paragraph (2) of 
     this subsection, if he determines that the applicant has 
     established that such fuel or fuel additive or a specified 
     concentration thereof, and the emission products of such fuel 
     or fuel additive or specified concentration thereof, will not 
     cause or contribute to a failure of any emission control 
     device or system (over the useful life of the motor vehicle, 
     motor vehicle engine, nonroad engine or nonroad vehicle in 
     which such device or system is used) to achieve compliance by 
     the vehicle or engine with the emission standards with 
     respect to which it has been certified pursuant to sections 
     206 and 213(a). The Administrator shall take final action to 
     grant or deny an application submitted under this paragraph, 
     after public notice and comment, within 270 days of the 
     receipt of such an application.''.

TITLE III--ENERGY SAVINGS THROUGH IMPROVED STANDARDS FOR APPLIANCE AND 
                                LIGHTING

                Subtitle A--Appliance Energy Efficiency

     SEC. 301. EXTERNAL POWER SUPPLY EFFICIENCY STANDARDS.

       (a) Definitions.--Section 321 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6291) is amended--
       (1) in paragraph (36)--
       (A) by striking ``(36) The'' and inserting the following:
       ``(36) External power supply.--
       ``(A) In general.--The''; and
       (B) by adding at the end the following:
       ``(B) Active mode.--The term `active mode' means the mode 
     of operation when an external power supply is connected to 
     the main electricity supply and the output is connected to a 
     load.
       ``(C) Class a external power supply.--
       ``(i) In general.--The term `class A external power supply' 
     means a device that--

       ``(I) is designed to convert line voltage AC input into 
     lower voltage AC or DC output;
       ``(II) is able to convert to only 1 AC or DC output voltage 
     at a time;
       ``(III) is sold with, or intended to be used with, a 
     separate end-use product that constitutes the primary load;
       ``(IV) is contained in a separate physical enclosure from 
     the end-use product;
       ``(V) is connected to the end-use product via a removable 
     or hard-wired male/female electrical connection, cable, cord, 
     or other wiring; and
       ``(VI) has nameplate output power that is less than or 
     equal to 250 watts.

       ``(ii) Exclusions.--The term `class A external power 
     supply' does not include any device that--

       ``(I) requires Federal Food and Drug Administration listing 
     and approval as a medical device in accordance with section 
     513 of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 
     360c); or
       ``(II) powers the charger of a detachable battery pack or 
     charges the battery of a product that is fully or primarily 
     motor operated.

       ``(D) No-load mode.--The term `no-load mode' means the mode 
     of operation when an external power supply is connected to 
     the main electricity supply and the output is not connected 
     to a load.''; and
       (2) by adding at the end the following:
       ``(52) Detachable battery.--The term `detachable battery' 
     means a battery that is--
       ``(A) contained in a separate enclosure from the product; 
     and
       ``(B) intended to be removed or disconnected from the 
     product for recharging.''.
       (b) Test Procedures.--Section 323(b) of the Energy Policy 
     and Conservation Act (42 U.S.C. 6293(b)) is amended by adding 
     at the end the following:
       ``(17) Class a external power supplies.--Test procedures 
     for class A external power supplies shall be based on the 
     `Test Method for Calculating the Energy Efficiency of Single-
     Voltage External AC-DC and AC-AC Power Supplies' published by 
     the Environmental Protection Agency on August 11, 2004, 
     except that the test voltage specified in section 4(d) of 
     that test method shall be only 115 volts, 60 Hz.''.
       (c) Efficiency Standards for Class A External Power 
     Supplies.--Section 325(u) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6295(u)) is amended by adding at 
     the end the following:
       ``(6) Efficiency standards for class a external power 
     supplies.--
       ``(A) In general.--Subject to subparagraphs (B) through 
     (D), a class A external power supply manufactured on or after 
     the later of July 1, 2008, or the date of enactment of this 
     paragraph shall meet the following standards:


------------------------------------------------------------------------
                              ``Active Mode
-------------------------------------------------------------------------
                                         Required Efficiency (decimal
         ``Nameplate Output               equivalent of a percentage)
------------------------------------------------------------------------
Less than 1 watt                      0.5 times the Nameplate Output
------------------------------------------------------------------------
From 1 watt to not more than 51       The sum of 0.09 times the Natural
 watts                                 Logarithm of the Nameplate Output
                                       and 0.5
------------------------------------------------------------------------
Greater than 51 watts                 0.85
------------------------------------------------------------------------
``No-Load Mode
------------------------------------------------------------------------
``Nameplate Output                    Maximum Consumption
------------------------------------------------------------------------
Not more than 250 watts               0.5 watts
------------------------------------------------------------------------

       ``(B) Noncovered supplies.--A class A external power supply 
     shall not be subject to subparagraph (A) if the class A 
     external power supply is--
       ``(i) manufactured during the period beginning on July 1, 
     2008, and ending on June 30, 2015; and
       ``(ii) made available by the manufacturer as a service part 
     or a spare part for an end-use product--

[[Page 35850]]

       ``(I) that constitutes the primary load; and
       ``(II) was manufactured before July 1, 2008.

       ``(C) Marking.--Any class A external power supply 
     manufactured on or after the later of July 1, 2008 or the 
     date of enactment of this paragraph shall be clearly and 
     permanently marked in accordance with the External Power 
     Supply International Efficiency Marking Protocol, as 
     referenced in the `Energy Star Program Requirements for 
     Single Voltage External AC-DC and AC-AC Power Supplies, 
     version 1.1' published by the Environmental Protection 
     Agency.
       ``(D) Amendment of standards.--
       ``(i) Final rule by july 1, 2011.--

       ``(I) In general.--Not later than July 1, 2011, the 
     Secretary shall publish a final rule to determine whether the 
     standards established under subparagraph (A) should be 
     amended.
       ``(II) Administration.--The final rule shall--

       ``(aa) contain any amended standards; and
       ``(bb) apply to products manufactured on or after July 1, 
     2013.
       ``(ii) Final rule by july 1, 2015.--

       ``(I) In general.--Not later than July 1, 2015 the 
     Secretary shall publish a final rule to determine whether the 
     standards then in effect should be amended.
       ``(II) Administration.--The final rule shall--

       ``(aa) contain any amended standards; and
       ``(bb) apply to products manufactured on or after July 1, 
     2017.
       ``(7) End-use products.--An energy conservation standard 
     for external power supplies shall not constitute an energy 
     conservation standard for the separate end-use product to 
     which the external power supplies is connected.''.

     SEC. 302. UPDATING APPLIANCE TEST PROCEDURES.

       (a) Consumer Appliances.--Section 323(b)(1) of the Energy 
     Policy and Conservation Act (42 U.S.C. 6293(b)(1)) is amended 
     by striking ``(1)'' and all that follows through the end of 
     the paragraph and inserting the following:
       ``(1) Test procedures.--
       ``(A) Amendment.--At least once every 7 years, the 
     Secretary shall review test procedures for all covered 
     products and--
       ``(i) amend test procedures with respect to any covered 
     product, if the Secretary determines that amended test 
     procedures would more accurately or fully comply with the 
     requirements of paragraph (3); or
       ``(ii) publish notice in the Federal Register of any 
     determination not to amend a test procedure.''.
       (b) Industrial Equipment.--Section 343(a) of the Energy 
     Policy and Conservation Act (42 U.S.C. 6313(a)) is amended by 
     striking ``(a)'' and all that follows through the end of 
     paragraph (1) and inserting the following:
       ``(a) Prescription by Secretary; Requirements.--
       ``(1) Test procedures.--
       ``(A) Amendment.--At least once every 7 years, the 
     Secretary shall conduct an evaluation of each class of 
     covered equipment and--
       ``(i) if the Secretary determines that amended test 
     procedures would more accurately or fully comply with the 
     requirements of paragraphs (2) and (3), shall prescribe test 
     procedures for the class in accordance with this section; or
       ``(ii) shall publish notice in the Federal Register of any 
     determination not to amend a test procedure.''.

     SEC. 303. RESIDENTIAL BOILERS.

       Section 325(f) of the Energy Policy and Conservation Act 
     (42 U.S.C. 6295(f)) is amended--
       (1) in the subsection heading, by inserting ``and Boilers'' 
     after ``Furnaces'';
       (2) by redesignating paragraph (3) as paragraph (4); and
       (3) by inserting after paragraph (2) the following:
       ``(3) Boilers.--
       ``(A) In general.--Subject to subparagraphs (B) and (C), 
     boilers manufactured on or after September 1, 2012, shall 
     meet the following requirements:


----------------------------------------------------------------------------------------------------------------
                                          Minimum Annual Fuel Utilization
              Boiler Type                            Efficiency                      Design Requirements
----------------------------------------------------------------------------------------------------------------
Gas Hot Water.........................  82%                                  No Constant Burning Pilot,
                                                                              Automatic Means for Adjusting
                                                                              Water Temperature
----------------------------------------------------------------------------------------------------------------
 Gas Steam............................  80%                                  No Constant Burning Pilot
----------------------------------------------------------------------------------------------------------------
Oil Hot Water.........................  84%                                  Automatic Means for Adjusting
                                                                              Temperature
----------------------------------------------------------------------------------------------------------------
 Oil Steam............................  82%                                  None
----------------------------------------------------------------------------------------------------------------
Electric Hot Water....................  None                                 Automatic Means for Adjusting
                                                                              Temperature
----------------------------------------------------------------------------------------------------------------
Electric Steam........................  None                                 None
----------------------------------------------------------------------------------------------------------------

       ``(B) Automatic means for adjusting water temperature.--
       ``(i) In general.--The manufacturer shall equip each gas, 
     oil, and electric hot water boiler (other than a boiler 
     equipped with a tankless domestic water heating coil) with 
     automatic means for adjusting the temperature of the water 
     supplied by the boiler to ensure that an incremental change 
     in inferred heat load produces a corresponding incremental 
     change in the temperature of water supplied.
       ``(ii) Single input rate.--For a boiler that fires at 1 
     input rate, the requirements of this subparagraph may be 
     satisfied by providing an automatic means that allows the 
     burner or heating element to fire only when the means has 
     determined that the inferred heat load cannot be met by the 
     residual heat of the water in the system.
       ``(iii) No inferred heat load.--When there is no inferred 
     heat load with respect to a hot water boiler, the automatic 
     means described in clause (i) and (ii) shall limit the 
     temperature of the water in the boiler to not more than 140 
     degrees Fahrenheit.
       ``(iv) Operation.--A boiler described in clause (i) or (ii) 
     shall be operable only when the automatic means described in 
     clauses (i), (ii), and (iii) is installed.
       ``(C) Exception.--A boiler that is manufactured to operate 
     without any need for electricity or any electric connection, 
     electric gauges, electric pumps, electric wires, or electric 
     devices shall not be required to meet the requirements of 
     this paragraph.''.

     SEC. 304. FURNACE FAN STANDARD PROCESS.

       Paragraph (4)(D) of section 325(f) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6295(f)) (as redesignated by 
     section 303(4)) is amended by striking ``the Secretary may'' 
     and inserting ``not later than December 31, 2013, the 
     Secretary shall''.

     SEC. 305. IMPROVING SCHEDULE FOR STANDARDS UPDATING AND 
                   CLARIFYING STATE AUTHORITY.

       (a) Consumer Appliances.--Section 325 of the Energy Policy 
     and Conservation Act (42 U.S.C. 6295) is amended by striking 
     subsection (m) and inserting the following:
       ``(m) Amendment of Standards.--
       ``(1) In general.--Not later than 6 years after issuance of 
     any final rule establishing or amending a standard, as 
     required for a product under this part, the Secretary shall 
     publish--
       ``(A) a notice of the determination of the Secretary that 
     standards for the product do not need to be amended, based on 
     the criteria established under subsection (n)(2); or
       ``(B) a notice of proposed rulemaking including new 
     proposed standards based on the criteria established under 
     subsection (o) and the procedures established under 
     subsection (p).
       ``(2) Notice.--If the Secretary publishes a notice under 
     paragraph (1), the Secretary shall--
       ``(A) publish a notice stating that the analysis of the 
     Department is publicly available; and
       ``(B) provide an opportunity for written comment.
       ``(3) Amendment of standard; new determination.--
       ``(A) Amendment of standard.--Not later than 2 years after 
     a notice is issued under paragraph (1)(B), the Secretary 
     shall publish a final rule amending the standard for the 
     product.
       ``(B) New determination.--Not later than 3 years after a 
     determination under paragraph (1)(A), the Secretary shall 
     make a new determination and publication under subparagraph 
     (A) or (B) of paragraph (1).
       ``(4) Application to products.--
       ``(A) In general.--Except as provided in subparagraph (B), 
     an amendment prescribed under this subsection shall apply 
     to--
       ``(i) with respect to refrigerators, refrigerator-freezers, 
     freezers, room air conditioners, dishwashers, clothes 
     washers, clothes dryers, fluorescent lamp ballasts, and 
     kitchen ranges and ovens, such a product that is manufactured 
     after the date that is 3 years after publication of the final 
     rule establishing an applicable standard; and
       ``(ii) with respect to central air conditioners, heat 
     pumps, water heaters, pool heaters, direct heating equipment, 
     and furnaces, such a product that is manufactured after the 
     date that is 5 years after publication of the final rule 
     establishing an applicable standard.
       ``(B) Other new standards.--A manufacturer shall not be 
     required to apply new standards to a product with respect to 
     which other new standards have been required during the prior 
     6-year period.
       ``(5) Reports.--The Secretary shall promptly submit to the 
     Committee on Energy and Commerce of the House of 
     Representatives and the Committee on Energy and Natural 
     Resources of the Senate--
       ``(A) a progress report every 180 days on compliance with 
     this section, including a specific plan to remedy any 
     failures to comply with deadlines for action established 
     under this section; and
       ``(B) all required reports to the Court or to any party to 
     the Consent Decree in State of New York v Bodman, 
     Consolidated Civil Actions No. 05 Civ. 7807 and No. 05 Civ. 
     7808.''.
       (b) Industrial Equipment.--Section 342(a)(6) of the Energy 
     Policy and Conservation Act (42 U.S.C. 6313(a)(6)) is 
     amended--

[[Page 35851]]

       (1) by redesignating subparagraph (C) as subparagraph (D); 
     and
       (2) by striking ``(6)(A)(i)'' and all that follows through 
     the end of subparagraph (B) and inserting the following:
       ``(6) Amended energy efficiency standards.--
       ``(A) In general.--
       ``(i) Analysis of potential energy savings.--If ASHRAE/IES 
     Standard 90.1 is amended with respect to any small commercial 
     package air conditioning and heating equipment, large 
     commercial package air conditioning and heating equipment, 
     very large commercial package air conditioning and heating 
     equipment, packaged terminal air conditioners, packaged 
     terminal heat pumps, warm-air furnaces, packaged boilers, 
     storage water heaters, instantaneous water heaters, or 
     unfired hot water storage tanks, not later than 180 days 
     after the amendment of the standard, the Secretary shall 
     publish in the Federal Register for public comment an 
     analysis of the energy savings potential of amended energy 
     efficiency standards.
       ``(ii) Amended uniform national standard for products.--

       ``(I) In general.--Except as provided in subclause (II), 
     not later than 18 months after the date of publication of the 
     amendment to the ASHRAE/IES Standard 90.1 for a product 
     described in clause (i), the Secretary shall establish an 
     amended uniform national standard for the product at the 
     minimum level specified in the amended ASHRAE/IES Standard 
     90.1.
       ``(II) More stringent standard.--Subclause (I) shall not 
     apply if the Secretary determines, by rule published in the 
     Federal Register, and supported by clear and convincing 
     evidence, that adoption of a uniform national standard more 
     stringent than the amended ASHRAE/IES Standard 90.1 for the 
     product would result in significant additional conservation 
     of energy and is technologically feasible and economically 
     justified.

       ``(B) Rule.--If the Secretary makes a determination 
     described in clause (ii)(II) for a product described in 
     clause (i), not later than 30 months after the date of 
     publication of the amendment to the ASHRAE/IES Standard 90.1 
     for the product, the Secretary shall issue the rule 
     establishing the amended standard.
       ``(C) Amendment of standard.--
       ``(i) In general.--Not later than 6 years after issuance of 
     any final rule establishing or amending a standard, as 
     required for a product under this part, the Secretary shall 
     publish--

       ``(I) a notice of the determination of the Secretary that 
     standards for the product do not need to be amended, based on 
     the criteria established under subparagraph (A); or
       ``(II) a notice of proposed rulemaking including new 
     proposed standards based on the criteria and procedures 
     established under subparagraph (B).

       ``(ii) Notice.--If the Secretary publishes a notice under 
     clause (i), the Secretary shall--

       ``(I) publish a notice stating that the analysis of the 
     Department is publicly available; and
       ``(II) provide an opportunity for written comment.

       ``(iii) Amendment of standard; new determination.--

       ``(I) Amendment of standard.--Not later than 2 years after 
     a notice is issued under clause (i)(II), the Secretary shall 
     publish a final rule amending the standard for the product.
       ``(II) New determination.--Not later than 3 years after a 
     determination under clause (i)(I), the Secretary shall make a 
     new determination and publication under subclause (I) or (II) 
     of clause (i).

       ``(iv) Application to products.--An amendment prescribed 
     under this subsection shall apply to products manufactured 
     after a date that is the later of--

       ``(I) the date that is 3 years after publication of the 
     final rule establishing a new standard; or
       ``(II) the date that is 6 years after the effective date of 
     the current standard for a covered product.

       ``(v) Reports.--The Secretary shall promptly submit to the 
     Committee on Energy and Commerce of the House of 
     Representatives and the Committee on Energy and Natural 
     Resources of the Senate a progress report every 180 days on 
     compliance with this subparagraph, including a specific plan 
     to remedy any failures to comply with deadlines for action 
     established under this subparagraph.''.

     SEC. 306. REGIONAL STANDARDS FOR FURNACES, CENTRAL AIR 
                   CONDITIONERS, AND HEAT PUMPS.

       (a) In General.--Section 325(o) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6295(o)) is amended by adding at 
     the end the following:
       ``(6) Regional standards for furnaces, central air 
     conditioners, and heat pumps.--
       ``(A) In general.--In any rulemaking to establish a new or 
     amended standard, the Secretary may consider the 
     establishment of separate standards by geographic region for 
     furnaces (except boilers), central air conditioners, and heat 
     pumps.
       ``(B) National and regional standards.--
       ``(i) National standard.--If the Secretary establishes a 
     regional standard for a product, the Secretary shall 
     establish a base national standard for the product.
       ``(ii) Regional standards.--If the Secretary establishes a 
     regional standard for a product, the Secretary may establish 
     more restrictive standards for the product by geographic 
     region as follows:

       ``(I) For furnaces, the Secretary may establish 1 
     additional standard that is applicable in a geographic region 
     defined by the Secretary.
       ``(II) For any cooling product, the Secretary may establish 
     1 or 2 additional standards that are applicable in 1 or 2 
     geographic regions as may be defined by the Secretary.

       ``(C) Boundaries of geographic regions.--
       ``(i) In general.--Subject to clause (ii), the boundaries 
     of additional geographic regions established by the Secretary 
     under this paragraph shall include only contiguous States.
       ``(ii) Alaska and hawaii.--The States of Alaska and Hawaii 
     may be included under this paragraph in a geographic region 
     that the States are not contiguous to.
       ``(iii) Individual states.--Individual States shall be 
     placed only into a single region under this paragraph.
       ``(D) Prerequisites.--In establishing additional regional 
     standards under this paragraph, the Secretary shall--
       ``(i) establish additional regional standards only if the 
     Secretary determines that--

       ``(I) the establishment of additional regional standards 
     will produce significant energy savings in comparison to 
     establishing only a single national standard; and
       ``(II) the additional regional standards are economically 
     justified under this paragraph; and

       ``(ii) consider the impact of the additional regional 
     standards on consumers, manufacturers, and other market 
     participants, including product distributors, dealers, 
     contractors, and installers.
       ``(E) Application; effective date.--
       ``(i) Base national standard.--Any base national standard 
     established for a product under this paragraph shall--

       ``(I) be the minimum standard for the product; and
       ``(II) apply to all products manufactured or imported into 
     the United States on and after the effective date for the 
     standard.

       ``(ii) Regional standards.--Any additional and more 
     restrictive regional standard established for a product under 
     this paragraph shall apply to any such product installed on 
     or after the effective date of the standard in States in 
     which the Secretary has designated the standard to apply.
       ``(F) Continuation of regional standards.--
       ``(i) In general.--In any subsequent rulemaking for any 
     product for which a regional standard has been previously 
     established, the Secretary shall determine whether to 
     continue the establishment of separate regional standards for 
     the product.
       ``(ii) Regional standard no longer appropriate.--Except as 
     provided in clause (iii), if the Secretary determines that 
     regional standards are no longer appropriate for a product, 
     beginning on the effective date of the amended standard for 
     the product--

       ``(I) there shall be 1 base national standard for the 
     product with Federal enforcement; and
       ``(II) State authority for enforcing a regional standard 
     for the product shall terminate.

       ``(iii) Regional standard appropriate but standard or 
     region changed.--

       ``(I) State no longer contained in region.--Subject to 
     subclause (III), if a State is no longer contained in a 
     region in which a regional standard that is more stringent 
     than the base national standard applies, the authority of the 
     State to enforce the regional standard shall terminate.
       ``(II) Standard or region revised so that existing regional 
     standard equals base national standard.--If the Secretary 
     revises a base national standard for a product or the 
     geographic definition of a region so that an existing 
     regional standard for a State is equal to the revised base 
     national standard--

       ``(aa) the authority of the State to enforce the regional 
     standard shall terminate on the effective date of the revised 
     base national standard; and
       ``(bb) the State shall be subject to the revised base 
     national standard.

       ``(III) Standard or region revised so that existing 
     regional standard equals base national standard.--If the 
     Secretary revises a base national standard for a product or 
     the geographic definition of a region so that the standard 
     for a State is lower than the previously approved regional 
     standard, the State may continue to enforce the previously 
     approved standard level.

       ``(iv) Waiver of federal preemption.--Nothing in this 
     paragraph diminishes the authority of a State to enforce a 
     State regulation for which a waiver of Federal preemption has 
     been granted under section 327(d).
       ``(G) Enforcement.--
       ``(i) Base national standard.--

       ``(I) In general.--The Secretary shall enforce any base 
     national standard.
       ``(II) Trade association certification programs.--In 
     enforcing the base national standard, the Secretary shall 
     use, to the maximum extent practicable, national standard 
     nationally recognized certification programs of trade 
     associations.

       ``(ii) Regional standards.--

       ``(I) Enforcement plan.--Not later than 90 days after the 
     date of the issuance of a final rule that establishes a 
     regional standard, the Secretary shall initiate a rulemaking 
     to develop and implement an effective enforcement plan for 
     regional standards for the products that are covered by the 
     final rule.
       ``(II) Responsible entities.--Any rules regarding 
     enforcement of a regional standard shall clearly specify 
     which entities are legally responsible for compliance with 
     the standards and for making any required information or 
     labeling disclosures.
       ``(III) Final rule.--Not later than 15 months after the 
     date of the issuance of a final rule that

[[Page 35852]]

     establishes a regional standard for a product, the Secretary 
     shall promulgate a final rule covering enforcement of 
     regional standards for the product.
       ``(IV) Incorporation by states and localities.--A State or 
     locality may incorporate any Federal regional standard into 
     State or local building codes or State appliance standards.
       ``(V) State enforcement.--A State agency may seek 
     enforcement of a Federal regional standard in a Federal court 
     of competent jurisdiction.

       ``(H) Information disclosure.--
       ``(i) In general.--Not later than 90 days after the date of 
     the publication of a final rule that establishes a regional 
     standard for a product, the Federal Trade Commission shall 
     undertake a rulemaking to determine the appropriate 1 or more 
     methods for disclosing information so that consumers, 
     distributors, contractors, and installers can easily 
     determine whether a specific piece of equipment that is 
     installed in a specific building is in conformance with the 
     regional standard that applies to the building.
       ``(ii) Methods.--A method of disclosing information under 
     clause (i) may include--

       ``(I) modifications to the Energy Guide label; or
       ``(II) other methods that make it easy for consumers and 
     installers to use and understand at the point of 
     installation.

       ``(iii) Completion of rulemaking.--The rulemaking shall be 
     completed not later 15 months after the date of the 
     publication of a final rule that establishes a regional 
     standard for a product.''.
       (b) Prohibited Acts.--Section 332(a) of the Energy Policy 
     and Conservation Act (42 U.S.C. 6302(a)) is amended--
       (1) in paragraph (4), by striking ``or'' after the 
     semicolon at the end;
       (2) in paragraph (5), by striking ``part.'' and inserting 
     ``part, except to the extent that the new covered product is 
     covered by a regional standard that is more stringent than 
     the base national standard; or''; and
       (3) by adding at the end the following:
       ``(6) for any manufacturer or private labeler to knowingly 
     sell a product to a distributor, contractor, or dealer with 
     knowledge that the entity routinely violates any regional 
     standard applicable to the product.''.
       (c) Consideration of Prices and Operating Patterns.--
     Section 342(a)(6)(B) of the Energy Policy and Conservation 
     Act (42 U.S.C. 6313(a)(6)(B)) is amended by adding at the end 
     the following:
       ``(iii) Consideration of prices and operating patterns.--If 
     the Secretary is considering revised standards for air-cooled 
     3-phase central air conditioners and central air conditioning 
     heat pumps with less 65,000 Btu per hour (cooling capacity), 
     the Secretary shall use commercial energy prices and 
     operating patterns in all analyses conducted by the 
     Secretary.''.

     SEC. 307. PROCEDURE FOR PRESCRIBING NEW OR AMENDED STANDARDS.

       Section 325(p) of the Energy Policy and Conservation Act 
     (42 U.S.C. 6925(p)) is amended--
       (1) by striking paragraph (1); and
       (2) by redesignating paragraphs (2) through (4) as 
     paragraphs (1) through (3), respectively.

     SEC. 308. EXPEDITED RULEMAKINGS.

       (a) Procedure for Prescribing New or Amended Standards.--
     Section 325(p) of the Energy Policy and Conservation Act (42 
     U.S.C. 6295(p)) (as amended by section 307) is amended by 
     adding at the end the following:
       ``(4) Direct final rules.--
       ``(A) In general.--On receipt of a statement that is 
     submitted jointly by interested persons that are fairly 
     representative of relevant points of view (including 
     representatives of manufacturers of covered products, States, 
     and efficiency advocates), as determined by the Secretary, 
     and contains recommendations with respect to an energy or 
     water conservation standard--
       ``(i) if the Secretary determines that the recommended 
     standard contained in the statement is in accordance with 
     subsection (o) or section 342(a)(6)(B), as applicable, the 
     Secretary may issue a final rule that establishes an energy 
     or water conservation standard and is published 
     simultaneously with a notice of proposed rulemaking that 
     proposes a new or amended energy or water conservation 
     standard that is identical to the standard established in the 
     final rule to establish the recommended standard (referred to 
     in this paragraph as a `direct final rule'); or
       ``(ii) if the Secretary determines that a direct final rule 
     cannot be issued based on the statement, the Secretary shall 
     publish a notice of the determination, together with an 
     explanation of the reasons for the determination.
       ``(B) Public comment.--The Secretary shall solicit public 
     comment for a period of at least 110 days with respect to 
     each direct final rule issued by the Secretary under 
     subparagraph (A)(i).
       ``(C) Withdrawal of direct final rules.--
       ``(i) In general.--Not later than 120 days after the date 
     on which a direct final rule issued under subparagraph (A)(i) 
     is published in the Federal Register, the Secretary shall 
     withdraw the direct final rule if--

       ``(I) the Secretary receives 1 or more adverse public 
     comments relating to the direct final rule under subparagraph 
     (B)(i) or any alternative joint recommendation; and
       ``(II) based on the rulemaking record relating to the 
     direct final rule, the Secretary determines that such adverse 
     public comments or alternative joint recommendation may 
     provide a reasonable basis for withdrawing the direct final 
     rule under subsection (o), section 342(a)(6)(B), or any other 
     applicable law.

       ``(ii) Action on withdrawal.--On withdrawal of a direct 
     final rule under clause (i), the Secretary shall--

       ``(I) proceed with the notice of proposed rulemaking 
     published simultaneously with the direct final rule as 
     described in subparagraph (A)(i); and
       ``(II) publish in the Federal Register the reasons why the 
     direct final rule was withdrawn.

       ``(iii) Treatment of withdrawn direct final rules.--A 
     direct final rule that is withdrawn under clause (i) shall 
     not be considered to be a final rule for purposes of 
     subsection (o).
       ``(D) Effect of paragraph.--Nothing in this paragraph 
     authorizes the Secretary to issue a direct final rule based 
     solely on receipt of more than 1 statement containing 
     recommended standards relating to the direct final rule.''.
       (b) Conforming Amendment.--Section 345(b)(1) of the Energy 
     Policy and Conservation Act (42 U.S.C. 6316(b)(1)) is amended 
     in the first sentence by inserting ``section 325(p)(5),'' 
     after ``The provisions of''.

     SEC. 309. BATTERY CHARGERS.

       Section 325(u)(1)(E) of the Energy Policy and Conservation 
     Act (42 U.S.C. 6295(u)(1)(E)) is amended--
       (1) by striking ``(E)(i) Not'' and inserting the following:
       ``(E) External power supplies and battery chargers.--
       ``(i) Energy conservation standards.--

       ``(I) External power supplies.--Not'';

       (2) by striking ``3 years'' and inserting ``2 years'';
       (3) by striking ``battery chargers and'' each place it 
     appears; and
       (4) by adding at the end the following :

       ``(II) Battery chargers.--Not later than July 1, 2011, the 
     Secretary shall issue a final rule that prescribes energy 
     conservation standards for battery chargers or classes of 
     battery chargers or determine that no energy conservation 
     standard is technically feasible and economically 
     justified.''.

     SEC. 310. STANDBY MODE.

       Section 325 of the Energy Policy and Conservation Act (42 
     U.S.C. 6295) is amended--
       (1) in subsection (u)--
       (A) by striking paragraphs (2), (3), and (4); and
       (B) by redesignating paragraph (5) and (6) as paragraphs 
     (2) and (3), respectively;
       (2) by redesignating subsection (gg) as subsection (hh);
       (3) by inserting after subsection (ff) the following:
       ``(gg) Standby Mode Energy Use.--
       ``(1) Definitions.--
       ``(A) In general.--Unless the Secretary determines 
     otherwise pursuant to subparagraph (B), in this subsection:
       ``(i) Active mode.--The term `active mode' means the 
     condition in which an energy-using product--

       ``(I) is connected to a main power source;
       ``(II) has been activated; and
       ``(III) provides 1 or more main functions.

       ``(ii) Off mode.--The term `off mode' means the condition 
     in which an energy-using product--

       ``(I) is connected to a main power source; and
       ``(II) is not providing any standby or active mode 
     function.

       ``(iii) Standby mode.--The term `standby mode' means the 
     condition in which an energy-using product--

       ``(I) is connected to a main power source; and
       ``(II) offers 1 or more of the following user-oriented or 
     protective functions:

       ``(aa) To facilitate the activation or deactivation of 
     other functions (including active mode) by remote switch 
     (including remote control), internal sensor, or timer.
       ``(bb) Continuous functions, including information or 
     status displays (including clocks) or sensor-based functions.
       ``(B) Amended definitions.--The Secretary may, by rule, 
     amend the definitions under subparagraph (A), taking into 
     consideration the most current versions of Standards 62301 
     and 62087 of the International Electrotechnical Commission.
       ``(2) Test procedures.--
       ``(A) In general.--Test procedures for all covered products 
     shall be amended pursuant to section 323 to include standby 
     mode and off mode energy consumption, taking into 
     consideration the most current versions of Standards 62301 
     and 62087 of the International Electrotechnical Commission, 
     with such energy consumption integrated into the overall 
     energy efficiency, energy consumption, or other energy 
     descriptor for each covered product, unless the Secretary 
     determines that--
       ``(i) the current test procedures for a covered product 
     already fully account for and incorporate the standby mode 
     and off mode energy consumption of the covered product; or
       ``(ii) such an integrated test procedure is technically 
     infeasible for a particular covered product, in which case 
     the Secretary shall prescribe a separate standby mode and off 
     mode energy use test procedure for the covered product, if 
     technically feasible.
       ``(B) Deadlines.--The test procedure amendments required by 
     subparagraph (A) shall be prescribed in a final rule no later 
     than the following dates:
       ``(i) December 31, 2008, for battery chargers and external 
     power supplies.
       ``(ii) March 31, 2009, for clothes dryers, room air 
     conditioners, and fluorescent lamp ballasts.
       ``(iii) June 30, 2009, for residential clothes washers.

[[Page 35853]]

       ``(iv) September 30, 2009, for residential furnaces and 
     boilers.
       ``(v) March 31, 2010, for residential water heaters, direct 
     heating equipment, and pool heaters.
       ``(vi) March 31, 2011, for residential dishwashers, ranges 
     and ovens, microwave ovens, and dehumidifiers.
       ``(C) Prior product standards.--The test procedure 
     amendments adopted pursuant to subparagraph (B) shall not be 
     used to determine compliance with product standards 
     established prior to the adoption of the amended test 
     procedures.
       ``(3) Incorporation into standard.--
       ``(A) In general.--Subject to subparagraph (B), based on 
     the test procedures required under paragraph (2), any final 
     rule establishing or revising a standard for a covered 
     product, adopted after July 1, 2010, shall incorporate 
     standby mode and off mode energy use into a single amended or 
     new standard, pursuant to subsection (o), if feasible.
       ``(B) Separate standards.--If not feasible, the Secretary 
     shall prescribe within the final rule a separate standard for 
     standby mode and off mode energy consumption, if justified 
     under subsection (o).''; and
       (4) in paragraph (2) of subsection (hh) (as redesignated by 
     paragraph (2)) , by striking ``(ff)'' each place it appears 
     and inserting ``(gg)''.

     SEC. 311. ENERGY STANDARDS FOR HOME APPLIANCES.

       (a) Appliances.--
       (1) Dehumidifiers.--Section 325(cc) of the Energy Policy 
     and Conservation Act (42 U.S.C. 6295(cc)) is amended by 
     striking paragraph (2) and inserting the following:
       ``(2) Dehumidifiers manufactured on or after october 1, 
     2012.--Dehumidifiers manufactured on or after October 1, 
     2012, shall have an Energy Factor that meets or exceeds the 
     following values:


 
 
 
``Product Capacity (pints/day):          Minimum Energy Factor (liters/
                                          KWh)
  Up to 35.00..........................  1.35
  35.01-45.00..........................  1.50
  45.01-54.00..........................  1.60
  54.01-75.00..........................  1.70
  Greater than 75.00...................  2.5.''.


       (2) Residential clothes washers and residential 
     dishwashers.--Section 325(g) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6295(g)) is amended by adding at 
     the end the following:
       ``(9) Residential clothes washers manufactured on or after 
     january 1, 2011.--
       ``(A) In general.--A top-loading or front-loading standard-
     size residential clothes washer manufactured on or after 
     January 1, 2011, shall have--
       ``(i) a Modified Energy Factor of at least 1.26; and
       ``(ii) a water factor of not more than 9.5.
       ``(B) Amendment of standards.--
       ``(i) In general.--Not later than December 31, 2011, the 
     Secretary shall publish a final rule determining whether to 
     amend the standards in effect for clothes washers 
     manufactured on or after January 1, 2015.
       ``(ii) Amended standards.--The final rule shall contain any 
     amended standards.
       ``(10) Residential dishwashers manufactured on or after 
     january 1, 2010.--
       ``(A) In general.--A dishwasher manufactured on or after 
     January 1, 2010, shall--
       ``(i) for a standard size dishwasher not exceed 355 kwh/
     year and 6.5 gallon per cycle; and
       ``(ii) for a compact size dishwasher not exceed 260 kwh/
     year and 4.5 gallons per cycle.
       ``(B) Amendment of standards.--
       ``(i) In general.--Not later than January 1, 2015, the 
     Secretary shall publish a final rule determining whether to 
     amend the standards for dishwashers manufactured on or after 
     January 1, 2018.
       ``(ii) Amended standardshe final rule shall contain any 
     amended standards.''.
       (3) Refrigerators and freezers.--Section 325(b) of the 
     Energy Policy and Conservation Act (42 U.S.C. 6295(b)) is 
     amended by adding at the end the following:
       ``(4) Refrigerators and freezers manufactured on or after 
     january 1, 2014.--
       ``(A) In general.--Not later than December 31, 2010, the 
     Secretary shall publish a final rule determining whether to 
     amend the standards in effect for refrigerators, 
     refrigerator-freezers, and freezers manufactured on or after 
     January 1, 2014.
       ``(B) Amended standards.--The final rule shall contain any 
     amended standards.''.
       (b) Energy Star.--Section 324A(d)(2) of the Energy Policy 
     and Conservation Act (42 U.S.C. 6294a(d)(2)) is amended by 
     striking ``January 1, 2010'' and inserting ``July 1, 2009''.

     SEC. 312. WALK-IN COOLERS AND WALK-IN FREEZERS.

       (a) Definitions.--Section 340 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6311) is amended--
       (1) in paragraph (1)--
       (A) by redesignating subparagraphs (G) through (K) as 
     subparagraphs (H) through (L), respectively; and
       (B) by inserting after subparagraph (F) the following:
       ``(G) Walk-in coolers and walk-in freezers.'';
       (2) by redesignating paragraphs (20) and (21) as paragraphs 
     (21) and (22), respectively; and
       (3) by inserting after paragraph (19) the following:
       ``(20) Walk-in cooler; walk-in freezer.--
       ``(A) In general.--The terms `walk-in cooler' and `walk-in 
     freezer' mean an enclosed storage space refrigerated to 
     temperatures, respectively, above, and at or below 32 degrees 
     Fahrenheit that can be walked into, and has a total chilled 
     storage area of less than 3,000 square feet.
       ``(B) Exclusion.--The terms `walk-in cooler' and `walk-in 
     freezer' do not include products designed and marketed 
     exclusively for medical, scientific, or research purposes.''.
       (b) Standards.--Section 342 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6313) is amended by adding at the 
     end the following:
       ``(f) Walk-in Coolers and Walk-in Freezers.--
       ``(1) In general.--Subject to paragraphs (2) through (5), 
     each walk-in cooler or walk-in freezer manufactured on or 
     after January 1, 2009, shall--
       ``(A) have automatic door closers that firmly close all 
     walk-in doors that have been closed to within 1 inch of full 
     closure, except that this subparagraph shall not apply to 
     doors wider than 3 feet 9 inches or taller than 7 feet;
       ``(B) have strip doors, spring hinged doors, or other 
     method of minimizing infiltration when doors are open;
       ``(C) contain wall, ceiling, and door insulation of at 
     least R-25 for coolers and R-32 for freezers, except that 
     this subparagraph shall not apply to glazed portions of doors 
     nor to structural members;
       ``(D) contain floor insulation of at least R-28 for 
     freezers;
       ``(E) for evaporator fan motors of under 1 horsepower and 
     less than 460 volts, use--
       ``(i) electronically commutated motors (brushless direct 
     current motors); or
       ``(ii) 3-phase motors;
       ``(F) for condenser fan motors of under 1 horsepower, use--
       ``(i) electronically commutated motors;
       ``(ii) permanent split capacitor-type motors; or
       ``(iii) 3-phase motors; and
       ``(G) for all interior lights, use light sources with an 
     efficacy of 40 lumens per watt or more, including ballast 
     losses (if any), except that light sources with an efficacy 
     of 40 lumens per watt or less, including ballast losses (if 
     any), may be used in conjunction with a timer or device that 
     turns off the lights within 15 minutes of when the walk-in 
     cooler or walk-in freezer is not occupied by people.
       ``(2) Electronically commutated motors.--
       ``(A) In general.--The requirements of paragraph (1)(E)(i) 
     for electronically commutated motors shall take effect 
     January 1, 2009, unless, prior to that date, the Secretary 
     determines that such motors are only available from 1 
     manufacturer.
       ``(B) Other types of motors.--In carrying out paragraph 
     (1)(E)(i) and subparagraph (A), the Secretary may allow other 
     types of motors if the Secretary determines that, on average, 
     those other motors use no more energy in evaporator fan 
     applications than electronically commutated motors.
       ``(C) Maximum energy consumption level.--The Secretary 
     shall establish the maximum energy consumption level under 
     subparagraph (B) not later than January 1, 2010.
       ``(3) Additional specifications.--Each walk-in cooler or 
     walk-in freezer with transparent reach-in doors manufactured 
     on or after January 1, 2009, shall also meet the following 
     specifications:
       ``(A) Transparent reach-in doors for walk-in freezers and 
     windows in walk-in freezer doors shall be of triple-pane 
     glass with either heat-reflective treated glass or gas fill.
       ``(B) Transparent reach-in doors for walk-in coolers and 
     windows in walk-in cooler doors shall be--
       ``(i) double-pane glass with heat-reflective treated glass 
     and gas fill; or
       ``(ii) triple-pane glass with either heat-reflective 
     treated glass or gas fill.
       ``(C) If the appliance has an antisweat heater without 
     antisweat heat controls, the appliance shall have a total 
     door rail, glass, and frame heater power draw of not more 
     than 7.1 watts per square foot of door opening (for freezers) 
     and 3.0 watts per square foot of door opening (for coolers).
       ``(D) If the appliance has an antisweat heater with 
     antisweat heat controls, and the total door rail, glass, and 
     frame heater power draw is more than 7.1 watts per square 
     foot of door opening (for freezers) and 3.0 watts per square 
     foot of door opening (for coolers), the antisweat heat 
     controls shall reduce the energy use of the antisweat heater 
     in a quantity corresponding to the relative humidity in the 
     air outside the door or to the condensation on the inner 
     glass pane.
       ``(4) Performance-based standards.--
       ``(A) In general.--Not later than January 1, 2012, the 
     Secretary shall publish performance-

[[Page 35854]]

     based standards for walk-in coolers and walk-in freezers that 
     achieve the maximum improvement in energy that the Secretary 
     determines is technologically feasible and economically 
     justified.
       ``(B) Application.--
       ``(i) In general.--Except as provided in clause (ii), the 
     standards shall apply to products described in subparagraph 
     (A) that are manufactured beginning on the date that is 3 
     years after the final rule is published.
       ``(ii) Delayed effective date.--If the Secretary 
     determines, by rule, that a 3-year period is inadequate, the 
     Secretary may establish an effective date for products 
     manufactured beginning on the date that is not more than 5 
     years after the date of publication of a final rule for the 
     products.
       ``(5) Amendment of standards.--
       ``(A) In general.--Not later than January 1, 2020, the 
     Secretary shall publish a final rule to determine if the 
     standards established under paragraph (4) should be amended.
       ``(B) Application.--
       ``(i) In general.--Except as provided in clause (ii), the 
     rule shall provide that the standards shall apply to products 
     manufactured beginning on the date that is 3 years after the 
     final rule is published.
       ``(ii) Delayed effective date.--If the Secretary 
     determines, by rule, that a 3-year period is inadequate, the 
     Secretary may establish an effective date for products 
     manufactured beginning on the date that is not more than 5 
     years after the date of publication of a final rule for the 
     products.''.
       (c) Test Procedures.--Section 343(a) of the Energy Policy 
     and Conservation Act (42 U.S.C. 6314(a)) is amended by adding 
     at the end the following:
       ``(9) Walk-in coolers and walk-in freezers.--
       ``(A) In general.--For the purpose of test procedures for 
     walk-in coolers and walk-in freezers:
       ``(i) The R value shall be the 1/K factor multiplied by the 
     thickness of the panel.
       ``(ii) The K factor shall be based on ASTM test procedure 
     C518-2004.
       ``(iii) For calculating the R value for freezers, the K 
     factor of the foam at 20F (average foam temperature) shall 
     be used.
       ``(iv) For calculating the R value for coolers, the K 
     factor of the foam at 55F (average foam temperature) shall 
     be used.
       ``(B) Test procedure.--
       ``(i) In general.--Not later than January 1, 2010, the 
     Secretary shall establish a test procedure to measure the 
     energy-use of walk-in coolers and walk-in freezers.
       ``(ii) Computer modeling.--The test procedure may be based 
     on computer modeling, if the computer model or models have 
     been verified using the results of laboratory tests on a 
     significant sample of walk-in coolers and walk-in 
     freezers.''.
       (d) Labeling.--Section 344(e) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6315(e)) is amended by inserting 
     ``walk-in coolers and walk-in freezers,'' after ``commercial 
     clothes washers,'' each place it appears.
       (e) Administration, Penalties, Enforcement, and 
     Preemption.--Section 345 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6316) is amended--
       (1) by striking ``subparagraphs (B), (C), (D), (E), and 
     (F)'' each place it appears and inserting ``subparagraphs (B) 
     through (G)''; and
       (2) by adding at the end the following:
       ``(h) Walk-in Coolers and Walk-in Freezers.--
       ``(1) Covered types.--
       ``(A) Relationship to other law.--
       ``(i) In general.--Except as otherwise provided in this 
     subsection, section 327 shall apply to walk-in coolers and 
     walk-in freezers for which standards have been established 
     under paragraphs (1), (2), and (3) of section 342(f) to the 
     same extent and in the same manner as the section applies 
     under part A on the date of enactment of this subsection.
       ``(ii) State standards.--Any State standard prescribed 
     before the date of enactment of this subsection shall not be 
     preempted until the standards established under paragraphs 
     (1) and (2) of section 342(f) take effect.
       ``(B) Administration.--In applying section 327 to equipment 
     under subparagraph (A), paragraphs (1), (2), and (3) of 
     subsection (a) shall apply.
       ``(2) Final rule not timely.--
       ``(A) In general.--If the Secretary does not issue a final 
     rule for a specific type of walk-in cooler or walk-in freezer 
     within the time frame established under paragraph (4) or (5) 
     of section 342(f), subsections (b) and (c) of section 327 
     shall no longer apply to the specific type of walk-in cooler 
     or walk-in freezer during the period--
       ``(i) beginning on the day after the scheduled date for a 
     final rule; and
       ``(ii) ending on the date on which the Secretary publishes 
     a final rule covering the specific type of walk-in cooler or 
     walk-in freezer.
       ``(B) State standards.--Any State standard issued before 
     the publication of the final rule shall not be preempted 
     until the standards established in the final rule take 
     effect.
       ``(3) California.--Any standard issued in the State of 
     California before January 1, 2011, under title 20 of the 
     California Code of Regulations, that refers to walk-in 
     coolers and walk-in freezers, for which standards have been 
     established under paragraphs (1), (2), and (3) of section 
     342(f), shall not be preempted until the standards 
     established under section 342(f)(3) take effect.''.

     SEC. 313. ELECTRIC MOTOR EFFICIENCY STANDARDS.

       (a) Definitions.--Section 340(13) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6311(13)) is amended--
       (1) by redesignating subparagraphs (B) through (H) as 
     subparagraphs (C) through (I), respectively; and
       (2) by striking ``(13)(A)'' and all that follows through 
     the end of subparagraph (A) and inserting the following:
       ``(13) Electric motor.--
       ``(A) General purpose electric motor (subtype i).--The term 
     `general purpose electric motor (subtype I)' means any motor 
     that meets the definition of `General Purpose' as established 
     in the final rule issued by the Department of Energy entitled 
     `Energy Efficiency Program for Certain Commercial and 
     Industrial Equipment: Test Procedures, Labeling, and 
     Certification Requirements for Electric Motors' (10 C.F.R. 
     431), as in effect on the date of enactment of the Energy 
     Independence and Security Act of 2007.
       ``(B) General purpose electric motor (subtype ii).--The 
     term `general purpose electric motor (subtype II)' means 
     motors incorporating the design elements of a general purpose 
     electric motor (subtype I) that are configured as 1 of the 
     following:
       ``(i) A U-Frame Motor.
       ``(ii) A Design C Motor.
       ``(iii) A close-coupled pump motor.
       ``(iv) A Footless motor.
       ``(v) A vertical solid shaft normal thrust motor (as tested 
     in a horizontal configuration).
       ``(vi) An 8-pole motor (900 rpm).
       ``(vii) A poly-phase motor with voltage of not more than 
     600 volts (other than 230 or 460 volts.''.
       (b) Standards.--
       (1) Amendment.--Section 342(b) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6313(b)) is amended--
       (A) by redesignating paragraphs (2) and (3) as paragraphs 
     (3) and (4), respectively; and
       (B) by inserting after paragraph (1) the following:
       ``(2) Electric motors.--
       ``(A) General purpose electric motors (subtype i).--Except 
     as provided in subparagraph (B), each general purpose 
     electric motor (subtype I) with a power rating of 1 
     horsepower or greater, but not greater than 200 horsepower, 
     manufactured (alone or as a component of another piece of 
     equipment) after the 3-year period beginning on the date of 
     enactment of the Energy Independence and Security Act of 
     2007, shall have a nominal full load efficiency that is not 
     less than as defined in NEMA MG-1 (2006) Table 12-12.
       ``(B) Fire pump motors.--Each fire pump motor manufactured 
     (alone or as a component of another piece of equipment) after 
     the 3-year period beginning on the date of enactment of the 
     Energy Independence and Security Act of 2007 shall have 
     nominal full load efficiency that is not less than as defined 
     in NEMA MG-1 (2006) Table 12-11.
       ``(C) General purpose electric motors (subtype ii).--Each 
     general purpose electric motor (subtype II) with a power 
     rating of 1 horsepower or greater, but not greater than 200 
     horsepower, manufactured (alone or as a component of another 
     piece of equipment) after the 3-year period beginning on the 
     date of enactment of the Energy Independence and Security Act 
     of 2007, shall have a nominal full load efficiency that is 
     not less than as defined in NEMA MG-1 (2006) Table 12-11.
       ``(D) NEMA design b, general purpose electric motors.--Each 
     NEMA Design B, general purpose electric motor with a power 
     rating of more than 200 horsepower, but not greater than 500 
     horsepower, manufactured (alone or as a component of another 
     piece of equipment) after the 3-year period beginning on the 
     date of enactment of the Energy Independence and Security Act 
     of 2007, shall have a nominal full load efficiency that is 
     not less than as defined in NEMA MG-1 (2006) Table 12-11.''.
       (2) Effective date.--The amendments made by paragraph (1) 
     take effect on the date that is 3 years after the date of 
     enactment of this Act.

     SEC. 314. STANDARDS FOR SINGLE PACKAGE VERTICAL AIR 
                   CONDITIONERS AND HEAT PUMPS.

       (a) Definitions.--Section 340 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6311) is amended by adding at the 
     end the following:
       ``(22) Single package vertical air conditioner.--The term 
     `single package vertical air conditioner' means air-cooled 
     commercial package air conditioning and heating equipment 
     that--
       ``(A) is factory-assembled as a single package that--
       ``(i) has major components that are arranged vertically;
       ``(ii) is an encased combination of cooling and optional 
     heating components; and
       ``(iii) is intended for exterior mounting on, adjacent 
     interior to, or through an outside wall;
       ``(B) is powered by a single- or 3-phase current;
       ``(C) may contain 1 or more separate indoor grilles, 
     outdoor louvers, various ventilation options, indoor free air 
     discharges, ductwork, well plenum, or sleeves; and
       ``(D) has heating components that may include electrical 
     resistance, steam, hot water, or gas, but may not include 
     reverse cycle refrigeration as a heating means.
       ``(23) Single package vertical heat pump.--The term `single 
     package vertical heat pump' means a single package vertical 
     air conditioner that--
       ``(A) uses reverse cycle refrigeration as its primary heat 
     source; and

[[Page 35855]]

       ``(B) may include secondary supplemental heating by means 
     of electrical resistance, steam, hot water, or gas.''.
       (b) Standards.--Section 342(a) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6313(a)) is amended--
       (1) in the first sentence of each of paragraphs (1) and 
     (2), by inserting ``(including single package vertical air 
     conditioners and single package vertical heat pumps)'' after 
     ``heating equipment'' each place it appears;
       (2) in paragraph (1), by striking ``but before January 1, 
     2010,'';
       (3) in the first sentence of each of paragraphs (7), (8), 
     and (9), by inserting ``(other than single package vertical 
     air conditioners and single package vertical heat pumps)'' 
     after ``heating equipment'' each place it appears;
       (4) in paragraph (7)--
       (A) by striking ``manufactured on or after January 1, 
     2010,'';
       (B) in each of subparagraphs (A), (B), and (C), by striking 
     ``The'' and inserting ``For equipment manufactured on or 
     after January 1, 2010, the''; and
       (C) by adding at the end the following:
       ``(D) For equipment manufactured on or after the later of 
     January 1, 2008, or the date that is 180 days after the date 
     of enactment of the Energy Independence and Security Act of 
     2007--
       ``(i) the minimum seasonal energy efficiency ratio of air-
     cooled 3-phase electric central air conditioners and central 
     air conditioning heat pumps less than 65,000 Btu per hour 
     (cooling capacity), split systems, shall be 13.0;
       ``(ii) the minimum seasonal energy efficiency ratio of air-
     cooled 3-phase electric central air conditioners and central 
     air conditioning heat pumps less than 65,000 Btu per hour 
     (cooling capacity), single package, shall be 13.0;
       ``(iii) the minimum heating seasonal performance factor of 
     air-cooled 3-phase electric central air conditioning heat 
     pumps less than 65,000 Btu per hour (cooling capacity), split 
     systems, shall be 7.7; and
       ``(iv) the minimum heating seasonal performance factor of 
     air-cooled three-phase electric central air conditioning heat 
     pumps less than 65,000 Btu per hour (cooling capacity), 
     single package, shall be 7.7.''; and
       (5) by adding at the end the following:
       ``(10) Single package vertical air conditioners and single 
     package vertical heat pumps.--
       ``(A) In general.--Single package vertical air conditioners 
     and single package vertical heat pumps manufactured on or 
     after January 1, 2010, shall meet the following standards:
       ``(i) The minimum energy efficiency ratio of single package 
     vertical air conditioners less than 65,000 Btu per hour 
     (cooling capacity), single-phase, shall be 9.0.
       ``(ii) The minimum energy efficiency ratio of single 
     package vertical air conditioners less than 65,000 Btu per 
     hour (cooling capacity), three-phase, shall be 9.0.
       ``(iii) The minimum energy efficiency ratio of single 
     package vertical air conditioners at or above 65,000 Btu per 
     hour (cooling capacity) but less than 135,000 Btu per hour 
     (cooling capacity), shall be 8.9.
       ``(iv) The minimum energy efficiency ratio of single 
     package vertical air conditioners at or above 135,000 Btu per 
     hour (cooling capacity) but less than 240,000 Btu per hour 
     (cooling capacity), shall be 8.6.
       ``(v) The minimum energy efficiency ratio of single package 
     vertical heat pumps less than 65,000 Btu per hour (cooling 
     capacity), single-phase, shall be 9.0 and the minimum 
     coefficient of performance in the heating mode shall be 3.0.
       ``(vi) The minimum energy efficiency ratio of single 
     package vertical heat pumps less than 65,000 Btu per hour 
     (cooling capacity), three-phase, shall be 9.0 and the minimum 
     coefficient of performance in the heating mode shall be 3.0.
       ``(vii) The minimum energy efficiency ratio of single 
     package vertical heat pumps at or above 65,000 Btu per hour 
     (cooling capacity) but less than 135,000 Btu per hour 
     (cooling capacity), shall be 8.9 and the minimum coefficient 
     of performance in the heating mode shall be 3.0.
       ``(viii) The minimum energy efficiency ratio of single 
     package vertical heat pumps at or above 135,000 Btu per hour 
     (cooling capacity) but less than 240,000 Btu per hour 
     (cooling capacity), shall be 8.6 and the minimum coefficient 
     of performance in the heating mode shall be 2.9.
       ``(B) Review.--Not later than 3 years after the date of 
     enactment of this paragraph, the Secretary shall review the 
     most recently published ASHRAE/IES Standard 90.1 with respect 
     to single package vertical air conditioners and single 
     package vertical heat pumps in accordance with the procedures 
     established under paragraph (6).''.

     SEC. 315. IMPROVED ENERGY EFFICIENCY FOR APPLIANCES AND 
                   BUILDINGS IN COLD CLIMATES.

       (a) Research.--Section 911(a)(2) of the Energy Policy Act 
     of 2005 (42 U.S.C. 16191(a)(2)) is amended--
       (1) in subparagraph (C), by striking ``and'' at the end;
       (2) in subparagraph (D), by striking the period at the end 
     and inserting ``; and''; and
       (3) by adding at the end the following:
       ``(E) technologies to improve the energy efficiency of 
     appliances and mechanical systems for buildings in cold 
     climates, including combined heat and power units and 
     increased use of renewable resources, including fuel.''.
       (b) Rebates.--Section 124 of the Energy Policy Act of 2005 
     (42 U.S.C. 15821) is amended--
       (1) in subsection (b)(1), by inserting ``, or products with 
     improved energy efficiency in cold climates,'' after 
     ``residential Energy Star products''; and
       (2) in subsection (e), by inserting ``or product with 
     improved energy efficiency in a cold climate'' after 
     ``residential Energy Star product'' each place it appears.

     SEC. 316. TECHNICAL CORRECTIONS.

       (a) Definition of F96T12 Lamp.--
       (1) In general.--Section 135(a)(1)(A)(ii) of the Energy 
     Policy Act of 2005 (Public Law 109-58; 119 Stat. 624) is 
     amended by striking ``C78.1-1978 (R1984)'' and inserting 
     ``C78.3-1978 (R1984)''.
       (2) Effective date.--The amendment made by paragraph (1) 
     takes effect on August 8, 2005.
       (b) Definition of Fluorescent Lamp.--Section 
     321(30)(B)(viii) of the Energy Policy and Conservation Act 
     (42 U.S.C. 6291(30)(B)(viii)) is amended by striking ``82'' 
     and inserting ``87''.
       (c) Mercury Vapor Lamp Ballasts.--
       (1) Definitions.--Section 321 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6291) (as amended by section 
     301(a)(2)) is amended--
       (A) by striking paragraphs (46) through (48) and inserting 
     the following:
       ``(46) High intensity discharge lamp.--
       ``(A) In general.--The term `high intensity discharge lamp' 
     means an electric-discharge lamp in which--
       ``(i) the light-producing arc is stabilized by the arc tube 
     wall temperature; and
       ``(ii) the arc tube wall loading is in excess of 3 Watts/
     cm\2\.
       ``(B) Inclusions.--The term `high intensity discharge lamp' 
     includes mercury vapor, metal halide, and high-pressure 
     sodium lamps described in subparagraph (A).
       ``(47) Mercury vapor lamp.--
       ``(A) In general.--The term `mercury vapor lamp' means a 
     high intensity discharge lamp in which the major portion of 
     the light is produced by radiation from mercury typically 
     operating at a partial vapor pressure in excess of 100,000 Pa 
     (approximately 1 atm).
       ``(B) Inclusions.--The term `mercury vapor lamp' includes 
     clear, phosphor-coated, and self-ballasted screw base lamps 
     described in subparagraph (A).
       ``(48) Mercury vapor lamp ballast.--The term `mercury vapor 
     lamp ballast' means a device that is designed and marketed to 
     start and operate mercury vapor lamps intended for general 
     illumination by providing the necessary voltage and 
     current.''; and
       (B) by adding at the end the following:
       ``(53) Specialty application mercury vapor lamp ballast.--
     The term `specialty application mercury vapor lamp ballast' 
     means a mercury vapor lamp ballast that--
       ``(A) is designed and marketed for operation of mercury 
     vapor lamps used in quality inspection, industrial 
     processing, or scientific use, including fluorescent 
     microscopy and ultraviolet curing; and
       ``(B) in the case of a specialty application mercury vapor 
     lamp ballast, the label of which--
       ``(i) provides that the specialty application mercury vapor 
     lamp ballast is `For specialty applications only, not for 
     general illumination'; and
       ``(ii) specifies the specific applications for which the 
     ballast is designed.''.
       (2) Standard setting authority.--Section 325(ee) of the 
     Energy Policy and Conservation Act (42 U.S.C. 6295(ee)) is 
     amended by inserting ``(other than specialty application 
     mercury vapor lamp ballasts)'' after ``ballasts''.
       (d) Energy Conservation Standards.--Section 325 of the 
     Energy Policy and Conservation Act (42 U.S.C. 6295) is 
     amended--
       (1) in subsection (v)--
       (A) in the subsection heading, by striking ``Ceiling Fans 
     and'';
       (B) by striking paragraph (1); and
       (C) by redesignating paragraphs (2) through (4) as 
     paragraphs (1) through (3), respectively; and
       (2) in subsection (ff)--
       (A) in paragraph (1)(A)--
       (i) by striking clause (iii);
       (ii) by redesignating clause (iv) as clause (iii); and
       (iii) in clause (iii)(II) (as so redesignated), by 
     inserting ``fans sold for'' before ``outdoor''; and
       (B) in paragraph (4)(C)--
       (i) in the matter preceding clause (i), by striking 
     ``subparagraph (B)'' and inserting ``subparagraph (A)''; and
       (ii) by striking clause (ii) and inserting the following:
       ``(ii) shall be packaged with lamps to fill all sockets.'';
       (C) in paragraph (6), by redesignating subparagraphs (C) 
     and (D) as clauses (i) and (ii), respectively, of 
     subparagraph (B); and
       (D) in paragraph (7), by striking ``327'' the second place 
     it appears and inserting ``324''.

                 Subtitle B--Lighting Energy Efficiency

     SEC. 321. EFFICIENT LIGHT BULBS.

       (a) Energy Efficiency Standards for General Service 
     Incandescent Lamps.--
       (1) Definition of general service incandescent lamp.--
     Section 321(30) of the Energy Policy and Conservation Act (42 
     U.S.C. 6291(30)) is amended--
       (A) by striking subparagraph (D) and inserting the 
     following:
       ``(D) General service incandescent lamp.--
       ``(i) In general.--The term `general service incandescent 
     lamp' means a standard incandescent or halogen type lamp 
     that--

       ``(I) is intended for general service applications;
       ``(II) has a medium screw base;
       ``(III) has a lumen range of not less than 310 lumens and 
     not more than 2,600 lumens; and
       ``(IV) is capable of being operated at a voltage range at 
     least partially within 110 and 130 volts.

[[Page 35856]]

       ``(ii) Exclusions.--The term `general service incandescent 
     lamp' does not include the following incandescent lamps:

       ``(I) An appliance lamp.
       ``(II) A black light lamp.
       ``(III) A bug lamp.
       ``(IV) A colored lamp.
       ``(V) An infrared lamp.
       ``(VI) A left-hand thread lamp.
       ``(VII) A marine lamp.
       ``(VIII) A marine signal service lamp.
       ``(IX) A mine service lamp.
       ``(X) A plant light lamp.
       ``(XI) A reflector lamp.
       ``(XII) A rough service lamp.
       ``(XIII) A shatter-resistant lamp (including a shatter-
     proof lamp and a shatter-protected lamp).
       ``(XIV) A sign service lamp.
       ``(XV) A silver bowl lamp.
       ``(XVI) A showcase lamp.
       ``(XVII) A 3-way incandescent lamp.
       ``(XVIII) A traffic signal lamp.
       ``(XIX) A vibration service lamp.
       ``(XX) A G shape lamp (as defined in ANSI C78.20-2003 and 
     C79.1-2002 with a diameter of 5 inches or more.
       ``(XXI) A T shape lamp (as defined in ANSI C78.20-2003 and 
     C79.1-2002) and that uses not more than 40 watts or has a 
     length of more than 10 inches.
       ``(XXII) A B, BA, CA, F, G16-1/2, G-25, G30, S, or M-14 
     lamp (as defined in ANSI C79.1-2002 and ANSI C78.20-2003) of 
     40 watts or less.''; and

       (B) by adding at the end the following:
       ``(T) Appliance lamp.--The term `appliance lamp' means any 
     lamp that--
       ``(i) is specifically designed to operate in a household 
     appliance, has a maximum wattage of 40 watts, and is sold at 
     retail, including an oven lamp, refrigerator lamp, and vacuum 
     cleaner lamp; and
       ``(ii) is designated and marketed for the intended 
     application, with--

       ``(I) the designation on the lamp packaging; and
       ``(II) marketing materials that identify the lamp as being 
     for appliance use.

       ``(U) Candelabra base incandescent lamp.--The term 
     `candelabra base incandescent lamp' means a lamp that uses 
     candelabra screw base as described in ANSI C81.61-2006, 
     Specifications for Electric Bases, common designations E11 
     and E12.
       ``(V) Intermediate base incandescent lamp.--The term 
     `intermediate base incandescent lamp' means a lamp that uses 
     an intermediate screw base as described in ANSI C81.61-2006, 
     Specifications for Electric Bases, common designation E17.
       ``(W) Modified spectrum.--The term `modified spectrum' 
     means, with respect to an incandescent lamp, an incandescent 
     lamp that--
       ``(i) is not a colored incandescent lamp; and
       ``(ii) when operated at the rated voltage and wattage of 
     the incandescent lamp--

       ``(I) has a color point with (x,y) chromaticity coordinates 
     on the Commission Internationale de l'Eclairage (C.I.E.) 1931 
     chromaticity diagram that lies below the black-body locus; 
     and
       ``(II) has a color point with (x,y) chromaticity 
     coordinates on the C.I.E. 1931 chromaticity diagram that lies 
     at least 4 MacAdam steps (as referenced in IESNA LM16) 
     distant from the color point of a clear lamp with the same 
     filament and bulb shape, operated at the same rated voltage 
     and wattage.

       ``(X) Rough service lamp.--The term `rough service lamp' 
     means a lamp that--
       ``(i) has a minimum of 5 supports with filament 
     configurations that are C-7A, C-11, C-17, and C-22 as listed 
     in Figure 6-12 of the 9th edition of the IESNA Lighting 
     handbook, or similar configurations where lead wires are not 
     counted as supports; and
       ``(ii) is designated and marketed specifically for `rough 
     service' applications, with--

       ``(I) the designation appearing on the lamp packaging; and
       ``(II) marketing materials that identify the lamp as being 
     for rough service.

       ``(Y) 3-way incandescent lamp.--The term `3-way 
     incandescent lamp' includes an incandescent lamp that--
       ``(i) employs 2 filaments, operated separately and in 
     combination, to provide 3 light levels; and
       ``(ii) is designated on the lamp packaging and marketing 
     materials as being a 3-way incandescent lamp.
       ``(Z) Shatter-resistant lamp, shatter-proof lamp, or 
     shatter-protected lamp.--The terms `shatter-resistant lamp', 
     `shatter-proof lamp', and `shatter-protected lamp' mean a 
     lamp that--
       ``(i) has a coating or equivalent technology that is 
     compliant with NSF/ANSI 51 and is designed to contain the 
     glass if the glass envelope of the lamp is broken; and
       ``(ii) is designated and marketed for the intended 
     application, with--

       ``(I) the designation on the lamp packaging; and
       ``(II) marketing materials that identify the lamp as being 
     shatter-resistant, shatter-proof, or shatter-protected.

       ``(AA) Vibration service lamp.--The term `vibration service 
     lamp' means a lamp that--
       ``(i) has filament configurations that are C-5, C-7A, or C-
     9, as listed in Figure 6-12 of the 9th Edition of the IESNA 
     Lighting Handbook or similar configurations;
       ``(ii) has a maximum wattage of 60 watts;
       ``(iii) is sold at retail in packages of 2 lamps or less; 
     and
       ``(iv) is designated and marketed specifically for 
     vibration service or vibration-resistant applications, with--

       ``(I) the designation appearing on the lamp packaging; and
       ``(II) marketing materials that identify the lamp as being 
     vibration service only.

       ``(BB) General service lamp.--
       ``(i) In general.--The term `general service lamp' 
     includes--

       ``(I) general service incandescent lamps;
       ``(II) compact fluorescent lamps;
       ``(III) general service light-emitting diode (LED or OLED) 
     lamps; and
       ``(IV) any other lamps that the Secretary determines are 
     used to satisfy lighting applications traditionally served by 
     general service incandescent lamps.

       ``(ii) Exclusions.--The term `general service lamp' does 
     not include--

       ``(I) any lighting application or bulb shape described in 
     any of subclauses (I) through (XXII) of subparagraph (D)(ii); 
     or
       ``(II) any general service fluorescent lamp or incandescent 
     reflector lamp.

       ``(CC) Light-emitting diode; led.--
       ``(i) In general.--The terms `light-emitting diode' and 
     `LED' means a p-n junction solid state device the radiated 
     output of which is a function of the physical construction, 
     material used, and exciting current of the device.
       ``(ii) Output.--The output of a light-emitting diode may be 
     in--

       ``(I) the infrared region;
       ``(II) the visible region; or
       ``(III) the ultraviolet region.

       ``(DD) Organic light-emitting diode; oled.--The terms 
     `organic light-emitting diode' and `OLED' mean a thin-film 
     light-emitting device that typically consists of a series of 
     organic layers between 2 electrical contacts (electrodes).
       ``(EE) Colored incandescent lamp.--The term `colored 
     incandescent lamp' means an incandescent lamp designated and 
     marketed as a colored lamp that has--
       ``(i) a color rendering index of less than 50, as 
     determined according to the test method given in C.I.E. 
     publication 13.3-1995; or
       ``(ii) a correlated color temperature of less than 2,500K, 
     or greater than 4,600K, where correlated temperature is 
     computed according to the Journal of Optical Society of 
     America, Vol. 58, pages 1528-1595 (1986).''.
       (2) Coverage.--Section 322(a)(14) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6292(a)(14)) is amended by 
     inserting ``, general service incandescent lamps,'' after 
     ``fluorescent lamps''.
       (3) Energy conservation standards.--Section 325 of the 
     Energy Policy and Conservation Act (42 U.S.C. 6295) is 
     amended--
       (A) in subsection (i)--
       (i) in the section heading, by inserting ``, General 
     Service Incandescent Lamps, Intermediate Base Incandescent 
     Lamps, Candelabra Base Incandescent Lamps,'' after 
     ``Fluorescent Lamps'';
       (ii) in paragraph (1)--

       (I) in subparagraph (A)--

       (aa) by inserting ``, general service incandescent lamps, 
     intermediate base incandescent lamps, candelabra base 
     incandescent lamps,'' after ``fluorescent lamps'';
       (bb) by inserting ``, new maximum wattage,'' after ``lamp 
     efficacy''; and
       (cc) by inserting after the table entitled ``incandescent 
     reflector lamps'' the following:


                                      ``GENERAL SERVICE INCANDESCENT LAMPS
----------------------------------------------------------------------------------------------------------------
                                               Maximum Rate
             Rated Lumen Ranges                  Wattage            Minimum Rate Lifetime         Effective Date
----------------------------------------------------------------------------------------------------------------
1490-2600                                                72   1,000 hrs                                1/1/2012
1050-1489                                                53   1,000 hrs                                1/1/2013
750-1049                                                 43   1,000 hrs                                1/1/2014
310-749                                                  29   1,000 hrs                                1/1/2014
----------------------------------------------------------------------------------------------------------------



[[Page 35857]]


                             ``MODIFIED SPECTRUM GENERAL SERVICE INCANDESCENT LAMPS
----------------------------------------------------------------------------------------------------------------
                                               Maximum Rate
             Rated Lumen Ranges                  Wattage            Minimum Rate Lifetime         Effective Date
----------------------------------------------------------------------------------------------------------------
1118-1950                                                72   1,000 hrs                                1/1/2012
788-1117                                                 53   1,000 hrs                                1/1/2013
563-787                                                  43   1,000 hrs                                1/1/2014
232-562                                                  29   1,000 hrs                             1/1/2014'';
----------------------------------------------------------------------------------------------------------------

     and
       (II) by striking subparagraph (B) and inserting the 
     following:

       ``(B) Application.--
       ``(i) Application criteria.--This subparagraph applies to 
     each lamp that--

       ``(I) is intended for a general service or general 
     illumination application (whether incandescent or not);
       ``(II) has a medium screw base or any other screw base not 
     defined in ANSI C81.61-2006;
       ``(III) is capable of being operated at a voltage at least 
     partially within the range of 110 to 130 volts; and
       ``(IV) is manufactured or imported after December 31, 2011.

       ``(ii) Requirement.--For purposes of this paragraph, each 
     lamp described in clause (i) shall have a color rendering 
     index that is greater than or equal to--

       ``(I) 80 for nonmodified spectrum lamps; or
       ``(II) 75 for modified spectrum lamps.

       ``(C) Candelabra incandescent lamps and intermediate base 
     incandescent lamps.--
       ``(i) Candelabra base incandescent lamps.--A candelabra 
     base incandescent lamp shall not exceed 60 rated watts.
       ``(ii) Intermediate base incandescent lamps.--An 
     intermediate base incandescent lamp shall not exceed 40 rated 
     watts.
       ``(D) Exemptions.--
       ``(i) Petition.--Any person may petition the Secretary for 
     an exemption for a type of general service lamp from the 
     requirements of this subsection.
       ``(ii) Criteria.--The Secretary may grant an exemption 
     under clause (i) only to the extent that the Secretary finds, 
     after a hearing and opportunity for public comment, that it 
     is not technically feasible to serve a specialized lighting 
     application (such as a military, medical, public safety, or 
     certified historic lighting application) using a lamp that 
     meets the requirements of this subsection.
       ``(iii) Additional criterion.--To grant an exemption for a 
     product under this subparagraph, the Secretary shall include, 
     as an additional criterion, that the exempted product is 
     unlikely to be used in a general service lighting 
     application.
       ``(E) Extension of coverage.--
       ``(i) Petition.--Any person may petition the Secretary to 
     establish standards for lamp shapes or bases that are 
     excluded from the definition of general service lamps.
       ``(ii) Increased sales of exempted lamps.--The petition 
     shall include evidence that the availability or sales of 
     exempted incandescent lamps have increased significantly 
     since the date on which the standards on general service 
     incandescent lamps were established.
       ``(iii) Criteria.--The Secretary shall grant a petition 
     under clause (i) if the Secretary finds that--

       ``(I) the petition presents evidence that demonstrates that 
     commercial availability or sales of exempted incandescent 
     lamp types have increased significantly since the standards 
     on general service lamps were established and likely are 
     being widely used in general lighting applications; and
       ``(II) significant energy savings could be achieved by 
     covering exempted products, as determined by the Secretary 
     based on sales data provided to the Secretary from 
     manufacturers and importers.

       ``(iv) No presumption.--The grant of a petition under this 
     subparagraph shall create no presumption with respect to the 
     determination of the Secretary with respect to any criteria 
     under a rulemaking conducted under this section.
       ``(v) Expedited proceeding.--If the Secretary grants a 
     petition for a lamp shape or base under this subparagraph, 
     the Secretary shall--

       ``(I) conduct a rulemaking to determine standards for the 
     exempted lamp shape or base; and
       ``(II) complete the rulemaking not later than 18 months 
     after the date on which notice is provided granting the 
     petition.

       ``(F) Definition of effective date.--In this paragraph, 
     except as otherwise provided in a table contained in 
     subparagraph (A), the term `effective date' means the last 
     day of the month specified in the table that follows October 
     24, 1992.'';
       (iii) in paragraph (5), in the first sentence, by striking 
     ``and general service incandescent lamps'';
       (iv) by redesignating paragraphs (6) and (7) as paragraphs 
     (7) and (8), respectively; and
       (v) by inserting after paragraph (5) the following:
       ``(6) Standards for general service lamps.--
       ``(A) Rulemaking before january 1, 2014.--
       ``(i) In general.--Not later than January 1, 2014, the 
     Secretary shall initiate a rulemaking procedure to determine 
     whether--

       ``(I) standards in effect for general service lamps should 
     be amended to establish more stringent standards than the 
     standards specified in paragraph (1)(A); and
       ``(II) the exemptions for certain incandescent lamps should 
     be maintained or discontinued based, in part, on exempted 
     lamp sales collected by the Secretary from manufacturers.

       ``(ii) Scope.--The rulemaking--

       ``(I) shall not be limited to incandescent lamp 
     technologies; and
       ``(II) shall include consideration of a minimum standard of 
     45 lumens per watt for general service lamps.

       ``(iii) Amended standards.--If the Secretary determines 
     that the standards in effect for general service incandescent 
     lamps should be amended, the Secretary shall publish a final 
     rule not later than January 1, 2017, with an effective date 
     that is not earlier than 3 years after the date on which the 
     final rule is published.
       ``(iv) Phased-in effective dates.--The Secretary shall 
     consider phased-in effective dates under this subparagraph 
     after considering--

       ``(I) the impact of any amendment on manufacturers, 
     retiring and repurposing existing equipment, stranded 
     investments, labor contracts, workers, and raw materials; and
       ``(II) the time needed to work with retailers and lighting 
     designers to revise sales and marketing strategies.

       ``(v) Backstop requirement.--If the Secretary fails to 
     complete a rulemaking in accordance with clauses (i) through 
     (iv) or if the final rule does not produce savings that are 
     greater than or equal to the savings from a minimum efficacy 
     standard of 45 lumens per watt, effective beginning January 
     1, 2020, the Secretary shall prohibit the sale of any general 
     service lamp that does not meet a minimum efficacy standard 
     of 45 lumens per watt.
       ``(vi) State preemption.--Neither section 327(b) nor any 
     other provision of law shall preclude California or Nevada 
     from adopting, effective beginning on or after January 1, 
     2018--

       ``(I) a final rule adopted by the Secretary in accordance 
     with clauses (i) through (iv);
       ``(II) if a final rule described in subclause (I) has not 
     been adopted, the backstop requirement under clause (v); or
       ``(III) in the case of California, if a final rule 
     described in subclause (I) has not been adopted, any 
     California regulations relating to these covered products 
     adopted pursuant to State statute in effect as of the date of 
     enactment of the Energy Independence and Security Act of 
     2007.

       ``(B) Rulemaking before january 1, 2020.--
       ``(i) In general.--Not later than January 1, 2020, the 
     Secretary shall initiate a rulemaking procedure to determine 
     whether--

       ``(I) standards in effect for general service incandescent 
     lamps should be amended to reflect lumen ranges with more 
     stringent maximum wattage than the standards specified in 
     paragraph (1)(A); and
       ``(II) the exemptions for certain incandescent lamps should 
     be maintained or discontinued based, in part, on exempted 
     lamp sales data collected by the Secretary from 
     manufacturers.

       ``(ii) Scope.--The rulemaking shall not be limited to 
     incandescent lamp technologies.
       ``(iii) Amended standards.--If the Secretary determines 
     that the standards in effect for general service incandescent 
     lamps should be amended, the Secretary shall publish a final 
     rule not later than January 1, 2022, with an effective date 
     that is not earlier than 3 years after the date on which the 
     final rule is published.
       ``(iv) Phased-in effective dates.--The Secretary shall 
     consider phased-in effective dates under this subparagraph 
     after considering--

       ``(I) the impact of any amendment on manufacturers, 
     retiring and repurposing existing equipment, stranded 
     investments, labor contracts, workers, and raw materials; and
       ``(II) the time needed to work with retailers and lighting 
     designers to revise sales and marketing strategies.''; and

       (B) in subsection (l), by adding at the end the following:
       ``(4) Energy efficiency standards for certain lamps.--
       ``(A) In general.--The Secretary shall prescribe an energy 
     efficiency standard for rough service lamps, vibration 
     service lamps, 3-way incandescent lamps, 2,601-3,300 lumen 
     general service incandescent lamps, and shatter-resistant 
     lamps only in accordance with this paragraph.
       ``(B) Benchmarks.--Not later than 1 year after the date of 
     enactment of this paragraph, the Secretary, in consultation 
     with the National Electrical Manufacturers Association, 
     shall--
       ``(i) collect actual data for United States unit sales for 
     each of calendar years 1990 through 2006 for each of the 5 
     types of lamps described in subparagraph (A) to determine the 
     historical growth rate of the type of lamp; and
       ``(ii) construct a model for each type of lamp based on 
     coincident economic indicators that

[[Page 35858]]

     closely match the historical annual growth rate of the type 
     of lamp to provide a neutral comparison benchmark to model 
     future unit sales after calendar year 2006.
       ``(C) Actual sales data.--
       ``(i) In general.--Effective for each of calendar years 
     2010 through 2025, the Secretary, in consultation with the 
     National Electrical Manufacturers Association, shall--

       ``(I) collect actual United States unit sales data for each 
     of 5 types of lamps described in subparagraph (A); and
       ``(II) not later than 90 days after the end of each 
     calendar year, compare the lamp sales in that year with the 
     sales predicted by the comparison benchmark for each of the 5 
     types of lamps described in subparagraph (A).

       ``(ii) Continuation of tracking.--

       ``(I) Determination.--Not later than January 1, 2023, the 
     Secretary shall determine if actual sales data should be 
     tracked for the lamp types described in subparagraph (A) 
     after calendar year 2025.
       ``(II) Continuation.--If the Secretary finds that the 
     market share of a lamp type described in subparagraph (A) 
     could significantly erode the market share for general 
     service lamps, the Secretary shall continue to track the 
     actual sales data for the lamp type.

       ``(D) Rough service lamps.--
       ``(i) In general.--Effective beginning with the first year 
     that the reported annual sales rate for rough service lamps 
     demonstrates actual unit sales of rough service lamps that 
     achieve levels that are at least 100 percent higher than 
     modeled unit sales for that same year, the Secretary shall--

       ``(I) not later than 90 days after the end of the previous 
     calendar year, issue a finding that the index has been 
     exceeded; and
       ``(II) not later than the date that is 1 year after the end 
     of the previous calendar year, complete an accelerated 
     rulemaking to establish an energy conservation standard for 
     rough service lamps.

       ``(ii) Backstop requirement.--If the Secretary fails to 
     complete an accelerated rulemaking in accordance with clause 
     (i)(II), effective beginning 1 year after the date of the 
     issuance of the finding under clause (i)(I), the Secretary 
     shall require rough service lamps to--

       ``(I) have a shatter-proof coating or equivalent technology 
     that is compliant with NSF/ANSI 51 and is designed to contain 
     the glass if the glass envelope of the lamp is broken and to 
     provide effective containment over the life of the lamp;
       ``(II) have a maximum 40-watt limitation; and
       ``(III) be sold at retail only in a package containing 1 
     lamp.

       ``(E) Vibration service lamps.--
       ``(i) In general.--Effective beginning with the first year 
     that the reported annual sales rate for vibration service 
     lamps demonstrates actual unit sales of vibration service 
     lamps that achieve levels that are at least 100 percent 
     higher than modeled unit sales for that same year, the 
     Secretary shall--

       ``(I) not later than 90 days after the end of the previous 
     calendar year, issue a finding that the index has been 
     exceeded; and
       ``(II) not later than the date that is 1 year after the end 
     of the previous calendar year, complete an accelerated 
     rulemaking to establish an energy conservation standard for 
     vibration service lamps.

       ``(ii) Backstop requirement.--If the Secretary fails to 
     complete an accelerated rulemaking in accordance with clause 
     (i)(II), effective beginning 1 year after the date of the 
     issuance of the finding under clause (i)(I), the Secretary 
     shall require vibration service lamps to--

       ``(I) have a maximum 40-watt limitation; and
       ``(II) be sold at retail only in a package containing 1 
     lamp.

       ``(F) 3-way incandescent lamps.--
       ``(i) In general.--Effective beginning with the first year 
     that the reported annual sales rate for 3-way incandescent 
     lamps demonstrates actual unit sales of 3-way incandescent 
     lamps that achieve levels that are at least 100 percent 
     higher than modeled unit sales for that same year, the 
     Secretary shall--

       ``(I) not later than 90 days after the end of the previous 
     calendar year, issue a finding that the index has been 
     exceeded; and
       ``(II) not later than the date that is 1 year after the end 
     of the previous calendar year, complete an accelerated 
     rulemaking to establish an energy conservation standard for 
     3-way incandescent lamps.

       ``(ii) Backstop requirement.--If the Secretary fails to 
     complete an accelerated rulemaking in accordance with clause 
     (i)(II), effective beginning 1 year after the date of 
     issuance of the finding under clause (i)(I), the Secretary 
     shall require that--

       ``(I) each filament in a 3-way incandescent lamp meet the 
     new maximum wattage requirements for the respective lumen 
     range established under subsection (i)(1)(A); and
       ``(II) 3-way lamps be sold at retail only in a package 
     containing 1 lamp.

       ``(G) 2,601-3,300 lumen general service incandescent 
     lamps.--Effective beginning with the first year that the 
     reported annual sales rate demonstrates actual unit sales of 
     2,601-3,300 lumen general service incandescent lamps in the 
     lumen range of 2,601 through 3,300 lumens (or, in the case of 
     a modified spectrum, in the lumen range of 1,951 through 
     2,475 lumens) that achieve levels that are at least 100 
     percent higher than modeled unit sales for that same year, 
     the Secretary shall impose--
       ``(i) a maximum 95-watt limitation on general service 
     incandescent lamps in the lumen range of 2,601 through 3,300 
     lumens; and
       ``(ii) a requirement that those lamps be sold at retail 
     only in a package containing 1 lamp.
       ``(H) Shatter-resistant lamps.--
       ``(i) In general.--Effective beginning with the first year 
     that the reported annual sales rate for shatter-resistant 
     lamps demonstrates actual unit sales of shatter-resistant 
     lamps that achieve levels that are at least 100 percent 
     higher than modeled unit sales for that same year, the 
     Secretary shall--

       ``(I) not later than 90 days after the end of the previous 
     calendar year, issue a finding that the index has been 
     exceeded; and
       ``(II) not later than the date that is 1 year after the end 
     of the previous calendar year, complete an accelerated 
     rulemaking to establish an energy conservation standard for 
     shatter-resistant lamps.

       ``(ii) Backstop requirement.--If the Secretary fails to 
     complete an accelerated rulemaking in accordance with clause 
     (i)(II), effective beginning 1 year after the date of 
     issuance of the finding under clause (i)(I), the Secretary 
     shall impose--

       ``(I) a maximum wattage limitation of 40 watts on shatter 
     resistant lamps; and
       ``(II) a requirement that those lamps be sold at retail 
     only in a package containing 1 lamp.

       ``(I) Rulemakings before january 1, 2025.--
       ``(i) In general.--Except as provided in clause (ii), if 
     the Secretary issues a final rule prior to January 1, 2025, 
     establishing an energy conservation standard for any of the 5 
     types of lamps for which data collection is required under 
     any of subparagraphs (D) through (G), the requirement to 
     collect and model data for that type of lamp shall terminate 
     unless, as part of the rulemaking, the Secretary determines 
     that continued tracking is necessary.
       ``(ii) Backstop requirement.--If the Secretary imposes a 
     backstop requirement as a result of a failure to complete an 
     accelerated rulemaking in accordance with clause (i)(II) of 
     any of subparagraphs (D) through (G), the requirement to 
     collect and model data for the applicable type of lamp shall 
     continue for an additional 2 years after the effective date 
     of the backstop requirement.''.
       (b) Consumer Education and Lamp Labeling.--Section 
     324(a)(2)(C) of the Energy Policy and Conservation Act (42 
     U.S.C. 6294(a)(2)(C)) is amended by adding at the end the 
     following:
       ``(iii) Rulemaking to consider effectiveness of lamp 
     labeling.--

       ``(I) In general.--Not later than 1 year after the date of 
     enactment of this clause, the Commission shall initiate a 
     rulemaking to consider--

       ``(aa) the effectiveness of current lamp labeling for power 
     levels or watts, light output or lumens, and lamp lifetime; 
     and
       ``(bb) alternative labeling approaches that will help 
     consumers to understand new high-efficiency lamp products and 
     to base the purchase decisions of the consumers on the most 
     appropriate source that meets the requirements of the 
     consumers for lighting level, light quality, lamp lifetime, 
     and total lifecycle cost.

       ``(II) Completion.--The Commission shall--

       ``(aa) complete the rulemaking not later than the date that 
     is 30 months after the date of enactment of this clause; and
       ``(bb) consider reopening the rulemaking not later than 180 
     days before the effective dates of the standards for general 
     service incandescent lamps established under section 
     325(i)(1)(A), if the Commission determines that further 
     labeling changes are needed to help consumers understand lamp 
     alternatives.''.
       (c) Market Assessments and Consumer Awareness Program.--
       (1) In general.--In cooperation with the Administrator of 
     the Environmental Protection Agency, the Secretary of 
     Commerce, the Federal Trade Commission, lighting and retail 
     industry associations, energy efficiency organizations, and 
     any other entities that the Secretary of Energy determines to 
     be appropriate, the Secretary of Energy shall--
       (A) conduct an annual assessment of the market for general 
     service lamps and compact fluorescent lamps--
       (i) to identify trends in the market shares of lamp types, 
     efficiencies, and light output levels purchased by 
     residential and nonresidential consumers; and
       (ii) to better understand the degree to which consumer 
     decisionmaking is based on lamp power levels or watts, light 
     output or lumens, lamp lifetime, and other factors, including 
     information required on labels mandated by the Federal Trade 
     Commission;
       (B) provide the results of the market assessment to the 
     Federal Trade Commission for consideration in the rulemaking 
     described in section 324(a)(2)(C)(iii) of the Energy Policy 
     and Conservation Act (42 U.S.C. 6294(a)(2)(C)(iii)); and
       (C) in cooperation with industry trade associations, 
     lighting industry members, utilities, and other interested 
     parties, carry out a proactive national program of consumer 
     awareness, information, and education that broadly uses the 
     media and other effective communication techniques over an 
     extended period of time to help consumers understand the lamp 
     labels and make energy-efficient lighting choices that meet 
     the needs of consumers.
       (2) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection $10,000,000 
     for each of fiscal years 2009 through 2012.
       (d) General Rule of Preemption for Energy Conservation 
     Standards Before Federal Standard Becomes Effective for a 
     Product.--Section 327(b)(1) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6297(b)(1)) is amended--

[[Page 35859]]

       (1) by inserting ``(A)'' after ``(1)'';
       (2) by inserting ``or'' after the semicolon at the end; and
       (3) by adding at the end the following:
       ``(B) in the case of any portion of any regulation that 
     establishes requirements for general service incandescent 
     lamps, intermediate base incandescent lamps, or candelabra 
     base lamps, was enacted or adopted by the States of 
     California or Nevada before December 4, 2007, except that--
       ``(i) the regulation adopted by the California Energy 
     Commission with an effective date of January 1, 2008, shall 
     only be effective until the effective date of the Federal 
     standard for the applicable lamp category under subparagraphs 
     (A), (B), and (C) of section 325(i)(1);
       ``(ii) the States of California and Nevada may, at any 
     time, modify or adopt a State standard for general service 
     lamps to conform with Federal standards with effective dates 
     no earlier than 12 months prior to the Federal effective 
     dates prescribed under subparagraphs (A), (B), and (C) of 
     section 325(i)(1), at which time any prior regulations 
     adopted by the States of California or Nevada shall no longer 
     be effective; and
       ``(iii) all other States may, at any time, modify or adopt 
     a State standard for general service lamps to conform with 
     Federal standards and effective dates.''.
       (e) Prohibited Acts.--Section 332(a) of the Energy Policy 
     and Conservation Act (42 U.S.C. 6302(a)) is amended--
       (1) in paragraph (4), by striking ``or'' at the end;
       (2) in paragraph (5), by striking the period at the end and 
     inserting ``; or''; and
       (3) by adding at the end the following:
       ``(6) for any manufacturer, distributor, retailer, or 
     private labeler to distribute in commerce an adapter that--
       ``(A) is designed to allow an incandescent lamp that does 
     not have a medium screw base to be installed into a fixture 
     or lampholder with a medium screw base socket; and
       ``(B) is capable of being operated at a voltage range at 
     least partially within 110 and 130 volts.''.
       (f) Enforcement.--Section 334 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6304) is amended by inserting 
     after the second sentence the following: ``Any such action to 
     restrain any person from distributing in commerce a general 
     service incandescent lamp that does not comply with the 
     applicable standard established under section 325(i) or an 
     adapter prohibited under section 332(a)(6) may also be 
     brought by the attorney general of a State in the name of the 
     State.''.
       (g) Research and Development Program.--
       (1) In general.--The Secretary may carry out a lighting 
     technology research and development program--
       (A) to support the research, development, demonstration, 
     and commercial application of lamps and related technologies 
     sold, offered for sale, or otherwise made available in the 
     United States; and
       (B) to assist manufacturers of general service lamps in the 
     manufacturing of general service lamps that, at a minimum, 
     achieve the wattage requirements imposed as a result of the 
     amendments made by subsection (a).
       (2) Authorization of appropriations.--There are authorized 
     to be appropriated to carry out this subsection $10,000,000 
     for each of fiscal years 2008 through 2013.
       (3) Termination of authority.--The program under this 
     subsection shall terminate on September 30, 2015.
       (h) Reports to Congress.--
       (1) Report on mercury use and release.--Not later than 1 
     year after the date of enactment of this Act, the Secretary , 
     in cooperation with the Administrator of the Environmental 
     Protection Agency, shall submit to Congress a report 
     describing recommendations relating to the means by which the 
     Federal Government may reduce or prevent the release of 
     mercury during the manufacture, transportation, storage, or 
     disposal of light bulbs.
       (2) Report on rulemaking schedule.--Beginning on July 1, 
     2013 and semiannually through July 1, 2016, the Secretary 
     shall submit to the Committee on Energy and Commerce of the 
     House of Representatives and the Committee on Energy and 
     Natural Resources of the Senate a report on--
       (A) whether the Secretary will meet the deadlines for the 
     rulemakings required under this section;
       (B) a description of any impediments to meeting the 
     deadlines; and
       (C) a specific plan to remedy any failures, including 
     recommendations for additional legislation or resources.
       (3) National academy review.--
       (A) In general.--Not later than December 31, 2009, the 
     Secretary shall enter into an arrangement with the National 
     Academy of Sciences to provide a report by December 31, 2013, 
     and an updated report by July 31, 2015. The report should 
     include--
       (i) the status of advanced solid state lighting research, 
     development, demonstration and commercialization;
       (ii) the impact on the types of lighting available to 
     consumers of an energy conservation standard requiring a 
     minimum of 45 lumens per watt for general service lighting 
     effective in 2020; and
       (iii) the time frame for the commercialization of lighting 
     that could replace current incandescent and halogen 
     incandescent lamp technology and any other new technologies 
     developed to meet the minimum standards required under 
     subsection (a) (3) of this section.
       (B) Reports.--The reports shall be transmitted to the 
     Committee on Energy and Commerce of the House of 
     Representatives and the Committee on Energy and Natural 
     Resources of the Senate.

     SEC. 322. INCANDESCENT REFLECTOR LAMP EFFICIENCY STANDARDS.

       (a) Definitions.--Section 321 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6291) (as amended by section 
     316(c)(1)(D)) is amended--
       (1) in paragraph (30)(C)(ii)--
       (A) in the matter preceding subclause (I)--
       (i) by striking ``or similar bulb shapes (excluding ER or 
     BR)'' and inserting ``ER, BR, BPAR, or similar bulb shapes''; 
     and
       (ii) by striking ``2.75'' and inserting ``2.25''; and
       (B) by striking ``is either--'' and all that follows 
     through subclause (II) and inserting ``has a rated wattage 
     that is 40 watts or higher''; and
       (2) by adding at the end the following:
       ``(54) BPAR incandescent reflector lamp.--The term `BPAR 
     incandescent reflector lamp' means a reflector lamp as shown 
     in figure C78.21-278 on page 32 of ANSI C78.21-2003.
       ``(55) BR incandescent reflector lamp; br30; br40.--
       ``(A) BR incandescent reflector lamp.--The term `BR 
     incandescent reflector lamp' means a reflector lamp that 
     has--
       ``(i) a bulged section below the major diameter of the bulb 
     and above the approximate baseline of the bulb, as shown in 
     figure 1 (RB) on page 7 of ANSI C79.1-1994, incorporated by 
     reference in section 430.22 of title 10, Code of Federal 
     Regulations (as in effect on the date of enactment of this 
     paragraph); and
       ``(ii) a finished size and shape shown in ANSI C78.21-1989, 
     including the referenced reflective characteristics in part 7 
     of ANSI C78.21-1989, incorporated by reference in section 
     430.22 of title 10, Code of Federal Regulations (as in effect 
     on the date of enactment of this paragraph).
       ``(B) BR30.--The term `BR30' means a BR incandescent 
     reflector lamp with a diameter of 30/8ths of an inch.
       ``(C) BR40.--The term `BR40' means a BR incandescent 
     reflector lamp with a diameter of 40/8ths of an inch.
       ``(56) ER incandescent reflector lamp; er30; er40.--
       ``(A) ER incandescent reflector lamp.--The term `ER 
     incandescent reflector lamp' means a reflector lamp that 
     has--
       ``(i) an elliptical section below the major diameter of the 
     bulb and above the approximate baseline of the bulb, as shown 
     in figure 1 (RE) on page 7 of ANSI C79.1-1994, incorporated 
     by reference in section 430.22 of title 10, Code of Federal 
     Regulations (as in effect on the date of enactment of this 
     paragraph); and
       ``(ii) a finished size and shape shown in ANSI C78.21-1989, 
     incorporated by reference in section 430.22 of title 10, Code 
     of Federal Regulations (as in effect on the date of enactment 
     of this paragraph).
       ``(B) ER30.--The term `ER30' means an ER incandescent 
     reflector lamp with a diameter of 30/8ths of an inch.
       ``(C) ER40.--The term `ER40' means an ER incandescent 
     reflector lamp with a diameter of 40/8ths of an inch.
       ``(57) R20 incandescent reflector lamp.--The term `R20 
     incandescent reflector lamp' means a reflector lamp that has 
     a face diameter of approximately 2.5 inches, as shown in 
     figure 1(R) on page 7 of ANSI C79.1-1994.''.
       (b) Standards for Fluorescent Lamps and Incandescent 
     Reflector Lamps.--Section 325(i) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6995(i)) is amended by striking 
     paragraph (1) and inserting the following:
       ``(1) Standards.--
       ``(A) Definition of effective date.--In this paragraph 
     (other than subparagraph (D)), the term `effective date' 
     means, with respect to each type of lamp specified in a table 
     contained in subparagraph (B), the last day of the period of 
     months corresponding to that type of lamp (as specified in 
     the table) that follows October 24, 1992.
       ``(B) Minimum standards.--Each of the following general 
     service fluorescent lamps and incandescent reflector lamps 
     manufactured after the effective date specified in the tables 
     contained in this paragraph shall meet or exceed the 
     following lamp efficacy and CRI standards:


                                               ``FLUORESCENT LAMPS
----------------------------------------------------------------------------------------------------------------
                                                                                                  Effective Date
           Lamp Type               Nominal Lamp       Minimum CRI       Minimum Average Lamp        (Period of
                                      Wattage                              Efficacy (LPW)            Months)
----------------------------------------------------------------------------------------------------------------
4-foot medium bi-pin...........        >35 W              69                    75.0                    36

[[Page 35860]]

 
                                       35 W               45                    75.0                    36
2-foot U-shaped................        >35 W              69                    68.0                    36
                                       35 W               45                    64.0                    36
8-foot slimline................         65 W              69                    80.0                    18
                                       65 W               45                    80.0                    18
8-foot high output.............       >100 W              69                    80.0                    18
                                       100 W              45                    80.0                    18
----------------------------------------------------------------------------------------------------------------



                     ``INCANDESCENT REFLECTOR LAMPS
------------------------------------------------------------------------
                                                          Effective Date
     Nominal Lamp Wattage         Minimum Average Lamp      (Period of
                                     Efficacy (LPW)           Months)
------------------------------------------------------------------------
 40-50.......................             10.5                  36
 51-66.......................             11.0                  36
 67-85.......................             12.5                  36
 86-115......................             14.0                  36
116-155......................             14.5                  36
156-205......................             15.0                  36
------------------------------------------------------------------------

       ``(C) Exemptions.--The standards specified in subparagraph 
     (B) shall not apply to the following types of incandescent 
     reflector lamps:
       ``(i) Lamps rated at 50 watts or less that are ER30, BR30, 
     BR40, or ER40 lamps.
       ``(ii) Lamps rated at 65 watts that are BR30, BR40, or ER40 
     lamps.
       ``(iii) R20 incandescent reflector lamps rated 45 watts or 
     less.
       ``(D) Effective dates.--
       ``(i) ER, br, and bpar lamps.--The standards specified in 
     subparagraph (B) shall apply with respect to ER incandescent 
     reflector lamps, BR incandescent reflector lamps, BPAR 
     incandescent reflector lamps, and similar bulb shapes on and 
     after January 1, 2008.
       ``(ii) Lamps between 2.25-2.75 inches in diameter.--The 
     standards specified in subparagraph (B) shall apply with 
     respect to incandescent reflector lamps with a diameter of 
     more than 2.25 inches, but not more than 2.75 inches, on and 
     after the later of January 1, 2008, or the date that is 180 
     days after the date of enactment of the Energy Independence 
     and Security Act of 2007.''.

     SEC. 323. PUBLIC BUILDING ENERGY EFFICIENT AND RENEWABLE 
                   ENERGY SYSTEMS.

       (a) Estimate of Energy Performance in Prospectus.--Section 
     3307(b) of title 40, United States Code, is amended--
       (1) by striking ``and'' at the end of paragraph (5);
       (2) by striking the period at the end of paragraph (6) and 
     inserting ``; and''; and
       (3) by inserting after paragraph (6) the following:
       ``(7) with respect to any prospectus for the construction, 
     alteration, or acquisition of any building or space to be 
     leased, an estimate of the future energy performance of the 
     building or space and a specific description of the use of 
     energy efficient and renewable energy systems, including 
     photovoltaic systems, in carrying out the project.''.
       (b) Minimum Performance Requirements for Leased Space.--
     Section 3307 of such of title is amended--
       (1) by redesignating subsections (f) and (g) as subsections 
     (g) and (h), respectively; and
       (2) by inserting after subsection (e) the following:
       ``(f) Minimum Performance Requirements for Leased Space.--
     With respect to space to be leased, the Administrator shall 
     include, to the maximum extent practicable, minimum 
     performance requirements requiring energy efficiency and the 
     use of renewable energy.''.
       (c) Use of Energy Efficient Lighting Fixtures and Bulbs.--
       (1) In general.--Chapter 33 of such title is amended--
       (A) by redesignating sections 3313, 3314, and 3315 as 
     sections 3314, 3315, and 3316, respectively; and
       (B) by inserting after section 3312 the following:

     ``Sec. 3313. Use of energy efficient lighting fixtures and 
       bulbs

       ``(a) Construction, Alteration, and Acquisition of Public 
     Buildings.--Each public building constructed, altered, or 
     acquired by the Administrator of General Services shall be 
     equipped, to the maximum extent feasible as determined by the 
     Administrator, with lighting fixtures and bulbs that are 
     energy efficient.
       ``(b) Maintenance of Public Buildings.--Each lighting 
     fixture or bulb that is replaced by the Administrator in the 
     normal course of maintenance of public buildings shall be 
     replaced, to the maximum extent feasible, with a lighting 
     fixture or bulb that is energy efficient.
       ``(c) Considerations.--In making a determination under this 
     section concerning the feasibility of installing a lighting 
     fixture or bulb that is energy efficient, the Administrator 
     shall consider--
       ``(1) the life-cycle cost effectiveness of the fixture or 
     bulb;
       ``(2) the compatibility of the fixture or bulb with 
     existing equipment;
       ``(3) whether use of the fixture or bulb could result in 
     interference with productivity;
       ``(4) the aesthetics relating to use of the fixture or 
     bulb; and
       ``(5) such other factors as the Administrator determines 
     appropriate.
       ``(d) Energy Star.--A lighting fixture or bulb shall be 
     treated as being energy efficient for purposes of this 
     section if--
       ``(1) the fixture or bulb is certified under the Energy 
     Star program established by section 324A of the Energy Policy 
     and Conservation Act (42 U.S.C. 6294a);
       ``(2) in the case of all light-emitting diode (LED) 
     luminaires, lamps, and systems whose efficacy (lumens per 
     watt) and Color Rendering Index (CRI) meet the Department of 
     Energy requirements for minimum luminaire efficacy and CRI 
     for the Energy Star certification, as verified by an 
     independent third-party testing laboratory that the 
     Administrator and the Secretary of Energy determine conducts 
     its tests according to the procedures and recommendations of 
     the Illuminating Engineering Society of North America, even 
     if the luminaires, lamps, and systems have not received such 
     certification; or
       ``(3) the Administrator and the Secretary of Energy have 
     otherwise determined that the fixture or bulb is energy 
     efficient.
       ``(e) Additional Energy Efficient Lighting Designations.--
     The Administrator of the Environmental Protection Agency and 
     the Secretary of Energy shall give priority to establishing 
     Energy Star performance criteria or Federal Energy Management 
     Program designations for additional lighting product 
     categories that are appropriate for use in public buildings.
       ``(f) Guidelines.--The Administrator shall develop 
     guidelines for the use of energy efficient lighting 
     technologies that contain mercury in child care centers in 
     public buildings.
       ``(g) Applicability of Buy American Act.--Acquisitions 
     carried out pursuant to this section shall be subject to the 
     requirements of the Buy American Act (41 U.S.C. 10c et seq.).
       ``(h) Effective Date.--The requirements of subsections (a) 
     and (b) shall take effect one year after the date of 
     enactment of this subsection.''.
       (2) Clerical amendment.--The analysis for such chapter is 
     amended by striking the items relating to sections 3313, 
     3314, and 3315 and inserting the following:

``3313. Use of energy efficient lighting fixtures and bulbs.
``3314. Delegation.
``3315. Report to Congress.
``3316. Certain authority not affected.''.

       (d) Evaluation Factor.--Section 3310 of such title is 
     amended--
       (1) by redesignating paragraphs (3), (4), and (5) as 
     paragraphs (4), (5), and (6), respectively; and
       (2) by inserting after paragraph (2) the following:
       ``(3) shall include in the solicitation for any lease 
     requiring a prospectus under section 3307 an evaluation 
     factor considering the extent to which the offeror will 
     promote energy efficiency and the use of renewable energy;''.

     SEC. 324. METAL HALIDE LAMP FIXTURES.

       (a) Definitions.--Section 321 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6291) (as amended by section 
     322(a)(2)) is amended by adding at the end the following:
       ``(58) Ballast.--The term `ballast' means a device used 
     with an electric discharge lamp to obtain necessary circuit 
     conditions (voltage, current, and waveform) for starting and 
     operating.
       ``(59) Ballast efficiency.--
       ``(A) In general.--The term `ballast efficiency' means, in 
     the case of a high intensity discharge fixture, the 
     efficiency of a lamp and ballast combination, expressed as a 
     percentage, and calculated in accordance with the following 
     formula: Efficiency = Pout/Pin.
       ``(B) Efficiency formula.--For the purpose of subparagraph 
     (A)--
       ``(i) Pout shall equal the measured operating 
     lamp wattage;
       ``(ii) Pin shall equal the measured operating 
     input wattage;
       ``(iii) the lamp, and the capacitor when the capacitor is 
     provided, shall constitute a nominal system in accordance 
     with the ANSI Standard C78.43-2004;
       ``(iv) for ballasts with a frequency of 60 Hz, 
     Pin and Pout shall be measured after 
     lamps have been stabilized according to section 4.4 of ANSI 
     Standard C82.6-2005 using a wattmeter with accuracy specified 
     in section 4.5 of ANSI Standard C82.6-2005; and
       ``(v) for ballasts with a frequency greater than 60 Hz, 
     Pin and Pout shall have a basic 
     accuracy of  0.5 percent at the higher of--

       ``(I) 3 times the output operating frequency of the 
     ballast; or

[[Page 35861]]

       ``(II) 2 kHz for ballast with a frequency greater than 60 
     Hz.

       ``(C) Modification.--The Secretary may, by rule, modify the 
     definition of `ballast efficiency' if the Secretary 
     determines that the modification is necessary or appropriate 
     to carry out the purposes of this Act.
       ``(60) Electronic ballast.--The term `electronic ballast' 
     means a device that uses semiconductors as the primary means 
     to control lamp starting and operation.
       ``(61) General lighting application.--The term `general 
     lighting application' means lighting that provides an 
     interior or exterior area with overall illumination.
       ``(62) Metal halide ballast.--The term `metal halide 
     ballast' means a ballast used to start and operate metal 
     halide lamps.
       ``(63) Metal halide lamp.--The term `metal halide lamp' 
     means a high intensity discharge lamp in which the major 
     portion of the light is produced by radiation of metal 
     halides and their products of dissociation, possibly in 
     combination with metallic vapors.
       ``(64) Metal halide lamp fixture.--The term `metal halide 
     lamp fixture' means a light fixture for general lighting 
     application designed to be operated with a metal halide lamp 
     and a ballast for a metal halide lamp.
       ``(65) Probe-start metal halide ballast.--The term `probe-
     start metal halide ballast' means a ballast that--
       ``(A) starts a probe-start metal halide lamp that contains 
     a third starting electrode (probe) in the arc tube; and
       ``(B) does not generally contain an igniter but instead 
     starts lamps with high ballast open circuit voltage.
       ``(66) Pulse-start metal halide ballast.--
       ``(A) In general.--The term `pulse-start metal halide 
     ballast' means an electronic or electromagnetic ballast that 
     starts a pulse-start metal halide lamp with high voltage 
     pulses.
       ``(B) Starting process.--For the purpose of subparagraph 
     (A)--
       ``(i) lamps shall be started by first providing a high 
     voltage pulse for ionization of the gas to produce a glow 
     discharge; and
       ``(ii) to complete the starting process, power shall be 
     provided by the ballast to sustain the discharge through the 
     glow-to-arc transition.''.
       (b) Coverage.--Section 322(a) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6292(a)) is amended--
       (1) by redesignating paragraph (19) as paragraph (20); and
       (2) by inserting after paragraph (18) the following:
       ``(19) Metal halide lamp fixtures.''.
       (c) Test Procedures.--Section 323(b) of the Energy Policy 
     and Conservation Act (42 U.S.C. 6293(b)) (as amended by 
     section 301(b)) is amended by adding at the end the 
     following:
       ``(18) Metal halide lamp ballasts.--Test procedures for 
     metal halide lamp ballasts shall be based on ANSI Standard 
     C82.6-2005, entitled `Ballasts for High Intensity Discharge 
     Lamps--Method of Measurement'.''.
       (d) Labeling.--Section 324(a)(2) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6294(a)(2)) is amended--
       (1) by redesignating subparagraphs (C) through (G) as 
     subparagraphs (D) through (H), respectively; and
       (2) by inserting after subparagraph (B) the following:
       ``(C) Metal halide lamp fixtures.--
       ``(i) In general.--The Commission shall issue labeling 
     rules under this section applicable to the covered product 
     specified in section 322(a)(19) and to which standards are 
     applicable under section 325.
       ``(ii) Labeling.--The rules shall provide that the labeling 
     of any metal halide lamp fixture manufactured on or after the 
     later of January 1, 2009, or the date that is 270 days after 
     the date of enactment of this subparagraph, shall indicate 
     conspicuously, in a manner prescribed by the Commission under 
     subsection (b) by July 1, 2008, a capital letter `E' printed 
     within a circle on the packaging of the fixture, and on the 
     ballast contained in the fixture.''.
       (e) Standards.--Section 325 of the Energy Policy and 
     Conservation Act (42 U.S.C. 6295) (as amended by section 310) 
     is amended--
       (1) by redesignating subsection (hh) as subsection (ii);
       (2) by inserting after subsection (gg) the following:
       ``(hh) Metal Halide Lamp Fixtures.--
       ``(1) Standards.--
       ``(A) In general.--Subject to subparagraphs (B) and (C), 
     metal halide lamp fixtures designed to be operated with lamps 
     rated greater than or equal to 150 watts but less than or 
     equal to 500 watts shall contain--
       ``(i) a pulse-start metal halide ballast with a minimum 
     ballast efficiency of 88 percent;
       ``(ii) a magnetic probe-start ballast with a minimum 
     ballast efficiency of 94 percent; or
       ``(iii) a nonpulse-start electronic ballast with--

       ``(I) a minimum ballast efficiency of 92 percent for 
     wattages greater than 250 watts; and
       ``(II) a minimum ballast efficiency of 90 percent for 
     wattages less than or equal to 250 watts.

       ``(B) Exclusions.--The standards established under 
     subparagraph (A) shall not apply to--
       ``(i) fixtures with regulated lag ballasts;
       ``(ii) fixtures that use electronic ballasts that operate 
     at 480 volts; or
       ``(iii) fixtures that--

       ``(I) are rated only for 150 watt lamps;
       ``(II) are rated for use in wet locations, as specified by 
     the National Electrical Code 2002, section 410.4(A); and
       ``(III) contain a ballast that is rated to operate at 
     ambient air temperatures above 50C, as specified by UL 1029-
     2001.

       ``(C) Application.--The standards established under 
     subparagraph (A) shall apply to metal halide lamp fixtures 
     manufactured on or after the later of--
       ``(i) January 1, 2009; or
       ``(ii) the date that is 270 days after the date of 
     enactment of this subsection.
       ``(2) Final rule by january 1, 2012.--
       ``(A) In general.--Not later than January 1, 2012, the 
     Secretary shall publish a final rule to determine whether the 
     standards established under paragraph (1) should be amended.
       ``(B) Administration.--The final rule shall--
       ``(i) contain any amended standard; and
       ``(ii) apply to products manufactured on or after January 
     1, 2015.
       ``(3) Final rule by january 1, 2019.--
       ``(A) In general.--Not later than January 1, 2019, the 
     Secretary shall publish a final rule to determine whether the 
     standards then in effect should be amended.
       ``(B) Administration.--The final rule shall--
       ``(i) contain any amended standards; and
       ``(ii) apply to products manufactured after January 1, 
     2022.
       ``(4) Design and performance requirements.--Notwithstanding 
     any other provision of law, any standard established pursuant 
     to this subsection may contain both design and performance 
     requirements.''; and
       (3) in paragraph (2) of subsection (ii) (as redesignated by 
     paragraph (2)), by striking ``(gg)'' each place it appears 
     and inserting ``(hh)''.
       (f) Effect on Other Law.--Section 327(c) of the Energy 
     Policy and Conservation Act (42 U.S.C. 6297(c)) is amended--
       (1) in paragraph (8)(B), by striking the period at the end 
     and inserting ``; and''; and
       (2) by adding at the end the following:
       ``(9) is a regulation concerning metal halide lamp fixtures 
     adopted by the California Energy Commission on or before 
     January 1, 2011, except that--
       ``(A) if the Secretary fails to issue a final rule within 
     180 days after the deadlines for rulemakings in section 
     325(hh), notwithstanding any other provision of this section, 
     preemption shall not apply to a regulation concerning metal 
     halide lamp fixtures adopted by the California Energy 
     Commission--
       ``(i) on or before July 1, 2015, if the Secretary fails to 
     meet the deadline specified in section 325(hh)(2); or
       ``(ii) on or before July 1, 2022, if the Secretary fails to 
     meet the deadline specified in section 325(hh)(3).''.

     SEC. 325. ENERGY EFFICIENCY LABELING FOR CONSUMER ELECTRONIC 
                   PRODUCTS.

       (a) In General.--Section 324(a) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6294(a)) (as amended by section 
     324(d)) is amended--
       (1) in paragraph (2), by adding at the end the following:
       ``(I) Labeling requirements.--
       ``(i) In general.--Subject to clauses (ii) through (iv), 
     not later than 18 months after the date of issuance of 
     applicable Department of Energy testing procedures, the 
     Commission, in consultation with the Secretary and the 
     Administrator of the Environmental Protection Agency (acting 
     through the Energy Star program), shall, by regulation, 
     prescribe labeling or other disclosure requirements for the 
     energy use of--

       ``(I) televisions;
       ``(II) personal computers;
       ``(III) cable or satellite set-top boxes;
       ``(IV) stand-alone digital video recorder boxes; and
       ``(V) personal computer monitors.

       ``(ii) Alternate testing procedures.--In the absence of 
     applicable testing procedures described in clause (i) for 
     products described in subclauses (I) through (V) of that 
     clause, the Commission may, by regulation, prescribe labeling 
     or other disclosure requirements for a consumer product 
     category described in clause (i) if the Commission--

       ``(I) identifies adequate non-Department of Energy testing 
     procedures for those products; and
       ``(II) determines that labeling of, or other disclosures 
     relating to, those products is likely to assist consumers in 
     making purchasing decisions.

       ``(iii) Deadline and requirements for labeling.--

       ``(I) Deadline.--Not later than 18 months after the date of 
     promulgation of any requirements under clause (i) or (ii), 
     the Commission shall require labeling of, or other disclosure 
     requirements for, electronic products described in clause 
     (i).
       ``(II) Requirements.--The requirements prescribed under 
     clause (i) or (ii) may include specific requirements for each 
     electronic product to be labeled with respect to the 
     placement, size, and content of Energy Guide labels.

       ``(iv) Determination of feasibility.--Clause (i) or (ii) 
     shall not apply in any case in which the Commission 
     determines that labeling in accordance with this subsection--

       ``(I) is not technologically or economically feasible; or
       ``(II) is not likely to assist consumers in making 
     purchasing decisions.''; and

       (2) by adding at the end the following:
       ``(6) Authority to include additional product categories.--
     The Commission may, by regulation, require labeling or other 
     disclosures in accordance with this subsection for any 
     consumer product not specified in this subsection or section 
     322 if the Commission determines that labeling for the 
     product is likely to assist consumers in making purchasing 
     decisions.''.

[[Page 35862]]

       (b) Content of Label.--Section 324(c) of the Energy Policy 
     and Conservation Act (42 U.S.C. 6924(c)) is amended by adding 
     at the end the following:
       ``(9) Discretionary application.--The Commission may apply 
     paragraphs (1), (2), (3), (5), and (6) of this subsection to 
     the labeling of any product covered by paragraph (2)(I) or 
     (6) of subsection (a).''.

           TITLE IV--ENERGY SAVINGS IN BUILDINGS AND INDUSTRY

     SEC. 401. DEFINITIONS.

       In this title:
       (1) Administrator.--The term ``Administrator'' means the 
     Administrator of General Services.
       (2) Advisory committee.--The term ``Advisory Committee'' 
     means the Green Building Advisory Committee established under 
     section 484.
       (3) Commercial director.--The term ``Commercial Director'' 
     means the individual appointed to the position established 
     under section 421.
       (4) Consortium.--The term ``Consortium'' means the High-
     Performance Green Building Partnership Consortium created in 
     response to section 436(c)(1) to represent the private sector 
     in a public-private partnership to promote high-performance 
     green buildings and zero-net-energy commercial buildings.
       (5) Cost-effective lighting technology.--
       (A) In general.--The term ``cost-effective lighting 
     technology'' means a lighting technology that--
       (i) will result in substantial operational cost savings by 
     ensuring an installed consumption of not more than 1 watt per 
     square foot; or
       (ii) is contained in a list under--

       (I) section 553 of Public Law 95-619 (42 U.S.C. 8259b);
       (II) Federal acquisition regulation 23-203; and
       (III) is at least as energy-conserving as required by other 
     provisions of this Act, including the requirements of this 
     title and title III which shall be applicable to the extent 
     that they would achieve greater energy savings than provided 
     under clause (i) or this clause.

       (B) Inclusions.--The term ``cost-effective lighting 
     technology'' includes--
       (i) lamps;
       (ii) ballasts;
       (iii) luminaires;
       (iv) lighting controls;
       (v) daylighting; and
       (vi) early use of other highly cost-effective lighting 
     technologies.
       (6) Cost-effective technologies and practices.--The term 
     ``cost-effective technologies and practices'' means a 
     technology or practice that--
       (A) will result in substantial operational cost savings by 
     reducing electricity or fossil fuel consumption, water, or 
     other utility costs, including use of geothermal heat pumps;
       (B) complies with the provisions of section 553 of Public 
     Law 95-619 (42 U.S.C. 8259b) and Federal acquisition 
     regulation 23-203; and
       (C) is at least as energy and water conserving as required 
     under this title, including sections 431 through 435, and 
     title V, including section 511 through 525, which shall be 
     applicable to the extent that they are more stringent or 
     require greater energy or water savings than required by this 
     section.
       (7) Federal director.--The term ``Federal Director'' means 
     the individual appointed to the position established under 
     section 436(a).
       (8) Federal facility.--The term ``Federal facility'' means 
     any building that is constructed, renovated, leased, or 
     purchased in part or in whole for use by the Federal 
     Government.
       (9) Operational cost savings.--
       (A) In general.--The term ``operational cost savings'' 
     means a reduction in end-use operational costs through the 
     application of cost-effective technologies and practices or 
     geothermal heat pumps, including a reduction in electricity 
     consumption relative to consumption by the same customer or 
     at the same facility in a given year, as defined in 
     guidelines promulgated by the Administrator pursuant to 
     section 329(b) of the Clean Air Act, that achieves cost 
     savings sufficient to pay the incremental additional costs of 
     using cost-effective technologies and practices including 
     geothermal heat pumps by not later than the later of the date 
     established under sections 431 through 434, or--
       (i) for cost-effective technologies and practices, the date 
     that is 5 years after the date of installation; and
       (ii) for geothermal heat pumps, as soon as practical after 
     the date of installation of the applicable geothermal heat 
     pump.
       (B) Inclusions.--The term ``operational cost savings'' 
     includes savings achieved at a facility as a result of--
       (i) the installation or use of cost-effective technologies 
     and practices; or
       (ii) the planting of vegetation that shades the facility 
     and reduces the heating, cooling, or lighting needs of the 
     facility.
       (C) Exclusion.--The term ``operational cost savings'' does 
     not include savings from measures that would likely be 
     adopted in the absence of cost-effective technology and 
     practices programs, as determined by the Administrator.
       (10) Geothermal heat pump.--The term ``geothermal heat 
     pump'' means any heating or air conditioning technology 
     that--
       (A) uses the ground or ground water as a thermal energy 
     source to heat, or as a thermal energy sink to cool, a 
     building; and
       (B) meets the requirements of the Energy Star program of 
     the Environmental Protection Agency applicable to geothermal 
     heat pumps on the date of purchase of the technology.
       (11) GSA facility.--
       (A) In general.--The term ``GSA facility'' means any 
     building, structure, or facility, in whole or in part 
     (including the associated support systems of the building, 
     structure, or facility) that--
       (i) is constructed (including facilities constructed for 
     lease), renovated, or purchased, in whole or in part, by the 
     Administrator for use by the Federal Government; or
       (ii) is leased, in whole or in part, by the Administrator 
     for use by the Federal Government--

       (I) except as provided in subclause (II), for a term of not 
     less than 5 years; or
       (II) for a term of less than 5 years, if the Administrator 
     determines that use of cost-effective technologies and 
     practices would result in the payback of expenses.

       (B) Inclusion.--The term ``GSA facility'' includes any 
     group of buildings, structures, or facilities described in 
     subparagraph (A) (including the associated energy-consuming 
     support systems of the buildings, structures, and 
     facilities).
       (C) Exemption.--The Administrator may exempt from the 
     definition of ``GSA facility'' under this paragraph a 
     building, structure, or facility that meets the requirements 
     of section 543(c) of Public Law 95-619 (42 U.S.C. 8253(c)).
       (12) High-performance building.--The term ``high 
     performance building'' means a building that integrates and 
     optimizes on a life cycle basis all major high performance 
     attributes, including energy conservation, environment, 
     safety, security, durability, accessibility, cost-benefit, 
     productivity, sustainability, functionality, and operational 
     considerations.
       (13) High-performance green building.--The term ``high-
     performance green building'' means a high-performance 
     building that, during its life-cycle, as compared with 
     similar buildings (as measured by Commercial Buildings Energy 
     Consumption Survey or Residential Energy Consumption Survey 
     data from the Energy Information Agency)--
       (A) reduces energy, water, and material resource use;
       (B) improves indoor environmental quality, including 
     reducing indoor pollution, improving thermal comfort, and 
     improving lighting and acoustic environments that affect 
     occupant health and productivity;
       (C) reduces negative impacts on the environment throughout 
     the life-cycle of the building, including air and water 
     pollution and waste generation;
       (D) increases the use of environmentally preferable 
     products, including biobased, recycled content, and nontoxic 
     products with lower life-cycle impacts;
       (E) increases reuse and recycling opportunities;
       (F) integrates systems in the building;
       (G) reduces the environmental and energy impacts of 
     transportation through building location and site design that 
     support a full range of transportation choices for users of 
     the building; and
       (H) considers indoor and outdoor effects of the building on 
     human health and the environment, including--
       (i) improvements in worker productivity;
       (ii) the life-cycle impacts of building materials and 
     operations; and
       (iii) other factors that the Federal Director or the 
     Commercial Director consider to be appropriate.
       (14) Life-cycle.--The term ``life-cycle'', with respect to 
     a high-performance green building, means all stages of the 
     useful life of the building (including components, equipment, 
     systems, and controls of the building) beginning at 
     conception of a high-performance green building project and 
     continuing through site selection, design, construction, 
     landscaping, commissioning, operation, maintenance, 
     renovation, deconstruction or demolition, removal, and 
     recycling of the high-performance green building.
       (15) Life-cycle assessment.--The term ``life-cycle 
     assessment'' means a comprehensive system approach for 
     measuring the environmental performance of a product or 
     service over the life of the product or service, beginning at 
     raw materials acquisition and continuing through 
     manufacturing, transportation, installation, use, reuse, and 
     end-of-life waste management.
       (16) Life-cycle costing.--The term ``life-cycle costing'', 
     with respect to a high-performance green building, means a 
     technique of economic evaluation that--
       (A) sums, over a given study period, the costs of initial 
     investment (less resale value), replacements, operations 
     (including energy use), and maintenance and repair of an 
     investment decision; and
       (B) is expressed--
       (i) in present value terms, in the case of a study period 
     equivalent to the longest useful life of the building, 
     determined by taking into consideration the typical life of 
     such a building in the area in which the building is to be 
     located; or
       (ii) in annual value terms, in the case of any other study 
     period.
       (17) Office of commercial high-performance green 
     buildings.--The term ``Office of Commercial High-Performance 
     Green Buildings'' means the Office of Commercial High-
     Performance Green Buildings established under section 421(a).
       (18) Office of federal high-performance green buildings.--
     The term ``Office of Federal High-Performance Green 
     Buildings'' means the Office of Federal High-Performance 
     Green Buildings established under section 436(a).
       (19) Practices.--The term ``practices'' means design, 
     financing, permitting, construction,

[[Page 35863]]

     commissioning, operation and maintenance, and other practices 
     that contribute to achieving zero-net-energy buildings or 
     facilities.
       (20) Zero-net-energy commercial building.--The term ``zero-
     net-energy commercial building'' means a commercial building 
     that is designed, constructed, and operated to--
       (A) require a greatly reduced quantity of energy to 
     operate;
       (B) meet the balance of energy needs from sources of energy 
     that do not produce greenhouse gases;
       (C) therefore result in no net emissions of greenhouse 
     gases; and
       (D) be economically viable.

              Subtitle A--Residential Building Efficiency

     SEC. 411. REAUTHORIZATION OF WEATHERIZATION ASSISTANCE 
                   PROGRAM.

       (a) In General.--Section 422 of the Energy Conservation and 
     Production Act (42 U.S.C. 6872) is amended by striking `` 
     appropriated $500,000,000 for fiscal year 2006, $600,000,000 
     for fiscal year 2007, and $700,000,000 for fiscal year 2008'' 
     and inserting ``appropriated--
       ``(1) $750,000,000 for fiscal year 2008;
       ``(2) $900,000,000 for fiscal year 2009;
       ``(3) $1,050,000,000 for fiscal year 2010;
       ``(4) $1,200,000,000 for fiscal year 2011; and
       ``(5) $1,400,000,000 for fiscal year 2012.''.
       (b) Sustainable Energy Resources for Consumers Grants.--
       (1) In general.--The Secretary may make funding available 
     to local weatherization agencies from amounts authorized 
     under the amendment made by subsection (a) to expand the 
     weatherization assistance program for residential buildings 
     to include materials, benefits, and renewable and domestic 
     energy technologies not covered by the program (as of the 
     date of enactment of this Act), if the State weatherization 
     grantee certifies that the applicant has the capacity to 
     carry out the proposed activities and that the grantee will 
     include the project in the financial oversight of the grantee 
     of the weatherization assistance program.
       (2) Priority.--In selecting grant recipients under this 
     subsection, the Secretary shall give priority to--
       (A) the expected effectiveness and benefits of the proposed 
     project to low- and moderate-income energy consumers;
       (B) the potential for replication of successful results;
       (C) the impact on the health and safety and energy costs of 
     consumers served; and
       (D) the extent of partnerships with other public and 
     private entities that contribute to the resources and 
     implementation of the program, including financial 
     partnerships.
       (3) Funding.--
       (A) In general.--Except as provided in paragraph (2), the 
     amount of funds used for projects described in paragraph (1) 
     may equal up to 2 percent of the amount of funds made 
     available for any fiscal year under section 422 of the Energy 
     Conservation and Production Act (42 U.S.C. 6872).
       (B) Exception.--No funds may be used for sustainable energy 
     resources for consumers grants for a fiscal year under this 
     subsection if the amount of funds made available for the 
     fiscal year to carry out the Weatherization Assistance 
     Program for Low-Income Persons established under part A of 
     title IV of the Energy Conservation and Production Act (42 
     U.S.C. 6861 et seq.) is less than $275,000,000.
       (c) Definition of State.--Section 412 of the Energy 
     Conservation and Production Act (42 U.S.C. 6862) is amended 
     by striking paragraph (8) and inserting the following:
       ``(8) State.--The term `State' means--
       ``(A) a State;
       ``(B) the District of Columbia;
       ``(C) the Commonwealth of Puerto Rico; and
       ``(D) any other territory or possession of the United 
     States.''.

     SEC. 412. STUDY OF RENEWABLE ENERGY REBATE PROGRAMS.

       (a) In General.--Not later than 120 days after the date of 
     enactment of this Act, the Secretary shall conduct, and 
     submit to Congress a report on, a study regarding the rebate 
     programs established under sections 124 and 206(c) of the 
     Energy Policy Act of 2005 (42 U.S.C. 15821, 15853).
       (b) Components.--In conducting the study, the Secretary 
     shall--
       (1) develop a plan for how the rebate programs would be 
     carried out if the programs were funded; and
       (2) determine the minimum amount of funding the program 
     would need to receive in order to accomplish the goals of the 
     programs.

     SEC. 413. ENERGY CODE IMPROVEMENTS APPLICABLE TO MANUFACTURED 
                   HOUSING.

       (a) Establishment of Standards.--
       (1) In general.--Not later than 4 years after the date of 
     enactment of this Act, the Secretary shall by regulation 
     establish standards for energy efficiency in manufactured 
     housing.
       (2) Notice, comment, and consultation.--Standards described 
     in paragraph (1) shall be established after--
       (A) notice and an opportunity for comment by manufacturers 
     of manufactured housing and other interested parties; and
       (B) consultation with the Secretary of Housing and Urban 
     Development, who may seek further counsel from the 
     Manufactured Housing Consensus Committee.
       (b) Requirements.--
       (1) International energy conservation code.--The energy 
     conservation standards established under this section shall 
     be based on the most recent version of the International 
     Energy Conservation Code (including supplements), except in 
     cases in which the Secretary finds that the code is not cost-
     effective, or a more stringent standard would be more cost-
     effective, based on the impact of the code on the purchase 
     price of manufactured housing and on total life-cycle 
     construction and operating costs.
       (2) Considerations.--The energy conservation standards 
     established under this section may--
       (A) take into consideration the design and factory 
     construction techniques of manufactured homes;
       (B) be based on the climate zones established by the 
     Department of Housing and Urban Development rather than the 
     climate zones under the International Energy Conservation 
     Code; and
       (C) provide for alternative practices that result in net 
     estimated energy consumption equal to or less than the 
     specified standards.
       (3) Updating.--The energy conservation standards 
     established under this section shall be updated not later 
     than--
       (A) 1 year after the date of enactment of this Act; and
       (B) 1 year after any revision to the International Energy 
     Conservation Code.
       (c) Enforcement.--Any manufacturer of manufactured housing 
     that violates a provision of the regulations under subsection 
     (a) is liable to the United States for a civil penalty in an 
     amount not exceeding 1 percent of the manufacturer's retail 
     list price of the manufactured housing.

           Subtitle B--High-Performance Commercial Buildings

     SEC. 421. COMMERCIAL HIGH-PERFORMANCE GREEN BUILDINGS.

       (a) Director of Commercial High-Performance Green 
     Buildings.--Notwithstanding any other provision of law, the 
     Secretary, acting through the Assistant Secretary of Energy 
     Efficiency and Renewable Energy, shall appoint a Director of 
     Commercial High-Performance Green Buildings to a position in 
     the career-reserved Senior Executive service, with the 
     principal responsibility to--
       (1) establish and manage the Office of Commercial High-
     Performance Green Buildings; and
       (2) carry out other duties as required under this subtitle.
       (b) Qualifications.--The Commercial Director shall be an 
     individual, who by reason of professional background and 
     experience, is specifically qualified to carry out the duties 
     required under this subtitle.
       (c) Duties.--The Commercial Director shall, with respect to 
     development of high-performance green buildings and zero-
     energy commercial buildings nationwide--
       (1) coordinate the activities of the Office of Commercial 
     High-Performance Green Buildings with the activities of the 
     Office of Federal High-Performance Green Buildings;
       (2) develop the legal predicates and agreements for, 
     negotiate, and establish one or more public-private 
     partnerships with the Consortium, members of the Consortium, 
     and other capable parties meeting the qualifications of the 
     Consortium, to further such development;
       (3) represent the public and the Department in negotiating 
     and performing in accord with such public-private 
     partnerships;
       (4) use appropriated funds in an effective manner to 
     encourage the maximum investment of private funds to achieve 
     such development;
       (5) promote research and development of high performance 
     green buildings, consistent with section 423; and
       (6) jointly establish with the Federal Director a national 
     high-performance green building clearinghouse in accordance 
     with section 423(1), which shall provide high-performance 
     green building information and disseminate research results 
     through--
       (A) outreach;
       (B) education; and
       (C) the provision of technical assistance.
       (d) Reporting.--The Commercial Director shall report 
     directly to the Assistant Secretary for Energy Efficiency and 
     Renewable Energy, or to other senior officials in a way that 
     facilitates the integrated program of this subtitle for both 
     energy efficiency and renewable energy and both technology 
     development and technology deployment.
       (e) Coordination.--The Commercial Director shall ensure 
     full coordination of high-performance green building 
     information and activities, including activities under this 
     subtitle, within the Federal Government by working with the 
     General Services Administration and all relevant agencies, 
     including, at a minimum--
       (1) the Environmental Protection Agency;
       (2) the Office of the Federal Environmental Executive;
       (3) the Office of Federal Procurement Policy;
       (4) the Department of Energy, particularly the Federal 
     Energy Management Program;
       (5) the Department of Health and Human Services;
       (6) the Department of Housing and Urban Development;
       (7) the Department of Defense;
       (8) the National Institute of Standards and Technology;
       (9) the Department of Transportation;
       (10) the Office of Science Technology and Policy; and
       (11) such nonprofit high-performance green building rating 
     and analysis entities as the Commercial Director determines 
     can offer support, expertise, and review services.
       (f) High-Performance Green Building Partnership 
     Consortium.--

[[Page 35864]]

       (1) Recognition.--Not later than 90 days after the date of 
     enactment of this Act, the Commercial Director shall formally 
     recognize one or more groups that qualify as a high-
     performance green building partnership consortium.
       (2) Representation to qualify.--To qualify under this 
     section, any consortium shall include representation from--
       (A) the design professions, including national associations 
     of architects and of professional engineers;
       (B) the development, construction, financial, and real 
     estate industries;
       (C) building owners and operators from the public and 
     private sectors;
       (D) academic and research organizations, including at least 
     one national laboratory with extensive commercial building 
     energy expertise;
       (E) building code agencies and organizations, including a 
     model energy code-setting organization;
       (F) independent high-performance green building 
     associations or councils;
       (G) experts in indoor air quality and environmental 
     factors;
       (H) experts in intelligent buildings and integrated 
     building information systems;
       (I) utility energy efficiency programs;
       (J) manufacturers and providers of equipment and techniques 
     used in high performance green buildings;
       (K) public transportation industry experts; and
       (L) nongovernmental energy efficiency organizations.
       (3) Funding.--The Secretary may make payments to the 
     Consortium pursuant to the terms of a public-private 
     partnership for such activities of the Consortium undertaken 
     under such a partnership as described in this subtitle 
     directly to the Consortium or through one or more of its 
     members.
       (g) Report.--Not later than 2 years after the date of 
     enactment of this Act, and biennially thereafter, the 
     Commercial Director, in consultation with the Consortium, 
     shall submit to Congress a report that--
       (1) describes the status of the high-performance green 
     building initiatives under this subtitle and other Federal 
     programs affecting commercial high-performance green 
     buildings in effect as of the date of the report, including--
       (A) the extent to which the programs are being carried out 
     in accordance with this subtitle; and
       (B) the status of funding requests and appropriations for 
     those programs; and
       (2) summarizes and highlights development, at the State and 
     local level, of high-performance green building initiatives, 
     including executive orders, policies, or laws adopted 
     promoting high-performance green building (including the 
     status of implementation of those initiatives).

     SEC. 422. ZERO NET ENERGY COMMERCIAL BUILDINGS INITIATIVE.

       (a) Definitions.--In this section:
       (1) Consortium.--The term ``consortium'' means a High-
     Performance Green Building Consortium selected by the 
     Commercial Director.
       (2) Initiative.--The term ``initiative'' means the Zero-
     Net-Energy Commercial Buildings Initiative established under 
     subsection (b)(1).
       (3) Zero-net-energy commercial building.--The term ``zero-
     net-energy commercial building'' means a high-performance 
     commercial building that is designed, constructed, and 
     operated--
       (A) to require a greatly reduced quantity of energy to 
     operate;
       (B) to meet the balance of energy needs from sources of 
     energy that do not produce greenhouse gases;
       (C) in a manner that will result in no net emissions of 
     greenhouse gases; and
       (D) to be economically viable.
       (b) Establishment.--
       (1) In general.--The Commercial Director shall establish an 
     initiative, to be known as the ``Zero-Net-Energy Commercial 
     Buildings Initiative''--
       (A) to reduce the quantity of energy consumed by commercial 
     buildings located in the United States; and
       (B) to achieve the development of zero net energy 
     commercial buildings in the United States.
       (2) Consortium.--
       (A) In general.--Not later than 180 days after the date of 
     enactment of this Act, the Commercial Director shall 
     competitively select, and enter into an agreement with, a 
     consortium to develop and carry out the initiative.
       (B) Agreements.--In entering into an agreement with a 
     consortium under subparagraph (A), the Commercial Director 
     shall use the authority described in section 646(g) of the 
     Department of Energy Organization Act (42 U.S.C. 7256(g)), to 
     the maximum extent practicable.
       (c) Goal of Initiative.--The goal of the initiative shall 
     be to develop and disseminate technologies, practices, and 
     policies for the development and establishment of zero net 
     energy commercial buildings for--
       (1) any commercial building newly constructed in the United 
     States by 2030;
       (2) 50 percent of the commercial building stock of the 
     United States by 2040; and
       (3) all commercial buildings in the United States by 2050.
       (d) Components.--In carrying out the initiative, the 
     Commercial Director, in consultation with the consortium, 
     may--
       (1) conduct research and development on building science, 
     design, materials, components, equipment and controls, 
     operation and other practices, integration, energy use 
     measurement, and benchmarking;
       (2) conduct pilot programs and demonstration projects to 
     evaluate replicable approaches to achieving energy efficient 
     commercial buildings for a variety of building types in a 
     variety of climate zones;
       (3) conduct deployment, dissemination, and technical 
     assistance activities to encourage widespread adoption of 
     technologies, practices, and policies to achieve energy 
     efficient commercial buildings;
       (4) conduct other research, development, demonstration, and 
     deployment activities necessary to achieve each goal of the 
     initiative, as determined by the Commercial Director, in 
     consultation with the consortium;
       (5) develop training materials and courses for building 
     professionals and trades on achieving cost-effective high-
     performance energy efficient buildings;
       (6) develop and disseminate public education materials to 
     share information on the benefits and cost-effectiveness of 
     high-performance energy efficient buildings;
       (7) support code-setting organizations and State and local 
     governments in developing minimum performance standards in 
     building codes that recognize the ready availability of many 
     technologies utilized in high-performance energy efficient 
     buildings;
       (8) develop strategies for overcoming the split incentives 
     between builders and purchasers, and landlords and tenants, 
     to ensure that energy efficiency and high-performance 
     investments are made that are cost-effective on a lifecycle 
     basis; and
       (9) develop improved means of measurement and verification 
     of energy savings and performance for public dissemination.
       (e) Cost Sharing.--In carrying out this section, the 
     Commercial Director shall require cost sharing in accordance 
     with section 988 of the Energy Policy Act of 2005 (42 U.S.C. 
     16352).
       (f) Authorization of Appropriations.--There are authorized 
     to be appropriated to carry out this section--
       (1) $20,000,000 for fiscal year 2008;
       (2) $50,000,000 for each of fiscal years 2009 and 2010;
       (3) $100,000,000 for each of fiscal years 2011 and 2012; 
     and
       (4) $200,000,000 for each of fiscal years 2013 through 
     2018.

     SEC. 423. PUBLIC OUTREACH.

       The Commercial Director and Federal Director, in 
     coordination with the Consortium, shall carry out public 
     outreach to inform individuals and entities of the 
     information and services available Governmentwide by--
       (1) establishing and maintaining a national high-
     performance green building clearinghouse, including on the 
     internet, that--
       (A) identifies existing similar efforts and coordinates 
     activities of common interest; and
       (B) provides information relating to high-performance green 
     buildings, including hyperlinks to internet sites that 
     describe the activities, information, and resources of--
       (i) the Federal Government;
       (ii) State and local governments;
       (iii) the private sector (including nongovernmental and 
     nonprofit entities and organizations); and
       (iv) international organizations;
       (2) identifying and recommending educational resources for 
     implementing high-performance green building practices, 
     including security and emergency benefits and practices;
       (3) providing access to technical assistance, tools, and 
     resources for constructing high-performance green buildings, 
     particularly tools to conduct life-cycle costing and life-
     cycle assessment;
       (4) providing information on application processes for 
     certifying a high-performance green building, including 
     certification and commissioning;
       (5) providing to the public, through the Commercial 
     Director, technical and research information or other forms 
     of assistance or advice that would be useful in planning and 
     constructing high-performance green buildings;
       (6) using such additional methods as are determined by the 
     Commercial Director to be appropriate to conduct public 
     outreach;
       (7) surveying existing research and studies relating to 
     high-performance green buildings; and
       (8) coordinating activities of common interest.

             Subtitle C--High-Performance Federal Buildings

     SEC. 431. ENERGY REDUCTION GOALS FOR FEDERAL BUILDINGS.

       Section 543(a)(1) of the National Energy Conservation 
     Policy Act (42 U.S.C. 8253(a)(1)) is amended by striking the 
     table and inserting the following:

``Fiscal Year                                      Percentage reduction
  2006...............................................................2 
  2007...............................................................4 
  2008...............................................................9 
  2009..............................................................12 
  2010..............................................................15 
  2011..............................................................18 
  2012..............................................................21 
  2013..............................................................24 
  2014..............................................................27 
  2015............................................................30.''

     SEC. 432. MANAGEMENT OF ENERGY AND WATER EFFICIENCY IN 
                   FEDERAL BUILDINGS.

       Section 543 of the National Energy Conservation Policy Act 
     (42 U.S.C. 8253) is amended by adding at the end the 
     following:
       ``(f) Use of Energy and Water Efficiency Measures in 
     Federal Buildings.--
       ``(1) Definitions.--In this subsection:

[[Page 35865]]

       ``(A) Commissioning.--The term `commissioning', with 
     respect to a facility, means a systematic process--
       ``(i) of ensuring, using appropriate verification and 
     documentation, during the period beginning on the initial day 
     of the design phase of the facility and ending not earlier 
     than 1 year after the date of completion of construction of 
     the facility, that all facility systems perform interactively 
     in accordance with--

       ``(I) the design documentation and intent of the facility; 
     and
       ``(II) the operational needs of the owner of the facility, 
     including preparation of operation personnel; and

       ``(ii) the primary goal of which is to ensure fully 
     functional systems that can be properly operated and 
     maintained during the useful life of the facility.
       ``(B) Energy manager.--
       ``(i) In general.--The term `energy manager', with respect 
     to a facility, means the individual who is responsible for--

       ``(I) ensuring compliance with this subsection by the 
     facility; and
       ``(II) reducing energy use at the facility.

       ``(ii) Inclusions.--The term `energy manager' may include--

       ``(I) a contractor of a facility;
       ``(II) a part-time employee of a facility; and
       ``(III) an individual who is responsible for multiple 
     facilities.

       ``(C) Facility.--
       ``(i) In general.--The term `facility' means any building, 
     installation, structure, or other property (including any 
     applicable fixtures) owned or operated by, or constructed or 
     manufactured and leased to, the Federal Government.
       ``(ii) Inclusions.--The term `facility' includes--

       ``(I) a group of facilities at a single location or 
     multiple locations managed as an integrated operation; and
       ``(II) contractor-operated facilities owned by the Federal 
     Government.

       ``(iii) Exclusions.--The term `facility' does not include 
     any land or site for which the cost of utilities is not paid 
     by the Federal Government.
       ``(D) Life cycle cost-effective.--The term `life cycle 
     cost-effective', with respect to a measure, means a measure 
     the estimated savings of which exceed the estimated costs 
     over the lifespan of the measure, as determined in accordance 
     with section 544.
       ``(E) Payback period.--
       ``(i) In general.--Subject to clause (ii), the term 
     `payback period', with respect to a measure, means a value 
     equal to the quotient obtained by dividing--

       ``(I) the estimated initial implementation cost of the 
     measure (other than financing costs); by
       ``(II) the annual cost savings resulting from the measure, 
     including--

       ``(aa) net savings in estimated energy and water costs; and
       ``(bb) operations, maintenance, repair, replacement, and 
     other direct costs.
       ``(ii) Modifications and exceptions.--The Secretary, in 
     guidelines issued pursuant to paragraph (6), may make such 
     modifications and provide such exceptions to the calculation 
     of the payback period of a measure as the Secretary 
     determines to be appropriate to achieve the purposes of this 
     Act.
       ``(F) Recommissioning.--The term `recommissioning' means a 
     process--
       ``(i) of commissioning a facility or system beyond the 
     project development and warranty phases of the facility or 
     system; and
       ``(ii) the primary goal of which is to ensure optimum 
     performance of a facility, in accordance with design or 
     current operating needs, over the useful life of the 
     facility, while meeting building occupancy requirements.
       ``(G) Retrocommissioning.--The term `retrocommissioning' 
     means a process of commissioning a facility or system that 
     was not commissioned at time of construction of the facility 
     or system.
       ``(2) Facility energy managers.--
       ``(A) In general.--Each Federal agency shall designate an 
     energy manager responsible for implementing this subsection 
     and reducing energy use at each facility that meets criteria 
     under subparagraph (B).
       ``(B) Covered facilities.--The Secretary shall develop 
     criteria, after consultation with affected agencies, energy 
     efficiency advocates, and energy and utility service 
     providers, that cover, at a minimum, Federal facilities, 
     including central utility plants and distribution systems and 
     other energy intensive operations, that constitute at least 
     75 percent of facility energy use at each agency.
       ``(3) Energy and water evaluations.--
       ``(A) Evaluations.--Effective beginning on the date that is 
     180 days after the date of enactment of this subsection and 
     annually thereafter, energy managers shall complete, for each 
     calendar year, a comprehensive energy and water evaluation 
     for approximately 25 percent of the facilities of each agency 
     that meet the criteria under paragraph (2)(B) in a manner 
     that ensures that an evaluation of each such facility is 
     completed at least once every 4 years.
       ``(B) Recommissioning and retrocommissioning.--As part of 
     the evaluation under subparagraph (A), the energy manager 
     shall identify and assess recommissioning measures (or, if 
     the facility has never been commissioned, retrocommissioning 
     measures) for each such facility.
       ``(4) Implementation of identified energy and water 
     efficiency measures.--Not later than 2 years after the 
     completion of each evaluation under paragraph (3), each 
     energy manager may--
       ``(A) implement any energy- or water-saving measure that 
     the Federal agency identified in the evaluation conducted 
     under paragraph (3) that is life cycle cost-effective; and
       ``(B) bundle individual measures of varying paybacks 
     together into combined projects.
       ``(5) Follow-up on implemented measures.--For each measure 
     implemented under paragraph (4), each energy manager shall 
     ensure that--
       ``(A) equipment, including building and equipment controls, 
     is fully commissioned at acceptance to be operating at design 
     specifications;
       ``(B) a plan for appropriate operations, maintenance, and 
     repair of the equipment is in place at acceptance and is 
     followed;
       ``(C) equipment and system performance is measured during 
     its entire life to ensure proper operations, maintenance, and 
     repair; and
       ``(D) energy and water savings are measured and verified.
       ``(6) Guidelines.--
       ``(A) In general.--The Secretary shall issue guidelines and 
     necessary criteria that each Federal agency shall follow for 
     implementation of--
       ``(i) paragraphs (2) and (3) not later than 180 days after 
     the date of enactment of this subsection; and
       ``(ii) paragraphs (4) and (5) not later than 1 year after 
     the date of enactment of this subsection.
       ``(B) Relationship to funding source.--The guidelines 
     issued by the Secretary under subparagraph (A) shall be 
     appropriate and uniform for measures funded with each type of 
     funding made available under paragraph (10), but may 
     distinguish between different types of measures project size, 
     and other criteria the Secretary determines are relevant.
       ``(7) Web-based certification.--
       ``(A) In general.--For each facility that meets the 
     criteria established by the Secretary under paragraph (2)(B), 
     the energy manager shall use the web-based tracking system 
     under subparagraph (B) to certify compliance with the 
     requirements for--
       ``(i) energy and water evaluations under paragraph (3);
       ``(ii) implementation of identified energy and water 
     measures under paragraph (4); and
       ``(iii) follow-up on implemented measures under paragraph 
     (5).
       ``(B) Deployment.--
       ``(i) In general.--Not later than 1 year after the date of 
     enactment of this subsection, the Secretary shall develop and 
     deploy a web-based tracking system required under this 
     paragraph in a manner that tracks, at a minimum--

       ``(I) the covered facilities;
       ``(II) the status of meeting the requirements specified in 
     subparagraph (A);
       ``(III) the estimated cost and savings for measures 
     required to be implemented in a facility;
       ``(IV) the measured savings and persistence of savings for 
     implemented measures; and
       ``(V) the benchmarking information disclosed under 
     paragraph (8)(C).

       ``(ii) Ease of compliance.--The Secretary shall ensure that 
     energy manager compliance with the requirements in this 
     paragraph, to the maximum extent practicable--

       ``(I) can be accomplished with the use of streamlined 
     procedures and templates that minimize the time demands on 
     Federal employees; and
       ``(II) is coordinated with other applicable energy 
     reporting requirements.

       ``(C) Availability.--
       ``(i) In general.--Subject to clause (ii), the Secretary 
     shall make the web-based tracking system required under this 
     paragraph available to Congress, other Federal agencies, and 
     the public through the Internet.
       ``(ii) Exemptions.--At the request of a Federal agency, the 
     Secretary may exempt specific data for specific facilities 
     from disclosure under clause (i) for national security 
     purposes.
       ``(8) Benchmarking of federal facilities.--
       ``(A) In general.--The energy manager shall enter energy 
     use data for each metered building that is (or is a part of) 
     a facility that meets the criteria established by the 
     Secretary under paragraph (2)(B) into a building energy use 
     benchmarking system, such as the Energy Star Portfolio 
     Manager.
       ``(B) System and guidance.--Not later than 1 year after the 
     date of enactment of this subsection, the Secretary shall--
       ``(i) select or develop the building energy use 
     benchmarking system required under this paragraph for each 
     type of building; and
       ``(ii) issue guidance for use of the system.
       ``(C) Public disclosure.--Each energy manager shall post 
     the information entered into, or generated by, a benchmarking 
     system under this subsections, on the web-based tracking 
     system under paragraph (7)(B). The energy manager shall 
     update such information each year, and shall include in such 
     reporting previous years' information to allow changes in 
     building performance to be tracked over time.
       ``(9) Federal agency scorecards.--
       ``(A) In general.--The Director of the Office of Management 
     and Budget shall issue semiannual scorecards for energy 
     management activities carried out by each Federal agency that 
     includes--
       ``(i) summaries of the status of implementing the various 
     requirements of the agency and its energy managers under this 
     subsection; and
       ``(ii) any other means of measuring performance that the 
     Director considers appropriate.
       ``(B) Availability.--The Director shall make the scorecards 
     required under this paragraph available to Congress, other 
     Federal agencies, and the public through the Internet.

[[Page 35866]]

       ``(10) Funding and implementation.--
       ``(A) Authorization of appropriations.--There are 
     authorized to be appropriated such sums as are necessary to 
     carry out this subsection.
       ``(B) Funding options.--
       ``(i) In general.--To carry out this subsection, a Federal 
     agency may use any combination of--

       ``(I) appropriated funds made available under subparagraph 
     (A); and
       ``(II) private financing otherwise authorized under Federal 
     law, including financing available through energy savings 
     performance contracts or utility energy service contracts.

       ``(ii) Combined funding for same measure.--A Federal agency 
     may use any combination of appropriated funds and private 
     financing described in clause (i) to carry out the same 
     measure under this subsection.
       ``(C) Implementation.--Each Federal agency may implement 
     the requirements under this subsection itself or may contract 
     out performance of some or all of the requirements.
       ``(11) Rule of construction.--This subsection shall not be 
     construed to require or to obviate any contractor savings 
     guarantees.''.

     SEC. 433. FEDERAL BUILDING ENERGY EFFICIENCY PERFORMANCE 
                   STANDARDS.

       (a) Standards.--Section 305(a)(3) of the Energy 
     Conservation and Production Act (42 U.S.C. 6834(a)(3)) is 
     amended by adding at the end the following new subparagraph:
       ``(D) Not later than 1 year after the date of enactment of 
     the Energy Independence and Security Act of 2007, the 
     Secretary shall establish, by rule, revised Federal building 
     energy efficiency performance standards that require that:
       ``(i) For new Federal buildings and Federal buildings 
     undergoing major renovations, with respect to which the 
     Administrator of General Services is required to transmit a 
     prospectus to Congress under section 3307 of title 40, United 
     States Code, in the case of public buildings (as defined in 
     section 3301 of title 40, United States Code), or of at least 
     $2,500,000 in costs adjusted annually for inflation for other 
     buildings:
       ``(I) The buildings shall be designed so that the fossil 
     fuel-generated energy consumption of the buildings is 
     reduced, as compared with such energy consumption by a 
     similar building in fiscal year 2003 (as measured by 
     Commercial Buildings Energy Consumption Survey or Residential 
     Energy Consumption Survey data from the Energy Information 
     Agency), by the percentage specified in the following table:


``Fiscal Year                                                Percentage
                                                              Reduction
  2010..............................................                 55
  2015..............................................                 65
  2020..............................................                 80
  2025..............................................                 90
  2030..............................................               100.


       ``(II) Upon petition by an agency subject to this 
     subparagraph, the Secretary may adjust the applicable numeric 
     requirement under subclause (I) downward with respect to a 
     specific building, if the head of the agency designing the 
     building certifies in writing that meeting such requirement 
     would be technically impracticable in light of the agency's 
     specified functional needs for that building and the 
     Secretary concurs with the agency's conclusion. This 
     subclause shall not apply to the General Services 
     Administration.
       ``(III) Sustainable design principles shall be applied to 
     the siting, design, and construction of such buildings. Not 
     later than 90 days after the date of enactment of the Energy 
     Independence and Security Act of 2007, the Secretary, after 
     reviewing the findings of the Federal Director under section 
     436(h) of that Act, in consultation with the Administrator of 
     General Services, and in consultation with the Secretary of 
     Defense for considerations relating to those facilities under 
     the custody and control of the Department of Defense, shall 
     identify a certification system and level for green buildings 
     that the Secretary determines to be the most likely to 
     encourage a comprehensive and environmentally-sound approach 
     to certification of green buildings. The identification of 
     the certification system and level shall be based on a review 
     of the Federal Director's findings under section 436(h) of 
     the Energy Independence and Security Act of 2007 and the 
     criteria specified in clause (iii), shall identify the 
     highest level the Secretary determines is appropriate above 
     the minimum level required for certification under the system 
     selected, and shall achieve results at least comparable to 
     the system used by and highest level referenced by the 
     General Services Administration as of the date of enactment 
     of the Energy Independence and Security Act of 2007. Within 
     90 days of the completion of each study required by clause 
     (iv), the Secretary, in consultation with the Administrator 
     of General Services, and in consultation with the Secretary 
     of Defense for considerations relating to those facilities 
     under the custody and control of the Department of Defense, 
     shall review and update the certification system and level, 
     taking into account the conclusions of such study.
       ``(ii) In establishing criteria for identifying major 
     renovations that are subject to the requirements of this 
     subparagraph, the Secretary shall take into account the 
     scope, degree, and types of renovations that are likely to 
     provide significant opportunities for substantial 
     improvements in energy efficiency.
       ``(iii) In identifying the green building certification 
     system and level, the Secretary shall take into 
     consideration--
       ``(I) the ability and availability of assessors and 
     auditors to independently verify the criteria and measurement 
     of metrics at the scale necessary to implement this 
     subparagraph;
       ``(II) the ability of the applicable certification 
     organization to collect and reflect public comment;
       ``(III) the ability of the standard to be developed and 
     revised through a consensus-based process;
       ``(IV) an evaluation of the robustness of the criteria for 
     a high-performance green building, which shall give credit 
     for promoting--
       ``(aa) efficient and sustainable use of water, energy, and 
     other natural resources;
       ``(bb) use of renewable energy sources;
       ``(cc) improved indoor environmental quality through 
     enhanced indoor air quality, thermal comfort, acoustics, day 
     lighting, pollutant source control, and use of low-emission 
     materials and building system controls; and
       ``(dd) such other criteria as the Secretary determines to 
     be appropriate; and
       ``(V) national recognition within the building industry.
       ``(iv) At least once every five years, and in accordance 
     with section 436 of the Energy Independence and Security Act 
     of 2007, the Administrator of General Services shall conduct 
     a study to evaluate and compare available third-party green 
     building certification systems and levels, taking into 
     account the criteria listed in clause (iii).
       ``(v) The Secretary may by rule allow Federal agencies to 
     develop internal certification processes, using certified 
     professionals, in lieu of certification by the certification 
     entity identified under clause (i)(III). The Secretary shall 
     include in any such rule guidelines to ensure that the 
     certification process results in buildings meeting the 
     applicable certification system and level identified under 
     clause (i)(III). An agency employing an internal 
     certification process must continue to obtain external 
     certification by the certification entity identified under 
     clause (i)(III) for at least 5 percent of the total number of 
     buildings certified annually by the agency.
       ``(vi) With respect to privatized military housing, the 
     Secretary of Defense, after consultation with the Secretary 
     may, through rulemaking, develop alternative criteria to 
     those established by subclauses (I) and (III) of clause (i) 
     that achieve an equivalent result in terms of energy savings, 
     sustainable design, and green building performance.
       ``(vii) In addition to any use of water conservation 
     technologies otherwise required by this section, water 
     conservation technologies shall be applied to the extent that 
     the technologies are life-cycle cost-effective.''.
       (b) Definitions.--Section 303(6) of the Energy Conservation 
     and Production Act (42 U.S.C. 6832(6)) is amended by striking 
     ``which is not legally subject to State or local building 
     codes or similar requirements.'' and inserting ``. Such term 
     shall include buildings built for the purpose of being leased 
     by a Federal agency, and privatized military housing.''.
       (c) Revision of Federal Acquisition Regulation.--Not later 
     than 2 years after the date of the enactment of this Act, the 
     Federal Acquisition Regulation shall be revised to require 
     Federal officers and employees to comply with this section 
     and the amendments made by this section in the acquisition, 
     construction, or major renovation of any facility. The 
     members of the Federal Acquisition Regulatory Council 
     (established under section 25 of the Office of Federal 
     Procurement Policy Act (41 U.S.C. 421)) shall consult with 
     the Federal Director and the Commercial Director before 
     promulgating regulations to carry out this subsection.
       (d) Guidance.--Not later than 90 days after the date of 
     promulgation of the revised regulations under subsection (c), 
     the Administrator for Federal Procurement Policy shall issue 
     guidance to all Federal procurement executives providing 
     direction and instructions to renegotiate the design of 
     proposed facilities and major renovations for existing 
     facilities to incorporate improvements that are consistent 
     with this section.

     SEC. 434. MANAGEMENT OF FEDERAL BUILDING EFFICIENCY.

       (a) Large Capital Energy Investments.--Section 543 of the 
     National Energy Conservation Policy Act (42 U.S.C. 8253) is 
     amended by adding at the end the following:
       ``(f) Large Capital Energy Investments.--
       ``(1) In general.--Each Federal agency shall ensure that 
     any large capital energy investment in an existing building 
     that is not a major renovation but involves replacement of 
     installed equipment (such as heating and cooling systems), or 
     involves renovation, rehabilitation, expansion, or remodeling 
     of existing space, employs the most energy efficient designs, 
     systems, equipment, and controls that are life-cycle cost 
     effective.
       ``(2) Process for review of investment decisions.--Not 
     later than 180 days after the date of enactment of this 
     subsection, each Federal agency shall--
       ``(A) develop a process for reviewing each decision made on 
     a large capital energy investment described in paragraph (1) 
     to ensure that the requirements of this subsection are met; 
     and
       ``(B) report to the Director of the Office of Management 
     and Budget on the process established.
       ``(3) Compliance report.--Not later than 1 year after the 
     date of enactment of this subsection, the Director of the 
     Office of Management and Budget shall evaluate and report to 
     Congress on the compliance of each agency with this 
     subsection.''.
       (b) Metering.--Section 543(e)(1) of the National Energy 
     Conservation Policy Act (42 U.S.C. 8253(e)(1)) is amended by 
     inserting after

[[Page 35867]]

     the second sentence the following: ``Not later than October 
     1, 2016, each agency shall provide for equivalent metering of 
     natural gas and steam, in accordance with guidelines 
     established by the Secretary under paragraph (2).''.

     SEC. 435. LEASING.

       (a) In General.--Except as provided in subsection (b), 
     effective beginning on the date that is 3 years after the 
     date of enactment of this Act, no Federal agency shall enter 
     into a contract to lease space in a building that has not 
     earned the Energy Star label in the most recent year.
       (b) Exception.--
       (1) Application.--This subsection applies if--
       (A) no space is available in a building described in 
     subsection (a) that meets the functional requirements of an 
     agency, including locational needs;
       (B) the agency proposes to remain in a building that the 
     agency has occupied previously;
       (C) the agency proposes to lease a building of historical, 
     architectural, or cultural significance (as defined in 
     section 3306(a)(4) of title 40, United States Code) or space 
     in such a building; or
       (D) the lease is for not more than 10,000 gross square feet 
     of space.
       (2) Buildings without energy star label.--If 1 of the 
     conditions described in paragraph (2) is met, the agency may 
     enter into a contract to lease space in a building that has 
     not earned the Energy Star label in the most recent year if 
     the lease contract includes provisions requiring that, prior 
     to occupancy or, in the case of a contract described in 
     paragraph (1)(B), not later than 1 year after signing the 
     contract, the space will be renovated for all energy 
     efficiency and conservation improvements that would be cost 
     effective over the life of the lease, including improvements 
     in lighting, windows, and heating, ventilation, and air 
     conditioning systems.
       (c) Revision of Federal Acquisition Regulation.--
       (1) In general.--Not later than 3 years after the date of 
     the enactment of this Act, the Federal Acquisition Regulation 
     described in section 6(a) of the Office of Federal 
     Procurement Policy Act (41 U.S.C. 405(a)) shall be revised to 
     require Federal officers and employees to comply with this 
     section in leasing buildings.
       (2) Consultation.--The members of the Federal Acquisition 
     Regulatory Council established under section 25 of the Office 
     of Federal Procurement Policy Act (41 U.S.C. 421)) shall 
     consult with the Federal Director and the Commercial Director 
     before promulgating regulations to carry out this subsection.

     SEC. 436. HIGH-PERFORMANCE GREEN FEDERAL BUILDINGS.

       (a) Establishment of Office.--Not later than 60 days after 
     the date of enactment of this Act, the Administrator shall 
     establish within the General Services Administration an 
     Office of Federal High-Performance Green Buildings, and 
     appoint an individual to serve as Federal Director in, a 
     position in the career-reserved Senior Executive service, 
     to--
       (1) establish and manage the Office of Federal High-
     Performance Green Buildings; and
       (2) carry out other duties as required under this subtitle.
       (b) Compensation.--The compensation of the Federal Director 
     shall not exceed the maximum rate of basic pay for the Senior 
     Executive Service under section 5382 of title 5, United 
     States Code, including any applicable locality-based 
     comparability payment that may be authorized under section 
     5304(h)(2)(C) of that title.
       (c) Duties.--The Federal Director shall--
       (1) coordinate the activities of the Office of Federal 
     High-Performance Green Buildings with the activities of the 
     Office of Commercial High-Performance Green Buildings, and 
     the Secretary, in accordance with section 305(a)(3)(D) of the 
     Energy Conservation and Production Act (42 U.S.C. 
     6834(a)(3)(D));
       (2) ensure full coordination of high-performance green 
     building information and activities within the General 
     Services Administration and all relevant agencies, including, 
     at a minimum--
       (A) the Environmental Protection Agency;
       (B) the Office of the Federal Environmental Executive;
       (C) the Office of Federal Procurement Policy;
       (D) the Department of Energy;
       (E) the Department of Health and Human Services;
       (F) the Department of Defense;
       (G) the Department of Transportation;
       (H) the National Institute of Standards and Technology; and
       (I) the Office of Science and Technology Policy;
       (3) establish a senior-level Federal Green Building 
     Advisory Committee under section 474, which shall provide 
     advice and recommendations in accordance with that section 
     and subsection (d);
       (4) identify and every 5 years reassess improved or higher 
     rating standards recommended by the Advisory Committee;
       (5) ensure full coordination, dissemination of information 
     regarding, and promotion of the results of research and 
     development information relating to Federal high-performance 
     green building initiatives;
       (6) identify and develop Federal high-performance green 
     building standards for all types of Federal facilities, 
     consistent with the requirements of this subtitle and section 
     305(a)(3)(D) of the Energy Conservation and Production Act 
     (42 U.S.C. 6834(a)(3)(D));
       (7) establish green practices that can be used throughout 
     the life of a Federal facility;
       (8) review and analyze current Federal budget practices and 
     life-cycle costing issues, and make recommendations to 
     Congress, in accordance with subsection (d); and
       (9) identify opportunities to demonstrate innovative and 
     emerging green building technologies and concepts.
       (d) Additional Duties.--The Federal Director, in 
     consultation with the Commercial Director and the Advisory 
     Committee, and consistent with the requirements of section 
     305(a)(3)(D) of the Energy Conservation and Production Act 
     (42 U.S.C. 6834(a)(3)(D)) shall--
       (1) identify, review, and analyze current budget and 
     contracting practices that affect achievement of high-
     performance green buildings, including the identification of 
     barriers to high-performance green building life-cycle 
     costing and budgetary issues;
       (2) develop guidance and conduct training sessions with 
     budget specialists and contracting personnel from Federal 
     agencies and budget examiners to apply life-cycle cost 
     criteria to actual projects;
       (3) identify tools to aid life-cycle cost decisionmaking; 
     and
       (4) explore the feasibility of incorporating the benefits 
     of high-performance green buildings, such as security 
     benefits, into a cost-budget analysis to aid in life-cycle 
     costing for budget and decisionmaking processes.
       (e) Incentives.--Within 90 days after the date of enactment 
     of this Act, the Federal Director shall identify incentives 
     to encourage the expedited use of high-performance green 
     buildings and related technology in the operations of the 
     Federal Government, in accordance with the requirements of 
     section 305(a)(3)(D) of the Energy Conservation and 
     Production Act (42 U.S.C. 6834(a)(3)(D)), including through--
       (1) the provision of recognition awards; and
       (2) the maximum feasible retention of financial savings in 
     the annual budgets of Federal agencies for use in reinvesting 
     in future high-performance green building initiatives.
       (f) Report.--Not later than 2 years after the date of 
     enactment of this Act, and biennially thereafter, the Federal 
     Director, in consultation with the Secretary, shall submit to 
     Congress a report that--
       (1) describes the status of compliance with this subtitle, 
     the requirements of section 305(a)(3)(D) of the Energy 
     Conservation and Production Act (42 U.S.C. 6834(a)(3)(D)), 
     and other Federal high-performance green building initiatives 
     in effect as of the date of the report, including--
       (A) the extent to which the programs are being carried out 
     in accordance with this subtitle and the requirements of 
     section 305(a)(3)(D) of that Act; and
       (B) the status of funding requests and appropriations for 
     those programs;
       (2) identifies within the planning, budgeting, and 
     construction process all types of Federal facility procedures 
     that may affect the certification of new and existing Federal 
     facilities as high-performance green buildings under the 
     provisions of section 305(a)(3)(D) of that Act and the 
     criteria established in subsection (h);
       (3) identifies inconsistencies, as reported to the Advisory 
     Committee, in Federal law with respect to product acquisition 
     guidelines and high-performance product guidelines;
       (4) recommends language for uniform standards for use by 
     Federal agencies in environmentally responsible acquisition;
       (5) in coordination with the Office of Management and 
     Budget, reviews the budget process for capital programs with 
     respect to alternatives for--
       (A) restructuring of budgets to require the use of complete 
     energy and environmental cost accounting;
       (B) using operations expenditures in budget-related 
     decisions while simultaneously incorporating productivity and 
     health measures (as those measures can be quantified by the 
     Office of Federal High-Performance Green Buildings, with the 
     assistance of universities and national laboratories);
       (C) streamlining measures for permitting Federal agencies 
     to retain all identified savings accrued as a result of the 
     use of life-cycle costing for future high-performance green 
     building initiatives; and
       (D) identifying short-term and long-term cost savings that 
     accrue from high-performance green buildings, including those 
     relating to health and productivity;
       (6) identifies green, self-sustaining technologies to 
     address the operational needs of Federal facilities in times 
     of national security emergencies, natural disasters, or other 
     dire emergencies;
       (7) summarizes and highlights development, at the State and 
     local level, of high-performance green building initiatives, 
     including executive orders, policies, or laws adopted 
     promoting high-performance green building (including the 
     status of implementation of those initiatives); and
       (8) includes, for the 2-year period covered by the report, 
     recommendations to address each of the matters, and a plan 
     for implementation of each recommendation, described in 
     paragraphs (1) through (7).
       (g) Implementation.--The Office of Federal High-Performance 
     Green Buildings shall carry out each plan for implementation 
     of recommendations under subsection (f)(8).
       (h) Identification of Certification System.--
       (1) In general.--For the purpose of this section, not later 
     than 60 days after the date of enactment of this Act, the 
     Federal Director shall identify and shall provide to the 
     Secretary pursuant to section 305(a)(3)(D) of the Energy 
     Conservation and Production Act (42 U.S.C.

[[Page 35868]]

     6834(a)(3)(D)), a certification system that the Director 
     determines to be the most likely to encourage a comprehensive 
     and environmentally-sound approach to certification of green 
     buildings.
       (2) Basis.--The system identified under paragraph (1) shall 
     be based on--
       (A) a study completed every 5 years and provided to the 
     Secretary pursuant to section 305(a)(3)(D) of that Act, which 
     shall be carried out by the Federal Director to compare and 
     evaluate standards;
       (B) the ability and availability of assessors and auditors 
     to independently verify the criteria and measurement of 
     metrics at the scale necessary to implement this subtitle;
       (C) the ability of the applicable standard-setting 
     organization to collect and reflect public comment;
       (D) the ability of the standard to be developed and revised 
     through a consensus-based process;
       (E) an evaluation of the robustness of the criteria for a 
     high performance green building, which shall give credit for 
     promoting--
       (i) efficient and sustainable use of water, energy, and 
     other natural resources;
       (ii) use of renewable energy sources;
       (iii) improved indoor environmental quality through 
     enhanced indoor air quality, thermal comfort, acoustics, day 
     lighting, pollutant source control, and use of low-emission 
     materials and building system controls;
       (iv) reduced impacts from transportation through building 
     location and site design that promote access by public 
     transportation; and
       (v) such other criteria as the Federal Director determines 
     to be appropriate; and
       (F) national recognition within the building industry.

     SEC. 437. FEDERAL GREEN BUILDING PERFORMANCE.

       (a) In General.--Not later than October 31 of each of the 2 
     fiscal years following the fiscal year in which this Act is 
     enacted, and at such times thereafter as the Comptroller 
     General of the United States determines to be appropriate, 
     the Comptroller General of the United States shall, with 
     respect to the fiscal years that have passed since the 
     preceding report--
       (1) conduct an audit of the implementation of this 
     subtitle, section 305(a)(3)(D) of the Energy Conservation and 
     Production Act (42 U.S.C. 6834(a)(3)(D)), and section 435; 
     and
       (2) submit to the Federal Director, the Advisory Committee, 
     the Administrator, and Congress a report describing the 
     results of the audit.
       (b) Contents.--An audit under subsection (a) shall include 
     a review, with respect to the period covered by the report 
     under subsection (a)(2), of--
       (1) budget, life-cycle costing, and contracting issues, 
     using best practices identified by the Comptroller General of 
     the United States and heads of other agencies in accordance 
     with section 436(d);
       (2) the level of coordination among the Federal Director, 
     the Office of Management and Budget, the Department of 
     Energy, and relevant agencies;
       (3) the performance of the Federal Director and other 
     agencies in carrying out the implementation plan;
       (4) the design stage of high-performance green building 
     measures;
       (5) high-performance building data that were collected and 
     reported to the Office; and
       (6) such other matters as the Comptroller General of the 
     United States determines to be appropriate.
       (c) Environmental Stewardship Scorecard.--The Federal 
     Director shall consult with the Advisory Committee to 
     enhance, and assist in the implementation of, the Office of 
     Management and Budget government efficiency reports and 
     scorecards under section 528 and the Environmental 
     Stewardship Scorecard announced at the White House summit on 
     Federal sustainable buildings in January 2006, to measure the 
     implementation by each Federal agency of sustainable design 
     and green building initiatives.

     SEC. 438. STORM WATER RUNOFF REQUIREMENTS FOR FEDERAL 
                   DEVELOPMENT PROJECTS.

       The sponsor of any development or redevelopment project 
     involving a Federal facility with a footprint that exceeds 
     5,000 square feet shall use site planning, design, 
     construction, and maintenance strategies for the property to 
     maintain or restore, to the maximum extent technically 
     feasible, the predevelopment hydrology of the property with 
     regard to the temperature, rate, volume, and duration of 
     flow.

     SEC. 439. COST-EFFECTIVE TECHNOLOGY ACCELERATION PROGRAM.

       (a) Definition of Administrator.--In this section, the term 
     ``Administrator'' means the Administrator of General 
     Services.
       (b) Establishment.--
       (1) In general.--The Administrator shall establish a 
     program to accelerate the use of more cost-effective 
     technologies and practices at GSA facilities.
       (2) Requirements.--The program established under this 
     subsection shall--
       (A) ensure centralized responsibility for the coordination 
     of cost reduction-related recommendations, practices, and 
     activities of all relevant Federal agencies;
       (B) provide technical assistance and operational guidance 
     to applicable tenants to achieve the goal identified in 
     subsection (c)(2)(B)(ii);
       (C) establish methods to track the success of Federal 
     departments and agencies with respect to that goal; and
       (D) be fully coordinated with and no less stringent nor 
     less energy-conserving or water-conserving than required by 
     other provisions of this Act and other applicable law, 
     including sections 321 through 324, 431 through 438, 461, 511 
     through 518, and 523 through 525 and amendments made by those 
     sections.
       (c) Accelerated Use of Technologies.--
       (1) Review.--
       (A) In general.--As part of the program under this section, 
     not later than 90 days after the date of enactment of this 
     Act, the Administrator shall conduct a review of--
       (i) current use of cost-effective lighting technologies and 
     geothermal heat pumps in GSA facilities; and
       (ii) the availability to managers of GSA facilities of 
     cost-effective lighting technologies and geothermal heat 
     pumps.
       (B) Requirements.--The review under subparagraph (A) 
     shall--
       (i) examine the use of cost-effective lighting 
     technologies, geothermal heat pumps, and other cost-effective 
     technologies and practices by Federal agencies in GSA 
     facilities; and
       (ii) as prepared in consultation with the Administrator of 
     the Environmental Protection Agency, identify cost-effective 
     lighting technology and geothermal heat pump technology 
     standards that could be used for all types of GSA facilities.
       (2) Replacement.--
       (A) In general.--As part of the program under this section, 
     not later than 180 days after the date of enactment of this 
     Act, the Administrator shall establish, using available 
     appropriations and programs implementing sections 432 and 525 
     (and amendments made by those sections), a cost-effective 
     lighting technology and geothermal heat pump technology 
     acceleration program to achieve maximum feasible replacement 
     of existing lighting, heating, cooling technologies with 
     cost-effective lighting technologies and geothermal heat pump 
     technologies in each GSA facility. Such program shall fully 
     comply with the requirements of sections 321 through 324, 431 
     through 438, 461, 511 through 518, and 523 through 525 and 
     amendments made by those sections and any other provisions of 
     law, which shall be applicable to the extent that they are 
     more stringent or would achieve greater energy savings than 
     required by this section.
       (B) Acceleration plan timetable.--
       (i) In general.--To implement the program established under 
     subparagraph (A), not later than 1 year after the date of 
     enactment of this Act, the Administrator shall establish a 
     timetable of actions to comply with the requirements of this 
     section and sections 431 through 435, whichever achieves 
     greater energy savings most expeditiously, including 
     milestones for specific activities needed to replace existing 
     lighting, heating, cooling technologies with cost-effective 
     lighting technologies and geothermal heat pump technologies, 
     to the maximum extent feasible (including at the maximum rate 
     feasible), at each GSA facility.
       (ii) Goal.--The goal of the timetable under clause (i) 
     shall be to complete, using available appropriations and 
     programs implementing sections 431 through 435 (and 
     amendments made by those sections), maximum feasible 
     replacement of existing lighting, heating, and cooling 
     technologies with cost-effective lighting technologies and 
     geothermal heat pump technologies consistent with the 
     requirements of this section and sections 431 through 435, 
     whichever achieves greater energy savings most expeditiously. 
     Notwithstanding any provision of this section, such program 
     shall fully comply with the requirements of the Act including 
     sections 321 through 324, 431 through 438, 461, 511 through 
     518, and 523 through 525 and amendments made by those 
     sections and other provisions of law, which shall be 
     applicable to the extent that they are more stringent or 
     would achieve greater energy or water savings than required 
     by this section.
       (d) GSA Facility Technologies and Practices.--
       (1) In general.--Not later than 180 days after the date of 
     enactment of this Act, and annually thereafter, the 
     Administrator shall--
       (A) ensure that a manager responsible for implementing 
     section 432 and for accelerating the use of cost-effective 
     technologies and practices is designated for each GSA 
     facility; and
       (B) submit to Congress a plan to comply with section 432, 
     this section, and other applicable provisions of this Act and 
     applicable law with respect to energy and water conservation 
     at GSA facilities.
       (2) Measures.--The plan shall implement measures required 
     by such other provisions of law in accordance with those 
     provisions, and shall implement the measures required by this 
     section to the maximum extent feasible (including at the 
     maximum rate feasible) using available appropriations and 
     programs implementing sections 431 through 435 and 525 (and 
     amendments made by those sections), by not later than the 
     date that is 5 years after the date of enactment of this Act.
       (3) Contents of plan.--The plan shall--
       (A) with respect to cost-effective technologies and 
     practices--
       (i) identify the specific activities needed to comply with 
     sections 431 through 435;
       (ii) identify the specific activities needed to achieve at 
     least a 20-percent reduction in operational costs through the 
     application of cost-effective technologies and practices from 
     2003 levels at GSA facilities by not later than 5 years after 
     the date of enactment of this Act;
       (iii) describe activities required and carried out to 
     estimate the funds necessary to achieve the reduction 
     described in clauses (i) and (ii);
       (B) include an estimate of the funds necessary to carry out 
     this section;

[[Page 35869]]

       (C) describe the status of the implementation of cost-
     effective technologies and practices at GSA facilities, 
     including--
       (i) the extent to which programs, including the program 
     established under subsection (b), are being carried out in 
     accordance with this subtitle; and
       (ii) the status of funding requests and appropriations for 
     those programs;
       (D) identify within the planning, budgeting, and 
     construction processes, all types of GSA facility-related 
     procedures that inhibit new and existing GSA facilities from 
     implementing cost-effective technologies;
       (E) recommend language for uniform standards for use by 
     Federal agencies in implementing cost-effective technologies 
     and practices;
       (F) in coordination with the Office of Management and 
     Budget, review the budget process for capital programs with 
     respect to alternatives for--
       (i) implementing measures that will assure that Federal 
     agencies retain all identified savings accrued as a result of 
     the use of cost-effective technologies, consistent with 
     section 543(a)(1) of the National Energy Conservation Policy 
     Act (42 U.S.C. 8253(a)(1), and other applicable law; and
       (ii) identifying short- and long-term cost savings that 
     accrue from the use of cost-effective technologies and 
     practices;
       (G) with respect to cost-effective technologies and 
     practices, achieve substantial operational cost savings 
     through the application of the technologies; and
       (H) include recommendations to address each of the matters, 
     and a plan for implementation of each recommendation, 
     described in subparagraphs (A) through (G).
       (4) Administration.--Notwithstanding any provision of this 
     section, the program required under this section shall fully 
     comply with the requirements of sections 321 through 324, 431 
     through 438, 461, 511 through 518, and 523 through 525 and 
     amendments made by those sections, which shall be applicable 
     to the extent that they are more stringent or would achieve 
     greater energy or water savings than required by this 
     section.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section, to remain available until expended.

     SEC. 440. AUTHORIZATION OF APPROPRIATIONS.

       There is authorized to be appropriated to carry out 
     sections 434 through 439 and 482 $4,000,000 for each of 
     fiscal years 2008 through 2012, to remain available until 
     expended.

     SEC. 441. PUBLIC BUILDING LIFE-CYCLE COSTS.

       Section 544(a)(1) of the National Energy Conservation 
     Policy Act (42 U.S.C. 8254(a)(1)) is amended by striking 
     ``25'' and inserting ``40''.

                Subtitle D--Industrial Energy Efficiency

     SEC. 451. INDUSTRIAL ENERGY EFFICIENCY.

       (a) In General.--Title III of the Energy Policy and 
     Conservation Act (42 U.S.C. 6291 et seq.) is amended by 
     inserting after part D the following:

                 ``PART E--INDUSTRIAL ENERGY EFFICIENCY

     ``SEC. 371. DEFINITIONS.

       ``In this part:
       ``(1) Administrator.--The term `Administrator' means the 
     Administrator of the Environmental Protection Agency.
       ``(2) Combined heat and power.--The term `combined heat and 
     power system' means a facility that--
       ``(A) simultaneously and efficiently produces useful 
     thermal energy and electricity; and
       ``(B) recovers not less than 60 percent of the energy value 
     in the fuel (on a higher-heating-value basis) in the form of 
     useful thermal energy and electricity.
       ``(3) Net excess power.--The term `net excess power' means, 
     for any facility, recoverable waste energy recovered in the 
     form of electricity in quantities exceeding the total 
     consumption of electricity at the specific time of generation 
     on the site at which the facility is located.
       ``(4) Project.--The term `project' means a recoverable 
     waste energy project or a combined heat and power system 
     project.
       ``(5) Recoverable waste energy.--The term `recoverable 
     waste energy' means waste energy from which electricity or 
     useful thermal energy may be recovered through modification 
     of an existing facility or addition of a new facility.
       ``(6) Registry.--The term `Registry' means the Registry of 
     Recoverable Waste Energy Sources established under section 
     372(d).
       ``(7) Useful thermal energy.--The term `useful thermal 
     energy' means energy--
       ``(A) in the form of direct heat, steam, hot water, or 
     other thermal form that is used in production and beneficial 
     measures for heating, cooling, humidity control, process use, 
     or other valid thermal end-use energy requirements; and
       ``(B) for which fuel or electricity would otherwise be 
     consumed.
       ``(8) Waste energy.--The term `waste energy' means--
       ``(A) exhaust heat or flared gas from any industrial 
     process;
       ``(B) waste gas or industrial tail gas that would otherwise 
     be flared, incinerated, or vented;
       ``(C) a pressure drop in any gas, excluding any pressure 
     drop to a condenser that subsequently vents the resulting 
     heat; and
       ``(D) such other forms of waste energy as the Administrator 
     may determine.
       ``(9) Other terms.--The terms `electric utility', 
     `nonregulated electric utility', `State regulated electric 
     utility', and other terms have the meanings given those terms 
     in title I of the Public Utility Regulatory Policies Act of 
     1978 (16 U.S.C. 2611 et seq.).

     ``SEC. 372. SURVEY AND REGISTRY.

       ``(a) Recoverable Waste Energy Inventory Program.--
       ``(1) In general.--The Administrator, in cooperation with 
     the Secretary and State energy offices, shall establish a 
     recoverable waste energy inventory program.
       ``(2) Survey.--The program shall include--
       ``(A) an ongoing survey of all major industrial and large 
     commercial combustion sources in the United States (as 
     defined by the Administrator) and the sites at which the 
     sources are located; and
       ``(B) a review of each source for the quantity and quality 
     of waste energy produced at the source.
       ``(b) Criteria.--
       ``(1) In general.--Not later than 270 days after the date 
     of enactment of the Energy Independence and Security Act of 
     2007, the Administrator shall publish a rule for establishing 
     criteria for including sites in the Registry.
       ``(2) Inclusions.--The criteria shall include--
       ``(A) a requirement that, to be included in the Registry, a 
     project at the site shall be determined to be economically 
     feasible by virtue of offering a payback of invested costs 
     not later than 5 years after the date of first full project 
     operation (including incentives offered under this part);
       ``(B) standards to ensure that projects proposed for 
     inclusion in the Registry are not developed or used for the 
     primary purpose of making sales of excess electric power 
     under the regulatory provisions of this part; and
       ``(C) procedures for contesting the listing of any source 
     or site on the Registry by any State, utility, or other 
     interested person.
       ``(c) Technical Support.--On the request of the owner or 
     operator of a source or site included in the Registry, the 
     Secretary shall--
       ``(1) provide to owners or operators of combustion sources 
     technical support; and
       ``(2) offer partial funding (in an amount equal to not more 
     than \1/2\ of total costs) for feasibility studies to confirm 
     whether or not investment in recovery of waste energy or 
     combined heat and power at a source would offer a payback 
     period of 5 years or less.
       ``(d) Registry.--
       ``(1) Establishment.--
       ``(A) In general.--Not later than 1 year after the date of 
     enactment of the Energy Independence and Security Act of 
     2007, the Administrator shall establish a Registry of 
     Recoverable Waste Energy Sources, and sites on which the 
     sources are located, that meet the criteria established under 
     subsection (b).
       ``(B) Updates; availability.--The Administrator shall--
       ``(i) update the Registry on a regular basis; and
       ``(ii) make the Registry available to the public on the 
     website of the Environmental Protection Agency.
       ``(C) Contesting listing.--Any State, electric utility, or 
     other interested person may contest the listing of any source 
     or site by submitting a petition to the Administrator.
       ``(2) Contents.--
       ``(A) In general.--The Administrator shall register and 
     include on the Registry all sites meeting the criteria 
     established under subsection (b).
       ``(B) Quantity of recoverable waste energy.--The 
     Administrator shall--
       ``(i) calculate the total quantities of potentially 
     recoverable waste energy from sources at the sites, 
     nationally and by State; and
       ``(ii) make public--

       ``(I) the total quantities described in clause (i); and
       ``(II) information on the criteria pollutant and greenhouse 
     gas emissions savings that might be achieved with recovery of 
     the waste energy from all sources and sites listed on the 
     Registry.

       ``(3) Availability of information.--
       ``(A) In general.--The Administrator shall notify owners or 
     operators of recoverable waste energy sources and sites 
     listed on the Registry prior to publishing the listing.
       ``(B) Detailed quantitative information.--
       ``(i) In general.--Except as provided in clause (ii), the 
     owner or operator of a source at a site may elect to have 
     detailed quantitative information concerning the site not 
     made public by notifying the Administrator of the election.
       ``(ii) Limited availability.--The information shall be made 
     available to--

       ``(I) the applicable State energy office; and
       ``(II) any utility requested to support recovery of waste 
     energy from the source pursuant to the incentives provided 
     under section 374.

       ``(iii) State totals.--Information concerning the site 
     shall be included in the total quantity of recoverable waste 
     energy for a State unless there are fewer than 3 sites in the 
     State.
       ``(4) Removal of projects from registry.--
       ``(A) In general.--Subject to subparagraph (B), as a 
     project achieves successful recovery of waste energy, the 
     Administrator shall--
       ``(i) remove the related sites or sources from the 
     Registry; and
       ``(ii) designate the removed projects as eligible for 
     incentives under section 374.
       ``(B) Limitation.--No project shall be removed from the 
     Registry without the consent of the owner or operator of the 
     project if--
       ``(i) the owner or operator has submitted a petition under 
     section 374; and
       ``(ii) the petition has not been acted on or denied.

[[Page 35870]]

       ``(5) Ineligibility of certain sources.--The Administrator 
     shall not list any source constructed after the date of the 
     enactment of the Energy Independence and Security Act of 2007 
     on the Registry if the Administrator determines that the 
     source--
       ``(A) was developed for the primary purpose of making sales 
     of excess electric power under the regulatory provisions of 
     this part; or
       ``(B) does not capture at least 60 percent of the total 
     energy value of the fuels used (on a higher-heating-value 
     basis) in the form of useful thermal energy, electricity, 
     mechanical energy, chemical output, or any combination 
     thereof.
       ``(e) Self-Certification.--
       ``(1) In general.--Subject to any procedures that are 
     established by the Administrator, an owner, operator, or 
     third-party developer of a recoverable waste energy project 
     that qualifies under standards established by the 
     Administrator may self-certify the sites or sources of the 
     owner, operator, or developer to the Administrator for 
     inclusion in the Registry.
       ``(2) Review and approval.--To prevent a fraudulent 
     listing, a site or source shall be included on the Registry 
     only if the Administrator reviews and approves the self-
     certification.
       ``(f) New Facilities.--As a new energy-consuming industrial 
     facility is developed after the date of enactment of the 
     Energy Independence and Security Act of 2007, to the extent 
     the facility may constitute a site with recoverable waste 
     energy that may qualify for inclusion on the Registry, the 
     Administrator may elect to include the facility on the 
     Registry, at the request of the owner, operator, or developer 
     of the facility, on a conditional basis with the site to be 
     removed from the Registry if the development ceases or the 
     site fails to qualify for listing under this part.
       ``(g) Optimum Means of Recovery.--For each site listed in 
     the Registry, at the request of the owner or operator of the 
     site, the Administrator shall offer, in cooperation with 
     Clean Energy Application Centers operated by the Secretary of 
     Energy, suggestions for optimum means of recovery of value 
     from waste energy stream in the form of electricity, useful 
     thermal energy, or other energy-related products.
       ``(h) Revision.--Each annual report of a State under 
     section 548(a) of the National Energy Conservation Policy Act 
     (42 U.S.C. 8258(a)) shall include the results of the survey 
     for the State under this section.
       ``(i) Authorization of Appropriations.--There are 
     authorized to be appropriated to--
       ``(1) the Administrator to create and maintain the Registry 
     and services authorized by this section, $1,000,000 for each 
     of fiscal years 2008 through 2012; and
       ``(2) the Secretary--
       ``(A) to assist site or source owners and operators in 
     determining the feasibility of projects authorized by this 
     section, $2,000,000 for each of fiscal years 2008 through 
     2012; and
       ``(B) to provide funding for State energy office functions 
     under this section, $5,000,000.

     ``SEC. 373. WASTE ENERGY RECOVERY INCENTIVE GRANT PROGRAM.

       ``(a) Establishment.--The Secretary shall establish in the 
     Department of Energy a waste energy recovery incentive grant 
     program to provide incentive grants to--
       ``(1) owners and operators of projects that successfully 
     produce electricity or incremental useful thermal energy from 
     waste energy recovery;
       ``(2) utilities purchasing or distributing the electricity; 
     and
       ``(3) States that have achieved 80 percent or more of 
     recoverable waste heat recovery opportunities.
       ``(b) Grants to Projects and Utilities.--
       ``(1) In general.--The Secretary shall make grants under 
     this section--
       ``(A) to the owners or operators of waste energy recovery 
     projects; and
       ``(B) in the case of excess power purchased or transmitted 
     by a electric utility, to the utility.
       ``(2) Proof.--Grants may only be made under this section on 
     receipt of proof of waste energy recovery or excess 
     electricity generation, or both, from the project in a form 
     prescribed by the Secretary.
       ``(3) Excess electric energy.--
       ``(A) In general.--In the case of waste energy recovery, a 
     grant under this section shall be made at the rate of $10 per 
     megawatt hour of documented electricity produced from 
     recoverable waste energy (or by prevention of waste energy in 
     the case of a new facility) by the project during the first 3 
     calendar years of production, beginning on or after the date 
     of enactment of the Energy Independence and Security Act of 
     2007.
       ``(B) Utilities.--If the project produces net excess power 
     and an electric utility purchases or transmits the excess 
     power, 50 percent of so much of the grant as is attributable 
     to the net excess power shall be paid to the electric utility 
     purchasing or transporting the net excess power.
       ``(4) Useful thermal energy.--In the case of waste energy 
     recovery that produces useful thermal energy that is used for 
     a purpose different from that for which the project is 
     principally designed, a grant under this section shall be 
     made to the owner or operator of the waste energy recovery 
     project at the rate of $10 for each 3,412,000 Btus of the 
     excess thermal energy used for the different purpose.
       ``(c) Grants to States.--In the case of any State that has 
     achieved 80 percent or more of waste heat recovery 
     opportunities identified by the Secretary under this part, 
     the Administrator shall make a 1-time grant to the State in 
     an amount of not more than $1,000 per megawatt of waste-heat 
     capacity recovered (or a thermal equivalent) to support 
     State-level programs to identify and achieve additional 
     energy efficiency.
       ``(d) Eligibility.--The Secretary shall--
       ``(1) establish rules and guidelines to establish 
     eligibility for grants under subsection (b);
       ``(2) publicize the availability of the grant program known 
     to owners or operators of recoverable waste energy sources 
     and sites listed on the Registry; and
       ``(3) award grants under the program on the basis of the 
     merits of each project in recovering or preventing waste 
     energy throughout the United States on an impartial, 
     objective, and not unduly discriminatory basis.
       ``(e) Limitation.--The Secretary shall not award grants to 
     any person for a combined heat and power project or a waste 
     heat recovery project that qualifies for specific Federal tax 
     incentives for combined heat and power or for waste heat 
     recovery.
       ``(f) Authorization of Appropriations.--There are 
     authorized to be appropriated to the Secretary--
       ``(1) to make grants to projects and utilities under 
     subsection (b)--
       ``(A) $100,000,000 for fiscal year 2008 and $200,000,000 
     for each of fiscal years 2009 through 2012; and
       ``(B) such additional amounts for fiscal year 2008 and each 
     fiscal year thereafter as may be necessary for administration 
     of the waste energy recovery incentive grant program; and
       ``(2) to make grants to States under subsection (b), 
     $10,000,000 for each of fiscal years 2008 through 2012, to 
     remain available until expended.

     ``SEC. 374. ADDITIONAL INCENTIVES FOR RECOVERY, USE, AND 
                   PREVENTION OF INDUSTRIAL WASTE ENERGY.

       ``(a) Consideration of Standard.--
       ``(1) In general.--Not later than 180 days after the 
     receipt by a State regulatory authority (with respect to each 
     electric utility for which the authority has ratemaking 
     authority), or nonregulated electric utility, of a request 
     from a project sponsor or owner or operator, the State 
     regulatory authority or nonregulated electric utility shall--
       ``(A) provide public notice and conduct a hearing 
     respecting the standard established by subsection (b); and
       ``(B) on the basis of the hearing, consider and make a 
     determination whether or not it is appropriate to implement 
     the standard to carry out the purposes of this part.
       ``(2) Relationship to state law.--For purposes of any 
     determination under paragraph (1) and any review of the 
     determination in any court, the purposes of this section 
     supplement otherwise applicable State law.
       ``(3) Nonadoption of standard.--Nothing in this part 
     prohibits any State regulatory authority or nonregulated 
     electric utility from making any determination that it is not 
     appropriate to adopt any standard described in paragraph (1), 
     pursuant to authority under otherwise applicable State law.
       ``(b) Standard for Sales of Excess Power.--For purposes of 
     this section, the standard referred to in subsection (a) 
     shall provide that an owner or operator of a waste energy 
     recovery project identified on the Registry that generates 
     net excess power shall be eligible to benefit from at least 1 
     of the options described in subsection (c) for disposal of 
     the net excess power in accordance with the rate conditions 
     and limitations described in subsection (d).
       ``(c) Options.--The options referred to in subsection (b) 
     are as follows:
       ``(1) Sale of net excess power to utility.--The electric 
     utility shall purchase the net excess power from the owner or 
     operator of the eligible waste energy recovery project during 
     the operation of the project under a contract entered into 
     for that purpose.
       ``(2) Transport by utility for direct sale to third 
     party.--The electric utility shall transmit the net excess 
     power on behalf of the project owner or operator to up to 3 
     separate locations on the system of the utility for direct 
     sale by the owner or operator to third parties at those 
     locations.
       ``(3) Transport over private transmission lines.--The State 
     and the electric utility shall permit, and shall waive or 
     modify such laws as would otherwise prohibit, the 
     construction and operation of private electric wires 
     constructed, owned, and operated by the project owner or 
     operator, to transport the power to up to 3 purchasers within 
     a 3-mile radius of the project, allowing the wires to use or 
     cross public rights-of-way, without subjecting the project to 
     regulation as a public utility, and according the wires the 
     same treatment for safety, zoning, land use, and other legal 
     privileges as apply or would apply to the wires of the 
     utility, except that--
       ``(A) there shall be no grant of any power of eminent 
     domain to take or cross private property for the wires; and
       ``(B) the wires shall be physically segregated and not 
     interconnected with any portion of the system of the utility, 
     except on the customer side of the revenue meter of the 
     utility and in a manner that precludes any possible export of 
     the electricity onto the utility system, or disruption of the 
     system.
       ``(4) Agreed on alternatives.--The utility and the owner or 
     operator of the project may reach agreement on any alternate 
     arrangement and payments or rates associated with the 
     arrangement that is mutually satisfactory and in accord with 
     State law.
       ``(d) Rate Conditions and Criteria.--
       ``(1) Definitions.--In this subsection:

[[Page 35871]]

       ``(A) Per unit distribution costs.--The term `per unit 
     distribution costs' means (in kilowatt hours) the quotient 
     obtained by dividing--
       ``(i) the depreciated book-value distribution system costs 
     of a utility; by
       ``(ii) the volume of utility electricity sales or 
     transmission during the previous year at the distribution 
     level.
       ``(B) Per unit distribution margin.--The term `per unit 
     distribution margin' means--
       ``(i) in the case of a State-regulated electric utility, a 
     per-unit gross pretax profit equal to the product obtained by 
     multiplying--

       ``(I) the State-approved percentage rate of return for the 
     utility for distribution system assets; by
       ``(II) the per unit distribution costs; and

       ``(ii) in the case of a nonregulated utility, a per unit 
     contribution to net revenues determined multiplying--

       ``(I) the percentage (but not less than 10 percent) 
     obtained by dividing--

       ``(aa) the amount of any net revenue payment or 
     contribution to the owners or subscribers of the nonregulated 
     utility during the prior year; by
       ``(bb) the gross revenues of the utility during the prior 
     year to obtain a percentage; by

       ``(II) the per unit distribution costs.

       ``(C) Per unit transmission costs.--The term `per unit 
     transmission costs' means the total cost of those 
     transmission services purchased or provided by a utility on a 
     per-kilowatt-hour basis as included in the retail rate of the 
     utility.
       ``(2) Options.--The options described in paragraphs (1) and 
     (2) in subsection (c) shall be offered under purchase and 
     transport rate conditions that reflect the rate components 
     defined under paragraph (1) as applicable under the 
     circumstances described in paragraph (3).
       ``(3) Applicable rates.--
       ``(A) Rates applicable to sale of net excess power.--
       ``(i) In general.--Sales made by a project owner or 
     operator of a facility under the option described in 
     subsection (c)(1) shall be paid for on a per kilowatt hour 
     basis that shall equal the full undiscounted retail rate paid 
     to the utility for power purchased by the facility minus per 
     unit distribution costs, that applies to the type of utility 
     purchasing the power.
       ``(ii) Voltages exceeding 25 kilovolts.--If the net excess 
     power is made available for purchase at voltages that must be 
     transformed to or from voltages exceeding 25 kilovolts to be 
     available for resale by the utility, the purchase price shall 
     further be reduced by per unit transmission costs.
       ``(B) Rates applicable to transport by utility for direct 
     sale to third parties.--
       ``(i) In general.--Transportation by utilities of power on 
     behalf of the owner or operator of a project under the option 
     described in subsection (c)(2) shall incur a transportation 
     rate that shall equal the per unit distribution costs and per 
     unit distribution margin, that applies to the type of utility 
     transporting the power.
       ``(ii) Voltages exceeding 25 kilovolts.--If the net excess 
     power is made available for transportation at voltages that 
     must be transformed to or from voltages exceeding 25 
     kilovolts to be transported to the designated third-party 
     purchasers, the transport rate shall further be increased by 
     per unit transmission costs.
       ``(iii) States with competitive retail markets for 
     electricity.--In a State with a competitive retail market for 
     electricity, the applicable transportation rate for similar 
     transportation shall be applied in lieu of any rate 
     calculated under this paragraph.
       ``(4) Limitations.--
       ``(A) In general.--Any rate established for sale or 
     transportation under this section shall--
       ``(i) be modified over time with changes in the underlying 
     costs or rates of the electric utility; and
       ``(ii) reflect the same time-sensitivity and billing 
     periods as are established in the retail sales or 
     transportation rates offered by the utility.
       ``(B) Limitation.--No utility shall be required to purchase 
     or transport a quantity of net excess power under this 
     section that exceeds the available capacity of the wires, 
     meter, or other equipment of the electric utility serving the 
     site unless the owner or operator of the project agrees to 
     pay necessary and reasonable upgrade costs.
       ``(e) Procedural Requirements for Consideration and 
     Determination.--
       ``(1) Public notice and hearing.--
       ``(A) In general.--The consideration referred to in 
     subsection (a) shall be made after public notice and hearing.
       ``(B) Administration.--The determination referred to in 
     subsection (a) shall be--
       ``(i) in writing;
       ``(ii) based on findings included in the determination and 
     on the evidence presented at the hearing; and
       ``(iii) available to the public.
       ``(2) Intervention by administrator.--The Administrator may 
     intervene as a matter of right in a proceeding conducted 
     under this section--
       ``(A) to calculate--
       ``(i) the energy and emissions likely to be saved by 
     electing to adopt 1 or more of the options; and
       ``(ii) the costs and benefits to ratepayers and the 
     utility; and
       ``(B) to advocate for the waste-energy recovery 
     opportunity.
       ``(3) Procedures.--
       ``(A) In general.--Except as otherwise provided in 
     paragraphs (1) and (2), the procedures for the consideration 
     and determination referred to in subsection (a) shall be the 
     procedures established by the State regulatory authority or 
     the nonregulated electric utility.
       ``(B) Multiple projects.--If there is more than 1 project 
     seeking consideration simultaneously in connection with the 
     same utility, the proceeding may encompass all such projects, 
     if full attention is paid to individual circumstances and 
     merits and an individual judgment is reached with respect to 
     each project.
       ``(f) Implementation.--
       ``(1) In general.--The State regulatory authority (with 
     respect to each electric utility for which the authority has 
     ratemaking authority) or nonregulated electric utility may, 
     to the extent consistent with otherwise applicable State 
     law--
       ``(A) implement the standard determined under this section; 
     or
       ``(B) decline to implement any such standard.
       ``(2) Nonimplementation of standard.--
       ``(A) In general.--If a State regulatory authority (with 
     respect to each electric utility for which the authority has 
     ratemaking authority) or nonregulated electric utility 
     declines to implement any standard established by this 
     section, the authority or nonregulated electric utility shall 
     state in writing the reasons for declining to implement the 
     standard.
       ``(B) Availability to public.--The statement of reasons 
     shall be available to the public.
       ``(C) Annual report.--The Administrator shall include in an 
     annual report submitted to Congress a description of the lost 
     opportunities for waste-heat recovery from the project 
     described in subparagraph (A), specifically identifying the 
     utility and stating the quantity of lost energy and emissions 
     savings calculated.
       ``(D) New petition.--If a State regulatory authority (with 
     respect to each electric utility for which the authority has 
     ratemaking authority) or nonregulated electric utility 
     declines to implement the standard established by this 
     section, the project sponsor may submit a new petition under 
     this section with respect to the project at any time after 
     the date that is 2 years after the date on which the State 
     regulatory authority or nonregulated utility declined to 
     implement the standard.

     ``SEC. 375. CLEAN ENERGY APPLICATION CENTERS.

       ``(a) Renaming.--
       ``(1) In general.--The Combined Heat and Power Application 
     Centers of the Department of Energy are redesignated as Clean 
     Energy Application Centers.
       ``(2) References.--Any reference in any law, rule, 
     regulation, or publication to a Combined Heat and Power 
     Application Center shall be treated as a reference to a Clean 
     Energy Application Center.
       ``(b) Relocation.--
       ``(1) In general.--In order to better coordinate efforts 
     with the separate Industrial Assessment Centers and to ensure 
     that the energy efficiency and, when applicable, the 
     renewable nature of deploying mature clean energy technology 
     is fully accounted for, the Secretary shall relocate the 
     administration of the Clean Energy Application Centers to the 
     Office of Energy Efficiency and Renewable Energy within the 
     Department of Energy.
       ``(2) Office of electricity delivery and energy 
     reliability.--The Office of Electricity Delivery and Energy 
     Reliability shall--
       ``(A) continue to perform work on the role of technology 
     described in paragraph (1) in support of the grid and the 
     reliability and security of the technology; and
       ``(B) shall assist the Clean Energy Application Centers in 
     the work of the Centers with regard to the grid and with 
     electric utilities.
       ``(c) Grants.--
       ``(1) In general.--The Secretary shall make grants to 
     universities, research centers, and other appropriate 
     institutions to ensure the continued operations and 
     effectiveness of 8 Regional Clean Energy Application Centers 
     in each of the following regions (as designated for such 
     purposes as of the date of the enactment of the Energy 
     Independence and Security Act of 2007):
       ``(A) Gulf Coast.
       ``(B) Intermountain.
       ``(C) Mid-Atlantic.
       ``(D) Midwest.
       ``(E) Northeast.
       ``(F) Northwest.
       ``(G) Pacific.
       ``(H) Southeast.
       ``(2) Establishment of goals and compliance.--In making 
     grants under this subsection, the Secretary shall ensure that 
     sufficient goals are established and met by each Center 
     throughout the program duration concerning outreach and 
     technology deployment.
       ``(d) Activities.--
       ``(1) In general.--Each Clean Energy Application Center 
     shall--
       ``(A) operate a program to encourage deployment of clean 
     energy technologies through education and outreach to 
     building and industrial professionals; and other individuals 
     and organizations with an interest in efficient energy use; 
     and
       ``(B) provide project specific support to building and 
     industrial professionals through assessments and advisory 
     activities.
       ``(2) Types of activities.--Funds made available under this 
     section may be used--
       ``(A) to develop and distribute informational materials on 
     clean energy technologies, including continuation of the 8 
     websites in existence on the date of enactment of the Energy 
     Independence and Security Act of 2007;
       ``(B) to develop and conduct target market workshops, 
     seminars, internet programs, and other activities to educate 
     end users, regulators, and stakeholders in a manner that 
     leads to the deployment of clean energy technologies;

[[Page 35872]]

       ``(C) to provide or coordinate onsite assessments for sites 
     and enterprises that may consider deployment of clean energy 
     technology;
       ``(D) to perform market research to identify high profile 
     candidates for clean energy deployment;
       ``(E) to provide consulting support to sites considering 
     deployment of clean energy technologies;
       ``(F) to assist organizations developing clean energy 
     technologies to overcome barriers to deployment; and
       ``(G) to assist companies and organizations with 
     performance evaluations of any clean energy technology 
     implemented.
       ``(e) Duration.--
       ``(1) In general.--A grant awarded under this section shall 
     be for a period of 5 years
       ``(2) Annual evaluations.--Each grant shall be evaluated 
     annually for the continuation of the grant based on the 
     activities and results of the grant.
       ``(f) Authorization.--There is authorized to be 
     appropriated to carry out this section $10,000,000 for each 
     of fiscal years 2008 through 2012.''.
       (b) Table of Contents.--The table of contents of the Energy 
     Policy and Conservation Act (42 U.S.C. prec. 6201) is amended 
     by inserting after the items relating to part D of title III 
     the following:

                 ``Part E--Industrial Energy Efficiency

``Sec. 371. Definitions.
``Sec. 372. Survey and Registry.
``Sec. 373.Waste energy recovery incentive grant program.
``Sec. 374. Additional incentives for recovery, utilization and 
              prevention of industrial waste energy.
``Sec. 375. Clean Energy Application Centers.''.

     SEC. 452. ENERGY-INTENSIVE INDUSTRIES PROGRAM.

       (a) Definitions.--In this section:
       (1) Eligible entity.--The term ``eligible entity'' means--
       (A) an energy-intensive industry;
       (B) a national trade association representing an energy-
     intensive industry; or
       (C) a person acting on behalf of 1 or more energy-intensive 
     industries or sectors, as determined by the Secretary.
       (2) Energy-intensive industry.--The term ``energy-intensive 
     industry'' means an industry that uses significant quantities 
     of energy as part of its primary economic activities, 
     including--
       (A) information technology, including data centers 
     containing electrical equipment used in processing, storing, 
     and transmitting digital information;
       (B) consumer product manufacturing;
       (C) food processing;
       (D) materials manufacturers, including--
       (i) aluminum;
       (ii) chemicals;
       (iii) forest and paper products;
       (iv) metal casting;
       (v) glass;
       (vi) petroleum refining;
       (vii) mining; and
       (viii) steel;
       (E) other energy-intensive industries, as determined by the 
     Secretary.
       (3) Feedstock.--The term ``feedstock'' means the raw 
     material supplied for use in manufacturing, chemical, and 
     biological processes.
       (4) Partnership.--The term ``partnership'' means an energy 
     efficiency partnership established under subsection 
     (c)(1)(A).
       (5) Program.--The term ``program'' means the energy-
     intensive industries program established under subsection 
     (b).
       (b) Establishment of Program.--The Secretary shall 
     establish a program under which the Secretary, in cooperation 
     with energy-intensive industries and national industry trade 
     associations representing the energy-intensive industries, 
     shall support, research, develop, and promote the use of new 
     materials processes, technologies, and techniques to optimize 
     energy efficiency and the economic competitiveness of the 
     United States' industrial and commercial sectors.
       (c) Partnerships.--
       (1) In general.--As part of the program, the Secretary 
     shall establish energy efficiency partnerships between the 
     Secretary and eligible entities to conduct research on, 
     develop, and demonstrate new processes, technologies, and 
     operating practices and techniques to significantly improve 
     the energy efficiency of equipment and processes used by 
     energy-intensive industries, including the conduct of 
     activities to--
       (A) increase the energy efficiency of industrial processes 
     and facilities;
       (B) research, develop, and demonstrate advanced 
     technologies capable of energy intensity reductions and 
     increased environmental performance; and
       (C) promote the use of the processes, technologies, and 
     techniques described in subparagraphs (A) and (B).
       (2) Eligible activities.--Partnership activities eligible 
     for funding under this subsection include--
       (A) feedstock and recycling research, development, and 
     demonstration activities to identify and promote--
       (i) opportunities for meeting industry feedstock 
     requirements with more energy efficient and flexible sources 
     of feedstock or energy supply;
       (ii) strategies to develop and deploy technologies that 
     improve the quality and quantity of feedstocks recovered from 
     process and waste streams; and
       (iii) other methods using recycling, reuse, and improved 
     industrial materials;
       (B) research to develop and demonstrate technologies and 
     processes that utilize alternative energy sources to supply 
     heat, power, and new feedstocks for energy-intensive 
     industries;
       (C) research to achieve energy efficiency in steam, power, 
     control system, and process heat technologies, and in other 
     manufacturing processes; and
       (D) industrial and commercial energy efficiency and 
     sustainability assessments to--
       (i) assist individual industrial and commercial sectors in 
     developing tools, techniques, and methodologies to assess--

       (I) the unique processes and facilities of the sectors;
       (II) the energy utilization requirements of the sectors; 
     and
       (III) the application of new, more energy efficient 
     technologies; and

       (ii) conduct energy savings assessments;
       (E) the incorporation of technologies and innovations that 
     would significantly improve the energy efficiency and 
     utilization of energy-intensive commercial applications; and
       (F) any other activities that the Secretary determines to 
     be appropriate.
       (3) Proposals.--
       (A) In general.--To be eligible for funding under this 
     subsection, a partnership shall submit to the Secretary a 
     proposal that describes the proposed research, development, 
     or demonstration activity to be conducted by the partnership.
       (B) Review.--After reviewing the scientific, technical, and 
     commercial merit of a proposals submitted under subparagraph 
     (A), the Secretary shall approve or disapprove the proposal.
       (C) Competitive awards.--The provision of funding under 
     this subsection shall be on a competitive basis.
       (4) Cost-sharing requirement.--In carrying out this 
     section, the Secretary shall require cost sharing in 
     accordance with section 988 of the Energy Policy Act of 2005 
     (42 U.S.C. 16352).
       (d) Grants.--The Secretary may award competitive grants for 
     innovative technology research, development and 
     demonstrations to universities, individual inventors, and 
     small companies, based on energy savings potential, 
     commercial viability, and technical merit.
       (e) Institution of Higher Education-Based Industrial 
     Research and Assessment Centers.--The Secretary shall provide 
     funding to institution of higher education-based industrial 
     research and assessment centers, whose purpose shall be--
       (1) to identify opportunities for optimizing energy 
     efficiency and environmental performance;
       (2) to promote applications of emerging concepts and 
     technologies in small and medium-sized manufacturers;
       (3) to promote research and development for the use of 
     alternative energy sources to supply heat, power, and new 
     feedstocks for energy-intensive industries;
       (4) to coordinate with appropriate Federal and State 
     research offices, and provide a clearinghouse for industrial 
     process and energy efficiency technical assistance resources; 
     and
       (5) to coordinate with State-accredited technical training 
     centers and community colleges, while ensuring appropriate 
     services to all regions of the United States.
       (f) Authorization of Appropriations.--
       (1) In general.--There are authorized to be appropriated to 
     the Secretary to carry out this section--
       (A) $184,000,000 for fiscal year 2008;
       (B) $190,000,000 for fiscal year 2009;
       (C) $196,000,000 for fiscal year 2010;
       (D) $202,000,000 for fiscal year 2011;
       (E) $208,000,000 for fiscal year 2012; and
       (F) such sums as are necessary for fiscal year 2013 and 
     each fiscal year thereafter.
       (2) Partnership activities.--Of the amounts made available 
     under paragraph (1), not less than 50 percent shall be used 
     to pay the Federal share of partnership activities under 
     subsection (c).
       (3) Coordination and nonduplication.--The Secretary shall 
     coordinate efforts under this section with other programs of 
     the Department and other Federal agencies to avoid 
     duplication of effort.

     SEC. 453. ENERGY EFFICIENCY FOR DATA CENTER BUILDINGS.

       (a) Definitions.--In this section:
       (1) Data center.--The term ``data center'' means any 
     facility that primarily contains electronic equipment used to 
     process, store, and transmit digital information, which may 
     be--
       (A) a free-standing structure; or
       (B) a facility within a larger structure, that uses 
     environmental control equipment to maintain the proper 
     conditions for the operation of electronic equipment.
       (2) Data center operator.--The term ``data center 
     operator'' means any person or government entity that builds 
     or operates a data center or purchases data center services, 
     equipment, and facilities.
       (b) Voluntary National Information Program.--
       (1) In general.--Not later than 90 days after the date of 
     enactment of this Act, the Secretary and the Administrator of 
     the Environmental Protection Agency shall, after consulting 
     with information technology industry and other interested 
     parties, initiate a voluntary national information program 
     for those types of data centers and data center equipment and 
     facilities that are widely used and for which there is a 
     potential for significant data center energy savings as a 
     result of the program.
       (2) Requirements.--The program described in paragraph (1) 
     shall--

[[Page 35873]]

       (A) address data center efficiency holistically, reflecting 
     the total energy consumption of data centers as whole 
     systems, including both equipment and facilities;
       (B) consider prior work and studies undertaken in this 
     area, including by the Environmental Protection Agency and 
     the Department of Energy;
       (C) consistent with the objectives described in paragraph 
     (1), determine the type of data center and data center 
     equipment and facilities to be covered under the program;
       (D) produce specifications, measurements, best practices, 
     and benchmarks that will enable data center operators to make 
     more informed decisions about the energy efficiency and costs 
     of data centers, and that take into account--
       (i) the performance and use of servers, data storage 
     devices, and other information technology equipment;
       (ii) the efficiency of heating, ventilation, and air 
     conditioning, cooling, and power conditioning systems, 
     provided that no modification shall be required of a standard 
     then in effect under the Energy Policy and Conservation Act 
     (42 U.S.C. 6201 et seq.) for any covered heating, 
     ventilation, air-conditioning, cooling or power-conditioning 
     product;
       (iii) energy savings from the adoption of software and data 
     management techniques; and
       (iv) other factors determined by the organization described 
     in subsection (c);
       (E) allow for creation of separate specifications, 
     measurements, and benchmarks based on data center size and 
     function, as well as other appropriate characteristics;
       (F) advance the design and implementation of efficiency 
     technologies to the maximum extent economically practical;
       (G) provide to data center operators in the private sector 
     and the Federal Government information about best practices 
     and purchasing decisions that reduce the energy consumption 
     of data centers; and
       (H) publish the information described in subparagraph (G), 
     which may be disseminated through catalogs, trade 
     publications, the Internet, or other mechanisms, that will 
     allow data center operators to assess the energy consumption 
     and potential cost savings of alternative data centers and 
     data center equipment and facilities.
       (3) Procedures.--The program described in paragraph (1) 
     shall be developed in consultation with and coordinated by 
     the organization described in subsection (c) according to 
     commonly accepted procedures for the development of 
     specifications, measurements, and benchmarks.
       (c) Data Center Efficiency Organization.--
       (1) In general.--After the establishment of the program 
     described in subsection (b), the Secretary and the 
     Administrator shall jointly designate an information 
     technology industry organization to consult with and to 
     coordinate the program.
       (2) Requirements.--The organization designated under 
     paragraph (1), whether preexisting or formed specifically for 
     the purposes of subsection (b), shall--
       (A) consist of interested parties that have expertise in 
     energy efficiency and in the development, operation, and 
     functionality of computer data centers, information 
     technology equipment, and software, as well as 
     representatives of hardware manufacturers, data center 
     operators, and facility managers;
       (B) obtain and address input from Department of Energy 
     National Laboratories or any college, university, research 
     institution, industry association, company, or public 
     interest group with applicable expertise in any of the areas 
     listed in paragraph (1);
       (C) follow commonly accepted procedures for the development 
     of specifications and accredited standards development 
     processes;
       (D) have a mission to develop and promote energy efficiency 
     for data centers and information technology; and
       (E) have the primary responsibility to consult in the 
     development and publishing of the information, measurements, 
     and benchmarks described in subsection (b) and transmission 
     of the information to the Secretary and the Administrator for 
     consideration under subsection (d).
       (d) Measurements and Specifications.--
       (1) In general.--The Secretary and the Administrator shall 
     consider the specifications, measurements, and benchmarks 
     described in subsection (b) for use by the Federal Energy 
     Management Program, the Energy Star Program, and other 
     efficiency programs of the Department of Energy and 
     Environmental Protection Agency, respectively.
       (2) Rejections.--If the Secretary or the Administrator 
     rejects 1 or more specifications, measurements, or benchmarks 
     described in subsection (b), the rejection shall be made 
     consistent with section 12(d) of the National Technology 
     Transfer and Advancement Act of 1995 (15 U.S.C. 272 note; 
     Public Law 104-113).
       (3) Determination of impracticability.--A determination 
     that a specification, measurement, or benchmark described in 
     subsection (b) is impractical may include consideration of 
     the maximum efficiency that is technologically feasible and 
     economically justified.
       (e) Monitoring.--The Secretary and the Administrator 
     shall--
       (1) monitor and evaluate the efforts to develop the program 
     described in subsection (b); and
       (2) not later than 3 years after the date of enactment of 
     this Act, make a determination as to whether the program is 
     consistent with the objectives of subsection (b).
       (f) Alternative System.--If the Secretary and the 
     Administrator make a determination under subsection (e) that 
     a voluntary national information program for data centers 
     consistent with the objectives of subsection (b) has not been 
     developed, the Secretary and the Administrator shall, after 
     consultation with the National Institute of Standards and 
     Technology and not later than 2 years after the 
     determination, develop and implement the program under 
     subsection (b).
       (g) Protection of Proprietary Information.--The Secretary, 
     the Administrator, or the data center efficiency organization 
     shall not disclose any proprietary information or trade 
     secrets provided by any individual or company for the 
     purposes of carrying out this section or the program 
     established under this section.

              Subtitle E--Healthy High-Performance Schools

     SEC. 461. HEALTHY HIGH-PERFORMANCE SCHOOLS.

       (a) Amendment.--The Toxic Substances Control Act (15 U.S.C. 
     2601 et seq.) is amended by adding at the end the following 
     new title:

              ``TITLE V--HEALTHY HIGH-PERFORMANCE SCHOOLS

     ``SEC. 501. GRANTS FOR HEALTHY SCHOOL ENVIRONMENTS.

       ``(a) In General.--The Administrator, in consultation with 
     the Secretary of Education, may provide grants to States for 
     use in--
       ``(1) providing technical assistance for programs of the 
     Environmental Protection Agency (including the Tools for 
     Schools Program and the Healthy School Environmental 
     Assessment Tool) to schools for use in addressing 
     environmental issues; and
       ``(2) development and implementation of State school 
     environmental health programs that include--
       ``(A) standards for school building design, construction, 
     and renovation; and
       ``(B) identification of ongoing school building 
     environmental problems, including contaminants, hazardous 
     substances, and pollutant emissions, in the State and 
     recommended solutions to address those problems, including 
     assessment of information on the exposure of children to 
     environmental hazards in school facilities.
       ``(b) Sunset.--The authority of the Administrator to carry 
     out this section shall expire 5 years after the date of 
     enactment of this section.

     ``SEC. 502. MODEL GUIDELINES FOR SITING OF SCHOOL FACILITIES.

       ``Not later than 18 months after the date of enactment of 
     this section, the Administrator, in consultation with the 
     Secretary of Education and the Secretary of Health and Human 
     Services, shall issue voluntary school site selection 
     guidelines that account for--
       ``(1) the special vulnerability of children to hazardous 
     substances or pollution exposures in any case in which the 
     potential for contamination at a potential school site 
     exists;
       ``(2) modes of transportation available to students and 
     staff;
       ``(3) the efficient use of energy; and
       ``(4) the potential use of a school at the site as an 
     emergency shelter.

     ``SEC. 503. PUBLIC OUTREACH.

       ``(a) Reports.--The Administrator shall publish and submit 
     to Congress an annual report on all activities carried out 
     under this title, until the expiration of authority described 
     in section 501(b).
       ``(b) Public Outreach.--The Federal Director appointed 
     under section 436(a) of the Energy Independence and Security 
     Act of 2007 (in this title referred to as the `Federal 
     Director') shall ensure, to the maximum extent practicable, 
     that the public clearinghouse established under section 
     423(1) of the Energy Independence and Security Act of 2007 
     receives and makes available information on the exposure of 
     children to environmental hazards in school facilities, as 
     provided by the Administrator.

     ``SEC. 504. ENVIRONMENTAL HEALTH PROGRAM.

       ``(a) In General.--Not later than 2 years after the date of 
     enactment of this section, the Administrator, in consultation 
     with the Secretary of Education, the Secretary of Health and 
     Human Services, and other relevant agencies, shall issue 
     voluntary guidelines for use by the State in developing and 
     implementing an environmental health program for schools 
     that--
       ``(1) takes into account the status and findings of Federal 
     initiatives established under this title or subtitle C of 
     title IV of the Energy Independence and Security Act of 2007 
     and other relevant Federal law with respect to school 
     facilities, including relevant updates on trends in the 
     field, such as the impact of school facility environments on 
     student and staff--
       ``(A) health, safety, and productivity; and
       ``(B) disabilities or special needs;
       ``(2) takes into account studies using relevant tools 
     identified or developed in accordance with section 492 of the 
     Energy Independence and Security Act of 2007;
       ``(3) takes into account, with respect to school 
     facilities, each of--
       ``(A) environmental problems, contaminants, hazardous 
     substances, and pollutant emissions, including--
       ``(i) lead from drinking water;
       ``(ii) lead from materials and products;
       ``(iii) asbestos;
       ``(iv) radon;
       ``(v) the presence of elemental mercury releases from 
     products and containers;
       ``(vi) pollutant emissions from materials and products; and
       ``(vii) any other environmental problem, contaminant, 
     hazardous substance, or pollutant emission that present or 
     may present a risk to the health of occupants of the school 
     facilities or environment;

[[Page 35874]]

       ``(B) natural day lighting;
       ``(C) ventilation choices and technologies;
       ``(D) heating and cooling choices and technologies;
       ``(E) moisture control and mold;
       ``(F) maintenance, cleaning, and pest control activities;
       ``(G) acoustics; and
       ``(H) other issues relating to the health, comfort, 
     productivity, and performance of occupants of the school 
     facilities;
       ``(4) provides technical assistance on siting, design, 
     management, and operation of school facilities, including 
     facilities used by students with disabilities or special 
     needs;
       ``(5) collaborates with federally funded pediatric 
     environmental health centers to assist in on-site school 
     environmental investigations;
       ``(6) assists States and the public in better understanding 
     and improving the environmental health of children; and
       ``(7) takes into account the special vulnerability of 
     children in low-income and minority communities to exposures 
     from contaminants, hazardous substances, and pollutant 
     emissions.
       ``(b) Public Outreach.--The Federal Director and Commercial 
     Director shall ensure, to the maximum extent practicable, 
     that the public clearinghouse established under section 423 
     of the Energy Independence and Security Act of 2007 receives 
     and makes available--
       ``(1) information from the Administrator that is contained 
     in the report described in section 503(a); and
       ``(2) information on the exposure of children to 
     environmental hazards in school facilities, as provided by 
     the Administrator.

     ``SEC. 505. AUTHORIZATION OF APPROPRIATIONS.

       ``There are authorized to be appropriated to carry out this 
     title $1,000,000 for fiscal year 2009, and $1,500,000 for 
     each of fiscal years 2010 through 2013, to remain available 
     until expended.''.
       (b) Table of Contents Amendment.--The table of contents for 
     the Toxic Substances Control Act (15 U.S.C. 2601 et seq.) is 
     amended by adding at the end the following:

              ``TITLE V--HEALTHY HIGH-PERFORMANCE SCHOOLS

``Sec. 501. Grants for healthy school environments.
``Sec. 502. Model guidelines for siting of school facilities.
``Sec. 503. Public outreach.
``Sec. 504. Environmental health program.
``Sec. 505. Authorization of appropriations.''.

     SEC. 462. STUDY ON INDOOR ENVIRONMENTAL QUALITY IN SCHOOLS.

       (a) In General.--The Administrator of the Environmental 
     Protection Agency shall enter into an arrangement with the 
     Secretary of Education and the Secretary of Energy to conduct 
     a detailed study of how sustainable building features such as 
     energy efficiency affect multiple perceived indoor 
     environmental quality stressors on students in K-12 schools.
       (b) Contents.--The study shall--
       (1) investigate the combined effect building stressors such 
     as heating, cooling, humidity, lighting, and acoustics have 
     on building occupants' health, productivity, and overall 
     well-being;
       (2) identify how sustainable building features, such as 
     energy efficiency, are influencing these human outcomes 
     singly and in concert; and
       (3) ensure that the impacts of the indoor environmental 
     quality are evaluated as a whole.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated for carrying out this section $200,000 for 
     each of the fiscal years 2008 through 2012.

                   Subtitle F--Institutional Entities

     SEC. 471. ENERGY SUSTAINABILITY AND EFFICIENCY GRANTS AND 
                   LOANS FOR INSTITUTIONS.

       Part G of title III of the Energy Policy and Conservation 
     Act is amended by inserting after section 399 (42 U.S.C. 
     6371h) the following:

     ``SEC. 399A. ENERGY SUSTAINABILITY AND EFFICIENCY GRANTS AND 
                   LOANS FOR INSTITUTIONS.

       ``(a) Definitions.--In this section:
       ``(1) Combined heat and power.--The term `combined heat and 
     power' means the generation of electric energy and heat in a 
     single, integrated system, with an overall thermal efficiency 
     of 60 percent or greater on a higher-heating-value basis.
       ``(2) District energy systems.--The term `district energy 
     systems' means systems providing thermal energy from a 
     renewable energy source, thermal energy source, or highly 
     efficient technology to more than 1 building or fixed energy-
     consuming use from 1 or more thermal-energy production 
     facilities through pipes or other means to provide space 
     heating, space conditioning, hot water, steam, compression, 
     process energy, or other end uses for that energy.
       ``(3) Energy sustainability.--The term `energy 
     sustainability' includes using a renewable energy source, 
     thermal energy source, or a highly efficient technology for 
     transportation, electricity generation, heating, cooling, 
     lighting, or other energy services in fixed installations.
       ``(4) Institution of higher education.--The term 
     `institution of higher education' has the meaning given the 
     term in section 2 of the Energy Policy Act of 2005 (42 U.S.C. 
     15801).
       ``(5) Institutional entity.--The term `institutional 
     entity' means an institution of higher education, a public 
     school district, a local government, a municipal utility, or 
     a designee of 1 of those entities.
       ``(6) Renewable energy source.--The term `renewable energy 
     source' has the meaning given the term in section 609 of the 
     Public Utility Regulatory Policies Act of 1978 (7 U.S.C. 
     918c).
       ``(7) Sustainable energy infrastructure.--The term 
     `sustainable energy infrastructure' means--
       ``(A) facilities for production of energy from renewable 
     energy sources, thermal energy sources, or highly efficient 
     technologies, including combined heat and power or other 
     waste heat use; and
       ``(B) district energy systems.
       ``(8) Thermal energy source.--The term `thermal energy 
     source' means--
       ``(A) a natural source of cooling or heating from lake or 
     ocean water; and
       ``(B) recovery of useful energy that would otherwise be 
     wasted from ongoing energy uses.
       ``(b) Technical Assistance Grants.--
       ``(1) In general.--Subject to the availability of 
     appropriated funds, the Secretary shall implement a program 
     of information dissemination and technical assistance to 
     institutional entities to assist the institutional entities 
     in identifying, evaluating, designing, and implementing 
     sustainable energy infrastructure projects in energy 
     sustainability.
       ``(2) Assistance.--The Secretary shall support 
     institutional entities in--
       ``(A) identification of opportunities for sustainable 
     energy infrastructure;
       ``(B) understanding the technical and economic 
     characteristics of sustainable energy infrastructure;
       ``(C) utility interconnection and negotiation of power and 
     fuel contracts;
       ``(D) understanding financing alternatives;
       ``(E) permitting and siting issues;
       ``(F) obtaining case studies of similar and successful 
     sustainable energy infrastructure systems; and
       ``(G) reviewing and obtaining computer software for 
     assessment, design, and operation and maintenance of 
     sustainable energy infrastructure systems.
       ``(3) Eligible costs for technical assistance grants.--On 
     receipt of an application of an institutional entity, the 
     Secretary may make grants to the institutional entity to fund 
     a portion of the cost of--
       ``(A) feasibility studies to assess the potential for 
     implementation or improvement of sustainable energy 
     infrastructure;
       ``(B) analysis and implementation of strategies to overcome 
     barriers to project implementation, including financial, 
     contracting, siting, and permitting barriers; and
       ``(C) detailed engineering of sustainable energy 
     infrastructure.
       ``(c) Grants for Energy Efficiency Improvement and Energy 
     Sustainability.--
       ``(1) Grants.--
       ``(A) In general.--The Secretary shall award grants to 
     institutional entities to carry out projects to improve 
     energy efficiency on the grounds and facilities of the 
     institutional entity.
       ``(B) Requirement.--To the extent that applications have 
     been submitted, grants under subparagraph (A) shall include 
     not less than 1 grant each year to an institution of higher 
     education in each State.
       ``(C) Minimum funding.--Not less than 50 percent of the 
     total funding for all grants under this subsection shall be 
     awarded in grants to institutions of higher education.
       ``(2) Criteria.--Evaluation of projects for grant funding 
     shall be based on criteria established by the Secretary, 
     including criteria relating to--
       ``(A) improvement in energy efficiency;
       ``(B) reduction in greenhouse gas emissions and other air 
     emissions, including criteria air pollutants and ozone-
     depleting refrigerants;
       ``(C) increased use of renewable energy sources or thermal 
     energy sources;
       ``(D) reduction in consumption of fossil fuels;
       ``(E) active student participation; and
       ``(F) need for funding assistance.
       ``(3) Condition.--As a condition of receiving a grant under 
     this subsection, an institutional entity shall agree--
       ``(A) to implement a public awareness campaign concerning 
     the project in the community in which the institutional 
     entity is located; and
       ``(B) to submit to the Secretary, and make available to the 
     public, reports on any efficiency improvements, energy cost 
     savings, and environmental benefits achieved as part of a 
     project carried out under paragraph (1), including 
     quantification of the results relative to the criteria 
     described under paragraph (2).
       ``(d) Grants for Innovation in Energy Sustainability.--
       ``(1) Grants.--
       ``(A) In general.--The Secretary shall award grants to 
     institutional entities to engage in innovative energy 
     sustainability projects.
       ``(B) Requirement.--To the extent that applications have 
     been submitted, grants under subparagraph (A) shall include 
     not less than 2 grants each year to institutions of higher 
     education in each State.
       ``(C) Minimum funding.--Not less than 50 percent of the 
     total funding for all grants under this subsection shall be 
     awarded in grants to institutions of higher education.
       ``(2) Innovation projects.--An innovation project carried 
     out with a grant under this subsection shall--
       ``(A) involve--
       ``(i) an innovative technology that is not yet commercially 
     available; or
       ``(ii) available technology in an innovative application 
     that maximizes energy efficiency and sustainability;

[[Page 35875]]

       ``(B) have the greatest potential for testing or 
     demonstrating new technologies or processes; and
       ``(C) to the extent undertaken by an institution of higher 
     education, ensure active student participation in the 
     project, including the planning, implementation, evaluation, 
     and other phases of projects.
       ``(3) Condition.--As a condition of receiving a grant under 
     this subsection, an institutional entity shall agree to 
     submit to the Secretary, and make available to the public, 
     reports that describe the results of the projects carried out 
     using grant funds.
       ``(e) Allocation to Institutions of Higher Education With 
     Small Endowments.--
       ``(1) In general.--Of the total amount of grants provided 
     to institutions of higher education for a fiscal year under 
     this section, the Secretary shall provide not less than 50 
     percent of the amount to institutions of higher education 
     that have an endowment of not more than $100,000,000.
       ``(2) Requirement.--To the extent that applications have 
     been submitted, at least 50 percent of the amount described 
     in paragraph (1) shall be provided to institutions of higher 
     education that have an endowment of not more than 
     $50,000,000.
       ``(f) Grant Amounts.--
       ``(1) In general.--If the Secretary determines that cost 
     sharing is appropriate, the amounts of grants provided under 
     this section shall be limited as provided in this subsection.
       ``(2) Technical assistance grants.--In the case of grants 
     for technical assistance under subsection (b), grant funds 
     shall be available for not more than--
       ``(A) an amount equal to the lesser of--
       ``(i) $50,000; or
       ``(ii) 75 percent of the cost of feasibility studies to 
     assess the potential for implementation or improvement of 
     sustainable energy infrastructure;
       ``(B) an amount equal to the lesser of--
       ``(i) $90,000; or
       ``(ii) 60 percent of the cost of guidance on overcoming 
     barriers to project implementation, including financial, 
     contracting, siting, and permitting barriers; and
       ``(C) an amount equal to the lesser of--
       ``(i) $250,000; or
       ``(ii) 40 percent of the cost of detailed engineering and 
     design of sustainable energy infrastructure.
       ``(3) Grants for efficiency improvement and energy 
     sustainability.--In the case of grants for efficiency 
     improvement and energy sustainability under subsection (c), 
     grant funds shall be available for not more than an amount 
     equal to the lesser of--
       ``(A) $1,000,000; or
       ``(B) 60 percent of the total cost.
       ``(4) Grants for innovation in energy sustainability.--In 
     the case of grants for innovation in energy sustainability 
     under subsection (d), grant funds shall be available for not 
     more than an amount equal to the lesser of--
       ``(A) $500,000; or
       ``(B) 75 percent of the total cost.
       ``(g) Loans for Energy Efficiency Improvement and Energy 
     Sustainability.--
       ``(1) In general.--Subject to the availability of 
     appropriated funds, the Secretary shall provide loans to 
     institutional entities for the purpose of implementing energy 
     efficiency improvements and sustainable energy 
     infrastructure.
       ``(2) Terms and conditions.--
       ``(A) In general.--Except as otherwise provided in this 
     paragraph, loans made under this subsection shall be on such 
     terms and conditions as the Secretary may prescribe.
       ``(B) Maturity.--The final maturity of loans made within a 
     period shall be the lesser of, as determined by the 
     Secretary--
       ``(i) 20 years; or
       ``(ii) 90 percent of the useful life of the principal 
     physical asset to be financed by the loan.
       ``(C) Default.--No loan made under this subsection may be 
     subordinated to another debt contracted by the institutional 
     entity or to any other claims against the institutional 
     entity in the case of default.
       ``(D) Benchmark interest rate.--
       ``(i) In general.--Loans under this subsection shall be at 
     an interest rate that is set by reference to a benchmark 
     interest rate (yield) on marketable Treasury securities with 
     a similar maturity to the direct loans being made.
       ``(ii) Minimum.--The minimum interest rate of loans under 
     this subsection shall be at the interest rate of the 
     benchmark financial instrument.
       ``(iii) New loans.--The minimum interest rate of new loans 
     shall be adjusted each quarter to take account of changes in 
     the interest rate of the benchmark financial instrument.
       ``(E) Credit risk.--The Secretary shall--
       ``(i) prescribe explicit standards for use in periodically 
     assessing the credit risk of making direct loans under this 
     subsection; and
       ``(ii) find that there is a reasonable assurance of 
     repayment before making a loan.
       ``(F) Advance budget authority required.--New direct loans 
     may not be obligated under this subsection except to the 
     extent that appropriations of budget authority to cover the 
     costs of the new direct loans are made in advance, as 
     required by section 504 of the Federal Credit Reform Act of 
     1990 (2 U.S.C. 661c).
       ``(3) Criteria.--Evaluation of projects for potential loan 
     funding shall be based on criteria established by the 
     Secretary, including criteria relating to--
       ``(A) improvement in energy efficiency;
       ``(B) reduction in greenhouse gas emissions and other air 
     emissions, including criteria air pollutants and ozone-
     depleting refrigerants;
       ``(C) increased use of renewable electric energy sources or 
     renewable thermal energy sources;
       ``(D) reduction in consumption of fossil fuels; and
       ``(E) need for funding assistance, including consideration 
     of the size of endowment or other financial resources 
     available to the institutional entity.
       ``(4) Labor standards.--
       ``(A) In general.--All laborers and mechanics employed by 
     contractors or subcontractors in the performance of 
     construction, repair, or alteration work funded in whole or 
     in part under this section shall be paid wages at rates not 
     less than those prevailing on projects of a character similar 
     in the locality as determined by the Secretary of Labor in 
     accordance with sections 3141 through 3144, 3146, and 3147 of 
     title 40, United States Code. The Secretary shall not approve 
     any such funding without first obtaining adequate assurance 
     that required labor standards will be maintained upon the 
     construction work.
       ``(B) Authority and functions.--The Secretary of Labor 
     shall have, with respect to the labor standards specified in 
     paragraph (1), the authority and functions set forth in 
     Reorganization Plan Number 14 of 1950 (15 Fed. Reg. 3176; 64 
     Stat. 1267) and section 3145 of title 40, United States Code.
       ``(h) Program Procedures.--Not later than 180 days after 
     the date of enactment of this section, the Secretary shall 
     establish procedures for the solicitation and evaluation of 
     potential projects for grant and loan funding and 
     administration of the grant and loan programs.
       ``(i) Authorization.--
       ``(1) Grants.--There is authorized to be appropriated for 
     the cost of grants authorized in subsections (b), (c), and 
     (d) $250,000,000 for each of fiscal years 2009 through 2013, 
     of which not more than 5 percent may be used for 
     administrative expenses.
       ``(2) Loans.--There is authorized to be appropriated for 
     the initial cost of direct loans authorized in subsection (g) 
     $500,000,000 for each of fiscal years 2009 through 2013, of 
     which not more than 5 percent may be used for administrative 
     expenses.''.

                Subtitle G--Public and Assisted Housing

     SEC. 481. APPLICATION OF INTERNATIONAL ENERGY CONSERVATION 
                   CODE TO PUBLIC AND ASSISTED HOUSING.

       Section 109 of the Cranston-Gonzalez National Affordable 
     Housing Act (42 U.S.C. 12709) is amended--
       (1) in subsection (a)--
       (A) in paragraph (1)(C), by striking, ``, where such 
     standards are determined to be cost effective by the 
     Secretary of Housing and Urban Development''; and
       (B) in the first sentence of paragraph (2)--
       (i) by striking ``Council of American Building Officials 
     Model Energy Code, 1992'' and inserting ``2006 International 
     Energy Conservation Code''; and
       (ii) by striking ``, and, with respect to rehabilitation 
     and new construction of public and assisted housing funded by 
     HOPE VI revitalization grants under section 24 of the United 
     States Housing Act of 1937 (42 U.S.C. 1437v), the 2003 
     International Energy Conservation Code'';
       (2) in subsection (b)--
       (A) in the heading, by striking ``MODEL ENERGY CODE.--'' 
     and inserting ``INTERNATIONAL ENERGY CONSERVATION CODE.--'';
       (B) by inserting ``and rehabilitation'' after ``all new 
     construction''; and
       (C) by striking ``, and, with respect to rehabilitation and 
     new construction of public and assisted housing funded by 
     HOPE VI revitalization grants under section 24 of the United 
     States Housing Act of 1937 (42 U.S.C. 1437v), the 2003 
     International Energy Conservation Code'';
       (3) in subsection (c)--
       (A) in the heading, by striking ``MODEL ENERGY CODE AND''; 
     and
       (B) by striking ``, or, with respect to rehabilitation and 
     new construction of public and assisted housing funded by 
     HOPE VI revitalization grants under section 24 of the United 
     States Housing Act of 1937 (42 U.S.C. 1437v), the 2003 
     International Energy Conservation Code'';
       (4) by adding at the end the following:
       ``(d) Failure To Amend the Standards.--If the Secretary of 
     Housing and Urban Development and the Secretary of 
     Agriculture have not, within 1 year after the requirements of 
     the 2006 IECC or the ASHRAE Standard 90.1-2004 are revised, 
     amended the standards or made a determination under 
     subsection (c), all new construction and rehabilitation of 
     housing specified in subsection (a) shall meet the 
     requirements of the revised code or standard if--
       ``(1) the Secretary of Housing and Urban Development or the 
     Secretary of Agriculture make a determination that the 
     revised codes do not negatively affect the availability or 
     affordability of new construction of assisted housing and 
     single family and multifamily residential housing (other than 
     manufactured homes) subject to mortgages insured under the 
     National Housing Act (12 U.S.C. 1701 et seq.) or insured, 
     guaranteed, or made by the Secretary of Agriculture under 
     title V of the Housing Act of 1949 (42 U.S.C. 1471 et seq.), 
     respectively; and
       ``(2) the Secretary of Energy has made a determination 
     under section 304 of the Energy Conservation and Production 
     Act (42 U.S.C. 6833) that the revised code or standard would 
     improve energy efficiency.'';
       (5) by striking ``CABO Model Energy Code, 1992'' each place 
     it appears and inserting ``the 2006 IECC''; and
       (6) by striking ``1989'' each place it appears and 
     inserting ``2004''.

[[Page 35876]]



                     Subtitle H--General Provisions

     SEC. 491. DEMONSTRATION PROJECT.

       (a) In General.--The Federal Director and the Commercial 
     Director shall establish guidelines to implement a 
     demonstration project to contribute to the research goals of 
     the Office of Commercial High-Performance Green Buildings and 
     the Office of Federal High-Performance Green Buildings.
       (b) Projects.--In accordance with guidelines established by 
     the Federal Director and the Commercial Director under 
     subsection (a) and the duties of the Federal Director and the 
     Commercial Director described in this title, the Federal 
     Director or the Commercial Director shall carry out--
       (1) for each of fiscal years 2009 through 2014, 1 
     demonstration project per year of green features in a Federal 
     building selected by the Federal Director in accordance with 
     relevant agencies and described in subsection (c)(1), that--
       (A) provides for instrumentation, monitoring, and data 
     collection related to the green features, for study of the 
     impact of the features on overall energy use and operational 
     costs, and for the evaluation of the information obtained 
     through the conduct of projects and activities under this 
     title; and
       (B) achieves the highest rating offered by the high 
     performance green building system identified pursuant to 
     section 436(h);
       (2) no fewer than 4 demonstration projects at 4 
     universities, that, as competitively selected by the 
     Commercial Director in accordance with subsection (c)(2), 
     have--
       (A) appropriate research resources and relevant projects to 
     meet the goals of the demonstration project established by 
     the Office of Commercial High-Performance Green Buildings; 
     and
       (B) the ability--
       (i) to serve as a model for high-performance green building 
     initiatives, including research and education by achieving 
     the highest rating offered by the high performance green 
     building system identified pursuant to section 436(h);
       (ii) to identify the most effective ways to use high-
     performance green building and landscape technologies to 
     engage and educate undergraduate and graduate students;
       (iii) to effectively implement a high-performance green 
     building education program for students and occupants;
       (iv) to demonstrate the effectiveness of various high-
     performance technologies, including their impacts on energy 
     use and operational costs, in each of the 4 climatic regions 
     of the United States described in subsection (c)(2)(B); and
       (v) to explore quantifiable and nonquantifiable beneficial 
     impacts on public health and employee and student 
     performance;
       (3) demonstration projects to evaluate replicable 
     approaches of achieving high performance in actual building 
     operation in various types of commercial buildings in various 
     climates; and
       (4) deployment activities to disseminate information on and 
     encourage widespread adoption of technologies, practices, and 
     policies to achieve zero-net-energy commercial buildings or 
     low energy use and effective monitoring of energy use in 
     commercial buildings.
       (c) Criteria.--
       (1) Federal facilities.--With respect to the existing or 
     proposed Federal facility at which a demonstration project 
     under this section is conducted, the Federal facility shall--
       (A) be an appropriate model for a project relating to--
       (i) the effectiveness of high-performance technologies;
       (ii) analysis of materials, components, systems, and 
     emergency operations in the building, and the impact of those 
     materials, components, and systems, including the impact on 
     the health of building occupants;
       (iii) life-cycle costing and life-cycle assessment of 
     building materials and systems; and
       (iv) location and design that promote access to the Federal 
     facility through walking, biking, and mass transit; and
       (B) possess sufficient technological and organizational 
     adaptability.
       (2) Universities.--With respect to the 4 universities at 
     which a demonstration project under this section is 
     conducted--
       (A) the universities should be selected, after careful 
     review of all applications received containing the required 
     information, as determined by the Commercial Director, based 
     on--
       (i) successful and established public-private research and 
     development partnerships;
       (ii) demonstrated capabilities to construct or renovate 
     buildings that meet high indoor environmental quality 
     standards;
       (iii) organizational flexibility;
       (iv) technological adaptability;
       (v) the demonstrated capacity of at least 1 university to 
     replicate lessons learned among nearby or sister 
     universities, preferably by participation in groups or 
     consortia that promote sustainability;
       (vi) the demonstrated capacity of at least 1 university to 
     have officially-adopted, institution-wide ``high-performance 
     green building'' guidelines for all campus building projects; 
     and
       (vii) the demonstrated capacity of at least 1 university to 
     have been recognized by similar institutions as a national 
     leader in sustainability education and curriculum for 
     students of the university; and
       (B) each university shall be located in a different 
     climatic region of the United States, each of which regions 
     shall have, as determined by the Office of Commercial High-
     Performance Green Buildings--
       (i) a hot, dry climate;
       (ii) a hot, humid climate;
       (iii) a cold climate; or
       (iv) a temperate climate (including a climate with cold 
     winters and humid summers).
       (d) Applications.--To receive a grant under subsection (b), 
     an eligible applicant shall submit to the Federal Director or 
     the Commercial Director an application at such time, in such 
     manner, and containing such information as the Director may 
     require, including a written assurance that all laborers and 
     mechanics employed by contractors or subcontractors during 
     construction, alteration, or repair that is financed, in 
     whole or in part, by a grant under this section shall be paid 
     wages at rates not less than those prevailing on similar 
     construction in the locality, as determined by the Secretary 
     of Labor in accordance with sections 3141 through 3144, 3146, 
     and 3147 of title 40, United States Code. The Secretary of 
     Labor shall, with respect to the labor standards described in 
     this subsection, have the authority and functions set forth 
     in Reorganization Plan Numbered 14 of 1950 (5 U.S.C. App.) 
     and section 3145 of title 40, United States Code.
       (e) Report.--Not later than 1 year after the date of 
     enactment of this Act, and annually thereafter through 
     September 30, 2014--
       (1) the Federal Director and the Commercial Director shall 
     submit to the Secretary a report that describes the status of 
     the demonstration projects; and
       (2) each University at which a demonstration project under 
     this section is conducted shall submit to the Secretary a 
     report that describes the status of the demonstration 
     projects under this section.
       (f) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out the demonstration project 
     described in section (b)(1) $10,000,000 for the period of 
     fiscal years 2008 through 2012, and to carry out the 
     demonstration project described in section (b)(2), 
     $10,000,000 for the period of fiscal years 2008 through 2012, 
     to remain available until expended.

     SEC. 492. RESEARCH AND DEVELOPMENT.

       (a) Establishment.--The Federal Director and the Commercial 
     Director, jointly and in coordination with the Advisory 
     Committee, shall--
       (1)(A) survey existing research and studies relating to 
     high-performance green buildings; and
       (B) coordinate activities of common interest;
       (2) develop and recommend a high-performance green building 
     research plan that--
       (A) identifies information and research needs, including 
     the relationships between human health, occupant 
     productivity, safety, security, and accessibility and each 
     of--
       (i) emissions from materials and products in the building;
       (ii) natural day lighting;
       (iii) ventilation choices and technologies;
       (iv) heating, cooling, and system control choices and 
     technologies;
       (v) moisture control and mold;
       (vi) maintenance, cleaning, and pest control activities;
       (vii) acoustics;
       (viii) access to public transportation; and
       (ix) other issues relating to the health, comfort, 
     productivity, and performance of occupants of the building;
       (B) promotes the development and dissemination of high-
     performance green building measurement tools that, at a 
     minimum, may be used--
       (i) to monitor and assess the life-cycle performance of 
     facilities (including demonstration projects) built as high-
     performance green buildings; and
       (ii) to perform life-cycle assessments; and
       (C) identifies and tests new and emerging technologies for 
     high performance green buildings;
       (3) assist the budget and life-cycle costing functions of 
     the Directors' Offices under section 436(d);
       (4) study and identify potential benefits of green 
     buildings relating to security, natural disaster, and 
     emergency needs of the Federal Government; and
       (5) support other research initiatives determined by the 
     Directors' Offices.
       (b) Indoor Air Quality.--The Federal Director, in 
     consultation with the Administrator of the Environmental 
     Protection Agency and the Advisory Committee, shall develop 
     and carry out a comprehensive indoor air quality program for 
     all Federal facilities to ensure the safety of Federal 
     workers and facility occupants--
       (1) during new construction and renovation of facilities; 
     and
       (2) in existing facilities.

     SEC. 493. ENVIRONMENTAL PROTECTION AGENCY DEMONSTRATION GRANT 
                   PROGRAM FOR LOCAL GOVERNMENTS.

       Title III of the Clean Air Act (42 U.S.C. 7601 et seq.) is 
     amended by adding at the end the following:

     ``SEC. 329. DEMONSTRATION GRANT PROGRAM FOR LOCAL 
                   GOVERNMENTS.

       ``(a) Grant Program.--
       ``(1) In general.--The Administrator shall establish a 
     demonstration program under which the Administrator shall 
     provide competitive grants to assist local governments (such 
     as municipalities and counties), with respect to local 
     government buildings--
       ``(A) to deploy cost-effective technologies and practices; 
     and
       ``(B) to achieve operational cost savings, through the 
     application of cost-effective technologies and practices, as 
     verified by the Administrator.

[[Page 35877]]

       ``(2) Cost sharing.--
       ``(A) In general.--The Federal share of the cost of an 
     activity carried out using a grant provided under this 
     section shall be 40 percent.
       ``(B) Waiver of non-federal share.--The Administrator may 
     waive up to 100 percent of the local share of the cost of any 
     grant under this section should the Administrator determine 
     that the community is economically distressed, pursuant to 
     objective economic criteria established by the Administrator 
     in published guidelines.
       ``(3) Maximum amount.--The amount of a grant provided under 
     this subsection shall not exceed $1,000,000.
       ``(b) Guidelines.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of this section, the Administrator shall issue 
     guidelines to implement the grant program established under 
     subsection (a).
       ``(2) Requirements.--The guidelines under paragraph (1) 
     shall establish--
       ``(A) standards for monitoring and verification of 
     operational cost savings through the application of cost-
     effective technologies and practices reported by grantees 
     under this section;
       ``(B) standards for grantees to implement training 
     programs, and to provide technical assistance and education, 
     relating to the retrofit of buildings using cost-effective 
     technologies and practices; and
       ``(C) a requirement that each local government that 
     receives a grant under this section shall achieve facility-
     wide cost savings, through renovation of existing local 
     government buildings using cost-effective technologies and 
     practices, of at least 40 percent as compared to the baseline 
     operational costs of the buildings before the renovation (as 
     calculated assuming a 3-year, weather-normalized average).
       ``(c) Compliance With State and Local Law.--Nothing in this 
     section or any program carried out using a grant provided 
     under this section supersedes or otherwise affects any State 
     or local law, to the extent that the State or local law 
     contains a requirement that is more stringent than the 
     relevant requirement of this section.
       ``(d) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $20,000,000 for 
     each of fiscal years 2007 through 2012.
       ``(e) Reports.--
       ``(1) In general.--The Administrator shall provide annual 
     reports to Congress on cost savings achieved and actions 
     taken and recommendations made under this section, and any 
     recommendations for further action.
       ``(2) Final report.--The Administrator shall issue a final 
     report at the conclusion of the program, including findings, 
     a summary of total cost savings achieved, and recommendations 
     for further action.
       ``(f) Termination.--The program under this section shall 
     terminate on September 30, 2012.
       ``(g) Definitions.--In this section, the terms `cost 
     effective technologies and practices' and `operating cost 
     savings' shall have the meanings defined in section 401 of 
     the Energy Independence and Security Act of 2007.''.

     SEC. 494. GREEN BUILDING ADVISORY COMMITTEE.

       (a) Establishment.--Not later than 180 days after the date 
     of enactment of this Act, the Federal Director, in 
     coordination with the Commercial Director, shall establish an 
     advisory committee, to be known as the ``Green Building 
     Advisory Committee''.
       (b) Membership.--
       (1) In general.--The Committee shall be composed of 
     representatives of, at a minimum--
       (A) each agency referred to in section 421(e); and
       (B) other relevant agencies and entities, as determined by 
     the Federal Director, including at least 1 representative of 
     each of--
       (i) State and local governmental green building programs;
       (ii) independent green building associations or councils;
       (iii) building experts, including architects, material 
     suppliers, and construction contractors;
       (iv) security advisors focusing on national security needs, 
     natural disasters, and other dire emergency situations;
       (v) public transportation industry experts; and
       (vi) environmental health experts, including those with 
     experience in children's health.
       (2) Non-federal members.--The total number of non-Federal 
     members on the Committee at any time shall not exceed 15.
       (c) Meetings.--The Federal Director shall establish a 
     regular schedule of meetings for the Committee.
       (d) Duties.--The Committee shall provide advice and 
     expertise for use by the Federal Director in carrying out the 
     duties under this subtitle, including such recommendations 
     relating to Federal activities carried out under sections 434 
     through 436 as are agreed to by a majority of the members of 
     the Committee.
       (e) FACA Exemption.--The Committee shall not be subject to 
     section 14 of the Federal Advisory Committee Act (5 U.S.C. 
     App.).

     SEC. 495. ADVISORY COMMITTEE ON ENERGY EFFICIENCY FINANCE.

       (a) Establishment.--The Secretary, acting through the 
     Assistant Secretary of Energy for Energy Efficiency and 
     Renewable Energy, shall establish an Advisory Committee on 
     Energy Efficiency Finance to provide advice and 
     recommendations to the Department on energy efficiency 
     finance and investment issues, options, ideas, and trends, 
     and to assist the energy community in identifying practical 
     ways of lowering costs and increasing investments in energy 
     efficiency technologies.
       (b) Membership.--The advisory committee established under 
     this section shall have a balanced membership that shall 
     include members with expertise in--
       (1) availability of seed capital;
       (2) availability of venture capital;
       (3) availability of other sources of private equity;
       (4) investment banking with respect to corporate finance;
       (5) investment banking with respect to mergers and 
     acquisitions;
       (6) equity capital markets;
       (7) debt capital markets;
       (8) research analysis;
       (9) sales and trading;
       (10) commercial lending; and
       (11) residential lending.
       (c) Termination.--The Advisory Committee on Energy 
     Efficiency Finance shall terminate on the date that is 10 
     years after the date of enactment of this Act.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to the 
     Secretary for carrying out this section.

     TITLE V--ENERGY SAVINGS IN GOVERNMENT AND PUBLIC INSTITUTIONS

               Subtitle A--United States Capitol Complex

     SEC. 501. CAPITOL COMPLEX PHOTOVOLTAIC ROOF FEASIBILITY 
                   STUDIES.

       (a) Studies.--The Architect of the Capitol may conduct 
     feasibility studies regarding construction of photovoltaic 
     roofs for the Rayburn House Office Building and the Hart 
     Senate Office Building.
       (b) Report.--Not later than 6 months after the date of 
     enactment of this Act, the Architect of the Capitol shall 
     transmit to the Committee on Transportation and 
     Infrastructure of the House of Representatives and the 
     Committee on Rules and Administration of the Senate a report 
     on the results of the feasibility studies and recommendations 
     regarding construction of photovoltaic roofs for the 
     buildings referred to in subsection (a).
       (c) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $500,000.

     SEC. 502. CAPITOL COMPLEX E-85 REFUELING STATION.

       (a) Construction.--The Architect of the Capitol may 
     construct a fuel tank and pumping system for E-85 fuel at or 
     within close proximity to the Capitol Grounds Fuel Station.
       (b) Use.--The E-85 fuel tank and pumping system shall be 
     available for use by all legislative branch vehicles capable 
     of operating with E-85 fuel, subject to such other 
     legislative branch agencies reimbursing the Architect of the 
     Capitol for the costs of E-85 fuel used by such other 
     legislative branch vehicles.
       (c) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $640,000 for 
     fiscal year 2008.

     SEC. 503. ENERGY AND ENVIRONMENTAL MEASURES IN CAPITOL 
                   COMPLEX MASTER PLAN.

       (a) In General.--To the maximum extent practicable, the 
     Architect of the Capitol shall include energy efficiency and 
     conservation measures, greenhouse gas emission reduction 
     measures, and other appropriate environmental measures in the 
     Capitol Complex Master Plan.
       (b) Report.--Not later than 6 months after the date of 
     enactment of this Act, the Architect of the Capitol shall 
     submit to the Committee on Transportation and Infrastructure 
     of the House of Representatives and the Committee on Rules 
     and Administration of the Senate a report on the energy 
     efficiency and conservation measures, greenhouse gas emission 
     reduction measures, and other appropriate environmental 
     measures included in the Capitol Complex Master Plan pursuant 
     to subsection (a).

     SEC. 504. PROMOTING MAXIMUM EFFICIENCY IN OPERATION OF 
                   CAPITOL POWER PLANT.

       (a) Steam Boilers.--
       (1) In general.--The Architect of the Capitol shall take 
     such steps as may be necessary to operate the steam boilers 
     at the Capitol Power Plant in the most energy efficient 
     manner possible to minimize carbon emissions and operating 
     costs, including adjusting steam pressures and adjusting the 
     operation of the boilers to take into account variations in 
     demand, including seasonality, for the use of the system.
       (2) Effective date.--The Architect shall implement the 
     steps required under paragraph (1) not later than 30 days 
     after the date of the enactment of this Act.
       (b) Chiller Plant.--
       (1) In general.--The Architect of the Capitol shall take 
     such steps as may be necessary to operate the chiller plant 
     at the Capitol Power Plant in the most energy efficient 
     manner possible to minimize carbon emissions and operating 
     costs, including adjusting water temperatures and adjusting 
     the operation of the chillers to take into account variations 
     in demand, including seasonality, for the use of the system.
       (2) Effective date.--The Architect shall implement the 
     steps required under paragraph (1) not later than 30 days 
     after the date of the enactment of this Act.
       (c) Meters.--Not later than 90 days after the date of the 
     enactment of this Act, the Architect of the Capitol shall 
     evaluate the accuracy of the meters in use at the Capitol 
     Power Plant and correct them as necessary.
       (d) Report on Implementation.--Not later than 180 days 
     after the date of the enactment of

[[Page 35878]]

     this Act, the Architect of the Capitol shall complete the 
     implementation of the requirements of this section and submit 
     a report describing the actions taken and the energy 
     efficiencies achieved to the Committee on Transportation and 
     Infrastructure of the House of Representatives, the Committee 
     on Commerce, Science, and Transportation of the Senate, the 
     Committee on House Administration of the House of 
     Representatives, and the Committee on Rules and 
     Administration of the Senate.

     SEC. 505. CAPITOL POWER PLANT CARBON DIOXIDE EMISSIONS 
                   FEASIBILITY STUDY AND DEMONSTRATION PROJECTS.

       The first section of the Act of March 4, 1911 (2 U.S.C. 
     2162; 36 Stat. 1414, chapter 285) is amended in the seventh 
     undesignated paragraph (relating to the Capitol power plant) 
     under the heading ``Public Buildings'', under the heading 
     ``Under the Department of Interior''--
       (1) by striking ``ninety thousand dollars:'' and inserting 
     $90,000.''; and
       (2) by striking ``Provided, That hereafter the'' and all 
     that follows through the end of the proviso and inserting the 
     following:
       ``(a) Designation.--The heating, lighting, and power plant 
     constructed under the terms of the Act approved April 28, 
     1904 (33 Stat. 479, chapter 1762) shall be known as the 
     `Capitol Power Plant'.
       ``(b) Definition.--In this section, the term `carbon 
     dioxide energy efficiency' means the quantity of electricity 
     used to power equipment for carbon dioxide capture and 
     storage or use.
       ``(c) Feasibility Study.--The Architect of the Capitol 
     shall conduct a feasibility study evaluating the available 
     methods to capture, store, and use carbon dioxide emitted 
     from the Capitol Power Plant as a result of burning fossil 
     fuels. In carrying out the feasibility study, the Architect 
     of the Capitol is encouraged to consult with individuals with 
     expertise in carbon capture and storage or use, including 
     experts with the Environmental Protection Agency, Department 
     of Energy, academic institutions, non-profit organizations, 
     and industry, as appropriate. The study shall consider--
       ``(1) the availability of technologies to capture and store 
     or use Capitol Power Plant carbon dioxide emissions;
       ``(2) strategies to conserve energy and reduce carbon 
     dioxide emissions at the Capitol Power Plant; and
       ``(3) other factors as determined by the Architect of the 
     Capitol.
       ``(d) Demonstration Projects.--
       ``(1) In general.--If the feasibility study determines that 
     a demonstration project to capture and store or use Capitol 
     Power Plant carbon dioxide emissions is technologically 
     feasible and economically justified (including direct and 
     indirect economic and environmental benefits), the Architect 
     of the Capitol may conduct one or more demonstration projects 
     to capture and store or use carbon dioxide emitted from the 
     Capitol Power Plant as a result of burning fossil fuels.
       ``(2) Factors for consideration.--In carrying out such 
     demonstration projects, the Architect of the Capitol shall 
     consider--
       ``(A) the amount of Capitol Power Plant carbon dioxide 
     emissions to be captured and stored or used;
       ``(B) whether the proposed project is able to reduce air 
     pollutants other than carbon dioxide;
       ``(C) the carbon dioxide energy efficiency of the proposed 
     project;
       ``(D) whether the proposed project is able to use carbon 
     dioxide emissions;
       ``(E) whether the proposed project could be expanded to 
     significantly increase the amount of Capitol Power Plant 
     carbon dioxide emissions to be captured and stored or used;
       ``(F) the potential environmental, energy, and educational 
     benefits of demonstrating the capture and storage or use of 
     carbon dioxide at the U.S. Capitol; and
       ``(G) other factors as determined by the Architect of the 
     Capitol.
       ``(3) Terms and conditions.--A demonstration project funded 
     under this section shall be subject to such terms and 
     conditions as the Architect of the Capitol may prescribe.
       ``(e) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out the feasibility study and 
     demonstration project $3,000,000. Such sums shall remain 
     available until expended.''.

           Subtitle B--Energy Savings Performance Contracting

     SEC. 511. AUTHORITY TO ENTER INTO CONTRACTS; REPORTS.

       (a) In General.--Section 801(a)(2)(D) of the National 
     Energy Conservation Policy Act (42 U.S.C. 8287(a)(2)(D)) is 
     amended--
       (1) in clause (ii), by inserting ``and'' after the 
     semicolon at the end;
       (2) by striking clause (iii); and
       (3) by redesignating clause (iv) as clause (iii).
       (b) Reports.--Section 548(a)(2) of the National Energy 
     Conservation Policy Act (42 U.S.C. 8258(a)(2)) is amended by 
     inserting ``and any termination penalty exposure'' after 
     ``the energy and cost savings that have resulted from such 
     contracts''.
       (c) Conforming Amendment.--Section 2913 of title 10, United 
     States Code, is amended by striking subsection (e).

     SEC. 512. FINANCING FLEXIBILITY.

       Section 801(a)(2) of the National Energy Conservation 
     Policy Act (42 U.S.C. 8287(a)(2)) is amended by adding at the 
     end the following:
       ``(E) Funding options.--In carrying out a contract under 
     this title, a Federal agency may use any combination of--
       ``(i) appropriated funds; and
       ``(ii) private financing under an energy savings 
     performance contract.''.

     SEC. 513. PROMOTING LONG-TERM ENERGY SAVINGS PERFORMANCE 
                   CONTRACTS AND VERIFYING SAVINGS.

       Section 801(a)(2) of the National Energy Conservation 
     Policy Act (42 U.S.C. 8287(a)(2)) (as amended by section 512) 
     is amended--
       (1) in subparagraph (D), by inserting ``beginning on the 
     date of the delivery order'' after ``25 years''; and
       (2) by adding at the end the following:
       ``(F) Promotion of contracts.--In carrying out this 
     section, a Federal agency shall not--
       ``(i) establish a Federal agency policy that limits the 
     maximum contract term under subparagraph (D) to a period 
     shorter than 25 years; or
       ``(ii) limit the total amount of obligations under energy 
     savings performance contracts or other private financing of 
     energy savings measures.
       ``(G) Measurement and verification requirements for private 
     financing.--
       ``(i) In general.--In the case of energy savings 
     performance contracts, the evaluations and savings 
     measurement and verification required under paragraphs (2) 
     and (4) of section 543(f) shall be used by a Federal agency 
     to meet the requirements for the need for energy audits, 
     calculation of energy savings, and any other evaluation of 
     costs and savings needed to implement the guarantee of 
     savings under this section.
       ``(ii) Modification of existing contracts.--Not later than 
     18 months after the date of enactment of this subparagraph, 
     each Federal agency shall, to the maximum extent practicable, 
     modify any indefinite delivery and indefinite quantity energy 
     savings performance contracts, and other indefinite delivery 
     and indefinite quantity contracts using private financing, to 
     conform to the amendments made by subtitle B of title V of 
     the Energy Independence and Security Act of 2007.''.

     SEC. 514. PERMANENT REAUTHORIZATION.

       Section 801 of the National Energy Conservation Policy Act 
     (42 U.S.C. 8287) is amended by striking subsection (c).

     SEC. 515. DEFINITION OF ENERGY SAVINGS.

       Section 804(2) of the National Energy Conservation Policy 
     Act (42 U.S.C. 8287c(2)) is amended--
       (1) by redesignating subparagraphs (A), (B), and (C) as 
     clauses (i), (ii), and (iii), respectively, and indenting 
     appropriately;
       (2) by striking ``means a reduction'' and inserting 
     ``means--
       ``(A) a reduction'';
       (3) by striking the period at the end and inserting a 
     semicolon; and
       (4) by adding at the end the following:
       ``(B) the increased efficient use of an existing energy 
     source by cogeneration or heat recovery;
       ``(C) if otherwise authorized by Federal or State law 
     (including regulations), the sale or transfer of electrical 
     or thermal energy generated on-site from renewable energy 
     sources or cogeneration, but in excess of Federal needs, to 
     utilities or non-Federal energy users; and
       ``(D) the increased efficient use of existing water sources 
     in interior or exterior applications.''.

     SEC. 516. RETENTION OF SAVINGS.

       Section 546(c) of the National Energy Conservation Policy 
     Act (42 U.S.C. 8256(c)) is amended by striking paragraph (5).

     SEC. 517. TRAINING FEDERAL CONTRACTING OFFICERS TO NEGOTIATE 
                   ENERGY EFFICIENCY CONTRACTS.

       (a) Program.--The Secretary shall create and administer in 
     the Federal Energy Management Program a training program to 
     educate Federal contract negotiation and contract management 
     personnel so that the contract officers are prepared to--
       (1) negotiate energy savings performance contracts;
       (2) conclude effective and timely contracts for energy 
     efficiency services with all companies offering energy 
     efficiency services; and
       (3) review Federal contracts for all products and services 
     for the potential energy efficiency opportunities and 
     implications of the contracts.
       (b) Schedule.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary shall plan, staff, 
     announce, and begin training under the Federal Energy 
     Management Program.
       (c) Personnel to Be Trained.--Personnel appropriate to 
     receive training under the Federal Energy Management Program 
     shall be selected by and sent for the training from--
       (1) the Department of Defense;
       (2) the Department of Veterans Affairs;
       (3) the Department;
       (4) the General Services Administration;
       (5) the Department of Housing and Urban Development;
       (6) the United States Postal Service; and
       (7) all other Federal agencies and departments that enter 
     contracts for buildings, building services, electricity and 
     electricity services, natural gas and natural gas services, 
     heating and air conditioning services, building fuel 
     purchases, and other types of procurement or service 
     contracts determined by the Secretary, in carrying out the 
     Federal Energy Management Program, to offer the potential for 
     energy savings and greenhouse gas emission reductions if 
     negotiated with taking into account those goals.
       (d) Trainers.--Training under the Federal Energy Management 
     Program may be conducted by--
       (1) attorneys or contract officers with experience in 
     negotiating and managing contracts described in subsection 
     (c)(7) from any agency, except that the Secretary shall 
     reimburse the related salaries and expenses of the attorneys 
     or

[[Page 35879]]

     contract officers from amounts made available for carrying 
     out this section to the extent the attorneys or contract 
     officers are not employees of the Department; and
       (2) private experts hired by the Secretary for the purposes 
     of this section, except that the Secretary may not hire 
     experts who are simultaneously employed by any company under 
     contract to provide energy efficiency services to the Federal 
     Government.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary to carry out this section 
     $750,000 for each of fiscal years 2008 through 2012.

     SEC. 518. STUDY OF ENERGY AND COST SAVINGS IN NONBUILDING 
                   APPLICATIONS.

       (a) Definitions.--In this section:
       (1) Nonbuilding application.--The term ``nonbuilding 
     application'' means--
       (A) any class of vehicles, devices, or equipment that is 
     transportable under the power of the applicable vehicle, 
     device, or equipment by land, sea, or air and that consumes 
     energy from any fuel source for the purpose of--
       (i) that transportation; or
       (ii) maintaining a controlled environment within the 
     vehicle, device, or equipment; and
       (B) any federally-owned equipment used to generate 
     electricity or transport water.
       (2) Secondary savings.--
       (A) In general.--The term ``secondary savings'' means 
     additional energy or cost savings that are a direct 
     consequence of the energy savings that result from the energy 
     efficiency improvements that were financed and implemented 
     pursuant to an energy savings performance contract.
       (B) Inclusions.--The term ``secondary savings'' includes--
       (i) energy and cost savings that result from a reduction in 
     the need for fuel delivery and logistical support;
       (ii) personnel cost savings and environmental benefits; and
       (iii) in the case of electric generation equipment, the 
     benefits of increased efficiency in the production of 
     electricity, including revenues received by the Federal 
     Government from the sale of electricity so produced.
       (b) Study.--
       (1) In general.--As soon as practicable after the date of 
     enactment of this Act, the Secretary and the Secretary of 
     Defense shall jointly conduct, and submit to Congress and the 
     President a report of, a study of the potential for the use 
     of energy savings performance contracts to reduce energy 
     consumption and provide energy and cost savings in 
     nonbuilding applications.
       (2) Requirements.--The study under this subsection shall 
     include--
       (A) an estimate of the potential energy and cost savings to 
     the Federal Government, including secondary savings and 
     benefits, from increased efficiency in nonbuilding 
     applications;
       (B) an assessment of the feasibility of extending the use 
     of energy savings performance contracts to nonbuilding 
     applications, including an identification of any regulatory 
     or statutory barriers to that use; and
       (C) such recommendations as the Secretary and Secretary of 
     Defense determine to be appropriate.

           Subtitle C--Energy Efficiency in Federal Agencies

     SEC. 521. INSTALLATION OF PHOTOVOLTAIC SYSTEM AT DEPARTMENT 
                   OF ENERGY HEADQUARTERS BUILDING.

       (a) In General.--The Administrator of General Services 
     shall install a photovoltaic system, as set forth in the Sun 
     Wall Design Project, for the headquarters building of the 
     Department located at 1000 Independence Avenue, SW., 
     Washington, DC, commonly known as the Forrestal Building.
       (b) Funding.--There shall be available from the Federal 
     Buildings Fund established by section 592 of title 40, United 
     States Code, $30,000,000 to carry out this section. Such sums 
     shall be derived from the unobligated balance of amounts made 
     available from the Fund for fiscal year 2007, and prior 
     fiscal years, for repairs and alternations and other 
     activities (excluding amounts made available for the energy 
     program). Such sums shall remain available until expended.

     SEC. 522. PROHIBITION ON INCANDESCENT LAMPS BY COAST GUARD.

       (a) Prohibition.--Except as provided by subsection (b), on 
     and after January 1, 2009, a general service incandescent 
     lamp shall not be purchased or installed in a Coast Guard 
     facility by or on behalf of the Coast Guard.
       (b) Exception.--A general service incandescent lamp may be 
     purchased, installed, and used in a Coast Guard facility 
     whenever the application of a general service incandescent 
     lamp is--
       (1) necessary due to purpose or design, including medical, 
     security, and industrial applications;
       (2) reasonable due to the architectural or historical value 
     of a light fixture installed before January 1, 2009; or
       (3) the Commandant of the Coast Guard determines that 
     operational requirements necessitate the use of a general 
     service incandescent lamp.
       (c) Limitation.--In this section, the term ``facility'' 
     does not include a vessel or aircraft of the Coast Guard.

     SEC. 523. STANDARD RELATING TO SOLAR HOT WATER HEATERS.

       Section 305(a)(3)(A) of the Energy Conservation and 
     Production Act (42 U.S.C. 6834(a)(3)(A)) is amended--
       (1) in clause (i)(II), by striking ``and'' at the end;
       (2) in clause (ii), by striking the period at the end and 
     inserting ``; and''; and
       (3) by adding at the end the following:
       ``(iii) if lifecycle cost-effective, as compared to other 
     reasonably available technologies, not less than 30 percent 
     of the hot water demand for each new Federal building or 
     Federal building undergoing a major renovation be met through 
     the installation and use of solar hot water heaters.''.

     SEC. 524. FEDERALLY-PROCURED APPLIANCES WITH STANDBY POWER.

       Section 553 of the National Energy Conservation Policy Act 
     (42 U.S.C. 8259b) is amended--
       (1) by redesignating subsection (e) as subsection (f); and
       (2) by inserting after subsection (d) the following:
       ``(e) Federally-Procured Appliances With Standby Power.--
       ``(1) Definition of eligible product.--In this subsection, 
     the term `eligible product' means a commercially available, 
     off-the-shelf product that--
       ``(A)(i) uses external standby power devices; or
       ``(ii) contains an internal standby power function; and
       ``(B) is included on the list compiled under paragraph (4).
       ``(2) Federal purchasing requirement.--Subject to paragraph 
     (3), if an agency purchases an eligible product, the agency 
     shall purchase--
       ``(A) an eligible product that uses not more than 1 watt in 
     the standby power consuming mode of the eligible product; or
       ``(B) if an eligible product described in subparagraph (A) 
     is not available, the eligible product with the lowest 
     available standby power wattage in the standby power 
     consuming mode of the eligible product.
       ``(3) Limitation.--The requirements of paragraph (2) shall 
     apply to a purchase by an agency only if--
       ``(A) the lower-wattage eligible product is--
       ``(i) lifecycle cost-effective; and
       ``(ii) practicable; and
       ``(B) the utility and performance of the eligible product 
     is not compromised by the lower wattage requirement.
       ``(4) Eligible products.--The Secretary, in consultation 
     with the Secretary of Defense, the Administrator of the 
     Environmental Protection Agency, and the Administrator of 
     General Services, shall compile a publicly accessible list of 
     cost-effective eligible products that shall be subject to the 
     purchasing requirements of paragraph (2).''.

     SEC. 525. FEDERAL PROCUREMENT OF ENERGY EFFICIENT PRODUCTS.

       (a) Amendments.--Section 553 of the National Energy 
     Conservation Policy Act (42 U.S.C. 8259b) is amended--
       (1) in subsection (b)(1), by inserting ``in a product 
     category covered by the Energy Star program or the Federal 
     Energy Management Program for designated products'' after 
     ``energy consuming product''; and
       (2) in the second sentence of subsection (c)--
       (A) by inserting ``list in their catalogues, represent as 
     available, and'' after ``Logistics Agency shall''; and
       (B) by striking ``where the agency'' and inserting ``in 
     which the head of the agency''.
       (b) Catalogue Listing Deadline.--Not later than 9 months 
     after the date of enactment of this Act, the General Services 
     Administration and the Defense Logistics Agency shall ensure 
     that the requirement established by the amendment made by 
     subsection (a)(2)(A) has been fully complied with.

     SEC. 526. PROCUREMENT AND ACQUISITION OF ALTERNATIVE FUELS.

       No Federal agency shall enter into a contract for 
     procurement of an alternative or synthetic fuel, including a 
     fuel produced from nonconventional petroleum sources, for any 
     mobility-related use, other than for research or testing, 
     unless the contract specifies that the lifecycle greenhouse 
     gas emissions associated with the production and combustion 
     of the fuel supplied under the contract must, on an ongoing 
     basis, be less than or equal to such emissions from the 
     equivalent conventional fuel produced from conventional 
     petroleum sources.

     SEC. 527. GOVERNMENT EFFICIENCY STATUS REPORTS.

       (a) In General.--Each Federal agency subject to any of the 
     requirements of this title or the amendments made by this 
     title shall compile and submit to the Director of the Office 
     of Management and Budget an annual Government efficiency 
     status report on--
       (1) compliance by the agency with each of the requirements 
     of this title and the amendments made by this title;
       (2) the status of the implementation by the agency of 
     initiatives to improve energy efficiency, reduce energy 
     costs, and reduce emissions of greenhouse gases; and
       (3) savings to the taxpayers of the United States resulting 
     from mandated improvements under this title and the 
     amendments made by this title
       (b) Submission.--The report shall be submitted--
       (1) to the Director at such time as the Director requires;
       (2) in electronic, not paper, format; and
       (3) consistent with related reporting requirements.

     SEC. 528. OMB GOVERNMENT EFFICIENCY REPORTS AND SCORECARDS.

       (a) Reports.--Not later than April 1 of each year, the 
     Director of the Office of Management and Budget shall submit 
     an annual Government efficiency report to the Committee on 
     Oversight

[[Page 35880]]

     and Government Reform of the House of Representatives and the 
     Committee on Governmental Affairs of the Senate, which shall 
     contain--
       (1) a summary of the information reported by agencies under 
     section 527;
       (2) an evaluation of the overall progress of the Federal 
     Government toward achieving the goals of this title and the 
     amendments made by this title; and
       (3) recommendations for additional actions necessary to 
     meet the goals of this title and the amendments made by this 
     title.
       (b) Scorecards.--The Director of the Office of Management 
     and Budget shall include in any annual energy scorecard the 
     Director is otherwise required to submit a description of the 
     compliance of each agency with the requirements of this title 
     and the amendments made by this title.

     SEC. 529. ELECTRICITY SECTOR DEMAND RESPONSE.

       (a) In General.--Title V of the National Energy 
     Conservation Policy Act (42 U.S.C. 8241 et seq.) is amended 
     by adding at the end the following:

                    ``PART 5--PEAK DEMAND REDUCTION

     ``SEC. 571. NATIONAL ACTION PLAN FOR DEMAND RESPONSE.

       ``(a) National Assessment and Report.--The Federal Energy 
     Regulatory Commission (`Commission') shall conduct a National 
     Assessment of Demand Response. The Commission shall, within 
     18 months of the date of enactment of this part, submit a 
     report to Congress that includes each of the following:
       ``(1) Estimation of nationwide demand response potential in 
     5 and 10 year horizons, including data on a State-by-State 
     basis, and a methodology for updates of such estimates on an 
     annual basis.
       ``(2) Estimation of how much of this potential can be 
     achieved within 5 and 10 years after the enactment of this 
     part accompanied by specific policy recommendations that if 
     implemented can achieve the estimated potential. Such 
     recommendations shall include options for funding and/or 
     incentives for the development of demand response resources.
       ``(3) The Commission shall further note any barriers to 
     demand response programs offering flexible, non-
     discriminatory, and fairly compensatory terms for the 
     services and benefits made available, and shall provide 
     recommendations for overcoming such barriers.
       ``(4) The Commission shall seek to take advantage of 
     preexisting research and ongoing work, and shall insure that 
     there is no duplication of effort.
       ``(b) National Action Plan on Demand Response.--The 
     Commission shall further develop a National Action Plan on 
     Demand Response, soliciting and accepting input and 
     participation from a broad range of industry stakeholders, 
     State regulatory utility commissioners, and non-governmental 
     groups. The Commission shall seek consensus where possible, 
     and decide on optimum solutions to issues that defy 
     consensus. Such Plan shall be completed within one year after 
     the completion of the National Assessment of Demand Response, 
     and shall meet each of the following objectives:
       ``(1) Identification of requirements for technical 
     assistance to States to allow them to maximize the amount of 
     demand response resources that can be developed and deployed.
       ``(2) Design and identification of requirements for 
     implementation of a national communications program that 
     includes broad-based customer education and support.
       ``(3) Development or identification of analytical tools, 
     information, model regulatory provisions, model contracts, 
     and other support materials for use by customers, states, 
     utilities and demand response providers.
       ``(c) Upon completion, the National Action Plan on Demand 
     Response shall be published, together with any favorable and 
     dissenting comments submitted by participants in its 
     preparation. Six months after publication, the Commission, 
     together with the Secretary of Energy, shall submit to 
     Congress a proposal to implement the Action Plan, including 
     specific proposed assignments of responsibility, proposed 
     budget amounts, and any agreements secured for participation 
     from State and other participants.
       ``(d) Authorization.--There are authorized to be 
     appropriated to the Commission to carry out this section not 
     more than $10,000,000 for each of the fiscal years 2008, 
     2009, and 2010.''.
       (b) Table of Contents.--The table of contents for the 
     National Energy Conservation Policy Act (42 U.S.C. 8201 note) 
     is amended by adding after the items relating to part 4 of 
     title V the following:

                    ``Part 5--Peak Demand Reduction

``Sec. 571. National Action Plan for Demand Response.''.

          Subtitle D--Energy Efficiency of Public Institutions

     SEC. 531. REAUTHORIZATION OF STATE ENERGY PROGRAMS.

       Section 365(f) of the Energy Policy and Conservation Act 
     (42 U.S.C. 6325(f)) is amended by striking ``$100,000,000 for 
     each of the fiscal years 2006 and 2007 and $125,000,000 for 
     fiscal year 2008'' and inserting ``$125,000,000 for each of 
     fiscal years 2007 through 2012''.

     SEC. 532. UTILITY ENERGY EFFICIENCY PROGRAMS.

       (a) Electric Utilities.--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:
       ``(16) Integrated resource planning.--Each electric utility 
     shall--
       ``(A) integrate energy efficiency resources into utility, 
     State, and regional plans; and
       ``(B) adopt policies establishing cost-effective energy 
     efficiency as a priority resource.
       ``(17) Rate design modifications to promote energy 
     efficiency investments.--
       ``(A) In general.--The rates allowed to be charged by any 
     electric utility shall--
       ``(i) align utility incentives with the delivery of cost-
     effective energy efficiency; and
       ``(ii) promote energy efficiency investments.
       ``(B) Policy options.--In complying with subparagraph (A), 
     each State regulatory authority and each nonregulated utility 
     shall consider--
       ``(i) removing the throughput incentive and other 
     regulatory and management disincentives to energy efficiency;
       ``(ii) providing utility incentives for the successful 
     management of energy efficiency programs;
       ``(iii) including the impact on adoption of energy 
     efficiency as 1 of the goals of retail rate design, 
     recognizing that energy efficiency must be balanced with 
     other objectives;
       ``(iv) adopting rate designs that encourage energy 
     efficiency for each customer class;
       ``(v) allowing timely recovery of energy efficiency-related 
     costs; and
       ``(vi) offering home energy audits, offering demand 
     response programs, publicizing the financial and 
     environmental benefits associated with making home energy 
     efficiency improvements, and educating homeowners about all 
     existing Federal and State incentives, including the 
     availability of low-cost loans, that make energy efficiency 
     improvements more affordable.''.
       (b) Natural Gas Utilities.--Section 303(b) of the Public 
     Utility Regulatory Policies Act of 1978 (15 U.S.C. 3203(b)) 
     is amended by adding at the end the following:
       ``(5) Energy efficiency.--Each natural gas utility shall--
       ``(A) integrate energy efficiency resources into the plans 
     and planning processes of the natural gas utility; and
       ``(B) adopt policies that establish energy efficiency as a 
     priority resource in the plans and planning processes of the 
     natural gas utility.
       ``(6) Rate design modifications to promote energy 
     efficiency investments.--
       ``(A) In general.--The rates allowed to be charged by a 
     natural gas utility shall align utility incentives with the 
     deployment of cost-effective energy efficiency.
       ``(B) Policy options.--In complying with subparagraph (A), 
     each State regulatory authority and each nonregulated utility 
     shall consider--
       ``(i) separating fixed-cost revenue recovery from the 
     volume of transportation or sales service provided to the 
     customer;
       ``(ii) providing to utilities incentives for the successful 
     management of energy efficiency programs, such as allowing 
     utilities to retain a portion of the cost-reducing benefits 
     accruing from the programs;
       ``(iii) promoting the impact on adoption of energy 
     efficiency as 1 of the goals of retail rate design, 
     recognizing that energy efficiency must be balanced with 
     other objectives; and
       ``(iv) adopting rate designs that encourage energy 
     efficiency for each customer class.

     For purposes of applying the provisions of this subtitle to 
     this paragraph, any reference in this subtitle to the date of 
     enactment of this Act shall be treated as a reference to the 
     date of enactment of this paragraph.''.
       (c) Conforming Amendment.--Section 303(a) of the Public 
     Utility Regulatory Policies Act of 1978 U.S.C. 3203(a)) is 
     amended by striking ``and (4)'' inserting ``(4), (5), and 
     (6)''.

      Subtitle E--Energy Efficiency and Conservation Block Grants

     SEC. 541. DEFINITIONS.

       In this subtitle:
       (1) Eligible entity.--The term ``eligible entity'' means--
       (A) a State;
       (B) an eligible unit of local government; and
       (C) an Indian tribe.
       (2) Eligible unit of local government.--The term ``eligible 
     unit of local government'' means--
       (A) an eligible unit of local government-alternative 1; and
       (B) an eligible unit of local government-alternative 2.
       (3)(A) Eligible unit of local government-alternative 1.--
     The term ``eligible unit of local government-alternative 1'' 
     means--
       (i) a city with a population--
       (I) of at least 35,000; or
       (II) that causes the city to be 1 of the 10 highest-
     populated cities of the State in which the city is located; 
     and
       (ii) a county with a population--
       (I) of at least 200,000; or
       (II) that causes the county to be 1 of the 10 highest-
     populated counties of the State in which the county is 
     located.
       (B) Eligible unit of local government-alternative 2.--The 
     term ``eligible unit of local government-alternative 2'' 
     means--
       (i) a city with a population of at least 50,000; or
       (ii) a county with a population of at least 200,000.
       (4) Indian tribe.--The term ``Indian tribe'' has the 
     meaning given the term in section 4 of the Indian Self- 
     Determination and Education Assistance Act (25 U.S.C. 450b).
       (5) Program.--The term ``program'' means the Energy 
     Efficiency and Conservation Block Grant Program established 
     under section 542(a).

[[Page 35881]]

       (6) State.--The term ``State'' means--
       (A) a State;
       (B) the District of Columbia;
       (C) the Commonwealth of Puerto Rico; and
       (D) any other territory or possession of the United States.

     SEC. 542. ENERGY EFFICIENCY AND CONSERVATION BLOCK GRANT 
                   PROGRAM.

       (a) Establishment.--The Secretary shall establish a 
     program, to be known as the ``Energy Efficiency and 
     Conservation Block Grant Program'', under which the Secretary 
     shall provide grants to eligible entities in accordance with 
     this subtitle.
       (b) Purpose.--The purpose of the program shall be to assist 
     eligible entities in implementing strategies--
       (1) to reduce fossil fuel emissions created as a result of 
     activities within the jurisdictions of eligible entities in 
     manner that--
       (A) is environmentally sustainable; and
       (B) to the maximum extent practicable, maximizes benefits 
     for local and regional communities;
       (2) to reduce the total energy use of the eligible 
     entities; and
       (3) to improve energy efficiency in--
       (A) the transportation sector;
       (B) the building sector; and
       (C) other appropriate sectors.

     SEC. 543. ALLOCATION OF FUNDS.

       (a) In General.--Of amounts made available to provide 
     grants under this subtitle for each fiscal year, the 
     Secretary shall allocate--
       (1) 68 percent to eligible units of local government in 
     accordance with subsection (b);
       (2) 28 percent to States in accordance with subsection (c);
       (3) 2 percent to Indian tribes in accordance with 
     subsection (d); and
       (4) 2 percent for competitive grants under section 546.
       (b) Eligible Units of Local Government.--Of amounts 
     available for distribution to eligible units of local 
     government under subsection (a)(1), the Secretary shall 
     provide grants to eligible units of local government under 
     this section based on a formula established by the Secretary 
     according to--
       (1) the populations served by the eligible units of local 
     government, according to the latest available decennial 
     census; and
       (2) the daytime populations of the eligible units of local 
     government and other similar factors (such as square footage 
     of commercial, office, and industrial space), as determined 
     by the Secretary.
       (c) States.--Of amounts available for distribution to 
     States under subsection (a)(2), the Secretary shall provide--
       (1) not less than 1.25 percent to each State; and
       (2) the remainder among the States, based on a formula to 
     be established by the Secretary that takes into account--
       (A) the population of each State; and
       (B) any other criteria that the Secretary determines to be 
     appropriate.
       (d) Indian Tribes.--Of amounts available for distribution 
     to Indian tribes under subsection (a)(3), the Secretary shall 
     establish a formula for allocation of the amounts to Indian 
     tribes, taking into account any factors that the Secretary 
     determines to be appropriate.
       (e) Publication of Allocation Formulas.--Not later than 90 
     days before the beginning of each fiscal year for which 
     grants are provided under this subtitle, the Secretary shall 
     publish in the Federal Register the formulas for allocation 
     established under this section.
       (f) State and Local Advisory Committee.--The Secretary 
     shall establish a State and local advisory committee to 
     advise the Secretary regarding administration, 
     implementation, and evaluation of the program.

     SEC. 544. USE OF FUNDS.

       An eligible entity may use a grant received under this 
     subtitle to carry out activities to achieve the purposes of 
     the program, including--
       (1) development and implementation of an energy efficiency 
     and conservation strategy under section 545(b);
       (2) retaining technical consultant services to assist the 
     eligible entity in the development of such a strategy, 
     including--
       (A) formulation of energy efficiency, energy conservation, 
     and energy usage goals;
       (B) identification of strategies to achieve those goals--
       (i) through efforts to increase energy efficiency and 
     reduce energy consumption; and
       (ii) by encouraging behavioral changes among the population 
     served by the eligible entity;
       (C) development of methods to measure progress in achieving 
     the goals;
       (D) development and publication of annual reports to the 
     population served by the eligible entity describing--
       (i) the strategies and goals; and
       (ii) the progress made in achieving the strategies and 
     goals during the preceding calendar year; and
       (E) other services to assist in the implementation of the 
     energy efficiency and conservation strategy;
       (3) conducting residential and commercial building energy 
     audits;
       (4) establishment of financial incentive programs for 
     energy efficiency improvements;
       (5) the provision of grants to nonprofit organizations and 
     governmental agencies for the purpose of performing energy 
     efficiency retrofits;
       (6) development and implementation of energy efficiency and 
     conservation programs for buildings and facilities within the 
     jurisdiction of the eligible entity, including--
       (A) design and operation of the programs;
       (B) identifying the most effective methods for achieving 
     maximum participation and efficiency rates;
       (C) public education;
       (D) measurement and verification protocols; and
       (E) identification of energy efficient technologies;
       (7) development and implementation of programs to conserve 
     energy used in transportation, including--
       (A) use of flex time by employers;
       (B) satellite work centers;
       (C) development and promotion of zoning guidelines or 
     requirements that promote energy efficient development;
       (D) development of infrastructure, such as bike lanes and 
     pathways and pedestrian walkways;
       (E) synchronization of traffic signals; and
       (F) other measures that increase energy efficiency and 
     decrease energy consumption;
       (8) development and implementation of building codes and 
     inspection services to promote building energy efficiency;
       (9) application and implementation of energy distribution 
     technologies that significantly increase energy efficiency, 
     including--
       (A) distributed resources; and
       (B) district heating and cooling systems;
       (10) activities to increase participation and efficiency 
     rates for material conservation programs, including source 
     reduction, recycling, and recycled content procurement 
     programs that lead to increases in energy efficiency;
       (11) the purchase and implementation of technologies to 
     reduce, capture, and, to the maximum extent practicable, use 
     methane and other greenhouse gases generated by landfills or 
     similar sources;
       (12) replacement of traffic signals and street lighting 
     with energy efficient lighting technologies, including--
       (A) light emitting diodes; and
       (B) any other technology of equal or greater energy 
     efficiency;
       (13) development, implementation, and installation on or in 
     any government building of the eligible entity of onsite 
     renewable energy technology that generates electricity from 
     renewable resources, including--
       (A) solar energy;
       (B) wind energy;
       (C) fuel cells; and
       (D) biomass; and
       (14) any other appropriate activity, as determined by the 
     Secretary, in consultation with--
       (A) the Administrator of the Environmental Protection 
     Agency;
       (B) the Secretary of Transportation; and
       (C) the Secretary of Housing and Urban Development.

     SEC. 545. REQUIREMENTS FOR ELIGIBLE ENTITIES.

       (a) Construction Requirement.--
       (1) In general.--To be eligible to receive a grant under 
     the program, each eligible applicant shall submit to the 
     Secretary a written assurance that all laborers and mechanics 
     employed by any contractor or subcontractor of the eligible 
     entity during any construction, alteration, or repair 
     activity funded, in whole or in part, by the grant shall be 
     paid wages at rates not less than the prevailing wages for 
     similar construction activities in the locality, as 
     determined by the Secretary of Labor, in accordance with 
     sections 3141 through 3144, 3146, and 3147 of title 40, 
     United States Code.
       (2) Secretary of labor.--With respect to the labor 
     standards referred to in paragraph (1), the Secretary of 
     Labor shall have the authority and functions described in--
       (A) Reorganization Plan Numbered 14 of 1950 (5 U.S.C. 903 
     note); and
       (B) section 3145 of title 40, United States Code.
       (b) Eligible Units of Local Government and Indian Tribes.--
       (1) Proposed strategy.--
       (A) In general.--Not later than 1 year after the date on 
     which an eligible unit of local government or Indian tribe 
     receives a grant under this subtitle, the eligible unit of 
     local government or Indian tribe shall submit to the 
     Secretary a proposed energy efficiency and conservation 
     strategy in accordance with this paragraph.
       (B) Inclusions.--The proposed strategy under subparagraph 
     (A) shall include--
       (i) a description of the goals of the eligible unit of 
     local government or Indian tribe, in accordance with the 
     purposes of this subtitle, for increased energy efficiency 
     and conservation in the jurisdiction of the eligible unit of 
     local government or Indian tribe; and
       (ii) a plan for the use of the grant to assist the eligible 
     unit of local government or Indian tribe in achieving those 
     goals, in accordance with section 544.
       (C) Requirements for eligible units of local government.--
     In developing the strategy under subparagraph (A), an 
     eligible unit of local government shall--
       (i) take into account any plans for the use of funds by 
     adjacent eligible units of local governments that receive 
     grants under the program; and
       (ii) coordinate and share information with the State in 
     which the eligible unit of local government is located 
     regarding activities carried out using the grant to maximize 
     the energy efficiency and conservation benefits under this 
     subtitle.
       (2) Approval by secretary.--
       (A) In general.--The Secretary shall approve or disapprove 
     a proposed strategy under paragraph (1) by not later than 120 
     days after the date of submission of the proposed strategy.

[[Page 35882]]

       (B) Disapproval.--If the Secretary disapproves a proposed 
     strategy under subparagraph (A)--
       (i) the Secretary shall provide to the eligible unit of 
     local government or Indian tribe the reasons for the 
     disapproval; and
       (ii) the eligible unit of local government or Indian tribe 
     may revise and resubmit the proposed strategy as many times 
     as necessary until the Secretary approves a proposed 
     strategy.
       (C) Requirement.--The Secretary shall not provide to an 
     eligible unit of local government or Indian tribe any grant 
     under the program until a proposed strategy of the eligible 
     unit of local government or Indian tribe is approved by the 
     Secretary under this paragraph.
       (3) Limitations on use of funds.--Of amounts provided to an 
     eligible unit of local government or Indian tribe under the 
     program, an eligible unit of local government or Indian tribe 
     may use--
       (A) for administrative expenses, excluding the cost of 
     meeting the reporting requirements of this subtitle, an 
     amount equal to the greater of--
       (i) 10 percent; and
       (ii) $75,000;
       (B) for the establishment of revolving loan funds, an 
     amount equal to the greater of--
       (i) 20 percent; and
       (ii) $250,000; and
       (C) for the provision of subgrants to nongovernmental 
     organizations for the purpose of assisting in the 
     implementation of the energy efficiency and conservation 
     strategy of the eligible unit of local government or Indian 
     tribe, an amount equal to the greater of--
       (i) 20 percent; and
       (ii) $250,000.
       (4) Annual report.--Not later than 2 years after the date 
     on which funds are initially provided to an eligible unit of 
     local government or Indian tribe under the program, and 
     annually thereafter, the eligible unit of local government or 
     Indian tribe shall submit to the Secretary a report 
     describing--
       (A) the status of development and implementation of the 
     energy efficiency and conservation strategy of the eligible 
     unit of local government or Indian tribe; and
       (B) as practicable, an assessment of energy efficiency 
     gains within the jurisdiction of the eligible unit of local 
     government or Indian tribe.
       (c) States.--
       (1) Distribution of funds.--
       (A) In general.--A State that receives a grant under the 
     program shall use not less than 60 percent of the amount 
     received to provide subgrants to units of local government in 
     the State that are not eligible units of local government.
       (B) Deadline.--The State shall provide the subgrants 
     required under subparagraph (A) by not later than 180 days 
     after the date on which the Secretary approves a proposed 
     energy efficiency and conservation strategy of the State 
     under paragraph (3).
       (2) Revision of conservation plan; proposed strategy.--Not 
     later than 120 days after the date of enactment of this Act, 
     each State shall--
       (A) modify the State energy conservation plan of the State 
     under section 362 of the Energy Policy and Conservation Act 
     (42 U.S.C. 6322) to establish additional goals for increased 
     energy efficiency and conservation in the State; and
       (B) submit to the Secretary a proposed energy efficiency 
     and conservation strategy that--
       (i) establishes a process for providing subgrants as 
     required under paragraph (1); and
       (ii) includes a plan of the State for the use of funds 
     received under a the program to assist the State in achieving 
     the goals established under subparagraph (A), in accordance 
     with sections 542(b) and 544.
       (3) Approval by secretary.--
       (A) In general.--The Secretary shall approve or disapprove 
     a proposed strategy under paragraph (2)(B) by not later than 
     120 days after the date of submission of the proposed 
     strategy.
       (B) Disapproval.--If the Secretary disapproves a proposed 
     strategy under subparagraph (A)--
       (i) the Secretary shall provide to the State the reasons 
     for the disapproval; and
       (ii) the State may revise and resubmit the proposed 
     strategy as many times as necessary until the Secretary 
     approves a proposed strategy.
       (C) Requirement.--The Secretary shall not provide to a 
     State any grant under the program until a proposed strategy 
     of the State is approved the Secretary under this paragraph.
       (4) Limitations on use of funds.--A State may use not more 
     than 10 percent of amounts provided under the program for 
     administrative expenses.
       (5) Annual reports.--Each State that receives a grant under 
     the program shall submit to the Secretary an annual report 
     that describes--
       (A) the status of development and implementation of the 
     energy efficiency and conservation strategy of the State 
     during the preceding calendar year;
       (B) the status of the subgrant program of the State under 
     paragraph (1);
       (C) the energy efficiency gains achieved through the energy 
     efficiency and conservation strategy of the State during the 
     preceding calendar year; and
       (D) specific energy efficiency and conservation goals of 
     the State for subsequent calendar years.

     SEC. 546. COMPETITIVE GRANTS.

       (a) In General.--Of the total amount made available for 
     each fiscal year to carry out this subtitle, the Secretary 
     shall use not less than 2 percent to provide grants under 
     this section, on a competitive basis, to--
       (1) units of local government (including Indian tribes) 
     that are not eligible entities; and
       (2) consortia of units of local government described in 
     paragraph (1).
       (b) Applications.--To be eligible to receive a grant under 
     this section, a unit of local government or consortia shall 
     submit to the Secretary an application at such time, in such 
     manner, and containing such information as the Secretary may 
     require, including a plan of the unit of local government to 
     carry out an activity described in section 544.
       (c) Priority.--In providing grants under this section, the 
     Secretary shall give priority to units of local government--
       (1) located in States with populations of less than 
     2,000,000; or
       (2) that plan to carry out projects that would result in 
     significant energy efficiency improvements or reductions in 
     fossil fuel use.

     SEC. 547. REVIEW AND EVALUATION.

       (a) In General.--The Secretary may review and evaluate the 
     performance of any eligible entity that receives a grant 
     under the program, including by conducting an audit, as the 
     Secretary determines to be appropriate.
       (b) Withholding of Funds.--The Secretary may withhold from 
     an eligible entity any portion of a grant to be provided to 
     the eligible entity under the program if the Secretary 
     determines that the eligible entity has failed to achieve 
     compliance with--
       (1) any applicable guideline or regulation of the Secretary 
     relating to the program, including the misuse or 
     misappropriation of funds provided under the program; or
       (2) the energy efficiency and conservation strategy of the 
     eligible entity.

     SEC. 548. FUNDING.

       (a) Authorization of Appropriations.--
       (1) Grants.--There is authorized to be appropriated to the 
     Secretary for the provision of grants under the program 
     $2,000,000,000 for each of fiscal years 2008 through 2012; 
     provided that 49 percent of the appropriated funds shall be 
     distributed using the definition of eligible unit of local 
     government-alternative 1 in section 541(3)(A) and 49 percent 
     of the appropriated funds shall be distributed using the 
     definition of eligible unit of local government-alternative 2 
     in section 541(3)(B).
       (2) Administrative costs.--There are authorized to be 
     appropriated to the Secretary for administrative expenses of 
     the program--
       (A) $20,000,000 for each of fiscal years 2008 and 2009;
       (B) $25,000,000 for each of fiscal years 2010 and 2011; and
       (C) $30,000,000 for fiscal year 2012.
       (b) Maintenance of Funding.--The funding provided under 
     this section shall supplement (and not supplant) other 
     Federal funding provided under--
       (1) a State energy conservation plan established under part 
     D of title III of the Energy Policy and Conservation Act (42 
     U.S.C. 6321 et seq.); or
       (2) the Weatherization Assistance Program for Low-Income 
     Persons established under part A of title IV of the Energy 
     Conservation and Production Act (42 U.S.C. 6861 et seq.).

             TITLE VI--ACCELERATED RESEARCH AND DEVELOPMENT

                        Subtitle A--Solar Energy

     SEC. 601. SHORT TITLE.

       This subtitle may be cited as the ``Solar Energy Research 
     and Advancement Act of 2007''.

     SEC. 602. THERMAL ENERGY STORAGE RESEARCH AND DEVELOPMENT 
                   PROGRAM.

       (a) Establishment.--The Secretary shall establish a program 
     of research and development to provide lower cost and more 
     viable thermal energy storage technologies to enable the 
     shifting of electric power loads on demand and extend the 
     operating time of concentrating solar power electric 
     generating plants.
       (b) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary for carrying out this 
     section $5,000,000 for fiscal year 2008, $7,000,000 for 
     fiscal year 2009, $9,000,000 for fiscal year 2010, 
     $10,000,000 for fiscal year 2011, and $12,000,000 for fiscal 
     year 2012.

     SEC. 603. CONCENTRATING SOLAR POWER COMMERCIAL APPLICATION 
                   STUDIES.

       (a) Integration.--The Secretary shall conduct a study on 
     methods to integrate concentrating solar power and utility-
     scale photovoltaic systems into regional electricity 
     transmission systems, and to identify new transmission or 
     transmission upgrades needed to bring electricity from high 
     concentrating solar power resource areas to growing electric 
     power load centers throughout the United States. The study 
     shall analyze and assess cost-effective approaches for 
     management and large-scale integration of concentrating solar 
     power and utility-scale photovoltaic systems into regional 
     electric transmission grids to improve electric reliability, 
     to efficiently manage load, and to reduce demand on the 
     natural gas transmission system for electric power. The 
     Secretary shall submit a report to Congress on the results of 
     this study not later than 12 months after the date of 
     enactment of this Act.
       (b) Water Consumption.--Not later than 6 months after the 
     date of the enactment of this Act, the Secretary of Energy 
     shall transmit to Congress a report on the results of a study 
     on methods to reduce the amount of water consumed by 
     concentrating solar power systems.

     SEC. 604. SOLAR ENERGY CURRICULUM DEVELOPMENT AND 
                   CERTIFICATION GRANTS.

       (a) Establishment.--The Secretary shall establish in the 
     Office of Solar Energy Technologies a competitive grant 
     program to create

[[Page 35883]]

     and strengthen solar industry workforce training and 
     internship programs in installation, operation, and 
     maintenance of solar energy products. The goal of this 
     program is to ensure a supply of well-trained individuals to 
     support the expansion of the solar energy industry.
       (b) Authorized Activities.--Grant funds may be used to 
     support the following activities:
       (1) Creation and development of a solar energy curriculum 
     appropriate for the local educational, entrepreneurial, and 
     environmental conditions, including curriculum for community 
     colleges.
       (2) Support of certification programs for individual solar 
     energy system installers, instructors, and training programs.
       (3) Internship programs that provide hands-on participation 
     by students in commercial applications.
       (4) Activities required to obtain certification of training 
     programs and facilities by an industry-accepted quality-
     control certification program.
       (5) Incorporation of solar-specific learning modules into 
     traditional occupational training and internship programs for 
     construction-related trades.
       (6) The purchase of equipment necessary to carry out 
     activities under this section.
       (7) Support of programs that provide guidance and updates 
     to solar energy curriculum instructors.
       (c) Administration of Grants.--Grants may be awarded under 
     this section for up to 3 years. The Secretary shall award 
     grants to ensure sufficient geographic distribution of 
     training programs nationally. Grants shall only be awarded 
     for programs certified by an industry-accepted quality-
     control certification institution, or for new and growing 
     programs with a credible path to certification. Due 
     consideration shall be given to women, underrepresented 
     minorities, and persons with disabilities.
       (d) Report.--The Secretary shall make public, on the 
     website of the Department or upon request, information on the 
     name and institution for all grants awarded under this 
     section, including a brief description of the project as well 
     as the grant award amount.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary for carrying out this 
     section $10,000,000 for each of the fiscal years 2008 through 
     2012.

     SEC. 605. DAYLIGHTING SYSTEMS AND DIRECT SOLAR LIGHT PIPE 
                   TECHNOLOGY.

       (a) Establishment.--The Secretary shall establish a program 
     of research and development to provide assistance in the 
     demonstration and commercial application of direct solar 
     renewable energy sources to provide alternatives to 
     traditional power generation for lighting and illumination, 
     including light pipe technology, and to promote greater 
     energy conservation and improved efficiency. All direct solar 
     renewable energy devices supported under this program shall 
     have the capability to provide measurable data on the amount 
     of kilowatt-hours saved over the traditionally powered light 
     sources they have replaced.
       (b) Reporting.--The Secretary shall transmit to Congress an 
     annual report assessing the measurable data derived from each 
     project in the direct solar renewable energy sources program 
     and the energy savings resulting from its use.
       (c) Definitions.--For purposes of this section--
       (1) the term ``direct solar renewable energy'' means energy 
     from a device that converts sunlight into useable light 
     within a building, tunnel, or other enclosed structure, 
     replacing artificial light generated by a light fixture and 
     doing so without the conversion of the sunlight into another 
     form of energy; and
       (2) the term ``light pipe'' means a device designed to 
     transport visible solar radiation from its collection point 
     to the interior of a building while excluding interior heat 
     gain in the nonheating season.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary for carrying out this 
     section $3,500,000 for each of the fiscal years 2008 through 
     2012.

     SEC. 606. SOLAR AIR CONDITIONING RESEARCH AND DEVELOPMENT 
                   PROGRAM.

       (a) Establishment.--The Secretary shall establish a 
     research, development, and demonstration program to promote 
     less costly and more reliable decentralized distributed 
     solar-powered air conditioning for individuals and 
     businesses.
       (b) Authorized Activities.--Grants made available under 
     this section may be used to support the following activities:
       (1) Advancing solar thermal collectors, including 
     concentrating solar thermal and electric systems, flat plate 
     and evacuated tube collector performance.
       (2) Achieving technical and economic integration of solar-
     powered distributed air-conditioning systems with existing 
     hot water and storage systems for residential applications.
       (3) Designing and demonstrating mass manufacturing 
     capability to reduce costs of modular standardized solar-
     powered distributed air conditioning systems and components.
       (4) Improving the efficiency of solar-powered distributed 
     air-conditioning to increase the effectiveness of solar-
     powered absorption chillers, solar-driven compressors and 
     condensors, and cost-effective precooling approaches.
       (5) Researching and comparing performance of solar-powered 
     distributed air conditioning systems in different regions of 
     the country, including potential integration with other 
     onsite systems, such as solar, biogas, geothermal heat pumps, 
     and propane assist or combined propane fuel cells, with a 
     goal to develop site-specific energy production and 
     management systems that ease fuel and peak utility loading.
       (c) Cost Sharing.--Section 988 of the Energy Policy Act of 
     2005 (42 U.S.C. 16352) shall apply to a project carried out 
     under this section.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary for carrying out this 
     section $2,500,000 for each of the fiscal years 2008 through 
     2012.

     SEC. 607. PHOTOVOLTAIC DEMONSTRATION PROGRAM.

       (a) In General.--The Secretary shall establish a program of 
     grants to States to demonstrate advanced photovoltaic 
     technology.
       (b) Requirements.--
       (1) Ability to meet requirements.--To receive funding under 
     the program under this section, a State must submit a 
     proposal that demonstrates, to the satisfaction of the 
     Secretary, that the State will meet the requirements of 
     subsection (f).
       (2) Compliance with requirements.--If a State has received 
     funding under this section for the preceding year, the State 
     must demonstrate, to the satisfaction of the Secretary, that 
     it complied with the requirements of subsection (f) in 
     carrying out the program during that preceding year, and that 
     it will do so in the future, before it can receive further 
     funding under this section.
       (c) Competition.--The Secretary shall award grants on a 
     competitive basis to the States with the proposals the 
     Secretary considers most likely to encourage the widespread 
     adoption of photovoltaic technologies. The Secretary shall 
     take into consideration the geographic distribution of 
     awards.
       (d) Proposals.--Not later than 6 months after the date of 
     enactment of this Act, and in each subsequent fiscal year for 
     the life of the program, the Secretary shall solicit 
     proposals from the States to participate in the program under 
     this section.
       (e) Competitive Criteria.--In awarding funds in a 
     competitive allocation under subsection (c), the Secretary 
     shall consider--
       (1) the likelihood of a proposal to encourage the 
     demonstration of, or lower the costs of, advanced 
     photovoltaic technologies; and
       (2) the extent to which a proposal is likely to--
       (A) maximize the amount of photovoltaics demonstrated;
       (B) maximize the proportion of non-Federal cost share; and
       (C) limit State administrative costs.
       (f) State Program.--A program operated by a State with 
     funding under this section shall provide competitive awards 
     for the demonstration of advanced photo-voltaic technologies. 
     Each State program shall--
       (1) require a contribution of at least 60 percent per award 
     from non-Federal sources, which may include any combination 
     of State, local, and private funds, except that at least 10 
     percent of the funding must be supplied by the State;
       (2) endeavor to fund recipients in the commercial, 
     industrial, institutional, governmental, and residential 
     sectors;
       (3) limit State administrative costs to no more than 10 
     percent of the grant;
       (4) report annually to the Secretary on--
       (A) the amount of funds disbursed;
       (B) the amount of photovoltaics purchased; and
       (C) the results of the monitoring under paragraph (5);
       (5) provide for measurement and verification of the output 
     of a representative sample of the photovoltaics systems 
     demonstrated throughout the average working life of the 
     systems, or at least 20 years; and
       (6) require that applicant buildings must have received an 
     independent energy efficiency audit during the 6-month period 
     preceding the filing of the application.
       (g) Unexpended Funds.--If a State fails to expend any funds 
     received under this section within 3 years of receipt, such 
     remaining funds shall be returned to the Treasury.
       (h) Reports.--The Secretary shall report to Congress 5 
     years after funds are first distributed to the States under 
     this section--
       (1) the amount of photovoltaics demonstrated;
       (2) the number of projects undertaken;
       (3) the administrative costs of the program;
       (4) the results of the monitoring under subsection (f)(5); 
     and
       (5) the total amount of funds distributed, including a 
     breakdown by State.
       (i) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary for the purposes of 
     carrying out this section--
       (1) $15,000,000 for fiscal year 2008;
       (2) $30,000,000 for fiscal year 2009;
       (3) $45,000,000 for fiscal year 2010;
       (4) $60,000,000 for fiscal year 2011; and
       (5) $70,000,000 for fiscal year 2012.

                     Subtitle B--Geothermal Energy

     SEC. 611. SHORT TITLE.

       This subtitle may be cited as the ``Advanced Geothermal 
     Energy Research and Development Act of 2007''.

     SEC. 612. DEFINITIONS.

       For purposes of this subtitle:
       (1) Engineered.--When referring to enhanced geothermal 
     systems, the term ``engineered'' means subjected to 
     intervention, including intervention to address one or more 
     of the following issues:
       (A) Lack of effective permeability or porosity or open 
     fracture connectivity within the reservoir.
       (B) Insufficient contained geofluid in the reservoir.

[[Page 35884]]

       (C) A low average geothermal gradient, which necessitates 
     deeper drilling.
       (2) Enhanced geothermal systems.--The term ``enhanced 
     geothermal systems'' means geothermal reservoir systems that 
     are engineered, as opposed to occurring naturally.
       (3) Geofluid.--The term ``geofluid'' means any fluid used 
     to extract thermal energy from the Earth which is transported 
     to the surface for direct use or electric power generation, 
     except that such term shall not include oil or natural gas.
       (4) Geopressured resources.--The term ``geopressured 
     resources'' mean geothermal deposits found in sedimentary 
     rocks under higher than normal pressure and saturated with 
     gas or methane.
       (5) Geothermal.--The term ``geothermal'' refers to heat 
     energy stored in the Earth's crust that can be accessed for 
     direct use or electric power generation.
       (6) Hydrothermal.--The term ``hydrothermal'' refers to 
     naturally occurring subsurface reservoirs of hot water or 
     steam.
       (7) Systems approach.--The term ``systems approach'' means 
     an approach to solving problems or designing systems that 
     attempts to optimize the performance of the overall system, 
     rather than a particular component of the system.

     SEC. 613. HYDROTHERMAL RESEARCH AND DEVELOPMENT.

       (a) In General.--The Secretary shall support programs of 
     research, development, demonstration, and commercial 
     application to expand the use of geothermal energy production 
     from hydrothermal systems, including the programs described 
     in subsection (b).
       (b) Programs.--
       (1) Advanced hydrothermal resource tools.--The Secretary, 
     in consultation with other appropriate agencies, shall 
     support a program to develop advanced geophysical, 
     geochemical, and geologic tools to assist in locating hidden 
     hydrothermal resources, and to increase the reliability of 
     site characterization before, during, and after initial 
     drilling. The program shall develop new prospecting 
     techniques to assist in prioritization of targets for 
     characterization. The program shall include a field 
     component.
       (2) Industry coupled exploratory drilling.--The Secretary 
     shall support a program of cost-shared field demonstration 
     programs, to be pursued, simultaneously and independently, in 
     collaboration with industry partners, for the demonstration 
     of advanced technologies and techniques of siting and 
     exploratory drilling for undiscovered resources in a variety 
     of geologic settings. The program shall include incentives to 
     encourage the use of advanced technologies and techniques.

     SEC. 614. GENERAL GEOTHERMAL SYSTEMS RESEARCH AND 
                   DEVELOPMENT.

       (a) Subsurface Components and Systems.--The Secretary shall 
     support a program of research, development, demonstration, 
     and commercial application of components and systems capable 
     of withstanding extreme geothermal environments and necessary 
     to cost-effectively develop, produce, and monitor geothermal 
     reservoirs and produce geothermal energy. These components 
     and systems shall include advanced casing systems (expandable 
     tubular casing, low-clearance casing designs, and others), 
     high-temperature cements, high-temperature submersible pumps, 
     and high-temperature packers, as well as technologies for 
     under-reaming, multilateral completions, high-temperature and 
     high-pressure logging, logging while drilling, deep fracture 
     stimulation, and reservoir system diagnostics.
       (b) Reservoir Performance Modeling.--The Secretary shall 
     support a program of research, development, demonstration, 
     and commercial application of models of geothermal reservoir 
     performance, with an emphasis on accurately modeling 
     performance over time. Models shall be developed to assist 
     both in the development of geothermal reservoirs and to more 
     accurately account for stress-related effects in stimulated 
     hydrothermal and enhanced geothermal systems production 
     environments.
       (c) Environmental Impacts.--The Secretary shall--
       (1) support a program of research, development, 
     demonstration, and commercial application of technologies and 
     practices designed to mitigate or preclude potential adverse 
     environmental impacts of geothermal energy development, 
     production or use, and seek to ensure that geothermal energy 
     development is consistent with the highest practicable 
     standards of environmental stewardship;
       (2) in conjunction with the Assistant Administrator for 
     Research and Development at the Environmental Protection 
     Agency, support a research program to identify potential 
     environmental impacts of geothermal energy development, 
     production, and use, and ensure that the program described in 
     paragraph (1) addresses such impacts, including effects on 
     groundwater and local hydrology; and
       (3) support a program of research to compare the potential 
     environmental impacts identified as part of the development, 
     production, and use of geothermal energy with the potential 
     emission reductions of greenhouse gases gained by geothermal 
     energy development, production, and use.

     SEC. 615. ENHANCED GEOTHERMAL SYSTEMS RESEARCH AND 
                   DEVELOPMENT.

       (a) In General.--The Secretary shall support a program of 
     research, development, demonstration, and commercial 
     application for enhanced geothermal systems, including the 
     programs described in subsection (b).
       (b) Programs.--
       (1) Enhanced geothermal systems technologies.--The 
     Secretary shall support a program of research, development, 
     demonstration, and commercial application of the technologies 
     and knowledge necessary for enhanced geothermal systems to 
     advance to a state of commercial readiness, including 
     advances in--
       (A) reservoir stimulation;
       (B) reservoir characterization, monitoring, and modeling;
       (C) stress mapping;
       (D) tracer development;
       (E) three-dimensional tomography; and
       (F) understanding seismic effects of reservoir engineering 
     and stimulation.
       (2) Enhanced geothermal systems reservoir stimulation.--
       (A) Program.--In collaboration with industry partners, the 
     Secretary shall support a program of research, development, 
     and demonstration of enhanced geothermal systems reservoir 
     stimulation technologies and techniques. A minimum of 4 sites 
     shall be selected in locations that show particular promise 
     for enhanced geothermal systems development. Each site 
     shall--
       (i) represent a different class of subsurface geologic 
     environments; and
       (ii) take advantage of an existing site where subsurface 
     characterization has been conducted or existing drill holes 
     can be utilized, if possible.
       (B) Consideration of existing site.--The Desert Peak, 
     Nevada, site, where a Department of Energy and industry 
     cooperative enhanced geothermal systems project is already 
     underway, may be considered for inclusion among the sites 
     selected under subparagraph (A).

     SEC. 616. GEOTHERMAL ENERGY PRODUCTION FROM OIL AND GAS 
                   FIELDS AND RECOVERY AND PRODUCTION OF 
                   GEOPRESSURED GAS RESOURCES.

       (a) In General.--The Secretary shall establish a program of 
     research, development, demonstration, and commercial 
     application to support development of geothermal energy 
     production from oil and gas fields and production and 
     recovery of energy, including electricity, from geopressured 
     resources. In addition, the Secretary shall conduct such 
     supporting activities including research, resource 
     characterization, and technology development as necessary.
       (b) Geothermal Energy Production From Oil and Gas Fields.--
     The Secretary shall implement a grant program in support of 
     geothermal energy production from oil and gas fields. The 
     program shall include grants for a total of not less than 
     three demonstration projects of the use of geothermal 
     techniques such as advanced organic rankine cycle systems at 
     marginal, unproductive, and productive oil and gas wells. The 
     Secretary shall, to the extent practicable and in the public 
     interest, make awards that--
       (1) include not less than five oil or gas well sites per 
     project award;
       (2) use a range of oil or gas well hot water source 
     temperatures from 150 degrees Fahrenheit to 300 degrees 
     Fahrenheit;
       (3) cover a range of sizes up to one megawatt;
       (4) are located at a range of sites;
       (5) can be replicated at a wide range of sites;
       (6) facilitate identification of optimum techniques among 
     competing alternatives;
       (7) include business commercialization plans that have the 
     potential for production of equipment at high volumes and 
     operation and support at a large number of sites; and
       (8) satisfy other criteria that the Secretary determines 
     are necessary to carry out the program and collect necessary 
     data and information.

     The Secretary shall give preference to assessments that 
     address multiple elements contained in paragraphs (1) through 
     (8).
       (c) Grant Awards.--Each grant award for demonstration of 
     geothermal technology such as advanced organic rankine cycle 
     systems at oil and gas wells made by the Secretary under 
     subsection (b) shall include--
       (1) necessary and appropriate site engineering study;
       (2) detailed economic assessment of site specific 
     conditions;
       (3) appropriate feasibility studies to determine whether 
     the demonstration can be replicated;
       (4) design or adaptation of existing technology for site 
     specific circumstances or conditions;
       (5) installation of equipment, service, and support;
       (6) operation for a minimum of one year and monitoring for 
     the duration of the demonstration; and
       (7) validation of technical and economic assumptions and 
     documentation of lessons learned.
       (d) Geopressured Gas Resource Recovery and Production.--(1) 
     The Secretary shall implement a program to support the 
     research, development, demonstration, and commercial 
     application of cost-effective techniques to produce energy 
     from geopressured resources.
       (2) The Secretary shall solicit preliminary engineering 
     designs for geopressured resources production and recovery 
     facilities.
       (3) Based upon a review of the preliminary designs, the 
     Secretary shall award grants, which may be cost-shared, to 
     support the detailed development and completion of 
     engineering, architectural and technical plans needed to 
     support construction of new designs.
       (4) Based upon a review of the final design plans above, 
     the Secretary shall award cost-shared development and 
     construction grants for demonstration geopressured production 
     facilities that show potential for economic recovery of the 
     heat, kinetic energy and gas resources from geopressured 
     resources.
       (e) Competitive Grant Selection.--Not less than 90 days 
     after the date of the enactment of

[[Page 35885]]

     this Act, the Secretary shall conduct a national solicitation 
     for applications for grants under the programs outlined in 
     subsections (b) and (d). Grant recipients shall be selected 
     on a competitive basis based on criteria in the respective 
     subsection.
       (f) Well Drilling.--No funds may be used under this section 
     for the purpose of drilling new wells.

     SEC. 617. COST SHARING AND PROPOSAL EVALUATION.

       (a) Federal Share.--The Federal share of costs of projects 
     funded under this subtitle shall be in accordance with 
     section 988 of the Energy Policy Act of 2005.
       (b) Organization and Administration of Programs.--Programs 
     under this subtitle shall incorporate the following elements:
       (1) The Secretary shall coordinate with, and where 
     appropriate may provide funds in furtherance of the purposes 
     of this subtitle to, other Department of Energy research and 
     development programs focused on drilling, subsurface 
     characterization, and other related technologies.
       (2) In evaluating proposals, the Secretary shall give 
     priority to proposals that demonstrate clear evidence of 
     employing a systems approach.
       (3) The Secretary shall coordinate and consult with the 
     appropriate Federal land management agencies in selecting 
     proposals for funding under this subtitle.
       (4) Nothing in this subtitle shall be construed to alter or 
     affect any law relating to the management or protection of 
     Federal lands.

     SEC. 618. CENTER FOR GEOTHERMAL TECHNOLOGY TRANSFER.

       (a) In General.--The Secretary shall award to an 
     institution of higher education (or consortium thereof) a 
     grant to establish a Center for Geothermal Technology 
     Transfer (referred to in this section as the ``Center'').
       (b) Duties.--The Center shall--
       (1) serve as an information clearinghouse for the 
     geothermal industry by collecting and disseminating 
     information on best practices in all areas relating to 
     developing and utilizing geothermal resources;
       (2) make data collected by the Center available to the 
     public; and
       (3) seek opportunities to coordinate efforts and share 
     information with domestic and international partners engaged 
     in research and development of geothermal systems and related 
     technology.
       (c) Selection Criteria.--In awarding the grant under 
     subsection (a) the Secretary shall select an institution of 
     higher education (or consortium thereof) best suited to 
     provide national leadership on geothermal related issues and 
     perform the duties enumerated under subsection (b).
       (d) Duration of Grant.--A grant made under subsection (a)--
       (1) shall be for an initial period of 5 years; and
       (2) may be renewed for additional 5-year periods on the 
     basis of--
       (A) satisfactory performance in meeting the duties outlined 
     in subsection (b); and
       (B) any other requirements specified by the Secretary.

     SEC. 619. GEOPOWERING AMERICA.

       The Secretary shall expand the Department of Energy's 
     GeoPowering the West program to extend its geothermal 
     technology transfer activities throughout the entire United 
     States. The program shall be renamed ``GeoPowering America''. 
     The program shall continue to be based in the Department of 
     Energy office in Golden, Colorado.

     SEC. 620. EDUCATIONAL PILOT PROGRAM.

       The Secretary shall seek to award grant funding, on a 
     competitive basis, to an institution of higher education for 
     a geothermal-powered energy generation facility on the 
     institution's campus. The purpose of the facility shall be to 
     provide electricity and space heating. The facility shall 
     also serve as an educational resource to students in relevant 
     fields of study, and the data generated by the facility shall 
     be available to students and the general public. The total 
     funding award shall not exceed $2,000,000.

     SEC. 621. REPORTS.

       (a) Reports on Advanced Uses of Geothermal Energy.--Not 
     later than 3 years and 5 years after the date of enactment of 
     this Act, the Secretary shall report to the Committee on 
     Science and Technology of the House of Representatives and 
     the Committee on Energy and Natural Resources of the Senate 
     on advanced concepts and technologies to maximize the 
     geothermal resource potential of the United States. The 
     reports shall include--
       (1) the use of carbon dioxide as an alternative geofluid 
     with potential carbon sequestration benefits;
       (2) mineral recovery from geofluids;
       (3) use of geothermal energy to produce hydrogen;
       (4) use of geothermal energy to produce biofuels;
       (5) use of geothermal heat for oil recovery from oil shales 
     and tar sands; and
       (6) other advanced geothermal technologies, including 
     advanced drilling technologies and advanced power conversion 
     technologies.
       (b) Progress Reports.--(1) Not later than 36 months after 
     the date of enactment of this Act, the Secretary shall submit 
     to the Committee on Science and Technology of the House of 
     Representatives and the Committee on Energy and Natural 
     Resources of the Senate an interim report describing the 
     progress made under this subtitle. At the end of 60 months, 
     the Secretary shall submit to Congress a report on the 
     results of projects undertaken under this subtitle and other 
     such information the Secretary considers appropriate.
       (2) As necessary, the Secretary shall report to the 
     Congress on any legal, regulatory, or other barriers 
     encountered that hinder economic development of these 
     resources, and provide recommendations on legislative or 
     other actions needed to address such impediments.

     SEC. 622. APPLICABILITY OF OTHER LAWS.

       Nothing in this subtitle shall be construed as waiving, 
     modifying, or superseding the applicability of any 
     requirement under any environmental or other Federal or State 
     law. To the extent that activities authorized in this 
     subtitle take place in coastal and ocean areas, the Secretary 
     shall consult with the Secretary of Commerce, acting through 
     the Under Secretary of Commerce for Oceans and Atmosphere, 
     regarding the potential marine environmental impacts and 
     measures to address such impacts.

     SEC. 623. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Secretary to 
     carry out this subtitle $90,000,000 for each of the fiscal 
     years 2008 through 2012, of which $10,000,000 for each fiscal 
     year shall be for carrying out section 616. There are also 
     authorized to be appropriated to the Secretary for the 
     Intermountain West Geothermal Consortium $5,000,000 for each 
     of the fiscal years 2008 through 2012.

     SEC. 624. INTERNATIONAL GEOTHERMAL ENERGY DEVELOPMENT.

       (a) In General.--The Secretary of Energy, in coordination 
     with other appropriate Federal and multilateral agencies 
     (including the United States Agency for International 
     Development) shall support international collaborative 
     efforts to promote the research, development, and deployment 
     of geothermal technologies used to develop hydrothermal and 
     enhanced geothermal system resources, including as partners 
     (as appropriate) the African Rift Geothermal Development 
     Facility, Australia, China, France, the Republic of Iceland, 
     India, Japan, and the United Kingdom.
       (b) United States Trade and Development Agency.--The 
     Director of the United States Trade and Development Agency 
     may--
       (1) encourage participation by United States firms in 
     actions taken to carry out subsection (a); and
       (2) provide grants and other financial support for 
     feasibility and resource assessment studies conducted in, or 
     intended to benefit, less developed countries.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated to carry out this section $5,000,000 for 
     each of fiscal years 2008 through 2012.

     SEC. 625. HIGH COST REGION GEOTHERMAL ENERGY GRANT PROGRAM.

       (a) Definitions.--In this section:
       (1) Eligible entity.--The term ``eligible entity'' means--
       (A) a utility;
       (B) an electric cooperative;
       (C) a State;
       (D) a political subdivision of a State;
       (E) an Indian tribe; or
       (F) a Native corporation.
       (2) High-cost region.--The term ``high-cost region'' means 
     a region in which the average cost of electrical power 
     exceeds 150 percent of the national average retail cost, as 
     determined by the Secretary.
       (b) Program.--The Secretary shall use amounts made 
     available to carry out this section to make grants to 
     eligible entities for activities described in subsection (c).
       (c) Eligible Activities.--An eligible entity may use grant 
     funds under this section, with respect to a geothermal energy 
     project in a high-cost region, only--
       (1) to conduct a feasibility study, including a study of 
     exploration, geochemical testing, geomagnetic surveys, 
     geologic information gathering, baseline environmental 
     studies, well drilling, resource characterization, 
     permitting, and economic analysis;
       (2) for design and engineering costs, relating to the 
     project; and
       (3) to demonstrate and promote commercial application of 
     technologies related to geothermal energy as part of the 
     project.
       (d) Cost Sharing.--The cost-sharing requirements of section 
     988 of the Energy Policy Act of 2005 (42 U.S.C. 16352) shall 
     apply to any project carried out under this section.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.

   Subtitle C--Marine and Hydrokinetic Renewable Energy Technologies

     SEC. 631. SHORT TITLE.

       This subtitle may be cited as the ``Marine and Hydrokinetic 
     Renewable Energy Research and Development Act''.

     SEC. 632. DEFINITION.

       For purposes of this subtitle, the term ``marine and 
     hydrokinetic renewable energy'' means electrical energy 
     from--
       (1) waves, tides, and currents in oceans, estuaries, and 
     tidal areas;
       (2) free flowing water in rivers, lakes, and streams;
       (3) free flowing water in man-made channels; and
       (4) differentials in ocean temperature (ocean thermal 
     energy conversion).

     The term ``marine and hydrokinetic renewable energy'' does 
     not include energy from any source that uses a dam, 
     diversionary structure, or impoundment for electric power 
     purposes.

     SEC. 633. MARINE AND HYDROKINETIC RENEWABLE ENERGY RESEARCH 
                   AND DEVELOPMENT.

       (a) In General.--The Secretary, in consultation with the 
     Secretary of the Interior and the

[[Page 35886]]

     Secretary of Commerce, acting through the Under Secretary of 
     Commerce for Oceans and Atmosphere, shall establish a program 
     of research, development, demonstration, and commercial 
     application to expand marine and hydrokinetic renewable 
     energy production, including programs to--
       (1) study and compare existing marine and hydrokinetic 
     renewable energy technologies;
       (2) research, develop, and demonstrate marine and 
     hydrokinetic renewable energy systems and technologies;
       (3) reduce the manufacturing and operation costs of marine 
     and hydrokinetic renewable energy technologies;
       (4) investigate efficient and reliable integration with the 
     utility grid and intermittency issues;
       (5) advance wave forecasting technologies;
       (6) conduct experimental and numerical modeling for 
     optimization of marine energy conversion devices and arrays;
       (7) increase the reliability and survivability of marine 
     and hydrokinetic renewable energy technologies, including 
     development of corrosive-resistant materials;
       (8) identify, in conjunction with the Secretary of 
     Commerce, acting through the Under Secretary of Commerce for 
     Oceans and Atmosphere, and other Federal agencies as 
     appropriate, the potential environmental impacts, including 
     potential impacts on fisheries and other marine resources, of 
     marine and hydrokinetic renewable energy technologies, 
     measures to prevent adverse impacts, and technologies and 
     other means available for monitoring and determining 
     environmental impacts;
       (9) identify, in conjunction with the Secretary of the 
     Department in which the United States Coast Guard is 
     operating, acting through the Commandant of the United States 
     Coast Guard, the potential navigational impacts of marine and 
     hydrokinetic renewable energy technologies and measures to 
     prevent adverse impacts on navigation;
       (10) develop power measurement standards for marine and 
     hydrokinetic renewable energy;
       (11) develop identification standards for marine and 
     hydrokinetic renewable energy devices;
       (12) address standards development, demonstration, and 
     technology transfer for advanced systems engineering and 
     system integration methods to identify critical interfaces;
       (13) identifying opportunities for cross fertilization and 
     development of economies of scale between other renewable 
     sources and marine and hydrokinetic renewable energy sources; 
     and
       (14) providing public information and opportunity for 
     public comment concerning all technologies.
       (b) Report.--Not later than 18 months after the date of 
     enactment of this Act, the Secretary, in conjunction with the 
     Secretary of Commerce, acting through the Undersecretary of 
     Commerce for Oceans and Atmosphere, and the Secretary of the 
     Interior, shall provide to the Congress a report that 
     addresses--
       (1) the potential environmental impacts, including impacts 
     to fisheries and marine resources, of marine and hydrokinetic 
     renewable energy technologies;
       (2) options to prevent adverse environmental impacts;
       (3) the potential role of monitoring and adaptive 
     management in identifying and addressing any adverse 
     environmental impacts; and
       (4) the necessary components of such an adaptive management 
     program.

     SEC. 634. NATIONAL MARINE RENEWABLE ENERGY RESEARCH, 
                   DEVELOPMENT, AND DEMONSTRATION CENTERS.

       (a) Centers.--The Secretary shall award grants to 
     institutions of higher education (or consortia thereof) for 
     the establishment of 1 or more National Marine Renewable 
     Energy Research, Development, and Demonstration Centers. In 
     selecting locations for Centers, the Secretary shall consider 
     sites that meet one of the following criteria:
       (1) Hosts an existing marine renewable energy research and 
     development program in coordination with an engineering 
     program at an institution of higher education.
       (2) Has proven expertise to support environmental and 
     policy-related issues associated with harnessing of energy in 
     the marine environment.
       (3) Has access to and utilizes the marine resources in the 
     Gulf of Mexico, the Atlantic Ocean, or the Pacific Ocean.

     The Secretary may give special consideration to historically 
     black colleges and universities and land grant universities 
     that also meet one of these criteria. In establishing 
     criteria for the selection of the Centers, the Secretary 
     shall consult with the Secretary of Commerce, acting through 
     the Under Secretary of Commerce for Oceans and Atmosphere, on 
     the criteria related to ocean waves, tides, and currents 
     including those for advancing wave forecasting technologies, 
     ocean temperature differences, and studying the compatibility 
     of marine renewable energy technologies and systems with the 
     environment, fisheries, and other marine resources.
       (b) Purposes.--The Centers shall advance research, 
     development, demonstration, and commercial application of 
     marine renewable energy, and shall serve as an information 
     clearinghouse for the marine renewable energy industry, 
     collecting and disseminating information on best practices in 
     all areas related to developing and managing enhanced marine 
     renewable energy systems resources.
       (c) Demonstration of Need.--When applying for a grant under 
     this section, an applicant shall include a description of why 
     Federal support is necessary for the Center, including 
     evidence that the research of the Center will not be 
     conducted in the absence of Federal support.

     SEC. 635. APPLICABILITY OF OTHER LAWS.

       Nothing in this subtitle shall be construed as waiving, 
     modifying, or superseding the applicability of any 
     requirement under any environmental or other Federal or State 
     law.

     SEC. 636. AUTHORIZATION OF APPROPRIATIONS.

       There are authorized to be appropriated to the Secretary to 
     carry out this subtitle $50,000,000 for each of the fiscal 
     years 2008 through 2012, except that no funds shall be 
     appropriated under this section for activities that are 
     receiving funds under section 931(a)(2)(E)(i) of the Energy 
     Policy Act of 2005 (42 U.S.C. 16231(a)(2)(E)(i)).

    Subtitle D--Energy Storage for Transportation and Electric Power

     SEC. 641. ENERGY STORAGE COMPETITIVENESS.

       (a) Short Title.--This section may be cited as the ``United 
     States Energy Storage Competitiveness Act of 2007''.
       (b) Definitions.--In this section:
       (1) Council.--The term ``Council'' means the Energy Storage 
     Advisory Council established under subsection (e).
       (2) Compressed air energy storage.--The term ``compressed 
     air energy storage'' means, in the case of an electricity 
     grid application, the storage of energy through the 
     compression of air.
       (3) Electric drive vehicle.--The term ``electric drive 
     vehicle'' means--
       (A) a vehicle that uses an electric motor for all or part 
     of the motive power of the vehicle, including battery 
     electric, hybrid electric, plug-in hybrid electric, fuel 
     cell, and plug-in fuel cell vehicles and rail transportation 
     vehicles; or
       (B) mobile equipment that uses an electric motor to replace 
     an internal combustion engine for all or part of the work of 
     the equipment.
       (4) Islanding.--The term ``islanding'' means a distributed 
     generator or energy storage device continuing to power a 
     location in the absence of electric power from the primary 
     source.
       (5) Flywheel.--The term ``flywheel'' means, in the case of 
     an electricity grid application, a device used to store 
     rotational kinetic energy.
       (6) Microgrid.--The term ``microgrid'' means an integrated 
     energy system consisting of interconnected loads and 
     distributed energy resources (including generators and energy 
     storage devices), which as an integrated system can operate 
     in parallel with the utility grid or in an intentional 
     islanding mode.
       (7) Self-healing grid.--The term ``self-healing grid'' 
     means a grid that is capable of automatically anticipating 
     and responding to power system disturbances (including the 
     isolation of failed sections and components), while 
     optimizing the performance and service of the grid to 
     customers.
       (8) Spinning reserve services.--The term ``spinning reserve 
     services'' means a quantity of electric generating capacity 
     in excess of the quantity needed to meet peak electric 
     demand.
       (9) Ultracapacitor.--The term ``ultracapacitor'' means an 
     energy storage device that has a power density comparable to 
     a conventional capacitor but is capable of exceeding the 
     energy density of a conventional capacitor by several orders 
     of magnitude.
       (c) Program.--The Secretary shall carry out a research, 
     development, and demonstration program to support the ability 
     of the United States to remain globally competitive in energy 
     storage systems for electric drive vehicles, stationary 
     applications, and electricity transmission and distribution.
       (d) Coordination.--In carrying out the activities of this 
     section, the Secretary shall coordinate relevant efforts with 
     appropriate Federal agencies, including the Department of 
     Transportation.
       (e) Energy Storage Advisory Council.--
       (1) Establishment.--Not later than 90 days after the date 
     of enactment of this Act, the Secretary shall establish an 
     Energy Storage Advisory Council.
       (2) Composition.--
       (A) In general.--Subject to subparagraph (B), the Council 
     shall consist of not less than 15 individuals appointed by 
     the Secretary, based on recommendations of the National 
     Academy of Sciences.
       (B) Energy storage industry.--The Council shall consist 
     primarily of representatives of the energy storage industry 
     of the United States.
       (C) Chairperson.--The Secretary shall select a Chairperson 
     for the Council from among the members appointed under 
     subparagraph (A).
       (3) Meetings.--
       (A) In general.--The Council shall meet not less than once 
     a year.
       (B) Federal advisory committee act.--The Federal Advisory 
     Committee Act (5 U.S.C. App.) shall apply to a meeting of the 
     Council.
       (4) Plans.--No later than 1 year after the date of 
     enactment of this Act and every 5 years thereafter, the 
     Council, in conjunction with the Secretary, shall develop a 
     5-year plan for integrating basic and applied research so 
     that the United States retains a globally competitive 
     domestic energy storage industry for electric drive vehicles, 
     stationary applications, and electricity transmission and 
     distribution.
       (5) Review.--The Council shall--
       (A) assess, every 2 years, the performance of the 
     Department in meeting the goals of the plans developed under 
     paragraph (4); and
       (B) make specific recommendations to the Secretary on 
     programs or activities that should be established or 
     terminated to meet those goals.
       (f) Basic Research Program.--
       (1) Basic research.--The Secretary shall conduct a basic 
     research program on energy storage

[[Page 35887]]

     systems to support electric drive vehicles, stationary 
     applications, and electricity transmission and distribution, 
     including--
       (A) materials design;
       (B) materials synthesis and characterization;
       (C) electrode-active materials, including electrolytes and 
     bioelectrolytes;
       (D) surface and interface dynamics;
       (E) modeling and simulation; and
       (F) thermal behavior and life degradation mechanisms.
       (2) Nanoscience centers.--The Secretary, in cooperation 
     with the Council, shall coordinate the activities of the 
     nanoscience centers of the Department to help the energy 
     storage research centers of the Department maintain a 
     globally competitive posture in energy storage systems for 
     electric drive vehicles, stationary applications, and 
     electricity transmission and distribution.
       (3) Funding.--For activities carried out under this 
     subsection, in addition to funding activities at National 
     Laboratories, the Secretary shall award funds to, and 
     coordinate activities with, a range of stakeholders including 
     the public, private, and academic sectors.
       (g) Applied Research Program.--
       (1) In general.--The Secretary shall conduct an applied 
     research program on energy storage systems to support 
     electric drive vehicles, stationary applications, and 
     electricity transmission and distribution technologies, 
     including--
       (A) ultracapacitors;
       (B) flywheels;
       (C) batteries and battery systems (including flow 
     batteries);
       (D) compressed air energy systems;
       (E) power conditioning electronics;
       (F) manufacturing technologies for energy storage systems;
       (G) thermal management systems; and
       (H) hydrogen as an energy storage medium.
       (2) Funding.--For activities carried out under this 
     subsection, in addition to funding activities at National 
     Laboratories, the Secretary shall provide funds to, and 
     coordinate activities with, a range of stakeholders, 
     including the public, private, and academic sectors.
       (h) Energy Storage Research Centers.--
       (1) In general.--The Secretary shall establish, through 
     competitive bids, not more than 4 energy storage research 
     centers to translate basic research into applied technologies 
     to advance the capability of the United States to maintain a 
     globally competitive posture in energy storage systems for 
     electric drive vehicles, stationary applications, and 
     electricity transmission and distribution.
       (2) Program management.--The centers shall be managed by 
     the Under Secretary for Science of the Department.
       (3) Participation agreements.--As a condition of 
     participating in a center, a participant shall enter into a 
     participation agreement with the center that requires that 
     activities conducted by the participant for the center 
     promote the goal of enabling the United States to compete 
     successfully in global energy storage markets.
       (4) Plans.--A center shall conduct activities that promote 
     the achievement of the goals of the plans of the Council 
     under subsection (e)(4).
       (5) National laboratories.--A national laboratory (as 
     defined in section 2 of the Energy Policy Act of 2005 (42 
     U.S.C. 15801)) may participate in a center established under 
     this subsection, including a cooperative research and 
     development agreement (as defined in section 12(d) of the 
     Stevenson-Wydler Technology Innovation Act of 1980 (15 U.S.C. 
     3710a(d))).
       (6) Disclosure.--Section 623 of the Energy Policy Act of 
     1992 (42 U.S.C. 13293) may apply to any project carried out 
     through a grant, contract, or cooperative agreement under 
     this subsection.
       (7) Intellectual property.--In accordance with section 
     202(a)(ii) of title 35, United States Code, section 152 of 
     the Atomic Energy Act of 1954 (42 U.S.C. 2182), and section 9 
     of the Federal Nonnuclear Energy Research and Development Act 
     of 1974 (42 U.S.C. 5908), the Secretary may require, for any 
     new invention developed under this subsection, that--
       (A) if an industrial participant is active in a energy 
     storage research center established under this subsection 
     relating to the advancement of energy storage technologies 
     carried out, in whole or in part, with Federal funding, the 
     industrial participant be granted the first option to 
     negotiate with the invention owner, at least in the field of 
     energy storage technologies, nonexclusive licenses, and 
     royalties on terms that are reasonable, as determined by the 
     Secretary;
       (B) if 1 or more industry participants are active in a 
     center, during a 2-year period beginning on the date on which 
     an invention is made--
       (i) the patent holder shall not negotiate any license or 
     royalty agreement with any entity that is not an industrial 
     participant under this subsection; and
       (ii) the patent holder shall negotiate nonexclusive 
     licenses and royalties in good faith with any interested 
     industrial participant under this subsection; and
       (C) the new invention be developed under such other terms 
     as the Secretary determines to be necessary to promote the 
     accelerated commercialization of inventions made under this 
     subsection to advance the capability of the United States to 
     successfully compete in global energy storage markets.
       (i) Energy Storage Systems Demonstrations.--
       (1) In general.--The Secretary shall carry out a program of 
     new demonstrations of advanced energy storage systems.
       (2) Scope.--The demonstrations shall--
       (A) be regionally diversified; and
       (B) expand on the existing technology demonstration program 
     of the Department.
       (3) Stakeholders.--In carrying out the demonstrations, the 
     Secretary shall, to the maximum extent practicable, include 
     the participation of a range of stakeholders, including--
       (A) rural electric cooperatives;
       (B) investor owned utilities;
       (C) municipally owned electric utilities;
       (D) energy storage systems manufacturers;
       (E) electric drive vehicle manufacturers;
       (F) the renewable energy production industry;
       (G) State or local energy offices;
       (H) the fuel cell industry; and
       (I) institutions of higher education.
       (4) Objectives.--Each of the demonstrations shall include 1 
     or more of the following:
       (A) Energy storage to improve the feasibility of microgrids 
     or islanding, or transmission and distribution capability, to 
     improve reliability in rural areas.
       (B) Integration of an energy storage system with a self-
     healing grid.
       (C) Use of energy storage to improve security to emergency 
     response infrastructure and ensure availability of emergency 
     backup power for consumers.
       (D) Integration with a renewable energy production source, 
     at the source or away from the source.
       (E) Use of energy storage to provide ancillary services, 
     such as spinning reserve services, for grid management.
       (F) Advancement of power conversion systems to make the 
     systems smarter, more efficient, able to communicate with 
     other inverters, and able to control voltage.
       (G) Use of energy storage to optimize transmission and 
     distribution operation and power quality, which could address 
     overloaded lines and maintenance of transformers and 
     substations.
       (H) Use of advanced energy storage for peak load management 
     of homes, businesses, and the grid.
       (I) Use of energy storage devices to store energy during 
     nonpeak generation periods to make better use of existing 
     grid assets.
       (j) Vehicle Energy Storage Demonstration.--
       (1) In general.--The Secretary shall carry out a program of 
     electric drive vehicle energy storage technology 
     demonstrations.
       (2) Consortia.--The technology demonstrations shall be 
     conducted through consortia, which may include--
       (A) energy storage systems manufacturers and suppliers of 
     the manufacturers;
       (B) electric drive vehicle manufacturers;
       (C) rural electric cooperatives;
       (D) investor owned utilities;
       (E) municipal and rural electric utilities;
       (F) State and local governments;
       (G) metropolitan transportation authorities; and
       (H) institutions of higher education.
       (3) Objectives.--The program shall demonstrate 1 or more of 
     the following:
       (A) Novel, high capacity, high efficiency energy storage, 
     charging, and control systems, along with the collection of 
     data on performance characteristics, such as battery life, 
     energy storage capacity, and power delivery capacity.
       (B) Advanced onboard energy management systems and highly 
     efficient battery cooling systems.
       (C) Integration of those systems on a prototype vehicular 
     platform, including with drivetrain systems for passenger, 
     commercial, and nonroad electric drive vehicles.
       (D) New technologies and processes that reduce 
     manufacturing costs.
       (E) Integration of advanced vehicle technologies with 
     electricity distribution system and smart metering 
     technology.
       (F) Control systems that minimize emissions profiles in 
     cases in which clean diesel engines are part of a plug-in 
     hybrid drive system.
       (k) Secondary Applications and Disposal of Electric Drive 
     Vehicle Batteries.--The Secretary shall carry out a program 
     of research, development, and demonstration of--
       (1) secondary applications of energy storage devices 
     following service in electric drive vehicles; and
       (2) technologies and processes for final recycling and 
     disposal of the devices.
       (l) Cost Sharing.--The Secretary shall carry out the 
     programs established under this section in accordance with 
     section 988 of the Energy Policy Act of 2005 (42 U.S.C. 
     16352).
       (m) Merit Review of Proposals.--The Secretary shall carry 
     out the programs established under subsections (i), (j), and 
     (k) in accordance with section 989 of the Energy Policy Act 
     of 2005 (42 U.S.C. 16353).
       (n) Coordination and Nonduplication.--To the maximum extent 
     practicable, the Secretary shall coordinate activities under 
     this section with other programs and laboratories of the 
     Department and other Federal research programs.
       (o) Review by National Academy of Sciences.--On the 
     business day that is 5 years after the date of enactment of 
     this Act, the Secretary shall offer to enter into an 
     arrangement with the National Academy of Sciences to assess 
     the performance of the Department in carrying out this 
     section.
       (p) Authorization of Appropriations.--There are authorized 
     to be appropriated to carry out--
       (1) the basic research program under subsection (f) 
     $50,000,000 for each of fiscal years 2009 through 2018;

[[Page 35888]]

       (2) the applied research program under subsection (g) 
     $80,000,000 for each of fiscal years 2009 through 2018; and;
       (3) the energy storage research center program under 
     subsection (h) $100,000,000 for each of fiscal years 2009 
     through 2018;
       (4) the energy storage systems demonstration program under 
     subsection (i) $30,000,000 for each of fiscal years 2009 
     through 2018;
       (5) the vehicle energy storage demonstration program under 
     subsection (j) $30,000,000 for each of fiscal years 2009 
     through 2018; and
       (6) the secondary applications and disposal of electric 
     drive vehicle batteries program under subsection (k) 
     $5,000,000 for each of fiscal years 2009 through 2018.

                  Subtitle E--Miscellaneous Provisions

     SEC. 651. LIGHTWEIGHT MATERIALS RESEARCH AND DEVELOPMENT.

       (a) In General.--As soon as practicable after the date of 
     enactment of this Act, the Secretary of Energy shall 
     establish a program to determine ways in which the weight of 
     motor vehicles could be reduced to improve fuel efficiency 
     without compromising passenger safety by conducting research, 
     development, and demonstration relating to--
       (1) the development of new materials (including cast metal 
     composite materials formed by autocombustion synthesis) and 
     material processes that yield a higher strength-to-weight 
     ratio or other properties that reduce vehicle weight; and
       (2) reducing the cost of--
       (A) lightweight materials (including high-strength steel 
     alloys, aluminum, magnesium, metal composites, and carbon 
     fiber reinforced polymer composites) with the properties 
     required for construction of lighter-weight vehicles; and
       (B) materials processing, automated manufacturing, joining, 
     and recycling lightweight materials for high-volume 
     applications.
       (b) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $80,000,000 for 
     the period of fiscal years 2008 through 2012.

     SEC. 652. COMMERCIAL INSULATION DEMONSTRATION PROGRAM.

       (a) Definitions.--In this section:
       (1) Advanced insulation.--The term ``advanced insulation'' 
     means insulation that has an R value of not less than R35 per 
     inch.
       (2) Covered refrigeration unit.--The term ``covered 
     refrigeration unit'' means any--
       (A) commercial refrigerated truck;
       (B) commercial refrigerated trailer; or
       (C) commercial refrigerator, freezer, or refrigerator-
     freezer described in section 342(c) of the Energy Policy and 
     Conservation Act (42 U.S.C. 6313(c)).
       (b) Report.--Not later than 90 days after the date of 
     enactment of this Act, the Secretary shall submit to Congress 
     a report that includes an evaluation of--
       (1) the state of technological advancement of advanced 
     insulation; and
       (2) the projected amount of cost savings that would be 
     generated by implementing advanced insulation into covered 
     refrigeration units.
       (c) Demonstration Program.--
       (1) Establishment.--If the Secretary determines in the 
     report described in subsection (b) that the implementation of 
     advanced insulation into covered refrigeration units would 
     generate an economically justifiable amount of cost savings, 
     the Secretary, in cooperation with manufacturers of covered 
     refrigeration units, shall establish a demonstration program 
     under which the Secretary shall demonstrate the cost-
     effectiveness of advanced insulation.
       (2) Disclosure.--The Secretary may, for a period of up to 
     five years after an award is granted under the demonstration 
     program, exempt from mandatory disclosure under section 552 
     of title 5, United States Code (popularly known as the 
     Freedom of Information Act) information that the Secretary 
     determines would be a privileged or confidential trade secret 
     or commercial or financial information under subsection 
     (b)(4) of such section if the information had been obtained 
     from a non-Government party.
       (3) Cost-sharing.--Section 988 of the Energy Policy Act of 
     2005 (42 U.S.C. 16352) shall apply to any project carried out 
     under this subsection.
       (d) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $8,000,000 for 
     the period of fiscal years 2009 through 2014.

     SEC. 653. TECHNICAL CRITERIA FOR CLEAN COAL POWER INITIATIVE.

       Section 402(b)(1)(B)(ii) of the Energy Policy Act of 2005 
     (42 U.S.C. 15962(b)(1)(B)(ii)) is amended by striking 
     subclause (I) and inserting the following:

       ``(I)(aa) to remove at least 99 percent of sulfur dioxide; 
     or
       ``(bb) to emit not more than 0.04 pound SO2 per 
     million Btu, based on a 30-day average;''.

     SEC. 654. H-PRIZE.

       Section 1008 of the Energy Policy Act of 2005 (42 U.S.C. 
     16396) is amended by adding at the end the following new 
     subsection:
       ``(f) H-Prize.--
       ``(1) Prize authority.--
       ``(A) In general.--As part of the program under this 
     section, the Secretary shall carry out a program to 
     competitively award cash prizes in conformity with this 
     subsection to advance the research, development, 
     demonstration, and commercial application of hydrogen energy 
     technologies.
       ``(B) Advertising and solicitation of competitors.--
       ``(i) Advertising.--The Secretary shall widely advertise 
     prize competitions under this subsection to encourage broad 
     participation, including by individuals, universities 
     (including historically Black colleges and universities and 
     other minority serving institutions), and large and small 
     businesses (including businesses owned or controlled by 
     socially and economically disadvantaged persons).
       ``(ii) Announcement through federal register notice.--The 
     Secretary shall announce each prize competition under this 
     subsection by publishing a notice in the Federal Register. 
     This notice shall include essential elements of the 
     competition such as the subject of the competition, the 
     duration of the competition, the eligibility requirements for 
     participation in the competition, the process for 
     participants to register for the competition, the amount of 
     the prize, and the criteria for awarding the prize.
       ``(C) Administering the competitions.--The Secretary shall 
     enter into an agreement with a private, nonprofit entity to 
     administer the prize competitions under this subsection, 
     subject to the provisions of this subsection (in this 
     subsection referred to as the `administering entity'). The 
     duties of the administering entity under the agreement shall 
     include--
       ``(i) advertising prize competitions under this subsection 
     and their results;
       ``(ii) raising funds from private entities and individuals 
     to pay for administrative costs and to contribute to cash 
     prizes, including funds provided in exchange for the right to 
     name a prize awarded under this subsection;
       ``(iii) developing, in consultation with and subject to the 
     final approval of the Secretary, the criteria for selecting 
     winners in prize competitions under this subsection, based on 
     goals provided by the Secretary;
       ``(iv) determining, in consultation with the Secretary, the 
     appropriate amount and funding sources for each prize to be 
     awarded under this subsection, subject to the final approval 
     of the Secretary with respect to Federal funding;
       ``(v) providing advice and consultation to the Secretary on 
     the selection of judges in accordance with paragraph (2)(D), 
     using criteria developed in consultation with and subject to 
     the final approval of the Secretary; and
       ``(vi) protecting against the administering entity's 
     unauthorized use or disclosure of a registered participant's 
     trade secrets and confidential business information. Any 
     information properly identified as trade secrets or 
     confidential business information that is submitted by a 
     participant as part of a competitive program under this 
     subsection may be withheld from public disclosure.
       ``(D) Funding sources.--Prizes under this subsection shall 
     consist of Federal appropriated funds and any funds provided 
     by the administering entity (including funds raised pursuant 
     to subparagraph (C)(ii)) for such cash prize programs. The 
     Secretary may accept funds from other Federal agencies for 
     such cash prizes and, notwithstanding section 3302(b) of 
     title 31, United States Code, may use such funds for the cash 
     prize program under this subsection. Other than publication 
     of the names of prize sponsors, the Secretary may not give 
     any special consideration to any private sector entity or 
     individual in return for a donation to the Secretary or 
     administering entity.
       ``(E) Announcement of prizes.--The Secretary may not issue 
     a notice required by subparagraph (B)(ii) until all the funds 
     needed to pay out the announced amount of the prize have been 
     appropriated or committed in writing by the administering 
     entity. The Secretary may increase the amount of a prize 
     after an initial announcement is made under subparagraph 
     (B)(ii) if--
       ``(i) notice of the increase is provided in the same manner 
     as the initial notice of the prize; and
       ``(ii) the funds needed to pay out the announced amount of 
     the increase have been appropriated or committed in writing 
     by the administering entity.
       ``(F) Sunset.--The authority to announce prize competitions 
     under this subsection shall terminate on September 30, 2018.
       ``(2) Prize categories.--
       ``(A) Categories.--The Secretary shall establish prizes 
     under this subsection for--
       ``(i) advancements in technologies, components, or systems 
     related to--

       ``(I) hydrogen production;
       ``(II) hydrogen storage;
       ``(III) hydrogen distribution; and
       ``(IV) hydrogen utilization;

       ``(ii) prototypes of hydrogen-powered vehicles or other 
     hydrogen-based products that best meet or exceed objective 
     performance criteria, such as completion of a race over a 
     certain distance or terrain or generation of energy at 
     certain levels of efficiency; and
       ``(iii) transformational changes in technologies for the 
     distribution or production of hydrogen that meet or exceed 
     far-reaching objective criteria, which shall include minimal 
     carbon emissions and which may include cost criteria designed 
     to facilitate the eventual market success of a winning 
     technology.
       ``(B) Awards.--
       ``(i) Advancements.--To the extent permitted under 
     paragraph (1)(E), the prizes authorized under subparagraph 
     (A)(i) shall be awarded biennially to the most significant 
     advance made in each of the four subcategories described in 
     subclauses (I) through (IV) of subparagraph (A)(i) since the 
     submission deadline of the previous prize competition in the 
     same category under subparagraph (A)(i) or the date of 
     enactment of this subsection, whichever is later, unless no 
     such advance is significant enough to merit an award. No one 
     such prize may exceed $1,000,000. If less than $4,000,000 is 
     available for

[[Page 35889]]

     a prize competition under subparagraph (A)(i), the Secretary 
     may omit one or more subcategories, reduce the amount of the 
     prizes, or not hold a prize competition.
       ``(ii) Prototypes.--To the extent permitted under paragraph 
     (1)(E), prizes authorized under subparagraph (A)(ii) shall be 
     awarded biennially in alternate years from the prizes 
     authorized under subparagraph (A)(i). The Secretary is 
     authorized to award up to one prize in this category in each 
     2-year period. No such prize may exceed $4,000,000. If no 
     registered participants meet the objective performance 
     criteria established pursuant to subparagraph (C) for a 
     competition under this clause, the Secretary shall not award 
     a prize.
       ``(iii) Transformational technologies.--To the extent 
     permitted under paragraph (1)(E), the Secretary shall 
     announce one prize competition authorized under subparagraph 
     (A)(iii) as soon after the date of enactment of this 
     subsection as is practicable. A prize offered under this 
     clause shall be not less than $10,000,000, paid to the winner 
     in a lump sum, and an additional amount paid to the winner as 
     a match for each dollar of private funding raised by the 
     winner for the hydrogen technology beginning on the date the 
     winner was named. The match shall be provided for 3 years 
     after the date the prize winner is named or until the full 
     amount of the prize has been paid out, whichever occurs 
     first. A prize winner may elect to have the match amount paid 
     to another entity that is continuing the development of the 
     winning technology. The Secretary shall announce the rules 
     for receiving the match in the notice required by paragraph 
     (1)(B)(ii). The Secretary shall award a prize under this 
     clause only when a registered participant has met the 
     objective criteria established for the prize pursuant to 
     subparagraph (C) and announced pursuant to paragraph 
     (1)(B)(ii). Not more than $10,000,000 in Federal funds may be 
     used for the prize award under this clause. The administering 
     entity shall seek to raise $40,000,000 toward the matching 
     award under this clause.
       ``(C) Criteria.--In establishing the criteria required by 
     this subsection, the Secretary--
       ``(i) shall consult with the Department's Hydrogen 
     Technical and Fuel Cell Advisory Committee;
       ``(ii) shall consult with other Federal agencies, including 
     the National Science Foundation; and
       ``(iii) may consult with other experts such as private 
     organizations, including professional societies, industry 
     associations, and the National Academy of Sciences and the 
     National Academy of Engineering.
       ``(D) Judges.--For each prize competition under this 
     subsection, the Secretary in consultation with the 
     administering entity shall assemble a panel of qualified 
     judges to select the winner or winners on the basis of the 
     criteria established under subparagraph (C). Judges for each 
     prize competition shall include individuals from outside the 
     Department, including from the private sector. A judge, 
     spouse, minor children, and members of the judge's household 
     may not--
       ``(i) have personal or financial interests in, or be an 
     employee, officer, director, or agent of, any entity that is 
     a registered participant in the prize competition for which 
     he or she will serve as a judge; or
       ``(ii) have a familial or financial relationship with an 
     individual who is a registered participant in the prize 
     competition for which he or she will serve as a judge.
       ``(3) Eligibility.--To be eligible to win a prize under 
     this subsection, an individual or entity--
       ``(A) shall have complied with all the requirements in 
     accordance with the Federal Register notice required under 
     paragraph (1)(B)(ii);
       ``(B) in the case of a private entity, shall be 
     incorporated in and maintain a primary place of business in 
     the United States, and in the case of an individual, whether 
     participating singly or in a group, shall be a citizen of, or 
     an alien lawfully admitted for permanent residence in, the 
     United States; and
       ``(C) shall not be a Federal entity, a Federal employee 
     acting within the scope of his employment, or an employee of 
     a national laboratory acting within the scope of his 
     employment.
       ``(4) Intellectual property.--The Federal Government shall 
     not, by virtue of offering or awarding a prize under this 
     subsection, be entitled to any intellectual property rights 
     derived as a consequence of, or direct relation to, the 
     participation by a registered participant in a competition 
     authorized by this subsection. This paragraph shall not be 
     construed to prevent the Federal Government from negotiating 
     a license for the use of intellectual property developed for 
     a prize competition under this subsection.
       ``(5) Liability.--
       ``(A) Waiver of liability.--The Secretary may require 
     registered participants to waive claims against the Federal 
     Government and the administering entity (except claims for 
     willful misconduct) for any injury, death, damage, or loss of 
     property, revenue, or profits arising from the registered 
     participants' participation in a competition under this 
     subsection. The Secretary shall give notice of any waiver 
     required under this subparagraph in the notice required by 
     paragraph (1)(B)(ii). The Secretary may not require a 
     registered participant to waive claims against the 
     administering entity arising out of the unauthorized use or 
     disclosure by the administering entity of the registered 
     participant's trade secrets or confidential business 
     information.
       ``(B) Liability insurance.--
       ``(i) Requirements.--Registered participants in a prize 
     competition under this subsection shall be required to obtain 
     liability insurance or demonstrate financial responsibility, 
     in amounts determined by the Secretary, for claims by--

       ``(I) a third party for death, bodily injury, or property 
     damage or loss resulting from an activity carried out in 
     connection with participation in a competition under this 
     subsection; and
       ``(II) the Federal Government for damage or loss to 
     Government property resulting from such an activity.

       ``(ii) Federal government insured.--The Federal Government 
     shall be named as an additional insured under a registered 
     participant's insurance policy required under clause (i)(I), 
     and registered participants shall be required to agree to 
     indemnify the Federal Government against third party claims 
     for damages arising from or related to competition activities 
     under this subsection.
       ``(6) Report to congress.--Not later than 60 days after the 
     awarding of the first prize under this subsection, and 
     annually thereafter, the Secretary shall transmit to the 
     Congress a report that--
       ``(A) identifies each award recipient;
       ``(B) describes the technologies developed by each award 
     recipient; and
       ``(C) specifies actions being taken toward commercial 
     application of all technologies with respect to which a prize 
     has been awarded under this subsection.
       ``(7) Authorization of appropriations.--
       ``(A) In general.--
       ``(i) Awards.--There are authorized to be appropriated to 
     the Secretary for the period encompassing fiscal years 2008 
     through 2017 for carrying out this subsection--

       ``(I) $20,000,000 for awards described in paragraph 
     (2)(A)(i);
       ``(II) $20,000,000 for awards described in paragraph 
     (2)(A)(ii); and
       ``(III) $10,000,000 for the award described in paragraph 
     (2)(A)(iii).

       ``(ii) Administration.--In addition to the amounts 
     authorized in clause (i), there are authorized to be 
     appropriated to the Secretary for each of fiscal years 2008 
     and 2009 $2,000,000 for the administrative costs of carrying 
     out this subsection.
       ``(B) Carryover of funds.--Funds appropriated for prize 
     awards under this subsection shall remain available until 
     expended, and may be transferred, reprogrammed, or expended 
     for other purposes only after the expiration of 10 fiscal 
     years after the fiscal year for which the funds were 
     originally appropriated. No provision in this subsection 
     permits obligation or payment of funds in violation of 
     section 1341 of title 31 of the United States Code (commonly 
     referred to as the Anti-Deficiency Act).
       ``(8) Nonsubstitution.--The programs created under this 
     subsection shall not be considered a substitute for Federal 
     research and development programs.''.

     SEC. 655. BRIGHT TOMORROW LIGHTING PRIZES.

       (a) Establishment.--Not later than 1 year after the date of 
     enactment of this Act, as part of the program carried out 
     under section 1008 of the Energy Policy Act of 2005 (42 
     U.S.C. 16396), the Secretary shall establish and award Bright 
     Tomorrow Lighting Prizes for solid state lighting in 
     accordance with this section.
       (b) Prize Specifications.--
       (1) 60-watt incandescent replacement lamp prize.--The 
     Secretary shall award a 60-Watt Incandescent Replacement Lamp 
     Prize to an entrant that produces a solid-state light package 
     simultaneously capable of--
       (A) producing a luminous flux greater than 900 lumens;
       (B) consuming less than or equal to 10 watts;
       (C) having an efficiency greater than 90 lumens per watt;
       (D) having a color rendering index greater than 90;
       (E) having a correlated color temperature of not less than 
     2,750, and not more than 3,000, degrees Kelvin;
       (F) having 70 percent of the lumen value under subparagraph 
     (A) exceeding 25,000 hours under typical conditions expected 
     in residential use;
       (G) having a light distribution pattern similar to a soft 
     60-watt incandescent A19 bulb;
       (H) having a size and shape that fits within the maximum 
     dimensions of an A19 bulb in accordance with American 
     National Standards Institute standard C78.20-2003, figure 
     C78.20-211;
       (I) using a single contact medium screw socket; and
       (J) mass production for a competitive sales commercial 
     market satisfied by producing commercially accepted quality 
     control lots of such units equal to or exceeding the criteria 
     described in subparagraphs (A) through (I).
       (2) PAR type 38 halogen replacement lamp prize.--The 
     Secretary shall award a Parabolic Aluminized Reflector Type 
     38 Halogen Replacement Lamp Prize (referred to in this 
     section as the ``PAR Type 38 Halogen Replacement Lamp 
     Prize'') to an entrant that produces a solid-state-light 
     package simultaneously capable of--
       (A) producing a luminous flux greater than or equal to 
     1,350 lumens;
       (B) consuming less than or equal to 11 watts;
       (C) having an efficiency greater than 123 lumens per watt;
       (D) having a color rendering index greater than or equal to 
     90;
       (E) having a correlated color coordinate temperature of not 
     less than 2,750, and not more than 3,000, degrees Kelvin;
       (F) having 70 percent of the lumen value under subparagraph 
     (A) exceeding 25,000 hours under typical conditions expected 
     in residential use;

[[Page 35890]]

       (G) having a light distribution pattern similar to a PAR 38 
     halogen lamp;
       (H) having a size and shape that fits within the maximum 
     dimensions of a PAR 38 halogen lamp in accordance with 
     American National Standards Institute standard C78-21-2003, 
     figure C78.21-238;
       (I) using a single contact medium screw socket; and
       (J) mass production for a competitive sales commercial 
     market satisfied by producing commercially accepted quality 
     control lots of such units equal to or exceeding the criteria 
     described in subparagraphs (A) through (I).
       (3) Twenty-first century lamp prize.--The Secretary shall 
     award a Twenty-First Century Lamp Prize to an entrant that 
     produces a solid-state-light-light capable of--
       (A) producing a light output greater than 1,200 lumens;
       (B) having an efficiency greater than 150 lumens per watt;
       (C) having a color rendering index greater than 90;
       (D) having a color coordinate temperature between 2,800 and 
     3,000 degrees Kelvin; and
       (E) having a lifetime exceeding 25,000 hours.
       (c) Private Funds.--
       (1) In general.--Subject to paragraph (2), and 
     notwithstanding section 3302 of title 31, United States Code, 
     the Secretary may accept, retain, and use funds contributed 
     by any person, government entity, or organization for 
     purposes of carrying out this subsection--
       (A) without further appropriation; and
       (B) without fiscal year limitation.
       (2) Prize competition.--A private source of funding may not 
     participate in the competition for prizes awarded under this 
     section.
       (d) Technical Review.--The Secretary shall establish a 
     technical review committee composed of non-Federal officers 
     to review entrant data submitted under this section to 
     determine whether the data meets the prize specifications 
     described in subsection (b).
       (e) Third Party Administration.--The Secretary may 
     competitively select a third party to administer awards under 
     this section.
       (f) Eligibility for Prizes.--To be eligible to be awarded a 
     prize under this section--
       (1) in the case of a private entity, the entity shall be 
     incorporated in and maintain a primary place of business in 
     the United States; and
       (2) in the case of an individual (whether participating as 
     a single individual or in a group), the individual shall be a 
     citizen or lawful permanent resident of the United States.
       (g) Award Amounts.--Subject to the availability of funds to 
     carry out this section, the amount of--
       (1) the 60-Watt Incandescent Replacement Lamp Prize 
     described in subsection (b)(1) shall be $10,000,000;
       (2) the PAR Type 38 Halogen Replacement Lamp Prize 
     described in subsection (b)(2) shall be $5,000,000; and
       (3) the Twenty-First Century Lamp Prize described in 
     subsection (b)(3) shall be $5,000,000.
       (h) Federal Procurement of Solid-State-Lights.--
       (1) 60-watt incandescent replacement.--Subject to paragraph 
     (3), as soon as practicable after the successful award of the 
     60-Watt Incandescent Replacement Lamp Prize under subsection 
     (b)(1), the Secretary (in consultation with the Administrator 
     of General Services) shall develop governmentwide Federal 
     purchase guidelines with a goal of replacing the use of 60-
     watt incandescent lamps in Federal Government buildings with 
     a solid-state-light package described in subsection (b)(1) by 
     not later than the date that is 5 years after the date the 
     award is made.
       (2) PAR 38 halogen replacement lamp replacement.--Subject 
     to paragraph (3), as soon as practicable after the successful 
     award of the PAR Type 38 Halogen Replacement Lamp Prize under 
     subsection (b)(2), the Secretary (in consultation with the 
     Administrator of General Services) shall develop 
     governmentwide Federal purchase guidelines with the goal of 
     replacing the use of PAR 38 halogen lamps in Federal 
     Government buildings with a solid-state-light package 
     described in subsection (b)(2) by not later than the date 
     that is 5 years after the date the award is made.
       (3) Waivers.--
       (A) In general.--The Secretary or the Administrator of 
     General Services may waive the application of paragraph (1) 
     or (2) if the Secretary or Administrator determines that the 
     return on investment from the purchase of a solid-state-light 
     package described in paragraph (1) or (2) of subsection (b), 
     respectively, is cost prohibitive.
       (B) Report of waiver.--If the Secretary or Administrator 
     waives the application of paragraph (1) or (2), the Secretary 
     or Administrator, respectively, shall submit to Congress an 
     annual report that describes the waiver and provides a 
     detailed justification for the waiver.
       (i) Report.--Not later than 2 years after the date of 
     enactment of this Act, and annually thereafter, the 
     Administrator of General Services shall submit to the Energy 
     Information Agency a report describing the quantity, type, 
     and cost of each lighting product purchased by the Federal 
     Government.
       (j) Bright Tomorrow Lighting Award Fund.--
       (1) Establishment.--There is established in the United 
     States Treasury a Bright Tomorrow Lighting permanent fund 
     without fiscal year limitation to award prizes under 
     paragraphs (1), (2), and (3) of subsection (b).
       (2) Sources of funding.--The fund established under 
     paragraph (1) shall accept--
       (A) fiscal year appropriations; and
       (B) private contributions authorized under subsection (c).
       (k) Authorization of Appropriations.--There are authorized 
     to be appropriated such sums as are necessary to carry out 
     this section.

     SEC. 656. RENEWABLE ENERGY INNOVATION MANUFACTURING 
                   PARTNERSHIP.

       (a) Establishment.--The Secretary shall carry out a 
     program, to be known as the Renewable Energy Innovation 
     Manufacturing Partnership Program (referred to in this 
     section as the ``Program''), to make assistance awards to 
     eligible entities for use in carrying out research, 
     development, and demonstration relating to the manufacturing 
     of renewable energy technologies.
       (b) Solicitation.--To carry out the Program, the Secretary 
     shall annually conduct a competitive solicitation for 
     assistance awards for an eligible project described in 
     subsection (e).
       (c) Program Purposes.--The purposes of the Program are--
       (1) to develop, or aid in the development of, advanced 
     manufacturing processes, materials, and infrastructure;
       (2) to increase the domestic production of renewable energy 
     technology and components; and
       (3) to better coordinate Federal, State, and private 
     resources to meet regional and national renewable energy 
     goals through advanced manufacturing partnerships.
       (d) Eligible Entities.--An entity shall be eligible to 
     receive an assistance award under the Program to carry out an 
     eligible project described in subsection (e) if the entity is 
     composed of--
       (1) 1 or more public or private nonprofit institutions or 
     national laboratories engaged in research, development, 
     demonstration, or technology transfer, that would participate 
     substantially in the project; and
       (2) 1 or more private entities engaged in the manufacturing 
     or development of renewable energy system components 
     (including solar energy, wind energy, biomass, geothermal 
     energy, energy storage, or fuel cells).
       (e) Eligible Projects.--An eligible entity may use an 
     assistance award provided under this section to carry out a 
     project relating to--
       (1) the conduct of studies of market opportunities for 
     component manufacturing of renewable energy systems;
       (2) the conduct of multiyear applied research, development, 
     demonstration, and deployment projects for advanced 
     manufacturing processes, materials, and infrastructure for 
     renewable energy systems; and
       (3) other similar ventures, as approved by the Secretary, 
     that promote advanced manufacturing of renewable 
     technologies.
       (f) Criteria and Guidelines.--The Secretary shall establish 
     criteria and guidelines for the submission, evaluation, and 
     funding of proposed projects under the Program.
       (g) Cost Sharing.--Section 988 of the Energy Policy Act of 
     2005 (42 U.S.C. 16352) shall apply to a project carried out 
     under this section.
       (h) Disclosure.--The Secretary may, for a period of up to 
     five years after an award is granted under this section, 
     exempt from mandatory disclosure under section 552 of title 
     5, United States Code (popularly known as the Freedom of 
     Information Act) information that the Secretary determines 
     would be a privileged or confidential trade secret or 
     commercial or financial information under subsection (b)(4) 
     of such section if the information had been obtained from a 
     non-Government party.
       (i) Sense of the Congress.--It is the sense of the Congress 
     that the Secretary should ensure that small businesses 
     engaged in renewable manufacturing be given priority 
     consideration for the assistance awards provided under this 
     section.
       (j) Authorization of Appropriations.--There is authorized 
     to be appropriated out of funds already authorized to carry 
     out this section $25,000,000 for each of fiscal years 2008 
     through 2013, to remain available until expended.

              TITLE VII--CARBON CAPTURE AND SEQUESTRATION

Subtitle A--Carbon Capture and Sequestration Research, Development, and 
                             Demonstration

     SEC. 701. SHORT TITLE.

       This subtitle may be cited as the ``Department of Energy 
     Carbon Capture and Sequestration Research, Development, and 
     Demonstration Act of 2007''.

     SEC. 702. CARBON CAPTURE AND SEQUESTRATION RESEARCH, 
                   DEVELOPMENT, AND DEMONSTRATION PROGRAM.

       (a) Amendment.--Section 963 of the Energy Policy Act of 
     2005 (42 U.S.C. 16293) is amended--
       (1) in the section heading, by striking ``RESEARCH AND 
     DEVELOPMENT'' and inserting ``AND SEQUESTRATION RESEARCH, 
     DEVELOPMENT, AND DEMONSTRATION'';
       (2) in subsection (a)--
       (A) by striking ``research and development'' and inserting 
     ``and sequestration research, development, and 
     demonstration''; and
       (B) by striking ``capture technologies on combustion-based 
     systems'' and inserting ``capture and sequestration 
     technologies related to industrial sources of carbon 
     dioxide'';
       (3) in subsection (b)--
       (A) in paragraph (3), by striking ``and'' at the end;
       (B) in paragraph (4), by striking the period at the end and 
     inserting ``; and''; and
       (C) by adding at the end the following:
       ``(5) to expedite and carry out large-scale testing of 
     carbon sequestration systems in a range

[[Page 35891]]

     of geologic formations that will provide information on the 
     cost and feasibility of deployment of sequestration 
     technologies.''; and
       (4) by striking subsection (c) and inserting the following:
       ``(c) Programmatic Activities.--
       ``(1) Fundamental science and engineering research and 
     development and demonstration supporting carbon capture and 
     sequestration technologies and carbon use activities.--
       ``(A) In general.--The Secretary shall carry out 
     fundamental science and engineering research (including 
     laboratory-scale experiments, numeric modeling, and 
     simulations) to develop and document the performance of new 
     approaches to capture and sequester, or use carbon dioxide to 
     lead to an overall reduction of carbon dioxide emissions.
       ``(B) Program integration.--The Secretary shall ensure that 
     fundamental research carried out under this paragraph is 
     appropriately applied to energy technology development 
     activities, the field testing of carbon sequestration, and 
     carbon use activities, including--
       ``(i) development of new or advanced technologies for the 
     capture and sequestration of carbon dioxide;
       ``(ii) development of new or advanced technologies that 
     reduce the cost and increase the efficacy of advanced 
     compression of carbon dioxide required for the sequestration 
     of carbon dioxide;
       ``(iii) modeling and simulation of geologic sequestration 
     field demonstrations;
       ``(iv) quantitative assessment of risks relating to 
     specific field sites for testing of sequestration 
     technologies;
       ``(v) research and development of new and advanced 
     technologies for carbon use, including recycling and reuse of 
     carbon dioxide; and
       ``(vi) research and development of new and advanced 
     technologies for the separation of oxygen from air.
       ``(2) Field validation testing activities.--
       ``(A) In general.--The Secretary shall promote, to the 
     maximum extent practicable, regional carbon sequestration 
     partnerships to conduct geologic sequestration tests 
     involving carbon dioxide injection and monitoring, 
     mitigation, and verification operations in a variety of 
     candidate geologic settings, including--
       ``(i) operating oil and gas fields;
       ``(ii) depleted oil and gas fields;
       ``(iii) unmineable coal seams;
       ``(iv) deep saline formations;
       ``(v) deep geologic systems that may be used as engineered 
     reservoirs to extract economical quantities of heat from 
     geothermal resources of low permeability or porosity; and
       ``(vi) deep geologic systems containing basalt formations.
       ``(B) Objectives.--The objectives of tests conducted under 
     this paragraph shall be--
       ``(i) to develop and validate geophysical tools, analysis, 
     and modeling to monitor, predict, and verify carbon dioxide 
     containment;
       ``(ii) to validate modeling of geologic formations;
       ``(iii) to refine sequestration capacity estimated for 
     particular geologic formations;
       ``(iv) to determine the fate of carbon dioxide concurrent 
     with and following injection into geologic formations;
       ``(v) to develop and implement best practices for 
     operations relating to, and monitoring of, carbon dioxide 
     injection and sequestration in geologic formations;
       ``(vi) to assess and ensure the safety of operations 
     related to geologic sequestration of carbon dioxide;
       ``(vii) to allow the Secretary to promulgate policies, 
     procedures, requirements, and guidance to ensure that the 
     objectives of this subparagraph are met in large-scale 
     testing and deployment activities for carbon capture and 
     sequestration that are funded by the Department of Energy; 
     and
       ``(viii) to provide information to States, the 
     Environmental Protection Agency, and other appropriate 
     entities to support development of a regulatory framework for 
     commercial-scale sequestration operations that ensure the 
     protection of human health and the environment.
       ``(3) Large-scale carbon dioxide sequestration testing.--
       ``(A) In general.--The Secretary shall conduct not less 
     than 7 initial large-scale sequestration tests, not including 
     the FutureGen project, for geologic containment of carbon 
     dioxide to collect and validate information on the cost and 
     feasibility of commercial deployment of technologies for 
     geologic containment of carbon dioxide. These 7 tests may 
     include any Regional Partnership projects awarded as of the 
     date of enactment of the Department of Energy Carbon Capture 
     and Sequestration Research, Development, and Demonstration 
     Act of 2007.
       ``(B) Diversity of formations to be studied.--In selecting 
     formations for study under this paragraph, the Secretary 
     shall consider a variety of geologic formations across the 
     United States, and require characterization and modeling of 
     candidate formations, as determined by the Secretary.
       ``(C) Source of carbon dioxide for large-scale 
     sequestration tests.--In the process of any acquisition of 
     carbon dioxide for sequestration tests under subparagraph 
     (A), the Secretary shall give preference to sources of carbon 
     dioxide from industrial sources. To the extent feasible, the 
     Secretary shall prefer tests that would facilitate the 
     creation of an integrated system of capture, transportation 
     and sequestration of carbon dioxide. The preference provided 
     for under this subparagraph shall not delay the 
     implementation of the large-scale sequestration tests under 
     this paragraph.
       ``(D) Definition.--For purposes of this paragraph, the term 
     `large-scale' means the injection of more than 1,000,000 tons 
     of carbon dioxide from industrial sources annually or a scale 
     that demonstrates the ability to inject and sequester several 
     million metric tons of industrial source carbon dioxide for a 
     large number of years.
       ``(4) Preference in project selection from meritorious 
     proposals.--In making competitive awards under this 
     subsection, subject to the requirements of section 989, the 
     Secretary shall--
       ``(A) give preference to proposals from partnerships among 
     industrial, academic, and government entities; and
       ``(B) require recipients to provide assurances that all 
     laborers and mechanics employed by contractors and 
     subcontractors in the construction, repair, or alteration of 
     new or existing facilities performed in order to carry out a 
     demonstration or commercial application activity authorized 
     under this subsection shall be paid wages at rates not less 
     than those prevailing on similar construction in the 
     locality, as determined by the Secretary of Labor in 
     accordance with subchapter IV of chapter 31 of title 40, 
     United States Code, and the Secretary of Labor shall, with 
     respect to the labor standards in this paragraph, have the 
     authority and functions set forth in Reorganization Plan 
     Numbered 14 of 1950 (15 Fed. Reg. 3176; 5 U.S.C. Appendix) 
     and section 3145 of title 40, United States Code.
       ``(5) Cost sharing.--Activities under this subsection shall 
     be considered research and development activities that are 
     subject to the cost sharing requirements of section 988(b).
       ``(6) Program review and report.--During fiscal year 2011, 
     the Secretary shall--
       ``(A) conduct a review of programmatic activities carried 
     out under this subsection; and
       ``(B) make recommendations with respect to continuation of 
     the activities.
       ``(d) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section--
       ``(1) $240,000,000 for fiscal year 2008;
       ``(2) $240,000,000 for fiscal year 2009;
       ``(3) $240,000,000 for fiscal year 2010;
       ``(4) $240,000,000 for fiscal year 2011; and
       ``(5) $240,000,000 for fiscal year 2012.''.
       (b) Table of Contents Amendment.--The item relating to 
     section 963 in the table of contents for the Energy Policy 
     Act of 2005 is amended to read as follows:

``Sec. 963. Carbon capture and sequestration research, development, and 
              demonstration program.''.

     SEC. 703. CARBON CAPTURE.

       (a) Program Establishment.--
       (1) In general.--The Secretary shall carry out a program to 
     demonstrate technologies for the large-scale capture of 
     carbon dioxide from industrial sources. In making awards 
     under this program, the Secretary shall select, as 
     appropriate, a diversity of capture technologies to address 
     the need to capture carbon dioxide from a range of industrial 
     sources.
       (2) Scope of award.--Awards under this section shall be 
     only for the portion of the project that--
       (A) carries out the large-scale capture (including 
     purification and compression) of carbon dioxide from 
     industrial sources;
       (B) provides for the transportation and injection of carbon 
     dioxide; and
       (C) incorporates a comprehensive measurement, monitoring, 
     and validation program.
       (3) Preferences for award.--To ensure reduced carbon 
     dioxide emissions, the Secretary shall take necessary actions 
     to provide for the integration of the program under this 
     paragraph with the large-scale carbon dioxide sequestration 
     tests described in section 963(c)(3) of the Energy Policy Act 
     of 2005 (42 U.S.C. 16293(c)(3)), as added by section 702 of 
     this subtitle. These actions should not delay implementation 
     of these tests. The Secretary shall give priority 
     consideration to projects with the following characteristics:
       (A) Capacity.--Projects that will capture a high percentage 
     of the carbon dioxide in the treated stream and large volumes 
     of carbon dioxide as determined by the Secretary.
       (B) Sequestration.--Projects that capture carbon dioxide 
     from industrial sources that are near suitable geological 
     reservoirs and could continue sequestration including--
       (i) a field testing validation activity under section 963 
     of the Energy Policy Act of 2005 (42 U.S.C. 16293), as 
     amended by this Act; or
       (ii) other geologic sequestration projects approved by the 
     Secretary.
       (4) Requirement.--For projects that generate carbon dioxide 
     that is to be sequestered, the carbon dioxide stream shall be 
     of a sufficient purity level to allow for safe transport and 
     sequestration.
       (5) Cost-sharing.--The cost-sharing requirements of section 
     988 of the Energy Policy Act of 2005 (42 U.S.C. 16352) for 
     research and development projects shall apply to this 
     section.
       (b) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary to carry out this section 
     $200,000,000 per year for fiscal years 2009 through 2013.

     SEC. 704. REVIEW OF LARGE-SCALE PROGRAMS.

       The Secretary shall enter into an arrangement with the 
     National Academy of Sciences for an independent review and 
     oversight, beginning in 2011, of the programs under section 
     963(c)(3) of the Energy Policy Act of 2005 (42 U.S.C. 
     16293(c)(3)), as added by section 702 of this subtitle, and 
     under section 703 of this subtitle, to ensure that the 
     benefits of such programs are

[[Page 35892]]

     maximized. Not later than January 1, 2012, the Secretary 
     shall transmit to the Congress a report on the results of 
     such review and oversight.

     SEC. 705. GEOLOGIC SEQUESTRATION TRAINING AND RESEARCH.

       (a) Study.--
       (1) In general.--The Secretary shall enter into an 
     arrangement with the National Academy of Sciences to 
     undertake a study that--
       (A) defines an interdisciplinary program in geology, 
     engineering, hydrology, environmental science, and related 
     disciplines that will support the Nation's capability to 
     capture and sequester carbon dioxide from anthropogenic 
     sources;
       (B) addresses undergraduate and graduate education, 
     especially to help develop graduate level programs of 
     research and instruction that lead to advanced degrees with 
     emphasis on geologic sequestration science;
       (C) develops guidelines for proposals from colleges and 
     universities with substantial capabilities in the required 
     disciplines that seek to implement geologic sequestration 
     science programs that advance the Nation's capacity to 
     address carbon management through geologic sequestration 
     science; and
       (D) outlines a budget and recommendations for how much 
     funding will be necessary to establish and carry out the 
     grant program under subsection (b).
       (2) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary shall transmit to the 
     Congress a copy of the results of the study provided by the 
     National Academy of Sciences under paragraph (1).
       (3) Authorization of appropriations.--There are authorized 
     to be appropriated to the Secretary for carrying out this 
     subsection $1,000,000 for fiscal year 2008.
       (b) Grant Program.--
       (1) Establishment.--The Secretary shall establish a 
     competitive grant program through which colleges and 
     universities may apply for and receive 4-year grants for--
       (A) salary and startup costs for newly designated faculty 
     positions in an integrated geologic carbon sequestration 
     science program; and
       (B) internships for graduate students in geologic 
     sequestration science.
       (2) Renewal.--Grants under this subsection shall be 
     renewable for up to 2 additional 3-year terms, based on 
     performance criteria, established by the National Academy of 
     Sciences study conducted under subsection (a), that include 
     the number of graduates of such programs.
       (3) Interface with regional geologic carbon sequestration 
     partnerships.--To the greatest extent possible, geologic 
     carbon sequestration science programs supported under this 
     subsection shall interface with the research of the Regional 
     Carbon Sequestration Partnerships operated by the Department 
     to provide internships and practical training in carbon 
     capture and geologic sequestration.
       (4) Authorization of appropriations.--There are authorized 
     to be appropriated to the Secretary for carrying out this 
     subsection such sums as may be necessary.

     SEC. 706. RELATION TO SAFE DRINKING WATER ACT.

       The injection and geologic sequestration of carbon dioxide 
     pursuant to this subtitle and the amendments made by this 
     subtitle shall be subject to the requirements of the Safe 
     Drinking Water Act (42 U.S.C. 300f et seq.), including the 
     provisions of part C of such Act (42 U.S.C. 300h et seq.; 
     relating to protection of underground sources of drinking 
     water). Nothing in this subtitle and the amendments made by 
     this subtitle imposes or authorizes the promulgation of any 
     requirement that is inconsistent or in conflict with the 
     requirements of the Safe Drinking Water Act (42 U.S.C. 300f 
     et seq.) or regulations thereunder.

     SEC. 707. SAFETY RESEARCH.

       (a) Program.--The Administrator of the Environmental 
     Protection Agency shall conduct a research program to address 
     public health, safety, and environmental impacts that may be 
     associated with capture, injection, and sequestration of 
     greenhouse gases in geologic reservoirs.
       (b) Authorization of Appropriations.--There are authorized 
     to be appropriated for carrying out this section $5,000,000 
     for each fiscal year.

     SEC. 708. UNIVERSITY BASED RESEARCH AND DEVELOPMENT GRANT 
                   PROGRAM.

       (a) Establishment.--The Secretary, in consultation with 
     other appropriate agencies, shall establish a university 
     based research and development program to study carbon 
     capture and sequestration using the various types of coal.
       (b) Rural and Agricultural Institutions.--The Secretary 
     shall give special consideration to rural or agricultural 
     based institutions in areas that have regional sources of 
     coal and that offer interdisciplinary programs in the area of 
     environmental science to study carbon capture and 
     sequestration.
       (c) Authorization of Appropriations.--There are to be 
     authorized to be appropriated $10,000,000 to carry out this 
     section.

 Subtitle B--Carbon Capture and Sequestration Assessment and Framework

     SEC. 711. CARBON DIOXIDE SEQUESTRATION CAPACITY ASSESSMENT.

       (a) Definitions.--In this section
       (1) Assessment.--The term ``assessment'' means the national 
     assessment of onshore capacity for carbon dioxide completed 
     under subsection (f).
       (2) Capacity.--The term ``capacity'' means the portion of a 
     sequestration formation that can retain carbon dioxide in 
     accordance with the requirements (including physical, 
     geological, and economic requirements) established under the 
     methodology developed under subsection (b).
       (3) Engineered hazard.--The term ``engineered hazard'' 
     includes the location and completion history of any well that 
     could affect potential sequestration.
       (4) Risk.--The term ``risk'' includes any risk posed by 
     geomechanical, geochemical, hydrogeological, structural, and 
     engineered hazards.
       (5) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior, acting through the Director of the United 
     States Geological Survey.
       (6) Sequestration formation.--The term ``sequestration 
     formation'' means a deep saline formation, unmineable coal 
     seam, or oil or gas reservoir that is capable of 
     accommodating a volume of industrial carbon dioxide.
       (b) Methodology.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary shall develop a 
     methodology for conducting an assessment under subsection 
     (f), taking into consideration--
       (1) the geographical extent of all potential sequestration 
     formations in all States;
       (2) the capacity of the potential sequestration formations;
       (3) the injectivity of the potential sequestration 
     formations;
       (4) an estimate of potential volumes of oil and gas 
     recoverable by injection and sequestration of industrial 
     carbon dioxide in potential sequestration formations;
       (5) the risk associated with the potential sequestration 
     formations; and
       (6) the work done to develop the Carbon Sequestration Atlas 
     of the United States and Canada that was completed by the 
     Department.
       (c) Coordination.--
       (1) Federal coordination.--
       (A) Consultation.--The Secretary shall consult with the 
     Secretary of Energy and the Administrator of the 
     Environmental Protection Agency on issues of data sharing, 
     format, development of the methodology, and content of the 
     assessment required under this section to ensure the maximum 
     usefulness and success of the assessment.
       (B) Cooperation.--The Secretary of Energy and the 
     Administrator shall cooperate with the Secretary to ensure, 
     to the maximum extent practicable, the usefulness and success 
     of the assessment.
       (2) State coordination.--The Secretary shall consult with 
     State geological surveys and other relevant entities to 
     ensure, to the maximum extent practicable, the usefulness and 
     success of the assessment.
       (d) External Review and Publication.--On completion of the 
     methodology under subsection (b), the Secretary shall--
       (1) publish the methodology and solicit comments from the 
     public and the heads of affected Federal and State agencies;
       (2) establish a panel of individuals with expertise in the 
     matters described in paragraphs (1) through (5) of subsection 
     (b) composed, as appropriate, of representatives of Federal 
     agencies, institutions of higher education, nongovernmental 
     organizations, State organizations, industry, and 
     international geoscience organizations to review the 
     methodology and comments received under paragraph (1); and
       (3) on completion of the review under paragraph (2), 
     publish in the Federal Register the revised final 
     methodology.
       (e) Periodic Updates.--The methodology developed under this 
     section shall be updated periodically (including at least 
     once every 5 years) to incorporate new data as the data 
     becomes available.
       (f) National Assessment.--
       (1) In general.--Not later than 2 years after the date of 
     publication of the methodology under subsection (d)(1), the 
     Secretary, in consultation with the Secretary of Energy and 
     State geological surveys, shall complete a national 
     assessment of capacity for carbon dioxide in accordance with 
     the methodology.
       (2) Geological verification.--As part of the assessment 
     under this subsection, the Secretary shall carry out a 
     drilling program to supplement the geological data relevant 
     to determining sequestration capacity of carbon dioxide in 
     geological sequestration formations, including--
       (A) well log data;
       (B) core data; and
       (C) fluid sample data.
       (3) Partnership with other drilling programs.--As part of 
     the drilling program under paragraph (2), the Secretary shall 
     enter, as appropriate, into partnerships with other entities 
     to collect and integrate data from other drilling programs 
     relevant to the sequestration of carbon dioxide in geological 
     formations.
       (4) Incorporation into natcarb.--
       (A) In general.--On completion of the assessment, the 
     Secretary of Energy and the Secretary of the Interior shall 
     incorporate the results of the assessment using--
       (i) the NatCarb database, to the maximum extent 
     practicable; or
       (ii) a new database developed by the Secretary of Energy, 
     as the Secretary of Energy determines to be necessary.
       (B) Ranking.--The database shall include the data necessary 
     to rank potential sequestration sites for capacity and risk, 
     across the United States, within each State, by formation, 
     and within each basin.
       (5) Report.--Not later than 180 days after the date on 
     which the assessment is completed, the Secretary shall submit 
     to the Committee on Energy and Natural Resources of the 
     Senate and the Committee on Natural Resources of the House of 
     Representatives a report describing the findings under the 
     assessment.

[[Page 35893]]

       (6) Periodic updates.--The national assessment developed 
     under this section shall be updated periodically (including 
     at least once every 5 years) to support public and private 
     sector decisionmaking.
       (g) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this section $30,000,000 for 
     the period of fiscal years 2008 through 2012.

     SEC. 712. ASSESSMENT OF CARBON SEQUESTRATION AND METHANE AND 
                   NITROUS OXIDE EMISSIONS FROM ECOSYSTEMS.

       (a) Definitions.--In this section:
       (1) Adaptation strategy.--The term ``adaptation strategy'' 
     means a land use and management strategy that can be used--
       (A) to increase the sequestration capabilities of covered 
     greenhouse gases of any ecosystem; or
       (B) to reduce the emissions of covered greenhouse gases 
     from any ecosystem.
       (2) Assessment.--The term ``assessment'' means the national 
     assessment authorized under subsection (b).
       (3) Covered greenhouse gas.--The term ``covered greenhouse 
     gas'' means carbon dioxide, nitrous oxide, and methane gas.
       (4) Ecosystem.--The term ``ecosystem'' means any 
     terrestrial, freshwater aquatic, or coastal ecosystem, 
     including an estuary.
       (5) Native plant species.--The term ``native plant 
     species'' means any noninvasive, naturally occurring plant 
     species within an ecosystem.
       (6) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Authorization of Assessment.--Not later than 2 years 
     after the date on which the final methodology is published 
     under subsection (f)(3)(D), the Secretary shall complete a 
     national assessment of--
       (1) the quantity of carbon stored in and released from 
     ecosystems, including from man-caused and natural fires; and
       (2) the annual flux of covered greenhouse gases in and out 
     of ecosystems.
       (c) Components.--In conducting the assessment under 
     subsection (b), the Secretary shall--
       (1) determine the processes that control the flux of 
     covered greenhouse gases in and out of each ecosystem;
       (2) estimate the potential for increasing carbon 
     sequestration in natural and managed ecosystems through 
     management activities or restoration activities in each 
     ecosystem;
       (3) develop near-term and long-term adaptation strategies 
     or mitigation strategies that can be employed--
       (A) to enhance the sequestration of carbon in each 
     ecosystem;
       (B) to reduce emissions of covered greenhouse gases from 
     ecosystems; and
       (C) to adapt to climate change; and
       (4) estimate the annual carbon sequestration capacity of 
     ecosystems under a range of policies in support of management 
     activities to optimize sequestration.
       (d) Use of Native Plant Species.--In developing restoration 
     activities under subsection (c)(2) and management strategies 
     and adaptation strategies under subsection (c)(3), the 
     Secretary shall emphasize the use of native plant species 
     (including mixtures of many native plant species) for 
     sequestering covered greenhouse gas in each ecosystem.
       (e) Consultation.--
       (1) In general.--In conducting the assessment under 
     subsection (b) and developing the methodology under 
     subsection (f), the Secretary shall consult with--
       (A) the Secretary of Energy;
       (B) the Secretary of Agriculture;
       (C) the Administrator of the Environmental Protection 
     Agency;
       (D) the Secretary of Commerce, acting through the Under 
     Secretary for Oceans and Atmosphere; and
       (E) the heads of other relevant agencies.
       (2) Ocean and coastal ecosystems.--In carrying out this 
     section with respect to ocean and coastal ecosystems 
     (including estuaries), the Secretary shall work jointly with 
     the Secretary of Commerce, acting through the Under Secretary 
     for Oceans and Atmosphere.
       (f) Methodology.--
       (1) In general.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary shall develop a 
     methodology for conducting the assessment.
       (2) Requirements.--The methodology developed under 
     paragraph (1)--
       (A) shall--
       (i) determine the method for measuring, monitoring, and 
     quantifying covered greenhouse gas emissions and reductions;
       (ii) estimate the total capacity of each ecosystem to 
     sequester carbon; and
       (iii) estimate the ability of each ecosystem to reduce 
     emissions of covered greenhouse gases through management 
     practices; and
       (B) may employ economic and other systems models, analyses, 
     and estimates, to be developed in consultation with each of 
     the individuals described in subsection (e).
       (3) External review and publication.--On completion of a 
     proposed methodology, the Secretary shall--
       (A) publish the proposed methodology;
       (B) at least 60 days before the date on which the final 
     methodology is published, solicit comments from--
       (i) the public; and
       (ii) heads of affected Federal and State agencies;
       (C) establish a panel to review the proposed methodology 
     published under subparagraph (A) and any comments received 
     under subparagraph (B), to be composed of members--
       (i) with expertise in the matters described in subsections 
     (c) and (d); and
       (ii) that are, as appropriate, representatives of Federal 
     agencies, institutions of higher education, nongovernmental 
     organizations, State organizations, industry, and 
     international organizations; and
       (D) on completion of the review under subparagraph (C), 
     publish in the Federal register the revised final 
     methodology.
       (g) Estimate; Review.--The Secretary shall--
       (1) based on the assessment, prescribe the data, 
     information, and analysis needed to establish a 
     scientifically sound estimate of the carbon sequestration 
     capacity of relevant ecosystems; and
       (2) not later than 180 days after the date on which the 
     assessment is completed, submit to the heads of applicable 
     Federal agencies and the appropriate committees of Congress a 
     report that describes the results of the assessment.
       (h) Data and Report Availability.--On completion of the 
     assessment, the Secretary shall incorporate the results of 
     the assessment into a web-accessible database for public use.
       (i) Authorization.--There is authorized to be appropriated 
     to carry out this section $20,000,000 for the period of 
     fiscal years 2008 through 2012.

     SEC. 713. CARBON DIOXIDE SEQUESTRATION INVENTORY.

       Section 354 of the Energy Policy Act of 2005 (42 U.S.C. 
     15910) is amended--
       (1) by redesignating subsection (d) as subsection (e); and
       (2) by inserting after subsection (c) the following:
       ``(d) Records and Inventory.--The Secretary of the 
     Interior, acting through the Bureau of Land Management, shall 
     maintain records on, and an inventory of, the quantity of 
     carbon dioxide stored within Federal mineral leaseholds.''.

     SEC. 714. FRAMEWORK FOR GEOLOGICAL CARBON SEQUESTRATION ON 
                   PUBLIC LAND.

       (a) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary of the Interior shall 
     submit to the Committee on Natural Resources of the House of 
     Representatives and the Committee on Energy and Natural 
     Resources of the Senate a report on a recommended framework 
     for managing geological carbon sequestration activities on 
     public land.
       (b) Contents.--The report required by subsection (a) shall 
     include the following:
       (1) Recommended criteria for identifying candidate 
     geological sequestration sites in each of the following types 
     of geological settings:
       (A) Operating oil and gas fields.
       (B) Depleted oil and gas fields.
       (C) Unmineable coal seams.
       (D) Deep saline formations.
       (E) Deep geological systems that may be used as engineered 
     reservoirs to extract economical quantities of heat from 
     geothermal resources of low permeability or porosity.
       (F) Deep geological systems containing basalt formations.
       (G) Coalbeds being used for methane recovery.
       (2) A proposed regulatory framework for the leasing of 
     public land or an interest in public land for the long-term 
     geological sequestration of carbon dioxide, which includes an 
     assessment of options to ensure that the United States 
     receives fair market value for the use of public land or an 
     interest in public land for geological sequestration.
       (3) A proposed procedure for ensuring that any geological 
     carbon sequestration activities on public land--
       (A) provide for public review and comment from all 
     interested persons; and
       (B) protect the quality of natural and cultural resources 
     of the public land overlaying a geological sequestration 
     site.
       (4) A description of the status of Federal leasehold or 
     Federal mineral estate liability issues related to the 
     geological subsurface trespass of or caused by carbon dioxide 
     stored in public land, including any relevant experience from 
     enhanced oil recovery using carbon dioxide on public land.
       (5) Recommendations for additional legislation that may be 
     required to ensure that public land management and leasing 
     laws are adequate to accommodate the long-term geological 
     sequestration of carbon dioxide.
       (6) An identification of the legal and regulatory issues 
     specific to carbon dioxide sequestration on land in cases in 
     which title to mineral resources is held by the United States 
     but title to the surface estate is not held by the United 
     States.
       (7)(A) An identification of the issues specific to the 
     issuance of pipeline rights-of-way on public land under the 
     Mineral Leasing Act (30 U.S.C. 181 et seq.) or the Federal 
     Land Policy and Management Act of 1976 (43 U.S.C. 1701 et 
     seq.) for natural or anthropogenic carbon dioxide.
       (B) Recommendations for additional legislation that may be 
     required to clarify the appropriate framework for issuing 
     rights-of-way for carbon dioxide pipelines on public land.
       (c) Consultation With Other Agencies.--In preparing the 
     report under this section, the Secretary of the Interior 
     shall coordinate with--
       (1) the Administrator of the Environmental Protection 
     Agency;
       (2) the Secretary of Energy; and
       (3) the heads of other appropriate agencies.
       (d) Compliance With Safe Drinking Water Act.--The Secretary 
     shall ensure that all recommendations developed under this 
     section are in compliance with all Federal environmental

[[Page 35894]]

     laws, including the Safe Drinking Water Act (42 U.S.C. 300f 
     et seq.) and regulations under that Act.

            TITLE VIII--IMPROVED MANAGEMENT OF ENERGY POLICY

                  Subtitle A--Management Improvements

     SEC. 801. NATIONAL MEDIA CAMPAIGN.

       (a) In General.--The Secretary, acting through the 
     Assistant Secretary for Energy Efficiency and Renewable 
     Energy (referred to in this section as the ``Secretary''), 
     shall develop and conduct a national media campaign--
       (1) to increase energy efficiency throughout the economy of 
     the United States during the 10-year period beginning on the 
     date of enactment of this Act;
       (2) to promote the national security benefits associated 
     with increased energy efficiency; and
       (3) to decrease oil consumption in the United States during 
     the 10-year period beginning on the date of enactment of this 
     Act.
       (b) Contract With Entity.--The Secretary shall carry out 
     subsection (a) directly or through--
       (1) competitively bid contracts with 1 or more nationally 
     recognized media firms for the development and distribution 
     of monthly television, radio, and newspaper public service 
     announcements; or
       (2) collective agreements with 1 or more nationally 
     recognized institutes, businesses, or nonprofit organizations 
     for the funding, development, and distribution of monthly 
     television, radio, and newspaper public service 
     announcements.
       (c) Use of Funds.--
       (1) In general.--Amounts made available to carry out this 
     section shall be used for--
       (A) advertising costs, including--
       (i) the purchase of media time and space;
       (ii) creative and talent costs;
       (iii) testing and evaluation of advertising; and
       (iv) evaluation of the effectiveness of the media campaign; 
     and
       (B) administrative costs, including operational and 
     management expenses.
       (2) Limitations.--In carrying out this section, the 
     Secretary shall allocate not less than 85 percent of funds 
     made available under subsection (e) for each fiscal year for 
     the advertising functions specified under paragraph (1)(A).
       (d) Reports.--The Secretary shall annually submit to 
     Congress a report that describes--
       (1) the strategy of the national media campaign and whether 
     specific objectives of the campaign were accomplished, 
     including--
       (A) determinations concerning the rate of change of energy 
     consumption, in both absolute and per capita terms; and
       (B) an evaluation that enables consideration of whether the 
     media campaign contributed to reduction of energy 
     consumption;
       (2) steps taken to ensure that the national media campaign 
     operates in an effective and efficient manner consistent with 
     the overall strategy and focus of the campaign;
       (3) plans to purchase advertising time and space;
       (4) policies and practices implemented to ensure that 
     Federal funds are used responsibly to purchase advertising 
     time and space and eliminate the potential for waste, fraud, 
     and abuse; and
       (5) all contracts or cooperative agreements entered into 
     with a corporation, partnership, or individual working on 
     behalf of the national media campaign.
       (e) Authorization of Appropriations.--
       (1) In general.--There is authorized to be appropriated to 
     carry out this section $5,000,000 for each of fiscal years 
     2008 through 2012.
       (2) Decreased oil consumption.--The Secretary shall use not 
     less than 50 percent of the amount that is made available 
     under this section for each fiscal year to develop and 
     conduct a national media campaign to decrease oil consumption 
     in the United States over the next decade.

     SEC. 802. ALASKA NATURAL GAS PIPELINE ADMINISTRATION.

       Section 106 of the Alaska Natural Gas Pipeline Act (15 
     U.S.C. 720d) is amended by adding at the end the following:
       ``(h) Administration.--
       ``(1) Personnel appointments.--
       ``(A) In general.--The Federal Coordinator may appoint and 
     terminate such personnel as the Federal Coordinator 
     determines to be appropriate.
       ``(B) Authority of federal coordinator.--Personnel 
     appointed by the Federal Coordinator under subparagraph (A) 
     shall be appointed without regard to the provisions of title 
     5, United States Code, governing appointments in the 
     competitive service.
       ``(2) Compensation.--
       ``(A) In general.--Subject to subparagraph (B), personnel 
     appointed by the Federal Coordinator under paragraph (1)(A) 
     shall be paid without regard to the provisions of chapter 51 
     and subchapter III of chapter 53 of title 5, United States 
     Code (relating to classification and General Schedule pay 
     rates).
       ``(B) Maximum level of compensation.--The rate of pay for 
     personnel appointed by the Federal Coordinator under 
     paragraph (1)(A) shall not exceed the maximum level of rate 
     payable for level III of the Executive Schedule (5 U.S.C. 
     5314).
       ``(C) Allowances.--Section 5941 of title 5, United States 
     Code, shall apply to personnel appointed by the Federal 
     Coordinator under paragraph (1)(A).
       ``(3) Temporary services.--
       ``(A) In general.--The Federal Coordinator may procure 
     temporary and intermittent services in accordance with 
     section 3109(b) of title 5, United States Code.
       ``(B) Maximum level of compensation.--The level of 
     compensation of an individual employed on a temporary or 
     intermittent basis under subparagraph (A) shall not exceed 
     the maximum level of rate payable for level III of the 
     Executive Schedule (5 U.S.C. 5314).
       ``(4) Fees, charges, and commissions.--
       ``(A) In general.--With respect to the duties of the 
     Federal Coordinator, as described in this Act, the Federal 
     Coordinator shall have similar authority to establish, 
     change, and abolish reasonable filing and service fees, 
     charges, and commissions, require deposits of payments, and 
     provide refunds as provided to the Secretary of the Interior 
     in section 304 of the Federal Land Policy and Management Act 
     of 1976 (43 U.S.C. 1734).
       ``(B) Authority of secretary of the interior.--Subparagraph 
     (A) shall not affect the authority of the Secretary of the 
     Interior to establish, change, and abolish reasonable filing 
     and service fees, charges, and commissions, require deposits 
     of payments, and provide refunds under section 304 of the 
     Federal Land Policy and Management Act of 1976 (43 U.S.C. 
     1734).
       ``(C) Use of funds.--The Federal Coordinator is authorized 
     to use, without further appropriation, amounts collected 
     under subparagraph (A) to carry out this section.''.

     SEC. 803. RENEWABLE ENERGY DEPLOYMENT.

       (a) Definitions.--In this section:
       (1) Alaska small hydroelectric power.--The term ``Alaska 
     small hydroelectric power'' means power that--
       (A) is generated--
       (i) in the State of Alaska;
       (ii) without the use of a dam or impoundment of water; and
       (iii) through the use of--

       (I) a lake tap (but not a perched alpine lake); or
       (II) a run-of-river screened at the point of diversion; and

       (B) has a nameplate capacity rating of a wattage that is 
     not more than 15 megawatts.
       (2) Eligible applicant.--The term ``eligible applicant'' 
     means any--
       (A) governmental entity;
       (B) private utility;
       (C) public utility;
       (D) municipal utility;
       (E) cooperative utility;
       (F) Indian tribes; and
       (G) Regional Corporation (as defined in section 3 of the 
     Alaska Native Claims Settlement Act (43 U.S.C. 1602)).
       (3) Ocean energy.--
       (A) Inclusions.--The term ``ocean energy'' includes 
     current, wave, and tidal energy.
       (B) Exclusion.--The term ``ocean energy'' excludes thermal 
     energy.
       (4) Renewable energy project.--The term ``renewable energy 
     project'' means a project--
       (A) for the commercial generation of electricity; and
       (B) that generates electricity from--
       (i) solar, wind, or geothermal energy or ocean energy;
       (ii) biomass (as defined in section 203(b) of the Energy 
     Policy Act of 2005 (42 U.S.C. 15852(b)));
       (iii) landfill gas; or
       (iv) Alaska small hydroelectric power.
       (b) Renewable Energy Construction Grants.--
       (1) In general.--The Secretary shall use amounts 
     appropriated under this section to make grants for use in 
     carrying out renewable energy projects.
       (2) Criteria.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary shall set forth criteria 
     for use in awarding grants under this section.
       (3) Application.--To receive a grant from the Secretary 
     under paragraph (1), an eligible applicant shall submit to 
     the Secretary an application at such time, in such manner, 
     and containing such information as the Secretary may require, 
     including a written assurance that--
       (A) all laborers and mechanics employed by contractors or 
     subcontractors during construction, alteration, or repair 
     that is financed, in whole or in part, by a grant under this 
     section shall be paid wages at rates not less than those 
     prevailing on similar construction in the locality, as 
     determined by the Secretary of Labor in accordance with 
     sections 3141-3144, 3146, and 3147 of title 40, United States 
     Code; and
       (B) the Secretary of Labor shall, with respect to the labor 
     standards described in this paragraph, have the authority and 
     functions set forth in Reorganization Plan Numbered 14 of 
     1950 (5 U.S.C. App.) and section 3145 of title 40, United 
     States Code.
       (4) Non-federal share.--Each eligible applicant that 
     receives a grant under this subsection shall contribute to 
     the total cost of the renewable energy project constructed by 
     the eligible applicant an amount not less than 50 percent of 
     the total cost of the project.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Fund such sums as are necessary to 
     carry out this section.

     SEC. 804. COORDINATION OF PLANNED REFINERY OUTAGES.

       (a) Definitions.--In this section:
       (1) Administrator.--The term ``Administrator'' means the 
     Administrator of the Energy Information Administration.
       (2) Planned refinery outage.--
       (A) In general.--The term ``planned refinery outage'' means 
     a removal, scheduled before the date on which the removal 
     occurs, of a refinery, or any unit of a refinery, from 
     service for maintenance, repair, or modification.

[[Page 35895]]

       (B) Exclusion.--The term ``planned refinery outage'' does 
     not include any necessary and unplanned removal of a 
     refinery, or any unit of a refinery, from service as a result 
     of a component failure, safety hazard, emergency, or action 
     reasonably anticipated to be necessary to prevent such 
     events.
       (3) Refined petroleum product.--The term ``refined 
     petroleum product'' means any gasoline, diesel fuel, fuel 
     oil, lubricating oil, liquid petroleum gas, or other 
     petroleum distillate that is produced through the refining or 
     processing of crude oil or an oil derived from tar sands, 
     shale, or coal.
       (4) Refinery.--The term ``refinery'' means a facility used 
     in the production of a refined petroleum product through 
     distillation, cracking, or any other process.
       (b) Review and Analysis of Available Information.--The 
     Administrator shall, on an ongoing basis--
       (1) review information on refinery outages that is 
     available from commercial reporting services;
       (2) analyze that information to determine whether the 
     scheduling of a refinery outage may nationally or regionally 
     substantially affect the price or supply of any refined 
     petroleum product by--
       (A) decreasing the production of the refined petroleum 
     product; and
       (B) causing or contributing to a retail or wholesale supply 
     shortage or disruption;
       (3) not less frequently than twice each year, submit to the 
     Secretary a report describing the results of the review and 
     analysis under paragraphs (1) and (2); and
       (4) specifically alert the Secretary of any refinery outage 
     that the Administrator determines may nationally or 
     regionally substantially affect the price or supply of a 
     refined petroleum product.
       (c) Action by Secretary.--On a determination by the 
     Secretary, based on a report or alert under paragraph (3) or 
     (4) of subsection (b), that a refinery outage may affect the 
     price or supply of a refined petroleum product, the Secretary 
     shall make available to refinery operators information on 
     planned refinery outages to encourage reductions of the 
     quantity of refinery capacity that is out of service at any 
     time.
       (d) Limitation.--Nothing in this section shall alter any 
     existing legal obligation or responsibility of a refinery 
     operator, or create any legal right of action, nor shall this 
     section authorize the Secretary--
       (1) to prohibit a refinery operator from conducting a 
     planned refinery outage; or
       (2) to require a refinery operator to continue to operate a 
     refinery.

     SEC. 805. ASSESSMENT OF RESOURCES.

       (a) 5-Year Plan.--
       (1) Establishment.--The Administrator of the Energy 
     Information Administration (referred to in this section as 
     the ``Administrator'') shall establish a 5-year plan to 
     enhance the quality and scope of the data collection 
     necessary to ensure the scope, accuracy, and timeliness of 
     the information needed for efficient functioning of energy 
     markets and related financial operations.
       (2) Requirement.--In establishing the plan under paragraph 
     (1), the Administrator shall pay particular attention to--
       (A) data series terminated because of budget constraints;
       (B) data on demand response;
       (C) timely data series of State-level information;
       (D) improvements in the area of oil and gas data;
       (E) improvements in data on solid byproducts from coal-
     based energy-producing facilities; and
       (F) the ability to meet applicable deadlines under Federal 
     law (including regulations) to provide data required by 
     Congress.
       (b) Submission to Congress.--The Administrator shall submit 
     to Congress the plan established under subsection (a), 
     including a description of any improvements needed to enhance 
     the ability of the Administrator to collect and process 
     energy information in a manner consistent with the needs of 
     energy markets.
       (c) Guidelines.--
       (1) In general.--The Administrator shall--
       (A) establish guidelines to ensure the quality, 
     comparability, and scope of State energy data, including data 
     on energy production and consumption by product and sector 
     and renewable and alternative sources, required to provide a 
     comprehensive, accurate energy profile at the State level;
       (B) share company-level data collected at the State level 
     with each State involved, in a manner consistent with the 
     legal authorities, confidentiality protections, and stated 
     uses in effect at the time the data were collected, subject 
     to the condition that the State shall agree to reasonable 
     requirements for use of the data, as the Administrator may 
     require;
       (C) assess any existing gaps in data obtained and compiled 
     by the Energy Information Administration; and
       (D) evaluate the most cost-effective ways to address any 
     data quality and quantity issues in conjunction with State 
     officials.
       (2) Consultation.--The Administrator shall consult with 
     State officials and the Federal Energy Regulatory Commission 
     on a regular basis in--
       (A) establishing guidelines and determining the scope of 
     State-level data under paragraph (1); and
       (B) exploring ways to address data needs and serve data 
     uses.
       (d) Assessment of State Data Needs.--Not later than 1 year 
     after the date of enactment of this Act, the Administrator 
     shall submit to Congress an assessment of State-level data 
     needs, including a plan to address the needs.
       (e) Authorization of Appropriations.--In addition to any 
     other amounts made available to the Administrator, there are 
     authorized to be appropriated to the Administrator to carry 
     out this section--
       (1) $10,000,000 for fiscal year 2008;
       (2) $10,000,000 for fiscal year 2009;
       (3) $10,000,000 for fiscal year 2010;
       (4) $15,000,000 for fiscal year 2011;
       (5) $20,000,000 for fiscal year 2012; and
       (6) such sums as are necessary for subsequent fiscal years.

     SEC. 806. SENSE OF CONGRESS RELATING TO THE USE OF RENEWABLE 
                   RESOURCES TO GENERATE ENERGY.

       (a) Findings.--Congress finds that--
       (1) the United States has a quantity of renewable energy 
     resources that is sufficient to supply a significant portion 
     of the energy needs of the United States;
       (2) the agricultural, forestry, and working land of the 
     United States can help ensure a sustainable domestic energy 
     system;
       (3) accelerated development and use of renewable energy 
     technologies provide numerous benefits to the United States, 
     including improved national security, improved balance of 
     payments, healthier rural economies, improved environmental 
     quality, and abundant, reliable, and affordable energy for 
     all citizens of the United States;
       (4) the production of transportation fuels from renewable 
     energy would help the United States meet rapidly growing 
     domestic and global energy demands, reduce the dependence of 
     the United States on energy imported from volatile regions of 
     the world that are politically unstable, stabilize the cost 
     and availability of energy, and safeguard the economy and 
     security of the United States;
       (5) increased energy production from domestic renewable 
     resources would attract substantial new investments in energy 
     infrastructure, create economic growth, develop new jobs for 
     the citizens of the United States, and increase the income 
     for farm, ranch, and forestry jobs in the rural regions of 
     the United States;
       (6) increased use of renewable energy is practical and can 
     be cost effective with the implementation of supportive 
     policies and proper incentives to stimulate markets and 
     infrastructure; and
       (7) public policies aimed at enhancing renewable energy 
     production and accelerating technological improvements will 
     further reduce energy costs over time and increase market 
     demand.
       (b) Sense of Congress.--It is the sense of Congress that it 
     is the goal of the United States that, not later than January 
     1, 2025, the agricultural, forestry, and working land of the 
     United States should--
       (1) provide from renewable resources not less than 25 
     percent of the total energy consumed in the United States; 
     and
       (2) continue to produce safe, abundant, and affordable 
     food, feed, and fiber.

     SEC. 807. GEOTHERMAL ASSESSMENT, EXPLORATION INFORMATION, AND 
                   PRIORITY ACTIVITIES.

       (a) In General.--Not later than January 1, 2012, the 
     Secretary of the Interior, acting through the Director of the 
     United States Geological Survey, shall--
       (1) complete a comprehensive nationwide geothermal resource 
     assessment that examines the full range of geothermal 
     resources in the United States; and
       (2) submit to the the Committee on Natural Resources of the 
     House of Representatives and the Committee on Energy and 
     Natural Resources of the Senate a report describing the 
     results of the assessment.
       (b) Periodic Updates.--At least once every 10 years, the 
     Secretary shall update the national assessment required under 
     this section to support public and private sector 
     decisionmaking.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary of the Interior to carry 
     out this section--
       (1) $15,000,000 for each of fiscal years 2008 through 2012; 
     and
       (2) such sums as are necessary for each of fiscal years 
     2013 through 2022.

 Subtitle B--Prohibitions on Market Manipulation and False Information

     SEC. 811. PROHIBITION ON MARKET MANIPULATION.

       It is unlawful for any person, directly or indirectly, to 
     use or employ, in connection with the purchase or sale of 
     crude oil gasoline or petroleum distillates at wholesale, any 
     manipulative or deceptive device or contrivance, in 
     contravention of such rules and regulations as the Federal 
     Trade Commission may prescribe as necessary or appropriate in 
     the public interest or for the protection of United States 
     citizens.

     SEC. 812. PROHIBITION ON FALSE INFORMATION.

       It is unlawful for any person to report information related 
     to the wholesale price of crude oil gasoline or petroleum 
     distillates to a Federal department or agency if--
       (1) the person knew, or reasonably should have known, the 
     information to be false or misleading;
       (2) the information was required by law to be reported; and
       (3) the person intended the false or misleading data to 
     affect data compiled by the department or agency for 
     statistical or analytical purposes with respect to the market 
     for crude oil, gasoline, or petroleum distillates.

     SEC. 813. ENFORCEMENT BY THE FEDERAL TRADE COMMISSION.

       (a) Enforcement.--This subtitle shall be enforced by the 
     Federal Trade Commission in the

[[Page 35896]]

     same manner, by the same means, and with the same 
     jurisdiction as though all applicable terms of the Federal 
     Trade Commission Act (15 U.S.C. 41 et seq.) were incorporated 
     into and made a part of this subtitle.
       (b) Violation Is Treated as Unfair or Deceptive Act or 
     Practice.--The violation of any provision of this subtitle 
     shall be treated as an unfair or deceptive act or practice 
     proscribed under a rule issued under section 18(a)(1)(B) of 
     the Federal Trade Commission Act (15 U.S.C. 57a(a)(1)(B)).

     SEC. 814. PENALTIES.

       (a) Civil Penalty.--In addition to any penalty applicable 
     under the Federal Trade Commission Act (15 U.S.C. 41 et 
     seq.), any supplier that violates section 811 or 812 shall be 
     punishable by a civil penalty of not more than $1,000,000.
       (b) Method.--The penalties provided by subsection (a) shall 
     be obtained in the same manner as civil penalties imposed 
     under section 5 of the Federal Trade Commission Act (15 
     U.S.C. 45).
       (c) Multiple Offenses; Mitigating Factors.--In assessing 
     the penalty provided by subsection (a)--
       (1) each day of a continuing violation shall be considered 
     a separate violation; and
       (2) the court shall take into consideration, among other 
     factors--
       (A) the seriousness of the violation; and
       (B) the efforts of the person committing the violation to 
     remedy the harm caused by the violation in a timely manner.

     SEC. 815. EFFECT ON OTHER LAWS.

       (a) Other Authority of the Commission.--Nothing in this 
     subtitle limits or affects the authority of the Federal Trade 
     Commission to bring an enforcement action or take any other 
     measure under the Federal Trade Commission Act (15 U.S.C. 41 
     et seq.) or any other provision of law.
       (b) Antitrust Law.--Nothing in this subtitle shall be 
     construed to modify, impair, or supersede the operation of 
     any of the antitrust laws. For purposes of this subsection, 
     the term ``antitrust laws'' shall have the meaning given it 
     in subsection (a) of the first section of the Clayton Act (15 
     U.S.C. 12), except that it includes section 5 of the Federal 
     Trade Commission Act (15 U.S.C. 45) to the extent that such 
     section 5 applies to unfair methods of competition.
       (c) State Law.--Nothing in this subtitle preempts any State 
     law.

                TITLE IX--INTERNATIONAL ENERGY PROGRAMS

     SEC. 901. DEFINITIONS.

       In this title:
       (1) Appropriate congressional committees.--The term 
     ``appropriate congressional committees'' means--
       (A) the Committee on Foreign Affairs and the Committee on 
     Energy and Commerce of the House of Representatives; and
       (B) the Committee on Foreign Relations, the Committee on 
     Energy and Natural Resources, the Committee on Environment 
     and Public Works of the Senate, and the Committee on 
     Commerce, Science, and Transportation.
       (2) Clean and efficient energy technology.--The term 
     ``clean and efficient energy technology'' means an energy 
     supply or end-use technology that, compared to a similar 
     technology already in widespread commercial use in a 
     recipient country, will--
       (A) reduce emissions of greenhouse gases; or
       (B)(i) increase efficiency of energy production; or
       (ii) decrease intensity of energy usage.
       (3) Greenhouse gas.--The term ``greenhouse gas'' means--
       (A) carbon dioxide;
       (B) methane;
       (C) nitrous oxide;
       (D) hydrofluorocarbons;
       (E) perfluorocarbons; or
       (F) sulfur hexafluoride.

     Subtitle A--Assistance to Promote Clean and Efficient Energy 
                   Technologies in Foreign Countries

     SEC. 911. UNITED STATES ASSISTANCE FOR DEVELOPING COUNTRIES.

       (a) Assistance Authorized.--The Administrator of the United 
     States Agency for International Development shall support 
     policies and programs in developing countries that promote 
     clean and efficient energy technologies--
       (1) to produce the necessary market conditions for the 
     private sector delivery of energy and environmental 
     management services;
       (2) to create an environment that is conducive to accepting 
     clean and efficient energy technologies that support the 
     overall purpose of reducing greenhouse gas emissions, 
     including--
       (A) improving policy, legal, and regulatory frameworks;
       (B) increasing institutional abilities to provide energy 
     and environmental management services; and
       (C) increasing public awareness and participation in the 
     decision-making of delivering energy and environmental 
     management services; and
       (3) to promote the use of American-made clean and efficient 
     energy technologies, products, and energy and environmental 
     management services.
       (b) Report.--The Administrator of the United States Agency 
     for International Development shall submit to the appropriate 
     congressional committees an annual report on the 
     implementation of this section for each of the fiscal years 
     2008 through 2012.
       (c) Authorization of Appropriations.--To carry out this 
     section, there are authorized to be appropriated to the 
     Administrator of the United States Agency for International 
     Development $200,000,000 for each of the fiscal years 2008 
     through 2012.

     SEC. 912. UNITED STATES EXPORTS AND OUTREACH PROGRAMS FOR 
                   INDIA, CHINA, AND OTHER COUNTRIES.

       (a) Assistance Authorized.--The Secretary of Commerce shall 
     direct the United States and Foreign Commercial Service to 
     expand or create a corps of the Foreign Commercial Service 
     officers to promote United States exports in clean and 
     efficient energy technologies and build the capacity of 
     government officials in India, China, and any other country 
     the Secretary of Commerce determines appropriate, to become 
     more familiar with the available technologies--
       (1) by assigning or training Foreign Commercial Service 
     attaches, who have expertise in clean and efficient energy 
     technologies from the United States, to embark on business 
     development and outreach efforts to such countries; and
       (2) by deploying the attaches described in paragraph (1) to 
     educate provincial, state, and local government officials in 
     such countries on the variety of United States-based 
     technologies in clean and efficient energy technologies for 
     the purposes of promoting United States exports and reducing 
     global greenhouse gas emissions.
       (b) Report.--The Secretary of Commerce shall submit to the 
     appropriate congressional committees an annual report on the 
     implementation of this section for each of the fiscal years 
     2008 through 2012.
       (c) Authorization of Appropriations.--To carry out this 
     section, there are authorized to be appropriated to the 
     Secretary of Commerce such sums as may be necessary for each 
     of the fiscal years 2008 through 2012.

     SEC. 913. UNITED STATES TRADE MISSIONS TO ENCOURAGE PRIVATE 
                   SECTOR TRADE AND INVESTMENT.

       (a) Assistance Authorized.--The Secretary of Commerce shall 
     direct the International Trade Administration to expand or 
     create trade missions to and from the United States to 
     encourage private sector trade and investment in clean and 
     efficient energy technologies--
       (1) by organizing and facilitating trade missions to 
     foreign countries and by matching United States private 
     sector companies with opportunities in foreign markets so 
     that clean and efficient energy technologies can help to 
     combat increases in global greenhouse gas emissions; and
       (2) by creating reverse trade missions in which the 
     Department of Commerce facilitates the meeting of foreign 
     private and public sector organizations with private sector 
     companies in the United States for the purpose of showcasing 
     clean and efficient energy technologies in use or in 
     development that could be exported to other countries.
       (b) Report.--The Secretary of Commerce shall submit to the 
     appropriate congressional committees an annual report on the 
     implementation of this section for each of the fiscal years 
     2008 through 2012.
       (c) Authorization of Appropriations.--To carry out this 
     section, there are authorized to be appropriated to the 
     Secretary of Commerce such sums as may be necessary for each 
     of the fiscal years 2008 through 2012.

     SEC. 914. ACTIONS BY OVERSEAS PRIVATE INVESTMENT CORPORATION.

       (a) Sense of Congress.--It is the sense of Congress that 
     the Overseas Private Investment Corporation should promote 
     greater investment in clean and efficient energy technologies 
     by--
       (1) proactively reaching out to United States companies 
     that are interested in investing in clean and efficient 
     energy technologies in countries that are significant 
     contributors to global greenhouse gas emissions;
       (2) giving preferential treatment to the evaluation and 
     awarding of projects that involve the investment or 
     utilization of clean and efficient energy technologies; and
       (3) providing greater flexibility in supporting projects 
     that involve the investment or utilization of clean and 
     efficient energy technologies, including financing, 
     insurance, and other assistance.
       (b) Report.--The Overseas Private Investment Corporation 
     shall include in its annual report required under section 
     240A of the Foreign Assistance Act of 1961 (22 U.S.C. 
     2200a)--
       (1) a description of the activities carried out to 
     implement this section; or
       (2) if the Corporation did not carry out any activities to 
     implement this section, an explanation of the reasons 
     therefor.

     SEC. 915. ACTIONS BY UNITED STATES TRADE AND DEVELOPMENT 
                   AGENCY.

       (a) Assistance Authorized.--The Director of the Trade and 
     Development Agency shall establish or support policies that--
       (1) proactively seek opportunities to fund projects that 
     involve the utilization of clean and efficient energy 
     technologies, including in trade capacity building and 
     capital investment projects;
       (2) where appropriate, advance the utilization of clean and 
     efficient energy technologies, particularly to countries that 
     have the potential for significant reduction in greenhouse 
     gas emissions; and
       (3) recruit and retain individuals with appropriate 
     expertise or experience in clean, renewable, and efficient 
     energy technologies to identify and evaluate opportunities 
     for projects that involve clean and efficient energy 
     technologies and services.
       (b) Report.--The President shall include in the annual 
     report on the activities of the Trade and Development Agency 
     required under section 661(d) of the Foreign Assistance Act 
     of 1961 (22 U.S.C. 2421(d)) a description of the activities 
     carried out to implement this section.

[[Page 35897]]



     SEC. 916. DEPLOYMENT OF INTERNATIONAL CLEAN AND EFFICIENT 
                   ENERGY TECHNOLOGIES AND INVESTMENT IN GLOBAL 
                   ENERGY MARKETS.

       (a) Task Force.--
       (1) Establishment.--Not later than 90 days after the date 
     of the enactment of this Act, the President shall establish a 
     Task Force on International Cooperation for Clean and 
     Efficient Energy Technologies (in this section referred to as 
     the ``Task Force'').
       (2) Composition.--The Task Force shall be composed of 
     representatives, appointed by the head of the respective 
     Federal department or agency, of--
       (A) the Council on Environmental Quality;
       (B) the Department of Energy;
       (C) the Department of Commerce;
       (D) the Department of the Treasury;
       (E) the Department of State;
       (F) the Environmental Protection Agency;
       (G) the United States Agency for International Development;
       (H) the Export-Import Bank of the United States;
       (I) the Overseas Private Investment Corporation:
       (J) the Trade and Development Agency;
       (K) the Small Business Administration;
       (L) the Office of the United States Trade Representative; 
     and
       (M) other Federal departments and agencies, as determined 
     by the President.
       (3) Chairperson.--The President shall designate a 
     Chairperson or Co-Chairpersons of the Task Force.
       (4) Duties.--The Task Force--
       (A) shall develop and assist in the implementation of the 
     strategy required under subsection (c); and
       (B)(i) shall analyze technology, policy, and market 
     opportunities for the development, demonstration, and 
     deployment of clean and efficient energy technologies on an 
     international basis; and
       (ii) shall examine relevant trade, tax, finance, 
     international, and other policy issues to assess which 
     policies, in the United States and in developing countries, 
     would help open markets and improve the export of clean and 
     efficient energy technologies from the United States.
       (5) Termination.--The Task Force, including any working 
     group established by the Task Force pursuant to subsection 
     (b), shall terminate 12 years after the date of the enactment 
     of this Act.
       (b) Working Groups.--
       (1) Establishment.--The Task Force--
       (A) shall establish an Interagency Working Group on the 
     Export of Clean and Efficient Energy Technologies (in this 
     section referred to as the ``Interagency Working Group''); 
     and
       (B) may establish other working groups as may be necessary 
     to carry out this section.
       (2) Composition.--The Interagency Working Group shall be 
     composed of--
       (A) the Secretary of Energy, the Secretary of Commerce, and 
     the Secretary of State, who shall serve as Co-Chairpersons of 
     the Interagency Working Group; and
       (B) other members, as determined by the Chairperson or Co-
     Chairpersons of the Task Force.
       (3) Duties.--The Interagency Working Group shall coordinate 
     the resources and relevant programs of the Department of 
     Energy, the Department of Commerce, the Department of State, 
     and other relevant Federal departments and agencies to 
     support the export of clean and efficient energy technologies 
     developed or demonstrated in the United States to other 
     countries and the deployment of such clean and efficient 
     energy technologies in such other countries.
       (4) Interagency center.--The Interagency Working Group--
       (A) shall establish an Interagency Center on the Export of 
     Clean and Efficient Energy Technologies (in this section 
     referred to as the ``Interagency Center'') to assist the 
     Interagency Working Group in carrying out its duties required 
     under paragraph (3); and
       (B) shall locate the Interagency Center at a site agreed 
     upon by the Co-Chairpersons of the Interagency Working Group, 
     with the approval of Chairperson or Co-Chairpersons of the 
     Task Force.
       (c) Strategy.--
       (1) In general.--Not later than 1 year after the date of 
     the enactment of this Act, the Task Force shall develop and 
     submit to the President and the appropriate congressional 
     committees a strategy to--
       (A) support the development and implementation of programs, 
     policies, and initiatives in developing countries to promote 
     the adoption and deployment of clean and efficient energy 
     technologies, with an emphasis on those developing countries 
     that are expected to experience the most significant growth 
     in energy production and use over the next 20 years;
       (B) open and expand clean and efficient energy technology 
     markets and facilitate the export of clean and efficient 
     energy technologies to developing countries, in a manner 
     consistent with United States obligations as member of the 
     World Trade Organization;
       (C) integrate into the foreign policy objectives of the 
     United States the promotion of--
       (i) the deployment of clean and efficient energy 
     technologies and the reduction of greenhouse gas emissions in 
     developing countries; and
       (ii) the export of clean and efficient energy technologies; 
     and
       (D) develop financial mechanisms and instruments, including 
     securities that mitigate the political and foreign exchange 
     risks of uses that are consistent with the foreign policy 
     objectives of the United States by combining the private 
     sector market and government enhancements, that--
       (i) are cost-effective; and
       (ii) facilitate private capital investment in clean and 
     efficient energy technology projects in developing countries.
       (2) Updates.--Not later than 3 years after the date of 
     submission of the strategy under paragraph (1), and every 3 
     years thereafter, the Task Force shall update the strategy in 
     accordance with the requirements of paragraph (1).
       (d) Report.--
       (1) In general.--Not later than 3 years after the date of 
     submission of the strategy under subsection (c)(1), and every 
     3 years thereafter, the President shall transmit to the 
     appropriate congressional committees a report on the 
     implementation of this section for the prior 3-year period.
       (2) Matters to be included.--The report required under 
     paragraph (1) shall include the following:
       (A) The update of the strategy required under subsection 
     (c)(2) and a description of the actions taken by the Task 
     Force to assist in the implementation of the strategy.
       (B) A description of actions taken by the Task Force to 
     carry out the duties required under subsection (a)(4)(B).
       (C) A description of assistance provided under this 
     section.
       (D) The results of programs, projects, and activities 
     carried out under this section.
       (E) A description of priorities for promoting the diffusion 
     and adoption of clean and efficient energy technologies and 
     strategies in developing countries, taking into account 
     economic and security interests of the United States and 
     opportunities for the export of technology of the United 
     States.
       (F) Recommendations to the heads of appropriate Federal 
     departments and agencies on methods to streamline Federal 
     programs and policies to improve the role of such Federal 
     departments and agencies in the development, demonstration, 
     and deployment of clean and efficient energy technologies on 
     an international basis.
       (G) Strategies to integrate representatives of the private 
     sector and other interested groups on the export and 
     deployment of clean and efficient energy technologies.
       (H) A description of programs to disseminate information to 
     the private sector and the public on clean and efficient 
     energy technologies and opportunities to transfer such clean 
     and efficient energy technologies.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated to carry out this section $5,000,000 for 
     each of fiscal years 2008 through 2020.

     SEC. 917. UNITED STATES-ISRAEL ENERGY COOPERATION.

       (a) Findings.--Congress finds that--
       (1) it is in the highest national security interests of the 
     United States to develop renewable energy sources;
       (2) the State of Israel is a steadfast ally of the United 
     States;
       (3) the special relationship between the United States and 
     Israel is manifested in a variety of cooperative scientific 
     research and development programs, such as--
       (A) the United States-Israel Binational Science Foundation; 
     and
       (B) the United States-Israel Binational Industrial Research 
     and Development Foundation;
       (4) those programs have made possible many scientific, 
     technological, and commercial breakthroughs in the fields of 
     life sciences, medicine, bioengineering, agriculture, 
     biotechnology, communications, and others;
       (5) on February 1, 1996, the Secretary of Energy (referred 
     to in this section as the ``Secretary'') and the Israeli 
     Minister of Energy and Infrastructure signed an agreement to 
     establish a framework for collaboration between the United 
     States and Israel in energy research and development 
     activities;
       (6) Israeli scientists and engineers are at the forefront 
     of research and development in the field of renewable energy 
     sources; and
       (7) enhanced cooperation between the United States and 
     Israel for the purpose of research and development of 
     renewable energy sources would be in the national interests 
     of both countries.
       (b) Grant Program.--
       (1) Establishment.--In implementing the agreement entitled 
     the ``Agreement between the Department of Energy of the 
     United States of America and the Ministry of Energy and 
     Infrastructure of Israel Concerning Energy Cooperation'', 
     dated February 1, 1996, the Secretary shall establish a grant 
     program in accordance with the requirements of sections 988 
     and 989 of the Energy Policy Act of 2005 (42 U.S.C. 16352, 
     16353) to support research, development, and 
     commercialization of renewable energy or energy efficiency.
       (2) Types of energy.--In carrying out paragraph (1), the 
     Secretary may make grants to promote--
       (A) solar energy;
       (B) biomass energy;
       (C) energy efficiency;
       (D) wind energy;
       (E) geothermal energy;
       (F) wave and tidal energy; and
       (G) advanced battery technology.
       (3) Eligible applicants.--An applicant shall be eligible to 
     receive a grant under this subsection if the project of the 
     applicant--
       (A) addresses a requirement in the area of improved energy 
     efficiency or renewable energy sources, as determined by the 
     Secretary; and

[[Page 35898]]

       (B) is a joint venture between--
       (i)(I) a for-profit business entity, academic institution, 
     National Laboratory (as defined in section 2 of the Energy 
     Policy Act of 2005 (42 U.S.C. 15801)), or nonprofit entity in 
     the United States; and
       (II) a for-profit business entity, academic institution, or 
     nonprofit entity in Israel; or
       (ii)(I) the Federal Government; and
       (II) the Government of Israel.
       (4) Applications.--To be eligible to receive a grant under 
     this subsection, an applicant shall submit to the Secretary 
     an application for the grant in accordance with procedures 
     established by the Secretary, in consultation with the 
     advisory board established under paragraph (5).
       (5) Advisory board.--
       (A) Establishment.--The Secretary shall establish an 
     advisory board--
       (i) to monitor the method by which grants are awarded under 
     this subsection; and
       (ii) to provide to the Secretary periodic performance 
     reviews of actions taken to carry out this subsection.
       (B) Composition.--The advisory board established under 
     subparagraph (A) shall be composed of 3 members, to be 
     appointed by the Secretary, of whom--
       (i) 1 shall be a representative of the Federal Government;
       (ii) 1 shall be selected from a list of nominees provided 
     by the United States-Israel Binational Science Foundation; 
     and
       (iii) 1 shall be selected from a list of nominees provided 
     by the United States-Israel Binational Industrial Research 
     and Development Foundation.
       (6) Contributed funds.--Notwithstanding section 3302 of 
     title 31, United States Code, the Secretary may accept, 
     retain, and use funds contributed by any person, government 
     entity, or organization for purposes of carrying out this 
     subsection--
       (A) without further appropriation; and
       (B) without fiscal year limitation.
       (7) Report.--Not later than 180 days after the date of 
     completion of a project for which a grant is provided under 
     this subsection, the grant recipient shall submit to the 
     Secretary a report that contains--
       (A) a description of the method by which the recipient used 
     the grant funds; and
       (B) an evaluation of the level of success of each project 
     funded by the grant.
       (8) Classification.--Grants shall be awarded under this 
     subsection only for projects that are considered to be 
     unclassified by both the United States and Israel.
       (c) Termination.--The grant program and the advisory 
     committee established under this section terminate on the 
     date that is 7 years after the date of enactment of this Act.
       (d) Authorization of Appropriations.--The Secretary shall 
     use amounts authorized to be appropriated under section 931 
     of the Energy Policy Act of 2005 (42 U.S.C. 16231) to carry 
     out this section.

           Subtitle B--International Clean Energy Foundation

     SEC. 921. DEFINITIONS.

       In this subtitle:
       (1) Board.--The term ``Board'' means the Board of Directors 
     of the Foundation established pursuant to section 922(c).
       (2) Chief executive officer.--The term ``Chief Executive 
     Officer'' means the chief executive officer of the Foundation 
     appointed pursuant to section 922(b).
       (3) Foundation.--The term ``Foundation'' means the 
     International Clean Energy Foundation established by section 
     922(a).

     SEC. 922. ESTABLISHMENT AND MANAGEMENT OF FOUNDATION.

       (a) Establishment.--
       (1) In general.--There is established in the executive 
     branch a foundation to be known as the ``International Clean 
     Energy Foundation'' that shall be responsible for carrying 
     out the provisions of this subtitle. The Foundation shall be 
     a government corporation, as defined in section 103 of title 
     5, United States Code.
       (2) Board of directors.--The Foundation shall be governed 
     by a Board of Directors in accordance with subsection (c).
       (3) Intent of congress.--It is the intent of Congress, in 
     establishing the structure of the Foundation set forth in 
     this subsection, to create an entity that serves the long-
     term foreign policy and energy security goals of reducing 
     global greenhouse gas emissions.
       (b) Chief Executive Officer.--
       (1) In general.--There shall be in the Foundation a Chief 
     Executive Officer who shall be responsible for the management 
     of the Foundation.
       (2) Appointment.--The Chief Executive Officer shall be 
     appointed by the Board, with the advice and consent of the 
     Senate, and shall be a recognized leader in clean and 
     efficient energy technologies and climate change and shall 
     have experience in energy security, business, or foreign 
     policy, chosen on the basis of a rigorous search.
       (3) Relationship to board.--The Chief Executive Officer 
     shall report to, and be under the direct authority of, the 
     Board.
       (4) Compensation and rank.--
       (A) In general.--The Chief Executive Officer shall be 
     compensated at the rate provided for level III of the 
     Executive Schedule under section 5314 of title 5, United 
     States Code.
       (B) Amendment.--Section 5314 of title 5, United States 
     Code, is amended by adding at the end the following:
     ``Chief Executive Officer, International Clean Energy 
     Foundation.''.
       (C) Authorities and duties.--The Chief Executive Officer 
     shall be responsible for the management of the Foundation and 
     shall exercise the powers and discharge the duties of the 
     Foundation.
       (D) Authority to appoint officers.--In consultation and 
     with approval of the Board, the Chief Executive Officer shall 
     appoint all officers of the Foundation.
       (c) Board of Directors.--
       (1) Establishment.--There shall be in the Foundation a 
     Board of Directors.
       (2) Duties.--The Board shall perform the functions 
     specified to be carried out by the Board in this subtitle and 
     may prescribe, amend, and repeal bylaws, rules, regulations, 
     and procedures governing the manner in which the business of 
     the Foundation may be conducted and in which the powers 
     granted to it by law may be exercised.
       (3) Membership.--The Board shall consist of--
       (A) the Secretary of State (or the Secretary's designee), 
     the Secretary of Energy (or the Secretary's designee), and 
     the Administrator of the United States Agency for 
     International Development (or the Administrator's designee); 
     and
       (B) four other individuals with relevant experience in 
     matters relating to energy security (such as individuals who 
     represent institutions of energy policy, business 
     organizations, foreign policy organizations, or other 
     relevant organizations) who shall be appointed by the 
     President, by and with the advice and consent of the Senate, 
     of whom--
       (i) one individual shall be appointed from among a list of 
     individuals submitted by the majority leader of the House of 
     Representatives;
       (ii) one individual shall be appointed from among a list of 
     individuals submitted by the minority leader of the House of 
     Representatives;
       (iii) one individual shall be appointed from among a list 
     of individuals submitted by the majority leader of the 
     Senate; and
       (iv) one individual shall be appointed from among a list of 
     individuals submitted by the minority leader of the Senate.
       (4) Chief executive officer.--The Chief Executive Officer 
     of the Foundation shall serve as a nonvoting, ex officio 
     member of the Board.
       (5) Terms.--
       (A) Officers of the federal government.--Each member of the 
     Board described in paragraph (3)(A) shall serve for a term 
     that is concurrent with the term of service of the 
     individual's position as an officer within the other Federal 
     department or agency.
       (B) Other members.--Each member of the Board described in 
     paragraph (3)(B) shall be appointed for a term of 3 years and 
     may be reappointed for a term of an additional 3 years.
       (C) Vacancies.--A vacancy in the Board shall be filled in 
     the manner in which the original appointment was made.
       (D) Acting members.--A vacancy in the Board may be filled 
     with an appointment of an acting member by the Chairperson of 
     the Board for up to 1 year while a nominee is named and 
     awaits confirmation in accordance with paragraph (3)(B).
       (6) Chairperson.--There shall be a Chairperson of the 
     Board. The Secretary of State (or the Secretary's designee) 
     shall serve as the Chairperson.
       (7) Quorum.--A majority of the members of the Board 
     described in paragraph (3) shall constitute a quorum, which, 
     except with respect to a meeting of the Board during the 135-
     day period beginning on the date of the enactment of this 
     Act, shall include at least 1 member of the Board described 
     in paragraph (3)(B).
       (8) Meetings.--The Board shall meet at the call of the 
     Chairperson, who shall call a meeting no less than once a 
     year.
       (9) Compensation.--
       (A) Officers of the federal government.--
       (i) In general.--A member of the Board described in 
     paragraph (3)(A) may not receive additional pay, allowances, 
     or benefits by reason of the member's service on the Board.
       (ii) Travel expenses.--Each such member of the Board shall 
     receive travel expenses, including per diem in lieu of 
     subsistence, in accordance with applicable provisions under 
     subchapter I of chapter 57 of title 5, United States Code.
       (B) Other members.--
       (i) In general.--Except as provided in clause (ii), a 
     member of the Board described in paragraph (3)(B)--

       (I) shall be paid compensation out of funds made available 
     for the purposes of this subtitle at the daily equivalent of 
     the highest rate payable under section 5332 of title 5, 
     United States Code, for each day (including travel time) 
     during which the member is engaged in the actual performance 
     of duties as a member of the Board; and
       (II) while away from the member's home or regular place of 
     business on necessary travel in the actual performance of 
     duties as a member of the Board, shall be paid per diem, 
     travel, and transportation expenses in the same manner as is 
     provided under subchapter I of chapter 57 of title 5, United 
     States Code.

       (ii) Limitation.--A member of the Board may not be paid 
     compensation under clause (i)(II) for more than 90 days in 
     any calendar year.

     SEC. 923. DUTIES OF FOUNDATION.

       The Foundation shall--
       (1) use the funds authorized by this subtitle to make 
     grants to promote projects outside of the United States that 
     serve as models of how to significantly reduce the emissions 
     of global greenhouse gases through clean and efficient energy 
     technologies, processes, and services;
       (2) seek contributions from foreign governments, especially 
     those rich in energy resources

[[Page 35899]]

     such as member countries of the Organization of the Petroleum 
     Exporting Countries, and private organizations to supplement 
     funds made available under this subtitle;
       (3) harness global expertise through collaborative 
     partnerships with foreign governments and domestic and 
     foreign private actors, including nongovernmental 
     organizations and private sector companies, by leveraging 
     public and private capital, technology, expertise, and 
     services towards innovative models that can be instituted to 
     reduce global greenhouse gas emissions;
       (4) create a repository of information on best practices 
     and lessons learned on the utilization and implementation of 
     clean and efficient energy technologies and processes to be 
     used for future initiatives to tackle the climate change 
     crisis;
       (5) be committed to minimizing administrative costs and to 
     maximizing the availability of funds for grants under this 
     subtitle; and
       (6) promote the use of American-made clean and efficient 
     energy technologies, processes, and services by giving 
     preference to entities incorporated in the United States and 
     whose technology will be substantially manufactured in the 
     United States.

     SEC. 924. ANNUAL REPORT.

       (a) Report Required.--Not later than March 31, 2008, and 
     each March 31 thereafter, the Foundation shall submit to the 
     appropriate congressional committees a report on the 
     implementation of this subtitle during the prior fiscal year.
       (b) Contents.--The report required by subsection (a) shall 
     include--
       (1) the total financial resources available to the 
     Foundation during the year, including appropriated funds, the 
     value and source of any gifts or donations accepted pursuant 
     to section 925(a)(6), and any other resources;
       (2) a description of the Board's policy priorities for the 
     year and the basis upon which competitive grant proposals 
     were solicited and awarded to nongovernmental institutions 
     and other organizations;
       (3) a list of grants made to nongovernmental institutions 
     and other organizations that includes the identity of the 
     institutional recipient, the dollar amount, and the results 
     of the program; and
       (4) the total administrative and operating expenses of the 
     Foundation for the year, as well as specific information on--
       (A) the number of Foundation employees and the cost of 
     compensation for Board members, Foundation employees, and 
     personal service contractors;
       (B) costs associated with securing the use of real property 
     for carrying out the functions of the Foundation;
       (C) total travel expenses incurred by Board members and 
     Foundation employees in connection with Foundation 
     activities; and
       (D) total representational expenses.

     SEC. 925. POWERS OF THE FOUNDATION; RELATED PROVISIONS.

       (a) Powers.--The Foundation--
       (1) shall have perpetual succession unless dissolved by a 
     law enacted after the date of the enactment of this Act;
       (2) may adopt, alter, and use a seal, which shall be 
     judicially noticed;
       (3) may make and perform such contracts, grants, and other 
     agreements with any person or government however designated 
     and wherever situated, as may be necessary for carrying out 
     the functions of the Foundation;
       (4) may determine and prescribe the manner in which its 
     obligations shall be incurred and its expenses allowed and 
     paid, including expenses for representation;
       (5) may lease, purchase, or otherwise acquire, improve, and 
     use such real property wherever situated, as may be necessary 
     for carrying out the functions of the Foundation;
       (6) may accept money, funds, services, or property (real, 
     personal, or mixed), tangible or intangible, made available 
     by gift, bequest grant, or otherwise for the purpose of 
     carrying out the provisions of this title from domestic or 
     foreign private individuals, charities, nongovernmental 
     organizations, corporations, or governments;
       (7) may use the United States mails in the same manner and 
     on the same conditions as the executive departments;
       (8) may contract with individuals for personal services, 
     who shall not be considered Federal employees for any 
     provision of law administered by the Office of Personnel 
     Management;
       (9) may hire or obtain passenger motor vehicles; and
       (10) shall have such other powers as may be necessary and 
     incident to carrying out this subtitle.
       (b) Principal Office.--The Foundation shall maintain its 
     principal office in the metropolitan area of Washington, 
     District of Columbia.
       (c) Applicability of Government Corporation Control Act.--
       (1) In general.--The Foundation shall be subject to chapter 
     91 of subtitle VI of title 31, United States Code, except 
     that the Foundation shall not be authorized to issue 
     obligations or offer obligations to the public.
       (2) Conforming amendment.--Section 9101(3) of title 31, 
     United States Code, is amended by adding at the end the 
     following:
       ``(R) the International Clean Energy Foundation.''.
       (d) Inspector General.--
       (1) In general.--The Inspector General of the Department of 
     State shall serve as Inspector General of the Foundation, 
     and, in acting in such capacity, may conduct reviews, 
     investigations, and inspections of all aspects of the 
     operations and activities of the Foundation.
       (2) Authority of the board.--In carrying out the 
     responsibilities under this subsection, the Inspector General 
     shall report to and be under the general supervision of the 
     Board.
       (3) Reimbursement and authorization of services.--
       (A) Reimbursement.--The Foundation shall reimburse the 
     Department of State for all expenses incurred by the 
     Inspector General in connection with the Inspector General's 
     responsibilities under this subsection.
       (B) Authorization for services.--Of the amount authorized 
     to be appropriated under section 927(a) for a fiscal year, up 
     to $500,000 is authorized to be made available to the 
     Inspector General of the Department of State to conduct 
     reviews, investigations, and inspections of operations and 
     activities of the Foundation.

     SEC. 926. GENERAL PERSONNEL AUTHORITIES.

       (a) Detail of Personnel.--Upon request of the Chief 
     Executive Officer, the head of an agency may detail any 
     employee of such agency to the Foundation on a reimbursable 
     basis. Any employee so detailed remains, for the purpose of 
     preserving such employee's allowances, privileges, rights, 
     seniority, and other benefits, an employee of the agency from 
     which detailed.
       (b) Reemployment Rights.--
       (1) In general.--An employee of an agency who is serving 
     under a career or career conditional appointment (or the 
     equivalent), and who, with the consent of the head of such 
     agency, transfers to the Foundation, is entitled to be 
     reemployed in such employee's former position or a position 
     of like seniority, status, and pay in such agency, if such 
     employee--
       (A) is separated from the Foundation for any reason, other 
     than misconduct, neglect of duty, or malfeasance; and
       (B) applies for reemployment not later than 90 days after 
     the date of separation from the Foundation.
       (2) Specific rights.--An employee who satisfies paragraph 
     (1) is entitled to be reemployed (in accordance with such 
     paragraph) within 30 days after applying for reemployment 
     and, on reemployment, is entitled to at least the rate of 
     basic pay to which such employee would have been entitled had 
     such employee never transferred.
       (c) Hiring Authority.--Of persons employed by the 
     Foundation, no more than 30 persons may be appointed, 
     compensated, or removed without regard to the civil service 
     laws and regulations.
       (d) Basic Pay.--The Chief Executive Officer may fix the 
     rate of basic pay of employees of the Foundation without 
     regard to the provisions of chapter 51 of title 5, United 
     States Code (relating to the classification of positions), 
     subchapter III of chapter 53 of such title (relating to 
     General Schedule pay rates), except that no employee of the 
     Foundation may receive a rate of basic pay that exceeds the 
     rate for level IV of the Executive Schedule under section 
     5315 of such title.
       (e) Definitions.--In this section--
       (1) the term ``agency'' means an executive agency, as 
     defined by section 105 of title 5, United States Code; and
       (2) the term ``detail'' means the assignment or loan of an 
     employee, without a change of position, from the agency by 
     which such employee is employed to the Foundation.

     SEC. 927. AUTHORIZATION OF APPROPRIATIONS.

       (a) Authorization of Appropriations.--To carry out this 
     subtitle, there are authorized to be appropriated $20,000,000 
     for each of the fiscal years 2009 through 2013.
       (b) Allocation of Funds.--
       (1) In general.--The Foundation may allocate or transfer to 
     any agency of the United States Government any of the funds 
     available for carrying out this subtitle. Such funds shall be 
     available for obligation and expenditure for the purposes for 
     which the funds were authorized, in accordance with authority 
     granted in this subtitle or under authority governing the 
     activities of the United States Government agency to which 
     such funds are allocated or transferred.
       (2) Notification.--The Foundation shall notify the 
     appropriate congressional committees not less than 15 days 
     prior to an allocation or transfer of funds pursuant to 
     paragraph (1).

                  Subtitle C--Miscellaneous Provisions

     SEC. 931. ENERGY DIPLOMACY AND SECURITY WITHIN THE DEPARTMENT 
                   OF STATE.

       (a) State Department Coordinator for International Energy 
     Affairs.--
       (1) In general.--The Secretary of State should ensure that 
     energy security is integrated into the core mission of the 
     Department of State.
       (2) Coordinator for international energy affairs.--There is 
     established within the Office of the Secretary of State a 
     Coordinator for International Energy Affairs, who shall be 
     responsible for--
       (A) representing the Secretary of State in interagency 
     efforts to develop the international energy policy of the 
     United States;
       (B) ensuring that analyses of the national security 
     implications of global energy and environmental developments 
     are reflected in the decision making process within the 
     Department of State;
       (C) incorporating energy security priorities into the 
     activities of the Department of State;
       (D) coordinating energy activities of the Department of 
     State with relevant Federal agencies; and
       (E) coordinating energy security and other relevant 
     functions within the Department of State currently undertaken 
     by offices within--
       (i) the Bureau of Economic, Energy and Business Affairs;

[[Page 35900]]

       (ii) the Bureau of Oceans and International Environmental 
     and Scientific Affairs; and
       (iii) other offices within the Department of State.
       (3) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as may be necessary to carry out 
     this subsection.
       (b) Energy Experts in Key Embassies.--Not later than 180 
     days after the date of the enactment of this Act, the 
     Secretary of State shall submit a report to the Committee on 
     Foreign Relations of the Senate and the Committee on Foreign 
     Affairs of the House of Representatives that includes--
       (1) a description of the Department of State personnel who 
     are dedicated to energy matters and are stationed at 
     embassies and consulates in countries that are major energy 
     producers or consumers;
       (2) an analysis of the need for Federal energy specialist 
     personnel in United States embassies and other United States 
     diplomatic missions; and
       (3) recommendations for increasing energy expertise within 
     United States embassies among foreign service officers and 
     options for assigning to such embassies energy attaches from 
     the National Laboratories or other agencies within the 
     Department of Energy.
       (c) Energy Advisors.--The Secretary of Energy may make 
     appropriate arrangements with the Secretary of State to 
     assign personnel from the Department of Energy or the 
     National Laboratories of the Department of Energy to serve as 
     dedicated advisors on energy matters in embassies of the 
     United States or other United States diplomatic missions.
       (d) Report.--Not later than 180 days after the date of the 
     enactment of this Act, and every 2 years thereafter for the 
     following 20 years, the Secretary of State shall submit a 
     report to the Committee on Foreign Relations of the Senate 
     and the Committee on Foreign Affairs of the House of 
     Representatives that describes--
       (1) the energy-related activities being conducted by the 
     Department of State, including activities within--
       (A) the Bureau of Economic, Energy and Business Affairs;
       (B) the Bureau of Oceans and Environmental and Scientific 
     Affairs; and
       (C) other offices within the Department of State;
       (2) the amount of funds spent on each activity within each 
     office described in paragraph (1); and
       (3) the number and qualification of personnel in each 
     embassy (or relevant foreign posting) of the United States 
     whose work is dedicated exclusively to energy matters.

     SEC. 932. NATIONAL SECURITY COUNCIL REORGANIZATION.

       Section 101(a) of the National Security Act of 1947 (50 
     U.S.C. 402(a)) is amended--
       (1) by redesignating paragraphs (5), (6), and (7) as 
     paragraphs (6), (7), and (8), respectively; and
       (2) by inserting after paragraph (4) the following:
       ``(5) the Secretary of Energy;''.

     SEC. 933. ANNUAL NATIONAL ENERGY SECURITY STRATEGY REPORT.

       (a) Reports.--
       (1) In general.--Subject to paragraph (2), on the date on 
     which the President submits to Congress the budget for the 
     following fiscal year under section 1105 of title 31, United 
     States Code, the President shall submit to Congress a 
     comprehensive report on the national energy security of the 
     United States.
       (2) New presidents.--In addition to the reports required 
     under paragraph (1), the President shall submit a 
     comprehensive report on the national energy security of the 
     United States by not later than 150 days after the date on 
     which the President assumes the office of President after a 
     presidential election.
       (b) Contents.--Each report under this section shall 
     describe the national energy security strategy of the United 
     States, including a comprehensive description of--
       (1) the worldwide interests, goals, and objectives of the 
     United States that are vital to the national energy security 
     of the United States;
       (2) the foreign policy, worldwide commitments, and national 
     defense capabilities of the United States necessary--
       (A) to deter political manipulation of world energy 
     resources; and
       (B) to implement the national energy security strategy of 
     the United States;
       (3) the proposed short-term and long-term uses of the 
     political, economic, military, and other authorities of the 
     United States--
       (A) to protect or promote energy security; and
       (B) to achieve the goals and objectives described in 
     paragraph (1);
       (4) the adequacy of the capabilities of the United States 
     to protect the national energy security of the United States, 
     including an evaluation of the balance among the capabilities 
     of all elements of the national authority of the United 
     States to support the implementation of the national energy 
     security strategy; and
       (5) such other information as the President determines to 
     be necessary to inform Congress on matters relating to the 
     national energy security of the United States.
       (c) Classified and Unclassified Form.--Each national energy 
     security strategy report shall be submitted to Congress in--
       (1) a classified form; and
       (2) an unclassified form.

     SEC. 934. CONVENTION ON SUPPLEMENTARY COMPENSATION FOR 
                   NUCLEAR DAMAGE CONTINGENT COST ALLOCATION.

       (a) Findings and Purpose.--
       (1) Findings.--Congress finds that--
       (A) section 170 of the Atomic Energy Act of 1954 (42 U.S.C. 
     2210) (commonly known as the ``Price-Anderson Act'')--
       (i) provides a predictable legal framework necessary for 
     nuclear projects; and
       (ii) ensures prompt and equitable compensation in the event 
     of a nuclear incident in the United States;
       (B) the Price-Anderson Act, in effect, provides operators 
     of nuclear powerplants with insurance for damage arising out 
     of a nuclear incident and funds the insurance primarily 
     through the assessment of a retrospective premium from each 
     operator after the occurrence of a nuclear incident;
       (C) the Convention on Supplementary Compensation for 
     Nuclear Damage, done at Vienna on September 12, 1997, will 
     establish a global system--
       (i) to provide a predictable legal framework necessary for 
     nuclear energy projects; and
       (ii) to ensure prompt and equitable compensation in the 
     event of a nuclear incident;
       (D) the Convention benefits United States nuclear suppliers 
     that face potentially unlimited liability for nuclear 
     incidents that are not covered by the Price-Anderson Act by 
     replacing a potentially open-ended liability with a 
     predictable liability regime that, in effect, provides 
     nuclear suppliers with insurance for damage arising out of 
     such an incident;
       (E) the Convention also benefits United States nuclear 
     facility operators that may be publicly liable for a Price-
     Anderson incident by providing an additional early source of 
     funds to compensate damage arising out of the Price-Anderson 
     incident;
       (F) the combined operation of the Convention, the Price-
     Anderson Act, and this section will augment the quantity of 
     assured funds available for victims in a wider variety of 
     nuclear incidents while reducing the potential liability of 
     United States suppliers without increasing potential costs to 
     United States operators;
       (G) the cost of those benefits is the obligation of the 
     United States to contribute to the supplementary compensation 
     fund established by the Convention;
       (H) any such contribution should be funded in a manner that 
     does not--
       (i) upset settled expectations based on the liability 
     regime established under the Price-Anderson Act; or
       (ii) shift to Federal taxpayers liability risks for nuclear 
     incidents at foreign installations;
       (I) with respect to a Price-Anderson incident, funds 
     already available under the Price-Anderson Act should be 
     used; and
       (J) with respect to a nuclear incident outside the United 
     States not covered by the Price-Anderson Act, a retrospective 
     premium should be prorated among nuclear suppliers relieved 
     from potential liability for which insurance is not 
     available.
       (2) Purpose.--The purpose of this section is to allocate 
     the contingent costs associated with participation by the 
     United States in the international nuclear liability 
     compensation system established by the Convention on 
     Supplementary Compensation for Nuclear Damage, done at Vienna 
     on September 12, 1997--
       (A) with respect to a Price-Anderson incident, by using 
     funds made available under section 170 of the Atomic Energy 
     Act of 1954 (42 U.S.C. 2210) to cover the contingent costs in 
     a manner that neither increases the burdens nor decreases the 
     benefits under section 170 of that Act; and
       (B) with respect to a covered incident outside the United 
     States that is not a Price-Anderson incident, by allocating 
     the contingent costs equitably, on the basis of risk, among 
     the class of nuclear suppliers relieved by the Convention 
     from the risk of potential liability resulting from any 
     covered incident outside the United States.
       (b) Definitions.--In this section:
       (1) Commission.--The term ``Commission'' means the Nuclear 
     Regulatory Commission.
       (2) Contingent cost.--The term ``contingent cost'' means 
     the cost to the United States in the event of a covered 
     incident the amount of which is equal to the amount of funds 
     the United States is obligated to make available under 
     paragraph 1(b) of Article III of the Convention.
       (3) Convention.--The term ``Convention'' means the 
     Convention on Supplementary Compensation for Nuclear Damage, 
     done at Vienna on September 12, 1997.
       (4) Covered incident.--The term ``covered incident'' means 
     a nuclear incident the occurrence of which results in a 
     request for funds pursuant to Article VII of the Convention.
       (5) Covered installation.--The term ``covered 
     installation'' means a nuclear installation at which the 
     occurrence of a nuclear incident could result in a request 
     for funds under Article VII of the Convention.
       (6) Covered person.--
       (A) In general.--The term ``covered person'' means--
       (i) a United States person; and
       (ii) an individual or entity (including an agency or 
     instrumentality of a foreign country) that--

       (I) is located in the United States; or
       (II) carries out an activity in the United States.

       (B) Exclusions.--The term ``covered person'' does not 
     include--
       (i) the United States; or
       (ii) any agency or instrumentality of the United States.
       (7) Nuclear supplier.--The term ``nuclear supplier'' means 
     a covered person (or a successor in interest of a covered 
     person) that--

[[Page 35901]]

       (A) supplies facilities, equipment, fuel, services, or 
     technology pertaining to the design, construction, operation, 
     or decommissioning of a covered installation; or
       (B) transports nuclear materials that could result in a 
     covered incident.
       (8) Price-anderson incident.--The term ``Price-Anderson 
     incident'' means a covered incident for which section 170 of 
     the Atomic Energy Act of 1954 (42 U.S.C. 2210) would make 
     funds available to compensate for public liability (as 
     defined in section 11 of that Act (42 U.S.C. 2014)).
       (9) Secretary.--The term ``Secretary'' means the Secretary 
     of Energy.
       (10) United states.--
       (A) In general.--The term ``United States'' has the meaning 
     given the term in section 11 of the Atomic Energy Act of 1954 
     (42 U.S.C. 2014).
       (B) Inclusions.--The term ``United States'' includes--
       (i) the Commonwealth of Puerto Rico;
       (ii) any other territory or possession of the United 
     States;
       (iii) the Canal Zone; and
       (iv) the waters of the United States territorial sea under 
     Presidential Proclamation Number 5928, dated December 27, 
     1988 (43 U.S.C. 1331 note).
       (11) United states person.--The term ``United States 
     person'' means--
       (A) any individual who is a resident, national, or citizen 
     of the United States (other than an individual residing 
     outside of the United States and employed by a person who is 
     not a United States person); and
       (B) any corporation, partnership, association, joint stock 
     company, business trust, unincorporated organization, or sole 
     proprietorship that is organized under the laws of the United 
     States.
       (c) Use of Price-Anderson Funds.--
       (1) In general.--Funds made available under section 170 of 
     the Atomic Energy Act of 1954 (42 U.S.C. 2210) shall be used 
     to cover the contingent cost resulting from any Price-
     Anderson incident.
       (2) Effect.--The use of funds pursuant to paragraph (1) 
     shall not reduce the limitation on public liability 
     established under section 170 e. of the Atomic Energy Act of 
     1954 (42 U.S.C. 2210(e)).
       (d) Effect on Amount of Public Liability.--
       (1) In general.--Funds made available to the United States 
     under Article VII of the Convention with respect to a Price-
     Anderson incident shall be used to satisfy public liability 
     resulting from the Price-Anderson incident.
       (2) Amount.--The amount of public liability allowable under 
     section 170 of the Atomic Energy Act of 1954 (42 U.S.C. 2210) 
     relating to a Price-Anderson incident under paragraph (1) 
     shall be increased by an amount equal to the difference 
     between--
       (A) the amount of funds made available for the Price-
     Anderson incident under Article VII of the Convention; and
       (B) the amount of funds used under subsection (c) to cover 
     the contingent cost resulting from the Price-Anderson 
     incident.
       (e) Retrospective Risk Pooling Program.--
       (1) In general.--Except as provided under paragraph (2), 
     each nuclear supplier shall participate in a retrospective 
     risk pooling program in accordance with this section to cover 
     the contingent cost resulting from a covered incident outside 
     the United States that is not a Price-Anderson incident.
       (2) Deferred payment.--
       (A) In general.--The obligation of a nuclear supplier to 
     participate in the retrospective risk pooling program shall 
     be deferred until the United States is called on to provide 
     funds pursuant to Article VII of the Convention with respect 
     to a covered incident that is not a Price-Anderson incident.
       (B) Amount of deferred payment.--The amount of a deferred 
     payment of a nuclear supplier under subparagraph (A) shall be 
     based on the risk-informed assessment formula determined 
     under subparagraph (C).
       (C) Risk-informed assessment formula.--
       (i) In general.--Not later than 3 years after the date of 
     the enactment of this Act, and every 5 years thereafter, the 
     Secretary shall, by regulation, determine the risk-informed 
     assessment formula for the allocation among nuclear suppliers 
     of the contingent cost resulting from a covered incident that 
     is not a Price-Anderson incident, taking into account risk 
     factors such as--

       (I) the nature and intended purpose of the goods and 
     services supplied by each nuclear supplier to each covered 
     installation outside the United States;
       (II) the quantity of the goods and services supplied by 
     each nuclear supplier to each covered installation outside 
     the United States;
       (III) the hazards associated with the supplied goods and 
     services if the goods and services fail to achieve the 
     intended purposes;
       (IV) the hazards associated with the covered installation 
     outside the United States to which the goods and services are 
     supplied;
       (V) the legal, regulatory, and financial infrastructure 
     associated with the covered installation outside the United 
     States to which the goods and services are supplied; and
       (VI) the hazards associated with particular forms of 
     transportation.

       (ii) Factors for consideration.--In determining the 
     formula, the Secretary may--

       (I) exclude--

       (aa) goods and services with negligible risk;
       (bb) classes of goods and services not intended 
     specifically for use in a nuclear installation;
       (cc) a nuclear supplier with a de minimis share of the 
     contingent cost; and
       (dd) a nuclear supplier no longer in existence for which 
     there is no identifiable successor; and

       (II) establish the period on which the risk assessment is 
     based.

       (iii) Application.--In applying the formula, the Secretary 
     shall not consider any covered installation or transportation 
     for which funds would be available under section 170 of the 
     Atomic Energy Act of 1954 (42 U.S.C. 2210).
       (iv) Report.--Not later than 5 years after the date of the 
     enactment of this Act, and every 5 years thereafter, the 
     Secretary shall submit to the Committee on Environment and 
     Public Works of the Senate and the Committee on Energy and 
     Commerce of the House of Representatives a report on whether 
     there is a need for continuation or amendment of this 
     section, taking into account the effects of the 
     implementation of the Convention on the United States nuclear 
     industry and suppliers.
       (f) Reporting.--
       (1) Collection of information.--
       (A) In general.--The Secretary may collect information 
     necessary for developing and implementing the formula for 
     calculating the deferred payment of a nuclear supplier under 
     subsection (e)(2).
       (B) Provision of information.--Each nuclear supplier and 
     other appropriate persons shall make available to the 
     Secretary such information, reports, records, documents, and 
     other data as the Secretary determines, by regulation, to be 
     necessary or appropriate to develop and implement the formula 
     under subsection (e)(2)(C).
       (2) Private insurance.--The Secretary shall make available 
     to nuclear suppliers, and insurers of nuclear suppliers, 
     information to support the voluntary establishment and 
     maintenance of private insurance against any risk for which 
     nuclear suppliers may be required to pay deferred payments 
     under this section.
       (g) Effect on Liability.--Nothing in any other law 
     (including regulations) limits liability for a covered 
     incident to an amount equal to less than the amount 
     prescribed in paragraph 1(a) of Article IV of the Convention, 
     unless the law--
       (1) specifically refers to this section; and
       (2) explicitly repeals, alters, amends, modifies, impairs, 
     displaces, or supersedes the effect of this subsection.
       (h) Payments to and by the United States.--
       (1) Action by nuclear suppliers.--
       (A) Notification.--In the case of a request for funds under 
     Article VII of the Convention resulting from a covered 
     incident that is not a Price-Anderson incident, the Secretary 
     shall notify each nuclear supplier of the amount of the 
     deferred payment required to be made by the nuclear supplier.
       (B) Payments.--
       (i) In general.--Except as provided under clause (ii), not 
     later than 60 days after receipt of a notification under 
     subparagraph (A), a nuclear supplier shall pay to the general 
     fund of the Treasury the deferred payment of the nuclear 
     supplier required under subparagraph (A).
       (ii) Annual payments.--A nuclear supplier may elect to 
     prorate payment of the deferred payment required under 
     subparagraph (A) in 5 equal annual payments (including 
     interest on the unpaid balance at the prime rate prevailing 
     at the time the first payment is due).
       (C) Vouchers.--A nuclear supplier shall submit payment 
     certification vouchers to the Secretary of the Treasury in 
     accordance with section 3325 of title 31, United States Code.
       (2) Use of funds.--
       (A) In general.--Amounts paid into the Treasury under 
     paragraph (1) shall be available to the Secretary of the 
     Treasury, without further appropriation and without fiscal 
     year limitation, for the purpose of making the contributions 
     of public funds required to be made by the United States 
     under the Convention.
       (B) Action by secretary of treasury.--The Secretary of the 
     Treasury shall pay the contribution required under the 
     Convention to the court of competent jurisdiction under 
     Article XIII of the Convention with respect to the applicable 
     covered incident.
       (3) Failure to pay.--If a nuclear supplier fails to make a 
     payment required under this subsection, the Secretary may 
     take appropriate action to recover from the nuclear 
     supplier--
       (A) the amount of the payment due from the nuclear 
     supplier;
       (B) any applicable interest on the payment; and
       (C) a penalty of not more than twice the amount of the 
     deferred payment due from the nuclear supplier.
       (i) Limitation on Judicial Review; Cause of Action.--
       (1) Limitation on judicial review.--
       (A) In general.--In any civil action arising under the 
     Convention over which Article XIII of the Convention grants 
     jurisdiction to the courts of the United States, any appeal 
     or review by writ of mandamus or otherwise with respect to a 
     nuclear incident that is not a Price-Anderson incident shall 
     be in accordance with chapter 83 of title 28, United States 
     Code, except that the appeal or review shall occur in the 
     United States Court of Appeals for the District of Columbia 
     Circuit.
       (B) Supreme court jurisdiction.--Nothing in this paragraph 
     affects the jurisdiction of the Supreme Court of the United 
     States under chapter 81 of title 28, United States Code.
       (2) Cause of action.--

[[Page 35902]]

       (A) In general.--Subject to subparagraph (B), in any civil 
     action arising under the Convention over which Article XIII 
     of the Convention grants jurisdiction to the courts of the 
     United States, in addition to any other cause of action that 
     may exist, an individual or entity shall have a cause of 
     action against the operator to recover for nuclear damage 
     suffered by the individual or entity.
       (B) Requirement.--Subparagraph (A) shall apply only if the 
     individual or entity seeks a remedy for nuclear damage (as 
     defined in Article I of the Convention) that was caused by a 
     nuclear incident (as defined in Article I of the Convention) 
     that is not a Price-Anderson incident.
       (C) Savings provision.--Nothing in this paragraph may be 
     construed to limit, modify, extinguish, or otherwise affect 
     any cause of action that would have existed in the absence of 
     enactment of this paragraph.
       (j) Right of Recourse.--This section does not provide to an 
     operator of a covered installation any right of recourse 
     under the Convention.
       (k) Protection of Sensitive United States Information.--
     Nothing in the Convention or this section requires the 
     disclosure of--
       (1) any data that, at any time, was Restricted Data (as 
     defined in section 11 of the Atomic Energy Act of 1954 (42 
     U.S.C. 2014));
       (2) information relating to intelligence sources or methods 
     protected by section 102A(i) of the National Security Act of 
     1947 (50 U.S.C. 403-1(i)); or
       (3) national security information classified under 
     Executive Order 12958 (50 U.S.C. 435 note; relating to 
     classified national security information) (or a successor 
     Executive Order or regulation).
       (l) Regulations.--
       (1) In general.--The Secretary or the Commission, as 
     appropriate, may prescribe regulations to carry out section 
     170 of the Atomic Energy Act of 1954 (42 U.S.C. 2210) and 
     this section.
       (2) Requirement.--Rules prescribed under this subsection 
     shall ensure, to the maximum extent practicable, that--
       (A) the implementation of section 170 of the Atomic Energy 
     Act of 1954 (42 U.S.C. 2210) and this section is consistent 
     and equitable; and
       (B) the financial and operational burden on a Commission 
     licensee in complying with section 170 of that Act is not 
     greater as a result of the enactment of this section.
       (3) Applicability of provision.--Section 553 of title 5, 
     United States Code, shall apply with respect to the 
     promulgation of regulations under this subsection.
       (4) Effect of subsection.--The authority provided under 
     this subsection is in addition to, and does not impair or 
     otherwise affect, any other authority of the Secretary or the 
     Commission to prescribe regulations.
       (m) Effective Date.--This section shall take effect on the 
     date of the enactment of this Act.

     SEC. 935. TRANSPARENCY IN EXTRACTIVE INDUSTRIES RESOURCE 
                   PAYMENTS.

       (a) Purpose.--The purpose of this section is to--
       (1) ensure greater United States energy security by 
     combating corruption in the governments of foreign countries 
     that receive revenues from the sale of their natural 
     resources; and
       (2) enhance the development of democracy and increase 
     political and economic stability in such resource rich 
     foreign countries.
       (b) Statement of Policy.--It is the policy of the United 
     States--
       (1) to increase energy security by promoting anti-
     corruption initiatives in oil and natural gas rich countries; 
     and
       (2) to promote global energy security through promotion of 
     programs such as the Extractive Industries Transparency 
     Initiative (EITI) that seek to instill transparency and 
     accountability into extractive industries resource payments.
       (c) Sense of Congress.--It is the sense of Congress that 
     the United States should further global energy security and 
     promote democratic development in resource-rich foreign 
     countries by--
       (1) encouraging further participation in the EITI by 
     eligible countries and companies; and
       (2) promoting the efficacy of the EITI program by ensuring 
     a robust and candid review mechanism.
       (d) Report.--
       (1) Report required.--Not later than 180 days after the 
     date of the enactment of this Act, and annually thereafter, 
     the Secretary of State, in consultation with the Secretary of 
     Energy, shall submit to the appropriate congressional 
     committees a report on progress made in promoting 
     transparency in extractive industries resource payments.
       (2) Matters to be included.--The report required by 
     paragraph (1) shall include a detailed description of United 
     States participation in the EITI, bilateral and multilateral 
     diplomatic efforts to further participation in the EITI, and 
     other United States initiatives to strengthen energy 
     security, deter energy kleptocracy, and promote transparency 
     in the extractive industries.
       (e) Authorization of Appropriations.--There is authorized 
     to be appropriated $3,000,000 for the purposes of United 
     States contributions to the Multi-Donor Trust Fund of the 
     EITI.

                          TITLE X--GREEN JOBS

     SEC. 1001. SHORT TITLE.

       This title may be cited as the ``Green Jobs Act of 2007''.

     SEC. 1002. ENERGY EFFICIENCY AND RENEWABLE ENERGY WORKER 
                   TRAINING PROGRAM.

       Section 171 of the Workforce Investment Act of 1998 (29 
     U.S.C. 2916) is amended by adding at the end the following:
       ``(e) Energy Efficiency and Renewable Energy Worker 
     Training Program.--
       ``(1) Grant program.--
       ``(A) In general.--Not later than 6 months after the date 
     of enactment of the Green Jobs Act of 2007, the Secretary, in 
     consultation with the Secretary of Energy, shall establish an 
     energy efficiency and renewable energy worker training 
     program under which the Secretary shall carry out the 
     activities described in paragraph (2) to achieve the purposes 
     of this subsection.
       ``(B) Eligibility.--For purposes of providing assistance 
     and services under the program established under this 
     subsection--
       ``(i) target populations of eligible individuals to be 
     given priority for training and other services shall 
     include--

       ``(I) workers impacted by national energy and environmental 
     policy;
       ``(II) individuals in need of updated training related to 
     the energy efficiency and renewable energy industries;
       ``(III) veterans, or past and present members of reserve 
     components of the Armed Forces;
       ``(IV) unemployed individuals;
       ``(V) individuals, including at-risk youth, seeking 
     employment pathways out of poverty and into economic self-
     sufficiency; and
       ``(VI) formerly incarcerated, adjudicated, nonviolent 
     offenders; and

       ``(ii) energy efficiency and renewable energy industries 
     eligible to participate in a program under this subsection 
     include--

       ``(I) the energy-efficient building, construction, and 
     retrofits industries;
       ``(II) the renewable electric power industry;
       ``(III) the energy efficient and advanced drive train 
     vehicle industry;
       ``(IV) the biofuels industry;
       ``(V) the deconstruction and materials use industries;
       ``(VI) the energy efficiency assessment industry serving 
     the residential, commercial, or industrial sectors; and
       ``(VII) manufacturers that produce sustainable products 
     using environmentally sustainable processes and materials.

       ``(2) Activities.--
       ``(A) National research program.--Under the program 
     established under paragraph (1), the Secretary, acting 
     through the Bureau of Labor Statistics, where appropriate, 
     shall collect and analyze labor market data to track 
     workforce trends resulting from energy-related initiatives 
     carried out under this subsection. Activities carried out 
     under this paragraph shall include--
       ``(i) tracking and documentation of academic and 
     occupational competencies as well as future skill needs with 
     respect to renewable energy and energy efficiency technology;
       ``(ii) tracking and documentation of occupational 
     information and workforce training data with respect to 
     renewable energy and energy efficiency technology;
       ``(iii) collaborating with State agencies, workforce 
     investments boards, industry, organized labor, and community 
     and nonprofit organizations to disseminate information on 
     successful innovations for labor market services and worker 
     training with respect to renewable energy and energy 
     efficiency technology;
       ``(iv) serving as a clearinghouse for best practices in 
     workforce development, job placement, and collaborative 
     training partnerships;
       ``(v) encouraging the establishment of workforce training 
     initiatives with respect to renewable energy and energy 
     efficiency technologies;
       ``(vi) linking research and development in renewable energy 
     and energy efficiency technology with the development of 
     standards and curricula for current and future jobs;
       ``(vii) assessing new employment and work practices 
     including career ladder and upgrade training as well as high 
     performance work systems; and
       ``(viii) providing technical assistance and capacity 
     building to national and State energy partnerships, including 
     industry and labor representatives.
       ``(B) National energy training partnership grants.--
       ``(i) In general.--Under the program established under 
     paragraph (1), the Secretary shall award National Energy 
     Training Partnerships Grants on a competitive basis to 
     eligible entities to enable such entities to carry out 
     training that leads to economic self-sufficiency and to 
     develop an energy efficiency and renewable energy industries 
     workforce. Grants shall be awarded under this subparagraph so 
     as to ensure geographic diversity with at least 2 grants 
     awarded to entities located in each of the 4 Petroleum 
     Administration for Defense Districts with no subdistricts, 
     and at least 1 grant awarded to an entity located in each of 
     the subdistricts of the Petroleum Administration for Defense 
     District with subdistricts.
       ``(ii) Eligibility.--To be eligible to receive a grant 
     under clause (i), an entity shall be a nonprofit partnership 
     that--

       ``(I) includes the equal participation of industry, 
     including public or private employers, and labor 
     organizations, including joint labor-management training 
     programs, and may include workforce investment boards, 
     community-based organizations, qualified service and 
     conservation corps, educational institutions, small 
     businesses, cooperatives, State and local veterans agencies, 
     and veterans service organizations; and
       ``(II) demonstrates--

[[Page 35903]]

       ``(aa) experience in implementing and operating worker 
     skills training and education programs;
       ``(bb) the ability to identify and involve in training 
     programs carried out under this grant, target populations of 
     individuals who would benefit from training and be actively 
     involved in activities related to energy efficiency and 
     renewable energy industries; and
       ``(cc) the ability to help individuals achieve economic 
     self-sufficiency.
       ``(iii) Priority.--Priority shall be given to partnerships 
     which leverage additional public and private resources to 
     fund training programs, including cash or in-kind matches 
     from participating employers.
       ``(C) State labor market research, information, and labor 
     exchange research program.--
       ``(i) In general.--Under the program established under 
     paragraph (1), the Secretary shall award competitive grants 
     to States to enable such States to administer labor market 
     and labor exchange information programs that include the 
     implementation of the activities described in clause (ii), in 
     coordination with the one-stop delivery system.
       ``(ii) Activities.--A State shall use amounts awarded under 
     a grant under this subparagraph to provide funding to the 
     State agency that administers the Wagner-Peyser Act and State 
     unemployment compensation programs to carry out the following 
     activities using State agency merit staff:

       ``(I) The identification of job openings in the renewable 
     energy and energy efficiency sector.
       ``(II) The administration of skill and aptitude testing and 
     assessment for workers.
       ``(III) The counseling, case management, and referral of 
     qualified job seekers to openings and training programs, 
     including energy efficiency and renewable energy training 
     programs.

       ``(D) State energy training partnership program.--
       ``(i) In general.--Under the program established under 
     paragraph (1), the Secretary shall award competitive grants 
     to States to enable such States to administer renewable 
     energy and energy efficiency workforce development programs 
     that include the implementation of the activities described 
     in clause (ii).
       ``(ii) Partnerships.--A State shall use amounts awarded 
     under a grant under this subparagraph to award competitive 
     grants to eligible State Energy Sector Partnerships to enable 
     such Partnerships to coordinate with existing apprenticeship 
     and labor management training programs and implement training 
     programs that lead to the economic self-sufficiency of 
     trainees.
       ``(iii) Eligibility.--To be eligible to receive a grant 
     under this subparagraph, a State Energy Sector Partnership 
     shall--

       ``(I) consist of nonprofit organizations that include equal 
     participation from industry, including public or private 
     nonprofit employers, and labor organizations, including joint 
     labor-management training programs, and may include 
     representatives from local governments, the workforce 
     investment system, including one-stop career centers, 
     community based organizations, qualified service and 
     conservation corps, community colleges, and other post-
     secondary institutions, small businesses, cooperatives, State 
     and local veterans agencies, and veterans service 
     organizations;
       ``(II) demonstrate experience in implementing and operating 
     worker skills training and education programs; and
       ``(III) demonstrate the ability to identify and involve in 
     training programs, target populations of workers who would 
     benefit from training and be actively involved in activities 
     related to energy efficiency and renewable energy industries.

       ``(iv) Priority.--In awarding grants under this 
     subparagraph, the Secretary shall give priority to States 
     that demonstrate that activities under the grant--

       ``(I) meet national energy policies associated with energy 
     efficiency, renewable energy, and the reduction of emissions 
     of greenhouse gases;
       ``(II) meet State energy policies associated with energy 
     efficiency, renewable energy, and the reduction of emissions 
     of greenhouse gases; and
       ``(III) leverage additional public and private resources to 
     fund training programs, including cash or in-kind matches 
     from participating employers.

       ``(v) Coordination.--A grantee under this subparagraph 
     shall coordinate activities carried out under the grant with 
     existing other appropriate training programs, including 
     apprenticeship and labor management training programs, 
     including such activities referenced in paragraph (3)(A), and 
     implement training programs that lead to the economic self-
     sufficiency of trainees.
       ``(E) Pathways out of poverty demonstration program.--
       ``(i) In general.--Under the program established under 
     paragraph (1), the Secretary shall award competitive grants 
     of sufficient size to eligible entities to enable such 
     entities to carry out training that leads to economic self-
     sufficiency. The Secretary shall give priority to entities 
     that serve individuals in families with income of less than 
     200 percent of the sufficiency standard for the local areas 
     where the training is conducted that specifies, as defined by 
     the State, or where such standard is not established, the 
     income needs of families, by family size, the number and ages 
     of children in the family, and sub-State geographical 
     considerations. Grants shall be awards to ensure geographic 
     diversity.
       ``(ii) Eligible entities.--To be eligible to receive a 
     grant an entity shall be a partnership that--

       ``(I) includes community-based nonprofit organizations, 
     educational institutions with expertise in serving low-income 
     adults or youth, public or private employers from the 
     industry sectors described in paragraph (1)(B)(ii), and labor 
     organizations representing workers in such industry sectors;
       ``(II) demonstrates a record of successful experience in 
     implementing and operating worker skills training and 
     education programs;
       ``(III) coordinates activities, where appropriate, with the 
     workforce investment system; and
       ``(IV) demonstrates the ability to recruit individuals for 
     training and to support such individuals to successful 
     completion in training programs carried out under this grant, 
     targeting populations of workers who are or will be engaged 
     in activities related to energy efficiency and renewable 
     energy industries.

       ``(iii) Priorities.--In awarding grants under this 
     paragraph, the Secretary shall give priority to applicants 
     that--

       ``(I) target programs to benefit low-income workers, 
     unemployed youth and adults, high school dropouts, or other 
     underserved sectors of the workforce within areas of high 
     poverty;
       ``(II) ensure that supportive services are integrated with 
     education and training, and delivered by organizations with 
     direct access to and experience with targeted populations;
       ``(III) leverage additional public and private resources to 
     fund training programs, including cash or in-kind matches 
     from participating employers;
       ``(IV) involve employers and labor organizations in the 
     determination of relevant skills and competencies and ensure 
     that the certificates or credentials that result from the 
     training are employer-recognized;
       ``(V) deliver courses at alternative times (such as evening 
     and weekend programs) and locations most convenient and 
     accessible to participants and link adult remedial education 
     with occupational skills training; and
       ``(VI) demonstrate substantial experience in administering 
     local, municipal, State, Federal, foundation, or private 
     entity grants.

       ``(iv) Data collection.--Grantees shall collect and report 
     the following information:

       ``(I) The number of participants.
       ``(II) The demographic characteristics of participants, 
     including race, gender, age, parenting status, participation 
     in other Federal programs, education and literacy level at 
     entry, significant barriers to employment (such as limited 
     English proficiency, criminal record, addiction or mental 
     health problem requiring treatment, or mental disability).
       ``(III) The services received by participants, including 
     training, education, and supportive services.
       ``(IV) The amount of program spending per participant.
       ``(V) Program completion rates.
       ``(VI) Factors determined as significantly interfering with 
     program participation or completion.
       ``(VII) The rate of Job placement and the rate of 
     employment retention after 1 year.
       ``(VIII) The average wage at placement, including any 
     benefits, and the rate of average wage increase after 1 year.
       ``(IX) Any post-employment supportive services provided.

     The Secretary shall assist grantees in the collection of data 
     under this clause by making available, where practicable, 
     low-cost means of tracking the labor market outcomes of 
     participants, and by providing standardized reporting forms, 
     where appropriate.
       ``(3) Activities.--
       ``(A) In general.--Activities to be carried out under a 
     program authorized by subparagraph (B), (D), or (E) of 
     paragraph (2) shall be coordinated with existing systems or 
     providers, as appropriate. Such activities may include--
       ``(i) occupational skills training, including curriculum 
     development, on-the-job training, and classroom training;
       ``(ii) safety and health training;
       ``(iii) the provision of basic skills, literacy, GED, 
     English as a second language, and job readiness training;
       ``(iv) individual referral and tuition assistance for a 
     community college training program, or any training program 
     leading to an industry-recognized certificate;
       ``(v) internship programs in fields related to energy 
     efficiency and renewable energy;
       ``(vi) customized training in conjunction with an existing 
     registered apprenticeship program or labor-management 
     partnership;
       ``(vii) incumbent worker and career ladder training and 
     skill upgrading and retraining;
       ``(viii) the implementation of transitional jobs 
     strategies; and
       ``(ix) the provision of supportive services.
       ``(B) Outreach activities.--In addition to the activities 
     authorized under subparagraph (A), activities authorized for 
     programs under subparagraph (E) of paragraph (2) may include 
     the provision of outreach, recruitment, career guidance, and 
     case management services.
       ``(4) Worker protections and nondiscrimination 
     requirements.--
       ``(A) Application of wia.--The provisions of sections 181 
     and 188 of the Workforce Investment Act of 1998 (29 U.S.C. 
     2931 and 2938) shall apply to all programs carried out with 
     assistance under this subsection.
       ``(B) Consultation with labor organizations.--If a labor 
     organization represents a substantial number of workers who 
     are engaged in similar work or training in an area that is 
     the same as the area that is proposed to be funded

[[Page 35904]]

     under this Act, the labor organization shall be provided an 
     opportunity to be consulted and to submit comments in regard 
     to such a proposal.
       ``(5) Performance measures.--
       ``(A) In general.--The Secretary shall negotiate and reach 
     agreement with the eligible entities that receive grants and 
     assistance under this section on performance measures for the 
     indicators of performance referred to in subparagraphs (A) 
     and (B) of section 136(b)(2) that will be used to evaluate 
     the performance of the eligible entity in carrying out the 
     activities described in subsection (e)(2). Each performance 
     measure shall consist of such an indicator of performance, 
     and a performance level referred to in subparagraph (B).
       ``(B) Performance levels.--The Secretary shall negotiate 
     and reach agreement with the eligible entity regarding the 
     levels of performance expected to be achieved by the eligible 
     entity on the indicators of performance.
       ``(6) Report.--
       ``(A) Status report.--Not later than 18 months after the 
     date of enactment of the Green Jobs Act of 2007, the 
     Secretary shall transmit a report to the Senate Committee on 
     Energy and Natural Resources, the Senate Committee on Health, 
     Education, Labor, and Pensions, the House Committee on 
     Education and Labor, and the House Committee on Energy and 
     Commerce on the training program established by this 
     subsection. The report shall include a description of the 
     entities receiving funding and the activities carried out by 
     such entities.
       ``(B) Evaluation.--Not later than 3 years after the date of 
     enactment of such Act, the Secretary shall transmit to the 
     Senate Committee on Energy and Natural Resources, the Senate 
     Committee on Health, Education, Labor, and Pensions, the 
     House Committee on Education and Labor, and the House 
     Committee on Energy and Commerce an assessment of such 
     program and an evaluation of the activities carried out by 
     entities receiving funding from such program.
       ``(7) Definition.--As used in this subsection, the term 
     `renewable energy' has the meaning given such term in section 
     203(b)(2) of the Energy Policy Act of 2005 (Public Law 109-
     58).
       ``(8) Authorization of appropriations.--There is authorized 
     to be appropriated to carry out this subsection, $125,000,000 
     for each fiscal years, of which--
       ``(A) not to exceed 20 percent of the amount appropriated 
     in each such fiscal year shall be made available for, and 
     shall be equally divided between, national labor market 
     research and information under paragraph (2)(A) and State 
     labor market information and labor exchange research under 
     paragraph (2)(C), and not more than 2 percent of such amount 
     shall be for the evaluation and report required under 
     paragraph (4);
       ``(B) 20 percent shall be dedicated to Pathways Out of 
     Poverty Demonstration Programs under paragraph (2)(E); and
       ``(C) the remainder shall be divided equally between 
     National Energy Partnership Training Grants under paragraph 
     (2)(B) and State energy training partnership grants under 
     paragraph (2)(D).''.

           TITLE XI--ENERGY TRANSPORTATION AND INFRASTRUCTURE

                Subtitle A--Department of Transportation

     SEC. 1101. OFFICE OF CLIMATE CHANGE AND ENVIRONMENT.

       (a) In General.--Section 102 of title 49, United States 
     Code, is amended--
       (1) by redesignating subsection (g) as subsection (h); and
       (2) by inserting after subsection (f) the following:
       ``(g) Office of Climate Change and Environment.--
       ``(1) Establishment.--There is established in the 
     Department an Office of Climate Change and Environment to 
     plan, coordinate, and implement--
       ``(A) department-wide research, strategies, and actions 
     under the Department's statutory authority to reduce 
     transportation-related energy use and mitigate the effects of 
     climate change; and
       ``(B) department-wide research strategies and actions to 
     address the impacts of climate change on transportation 
     systems and infrastructure.
       ``(2) Clearinghouse.--The Office shall establish a 
     clearinghouse of solutions, including cost-effective 
     congestion reduction approaches, to reduce air pollution and 
     transportation-related energy use and mitigate the effects of 
     climate change.''.
       (b) Coordination.--The Office of Climate Change and 
     Environment of the Department of Transportation shall 
     coordinate its activities with the United States Global 
     Change Research Program.
       (c) Transportation System's Impact on Climate Change and 
     Fuel Efficiency.--
       (1) Study.--The Office of Climate Change and Environment, 
     in coordination with the Environmental Protection Agency and 
     in consultation with the United States Global Change Research 
     Program, shall conduct a study to examine the impact of the 
     Nation's transportation system on climate change and the fuel 
     efficiency savings and clean air impacts of major 
     transportation projects, to identify solutions to reduce air 
     pollution and transportation-related energy use and mitigate 
     the effects of climate change, and to examine the potential 
     fuel savings that could result from changes in the current 
     transportation system and through the use of intelligent 
     transportation systems that help businesses and consumers to 
     plan their travel and avoid delays, including Web-based real-
     time transit information systems, congestion information 
     systems, carpool information systems, parking information 
     systems, freight route management systems, and traffic 
     management systems.
       (2) Report.--Not later than one year after the date of 
     enactment of this Act, the Secretary of Transportation, in 
     coordination with the Administrator of the Environmental 
     Protection Agency, shall transmit to the Committee on 
     Transportation and Infrastructure and the Committee on Energy 
     and Commerce of the House of Representatives and the 
     Committee on Commerce, Science, and Transportation and the 
     Committee on Environment and Public Works of the Senate a 
     report that contains the results of the study required under 
     this section.
       (d) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary of Transportation for the 
     Office of Climate Change and Environment to carry out its 
     duties under section 102(g) of title 49, United States Code 
     (as amended by this Act), such sums as may be necessary for 
     fiscal years 2008 through 2011.

                         Subtitle B--Railroads

     SEC. 1111. ADVANCED TECHNOLOGY LOCOMOTIVE GRANT PILOT 
                   PROGRAM.

       (a) In General.--The Secretary of Transportation, in 
     consultation with the Administrator of the Environmental 
     Protection Agency, shall establish and carry out a pilot 
     program for making grants to railroad carriers (as defined in 
     section 20102 of title 49, United States Code) and State and 
     local governments--
       (1) for assistance in purchasing hybrid or other energy-
     efficient locomotives, including hybrid switch and generator-
     set locomotives; and
       (2) to demonstrate the extent to which such locomotives 
     increase fuel economy, reduce emissions, and lower costs of 
     operation.
       (b) Limitation.--Notwithstanding subsection (a), no grant 
     under this section may be used to fund the costs of emissions 
     reductions that are mandated under Federal law.
       (c) Grant Criteria.--In selecting applicants for grants 
     under this section, the Secretary of Transportation shall 
     consider--
       (1) the level of energy efficiency that would be achieved 
     by the proposed project;
       (2) the extent to which the proposed project would assist 
     in commercial deployment of hybrid or other energy-efficient 
     locomotive technologies;
       (3) the extent to which the proposed project complements 
     other private or governmental partnership efforts to improve 
     air quality or fuel efficiency in a particular area; and
       (4) the extent to which the applicant demonstrates 
     innovative strategies and a financial commitment to 
     increasing energy efficiency and reducing greenhouse gas 
     emissions of its railroad operations.
       (d) Competitive Grant Selection Process.--
       (1) Applications.--A railroad carrier or State or local 
     government seeking a grant under this section shall submit 
     for approval by the Secretary of Transportation an 
     application for the grant containing such information as the 
     Secretary of Transportation may require.
       (2) Competitive selection.--The Secretary of Transportation 
     shall conduct a national solicitation for applications for 
     grants under this section and shall select grantees on a 
     competitive basis.
       (e) Federal Share.--The Federal share of the cost of a 
     project under this section shall not exceed 80 percent of the 
     project cost.
       (f) Report.--Not later than 3 years after the date of 
     enactment of this Act, the Secretary of Transportation shall 
     submit to Congress a report on the results of the pilot 
     program carried out under this section.
       (g) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary of Transportation 
     $10,000,000 for each of the fiscal years 2008 through 2011 to 
     carry out this section. Such funds shall remain available 
     until expended.

     SEC. 1112. CAPITAL GRANTS FOR CLASS II AND CLASS III 
                   RAILROADS.

       (a) Amendment.--Chapter 223 of title 49, United States 
     Code, is amended to read as follows:

   ``CHAPTER 223--CAPITAL GRANTS FOR CLASS II AND CLASS III RAILROADS

``Sec.
``22301. Capital grants for class II and class III railroads.

     ``Sec. 22301. Capital grants for class II and class III 
       railroads

       ``(a) Establishment of Program.--
       ``(1) Establishment.--The Secretary of Transportation shall 
     establish a program for making capital grants to class II and 
     class III railroads. Such grants shall be for projects in the 
     public interest that--
       ``(A)(i) rehabilitate, preserve, or improve railroad track 
     (including roadbed, bridges, and related track structures) 
     used primarily for freight transportation;
       ``(ii) facilitate the continued or greater use of railroad 
     transportation for freight shipments; and
       ``(iii) reduce the use of less fuel efficient modes of 
     transportation in the transportation of such shipments; and
       ``(B) demonstrate innovative technologies and advanced 
     research and development that increase fuel economy, reduce 
     greenhouse gas emissions, and lower the costs of operation.
       ``(2) Provision of grants.--Grants may be provided under 
     this chapter--
       ``(A) directly to the class II or class III railroad; or
       ``(B) with the concurrence of the class II or class III 
     railroad, to a State or local government.

[[Page 35905]]

       ``(3) State cooperation.--Class II and class III railroad 
     applicants for a grant under this chapter are encouraged to 
     utilize the expertise and assistance of State transportation 
     agencies in applying for and administering such grants. State 
     transportation agencies are encouraged to provide such 
     expertise and assistance to such railroads.
       ``(4) Regulations.--Not later than October 1, 2008, the 
     Secretary shall issue final regulations to implement the 
     program under this section.
       ``(b) Maximum Federal Share.--The maximum Federal share for 
     carrying out a project under this section shall be 80 percent 
     of the project cost. The non-Federal share may be provided by 
     any non-Federal source in cash, equipment, or supplies. Other 
     in-kind contributions may be approved by the Secretary on a 
     case-by-case basis consistent with this chapter.
       ``(c) Use of Funds.--Grants provided under this section 
     shall be used to implement track capital projects as soon as 
     possible. In no event shall grant funds be contractually 
     obligated for a project later than the end of the third 
     Federal fiscal year following the year in which the grant was 
     awarded. Any funds not so obligated by the end of such fiscal 
     year shall be returned to the Secretary for reallocation.
       ``(d) Employee Protection.--The Secretary shall require as 
     a condition of any grant made under this section that the 
     recipient railroad provide a fair arrangement at least as 
     protective of the interests of employees who are affected by 
     the project to be funded with the grant as the terms imposed 
     under section 11326(a), as in effect on the date of the 
     enactment of this chapter.
       ``(e) Labor Standards.--
       ``(1) Prevailing wages.--The Secretary shall ensure that 
     laborers and mechanics employed by contractors and 
     subcontractors in construction work financed by a grant made 
     under this section will be paid wages not less than those 
     prevailing on similar construction in the locality, as 
     determined by the Secretary of Labor under subchapter IV of 
     chapter 31 of title 40 (commonly known as the `Davis-Bacon 
     Act'). The Secretary shall make a grant under this section 
     only after being assured that required labor standards will 
     be maintained on the construction work.
       ``(2) Wage rates.--Wage rates in a collective bargaining 
     agreement negotiated under the Railway Labor Act (45 U.S.C. 
     151 et seq.) are deemed for purposes of this subsection to 
     comply with the subchapter IV of chapter 31 of title 40.
       ``(f) Study.--The Secretary shall conduct a study of the 
     projects carried out with grant assistance under this section 
     to determine the extent to which the program helps promote a 
     reduction in fuel use associated with the transportation of 
     freight and demonstrates innovative technologies that 
     increase fuel economy, reduce greenhouse gas emissions, and 
     lower the costs of operation. Not later than March 31, 2009, 
     the Secretary shall submit a report to the Committee on 
     Transportation and Infrastructure of the House of 
     Representatives and the Committee on Commerce, Science, and 
     Transportation of the Senate on the study, including any 
     recommendations the Secretary considers appropriate regarding 
     the program.
       ``(g) Authorization of Appropriations.--There is authorized 
     to be appropriated to the Secretary $50,000,000 for each of 
     fiscal years 2008 through 2011 for carrying out this 
     section.''.
       (b) Clerical Amendment.--The item relating to chapter 223 
     in the table of chapters of subtitle V of title 49, United 
     States Code, is amended to read as follows:

``223. CAPITAL GRANTS FOR CLASS II AND CLASS III RAILROADS.22301''.....

                   Subtitle C--Marine Transportation

     SEC. 1121. SHORT SEA TRANSPORTATION INITIATIVE.

       (a) In General.--Title 46, United States Code, is amended 
     by adding after chapter 555 the following:

                ``CHAPTER 556--SHORT SEA TRANSPORTATION

``Sec. 55601. Short sea transportation program.
``Sec. 55602. Cargo and shippers.
``Sec. 55603. Interagency coordination.
``Sec. 55604. Research on short sea transportation.
``Sec. 55605. Short sea transportation defined.

     ``Sec. 55601. Short sea transportation program

       ``(a) Establishment.--The Secretary of Transportation shall 
     establish a short sea transportation program and designate 
     short sea transportation projects to be conducted under the 
     program to mitigate landside congestion.
       ``(b) Program Elements.--The program shall encourage the 
     use of short sea transportation through the development and 
     expansion of--
       ``(1) documented vessels;
       ``(2) shipper utilization;
       ``(3) port and landside infrastructure; and
       ``(4) marine transportation strategies by State and local 
     governments.
       ``(c) Short Sea Transportation Routes.--The Secretary shall 
     designate short sea transportation routes as extensions of 
     the surface transportation system to focus public and private 
     efforts to use the waterways to relieve landside congestion 
     along coastal corridors. The Secretary may collect and 
     disseminate data for the designation and delineation of short 
     sea transportation routes.
       ``(d) Project Designation.--The Secretary may designate a 
     project to be a short sea transportation project if the 
     Secretary determines that the project may--
       ``(1) offer a waterborne alternative to available landside 
     transportation services using documented vessels; and
       ``(2) provide transportation services for passengers or 
     freight (or both) that may reduce congestion on landside 
     infrastructure using documented vessels.
       ``(e) Elements of Program.--For a short sea transportation 
     project designated under this section, the Secretary may--
       ``(1) promote the development of short sea transportation 
     services;
       ``(2) coordinate, with ports, State departments of 
     transportation, localities, other public agencies, and the 
     private sector and on the development of landside facilities 
     and infrastructure to support short sea transportation 
     services; and
       ``(3) develop performance measures for the short sea 
     transportation program.
       ``(f) Multistate, State and Regional Transportation 
     Planning.--The Secretary, in consultation with Federal 
     entities and State and local governments, shall develop 
     strategies to encourage the use of short sea transportation 
     for transportation of passengers and cargo. The Secretary 
     shall--
       ``(1) assess the extent to which States and local 
     governments include short sea transportation and other marine 
     transportation solutions in their transportation planning;
       ``(2) encourage State departments of transportation to 
     develop strategies, where appropriate, to incorporate short 
     sea transportation, ferries, and other marine transportation 
     solutions for regional and interstate transport of freight 
     and passengers in their transportation planning; and
       ``(3) encourage groups of States and multi-State 
     transportation entities to determine how short sea 
     transportation can address congestion, bottlenecks, and other 
     interstate transportation challenges.

     ``Sec. 55602. Cargo and shippers

       ``(a) Memorandums of Agreement.--The Secretary of 
     Transportation shall enter into memorandums of understanding 
     with the heads of other Federal entities to transport 
     federally owned or generated cargo using a short sea 
     transportation project designated under section 55601 when 
     practical or available.
       ``(b) Short-Term Incentives.--The Secretary shall consult 
     shippers and other participants in transportation logistics 
     and develop proposals for short-term incentives to encourage 
     the use of short sea transportation.

     ``Sec. 55603. Interagency coordination

       ``The Secretary of Transportation shall establish a board 
     to identify and seek solutions to impediments hindering 
     effective use of short sea transportation. The board shall 
     include representatives of the Environmental Protection 
     Agency and other Federal, State, and local governmental 
     entities and private sector entities.

     ``Sec. 55604. Research on short sea transportation

       ``The Secretary of Transportation, in consultation with the 
     Administrator of the Environmental Protection Agency, may 
     conduct research on short sea transportation, regarding--
       ``(1) the environmental and transportation benefits to be 
     derived from short sea transportation alternatives for other 
     forms of transportation;
       ``(2) technology, vessel design, and other improvements 
     that would reduce emissions, increase fuel economy, and lower 
     costs of short sea transportation and increase the efficiency 
     of intermodal transfers; and
       ``(3) solutions to impediments to short sea transportation 
     projects designated under section 55601.

     ``Sec. 55605. Short sea transportation defined

       ``In this chapter, the term `short sea transportation' 
     means the carriage by vessel of cargo--
       ``(1) that is--
       ``(A) contained in intermodal cargo containers and loaded 
     by crane on the vessel; or
       ``(B) loaded on the vessel by means of wheeled technology; 
     and
       ``(2) that is--
       ``(A) loaded at a port in the United States and unloaded 
     either at another port in the United States or at a port in 
     Canada located in the Great Lakes Saint Lawrence Seaway 
     System; or
       ``(B) loaded at a port in Canada located in the Great Lakes 
     Saint Lawrence Seaway System and unloaded at a port in the 
     United States.''.
       (b) Clerical Amendment.--The table of chapters at the 
     beginning of subtitle V of such title is amended by inserting 
     after the item relating to chapter 555 the following:

``556. Short Sea Transportation............................55601''.....

       (c) Regulations.--
       (1) Interim regulations.--Not later than 90 days after the 
     date of enactment of this Act, the Secretary of 
     Transportation shall issue temporary regulations to implement 
     the program under this section. Subchapter II of chapter 5 of 
     title 5, United States Code, does not apply to a temporary 
     regulation issued under this paragraph or to an amendment to 
     such a temporary regulation.
       (2) Final regulations.--Not later than October 1, 2008, the 
     Secretary of Transportation shall issue final regulations to 
     implement the program under this section.

     SEC. 1122. SHORT SEA SHIPPING ELIGIBILITY FOR CAPITAL 
                   CONSTRUCTION FUND.

       (a) Definition of Qualified Vessel.--Section 53501 of title 
     46, United States Code, is amended--
       (1) in paragraph (5)(A)(iii) by striking ``or noncontiguous 
     domestic'' and inserting ``noncontiguous domestic, or short 
     sea transportation trade''; and

[[Page 35906]]

       (2) by inserting after paragraph (6) the following:
       ``(7) Short sea transportation trade.--The term `short sea 
     transportation trade' means the carriage by vessel of cargo--
       ``(A) that is--
       ``(i) contained in intermodal cargo containers and loaded 
     by crane on the vessel; or
       ``(ii) loaded on the vessel by means of wheeled technology; 
     and
       ``(B) that is--
       ``(i) loaded at a port in the United States and unloaded 
     either at another port in the United States or at a port in 
     Canada located in the Great Lakes Saint Lawrence Seaway 
     System; or
       ``(ii) loaded at a port in Canada located in the Great 
     Lakes Saint Lawrence Seaway System and unloaded at a port in 
     the United States.''.
       (b) Allowable Purpose.--Section 53503(b) of such title is 
     amended by striking ``or noncontiguous domestic trade'' and 
     inserting ``noncontiguous domestic, or short sea 
     transportation trade''.

     SEC. 1123. SHORT SEA TRANSPORTATION REPORT.

       Not later than one year after the date of enactment of this 
     Act, the Secretary of Transportation, in consultation with 
     the Administrator of the Environmental Protection Agency, 
     shall submit to the Committee on Transportation and 
     Infrastructure of the House of Representatives and the 
     Committee on Commerce, Science, and Transportation of the 
     Senate a report on the short sea transportation program 
     established under the amendments made by section 1121. The 
     report shall include a description of the activities 
     conducted under the program, and any recommendations for 
     further legislative or administrative action that the 
     Secretary of Transportation considers appropriate.

                          Subtitle D--Highways

     SEC. 1131. INCREASED FEDERAL SHARE FOR CMAQ PROJECTS.

       Section 120(c) of title 23, United States Code, is 
     amended--
       (1) in the subsection heading by striking ``for Certain 
     Safety Projects'';
       (2) by striking ``The Federal share'' and inserting the 
     following:
       ``(1) Certain safety projects.--The Federal share''; and
       (3) by adding at the end the following:
       ``(2) CMAQ projects.--The Federal share payable on account 
     of a project or program carried out under section 149 with 
     funds obligated in fiscal year 2008 or 2009, or both, shall 
     be not less than 80 percent and, at the discretion of the 
     State, may be up to 100 percent of the cost thereof.''.

     SEC. 1132. DISTRIBUTION OF RESCISSIONS.

       (a) In General.--Any unobligated balances of amounts that 
     are appropriated from the Highway Trust Fund for a fiscal 
     year, and apportioned under chapter 1 of title 23, United 
     States Code, before, on, or after the date of enactment of 
     this Act and that are rescinded in fiscal year 2008 or fiscal 
     year 2009 shall be distributed by the Secretary of 
     Transportation within each State (as defined in section 101 
     of such title) among all programs for which funds are 
     apportioned under such chapter for such fiscal year, to the 
     extent sufficient funds remain available for obligation, in 
     the ratio that the amount of funds apportioned for each 
     program under such chapter for such fiscal year, bears to the 
     amount of funds apportioned for all such programs under such 
     chapter for such fiscal year.
       (b) Adjustments.--A State may make adjustments to the 
     distribution of a rescission within the State for a fiscal 
     year under subsection (a) by transferring the amounts to be 
     rescinded among the programs for which funds are apportioned 
     under chapter 1 of title 23, United States Code, for such 
     fiscal year, except that in making such adjustments the State 
     may not rescind from any such program more than 110 percent 
     of the funds to be rescinded from the program for the fiscal 
     year as determined by the Secretary of Transportation under 
     subsection (a).
       (c) Treatment of Transportation Enhancement Set-Aside and 
     Funds Suballocated to Substate Areas.--Funds set aside under 
     sections 133(d)(2) and 133(d)(3) of title 23, United States 
     Code, shall be treated as being apportioned under chapter 1 
     of such title for purposes of subsection (a).

     SEC. 1133. SENSE OF CONGRESS REGARDING USE OF COMPLETE 
                   STREETS DESIGN TECHNIQUES.

       It is the sense of Congress that in constructing new 
     roadways or rehabilitating existing facilities, State and 
     local governments should consider policies designed to 
     accommodate all users, including motorists, pedestrians, 
     cyclists, transit riders, and people of all ages and 
     abilities, in order to--
       (1) serve all surface transportation users by creating a 
     more interconnected and intermodal system;
       (2) create more viable transportation options; and
       (3) facilitate the use of environmentally friendly options, 
     such as public transportation, walking, and bicycling.

               TITLE XII--SMALL BUSINESS ENERGY PROGRAMS

     SEC. 1201. EXPRESS LOANS FOR RENEWABLE ENERGY AND ENERGY 
                   EFFICIENCY.

       Section 7(a)(31) of the Small Business Act (15 U.S.C. 
     636(a)(31)) is amended by adding at the end the following:
       ``(F) Express loans for renewable energy and energy 
     efficiency.--
       ``(i) Definitions.--In this subparagraph--

       ``(I) the term `biomass'--

       ``(aa) means any organic material that is available on a 
     renewable or recurring basis, including--
       ``(AA) agricultural crops;
       ``(BB) trees grown for energy production;
       ``(CC) wood waste and wood residues;
       ``(DD) plants (including aquatic plants and grasses);
       ``(EE) residues;
       ``(FF) fibers;
       ``(GG) animal wastes and other waste materials; and
       ``(HH) fats, oils, and greases (including recycled fats, 
     oils, and greases); and
       ``(bb) does not include--
       ``(AA) paper that is commonly recycled; or
       ``(BB) unsegregated solid waste;

       ``(II) the term `energy efficiency project' means the 
     installation or upgrading of equipment that results in a 
     significant reduction in energy usage; and
       ``(III) the term `renewable energy system' means a system 
     of energy derived from--

       ``(aa) a wind, solar, biomass (including biodiesel), or 
     geothermal source; or
       ``(bb) hydrogen derived from biomass or water using an 
     energy source described in item (aa).
       ``(ii) Loans.--The Administrator may make a loan under the 
     Express Loan Program for the purpose of--

       ``(I) purchasing a renewable energy system; or
       ``(II) carrying out an energy efficiency project for a 
     small business concern.''.

     SEC. 1202. PILOT PROGRAM FOR REDUCED 7(A) FEES FOR PURCHASE 
                   OF ENERGY EFFICIENT TECHNOLOGIES.

       Section 7(a) of the Small Business Act (15 U.S.C. 636(a)) 
     is amended by adding at the end the following:
       ``(32) Loans for energy efficient technologies.--
       ``(A) Definitions.--In this paragraph--
       ``(i) the term `cost' has the meaning given that term in 
     section 502 of the Federal Credit Reform Act of 1990 (2 
     U.S.C. 661a);
       ``(ii) the term `covered energy efficiency loan' means a 
     loan--

       ``(I) made under this subsection; and
       ``(II) the proceeds of which are used to purchase energy 
     efficient designs, equipment, or fixtures, or to reduce the 
     energy consumption of the borrower by 10 percent or more; and

       ``(iii) the term `pilot program' means the pilot program 
     established under subparagraph (B)
       ``(B) Establishment.--The Administrator shall establish and 
     carry out a pilot program under which the Administrator shall 
     reduce the fees for covered energy efficiency loans.
       ``(C) Duration.--The pilot program shall terminate at the 
     end of the second full fiscal year after the date that the 
     Administrator establishes the pilot program.
       ``(D) Maximum participation.--A covered energy efficiency 
     loan shall include the maximum participation levels by the 
     Administrator permitted for loans made under this subsection.
       ``(E) Fees.--
       ``(i) In general.--The fee on a covered energy efficiency 
     loan shall be equal to 50 percent of the fee otherwise 
     applicable to that loan under paragraph (18).
       ``(ii) Waiver.--The Administrator may waive clause (i) for 
     a fiscal year if--

       ``(I) for the fiscal year before that fiscal year, the 
     annual rate of default of covered energy efficiency loans 
     exceeds that of loans made under this subsection that are not 
     covered energy efficiency loans;
       ``(II) the cost to the Administration of making loans under 
     this subsection is greater than zero and such cost is 
     directly attributable to the cost of making covered energy 
     efficiency loans; and
       ``(III) no additional sources of revenue authority are 
     available to reduce the cost of making loans under this 
     subsection to zero.

       ``(iii) Effect of waiver.--If the Administrator waives the 
     reduction of fees under clause (ii), the Administrator--

       ``(I) shall not assess or collect fees in an amount greater 
     than necessary to ensure that the cost of the program under 
     this subsection is not greater than zero; and
       ``(II) shall reinstate the fee reductions under clause (i) 
     when the conditions in clause (ii) no longer apply.

       ``(iv) No increase of fees.--The Administrator shall not 
     increase the fees under paragraph (18) on loans made under 
     this subsection that are not covered energy efficiency loans 
     as a direct result of the pilot program.
       ``(F) GAO report.--
       ``(i) In general.--Not later than 1 year after the date 
     that the pilot program terminates, the Comptroller General of 
     the United States shall submit to the Committee on Small 
     Business of the House of Representatives and the Committee on 
     Small Business and Entrepreneurship of the Senate a report on 
     the pilot program.
       ``(ii) Contents.--The report submitted under clause (i) 
     shall include--

       ``(I) the number of covered energy efficiency loans for 
     which fees were reduced under the pilot program;
       ``(II) a description of the energy efficiency savings with 
     the pilot program;
       ``(III) a description of the impact of the pilot program on 
     the program under this subsection;
       ``(IV) an evaluation of the efficacy and potential fraud 
     and abuse of the pilot program; and
       ``(V) recommendations for improving the pilot program.''.

     SEC. 1203. SMALL BUSINESS ENERGY EFFICIENCY.

       (a) Definitions.--In this section--
       (1) the terms ``Administration'' and ``Administrator'' mean 
     the Small Business Administration and the Administrator 
     thereof, respectively;
       (2) the term ``association'' means the association of small 
     business development centers established under section 
     21(a)(3)(A) of the Small Business Act (15 U.S.C. 
     648(a)(3)(A));

[[Page 35907]]

       (3) the term ``disability'' has the meaning given that term 
     in section 3 of the Americans with Disabilities Act of 1990 
     (42 U.S.C. 12102);
       (4) the term ``Efficiency Program'' means the Small 
     Business Energy Efficiency Program established under 
     subsection (c)(1);
       (5) the term ``electric utility'' has the meaning given 
     that term in section 3 of the Public Utility Regulatory 
     Policies Act of 1978 (16 U.S.C. 2602);
       (6) the term ``high performance green building'' has the 
     meaning given that term in section 401;
       (7) the term ``on-bill financing'' means a low interest or 
     no interest financing agreement between a small business 
     concern and an electric utility for the purchase or 
     installation of equipment, under which the regularly 
     scheduled payment of that small business concern to that 
     electric utility is not reduced by the amount of the 
     reduction in cost attributable to the new equipment and that 
     amount is credited to the electric utility, until the cost of 
     the purchase or installation is repaid;
       (8) the term ``small business concern'' has the same 
     meaning as in section 3 of the Small Business Act (15 U.S.C. 
     632);
       (9) the term ``small business development center'' means a 
     small business development center described in section 21 of 
     the Small Business Act (15 U.S.C. 648);
       (10) the term ``telecommuting'' means the use of 
     telecommunications to perform work functions under 
     circumstances which reduce or eliminate the need to commute;
       (11) the term ``Telecommuting Pilot Program'' means the 
     pilot program established under subsection (d)(1)(A); and
       (12) the term ``veteran'' has the meaning given that term 
     in section 101 of title 38, United States Code.
       (b) Implementation of Small Business Energy Efficiency 
     Program.--
       (1) In general.--Not later than 90 days after the date of 
     enactment of this Act, the Administrator shall promulgate 
     final rules establishing the Government-wide program 
     authorized under subsection (d) of section 337 of the Energy 
     Policy and Conservation Act (42 U.S.C. 6307) that ensure 
     compliance with that subsection by not later than 6 months 
     after such date of enactment.
       (2) Program required.--The Administrator shall develop and 
     coordinate a Government-wide program, building on the Energy 
     Star for Small Business program, to assist small business 
     concerns in--
       (A) becoming more energy efficient;
       (B) understanding the cost savings from improved energy 
     efficiency; and
       (C) identifying financing options for energy efficiency 
     upgrades.
       (3) Consultation and cooperation.--The program required by 
     paragraph (2) shall be developed and coordinated--
       (A) in consultation with the Secretary of Energy and the 
     Administrator of the Environmental Protection Agency; and
       (B) in cooperation with any entities the Administrator 
     considers appropriate, such as industry trade associations, 
     industry members, and energy efficiency organizations.
       (4) Availability of information.--The Administrator shall 
     make available the information and materials developed under 
     the program required by paragraph (2) to--
       (A) small business concerns, including smaller design, 
     engineering, and construction firms; and
       (B) other Federal programs for energy efficiency, such as 
     the Energy Star for Small Business program.
       (5) Strategy and report.--
       (A) Strategy required.--The Administrator shall develop a 
     strategy to educate, encourage, and assist small business 
     concerns in adopting energy efficient building fixtures and 
     equipment.
       (B) Report.--Not later than December 31, 2008, the 
     Administrator shall submit to Congress a report containing a 
     plan to implement the strategy developed under subparagraph 
     (A).
       (c) Small Business Sustainability Initiative.--
       (1) Authority.--The Administrator shall establish a Small 
     Business Energy Efficiency Program to provide energy 
     efficiency assistance to small business concerns through 
     small business development centers.
       (2) Small business development centers.--
       (A) In general.--In carrying out the Efficiency Program, 
     the Administrator shall enter into agreements with small 
     business development centers under which such centers shall--
       (i) provide access to information and resources on energy 
     efficiency practices, including on-bill financing options;
       (ii) conduct training and educational activities;
       (iii) offer confidential, free, one-on-one, in-depth energy 
     audits to the owners and operators of small business concerns 
     regarding energy efficiency practices;
       (iv) give referrals to certified professionals and other 
     providers of energy efficiency assistance who meet such 
     standards for educational, technical, and professional 
     competency as the Administrator shall establish;
       (v) to the extent not inconsistent with controlling State 
     public utility regulations, act as a facilitator between 
     small business concerns, electric utilities, lenders, and the 
     Administration to facilitate on-bill financing arrangements;
       (vi) provide necessary support to small business concerns 
     to--

       (I) evaluate energy efficiency opportunities and 
     opportunities to design or construct high performance green 
     buildings;
       (II) evaluate renewable energy sources, such as the use of 
     solar and small wind to supplement power consumption;
       (III) secure financing to achieve energy efficiency or to 
     design or construct high performance green buildings; and
       (IV) implement energy efficiency projects;

       (vii) assist owners of small business concerns with the 
     development and commercialization of clean technology 
     products, goods, services, and processes that use renewable 
     energy sources, dramatically reduce the use of natural 
     resources, and cut or eliminate greenhouse gas emissions 
     through--

       (I) technology assessment;
       (II) intellectual property;
       (III) Small Business Innovation Research submissions under 
     section 9 of the Small Business Act (15 U.S.C. 638);
       (IV) strategic alliances;
       (V) business model development; and
       (VI) preparation for investors; and

       (viii) help small business concerns improve environmental 
     performance by shifting to less hazardous materials and 
     reducing waste and emissions, including by providing 
     assistance for small business concerns to adapt the materials 
     they use, the processes they operate, and the products and 
     services they produce.
       (B) Reports.--Each small business development center 
     participating in the Efficiency Program shall submit to the 
     Administrator and the Administrator of the Environmental 
     Protection Agency an annual report that includes--
       (i) a summary of the energy efficiency assistance provided 
     by that center under the Efficiency Program;
       (ii) the number of small business concerns assisted by that 
     center under the Efficiency Program;
       (iii) statistics on the total amount of energy saved as a 
     result of assistance provided by that center under the 
     Efficiency Program; and
       (iv) any additional information determined necessary by the 
     Administrator, in consultation with the association.
       (C) Reports to congress.--Not later than 60 days after the 
     date on which all reports under subparagraph (B) relating to 
     a year are submitted, the Administrator shall submit to the 
     Committee on Small Business and Entrepreneurship of the 
     Senate and the Committee on Small Business of the House of 
     Representatives a report summarizing the information 
     regarding the Efficiency Program submitted by small business 
     development centers participating in that program.
       (3) Eligibility.--A small business development center shall 
     be eligible to participate in the Efficiency Program only if 
     that center is certified under section 21(k)(2) of the Small 
     Business Act (15 U.S.C. 648(k)(2)).
       (4) Selection of participating state programs.--From among 
     small business development centers submitting applications to 
     participate in the Efficiency Program, the Administrator--
       (A) shall, to the maximum extent practicable, select small 
     business development centers in such a manner so as to 
     promote a nationwide distribution of centers participating in 
     the Efficiency Program; and
       (B) may not select more than 1 small business development 
     center in a State to participate in the Efficiency Program.
       (5) Matching requirement.--Subparagraphs (A) and (B) of 
     section 21(a)(4) of the Small Business Act (15 U.S.C. 
     648(a)(4)) shall apply to assistance made available under the 
     Efficiency Program.
       (6) Grant amounts.--Each small business development center 
     selected to participate in the Efficiency Program under 
     paragraph (4) shall be eligible to receive a grant in an 
     amount equal to--
       (A) not less than $100,000 in each fiscal year; and
       (B) not more than $300,000 in each fiscal year.
       (7) Evaluation and report.--The Comptroller General of the 
     United States shall--
       (A) not later than 30 months after the date of disbursement 
     of the first grant under the Efficiency Program, initiate an 
     evaluation of that program; and
       (B) not later than 6 months after the date of the 
     initiation of the evaluation under subparagraph (A), submit 
     to the Administrator, the Committee on Small Business and 
     Entrepreneurship of the Senate, and the Committee on Small 
     Business of the House of Representatives, a report 
     containing--
       (i) the results of the evaluation; and
       (ii) any recommendations regarding whether the Efficiency 
     Program, with or without modification, should be extended to 
     include the participation of all small business development 
     centers.
       (8) Guarantee.--To the extent not inconsistent with State 
     law, the Administrator may guarantee the timely payment of a 
     loan made to a small business concern through an on-bill 
     financing agreement on such terms and conditions as the 
     Administrator shall establish through a formal rule making, 
     after providing notice and an opportunity for comment.
       (9) Implementation.--Subject to amounts approved in advance 
     in appropriations Acts and separate from amounts approved to 
     carry out section 21(a)(1) of the Small Business Act (15 
     U.S.C. 648(a)(1)), the Administrator may make grants or enter 
     into cooperative agreements to carry out this subsection.
       (10) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as are necessary to make grants 
     and enter into cooperative agreements to carry out this 
     subsection.

[[Page 35908]]

       (11) Termination.--The authority under this subsection 
     shall terminate 4 years after the date of disbursement of the 
     first grant under the Efficiency Program.
       (d) Small Business Telecommuting.--
       (1) Pilot program.--
       (A) In general.--The Administrator shall conduct, in not 
     more than 5 of the regions of the Administration, a pilot 
     program to provide information regarding telecommuting to 
     employers that are small business concerns and to encourage 
     such employers to offer telecommuting options to employees.
       (B) Special outreach to individuals with disabilities.--In 
     carrying out the Telecommuting Pilot Program, the 
     Administrator shall make a concerted effort to provide 
     information to--
       (i) small business concerns owned by or employing 
     individuals with disabilities, particularly veterans who are 
     individuals with disabilities;
       (ii) Federal, State, and local agencies having knowledge 
     and expertise in assisting individuals with disabilities, 
     including veterans who are individuals with disabilities; and
       (iii) any group or organization, the primary purpose of 
     which is to aid individuals with disabilities or veterans who 
     are individuals with disabilities.
       (C) Permissible activities.--In carrying out the 
     Telecommuting Pilot Program, the Administrator may--
       (i) produce educational materials and conduct presentations 
     designed to raise awareness in the small business community 
     of the benefits and the ease of telecommuting;
       (ii) conduct outreach--

       (I) to small business concerns that are considering 
     offering telecommuting options; and
       (II) as provided in subparagraph (B); and

       (iii) acquire telecommuting technologies and equipment to 
     be used for demonstration purposes.
       (D) Selection of regions.--In determining which regions 
     will participate in the Telecommuting Pilot Program, the 
     Administrator shall give priority consideration to regions in 
     which Federal agencies and private-sector employers have 
     demonstrated a strong regional commitment to telecommuting.
       (2) Report to congress.--Not later than 2 years after the 
     date on which funds are first appropriated to carry out this 
     subsection, the Administrator shall transmit to the Committee 
     on Small Business and Entrepreneurship of the Senate and the 
     Committee on Small Business of the House of Representatives a 
     report containing the results of an evaluation of the 
     Telecommuting Pilot Program and any recommendations regarding 
     whether the pilot program, with or without modification, 
     should be extended to include the participation of all 
     regions of the Administration.
       (3) Termination.--The Telecommuting Pilot Program shall 
     terminate 4 years after the date on which funds are first 
     appropriated to carry out this subsection.
       (4) Authorization of appropriations.--There is authorized 
     to be appropriated to the Administration $5,000,000 to carry 
     out this subsection.
       (e) Encouraging Innovation in Energy Efficiency.--Section 9 
     of the Small Business Act (15 U.S.C. 638) is amended by 
     adding at the end the following:
       ``(z) Encouraging Innovation in Energy Efficiency.--
       ``(1) Federal agency energy-related priority.--In carrying 
     out its duties under this section relating to SBIR and STTR 
     solicitations by Federal departments and agencies, the 
     Administrator shall--
       ``(A) ensure that such departments and agencies give high 
     priority to small business concerns that participate in or 
     conduct energy efficiency or renewable energy system research 
     and development projects; and
       ``(B) include in the annual report to Congress under 
     subsection (b)(7) a determination of whether the priority 
     described in subparagraph (A) is being carried out.
       ``(2) Consultation required.--The Administrator shall 
     consult with the heads of other Federal departments and 
     agencies in determining whether priority has been given to 
     small business concerns that participate in or conduct energy 
     efficiency or renewable energy system research and 
     development projects, as required by this subsection.
       ``(3) Guidelines.--The Administrator shall, as soon as is 
     practicable after the date of enactment of this subsection, 
     issue guidelines and directives to assist Federal agencies in 
     meeting the requirements of this subsection.
       ``(4) Definitions.--In this subsection--
       ``(A) the term `biomass'--
       ``(i) means any organic material that is available on a 
     renewable or recurring basis, including--

       ``(I) agricultural crops;
       ``(II) trees grown for energy production;
       ``(III) wood waste and wood residues;
       ``(IV) plants (including aquatic plants and grasses);
       ``(V) residues;
       ``(VI) fibers;
       ``(VII) animal wastes and other waste materials; and
       ``(VIII) fats, oils, and greases (including recycled fats, 
     oils, and greases); and

       ``(ii) does not include--

       ``(I) paper that is commonly recycled; or
       ``(II) unsegregated solid waste;

       ``(B) the term `energy efficiency project' means the 
     installation or upgrading of equipment that results in a 
     significant reduction in energy usage; and
       ``(C) the term `renewable energy system' means a system of 
     energy derived from--
       ``(i) a wind, solar, biomass (including biodiesel), or 
     geothermal source; or
       ``(ii) hydrogen derived from biomass or water using an 
     energy source described in clause (i).''.

     SEC. 1204. LARGER 504 LOAN LIMITS TO HELP BUSINESS DEVELOP 
                   ENERGY EFFICIENT TECHNOLOGIES AND PURCHASES.

       (a) Eligibility for Energy Efficiency Projects.--Section 
     501(d)(3) of the Small Business Investment Act of 1958 (15 
     U.S.C. 695(d)(3)) is amended--
       (1) in subparagraph (G) by striking ``or'' at the end;
       (2) in subparagraph (H) by striking the period at the end 
     and inserting a comma;
       (3) by inserting after subparagraph (H) the following:
       ``(I) reduction of energy consumption by at least 10 
     percent,
       ``(J) increased use of sustainable design, including 
     designs that reduce the use of greenhouse gas emitting fossil 
     fuels, or low-impact design to produce buildings that reduce 
     the use of non-renewable resources and minimize environmental 
     impact, or
       ``(K) plant, equipment and process upgrades of renewable 
     energy sources such as the small-scale production of energy 
     for individual buildings or communities consumption, commonly 
     known as micropower, or renewable fuels producers including 
     biodiesel and ethanol producers.''; and
       (4) by adding at the end the following: ``In subparagraphs 
     (J) and (K), terms have the meanings given those terms under 
     the Leadership in Energy and Environmental Design (LEED) 
     standard for green building certification, as determined by 
     the Administrator.''.
       (b) Loans for Plant Projects Used for Energy-Efficient 
     Purposes.--Section 502(2)(A) of the Small Business Investment 
     Act of 1958 (15 U.S.C. 696(2)(A)) is amended--
       (1) in clause (ii) by striking ``and'' at the end;
       (2) in clause (iii) by striking the period at the end and 
     inserting a semicolon; and
       (3) by adding at the end the following:
       ``(iv) $4,000,000 for each project that reduces the 
     borrower's energy consumption by at least 10 percent; and
       ``(v) $4,000,000 for each project that generates renewable 
     energy or renewable fuels, such as biodiesel or ethanol 
     production.''.

     SEC. 1205. ENERGY SAVING DEBENTURES.

       (a) In General.--Section 303 of the Small Business 
     Investment Act of 1958 (15 U.S.C. 683) is amended by adding 
     at the end the following:
       ``(k) Energy Saving Debentures.--In addition to any other 
     authority under this Act, a small business investment company 
     licensed in the first fiscal year after the date of enactment 
     of this subsection or any fiscal year thereafter may issue 
     Energy Saving debentures.''.
       (b) Definitions.--Section 103 of the Small Business 
     Investment Act of 1958 (15 U.S.C. 662) is amended--
       (1) in paragraph (16), by striking ``and'' at the end;
       (2) in paragraph (17), by striking the period at the end 
     and inserting a semicolon; and
       (3) by adding at the end the following:
       ``(18) the term `Energy Saving debenture' means a deferred 
     interest debenture that--
       ``(A) is issued at a discount;
       ``(B) has a 5-year maturity or a 10-year maturity;
       ``(C) requires no interest payment or annual charge for the 
     first 5 years;
       ``(D) is restricted to Energy Saving qualified investments; 
     and
       ``(E) is issued at no cost (as defined in section 502 of 
     the Credit Reform Act of 1990) with respect to purchasing and 
     guaranteeing the debenture; and
       ``(19) the term `Energy Saving qualified investment' means 
     investment in a small business concern that is primarily 
     engaged in researching, manufacturing, developing, or 
     providing products, goods, or services that reduce the use or 
     consumption of non-renewable energy resources.''.

     SEC. 1206. INVESTMENTS IN ENERGY SAVING SMALL BUSINESSES.

       (a) Maximum Leverage.--Section 303(b)(2) of the Small 
     Business Investment Act of 1958 (15 U.S.C. 303(b)(2)) is 
     amended by adding at the end the following:
       ``(D) Investments in energy saving small businesses.--
       ``(i) In general.--Subject to clause (ii), in calculating 
     the outstanding leverage of a company for purposes of 
     subparagraph (A), the Administrator shall exclude the amount 
     of the cost basis of any Energy Saving qualified investment 
     in a smaller enterprise made in the first fiscal year after 
     the date of enactment of this subparagraph or any fiscal year 
     thereafter by a company licensed in the applicable fiscal 
     year.
       ``(ii) Limitations.--

       ``(I) Amount of exclusion.--The amount excluded under 
     clause (i) for a company shall not exceed 33 percent of the 
     private capital of that company.
       ``(II) Maximum investment.--A company shall not make an 
     Energy Saving qualified investment in any one entity in an 
     amount equal to more than 20 percent of the private capital 
     of that company.
       ``(III) Other terms.--The exclusion of amounts under clause 
     (i) shall be subject to such terms as the Administrator may 
     impose to ensure that there is no cost (as that term is 
     defined in section 502 of the Federal Credit Reform Act of 
     1990 (2 U.S.C. 661a)) with respect to purchasing or 
     guaranteeing any debenture involved.''.

[[Page 35909]]

       (b) Maximum Aggregate Amount of Leverage.--Section 
     303(b)(4) of the Small Business Investment Act of 1958 (15 
     U.S.C. 303(b)(4)) is amended by adding at the end the 
     following:
       ``(E) Investments in energy saving small businesses.--
       ``(i) In general.--Subject to clause (ii), in calculating 
     the aggregate outstanding leverage of a company for purposes 
     of subparagraph (A), the Administrator shall exclude the 
     amount of the cost basis of any Energy Saving qualified 
     investment in a smaller enterprise made in the first fiscal 
     year after the date of enactment of this subparagraph or any 
     fiscal year thereafter by a company licensed in the 
     applicable fiscal year.
       ``(ii) Limitations.--

       ``(I) Amount of exclusion.--The amount excluded under 
     clause (i) for a company shall not exceed 33 percent of the 
     private capital of that company.
       ``(II) Maximum investment.--A company shall not make an 
     Energy Saving qualified investment in any one entity in an 
     amount equal to more than 20 percent of the private capital 
     of that company.
       ``(III) Other terms.--The exclusion of amounts under clause 
     (i) shall be subject to such terms as the Administrator may 
     impose to ensure that there is no cost (as that term is 
     defined in section 502 of the Federal Credit Reform Act of 
     1990 (2 U.S.C. 661a)) with respect to purchasing or 
     guaranteeing any debenture involved.''.

     SEC. 1207. RENEWABLE FUEL CAPITAL INVESTMENT COMPANY.

       Title III of the Small Business Investment Act of 1958 (15 
     U.S.C. 681 et seq.) is amended by adding at the end the 
     following:

       ``PART C--RENEWABLE FUEL CAPITAL INVESTMENT PILOT PROGRAM

     ``SEC. 381. DEFINITIONS.

       ``In this part:
       ``(1) Operational assistance.--The term `operational 
     assistance' means management, marketing, and other technical 
     assistance that assists a small business concern with 
     business development.
       ``(2) Participation agreement.--The term `participation 
     agreement' means an agreement, between the Administrator and 
     a company granted final approval under section 384(e), that--
       ``(A) details the operating plan and investment criteria of 
     the company; and
       ``(B) requires the company to make investments in smaller 
     enterprises primarily engaged in researching, manufacturing, 
     developing, producing, or bringing to market goods, products, 
     or services that generate or support the production of 
     renewable energy.
       ``(3) Renewable energy.--The term `renewable energy' means 
     energy derived from resources that are regenerative or that 
     cannot be depleted, including solar, wind, ethanol, and 
     biodiesel fuels.
       ``(4) Renewable fuel capital investment company.--The term 
     `Renewable Fuel Capital Investment company' means a company--
       ``(A) that--
       ``(i) has been granted final approval by the Administrator 
     under section 384(e); and
       ``(ii) has entered into a participation agreement with the 
     Administrator; or
       ``(B) that has received conditional approval under section 
     384(c).
       ``(5) State.--The term `State' means each of the several 
     States, the District of Columbia, the Commonwealth of Puerto 
     Rico, the Virgin Islands, Guam, American Samoa, the 
     Commonwealth of the Northern Mariana Islands, and any other 
     commonwealth, territory, or possession of the United States.
       ``(6) Venture capital.--The term `venture capital' means 
     capital in the form of equity capital investments, as that 
     term is defined in section 303(g)(4).

     ``SEC. 382. PURPOSES.

       ``The purposes of the Renewable Fuel Capital Investment 
     Program established under this part are--
       ``(1) to promote the research, development, manufacture, 
     production, and bringing to market of goods, products, or 
     services that generate or support the production of renewable 
     energy by encouraging venture capital investments in smaller 
     enterprises primarily engaged such activities; and
       ``(2) to establish a venture capital program, with the 
     mission of addressing the unmet equity investment needs of 
     smaller enterprises engaged in researching, developing, 
     manufacturing, producing, and bringing to market goods, 
     products, or services that generate or support the production 
     of renewable energy, to be administered by the 
     Administrator--
       ``(A) to enter into participation agreements with Renewable 
     Fuel Capital Investment companies;
       ``(B) to guarantee debentures of Renewable Fuel Capital 
     Investment companies to enable each such company to make 
     venture capital investments in smaller enterprises engaged in 
     the research, development, manufacture, production, and 
     bringing to market of goods, products, or services that 
     generate or support the production of renewable energy; and
       ``(C) to make grants to Renewable Fuel Investment Capital 
     companies, and to other entities, for the purpose of 
     providing operational assistance to smaller enterprises 
     financed, or expected to be financed, by such companies.

     ``SEC. 383. ESTABLISHMENT.

       ``The Administrator shall establish a Renewable Fuel 
     Capital Investment Program, under which the Administrator 
     may--
       ``(1) enter into participation agreements for the purposes 
     described in section 382; and
       ``(2) guarantee the debentures issued by Renewable Fuel 
     Capital Investment companies as provided in section 385.

     ``SEC. 384. SELECTION OF RENEWABLE FUEL CAPITAL INVESTMENT 
                   COMPANIES.

       ``(a) Eligibility.--A company is eligible to apply to be 
     designated as a Renewable Fuel Capital Investment company if 
     the company--
       ``(1) is a newly formed for-profit entity or a newly formed 
     for-profit subsidiary of an existing entity;
       ``(2) has a management team with experience in alternative 
     energy financing or relevant venture capital financing; and
       ``(3) has a primary objective of investment in smaller 
     enterprises that research, manufacture, develop, produce, or 
     bring to market goods, products, or services that generate or 
     support the production of renewable energy.
       ``(b) Application.--A company desiring to be designated as 
     a Renewable Fuel Capital Investment company shall submit an 
     application to the Administrator that includes--
       ``(1) a business plan describing how the company intends to 
     make successful venture capital investments in smaller 
     enterprises primarily engaged in the research, manufacture, 
     development, production, or bringing to market of goods, 
     products, or services that generate or support the production 
     of renewable energy;
       ``(2) information regarding the relevant venture capital 
     qualifications and general reputation of the management of 
     the company;
       ``(3) a description of how the company intends to seek to 
     address the unmet capital needs of the smaller enterprises 
     served;
       ``(4) a proposal describing how the company intends to use 
     the grant funds provided under this part to provide 
     operational assistance to smaller enterprises financed by the 
     company, including information regarding whether the company 
     has employees with appropriate professional licenses or will 
     contract with another entity when the services of such an 
     individual are necessary;
       ``(5) with respect to binding commitments to be made to the 
     company under this part, an estimate of the ratio of cash to 
     in-kind contributions;
       ``(6) a description of whether and to what extent the 
     company meets the criteria under subsection (c)(2) and the 
     objectives of the program established under this part;
       ``(7) information regarding the management and financial 
     strength of any parent firm, affiliated firm, or any other 
     firm essential to the success of the business plan of the 
     company; and
       ``(8) such other information as the Administrator may 
     require.
       ``(c) Conditional Approval.--
       ``(1) In general.--From among companies submitting 
     applications under subsection (b), the Administrator shall 
     conditionally approve companies to operate as Renewable Fuel 
     Capital Investment companies.
       ``(2) Selection criteria.--In conditionally approving 
     companies under paragraph (1), the Administrator shall 
     consider--
       ``(A) the likelihood that the company will meet the goal of 
     its business plan;
       ``(B) the experience and background of the management team 
     of the company;
       ``(C) the need for venture capital investments in the 
     geographic areas in which the company intends to invest;
       ``(D) the extent to which the company will concentrate its 
     activities on serving the geographic areas in which it 
     intends to invest;
       ``(E) the likelihood that the company will be able to 
     satisfy the conditions under subsection (d);
       ``(F) the extent to which the activities proposed by the 
     company will expand economic opportunities in the geographic 
     areas in which the company intends to invest;
       ``(G) the strength of the proposal by the company to 
     provide operational assistance under this part as the 
     proposal relates to the ability of the company to meet 
     applicable cash requirements and properly use in-kind 
     contributions, including the use of resources for the 
     services of licensed professionals, when necessary, whether 
     provided by employees or contractors; and
       ``(H) any other factor determined appropriate by the 
     Administrator.
       ``(3) Nationwide distribution.--From among companies 
     submitting applications under subsection (b), the 
     Administrator shall consider the selection criteria under 
     paragraph (2) and shall, to the maximum extent practicable, 
     approve at least one company from each geographic region of 
     the Administration.
       ``(d) Requirements To Be Met for Final Approval.--
       ``(1) In general.--The Administrator shall grant each 
     conditionally approved company 2 years to satisfy the 
     requirements of this subsection.
       ``(2) Capital requirement.--Each conditionally approved 
     company shall raise not less than $3,000,000 of private 
     capital or binding capital commitments from 1 or more 
     investors (which shall not be departments or agencies of the 
     Federal Government) who meet criteria established by the 
     Administrator.
       ``(3) Nonadministration resources for operational 
     assistance.--
       ``(A) In general.--In order to provide operational 
     assistance to smaller enterprises expected to be financed by 
     the company, each conditionally approved company shall have 
     binding commitments (for contribution in cash or in-kind)--
       ``(i) from sources other than the Administration that meet 
     criteria established by the Administrator; and
       ``(ii) payable or available over a multiyear period 
     determined appropriate by the Administrator (not to exceed 10 
     years).

[[Page 35910]]

       ``(B) Exception.--The Administrator may, in the discretion 
     of the Administrator and based upon a showing of special 
     circumstances and good cause, consider an applicant to have 
     satisfied the requirements of subparagraph (A) if the 
     applicant has--
       ``(i) a viable plan that reasonably projects the capacity 
     of the applicant to raise the amount (in cash or in-kind) 
     required under subparagraph (A); and
       ``(ii) binding commitments in an amount equal to not less 
     than 20 percent of the total amount required under paragraph 
     (A).
       ``(C) Limitation.--The total amount of a in-kind 
     contributions by a company shall be not more than 50 percent 
     of the total contributions by a company.
       ``(e) Final Approval; Designation.--The Administrator 
     shall, with respect to each applicant conditionally approved 
     under subsection (c)--
       ``(1) grant final approval to the applicant to operate as a 
     Renewable Fuel Capital Investment company under this part and 
     designate the applicant as such a company, if the applicant--
       ``(A) satisfies the requirements of subsection (d) on or 
     before the expiration of the time period described in that 
     subsection; and
       ``(B) enters into a participation agreement with the 
     Administrator; or
       ``(2) if the applicant fails to satisfy the requirements of 
     subsection (d) on or before the expiration of the time period 
     described in paragraph (1) of that subsection, revoke the 
     conditional approval granted under that subsection.

     ``SEC. 385. DEBENTURES.

       ``(a) In General.--The Administrator may guarantee the 
     timely payment of principal and interest, as scheduled, on 
     debentures issued by any Renewable Fuel Capital Investment 
     company.
       ``(b) Terms and Conditions.--The Administrator may make 
     guarantees under this section on such terms and conditions as 
     it determines appropriate, except that--
       ``(1) the term of any debenture guaranteed under this 
     section shall not exceed 15 years; and
       ``(2) a debenture guaranteed under this section--
       ``(A) shall carry no front-end or annual fees;
       ``(B) shall be issued at a discount;
       ``(C) shall require no interest payments during the 5-year 
     period beginning on the date the debenture is issued;
       ``(D) shall be prepayable without penalty after the end of 
     the 1-year period beginning on the date the debenture is 
     issued; and
       ``(E) shall require semiannual interest payments after the 
     period described in subparagraph (C).
       ``(c) Full Faith and Credit of the United States.--The full 
     faith and credit of the United States is pledged to pay all 
     amounts that may be required to be paid under any guarantee 
     under this part.
       ``(d) Maximum Guarantee.--
       ``(1) In general.--Under this section, the Administrator 
     may guarantee the debentures issued by a Renewable Fuel 
     Capital Investment company only to the extent that the total 
     face amount of outstanding guaranteed debentures of such 
     company does not exceed 150 percent of the private capital of 
     the company, as determined by the Administrator.
       ``(2) Treatment of certain federal funds.--For the purposes 
     of paragraph (1), private capital shall include capital that 
     is considered to be Federal funds, if such capital is 
     contributed by an investor other than a department or agency 
     of the Federal Government.

     ``SEC. 386. ISSUANCE AND GUARANTEE OF TRUST CERTIFICATES.

       ``(a) Issuance.--The Administrator may issue trust 
     certificates representing ownership of all or a fractional 
     part of debentures issued by a Renewable Fuel Capital 
     Investment company and guaranteed by the Administrator under 
     this part, if such certificates are based on and backed by a 
     trust or pool approved by the Administrator and composed 
     solely of guaranteed debentures.
       ``(b) Guarantee.--
       ``(1) In general.--The Administrator may, under such terms 
     and conditions as it determines appropriate, guarantee the 
     timely payment of the principal of and interest on trust 
     certificates issued by the Administrator or its agents for 
     purposes of this section.
       ``(2) Limitation.--Each guarantee under this subsection 
     shall be limited to the extent of principal and interest on 
     the guaranteed debentures that compose the trust or pool.
       ``(3) Prepayment or default.--If a debenture in a trust or 
     pool is prepaid, or in the event of default of such a 
     debenture, the guarantee of timely payment of principal and 
     interest on the trust certificates shall be reduced in 
     proportion to the amount of principal and interest such 
     prepaid debenture represents in the trust or pool. Interest 
     on prepaid or defaulted debentures shall accrue and be 
     guaranteed by the Administrator only through the date of 
     payment of the guarantee. At any time during its term, a 
     trust certificate may be called for redemption due to 
     prepayment or default of all debentures.
       ``(c) Full Faith and Credit of the United States.--The full 
     faith and credit of the United States is pledged to pay all 
     amounts that may be required to be paid under any guarantee 
     of a trust certificate issued by the Administrator or its 
     agents under this section.
       ``(d) Fees.--The Administrator shall not collect a fee for 
     any guarantee of a trust certificate under this section, but 
     any agent of the Administrator may collect a fee approved by 
     the Administrator for the functions described in subsection 
     (f)(2).
       ``(e) Subrogation and Ownership Rights.--
       ``(1) Subrogation.--If the Administrator pays a claim under 
     a guarantee issued under this section, it shall be subrogated 
     fully to the rights satisfied by such payment.
       ``(2) Ownership rights.--No Federal, State, or local law 
     shall preclude or limit the exercise by the Administrator of 
     its ownership rights in the debentures residing in a trust or 
     pool against which trust certificates are issued under this 
     section.
       ``(f) Management and Administration.--
       ``(1) Registration.--The Administrator may provide for a 
     central registration of all trust certificates issued under 
     this section.
       ``(2) Contracting of functions.--
       ``(A) In general.--The Administrator may contract with an 
     agent or agents to carry out on behalf of the Administrator 
     the pooling and the central registration functions provided 
     for in this section, including, not withstanding any other 
     provision of law--
       ``(i) maintenance, on behalf of and under the direction of 
     the Administrator, of such commercial bank accounts or 
     investments in obligations of the United States as may be 
     necessary to facilitate the creation of trusts or pools 
     backed by debentures guaranteed under this part; and
       ``(ii) the issuance of trust certificates to facilitate the 
     creation of such trusts or pools.
       ``(B) Fidelity bond or insurance requirement.--Any agent 
     performing functions on behalf of the Administrator under 
     this paragraph shall provide a fidelity bond or insurance in 
     such amounts as the Administrator determines to be necessary 
     to fully protect the interests of the United States.
       ``(3) Regulation of brokers and dealers.--The Administrator 
     may regulate brokers and dealers in trust certificates issued 
     under this section.
       ``(4) Electronic registration.--Nothing in this subsection 
     may be construed to prohibit the use of a book-entry or other 
     electronic form of registration for trust certificates issued 
     under this section.

     ``SEC. 387. FEES.

       ``(a) In General.--Except as provided in section 386(d), 
     the Administrator may charge such fees as it determines 
     appropriate with respect to any guarantee or grant issued 
     under this part, in an amount established annually by the 
     Administrator, as necessary to reduce to zero the cost (as 
     defined in section 502 of the Federal Credit Reform Act of 
     1990) to the Administration of purchasing and guaranteeing 
     debentures under this part, which amounts shall be paid to 
     and retained by the Administration.
       ``(b) Offset.--The Administrator may, as provided by 
     section 388, offset fees charged and collected under 
     subsection (a).

     ``SEC. 388. FEE CONTRIBUTION.

       ``(a) In General.--To the extent that amounts are made 
     available to the Administrator for the purpose of fee 
     contributions, the Administrator shall contribute to fees 
     paid by the Renewable Fuel Capital Investment companies under 
     section 387.
       ``(b) Annual Adjustment.--Each fee contribution under 
     subsection (a) shall be effective for 1 fiscal year and shall 
     be adjusted as necessary for each fiscal year thereafter to 
     ensure that amounts under subsection (a) are fully used. The 
     fee contribution for a fiscal year shall be based on the 
     outstanding commitments made and the guarantees and grants 
     that the Administrator projects will be made during that 
     fiscal year, given the program level authorized by law for 
     that fiscal year and any other factors that the Administrator 
     determines appropriate.

     ``SEC. 389. OPERATIONAL ASSISTANCE GRANTS.

       ``(a) In General.--
       ``(1) Authority.--The Administrator may make grants to 
     Renewable Fuel Capital Investment companies to provide 
     operational assistance to smaller enterprises financed, or 
     expected to be financed, by such companies or other entities.
       ``(2) Terms.--A grant under this subsection shall be made 
     over a multiyear period not to exceed 10 years, under such 
     other terms as the Administrator may require.
       ``(3) Grant amount.--The amount of a grant made under this 
     subsection to a Renewable Fuel Capital Investment company 
     shall be equal to the lesser of--
       ``(A) 10 percent of the resources (in cash or in kind) 
     raised by the company under section 384(d)(2); or
       ``(B) $1,000,000.
       ``(4) Pro rata reductions.--If the amount made available to 
     carry out this section is insufficient for the Administrator 
     to provide grants in the amounts provided for in paragraph 
     (3), the Administrator shall make pro rata reductions in the 
     amounts otherwise payable to each company and entity under 
     such paragraph.
       ``(5) Grants to conditionally approved companies.--
       ``(A) In general.--Subject to subparagraphs (B) and (C), 
     upon the request of a company conditionally approved under 
     section 384(c), the Administrator shall make a grant to the 
     company under this subsection.
       ``(B) Repayment by companies not approved.--If a company 
     receives a grant under this paragraph and does not enter into 
     a participation agreement for final approval, the company 
     shall, subject to controlling Federal law, repay the amount 
     of the grant to the Administrator.
       ``(C) Deduction of grant to approved company.--If a company 
     receives a grant under this paragraph and receives final 
     approval under section 384(e), the Administrator shall deduct 
     the amount of the grant from the total grant amount the 
     company receives for operational assistance.

[[Page 35911]]

       ``(D) Amount of grant.--No company may receive a grant of 
     more than $100,000 under this paragraph.
       ``(b) Supplemental Grants.--
       ``(1) In general.--The Administrator may make supplemental 
     grants to Renewable Fuel Capital Investment companies and to 
     other entities, as authorized by this part, under such terms 
     as the Administrator may require, to provide additional 
     operational assistance to smaller enterprises financed, or 
     expected to be financed, by the companies.
       ``(2) Matching requirement.--The Administrator may require, 
     as a condition of any supplemental grant made under this 
     subsection, that the company or entity receiving the grant 
     provide from resources (in a cash or in kind), other then 
     those provided by the Administrator, a matching contribution 
     equal to the amount of the supplemental grant.
       ``(c) Limitation.--None of the assistance made available 
     under this section may be used for any overhead or general 
     and administrative expense of a Renewable Fuel Capital 
     Investment company.

     ``SEC. 390. BANK PARTICIPATION.

       ``(a) In General.--Except as provided in subsection (b), 
     any national bank, any member bank of the Federal Reserve 
     System, and (to the extent permitted under applicable State 
     law) any insured bank that is not a member of such system, 
     may invest in any Renewable Fuel Capital Investment company, 
     or in any entity established to invest solely in Renewable 
     Fuel Capital Investment companies.
       ``(b) Limitation.--No bank described in subsection (a) may 
     make investments described in such subsection that are 
     greater than 5 percent of the capital and surplus of the 
     bank.

     ``SEC. 391. FEDERAL FINANCING BANK.

       ``Notwithstanding section 318, the Federal Financing Bank 
     may acquire a debenture issued by a Renewable Fuel Capital 
     Investment company under this part.

     ``SEC. 392. REPORTING REQUIREMENT.

       ``Each Renewable Fuel Capital Investment company that 
     participates in the program established under this part shall 
     provide to the Administrator such information as the 
     Administrator may require, including--
       ``(1) information related to the measurement criteria that 
     the company proposed in its program application; and
       ``(2) in each case in which the company makes, under this 
     part, an investment in, or a loan or a grant to, a business 
     that is not primarily engaged in the research, development, 
     manufacture, or bringing to market or renewable energy 
     sources, a report on the nature, origin, and revenues of the 
     business in which investments are made.

     ``SEC. 393. EXAMINATIONS.

       ``(a) In General.--Each Renewable Fuel Capital Investment 
     company that participates in the program established under 
     this part shall be subject to examinations made at the 
     direction of the Investment Division of the Administration in 
     accordance with this section.
       ``(b) Assistance of Private Sector Entities.--Examinations 
     under this section may be conducted with the assistance of a 
     private sector entity that has both the qualifications and 
     the expertise necessary to conduct such examinations.
       ``(c) Costs.--
       ``(1) Assessment.--
       ``(A) In general.--The Administrator may assess the cost of 
     examinations under this section, including compensation of 
     the examiners, against the company examined.
       ``(B) Payment.--Any company against which the Administrator 
     assesses costs under this paragraph shall pay such costs.
       ``(2) Deposit of funds.--Funds collected under this section 
     shall be deposited in the account for salaries and expenses 
     of the Administration.

     ``SEC. 394. MISCELLANEOUS.

       ``To the extent such procedures are not inconsistent with 
     the requirements of this part, the Administrator may take 
     such action as set forth in sections 309, 311, 312, and 314 
     and an officer, director, employee, agent, or other 
     participant in the management or conduct of the affairs of a 
     Renewable Fuel Capital Investment company shall be subject to 
     the requirements of such sections.

     ``SEC. 395. REMOVAL OR SUSPENSION OF DIRECTORS OR OFFICERS.

       ``Using the procedures for removing or suspending a 
     director or an officer of a licensee set forth in section 313 
     (to the extent such procedures are not inconsistent with the 
     requirements of this part), the Administrator may remove or 
     suspend any director or officer of any Renewable Fuel Capital 
     Investment company.

     ``SEC. 396. REGULATIONS.

       ``The Administrator may issue such regulations as the 
     Administrator determines necessary to carry out the 
     provisions of this part in accordance with its purposes.

     ``SEC. 397. AUTHORIZATIONS OF APPROPRIATIONS.

       ``(a) In General.--Subject to the availability of 
     appropriations, the Administrator is authorized to make 
     $15,000,000 in operational assistance grants under section 
     389 for each of fiscal years 2008 and 2009.
       ``(b) Funds Collected for Examinations.--Funds deposited 
     under section 393(c)(2) are authorized to be appropriated 
     only for the costs of examinations under section 393 and for 
     the costs of other oversight activities with respect to the 
     program established under this part.

     ``SEC. 398. TERMINATION.

       ``The program under this part shall terminate at the end of 
     the second full fiscal year after the date that the 
     Administrator establishes the program under this part.''.

     SEC. 1208. STUDY AND REPORT.

       The Administrator of the Small Business Administration 
     shall conduct a study of the Renewable Fuel Capital 
     Investment Program under part C of title III of the Small 
     Business Investment Act of 1958, as added by this Act. Not 
     later than 3 years after the date of enactment of this Act, 
     the Administrator shall complete the study under this section 
     and submit to Congress a report regarding the results of the 
     study.

                         TITLE XIII--SMART GRID

     SEC. 1301. STATEMENT OF POLICY ON MODERNIZATION OF 
                   ELECTRICITY GRID.

       It is the policy of the United States to support the 
     modernization of the Nation's electricity transmission and 
     distribution system to maintain a reliable and secure 
     electricity infrastructure that can meet future demand growth 
     and to achieve each of the following, which together 
     characterize a Smart Grid:
       (1) Increased use of digital information and controls 
     technology to improve reliability, security, and efficiency 
     of the electric grid.
       (2) Dynamic optimization of grid operations and resources, 
     with full cyber-security.
       (3) Deployment and integration of distributed resources and 
     generation, including renewable resources.
       (4) Development and incorporation of demand response, 
     demand-side resources, and energy-efficiency resources.
       (5) Deployment of ``smart'' technologies (real-time, 
     automated, interactive technologies that optimize the 
     physical operation of appliances and consumer devices) for 
     metering, communications concerning grid operations and 
     status, and distribution automation.
       (6) Integration of ``smart'' appliances and consumer 
     devices.
       (7) Deployment and integration of advanced electricity 
     storage and peak-shaving technologies, including plug-in 
     electric and hybrid electric vehicles, and thermal-storage 
     air conditioning.
       (8) Provision to consumers of timely information and 
     control options.
       (9) Development of standards for communication and 
     interoperability of appliances and equipment connected to the 
     electric grid, including the infrastructure serving the grid.
       (10) Identification and lowering of unreasonable or 
     unnecessary barriers to adoption of smart grid technologies, 
     practices, and services.

     SEC. 1302. SMART GRID SYSTEM REPORT.

       The Secretary, acting through the Assistant Secretary of 
     the Office of Electricity Delivery and Energy Reliability 
     (referred to in this section as the ``OEDER'') and through 
     the Smart Grid Task Force established in section 1303, shall, 
     after consulting with any interested individual or entity as 
     appropriate, no later than one year after enactment, and 
     every two years thereafter, report to Congress concerning the 
     status of smart grid deployments nationwide and any 
     regulatory or government barriers to continued deployment. 
     The report shall provide the current status and prospects of 
     smart grid development, including information on technology 
     penetration, communications network capabilities, costs, and 
     obstacles. It may include recommendations for State and 
     Federal policies or actions helpful to facilitate the 
     transition to a smart grid. To the extent appropriate, it 
     should take a regional perspective. In preparing this report, 
     the Secretary shall solicit advice and contributions from the 
     Smart Grid Advisory Committee created in section 1303; from 
     other involved Federal agencies including but not limited to 
     the Federal Energy Regulatory Commission (``Commission''), 
     the National Institute of Standards and Technology 
     (``Institute''), and the Department of Homeland Security; and 
     from other stakeholder groups not already represented on the 
     Smart Grid Advisory Committee.

     SEC. 1303. SMART GRID ADVISORY COMMITTEE AND SMART GRID TASK 
                   FORCE.

       (a) Smart Grid Advisory Committee.--
       (1) Establishment.--The Secretary shall establish, within 
     90 days of enactment of this Part, a Smart Grid Advisory 
     Committee (either as an independent entity or as a designated 
     sub-part of a larger advisory committee on electricity 
     matters). The Smart Grid Advisory Committee shall include 
     eight or more members appointed by the Secretary who have 
     sufficient experience and expertise to represent the full 
     range of smart grid technologies and services, to represent 
     both private and non-Federal public sector stakeholders. One 
     member shall be appointed by the Secretary to Chair the Smart 
     Grid Advisory Committee.
       (2) Mission.--The mission of the Smart Grid Advisory 
     Committee shall be to advise the Secretary, the Assistant 
     Secretary, and other relevant Federal officials concerning 
     the development of smart grid technologies, the progress of a 
     national transition to the use of smart-grid technologies and 
     services, the evolution of widely-accepted technical and 
     practical standards and protocols to allow interoperability 
     and inter-communication among smart-grid capable devices, and 
     the optimum means of using Federal incentive authority to 
     encourage such progress.
       (3) Applicability of federal advisory committee act.--The 
     Federal Advisory Committee Act (5 U.S.C. App.) shall apply to 
     the Smart Grid Advisory Committee.
       (b) Smart Grid Task Force.--
       (1) Establishment.--The Assistant Secretary of the Office 
     of Electricity Delivery and Energy

[[Page 35912]]

     Reliability shall establish, within 90 days of enactment of 
     this Part, a Smart Grid Task Force composed of designated 
     employees from the various divisions of that office who have 
     responsibilities related to the transition to smart-grid 
     technologies and practices. The Assistant Secretary or his 
     designee shall be identified as the Director of the Smart 
     Grid Task Force. The Chairman of the Federal Energy 
     Regulatory Commission and the Director of the National 
     Institute of Standards and Technology shall each designate at 
     least one employee to participate on the Smart Grid Task 
     Force. Other members may come from other agencies at the 
     invitation of the Assistant Secretary or the nomination of 
     the head of such other agency. The Smart Grid Task Force 
     shall, without disrupting the work of the Divisions or 
     Offices from which its members are drawn, provide an 
     identifiable Federal entity to embody the Federal role in the 
     national transition toward development and use of smart grid 
     technologies.
       (2) Mission.--The mission of the Smart Grid Task Force 
     shall be to insure awareness, coordination and integration of 
     the diverse activities of the Office and elsewhere in the 
     Federal government related to smart-grid technologies and 
     practices, including but not limited to: smart grid research 
     and development; development of widely accepted smart-grid 
     standards and protocols; the relationship of smart-grid 
     technologies and practices to electric utility regulation; 
     the relationship of smart-grid technologies and practices to 
     infrastructure development, system reliability and security; 
     and the relationship of smart-grid technologies and practices 
     to other facets of electricity supply, demand, transmission, 
     distribution, and policy. The Smart Grid Task Force shall 
     collaborate with the Smart Grid Advisory Committee and other 
     Federal agencies and offices. The Smart Grid Task Force shall 
     meet at the call of its Director as necessary to accomplish 
     its mission.
       (c) Authorization.--There are authorized to be appropriated 
     for the purposes of this section such sums as are necessary 
     to the Secretary to support the operations of the Smart Grid 
     Advisory Committee and Smart Grid Task Force for each of 
     fiscal years 2008 through 2020.

     SEC. 1304. SMART GRID TECHNOLOGY RESEARCH, DEVELOPMENT, AND 
                   DEMONSTRATION.

       (a) Power Grid Digital Information Technology.--The 
     Secretary, in consultation with the Federal Energy Regulatory 
     Commission and other appropriate agencies, electric 
     utilities, the States, and other stakeholders, shall carry 
     out a program--
       (1) to develop advanced techniques for measuring peak load 
     reductions and energy-efficiency savings from smart metering, 
     demand response, distributed generation, and electricity 
     storage systems;
       (2) to investigate means for demand response, distributed 
     generation, and storage to provide ancillary services;
       (3) to conduct research to advance the use of wide-area 
     measurement and control networks, including data mining, 
     visualization, advanced computing, and secure and dependable 
     communications in a highly-distributed environment;
       (4) to test new reliability technologies, including those 
     concerning communications network capabilities, in a grid 
     control room environment against a representative set of 
     local outage and wide area blackout scenarios;
       (5) to identify communications network capacity needed to 
     implement advanced technologies.
       (6) to investigate the feasibility of a transition to time-
     of-use and real-time electricity pricing;
       (7) to develop algorithms for use in electric transmission 
     system software applications;
       (8) to promote the use of underutilized electricity 
     generation capacity in any substitution of electricity for 
     liquid fuels in the transportation system of the United 
     States; and
       (9) in consultation with the Federal Energy Regulatory 
     Commission, to propose interconnection protocols to enable 
     electric utilities to access electricity stored in vehicles 
     to help meet peak demand loads.
       (b) Smart Grid Regional Demonstration Initiative.--
       (1) In general.--The Secretary shall establish a smart grid 
     regional demonstration initiative (referred to in this 
     subsection as the ``Initiative'') composed of demonstration 
     projects specifically focused on advanced technologies for 
     use in power grid sensing, communications, analysis, and 
     power flow control. The Secretary shall seek to leverage 
     existing smart grid deployments.
       (2) Goals.--The goals of the Initiative shall be--
       (A) to demonstrate the potential benefits of concentrated 
     investments in advanced grid technologies on a regional grid;
       (B) to facilitate the commercial transition from the 
     current power transmission and distribution system 
     technologies to advanced technologies;
       (C) to facilitate the integration of advanced technologies 
     in existing electric networks to improve system performance, 
     power flow control, and reliability;
       (D) to demonstrate protocols and standards that allow for 
     the measurement and validation of the energy savings and 
     fossil fuel emission reductions associated with the 
     installation and use of energy efficiency and demand response 
     technologies and practices; and
       (E) to investigate differences in each region and 
     regulatory environment regarding best practices in 
     implementing smart grid technologies.
       (3) Demonstration projects.--
       (A) In general.--In carrying out the initiative, the 
     Secretary shall carry out smart grid demonstration projects 
     in up to 5 electricity control areas, including rural areas 
     and at least 1 area in which the majority of generation and 
     transmission assets are controlled by a tax-exempt entity.
       (B) Cooperation.--A demonstration project under 
     subparagraph (A) shall be carried out in cooperation with the 
     electric utility that owns the grid facilities in the 
     electricity control area in which the demonstration project 
     is carried out.
       (C) Federal share of cost of technology investments.--The 
     Secretary shall provide to an electric utility described in 
     subparagraph (B) financial assistance for use in paying an 
     amount equal to not more than 50 percent of the cost of 
     qualifying advanced grid technology investments made by the 
     electric utility to carry out a demonstration project.
       (D) Ineligibility for grants.--No person or entity 
     participating in any demonstration project conducted under 
     this subsection shall be eligible for grants under section 
     1306 for otherwise qualifying investments made as part of 
     that demonstration project.
       (c) Authorization of Appropriations.--There are authorized 
     to be appropriated--
       (1) to carry out subsection (a), such sums as are necessary 
     for each of fiscal years 2008 through 2012; and
       (2) to carry out subsection (b), $100,000,000 for each of 
     fiscal years 2008 through 2012.

     SEC. 1305. SMART GRID INTEROPERABILITY FRAMEWORK.

       (a) Interoperability Framework.--The Director of the 
     National Institute of Standards and Technology shall have 
     primary responsibility to coordinate the development of a 
     framework that includes protocols and model standards for 
     information management to achieve interoperability of smart 
     grid devices and systems. Such protocols and standards shall 
     further align policy, business, and technology approaches in 
     a manner that would enable all electric resources, including 
     demand-side resources, to contribute to an efficient, 
     reliable electricity network. In developing such protocols 
     and standards--
       (1) the Director shall seek input and cooperation from the 
     Commission, OEDER and its Smart Grid Task Force, the Smart 
     Grid Advisory Committee, other relevant Federal and State 
     agencies; and
       (2) the Director shall also solicit input and cooperation 
     from private entities interested in such protocols and 
     standards, including but not limited to the Gridwise 
     Architecture Council, the International Electrical and 
     Electronics Engineers, the National Electric Reliability 
     Organization recognized by the Federal Energy Regulatory 
     Commission, and National Electrical Manufacturer's 
     Association.
       (b) Scope of Framework.--The framework developed under 
     subsection (a) shall be flexible, uniform and technology 
     neutral, including but not limited to technologies for 
     managing smart grid information, and designed--
       (1) to accommodate traditional, centralized generation and 
     transmission resources and consumer distributed resources, 
     including distributed generation, renewable generation, 
     energy storage, energy efficiency, and demand response and 
     enabling devices and systems;
       (2) to be flexible to incorporate--
       (A) regional and organizational differences; and
       (B) technological innovations;
       (3) to consider the use of voluntary uniform standards for 
     certain classes of mass-produced electric appliances and 
     equipment for homes and businesses that enable customers, at 
     their election and consistent with applicable State and 
     Federal laws, and are manufactured with the ability to 
     respond to electric grid emergencies and demand response 
     signals by curtailing all, or a portion of, the electrical 
     power consumed by the appliances or equipment in response to 
     an emergency or demand response signal, including through--
       (A) load reduction to reduce total electrical demand;
       (B) adjustment of load to provide grid ancillary services; 
     and
       (C) in the event of a reliability crisis that threatens an 
     outage, short-term load shedding to help preserve the 
     stability of the grid; and
       (4) such voluntary standards should incorporate appropriate 
     manufacturer lead time.
       (c) Timing of Framework Development.--The Institute shall 
     begin work pursuant to this section within 60 days of 
     enactment. The Institute shall provide and publish an initial 
     report on progress toward recommended or consensus standards 
     and protocols within one year after enactment, further 
     reports at such times as developments warrant in the judgment 
     of the Institute, and a final report when the Institute 
     determines that the work is completed or that a Federal role 
     is no longer necessary.
       (d) Standards for Interoperability in Federal 
     Jurisdiction.--At any time after the Institute's work has led 
     to sufficient consensus in the Commission's judgment, the 
     Commission shall institute a rulemaking proceeding to adopt 
     such standards and protocols as may be necessary to insure 
     smart-grid functionality and interoperability in interstate 
     transmission of electric power, and regional and wholesale 
     electricity markets.
       (e) Authorization.--There are authorized to be appropriated 
     for the purposes of this section $5,000,000 to the Institute 
     to support the activities required by this subsection for 
     each of fiscal years 2008 through 2012.

[[Page 35913]]



     SEC. 1306. FEDERAL MATCHING FUND FOR SMART GRID INVESTMENT 
                   COSTS.

       (a) Matching Fund.--The Secretary shall establish a Smart 
     Grid Investment Matching Grant Program to provide 
     reimbursement of one-fifth (20 percent) of qualifying Smart 
     Grid investments.
       (b) Qualifying Investments.--Qualifying Smart Grid 
     investments may include any of the following made on or after 
     the date of enactment of this Act:
       (1) In the case of appliances covered for purposes of 
     establishing energy conservation standards under part B of 
     title III of the Energy Policy and Conservation Act of 1975 
     (42 U.S.C. 6291 et seq.), the documented expenditures 
     incurred by a manufacturer of such appliances associated with 
     purchasing or designing, creating the ability to manufacture, 
     and manufacturing and installing for one calendar year, 
     internal devices that allow the appliance to engage in Smart 
     Grid functions.
       (2) In the case of specialized electricity-using equipment, 
     including motors and drivers, installed in industrial or 
     commercial applications, the documented expenditures incurred 
     by its owner or its manufacturer of installing devices or 
     modifying that equipment to engage in Smart Grid functions.
       (3) In the case of transmission and distribution equipment 
     fitted with monitoring and communications devices to enable 
     smart grid functions, the documented expenditures incurred by 
     the electric utility to purchase and install such monitoring 
     and communications devices.
       (4) In the case of metering devices, sensors, control 
     devices, and other devices integrated with and attached to an 
     electric utility system or retail distributor or marketer of 
     electricity that are capable of engaging in Smart Grid 
     functions, the documented expenditures incurred by the 
     electric utility, distributor, or marketer and its customers 
     to purchase and install such devices.
       (5) In the case of software that enables devices or 
     computers to engage in Smart Grid functions, the documented 
     purchase costs of the software.
       (6) In the case of entities that operate or coordinate 
     operations of regional electric grids, the documented 
     expenditures for purchasing and installing such equipment 
     that allows Smart Grid functions to operate and be combined 
     or coordinated among multiple electric utilities and between 
     that region and other regions.
       (7) In the case of persons or entities other than electric 
     utilities owning and operating a distributed electricity 
     generator, the documented expenditures of enabling that 
     generator to be monitored, controlled, or otherwise 
     integrated into grid operations and electricity flows on the 
     grid utilizing Smart Grid functions.
       (8) In the case of electric or hybrid-electric vehicles, 
     the documented expenses for devices that allow the vehicle to 
     engage in Smart Grid functions (but not the costs of 
     electricity storage for the vehicle).
       (9) The documented expenditures related to purchasing and 
     implementing Smart Grid functions in such other cases as the 
     Secretary shall identify. In making such grants, the 
     Secretary shall seek to reward innovation and early 
     adaptation, even if success is not complete, rather than 
     deployment of proven and commercially viable technologies.
       (c) Investments Not Included.--Qualifying Smart Grid 
     investments do not include any of the following:
       (1) Investments or expenditures for Smart Grid 
     technologies, devices, or equipment that are eligible for 
     specific tax credits or deductions under the Internal Revenue 
     Code, as amended.
       (2) Expenditures for electricity generation, transmission, 
     or distribution infrastructure or equipment not directly 
     related to enabling Smart Grid functions.
       (3) After the final date for State consideration of the 
     Smart Grid Information Standard under section 1307 (paragraph 
     (17) of section 111(d) of the Public Utility Regulatory 
     Policies Act of 1978), an investment that is not in 
     compliance with such standard.
       (4) After the development and publication by the Institute 
     of protocols and model standards for interoperability of 
     smart grid devices and technologies, an investment that fails 
     to incorporate any of such protocols or model standards.
       (5) Expenditures for physical interconnection of generators 
     or other devices to the grid except those that are directly 
     related to enabling Smart Grid functions.
       (6) Expenditures for ongoing salaries, benefits, or 
     personnel costs not incurred in the initial installation, 
     training, or start up of smart grid functions.
       (7) Expenditures for travel, lodging, meals or other 
     personal costs.
       (8) Ongoing or routine operation, billing, customer 
     relations, security, and maintenance expenditures.
       (9) Such other expenditures that the Secretary determines 
     not to be Qualifying Smart Grid Investments by reason of the 
     lack of the ability to perform Smart Grid functions or lack 
     of direct relationship to Smart Grid functions.
       (d) Smart Grid Functions.--The term ``smart grid 
     functions'' means any of the following:
       (1) The ability to develop, store, send and receive digital 
     information concerning electricity use, costs, prices, time 
     of use, nature of use, storage, or other information relevant 
     to device, grid, or utility operations, to or from or by 
     means of the electric utility system, through one or a 
     combination of devices and technologies.
       (2) The ability to develop, store, send and receive digital 
     information concerning electricity use, costs, prices, time 
     of use, nature of use, storage, or other information relevant 
     to device, grid, or utility operations to or from a computer 
     or other control device.
       (3) The ability to measure or monitor electricity use as a 
     function of time of day, power quality characteristics such 
     as voltage level, current, cycles per second, or source or 
     type of generation and to store, synthesize or report that 
     information by digital means.
       (4) The ability to sense and localize disruptions or 
     changes in power flows on the grid and communicate such 
     information instantaneously and automatically for purposes of 
     enabling automatic protective responses to sustain 
     reliability and security of grid operations.
       (5) The ability to detect, prevent, communicate with regard 
     to, respond to, or recover from system security threats, 
     including cyber-security threats and terrorism, using digital 
     information, media, and devices.
       (6) The ability of any appliance or machine to respond to 
     such signals, measurements, or communications automatically 
     or in a manner programmed by its owner or operator without 
     independent human intervention.
       (7) The ability to use digital information to operate 
     functionalities on the electric utility grid that were 
     previously electro-mechanical or manual.
       (8) The ability to use digital controls to manage and 
     modify electricity demand, enable congestion management, 
     assist in voltage control, provide operating reserves, and 
     provide frequency regulation.
       (9) Such other functions as the Secretary may identify as 
     being necessary or useful to the operation of a Smart Grid.
       (e) The Secretary shall--
       (1) establish and publish in the Federal Register, within 
     one year after the enactment of this Act procedures by which 
     applicants who have made qualifying Smart Grid investments 
     can seek and obtain reimbursement of one-fifth of their 
     documented expenditures;
       (2) establish procedures to ensure that there is no 
     duplication or multiple reimbursement for the same investment 
     or costs, that the reimbursement goes to the party making the 
     actual expenditures for Qualifying Smart Grid Investments, 
     and that the grants made have significant effect in 
     encouraging and facilitating the development of a smart grid;
       (3) maintain public records of reimbursements made, 
     recipients, and qualifying Smart Grid investments which have 
     received reimbursements;
       (4) establish procedures to provide, in cases deemed by the 
     Secretary to be warranted, advance payment of moneys up to 
     the full amount of the projected eventual reimbursement, to 
     creditworthy applicants whose ability to make Qualifying 
     Smart Grid Investments may be hindered by lack of initial 
     capital, in lieu of any later reimbursement for which that 
     applicant qualifies, and subject to full return of the 
     advance payment in the event that the Qualifying Smart Grid 
     investment is not made; and
       (5) have and exercise the discretion to deny grants for 
     investments that do not qualify in the reasonable judgment of 
     the Secretary.
       (f) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Secretary such sums as are 
     necessary for the administration of this section and the 
     grants to be made pursuant to this section for fiscal years 
     2008 through 2012.

     SEC. 1307. STATE CONSIDERATION OF SMART GRID.

       (a) 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:
       ``(16) Consideration of smart grid investments.--
       ``(A) In general.--Each State shall consider requiring 
     that, prior to undertaking investments in nonadvanced grid 
     technologies, an electric utility of the State demonstrate to 
     the State that the electric utility considered an investment 
     in a qualified smart grid system based on appropriate 
     factors, including--
       ``(i) total costs;
       ``(ii) cost-effectiveness;
       ``(iii) improved reliability;
       ``(iv) security;
       ``(v) system performance; and
       ``(vi) societal benefit.
       ``(B) Rate recovery.--Each State shall consider authorizing 
     each electric utility of the State to recover from ratepayers 
     any capital, operating expenditure, or other costs of the 
     electric utility relating to the deployment of a qualified 
     smart grid system, including a reasonable rate of return on 
     the capital expenditures of the electric utility for the 
     deployment of the qualified smart grid system.
       ``(C) Obsolete equipment.--Each State shall consider 
     authorizing any electric utility or other party of the State 
     to deploy a qualified smart grid system to recover in a 
     timely manner the remaining book-value costs of any equipment 
     rendered obsolete by the deployment of the qualified smart 
     grid system, based on the remaining depreciable life of the 
     obsolete equipment.
       ``(17) Smart grid information.--
       ``(A) Standard.--All electricity purchasers shall be 
     provided direct access, in written or electronic machine-
     readable form as appropriate, to information from their 
     electricity provider as provided in subparagraph (B).
       ``(B) Information.--Information provided under this 
     section, to the extent practicable, shall include:
       ``(i) Prices.--Purchasers and other interested persons 
     shall be provided with information on--

       ``(I) time-based electricity prices in the wholesale 
     electricity market; and
       ``(II) time-based electricity retail prices or rates that 
     are available to the purchasers.

[[Page 35914]]

       ``(ii) Usage.--Purchasers shall be provided with the number 
     of electricity units, expressed in kwh, purchased by them.
       ``(iii) Intervals and projections.--Updates of information 
     on prices and usage shall be offered on not less than a daily 
     basis, shall include hourly price and use information, where 
     available, and shall include a day-ahead projection of such 
     price information to the extent available.
       ``(iv) Sources.--Purchasers and other interested persons 
     shall be provided annually with written information on the 
     sources of the power provided by the utility, to the extent 
     it can be determined, by type of generation, including 
     greenhouse gas emissions associated with each type of 
     generation, for intervals during which such information is 
     available on a cost-effective basis.
       ``(C) Access.--Purchasers shall be able to access their own 
     information at any time through the internet and on other 
     means of communication elected by that utility for Smart Grid 
     applications. Other interested persons shall be able to 
     access information not specific to any purchaser through the 
     Internet. Information specific to any purchaser shall be 
     provided solely to that purchaser.''.
       (b) Compliance.--
       (1) Time limitations.--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:
       ``(6)(A) 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 utility shall commence the 
     consideration referred to in section 111, or set a hearing 
     date for consideration, with respect to the standards 
     established by paragraphs (17) through (18) of section 
     111(d).
       ``(B) Not later than 2 years after the date of the 
     enactment of the 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 
     each standard established by paragraphs (17) through (18) of 
     section 111(d).''.
       (2) Failure to comply.--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:
       ``In the case of the standards established by paragraphs 
     (16) through (19) 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 
     paragraphs.''.
       (3) Prior state actions.--Section 112(d) of the Public 
     Utility Regulatory Policies Act of 1978 (16 U.S.C. 2622(d)) 
     is amended by inserting ``and paragraphs (17) through (18)'' 
     before ``of section 111(d)''.

     SEC. 1308. STUDY OF THE EFFECT OF PRIVATE WIRE LAWS ON THE 
                   DEVELOPMENT OF COMBINED HEAT AND POWER 
                   FACILITIES.

       (a) Study.--
       (1) In general.--The Secretary, in consultation with the 
     States and other appropriate entities, shall conduct a study 
     of the laws (including regulations) affecting the siting of 
     privately owned electric distribution wires on and across 
     public rights-of-way.
       (2) Requirements.--The study under paragraph (1) shall 
     include--
       (A) an evaluation of--
       (i) the purposes of the laws; and
       (ii) the effect the laws have on the development of 
     combined heat and power facilities;
       (B) a determination of whether a change in the laws would 
     have any operating, reliability, cost, or other impacts on 
     electric utilities and the customers of the electric 
     utilities; and
       (C) an assessment of--
       (i) whether privately owned electric distribution wires 
     would result in duplicative facilities; and
       (ii) whether duplicative facilities are necessary or 
     desirable.
       (b) Report.--Not later than 1 year after the date of 
     enactment of this Act, the Secretary shall submit to Congress 
     a report that describes the results of the study conducted 
     under subsection (a).

     SEC. 1309. DOE STUDY OF SECURITY ATTRIBUTES OF SMART GRID 
                   SYSTEMS.

       (a) DOE Study.--The Secretary shall, within 18 months after 
     the date of enactment of this Act, submit a report to 
     Congress that provides a quantitative assessment and 
     determination of the existing and potential impacts of the 
     deployment of Smart Grid systems on improving the security of 
     the Nation's electricity infrastructure and operating 
     capability. The report shall include but not be limited to 
     specific recommendations on each of the following:
       (1) How smart grid systems can help in making the Nation's 
     electricity system less vulnerable to disruptions due to 
     intentional acts against the system.
       (2) How smart grid systems can help in restoring the 
     integrity of the Nation's electricity system subsequent to 
     disruptions.
       (3) How smart grid systems can facilitate nationwide, 
     interoperable emergency communications and control of the 
     Nation's electricity system during times of localized, 
     regional, or nationwide emergency.
       (4) What risks must be taken into account that smart grid 
     systems may, if not carefully created and managed, create 
     vulnerability to security threats of any sort, and how such 
     risks may be mitigated.
       (b) Consultation.--The Secretary shall consult with other 
     Federal agencies in the development of the report under this 
     section, including but not limited to the Secretary of 
     Homeland Security, the Federal Energy Regulatory Commission, 
     and the Electric Reliability Organization certified by the 
     Commission under section 215(c) of the Federal Power Act (16 
     U.S.C. 824o) as added by section 1211 of the Energy Policy 
     Act of 2005 (Public Law 109-58; 119 Stat. 941).

                     TITLE XIV--POOL AND SPA SAFETY

     SEC. 1401. SHORT TITLE.

       This title may be cited as the ``Virginia Graeme Baker Pool 
     and Spa Safety Act''.

     SEC. 1402. FINDINGS.

       Congress finds the following:
       (1) Of injury-related deaths, drowning is the second 
     leading cause of death in children aged 1 to 14 in the United 
     States.
       (2) In 2004, 761 children aged 14 and under died as a 
     result of unintentional drowning.
       (3) Adult supervision at all aquatic venues is a critical 
     safety factor in preventing children from drowning.
       (4) Research studies show that the installation and proper 
     use of barriers or fencing, as well as additional layers of 
     protection, could substantially reduce the number of 
     childhood residential swimming pool drownings and near 
     drownings.

     SEC. 1403. DEFINITIONS.

       In this title:
       (1) ASME/ANSI.--The term ``ASME/ANSI'' as applied to a 
     safety standard means such a standard that is accredited by 
     the American National Standards Institute and published by 
     the American Society of Mechanical Engineers.
       (2) Barrier.--The term ``barrier'' includes a natural or 
     constructed topographical feature that prevents unpermitted 
     access by children to a swimming pool, and, with respect to a 
     hot tub, a lockable cover.
       (3) Commission.--The term ``Commission'' means the Consumer 
     Product Safety Commission.
       (4) Main drain.--The term ``main drain'' means a submerged 
     suction outlet typically located at the bottom of a pool or 
     spa to conduct water to a re-circulating pump.
       (5) Safety vacuum release system.--The term ``safety vacuum 
     release system'' means a vacuum release system capable of 
     providing vacuum release at a suction outlet caused by a high 
     vacuum occurrence due to a suction outlet flow blockage.
       (6) Swimming pool; spa.--The term ``swimming pool'' or 
     ``spa'' means any outdoor or indoor structure intended for 
     swimming or recreational bathing, including in-ground and 
     above-ground structures, and includes hot tubs, spas, 
     portable spas, and non-portable wading pools.
       (7) Unblockable drain.--The term ``unblockable drain'' 
     means a drain of any size and shape that a human body cannot 
     sufficiently block to create a suction entrapment hazard.

     SEC. 1404. FEDERAL SWIMMING POOL AND SPA DRAIN COVER 
                   STANDARD.

       (a) Consumer Product Safety Rule.--The requirements 
     described in subsection (b) shall be treated as a consumer 
     product safety rule issued by the Consumer Product Safety 
     Commission under the Consumer Product Safety Act (15 U.S.C. 
     2051 et seq.).
       (b) Drain Cover Standard.--Effective 1 year after the date 
     of enactment of this title, each swimming pool or spa drain 
     cover manufactured, distributed, or entered into commerce in 
     the United States shall conform to the entrapment protection 
     standards of the ASME/ANSI A112.19.8 performance standard, or 
     any successor standard regulating such swimming pool or drain 
     cover.
       (c) Public Pools.--
       (1) Required equipment.--
       (A) In general.--Beginning 1 year after the date of 
     enactment of this title--
       (i) each public pool and spa in the United States shall be 
     equipped with anti-entrapment devices or systems that comply 
     with the ASME/ANSI A112.19.8 performance standard, or any 
     successor standard; and
       (ii) each public pool and spa in the United States with a 
     single main drain other than an unblockable drain shall be 
     equipped, at a minimum, with 1 or more of the following 
     devices or systems designed to prevent entrapment by pool or 
     spa drains that meets the requirements of subparagraph (B):

       (I) Safety vacuum release system.--A safety vacuum release 
     system which ceases operation of the pump, reverses the 
     circulation flow, or otherwise provides a vacuum release at a 
     suction outlet when a blockage is detected, that has been 
     tested by an independent third party and found to conform to 
     ASME/ANSI standard A112.19.17 or ASTM standard F2387.
       (II) Suction-limiting vent system.--A suction-limiting vent 
     system with a tamper-resistant atmospheric opening.
       (III) Gravity drainage system.--A gravity drainage system 
     that utilizes a collector tank.
       (IV) Automatic pump shut-off system.--An automatic pump 
     shut-off system.
       (V) Drain disablement.--A device or system that disables 
     the drain.
       (VI) Other systems.--Any other system determined by the 
     Commission to be equally effective as, or better than, the 
     systems described in subclauses (I) through (V) of this 
     clause at preventing or eliminating the risk of injury or 
     death associated with pool drainage systems.

       (B) Applicable standards.--Any device or system described 
     in subparagraph (A)(ii) shall meet the requirements of any 
     ASME/ANSI or

[[Page 35915]]

     ASTM performance standard if there is such a standard for 
     such a device or system, or any applicable consumer product 
     safety standard.
       (2) Public pool and spa defined.--In this subsection, the 
     term ``public pool and spa'' means a swimming pool or spa 
     that is--
       (A) open to the public generally, whether for a fee or free 
     of charge;
       (B) open exclusively to--
       (i) members of an organization and their guests;
       (ii) residents of a multi-unit apartment building, 
     apartment complex, residential real estate development, or 
     other multi-family residential area (other than a 
     municipality, township, or other local government 
     jurisdiction); or
       (iii) patrons of a hotel or other public accommodations 
     facility; or
       (C) operated by the Federal Government (or by a 
     concessionaire on behalf of the Federal Government) for the 
     benefit of members of the Armed Forces and their dependents 
     or employees of any department or agency and their 
     dependents.
       (3) Enforcement.--Violation of paragraph (1) shall be 
     considered to be a violation of section 19(a)(1) of the 
     Consumer Product Safety Act (15 U.S.C. 2068(a)(1)) and may 
     also be enforced under section 17 of that Act (15 U.S.C. 
     2066).

     SEC. 1405. STATE SWIMMING POOL SAFETY GRANT PROGRAM.

       (a) In General.--Subject to the availability of 
     appropriations authorized by subsection (e), the Commission 
     shall establish a grant program to provide assistance to 
     eligible States.
       (b) Eligibility.--To be eligible for a grant under the 
     program, a State shall--
       (1) demonstrate to the satisfaction of the Commission that 
     it has a State statute, or that, after the date of enactment 
     of this title, it has enacted a statute, or amended an 
     existing statute, and provides for the enforcement of, a law 
     that--
       (A) except as provided in section 1406(a)(1)(A)(i), applies 
     to all swimming pools in the State; and
       (B) meets the minimum State law requirements of section 
     1406; and
       (2) submit an application to the Commission at such time, 
     in such form, and containing such additional information as 
     the Commission may require.
       (c) Amount of Grant.--The Commission shall determine the 
     amount of a grant awarded under this title, and shall 
     consider--
       (1) the population and relative enforcement needs of each 
     qualifying State; and
       (2) allocation of grant funds in a manner designed to 
     provide the maximum benefit from the program in terms of 
     protecting children from drowning or entrapment, and, in 
     making that allocation, shall give priority to States that 
     have not received a grant under this title in a preceding 
     fiscal year.
       (d) Use of Grant Funds.--A State receiving a grant under 
     this section shall use--
       (1) at least 50 percent of amounts made available to hire 
     and train enforcement personnel for implementation and 
     enforcement of standards under the State swimming pool and 
     spa safety law; and
       (2) the remainder--
       (A) to educate pool construction and installation companies 
     and pool service companies about the standards;
       (B) to educate pool owners, pool operators, and other 
     members of the public about the standards under the swimming 
     pool and spa safety law and about the prevention of drowning 
     or entrapment of children using swimming pools and spas; and
       (C) to defray administrative costs associated with such 
     training and education programs.
       (e) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Commission for each of fiscal years 
     2009 and 2010 $2,000,000 to carry out this section, such sums 
     to remain available until expended. Any amounts appropriated 
     pursuant to this subsection that remain unexpended and 
     unobligated at the end of fiscal year 2010 shall be retained 
     by the Commission and credited to the appropriations account 
     that funds enforcement of the Consumer Product Safety Act.

     SEC. 1406. MINIMUM STATE LAW REQUIREMENTS.

       (a) In General.--
       (1) Safety standards.--A State meets the minimum State law 
     requirements of this section if--
       (A) the State requires by statute--
       (i) the enclosure of all outdoor residential pools and spas 
     by barriers to entry that will effectively prevent small 
     children from gaining unsupervised and unfettered access to 
     the pool or spa;
       (ii) that all pools and spas be equipped with devices and 
     systems designed to prevent entrapment by pool or spa drains;
       (iii) that pools and spas built more than 1 year after the 
     date of the enactment of such statute have--

       (I) more than 1 drain;
       (II) 1 or more unblockable drains; or
       (III) no main drain;

       (iv) every swimming pool and spa that has a main drain, 
     other than an unblockable drain, be equipped with a drain 
     cover that meets the consumer product safety standard 
     established by section 1404; and
       (v) that periodic notification is provided to owners of 
     residential swimming pools or spas about compliance with the 
     entrapment protection standards of the ASME/ANSI A112.19.8 
     performance standard, or any successor standard; and
       (B) the State meets such additional State law requirements 
     for pools and spas as the Commission may establish after 
     public notice and a 30-day public comment period.
       (2) No liability inference associated with state 
     notification requirement.--The minimum State law notification 
     requirement under paragraph (1)(A)(v) shall not be construed 
     to imply any liability on the part of a State related to that 
     requirement.
       (3) Use of minimum state law requirements.--The 
     Commission--
       (A) shall use the minimum State law requirements under 
     paragraph (1) solely for the purpose of determining the 
     eligibility of a State for a grant under section 1405 of this 
     Act; and
       (B) may not enforce any requirement under paragraph (1) 
     except for the purpose of determining the eligibility of a 
     State for a grant under section 1405 of this Act.
       (4) Requirements to reflect national performance standards 
     and commission guidelines.--In establishing minimum State law 
     requirements under paragraph (1), the Commission shall--
       (A) consider current or revised national performance 
     standards on pool and spa barrier protection and entrapment 
     prevention; and
       (B) ensure that any such requirements are consistent with 
     the guidelines contained in the Commission's publication 362, 
     entitled ``Safety Barrier Guidelines for Home Pools'', the 
     Commission's publication entitled ``Guidelines for Entrapment 
     Hazards: Making Pools and Spas Safer'', and any other pool 
     safety guidelines established by the Commission.
       (b) Standards.--Nothing in this section prevents the 
     Commission from promulgating standards regulating pool and 
     spa safety or from relying on an applicable national 
     performance standard.
       (c) Basic Access-Related Safety Devices and Equipment 
     Requirements To Be Considered.--In establishing minimum State 
     law requirements for swimming pools and spas under subsection 
     (a)(1), the Commission shall consider the following 
     requirements:
       (1) Covers.--A safety pool cover.
       (2) Gates.--A gate with direct access to the swimming pool 
     or spa that is equipped with a self-closing, self-latching 
     device.
       (3) Doors.--Any door with direct access to the swimming 
     pool or spa that is equipped with an audible alert device or 
     alarm which sounds when the door is opened.
       (4) Pool alarm.--A device designed to provide rapid 
     detection of an entry into the water of a swimming pool or 
     spa.
       (d) Entrapment, Entanglement, and Evisceration Prevention 
     Standards To Be Required.--
       (1) In general.--In establishing additional minimum State 
     law requirements for swimming pools and spas under subsection 
     (a)(1), the Commission shall require, at a minimum, 1 or more 
     of the following (except for pools constructed without a 
     single main drain):
       (A) Safety vacuum release system.--A safety vacuum release 
     system which ceases operation of the pump, reverses the 
     circulation flow, or otherwise provides a vacuum release at a 
     suction outlet when a blockage is detected, that has been 
     tested by an independent third party and found to conform to 
     ASME/ANSI standard A112.19.17 or ASTM standard F2387, or any 
     successor standard.
       (B) Suction-limiting vent system.--A suction-limiting vent 
     system with a tamper-resistant atmospheric opening.
       (C) Gravity drainage system.--A gravity drainage system 
     that utilizes a collector tank.
       (D) Automatic pump shut-off system.--An automatic pump 
     shut-off system.
       (E) Drain disablement.--A device or system that disables 
     the drain.
       (F) Other systems.--Any other system determined by the 
     Commission to be equally effective as, or better than, the 
     systems described in subparagraphs (A) through (E) of this 
     paragraph at preventing or eliminating the risk of injury or 
     death associated with pool drainage systems.
       (2) Applicable standards.--Any device or system described 
     in subparagraphs (B) through (E) of paragraph (1) shall meet 
     the requirements of any ASME/ANSI or ASTM performance 
     standard if there is such a standard for such a device or 
     system, or any applicable consumer product safety standard.

     SEC. 1407. EDUCATION PROGRAM.

       (a) In General.--The Commission shall establish and carry 
     out an education program to inform the public of methods to 
     prevent drowning and entrapment in swimming pools and spas. 
     In carrying out the program, the Commission shall develop--
       (1) educational materials designed for pool manufacturers, 
     pool service companies, and pool supply retail outlets;
       (2) educational materials designed for pool owners and 
     operators; and
       (3) a national media campaign to promote awareness of pool 
     and spa safety.
       (b) Authorization of Appropriations.--There are authorized 
     to be appropriated to the Commission for each of the fiscal 
     years 2008 through 2012 $5,000,000 to carry out the education 
     program authorized by subsection (a).

     SEC. 1408. CPSC REPORT.

       Not later than 1 year after the last day of each fiscal 
     year for which grants are made under section 1405, the 
     Commission shall submit to Congress a report evaluating the 
     implementation of the grant program authorized by that 
     section.

                      TITLE XV--REVENUE PROVISIONS

     SEC. 1500. AMENDMENT OF 1986 CODE.

       Except as otherwise expressly provided, whenever in this 
     title an amendment or repeal is expressed in terms of an 
     amendment to, or repeal

[[Page 35916]]

     of, a section or other provision, the reference shall be 
     considered to be made to a section or other provision of the 
     Internal Revenue Code of 1986.

     SEC. 1501. EXTENSION OF ADDITIONAL 0.2 PERCENT FUTA SURTAX.

       (a) In General.--Section 3301 (relating to rate of tax) is 
     amended--
       (1) by striking ``2007'' in paragraph (1) and inserting 
     ``2008'', and
       (2) by striking ``2008'' in paragraph (2) and inserting 
     ``2009''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to wages paid after December 31, 2007.

     SEC. 1502. 7-YEAR AMORTIZATION OF GEOLOGICAL AND GEOPHYSICAL 
                   EXPENDITURES FOR CERTAIN MAJOR INTEGRATED OIL 
                   COMPANIES.

       (a) In General.--Subparagraph (A) of section 167(h)(5) 
     (relating to special rule for major integrated oil companies) 
     is amended by striking ``5-year'' and inserting ``7-year''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to amounts paid or incurred after the date of the 
     enactment of this Act.

                       TITLE XVI--EFFECTIVE DATE

     SEC. 1601. EFFECTIVE DATE.

       This Act and the amendments made by this Act take effect on 
     the date that is 1 day after the date of enactment of this 
     Act.


                     Motion Offered by Mr. Dingell

  Mr. DINGELL. Mr. Speaker, pursuant to House Resolution 877, I offer a 
motion.
  The SPEAKER pro tempore. The Clerk will designate the motion.
  The text of the motion is as follows:

       Mr. Dingell moves that the House concur in the Senate 
     amendment to the House amendment to the Senate amendment to 
     the text of H.R. 6.

  The SPEAKER pro tempore. Pursuant to House Resolution 877, the 
gentleman from Michigan (Mr. Dingell) and the gentleman from Texas (Mr. 
Barton) each will control 30 minutes.
  The Chair recognizes the gentleman from Michigan.


                             General Leave

  Mr. DINGELL. Mr. Speaker, I ask unanimous consent that all Members 
may have 5 legislative days in which to revise and extend their remarks 
and to insert extraneous material on the bill under consideration.
  The SPEAKER pro tempore. Is there objection to the request of the 
gentleman from Michigan?
  There was no objection.

                              {time}  1200

  Mr. DINGELL. Mr. Speaker, at this time, I yield 1 minute to my 
friend, the distinguished majority leader of the House, the gentleman 
from Maryland (Mr. Hoyer).
  Mr. HOYER. Mr. Speaker, this is a historic day for the House of 
Representatives; it's a historic day for the Dean of the House; it's a 
historic day for the leadership of this House; and it will be, I think, 
viewed as a very important day for America and our energy independence 
and for our effort to keep our environment sustainable.
  I want to thank and congratulate the chairman of the Energy and 
Commerce Committee. I said this when we last considered the bill on 
this floor; no Member of this body has focused more on energy and 
energy policy, energy independence, throughout the years than has the 
chairman of the Energy and Commerce Committee, Mr. Dingell.
  Save for his singular focus on ensuring the health of all Americans 
and their availability of affordable health care, quality health care, 
his focus on energy and energy independence and efficient use of energy 
has been unmatched, and I congratulate him for that.
  As he said when this bill passed out of the House, it wasn't the 
perfect bill. There are many of us in this House who would have hoped 
that the Senate would not have removed some of the items that were in 
this bill when it came from the House.
  Having said that, Mr. Speaker, this landmark bipartisan legislation, 
the Energy Independence and Security Act, represents a vital turning 
point for our Nation and a historic accomplishment for this Congress.
  Today, we set a new direction for this country in the area of energy 
policy. Our Nation's energy policy is inextricably linked to our 
national security, our economic security, and our environmental well-
being.
  And, I have long believed that we must summon our national will, 
resources and ingenuity to make significant gains in technology, 
conservation, vehicle efficiency, and the use of alternative fuels in 
order to end our reliance on foreign oil and other important sources of 
energy. To that extent, this bill was and remains a vital national 
security interest.
  With this legislation, we will move toward real energy independence 
that results in a stronger economy, more jobs, and healthier 
communities. The Chairs and ranking members that worked tirelessly to 
produce this bill are also to be congratulated.
  Under the leadership of Chairman Dingell, as I have said, this bill 
includes historic fuel economy, renewable fuels, and energy efficiency 
provisions.
  The increase in the fuel efficiency of vehicles to 35 miles per 
gallon by 2020 is the first in a generation, and is supported by 
environmentalists and the automobile industry, in no small part because 
of the work of Chairman Dingell.
  Furthermore, it will result in $22 billion in net annual consumer 
savings by 2020 and reduce greenhouse gases in an amount equal to 
taking off the road 28 million of today's average cars and trucks.
  Among other things, this bill will reduce our reliance on foreign oil 
by investing in the production and infrastructure needed to deploy 
homegrown biofuels. It provides incentives for plug-in hybrid cars. And 
it includes landmark energy efficiency provisions that will save 
consumers and businesses at least $300 billion through 2030.
  Let no one be mistaken, this bill, while comprehensive, does not 
represent the totality of our energy policy. There is still much more 
to do, and we will be about that business.
  For example, we should take up legislation to establish a renewable 
portfolio standard and extend the production tax credit, and do so 
promptly. We also should continue to work across the aisle and with the 
Senate to reach further consensus on issues such as the use of 
renewables, the development of new technologies, and the fiscally 
responsible extension of needed energy tax provisions.
  Mr. Speaker, when we started this session, we started it on a 
historic note and swore in the first woman Speaker in the history of 
America, in the history of this House of over 200 years. As she was 
sworn in, we had literally scores of children who surrounded the 
Speaker. And she intoned that this would be the ``children's 
Congress,'' it would be the ``children's Congress,'' and it would look 
to the future, not the past. And this bill looks to the future of 
energy use, of energy efficiency, of energy security, and of the health 
of this tiny globe on which all of us survive and hopefully thrive.
  Mr. Speaker, this legislation is a historic turning point in 
America's energy policy. And I urge all of my colleagues on both sides 
of the aisle, for our children, for our future, for our security, vote 
for this historic piece of legislation.
  I thank the gentleman for yielding me the time.
  Mr. BARTON of Texas. Mr. Speaker, I yield myself 4 minutes.
  Mr. Speaker and Members of the House, it's interesting how different 
people can see the same set of circumstances and come to totally 
different conclusions.
  In the last Congress, we passed the Energy Policy Act of 2005 on a 
bipartisan basis. There were open markups in the House and the Senate. 
There was an open conference committee that was televised in some 
cases. We had, I believe, a majority of the Democrats vote for that 
bill on the House floor, a majority of the Democrats in the Senate, and 
obviously almost all the Republicans in both bodies. It was the most 
comprehensive energy bill to be signed into law in probably the last 30 
or 40 years.
  Many of the things in that bill are going to be undone if and when 
this bill passes and the President signs it, which he is expected to do 
so. I understand the consequences of elections. I understand there is a 
new majority. I do not understand how what made sense 2 years ago 
doesn't make sense today.

[[Page 35917]]

  Let's take the issue of fuel economy standards. If there is a crown 
jewel in this bill, it apparently is that we're going to raise CAFE 
standards significantly for the first time in 30 years. On the surface, 
that may appear to be a good thing, but let me point out a few things.
  There are over 350 models of automobiles and trucks that are 
currently available for sale to the American public. There are only 
eight vehicles that get 35 miles to the gallon. They are the Honda Fit, 
the Honda Civic, the Honda Civic Hybrid, the Toyota Yaris, both manual 
and automatic, Toyota Corolla, Toyota Camry Hybrid, and the Toyota 
Prius. That's it.
  Now, let's look at the top eight selling vehicles that the American 
public have bought so far this year. Number one is the Ford F-series 
pickup. Number two is the Chevrolet Silverado pickup. Number three is 
the Toyota Camry, not the Camry Hybrid. Number four is the Dodge Ram 
pickup. Number five is the Honda Accord. Number six is the Toyota 
Corolla. Number seven is the Honda Civic. Number eight is the Nissan 
Altima. Only two or three of those get 35 miles to the gallon.
  I will stipulate, as smart as our engineers in Detroit are, it is 
going to be very, very difficult, if not impossible, for the Ford F-
series pickups, the Chevy Silverado and the Dodge Ram pickup to get 35 
miles to the gallon by the year 2020.
  There are vehicles that meet the standard. Some of those make the top 
list of sales, but three of the top four do not. I will stipulate by 
setting the standard at 35 miles to the gallon, will we improve fuel 
economy? Yes, we will. Will we reach the holy grail of 35 miles per 
gallon on a fleet average by 2020? If I had to guess, I would bet we'll 
be back on this floor within the next 10 years providing for an 
extension of that because I think it's going to be technologically very 
difficult, if not impossible. And I think economically it's not going 
to be possible at all.
  What the bill before us is is a mandatory conservation bill. Now, 
conservation in and of itself is a good thing. I won't deny that. But 
conservation without some supply is a bad thing, and that's what this 
bill is. We're preempting State and local building codes with Federal 
building standards for so-called ``green buildings.'' We're mandating 
35 billion gallons of alternative fuels that right now the technology 
simply doesn't exist. Hopefully our engineers and scientists can make 
that happen, but what if they don't?
  We are also basically just changing the way that we operate in a 
market economy for energy in this country to the government knows the 
best and the government is going to tell the American people what's 
best for them, whether the American people like it or not. I think 
that's a mistake, Mr. Speaker. And for that reason, I would hope we 
vote against the bill.
  Mr. DINGELL. Mr. Speaker, I yield myself 3 minutes.
  Mr. Speaker, the legislation before us today takes measurable and 
concrete steps to reduce energy consumption and greenhouse gas 
emissions. Most importantly, it is a piece of legislation that will be 
signed into law by the President. And as such, it represents a glimmer 
of hope that we will be able to get beyond the gridlock that has 
afflicted us for far too long in far too many areas.
  Despite the birth pains of this legislation, and there have been 
many, it is a good bill. Is it a perfect bill? No. But it is good 
enough to be supported by the Members. More has to be done, and we will 
do it. This is, then, a good bill. Its core is a series of requirements 
that will improve energy efficiency of almost every product and tool 
and appliance that is used in the United States from light bulbs to 
light trucks. We are requiring a 40 percent increase in the fuel 
economy of our motor vehicles, and we are doing it in a way that gives 
manufacturers the flexibility they need to get the job done while 
preserving American jobs.
  Congress is establishing specific numbers and targets, including new 
categories of vehicles, in a comprehensive approach to fuel efficiency. 
Along with the efficiency standards for homes, appliances and lighting, 
we will be removing from the atmosphere 10 billion tons or more of 
carbon dioxide from the atmosphere by 2030. That is the equivalent of 
taking all cars, trucks and planes off the road and out of the skies 
for 5 years.
  This legislation is not the final word on energy security or climate 
change. We will be needing to do more, and we will. To be specific, I 
believe that it is possible for us to craft renewable energy 
requirements for electrical utilities, something which was dropped in 
the final stages of the bill because of the imperfections of the 
Senate's work, and a low carbon fuel standard. These are matters we 
will be addressing next year as we craft comprehensive climate change 
legislation on which the Committee on Energy and Commerce is now 
working. But that takes nothing away from today's achievement, which 
represents solid accomplishment and an essential downpayment towards 
reducing our dependence on foreign sources of oil and reducing 
greenhouse emissions.
  Mr. Speaker, I reserve the balance of my time.
  Mr. BARTON of Texas. Mr. Speaker, I yield 2 minutes to the 
distinguished gentleman from Rockwall, Texas, Mr. Ralph Hall.
  Mr. HALL of Texas. Mr. Speaker, I rise today, of course, in 
opposition to the Senate amendment to H.R. 6. And as I've said before 
on many occasions, I think our colleagues on the other side of the 
aisle have really missed an opportunity to pass energy legislation that 
would actually do something to produce and enhance supplies of domestic 
sources of energy.
  The bill before us today does absolutely nothing. It doesn't produce 
a barrel of oil. And I'm from an energy State. Ten of our States are 
energy States. I don't see how anybody from energy States can vote for 
a bill that calls itself an energy bill that doesn't produce any 
energy.
  It's really a sad day. But it's not sad for people my age and the 
people of the average age of this body here. It's sad for those juniors 
and seniors in high school and those in early college, those that might 
be called on to go overseas and take energy away from someone when we 
have plenty right here at home which we could be mining.
  It's sad that we're not hitting ANWR. It's sad that we're depending 
on Saudi Arabia for 40 percent of our energy and 20 percent from other 
Arab nations when they don't like us and we don't like them and we 
don't trust them.
  This is a bill that will put our children on troop ships to go 
somewhere to take oil or gas or energy away from countries when we 
don't have to. We have plenty right here in this country. But we're 
turning our backs on the young people of this Nation, and we ought to 
be ashamed for it.
  This is a lousy bill. It's a bad energy bill. It should be defeated. 
It won't be defeated. But I certainly ask everybody to vote against it.

                              {time}  1215

  Mr. DINGELL. Mr. Speaker, before I yield to my good friend, the next 
speaker, I want to say a word of gratitude and praise for our 
distinguished majority leader who leads us so well. Mr. Hoyer is an 
outstanding Member of this body, and I express my personal gratitude, 
affection and respect for him.
  At this time I yield 3 minutes to the distinguished chairman of the 
subcommittee, Mr. Boucher, who has worked so hard and so diligently on 
this legislation.
  Mr. BOUCHER. I thank the gentleman from Michigan for yielding.
  Mr. Speaker, I rise in support of the Senate amendment now pending 
before the House, and I urge its approval by the House. We are poised 
today to make a landmark advance in national energy policy. By 2020, 
vehicle fuel economy will increase by 40 percent, reaching 35 miles per 
gallon when averaging together cars and light trucks.
  I want to commend Chairman Dingell of our Energy and Commerce 
Committee and the outstanding committee staff who have worked so long 
and hard in order to bring this advance before the House today in the 
form of legislation that has a bipartisan base

[[Page 35918]]

of support and that, in fact, will be signed by the President.
  Under our energy efficiency provisions, future greenhouse gas 
emissions will be lessened by 10 billion tons over the next two 
decades. In the year 2030 alone, our efficiency provisions will reduce 
CO2 emissions by an amount equal to the annual emissions of 
all of the cars and trucks on America's highways today and the 
grounding of all airplanes now flying in the United States for a total 
of 5 years.
  We make more than 40 separate energy efficiency improvements. They 
set new standards for lighting many multiples beyond today's 
requirements. They set higher standards for future models of an array 
of consumer products from refrigerators to freezers to dishwashers to 
clothes washers to residential boilers, electric motors and electric 
fans. They create a process to capture much of the heat that is wasted 
today in America's industrial operations, enabling us to generate 
potentially as much as 60 gigawatts of electricity from that wasted 
industrial heat; and that could be done without emitting any carbon 
dioxide beyond what is emitted today.
  The bill that we bring to the House creates a Federal support policy 
in support of a smart grid and electricity demand response leading to 
the day when homeowners can save money by consuming more electricity at 
times of lower demand when prices are less and then not consuming 
electricity during the high peak hours when electricity is considerably 
more costly. We promote plug-in hybrids and advanced auto batteries to 
bring closer the day when most transportation in the United States will 
be electrically powered.
  The bill requires a major increase in the use of biofuels, enhancing 
our energy security and further reducing greenhouse gas emissions.
  The measure is a landmark energy achievement, and I strongly 
encourage its adoption.
  Mr. Speaker, I want to commend the Speaker of the House, Ms. Pelosi, 
who from the day that she took office as our Speaker has strongly 
encouraged this energy advance. I don't think it would have happened 
without her strong leadership. And I again want to thank the chairman 
of the Energy and Commerce Committee for all of the work he has done 
and the landmark achievements that this bill represents.
  Mr. BARTON of Texas. Mr. Speaker, I yield 1 minute to the gentleman 
from California (Mr. Campbell).
  Mr. CAMPBELL of California. Mr. Speaker, I spent 25 years in the 
retail car business, so I know a little bit about cars and fuel 
economy. I support this bill because it is an effective compromise that 
will move us towards less dependence on foreign oil while still 
allowing manufacturers to build cars and trucks that people will want 
to buy.
  This bill clearly represents Congress's intent for fuel economy 
standards to be regulated through NHTSA, the National Highway Traffic 
Safety Administration. Other agencies, like the EPA, may also stake a 
claim for fuel economy standards. If they do, it would clearly make no 
sense for them to establish a different standard than the one being 
authorized by Congress today. The President said so in an executive 
order in May, and Congress is saying so today.
  Anything any other agency may do must be consistent and harmonized 
with this act. There can and should be only one national fuel economy 
standard, and this is it. With this standard, consumers can look 
forward in the future to cars and trucks with the room and performance 
that they want, but with the fuel economy and alternative fuels that we 
need.
  Mr. DINGELL. Mr. Speaker, I want to yield the gentleman 30 seconds.
  Mr. CAMPBELL of California. Thank you, Mr. Chairman.
  Mr. DINGELL. I just want to say a word of gratitude to the gentleman 
from California for the fine work he has done on this matter and how 
much the country owes him for his labors on this.
  I also want to say a word of praise for both Mr. Hill and Mr. Terry 
who have done a superb job in working for a better piece of 
legislation.
  I want the gentleman to be aware of my personal gratitude and 
appreciation. I think the country also will have reason to thank the 
gentleman.
  Mr. CAMPBELL of California. I thank the chairman very much for those 
comments. And as I said, I think what we have reached here is an 
effective compromise. People will be able to buy cars and trucks if 
they want. But we will also be moving fuel economy forward.
  Mr. DINGELL. Mr. Speaker, I yield 3 minutes to the distinguished 
gentleman, my good friend from California (Mr. George Miller).
  Mr. GEORGE MILLER of California. I thank the chairman for yielding me 
this time, and I want to join with my colleagues in thanking him so 
much for all of his leadership on this legislation, his knowledge of 
the subject matter, and his ability to work out the intricacies in what 
may be the longest-standing battle in the Congress, and that is on fuel 
economies. But he has put together a standard that will work for the 
consumers, it will for the environment, it will work for the auto 
industry, and it will work for the people who work in that industry.
  And, Mr. Dingell, I want to thank you for that. I also want to join 
in thanking the Speaker of the House of Representatives for making this 
her most important priority for this legislation, to give us an 
opportunity, this Congress and the American public, to break with the 
past, to break with the stranglehold of the old way of thinking both 
about our transportation sector and about our energy sector, to 
introduce into that sector the competition of alternative energy 
sources, of renewable energy sources, of efficient automobiles that 
will change America dramatically.
  Whereas, we know, with this legislation, many have said it, by 2030 
it will save almost 4 million barrels a day. That is almost the 
equivalent of the output of this entire Nation. You can keep thinking 
that you can produce your way out of this problem, but it has shown 
that we can't. We continue to become more and more reliant on 
questionable sources of energy, and yet this legislation itself will 
produce, just the automobile standards will produce half of what we 
import from the Persian Gulf. This changes that dramatically. You can 
find oil in conservation. You can find oil in Detroit. Or you can find 
it in the Persian Gulf. We chose to go in the smart direction, to think 
about conservation, not only its impact on energy, but on the 
environment and on the pocketbook of the American public.
  Four million barrels of oil a day saved by 2030, five times the 
output of the Alaska pipeline today, five times. It is like finding 
money in the street and oil in the street. It doesn't mean we won't 
continue to produce, but it means we are going to be very smart about 
oil production in this country and about the use of energy on behalf of 
this Nation.
  I also wanted to mention that we address the jobs that are going to 
be created by this commitment to renewables, this commitment to 
alternative energy sources, whether it is in nuclear, whether it is in 
coal, whether it is in the automobile industry or in the renewables 
sources, and that was the green jobs bill to provide training and 
expertise for people in solar panel manufacturing, construction work, 
and renewable energy and initiatives. Those are very important. Those 
were reported out of the Committee on Education and Labor and were 
championed by Congresswoman Hilda Solis and by Congressman John Tierney 
on that legislation.
  This legislation has a potential to create millions of new jobs in 
new industries of the future in every geographical sector of America, 
not just confined to the old centers of manufacturing, but all across 
this country for new high-skilled jobs for the future.
  Mr. BARTON of Texas. I would like to yield 3 minutes to the gentleman 
from Pennsylvania (Mr. Peterson).
  Mr. PETERSON of Pennsylvania. I'm not opposed to CAFE. I'm not 
opposed to fuel efficiency. I'm not opposed to biofuels. But, folks, 
you are overselling them. We have an energy crisis today, not 5 years 
from now. OPEC told us

[[Page 35919]]

last week no more oil, get used to $90 to $100 oil. Today it is $92. 
Today we have the highest home heating costs ever, the highest diesel 
costs ever, the highest gasoline costs ever. The poor and middle class 
of this country are struggling to heat their homes and afford to drive.
  Under this bill, foreign dependence will not decrease. It is 
currently at 66 percent, and for the last 10 years, for the last 10 
years, 2 percent a year, dependence, 2 percent a year, folks, it is 
going to continue for the next 5 because this doesn't produce energy 
for 5. If this continues, 76 percent of our energy will be foreign 
dependent.
  The gentlemen from Massachusetts and California stated we will save 4 
million barrels a day with CAFE and biofuels today combined. Not now. 
Not in 5 years, but by 2030. That is 23 years. Our increase in energy 
need from population growth alone will be greater than that. We grew 5 
billion barrel a day in the last 25 years in need for oil. This will 
have no impact for 5 years. Can Americans afford no relief for 5 years? 
$90 to $100 oil can sink the economy of this country. Every recession 
has been energy related. This country is on the verge of going into a 
recession because of energy prices. As we conserve and become more 
efficient, we must have more energy also, produce the Outer Continental 
Shelf, Alaska, and the Midwest and lessen our foreign dependence, 
increase nuclear production of electricity, implement clean coal 
technology, stimulate the production of fuel and gas from coal.
  Our growing need for affordable energy is growing faster than the 
savings in this bill. America expects more of us. They don't want to 
wait 5 years: high home heating costs, high driving costs, the chance 
of their job going abroad. We are going to lose a million or two jobs 
in this country because we have the highest energy prices in the world. 
Our natural gas prices are higher than everybody, and clean, green 
natural gas, which you oppose producing, is the best fuel for America's 
future to get us by this difficult stage we are in.
  Ladies and gentlemen, we need policy that will bring energy to 
Americans so they can afford to live their lives, so they can maintain 
the manufacturing and processing jobs, so we can afford to move our 
goods across this country.
  We are in an energy crisis, folks. This bill does not resolve a 
crisis. It has futuristic things in it. But we are not going to resolve 
the energy crisis in America. People in America expect more of us, and 
we should be delivering more.
  Mr. DINGELL. Mr. Speaker, I yield 2 minutes to the distinguished 
gentlewoman from New York (Ms. Velazquez).
  Ms. VELAZQUEZ. Mr. Speaker, today is a historic day for America. This 
legislation blazes a trail by putting small businesses at the forefront 
of solving our energy problems. It is clear there is no greater 
obstacle to our long-term economic growth than the rising costs of 
energy.
  With this bill, we are not only addressing this challenge today, but 
also for future generations, and leading the effort will be this 
Nation's entrepreneurs. This legislation will enable small farmers to 
produce more clean energy. Small businesses already make up 85 percent 
of the renewable fuels industry, and this ensures they remain viable in 
a global economy. The establishment of the Renewable Fuels Capital 
Investment Company will only increase the number of small firms 
involved in producing ethanol and biodiesel.
  Small manufacturers are also expected to expand their efforts in 
improving energy conservation. With greater access to capital for 
developing clean technologies, these firms can use these resources to 
innovate and create designs to enhance efficiency. When people talk 
about a green economy and green collar jobs, they talk about small 
businesses.
  Mr. Speaker, these reforms sustain and expand the efforts of small 
businesses in adding stability to our energy markets. This will be 
accomplished by reducing energy usage, encouraging conservation and 
limiting greenhouse gas emissions. The bill before us shows that 
meeting the needs of our environment doesn't mean we cannot meet the 
needs of our economy.
  In short, Mr. Speaker, I commend the leadership on this important 
bill, support its immediate passage, and urge the President to sign 
this into law.

                              {time}  1230

  Mr. BARTON of Texas. Mr. Speaker, I yield 2 minutes to a member of 
the Energy and Commerce Committee, the gentlewoman from Nashville, 
Tennessee, Congresswoman Blackburn.
  Mrs. BLACKBURN. I thank our ranking member from Texas.
  I find it so interesting, Mr. Speaker, that so many of our colleagues 
refer to this as a historic day. I think, in some regards, it certainly 
is. Certainly the New York Times regards it as a historic day, and I 
quote from the New York Times this morning where they say, and I am 
quoting, ``This is one of the most ambitious dictates ever issued to 
American business.''
  Now, Mr. Speaker, I think that that happens, because in this 805 
pages, the 16 titles of this bill, we don't do anything to produce 
energy, and this is not a bill that is focused on energy independence. 
But what it does do is pick winners and losers, Mr. Speaker, and that 
is something that the American people and American business are going 
to realize very, very quickly.
  Now, I also find it interesting, and I think it is historic from 
another point of view. What has happened to the price of gas at the 
pump since the majority took control in January? Since that time, it 
has gone up by over 33 percent, and we know that our families are 
feeling it more. In January, an average mom in Tennessee's Seventh 
Congressional District that I have the honor to represent paid about 
$34 to fill up her 15-gallon tank. Today, she is paying $45. Moving us 
toward energy independence should be a goal for this Congress, and it 
is unfortunate, and maybe it could be termed historic, that this is a 
piece of legislation in 805 pages that is not going to do that.
  So we are seeing those prices increase. That mom is going to spend an 
extra $528 this year in order to fill up that pump. So what we should 
be doing is focusing on how we best move this Nation to energy 
independence, how we best achieve that goal, and how we best represent 
our constituents.
  Mr. DINGELL. Mr. Speaker, at this time I yield 2 minutes to the 
distinguished gentleman from Minnesota, the chairman of the Agriculture 
Committee, my good friend, Mr. Peterson.
  Mr. PETERSON of Minnesota. I thank the gentleman.
  First of all, I want to rise to commend Chairman Dingell for the 
outstanding work that he did on this legislation. He, once again, 
produced a good bill that can be signed, as he always does. I also want 
to commend the Speaker, the rest of our leadership; the Speaker, 
especially, for her focus, or we wouldn't probably be here today.
  As chairman of the Ag Committee, the most important part of this bill 
is the renewable fuel standard. I want to thank the chairman for 
putting a 9-billion-gallon standard in for next year on ethanol. We 
have gotten to the point of 7 billion gallons of production right now. 
The RFS is 5 billion. In order to keep this industry going, we need 
this 9-billion RFS next year. So this is going to get us back on track.
  We have a 36-billion-gallon number in the overall bill. What this RFS 
does with the 9 billion for ethanol, and 500 million, up to a billion 
for biodiesel, it will set the stage for the next generation of 
ethanol, which is going to be cellulosic, and for new feedstocks for 
biodiesel.
  So when you take this bill and put it together with what we have put 
in the farm bill, this is going to set the stage for us to be able to 
produce at least 30 percent of our fuel from agriculture down the road. 
We are not going to be the total solution to this problem, though we 
are going to be a big part of the solution, and we are excited about 
being involved in this process and making this happen.
  So this is a historic day. This is going to be a tremendous boost for 
us in agriculture. We just want to thank the chairman and all the 
members that

[[Page 35920]]

worked on this. It's a good piece of legislation, and I encourage my 
colleagues to support it.
  Mr. BARTON of Texas. Mr. Speaker, I would like to yield 3 minutes to 
the distinguished gentleman from the great State of Alaska, former 
chairman of the Transportation Committee and the Natural Resources 
Committee, Mr. Young.
  Mr. YOUNG of Alaska. My friends, it's not very hard to understand why 
our country is facing an energy crisis; in fact, it's very simple. 
America needs more oil, gas, coal, nuclear and hydropower. We need more 
wind power. But Congress has refused to unlock these resources. This 
bill does nothing to release those resources allowed to provide us with 
the energy. It concentrates on corn, switchgrass, and a few hybrid 
cars.
  My friends, oil, gas, coal, nuclear and hydropower are the backbone 
of this country. They supply more than 90 percent of our energy needs 
to fuel the world's number one economy. I would add that developing 
them does not raise the price of food, such as corn. There's no 
shortage of these energy resources in America. There is a shortage of 
the will to develop them. In fact, the majority leadership of this 
body, the last two Democrat Presidents and their allies in the 
environmental movement have created a false energy shortage through 
their constant attempts to lock up homegrown energy.
  Let me give you a few examples. They want to ban all offshore oil and 
gas development. They oppose U.S. oil production of North America's 
largest onshore prospect. They stopped oil and shale development in the 
omnibus spending bill. They opposed coal, and even applauded when 
President Clinton locked up millions of tons of clean fuel in Utah. 
They want the tens of trillions of cubic feet of clean-burning natural 
gas in the Rocky Mountains locked up forever. They oppose nuclear power 
plants; they, being the majority party. They oppose hydroelectric 
power. They even want to tear down nonpolluting hydroelectric dams in 
the Northwest.
  They want to impose high taxes on the use of energy, driving energy 
prices paid by your constituents to even higher than they are today. 
They even oppose using biomass of overgrown, unhealthy forests as a 
renewable fuel supply. In particular, the biofuel mandate in this bill 
is a direction to burn down forests and close more mills in the West.
  More than half of Alaska's Federal land, and we have enormous 
potential for a biofuels industry; this bill stops all of that. This 
bill will hold Alaska to the highest standards. Alaskans would be 
forced to purchase the most efficient, read the most expensive, 
appliances. The residents of the wealthy district in San Francisco have 
money to buy the most efficient, expensive furnaces and air 
conditioners, and I would bet most of them are inclined to spend their 
money on them. Many Alaskans, however, cannot afford to spend the extra 
$200, $300, $400 for the most efficient furnaces. Under this bill, they 
will have to. In a survey of 100 Alaskan communities, the average price 
of gas is $5 a gallon.
  The majority leader is playing Russian roulette with the economy. 
This year, every bill we've passed concerning energy is another bullet 
in the chamber of a gun staring point-blank at America's head, and by 
my count, it's already fully loaded.
  This is a bad bill. It's a charade. It's a disgrace for this body to 
vote ``yes'' for this bill. I am urging us to vote ``no.''
  Mr. DINGELL. Mr. Speaker, at this time I yield 2 minutes to the 
distinguished gentleman from California, the chairman of the Committee 
on Government Reform, my friend, Mr. Waxman.
  Mr. WAXMAN. Mr. Speaker, I rise in support of this legislation. It's 
a good bill as far as it goes. It's not the best bill. I know we always 
hear statements extolling legislation as if it were the best thing 
since sliced bread. The bill has some very positive features. It will 
give Americans more fuel-efficient automobiles. That could save 
families $700 to $1,000 a year, money that won't be going to the Middle 
East.
  The legislation will give Americans more efficient appliances and 
consumer goods, saving us hundreds of billions of dollars on 
electricity bills over the next few decades. In the House Oversight 
Committee, we reported out a provision in this bill that will 
dramatically improve the efficiency of new and renovated Federal 
buildings and reduce greenhouse gas emissions associated with energy 
use.
  But this bill did not keep the provision adopted in the House for 
renewable energy, renewable energy that would have moved us away from 
burning fossil fuels like natural gas and coal for our electricity. 
That was taken out of the House bill, and then the Senate put in a 
provision that would have enormous loan guarantees for nuclear power 
and the coal industry. So when you look at the balance of what we are 
doing for renewables, it is minuscule compared to what we are putting 
in for loan guarantees for nuclear and coal. Now, that is not in this 
bill, but it is in the omnibus bill, and I am very disappointed in that 
provision.
  I am disappointed that we didn't go further in a lot of other areas, 
but we are going to have to fight for those in the next year. At this 
point, I urge my colleagues to support this legislation. I guess it is 
the best we could do, and it has got some good features in it. On that 
basis, I will vote for the legislation and urge my colleagues to vote 
for it as well.
  Mr. BARTON of Texas. Mr. Speaker, I yield 2 minutes to another 
distinguished member of the committee, the winning pitcher of the 
Republican baseball team, the gentleman from Illinois (Mr. Shimkus).
  Mr. SHIMKUS. Mr. Speaker, legislation is like making sausage. When 
Henry Waxman and John Shimkus come to the floor on an energy bill that 
we grudgingly will support, that is probably newsworthy in itself.
  A couple of things. First, congratulations to Mattoon, Illinois, that 
has been named as the FutureGen site for the next generation of coal-
fired clean emissions plants. I want to put that on the record.
  The benefit of this bill is the tax increase is out of this bill. 
That is a plus. That is less cost to the American consumer. The RFS is 
out of this bill. That is a plus for the consumer. The RFS was unable 
to be met and would have been costly to the consumer. The RFS could 
have been better. It could have been an alternative fuel standard which 
brought in coal-to-liquid technologies that I have talked numerous 
times on the floor about, taking coal, using fossil fuels, turning it 
into clean-burning liquid fuels. That is a fight we will have to bring 
to the floor another time. And the CAFE language is an acceptable 
compromise that industry supports.
  The world will continue to demand more energy, not less. We have to 
focus on more supply. That supply comes from coal. It comes from 
natural gas. It will come from nuclear power. While this bill doesn't 
measure up to the demands that we need in the future, it is an 
acceptable start.
  With that, I will support the bill, but continue to come to the floor 
talking about the importance of bringing coal, nuclear and natural gas 
portfolios to the energy debate; coal-to-liquid technologies, which 
takes a natural resource; a U.S. refinery to fuel our war machines of 
the future, whether that is aviation fuel, whether that is diesel fuel; 
clean-burning technologies that are available today. The majority is 
going to have to wise up and know there has to be more supply in the 
energy debate.
  Mr. DINGELL. Mr. Speaker, I yield 2 minutes to the distinguished 
gentleman from Maryland, a member of the committee, my friend Mr. Wynn.
  Mr. WYNN. Mr. Speaker, let me begin by saying that I rise in strong 
support of this measure. I want to thank our chairman, Mr. Dingell, for 
his excellent work in what was obviously a long and contentious 
process. I want to particularly note the work of the subcommittee 
chairman, Mr. Boucher, the gentleman from Virginia. He did an excellent 
job moving us through this process.
  This bill does several very good things. The underlying philosophy,

[[Page 35921]]

though, is simply this: We all want energy independence. We all want to 
reduce global warming. But the fundamental thing we have to do here in 
America is change the way we live. We have to conserve and we have to 
save, and this bill puts us on the right road to accomplish those two 
goals.
  First, the bill addresses the question of fuel efficiency with a 
compromise that most people can live with, and that is significant 
because we drive a lot of cars in this country, and it is important 
that we get the best fuel economy that we can get.
  We also do some very simple things, such as address the question of 
energy-efficient light bulbs. Everybody uses light bulbs, and we can do 
better. This bill moves us in that direction and encourages the 
development of more energy-efficient lighting.
  Also, in the course of the hearings conducted by the subcommittee 
chairman, Mr. Boucher, we heard the National Conference of Mayors say 
that we need a partnership. If we are serious about energy efficiency 
and all these lofty goals, it is not just a Federal problem. It is a 
Federal, State and local problem, and they urged us to include a block 
grant program to help States and cities and counties participate in the 
issue of energy efficiency.
  That language is in this bill. It is called the Energy Efficiency 
Block Grant Program. It is authorized to the tune of $10 billion. It 
will allow cities to develop comprehensive programs; towns and counties 
to develop programs to create energy efficiency, such as programs for 
homeowners, weatherization programs for seniors, a planning guide for 
green buildings and more efficiency in planning, traffic flow 
improvements. All these things could be done through this block grant 
program.
  The bill is good. It leads us in the right direction. I urge its 
adoption.

                              {time}  1245

  Mr. BARTON of Texas. Mr. Speaker, I yield 2 minutes to the 
distinguished gentleman from the Great State of Enchantment, Mr. Pearce 
of New Mexico.
  Mr. PEARCE. Mr. Speaker, once again we are here to vote on the 
majority's newest No Energy Act, and I stand in opposition to that when 
America is facing the highest energy costs ever. We are here today with 
a bill that mandates plenty, but has no new energy.
  We are told that today is a turning point, and it absolutely is a 
turning point. Last night in that first turning point we took 2 
trillion barrels of American oil off the market. Instead of closing off 
American jobs, we should be working to encourage American energy 
companies to expand their operations building U.S. jobs and cutting 
back on the money we send to the Middle East.
  It is a turning point today if you need the muscle of an SUV or 
strong pickup. You just aren't going to have that if you are a rancher 
or maybe in the oil and gas industry or something in the mining 
industry. It is a turning point for biomass, because we in the West 
have many Federal lands, but we are restricted from taking off biomass 
from those Federal lands by this bill today. It is a turning point for 
conservation, because if you own a 20-room house, 10,000-room mansion 
like Al Gore does, you might be able to afford the new conservation 
techniques that are implied and required in this bill. If you are 
making $25,000 a year, in New Mexico, you probably can't afford that 
replacement furnace.
  Our economy needs an expanded domestic energy supply. We need more 
clean domestic natural gas; we need to open our lands to renewable 
energy development, we need to utilize our domestic oil reserves; and 
we need to develop nuclear energy. And this bill is silent about 
nuclear energy. We need to make energy more affordable by making the 
supply greater.
  Our largest competitor, China, has made that choice. They are 
building one new coal plant each week for the next 10 years. We are 
trying to stop those plants here. It is the most affordable of energy. 
China has doubled their domestic natural gas supply since 2000. How 
different would our economy be? This is a bad bill. We should turn this 
bill down and do what is right for the country.
  Mr. DINGELL. Mr. Speaker, at this time I yield to the distinguished 
member from New Hampshire, the Honorable Ms. Shea-Porter, 2 minutes. 
She is a valuable Member of the body, and we are glad to hear from her.
  Ms. SHEA-PORTER. I thank all those who worked so hard to produce this 
bill.
  Last year, the class of 2006 listened as Americans spoke out 
demanding that we change direction in our energy policy. Americans, 
regardless of their political affiliation, understood that America was 
in an energy crisis, that we were too dependent on foreign oil, that we 
were unable to carry the message of conservation across this land, and 
that we had very poor gas mileage at a time when the technology has 
been in existence for many years. So Americans asked Congress to make 
this change, and we were sent to Washington to do that. And I am 
standing here today so proud to say that this is the day that we are 
going to answer Americans' concerns.
  We have now passed a bill, or will be passing a bill, that is not one 
that has everything that we wanted in it, obviously, but we have the 
direction and we have the energy and we have the resources and we have 
the plan.
  We are increasing the gas mileage. For the first time in over 30 
years we are finally increasing our gas mileage. We are reducing our 
oil dependence on foreign nations. We have been forced to talk to 
foreign nations for our oil. That is the wrong approach in this country 
and an unnecessary approach. We are increasing biofuels, which will be 
our future, and we are growing jobs. This is critical for our economy 
right now. We are expecting that there will be 3 million new jobs 
across America because of our green incentive here.
  We are increasing our energy efficiency, and we are also convincing 
the younger generation that conservation is our future, and that our 
generation is listening to their generation and protecting future 
Americans. I urge my colleagues to recognize what we have done here and 
to support every effort of the legislation, and I thank those who 
brought this to the floor.
  Mr. BARTON of Texas. I yield 3 minutes to the distinguished ranking 
member of the Energy and Air Quality Subcommittee, Mr. Upton, of the 
Wolverine State of Michigan.
  Mr. UPTON. Mr. Speaker, Mr. Waxman lamented on the floor a few 
minutes ago than this was the best that we could do. I am sorry that I 
don't agree with that.
  By the year 2030, our energy needs are going to grow by more than 50 
percent, and none of us, none of us here, none of us in the country are 
happy with the energy prices or our reliance on foreign oil, and all of 
us realize that we have to do a lot more. Just because this is the last 
day or two of the session, to bring up a bill to just say that we 
tackled the energy issue, I don't think is good enough.
  This process was pretty much closed. There were few amendments that 
were allowed in the process. We had no conference. I can remember 
serving on the 2005 energy bill conference with Mr. Dingell and Mr. 
Barton, my chairman then, and together we collectively passed 
bipartisan legislation that we were indeed proud of. But this 
legislation is not as good as we can do. It is not comprehensive. It 
doesn't deal with coal, which provides nearly 50 percent of this 
Nation's energy. It doesn't deal with nuclear power, which today 
provides 20 percent of our Nation's needs. We know that we are going to 
need to build probably about another two dozen nuclear facilities by 
the year 2030 to maintain 20 percent. It does nothing on nuclear.
  RPS, the renewable portfolio standard, I think many of us can support 
that. Maybe not the amendment that passed here in the House that the 
Senate rejected, but there is room for a compromise here. We can do 
things on wind and solar. We didn't even have the opportunity on this 
floor or in committee to really come up with a respectable RPS 
amendment. Coal-to-liquid, there is a bipartisan bill out there that is 
led by Mr. Boucher and Mr. Shimkus, I am a cosponsor, that deals with 
carbon sequestration. Again, it is not part of this bill.

[[Page 35922]]

  Mileage standards. No, it is not a perfect provision. We can all 
support increasing mileage standards. But, again, we missed the 
opportunity to work together to get a bill that in fact could move this 
country forward. Biofuels, we have a biofuel mandate here, but we don't 
have the technology. How are we going to complete the action on this? 
How wise is that? Mr. Speaker, this bill is, frankly, incomplete.
  Now, I am the new ranking member on the Energy and Air Quality 
Subcommittee, and I would like to think that in the days ahead, the 
weeks and months ahead, after this bill in the early new year, that Mr. 
Boucher, my chairman in my subcommittee, Mr. Dingell, the chairman of 
the full committee, and Mr. Barton, my great friend and former chairman 
and now ranking member, can in fact sit down together so that we can 
work on a comprehensive bill that deals with all of these different 
issues that we can then bring back on the House floor and bring back a 
bill that every one of us here can be proud of that will take a giant 
leap in the right direction, rather than taking a baby step here or 
there and somehow saying we have passed it, we have got a Band-Aid, it 
is now done.
  Mr. Speaker, we can all do better than this, and I am sorry that this 
bill is coming to the floor in the shape that it is in.
  Mr. DINGELL. Mr. Speaker, at this time I yield to the distinguished 
gentlewoman from Texas (Ms. Jackson-Lee) for the purpose of a unanimous 
consent request.
  Ms. JACKSON-LEE of Texas. I thank the distinguished chairman. I, 
because of my representation of the energy capital of the world, 
Houston, Texas, support this particular legislation, for it makes a new 
statement about energy.
  Mr. Speaker, first and foremost, I think it is imperative that we all 
agree on the vital importance of America achieving energy independence 
in the 21st century. We must end our addiction to foreign sources of 
oil, most of which are found in regions of the world which are unstable 
and in some cases, opposed to our interests. Accordingly, there is no 
issue more integral to our economic and national security than energy 
independence.
  The Energy Independence and Security Act is important and 
multifaceted legislation which will make substantial strides toward 
energy independence for our Nation, while also encouraging the 
development of innovative new technologies, creating new jobs, reducing 
carbon emissions, protecting consumers, shifting production to clean 
and renewable energy, and modernizing our energy infrastructure.
  I would like to begin by commending the Speaker of the House, Ms. 
Pelosi, for her leadership in introducing this legislation and bringing 
it to the floor. The bill we have before us today builds upon the New 
Energy Independence, National Security, and Consumer Protection Act, of 
which I was a supporter, which passed last summer. This new piece of 
legislation represents Democrats' commitment to bring a comprehensive 
new direction to the people of the United States, a new direction which 
must ensure America's energy independence as well as an America 
conscious of and working to combat global climate change.
  In addition to being from the energy capital of the world, for the 
past 12 years I have been the chair of the Energy Braintrust of the 
Congressional Black Caucus. During this time, I have hosted a variety 
of energy Braintrusts designed to bring in all of the relevant players 
ranging from environmentalists to producers of energy from a variety of 
sectors including coal, electric, natural gas, nuclear, oil, and 
alternative energy sources as well as energy producers from West 
Africa. My Energy Braintrusts were designed to be a call of action to 
all of the sectors who comprise the American and international energy 
industry, to the African American community, and to the Nation as a 
whole.
  Energy is the lifeblood of every economy, especially ours. Producing 
more of it leads to more good jobs, cheaper goods, lower fuel prices, 
and greater economic and national security. Bringing together 
thoughtful yet disparate voices to engage each other on the issue of 
energy independence has resulted in the beginning of a transformative 
dialectic which can ultimately result in reforming our energy industry 
to the extent that we as a nation achieve energy security and energy 
independence.
  Because I represent the city of Houston, the energy capital of the 
world, I realize that many oil and gas companies provide many jobs for 
many of my constituents and serve a valuable need. The energy industry 
in Houston exemplifies the stakeholders who must be instrumental in 
devising a pragmatic strategy for resolving our national energy crisis. 
That is why it is crucial that while seeking solutions to secure more 
energy independence within this country, we must strike a balance that 
will still support an environment for continued growth in the oil and 
gas industry, which I might add, creates millions of jobs across the 
entire country.
  We have many more miles to go before we achieve energy independence. 
Consequently, I am willing, able, and eager to continue working with 
Houston's and our Nation's energy industry to ensure that we are moving 
expeditiously on the path to crafting an environmentally sound and 
economically viable energy policy. Furthermore, I think it is 
imperative that we involve small, minority and women owned, and 
independent energy companies in this process because they represent 
some of the hard working Americans and Houstonians who are on the 
forefront of energy efficient strategies to achieving energy 
independence.
  This unprecedented piece of legislation contains numerous important 
provisions. Specifically, it contains provisions that will require that 
new cars and trucks increase their fuel economy standards to 35 miles 
per gallon by the year 2020. This provision alone is estimated to save 
American families $700 to $1,000 a year at the gas pump. Congress has 
not increased the fuel economy standards since 1975, illuminating the 
historical new direction this Congress is taking to ensure America's 
energy security and independence.
  Furthermore, this important legislation encourages and promotes the 
use of renewable forms of energy produced right here in the United 
States. Not only does it require that 15 percent of our electricity 
come from renewable sources, but it also provides incentives in the 
form of tax credits for those American's who are conscious of their 
energy production and consumption. With America's leading energy 
producers as an integral part of the solution to our current foreign 
energy dependence, we will be able to move forward to a new period in 
which America will be secure in its domestic energy supply.
  According to the U.S. Minerals Management Service, MMS, America's 
deep seas on the Outer Continental Shelf, OCS, contain 420 trillion 
cubic feet of natural gas, the U.S. consumes 23 TCF per year, and 86 
billion barrels of oil, the U.S. imports 4.5 billion per year. Even 
with all these energy resources, the U.S. sends more than $300 billion, 
and countless American jobs, overseas every year for energy we can 
create at home. I believe that we should mandate environmentally safe 
and efficient exploration techniques in the gulf coast which energy 
companies have demonstrated a willingness and capacity to utilize. By 
ensuring access to increasing sources of energy in an environmentally 
conscious way, I believe we can decrease our dependence on foreign oil.
  This bill also contains a crucial international component. Global 
climate change is a truly global problem. It is real; it is imminent; 
and it is our responsibility to work with the rest of the international 
community to develop a coordinated global response to this potentially 
devastating phenomenon. Because this legislation contains an 
unprecedented fuel efficiency standard as well as a renewable 
electricity standard in conjunction with a myriad of energy efficiency 
provisions, it will significantly reduce the carbon dioxide emissions 
of the United States that lead to climate change.
  Furthermore, I support innovative solutions to our national energy 
crisis, such as my legislation which alleviates our dependence on 
foreign oil and fossil fuels by utilizing loan guarantees to promote 
the development of traditional and cellulosic ethanol technology. This 
legislation significantly strengthens and extends existing renewable 
energy tax credits, including solar, wind, biomass, geothermal, hydro, 
landfill gas, and trash combustion. Furthermore, it will bolster 
research on geothermal, solar, and marine renewable energy, providing 
us with the information we need to move forward in the trajectory of 
clean, renewable, and domestically produced energy.
  The Energy Information Administration estimates that the United 
States imports nearly 60 percent of the oil it consumes. The world's 
greatest petroleum reserves reside in regions of high geopolitical 
risk, including 57 percent of which are in the Persian Gulf.
  Replacing oil imports with domestic alternatives such as traditional 
and cellulosic ethanol can not only help reduce the $180 billion that 
oil contributes to our annual trade deficit, it can end our addiction 
to foreign oil. According to the Department of Agriculture, biomass can 
displace 30 percent of our Nation's petroleum consumption.
  Along with traditional production of ethanol from corn, cellulosic 
ethanol can be produced domestically from a variety of feedstocks, 
including switchgrass, corn stalks, and municipal

[[Page 35923]]

solid wastes, which are available throughout our Nation. Cellulosic 
ethanol also relies on its own byproducts to fuel the refining process, 
yielding a positive energy balance. Whereas the potential production of 
traditional corn-based ethanol is about 10 billion gallons per year, 
the potential production of cellulosic ethanol is estimated to be 60 
billion gallons per year.
  In addition to ensuring access to more abundant sources of energy, 
replacing petroleum use with ethanol will help reduce US carbon 
emissions, which are otherwise expected to increase by 80 percent by 
2025. Cellulosic ethanol can also reduce greenhouse gas emissions by 87 
percent. Thus, transitioning from foreign oil to ethanol will protect 
our environment from dangerous carbon and greenhouse gas emissions. 
With its commitment to American biofuels, this legislation calls for a 
significant increase in the Renewable Fuels Standard. It encourages the 
diversification of American energy crops thus ensuring that biodiesel 
and cellulosic sources are key components in America's drive to become 
energy independent.
  This legislation goes further than any previous attempt at securing 
America's energy security by providing incentives and rewards for the 
population for their use and production of renewable energy. It will 
also help the American family in its production of over 3 million green 
jobs over the next 10 years as well as increasing the loan limits that 
will help small businesses develop energy efficient technologies and 
purchases.
  Mr. Speaker, this comprehensive legislation addresses the full range 
of concerns raised by global climate change. It offers wide-ranging 
solutions to the serious problems we, as a nation and as an 
international community, face. It demonstrates the ongoing commitment 
of this Democratic Congress to address these important issues, and to 
provide tangible and beneficial solutions.
  I am proud that through our efforts at compromise, this legislation 
reflects an improvement from H.R. 2776, the Renewable Energy and Energy 
Conservation Tax Act of 2007, which we passed in August. However, I am 
concerned that this legislation still contains provisions repealing tax 
incentives for oil and gas companies which may have a negative effect 
on access to important sources of energy. In particular, I am concerned 
that the domestic manufacturing deduction could discourage new domestic 
oil and natural gas investment by making these investments 
comparatively less competitive than competing foreign investments. 
Moving forward, I think it would be prudent for this Congress to 
consider linking an increase on taxes with an increase in access to 
domestic exploration of available sources of energy, such as the gulf 
coast.
  I urge my colleagues to be balanced and prudent in their approach in 
addressing our energy needs. By investing in renewable energy and 
increasing access to potential sources of energy, I believe we can be 
partners with responsible members of America's energy producing 
community in our collective goal of reaching energy independence.
  Mr. DINGELL. Mr. Speaker, I yield to the distinguished gentleman from 
Indiana (Mr. Hill), who has provided such extraordinary leadership in 
the consideration of this legislation, 2 minutes.
  Mr. HILL. Mr. Speaker, there is an old saying that says, in order to 
travel a thousand miles you have got to take the first step. And this 
is the first step that we are taking on a long road to energy 
independence.
  This is such an important issue, energy independence, and there are 
almost too many people to thank for putting this first step together. 
But I want to begin by thanking the environmental groups and the 
automobile industry for coming together on a compromise on CAFE 
standards. For the first time in 32 years, we are actually increasing 
the fuel efficiencies that car manufacturers must adhere to in terms of 
making a car that travels on better fuel efficiencies. That standard 
has been raised to 35 miles per gallon. And this is a very tough 
standard to attain, but one that the automobile industry says that they 
can do.
  As I said, for the first time in 32 years we have these new standards 
in place, and I think that is a major, major accomplishment.
  In order to travel the other thousand miles, we have got a lot more 
things to do and we have time to do it to make us energy independent. 
But I would like to take the opportunity to thank the chairman of the 
Energy and Commerce Committee, who comes from automobile land in 
Michigan, for stepping forth and making sure that these new standards 
were to become law. Nothing short of big compliments to him for 
stepping up to the plate and making sure that we move forward on these 
new standards.
  This is a new day. This is a good energy bill, one that we are going 
to pass today. These new CAFE standards are something that we should 
all be proud of, and I would again like to thank my coauthor on the 
bill that I introduced, Lee Terry from the great State of Nebraska, for 
helping us move this piece of legislation forward.
  Mr. BARTON of Texas. Mr. Speaker, I yield 2 minutes to one of the 
leading experts in the Congress on the theory of peak oil, Mr. Bartlett 
of Maryland.
  Mr. BARTLETT of Maryland. We have about 1 trillion barrels of 
recoverable known reserves. The undiscovered reserves are going to be a 
relatively small fraction of that. If we could pump those undiscovered 
reserves tomorrow, what would we do the day after tomorrow? And there 
will be a day after tomorrow.
  I have 10 kids, 16 grandkids and two great grandkids. We are leaving 
them a horrendous debt, although not with my votes. Wouldn't it be nice 
to leave them a little oil? I am not anxious to find and exploit these 
undiscovered reserves.
  I really would like to vote for this bill, because we desperately 
need an energy bill. The world, and particularly the United States, 
faces a real challenge on energy in the future. I cannot vote for this 
bill primarily because of the corn ethanol mandate.
  A recent article in The Economist noted that our use of corn for 
ethanol doubled the price of corn about 1 year ago. Farmers then moved 
lands that would have been in soybeans and wheat to corn. We have now 
further increased the cost of corn, and we have increased the cost of 
soybeans and wheat the world around. One of the members of the United 
Nations said that what we have done is a crime against humanity. And 
the effect we have had on gasoline use has been absolutely trifling. 
The National Academy of Sciences says if we converted all of our corn 
to ethanol and discounted for fossil fuel input, it would displace 2.4 
percent of our gasoline.
  Mr. Speaker, this really represents one of those times, as the old 
farmer says, that the juice ain't worth the squeezing. We can do 
better.
  Mr. DINGELL. Mr. Speaker, I reserve the balance of my time.
  Mr. BARTON of Texas. Mr. Speaker, could I inquire as to how much time 
remains on each side.
  The SPEAKER pro tempore. The gentleman from Texas has 6\1/2\ minutes 
remaining; the gentleman from Michigan has 8\1/2\ minutes.
  Mr. BARTON of Texas. Mr. Speaker, I yield 1\1/2\ minutes to the 
distinguished gentleman from the Sunshine State of Florida (Mr. 
Stearns).
  Mr. STEARNS. I thank the distinguished ranking member.
  Mr. Speaker and my colleagues, when you look at this bill, the 
question you should ask: Has this been tried before and has it been 
successful?
  Corn ethanol is not an efficient fuel, as mentioned by the previous 
speaker. Even if the Nation's entire corn crop was used for ethanol, it 
would replace only 12 percent of current gasoline use. Worse, taxpayers 
will pay twice for ethanol: at the pump; but, more importantly, 
billions of dollars for these dollars through subsidies.
  When you go into the European Union, you ask, How is it working over 
there? Well, there is a report. October 2007 Report ``Leaping Before 
They Looked. Lessons From Europe's Experience With the 2003 Biofuel 
Directive,'' by the Clean Air Task Force states that a 2003 European 
Union mandate to increase and promote the use of biofuel has 
exacerbated some of the very problems it was designed to solve, driving 
up food prices.

                              {time}  1300

  So my colleagues, this makes the problem worse, driving up food 
prices, leading to increased deforestation in tropical countries, 
worsening global warming and increasing imports of bio-oils.

[[Page 35924]]

  So this is a report from the European Union which is trying to do the 
same thing you are trying to suggest in this bill. It did not work 
there and probably won't work here in the bill.
  Lastly, I would conclude that the cellulosic biofuel credits is 
really based on something that is totally not science driven.
  So I ask my colleagues to vote ``no'' on this bill.
  Mr. DINGELL. Mr. Speaker, I yield 2 minutes to the gentleman from 
Rhode Island (Mr. Langevin).
  Mr. LANGEVIN. I thank the gentleman for yielding.
  Mr. Speaker, it is with great pride that I rise in strong support of 
H.R. 6, which will help our Nation take a major step towards energy 
independence. This legislation is truly historic, and I commend all of 
the sponsors and all who had a hand in bringing this legislation to the 
floor today.
  Ladies and gentlemen, we cannot dig or drill our way out of our 
energy crisis. We need a better way. We need new strategies to develop 
sources of energy that will move our Nation away from our reliance on 
oil and gas. This legislation will benefit our environment by reducing 
our greenhouse gas emissions, our economy by creating new industries 
and jobs, and our national security by reducing our dependence on 
foreign oil.
  I am particularly pleased that H.R. 6 includes the first significant 
increase in automobile fuel economy standards in a generation. We have 
the technology to make our vehicles more efficient, and it is past time 
that we do so. While I wish that the bill retained the renewable 
electricity standards and the tax provisions that the House passed, I 
will keep working with my colleagues to see those efforts someday 
become law in the very near future.
  In closing, I commend the many people who put together this historic 
legislation, and I urge all of my colleagues to support it.
  Mr. BARTON of Texas. Mr. Speaker, I yield 1 minute to the gentleman 
from South Carolina (Mr. Inglis).
  Mr. INGLIS of South Carolina. Mr. Speaker, I thank the gentleman for 
yielding, especially since I am going to speak in favor of the bill. 
And the reason I am going to speak in favor of the bill and vote for it 
is because I think it is the beginning of a commitment to doing 
something about our energy dependence on foreign fuels.
  Recently, I had the opportunity to be in Brazil. In the 1970s, Brazil 
made a commitment to move away from their dependence on imported oil 
and they developed ethanol from sugarcane. We don't have sugarcane, but 
we have something else that is in this bill. We have hydrogen, lots of 
it. In fact, it is the world's most common element.
  So within this bill is the H Prize, which rewards entrepreneurs and 
inventors who can come up with a well-to-wheels transformation toward 
the hydrogen economy with a $10 million prize, hopefully augmented by 
$40 million worth of private money. This is patterned after the Ansari 
X Prize which incentivized entrepreneurial space flight.
  So what we would hope to accomplish with the H Prize, which House 
Members have voted twice in favor of with over 400 votes both times, is 
to break through to hydrogen. I support the bill.
  Mr. DINGELL. Mr. Speaker, I yield to the gentleman from Texas (Mr. 
Lampson) 2 minutes.
  Mr. LAMPSON. I thank the chairman for allowing me to come in and 
weigh in on this important measure. I am proud today to vote for this 
comprehensive energy package which includes two bills that I introduced 
related to enhancing biofuels and also industrial efficiency research 
and development.
  Diversifying our energy supplies will help our Nation lead the way 
toward greater energy independence. However, we must commit to even 
more research and development in order to remain the world leader that 
we have been. We are competing with China and Japan and Russia and many 
other nations to find new resources and technologies. As we grow our 
technologies, we grow the availability of resources that we are trying 
to seek and use. And if we don't rededicate our Nation's know-how and 
might to the pursuit of science and technologies, I believe we will 
relegate ourselves to second-class status in the world.
  While this bill will not bring down energy prices overnight, it is an 
important step in the right direction. Estimates show that these 
provisions will save Americans more than $400 billion and reduce energy 
consumption by at least 7 percent by 2030. We can achieve that and 
more.
  Our Nation has reached a critical point, and the time is now for us 
to lead the way toward cleaner fuel, increased efficiency standards, 
and much-needed research and development. When we lead, we prosper. 
Passing this bill is a start. Making it better next year and the year 
after will ensure our leadership in the world. We can and we absolutely 
must achieve these significant goals by passing this bill. I encourage 
support for H.R. 6.
  Mr. BARTON of Texas. Mr. Speaker, I only have myself to close, 
perhaps one other speaker who is in the cloakroom, so I reserve the 
balance of my time.
  Mr. DINGELL. Mr. Speaker, we have no remaining speakers save my 
strong desire to yield the remainder of our time to our distinguished 
Speaker who will close for our side, but I want to say a nice word 
about my good friend, the gentleman from Texas. He is a valuable Member 
of the body and a great friend of mine and it is always a pleasure to 
work with him, even when we are on opposite sides.
  If he would proceed to close, then I would yield to our Speaker for 
our closing remarks.
  Mr. BARTON of Texas. Mr. Speaker, I yield myself the balance of my 
time.
  Mr. Speaker, we don't get elected to come to Congress and be against 
things. As the chairman of the Energy Committee in the last Congress, I 
was honored to chair the conference committee which passed the most 
comprehensive energy bill to become law in the last 20 to 30 years, so 
it is with a heavy heart that I come to the floor today to oppose this 
particular energy bill.
  I don't oppose it out of spite and I don't oppose it because there is 
a different majority; I oppose it because of what is in it and what is 
not in it. Let's talk about what's not in it.
  There is nothing in it for coal to liquids. There is nothing in it 
for the domestic oil and gas industry. There is very little in it for 
the nuclear industry. So for all of the conventional energy sources 
that fuel this great Nation, this is basically a no-energy bill.
  We are not a have-not Nation in terms of energy. We have the ability, 
if we wish to, to be close to self-sufficient in energy production for 
our own consumption in this Nation.
  Hypothetically, this bill may do something to reduce the amount of 
oil that we import, but only hypothetically. We use about 12 million 
barrels of oil per day that is converted to gasoline, and my guess is, 
in the year 2020, we are going to use more than 12 million barrels of 
oil a day to convert to gasoline and diesel fuel. So while it will 
certainly save some energy, because of the growth, I would argue that 
we will probably end up using as much imported oil as we do today.
  What this bill really is is a recipe for recession. Why do I say 
that? The cost of fuel is going to go up if this bill does what it is 
supposed to do, and that is going to be an incentive for recession. The 
cost of building our homes is going to go up because of all of the new 
building code restrictions for so-called green buildings in this bill. 
The cost of electricity is going to go up. The cost of manufacturing 
our automobiles and our trucks is going to go up.
  In 1966, my father's Ford Fairlane 500 got 17 miles to the gallon. It 
cost about $4,000 in 1966 dollars. That equivalent vehicle today would 
cost, in the order of magnitude, $25,000. The vehicles that are going 
to be made to meet this 35-mile-per-gallon standard in the year 2020 
are probably going to cost, in order of magnitude, $10,000 to $15,000 
more than they do today. That is a recipe for recession.
  The cost of appliances is going to go up because of all of the new 
efficiency standards we are putting in for appliances. And even the 
cost of light bulbs

[[Page 35925]]

is going to go up. The light bulbs that light this Chamber right now 
will be illegal when this bill becomes completely implemented. The 
incandescent light bulb that you can get for 90 cents or 50 cents at 
Wal-Mart is going to be outlawed. You will have to pay $8 to $10 for 
these new fancy light bulbs. That is a cause for recession.
  So what happens when all of these costs go up, Mr. Speaker? Jobs go 
down. Jobs in our real estate and home construction building are going 
to go down. Jobs in manufacturing are going to go down. Jobs in our 
automobile assembly industry are going to go down. Jobs in retail sales 
are going to go down. Costs are going to go up and jobs are going to go 
down.
  And the shame of it is that we could have passed an energy bill in 
this Congress that we could have all voted for. We could have put some 
of the things that are in this bill. We are not opposed to some 
increase in CAFE. We could have had an agreement on CAFE that balanced 
an increase in supply perhaps by drilling in ANWR so we get more oil 
production domestically, we get some energy conservation domestically. 
That is a doable deal. We could have done a coal-to-liquids title in 
this bill. Vote ``no'' on the bill.
  The SPEAKER pro tempore. The gentleman's time has expired.
  Mr. DINGELL. Mr. Speaker, I yield to my good friend. I don't agree 
with what he is saying, but I love him dearly and I think even though 
he is making a bad speech, I want him to have another minute. So I 
yield him, at this time, 1 additional minute.
  Mr. BARTON of Texas. I do thank my good friend, the chairman of the 
Energy and Commerce Committee. We disagree on some policies, but we 
don't disagree on our love for the institution and the love for 
democracy.
  In closing, Mr. Speaker, let me simply say, as I have already said, 
this is not a have-not Nation, but the energy bill before us today is 
acting as if we are a have-not Nation.
  We can use the domestic resources. We can produce more energy, and 
yes, we can conserve energy. We can lead the world as we have led the 
world in the post-World War II era, but this bill is, in my opinion, a 
recipe for recession, and I would strongly urge a ``no'' vote. And I 
thank my good friend from Michigan for yielding me the additional time.
  Mr. DINGELL. Mr. Speaker, with appropriate thanks to her and with 
great respect for her and appreciation of her extraordinary leadership 
in this very difficult matter, it is with a great deal of pleasure that 
I yield to our distinguished Speaker the balance of our time on this 
side.
  Ms. PELOSI. Mr. Speaker, I thank the gentleman from Michigan, the 
chairman of the Energy and Commerce Committee, for his kind words and 
for his tremendous leadership.
  Because of his leadership and that of 10 other Members, Chairs of our 
committees of jurisdiction, working in a bipartisan way, we are able to 
bring earth-shattering change in terms of energy policy to the floor of 
the House. Here we are today. Here we are today to pass a bill that 
passed in the Senate 88-6; 88-6, very strong bipartisan support for 
this legislation.
  Today in the House, we have the opportunity to give that same kind of 
validation and legitimacy to a new direction in energy security for 
America. It is about our national security. Admiral McGinn, when he 
spoke recently, said that our dependence on foreign oil presents a 
clear and present danger to our country. It is a matter of our national 
economy.
  Congresswoman Velazquez, Chair of the Small Business Committee, and 
Congressman George Miller, with the Green Jobs Initiatives, can show a 
new way to build a new economy involving many more people and the new 
technologies that will be unleashed because of this legislation.

                              {time}  1315

  It's about protecting our environment. Congressman Rahall, Chairman 
Rahall and his Natural Resources Committee provided great leadership, 
as did the Chair of the Government Reform Committee, Mr. Waxman, who 
has long been a supporter of energy security and energy independence.
  The list goes on: Mr. Oberstar, the greening of the Capitol and the 
Federal buildings across the country and what that will save, and many 
more initiatives that he has presented.
  The chairman of the Ways and Means Committee provided the way to pay 
for it. That was rejected in the Senate, but we will revisit that issue 
in a manner that I think will receive strong bipartisan support.
  The chairman of our select committee, Mr. Markey, did an excellent 
job in keeping this issue alive, as he has worked on it for many, many 
years.
  What other Chairs? I'm looking around the room at our Chairs. I'll 
talk about them as we go along.
  Mr. Bart Gordon, Chair of the Science and Technology Committee, is 
really in the forefront. So much of this bill comes out of his 
committee.
  Mr. Speaker, the work that was done by the distinguished chairman of 
the Energy and Commerce Committee, Mr. Dingell, is breaking ground. 
It's groundbreaking in terms of what it will do in savings to the 
consumer, what it is doing in terms of protecting the environment, and, 
again, what it is doing to provide a new direction. And it does so in a 
way that breaks ground but does not leave it broken. It takes us to a 
new place, and I thank him for that leadership. It's a tremendous 
addition to this legislation.
  And the United States Senate, two of their major provisions, 
renewable fuel portfolio, and the CAFE, were leadership issues, and I'm 
glad that we were able to work out those, reconcile the differences 
between the House and the Senate, again with the leadership of Mr. 
Dingell.
  I think of us as being in a place where we're looking at the horizon, 
whether we're on a ship, or wherever we are, looking at a horizon. And 
this legislation takes us closer to that horizon. But as with all 
horizons, they keep getting farther away. But they lead us and reaching 
for it takes us to a whole new world. And that's what this legislation 
does.
  My colleagues in this Chamber, our guests. Am I allowed to address 
them, Mr. Speaker? You are present at a moment of change, of real 
change, of rejecting the past, respecting the values of the past, but 
rejecting the insistence that we stay in the past and go into the 
future. This is about a choice between yesterday and tomorrow.
  And while I would have liked to have had the full package that passed 
here with overwhelming bipartisan support in the House, I salute this 
bill for what it does do and respect it for that, rather than judge it 
for what it does not, because we have plenty of time, interest, 
knowledge, know-how and bipartisanship to move forward to make even 
more change.
  It's, as I said, a national security issue. It's an economic issue, 
an environmental issue and therefore a health issue. It is an energy 
issue, and it is a moral issue. It's a moral issue, and that's why we 
worked closely with the evangelical and faith-based communities, with 
scientists and faith-based, with business and environmentalists, with 
our friends in labor who support this legislation, to preserve God's 
beautiful legacy to us. It is His gift to us, and we have a moral 
responsibility to preserve it.
  We have to think about our consumers every single day. That's who we 
represent. They are our bosses, and their well-being is our mission, to 
protect their well-being.
  This legislation will save the average driver who goes up to the pump 
and has the shock that consumers are having, this legislation alone 
will save the average driver between $700 and $1,000 per year. It adds 
up to $22 billion in net annual consumer savings in the year 2020.
  In order to reduce the price at the pump, the increasing of the fuel 
efficiency standards to 35 miles per gallon is historic. It's the first 
time in 32 years that this has happened.
  So whether we're thinking as consumers and very personally about what 
this means in the lives of our constituents as they see their energy 
costs go up at the pump or in heating their homes at this Christmas 
season, or we're thinking of our national defense

[[Page 35926]]

and our national economy, this is as personal as each and every one of 
our consumers. It is as global as the planet, and the opportunity 
provided to take us to a new horizon, to see a new world, a new era of 
possibility is here with us today. I hope, as a Christmas present to 
our constituents and, especially to the children, because it's about 
their future, that we would have very, very strong bipartisan support 
for this legislation. In the Senate, as I said, 88-6, a beautiful vote. 
I hope that we can replicate that in the House.
  In any event, this great opportunity for us would not have been 
possible without the leadership of you, Mr. Chairman, so many of our 
chairmen, including the gentleman in the Chair, working from the 
Appropriations Committee, Mr. Obey, and so many others of us.
  As I salute our chairmen for the intellect, the institutional memory, 
the legislative know-how that they brought to this process, I also want 
to give a special thank you to our freshman class. They came to this 
Congress to make change. They know how essential protecting our planet 
is. They know the concerns of their constituents. They're fresh out of 
the trenches, dealing with them. And without that freshman class, if I 
may call them freshmen, we would not have had the success that we have 
had today.
  So this has been a collaboration on both sides of the aisle, from our 
most senior Members to our newest Members of Congress, to invigorate 
us, to encourage us to make the change that we're making today. I'm 
absolutely delighted about it. I can't wait until we join with the 
President of the United States when he signs this legislation into law 
and takes a step forward into the future.
  Mr. TERRY. Mr. Speaker, I rise today to thank Chairman Dingell, Baron 
Hill, John Campbell and others for their assistance in negotiating the 
landmark fuel economy provisions in this bill. Without the hard work of 
these Members, we would not have been able to reform our Nation's fuel 
economy standards in a manner that increases fuel economy by 40 percent 
while preserving jobs and vehicle choice. The Hill-Terry fuel economy 
reforms will reduce overall gasoline consumption and its attendant 
carbon emissions, goals that Members of both parties support.
  This bill also has strong energy efficiency provisions, which like 
the Hill-Terry fuel economy reforms, will reduce demand for energy in 
the long term. While I support and will vote for the bill for these 
reasons, I am extremely disappointed this bill does nothing to address 
the supply side of energy. By not addressing the supply side of energy 
security, this bill is woefully deficient in preparing America for a 
future in which our energy supply must grow to continue supporting our 
domestic manufacturing base, as well as a future and present where 
other nations are locked in an ongoing competition around the world to 
secure energy resources for the future.
  Mr. Speaker, I am proud that the Hill-Terry fuel economy reforms will 
help reduce the amount of gasoline our Nation imports. I am also proud 
of the increased renewable fuels standard, which will encourage more 
production of ethanol and biodiesel to further reduce demand for 
foreign imports. But these provisions coupled with energy efficiency 
measures are not enough.
  To truly address the energy challenges our Nation will face in the 
future, we must embrace every available technology at our disposal. 
Given the majority's concern for carbon emissions, I am surprised they 
oppose further development of our Nation's nuclear power industry. 
Nuclear power is cheap, produces no emissions, generates good jobs and 
is a net benefit to the communities in which plants are located.
  Additionally, the bill ignores America's greatest natural resource: 
coal. It is no understatement that Illinois is the Saudi Arabia of 
coal. Combined with coal resources in other States, our Nation has 
enough coal to supply all of America's energy needs for in excess of 
150 years. Yet the bill contains no provisions to promote the use of 
coal.
  I realize that when most Americans think of coal plants, images of 
black smoke emerging from dirty stacks come to mind. That is the coal 
industry of yesterday. Today's coal industry has been moving towards 
using cleaner coal, which produces less sulfur and nitrogen, and 
scientists around the world are developing technologies to make coal 
even cleaner and to reduce its carbon emissions. Technologies currently 
being researched and improved that accomplish these goals are carbon 
capture and sequestration, CCS, and Integrated Gasification Combined 
Cycles, IGCC. CCS captures carbon emissions at the source and then 
either pumps it deep underground where it is capped, or pumps it into 
partially depleted oilfields to force the oil closer to the surface and 
make domestic oil recovery cheaper, thus also increasing our domestic 
oil supply.
  Coal can also be used to produce motor and aviation fuel through 
coal-to-liquids technology, which this bill does nothing to support. 
This technology is based on the Fischer-Tropes process developed early 
in the 20th century. South Africa derives over 30 percent of its energy 
needs from Fischer-Tropes produced fuels. Using the Fischer-Tropes 
process, America could be well on the way to producing motor and 
aviation fuel with fewer emissions than are produced by a typical 
gasoline refinery.
  Opponents of using coal for any reason will say that these 
technologies are not fully developed or cost-effective enough for our 
Nation to adopt them.
  Ironically, many of these are the same people who support the Hill-
Terry fuel economy reforms even though meeting these new standards will 
require industry to increase investment in and development of new 
technologies to meet the 35 mpg by 2020 goal set out by this energy 
bill. If the U.S. auto industry can do this in 12 years, there is no 
reason that similar technology can't be developed in the same timeframe 
by utility and coal companies. And best of all, opening new CTL 
refineries will create jobs both in the new refineries, and in 
associated industries.
  Finally, just this week there were news reports that an American 
chemical company is moving some production overseas due to the 
difference in energy costs here compared with costs in their new host 
nation. By not increasing our domestic energy supply, our Nation is 
essentially asking U.S. companies to leave our shores and eliminate 
American jobs.
  I encourage our distinguished Chairman, John Dingell, to work with 
Speaker Pelosi and the Democrat Leadership to enact a second energy 
bill this Congress, which focuses on increasing the supply of U.S. 
energy in order to protect our national manufacturing base and maintain 
good-paying U.S. jobs.
  Mr. LIPINSKI. Mr. Speaker, today is a historic day, as America takes 
a big step forward in combating global climate change and breaking the 
grip that ``Big Oil'' companies and OPEC have on our Nation. That is 
why I am pleased to rise in support of H.R. 6, the Energy Independence 
and Security Act of 2007--a bill that will put us on a path to energy 
independence, while creating millions of new jobs and addressing 
climate change.
  America has always been at the forefront of technological 
breakthroughs. We have responded to great challenges, perhaps most 
famously President John F. Kennedy's challenge to land a man on the 
moon before the end of the 1960s. I am confident that this legislation 
will provide America with the momentum it needs to move our country 
into a new energy economy.
  Unfortunately, I am disappointed that the other body was unable to 
retain the House-passed language to repeal tax breaks for the oil and 
gas industry. Especially at a time of record high gas prices and record 
high corporate profits, this excessively prosperous industry should be 
paying its fair share. This revenue is needed to fund clean, renewable 
energies like wind, solar, and geothermal, as well as other important 
advanced technologies like plug-in electric vehicles, which will speed 
our path to energy independence. I will continue this fight against 
``Big Oil'' and work to break the death grip that they have on American 
consumers. And I will continue to push for billions of dollars in tax 
incentives to jumpstart our cutting-edge renewable energy industries.
  I am also not happy with the removal of the Renewable Electricity 
Standard from the final bill. This provision, which would have required 
utilities to generate 15 percent of electricity from renewable sources 
by 2020, would have gone a very long way in reducing America's 
addiction to fossil fuels. With most States already pursuing renewable 
electricity portfolios, including an Illinois mandate of 25 percent by 
2025, I will work to make sure Congress addresses this issue soon.
  As vice-chairman of the Science and Technology Committee, I am 
pleased to have played an important role in not only getting this bill 
passed, but also in contributing two important provisions. The H-Prize 
Act of 2007, a bill I introduced with Representative Inglis of South 
Carolina, establishes over $50 million in competitively awarded cash 
prizes to spur innovations that advance the use of hydrogen as a fuel 
for transportation. While hydrogen-fueled cars already exist, there are 
significant technical and economic barriers that must still

[[Page 35927]]

be overcome before we can put a hydrogen car in every American garage. 
The H-Prize will help expand the possibilities of hydrogen research, 
promoting people not normally involved in federal research and 
development to explore one of the greatest challenges facing us today. 
And when these advances are made, hydrogen can fill critical energy 
needs beyond transportation. Hydrogen will also be used to provide heat 
and generate electricity. The future possibilities for this energy 
source are huge. And most importantly, hydrogen will be a clean, 
domestic energy source, producing no emissions besides water.
  I am also very happy about the inclusion of the BRIGHT (Bulb 
Replacement In Government with High-Efficiency Technology) Energy 
Savings Act, which I introduced and shepherded through the 
Transportation and Infrastructure Committee. This provision requires 
the federal government--the Nation's largest energy consumer--to use 
high-efficiency light bulbs in 1,800 civilian office buildings. This 
change will significantly reduce energy consumption--about 75 percent 
savings for each of more than 3 million bulbs--saving tens of millions 
of taxpayer dollars, in addition to saving energy and cutting down on 
the emissions of greenhouse gases.
  Mr. Speaker, I ask my colleagues to join me in supporting this 
groundbreaking legislation. This is not a perfect bill, and I will work 
to make sure we revisit this issue, especially the repeal of the taxes 
on ``Big Oil.'' But this is a great step forward for America and for 
our environment. I am confident that one day we will look back on this 
bill as that catalyst that led to a better, cleaner, more secure 
America and world.
  Mr. UDALL of Colorado. Mr. Speaker, I will vote for this legislation, 
though I am deeply disappointed that it does not include several key 
provisions from the bill that the House passed earlier this month.
  The earlier version was an excellent energy bill that combined 
provisions developed by several different House Committees, as well as 
provisions from a Senate-passed bill, designed to start putting our 
country on a path toward energy independence, increased national 
security and economic growth, and addressing global warming.
  The Senate lacked the votes to even consider that energy bill, so it 
was then stripped of the Renewable Electricity Standard that I 
championed in the House along with Representatives Tom Udall and Todd 
Platts.
  The House's adoption of that amendment earlier this year, and its 
retention in the most recent House-passed version, was a high point for 
those of us working for positive change that will benefit rural 
communities, save consumers money, reduce air pollution, and increase 
reliability and energy security.
  But, to make matters even worse, even after that provision was 
dropped, for lack of just one more vote in the Senate, what remained of 
the House bill had to be further deformed.
  So, for lack of just one more Senate vote, the bill we are 
considering today does not extend important tax credits for renewable 
energy production, such as the extension of the Production Tax Credit 
for solar and wind energy and other renewable technologies. The PTC in 
particular has been critical in promoting the creation of a renewable 
energy industry, and I will work to win an extension of this key tax 
credit before the current credit expires at the end of 2008.
  And dropped with the tax credits were the House-passed provisions 
dealing with the Secure Rural Schools and Payments-in-Lieu-of-Taxes 
(PILT) program. Both would have been good for the Nation and 
particularly for Colorado because so many of our counties include large 
Federal land areas and therefore would have benefited directly from 
that part of the House-passed bill.
  I strongly supported all those provisions, and I intend to continue 
working to win their enactment either on their own or as part of some 
other measure.
  I regret that for the time being Congress is not able to do all that 
should be done to move us toward greater energy independence, which 
means greater national security, in ways that will lower energy costs, 
help our economy, and reduce the carbon emissions that contribute to 
climate change.
  Nonetheless, with all its shortcomings, the bill the Senate has sent 
us will accomplish some worthwhile things and deserves to be passed.
  Notably, it includes the first revision in decades of the fuel-
consumption standards for automobiles. This step is long overdue and 
will result in increasing the efficiency of all vehicles to 35 miles 
per gallon by 2020.
  I am also glad to note that it retains a provision on carbon capture 
and storage based upon a bill that I authored (H.R. 1933). Coal and 
other fossil fuels have been and will continue to be an important 
energy source for our country, but coal-burning power plants are also a 
major source of greenhouse gas emissions and other pollutants. The 
carbon capture and storage research, development, and demonstration 
program authorized in this bill will help us tackle this challenge 
while keeping our economy healthy and strong. It will authorize the 
Department of Energy to conduct demonstration projects for both carbon 
dioxide capture and carbon dioxide injection and storage. Not only will 
this research program help us develop this technology and make it more-
economical, but it will also help us understand the implications of 
storing large amounts of carbon dioxide underground.
  In addition, this bill will encourage manufacturers to build more 
efficient appliances, strengthen the energy efficiency of the Federal 
Government, and help businesses create energy-efficient workplaces.
  And it will increase the Renewable Fuels Standard (RFS), which sets 
annual requirements for the amount of renewable fuels produced and used 
in motor vehicles. The new RFS has specific requirements for the use of 
biodiesel and cellulosic sources to ensure that these ethanol sources 
also advance along with corn-based ethanol. Furthermore, the bill 
includes critical environmental safeguards to ensure that the growth of 
homegrown fuels helps to reduce carbon emissions.
  Additionally, the bill will create an Energy Efficiency and Renewable 
Energy Worker Training Program to train Americans for good ``green'' 
jobs--such as in solar panel manufacturing and green building 
construction--that will be created by new renewable-energy and energy-
efficiency initiatives. This will provide training opportunities to our 
veterans, to those displaced by national energy and environmental 
policy and economic globalization, to individuals seeking pathways out 
of poverty, to young people at risk and to workers already in the 
energy field who need to update their skills.
  Mr. Speaker, I am disappointed with this legislation because it came 
so close to being so much better. But, the bottom line is that even so 
it is much needed and long overdue and deserves to pass today so it can 
go to the president to be signed into law. I urge its approval.
  Mr. MARKEY. Mr. Speaker, over the past 7 years, I have labored to 
increase the fuel economy standards of our cars and light truck fleets, 
and am gratified that the day has finally come where the fruits of my 
labor will be realized. Over 7 years, there are countless individuals, 
Members of Congress, environmental, consumer, and religious 
organizations who have labored alongside me--these people are too 
numerous to mention. I thank all of them for their important 
contributions. But I would also like to thank several in particular.
  First, former Congressman Sherwood Boehlert, R-NY, who for six years 
was my partner in the House, advocating tirelessly, often against the 
wishes of his party's leadership, to move this issue forward. Second, 
Dan Becker, an environmental consultant, who has made raising fuel 
economy standards his life's work and who worked with my office in the 
trenches back when the trenches were a very lonely place to be! 
Finally, Securing America's Future Energy and the Energy Security 
Leadership Council, who brought together retired military officials and 
corporate CEOs to highlight the national and economic security dangers 
associated with our growing dependence on imported oil, and who played 
a critical role in developing more widespread support for these 
provisions.
  As the principal House proponent of the fuel economy Title in this 
legislation, I also wish to briefly discuss several of its provisions 
in order to more fully explain the statutory language and to provide 
context for what we are accomplishing with this historic energy bill.
  Section 3 of the bill states: ``Except to the extent expressly 
provided in this Act, or in an amendment made by this Act, nothing in 
this Act or an amendment made by this act supersedes, limits the 
authority or responsibility conferred by, or authorizes any violation 
of any provision of law (including a regulation), including any energy 
or environmental law or regulation.''
  The laws and regulations referred to in section 3 include, but are 
not limited to, the Clean Air Act and any regulations promulgated under 
Clean Air Act authority. It is the intent of Congress to fully preserve 
existing federal and State authority under the Clean Air Act.
  In addition, Congress does not intend, by including provisions in 
Title I of the bill that reform and alter the authority of the 
Secretary of Transportation to increase fuel economy standards for 
passenger automobiles, non-passenger automobiles, work trucks, and 
medium and heavy duty trucks, to in any way supersede or limit the 
authority and/or responsibility conferred by sections 177, 202, and 209

[[Page 35928]]

of the Clean Air Act. For section 202 of the Clean Air Act, this 
includes but is not limited to the authority and responsibility 
affirmed by the Supreme Court's April 2, 2007 decision in Massachusetts 
v. EPA, No. 05-1120. For sections 177 and 209 of the Clean Air Act, 
this includes but is not limited to the authority affirmed by the 
September 12, 2007 decision of the U.S. District Court for the District 
of Vermont in Green Mountain Chrysler Dodge Jeep et al. v. Crombie et 
al., No. 2:05-cv-302, and the December 11, 2007 decision of the United 
States District Court for the Eastern District of California in Central 
Valley Chrysler-Jeep, Inc. et al. v. Goldstone, et al., No. 1:04-cv-
06663-AWIGSA.
  Although Senators Levin, Inouye and Feinstein, in a December 13, 2007 
colloquy, agreed that it was the ``intent of this bill that any 
regulations issued by the Environmental Protection Agency be consistent 
with the direction of Congress in this legislation and regulations 
issued by the Department of Transportation to implement this 
legislation,'' in fact this legislation includes no statutory 
requirement that would compel the Environmental Protection Agency to 
adopt regulations that are consistent with those promulgated by the 
Department of Transportation. I would also note that in a subsequent 
colloquy, Senator Inouye stated that ``the DOT and the EPA have 
separate missions that should be executed fully and responsibly,'' and 
Senator Feinstein stated that ``Importantly, the separate authority and 
responsibility of the U.S. Environmental Protection Agency to regulate 
vehicle greenhouse gas emissions under the Clean Air Act is in no 
manner affected by this legislation as plainly provided for in Section 
3 of the bill addressing the relationship of H.R. 6 to other laws.''
  Title I of the bill addresses CAFE standards. Section 102(a) would 
require that the fleet of new passenger and non-passenger vehicles made 
for sale in model year 2020 reach a fleet-wide fuel economy average of 
at least 35 miles per gallon, regardless of shifts in the market or any 
other consideration. While fuel economy standards for each of model 
years 2011-2019 are expected to be the maximum feasible standard, this 
section does not allow the Department of Transportation, DOT, to set a 
fleet-wide average of lower than 35 miles per gallon for model year 
2020 under any circumstances. In addition, if the maximum feasible 
level for model year 2020 is higher than 35 miles per gallon due to 
technological progress and/or other factors, Congress intends to 
require DOT to set standards at the maximum feasible level.
  It is also the intent of this section to require DOT to set interim 
standards between 2011 and 2019 to make rapid and consistent annual 
progress towards achieving the 35 mpg minimum by 2020. In asking for 
``ratable'' progress, the intent of Congress is to seek relatively 
consistent proportional increases in fuel economy standards each year, 
such that no single year through 2020 should experience a significantly 
higher increase than the previous year.
  Section 104 addresses credit trading among and within automakers' 
vehicle fleets and is intended to increase flexibility for automakers, 
but it is the intent of Congress that any trading not in any way reduce 
the oil savings achieved by the standards set for any year under this 
title.
  Section 105 is intended to provide added information for consumers, 
but is not intended to in any way interfere with or diminish EPA 
labeling authority. Congress intends that DOT work closely with EPA in 
fulfilling the requirements of this section.
  Section 106 is intended to clarify that Title I does not impact fuel 
economy standards or the standard-setting process for vehicles 
manufactured before model year 2011. This section is not intended to 
codify, or otherwise support or reject, any standards applying before 
model year 2011 , and is not intended to reverse, supersede, overrule, 
or in any way limit the November 15, 2007 decision of the U.S. Court of 
Appeals for the Ninth Circuit in Center for Biological Diversity v. 
National Highway Traffic Safety Administration, No. 06-71891.
  Section 109 makes modifications to the cap on the credits allowed to 
manufacturers making dual-fuel vehicles to ensure that the dual-fuel 
vehicle credit program is phased out and is fully and permanently 
eliminated by 2020 and thereafter.
  I urge the Secretary to pay careful heed to the intent and spirit of 
these provisions in carrying out the provisions of this Title, so that 
we achieve this legislation's goals of increasing the fuel efficiency 
of our cars, SUVs, and other vehicles.
  Mr. STARK. Mr. Speaker, I rise today in strong support of increasing 
fuel efficiency and taking the first steps toward ending our costly 
addiction to fossil fuels.
  The Energy Independence and Security Act, H.R. 6, will provide much 
needed increases in energy efficiency and investments in clean energy 
and green buildings. Most importantly, for the first time in a 
generation, this bill will raise the fuel economy, CAFE, standards for 
new cars and trucks. By increasing CAFE to 35 miles per gallon by 2020 
this bill will reduce oil consumption by 1.1 million barrels a day in 
2020. This is the equivalent of taking 28 million vehicles off the 
road. Although I believe we can and should get to 35 mpg faster, this 
bill represents real progress in our efforts to combat global warming 
and achieve energy independence.
  It is no secret that our addiction to oil and coal is having 
increasingly dire consequences for our Nation and the planet. The price 
of oil hovers near $100 a barrel. An endless war continues to rage in 
Iraq while the President continues his saber rattling in the direction 
of Iran. The specter of catastrophic global warming becomes more real 
each day. The time to take action is now and this legislation is a good 
starting point, but we must do more. I agree with the numerous 
economists and environmentalists who think an aggressive carbon tax is 
the only sure way to make the reductions in greenhouse gas emissions 
that are needed to reduce global warming. A carbon tax must be part of 
the conversation as we move forward with comprehensive global warming 
legislation.
  This bill is not perfect. Republican obstructionists in the Senate 
have stripped provisions to mandate production of electricity from 
renewable sources like wind, solar, and biomass. They also demanded 
that giant oil companies maintain their preferential tax status. I am 
also troubled that we are continuing to subsidize and ratchet up 
production of corn- based ethanol, which will do little to ease global 
warming, but drives up food prices and contributes to water pollution. 
I hope that the environmental safeguards contained in the Renewable 
Fuel Standard--which mandates production of 36 billion gallons of 
biofuels by 2022--will quickly push production away from corn ethanol 
and toward advanced cellulosic fuels. In the meantime, we have a 
responsibility to protect families hit by rising food prices.
  Despite these shortcomings, this legislation represents real progress 
for both consumers and the environment. I urge all of my colleagues to 
embrace this new direction in energy policy and vote ``yes.'' We must 
realize that this bill is only the beginning and that more fundamental 
changes are needed if we are serious about addressing global warming 
and energy independence.
  Mr. VAN HOLLEN. Mr. Speaker, I rise in support of what I hope and 
expect will be the final version of this year's energy bill. While less 
comprehensive than the legislation passed by the House, it is 
nevertheless an historic accomplishment and worthy of this chamber's 
support.
  For the first time in thirty-two years, we are increasing the 
corporate average fuel economy, CAFE, standard for cars and trucks to 
35 miles per gallon by 2020. This single step will create 150,000 jobs, 
save consumers $22 billion at the pump and slash our nation's oil 
consumption by 1.1 million barrels a day--about half what we currently 
import from the Persian Gulf. Additionally, and importantly, this 
improved standard is the greenhouse gas equivalent of taking 28 million 
cars and trucks off the road.
  To further reduce our dependence on foreign oil, this package 
includes a Renewable Fuels Standard, RFS, that expands our nation's 
domestic biofuel production to 36 billion gallons by 2022. I am 
especially pleased that this RFS includes a substantial requirement for 
advanced biofuels from a variety of different feedstocks, as well as 
robust environmental protections necessary to safeguard vital 
ecosystems like the Chesapeake Bay.
  Finally, this legislation achieves meaningful efficiency improvements 
across the economy, makes government a part of the energy solution, and 
accelerates our research and development efforts into the clean, 
renewable energy technologies of the future.
  As a sponsor of the Renewable Electricity Standard, RES, and a member 
of the Ways and Means Committee, I am disappointed that the House-
passed RES and tax provisions have been stripped from this bill. 
Nevertheless, we can be justifiably proud of what we are accomplishing 
today--and I will continue to work with my colleagues on both sides of 
the aisle until the rest of the job is done.
  Mr. CONYERS. Mr. Speaker, I rise in strong support of the Energy 
Independence and Security Act of 2007. This agreement with the Senate 
builds on the New Direction for Energy Independence, National Security, 
and Consumer Protection Act passed this summer. The ambitious 
legislation before us today, which includes wide-ranging solutions from 
10

[[Page 35929]]

House committees, invests in the future of America and puts our Nation 
on a path toward energy independence. It will strengthen national 
security, lower energy costs, grow our economy, create new jobs, and 
begin to reduce the threat of global warming.
  The Energy Independence and Security Act includes several provisions 
that will strengthen our national security by decreasing our dependence 
on foreign oil. All told, this legislation will slash U.S. oil 
consumption by over 4 million barrels per day by 2030--more than twice 
our current daily imports from the Persian Gulf. I want to applaud 
Speaker Pelosi and Chairman Dingell for reaching an agreement on fuel 
economy standards that is supported by both environmentalists and the 
automobile industry. This bill will raise CAFE standards for new cars 
and trucks to 35 miles per gallon by 2020--the first increase in 32 
years. It ensures that this fuel economy standard will be reached, 
while offering flexibility to automakers and ensuring that we keep 
American manufacturing jobs and continue domestic production of smaller 
vehicles.
  Today's legislation puts us on a path to reducing global warming. It 
reduces greenhouse gas emissions by up to 24 percent of the total 
amount the U.S. needs to cut by 2030 to help save the planet. The bill 
increases the efficiency of buildings, homes, appliances, and lighting. 
It also makes a historic commitment to American homegrown renewable 
energy that reduces greenhouse gas emissions.
  The bill before us today will also lower energy costs and create new 
American jobs. Increased vehicle fuel efficiency will save American 
families $700 to $1,000 a year at the pump, producing $22 billion in 
net annual savings for consumers in 2020. The building, appliance, and 
lighting efficiency provisions will save consumers $400 billion through 
2030. In addition, by expanding American-grown biofuels to 36 billion 
gallons in 2022 and supporting cutting-edge energy research, the bill 
will help create hundreds of thousands of new jobs. It also provides 
job training that will prepare workers for 3 million new ``green'' jobs 
over 10 years.
  For too long, our country has lagged behind the rest of the 
industrialized world in recognizing and taking action to address the 
climate change crisis. Global warming endangers all of us, but 
threatens to have the most devastating impact on the poorest and the 
most vulnerable. Our Nation is the richest in the world and one of the 
largest contributors to global warming, yet, until today, it has not 
made any substantial efforts towards addressing the problem. I am proud 
to join with my colleagues as we at long last put America on the path 
to becoming part of the solution.
  Mr. DOOLITTLE. Mr. Speaker. I am deeply disappointed that the final 
version of H.R. 6, passed today by the House, did not contain a 
reauthorization of the Secure Rural Schools and Community Self-
Determination Act, which compensates counties for the large amounts of 
land the Federal Government took from them to create the National 
Forest System. This loss of land weakened the counties' tax bases, 
leaving them without adequate funding to provide basic public services 
such as schools and roads. The county payments authorized under the act 
fulfill a promise the Federal Government made when the land was seized. 
As the first session of the 110th Congress draws to a close, leaving 
these payments to expire, that promise is once again being broken, and 
the basic public infrastructures of our rural counties are left to 
suffer.
  In California, State law requires that layoff notices be issued to 
teachers and administrators by March 15 if the proper resources are not 
available in their budgets. Once layoff notices are issued, schools 
begin to experience adverse effects of the funding shortage even if the 
money is eventually recovered, which was the case this year. This means 
Congress will have a very short time to act in the new year, and I will 
continue to be a strong advocate for passing legislation that fulfills 
our commitment to rural counties. This language should have remained in 
the energy bill currently before Congress, and its omission is the 
primary reason for my opposition to the bill.
  In addition to the harm that is caused by failing to provide county 
payments in this bill, I am concerned that the bill excludes biomass 
from Federal lands as an alternative source of fuel. Much of my 
district is owned by the United States Forest Service, and these areas 
are prone to wildfires due to the large buildup of forest fuels. I have 
encouraged the removal of these materials, which serves the duel 
purpose of providing energy produced at nearby biomass plants and 
making our forests less prone to catastrophic wildfires. By exempting 
biomass from Federal lands as a source of alternative energy, H.R. 6 
misses an opportunity to exploit a large source of alternative fuels 
while leaving our forests vulnerable to great harm from potential 
wildfires.
  It is imperative that Congress pass legislation to reauthorize the 
Secure Rural Schools and Community Self-Determination Act before school 
boards meet in February to discuss where cuts must be made. 
Furthermore, we must encourage development of alternative fuels such as 
biomass which are abundant and carry with them additional benefits. 
H.R. 6 misses an opportunity to accomplish both those goals.
  Ms. DeLAURO. Mr. Speaker, while today's Consolidated Appropriations 
bill falls far short, the Democratic Congress has made sure it is far 
better than the President's budget request for fiscal year 2008. We 
have made very real changes to the administration's original budget 
proposal, and made real responsible investment in new domestic 
priorities that are long overdue.
  Despite absurd limitations imposed by the administration and from 
Republican obstructionists in Congress, we have fought to meet our 
obligations as a Nation and a congress. Getting our work done when we 
are supposed to, and getting the big things right. Yet, while we worked 
to find common ground, the administration played political games.
  Still, as chair of the FDA Agriculture Subcommittee I am proud of the 
bill we put together under tremendous constraints:
  Reinvesting in rural America--restoring $44 million for rural 
business enterprise and opportunity grants, $119 million over the 
President's request for critical water and waste programs to ensure 
rural areas have access to clean water, and $20.3 million for community 
facility grants to help rural areas build day care centers and police 
and fire stations.
  Protecting public health, increasing FDA funding by $145 million over 
2007; $56 million for FDA food safety activities, with $28 million 
withheld until July 1 pending the submission of a comprehensive food 
safety plan by the FDA. A $21 million increase for drug safety and $6 
million more for the FDA's Office of Generic Drugs.
  It has $633 million above the President's request for the WIC 
nutrition program; and $472 million above for bio-energy and renewable 
energy R&D, including loans and grants in rural areas.
  Mr. Speaker, this is about meeting our commitment to the American 
people. And, although at a much lower level, this bill finally funds 
our domestic priorities: from rural development to local law 
enforcement, Pell grants to No Child Left Behind. A new direction with 
new priorities for our Nation--the American people demand nothing less.
  Mr. SHAYS. Mr. Speaker, I strongly support the reauthorization of the 
Terrorism Risk Insurance Act. As an original co-sponsor of this 
legislation, I am grateful for all of the hard work that went into 
bringing this bill to the floor today.
  After the September 11, 2001 terrorist attacks, many businesses were 
no longer able to purchase insurance to protect against property losses 
that might occur in any future terrorist attacks and most reinsurers 
have yet to return to the marketplace because of the difficulty of 
being able to predict the frequency, size and scope of future terrorist 
attacks.
  The backstop TRIA providesprotects those who buy insurance, and 
allows our economy to continue functioning normally in the face of the 
terrorist threat.
  In my view, the bill's coverage of acts of domestic terrorism is a 
prudent step. However, I am disappointed we did not take this 
opportunity to make further reforms to the program such as the 
inclusion of reinsurance for group life insurers, who face the same 
challenges as property, casualty or other insurers. Failure to include 
I group life has placed these insurers in a difficult position of 
exiting from the market or choosing to remain in the marketplace 
without reinsurance.
  The bottom line is, this is a good bill worthy of our support. It 
will bring some certainty to the insurance markets and help protect our 
economy. We need to pass this bill.
  Mr. DAVIS of Virginia. Mr. Speaker, I rise to support the Renewable 
Fuels, Consumer Protection, and Energy Efficiency Act of 2007. It is an 
initial step towards a new energy policy. Some will say this bill goes 
too far, others will claim it does not go far enough. While 
opportunities to overhaul our energy policy were missed, this bill does 
include a starting point for true reform.
  Any attempt to transform the direction of our energy policy must 
include an increase in CAFE standards. Increasing fuel efficiency is 
something I have fought many years for. We have the technology to do 
it, we have the will to do it and now, with this bill, we have made the 
commitment to do it. This provision is the cornerstone for revamping 
our energy policy. It not only addresses our reliance on imported oil, 
but will also help stem the creation of green house gasses.
  I agree with the inclusion of a Renewable Fuels Standard; however, as 
we have learned

[[Page 35930]]

over the past few years, the manner in which it is executed raises its 
own set of questions. Our current thirst is for corn based ethanol. Of 
5 billion gallons of biofuels produced domestically last year, 4.9 
billion were derived from corn. Placing a limit on the amount of com 
ethanol eligible to be applied in meeting the RFS is a necessary step. 
Yet, I have doubts as to whether that limit is too high and whether 
more should be done to ensure the development of other biofuels. Also, 
most studies give corn based ethanol an energy balance of 1.2. Would it 
not be a better long term policy to shift our focus towards a more 
efficient source of biofuel?
  Finally, I am concerned about the effects this mandate could have on 
the Chesapeake Bay. The Chesapeake Bay Task Force and I have worked 
tirelessly to clean up this troubled waterway. Spurred on by government 
subsidies, farmers in the watershed have been drastically increasing 
their corn acreage. Due to the intrinsic nature of corn farming, any 
increase will heavily impact the health of the watershed and could undo 
many of the great achievements we have made in the past few years.
  Fifty years from now our energy makeup should be fundamentally 
different. At that point we should no longer be relying on fossil fuels 
to drive our economy. Yet, the fact remains we must rely on them today. 
Neither the technology nor the infrastructure exists to do otherwise. 
In the intervening years we must not only develop a green energy 
sector, but we must also shift from foreign sources of energy to 
domestic ones. Therefore, we must not hinder the development of our oil 
and natural gas fields. I am pleased this bill discarded the 
troublesome tax package that would have been a disincentive on domestic 
production.
  Mr. Speaker, contrary to what its champions claim, this bill does not 
fundamentally change our Nation's energy policy. While I will vote for 
this bill, I look forward to working with my colleagues to finish the 
job that has been left undone.
  Mrs. MALONEY of New York. Mr. Speaker, I rise in support of the 
Energy Independence and Security Act. I'll let some of the numbers 
stand on their own:
  This historic legislation will increase vehicle fuel standards to 35 
miles per gallon in 2020, the first such increase in over 30 years. In 
2020, these fuel standards will give consumers in my State of New York 
an estimated $894 million in annual net consumer savings. The bill is 
also expected to save consumers across the country $400 billion through 
2030 by energy efficiencies in buildings, appliances and lighting. 
Additionally, according to analysis by the Union of Concerned 
Scientists, provisions in the bill will support the creation of nearly 
150,000 jobs, nationwide--a full 8,200 in New York alone. Finally, by 
2030, the legislation will cut greenhouse gas emissions by 24 percent.
  All these numbers--increased efficiencies, savings, and jobs and 
reduced global warming--and many more add up to the new direction this 
Congress is taking in energy policy. I thank the Speaker and all my 
colleagues for their hard work on this challenging legislation.
  Mr. GOODLATTE. Mr. Speaker, I rise today in opposition to this 
reckless energy policy, which will do absolutely nothing to make us 
energy independent, or lower energy costs. This bill sets us on a 
dangerous path and ties our hands in a regulatory mess to ensure that 
we cannot produce domestic energy.
  Like my colleagues, I believe we should find solutions to address the 
growing demand for energy. The biggest concern facing the farmers and 
ranchers of this country is increased input costs from higher fuel 
prices and fertilizer. The U.S. fertilizer industry relies upon natural 
gas as the fundamental feedstock for the production of nitrogen 
fertilizer. The rest of the U.S. farm sector also depends on 
significant amounts of natural gas for food processing, irrigation, 
crop drying, heating farm buildings and homes, the production of crop 
protection chemicals, and, let's not forget, ethanol biofuel 
production. In addition to the farm sector, the forest products 
industry relies more on natural gas than any other fossil fuel, and 
energy amounts to the third largest manufacturing cost for the 
industry.
  Unbelievably, this legislation contains no new energy supplies in it 
and does nothing to relieve the burdens of increased costs on producers 
who provide the food and fiber for American consumers. It seems that 
the majority's plan to move toward energy independence includes 
limiting domestic energy production and imposing new government 
mandates that will prove to be costly and burdensome to the American 
people.
  This legislation would dramatically expand the Renewable Fuels 
Standard RFS, by increasing it to 36 billion gallons by 2022. This 
initiative is extremely ambitious and could be achieved by tapping all 
sectors of agriculture including plant and wood waste, vegetable oil, 
and animal fat and waste which would result in the production of 21 
billion gallons of cellulosic ethanol. While I am in favor of finding 
new markets for agriculture products, what good is finding new markets 
for agriculture commodities when the cost of production is too much for 
our farmers and ranchers?
  We should develop a policy that is technology neutral and allows the 
market to develop new sources of renewable energy. The RFS provisions 
create an unrealistic mandate for advanced biofuels technology that 
doesn't yet exist and creates hurdles for the development of second 
generation biofuels by placing restrictions on alternative fuels, 
renewable fuel plant production, and, most important, limits the 
harvesting of our homegrown feedstocks. These restrictions will 
undoubtedly lead to a consumer tax to help bridge the gap in production 
that will occur if this policy is put into place.
  Even with the advancement of cellulosic ethanol, the expansion of the 
RFS would still require 15 billion gallons of renewable fuel to come 
from the only current commercially available option: grain ethanol.
  Last year, 20 percent of the U.S. corn crop was used for ethanol 
production and that amount is expected to rise significantly over the 
next few years. With feed stocks meeting most of our renewable fuel 
initiatives, the livestock sector is facing significantly higher feed 
costs. Corn and soybeans' most valuable market has always been, and 
will continue to be, the livestock producers. We must ensure that there 
are not unintended economic distortions to either grain or livestock 
producers as a result of these sectors prospering from other markets.
  The benefits of reduced reliance on foreign energy sources, stable 
energy prices, and new markets for agricultural products should not be 
replaced with a risk of adding even more increased input costs for 
livestock producers and creating even higher food prices for consumers.
  In addition to the above mentioned concerns, I'm also deeply 
disappointed that the Renewable Fuels Standard would essentially shut 
out one of the largest potential sources of feedstock for renewable 
fuel, forest biomass. In total, forests have the potential to 
sustainably produce 370 million tons of biomass for energy every year. 
This is approximately two and one-half times the amount of forest 
biomass we currently consume in traditional forest products. This 
amount of forest biomass could produce 24 billion gallons of ethanol 
per year, according to very conservative estimates. This could 
supplement, not replace, existing forest products markets.
  Unfortunately, H.R. 6 would not allow forest biomass grown on public 
lands to be used to meet the Renewable Fuel Standard, unless the 
biomass was removed near buildings, public infrastructure, or areas 
people inhabit regularly. This greatly reduces the opportunity for any 
substantial market in the energy sector for the byproducts of hazardous 
fuels reduction. These markets could help lower the costs of reducing 
wildfire risks and improving forest health on public lands. With the 
restrictions in H.R. 6, very little of these byproducts could be used 
to meet the Standard. Currently, we have serious issues in our public 
forests, with over 90 million acres at risk of wildfire, insects, and 
diseases. H.R. 6 would do nothing to help address these concerns.
  Additionally, H.R. 6 stipulates that, with respect to private 
forests, only forest biomass removed from ``tree plantations'' or 
biomass that is considered slash or brush can be used to meet the 
renewable fuel standard. It would also exclude any biomass taken from 
old growth forests, forests in the later stages of development, or 
forests that are considered ``ecological communities'' as defined by 
State Natural Heritage Programs.
  With these restrictions, this Renewable Fuels Standard discourages 
efforts to reduce wildfire risk, control insects and disease in 
forests, improve forest health and wildlife habitat, and create market 
opportunities for family forest owners. There is also a tremendous 
opportunity to utilize existing forest products industry infrastructure 
to produce renewable fuels. H.R. 6 would do little to encourage that 
development.
  A renewable fuels producer would likely look at all these 
restrictions on forest biomass and decide not to bother with forestry 
materials. If we are to come anywhere close to meeting the RFS mandates 
in H.R. 6, we must have a substantial amount of forest biomass as a 
feedstock. I'm deeply concerned that we will not be able to meet these 
mandates with the restrictions in H.R. 6 on the use of forest biomass.
  This energy policy, set in place by the Democrat majority, 
exemplifies the Democrat motto through and through: Tax and spend. This 
bill

[[Page 35931]]

imposes $21 billion in tax increases. The other side will tell you that 
these tax increases will not affect the average hardworking American, 
only the ``big, evil oil companies.'' Nothing could be farther from the 
truth. The taxes contained in this bill will impede new domestic oil 
and gas production, will discourage investment in new refinery 
capacity, and will make it more expensive for domestic energy companies 
to operate in the U.S. than their foreign competitors, making the price 
at the pump rise even higher.
  Let's make no mistake: An increased tax doesn't just hurt energy 
companies, it hurts every American--individual, farm, or company--that 
consumes energy. Increased taxes on energy companies are passed to 
consumers. Every American will see these increased costs on their 
energy bill. This body shouldn't pass legislation that further raises 
energy prices for consumers.
  What is even more disturbing is that these increased costs will be 
felt by some of our Nation's most poor. On average, the Nation's 
working poor spends approximately 13 to 30 percent of their yearly 
income on energy costs. This average is already too high, and sadly 
this legislation will only dramatically increase the amount of money 
these workers will have to spend on energy costs. I have heard those on 
the other side of the aisle say that we must all shoulder the cost to 
produce clean energy. Well, the costs of the clean energy in the 
Renewable Portfolio Standard (RPS) alone, as estimated by just one of 
Virginia's many electric utilities, will increase $200 million for its 
retail customers. By shifting to renewable energy sources, that are not 
as available or as cost effective as traditional sources, we will see a 
rise in energy prices across the board and this will be hardest felt by 
working people who cannot afford to shoulder any more costs.
  While this bill is said to be focused on new energy technologies, it 
fails to address some of our most promising domestic alternative and 
renewable energy supplies that could be cost effective for American 
consumers. Coal is one of our Nation's most abundant resources, yet the 
development of coal-to-liquid technologies is ignored in this bill. 
Furthermore, this legislation does nothing to encourage the 
construction of new nuclear facilities.
  Proponents of this legislation will tout how green this bill is; 
however, if my colleagues really want to promote green energy they 
should encourage the production of more nuclear sites, which provide 
CO2 emission-free energy. The rest of the world is far 
outpacing the U.S. in its commitment to clean nuclear energy. We 
generate only 20 percent of our energy from this clean energy, when 
other countries can generate about 80 percent of their electricity 
needs through nuclear. It is a travesty that in over 1,000 pages this 
legislation does not once mention or encourage the construction of 
clean and reliable nuclear plants. Nuclear energy is the most reliable 
and advanced of any renewable energy technology, and if we are serious 
about encouraging CO2-free energy use, we must support 
nuclear energy.
  This legislation does nothing to address the energy concerns of our 
country; and it does nothing to relieve agricultural producers of their 
increasing input costs. This legislation only makes the situation worse 
and it is the product of a flawed process that does not have bipartisan 
support.
  This bill is a dangerous policy for our country. If we really want to 
make our country energy independent, this Congress must pass an energy 
bill that contains energy. This bill does not. I urge my colleagues to 
reject this awful bill, let's start over, and work to find real 
solutions to the energy needs of our Nation.
  Ms. McCOLLUM of Minnesota. Mr. Speaker, I rise today in support of 
the Energy Independence and Security Act--a major step towards securing 
a new, clean energy policy for America.
  Last November the American people told Congress that they wanted a 
new direction in our Nation's energy policy. Today we have the 
opportunity to vote for a bill that the overwhelming majority of our 
constituents agree is the most significant Federal energy legislation 
in nearly 30 years--a bill that helps our country deal with the current 
energy crisis, prepare for the energy realities of the future, and 
address the impending climate crisis.
  The Energy Independence and Security Act contains an increase in fuel 
economy standards for cars and trucks. Raising CAFE standards will also 
reduce America's dependence on foreign oil by 1.1 million gallons per 
day, cut emissions almost 27 million tons per year, and save Minnesota 
families up to $1000 every year.
  The Energy Independence and Security Act sets landmark energy 
efficiency standards for appliances, lighting, and buildings. As a 
result, American consumers and companies will save billions of dollars 
in unnecessary energy costs, while decreasing their burden on the 
planet.
  And the Energy Independence and Security Act makes a commitment to 
the fuels of the future, by replacing Middle East crude with Midwest 
crops.
  By supporting this legislation we can make the first big step towards 
a more secure and more environmentally sustainable America. I urge my 
colleagues on both sides of the aisle to support this legislation, and 
to continue working to overcome the obstructionism of the President for 
additional, needed reforms for our country and our planet.
  Mr. DINGELL. Mr. Speaker, as we are well aware, the bill before us, 
H.R. 6, is not the product of a formal conference, but rather the 
result of amendments being passed between the House and Senate as a 
means of resolving the differences between their respective bills. I 
have noted in the past, and will continue to note, that I find this 
manner of legislating to be unsatisfactory and unwise. Given the 
difficulty experienced by the Senate in going to conference on any bill 
this year, however, this process is the best that we can hope for under 
the circumstances.
  One of the reasons this process is inferior to that of a formal 
conference is the lack of a conference report and, thus, the lack of a 
written legislative history detailing why certain policies were adopted 
and others excluded. When the House passed its version of the energy 
bill currently before us (H.R. 3221) on August 4, 2007, the Committee 
on Energy and Commerce had contributed more to this legislation than 
any other committee in the House of Representatives and is the 
Committee of primary jurisdiction over the entire legislation.
  The Committee's contribution was the result of six bills that were 
ultimately engrossed in H.R. 3221: H.R. 3236, the Energy Efficiency 
Improvement Act of 2007; H.R. 3237, the Smart Grid Facilitation Act of 
2007; H.R. 3238, the Renewable Fuels Infrastructure Act; H.R. 3239, to 
promote advanced plug-in hybrid vehicles and vehicle components; H.R. 
3240, the Energy Information Availability Act; and H.R. 3241, an act 
dealing with energy loan guarantee amounts. With the exception of H.R. 
3241 (which was dropped in its entirety), the majority of the 
Committee's work was preserved in the bill before us today and the 
committee reports filed on August 3, 2007, remain relevant.
  Therefore my remarks today will deal primarily with policies adopted 
in the bill before us on which the House initially had no position, 
such as the changes in Corporate Average Fuel Economy (CAFE) found in 
Title I, and the Renewable Fuel Standard (RFS) found in Title II. Both 
policies are within the jurisdiction of the Committee on Energy and 
Commerce and represent a substantial change in current law.
  Title I of H.R. 6, as amended by the Senate and now under 
consideration by the House, increases energy security and reduces 
emissions of greenhouse gases by improving vehicle fuel economy 
standards. This legislation represents a comprehensive overhaul and 
expansion of the Corporate Average Fuel Economy (CAFE) program, 
administered by the U.S. Department of Transportation, DOT. The 
specific objectives and targets reflect Congress's determination of the 
maximum feasible increases in fuel economy that would permit the 
development and application of technology, giving appropriate 
consideration to the cost of compliance.
  The CAFE program, administered by DOT, had been the sole means for 
regulating the fuel economy and carbon dioxide emissions of new motor 
vehicles made for sale in the United States since the 1970s. Congress 
specifically prescribed how DOT should determine the maximum feasible 
levels for fuel economy standards under the Energy Policy and 
Conservation Act, carefully balancing technological feasibility, 
economic practicability, the effect of other regulations on fuel 
economy, and the need of the United States to conserve oil.
  Approximately 30 years after Congress enacted the Clean Air Act to 
regulate air pollutants, however, the United States Supreme Court 
recognized the obligation of the Environmental Protection Agency, EPA, 
to regulate greenhouse gas emissions from new motor vehicles under that 
Act. Carbon dioxide is widely recognized as one of the greenhouse gases 
that are emitted from motor vehicles, and one way to regulate the 
emissions of carbon dioxide from motor vehicles is to improve the fuel 
economy of those vehicles. As such, there is potential for EPA's 
authority under the Clean Air Act to overlap and conflict with that of 
the Department of Transportation.
  H.R. 6, as initially passed by the Senate, included a section 519 
expressly addressing the ability of EPA to regulate carbon dioxide 
emissions from new motor vehicles and its authority to grant preemption 
waivers to California to

[[Page 35932]]

regulate the same. Section 519 stated that ``[n]othing in this title 
shall be construed to conflict with the authority provided by sections 
202 and 209 of the Clean Air Act (42 U.S.C. 7521 and 7543, 
respectively).'' The House of Representatives later amended the Senate 
amendments to H.R. 6 without including the Senate language in Section 
519. Although the Senate further amended the House amendments to the 
Senate amendments of H.R. 6, the language of section 519 was not 
reinserted.
  Subsequent to the Court's decision, but prior to consideration of 
this legislation, the President of the United States issued Executive 
Order 13432 requiring EPA and the Department of Transportation to 
coordinate their efforts when addressing emissions of carbon dioxide 
from new motor vehicles. The Supreme Court interpreted section 202(a) 
of the Clean Air Act as providing EPA authority to regulate greenhouse 
gas emissions from motor vehicles. That grant of authority provides the 
EPA Administrator sufficient discretion to promulgate EPA regulations 
that conform to corresponding regulations issued by the Secretary of 
Transportation under this legislation. The Secretary, however, does not 
have corresponding flexibility to conform her regulations to those 
issued by the Administrator. The Secretary of Transportation is 
constrained by statutory guidelines contained in this legislation and 
the statutes it amends.
  For example, to ensure the economic practicability of the fuel 
economy standards it establishes, section 102 of this legislation 
prohibits DOT from issuing standards for more than 5 model years at a 
time. The Department should issue standards only for those model years 
for which it can obtain reasonably-developed confidential product plans 
from vehicle manufacturers, and it is the determination of Congress 
that the amount of time should not exceed 5 years. This timeframe 
allows for reasonable and realistic estimates of market conditions, the 
availability of new and developing technologies, and other 
considerations of technological and economical practicability. 
Likewise, any other regulations issued or enforced regulating emissions 
of carbon dioxide that affect motor vehicle fuel economy should 
correspond to the timeframe and relevant limits placed on the 
Department of Transportation by Congress under this legislation.
  This legislation provides clear and comprehensive direction to the 
Executive Branch regarding any and all regulations and enforcement 
actions with respect to increased motor vehicle fuel economy standards. 
Pursuant to this legislation, Congress intends for any regulations 
issued or enforced by the Environmental Protection Agency regulating 
emissions of carbon dioxide from motor vehicles under the Clean Air Act 
that affect vehicle fuel economy, be consistent with the provisions of 
this legislation, the CAFE program, and any regulations issued or 
enforced by Department of Transportation.
  Title II of H.R. 6, as amended by the Senate and now under 
consideration by the House, pertains to the Renewable Fuels Standard or 
RFS. It was first created by the Energy Policy Act of 2005 (P.L. 109-
58) for both environmental and energy security reasons. Since its 
inception, the RFS has been administered by EPA under the authority of 
the Clean Air Act. The RFS has experienced initial success in helping 
wean the Nation from its dependence on foreign petroleum. In 2007, our 
passenger vehicles used approximately 6 billion gallons of ethanol, 
thereby burning 4 billion fewer gallons of gasoline. This is well ahead 
of the schedule adopted in 2005. Several factors have converged that 
cause us to scale the program up to the levels in the bill before us 
today. First, with the price of a barrel of oil hovering in the $100 
range for several weeks now, the need to continue to decrease our 
dependence on foreign petroleum is more apparent than ever and to do so 
will require increased amounts of renewable fuel. Second, the need to 
reduce greenhouse gas emissions from the transportation sector is also 
more apparent, and renewable fuels hold great promise in helping meet 
this challenge. Conversely, several concerns have been raised with the 
viability of relying on corn-based ethanol as our primary renewable 
fuel: Making ethanol from corn competes with other uses of corn as a 
food commodity and food-making feedstock; requires heavier use of 
pesticides and fertilizers; and also requires an increasing amount of 
farm acreage devoted to its cultivation.
  To address these competing concerns, the bill before us places an 
emphasis on the use of cellulosic biomass as a means of producing 
ethanol. Cellulosic ethanol holds great promise for the future of 
renewable fuels because it uses what now constitutes agricultural 
residue waste or low-value plant matter, and it contributes fewer 
greenhouse gas emissions to our atmosphere than either corn-based 
ethanol or conventional gasoline. The challenge with cellulosic ethanol 
is that it is not yet available on a commercial basis. This is a young 
industry that requires two things before its product can be widely 
deployed: (1) technological breakthroughs that will allow it to be 
produced on a cost effective commercial scale; and (2) the support of 
the Federal Government. To that end, the bill mandates the use of 16 
billion gallons of cellulosic ethanol by 2022.
  A dramatic expansion of alternative fuels was initially proposed by 
President Bush in his State of the Union address this year, and an 
expansion of renewable fuels was later championed by the Senate in the 
energy bill it passed on June 21, 2007. Both proposals, however, 
contained serious flaws that would have made implementation of this 
policy extremely difficult or failed to capture the promises of new 
technology.
  First, both proposals would have kept the current RFS in place at EPA 
under the Clean Air Act and created a new, additive program under which 
authority is directly assigned to the President, presumably permitting 
delegation to an unspecified entity of the Executive Branch. This would 
have caused a tremendous amount of regulatory uncertainty for the 
obligated parties who must meet the mandates of the RFS and would have 
caused bureaucratic duplication of a character that often bedevils the 
Federal Government. The compromise bill before us properly amends the 
current program, and in doing so makes significant changes to the 
existing renewable fuel standard, many of which require EPA to modify 
its existing regulations. Section 210(a) and (c) of the bill govern the 
transition from the existing RFS program to the modified RFS program. 
Section 210(a) provides that the increase in the renewable fuels 
mandate level for 2008 goes into effect without additional rulemaking 
by EPA. The other statutory changes to the RFS do not go into effect 
until January 1, 2009, by which time EPA is required to have completed 
a rulemaking to amend its RFS regulations.
  Second, while cellulosic ethanol holds great promise, it is not 
commercially available today. If we are going to formulate policy to 
encourage its successful deployment, we must also be prepared to fall 
short and in so doing, plan for a worst-case scenario. The earlier 
Senate-passed bill failed to do so. The compromise bill before us 
couples an aggressive, technology-forcing schedule for cellulosic 
biofuels with a ``safety net'' for refiners in new Clean Air Act 
Section 211(o)(7)(D).
  On an annual basis, EPA must compare the projected domestic 
production for cellulosic biofuels for the following calendar year to 
the level set in the statute. For any calendar year in which projected 
domestic production is less than the mandate level set in the statute, 
EPA is required to revise the mandate level so that it equals projected 
domestic production. EPA will thus be waiving the requirement to meet 
the amount of the mandate set in the statute that is higher than 
projected domestic production. Obligated parties, such as refiners, 
will then have to turn in credits at the end of the year in an amount 
equal to the revised mandate; they will not have to turn in credits 
equal to the mandated level set in the statute. If EPA issues such a 
waiver, the bill authorizes and requires EPA to make credits available 
for sale pursuant to new Clean Air Act Section 211(o)(7)(D). Absent 
such a credit provision, artificially high prices might be charged for 
biofuels, which could occur in a tight market. The credit provision 
effectively caps the price for cellulosic biofuels if cellulosic 
technology is not deployed as rapidly as required by the bill.
  Third, neither the President's proposal nor the Senate bill ensured 
that cellulosic technology would significantly assist in meeting the 
challenge of reducing greenhouse gas emissions from the transportation 
sector. One of the important potential benefits of cellulosic biofuels 
is that their lifecycle greenhouse gas emissions are predicted to be 80 
to 110 percent lower than those of gasoline, although there is some 
uncertainty about the reduction level because cellulosic technology and 
the lifecycle greenhouse gas analytical methodology are still under 
development. This bill requires that cellulosic biofuels achieve at 
least a 60 percent reduction. Cellulosic biofuels that do not achieve 
at least a 60 percent reduction in lifecycle greenhouse gas emissions 
can get credit as advanced biofuels if they achieve at least a 50 
percent reduction.
  Section 210(b) of the bill before us also adds subparagraph 
211(o)(12) to the Clean Air Act to clarify that nothing in subsection 
211(o) or rules issued thereunder shall affect or be construed to 
affect the regulatory status of carbon dioxide or any other greenhouse 
gas, or to expand or limit regulatory authority regarding carbon 
dioxide or any other greenhouse gas, for purposes of other provisions 
of the Clean Air Act. The reference in Section

[[Page 35933]]

204(b) of the bill to Clean Air Act Section 211(o)(12) does not change 
this intent in any way, but merely ensures that Section 204(b) is not 
read as overriding new Clean Air Act Section 211(o)(12).
  Fourth, the bill before us provides more specificity than the 
President's proposal or the Senate bill about what qualifies as 
renewable biomass. New Clean Air Act Section 211(o)(1)(I) adds some 
important environmental safeguards to the RFS program, including ones 
that will help protect certain wildlife habitats and special eco-
systems.
  The bill before us also contains other new provisions designed to 
make the program more workable. Under certain circumstances where an 
insufficient volume of biofuels are produced to meet the mandated 
levels set in the statute, new Section 211(o)(7)(F) of the Clean Air 
Act directs the administrator to reset the mandate levels for future 
years. In doing so, the administrator is to use the same criteria, 
standards and processes as he is required to use by new Clean Air Act 
Section 211(o)(2)(B)(ii) when setting mandated levels post-2022. The 
reference to new Clean Air Act Section 211(o)(2)(B)(ii) incorporates 
new Clean Air Act Section 211(o)(2)(B)(iii) and (iv). It is the intent 
of Congress that these criteria will ensure that, if the administrator 
sets the applicable volume of advanced biofuel under new Clean Air Act 
Section 211(o)(17)(7) for any particular year, it shall be at least the 
same percentage of the applicable volume of renewable fuel in the 
previous calendar year. When the administrator must establish mandated 
levels of cellulosic biofuels, new Clean Air Act Section 
211(o)(2)(B)(iv) directs the administrator to set the mandate at a 
level that the administrator expects can be met without the use of the 
safety net provisions in new Clean Air Act Section 211(o)(7)(D). 
Nonetheless, the safety net provisions would continue to be available 
if needed.
  Although the mandatory requirements of the RFS program are limited to 
transportation fuels, it is possible that renewable fuel could also 
replace petroleum-based fuel used for home heating or jets. Rather than 
expand the mandated coverage of the RFS program to include home heating 
oil or jet fuel, which might result in additional obligated parties or 
make implementation of the program more burdensome, new Clean Air Act 
Section 211(o)(5)(E) gives the administrator discretion to allow RFS 
credits to be earned for renewable fuel sold for home heating or as jet 
fuel.
  Mr. HILL. Mr. Speaker, Congress has sent a clear message to the 
American people that it is time for Government to raise CAFE standards 
for the first time in 32 years. We have worked very hard during the 
past year--negotiating language to increase the statutory standards by 
40 percent. It is important that the entire Federal Government follow 
the guidelines set forth in H.R. 6 in order to provide regulatory 
certainty for the domestic auto industry, including manufacturers, 
suppliers, and dealers.
  The SPEAKER pro tempore (Mr. Obey). All time for debate has expired.
  Pursuant to House Resolution 877, the previous question is ordered.
  The question is on the motion offered by the gentleman from Michigan 
(Mr. Dingell).
  The question was taken; and the Speaker pro tempore announced that 
the ayes appeared to have it.
  Mr. BARTON of Texas. Mr. Speaker, I object to the vote on the ground 
that a quorum is not present and make the point of order that a quorum 
is not present.
  The SPEAKER pro tempore. Evidently a quorum is not present.
  The Sergeant at Arms will notify absent Members.
  The vote was taken by electronic device, and there were--yeas 314, 
nays 100, not voting 19, as follows:

                            [Roll No. 1177]

                               YEAS--314

     Abercrombie
     Ackerman
     Aderholt
     Allen
     Altmire
     Andrews
     Arcuri
     Baca
     Baird
     Baldwin
     Barrow
     Bean
     Becerra
     Berkley
     Berman
     Berry
     Biggert
     Bilirakis
     Bishop (GA)
     Bishop (NY)
     Blumenauer
     Blunt
     Bonner
     Bono
     Boozman
     Boren
     Boswell
     Boucher
     Boyd (FL)
     Brady (PA)
     Braley (IA)
     Brown (SC)
     Brown, Corrine
     Brown-Waite, Ginny
     Buchanan
     Butterfield
     Buyer
     Calvert
     Campbell (CA)
     Capito
     Capps
     Capuano
     Cardoza
     Carnahan
     Carney
     Castle
     Castor
     Chandler
     Clarke
     Clay
     Cleaver
     Clyburn
     Coble
     Cohen
     Conyers
     Cooper
     Costa
     Costello
     Courtney
     Cramer
     Crenshaw
     Crowley
     Cuellar
     Cummings
     Davis (AL)
     Davis (CA)
     Davis, Lincoln
     Davis, Tom
     DeGette
     Delahunt
     DeLauro
     Dent
     Diaz-Balart, L.
     Diaz-Balart, M.
     Dicks
     Dingell
     Doggett
     Donnelly
     Doyle
     Dreier
     Edwards
     Ehlers
     Ellison
     Ellsworth
     Emanuel
     Emerson
     Engel
     English (PA)
     Eshoo
     Etheridge
     Everett
     Farr
     Fattah
     Ferguson
     Filner
     Forbes
     Fortenberry
     Frank (MA)
     Frelinghuysen
     Gerlach
     Giffords
     Gillibrand
     Gonzalez
     Goode
     Gordon
     Graves
     Green, Al
     Green, Gene
     Grijalva
     Gutierrez
     Hall (NY)
     Hare
     Harman
     Hayes
     Herseth Sandlin
     Higgins
     Hill
     Hinchey
     Hinojosa
     Hirono
     Hobson
     Hodes
     Holden
     Holt
     Honda
     Hoyer
     Hulshof
     Inglis (SC)
     Inslee
     Israel
     Issa
     Jackson (IL)
     Jackson-Lee (TX)
     Jefferson
     Johnson (GA)
     Johnson (IL)
     Jones (NC)
     Jones (OH)
     Kagen
     Kanjorski
     Kaptur
     Keller
     Kennedy
     Kildee
     Kilpatrick
     Kind
     King (NY)
     Kingston
     Kirk
     Klein (FL)
     Knollenberg
     Kucinich
     Kuhl (NY)
     LaHood
     Lampson
     Langevin
     Lantos
     Larsen (WA)
     Larson (CT)
     Latham
     LaTourette
     Lee
     Levin
     Lewis (GA)
     Lewis (KY)
     Lipinski
     LoBiondo
     Loebsack
     Lofgren, Zoe
     Lowey
     Lynch
     Mahoney (FL)
     Maloney (NY)
     Markey
     Marshall
     Matheson
     Matsui
     McCarthy (NY)
     McCaul (TX)
     McCollum (MN)
     McGovern
     McHugh
     McIntyre
     McMorris Rodgers
     McNerney
     McNulty
     Meek (FL)
     Meeks (NY)
     Melancon
     Michaud
     Miller (FL)
     Miller (NC)
     Miller, George
     Mitchell
     Mollohan
     Moore (KS)
     Moore (WI)
     Moran (KS)
     Moran (VA)
     Murphy (CT)
     Murphy, Patrick
     Murphy, Tim
     Murtha
     Myrick
     Nadler
     Napolitano
     Neal (MA)
     Oberstar
     Obey
     Olver
     Pallone
     Pascrell
     Payne
     Pelosi
     Perlmutter
     Peterson (MN)
     Peterson (PA)
     Petri
     Pickering
     Platts
     Pomeroy
     Porter
     Price (NC)
     Putnam
     Ramstad
     Rangel
     Rehberg
     Reichert
     Renzi
     Reyes
     Reynolds
     Richardson
     Rodriguez
     Rogers (AL)
     Ros-Lehtinen
     Roskam
     Ross
     Rothman
     Roybal-Allard
     Ruppersberger
     Rush
     Ryan (OH)
     Salazar
     Sanchez, Linda T.
     Sanchez, Loretta
     Sarbanes
     Saxton
     Schakowsky
     Schiff
     Schmidt
     Schwartz
     Scott (GA)
     Scott (VA)
     Serrano
     Sessions
     Sestak
     Shays
     Shea-Porter
     Sherman
     Shimkus
     Shuler
     Shuster
     Simpson
     Sires
     Skelton
     Slaughter
     Smith (NE)
     Smith (NJ)
     Smith (TX)
     Smith (WA)
     Snyder
     Solis
     Souder
     Space
     Spratt
     Stark
     Stupak
     Sutton
     Tanner
     Tauscher
     Taylor
     Terry
     Thompson (MS)
     Tiahrt
     Tiberi
     Tierney
     Towns
     Tsongas
     Udall (CO)
     Udall (NM)
     Upton
     Van Hollen
     Velazquez
     Visclosky
     Walden (OR)
     Walsh (NY)
     Walz (MN)
     Wamp
     Wasserman Schultz
     Waters
     Watson
     Watt
     Waxman
     Weiner
     Welch (VT)
     Whitfield (KY)
     Wilson (NM)
     Wilson (OH)
     Wilson (SC)
     Wolf
     Wu
     Wynn
     Yarmuth
     Young (FL)

                               NAYS--100

     Akin
     Alexander
     Bachmann
     Bachus
     Baker
     Barrett (SC)
     Bartlett (MD)
     Barton (TX)
     Bilbray
     Bishop (UT)
     Blackburn
     Boehner
     Boustany
     Boyda (KS)
     Brady (TX)
     Broun (GA)
     Burgess
     Burton (IN)
     Camp (MI)
     Cannon
     Cantor
     Carter
     Chabot
     Cole (OK)
     Conaway
     Culberson
     Davis (KY)
     Davis, David
     Deal (GA)
     DeFazio
     Doolittle
     Drake
     Duncan
     Fallin
     Feeney
     Flake
     Foxx
     Franks (AZ)
     Garrett (NJ)
     Gingrey
     Gohmert
     Goodlatte
     Granger
     Hall (TX)
     Hastings (WA)
     Heller
     Hensarling
     Herger
     Hoekstra
     Hunter
     Johnson, Sam
     Jordan
     Kline (MN)
     Lamborn
     Latta
     Lewis (CA)
     Linder
     Lucas
     Lungren, Daniel E.
     Mack
     Manzullo
     Marchant
     McCarthy (CA)
     McCotter
     McCrery
     McDermott
     McHenry
     McKeon
     Mica
     Miller (MI)
     Musgrave
     Neugebauer
     Nunes
     Pearce
     Pence
     Pitts
     Poe
     Price (GA)
     Radanovich
     Rahall
     Regula
     Rogers (KY)
     Rogers (MI)
     Rohrabacher
     Royce
     Ryan (WI)
     Sali
     Sensenbrenner
     Shadegg
     Stearns
     Sullivan
     Tancredo
     Thornberry
     Turner
     Walberg
     Weldon (FL)
     Westmoreland
     Wicker
     Wittman (VA)
     Young (AK)

                             NOT VOTING--19

     Cubin
     Davis (IL)
     Fossella
     Gallegly
     Gilchrest
     Hastings (FL)
     Hooley
     Jindal
     Johnson, E. B.
     King (IA)
     Miller, Gary
     Ortiz
     Pastor
     Paul
     Pryce (OH)
     Thompson (CA)
     Weller
     Wexler
     Woolsey

                              {time}  1345

  Mr. WILSON of South Carolina and Mr. MILLER of Florida changed their 
vote from ``nay'' to ``yea.''
  So the motion was agreed to.
  The result of the vote was announced as above recorded.
  A motion to reconsider was laid on the table.

[[Page 35934]]



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