[110th Congress Public Law 140]
[From the U.S. Government Printing Office]



[[Page 1491]]

              ENERGY INDEPENDENCE AND SECURITY ACT OF 2007

[[Page 121 STAT. 1492]]

Public Law 110-140
110th Congress

                                 An Act


 
    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. <<NOTE: Dec. 19, 
                           2007 -  [H.R. 6]>> 

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress <<NOTE: Energy Independence and 
Security Act of 2007. 42 USC 17001 note.>> assembled,

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.

                   Subtitle C--Federal Vehicle Fleets

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

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   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.

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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.

[[Page 121 STAT. 1495]]

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.
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.

[[Page 121 STAT. 1496]]

    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.

[[Page 121 STAT. 1497]]

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.

[[Page 121 STAT. 1498]]

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. <<NOTE: 42 USC 17001.>> 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 Higher Education Act of 1965 (20 U.S.C. 1001(a)).
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.

SEC. 3. <<NOTE: 42 USC 17002.>> 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 <<NOTE: Ten-in-Ten Fuel Economy Act.>> Corporate 
Average Fuel Economy Standards

SEC. 101. <<NOTE: 42 USC 30101 note.>> 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.--

[[Page 121 STAT. 1499]]

            ``(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 <<NOTE: Regulations.>> 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 <<NOTE: Federal 
                Register, publication.>> 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

[[Page 121 STAT. 1500]]

                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 <<NOTE: Deadline.>> 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--

[[Page 121 STAT. 1501]]

                    ``(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:

[[Page 121 STAT. 1502]]

    ``(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 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 <<NOTE: Regulations.>> 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:

[[Page 121 STAT. 1503]]

                          ``(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 <<NOTE: Regulations.>> 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) <<NOTE: Criteria. Deadline.>> 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

[[Page 121 STAT. 1504]]

                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. <<NOTE: 49 USC 32902 note.>> 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. <<NOTE: 49 USC 32902 note.>> NATIONAL ACADEMY OF SCIENCES 
            STUDIES.

    (a) In <<NOTE: Contracts.>> 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.

[[Page 121 STAT. 1505]]

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

    (a) In <<NOTE: Contracts.>> 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
            ``(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.''.

[[Page 121 STAT. 1506]]

    (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. <<NOTE: 42 USC 32908 note.>> PERIODIC REVIEW OF ACCURACY OF 
            FUEL ECONOMY LABELING PROCEDURES.

    Beginning in <<NOTE: Effective date. Deadlines.>> 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 CFR 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) <<NOTE: Reports.>> 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 <<NOTE: Deadline.>> 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;

[[Page 121 STAT. 1507]]

                    ``(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 <<NOTE: Penalties.>> 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''.

[[Page 121 STAT. 1508]]

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 <<NOTE: 49 USC 32904 note.>> 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. <<NOTE: 42 USC 17011.>> 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--

[[Page 121 STAT. 1509]]

                          (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--
                    (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 
        one 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 <<NOTE: Grants.>> 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,

[[Page 121 STAT. 1510]]

        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 <<NOTE: Applicability.>> 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 <<NOTE: Grants.>> Transportation Sector 
Electrification Program.--
            (1) In <<NOTE: Deadline.>> 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 <<NOTE: Applicability.>> 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''.

[[Page 121 STAT. 1511]]

            (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 non-road 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).

[[Page 121 STAT. 1512]]

            ``(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 <<NOTE: Deadline.>> 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.''.

[[Page 121 STAT. 1513]]

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. <<NOTE: 42 USC 17012.>> 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 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.

[[Page 121 STAT. 1514]]

    (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. <<NOTE: 42 USC 17013.>> 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

[[Page 121 STAT. 1515]]

                    (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 <<NOTE: Awards.>> 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 <<NOTE: Applicability.>> 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 <<NOTE: Deadline.>> 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;

[[Page 121 STAT. 1516]]

                    (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 <<NOTE: Regulations.>> 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.

[[Page 121 STAT. 1517]]

                   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--
            (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 <<NOTE: Certification.>> 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 <<NOTE: Applicability.>> rule for 
                vehicles provided by funds contained in members' 
                representational allowance.--This paragraph shall apply 
                to the acquisition of a light

[[Page 121 STAT. 1518]]

                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. <<NOTE: 42 USC 6374e.>> FEDERAL FLEET CONSERVATION 
            REQUIREMENTS.

    ``(a) Mandatory Reduction in Petroleum Consumption.--
            ``(1) In <<NOTE: Deadline. Regulations.>> 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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1519]]

                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.

[[Page 121 STAT. 1520]]

                                    ``(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 <<NOTE: Notice.>> 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:

[[Page 121 STAT. 1521]]

                          ``(i) Planted crops and crop residue harvested 
                      from agricultural land cleared or cultivated at 
                      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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1522]]

        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(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(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


[[Page 121 STAT. 1523]]


                                    ``(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(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(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 wetlands, 
                                ecosystems, 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);

[[Page 121 STAT. 1524]]

                                    ``(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 <<NOTE: Regulations. Deadline.>> 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),

[[Page 121 STAT. 1525]]

                and (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 <<NOTE: Deadline.>> 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 subparagraphs (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

[[Page 121 STAT. 1526]]

                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 <<NOTE: Deadline.>> 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) <<NOTE: Deadline. Regulations.>> Eighteen 
                months after the 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

[[Page 121 STAT. 1527]]

                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 <<NOTE: Regulations. Deadline.>> 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

[[Page 121 STAT. 1528]]

                          ``(ii) at least 50 percent of such volume 
                      requirement for a single year,
                the Administrator shall promulgate a rule (within 1 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 <<NOTE: Contracts.>> 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 consumers 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
            (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 <<NOTE: Reports.>> 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.

[[Page 121 STAT. 1529]]

    (f) Periodic <<NOTE: 42 USC 7545.>> 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. <<NOTE: 42 USC 7545 note.>> ENVIRONMENTAL AND RESOURCE 
            CONSERVATION IMPACTS.

    (a) In <<NOTE: Deadlines. Reports.>> 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. <<NOTE: 42 USC 17021.>> 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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1530]]

        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;

[[Page 121 STAT. 1531]]

                    (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. <<NOTE: 42 USC 17022.>> 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 an 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 <<NOTE: Deadline.>> later than 3 
        years after the date of enactment of this subsection, the 
        Administrator shall--

[[Page 121 STAT. 1532]]

                    ``(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 <<NOTE: 42 USC 7545 note.>> 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 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) <<NOTE: Termination date.>> 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 <<NOTE: Regulations. Deadline. 42 USC 7545 
note.>> 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 1 year after the enactment of this Act.

[[Page 121 STAT. 1533]]

              Subtitle B--Biofuels Research and Development

SEC. 221. <<NOTE: 42 USC 17031.>> BIODIESEL.

    (a) Biodiesel <<NOTE: Reports.>> 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 <<NOTE: Public information.>> 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. <<NOTE: Deadline. Reports.>> 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. <<NOTE: 42 USC 17032.>> 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 the 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

[[Page 121 STAT. 1534]]

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

[[Page 121 STAT. 1535]]

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. <<NOTE: Deadline. Reports.>> 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. <<NOTE: Establishment. 42 USC 17033.>> 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;
            (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.

[[Page 121 STAT. 1536]]

    (c) Coordination and Nonduplication.--To the 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. <<NOTE: 42 USC 17034.>> 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:

[[Page 121 STAT. 1537]]

            ``(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

[[Page 121 STAT. 1538]]

        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. <<NOTE: 42 USC 17035.>> 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 
        meaning 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:

[[Page 121 STAT. 1539]]

``SEC. 107. <<NOTE: 15 USC 2807.>> 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
                    ``(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

[[Page 121 STAT. 1540]]

by the applicable franchisee shall prevent the franchisee from selling a 
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. <<NOTE: 42 USC 17051.>> 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 <<NOTE: Reports.>> 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--

[[Page 121 STAT. 1541]]

            (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. <<NOTE: 42 USC 17052.>> RENEWABLE FUEL INFRASTRUCTURE GRANTS.

    (a) Definition of Renewable Fuel Blend.--For purposes of this 
section, the term ``renewable fuel blend'' means a gasoline blend that 
contains 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 <<NOTE: Deadline.>> 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;

[[Page 121 STAT. 1542]]

                    (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 <<NOTE: Regulations.>> 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 <<NOTE: Deadline.>> 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. <<NOTE: Website.>> 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 <<NOTE: Contracts.>> 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;

[[Page 121 STAT. 1543]]

            (2) help in identifying supply sources and securing long-
        term contracts; and
            (3) provision of public outreach, education, and labeling 
        materials.

    (d) Refueling <<NOTE: Grants.>> 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.
            (3) Applications.--
                    (A) Requirements.--
                          (i) In <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1544]]

                                        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

[[Page 121 STAT. 1545]]

                pilot program are transferred among the pilot program 
                participants and to other interested parties, including 
                other applicants that submitted applications.
            (6) <<NOTE: Deadlines. Federal 
        Register, publication. Publication.>> 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

[[Page 121 STAT. 1546]]

                      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 of 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;

[[Page 121 STAT. 1547]]

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

SEC. 246. <<NOTE: 42 USC 17053.>> FEDERAL FLEET FUELING CENTERS.

    (a) In <<NOTE: Deadline.>> 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 <<NOTE: Deadline. Regulations.>> 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.

[[Page 121 STAT. 1548]]

    ``(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. <<NOTE: Appropriation 
authorization.>> 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. <<NOTE: 42 USC 17054.>> 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:

[[Page 121 STAT. 1549]]

    ``(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 <<NOTE: Notice. Deadline.>> 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--

[[Page 121 STAT. 1550]]

                                    ``(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
------------------------------------------------------------------------



[[Page 121 STAT. 1551]]

                    ``(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--
                                    ``(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 <<NOTE: Publication.>> 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) <<NOTE: Applicability.>> Administr
                                ation.--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 <<NOTE: Publication.>> 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) <<NOTE: Applicability.>> Administr
                                ation.--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. <<NOTE: Deadline. Federal Register, publication.>> 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

[[Page 121 STAT. 1552]]

                          ``(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 <<NOTE: 42 USC 6314.>> 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
            Boiler Type              Fuel Utilization        Design
                                        Efficiency        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

[[Page 121 STAT. 1553]]

                      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 clauses 
                      (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 <<NOTE: Deadline. Publication. Notice.>> 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 <<NOTE: Public information.>> 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 <<NOTE: Deadline. Publication.>> 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.

[[Page 121 STAT. 1554]]

                    ``(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--
            (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 <<NOTE: Deadlines.>> energy efficiency 
        standards.--
                    ``(A) In general.--
                          ``(i) Analysis <<NOTE: Federal 
                      Register, publication.>> 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

[[Page 121 STAT. 1555]]

                      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 <<NOTE: Federal 
                                Register, publication.>> 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 <<NOTE: Publication.>> of 
                standard.--
                          ``(i) In <<NOTE: Notice.>> 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 <<NOTE: Public 
                      information.>> 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).

[[Page 121 STAT. 1556]]

                          ``(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.

[[Page 121 STAT. 1557]]

                    ``(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

[[Page 121 STAT. 1558]]

                                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 <<NOTE: Deadline.>> 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 <<NOTE: Deadline.>> rule.--Not 
                                later than 15 months after the date of 
                                the issuance of a final rule that 
                                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.

[[Page 121 STAT. 1559]]

                                    ``(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 <<NOTE: Deadline.>> 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 <<NOTE: Deadline.>> 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 <<NOTE: 42 USC 
6295.>> Conservation Act (42 U.S.C. 6925(p)) is amended--
            (1) by striking paragraph (1); and

[[Page 121 STAT. 1560]]

            (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 <<NOTE: Publication.>> 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 <<NOTE: Deadline. Federal 
                      Register, publication.>> 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--

[[Page 121 STAT. 1561]]

                                    ``(I) proceed with the notice of 
                                proposed rulemaking published 
                                simultaneously with the direct final 
                                rule as described in subparagraph 
                                (A)(i); and
                                    ``(II) <<NOTE: Federal 
                                Register, publication.>> 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 <<NOTE: Deadline. Regulations.>> 
                                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 paragraphs (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

[[Page 121 STAT. 1562]]

                                    ``(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 <<NOTE: Regulations.>> 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.
                          ``(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

[[Page 121 STAT. 1563]]

                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 <<NOTE: Deadline. Regulations.>> 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.

[[Page 121 STAT. 1564]]

                          ``(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 gallons 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 <<NOTE: Deadline. Regulations.>> 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 standards.--The 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 <<NOTE: Deadline. Regulations.>> 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.--

[[Page 121 STAT. 1565]]

            ``(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 <<NOTE: Effective date.>> 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 <<NOTE: Deadline.>> 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.

[[Page 121 STAT. 1566]]

                    ``(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 <<NOTE: Deadline. Publication.>> general.--
                Not later than January 1, 2012, the Secretary shall 
                publish performance-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 <<NOTE: Deadline. Publication. Regulations.>> 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:

[[Page 121 STAT. 1567]]

            ``(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 <<NOTE: Deadline.>> 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 <<NOTE: Applicability.>> 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 <<NOTE: Applicability.>> 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 timeframe established under 
                paragraph (4) or (5) of section 342(f), subsections (b) 
                and (c)

[[Page 121 STAT. 1568]]

                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 CFR 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) Amendments.--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.--

[[Page 121 STAT. 1569]]

                    ``(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 <<NOTE: 42 USC 6313 note.>> 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;

[[Page 121 STAT. 1570]]

                    ``(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
                    ``(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 3-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.--

[[Page 121 STAT. 1571]]

                    ``(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), 3-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), 3-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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1572]]

                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; <<NOTE: 42 USC 
        6291.>> 119 Stat. 624) is amended by striking ``C78.1-1978 
        (R1984)'' and inserting ``C78.3-1978 (R1984)''.
            (2) Effective <<NOTE: 42 USC 6291 note.>> 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--

[[Page 121 STAT. 1573]]

                    ``(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--

[[Page 121 STAT. 1574]]

                                    ``(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.
                          ``(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

[[Page 121 STAT. 1575]]

                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

[[Page 121 STAT. 1576]]

                                    ``(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--

[[Page 121 STAT. 1577]]

                          ``(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     Minimum Rate    Effective
   Rated Lumen Ranges           Wattage         Lifetime        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
------------------------------------------------------------------------



         ``MODIFIED SPECTRUM GENERAL SERVICE INCANDESCENT LAMPS
------------------------------------------------------------------------
                             Maximum Rate     Minimum Rate    Effective
   Rated Lumen Ranges           Wattage         Lifetime        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.--

[[Page 121 STAT. 1578]]

                          ``(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--

[[Page 121 STAT. 1579]]

                                    ``(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 <<NOTE: Deadline.>> 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 <<NOTE: Publication. Regulations. Deadline.
                       Effective date.>> 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,

[[Page 121 STAT. 1580]]

                      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 <<NOTE: Effective 
                      date.>> 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 <<NOTE: California. Nevada. Effective 
                      date.>> 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 <<NOTE: Deadline.>> 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 <<NOTE: Publication. Regulation. Deadline. 
                      Effective date.>> 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

[[Page 121 STAT. 1581]]

                      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 <<NOTE: Effective 
        dates. Deadlines.>> 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 
                      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

[[Page 121 STAT. 1582]]

                                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.--

[[Page 121 STAT. 1583]]

                          ``(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

[[Page 121 STAT. 1584]]

                      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 <<NOTE: Deadlines.>> 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 <<NOTE: 42 USC 6294 note.>> Assessments and Consumer 
Awareness Program.--

[[Page 121 STAT. 1585]]

            (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--
            (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) <<NOTE: California. Nevada.>> 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 State 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 State of California 
                or Nevada shall no longer be effective; and

[[Page 121 STAT. 1586]]

                    ``(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 <<NOTE: 42 USC 6295 note.>> 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;

[[Page 121 STAT. 1587]]

                    (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

[[Page 121 STAT. 1588]]

                          ``(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)) <<NOTE: 42 USC 6295.>> 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
                                       35 W               45                    75.0                    36

[[Page 121 STAT. 1589]]

 
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:

[[Page 121 STAT. 1590]]

            ``(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 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

[[Page 121 STAT. 1591]]

        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 1 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 = 
                P<INF>out</INF>/P<INF>in</INF>.
                    ``(B) Efficiency formula.--For the purpose of 
                subparagraph (A)--
                          ``(i) P<INF>out </INF>shall equal the measured 
                      operating lamp wattage;

[[Page 121 STAT. 1592]]

                          ``(ii) P<INF>in</INF> 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, 
                      P<INF>in</INF> and P<INF>out</INF> 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, P<INF>in</INF> and P<INF>out</INF> 
                      shall have a basic accuracy of <plus-minus>  0.5 
                      percent at the higher of--
                                    ``(I) 3 times the output operating 
                                frequency of the ballast; or
                                    ``(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

[[Page 121 STAT. 1593]]

                          ``(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 <<NOTE: Regulations.>> 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 <<NOTE: Deadlines.>> 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--

[[Page 121 STAT. 1594]]

                          ``(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 <<NOTE: Publication.>> 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 <<NOTE: Applicability.>> 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 <<NOTE: Publication.>> 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 <<NOTE: Applicability.>> 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) <<NOTE: Deadlines.>> 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--

[[Page 121 STAT. 1595]]

                          ``(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 <<NOTE: Deadline.>> 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--

[[Page 121 STAT. 1596]]

                                    ``(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.''.

    (b) Content of Label.--Section 324(c) of the Energy Policy and 
Conservation Act <<NOTE: 42 USC 6294.>> (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. <<NOTE: 42 USC 17061.>> 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;

[[Page 121 STAT. 1597]]

                          (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 sections 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

[[Page 121 STAT. 1598]]

                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;

[[Page 121 STAT. 1599]]

                    (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, commissioning, operation

[[Page 121 STAT. 1600]]

        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 <<NOTE: 42 USC 6872 note.>> 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

[[Page 121 STAT. 1601]]

                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 <<NOTE: Deadline.>> 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. <<NOTE: 42 USC 17071.>> ENERGY CODE IMPROVEMENTS APPLICABLE TO 
            MANUFACTURED HOUSING.

    (a) Establishment of Standards.--
            (1) In <<NOTE: Deadline. Regulations.>> 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

[[Page 121 STAT. 1602]]

        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 <<NOTE: Deadlines.>> 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. <<NOTE: 42 USC 17081.>> COMMERCIAL HIGH-PERFORMANCE GREEN 
            BUILDINGS.

    (a) Director <<NOTE: Appointment.>> 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;

[[Page 121 STAT. 1603]]

            (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.--
            (1) Recognition.--Not <<NOTE: Deadline.>> 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;

[[Page 121 STAT. 1604]]

                    (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. <<NOTE: 42 USC 17082.>> 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''--

[[Page 121 STAT. 1605]]

                    (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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1606]]

            (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. <<NOTE: 42 USC 17083.>> 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.

[[Page 121 STAT. 1607]]

             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:
                    ``(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.--

[[Page 121 STAT. 1608]]

                          ``(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 `retrocommis-
                sioning' means a process of commissioning a facility or 
                system that was not commissioned at the 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).

[[Page 121 STAT. 1609]]

                    ``(B) Covered <<NOTE: Criteria.>> 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 <<NOTE: Effective 
                date.>> 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 <<NOTE: Deadline.>> 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 <<NOTE: Deadlines.>> 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

[[Page 121 STAT. 1610]]

                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 <<NOTE: Deadline.>> 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 <<NOTE: Internet.>> 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.

[[Page 121 STAT. 1611]]

                    ``(B) System <<NOTE: Deadline.>> 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 subsection, 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 <<NOTE: Internet.>> Director shall make the 
                scorecards required under this paragraph available to 
                Congress, other Federal agencies, and the public through 
                the Internet.
            ``(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.''.

[[Page 121 STAT. 1612]]

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) <<NOTE: Deadline. Regulations.>> 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) <<NOTE: Applicability. Deadline.>> 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

[[Page 121 STAT. 1613]]

                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 <<NOTE: Deadline.>> 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) <<NOTE: Study.>> At least once every 5 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). <<NOTE: Guidelines.>> The Secretary shall include in 
        any such rule guidelines to ensure that the certification 
        process results in buildings meeting the applicable 
        certification system

[[Page 121 STAT. 1614]]

        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 <<NOTE: Deadline. 42 USC 6834 note.>> 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 <<NOTE: Deadline.>> 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 <<NOTE: Deadline.>> for review of investment 
        decisions.--Not later than 180 days after the date of enactment 
        of this subsection, each Federal agency shall--

[[Page 121 STAT. 1615]]

                    ``(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) <<NOTE: Reports.>> 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 the 
second sentence the following: <<NOTE: Deadline.>> ``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. <<NOTE: 42 USC 17091.>> LEASING.

    (a) In <<NOTE: Effective date.>> 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 <<NOTE: Deadline.>> without energy star 
        label.--If one 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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1616]]

        consult with the Federal Director and the Commercial Director 
        before promulgating regulations to carry out this subsection.

SEC. 436. HIGH-PERFORMANCE <<NOTE: 42 USC 17092.>> GREEN FEDERAL 
            BUILDINGS.

    (a) Establishment <<NOTE: Deadline.>> 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;

[[Page 121 STAT. 1617]]

            (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 <<NOTE: Deadline.>> 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);

[[Page 121 STAT. 1618]]

            (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 <<NOTE: Deadline.>> 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. 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) <<NOTE: Study. Deadline.>> 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;

[[Page 121 STAT. 1619]]

                    (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. <<NOTE: 42 USC 17093.>> FEDERAL GREEN BUILDING PERFORMANCE.

    (a) In General.--Not <<NOTE: Deadline.>> 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) <<NOTE: Audit.>> 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) <<NOTE: Reports.>> 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

[[Page 121 STAT. 1620]]

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. <<NOTE: 42 USC 17094.>> 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. <<NOTE: 42 USC 17095.>> 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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1621]]

                      pump technology standards that could be used for 
                      all types of GSA facilities.
            (2) Replacement.--
                    (A) In general.--As <<NOTE: Deadline.>> 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 <<NOTE: Deadline.>> 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 <<NOTE: Deadline.>> 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-

[[Page 121 STAT. 1622]]

                effective technologies and practices is designated for 
                each GSA facility; and
                    (B) <<NOTE: Plan.>> 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 <<NOTE: Deadline.>> 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) <<NOTE: Deadline.>> 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;
                    (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;

[[Page 121 STAT. 1623]]

                    (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. <<NOTE: 42 USC 17096.>> 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. <<NOTE: 42 USC 6341.>> 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.

[[Page 121 STAT. 1624]]

            ``(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. <<NOTE: 42 USC 6342.>> 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 <<NOTE: Deadline. Publication. Regulations.>> 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

[[Page 121 STAT. 1625]]

                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 one-half 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 <<NOTE: Deadline.>> 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) <<NOTE: Public 
                      information. Website.>> 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 <<NOTE: Notification.>> 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

[[Page 121 STAT. 1626]]

                      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.
            ``(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

[[Page 121 STAT. 1627]]

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. <<NOTE: 42 USC 6343.>> 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.

[[Page 121 STAT. 1628]]

                    ``(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 <<NOTE: Regulations.>> 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. <<NOTE: 42 USC 6344.>> ADDITIONAL INCENTIVES FOR RECOVERY, 
            USE, AND PREVENTION OF INDUSTRIAL WASTE ENERGY.

    ``(a) Consideration of Standard.--
            ``(1) In general.--
        Not <<NOTE: Deadline. Notification.>> 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--

[[Page 121 STAT. 1629]]

                    ``(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

[[Page 121 STAT. 1630]]

        arrangement that is mutually satisfactory and in accord with 
        State law.

    ``(d) Rate Conditions and Criteria.--
            ``(1) Definitions.--In this subsection:
                    ``(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

[[Page 121 STAT. 1631]]

                      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

[[Page 121 STAT. 1632]]

                          ``(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. <<NOTE: 42 USC 6345.>> 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

[[Page 121 STAT. 1633]]

        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

[[Page 121 STAT. 1634]]

                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;
                    ``(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. <<NOTE: 42 USC 17111.>> 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--

[[Page 121 STAT. 1635]]

                          (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;

[[Page 121 STAT. 1636]]

                    (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

[[Page 121 STAT. 1637]]

            (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. <<NOTE: 42 USC 17112.>> 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 <<NOTE: Deadline.>> 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--
                    (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

[[Page 121 STAT. 1638]]

                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

[[Page 121 STAT. 1639]]

                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) <<NOTE: Deadline.>> 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 <<NOTE: Deadline.>> 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.

[[Page 121 STAT. 1640]]

              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. <<NOTE: 15 USC 2695.>> 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. <<NOTE: 15 USC 2695a.>> MODEL GUIDELINES FOR SITING OF 
            SCHOOL FACILITIES.

    ``Not <<NOTE: Deadline.>> 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. <<NOTE: 15 USC 2695b.>> PUBLIC OUTREACH.

    ``(a) Reports.--The <<NOTE: Publication.>> 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,

[[Page 121 STAT. 1641]]

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. <<NOTE: 15 USC 2695c.>> ENVIRONMENTAL HEALTH PROGRAM.

    ``(a) In General.--Not <<NOTE: Deadline.>> 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;
                    ``(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

[[Page 121 STAT. 1642]]

            ``(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. <<NOTE: 15 USC 2695d.>> 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 <<NOTE: Contracts.>> 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:

[[Page 121 STAT. 1643]]

``SEC. 399A. ENERGY <<NOTE: 42 USC 6371h-1.>> 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;

[[Page 121 STAT. 1644]]

                    ``(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),

[[Page 121 STAT. 1645]]

                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;
                    ``(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;

[[Page 121 STAT. 1646]]

                    ``(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.

[[Page 121 STAT. 1647]]

                    ``(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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1648]]

        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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1649]]

        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''.

                     Subtitle H--General Provisions

SEC. 491. <<NOTE: 42 USC 17121.>> DEMONSTRATION PROJECT.

    (a) In General.--The <<NOTE: Guidelines.>> 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

[[Page 121 STAT. 1650]]

                      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;

[[Page 121 STAT. 1651]]

                          (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. <<NOTE: 42 USC 17122.>> 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--

[[Page 121 STAT. 1652]]

                    (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. <<NOTE: 42 USC 7628.>> 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

[[Page 121 STAT. 1653]]

                    ``(B) to achieve operational cost savings, through 
                the application of cost-effective technologies and 
                practices, as verified by the Administrator.
            ``(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 <<NOTE: Deadline.>> 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.

[[Page 121 STAT. 1654]]

    ``(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. <<NOTE: 42 USC 17123.>> GREEN BUILDING ADVISORY COMMITTEE.

    (a) Establishment.--Not <<NOTE: Deadline.>> 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. <<NOTE: 42 USC 17124.>> 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;

[[Page 121 STAT. 1655]]

            (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. <<NOTE: 2 USC 2169.>> 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. <<NOTE: 2 USC 1824.>> 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

[[Page 121 STAT. 1656]]

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. <<NOTE: 2 USC 2162a.>> 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 <<NOTE: Deadline.>> 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 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

[[Page 121 STAT. 1657]]

            (2) <<NOTE: 2 USC 2162.>> 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 1 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.

[[Page 121 STAT. 1658]]

            ``(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

[[Page 121 STAT. 1659]]

                      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 <<NOTE: Deadline.>> 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. <<NOTE: 42 USC 17131.>> 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

[[Page 121 STAT. 1660]]

            (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 
        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.--

[[Page 121 STAT. 1661]]

                    (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 <<NOTE: Reports.>> 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 the 
                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

[[Page 121 STAT. 1662]]

made available for the energy program). Such sums shall remain available 
until expended.

SEC. 522. <<NOTE: 42 USC 17141.>> PROHIBITION ON INCANDESCENT LAMPS BY 
            COAST GUARD.

    (a) Prohibition.--Except as <<NOTE: Effective date.>> 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

[[Page 121 STAT. 1663]]

                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 <<NOTE: Records.>> 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 <<NOTE: 42 USC 8259b note.>> 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. <<NOTE: 42 USC 17142.>> 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. <<NOTE: 42 USC 17143.>> 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

[[Page 121 STAT. 1664]]

            (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. <<NOTE: 42 USC 17144.>> 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 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. <<NOTE: 42 USC 8279.>> 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.

[[Page 121 STAT. 1665]]

            ``(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 1 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) <<NOTE: Publication.>> 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 <<NOTE: Deadline. Proposal.>> 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--

[[Page 121 STAT. 1666]]

                    ``(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

[[Page 121 STAT. 1667]]

                      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 (15 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. <<NOTE: 42 USC 17151.>> 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).
            (6) State.--The term ``State'' means--
                    (A) a State;

[[Page 121 STAT. 1668]]

                    (B) the District of Columbia;
                    (C) the Commonwealth of Puerto Rico; and
                    (D) any other territory or possession of the United 
                States.

SEC. 542. <<NOTE: 42 USC 17152.>> 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 a 
        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. <<NOTE: 42 USC 17153.>> 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

[[Page 121 STAT. 1669]]

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 <<NOTE: Deadline. Federal 
Register, publication.>> 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 <<NOTE: Establishment.>> 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. <<NOTE: 42 USC 17154.>> 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;

[[Page 121 STAT. 1670]]

                    (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. <<NOTE: 42 USC 17155.>> 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.

[[Page 121 STAT. 1671]]

            (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 <<NOTE: Deadline.>> 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 <<NOTE: Deadline.>> 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.
                    (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

[[Page 121 STAT. 1672]]

        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 <<NOTE: Deadline.>> 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 the program to assist the 
                      State in achieving the goals established under 
                      subparagraph (A), in accordance with sections 
                      542(b) and 544.

[[Page 121 STAT. 1673]]

            (3) Approval by secretary.--
                    (A) In general.--The <<NOTE: Deadline.>> 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 by 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. <<NOTE: 42 USC 17156.>> 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.

[[Page 121 STAT. 1674]]

SEC. 547. <<NOTE: 42 USC 17157.>> 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. <<NOTE: 42 USC 17158.>> 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 <<NOTE: Solar Energy Research and Advancement Act of 
2007.>> Energy

SEC. 601. <<NOTE: 42 USC 17001 note.>> SHORT TITLE.

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

SEC. 602. <<NOTE: 42 USC 17171.>> 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

[[Page 121 STAT. 1675]]

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. <<NOTE: Deadlines. Reports.>> 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. <<NOTE: 42 USC 17172.>> 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 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.

[[Page 121 STAT. 1676]]

            (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. <<NOTE: 42 USC 17173.>> 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. <<NOTE: 42 USC 17174.>> 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:

[[Page 121 STAT. 1677]]

            (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 <<NOTE: Applicability.>> 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. <<NOTE: 42 USC 17175.>> 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 <<NOTE: Grants.>> 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 <<NOTE: Deadline.>> 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

[[Page 121 STAT. 1678]]

            (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 photovoltaic technologies. <<NOTE: Reports.>> 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 <<NOTE: Advanced Geothermal Energy Research and 
Development Act of 2007.>> Energy

SEC. 611. <<NOTE: 42 USC 17001 note.>> SHORT TITLE.

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

[[Page 121 STAT. 1679]]

SEC. 612. <<NOTE: 42 USC 17191.>> 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.
                    (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. <<NOTE: 42 USC 17192.>> 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.

[[Page 121 STAT. 1680]]

SEC. 614. <<NOTE: 42 USC 17193.>> 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. <<NOTE: 42 USC 17194.>> 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--

[[Page 121 STAT. 1681]]

                    (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. <<NOTE: 42 USC 17195.>> 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. <<NOTE: Grants.>> 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;

[[Page 121 STAT. 1682]]

            (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 1 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 <<NOTE: Deadline.>> Selection.--Not less than 
90 days after the date of the enactment of 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. <<NOTE: 42 USC 17196.>> 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

[[Page 121 STAT. 1683]]

        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. <<NOTE: 42 USC 17197.>> CENTER FOR GEOTHERMAL TECHNOLOGY 
            TRANSFER.

    (a) In General.--The <<NOTE: Grants.>> 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. <<NOTE: 42 USC 17198.>> 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. <<NOTE: 42 USC 17199.>> 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

[[Page 121 STAT. 1684]]

by the facility shall be available to students and the general public. 
The total funding award shall not exceed $2,000,000.

SEC. 621. <<NOTE: 42 USC 17200.>> 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. <<NOTE: 42 USC 17201.>> 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. <<NOTE: 42 USC 17202.>> 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. <<NOTE: 42 USC 17203.>> INTERNATIONAL GEOTHERMAL ENERGY 
            DEVELOPMENT.

    (a) In General.--The Secretary of Energy, in coordination with other 
appropriate Federal and multilateral agencies (including

[[Page 121 STAT. 1685]]

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. <<NOTE: 42 USC 17204.>> 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.

[[Page 121 STAT. 1686]]

  Subtitle C--Marine <<NOTE: Marine and Hydrokinetic Renewable Energy 
   Research and Development Act.>> and Hydrokinetic Renewable Energy 
Technologies

SEC. 631. <<NOTE: 42 USC 17001 note.>> SHORT TITLE.

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

SEC. 632. <<NOTE: 42 USC 17211.>> 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. <<NOTE: 42 USC 17212.>> MARINE AND HYDROKINETIC RENEWABLE 
            ENERGY RESEARCH AND DEVELOPMENT.

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

[[Page 121 STAT. 1687]]

        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. <<NOTE: 42 USC 17213.>> NATIONAL MARINE RENEWABLE ENERGY 
            RESEARCH, DEVELOPMENT, AND DEMONSTRATION CENTERS.

    (a) Centers.--The <<NOTE: Grants.>> 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.

[[Page 121 STAT. 1688]]

    (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. <<NOTE: 42 USC 17214.>> 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. <<NOTE: 42 USC 17215.>> 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 <<NOTE: United States Energy Storage Competitiveness 
Act of 2007.>> Storage for Transportation and Electric Power

SEC. 641. <<NOTE: 42 USC 17231.>> 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.

[[Page 121 STAT. 1689]]

            (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 <<NOTE: Deadline.>> 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 <<NOTE: Deadlines.>> 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--

[[Page 121 STAT. 1690]]

                    (A) <<NOTE: Deadline.>> 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 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

[[Page 121 STAT. 1691]]

        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.

[[Page 121 STAT. 1692]]

            (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.

[[Page 121 STAT. 1693]]

            (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 <<NOTE: Deadline. Contracts.>>  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;
            (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

[[Page 121 STAT. 1694]]

            (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. <<NOTE: 42 USC 17241.>>  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. <<NOTE: 42 USC 17242.>>  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

[[Page 121 STAT. 1695]]

        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 5 
        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) <<NOTE: Applicability.>>  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 SO<INF>2</INF> 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.

[[Page 121 STAT. 1696]]

                    ``(C) <<NOTE: Contracts.>>  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

[[Page 121 STAT. 1697]]

                          ``(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 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

[[Page 121 STAT. 1698]]

                      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);

[[Page 121 STAT. 1699]]

                    ``(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

[[Page 121 STAT. 1700]]

        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. <<NOTE: 42 USC 17243.>>  BRIGHT TOMORROW LIGHTING PRIZES.

    (a) Establishment.--Not <<NOTE: Deadline.>>  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;

[[Page 121 STAT. 1701]]

                    (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;
                    (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.--

[[Page 121 STAT. 1702]]

            (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) <<NOTE: Establishment.>>  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) <<NOTE: Deadline.>>  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

[[Page 121 STAT. 1703]]

                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. <<NOTE: 42 USC 17244.>>  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).

[[Page 121 STAT. 1704]]

    (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) <<NOTE: Applicability.>>  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 5 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 <<NOTE: Department of Energy Carbon Capture and Sequestration 
   Research, Development, and Demonstration Act of 2007. 42 USC 17001 
note.>>  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'';

[[Page 121 STAT. 1705]]

            (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 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--

[[Page 121 STAT. 1706]]

                          ``(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.

[[Page 121 STAT. 1707]]

                    ``(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.''.

[[Page 121 STAT. 1708]]

    (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. <<NOTE: 42 USC 17251.>>  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) <<NOTE: Applicability.>>  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.

[[Page 121 STAT. 1709]]

SEC. 704. <<NOTE: 42 USC 17252.>>  REVIEW OF LARGE-SCALE PROGRAMS.

    The <<NOTE: Contracts.>>  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 
maximized. <<NOTE: Deadline. Reports.>>  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. <<NOTE: 42 USC 17253.>>  GEOLOGIC SEQUESTRATION TRAINING AND 
            RESEARCH.

    (a) Study.--
            (1) <<NOTE: Contracts.>>  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

[[Page 121 STAT. 1710]]

        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. <<NOTE: 42 USC 17254.>>  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. <<NOTE: 42 USC 17255.>>  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. <<NOTE: 42 USC 17256.>>  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. <<NOTE: 42 USC 17271.>>  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,

[[Page 121 STAT. 1711]]

        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 <<NOTE: Deadline.>>  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) <<NOTE: Establishment.>>  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

[[Page 121 STAT. 1712]]

        geoscience organizations to review the methodology and comments 
        received under paragraph (1); and
            (3) <<NOTE: Federal Register, publication.>>  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 <<NOTE: Deadline.>>  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.
            (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.

[[Page 121 STAT. 1713]]

SEC. 712. <<NOTE: 42 USC 17272.>>  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 <<NOTE: Deadline.>>  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--

[[Page 121 STAT. 1714]]

                    (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 <<NOTE: Deadline.>>  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) <<NOTE: Deadline.>>  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) <<NOTE: Establishment.>>  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 <<NOTE: Federal Register, publication.>>  
                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) <<NOTE: Deadline. Reports.>>  not later than 180 days 
        after the date on which the assessment is completed, submit to 
        the heads of applicable

[[Page 121 STAT. 1715]]

        Federal agencies and the appropriate committees of Congress a 
        report that describes the results of the assessment.

    (h) Data and Report Availability.--On <<NOTE: Public 
information. Website.>>  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

[[Page 121 STAT. 1716]]

        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 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. <<NOTE: 42 USC 17281.>>  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

[[Page 121 STAT. 1717]]

            (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.--

[[Page 121 STAT. 1718]]

                    ``(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) <<NOTE: Applicability.>>  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. <<NOTE: 42 USC 17282.>>  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--

[[Page 121 STAT. 1719]]

                          (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 <<NOTE: Deadline.>>  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

[[Page 121 STAT. 1720]]

                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. <<NOTE: 42 USC 17283.>>  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.
                    (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) <<NOTE: Deadlines. Reports.>>  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

[[Page 121 STAT. 1721]]

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. <<NOTE: 42 USC 17284.>>  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

[[Page 121 STAT. 1722]]

                    (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 <<NOTE: Deadline.>>  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. <<NOTE: 42 USC 17285.>>  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

[[Page 121 STAT. 1723]]

            (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. <<NOTE: Deadlines. 42 USC 17286.>> 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) <<NOTE: Reports.>> 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. <<NOTE: 42 USC 17301.>>  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. <<NOTE: 42 USC 17302.>>  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

[[Page 121 STAT. 1724]]

            (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. <<NOTE: 42 USC 17303.>>  ENFORCEMENT BY THE FEDERAL TRADE 
            COMMISSION.

    (a) Enforcement.--This subtitle shall be enforced by the Federal 
Trade Commission in the 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. <<NOTE: 42 USC 17304.>>  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. <<NOTE: 42 USC 17305.>>  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.

[[Page 121 STAT. 1725]]

                 TITLE IX--INTERNATIONAL ENERGY PROGRAMS

SEC. 901. <<NOTE: 42 USC 17321.>>  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, and the Committee on 
                Commerce, Science, and Transportation of the Senate.
            (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. <<NOTE: 42 USC 17331.>>  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

[[Page 121 STAT. 1726]]

            (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. <<NOTE: 42 USC 17332.>>  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. <<NOTE: 42 USC 17333.>>  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

[[Page 121 STAT. 1727]]

        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. <<NOTE: 42 USC 17334.>>  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. <<NOTE: 42 USC 17335.>>  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 <<NOTE: President.>>  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 121 STAT. 1728]]

SEC. 916. <<NOTE: 42 USC 17336.>>  DEPLOYMENT OF INTERNATIONAL CLEAN AND 
            EFFICIENT ENERGY TECHNOLOGIES AND INVESTMENT IN GLOBAL 
            ENERGY MARKETS.

    (a) <<NOTE: President.>>  Task Force.--
            (1) Establishment.--Not <<NOTE: Deadline.>>  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--

[[Page 121 STAT. 1729]]

                    (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) <<NOTE: Establishment.>> 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 the Chairperson or 
                Co-Chairpersons of the Task Force.

    (c) Strategy.--
            (1) In general.--Not <<NOTE: Deadline.>>  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 a 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

[[Page 121 STAT. 1730]]

                          (ii) facilitate private capital investment in 
                      clean and efficient energy technology projects in 
                      developing countries.
            (2) Updates.--Not <<NOTE: Deadline.>>  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 <<NOTE: President.>>  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. <<NOTE: 42 USC 17337.>>  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--

[[Page 121 STAT. 1731]]

                    (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
                    (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

[[Page 121 STAT. 1732]]

        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. <<NOTE: 42 USC 17351.>>  DEFINITIONS.

    In this subtitle:
            (1) Board.--The term ``Board'' means the Board of Directors 
        of the Foundation established pursuant to section 922(c).

[[Page 121 STAT. 1733]]

            (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. <<NOTE: 42 USC 17352.>>  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

[[Page 121 STAT. 1734]]

        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).

[[Page 121 STAT. 1735]]

            (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. <<NOTE: 42 USC 17353.>>  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 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

[[Page 121 STAT. 1736]]

        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. <<NOTE: 42 USC 17354.>>  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 employ-
                ees, 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. <<NOTE: 42 USC 17355.>>  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;

[[Page 121 STAT. 1737]]

            (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. <<NOTE: 42 USC 17356.>>  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.--

[[Page 121 STAT. 1738]]

            (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) <<NOTE: Deadline.>>  applies for reemployment 
                not later than 90 days after the date of separation from 
                the Foundation.
            (2) Specific rights.--An <<NOTE: Deadline.>>  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. <<NOTE: 42 USC 17357.>>  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 <<NOTE: Deadline.>>  Foundation shall 
        notify the appropriate congressional committees not less than 15 
        days prior to an allocation or transfer of funds pursuant to 
        paragraph (1).

[[Page 121 STAT. 1739]]

                  Subtitle C--Miscellaneous Provisions

SEC. 931. <<NOTE: 42 USC 17371.>>  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;
                          (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 <<NOTE: Deadline. Reports.>>  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

[[Page 121 STAT. 1740]]

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. <<NOTE: 42 USC 17372.>>  ANNUAL NATIONAL ENERGY SECURITY 
            STRATEGY REPORT.

    (a) Reports.--
            (1) In general.--Subject <<NOTE: President.>>  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

[[Page 121 STAT. 1741]]

                    (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. <<NOTE: 42 USC 17373.>>  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;

[[Page 121 STAT. 1742]]

                    (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--

[[Page 121 STAT. 1743]]

                                    (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--
                    (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

[[Page 121 STAT. 1744]]

        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 <<NOTE: Deadline.>>  
                      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

[[Page 121 STAT. 1745]]

                                    (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.

[[Page 121 STAT. 1746]]

    (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 <<NOTE: Deadline.>>  
                      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.

[[Page 121 STAT. 1747]]

                    (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.--
                    (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.

[[Page 121 STAT. 1748]]

    (m) Effective Date.--This section shall take effect on the date of 
the enactment of this Act.

SEC. 935. <<NOTE: 42 USC 17374.>>  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 <<NOTE: Green Jobs Act of 2007.>> X--GREEN JOBS

SEC. 1001. <<NOTE: 29 USC 2801 note.>>  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.--

[[Page 121 STAT. 1749]]

                    ``(A) In general.--Not <<NOTE: Deadline.>>  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;

[[Page 121 STAT. 1750]]

                          ``(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--
                                            ``(aa) experience in 
                                        implementing and operating 
                                        worker skills training and 
                                        education programs;

[[Page 121 STAT. 1751]]

                                            ``(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,

[[Page 121 STAT. 1752]]

                                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 <<NOTE: Grants.>>  
                      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 awarded to ensure 
                      geographic diversity.
                          ``(ii) Eligible entities.--To be eligible to 
                      receive a grant an entity shall be a partnership 
                      that--

[[Page 121 STAT. 1753]]

                                    ``(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) <<NOTE: Reports.>>  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

[[Page 121 STAT. 1754]]

                                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) <<NOTE: Applicability.>>  Application of 
                wia.--The provisions of sections 181 and 188 of the 
                Workforce Investment Act of 1998

[[Page 121 STAT. 1755]]

                (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 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 <<NOTE: Deadline.>>  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 year, 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

[[Page 121 STAT. 1756]]

                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 <<NOTE: Establishment.>>  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) <<NOTE: 49 USC 102 note.>>  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

[[Page 121 STAT. 1757]]

        systems, carpool information systems, parking information 
        systems, freight route management systems, and traffic 
        management systems.
            (2) Report.--Not later than 1 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. <<NOTE: 42 USC 16101 note.>>  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

[[Page 121 STAT. 1758]]

        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.
            ``(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.

[[Page 121 STAT. 1759]]

            ``(4) Regulations.--Not <<NOTE: Deadline.>>  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. <<NOTE: Deadline. Reports.>>  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''.

[[Page 121 STAT. 1760]]

                    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 <<NOTE: Designation.>>  
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--

[[Page 121 STAT. 1761]]

            ``(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. <<NOTE: Establishment.>>  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

[[Page 121 STAT. 1762]]

                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) <<NOTE: Deadlines. 46 USC 55601 note.>>  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
            (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 1 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

[[Page 121 STAT. 1763]]

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,

[[Page 121 STAT. 1764]]

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.''.

[[Page 121 STAT. 1765]]

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

[[Page 121 STAT. 1766]]

                                    ``(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. <<NOTE: 15 USC 657h.>>  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));
            (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

[[Page 121 STAT. 1767]]

        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 <<NOTE: Deadlines. Regulations.>>  
        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).

[[Page 121 STAT. 1768]]

    (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) <<NOTE: Contracts.>>  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

[[Page 121 STAT. 1769]]

                      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) <<NOTE: Applicability.>>  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

[[Page 121 STAT. 1770]]

                    (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 rulemaking, 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.
            (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

[[Page 121 STAT. 1771]]

                      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'--

[[Page 121 STAT. 1772]]

                          ``(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;

[[Page 121 STAT. 1773]]

            (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 <<NOTE: 15 USC 683.>>  (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.--

[[Page 121 STAT. 1774]]

                                    ``(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.''.

    (b) Maximum Aggregate Amount of Leverage.--Section 303(b)(4) of the 
Small Business Investment Act of 1958 <<NOTE: 15 USC 683.>>  (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. <<NOTE: 15 USC 690.>>  DEFINITIONS.

    ``In this part:

[[Page 121 STAT. 1775]]

            ``(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. <<NOTE: 15 USC 690a.>>  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

[[Page 121 STAT. 1776]]

                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. <<NOTE: 15 USC 690b.>>  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. <<NOTE: 15 USC 690c.>>  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;

[[Page 121 STAT. 1777]]

            ``(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

[[Page 121 STAT. 1778]]

                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).
                    ``(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. <<NOTE: 15 USC 690d.>>  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

[[Page 121 STAT. 1779]]

                    ``(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. <<NOTE: 15 USC 690e.>>  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.--

[[Page 121 STAT. 1780]]

            ``(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. <<NOTE: 15 USC 690f.>>  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. <<NOTE: 15 USC 690g.>>  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.

[[Page 121 STAT. 1781]]

    ``(b) <<NOTE: Effective date.>>  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. <<NOTE: 15 USC 690h.>>  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.
                    ``(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.

[[Page 121 STAT. 1782]]

            ``(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. <<NOTE: 15 USC 690i.>>  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. <<NOTE: 15 USC 690j.>>  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. <<NOTE: 15 USC 690k.>>  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. <<NOTE: 15 USC 690l.>>  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.

[[Page 121 STAT. 1783]]

                    ``(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. <<NOTE: 15 USC 690m.>>  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. <<NOTE: 15 USC 690n.>>  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. <<NOTE: 15 USC 690o.>>  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. <<NOTE: 15 USC 690p.>>  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. <<NOTE: 15 USC 690q.>>  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. <<NOTE: 15 USC 17381.>>  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

[[Page 121 STAT. 1784]]

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. <<NOTE: 15 USC 17382.>>  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 1 year after 
enactment, and every 2 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. <<NOTE: 15 USC 17383.>>  SMART GRID ADVISORY COMMITTEE AND 
            SMART GRID TASK FORCE.

    (a) Smart Grid Advisory Committee.--

[[Page 121 STAT. 1785]]

            (1) Establishment.--The <<NOTE: Deadline.>>  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 <<NOTE: Deadline.>>  Assistant 
        Secretary of the Office of Electricity Delivery and Energy 
        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.

[[Page 121 STAT. 1786]]

        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. <<NOTE: 42 USC 17384.>>  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;

[[Page 121 STAT. 1787]]

                    (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. <<NOTE: 15 USC 17385.>>  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

[[Page 121 STAT. 1788]]

            (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 1 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 121 STAT. 1789]]

SEC. 1306. <<NOTE: 42 USC 17386.>>  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,

[[Page 121 STAT. 1790]]

        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.

[[Page 121 STAT. 1791]]

            (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) <<NOTE: Procedures.>>  The Secretary shall--
            (1) <<NOTE: Federal Register, publication. Deadline.>>  
        establish and publish in the Federal Register, within 1 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) <<NOTE: Records.>>  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

[[Page 121 STAT. 1792]]

                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.
                          ``(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

[[Page 121 STAT. 1793]]

                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) <<NOTE: Deadlines.>>  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 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

[[Page 121 STAT. 1794]]

                          (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 <<NOTE: Deadline. Reports.>>  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 <<NOTE: Virginia Graeme Baker Pool and Spa Safety Act. 15 USC 8001 
note.>>  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. <<NOTE: 15 USC 8001.>>  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.

[[Page 121 STAT. 1795]]

SEC. 1403. <<NOTE: 15 USC 8002.>>  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 recirculating 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. <<NOTE: 15 USC 8003.>>  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) <<NOTE: Effective date.>>  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 <<NOTE: Effective 
                date.>>  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

[[Page 121 STAT. 1796]]

                                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 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. <<NOTE: 15 USC 8004.>>  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--

[[Page 121 STAT. 1797]]

            (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. <<NOTE: 15 USC 8005.>>  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;

[[Page 121 STAT. 1798]]

                          (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) <<NOTE: Notification. Comment period.>>  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.

[[Page 121 STAT. 1799]]

            (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. <<NOTE: 15 USC 8006.>>  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).

[[Page 121 STAT. 1800]]

SEC. 1408. <<NOTE: 15 USC 8007.>>  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 
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 <<NOTE: 26 USC 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) <<NOTE: 26 USC 3301 note.>>  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 <<NOTE: 26 USC 167.>>  
167(h)(5) (relating to special rule for major integrated oil companies) 
is amended by striking ``5-year'' and inserting ``7-year''.

    (b) <<NOTE: 26 USC 167 note.>>  Effective Date.--The amendment made 
by this section shall apply to amounts paid or incurred after the date 
of the enactment of this Act.

[[Page 121 STAT. 1801]]

                        TITLE XVI--EFFECTIVE DATE

SEC. 1601. <<NOTE: 2 USC 1824 note.>>  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.

    Approved December 19, 2007.

LEGISLATIVE HISTORY--H.R. 6:
---------------------------------------------------------------------------

CONGRESSIONAL RECORD, Vol. 153 (2007):
            Jan. 18, considered and passed House.
            June 12-15, 18-21, considered and passed Senate, amended.
            Dec. 6, House concurred in Senate amendments with 
                amendments.
            Dec. 12, 13, Senate considered and concurred in House 
                amendments with an amendment.
            Dec. 18, House concurred in Senate amendment.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 43 (2007):
            Dec. 19, Presidential remarks.

                                  <all>
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