Sets forth the duties of the Director of the FBI with respect to that mission, including: (1) development of a national strategy; (2) creation of regional rapid response teams; and (3) outreach efforts to raise awareness and educate communities.
Amends the Violent Crime Control and Law Enforcement Act of 1994 to direct that the release of information under a State sex offender registration program include the maintenance of an Internet site containing such information that is available to the public. Directs the Crimes Against Children section of the Department of Justice to create a national Internet site that links all State Internet sites established under this Act.
Increases from 25 to 30 years the statute of limitations for child abuse offenses. Makes the confidential marital communication privilege and the adverse spousal privilege inapplicable in Federal proceedings where a spouse is charged with a crime against a child of either spouse or against a child under the custody or control of either spouse. Increases penalties for sex offenses.
Directs the Attorney General to appoint a Deputy Assistant Attorney General for Crimes Against Children.
[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[S. 2917 Amendment Ordered to be Printed Senate (AS)]
IIIA
Calendar No. 65
AMENDMENT NO. 2917
Purpose: To provide for the energy security of the Nation
IN THE SENATE OF THE UNITED STATES -- 107th Congress , 2d Session
MODIFICATION TO AMENDMENT NO. 2917
S. 517
To authorize funding the Department of Energy to enhance its
mission areas through technology transfer and partnerships
for fiscal years 2002 through 2006, and for other purposes.
February 26, 2002
Proposed by Mr. Daschle (for himself and Mr. Bingaman)
Viz:
Strike all after the enacting clause and insert the following:
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Energy Policy Act of 2002''.
SEC. 2. TABLE OF CONTENTS.
Sec. 1. Short title.
Sec. 2. Table of contents.
DIVISION A--RELIABLE AND DIVERSE POWER GENERATION AND TRANSMISSION
TITLE I--REGIONAL COORDINATION
Sec. 101. Policy on regional coordination.
Sec. 102. Federal support for regional coordination.
TITLE II--ELECTRICITY
Subtitle A--Amendments to the Federal Power Act
Sec. 201. Definitions.
Sec. 202. Electric utility mergers.
Sec. 203. Market-based rates.
Sec. 204. Refund effective date.
Sec. 205. Transmission interconnections.
Sec. 206. Open access transmission by certain utilities.
Sec. 207. Electric reliability standards.
Sec. 208. Market transparency rules.
Sec. 209. Access to transmission by intermittent generators.
Sec. 210. Enforcement.
Subtitle B--Amendments to the Public Utility Holding Company Act
Sec. 221. Short title.
Sec. 222. Definitions.
Sec. 223. Repeal of the Public Utility Holding Company Act of 1935.
Sec. 224. Federal access to books and records.
Sec. 225. State access to books and records.
Sec. 226. Exemption authority.
Sec. 227. Affiliate transactions.
Sec. 228. Applicability.
Sec. 229. Effect on other regulations.
Sec. 230. Enforcement.
Sec. 231. Savings provisions.
Sec. 232. Implementation.
Sec. 233. Transfer of resources.
Sec. 234. Inter-agency review of competition in the wholesale and
retail markets for electric energy.
Sec. 235. GAO study on implementation.
Sec. 236. Effective date.
Sec. 237. Authorization of appropriations.
Sec. 238. Conforming amendments to the Federal Power Act.
Subtitle C--Amendments to the Public Utility Regulatory Policies Act of
1978
Sec. 241. Real-time pricing standard.
Sec. 242. Adoption of additional standards.
Sec. 243. Technical assistance.
Sec. 244. Cogeneration and small power production purchase and sale
requirements.
Sec. 245. Net metering.
Subtitle D--Consumer Protections
Sec. 251. Information disclosure.
Sec. 252. Consumer privacy.
Sec. 253. Unfair trade practices.
Sec. 254. Applicable procedures.
Sec. 255. Federal Trade Commission enforcement.
Sec. 256. State authority.
Sec. 257. Application of subtitle.
Sec. 258. Definitions.
Subtitle E--Renewable Energy and Rural Construction Grants
Sec. 261. Renewable energy production incentive.
Sec. 262. Assessment of renewable energy resources.
Sec. 263. Federal purchase requirement.
Sec. 264. Rural construction grants.
Sec. 265. Renewable portfolio standard.
Sec. 266. Renewable energy on Federal land.
TITLE III--HYDROELECTRIC RELICENSING
Sec. 301. Alternative mandatory conditions and fishways.
Sec. 302. Charges for tribal lands.
Sec. 303. Disposition of hydroelectric charges.
Sec. 304. Annual licenses.
Sec. 305. Enforcement.
Sec. 306. Establishment of hydroelectric relicensing procedures.
Sec. 307. Relicensing study.
Sec. 308. Data collection procedures.
TITLE IV--INDIAN ENERGY
Sec. 401. Comprehensive Indian energy program.
Sec. 402. Office of Indian Energy Policy and Programs.
Sec. 403. Conforming amendments.
Sec. 404. Siting energy facilities on tribal lands.
Sec. 405. Indian Mineral Development Act review.
Sec. 406. Renewable energy study.
Sec. 407. Federal Power Marketing Administrations.
Sec. 408. Feasibility study of combined wind and hydropower
demonstration project.
TITLE V--NUCLEAR POWER
Subtitle A--Price-Anderson Act Reauthorization
Sec. 501. Short title.
Sec. 502. Extension of Department of Energy indemnification authority.
Sec. 503. Department of Energy liability limit.
Sec. 504. Incidents outside the United States.
Sec. 505. Reports.
Sec. 506. Inflation adjustment.
Sec. 507. Civil penalties.
Sec. 508. Effective date.
Subtitle B--Miscellaneous Provisions
Sec. 511. Uranium sales.
Sec. 512. Reauthorization of thorium reimbursement.
Sec. 513. Fast Flux Test Facility.
DIVISION B--DOMESTIC OIL AND GAS PRODUCTION AND TRANSPORTATION
TITLE VI--OIL AND GAS PRODUCTION
Sec. 601. Permanent authority to operate the Strategic Petroleum
Reserve.
Sec. 602. Federal onshore leasing programs for oil and gas.
Sec. 603. Oil and gas lease acreage limitations.
Sec. 604. Orphaned and abandoned wells on Federal lands.
Sec. 605. Orphaned and abandoned oil and gas well program.
Sec. 606. Offshore development.
Sec. 607. Coalbed methane study.
Sec. 608. Fiscal policies to maximize recovery of domestic oil and gas
resources.
Sec. 609. Strategic Petroleum Reserve.
TITLE VII--NATURAL GAS PIPELINES
Subtitle A--Alaska Natural Gas Pipeline
Sec. 701. Short title.
Sec. 702. Findings.
Sec. 703. Purposes.
Sec. 704. Issuance of certificate of public convenience and necessity.
Sec. 705. Environmental reviews.
Sec. 706. Federal coordinator.
Sec. 707. Judicial review.
Sec. 708. Loan guarantee.
Sec. 709. Study of alternative means of construction.
Sec. 710. Savings clause.
Sec. 711. Clarification of authority to amend terms and conditions to
meet current project requirements.
Sec. 712. Definitions.
Sec. 713. Sense of the Senate.
Subtitle B--Operating Pipelines
Sec. 721. Application of the Historic Preservation Act to operating
pipelines.
Sec. 722. Environmental review and permitting of natural gas pipeline
projects.
DIVISION C--DIVERSIFYING ENERGY DEMAND AND IMPROVING EFFICIENCY
TITLE VIII--FUELS AND VEHICLES
Subtitle A--CAFE Standards and Related Matters
Sec. 801. Average fuel economy standards for passenger automobiles and
light trucks.
Sec. 802. Fuel economy truth in testing.
Sec. 803. Ensuring safety of passenger automobiles and light trucks.
Sec. 804. High occupancy vehicle exception.
Sec. 805. Credit trading program.
Sec. 806. Green labels for fuel economy.
Sec. 807. Light truck challenge.
Sec. 808. Secretary of Transportation to certify benefits.
Sec. 809. Department of Transportation engineering award program.
Sec. 810. Cooperative technology agreements.
Subtitle B--Alternative and Renewable Fuels
Sec. 811. Increased use of alternative fuels by federal fleets.
Sec. 812. Exception to HOV passenger requirements for alternative fuel
vehicles.
Sec. 813. Data collection.
Sec. 814. Green school bus pilot program.
Sec. 815. Fuel cell bus development and demonstration program.
Sec. 816. Authorization of appropriations.
Sec. 817. Biodiesel fuel use credits.
Sec. 818. Renewable content of motor vehicle fuel.
Sec. 819. Neighborhood electric vehciles.
Subtitle C--Federal Reformulated Fuels
Sec. 821. Short title.
Sec. 822. Leaking underground storage tanks.
Sec. 823. Authority for water quality protection from fuels.
Sec. 824. Waiver of oxygen content requirement for reformulated
gasoline.
Sec. 825. Public health and environmental impacts of fuels and fuel
additives.
Sec. 826. Analyses of motor vehicle fuel changes.
Sec. 827. Additional opt-in areas under reformulated gasoline program.
Sec. 828. MBTE merchant producer conversion assistance.
Subtitle D--Additional Fuel Efficiency Measures
Sec. 831. Fuel efficiency of the federal fleet of automobiles.
Sec. 832. Assistance for State programs to retire fuel-inefficient
motor vehicles.
Sec. 833. Idling reduction systems in heavy duty vehicles.
TITLE IX--ENERGY EFFICIENCY AND ASSISTANCE TO LOW INCOME CONSUMERS
Subtitle A--Low Income Assistance and State Energy Programs
Sec. 901. Increased funding for LIHEAP, weatherization assistance, and
State energy grants.
Sec. 902. State energy programs.
Sec. 903. Energy efficient schools.
Sec. 904. Low income community energy efficiency pilot program.
Subtitle B--Federal Energy Efficiency
Sec. 911. Energy management requirements.
Sec. 912. Energy use measurement and accountability.
Sec. 913. Federal building performance standards.
Sec. 914. Procurement of energy efficient products.
Sec. 915. Repeal of energy savings performance contract sunset.
Sec. 916. Energy savings performance contract definitions.
Sec. 917. Review of energy savings performance contract program.
Sec. 918. Federal Energy Bank.
Sec. 919. Energy and water saving measures in Congressional buildings.
Subtitle C--Industrial Efficiency and Consumer Products
Sec. 921. Voluntary commitments to reduce industrial energy intensity.
Sec. 922. Authority to set standards for commercial products.
Sec. 923. Additional definitions.
Sec. 924. Additional test procedures.
Sec. 925. Energy labeling.
Sec. 926. Energy Star Program.
Sec. 927. Energy conservation standards for central air conditioners
and heat pumps.
Sec. 928. Energy conservation standards for additional consumer and
commercial products.
Sec. 929. Consumer education on energy efficiency benefits of air
conditioning, heating, and ventilation
maintenance.
Subtitle D--Housing Efficiency
Sec. 931. Capacity building for energy efficient, affordable housing.
Sec. 932. Increase of CDBG public services cap for energy conservation
and efficiency activities.
Sec. 933. FHA mortgage insurance incentives for energy efficient
housing.
Sec. 934. Public housing capital fund.
Sec. 935. Grants for energy-conserving improvements for assisted
housing.
Sec. 936. North American Development Bank.
DIVISION D--INTEGRATION OF ENERGY POLICY AND CLIMATE CHANGE POLICY
TITLE X--CLIMATE CHANGE POLICY FORMULATION
Subtitle A--Global Warming
Sec. 1001. Sense of Congress on global warming.
Subtitle B--Climate Change Strategy
Sec. 1011. Short title.
Sec. 1012. Findings.
Sec. 1013. Purpose.
Sec. 1014. Definitions.
Sec. 1015. United States Climate Change Response Strategy.
Sec. 1016. National Office of Climate Change Response of the Executive
Office of the President.
Sec. 1017. Technology innovation program implemented through the Office
of Climate Change Technology of the
Department of Energy.
Sec. 1018. Additional offices and activities.
Sec. 1019. United States Climate Change Response Strategy Review Board.
Sec. 1020. Authorization of appropriations.
Subtitle C--Science and Technology Policy
Sec. 1031. Global climate change in the Office of Science and
Technology Policy.
Sec. 1032. Establishment of Associate Director for Global Climate
Change.
Subtitle D--Miscellaneous Provisions
Sec. 1041. Additional information for regulatory review.
Sec. 1042. Greenhouse gas emissions from federal facilities.
TITLE XI--NATIONAL GREENHOUSE GAS DATABASE
Sec. 1101. Purpose.
Sec. 1102. Definitions.
Sec. 1103. Establishment of memorandum of agreement.
Sec. 1104. National Greenhouse Gas Database.
Sec. 1105. Report on statutory changes and harmonization.
Sec. 1106. Measurement and verification.
Sec. 1107. Independent review.
Sec. 1108. Authorization of appropriations.
DIVISION E--ENHANCING RESEARCH, DEVELOPMENT, AND TRAINING
TITLE XII--ENERGY RESEARCH AND DEVELOPMENT PROGRAMS
Sec. 1201. Short title.
Sec. 1202. Findings.
Sec. 1203. Definitions.
Sec. 1204. Construction with other laws.
Subtitle A--Energy Efficiency
Sec. 1211. Enhanced energy efficiency research and development.
Sec. 1212. Energy efficiency science initiative.
Sec. 1213. Next generation lighting initiative.
Sec. 1214. Railroad efficiency.
Subtitle B--Renewable Energy
Sec. 1221. Enhanced renewable energy research and development.
Sec. 1222. Bioenergy programs.
Sec. 1223. Hydrogen research and development.
Subtitle C--Fossil Energy
Sec. 1231. Enhanced fossil energy research and development.
Sec. 1232. Power plant improvement initiative.
Sec. 1233. Research and development for advanced safe and efficient
coal mining technologies.
Sec. 1234. Ultra-deepwater and unconventional resource exploration and
production technologies.
Sec. 1235. Research and development for new natural gas transportation
technologies.
Sec. 1236. Authorization of appropriations for Office of Arctic Energy.
Subtitle D--Nuclear Energy
Sec. 1241. Enhanced nuclear energy research and development.
Sec. 1242. University nuclear science and engineering support.
Sec. 1243. Nuclear energy research initiative.
Sec. 1244. Nuclear energy plant optimization program.
Sec. 1245. Nuclear energy technology development program.
Subtitle E--Fundamental Energy Science
Sec. 1251. Enhanced programs in fundamental energy science.
Sec. 1252. Nanoscale science and engineering research.
Sec. 1253. Advanced scientific computing for energy missions.
Sec. 1254. Fusion energy sciences program and planning.
Subtitle F--Energy, Safety, and Environmental Protection
Sec. 1261. Critical energy infrastructure protection research and
development.
Sec. 1262. Pipeline integrity, safety, and reliability research and
development.
Sec. 1263. Research and demonstration for remediation of groundwater
from energy activities.
TITLE XIII--CLIMATE CHANGE RESEARCH AND DEVELOPMENT
Subtitle A--Department of Energy Programs
Sec. 1301. Program goals.
Sec. 1302. Department of Energy global change science research.
Sec. 1303. Amendments to the Federal Nonnuclear Research and
Development Act of 1974.
Subtitle B--Department of Agriculture Programs
Sec. 1311. Carbon sequestration basic and applied research.
Sec. 1312. Carbon sequestration demonstration projects and outreach.
Subtitle C--Clean Energy Technology Exports Program
Sec. 1321. Clean energy technology exports program.
Sec. 1322. International energy technology deployment program.
Subtitle D--Climate Change Science and Information
Part I--Amendments to the Global Change Research Act of 1990
Sec. 1331. Amendment of Global Change Research Act of 1990.
Sec. 1332. Changes in definitions.
Sec. 1333. Change in committee name.
Sec. 1334. Change in national global change research plan.
Sec. 1335. Integrated Program Office.
Part II--National Climate Services Monitoring
Sec. 1341. Amendment of National Climate Program Act.
Sec. 1342. Changes in findings.
Sec. 1343. Tools for regional planning.
Sec. 1344. Authorization of appropriations.
Sec. 1345. National Climate Service Plan.
Sec. 1346. International Pacific Research and Cooperation.
Sec. 1347. Reporting on trends.
Part III--Ocean and Coastal Observing System
Sec. 1351. Ocean and coastal observing system.
Sec. 1352. Authorization of appropriations.
Subtitle E--Climate Change Technology
Sec. 1361. NIST greenhouse gas functions.
Sec. 1362. Development of new measurement technologies.
Sec. 1363. Enhanced environmental measurements and standards.
Sec. 1364. Technology development and diffusion.
Subtitle F--Climate Adaptation and Hazards Prevention
Part I--Assessment and Adaptation
Sec. 1371. Regional climate assessment and adaptation program.
Sec. 1372. Coastal vulnerability and adaptation.
Part II--Forecasting and Planning Pilot Programs
Sec. 1381. Remote sensing pilot projects.
Sec. 1382. Database establishment.
Sec. 1383. Definitions.
Sec. 1384. Authorization of appropriations.
TITLE XIV--MANAGEMENT OF DOE SCIENCE AND TECHNOLOGY PROGRAMS
Sec. 1401. Definitions.
Sec. 1402. Availability of funds.
Sec. 1403. Cost sharing.
Sec. 1404. Merit review of proposals.
Sec. 1405. External technical review of departmental programs.
Sec. 1406. Improved coordination and management of civilian science and
technology programs.
Sec. 1407. Improved coordination of technology transfer activities.
Sec. 1408. Technology infrastructure program.
Sec. 1409. Small business advocacy and assistance.
Sec. 1410. Other transactions.
Sec. 1411. Mobility of scientific and technical personnel.
Sec. 1412. National Academy of Sciences report.
Sec. 1413. Report on technology readiness and barriers to technology
transfer.
TITLE XV--PERSONNEL AND TRAINING
Sec. 1501. Workforce trends and traineeship grants.
Sec. 1502. Postdoctoral and senior research fellowships in energy
research.
Sec. 1503. Training guidelines for electric energy industry personnel.
Sec. 1504. National Center on Energy Management and Building
Technologies.
Sec. 1505. Improved access to energy-related scientific and technical
careers.
DIVISION F--TECHNOLOGY ASSESSMENT AND STUDIES
TITLE XVI--TECHNOLOGY ASSESSMENT
Sec. 1601. National Science and Technology Assessment Service.
TITLE XVII--STUDIES
Sec. 1701. Regulatory reviews.
Sec. 1702. Assessment of dependence of Hawaii on oil.
Sec. 1703. Study of siting an electric transmission system on Amtrak
right-of-way.
DIVISION G--ENERGY INFRASTRUCTURE SECURITY
TITLE XVIII--CRITICAL ENERGY INFRASTRUCTURE
Subtitle A--Department of Energy Programs
Sec. 1801. Definitions.
Sec. 1802. Role of the Department of Energy.
Sec. 1803. Critical energy infrastructure programs.
Sec. 1804. Advisory Committee on Energy Infrastructure Security.
Sec. 1805. Best practices and standards for energy infrastructure
security.
Subtitle B--Department of the Interior Programs
Sec. 1811. Outer Continental Shelf energy infrastructure security.
DIVISION A--RELIABLE AND
DIVERSE POWER GENERATION AND TRANSMISSION
TITLE I--REGIONAL COORDINATION
SEC. 101. POLICY ON REGIONAL COORDINATION.
(a) Statement of Policy.--It is the policy of the Federal
Government to encourage States to coordinate, on a regional basis,
State energy policies to provide reliable and affordable energy
services to the public while minimizing the impact of providing energy
services on communities and the environment.
(b) Definition of Energy Services.--For purposes of this section,
the term ``energy services'' means--
(1) the generation or transmission of electric energy,
(2) the transportation, storage, and distribution of crude
oil, residual fuel oil, refined petroleum product, or natural
gas, or
(3) the reduction in load through increased efficiency,
conservation, or load control measures.
SEC. 102. FEDERAL SUPPORT FOR REGIONAL COORDINATION.
(a) Technical Assistance.--The Secretary of Energy shall provide
technical assistance to States and regional organizations formed by two
or more States to assist them in coordinating their energy policies on
a regional basis. Such technical assistance may include assistance in--
(1) assessing future supply availability and demand
requirements,
(2) planning and siting additional energy infrastructure,
including generating facilities, electric transmission
facilities, pipelines, refineries, and distributed generation
facilities to meet regional needs,
(3) identifying and resolving problems in distribution
networks,
(4) developing plans to respond to surge demand or
emergency needs, and
(5) developing renewable energy, energy efficiency,
conservation, and load control programs.
(b) Annual Conference on Regional Energy Coordination.--
(1) Annual conference.--The Secretary of Energy shall
convene an annual conference to promote regional coordination
on energy policy and infrastructure issues.
(2) Participation.--The Secretary of Energy shall invite
appropriate representatives of federal, state, and regional
energy organizations, and other interested parties.
(3) State and federal agency cooperation.--The Secretary of
Energy shall consult and cooperate with State and regional
energy organizations, the Secretary of the Interior, the
Secretary of Agriculture, the Secretary of Commerce, the
Secretary of the Treasury, the Chairman of the Federal Energy
Regulatory Commission, the Administrator of the Environmental
Protection Agency, and the Chairman of the Council on
Environmental Quality in the planning and conduct of the
conference.
(4) Agenda.--The Secretary of Energy, in consultation with
the officials identified in paragraph (3) and participants
identified in paragraph (2), shall establish an agenda for each
conference that promotes regional coordination on energy policy
and infrastructure issues.
(5) Recommendations.--Not later than 60 days after the
conclusion of each annual conference, the Secretary of Energy
shall report to the President and the Congress recommendations
arising out of the conference that may improve--
(A) regional coordination on energy policy and
infrastructure issues, and
(B) federal support for regional coordination.
TITLE II--ELECTRICITY
Subtitle A--Amendments to the Federal Power Act
SEC. 201. DEFINITIONS.
(a) Definition of Electric Utility.--Section 3(22) of the Federal
Power Act (16 U.S.C. 796(22)) is amended to read as follows:
``(22) `electric utility' means any person or Federal or
State agency (including any municipality) that sells electric
energy; such term includes the Tennessee Valley Authority and
each Federal power marketing agency.''.
(b) Definition of Transmitting Utility.--Section 3(23) of the
Federal Power Act (16 U.S.C. 796(23)) is amended to read as follows:
``(23) Transmitting utility.--The term `transmitting
utility' means an entity (including any entity described in
section 201(f)) that owns or operates facilities used for the
transmission of electric energy in--
``(A) interstate commerce; or
``(B) for the sale of electric energy at
wholesale.''.
SEC. 202. ELECTRIC UTILITY MERGERS.
Section 203(a) of the Federal Power Act (16 U.S.C. 824b) is amended
to read as follows:
``(a)(1) No public utility shall, without first having secured an
order of the Commission authorizing it to do so--
``(A) sell, lease, or otherwise dispose of the whole of its
facilities subject to the jurisdiction of the Commission, or
any part thereof of a value in excess of $1,000,000,
``(B) merge or consolidate, directly or indirectly, such
facilities or any part thereof with the facilities of any other
person, by any means whatsoever,
``(C) purchase, acquire, or take any security of any other
public utility, or
``(D) purchase, lease, or otherwise acquire existing
facilities for the generation of electric energy or for the
production or transportation of natural gas.
``(2) No holding company in a holding company system that includes
a transmitting utility or an electric utility company shall purchase,
acquire, or take any security of, or, by any means whatsoever, directly
or indirectly, merge or consolidate with a transmitting utility, an
electric utility company, a gas utility company, or a holding company
in a holding company system that includes a transmitting utility, an
electric utility company, or a gas utility company, without first
having secured an order of the Commission authorizing it to do so.
``(3) Upon application for such approval the Commission shall give
reasonable notice in writing to the Governor and State commission of
each of the States in which the physical property affected, or any part
thereof, is situated, and to such other persons as it may deem
advisable.
``(4) After notice and opportunity for hearing, if the Commission
finds that the proposed disposition, consolidation, acquisition, or
control will be consistent with the public interest, it shall approve
the same.
``(5) For purposes of this subsection, the terms `electric utility
company', `gas utility company', `holding company', and `holding
company system' have the meaning given those terms in the Public
Utility Holding Company Act of 2002.
``(6) Notwithstanding section 201(b)(1), facilities used for the
generation of electric energy shall be subject to the jurisdiction of
the Commission for purposes of this section.''.
SEC. 203. MARKET-BASED RATES.
(a) Approval of Market-Based Rates.--Section 205 of the Federal
Power Act (16 U.S.C. 824d) is amended by adding at the end the
following:
``(h) The Commission may determine whether a market-based rate for
the sale of electric energy subject to the jurisdiction of the
Commission is just and reasonable and not unduly discriminatory or
preferential. In making such determination, the Commission shall
consider--
``(1) whether the seller and its affiliates have, or have
adequately mitigated, market power in the generation and
transmission of electric energy;
``(2) whether the sale is made in a competitive market;
``(3) whether market mechanisms, such as power exchanges
and bid auctions, function adequately;
``(4) the effect of demand response mechanisms;
``(5) the effect of mechanisms or requirements intended to
ensure adequate reserve margins; and
``(6) other such considerations as the Commission may deem
to be appropriate and in the public interest.''.
(b) Revocation of Market-Based Rates.--Section 206 of the Federal
Power Act (16 U.S.C. 824e) is amended by adding at the end the
following:
``(f) Whenever the Commission, after a hearing had upon its own
motion or upon complaint, finds that a rate charged by a public utility
authorized to charge a market-based rate under section 205 is unjust,
unreasonable, unduly discriminatory or preferential, the Commission
shall determine the just and reasonable rate and fix the same by order
in accordance with this section, or order such other action as will, in
the judgment of the Commission, adequately ensure a just and reasonable
market-based rate.''.
SEC. 204. REFUND EFFECTIVE DATE.
Section 206(b) of the Federal Power Act (16 U.S.C. 824e(b)) is
amended by--
(1) striking ``60 days after the filing of such complaint
nor later than 5 months after the expiration of such 60-day
period'' in the second sentence and inserting ``on which the
complaint is filed''; and
(2) striking ``60 days after the publication by the
Commission of notice of its intention to initiate such
proceeding nor later than 5 months after the expiration of such
60-day period'' in the third sentence and inserting ``on which
the Commission publishes notice of its intention to initiate
such proceeding''.
SEC. 205. TRANSMISSION INTERCONNECTIONS.
Section 210 of the Federal Power Act (16 U.S.C. 824i) is amended to
read as follows:
``transmission interconnection authority
``Sec. 210. (a)(1) The Commission shall, by rule, establish
technical standards and procedures for the interconnection of
facilities used for the generation of electric energy with facilities
used for the transmission of electric energy in interstate commerce.
The rule shall provide--
``(A) criteria to ensure that an interconnection will not
unreasonably impair the reliability of the transmission system;
and
``(B) criteria for the apportionment or reimbursement of
the costs of making the interconnection.
``(2) Notwithstanding section 201(f), a transmitting utility shall
interconnect its transmission facilities with the generation facilities
of a power producer upon the application of the power producer if the
power producer complies with the requirements of the rule.
``(b) Upon the application of a power producer or its own motion,
the Commission may, after giving notice and an opportunity for a
hearing to any entity whose interest may be affected, issue an order
requiring--
``(1) the physical connection of facilities used for the
generation of electric energy with facilities used for the
transmission of electric energy in interstate commerce;
``(2) such action as may be necessary to make effective any
such physical connection;
``(3) such sale or exchange of electric energy or other
coordination, as may be necessary to carry out the purposes of
such order; or
``(4) such increase in transmission capacity as may be
necessary to carry out the purposes of such order.
``(c) As used in this section, the term `power producer' means an
entity that owns or operates a facility used for the generation of
electric energy.''.
SEC. 206. OPEN ACCESS TRANSMISSION BY CERTAIN UTILITIES.
Part II of the Federal Power Act is further amended by inserting
after section 211 the following:
``open access by unregulated transmitting utilities
``Sec. 211A. (1) Subject to section 212(h), the Commission may, by
rule or order, require an unregulated transmitting utility to provide
transmission services--
``(A) at rates that are comparable to those that the
unregulated transmitting utility charges itself, and
``(B) on terms and conditions (not relating to rates) that
are comparable to those under Commission rules that require
public utilities to offer open access transmission services and
that are not unduly discriminatory or preferential.
``(2) The Commission shall exempt from any rule or order under this
subsection any unregulated transmitting utility that--
``(A) sells no more than 4,000,000 megawatt hours of
electricity per year;
``(B) does not own or operate any transmission facilities
that are necessary for operating an interconnected transmission
system (or any portion thereof), or
``(C) meets other criteria the Commission determines to be
in the public interest.
``(3) The rate changing procedures applicable to public utilities
under subsections (c) and (d) of section 205 are applicable to
unregulated transmitting utilities for purposes of this section.
``(4) In exercising its authority under paragraph (1), the
Commission may remand transmission rates to an unregulated transmitting
utility for review and revision where necessary to meet the
requirements of paragraph (1).
``(5) The provision of transmission services under paragraph (1)
does not preclude a request for transmission services under section
211.
``(6) The Commission may not require a State or municipality to
take action under this section that constitutes a private business use
for purposes of section 141 of the Internal Revenue Code of 1986 (26
U.S.C. 141).
``(7) For purposes of this subsection, the term `unregulated
transmitting utility' means an entity that--
``(A) owns or operates facilities used for the transmission
of electric energy in interstate commerce, and
``(B) is either an entity described in section 201(f) or a
rural electric cooperative.''.
SEC. 207. ELECTRIC RELIABILITY STANDARDS.
Part II of the Federal Power Act is further amended by adding at
the end the following:
``SEC. 215. ELECTRIC RELIABILITY STANDARDS.
``(a) Duty of the Commission.--The Commission shall establish and
enforce one or more systems of mandatory electric reliability standards
to ensure the reliable operation of the interstate transmission system,
which shall be applicable to--
``(1) any entity that sells, purchases, or transmits,
electric energy using the interstate transmission system, and
``(2) any entity that owns, operates, or maintains
facilities that are a part of the interstate transmission
system.
``(b) Standards.--In carrying out its responsibility under
subsection (a), the Commission may adopt and enforce, in whole or in
part, a reliability standard proposed or adopted by the North American
Electric Reliability Council, a regional reliability council, a similar
organization, or a State regulatory authority.
``(c) Enforcement.--In carrying out its responsibility under
subsection (a), the Commission may certify one or more self-regulating
reliability organizations (which may include the North American
Electric Reliability Council, one or more regional reliability
councils, one or more regional transmission organizations, or any
similar organization) to ensure the reliable operation of the
interstate transmission system and to monitor and enforce compliance of
their members with electric reliability standards adopted under this
section.
``(d) Cooperation With Canada and Mexico.--The Commission shall
ensure that any self-regulating reliability organization certified
under this section, one or more of whose members are interconnected
with transmitting utilities in Canada or the Republic of Mexico,
provide for the participation of such utilities in the governance of
the organization and the adoption of reliability standards. Nothing in
this section shall be construed to extend the jurisdiction of the
Commission outside of the United States.
``(e) Preservation of State Authority.--Nothing in this section
shall be construed to preempt the authority of any State to take action
to ensure the safety, adequacy, and reliability of local distribution
facilities service within the State, except where the exercise of such
authority unreasonably impairs the reliability of the interstate
transmission system.
``(f) Definitions.--For purposes of this section:
``(1) The term `interstate transmission system' means the
network of facilities used for the transmission of electric
energy in interstate commerce.
``(2) The term `reliability' means the ability of the
interstate transmission system to transmit sufficient electric
energy to supply the aggregate electric demand and energy
requirements of electricity consumers at all times and the
ability of the system to withstand sudden disturbances.''.
SEC. 208. MARKET TRANSPARENCY RULES.
Part II of the Federal Power Act is further amended by adding at
the end the following:
``SEC. 216. MARKET TRANSPARENCY RULES.
``(a) Commission Rules.--Not later than 180 days after the date of
enactment of this section, the Commission shall issue rules
establishing an electronic information system to provide information
about the availability and price of wholesale electric energy and
transmission services to the Commission, state commissions, buyers and
sellers of wholesale electric energy, users of transmission services,
and the public on a timely basis.
``(b) Information Required.--The Commission shall require--
``(1) each regional transmission organization to provide
statistical information about the available capacity and
capacity constraints of transmission facilities operated by the
organization; and
``(2) each broker, exchange, or other market-making entity
that matches offers to sell and offers to buy wholesale
electric energy in interstate commerce to provide statistical
information about the amount and sale price of sales of
electric energy at wholesale in interstate commerce it
transacts.
``(c) Timely Basis.--The Commission shall require the information
required under subsection (b) to be posted on the Internet as soon as
practicable and updated as frequently as practicable.
``(d) Protection of Sensitive Information.--The Commission shall
exempt from disclosure commercial or financial information that the
Commission, by rule or order, determines to be privileged,
confidential, or otherwise sensitive.''.
SEC. 209. ACCESS TO TRANSMISSION BY INTERMITTENT GENERATORS.
Part II of the Federal Power Act is further amended by adding at
the end the following:
``SEC. 217. ACCESS TO TRANSMISSION BY INTERMITTENT GENERATORS.
``(a) Fair Treatment of Intermittent Generators.--The Commission
shall ensure that all transmitting utilities provide transmission
service to intermittent generators in a manner that does not penalize
such generators, directly or indirectly, for characteristics that are--
``(1) inherent to intermittent energy resources; and
``(2) are beyond the control of such generators.
``(b) Policies.--The Commission shall ensure that the requirement
in subsection (a) is met by adopting such policies as it deems
appropriate which shall include, but not be limited to, the following:
``(1) Subject to the sole exception set forth in paragraph
(2), the Commission shall ensure that the rates transmitting
utilities charge intermittent generator customers for
transmission services do not directly or indirectly penalize
intermittent generator customers for scheduling deviations.
``(2) The Commission may exempt a transmitting utility from
the requirement set forth in subsection (b) if the transmitting
utility demonstrates that scheduling deviations by its
intermittent generator customers are likely to have a
substantial adverse impact on the reliability of the
transmitting utility's system. For purposes of administering
this exemption, there shall be a rebuttable presumption of no
adverse impact where intermittent generators collectively
constitute 20 percent or less of total generation
interconnected with transmitting utility's system and using
transmission services provided by transmitting utility.
``(3) The Commission shall ensure that to the extent any
transmission charges recovering the transmitting utility's
embedded costs are assessed to intermittent generators, they
are assessed to such generators on the basis of kilowatt-hours
generated rather than the intermittent generator's capacity.
``(4) The Commission shall require transmitting utilities
to offer to intermittent generators, and may require
transmitting utilities to offer to all transmission customers,
access to nonfirm transmission service pursuant to long-term
contracts of up to ten years duration under reasonable terms
and conditions.
``(c) Definitions.--As used in this section:
``(1) The term `intermittent generator' means a facility
that generates electricity using wind or solar energy and no
other energy source.
``(2) The term `nonfirm transmission service' means
transmission service provided on an `as available' basis.
``(3) The term `scheduling deviation' means delivery of
more or less energy than has previously been forecast in a
schedule submitted by an intermittent generator to a control
area operator or transmitting utility.''.
SEC. 210. ENFORCEMENT.
(a) Complaints.--Section 306 of the Federal Power Act (16 U.S.C.
825e) is amended by--
(1) inserting ``electric utility,'' after ``Any person,'';
and
(2) inserting ``transmitting utility,'' after ``licensee''
each place it appears.
(b) Investigations.--Section 307(a) of the Federal Power Act (16
U.S.C. 825f(a)) is amended by inserting ``or transmitting utility''
after ``any person'' in the first sentence.
(c) Review of Commission Orders.--Section 313(a) of the Federal
Power Act (16 U.S.C. 8251) is amended by inserting ``electric
utility,'' after ``Any person,'' in the first sentence.
(d) Criminal Penalties.--Section 316(c) of the Federal Power Act
(16 U.S.C. 825o(c)) is repealed.
(e) Civil Penalties.--Section 316A of the Federal Power Act (16
U.S.C. 825o-1) is amended by striking ``section 211, 212, 213, or 214''
each place it appears and inserting ``Part II''.
Subtitle B--Amendments to the Public Utility Holding Company Act
SEC. 221. SHORT TITLE.
This subtitle may be cited as the ``Public Utility Holding Company
Act of 2002''.
SEC. 222. DEFINITIONS.
For purposes of this subtitle:
(1) The term ``affiliate'' of a company means any company,
5 percent or more of the outstanding voting securities of which
are owned, controlled, or held with power to vote, directly or
indirectly, by such company.
(2) The term ``associate company'' of a company means any
company in the same holding company system with such company.
(3) The term ``Commission'' means the Federal Energy
Regulatory Commission.
(4) The term ``company'' means a corporation, partnership,
association, joint stock company, business trust, or any
organized group of persons, whether incorporated or not, or a
receiver, trustee, or other liquidating agent of any of the
foregoing.
(5) The term ``electric utility company'' means any company
that owns or operates facilities used for the generation,
transmission, or distribution of electric energy for sale.
(6) The terms ``exempt wholesale generator'' and ``foreign
utility company'' have the same meanings as in sections 32 and
33, respectively, of the Public Utility Holding Company Act of
1935 (15 U.S.C. 79z-5a, 79z-5b), as those sections existed on
the day before the effective date of this subtitle.
(7) The term ``gas utility company'' means any company that
owns or operates facilities used for distribution at retail
(other than the distribution only in enclosed portable
containers or distribution to tenants or employees of the
company operating such facilities for their own use and not for
resale) of natural or manufactured gas for heat, light, or
power.
(8) The term ``holding company'' means--
(A) any company that directly or indirectly owns,
controls, or holds, with power to vote, 10 percent or
more of the outstanding voting securities of a public
utility company or of a holding company of any public
utility company; and
(B) any person, determined by the Commission, after
notice and opportunity for hearing, to exercise
directly or indirectly (either alone or pursuant to an
arrangement or understanding with one or more persons)
such a controlling influence over the management or
policies of any public utility company or holding
company as to make it necessary or appropriate for the
rate protection of utility customers with respect to
rates that such person be subject to the obligations,
duties, and liabilities imposed by this subtitle upon
holding companies.
(9) The term ``holding company system'' means a holding
company, together with its subsidiary companies.
(10) The term ``jurisdictional rates'' means rates
established by the Commission for the transmission of electric
energy in interstate commerce, the sale of electric energy at
wholesale in interstate commerce, the transportation of natural
gas in interstate commerce, and the sale in interstate commerce
of natural gas for resale for ultimate public consumption for
domestic, commercial, industrial, or any other use.
(11) The term ``natural gas company'' means a person
engaged in the transportation of natural gas in interstate
commerce or the sale of such gas in interstate commerce for
resale.
(12) The term ``person'' means an individual or company.
(13) The term ``public utility'' means any person who owns
or operates facilities used for transmission of electric energy
in interstate commerce or sales of electric energy at wholesale
in interstate commerce.
(14) The term ``public utility company'' means an electric
utility company or a gas utility company.
(15) The term ``State commission'' means any commission,
board, agency, or officer, by whatever name designated, of a
State, municipality, or other political subdivision of a State
that, under the laws of such State, has jurisdiction to
regulate public utility companies.
(16) The term ``subsidiary company'' of a holding company
means--
(A) any company, 10 percent or more of the
outstanding voting securities of which are directly or
indirectly owned, controlled, or held with power to
vote, by such holding company; and
(B) any person, the management or policies of which
the Commission, after notice and opportunity for
hearing, determines to be subject to a controlling
influence, directly or indirectly, by such holding
company (either alone or pursuant to an arrangement or
understanding with one or more other persons) so as to
make it necessary for the rate protection of utility
customers with respect to rates that such person be
subject to the obligations, duties, and liabilities
imposed by this subtitle upon subsidiary companies of
holding companies.
(17) The term ``voting security'' means any security
presently entitling the owner or holder thereof to vote in the
direction or management of the affairs of a company.
SEC. 223. REPEAL OF THE PUBLIC UTILITY HOLDING COMPANY ACT OF 1935.
The Public Utility Holding Company Act of 1935 (15 U.S.C. 79 et
seq.) is repealed.
SEC. 224. FEDERAL ACCESS TO BOOKS AND RECORDS.
(a) In General.--Each holding company and each associate company
thereof shall maintain, and shall make available to the Commission,
such books, accounts, memoranda, and other records as the Commission
deems to be relevant to costs incurred by a public utility or natural
gas company that is an associate company of such holding company and
necessary or appropriate for the protection of utility customers with
respect to jurisdictional rates.
(b) Affiliate Companies.--Each affiliate of a holding company or of
any subsidiary company of a holding company shall maintain, and shall
make available to the Commission, such books, accounts, memoranda, and
other records with respect to any transaction with another affiliate,
as the Commission deems to be relevant to costs incurred by a public
utility or natural gas company that is an associate company of such
holding company and necessary or appropriate for the protection of
utility customers with respect to jurisdictional rates.
(c) Holding Company Systems.--The Commission may examine the books,
accounts, memoranda, and other records of any company in a holding
company system, or any affiliate thereof, as the Commission deems to be
relevant to costs incurred by a public utility or natural gas company
within such holding company system and necessary or appropriate for the
protection of utility customers with respect to jurisdictional rates.
(d) Confidentiality.--No member, officer, or employee of the
Commission shall divulge any fact or information that may come to his
or her knowledge during the course of examination of books, accounts,
memoranda, or other records as provided in this section, except as may
be directed by the Commission or by a court of competent jurisdiction.
SEC. 225. STATE ACCESS TO BOOKS AND RECORDS.
(a) In General.--Upon the written request of a State commission
having jurisdiction to regulate a public utility company in a holding
company system, the holding company or any associate company or
affiliate thereof, other than such public utility company, wherever
located, shall produce for inspection books, accounts, memoranda, and
other records that--
(1) have been identified in reasonable detail by the State
commission;
(2) the State commission deems are relevant to costs
incurred by such public utility company; and
(3) are necessary for the effective discharge of the
responsibilities of the State commission with respect to such
proceeding.
(b) Limitation.--Subsection (a) does not apply to any person that
is a holding company solely by reason of ownership of one or more
qualifying facilities under the Public Utility Regulatory Policies Act
of 1978 (16 U.S.C. 2601 et seq.).
(c) Confidentiality of Information.--The production of books,
accounts, memoranda, and other records under subsection (a) shall be
subject to such terms and conditions as may be necessary and
appropriate to safeguard against unwarranted disclosure to the public
of any trade secrets or sensitive commercial information.
(d) Effect on State Law.--Nothing in this section shall preempt
applicable State law concerning the provision of books, accounts,
memoranda, and other records, or in any way limit the rights of any
State to obtain books, accounts, memoranda, and other records under any
other Federal law, contract, or otherwise.
(e) Court Jurisdiction.--Any United States district court located
in the State in which the State commission referred to in subsection
(a) is located shall have jurisdiction to enforce compliance with this
section.
SEC. 226. EXEMPTION AUTHORITY.
(a) Rulemaking.--Not later than 90 days after the effective date of
this subtitle, the Commission shall promulgate a final rule to exempt
from the requirements of section 224 any person that is a holding
company, solely with respect to one or more--
(1) qualifying facilities under the Public Utility
Regulatory Policies Act of 1978 (16 U.S.C. 2601 et seq.);
(2) exempt wholesale generators; or
(3) foreign utility companies.
(b) Other Authority.--The Commission shall exempt a person or
transaction from the requirements of section 224, if, upon application
or upon the motion of the Commission--
(1) the Commission finds that the books, accounts,
memoranda, and other records of any person are not relevant to
the jurisdictional rates of a public utility or natural gas
company; or
(2) the Commission finds that any class of transactions is
not relevant to the jurisdictional rates of a public utility or
natural gas company.
SEC. 227. AFFILIATE TRANSACTIONS.
(a) Commission Authority Unaffected.--Nothing in this subtitle
shall limit the authority of the Commission under the Federal Power Act
(16 U.S.C. 791a et seq.) to require that jurisdictional rates are just
and reasonable, including the ability to deny or approve the pass
through of costs, the prevention of cross-subsidization, and the
promulgation of such rules and regulations as are necessary or
appropriate for the protection of utility consumers.
(b) Recovery of Costs.--Nothing in this subtitle shall preclude the
Commission or a State commission from exercising its jurisdiction under
otherwise applicable law to determine whether a public utility company,
public utility, or natural gas company may recover in rates any costs
of an activity performed by an associate company, or any costs of goods
or services acquired by such public utility company from an associate
company.
SEC. 228. APPLICABILITY.
Except as otherwise specifically provided in this subtitle, no
provision of this subtitle shall apply to, or be deemed to include--
(1) the United States;
(2) a State or any political subdivision of a State;
(3) any foreign governmental authority not operating in the
United States;
(4) any agency, authority, or instrumentality of any entity
referred to in paragraph (1), (2), or (3); or
(5) any officer, agent, or employee of any entity referred
to in paragraph (1), (2), or (3) acting as such in the course
of his or her official duty.
SEC. 229. EFFECT ON OTHER REGULATIONS.
Nothing in this subtitle precludes the Commission or a State
commission from exercising its jurisdiction under otherwise applicable
law to protect utility customers.
SEC. 230. ENFORCEMENT.
The Commission shall have the same powers as set forth in sections
306 through 317 of the Federal Power Act (16 U.S.C. 825e-825p) to
enforce the provisions of this subtitle.
SEC. 231. SAVINGS PROVISIONS.
(a) In General.--Nothing in this subtitle prohibits a person from
engaging in or continuing to engage in activities or transactions in
which it is legally engaged or authorized to engage on the effective
date of this subtitle.
(b) Effect on Other Commission Authority.--Nothing in this subtitle
limits the authority of the Commission under the Federal Power Act (16
U.S.C. 791a et seq.) (including section 301 of that Act) or the Natural
Gas Act (15 U.S.C. 717 et seq.) (including section 8 of that Act).
SEC. 232. IMPLEMENTATION.
Not later than 18 months after the date of enactment of this
subtitle, the Commission shall--
(1) promulgate such regulations as may be necessary or
appropriate to implement this subtitle (other than section
225); and
(2) submit to the Congress detailed recommendations on
technical and conforming amendments to Federal law necessary to
carry out this subtitle and the amendments made by this
subtitle.
SEC. 233. TRANSFER OF RESOURCES.
All books and records that relate primarily to the functions
transferred to the Commission under this subtitle shall be transferred
from the Securities and Exchange Commission to the Commission.
SEC. 234. INTER-AGENCY REVIEW OF COMPETITION IN THE WHOLESALE AND
RETAIL MARKETS FOR ELECTRIC ENERGY.
(a) Task Force.--There is established an inter-agency task force,
to be known as the ``Electric Energy Market Competition Task Force''
(referred to in this section as the ``task force''), which shall
consist of--
(1) 1 member each from--
(A) the Department of Justice, to be appointed by
the Attorney General of the United States;
(B) the Federal Energy Regulatory Commission, to be
appointed by the chairman of that Commission; and
(C) the Federal Trade Commission, to be appointed
by the chairman of that Commission; and
(2) 2 advisory members (who shall not vote), of whom--
(A) 1 shall be appointed by the Secretary of
Agriculture to represent the Rural Utility Service; and
(B) 1 shall be appointed by the Chairman of the
Securities and Exchange Commission to represent that
Commission.
(b) Study and Report.--
(1) Study.--The task force shall perform a study and
analysis of the protection and promotion of competition within
the wholesale and retail market for electric energy in the
United States.
(2) Report.--
(A) Final report.--Not later than 1 year after the
effective date of this subtitle, the task force shall
submit a final report of its findings under paragraph
(1) to the Congress.
(B) Public comment.--At least 60 days before
submission of a final report to the Congress under
subparagraph (A), the task force shall publish a draft
report in the Federal Register to provide for public
comment.
(c) Focus.--The study required by this section shall examine--
(1) the best means of protecting competition within the
wholesale and retail electric market;
(2) activities within the wholesale and retail electric
market that may allow unfair and unjustified discriminatory and
deceptive practices;
(3) activities within the wholesale and retail electric
market, including mergers and acquisitions, that deny market
access or suppress competition;
(4) cross-subsidization that may occur between regulated
and nonregulated activities; and
(5) the role of State public utility commissions in
regulating competition in the wholesale and retail electric
market.
(d) Consultation.--In performing the study required by this
section, the task force shall consult with and solicit comments from
its advisory members, the States, representatives of the electric power
industry, and the public.
SEC. 235. GAO STUDY ON IMPLEMENTATION.
(a) Study.--The Comptroller General shall conduct a study of the
success of the Federal Government and the States during the 18-month
period following the effective date of this subtitle in--
(1) the prevention of anticompetitive practices and other
abuses by public utility holding companies, including cross-
subsidization and other market power abuses; and
(2) the promotion of competition and efficient energy
markets to the benefit of consumers.
(b) Report to Congress.--Not earlier than 18 months after the
effective date of this subtitle or later than 24 months after that
effective date, the Comptroller General shall submit a report to the
Congress on the results of the study conducted under subsection (a),
including probable causes of its findings and recommendations to the
Congress and the States for any necessary legislative changes.
SEC. 236. EFFECTIVE DATE.
This subtitle shall take effect 18 months after the date of
enactment of this subtitle.
SEC. 237. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated such funds as may be
necessary to carry out this subtitle.
SEC. 238. CONFORMING AMENDMENTS TO THE FEDERAL POWER ACT.
(a) Conflict of Jurisdiction.--Section 318 of the Federal Power Act
(16 U.S.C. 825q) is repealed.
(b) Definitions.--
(1) Section 201(g) of the Federal Power Act (16 U.S.C.
824(g)) is amended by striking ``1935'' and inserting ``2002''.
(2) Section 214 of the Federal Power Act (16 U.S.C. 824m)
is amended by striking ``1935'' and inserting ``2002''.
Subtitle C--Amendments to the Public Utility Regulatory Policies Act of
1978
SEC. 241. REAL-TIME PRICING STANDARD.
(a) Adoption of Standard.--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:
``(11) Real-time pricing.--(A) Each electric utility shall,
at the request of an electric consumer, provide electric
service under a real-time rate schedule, under which the rate
charged by the electric utility varies by the hour (or smaller
time interval) according to changes in the electric utility's
wholesale power cost. The real-time pricing service shall
enable the electric consumer to manage energy use and cost
through real-time metering and communications technology.
``(B) For purposes of implementing this paragraph, any
reference contained in this section to the date of enactment of
the Public Utility Regulatory Policies Act of 1978 shall be
deemed to be a reference to the date of enactment of this
paragraph.
``(C) Notwithstanding subsections (b) and (c) of section
112, each State regulatory authority shall consider and make a
determination concerning whether it is appropriate to implement
the standard set out in subparagraph (A) not later than one
year after the date of enactment of this paragraph.''.
(b) Special Rules for Real-Time Pricing Standard.--Section 115 of
the Public Utility Regulatory Policies Act of 1978 (16 U.S.C. 2625) is
amended by adding at the end the following:
``(i) Real-Time Pricing.--In a state that permits third-party
marketers to sell electric energy to retail electric consumers, the
electric consumer shall be entitled to receive the same real-time
metering and communication service as a direct retail electric consumer
of the electric utility.''.
SEC. 242. ADOPTION OF ADDITIONAL STANDARDS.
(a) Adoption of Standards.--Section 113(b) of the Public Utility
Regulatory Policies Act of 1978 (16 U.S.C. 2623(b)) is amended by
adding at the end the following:
``(6) Distributed generation.--Each electric utility shall
provide distributed generation, combined heat and power, and
district heating and cooling systems competitive access to the
local distribution grid and competitive pricing of service, and
shall use simplified standard contracts for the interconnection
of generating facilities that have a power production capacity
of 250 kilowatts or less.
``(7) Distribution interconnections.--No electric utility
may refuse to interconnect a generating facility with the
distribution facilities of the electric utility if the owner or
operator of the generating facility complies with technical
standards adopted by the State regulatory authority and agrees
to pay the costs established by such State regulatory
authority.
``(8) Minimum fuel and technology diversity standard.--Each
electric utility shall develop a plan to minimize dependence on
one fuel source and to ensure that the electric energy it sells
to consumers is generated using a diverse range of fuels and
technologies, including renewable technologies.
``(9) Fossil fuel efficiency.--Each electric utility shall
develop and implement a ten-year plan to increase the
efficiency of its fossil fuel generation and shall monitor and
report to its State regulatory authority excessive greenhouse
gas emissions resulting from the inefficient operation of its
fossil fuel generating plants.''.
(c) Time for Adopting Standards.--Section 113 of the Public Utility
Regulatory Policies Act of 1978 (16 U.S.C. 2623) is further amended by
adding at the end the following:
``(d) Special Rule.--For purposes of implementing paragraphs (6),
(7), (8), and (9) of subsection (b), any reference contained in this
section to the date of enactment of the Public Utility Regulatory
Policies Act of 1978 shall be deemed to be a reference to the date of
enactment of this subsection.''.
SEC. 243. TECHNICAL ASSISTANCE.
Section 132(c) of the Public Utility Regulatory Policies Act of
1978 (16 U.S.C. 2642(c)) is amended to read as follows:
``(c) Technical Assistance for Certain Responsibilities.--The
Secretary may provide such technical assistance as he determines
appropriate to assist State regulatory authorities and electric
utilities in carrying out their responsibilities under section
111(d)(11) and paragraphs (6), (7), (8), and (9) of section 113(b).''.
SEC. 244. COGENERATION AND SMALL POWER PRODUCTION PURCHASE AND SALE
REQUIREMENTS.
(a) Termination of Mandatory Purchase and Sale Requirements.--
Section 210 of the Public Utility Regulatory Policies Act of 1978 (16
U.S.C. 824a-3) is amended by adding at the end the following:
``(m) Termination of Mandatory Purchase and Sale Requirements.--
``(1) In general.--After the date of enactment of this
subsection, no electric utility shall be required to enter into
a new contract or obligation to purchase or sell electric
energy under this section.
``(2) No effect on existing rights and remedies.--Nothing
in this subsection affects the rights or remedies of any party
with respect to the purchase or sale of electric energy or
capacity from or to a facility under this section under any
contract or obligation to purchase or to sell electric energy
or capacity on the date of enactment of this subsection,
including--
``(A) the right to recover costs of purchasing such
electric energy or capacity; and
``(B) in States without competition for retail
electric supply, the obligation of a utility to
provide, at just and reasonable rates for consumption
by a qualifying small power production facility or a
qualifying cogeneration facility, backup, standby, and
maintenance power.
``(3) Recovery of costs.--
``(A) Regulation.--To ensure recovery by an
electric utility that purchases electric energy or
capacity from a qualifying facility pursuant to any
legally enforceable obligation entered into or imposed
under this section before the date of enactment of this
subsection, of all prudently incurred costs associated
with the purchases, the Commission shall issue and
enforce such regulations as may be required to ensure
that the electric utility shall collect the prudently
incurred costs associated with such purchases.
``(B) Enforcement.--A regulation under subparagraph
(A) shall be enforceable in accordance with the
provisions of law applicable to enforcement of
regulations under the Federal Power Act (16 U.S.C. 791a
et seq.).''.
(b) Elimination of Ownership Limitations.--
(1) Section 3(17)(C) of the Federal Power Act (16 U.S.C.
796(17)(C)) is amended to read as follows:
``(C) `qualifying small power production facility'
means a small power production facility that the
Commission determines, by rule, meets such requirements
(including requirements respecting minimum size, fuel
use, and fuel efficiency) as the Commission may, by
rule, prescribe.''.
(2) Section 3(18)(B) of the Federal Power Act (16 U.S.C.
796(18)(B)) is amended to read as follows:
``(B) `qualifying cogeneration facility' means a
cogeneration facility that the Commission determines,
by rule, meets such requirements (including
requirements respecting minimum size, fuel use, and
fuel efficiency) as the Commission may, by rule,
prescribe.''.
SEC. 245. NET METERING.
Title VI of the Public Utility Regulatory Policies Act of 1978 is
amended by adding at the end the following:
``SEC. 605. NET METERING FOR RENEWABLE ENERGY AND FUEL CELLS.
``(a) Definitions.--For purposes of this section:
``(1) The term `eligible on-site generating facility'
means--
``(A) a facility on the site of a residential
electric consumer with a maximum generating capacity of
10 kilowatts or less that is fueled by solar energy,
wind energy, or fuel cells; or
``(B) a facility on the site of a commercial
electric consumer with a maximum generating capacity of
500 kilowatts or less that is fueled solely by a
renewable energy resource, landfill gas, or a high
efficiency system.
``(2) The term `renewable energy resource' means solar,
wind, biomass, or geothermal energy.
``(3) The term `high efficiency system' means fuel cells or
combined heat and power.
``(4) The term `net metering service' means service to an
electric consumer under which electric energy generated by that
electric consumer from an eligible on-site generating facility
and delivered to the local distribution facilities may be used
to offset electric energy provided by the electric utility to
the electric consumer during the applicable billing period.
``(b) Requirement To Provide Net Metering Service.--Each electric
utility shall make available upon request net metering service to an
electric consumer that the electric utility serves.
``(c) Rates and Charges.--
``(1) Identical charges.--An electric utility--
``(A) shall charge the owner or operator of an on-
site generating facility rates and charges that are
identical to those that would be charged other electric
consumers of the electric utility in the same rate
class; and
``(B) shall not charge the owner or operator of an
on-site generating facility any additional standby,
capacity, interconnection, or other rate or charge.
``(2) Measurement.--An electric utility that sells electric
energy to the owner or operator of an on-site generating
facility shall measure the quantity of electric energy produced
by the on-site facility and the quantity of electric energy
consumed by the owner or operator of an on-site generating
facility during a billing period in accordance with normal
metering practices.
``(3) Electric energy supplied exceeding electric energy
generated.--If the quantity of electric energy sold by the
electric utility to an on-site generating facility exceeds the
quantity of electric energy supplied by the on-site generating
facility to the electric utility during the billing period, the
electric utility may bill the owner or operator for the net
quantity of electric energy sold, in accordance with normal
metering practices.
``(4) Electric energy generated exceeding electric energy
supplied.--If the quantity of electric energy supplied by the
on-site generating facility to the electric utility exceeds the
quantity of electric energy sold by the electric utility to the
on-site generating facility during the billing period--
``(A) the electric utility may bill the owner or
operator of the on-site generating facility for the
appropriate charges for the billing period in
accordance with paragraph (2); and
``(B) the owner or operator of the on-site
generating facility shall be credited for the excess
kilowatt-hours generated during the billing period,
with the kilowatt-hour credit appearing on the bill for
the following billing period.
``(d) Safety and Performance Standards.--
``(1) An eligible on-site generating facility and net
metering system used by an electric consumer shall meet all
applicable safety, performance, reliability, and
interconnection standards established by the National
Electrical Code, the Institute of Electrical and Electronics
Engineers, and Underwriters Laboratories.
``(2) The Commission, after consultation with State
regulatory authorities and nonregulated electric utilities and
after notice and opportunity for comment, may adopt, by rule,
additional control and testing requirements for on-site
generating facilities and net metering systems that the
Commission determines are necessary to protect public safety
and system reliability.
``(e) Application.--This section applies to each electric utility
during any calendar year in which the total sales of electric energy by
such utility for purposes other than resale exceeded 1,000,000,000
kilowatt-hours during the preceding calendar year.''.
Subtitle D--Consumer Protections
SEC. 251. INFORMATION DISCLOSURE.
(a) Offers and Solicitations.--The Federal Trade Commission shall
issue rules requiring each electric utility that makes an offer to sell
electric energy, or solicits electric consumers to purchase electric
energy to provide the electric consumer a statement containing the
following information:
(1) the nature of the service being offered, including
information about interruptibility of service;
(2) the price of the electric energy, including a
description of any variable charges;
(3) a description of all other charges associated with the
service being offered, including access charges, exit charges,
back-up service charges, stranded cost recovery charges, and
customer service charges; and
(4) information the Federal Trade Commission determines is
technologically and economically feasible to provide, is of
assistance to electric consumers in making purchasing
decisions, and concerns--
(A) the product or its price,
(B) the share of electric energy that is generated
by each fuel type; and
(C) the environmental emissions produced in
generating the electric energy.
(b) Periodic Billings.--The Federal Trade Commission shall issue
rules requiring any electric utility that sells electric energy to
transmit to each of its electric consumers, in addition to the
information transmitted pursuant to section 115(f) of the Public
Utility Regulatory Policies Act of 1978 (16 U.S.C. 2625(f)), a clear
and concise statement containing the information described in
subsection (a)(4) for each billing period (unless such information is
not reasonably ascertainable by the electric utility).
SEC. 252. CONSUMER PRIVACY.
(a) Prohibition.--The Federal Trade Commission shall issue rules
prohibiting any electric utility that obtains consumer information in
connection with the sale or delivery of electric energy to an electric
consumer from using, disclosing, or permitting access to such
information unless the electric consumer to whom such information
relates provides prior written approval.
(b) Permitted Use.--The rules issued under this section shall not
prohibit any electric utility from using, disclosing, or permitting
access to consumer information referred to in subsection (a) for any of
the following purposes:
(1) to facilitate an electric consumer's change in
selection of an electric utility under procedures approved by
the State or State regulatory authority;
(2) to initiate, render, bill, or collect for the sale or
delivery of electric energy to electric consumers or for
related services;
(3) to protect the rights or property of the person
obtaining such information;
(4) to protect retail electric consumers from fraud, abuse,
and unlawful subscription in the sale or delivery of electric
energy to such consumers;
(5) for law enforcement purposes; or
(6) for purposes of compliance with any Federal, State, or
local law or regulation authorizing disclosure of information
to a Federal, State, or local agency.
(c) Aggregate Consumer Information.--The rules issued under this
subsection may permit a person to use, disclose, and permit access to
aggregate consumer information and may require an electric utility to
make such information available to other electric utilities upon
request and payment of a reasonable fee.
(d) Definitions.--As used in this section:
(1) The term ``aggregate consumer information'' means
collective data that relates to a group or category of retail
electric consumers, from which individual consumer identities
and characteristics have been removed.
(2) The term ``consumer information'' means information
that relates to the quantity, technical configuration, type,
destination, or amount of use of electric energy delivered to
any retail electric consumer.
SEC. 253. UNFAIR TRADE PRACTICES.
(a) Slamming.--The Federal Trade Commission shall issue rules
prohibiting the change of selection of an electric utility except with
the informed consent of the electric consumer.
(b) Cramming.--The Federal Trade Commission shall issue rules
prohibiting the sale of goods and services to an electric consumer
unless expressly authorized by law or the electric consumer.
SEC. 254. APPLICABLE PROCEDURES.
The Federal Trade Commission shall proceed in accordance with
section 553 of title 5, United States Code, when prescribing a rule
required by this subtitle.
SEC. 255. FEDERAL TRADE COMMISSION ENFORCEMENT.
Violation of a rule issued under this subtitle shall be treated as
a violation of a rule under section 18 of the Federal Trade Commission
Act (15 U.S.C. 57a) respecting unfair or deceptive acts or practices.
All functions and powers of the Federal Trade Commission under such Act
are available to the Federal Trade Commission to enforce compliance
with this subtitle notwithstanding any jurisdictional limits in such
Act.
SEC. 256. STATE AUTHORITY.
Nothing in this subtitle shall be construed to preclude a State or
State regulatory authority from prescribing and enforcing additional
laws, rules, or procedures regarding the practices which are the
subject of this section, so long as such laws, rules, or procedures are
not inconsistent with the provisions of this section or with any rule
prescribed by the Federal Trade Commission pursuant to it.
SEC. 257. APPLICATION OF SUBTITLE.
The provisions of this subtitle apply to each electric utility if
the total sales of electric energy by such utility for purposes other
than resale exceed 500 million kilowatt-hours per calendar year. The
provisions of this stubtitle do not apply to the operations of an
electric utility to the extent that such operations relate to sales of
electric energy for purposes of resale.
SEC. 258. DEFINITIONS.
As used in this subtitle:
(1) The term ``aggregate consumer information'' means
collective data that relates to a group or category of electric
consumers, from which individual consumer identities and
identifying characteristics have been removed.
(2) The term ``consumer information'' means information
that relates to the quantity, technical configuration, type,
destination, or amount of use of electric energy delivered to
an electric consumer.
(3) The terms ``electric consumer'', ``electric utility'',
and ``State regulatory authority'' have the meanings given such
terms in section 3 of the Public Utility Regulatory Policies
Act of 1978 (16 U.S.C. 2602).
Subtitle E--Renewable Energy and Rural Construction Grants
SEC. 261. RENEWABLE ENERGY PRODUCTION INCENTIVE.
(a) Incentive Payments.--Section 1212(a) of the Energy Policy Act
of 1992 (42 U.S.C. 13317(a)) is amended by striking ``and which
satisfies'' and all that follows through ``Secretary shall establish.''
and inserting the following:
``. The Secretary shall establish other procedures necessary for
efficient administration of the program. The Secretary shall not
establish any criteria or procedures that have the effect of assigning
to proposals a higher or lower priority for eligibility or allocation
of appropriated funds on the basis of the energy source proposed.''.
(b) Qualified Renewable Energy Facility.--Section 1212 (b) of the
Energy Policy Act of 1992 (42 U.S.C. 13317(b)) is amended--
(1) by striking ``a State or any political'' and all that
follows through ``nonprofit electrical cooperative'' and
inserting the following: ``an electricity-generating
cooperative exempt from taxation under section 501(c)(12) or
section 1381(a)(2)(C) of the Internal Revenue Code of 1986, a
public utility described in section 115 of such Code, a State,
Commonwealth, territory, or possession of the United States or
the District of Columbia, or a political subdivision thereof,
or an Indian tribal government or subdivision thereof,''; and
(2) by inserting ``landfill gas, incremental hydropower,
ocean'' after ``wind, biomass,''.
(c) Eligibility Window.--Section 1212(c) of the Energy Policy Act
of 1992 (42 U.S.C. 13317(c)) is amended by striking ``during the 10-
fiscal year period beginning with the first full fiscal year occurring
after the enactment of this section'' and inserting ``before October 1,
2013''.
(d) Payment Period.--Section 1212(d) of the Energy Policy Act of
1992 (42 U.S.C. 13317(d)) is amended by inserting ``or in which the
Secretary finds that all necessary Federal and State authorizations
have been obtained to begin construction of the facility'' after
``eligible for such payments''.
(e) Amount of Payment.--Section 1212(e)(1) of the Energy Policy Act
of 1992 (42 U.S.C. 13317(e)(1)) is amended by inserting ``landfill gas,
incremental hydropower, ocean'' after ``wind, biomass,''.
(f) Sunset.--Section 1212(f) of the Energy Policy Act of 1992 (42
U.S.C. 13317(f)) is amended by striking ``the expiration of'' and all
that follows through ``of this section'' and inserting ``September 30,
2023''.
(g) Incremental Hydropower; Authorization of Appropriations.--
Section 1212 of the Energy Policy Act of 1992 (42 U.S.C. 13317) is
further amended by striking subsection (g) and inserting the following:
``(g) Incremental Hydropower.--
``(1) Programs.--Subject to subsection (h)(2), if an
incremental hydropower program meets the requirements of this
section, as determined by the Secretary, the incremental
hydropower program shall be eligible to receive incentive
payments under this section.
``(2) Definition of incremental hydropower.--In this
subsection, the term `incremental hydropower' means additional
generating capacity achieved from increased efficiency or
additions of new capacity at a hydroelectric facility in
existence on the date of enactment of this paragraph.
``(h) Authorization of Appropriations.--
``(1) In general.--Subject to paragraph (2), there are
authorized to be appropriated such sums as may be necessary to
carry out this section for fiscal years 2003 through 2023.
``(2) Limitation on funds used for incremental hydropower
programs.--Not more than 30 percent of the amounts made
available under paragraph (1) shall be used to carry out
programs described in subsection (g)(2).
``(3) Availability of funds.--Funds made available under
paragraph (1) shall remain available until expended.''.
SEC. 262. ASSESSMENT OF RENEWABLE ENERGY RESOURCES.
(a) Resource Assessment.--Not later than 3 months after the date of
enactment of this title, and each year thereafter, the Secretary of
Energy shall review the available assessments of renewable energy
resources available within the United States, including solar, wind,
biomass, ocean, geothermal, and hydroelectric energy resources, and
undertake new assessments as necessary, taking into account changes in
market conditions, available technologies and other relevant factors.
(b) Contents of Reports.--Not later than one year after the date of
enactment of this title, and each year thereafter, the Secretary shall
publish a report based on the assessment under subsection (a). The
report shall contain--
(1) a detailed inventory describing the available amount
and characteristics of the renewable energy resources, and
(2) such other information as the Secretary of Energy
believes would be useful in developing such renewable energy
resources, including descriptions of surrounding terrain,
population and load centers, nearby energy infrastructure,
location of energy and water resources, and available estimates
of the costs needed to develop each resource.
SEC. 263. FEDERAL PURCHASE REQUIREMENT.
(a) Requirement.--The President shall ensure that, of the total
amount of electric energy the federal government consumes during any
fiscal year--
(1) not less than 3 percent in fiscal years 2003 through
2004,
(2) not less than 5 percent in fiscal years 2005 through
2009, and
(3) not less than 7.5 percent in fiscal year 2010 and each
fiscal year thereafter--
shall be renewable energy. The President shall encourage the use of
innovative purchasing practices, including aggregation and the use of
renewable energy derivatives, by federal agencies.
(b) Definition.--For purposes of this section, the term ``renewable
energy'' means electric energy generated from solar, wind, biomass,
geothermal, fuel cells, or additional hydroelectric generation capacity
achieved from increased efficiency or additions of new capacity at an
existing hydroelectric dam.
(c) Tribal Power Generation.--To the maximum extent practicable,
the President shall ensure that not less than one-tenth of the amount
specified in subsection (a) shall be renewable energy that is generated
by an Indian tribe or by a corporation, partnership, or business
association which is wholly or majority owned, directly or indirectly,
by an Indian tribe. For purposes of this subsection, the term ``Indian
tribe'' means any Indian tribe, band, nation, or other organized group
or community, including any Alaska Native village or regional or
village corporation as defined in or established pursuant to the Alaska
Native Claims Settlement Act (43 U.S.C. 1601 et seq.), which is
recognized as eligible for the special programs and services provided
by the United States to Indians because of their status as Indians.
SEC. 264. RURAL CONSTRUCTION GRANTS.
Section 313 of the Rural Electrification Act of 1936 (7 U.S.C.
940c) is amended by adding after subsection (b) the following:
``(c) Rural and Remote Communities Electrification Grants.--The
Secretary of Agriculture, in consultation with the Secretary of Energy
and the Secretary of the Interior, may provide grants to eligible
borrowers under this Act for the purpose of increasing energy
efficiency, siting or upgrading transmission and distribution lines, or
providing or modernizing electric facilities for--
``(1) a unit of local government of a State or territory;
or
``(2) an Indian tribe or Tribal College or University as
defined in section 316(b)(3) of the Higher Education Act (20
U.S.C. 1059c(b)(3)).
``(d) Grant Criteria.--The Secretary shall make grants based on a
determination of cost-effectiveness and most effective use of the funds
to achieve the stated purposes of this section.
``(e) Preference.--In making grants under this section, the
Secretary shall give a preference to renewable energy facilities.
``(f) Definition.--For purposes of this section, the term `Indian
tribe' means any Indian tribe, band, nation, or other organized group
or community, including any Alaska Native village or regional or
village corporation as defined in or established pursuant to the Alaska
Native Claims Settlement Act (43 U.S.C. 1601 et seq.), which is
recognized as eligible for the special programs and services provided
by the United States to Indians because of their status as Indians;
``(g) Authorization.--For the purpose of carrying out subsection
(c), there are authorized to be appropriated to the Secretary
$20,000,000 for each of the seven fiscal years following the date of
enactment of this subsection.''.
SEC. 265. RENEWABLE PORTFOLIO STANDARD.
Title VI of the Public Utility Regulatory Policies Act of 1978 is
further amended by adding at the end the following:
``SEC. 606. FEDERAL RENEWABLE PORTFOLIO STANDARD.
``(a) Minimum Renewable Generation Requirement.--For each calendar
year beginning with 2003, each retail electric supplier shall submit to
the Secretary renewable energy credits in an amount equal to the
required annual percentage, specified in subsection (b), of the total
electric energy sold by the retail electric supplier to electric
consumers in the calendar year. The retail electric supplier shall make
this submission before April 1 of the following calendar year.
``(b) Required Annual Percentage.--
``(1) For calendar years 2003 and 2004, the required annual
percentage shall be determined by the Secretary in an amount
less than the amount in paragraph (2).
``(2) For calendar year 2005 the required annual percentage
shall be 2.5 percent of the retail electric supplier's base
amount.
``(3) For each calendar year from 2006 through 2020, the
required annual percentage of the retail electric supplier's
base amount shall be .5 percent greater than the required
annual percentage for the calendar year immediately preceding.
``(c) Submission of Credits.--(1) A retail electric supplier may
satisfy the requirements of subsection (a) through the submission of--
``(A) renewable energy credits issued under subsection (d)
for renewable energy generated by the retail electric supplier
in the calendar year for which credits are being submitted or
any of the two previous calendar years;
``(B) renewable energy credits obtained by purchase or
exchange under subsection (e);
``(C) renewable energy credits borrowed against future
years under subsection (f); or
``(D) any combination of credits under subparagraphs (A),
(B), and (C).
``(2) A credit may be counted toward compliance with subsection (a)
only once.
``(d) Issuance of Credits.--(1) The Secretary shall establish, not
later than one year after the date of enactment of this section, a
program to issue, monitor the sale or exchange of, and track renewable
energy credits.
``(2) Under the program, an entity that generates electric energy
through the use of a renewable energy resource may apply to the
Secretary for the issuance of renewable energy credits. The application
shall indicate--
``(A) the type of renewable energy resource used to produce
the electricity,
``(B) the location where the electric energy was produced,
and
``(C) any other information the Secretary determines
appropriate.
``(3)(A) Except as provided in paragraphs (B) and (C), the
Secretary shall issue to an entity one renewable energy credit for each
kilowatt-hour of electric energy the entity generates in calendar year
2002 and any succeeding year through the use of a renewable energy
resource at an eligible facility.
``(B) For incremental hydropower the credits shall be calculated
based on a normalized annual capacity factor for each facility, and not
actual generation. The calculation of the credits for incremental
hydropower shall not be based on any operational changes at the
hydroelectric facility not directly associated with the efficiency
improvements or capacity additions.
``(C) The Secretary shall issue two renewable energy credits for
each kilowatt-hour of electric energy generated in calendar year 2002
and any succeeding year through the use of a renewable energy resource
at an eligible facility, if the generating facility is located on
Indian land. For purposes of this paragraph, renewable energy generated
by biomass cofired with other fuels is eligible for two credits only if
the biomass was grown on the land eligible under this paragraph.
``(D) To be eligible for a renewable energy credit, the unit of
electric energy generated through the use of a renewable energy
resource may be sold or may be used by the generator. If both a
renewable energy resource and a non-renewable energy resource are used
to generate the electric energy, the Secretary shall issue credits
based on the proportion of the renewable energy resource used. The
Secretary shall identify renewable energy credits by type and date of
generation.
``(4) In order to receive a renewable energy credit, the recipient
of a renewable energy credit shall pay a fee, calculated by the
Secretary, in an amount that is equal to the administrative costs of
issuing, recording, monitoring the sale or exchange of, and tracking
the credit. The Secretary shall retain the fee and use it to pay these
administrative costs.
``(5) When a generator sells electric energy generated through the
use of a renewable energy resource to a retail electric supplier under
a contract subject to section 210 of this Act, the retail electric
supplier is treated as the generator of the electric energy for the
purposes of this section for the duration of the contract.
``(e) Credit Trading.--A renewable energy credit may be sold or
exchanged by the entity to whom issued or by any other entity who
acquires the credit. A renewable energy credit for any year that is not
used to satisfy the minimum renewable generation requirement of
subsection (a) for that year may be carried forward for use in another
year.
``(f) Credit Borrowing.--At any time before the end of calendar
year 2003, a retail electric supplier that has reason to believe that
it will not have sufficient renewable energy credits to comply with
subsection (a) may--
``(1) submit a plan to the Secretary demonstrating that the
retail electric supplier will earn sufficient credits within
the next 3 calendar years which, when taken into account, will
enable the retail electric supplier to meet the requirements of
subsection (a) for calendar year 2003 and the calendar year
involved; and
(2) upon the approval of the plan by the Secretary, apply
credits that the plan demonstrates will be earned within the
next 3 calendar years to meet the requirements of subsection
(a) for each calendar year involved.
``(g) Enforcement.--The Secretary may bring an action in the
appropriate United States district court to impose a civil penalty on a
retail electric supplier that does not comply with subsection (a). A
retail electric supplier who does not submit the required number of
renewable energy credits under subsection (a) is subject to a civil
penalty of not more than 3 cents each for the renewable energy credits
not submitted. Any civil penalty collected under this subsection shall
be retained by the Secretary and used to carry out the purposes of
section 1212 of the Energy Policy Act of 1992 (42 U.S.C. 13317(a);
relating to renewable energy production incentives).
``(h) Information Collection.--The Secretary may collect the
information necessary to verify and audit--
``(1) the annual electric energy generation and renewable
energy generation of any entity applying for renewable energy
credits under this section,
``(2) the validity of renewable energy credits submitted by
a retail electric supplier to the Secretary, and
``(3) the quantity of electricity sales of all retail
electric suppliers.
``(i) Environmental Savings Clause.--Incremental hydropower shall
be subject to all applicable environmental laws and licensing and
regulatory requirements.
``(j) State Savings Clause.--This section does not preclude a State
from requiring additional renewable energy generation in that State.
``(k) Definitions.--For purposes of this section--
``(1) The term `eligible facility' means--
``(A) a facility for the generation of electric
energy from a renewable energy resource that is placed
in service on or after January 1, 2002; or
``(B) a repowering or cofiring increment that is
placed in service on or after January 1, 2002 at a
facility for the generation of electric energy from a
renewable energy resource that was placed in service
before January 1, 2002.
An eligible facility does not have to be interconnected to the
transmission or distribution system facilities of an electric
utility.
``(2) The term `generation offset' means reduced
electricity usage metered at a site where a customer consumes
electricity from a renewable energy technology.
``(3) The term `incremental hydropower' means additional
generation capacity achieved from increased efficiency or
additions of capacity after January 1, 2002 at a hydroelectric
dam that was placed in service before January 1, 2002.
``(4) The term `Indian land' means--
``(A) any land within the limits of any Indian
reservation, pueblo or rancheria,
``(B) any land not within the limits of any Indian
reservation, pueblo or rancheria title to which was on
the date of enactment of this paragraph either held by
the United States for the benefit of any Indian tribe
or individual or held by any Indian tribe or individual
subject to restriction by the United States against
alienation,
``(C) any dependent Indian community, and
``(D) any land conveyed to any Alaska Native
corporation under the Alaska Native Claims Settlement
Act.
``(5) The term `Indian tribe' means any Indian tribe, band,
nation, or other organized group or community, including any
Alaska Native village or regional or village corporation as
defined in or established pursuant to the Alaska Native Claims
Settlement Act (43 U.S.C. 1601 et seq.), which is recognized as
eligible for the special programs and services provided by the
United States to Indians because of their status as Indians.
``(6) The term `renewable energy' means electric energy
generated by a renewable energy resource.
``(7) The term `renewable energy resource' means solar,
wind, biomass, ocean, or geothermal energy, a generation
offset, or incremental hydropower facility.
``(8) The term `repowering or cofiring increment' means the
additional generation from a modification that is placed in
service on or after January 1, 2002 to expand electricity
production at a facility used to generate electric energy from
a renewable energy resource or to cofire biomass that was
placed in service before January 1, 2002.
``(9) The term `retail electric supplier' means a person,
State agency, or Federal agency that sells electric energy to
electric consumers and sold not less than 500,000,000 kilowatt-
hours of electric energy to electric consumers for purposes
other than resale during the preceding calendar year.
``(10) The term `retail electric supplier's base amount'
means the total amount of electric energy sold by the retail
electric supplier to electric customers during the most recent
calendar year for which information is available, excluding
electric energy generated by a renewable energy resource,
landfill gas, or a hydroelectric facility.
``(l) Sunset.--Subsection (a) of this section expires December 31,
2020.''.
SEC. 266. RENEWABLE ENERGY ON FEDERAL LAND.
(a) Cost-Share Demonstration Program.--Within 12 months after the
date of enactment of this section, the Secretaries of the Interior,
Agriculture, and Energy shall develop guidelines for a cost-share
demonstration program for the development of wind and solar energy
facilities on Federal land.
(b) Definition of Federal Land.--As used in this section, the term
``Federal land'' means land owned by the United States that is subject
to the operation of the mineral leasing laws; and is either--
(1) public land as defined in section 103(e) of the Federal
Land Policy and Management Act of 1976 (42 U.S.C. 1702(e)); or
(2) a unit of the National Forest System as that term is
used in section 11(a) of the Forest and Rangeland Renewable
Resources Planning Act of 1974 (16 U.S.C. 1609(a)).
(c) Rights-of-Way.--The demonstration program shall provide for the
issuance of rights-of-way pursuant to the provisions of title V of the
Federal Land Policy and Management Act of 1976 (43 U.S.C. 1761 et seq.)
by the Secretary of the Interior with respect to Federal land under the
jurisdiction of the Department of the Interior, and by the Secretary of
Agriculture with respect to federal lands under the jurisdiction of the
Department of Agriculture.
(d) Available Sites.--For purposes of this demonstration program,
the issuance of rights-of-way shall be limited to areas--
(1) of high energy potential for wind or solar development;
(2) that have been identified by the wind or solar energy
industry, through a process of nomination, application, or
otherwise, as being of particular interest to one or both
industries;
(3) that are not located within roadless areas;
(4) where operation of wind or solar facilities would be
compatible with the scenic, recreational, environmental,
cultural, or historic values of the Federal land, and would not require
the construction of new roads for the siting of lines or other
transmission facilities; and
(5) where issuance of the right-of-way is consistent with
the land and resource management plans of the relevant land
management agencies.
(e) Cost-Share Payments by DOE.--The Secretary of Energy, in
cooperation with the Secretary of the Interior with respect to Federal
land under the jurisdiction of the Department of the Interior, and the
Secretary of Agriculture with respect to Federal land under the
jurisdiction of the Department of Agriculture, shall determine if the
portion of a project on federal land is eligible for financial
assistance pursuant to this section. Only those projects that are
consistent with the requirements of this section and further the
purposes of this section shall be eligible. In the event a project is
selected for financial assistance, the Secretary of Energy shall
provide no more than 15 percent of the costs of the project on the
federal land, and the remainder of the costs shall be paid by non-
Federal sources.
(f) Revision of Land Use Plans.--The Secretary of the Interior
shall consider development of wind and solar energy, as appropriate, in
revisions of land use plans under section 202 of the Federal Land
Policy and Management Act of 1976 (42 U.S.C. 1712); and the Secretary
of Agriculture shall consider development of wind and solar energy, as
appropriate, in revisions of land and resource management plans under
section 5 of the Forest and Rangeland Renewable Resources Planning Act
of 1974 (16 U.S.C. 1604). Nothing in this subsection shall preclude the
issuance of a right-of-way for the development of a wind or solar
energy project prior to the revision of a land use plan by the
appropriate land management agency.
(g) Report to Congress.--Within 24 months after the date of
enactment of this section, the Secretary of the Interior shall develop
and report to Congress recommendations on any statutory or regulatory
changes the Secretary believes would assist in the development of
renewable energy on Federal land. The report shall include--
(1) a five-year plan developed by the Secretary of the
Interior, in cooperation with the Secretary of Agriculture, for
encouraging the development of wind and solar energy on Federal
land in an environmentally sound manner; and
(2) an analysis of--
(A) whether the use of rights-of-ways is the best
means of authorizing use of Federal land for the
development of wind and solar energy, or whether such
resources could be better developed through a leasing
system, or other method;
(B) the desirability of grants, loans, tax credits
or other provisions to promote wind and solar energy
development on Federal land; and
(C) any problems, including environmental concerns,
which the Secretary of the Interior or the Secretary of
Agriculture have encountered in managing wind or solar
energy projects on Federal land, or believe are likely
to arise in relation to the development of wind or
solar energy on Federal land;
(3) a list, developed in consultation with the Secretaries
of Energy and Defense, of lands under the jurisdiction of the
Departments of Energy and Defense that would be suitable for
development for wind or solar energy, and recommended statutory
and regulatory mechanisms for such development; and
(4) an analysis, developed in consultation with the
Secretaries of Energy and Commerce, of the potential for
development of wind, solar, and ocean energy on the Outer
Continental Shelf, along with recommended statutory and
regulatory mechanisms for such development.
TITLE III--HYDROELECTRIC RELICENSING
SEC. 301. ALTERNATIVE MANDATORY CONDITIONS AND FISHWAYS.
(a) Alternative Mandatory Conditions.--Section 4 of the Federal
Power Act (16 U.S.C. 797) is amended by adding at the end the
following:
``(h)(1) Whenever any person applies for a license for any project
works within any reservation of the United States, and the Secretary of
the department under whose supervision such reservation falls deems a
condition to such license to be necessary under the first proviso of
subsection (e), the license applicant or any other party to the
licensing proceeding may propose an alternative condition.
``(2) Notwithstanding the first proviso of subsection (e), the
Secretary of the department under whose supervision the reservation
falls shall accept the proposed alternative condition referred to in
paragraph (1), and the Commission shall include in the license such
alternative condition, if the Secretary of the appropriate department
determines, based on substantial evidence provided by the party
proposing such alternative condition, that the alternative condition--
``(A) provides no less protection for the reservation than
provided by the condition deemed necessary by the Secretary;
and
``(B) will either--
``(i) cost less to implement, or
``(ii) result in improved operation of the project
works for electricity production,
as compared to the condition deemed necessary by the Secretary.
``(3) Within 1 year after the enactment of this subsection, each
Secretary concerned shall, by rule, establish a process to
expeditiously resolve conflicts arising under this subsection.''.
(b) Alternative Fishways.--Section 18 of the Federal Power Act (16
U.S.C. 811) is amended by--
(1) inserting ``(a)'' before the first sentence; and
(2) adding at the end the following:
``(b)(1) Whenever the Commission shall require a licensee to
construct, maintain, or operate a fishway prescribed by the Secretary
of the Interior or the Secretary of Commerce under this section, the
licensee or any other party to the proceeding may propose an
alternative to such prescription to construct, maintain, or operate a
fishway.
``(2) Notwithstanding subsection (a), the Secretary of the Interior
or the Secretary of Commerce, as appropriate, shall accept and
prescribe, and the Commission shall require, the proposed alternative
referred to in paragraph (1), if the Secretary of the appropriate
department determines, based on substantial evidence provided by the
party proposing such alternative, that the alternative--
``(A) will be no less effective than the fishway initially
prescribed by the Secretary, and
``(B) will either--
``(i) cost less to implement, or
``(ii) result in improved operation of the project
works for electricity production,
as compared to the fishway initially prescribed by the
Secretary.
``(3) Within 1 year after the enactment of this subsection, the
Secretary of the Interior and the Secretary of Commerce shall each, by
rule, establish a process to expeditiously resolve conflicts arising
under this subsection.''.
SEC. 302. CHARGES FOR TRIBAL LANDS.
Section 10(e)(1) of the Federal Power Act (16 U.S.C. 803(e)(1) is
amended by inserting after the second proviso the following:
``Provided further, That the Commission shall not issue a new
or original license for projects involving tribal lands
embraced within Indian reservations until annual charges
required under this section have been fixed.''
SEC. 303. DISPOSITION OF HYDROELECTRIC CHARGES.
Section 17 of the Federal Power Act (16 U.S.C. 810) is further
amended--
(1) by striking ``to be expended under the direction of the
Secretary of the Army in the maintenance and operation of dams
and other navigation structures owned by the United States or
in the construction, maintenance, or operation of headwater or
other improvements of navigable waters of the United States.'';
and
(2) by inserting in lieu thereof the following: ``to be
expended in the following manner on an annual basis: (A) fifty-
percent of the funds shall be expended by the Secretary of the
Interior pursuant to a grant program to be established by the
Secretary to support collaborative watershed restoration and
education activities intended to promote the recovery of
candidate, threatened, and endangered species under the
Endangered Species Act of 1973; and (B) fifty-percent of the
funds shall be expended by the Secretary of Agriculture, acting
through the Chief of the Forest Service, for the Youth
Conservation Corps program.''.
SEC. 304. ANNUAL LICENSES.
Section 15(a) of the Federal Power Act (16 U.S.C. 808(a)) is
amended by adding at the end the following:
``(4) Prior to issuing a fourth and subsequent annual
license under paragraph (1), the Commission shall first consult
with the Secretary of the Interior and the Secretary of
Commerce, and if the project is within any reservation, with
the Secretary under whose supervision such reservation falls.
``(5) Prior to issuing a fourth and subsequent annual
license under paragraph (1), the Commission shall publish a
written statement setting forth the reasons why the annual
license is needed, and describing the results of consultation
with the Secretary of the Interior, the Secretary of Commerce,
and the Secretary under whose supervision the reservation
falls. Such explanation shall also contain the best judgment of
the Commission as to whether the Commission anticipates issuing
an additional annual license.
``(6) At least 60 days prior to expiration of the seventh
and subsequent annual licenses issued under paragraph (1), the
Commission shall submit to Congress the written statement
required in paragraph (5).''.
SEC. 305. ENFORCEMENT.
(a) Monitoring and Investigations of Mandatory Conditions and
Fishway Prescriptions.--The first sentence of section 31(a) of the
Federal Power Act (16 U.S.C. 823b(a)) is amended to read as follows:
``The Commission shall monitor and investigate compliance with each
license and permit issued under this Part, each condition imposed under
section 4(e) or 4(h), each fishway prescription imposed under section
18, and each exemption granted from any requirement of this Part.''.
(b) Compliance Orders.--The third sentence of section 31(a) of the
Federal Power Act (16 U.S.C. 823(a)) is amended to read as follows:
``After notice and opportunity for public hearing, the Commission may
issue such orders as necessary to require compliance with the terms and
conditions of licenses and permits issued under this Part, with
conditions imposed under section 4(e) or 4(h), with fishway
prescriptions imposed under section 18, and with the terms and
conditions of exemptions granted from any requirement of this Part.''.
SEC. 306. ESTABLISHMENT OF HYDROELECTRIC RELICENSING PROCEDURES.
(a) Joint Procedures of the Commission and Resource Agencies.--
(1) Within 18 months after the date of enactment of this
section, the Commission, the Secretary of the Interior, the
Secretary of Commerce, and the Secretary of Agriculture, shall,
after consultation with the interested states and public review
and comment, issue coordinated regulations governing the
issuance of a license under section 15 of the Federal Power Act
(16 U.S.C. 808).
(2) Such regulations shall provide for--
(A) the participation of the Commission in the pre-
application environmental scoping process conducted by
the resource agencies pursuant to section 15(b) of the
Federal Power Act (16 U.S.C. 808(b)), sufficient to
allow the Commission and the resource agencies to
coordinate environmental reviews and other regulatory
procedures of the Commission and the resource agencies
under Part I of the Federal Power Act, and under the
National Environmental Policy Act of 1969 (42 U.S.C.
4321 et seq.);
(B) issuance by the resource agencies of draft and
final mandatory conditions under section 4(e) of the
Federal Power Act (16 U.S.C. 797(e)), and draft and
final fishway prescriptions under section 18 of the
Federal Power Act (16 U.S.C. 811);
(C) to the maximum extent possible, identification
by the Commission staff in the draft analysis of the
license application conducted under the National
Environmental Policy Act, of all license articles and
license conditions the Commission is likely to include
in the license;
(D) coordination by the Commission and the resource
agencies of analysis under the National Environmental
Policy Act for final license articles and conditions
recommended by Commission staff, and the final
mandatory conditions and fishway prescriptions of the
resource agencies;
(E) procedures for ensuring coordination and
sharing, to the maximum extent possible, of
information, studies, data and analysis by the
Commission and the resource agencies to reduce the need
for duplicative studies and analysis by license
applicants and other parties to the license proceeding;
and
(F) procedures for ensuring resolution at an early
stage of the process of the scope and type of
reasonable and necessary information, studies, data,
and analysis to be provided by the license applicant.
(b) Procedures of the Commission.--Within 18 months after the date
of enactment of this section, the Commission shall, after consultation
with the interested federal agencies and states and after public
comment and review, issue additional regulations governing the issuance
of a license under section 15 of the Federal Power Act (16 U.S.C. 808).
Such regulations shall--
(1) set a schedule for the Commission to issue--
(A) a tendering notice indicating that an
application has been filed with the Commission;
(B) advanced notice to resource agencies of the
issuance of the Ready for Environmental Analysis Notice
requesting submission of recommendations, conditions,
prescriptions, and comments;
(C) a license decision after completion of
environmental assessments or environmental impact
statements prepared pursuant to the National
Environmental Policy Act; and
(D) responses to petitions, motions, complaints and
requests for rehearing;
(2) set deadlines for an applicant to conduct all needed
resource studies in support of its license application;
(3) ensure a coordinated schedule for all major actions by
the applicant, the Commission, affected Federal and State
agencies, Indian Tribes and other parties, through final
decision on the application; and
(4) provide for the adjustment of schedules if unavoidable
delays occur.
SEC. 307. RELICENSING STUDY.
(a) In General.--The Federal Energy Regulatory Commission shall,
jointly with the Secretary of Commerce, the Secretary of the Interior,
and the Secretary of Agriculture, conduct a study of all new licenses
issued for existing projects under section 15 of the Federal Power Act
(16 U.S.C. 808) since January 1, 1994.
(b) Scope.--The study shall analyze:
(1) the length of time the Commission has taken to issue
each new license for an existing project;
(2) the additional cost to the licensee attributable to new
license conditions;
(3) the change in generating capacity attributable to new
license conditions;
(4) the environmental benefits achieved by new license
conditions;
(5) significant unmitigated environmental damage of the
project and costs to mitigate such damage; and
(6) litigation arising from the issuance or failure to
issue new licenses for existing projects under section 15 of
the Federal Power Act or the imposition or failure to impose
new license conditions.
(c) Definition.--As used in this section, the term ``new license
condition'' means any condition imposed under--
(1) section 4(e) of the Federal Power Act (16 U.S.C.
797(e)),
(2) section 10(a) of the Federal Power Act (16 U.S.C.
803(a)),
(3) section 10(e) of the Federal Power Act (16 U.S.C.
803(e)),
(4) section 10(j) of the Federal Power Act (16 U.S.C.
803(j)),
(5) section 18 of the Federal Power Act (16 U.S.C. 811), or
(6) section 401(d) of the Clean Water Act (33 U.S.C.
1341(d)).
(d) Consultation.--The Commission shall give interested persons and
licensees an opportunity to submit information and views in writing.
(e) Report.--The Commission shall report its findings to the
Committee on Energy and Natural Resources of the United States Senate
and the Committee on Energy and Commerce of the House of
Representatives not later than 24 months after the date of enactment of
this section.
SEC. 308. DATA COLLECTION PROCEDURES.
Within 24 months after the date of enactment of this section, the
Federal Energy Regulatory Commission, the Secretary of the Interior,
the Secretary of Commerce, and the Secretary of Agriculture shall
jointly develop procedures for ensuring complete and accurate
information concerning the time and cost to parties in the
hydroelectric licensing process under part I of the Federal Power Act
(16 U.S.C. 791 et seq.). Such data shall be published regularly, but no
less frequently than every three years.
TITLE IV--INDIAN ENERGY
SEC. 401. COMPREHENSIVE INDIAN ENERGY PROGRAM.
Title XXVI of the Energy Policy Act of 1992 (25 U.S.C. 3501-3506)
is amended by adding after section 2606 the following:
``SEC. 2607. COMPREHENSIVE INDIAN ENERGY PROGRAM.
``(a) Definitions.--For purposes of this section--
``(1) the term `Director' means the Director of the Office
of Indian Energy Policy and Programs established by section 217
of the Department of Energy Organization Act, and
``(2) the term `Indian land' means--
``(A) any land within the limits of an Indian
reservation, pueblo, or rancheria;
``(B) any land not within the limits of an Indian
reservation, pueblo, or rancheria whose title on the
date of enactment of this section was held--
``(i) in trust by the United States for the
benefit of an Indian tribe,
``(ii) by an Indian tribe subject to
restriction by the United States against
alienation, or
``(iii) by a dependent Indian community;
and
``(C) land conveyed to an Alaska Native Corporation
under the Alaska Native Claims Settlement Act.
``(b) Indian Energy Education Planning and Management Assistance.--
``(1) The Director shall establish programs within the
Office of Indian Energy Policy and Programs to assist Indian
tribes in meeting their energy education, research and
development, planning, and management needs.
``(2) The Director may make grants, on a competitive basis,
to an Indian tribe for--
``(A) renewable energy, energy efficiency, and
conservation programs;
``(B) studies and other activities supporting
tribal acquisition of energy supplies, services, and
facilities;
``(C) planning, constructing, developing,
operating, maintaining, and improving tribal electrical
generation, transmission, and distribution facilities;
and
``(D) developing, constructing, and interconnecting
electric power transmission facilities with
transmission facilities owned and operated by a Federal
power marketing agency or an electric utility that
provides open access transmission service.
``(3) The Director may develop, in consultation with Indian
tribes, a formula for making grants under this section. The
formula may take into account the following--
``(A) the total number of acres of Indian land
owned by an Indian tribe;
``(B) the total number of households on the Indian
tribe's Indian land;
``(C) the total number of households on the Indian
tribe's Indian land that have no electricity service or
are under-served; and
``(D) financial or other assets available to the
Indian tribe from any source.
``(4) In making a grant under paragraph (2), the Director
shall give priority to an application received from an Indian
tribe that is not served or is served inadequately by an
electric utility, as that term is defined in section 3(4) of
the Public Utility Regulatory Policies Act of 1978 (16 U.S.C.
2602(4)), or by a person, State agency, or any other non-
federal entity that owns or operates a local distribution
facility used for the sale of electric energy to an electric
consumer.
``(5) There are authorized to be appropriated to the
Department of Energy such sums as may be necessary to carry out
the purposes of this section.
``(6) The Secretary is authorized to promulgate such
regulations as the Secretary determines to be necessary to
carry out the provisions of this subsection.
``(c) Loan Guarantee Program.--
``(1) Authority.--The Secretary may guarantee not more than
90 percent of the unpaid principal and interest due on any loan
made to any Indian tribe for energy development, including the
planning, development, construction, and maintenance of
electrical generation plants, and for transmission and delivery
mechanisms for electricity produced on Indian land. A loan
guaranteed under this subsection shall be made by--
``(A) a financial institution subject to the
examination of the Secretary; or
``(B) an Indian tribe, from funds of the Indian
tribe, to another Indian tribe.
``(2) Availability of appropriations.--Amounts appropriated
to cover the cost of loan guarantees shall be available without
fiscal year limitation to the Secretary to fulfill obligations
arising under this subsection.
``(3) Authorization of appropriations.--
``(A) There are authorized to be appropriated to
the Secretary such sums as may be necessary to cover
the cost of loan guarantees, as defined by section
502(5) of the Federal Credit Reform Act of 1990 (2
U.S.C. 661a(5)).
``(B) There are authorized to be appropriated to
the Secretary such sums as may be necessary to cover
the administrative expenses related to carrying out the
loan guarantee program established by this subsection.
``(4) Limitation on amount.--The aggregate outstanding
amount guaranteed by the Secretary of Energy at any one time
under this subsection shall not exceed $2,000,000,000.
``(5) Regulations.--The Secretary is authorized to
promulgate such regulations as the Secretary determines to be
necessary to carry out the provisions of this subsection.
``(d) Indian Energy Preference.--(1) An agency or department of the
United States Government may give, in the purchase of electricity, oil,
gas, coal, or other energy product or by-product, preference in such
purchase to an energy and resource production enterprise, partnership,
corporation, or other type of business organization majority or wholly
owned and controlled by a tribal government.
``(2) In implementing this subsection, an agency or department
shall pay no more than the prevailing market price for the energy
product or by-product and shall obtain no less than existing market
terms and conditions.
``(e) Effect on Other Laws.--This section does not--
``(1) limit the discretion vested in an Administrator of a
Federal power marketing agency to market and allocate Federal
power, or
``(2) alter Federal laws under which a Federal power
marketing agency markets, allocates, or purchases power.''.
SEC. 402. OFFICE OF INDIAN ENERGY POLICY AND PROGRAMS.
Title II of the Department of Energy Organization Act is amended by
adding at the end the following:
``office of indian energy policy and programs
``Sec. 217. (a) There is established within the Department an
Office of Indian Energy Policy and Programs. This Office shall be
headed by a Director, who shall be appointed by the Secretary and
compensated at the rate equal to that of level IV of the Executive
Schedule under section 5315 of Title 5, United States Code.
``(b) The Director shall provide, direct, foster, coordinate, and
implement energy planning, education, management, conservation, and
delivery programs of the Department that--
``(1) promote tribal energy efficiency and utilization;
``(2) modernize and develop, for the benefit of Indian
tribes, tribal energy and economic infrastructure related to
natural resource development and electrification;
``(3) preserve and promote tribal sovereignty and self
determination related to energy matters and energy
deregulation;
``(4) lower or stabilize energy costs; and
``(5) electrify tribal members' homes and tribal lands.
``(c) The Director shall carry out the duties assigned the
Secretary or the Director under title XXVI of the Energy Policy Act of
1992 (25 U.S.C. 3501 et seq.).''.
SEC. 403. CONFORMING AMENDMENTS.
(a) Authorization of Appropriations.--Section 2603(c) of the Energy
Policy Act of 1992 (25 U.S.C. 3503(c)) is amended to read as follows:
``(c) Authorization of Appropriations.--There are authorized to be
appropriated such sums as may be necessary to carry out the purposes of
this section.''.
(b) Table of Contents.--The Table of Contents of the Department of
Energy Act is amended by inserting after the item relating to section
216 the following new item:
``Sec. 217. Office of Indian Energy Policy and Programs.''.
(c) Executive Schedule.--Section 5315 of title 5, United States
Code, is amended by inserting ``Director, Office of Indian Energy
Policy and Programs, Department of Energy.'' after ``Inspector General,
Department of Energy.''.
SEC. 404. SITING ENERGY FACILITIES ON TRIBAL LANDS.
(a) Definitions.--For purposes of this section:
(1) Indian tribe.--The term ``Indian tribe'' means any
Indian tribe, band, nation, or other organized group or
community, which is recognized as eligible for the special
programs and services provided by the United States to Indians
because of their status as Indians, except that such term does
not include any Regional Corporation as defined in section 3(g)
of the Alaska Native Claims Settlement Act (43 U.S.C. 1602(g)).
(2) Interested party.--The term ``interested party'' means
a person whose interests could be adversely affected by the
decision of an Indian tribe to grant a lease or right-of-way
pursuant to this section.
(3) Petition.--The term ``petition'' means a written
request submitted to the Secretary for the review of an action
(or inaction) of the Indian tribe that is claimed to be in
violation of the approved tribal regulations;
(4) Reservation.--The term ``reservation'' means--
(A) with respect to a reservation in a State other
than Oklahoma, all land that has been set aside or that
has been acknowledged as having been set aside by the
United States for the use of an Indian tribe, the
exterior boundaries of which are more particularly
defined in a final tribal treaty, agreement, executive
order, federal statute, secretarial order, or judicial
determination;
(B) with respect to a reservation in the State of
Oklahoma, all land that is--
(i) within the jurisdictional area of an
Indian tribe, and
(ii) within the boundaries of the last
reservation of such tribe that was established
by treaty, executive order, or secretarial
order.
(5) Secretary.--The term ``Secretary'' means the Secretary
of the Interior.
(6) Tribal lands.--The term ``tribal lands'' means any
tribal trust lands or other lands owned by an Indian tribe that
are within a reservation, or tribal trust lands located
contiguous thereto.
(b) Leases Involving Generation, Transmission, Distribution or
Energy Processing Facilities.--An Indian tribe may grant a lease of
tribal land for electric generation, transmission, or distribution
facilities, or facilities to process or refine renewable or
nonrenewable energy resources developed on tribal lands, and such
leases shall not require the approval of the Secretary if the lease is
executed under tribal regulations approved by the Secretary under this
subsection and the term of the lease does not exceed 30 years.
(c) Rights-of-Way for Electric Generation, Transmission,
Distribution or Energy Processing Facilities.--An Indian tribe may
grant a right-of-way over tribal lands for a pipeline or an electric
transmission or distribution line without separate approval by the
Secretary, if--
(1) the right-of-way is executed under and complies with
tribal regulations approved by the Secretary and the term of
the right-of-way does not exceed 30 years; and
(2) the pipeline or electric transmission or distribution
line serves--
(A) an electric generation, transmission or
distribution facility located on tribal land, or
(B) a facility located on tribal land that
processes or refines renewable or nonrenewable energy
resources developed on tribal lands.
(d) Renewals.--Leases or rights-of-way entered into under this
subsection may be renewed at the discretion of the Indian tribe in
accordance with the requirements of this section.
(e) Tribal Regulation Requirements.--
(1) The Secretary shall have the authority to approve or
disapprove tribal regulations required under this subsection.
The Secretary shall approve such tribal regulations if they are
comprehensive in nature, including provisions that address--
(A) securing necessary information from the lessee
or right-of-way applicant;
(B) term of the conveyance;
(C) amendments and renewals;
(D) consideration for the lease or right-of-way;
(E) technical or other relevant requirements;
(F) requirements for environmental review as set
forth in paragraph (3);
(G) requirements for complying with all applicable
environmental laws; and
(H) final approval authority.
(2) No lease or right-of-way shall be valid unless
authorized in compliance with the approved tribal regulations.
(3) An Indian tribe, as a condition of securing Secretarial
approval as contemplated in paragraph (1), must establish an
environmental review process that includes the following--
(A) an identification and evaluation of all
significant environmental impacts of the proposed
action as compared to a no action alternative;
(B) identification of proposed mitigation;
(C) a process for ensuring that the public is
informed of and has an opportunity to comment on the
proposed action prior to tribal approval of the lease
or right-of-way; and
(D) sufficient administrative support and technical
capability to carry out the environmental review
process.
(4) The Secretary shall review and approve or disapprove
the regulations of the Indian tribe within 180 days of the
submission of such regulations to the Secretary. Any
disapproval of such regulations by the Secretary shall be
accompanied by written documentation that sets forth the basis
for the disapproval. The 180-day period may be extended by the
Secretary after consultation with the Indian tribe.
(5) If the Indian tribe executes a lease or right-of-way
pursuant to tribal regulations required under this subsection,
the Indian tribe shall provide the Secretary with--
(A) a copy of the lease or right-of-way document
and all amendments and renewals thereto; and
(B) in the case of regulations or a lease or right-
of-way that permits payment to be made directly to the
Indian tribe, documentation of the payments sufficient
to enable the Secretary to discharge the trust
responsibility of the United States as appropriate
under existing law.
(6) The United States shall not be liable for losses
sustained by any party to a lease executed pursuant to tribal
regulations under this subsection, including the Indian tribe.
(7)(A) An interested party may, after exhaustion of tribal
remedies, submit, in a timely manner, a petition to the
Secretary to review the compliance of the Indian tribe with any
tribal regulations approved under this subsection. If upon such
review, the Secretary determines that the regulations were
violated, the Secretary may take such action as may be
necessary to remedy the violation, including rescinding or
holding the lease or right-of-way in abeyance until the
violation is cured. The Secretary may also rescind the approval
of the tribal regulations and reassume the responsibility for
approval of leases or rights-of-way associated with the
facilities addressed in this section.
(B) If the Secretary seeks to remedy a violation described
in subparagraph (A), the Secretary shall--
(i) make a written determination with respect to
the regulations that have been violated;
(ii) provide the Indian tribe with a written notice
of the alleged violation together with such written
determination; and
(iii) prior to the exercise of any remedy or the
rescission of the approval of the regulations involved
and reassumption of the lease or right-of-way approval
responsibility, provide the Indian tribe with a hearing
and a reasonable opportunity to cure the alleged
violation.
(C) The tribe shall retain all rights to appeal as provided
by regulations promulgated by the Secretary.
(f) Agreements.--
(1) Agreements between an Indian tribe and a business
entity that are directly associated with the development of
electric generation, transmission or distribution facilities,
or facilities to process or refine renewable or nonrenewable
energy resources developed on tribal lands, shall not
separately require the approval of the Secretary pursuant to
section 18 of title 25, United States Code, so long as the
activity that is the subject of the agreement has been the
subject of an environmental review process pursuant to
subsection (e) of this section.
(2) The United States shall not be liable for any losses or
damages sustained by any party, including the Indian tribe,
that are associated with an agreement entered into under this
subsection.
(g) Disclaimer.--Nothing in this section is intended to modify or
otherwise affect the applicability of any provision of the Indian
Mineral Leasing Act of 1938 (25 U.S.C. 396a-396g); Indian Mineral
Development Act of 1982 (25 U.S.C. 2101-2108); Surface Mining Control
and Reclamation Act of 1977 (30 U.S.C. 1201-1328); any amendments
thereto; or any other laws not specifically addressed in this section.
SEC. 405. INDIAN MINERAL DEVELOPMENT ACT REVIEW.
(a) In General.--The Secretary of the Interior shall conduct a
review of the activities that have been conducted by the governments of
Indian tribes under the authority of the Indian Mineral Development Act
of 1982 (25 U.S.C. 2101 et seq.).
(b) Report.--Not later than one year after the date of the
enactment of this Act, the Secretary shall transmit to the Committee on
Resources of the House of Representatives and the Committee on Indian
Affairs and the Committee on Energy and Natural Resources of the Senate
a report containing--
(1) the results of the review;
(2) recommendations designed to help ensure that Indian
tribes have the opportunity to develop their nonrenewable
energy resources; and
(3) an analysis of the barriers to the development of
energy resources on Indian land, including federal policies and
regulations, and make recommendations regarding the removal of
those barriers.
(c) Consultation.--The Secretary shall consult with Indian tribes
on a government-to-government basis in developing the report and
recommendations as provided in this subsection.
SEC. 406. RENEWABLE ENERGY STUDY.
(a) In General.--Not later than 2 years after the date of the
enactment of this Act, and once every 2 years thereafter, the Secretary
of Energy shall transmit to the Committees on Energy and Commerce and
Resources of the House of Representatives and the Committees on Energy
and Natural Resources and Indian Affairs of the Senate a report on
energy consumption and renewable energy development potential on Indian
land. The report shall identify barriers to the development of
renewable energy by Indian tribes, including federal policies and
regulations, and make recommendations regarding the removal of such
barriers.
(b) Consultation.--The Secretary shall consult with Indian tribes
on a government-to-government basis in developing the report and
recommendations as provided in this section.
SEC. 407. FEDERAL POWER MARKETING ADMINISTRATIONS.
Title XXVI of the Energy Policy Act of 1992 (25 U.S.C. 3501) (as
amended by section 201) is amended by adding the at the end of the
following:
``SEC. 2608. FEDERAL POWER MARKETING ADMINISTRATIONS.
``(a) Definition of Administrator.--In this section, the term
`Administrator' means--
``(1) the Administrator of the Bonneville Power
Administration; or
``(2) the Administrator of the Western Area Power
Administration.
``(b) Assistance for Transmission Studies.--
``(1) Each Administrator may provide technical assistance
to Indian tribes seeking to use the high-voltage transmission
system for delivery of electric power. The costs of such
technical assistance shall be funded--
``(A) by the Administrator using non-reimbursable
funds appropriated for this purpose, or
``(B) by the Indian tribe.
``(2) Priority for assistance for transmission studies.--In
providing discretionary assistance to Indian tribes under
paragraph (1), each Administrator shall give priority in
funding to Indian tribes that have limited financial capability
to conduct such studies.
``(c) Power Allocation Study.--
``(1) Not later than 2 years after the date of enactment of
this Act, the Secretary of Energy shall transmit to the
Committees on Energy and Commerce and Resources of the House of
Representatives and the Committees on Energy and Natural
Resources and Indian Affairs of the Senate a report on Indian
tribes' utilization of federal power allocations of the Western
Area Power Administration, or power sold by the Southwestern
Power Administration, and the Bonneville Power Administration
to or for the benefit of Indian tribes in their service areas.
The report shall identify--
``(A) the amount of power allocated to tribes by
the Western Area Power Administration, and how the
benefit of that power is utilized by the tribes;
``(B) the amount of power sold to tribes by other
Power Marketing Administrations; and
``(C) existing barriers that impede tribal access
to and utilization of federal power, and opportunities
to remove such barriers and improve the ability of the
Power Marketing Administration to facilitate the
utilization of federal power by Indian tribes.
``(2) The Power Marketing Administrations shall consult
with Indian tribes on a government-to-government basis in
developing the report provided in this section.
``(d) Authorization for Appropriation.--There are authorized to be
appropriated to the Secretary of Energy such sums as may be necessary
to carry out the purposes of this section.''.
SEC. 408. FEASIBILITY STUDY OF COMBINED WIND AND HYDROPOWER
DEMONSTRATION PROJECT.
(a) Study.--The Secretary of Energy, in coordination with the
Secretary of the Army and the Secretary of the Interior, shall conduct
a study of the cost and feasibility of developing a demonstration
project that would use wind energy generated by Indian tribes and
hydropower generated by the Army Corps of Engineers on the Missouri
River to supply firming power to the Western Area Power Administration.
(b) Scope of Study.--The study shall--
(1) determine the feasibility of the blending of wind
energy and hydropower generated from the Missouri River dams
operated by the Army Corps of Engineers;
(2) review historical purchase requirements and projected
purchase requirements for firming and the patterns of
availability and use of firming energy;
(3) assess the wind energy resource potential on tribal
lands and projected cost savings through a blend of wind and
hydropower over a thirty-year period;
(4) include a preliminary interconnection study and a
determination of resource adequacy of the Upper Great Plains
Region of the Western Area Power Administration;
(5) determine seasonal capacity needs and associated
transmission upgrades for integration of tribal wind
generation; and
(6) include an independent tribal engineer as a study team
member.
(c) Report.--The Secretary of Energy and Secretary of the Army
shall submit a report to Congress not later than one year after the
date of enactment of this title. The Secretaries shall include in the
report--
(1) an analysis of the potential energy cost savings to the
customers of the Western Area Power Administration through the
blend of wind and hydropower;
(2) an evaluation of whether a combined wind and hydropower
system can reduce reservoir fluctuation, enhance efficient and
reliable energy production and provide Missouri River
management flexibility;
(3) recommendations for a demonstration project which the
Western Area Power Administration could carry out in
partnership with an Indian tribal government or tribal
government energy consortium to demonstrate the feasibility and
potential of using wind energy produced on Indian lands to
supply firming energy to the Western Area Power Administration
or other Federal power marketing agency; and
(4) an identification of the economic and environmental
benefits to be realized through such a federal-tribal
partnership and identification of how such a partnership could
contribute to the energy security of the United States.
(d) Consultation.--The Secretary shall consult with Indian tribes
on a government-to-government basis in developing the report and
recommendations provided in this section.
(e) Authorization of Appropriations.--There are authorized to be
appropriated $500,000 to carry out this section, which shall remain
available until expended. All costs incurred by the Western Area Power
Administration associated with performing the tasks required under this
section shall be non-reimbursable.
TITLE V--NUCLEAR POWER
Subtitle A--Price-Anderson Act Reauthorization
SEC. 501. SHORT TITLE.
This subtitle may be cited as the ``Price-Anderson Amendments Act
of 2002''.
SEC. 502. EXTENSION OF DEPARTMENT OF ENERGY INDEMNIFICATION AUTHORITY.
Section 170 d.(1)(A) of the Atomic Energy Act of 1954 (42 U.S.C.
2210(d)(1)(A)) is amended by striking ``, until August 1, 2002,''.
SEC. 503. DEPARTMENT OF ENERGY LIABILITY LIMIT.
(a) Indemnification of Department of Energy Contractors.--Section
170 d. of the Atomic Energy Act of 1954 (42 U.S.C. 2210(d)) is amended
by striking paragraph (2) and inserting the following:
``(2) In agreements of indemnification entered into under
paragraph (1), the Secretary--
``(A) may require the contractor to provide and
maintain financial protection of such a type and in
such amounts as the Secretary shall determine to be
appropriate to cover public liability arising out of or
in connection with the contractual activity, and
``(B) shall indemnify the persons indemnified
against such claims above the amount of the financial
protection required, in the amount of $10,000,000,000
(subject to adjustment for inflation under subsection
t.), in the aggregate, for all persons indemnified in
connection with such contract and for each nuclear
incident, including such legal costs of the contractor
as are approved by the Secretary.''.
(b) Contract Amendments.--Section 170 d. of the Atomic Energy Act
of 1954 (42 U.S.C. 2210(d)) is further amended by striking paragraph
(3) and inserting the following:
``(3) All agreements of indemnification under which the
Department of Energy (or its predecessor agencies) may be
required to indemnify any person under this section shall be
deemed to be amended, on the date of the enactment of the
Price-Anderson Amendments Act of 2002, to reflect the amount of
indemnity for public liability and any applicable financial
protection required of the contractor under this subsection.''.
(c) Liability Limit.--Section 170 e.(1)(B) of the Atomic Energy Act
of 1954 (42 U.S.C. 2210(e)(1)(B)) is amended by striking ``paragraph
(3)'' and inserting ``paragraph (2)(B)''.
SEC. 504. INCIDENTS OUTSIDE THE UNITED STATES.
(a) Amount of Indemnification.--Section 170 d.(5) of the Atomic
Energy Act of 1954 (42 U.S.C. 2210(d)(5)) is amended by striking
``$100,000,000'' and inserting ``$500,000,000''.
(b) Liability Limit.--Section 170 e.(4) of the Atomic Energy Act of
1954 (42 U.S.C. 2210(e)(4)) is amended by striking ``$100,000,000'' and
inserting ``$500,000,000''.
SEC. 505. REPORTS.
Section 170 p. of the Atomic Energy Act of 1954 (42 U.S.C. 2210(p))
is amended by striking ``August 1, 1998'' and inserting ``August 1,
2008''.
SEC. 506. INFLATION ADJUSTMENT.
Section 170 t. of the Atomic Energy Act of 1954 (42 U.S.C. 2210(t))
is amended--
(1) by renumbering paragraph (2) as paragraph (3); and
(2) by adding after paragraph (1) the following:
``(2) The Secretary shall adjust the amount of
indemnification provided under an agreement of indemnification
under subsection d. not less than once during each 5-year
period following July 1, 2002, in accordance with the aggregate
percentage change in the Consumer Price Index since--
``(A) such date of enactment, in the case of the
first adjustment under this paragraph; or
``(B) the previous adjustment under this
paragraph.''.
SEC. 507. CIVIL PENALTIES.
(a) Repeal of Automatic Remission.--Section 234A b.(2) of the
Atomic Energy of 1954 (42 U.S.C. 2282a(b)(2)) is amended by striking
the last sentence.
(b) Limitation for Not-for-Profit Institutions.--Subsection d. of
section 234A of the Atomic Energy Act of 1954 (42 U.S.C. 2282a(d)) is
amended to read as follows:
``d. (1) Notwithstanding subsection a., a civil penalty for a
violation under subsection a. shall not exceed the amount of the fee
paid under the contract under which such violation occurs for any not-
for-profit contractor, subcontractor, or supplier.
``(2) For purposes of this section, the term `not-for-profit' means
that no part of the net earnings of the contractor, subcontractor, or
supplier inures, or may lawfully inure, to the benefit of any natural
person or for-profit artificial person.''.
(c) Effective Date.--The amendments made by this section shall not
apply to any violation of the Atomic Energy Act of 1954 occurring under
a contract entered into before the date of enactment of this section.
SEC. 508. EFFECTIVE DATE.
The amendments made by sections 503(a) and 504 shall not apply to
any nuclear incident that occurs before the date of the enactment of
this subtitle.
Subtitle B--Miscellaneous Provisions
SEC. 511. URANIUM SALES.
(a) Inventory Sales.--Section 3112(d) of the USEC Privatization Act
(42 U.S.C. 2297h-10(d)) is amended to read as follows:
``(d) Inventory Sales.--(1) In addition to the transfers authorized
under subsections (b), (c), and (e), the Secretary may, from time to
time, sell or transfer uranium (including natural uranium concentrates,
natural uranium hexafluoride, enriched uranium, and depleted uranium)
from the Department of Energy's stockpile.
``(2) Except as provided in subsections (b), (c), and (e), the
Secretary may not deliver uranium in any form for consumption by end
users in any year in excess of the following amounts:
``Annual Maximum Deliveries to End Users
``Year: Million lbs. U<INF>3O<INF>8
equivalent:
2003 through 2009.......................... 3
2010....................................... 5
2011....................................... 5
2012....................................... 7
2013 and each year thereafter.............. 10.
``(3) Except as provided in subsections (b), (c), and (e), no sale
or transfer of uranium in any form shall be made unless--
``(A) the President determines that the material is not
necessary for national security needs;
``(B) the Secretary determines, based on the written views
of the Secretary of State and the Assistant to the President
for National Security Affairs, that the sale or transfer will
not adversely affect the national security interests of the
United States;
``(C) the Secretary determines that the sale of the
material will not have an adverse material impact on the
domestic uranium mining, conversion, or enrichment industry,
taking into account the sales of uranium under the Russian HEU
Agreement and the Suspension Agreement; and
``(D) the price paid to the Secretary will not be less than
the fair market value of the material.''.
(b) Exempt Transfers and Sales.--Section 3112(e) of the USEC
Privatization Act (42 U.S.C. 2297h-10(e)) is amended to read as
follows:
``(e) Exempt Sales or Transfers.--Notwithstanding subsection
(d)(2), the Secretary may transfer or sell uranium--
``(1) to the Tennessee Valley Authority for use pursuant to
the Department of Energy's highly enriched uranium or tritium
program, to the extent provided by law;
``(2) to research and test reactors under the University
Reactor Fuel Assistance and Support Program or the Reduced
Enrichment for Research and Test Reactors Program;
``(3) to USEC Inc. to replace contaminated uranium received
from the Department of Energy when the United States Enrichment
Corporation was privatized;
``(4) to any person for emergency purposes in the event of
a disruption in supply to end users in the United States; and
``(5) to any person for national security purposes, as
determined by the Secretary.''.
SEC. 512. REAUTHORIZATION OF THORIUM REIMBURSEMENT.
(a) Reimbursement of Thorium Licensees.--Section 1001(b)(2)(C) of
the Energy Policy Act of 1992 (42 U.S.C. 2296a) is amended--
(1) by striking ``$140,000,000'' and inserting
``$365,000,000''; and
(2) by adding at the end the following: ``Such payments
shall not exceed the following amounts:
``(i) $90,000,000 in fiscal year 2002.
``(ii) $55,000,000 in fiscal year 2003.
``(iii) $20,000,000 in fiscal year 2004.
``(iv) $20,000,000 in fiscal year 2005.
``(v) $20,000,000 in fiscal year 2006.
``(vi) $20,000,000 in fiscal year 2007.
Any amounts authorized to be paid in a fiscal year
under this subparagraph that are not paid in that
fiscal year may be paid in subsequent fiscal years.''.
(b) Authorization of Appropriations.--Section 1003(a) of the Energy
Policy Act of 1992 (42 U.S.C. 2296a-2) is amended by striking
``$490,000,000'' and inserting ``$715,000,000''.
(c) Decontamination and Decommissioning Fund.--Section 1802(a) of
the Atomic Energy Act of 1954 (42 U.S.C. 2297g-1(a)) is amended--
(1) by striking ``$488,333,333'' and inserting
``$518,233,333''; and
(2) by inserting after ``inflation'' the following:
``beginning on the date of enactment of the Energy Policy Act
of 1992''.
SEC. 513. FAST FLUX TEST FACILITY.
The Secretary of Energy shall not reactivate the Fast Flux Test
Facility to conduct--
(1) any atomic energy defense activity,
(2) any space-related mission, or
(3) any program for the production or utilization of
nuclear material if the Secretary has determined, in a record
of decision, that the program can be carried out at existing
operating facilities.
DIVISION B--DOMESTIC OIL
AND GAS PRODUCTION
AND TRANSPORTATION
TITLE VI--OIL AND GAS PRODUCTION
SEC. 601. PERMANENT AUTHORITY TO OPERATE THE STRATEGIC PETROLEUM
RESERVE.
(a) Amendment to Title I of the Energy Policy and Conservation
Act.--Title I of the Energy Policy and Conservation Act (42 U.S.C. 6211
et seq.) is amended--
(1) by striking section 166 (42 U.S.C. 6246) and
inserting--
``Sec. 166. There are authorized to be appropriated to the
Secretary such sums as may be necessary to carry out this part, to
remain available until expended.''; and
(2) by striking part E (42 U.S.C. 6251; relating to the
expiration of title I of the Act) and its heading.
(b) Amendment to Title II of the Energy Policy and Conservation
Act.--Title II of the Energy Policy and Conservation Act (42 U.S.C.
6271 et seq.) is amended--
(1) by striking section 256(h) (42 U.S.C. 6276(h)) and
inserting--
``(h) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary such sums as may be necessary to carry
out this part, to remain available until expended.''.
(2) by striking section 273(e) (42 U.S.C. 6283(e); relating
to the expiration of summer fill and fuel budgeting programs);
and
(3) by striking part D (42 U.S.C. 6285; relating to the
expiration of title II of the Act) and its heading.
(c) Technical Amendments.--The table of contents for the Energy
Policy and Conservation Act is amended by striking the items relating
to part D of title I and part D of title II.
SEC. 602. FEDERAL ONSHORE LEASING PROGRAMS FOR OIL AND GAS.
(a) Timely Action on Leases and Permits.--The Secretary of the
Interior shall provide for the timely leasing of lands otherwise
available for leasing for oil or gas production and timely action on
applications for permits to drill under section 17 of the Mineral
Leasing Act (30 U.S.C. 226) on lands otherwise available for leasing.
To ensure timely action on oil and gas leases and applications for
permits to drill, the Secretary shall--
(1) ensure expeditious compliance with the requirements
section 102(2)(C) of the National Environmental Policy Act of
1969 (42 U.S.C. 4332(2)(C));
(2) improve consultation and coordination with the States;
(3) improve the collection, storage, and retrieval of
information related to such leasing activities; and
(4) improve inspection and enforcement activities related
to oil and gas leases.
(b) Authorization of Appropriations.--For the purpose of carrying
out paragraphs (1) through (4) of subsection (a), there are authorized
to be appropriated to the Secretary of the Interior $60,000,000 for
each of the fiscal years 2003 through 2006, in addition to amounts
otherwise authorized to be appropriated for the purpose of carrying out
section 17 of the Mineral Leasing Act (30 U.S.C. 226).
SEC. 603. OIL AND GAS LEASE ACREAGE LIMITATIONS.
Section 27(d)(1) of the Mineral Leasing Act (30 U.S.C. 184(d)(1))
is amended by inserting after ``acreage held in special tar sand
areas'' the following: ``as well as acreage under any lease any portion
of which has been committed to a Federally approved unit or cooperative
plan or communitization agreement, or for which royalty, including
compensatory royalty or royalty in kind, was paid in the preceding
calendar year,''.
SEC. 604. ORPHANED AND ABANDONED WELLS ON FEDERAL LAND.
(a) Establishment.--(1) The Secretary of the Interior, in
cooperation with the Secretary of Agriculture, shall establish a
program to ensure within three years after the date of enactment of
this Act, remediation, reclamation, and closure of orphaned oil and gas
wells located on lands administered by the land management agencies
within the Department of the Interior and the U.S. Forest Service that
are--
(A) abandoned;
(B) orphaned; or
(C) idled for more than 5 years and having no beneficial
use.
(2) The program shall include a means of ranking critical sites for
priority in remediation based on potential environmental harm, other
land use priorities, and public health and safety.
(3) The program shall provide that responsible parties be
identified wherever possible and that the costs of remediation be
recovered.
(4) In carrying out the program, the Secretary of the Interior
shall work cooperatively with the Secretary of Agriculture and the
states within which the federal lands are located, and shall consult
with the Secretary of Energy, and the Interstate Oil and Gas Compact
Commission.
(b) Plan.--Within six months from the date of enactment of this
section, the Secretary of the Interior, in cooperation with the
Secretary of Agriculture, shall prepare a plan for carrying out the
program established under subsection (a). Copies of the plan shall be
transmitted to the Committee on Energy and Natural Resources of the
Senate and the Committee on Resources of the House of Representatives.
(c) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of the Interior $5,000,000 for each of
fiscal years 2003 through 2005 to carry out the activities provided for
in this section.
SEC. 605. ORPHANED AND ABANDONED OIL AND GAS WELL PROGRAM.
(a) Establishment.--The Secretary of Energy shall establish a
program to provide technical assistance to the various oil and gas
producing states to facilitate state efforts over a ten-year period to
ensure a practical and economical remedy for environmental problems
caused by orphaned and abandoned exploration or production well sites
on state and private lands. The Secretary shall work with the states,
through the Interstate Oil and Gas Compact Commission, to assist the
states in quantifying and mitigating environmental risks of onshore
abandoned and orphaned wells on state and private lands.
(b) Program Elements.--The program should include--
(1) mechanisms to facilitate identification of responsible
parties wherever possible;
(2) criteria for ranking critical sites based on factors
such as other land use priorities, potential environmental harm
and public visibility; and
(3) information and training programs on best practices for
remediation of different types of sites.
(c) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Energy for the activities under this
section $5,000,000 for each of fiscal years 2003 through 2005 to carry
out the provisions of this section.
SEC. 606. OFFSHORE DEVELOPMENT.
Section 5 of the Outer Continental Shelf Lands Act of 1953 (43
U.S.C. 1334) is amended by adding at the end the following:
``(k) Suspension of Operations for Subsalt Exploration.--
Notwithstanding any other provision of law or regulation, the Secretary
may grant a request for a suspension of operations under any lease to
allow the lessee to reprocess or reinterpret geologic or geophysical
data beneath allocthonous salt sheets, when in the Secretary's judgment
such suspension is necessary to prevent waste caused by the drilling of
unnecessary wells, and to maximize ultimate recovery of hydrocarbon
resources under the lease. Such suspension shall be limited to the
minimum period of time the Secretary determines is necessary to achieve
the objectives of this subsection.''.
SEC. 607. COALBED METHANE STUDY.
(a) Study.--The National Academy of Sciences shall conduct a study
on the effects of coalbed methane production on surface and water
resources.
(b) Data Analysis.--The study shall analyze available hydrogeologic
and water quality data, along with other pertinent environmental or
other information to determine--
(1) adverse effects associated with surface or subsurface
disposal of waters produced during extraction of coalbed
methane;
(2) depletion of groundwater aquifers or drinking water
sources associated with production of coalbed methane;
(3) any other significant adverse impacts to surface or
water resources associated with production of coalbed methane;
and
(4) production techniques or other factors that can
mitigate adverse impacts from coalbed methane development.
(c) Recommendations.--The study shall analyze existing Federal and
State laws and regulations, and make recommendations as to changes, if
any, to Federal law necessary to address adverse impacts to surface or
water resources attributable to coalbed methane development.
(d) Completion of Study.--The National Academy of Sciences shall
submit the study to the Secretary of the Interior within 18 months
after the date of enactment of this Act, and shall make the study
available to the public at the same time.
(e) Report to Congress.--The Secretary of the Interior shall report
to Congress within 6 months of her receipt of the study on--
(1) the findings and recommendations of the study;
(2) the Secretary's agreement or disagreement with each of
its findings and recommendations; and
(3) any recommended changes in funding to address the
effects of coalbed methane production on surface and water
resources.
SEC. 608. FISCAL POLICIES TO MAXIMIZE RECOVERY OF DOMESTIC OIL AND GAS
RESOURCES.
(a) Evaluation.--The Secretary of Energy, in coordination with the
Secretaries of the Interior, Commerce, and Treasury, Indian tribes and
the Interstate Oil and Gas Compact Commission, shall evaluate the
impact of existing Federal and State tax and royalty policies on the
development of domestic oil and gas resources and on revenues to
Federal, State, local and tribal governments.
(b) Scope.--The evaluation under subsection (a) shall--
(1) analyze the impact of fiscal policies on oil and
natural gas exploration, development drilling, and production
under different price scenarios, including the impact of the
individual and corporate Alternative Minimum Tax, state and
local production taxes and fixed royalty rates during low price
periods;
(2) assess the effect of existing federal and state fiscal
policies on investment under different geological and
developmental circumstances, including but not limited to
deepwater environments, subsalt formations, deep and deviated
wells, coalbed methane and other unconventional oil and gas
formations;
(3) assess the extent to which federal and state fiscal
policies negatively impact the ultimate recovery of resources
from existing fields and smaller accumulations in offshore
waters, especially in water depths less than 800 meters, of the
Gulf of Mexico;
(4) compare existing federal and state policies with tax
and royalty regimes in other countries with particular emphasis
on similar geological, developmental and infrastructure
conditions; and
(5) evaluate how alternative tax and royalty policies,
including counter-cyclical measures, could increase recovery of
domestic oil and natural gas resources and revenues to Federal,
State, local and tribal governments.
(c) Policy Recommendations.--Based upon the findings of the
evaluation under subsection (a), a report describing the findings and
recommendations for policy changes shall be provided to the President,
the Congress, the Governors of the member states of the Interstate Oil
and Gas Compact Commission, and Indian tribes having an oil and gas
lease approved by the Secretary of the Interior. The recommendations
should ensure that the public interest in receiving the economic
benefits of tax and royalty revenues is balanced with the broader
national security and economic interests in maximizing recovery of
domestic resources. The report should include recommendations regarding
actions to--
(1) ensure stable development drilling during periods of
low oil and/or natural gas prices to maintain reserve
replacement and deliverability;
(2) minimize the negative impact of a volatile investment
climate on the oil and gas service industry and domestic oil
and gas exploration and production;
(3) ensure a consistent level of domestic activity to
encourage the education and retention of a technical workforce;
and
(4) maintain production capability during periods of low
oil and/or natural gas prices.
(d) Royalty Guidelines.--The recommendations required under (c)
should include guidelines for private resource holders as to the
appropriate level of royalties given geology, development cost, and the
national interest in maximizing recovery of oil and gas resources.
(e) Report.--The study under subsection (a) shall be completed not
later than 18 months after the date of enactment of this section. The
report and recommendations required in (c) shall be transmitted to the
President, the Congress, Indian tribes, and the Governors of the member
States of the Interstate Oil and Gas Compact Commission.
SEC. 609. STRATEGIC PETROLEUM RESERVE.
(a) Full Capacity.--The President shall--
(1) fill the Strategic Petroleum Reserve established
pursuant to part B of title I of the Energy Policy and
Conservation Act (42 U.S.C. 6231 et seq.) to full capacity as
soon as practicable;
(2) acquire petroleum for the Strategic Petroleum Reserve
by the most practicable and cost-effective means, including the
acquisition of crude oil the United States is entitled to
receive in kind as royalties from production on Federal lands;
and
(3) ensure that the fill rate minimizes impacts on
petroleum markets.
(b) Recommendations.--Not later than 180 days after the date of
enactment of this Act, the Secretary of Energy shall submit to Congress
a plan to--
(1) eliminate any infrastructure impediments that may limit
maximum drawdown capability; and
(2) determine whether the capacity of the Strategic
Petroleum Reserve on the date of enactment of this section is
adequate in light of the increasing consumption of petroleum
and the reliance on imported petroleum.
TITLE VII--NATURAL GAS PIPELINES
Subtitle A--Alaska Natural Gas Pipeline
SEC. 701. SHORT TITLE.
This subtitle may be cited as the ``Alaska Natural Gas Pipeline Act
of 2002''.
SEC. 702. FINDINGS.
The Congress finds that:
(1) Construction of a natural gas pipeline system from the
Alaskan North Slope to United States markets is in the national
interest and will enhance national energy security by providing
access to the significant gas reserves in Alaska needed to meet
the anticipated demand for natural gas.
(2) The Commission issued a certificate of public
convenience and necessity for the Alaska Natural Gas
Transportation System, which remains in effect.
SEC. 703. PURPOSES.
The purposes of this subtitle are--
(1) to expedite the approval, construction, and initial
operation of one or more transportation systems for the
delivery of Alaska natural gas to the contiguous United States;
(2) to ensure access to such transportation systems on an
equal and nondiscriminatory basis and to promote competition in
the exploration, development and production of Alaska natural
gas; and
(3) to provide federal financial assistance to any
transportation system for the transport of Alaska natural gas
to the contiguous United States, for which an application for a
certificate of public convenience and necessity is filed with
the Commission not later than 6 months after the date of
enactment of this subtitle.
SEC. 704. ISSUANCE OF CERTIFICATE OF PUBLIC CONVENIENCE AND NECESSITY.
(a) Authority of the Commission.--Notwithstanding the provisions of
the Alaska Natural Gas Transportation Act of 1976 (15 U.S.C. 719-719o),
the Commission may, pursuant to section 7(c) of the Natural Gas Act (15
U.S.C. 717f(c)), consider and act on an application for the issuance of
a certificate of public convenience and necessity authorizing the
construction and operation of an Alaska natural gas transportation
project other than the Alaska Natural Gas Transportation System.
(b) Issuance of Certificate.--
(1) The Commission shall issue a certificate of public
convenience and necessity authorizing the construction and
operation of an Alaska natural gas transportation project under
this section if the applicant has--
(A) entered into a contract to transport Alaska
natural gas through the proposed Alaska natural gas
transportation project for use in the contiguous United
States; and
(B) satisfied the requirements of section 7(e) of
the Natural Gas Act (15 U.S.C. 717f(e)).
(2) In considering an application under this section, the
Commission shall presume that--
(A) a public need exists to construct and operate
the proposed Alaska natural gas transportation project;
and
(B) sufficient downstream capacity will exist to
transport the Alaska natural gas moving through such
project to markets in the contiguous United States.
(c) Expedited Approval Process.--The Commission shall issue a final
order granting or denying any application for a certificate of public
and convenience and necessity under section 7(c) of the Natural Gas Act
(15 U.S.C. 717f(c)) and this section not more than 60 days after the
issuance of the final environmental impact statement for that project
pursuant to section 704.
(d) Reviews and Actions of Other Federal Agencies.--All reviews
conducted and actions taken by any federal officer or agency relating
to an Alaska natural gas transportation project authorized under this
section shall be expedited, in a manner consistent with completion of
the necessary reviews and approvals by the deadlines set forth in this
subtitle.
(e) Regulations.--The Commission may issue regulations to carry out
the provisions of this section.
SEC. 705. ENVIRONMENTAL REVIEWS.
(a) Compliance With NEPA.--The issuance of a certificate of public
convenience and necessity authorizing the construction and operation of
any Alaska natural gas transportation project under section 704 shall
be treated as a major federal action significantly affecting the
quality of the human environment within the meaning of section
102(2)(C) of the National Environmental Policy Act of 1969 (42 U.S.C.
4332(2)(C)).
(b) Designation of Lead Agency.--The Commission shall be the lead
agency for purposes of complying with the National Environmental Policy
Act of 1969, and shall be responsible for preparing the statement
required by section 102(2)(c) of that Act (42 U.S.C. 4332(2)(c)) with
respect to an Alaska natural gas transportation project under section
704. The Commission shall prepare a single environmental statement
under this section, which shall consolidate the environmental reviews
of all Federal agencies considering any aspect of the project.
(c) Other Agencies.--All Federal agencies considering aspects of
the construction and operation of an Alaska natural gas transportation
project section 704 shall cooperate with the Commission, and shall
comply with deadlines established by the Commission in the preparation
of the statement under this section. The statement prepared under this
section shall be used by all such agencies to satisfy their
responsibilities under section 102(2)(C) of the National Environmental
Policy Act of 1969 (42 U.S.C. 4332(2)(C)) with respect to such project.
(d) Expedited Process.--The Commission shall issue a draft
statement under this section not later than 12 months after the
Commission determines the application to be complete and shall issue
the final statement not later than 6 months after the Commission issues
the draft statement, unless the Commission for good cause finds that
additional time is needed.
(e) Updated Environmental Reviews Under ANGTA.--The Secretary of
Energy shall require the sponsor of the Alaska Natural Gas
Transportation System to submit such updated environmental data,
reports, permits, and impact analyses as the Secretary determines are
necessary to develop detailed terms, conditions, and compliance plans
required by section 5 of the President's Decision.
SEC. 706. FEDERAL COORDINATOR.
(a) Establishment.--There is established as an independent
establishment in the executive branch, the Office of the Federal
Coordinator for Alaska Natural Gas Transportation Projects.
(b) The Federal Coordinator.--The Office shall be headed by a
Federal Coordinator for Alaska Natural Gas Transportation Projects, who
shall--
(1) be appointed by the President, by and with the advice
of the Senate,
(2) hold office at the pleasure of the President, and
(3) be compensated at the rate prescribed for level III of
the Executive Schedule (5 U.S.C. 5314).
(c) Duties.--The Federal Coordinator shall be responsible for--
(1) coordinating the expeditious discharge of all
activities by federal agencies with respect to an Alaska
natural gas transportation project; and
(2) ensuring the compliance of Federal agencies with the
provisions of this subtitle.
SEC. 707. JUDICIAL REVIEW.
(a) Exclusive Jurisdiction.--The United States Court of Appeals for
the District of Columbia Circuit shall have exclusive jurisdiction to
determine--
(1) the validity of any final order or action (including a
failure to act) of the Commission under this subtitle;
(2) the constitutionality of any provision of this
subtitle, or any decision made or action taken thereunder; or
(3) the adequacy of any environmental impact statement
prepared under the National Environmental Policy Act of 1969
with respect to any action under this subtitle.
(b) Deadline for Filing Claim.--Claims arising under this subtitle
may be brought not later than 60 days after the date of the decision or
action giving rise to the claim.
SEC. 708. LOAN GUARANTEE.
(a) Authority.--The Secretary of Energy may guarantee not more than
80 percent of the principal of any loan made to the holder of a
certificate of public convenience and necessity issued under section
704(b) of this Act or section 9 of the Alaska Natural Gas
Transportation Act of 1976 (15 U.S.C. 719g) for the purpose of
constructing an Alaska natural gas transportation project.
(b) Conditions.--
(1) The Secretary of Energy may not guarantee a loan under
this section unless the guarantee has filed an application for
a certificate of public convenience and necessity under section
704(b) of this Act or for an amended certificate under section
9 of the Alaska Natural Gas Transportation Act of 1976 (15
U.S.C. 719g) with the Commission not later than 6 months after
the date of enactment of this subtitle.
(2) A loan guaranteed under this section shall be made by a
financial institution subject to the examination of the
Secretary.
(3) Loan requirements, including term, maximum size,
collateral requirements and other features shall be determined
by the Secretary.
(c) Limitation on Amount.--Commitments to guarantee loans may be
made by the Secretary of Energy only to the extent that the total loan
principal, any part of which is guaranteed, will not exceed
$10,000,000,000.
(d) Regulations.--The Secretary of Energy may issue regulations to
carry out the provisions of this section.
(e) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary such sums as may be necessary to cover
the cost of loan guarantees, as defined by section 502(5) of the
Federal Credit Reform Act of 1990 (2 U.S.C. 661a(5)).
SEC. 709. STUDY OF ALTERNATIVE MEANS OF CONSTRUCTION.
(a) Requirement of Study.--If no application for the issuance of a
certificate of public convenience and necessity authorizing the
construction and operation of an Alaska natural gas transportation
project has been filed with the Commission within 6 months after the
date of enactment of this title, the Secretary of Energy shall conduct
a study of alternative approaches to the construction and operation of
the project.
(b) Scope of Study.--The study shall consider the feasibility of
establishing a government corporation to construct an Alaska natural
gas transportation project, and alternative means of providing federal
financing and ownership (including alternative combinations of
government and private corporate ownership) of the project.
(c) Consultation.--In conducting the study, the Secretary of Energy
shall consult with the Secretary of the Treasury and the Secretary of
the Army (acting through the Commanding General of the Corps of
Engineers).
(d) Report.--If the Secretary of Energy is required to conduct a
study under subsection (a), he shall submit a report containing the
results of the study, his recommendations, and any proposals for
legislation to implement his recommendations to the Congress within 6
months after the expiration of the Secretary of Energy's authority to
guarantee a loan under section 708.
SEC. 710. SAVINGS CLAUSE.
Nothing in this subtitle affects any decision, certificate, permit,
right-of-way, lease, or other authorization issued under section 9 of
the Alaska Natural Gas Transportation Act of 1976 (15 U.S.C. 719g).
SEC. 711. CLARIFICATION OF AUTHORITY TO AMEND TERMS AND CONDITIONS TO
MEET CURRENT PROJECT REQUIREMENTS.
Any Federal officer or agency responsible for granting or issuing
any certificate, permit, right-of-way, lease, or other authorization
under section 9 of the Alaska Natural Gas Transportation Act of 1976
(15 U.S.C. 719g) may add to, amend, or abrogate any term or condition
included in such certificate, permit, right-of-way, lease, or other
authorization to meet current project requirements (including the
physical design, facilities, and tariff specifications), so long as
such action does not compel a change in the basic nature and general
route of the Alaska Natural Gas Transportation System as designated and
described in section 2 of the President's Decision, or would otherwise
prevent or impair in any significant respect the expeditious
construction and initial operation of such transportation system.
SEC. 712. DEFINITIONS.
For purposes of this subtitle:
(1) The term ``Alaska natural gas'' has the meaning given
such term by section 4(1) of the Alaska Natural Gas
Transportation Act of 1976 (15 U.S.C. 719b(1)).
(2) The term ``Alaska natural gas transportation project''
means any other natural gas pipeline system that carries Alaska
natural gas from the North Slope of Alaska to the border
between Alaska and Canada (including related facilities subject
to the jurisdiction of the Commission) that is authorized under
either--
(A) the Alaska Natural Gas Transportation Act of
1976 (15 U.S.C. 719-719o); or
(B) section 704 of this subtitle.
(3) The term ``Alaska Natural Gas Transportation System''
means the Alaska natural gas transportation project authorized
under the Alaska Natural Gas Transportation Act of 1976 and
designated and described in section 2 of the President's
Decision.
(4) The term ``Commission'' means the Federal Energy
Regulatory Commission.
(5) The term ``natural gas company'' means a person engaged
in the transportation of natural gas in interstate commerce or
the sale in interstate commerce of such gas for resale; and
(6) The term ``President's Decision'' means the Decision
and Report to Congress on the Alaska Natural Gas Transportation
system issued by the President on September 22, 1977 pursuant
to section 7 of the Alaska Natural Gas Transportation Act of
1976 (15 U.S.C. 719c) and approved by Public Law 95-158.
SEC. 713. SENSE OF THE SENATE.
It is the sense of the Senate that an Alaska natural gas
transportation project will provide significant economic benefits to
the United States and Canada. In order to maximize those benefits, the
Senate urges the sponsors of the pipeline project to make every effort
to use steel that is manufactured or produced in North America and to
negotiate a project labor agreement to expedite construction of the
pipeline.
Subtitle B--Operating Pipelines
SEC. 721. APPLICATION OF HISTORIC PRESERVATION ACT TO OPERATING
PIPELINES.
Section 7 of the Natural Gas Act (15 U.S.C. 717(f)) is amended by
adding at the end the following:
``(i)(1) Notwithstanding the National Historic Preservation Act (16
U.S.C. 470 et seq.), a transportation facility shall not be eligible
for inclusion on the National Register of Historic Places unless--
``(A) the Commission has permitted the abandonment of the
transportation facility pursuant to subsection (b), or
``(B) the owner of the facility has given written consent
to such eligibility.
``(2) Any transportation facility considered eligible for inclusion
on the National Register of Historic Places prior to the date of
enactment of this subsection shall no longer be eligible unless the
owner of the facility gives written consent to such eligibility.''.
SEC. 722. ENVIRONMENTAL REVIEW AND PERMITTING OF NATURAL GAS PIPELINE
PROJECTS.
(a) Interagency Review.--The Chairman of the Council on
Environmental Quality, in coordination with the Federal Energy
Regulatory Commission, shall establish an interagency task force to
develop an interagency memorandum of understanding to expedite the
environmental review and permitting of natural gas pipeline projects.
(b) Membership of Interagency Task Force.--The task force shall
consist of--
(1) the Chairman of the Council on Environmental Quality,
who shall serve as the Chairman of the interagency task force,
(2) the Chairman of the Federal Energy Regulatory
Commission,
(3) the Director of the Bureau of Land Management,
(4) the Director of the U.S. Fish and Wildlife Service,
(5) the Commanding General, U.S. Army Corps of Engineers,
(6) the Chief of the Forest Service,
(7) the Administrator of the Environmental Protection
Agency,
(8) the Chairman of the Advisory Council on Historic
Preservation, and
(9) the heads of such other agencies as the Chairman of the
Council on Environmental Quality and the Chairman of the
Federal Energy Regulatory Commission deem appropriate.
(c) Memorandum of Understanding.--The agencies represented by the
members of the interagency task force shall enter into the memorandum
of understanding not later than one year after the date of the
enactment of this section.
DIVISION C--DIVERSIFYING
ENERGY DEMAND AND
IMPROVING EFFICIENCY
TITLE VIII--FUELS AND VEHICLES
Subtitle A--CAFE Standards and Related Matters
SEC. 801. AVERAGE FUEL ECONOMY STANDARDS FOR PASSENGER AUTOMOBILES AND
LIGHT TRUCKS.
(a) Increased Standards.--Section 32902 of title 49, United States
Code, is amended--
(1) by striking ``Non-Passenger Automobiles.--'' in
subsection (a) and inserting ``Prescription of Standards by
Regulation.--''; and
(2) by striking ``(except passenger automobiles)'' in
subsection (a) and inserting ``(except passenger automobiles
and light trucks)'';
(3) by striking subsection (b) and inserting the following:
``(b) Standards for Passenger Automobiles and Light Trucks.--
``(1) In general.--The Secretary of Transportation, after
consultation with the Administrator of the Environmental
Protection Agency, shall prescribe average fuel economy
standards for passenger automobiles and light trucks
manufactured by a manufacturer in each model year beginning
with model year 2005 in order to achieve a combined average
fuel economy standard for passenger automobiles and light
trucks for model year 2013 of at least 35 miles per gallon.
``(2) Annual progress toward standard required.--In
prescribing average fuel economy standards under paragraph (1),
the Secretary shall prescribe appropriate annual fuel economy
standard increases for passenger automobiles and light trucks
that--
``(A) increase the applicable average fuel economy
standard ratably over the 9 model-year period beginning
with model year 2005 and ending with model year 2013;
``(B) require that each manufacturer achieve--
``(i) a fuel economy standard for passenger
automobiles manufactured by that manufacturer
of at least 33.2 miles per gallon no later than
model year 2010; and
``(ii) a fuel economy standard for light
trucks manufactured by that manufacturer of at
least 26.3 miles per gallon no later than model
year 2010; and
``(C) for any model year within that 9 model-year
period does not result in an average fuel economy
standard lower than--
``(i) 27.5 miles per gallon for passenger
automobiles; or
``(ii) 20.7 miles per gallon for light duty
trucks.
``(3) Deadline for regulations.--The Secretary shall
promulgate the regulations required by paragraphs (1) and (2)
in final form no later than 18 months after the date of
enactment of the Energy Policy Act of 2002.
``(4) Default standards.--If the Secretary fails to meet
the requirement of paragraph (3), the average fuel economy
standard for passenger automobiles and light trucks
manufactured by a manufacturer in each model year beginning
with model year 2005 is the average fuel economy standard set
forth in the following tables:
``For model year The average fuel economy standard
for passenger automobiles
is:
2005...........................
28 miles per gallon
2006...........................
28.5 miles per gallon
2007...........................
30 miles per gallon
2008...........................
31 miles per gallon
2009...........................
32.5 miles per gallon
2010...........................
34 miles per gallon
2011...........................
35 miles per gallon
2012...........................
36.5 miles per gallon
2013 and thereafter............
38.3 miles per gallon
``For model year The average fuel economy standard
for light trucks is:
2005...........................
21.5 miles per gallon
2006...........................
22.5 miles per gallon
2007...........................
23.5 miles per gallon
2008...........................
24.5 miles per gallon
2009...........................
26 miles per gallon
2010...........................
27.5 miles per gallon
2011...........................
29.5 miles per gallon
2012...........................
31 miles per gallon
2013 and thereafter............
32 miles per gallon.''.
``(5) Combined standard for model years after model year
2010.--Unless the default standards under paragraph (4) are in
effect, for model years after model year 2010, the Secretary
may by rulemaking establish--
``(A) separate average fuel economy standards for
passenger automobiles and light trucks manufactured by
a manufacturer; or
``(B) a combined average fuel economy standard for
passenger automobiles and light trucks manufactured by
a manufacturer.'';
(4) by striking ``the standard'' in subsection (c)(1) and
inserting ``a standard'';
(5) by striking the first and last sentences of subsection
(c)(2); and
(6) by striking ``(and submit the amendment to Congress
when required under subsection (c)(2) of this section)'' in
subsection (g).
(b) Definition of Light Trucks.--
(1) In general.--Section 32901(a) of title 49, United
States Code, is amended by adding at the end the following:
``(17) `light truck' means an automobile that the Secretary
decides by regulation--
``(A) is manufactured primarily for transporting
not more than 10 individuals;
``(B) is rated at not more than 10,000 pounds gross
vehicle weight;
``(C) is not a passenger automobile; and
``(D) does not fall within the exceptions from the
definition of `medium duty passenger vehicle' under
section 86.1803-01 of title 40, Code of Federal
Regulations.''.
(2) Deadline for regulations.--The Secretary of
Transportation--
(A) shall issue proposed regulations implementing
the amendment made by paragraph (1) not later than 1
year after the date of the enactment of this Act; and
(B) shall issue final regulations implementing the
amendment not later than 18 months after the date of
the enactment of this Act.
(3) Effective date.--Regulations prescribed under paragraph
(1) shall apply beginning with model year 2007.
(c) Applicability of Existing Standards.--This section does not
affect the application of section 32902 of title 49, United States
Code, to passenger automobiles or non-passenger automobiles
manufactured before model year 2005.
(d) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Transportation to carry out the
provisions of chapter 329 of title 49, United States Code, $25,000,000
for each of fiscal years 2003 through 2015.
SEC. 802. FUEL ECONOMY TRUTH IN TESTING.
(a) In General.--Section 32907 of title 49, United States Code, is
amended by adding at the end the following:
``(c) Improved Testing Procedures.--
``(1) In general.--The Administrator of the Environmental
Protection Agency shall conduct--
``(A) an ongoing examination of the accuracy of
fuel economy testing of passenger automobiles and light
trucks by the Administrator performed in accordance
with the procedures in effect as of the date of
enactment of the Energy Policy Act of 2002 for the
purpose of determining whether, and to what extent, the
fuel economy of passenger automobiles and light trucks
as tested by the Administrator differs from the fuel
economy reasonably to be expected from those
automobiles and trucks when driven by average drivers
under average driving conditions; and
``(B) an assessment of the extent to which fuel
economy changes during the life of passenger
automobiles and light trucks.''.
``(2) Report.--The Administrator of the Environmental
Protection Agency shall, within 12 months after the date of
enactment of the Energy Policy Act of 2002 and annually
thereafter, submit to the Committee on Commerce, Science, and
Transportation of the Senate and the Committee on Commerce of
the House of Representatives a report on the results of the
study required by paragraph (1). The report shall include--
``(A) a comparison between--
``(i) fuel economy measured, for each model
in the applicable model year, through testing
procedures in effect as of the date of
enactment of the Energy Policy Act of 2002; and
``(ii) fuel economy of such passenger
automobiles and light trucks during actual on-
road performance, as determined under that
paragraph;
``(B) a statement of the percentage difference, if
any, between actual on-road fuel economy and fuel
economy measured by test procedures of the
Environmental Protection Administration; and
``(C) a plan to reduce, by model year 2015, the
percentage difference identified under subparagraph (B)
by using uniform test methods that reflect actual on-
the-road fuel economy consumers experience under normal
driving conditions to no greater than 5 percent.''.
SEC. 803. ENSURING SAFETY OF PASSENGER AUTOMOBILES AND LIGHT TRUCKS.
(a) In General.--The Secretary of Transportation shall exercise
such authority under Federal law as the Secretary may have to ensure
that--
(1) passenger automobiles and light trucks (as those terms
are defined in section 32901 of title 49, United States Code)
are safe;
(2) progress is made in improving the overall safety of
passenger automobiles and light trucks; and
(3) progress is made in maximizing United States
employment.
(b) Improved Crashworthiness.--Subchapter II of chapter 301 of
title 49, United States Code, is amended by adding at the end the
following:
``Sec. 30128. Improved crashworthiness
``(a) Rollovers.--Within 3 years after the date of enactment of the
Energy Policy Act of 2002, the Secretary of Transportation, through the
National Highway Traffic Safety Administration, shall prescribe a motor
vehicle safety standard under this chapter for rollover crashworthiness
standards that includes--
``(1) dynamic roof crush standards;
``(2) improved seat structure and safety belt design;
``(3) side impact head protection airbags; and
``(4) roof injury protection measures.
``(b) Heavy Vehicle Harm Reduction Compatibility Standard.--
``(1) Within 3 years after the date of enactment of the
Energy Policy Act of 2002, the Secretary, through the National
Highway Traffic Safety Administration, shall prescribe a
federal motor vehicle safety standard under this chapter that
will reduce the aggressivity of light trucks by 30 percent,
using a baseline of model year 2002, and will improve vehicle
compatibility in collisions between light trucks and cars, in
order to protect against unnecessary death and injury.
``(2) The Secretary should review the effectiveness of this
standard every five years following final issuance of the
standard and shall issue, through the National Highway Traffic
Safety Administration, upgrades to the standard to reduce
fatalities and injuries related to vehicle compatibility and
light truck aggressivity.''.
(c) Conforming Amendment.--The chapter analysis for chapter 301 of
title 49, United States Code, is amended by inserting after the item
relating to section 30127 the following: ``30128. Improved
crashworthiness''.
SEC. 804. HIGH OCCUPANCY VEHICLE EXCEPTION.
(a) In General.--Notwithstanding section 102(a)(1) of title 23,
United States Code, a State may, for the purpose of promoting energy
conservation, permit a vehicle with fewer than 2 occupants to operate
in high occupancy vehicle lanes if it is a hybrid vehicle or is
certified by the Secretary of Transportation, after consultation with
the Administrator of the Environmental Protection Agency, to be a
vehicle that runs only on an alternative fuel.
(b) Hybrid Vehicle Defined.--In this section, the term ``hybrid
vehicle'' means a motor vehicle--
(1) which--
(A) draws propulsion energy from onboard sources of
stored energy which are both--
(i) an internal combustion or heat engine
using combustible fuel; and
(ii) a rechargeable energy storage system;
or
(B) recovers kinetic energy through regenerative
braking and provides at least 13 percent maximum power
from the electrical storage device;
(2) which, in the case of a passenger automobile or light
truck--
(A) for 2002 and later model vehicles, has received
a certificate of conformity under section 206 of the
Clean Air Act (42 U.S.C. 7525) and meets or exceeds the
equivalent qualifying California low emission vehicle
standard under section 243(e)(2) of the Clean Air Act
(42 U.S.C. 7583(e)(2)) for that make and model year;
and
(B) for 2004 and later model vehicles, has received
a certificate that such vehicle meets the Tier II
emission level established in regulations prescribed by
the Administrator of the Environmental Protection
Agency under section 202(i) of the Clean Air Act (42
U.S.C. 7521(i)) for that make and model year vehicle;
and (3) which is made by a manufacturer.
(c) Alternative Fuel Defined.--In this section, the term
``alternative fuel'' has the meaning such term has under section 301(2)
of the Energy Policy Act of 1992 (42 U.S.C. 13211(2)).
SEC. 805. CREDIT TRADING PROGRAM.
(a) In General.--Section 32903 of title 49, United States Code, is
amended by adding at the end the following:
``(g) Vehicle Credit Trading System.--
``(1) In general.--The Secretary of Transportation, with
technical assistance from the Administrator of the
Environmental Protection Agency, may establish a system under
which manufacturers with credits under this section may sell
those credits to other manufacturers or transfer them among a
manufacturer's fleets.
``(2) Purposes.--The purposes of the system are:
``(A) Reducing the adverse effects of inefficient
consumption of fuel by passenger automobiles and light
trucks.
``(B) Accelerating introduction of advanced
technology vehicles into use in the United States.
``(C) Encouraging manufacturers to exceed the
average fuel economy standards established by section
32902.
``(D) Reducing emissions of carbon dioxide by
passenger automobiles and light trucks.
``(E) Decreasing the United States' consumption of
oil as vehicular fuel.
``(F) Providing manufacturers flexibility in
meeting the average fuel economy standards established
by section 32902.
``(G) Increasing consumer choice.
``(3) Program requirements.--The system established under
paragraph (1) shall--
``(A) make only credits accrued after the date of
enactment of the Energy Policy Act of 2002 eligible for
transfer or sale;
``(B) use techniques and methods that minimize
reporting costs for manufacturers;
``(C) provide for monitoring and verification of
credit purchases;
``(D) require participating manufacturers to report
monthly sales of vehicles to the Administrator of the
Environmental Protection Agency; and
``(E) make manufacturer-specific credit, transfer,
sale, and purchase information publicly available
through annual reports and monthly posting of
transactions on the Internet.
``(4) Credits may be traded between passenger automobiles
and light trucks and between domestic and import fleets.--The
system shall provide that credits earned under this section--
``(A) with respect to passenger automobiles may be
applied with respect to light trucks;
``(B) with respect to light trucks may be applied
with respect to passenger automobiles;
``(C) with respect to passenger automobiles
manufactured domestically may be applied with respect
to passenger automobiles not manufactured domestically;
and
``(D) with respect to passenger automobiles not
manufactured domestically may be applied with respect
to passenger automobiles manufactured domestically.
``(5) Report.--The Secretary and the Administrator shall
jointly submit an annual report to the Congress--
``(A) describing the effectiveness of the credits
provided by this subsection achieving the purposes
described in paragraph (2); and
``(B) setting forth a full accounting of all
credits, transfers, sales, and purchases for the most
recent model year for which data is available.''.
(b) No Carryback of Credits.--Section 32903(a) of title 49, United
States Code, is amended--
(1) by striking ``applied to--'' and inserting ``applied--
'';
(2) by inserting ``for model years before model year 2006,
to'' in paragraph (1) before ``any'';
(3) by striking ``and'' after the semicolon in paragraph
(1);
(4) by striking ``earned.'' in paragraph (2) and inserting
``earned; and''; and
(5) by adding at the end the following:
``(3) for model years after 2001, in accordance with the
vehicle credit trading system established under subsection (g),
to any of the 3 consecutive model years immediately after the
model year for which the credit was earned.''.
(c) Use of Credit Value To Calculate Civil Penalty.--Section
32912(b) of title 49, United States Code, is amended--
(1) by inserting ``and is unable to purchase sufficient
credits under section 32903(g) to comply with the standard''
after ``title'' the first place it appears; and
(2) by striking all after ``penalty'' and inserting ``of
the greater of--
``(1) an amount determined by multiplying--
``(A) the number of credits necessary to enable the
manufacturer to meet that standard; by
``(B) 1.5 times the previous year's weighted
average open market price of a credit under section
32903(g); or
``(2) $5 multiplied by each 0.1 of a mile a gallon by which
the applicable average fuel economy standard under section
32902 exceeds the average fuel economy--
``(A) calculated under section 32904(a)(1)(A) or
(B) for automobiles to which the standard applied
manufactured by the manufacturer during the model year;
``(B) multiplied by the number of those
automobiles; and
``(C) reduced by the credits available to the
manufacturer under section 32903 for the model year.''.
(d) Conforming Amendments.--Section 32903 of title 49, United
States Code, is amended--
(1) by inserting ``or light trucks'' after ``passenger
automobiles'' each place it appears in subsection (c);
(2) by inserting after ``manufacturer.'' in subsection (d)
``Credits earned with respect to passenger automobiles may be
used with respect to nonpassenger automobiles and light duty
trucks.''; and
(3) by inserting after ``manufacturer.'' in subsection (e)
``Credits earned with respect to non-passenger automobiles or
light trucks may be used with respect to passenger
automobiles.''.
SEC. 806. GREEN LABELS FOR FUEL ECONOMY.
Section 32908 of title 49, United States Code, is amended--
(1) by striking ``title.'' in subsection (a)(1) and
inserting ``title, and a light truck (as defined in section
32901(17) after model year 2005; and'';
(2) by redesignating subparagraph (F) of subsection (b)(1)
as subparagraph (H), and inserting after subparagraph (E) the
following:
``(F) a label (or a logo imprinted on a label
required by this paragraph) that--
``(i) reflects an automobile's performance
on the basis of criteria developed by the
Administrator to reflect the fuel economy and
greenhouse gas and other emissions consequences
of operating the automobile over its likely
useful life;
``(ii) permits consumers to compare
performance results under clause (i) among all
passenger automobiles and light duty trucks (as
defined in section 32901) and with vehicles in
the vehicle class to which it belongs; and
``(iii) is designed to encourage the
manufacture and sale of passenger automobiles
and light trucks that meet or exceed applicable
fuel economy standards under section 32902.
``(G) a fuelstar under paragraph (5).''; and
(3) by adding at the end of subsection (b) the following:
``(4) Green label program.--
``(A) Marketing analysis.--Within 2 years after the
date of enactment of the Energy Policy Act of 2002, the
Administrator shall complete a study of social
marketing strategies with the goal of maximizing
consumer understanding of point-of-sale labels or logos
described in paragraph (1)(F).
``(B) Criteria.--In developing criteria for the
label or logo, the Administrator shall also consider,
among others as appropriate, the following factors:
``(i) The amount of greenhouse gases that
will be emitted over the life-cycle of the
automobile.
``(ii) The fuel economy of the automobile.
``(iii) The recyclability of the
automobile.
``(iv) Any other pollutants or harmful
byproducts related to the automobile, which may
include those generated during manufacture of
the automobile, those issued during use of the
automobile, or those generated after the
automobile ceases to be operated.
``(5) Fuelstar program.--The Secretary, in consultation
with the Administrator, shall establish a program, to be known
as the `fuelstar' program, under which stars shall be imprinted
on or attached to the label required by paragraph (1) that
will, consistent with the findings of the marketing analysis
required under subsection 4(A), provide consumer incentives to
purchase vehicles that exceed the applicable fuel economy
standard.
SEC. 807. LIGHT TRUCK CHALLENGE.
(a) In General.--The Secretary of Transportation shall conduct an
open competition for a project to demonstrate the feasibility of
multiple fuel hybrid electric vehicle powertrains in sport utility
vehicles and light trucks. The Secretary shall execute a contract with
the entity determined by the Secretary to be the winner of the
competition under which the Secretary will provide $10,000,000 to that
entity in each of fiscal years 2003 and 2004 to carry out the project.
(b) Project Requirements.--Under the contract, the Secretary shall
require the entity to which the contract is awarded to--
(1) select a current model year production vehicle;
(2) modify that vehicle so that it--
(A) meets all existing vehicle performance
characteristics of the sport utility vehicle or light
truck selected for the project;
(B) improves the vehicle's fuel economy rating by
50 percent or more (as measured by gasoline
consumption); and
(3) meet the requirements of paragraph (2) in such a way
that incorporation of the modification in the manufacturer's
production process would not increase the vehicle's incremental
production costs by more than 10 percent.
(c) Eligible Entrants.--The competition conducted by the Secretary
shall be open to any entity, or consortium of nongovernmental entities,
educational institutions, and not-for-profit organizations, that--
(1) has the technical capability and resources needed to
complete the project successfully; and
(2) has sufficient financial resources in addition to the
contract amount, if necessary, to complete the contract
successfully.
(d) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Transportation $10,000,000 for each of
fiscal years 2003 and 2004 to carry out this section.
SEC. 808. SECRETARY OF TRANSPORTATION TO CERTIFY BENEFITS.
Beginning with model year 2005, the Secretary of Transportation, in
consultation with the Administrator of the Environmental Protection
Agency, shall determine and certify annually to the Congress--
(1) the annual reduction in United States consumption of
petroleum used for vehicle fuel, and
(2) the annual reduction in greenhouse gas emissions,
properly attributable to the implementation of the average fuel economy
standards imposed under section 32902 of title 49, United States Code,
as a result of the amendments made by this Act.
SEC. 809. DEPARTMENT OF TRANSPORTATION ENGINEERING AWARD PROGRAM.
(a) Engineering Team Awards.--The Secretary of Transportation shall
establish an engineering award program to recognize the engineering
team of any manufacturer of passenger automobiles or light trucks (as
such terms are defined in section 32901 of title 49, United States
Code) whose work directly results in production models of--
(1) the first large sport utility vehicle, van, or light
truck to achieve a fuel economy rating of 30 miles per gallon
under section 32902 of such title;
(2) the first mid-sized sport utility vehicle, van, or
light truck to achieve a fuel economy rating of 35 miles per
gallon under section 32902 of such title; and
(3) the first mid-sized sport utility vehicle, van, or
light truck to achieve a fuel economy rating of 40 miles per
gallon under section 32902 of such title.
(b) Manufacturer's Award.--The Secretary of Transportation shall
establish an Oil Independence Award to recognize the first manufacturer
of domestically-manufactured (within the meaning of section 32903 of
title 49, United States Code) passenger automobiles and light trucks to
achieve a combined fuel economy rating of 37 miles per gallon under
section 32902 of such title.
(c) Requirements for Participation in Engineering Team Awards
Program.--In establishing the engineering team awards program under
subsection (a), the Secretary shall establish eligibility requirements
that include--
(1) a requirement that the vehicle, van, or truck be
domestically-manufactured or manufacturable (if a prototype)
within the meaning of section 32903 of title 49, United States
Code;
(2) a requirement that the vehicle, van, or truck meet all
applicable Federal standards for emissions and safety (except
that crash testing shall not be required for a prototype); and
(3) such additional requirements as the Secretary may
require in order to carry out the program.
(d) Amount of Prize.--The Secretary shall award a prize of not less
than $10,000 to each engineering team determined by the Secretary to
have successfully met the requirements of subsection (a)(1), (2), or
(3). The Secretary shall provide for recognition of any manufacturer to
have met the requirements of subsection (b) with appropriate ceremonies
and activities, and may provide a monetary award in an amount
determined by the Secretary to be appropriate.
(e) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Transportation such sums as may be
necessary to carry out this section.
SEC. 810. COOPERATIVE TECHNOLOGY AGREEMENTS.
(a) In General.--The Secretary of Transportation, in cooperation
with the Administrator of the Environmental Protection Agency, may
execute a cooperative research and development agreement with any
manufacturer of passenger automobiles or light trucks (as those terms
are defined in section 32901 of title 49, United States Code) to
implement, utilize, and incorporate in production government-developed
or jointly-developed fuel economy technology that will result in
improvements in the average fuel economy of any class of vehicles
produced by that manufacturer of at least 55 percent greater than the
average fuel economy of that class of vehicles for model year 2000.
(b) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Transportation and the Administrator
of the Environmental Protection Agency such sums as may be necessary to
carry out this section.
Subtitle B--Alternative and Renewable Fuels
SEC. 811. INCREASED USE OF ALTERNATIVE FUELS BY FEDERAL FLEETS.
(a) Requirement To Use Alternative Fuels.--Section 400AA(a)(3)(E)
of the Energy Policy and Conservation Act (42 U.S.C. 6374(a)(3)(E)) is
amended to read as follows:
``(E) Dual fueled vehicles acquired pursuant to
this section shall be operated on alternative fuels. If
the Secretary determines that all dual fueled vehicles
acquired pursuant to this section cannot operate on
alternative fuels at all times, he may waive the
requirement in part, but only to the extent that:
``(i) not later than September 30, 2003,
not less than 50 percent of the total annual
volume of fuel used in such dual fueled
vehicles shall be from alternative fuels; and
``(ii) not later than September 30, 2005,
not less than 75 percent of the total annual
volume of fuel used in such dual fueled
vehicles shall be from alternative fuels.''.
(b) Definition of ``Dedicated Vehicle''.--Section 400AA(g)(4)(B) of
the Energy Policy and Conservation Act (42 U.S.C. 6374(g)(4)(B)) is
amended by inserting after ``solely on alternative fuel'' the
following: ``, including a three-wheeled enclosed electric vehicle
having a vehicle identification number''.
SEC. 812. EXCEPTION TO HOV PASSENGER REQUIREMENTS FOR ALTERNATIVE FUEL
VEHICLES.
Section 102(a)(1) of title 23, United States Code, is amended by
inserting after ``required'' the following: ``(unless, in the
discretion of the State transportation department, the vehicle is being
operated on, or is being fueled by, an alternative fuel (as defined in
section 301(2) of the Energy Policy Act of 1992 (42 U.S.C.
13211(2)))''.
SEC. 813. DATA COLLECTION.
Section 205 of the Department of Energy Organization Act (42 U.S.C.
7135) is amended by adding at the end the following:
``(m) In order to improve the ability to evaluate the effectiveness
of the Nation's renewable fuels mandate, the Administrator shall
conduct and publish the results of a survey of renewable fuels
consumption in the motor vehicle fuels market in the United States
monthly, and in a manner designed to protect the confidentiality of
individual responses. In conducting the survey, the Administrator shall
collect information both on a national basis and a regional basis,
including--
``(1) the quantity of renewable fuels produced;
``(2) the cost of production;
``(3) the cost of blending and marketing;
``(4) the quantity of renewable fuels consumed;
``(5) the quantity of renewable fuels imported; and
``(6) market price data.''.
SEC. 814. GREEN SCHOOL BUS PILOT PROGRAM.
(a) Establishment.--The Secretary of Energy and the Secretary of
Transportation shall jointly establish a pilot program for awarding
grants on a competitive basis to eligible entities for the
demonstration and commercial application of alternative fuel school
buses and ultra-low sulfur diesel school buses.
(b) Requirements.--Not later than 3 months after the date of the
enactment of this Act, the Secretary shall establish and publish in the
Federal Register grant requirements on eligibility for assistance, and
on implementation of the program established under subsection (a),
including certification requirements to ensure compliance with this
subtitle.
(c) Solicitation.--Not later than 6 months after the date of the
enactment of this Act, the Secretary shall solicit proposals for grants
under this section.
(d) Eligible Recipients.--A grant shall be awarded under this
section only--
(1) to a local governmental entity responsible for
providing school bus service for one or more public school
systems; or
(2) jointly to an entity described in paragraph (1) and a
contracting entity that provides school bus service to the
public school system or systems.
(e) Types of Grants.--
(1) In general.--Grants under this section shall be for the
demonstration and commercial application of technologies to
facilitate the use of alternative fuel school buses and ultra-
low sulfur diesel school buses instead of buses manufactured
before model year 1977 and diesel-powered buses manufactured
before model year 1991.
(2) No economic benefit.--Other than the receipt of the
grant, a recipient of a grant under this section may not
receive any economic benefit in connection with the receipt of
the grant.
(3) Priority of grant applications.--The Secretary shall
give priority to awarding grants to applicants who can
demonstrate the use of alternative fuel buses and ultra-low
sulfur diesel school buses instead of buses manufactured before
model year 1977.
(f) Conditions of Grant.--A grant provided under this section shall
include the following conditions:
(1) All buses acquired with funds provided under the grant
shall be operated as part of the school bus fleet for which the
grant was made for a minimum of 5 years.
(2) Funds provided under the grant may only be used--
(A) to pay the cost, except as provided in
paragraph (3), of new alternative fuel school buses or
ultra-low sulfur diesel school buses, including State
taxes and contract fees; and
(B) to provide--
(i) up to 10 percent of the price of the
alternative fuel buses acquired, for necessary
alternative fuel infrastructure if the
infrastructure will only be available to the
grant recipient; and
(ii) up to 15 percent of the price of the
alternative fuel buses acquired, for necessary
alternative fuel infrastructure if the
infrastructure will be available to the grant
recipient and to other bus fleets.
(3) The grant recipient shall be required to provide at
least the lesser of 15 percent of the total cost of each bus
received or $15,000 per bus.
(4) In the case of a grant recipient receiving a grant to
demonstrate ultra-low sulfur diesel school buses, the grant
recipient shall be required to provide documentation to the
satisfaction of the Secretary that diesel fuel containing
sulfur at not more than 15 parts per million is available for
carrying out the purposes of the grant, and a commitment by the
applicant to use such fuel in carrying out the purposes of the
grant.
(g) Buses.--Funding under a grant made under this section may only
be used to demonstrate the use of new alternative fuel school buses or
ultra-low sulfur diesel school buses that--
(1) have a gross vehicle weight greater than 14,000 pounds;
(2) are powered by a heavy duty engine;
(3) in the case of alternative fuel school buses, emit not
more than--
(A) for buses manufactured in model year 2002, 2.5
grams per brake horsepower-hour of nonmethane
hydrocarbons and oxides of nitrogen and .01 grams per
brake horsepower-hour of particulate matter; and
(B) for buses manufactured in model years 2003
through 2006, 1.8 grams per brake horsepower-hour of
nonmethane hydrocarbons and oxides of nitrogen and .01
grams per brake horsepower-hour of particulate matter;
and
(4) in the case of ultra-low sulfur diesel school buses,
emit not more than the lesser of--
(A) the emissions of nonmethane hydrocarbons,
oxides of nitrogen, and particulate matter of the best
performing technology of the same class of ultra-low
sulfur diesel school buses commercially available at
the time the grant is made; or
(B) the applicable following amounts--
(i) for buses manufactured in model year
2002 or 2003, 3.0 grams per brake horsepower-
hour of oxides of nitrogen and .01 grams per
brake horsepower-hour of particulate matter;
and
(ii) for buses manufactured in model years
2004 through 2006, 2.5 grams per brake
horsepower-hour of nonmethane hydrocarbons and
oxides of nitrogen and .01 grams per brake
horsepower-hour of particulate matter.
(h) Deployment and Distribution.--The Secretary shall seek to the
maximum extent practicable to achieve nationwide deployment of
alternative fuel school buses through the program under this section,
and shall ensure a broad geographic distribution of grant awards, with
a goal of no State receiving more than 10 percent of the grant funding
made available under this section for a fiscal year.
(i) Limit on Funding.--The Secretary shall provide not less than 20
percent and not more than 25 percent of the grant funding made
available under this section for any fiscal year for the acquisition of
ultra-low sulfur diesel school buses.
(j) Definitions.--For purposes of this section--
(1) the term ``alternative fuel school bus'' means a bus
powered substantially by electricity (including electricity
supplied by a fuel cell), or by liquefied natural gas,
compressed natural gas, liquefied petroleum gas, hydrogen,
propane, or methanol or ethanol at no less than 85 percent by
volume; and
(2) the term ``ultra-low sulfur diesel school bus'' means a
school bus powered by diesel fuel which contains sulfur at not
more than 15 parts per million.
SEC. 815. FUEL CELL BUS DEVELOPMENT AND DEMONSTRATION PROGRAM.
(a) Establishment of Program.--The Secretary shall establish a
program for entering into cooperative agreements with private sector
fuel cell bus developers for the development of fuel cell-powered
school buses, and subsequently with not less than 2 units of local
government using natural gas-powered school buses and such private
sector fuel cell bus developers to demonstrate the use of fuel cell-
powered school buses.
(b) Cost Sharing.--The non-Federal contribution for activities
funded under this section shall be not less than--
(1) 20 percent for fuel infrastructure development
activities; and
(2) 50 percent for demonstration activities and for
development activities not described in paragraph (1).
(c) Funding.--No more than $25,000,000 of the amounts authorized
under section 815 may be used for carrying out this section for the
period encompassing fiscal years 2003 through 2006.
(d) Reports to Congress.--Not later than 3 years after the date of
the enactment of this Act, and not later than October 1, 2006, the
Secretary shall transmit to the appropriate congressional committees a
report that--
(1) evaluates the process of converting natural gas
infrastructure to accommodate fuel cell-powered school buses;
and
(2) assesses the results of the development and
demonstration program under this section.
SEC. 816. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated to the Secretary of Energy
for carrying out sections 814 and 815, to remain available until
expended--
(1) $50,000,000 for fiscal year 2003;
(2) $60,000,000 for fiscal year 2004;
(3) $70,000,000 for fiscal year 2005; and
(4) $80,000,000 for fiscal year 2006.
SEC. 817. BIODIESEL FUEL USE CREDIT.
Section 312(c) of the Energy Policy Act of 1992 (42 U.S.C.
13220(c)) is amended--
(1) by striking ``NOT'' in the subsection heading; and
(2) by striking ``not''.
SEC. 818. RENEWABLE CONTENT OF MOTOR VEHICLE FUEL.
(a) In General.--Section 211 of the Clean Air Act (42 U.S.C. 7545)
is amended--
(1) by redesignating subsection (o) as subsection (q); and
(2) by inserting after subsection (n) the following:
``(o) Renewable Fuel Program.--
``(1) Definitions.--In this section:
``(A) Cellulosic biomass ethanol.--The term
`cellulosic biomass ethanol' means ethanol derived from
any lignocellulosic or hemicellulosic matter that is
available on a renewable or recurring basis,
including--
``(i) dedicated energy crops and trees;
``(ii) wood and wood residues;
``(iii) plants;
``(iv) grasses;
``(v) agricultural commodities and
residues;
``(vi) fibers;
``(vii) animal wastes and other waste
materials; and
``(viii) municipal solid waste.
``(B) Renewable fuel.--
``(i) In general.--The term `renewable
fuel' means motor vehicle fuel that--
``(I)(aa) is produced from grain,
starch, oilseeds, or other biomass; or
``(bb) is natural gas produced from
a biogas source, including a landfill,
sewage waste treatment plant, feedlot,
or other place where decaying organic
material is found; and
``(II) is used to replace or reduce
the quantity of fossil fuel present in
a fuel mixture used to operate a motor
vehicle.
``(ii) Inclusion.--The term `renewable
fuel' includes cellulosic biomass ethanol and
biodiesel (as defined in section 312(f)(1) of
the Energy Policy Act of 1992 (42 U.S.C.
13220(f)(1)).
``(C) Small refinery.--The term `small refinery'
means a refinery for which average aggregate daily
crude oil throughput for the calendar year (as
determined by dividing the aggregate throughput for the
calendar year by the number of days in the calendar
year) do not exceed 65,000 barrels.
``(2) Renewable fuel program.--
``(A) In general.--Except as provided in
subparagraph (B)(i)(II), the motor vehicle fuel sold or
introduced into commerce in the United States in
calendar year 2003 or any calendar year thereafter by a
refiner, blender, or importer shall contain, on a 6-
month average basis, a quantity of renewable fuel,
measured in gallons, that is not less than the
applicable volume determined under subparagraph (B).
``(B) Applicable volume.--
``(i) Calendar year 2003.--For calendar
year 2003--
``(I) for the purpose of
subparagraph (A), the applicable volume
shall be 2,000,000,000 gallons; and
``(II) subparagraph (A) shall apply
only to a refiner, blender, or importer
located in Petroleum Administration for
Defense District II, III, or IV.
``(ii) Calendar years 2004 through 2012.--
For the purpose of subparagraph (A), the
applicable volume for any of calendar years
2004 through 2012 shall be determined in
accordance with the following table:
``Calendar year: Applicable volume of renewable fuel
(in billions of gallons):
2004....................................... 2.3
2005....................................... 2.6
2006....................................... 2.9
2007....................................... 3.2
2008....................................... 3.5
2009....................................... 3.9
2010....................................... 4.3
2011....................................... 4.7
2012....................................... 5.0.
``(iii) Calendar year 2013 and
thereafter.--For the purpose of subparagraph
(A), the applicable volume for calendar year
2013 and each calendar year thereafter shall be
equal to the product obtained by multiplying--
``(I) the number of gallons of
motor vehicle fuel that the
Administrator estimates will be sold or
introduced into commerce in the
calendar year; and
``(II) the ratio that--
``(aa) the number of
gallons of motor vehicle fuel
sold or introduced into
commerce in calendar year 2012
that consists of renewable
fuel; bears to
``(bb) the number of
gallons of motor vehicle fuel
sold or introduced into
commerce in calendar year 2012.
``(3) Cellulosic biomass ethanol.--For the purpose of
paragraph (2), 1 gallon of cellulosic biomass ethanol shall be
considered to be the equivalent of 1.5 gallons of renewable
fuel.
``(4) Credit program.--
``(A) In general.--The regulations
promulgated to carry out this subsection shall
provide for the generation of an appropriate
amount of credits by a person that refines,
blends, or imports motor vehicle fuel that
contains, on a 6-month average basis, a
quantity of renewable fuel that is greater than
the quantity required for that 6-month period
under paragraph (2).
``(B) Use of credits.--A person that
generates credits under subparagraph (A) may
use the credits, or transfer all or a portion
of the credits to another person, for the
purpose of complying with paragraph (2).
``(C) Expiration of credits.--A credit
generated under this paragraph shall expire 1
year after the date on which the credit was
generated.
``(5) Waivers.--
``(A) In general.--The Administrator, in
consultation with the Secretary of Agriculture and the
Secretary of Energy, may waive the requirement of
paragraph (2) in whole or in part on petition by 1 or
more States by reducing the national quantity of
renewable fuel required under this subsection--
``(i) based on a determination by the
Administrator, after public notice and
opportunity for comment, that implementation of
the requirement would severely harm the economy
or environment of a State, a region, or the
United States; or
``(ii) based on a determination by the
Administrator, after public notice and
opportunity for comment, that there is an
inadequate domestic supply or distribution
capacity to meet the requirement.
``(B) Petitions for waivers.--The Administrator, in
consultation with the Secretary of Agriculture and the
Secretary of Energy--
``(i) shall approve or deny a State
petition for a waiver of the requirement of
paragraph (2) within 180 days after the date on
which the petition is received; but
``(ii) may extend that period for up to 60
additional days to provide for public notice
and opportunity for comment and for
consideration of the comments submitted.
``(C) Termination of waivers.--A waiver granted
under subparagraph (A) shall terminate after 1 year,
but may be renewed by the Administrator after
consultation with the Secretary of Agriculture and the
Secretary of Energy.
``(6) Small refiners.--The requirement of paragraph (2)
shall not apply to a small refinery.
``(7) Regulations.--Not later than 270 days after the date
of enactment of this paragraph, the Administrator shall
promulgate regulations to carry out this subsection.''.
(b) Distillation Index.--Section 211 of the Clean Air Act (42
U.S.C. 7545) is amended by inserting before subsection (q) (as
redesignated by subsection (a)(1)) the following:
``(p) Distillation Index.--Effective January 1, 2004, no person
shall manufacture, sell, supply, offer for sale, or supply, dispense,
transport, or introduce into commerce gasoline that has a distillation
index that exceeds 1,200.''.
(c) Penalties and Enforcement.--Section 211(d) of the Clean Air Act
(42 U.S.C. 7545(d)) is amended--
(1) in paragraph (1)--
(A) in the first sentence, by striking ``or (n)''
each place it appears and inserting ``(n), (o), or
(p)''; and
(B) in the second sentence, by striking ``or (m)''
and inserting ``(m), (o), or (p)''; and
(2) in the first sentence of paragraph (2), by striking
``and (n)'' each place it appears and inserting ``(n), (o), and
(p)''.
(d) Elimination of Ethanol Waiver.--Section 211(h)(4) of the Clean
Air Act (42 U.S.C. 7545(h)(4)) is amended by striking ``For'' and
inserting ``In the case of a State that is not located east of the
Mississippi River, for''.
SEC. 819. NEIGHBORHOOD ELECTRIC VEHICLES.
Section 301 of the Energy Policy Act of 1992 (42 U.S.C. 13211) is
amended--
(1) by striking ``or a dual fueled vehicle'' and inserting
``, a dual fueled vehicle, or a neighborhood electric
vehicle'';
(2) by striking ``and'' at the end of paragraph (13);
(3) by striking the period at the end of subparagraph (14)
and inserting ``; and''; and
(4) by adding at the end the following:
``(15) the term `neighborhood electric vehicle' means a
motor vehicle that qualifies as both--
``(A) a low-speed vehicle, as such term is defined
in section 571.3(b) of title 49, Code of Federal
Regulations; and
``(B) a zero-emission vehicle, as such term is
defined in section 86.1703-99 of title 40, Code of
Federal Regulations.''.
Subtitle C--Federal Reformulated Fuels
SEC. 821. SHORT TITLE.
This subtitle may be cited as the ``Federal Reformulated Fuels Act
of 2002''.
SEC. 822. LEAKING UNDERGROUND STORAGE TANKS.
(a) Use of LUST Funds for Remediation of MTBE Contamination.--
Section 9003(h) of the Solid Waste Disposal Act (42 U.S.C. 6991b(h)) is
amended--
(1) in paragraph (7)(A)--
(A) by striking ``paragraphs (1) and (2) of this
subsection'' and inserting ``paragraphs (1), (2), and
(12)''; and
(B) by inserting ``and section 9010'' before
``if''; and
(2) by adding at the end the following:
``(12) Remediation of MTBE Contamination.--
``(A) In general.--The Administrator and the States
may use funds made available under section 9011(1) to
carry out corrective actions with respect to a release
of methyl tertiary butyl ether that presents a threat
to human health, welfare, or the environment.
``(B) Applicable authority.--Subparagraph (A) shall
be carried out--
``(i) in accordance with paragraph (2); and
``(ii) in the case of a State, in
accordance with a cooperative agreement entered
into by the Administrator and the State under
paragraph (7).''.
(b) Release Prevention and Compliance.--Subtitle I of the Solid
Waste Disposal Act (42 U.S.C. 6991 et seq.) is amended by striking
section 9010 and inserting the following:
``SEC. 9010. RELEASE PREVENTION AND COMPLIANCE.
``Funds made available under section 9011(2) from the Leaking
Underground Storage Tank Trust Fund may be used for conducting
inspections, or for issuing orders or bringing actions under this
subtitle--
``(1) by a State (pursuant to section 9003(h)(7)) acting
under--
``(A) a program approved under section 9004; or
``(B) State requirements regulating underground
storage tanks that are similar or identical to this
subtitle; and
``(2) by the Administrator, acting under this subtitle or a
State program approved under section 9004.
``SEC. 9011. AUTHORIZATION OF APPROPRIATIONS.
``In addition to amounts made available under section 2007(f),
there are authorized to be appropriated from the Leaking Underground
Storage Tank Trust Fund--
``(1) to carry out section 9003(h)(12), $200,000,000 for
fiscal year 2002, to remain available until expended; and
``(2) to carry out section 9010--
``(A) $50,000,000 for fiscal year 2002; and
``(B) $30,000,000 for each of fiscal years 2003
through 2007.''.
(c) Technical Amendments.--
(1) Section 1001 of the Solid Waste Disposal Act (42 U.S.C.
prec. 6901) is amended by striking the item relating to section
9010 and inserting the following:
``Sec. 9010. Release prevention and compliance.
``Sec. 9011. Authorization of appropriations.''.
(2) Section 9001(3)(A) of the Solid Waste Disposal Act (42
U.S.C. 6991(3)(A)) is amended by striking ``sustances'' and
inserting ``substances''.
(3) Section 9003(f)(1) of the Solid Waste Disposal Act (42
U.S.C. 6991b(f)(1)) is amended by striking ``subsection (c) and
(d) of this section'' and inserting ``subsections (c) and
(d)''.
(4) Section 9004(a) of the Solid Waste Disposal Act (42
U.S.C. 6991c(a)) is amended in the second sentence by striking
``referred to'' and all that follows and inserting ``referred
to in subparagraph (A) or (B), or both, of section 9001(2).''.
(5) Section 9005 of the Solid Waste Disposal Act (42 U.S.C.
6991d) is amended--
(A) in subsection (a), by striking ``study taking''
and inserting ``study, taking'';
(B) in subsection (b)(1), by striking ``relevent''
and inserting ``relevant''; and
(C) in subsection (b)(4), by striking
``Evironmental'' and inserting ``Environmental''.
SEC. 823. AUTHORITY FOR WATER QUALITY PROTECTION FROM FUELS.
(a) In General.--Section 211(c) of the Clean Air Act (42 U.S.C.
7545(c)) is amended--
(1) in paragraph (1)(A)--
(A) by inserting ``fuel or fuel additive or'' after
``Administrator any''; and
(B) by striking ``air pollution which'' and
inserting ``air pollution, or water pollution, that'';
(2) in paragraph (4)(B), by inserting ``or water quality
protection,'' after ``emission control,''; and
(3) by adding at the end the following:
``(5) Ban on the use of mtbe.--Not later than 4 years after
the date of enactment of this paragraph, the Administrator
shall ban use of methyl tertiary butyl ether in motor vehicle
fuel.''.
(b) No Effect on Law Regarding State Authority.--The amendments
made by subsection (a) have no effect on the law in effect on the day
before the date of enactment of this Act regarding the authority of
States to limit the use of methyl tertiary butyl ether in gasoline.
SEC. 824. WAIVER OF OXYGEN CONTENT REQUIREMENT FOR REFORMULATED
GASOLINE.
Section 211(k)(1) of the Clean Air Act (42 U.S.C. 7545(k)(1)) is
amended--
(1) by striking ``Within 1 year after the enactment of the
Clean Air Act Amendments of 1990,'' and inserting the
following:
``(A) In general.--Not later than November 15,
1991,''; and
(2) by adding at the end the following:
``(B) Waiver of oxygen content requirement.--
``(i) Authority of the governor.--
``(I) In general.--Notwithstanding any
other provision of this subsection, a Governor
of a State, upon notification by the Governor
to the Administrator during the 90-day period
beginning on the date of enactment of this
subparagraph, or during the 90-day period
beginning on the date on which an area in the
State becomes a covered area by operation of
the second sentence of paragraph (10)(D), may
waive the application of paragraphs (2)(B) and
(3)(A)(v) to gasoline sold or dispensed in the
State.
``(II) Opt-in areas.--A Governor of
a State that submits an application
under paragraph (6) may, as part of
that application, waive the application
of paragraphs (2)(B) and (3)(A)(v) to
gasoline sold or dispensed in the
State.
``(ii) Treatment as reformulated
gasoline.--In the case of a State for which the
Governor invokes the waiver described in clause
(i), gasoline that complies with all provisions
of this subsection other than paragraphs (2)(B)
and (3)(A)(v) shall be considered to be
reformulated gasoline for the purposes of this
subsection.
``(iii) Effective date of waiver.--A waiver
under clause (i) shall take effect on the
earlier of--
``(I) the date on which the
performance standards under
subparagraph (C) take effect; or
``(II) the date that is 270 days
after the date of enactment of this
subparagraph.
``(C) Maintenance of toxic air pollutant emission
reductions.--
``(i) In general.--As soon as practicable
after the date of enactment of this
subparagraph, the Administrator shall--
``(I) promulgate regulations
consistent with subparagraph (A) and
paragraph (3)(B)(ii) to ensure that
reductions of toxic air pollutant
emissions achieved under the
reformulated gasoline program under
this section before the date of
enactment of this subparagraph are
maintained in States for which the
Governor waives the oxygenate
requirement under subparagraph (B)(i);
or
``(II) determine that the
requirement described in clause (iv)--
``(aa) is consistent with
the bases for performance
standards described in clause
(ii); and
``(bb) shall be deemed to
be the performance standards
under clause (ii) and shall be
applied in accordance with
clause (iii).
``(ii) PADD performance standards.--The
Administrator, in regulations promulgated under
clause (i)(I), shall establish annual average
performance standards for each Petroleum
Administration for Defense District (referred
to in this subparagraph as a ``PADD'') based
on--
``(I) the average of the annual
aggregate reductions in emissions of
toxic air pollutants achieved under the
reformulated gasoline program in each
PADD during calendar years 1999 and
2000, determined on the basis of the
1999 and 2000 Reformulated Gasoline
Survey Data, as collected by the
Administrator; and
``(II) such other information as
the Administrator determines to be
appropriate.
``(iii) Applicability.--
``(I) In general.--The performance
standards under this subparagraph shall
be applied on an annual average
importer or refinery-by-refinery basis
to reformulated gasoline that is sold
or introduced into commerce in a State
for which the Governor waives the
oxygenate requirement under
subparagraph (B)(i).
``(II) More stringent
requirements.--The performance
standards under this subparagraph shall
not apply to the extent that any
requirement under section 202(l) is
more stringent than the performance
standards.
``(III) State standards.--The
performance standards under this
subparagraph shall not apply in any
State that has received a waiver under
section 209(b).
``(IV) Credit program.--The
Administrator shall provide for the
granting of credits for exceeding the
performance standards under this
subparagraph in the same manner as
provided in paragraph (7).
``(iv) Statutory performance standards.--
``(I) In general.--Subject to
subclause (IV), if the regulations
under clause (i)(I) have not been
promulgated by the date that is 270
days after the date of enactment of
this subparagraph, the requirement
described in subclause (III) shall be
deemed to be the performance standards
under clause (ii) and shall be applied
in accordance with clause (iii).
``(II) Publication in federal
register.--Not later than 30 days after
the date of enactment of this
subparagraph, the Administrator shall
publish in the Federal Register, for
each PADD, the percentage equal to the
average of the annual aggregate
reductions in the PADD described in
clause (ii)(I).
``(III) Toxic air pollutant
emissions.--The annual aggregate
emissions of toxic air pollutants from
baseline vehicles when using
reformulated gasoline in each PADD
shall be not greater than--
``(aa) the aggregate
emissions of toxic air
pollutants from baseline
vehicles when using baseline
gasoline in the PADD; reduced
by
``(bb) the quantity
obtained by multiplying the
aggregate emissions described
in item (aa) for the PADD by
the percentage published under
subclause (II) for the PADD.
``(IV) Subsequent regulations.--
Through promulgation of regulations
under clause (i)(I), the Administrator
may modify the performance standards
established under subclause (I) to
require each PADD to achieve a greater
percentage reduction than the
percentage published under subclause
(II) for the PADD.''.
SEC. 825. PUBLIC HEALTH AND ENVIRONMENTAL IMPACTS OF FUELS AND FUEL
ADDITIVES.
Section 211(b) of the Clean Air Act (42 U.S.C. 7545(b)) is
amended--
(1) in paragraph (2)--
(A) by striking ``may also'' and inserting ``shall,
on a regular basis,''; and
(B) by striking subparagraph (A) and inserting the
following:
``(A) to conduct tests to determine potential
public health and environmental effects of the fuel or
additive (including carcinogenic, teratogenic, or
mutagenic effects); and''; and
(2) by adding at the end the following:
``(4) Ethyl tertiary butyl ether.--
``(A) In general.--Not later than 2 years after the
date of enactment of this paragraph, the Administrator
shall--
``(i) conduct a study on the effects on
public health, air quality, and water resources
of increased use of, and the feasibility of
using as substitutes for methyl tertiary butyl
ether in gasoline--
``(I) ethyl tertiary butyl ether;
and
``(II) other ethers, as determined
by the Administrator; and
``(ii) submit to the Committee on Energy
and Commerce of the House of Representatives
and the Committee on Environment and Public
Works of the Senate a report describing the
results of the study.
``(B) Contracts for study.--In carrying out this
paragraph, the Administrator may enter into 1 or more
contracts with nongovernmental entities.''.
SEC. 826. ANALYSES OF MOTOR VEHICLE FUEL CHANGES.
Section 211 of the Clean Air Act (42 U.S.C. 7545) is amended--
(1) by redesignating subsection (o) as subsection (p); and
(2) by inserting after subsection (n) the following:
``(o) Analyses of Motor Vehicle Fuel Changes and Emissions Model.--
``(1) Anti-backsliding analysis.--
``(A) Draft analysis.--Not later than 4 years after
the date of enactment of this subsection, the
Administrator shall publish for public comment a draft
analysis of the changes in emissions of air pollutants
and air quality due to the use of motor vehicle fuel
and fuel additives resulting from implementation of the amendments made
by the Federal Reformulated Fuels Act of 2002.
``(B) Final analysis.--After providing a reasonable
opportunity for comment but not later than 5 years
after the date of enactment of this subsection, the
Administrator shall publish the analysis in final form.
``(2) Emissions model.--For the purposes of this
subsection, as soon as the necessary data are available, the
Administrator shall develop and finalize an emissions model
that reasonably reflects the effects of fuel characteristics or
components on emissions from vehicles in the motor vehicle
fleet during calendar year 2005.''.
SEC. 827. ADDITIONAL OPT-IN AREAS UNDER REFORMULATED GASOLINE PROGRAM.
Section 211(k)(6) of the Clean Air Act (42 U.S.C. 7545(k)(6)) is
amended--
(1) by striking ``(6) Opt-in areas.--(A) Upon'' and
inserting the following:
``(6) Opt-in areas.--
``(A) Classified areas.--
``(i) In general.--Upon'';
(2) in subparagraph (B), by striking ``(B) If'' and
inserting the following:
``(ii) Effect of insufficient domestic
capacity to produce reformulated gasoline.--
If'';
(3) in subparagraph (A)(ii) (as so redesignated)--
(A) in the first sentence, by striking
``subparagraph (A)'' and inserting ``clause (i)''; and
(B) in the second sentence, by striking ``this
paragraph'' and inserting ``this subparagraph''; and
(4) by adding at the end the following:
``(B) Nonclassified areas.--
``(i) In general.--In accordance with
section 110, a State may submit to the
Administrator, and the Administrator may
approve, a State implementation plan revision
that provides for application of the
prohibition specified in paragraph (5) in any
portion of the State that is not a covered area
or an area referred to in subparagraph (A)(i).
``(ii) Period of effectiveness.--Under
clause (i), the State implementation plan shall
establish a period of effectiveness for
applying the prohibition specified in paragraph
(5) to a portion of a State that--
``(I) commences not later than 1
year after the date of approval by the
Administrator of the State
implementation plan; and
``(II) ends not earlier than 4
years after the date of commencement
under subclause (I).''.
SEC. 828. MTBE MERCHANT PRODUCER CONVERSION ASSISTANCE.
Section 211(c) of the Clean Air Act (42 U.S.C. 7545(c)) (as amended
by section 823(a)(3)) is amended by adding at the end the following:
``(6) MTBE merchant producer conversion assistance.--
``(A) In general.--The Administrator may make
grants to merchant producers of methyl tertiary butyl
ether in the United States to assist the producers in
the conversion of eligible production facilities
described in subparagraph (B) to the production of
other fuel additives that--
``(i) will be consumed in nonattainment
areas;
``(ii) will assist the nonattainment areas
in achieving attainment with a national primary
ambient air quality standard;
``(iii) will not degrade air quality or
surface or ground water quality or resources;
and
``(iv) have been registered and tested in
accordance with the requirements of this
section.
``(B) Eligible production facilities.--A production
facility shall be eligible to receive a grant under
this paragraph if the production facility--
``(i) is located in the United States; and
``(ii) produced methyl tertiary butyl ether
for consumption in nonattainment areas during
the period--
``(I) beginning on the date of
enactment of this paragraph; and
``(II) ending on the effective date
of the ban on the use of methyl
tertiary butyl ether under paragraph
(5).
``(C) Authorization of appropriations.--There is
authorized to be appropriated to carry out this
paragraph $250,000,000 for each of fiscal years 2002
through 2004.''.
Subtitle D--Additional Fuel Efficiency Measures
SEC. 831. FUEL EFFICIENCY OF THE FEDERAL FLEET OF AUTOMOBILES.
Section 32917 of title 49, United States Code, is amended to read
as follows:
``Sec. 32917. Standards for executive agency automobiles
``(a) Baseline Average Fuel Economy.--The head of each executive
agency shall determine, for all automobiles in the agency's fleet of
automobiles that were leased or bought as a new vehicle in fiscal year
1999, the average fuel economy for such automobiles. For the purposes
of this section, the average fuel economy so determined shall be the
baseline average fuel economy for the agency's fleet of automobiles.
``(b) Increase of Average Fuel Economy.--The head of an executive
agency shall manage the procurement of automobiles for that agency in
such a manner that--
``(1) not later than September 30, 2003, the average fuel
economy of the new automobiles in the agency's fleet of
automobiles is not less than 1 mile per gallon higher than the
baseline average fuel economy determined under subsection (a)
for that fleet; and
``(2) not later than September 30, 2005, the average fuel
economy of the new automobiles in the agency's fleet of
automobiles is not less than 3 miles per gallon higher than the
baseline average fuel economy determined under subsection (a)
for that fleet.
``(c) Calculation of Average Fuel Economy.--Average fuel economy
shall be calculated for the purposes of this section in accordance with
guidance which the Secretary of Transportation shall prescribe for the
implementation of this section.
``(d) Definitions.--In this section:
``(1) The term `automobile' does not include any vehicle
designed for combat-related missions, law enforcement work, or
emergency rescue work.
``(2) The term `executive agency' has the meaning given
that term in section 105 of title 5.
``(3) The term `new automobile', with respect to the fleet
of automobiles of an executive agency, means an automobile that
is leased for at least 60 consecutive days or bought, by or for
the agency, after September 30, 1999.''.
SEC. 832. ASSISTANCE FOR STATE PROGRAMS TO RETIRE FUEL-INEFFICIENT
MOTOR VEHICLES.
(a) Establishment.--The Secretary shall establish a program, to be
known as the ``National Motor Vehicle Efficiency Improvement Program.''
Under this program, the Secretary shall provide grants to States to
operate programs to offer owners of passenger automobiles and light-
duty trucks manufactured in model years more than 15 years prior to the
fiscal year in which appropriations are made under subsection (d)
financial incentives to voluntarily--
(1) scrap such automobiles and to replace them with
automobiles with higher fuel efficiency; or
(2) repair such vehicles to improve their fuel economy.
(b) State Plan.--Not later than 180 days after the date of
enactment of an appropriations act containing funds authorized under
subsection (d), to be eligible to receive funds under the program, the
Governor of a State shall submit to the Secretary a plan to carry out a
program under this subtitle in that State.
(c) Eligibility Criteria.--The Secretary shall approve a State plan
and provide the funds under subsection (d), if the State plan--
(1) for voluntary vehicle scrappage programs--
(A) requires that all passenger automobiles and
light-duty trucks turned in be scrapped;
(B) requires that prior to scrapping a vehicle, the
state provide public notification of the intent to
scrap and allow for the salvage of valuable parts from
the vehicle;
(C) requires that all passenger automobiles and
light-duty trucks turned in be currently registered in
the State in order to be eligible;
(D) requires that all passenger automobiles and
light-duty trucks turned in be operational at the time
that they are turned in;
(E) restricts automobile owners (except not-for-
profit organizations) from turning in more than one
passenger automobile and one light-duty truck in a 12-
month period;
(F) provides an appropriate payment to the person
recycling the scrapped passenger automobile or light-
duty truck for each turned-in passenger automobile or
light-duty truck;
(G) provides a minimum payment to the automobile
owner for each passenger automobile and light-duty
truck turned in;
(H) provides, in addition to the payment under
subparagraph (G), an additional credit that may be
redeemed by the owner of the turned-in passenger
automobile or light-duty truck at the time of purchase
of new fuel-efficient automobile; and
(I) estimates the fuel efficiency benefits of the
program, and reports the estimated results to the
Secretary annually; and
(2) for voluntary vehicle repair programs--
(A) requires the vehicle owner contribute at least
20 percent of the cost of the repairs;
(B) sets a ceiling beyond which the vehicle owner
is responsible for the cost of repairs;
(C) allows the vehicle owner to opt out of the
program if the cost of the repairs is considered to be
too great; and
(D) estimates the fuel economy benefits of the
program and reports the estimated results to the
Secretary annually.
(d) Authorization of Appropriations.--There are hereby authorized
to be appropriated to the Secretary to carry out this section such sums
as may be necessary, to remain available until expended.
(e) Allocation Formula.--The amounts appropriated pursuant to
subsection (d) shall be allocated among the States on the basis of the
population of the States as contained in the most recent reliable
census data available from the Bureau of the Census, Department of
Commerce, for all States at the time that the Secretary needs to
compute shares under this subsection.
(f) Definitions.--In this section:
(1) Automobile.--The term ``automobile'' has the meaning
given such term in section 32901(3) of title 49, United States
Code.
(2) Fuel-efficient automobile.--
(A) The term ``fuel-efficient automobile'' means a
passenger automobile or a light-duty truck that has an
average fuel economy greater than the average fuel
economy standard prescribed pursuant to section 32902
of title 49, United States Code, or other law,
applicable to such passenger automobile or light-duty
truck.
(B) The term ``average fuel economy'' has the
meaning given such term in section 32901(5) of title
49, United States Code.
(C) The term ``average fuel economy standard'' has
the meaning given such term in section 32901(6) of
title 49, United States Code.
(D) The term ``fuel economy'' has the meaning given
such term in section 32901(10) of title 49, United
States Code.
(3) Light-duty truck.--The term ``light-duty truck'' means
an automobile that is not a passenger automobile. Such term
shall include a pickup truck, a van, or a four-wheel-drive
general utility vehicle, as those terms are defined in section
600.002-85 of title 40, Code of Federal Regulations.
(4) Passenger automobile.--The term ``passenger
automobile'' has the meaning given such term by section
32901(16) of title 49, United States Code.
(5) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(6) State.--The term ``State'' means any of the several
States and the District of Columbia.
SEC. 833. IDLING REDUCTION SYSTEMS IN HEAVY DUTY VEHICLES.
Title III of the Energy Policy and Conservation Act (42 U.S.C. 6291
et seq.) is amended by adding at the end the following:
``PART K--REDUCING TRUCK IDLING
``SEC. 400AAA. REDUCING TRUCK IDLING.
``(a) Study.--Not later than 18 months after the date of enactment
of this section, the Secretary shall, in consultation with the
Secretary of Transportation, commence a study to analyze the potential
fuel savings resulting from long duration idling of main drive engines
in heavy-duty vehicles.
``(b) Regulations.--Upon completion of the study under subsection
(a), the Secretary may issue regulations requiring the installation of
idling reduction systems on all newly manufactured heavy duty vehicles.
``(c) Definitions.--As used in this section:
``(1) The term `heavy-duty vehicle' means a vehicle that
has a gross vehicle weight rating greater than 8,500 pounds and
is powered by a diesel engine.
``(2) The term `idling reduction system' means a device or
system of devices used to reduce long duration idling of a
diesel engine in a vehicle.
``(3) The term `long duration idling' means the operation
of a main drive engine of a heavy-duty vehicle for a period of
more than 15 consecutive minutes when the main drive engine is
not engaged in gear, except that such term does not include
idling as a result of traffic congestion or other impediments
to the movement of a heavy-duty vehicle.
``(4) The term `vehicle' has the meaning given such term in
section 4 of title 1, United States Code.''.
TITLE IX--ENERGY EFFICIENCY AND ASSISTANCE TO LOW INCOME CONSUMERS
Subtitle A--Low Income Assistance and State Energy Programs
SEC. 901. INCREASED FUNDING FOR LIHEAP, WEATHERIZATION ASSISTANCE, AND
STATE ENERGY GRANTS.
(a) LIHEAP.--(1) Section 2602(b) of the Low-Income Home Energy
Assistance Act of 1981 (42 U.S.C. 8621(b)) is amended by striking the
first sentence and inserting the following: ``There are authorized to
be appropriated to carry out the provisions of this title (other than
section 2607A), $3,400,000,000 for each of fiscal years 2003 through
2005.''.
(2) Section 2602(e) of the Low-Income Home Energy Assistance Act of
1981 (42 U.S.C. 8621(e) is amended by striking ``$600,000,000'' and
inserting ``$1,000,000,000''.
(3) Section 2609A(a) of the Low-Income Energy Assistance Act of
1981 (42 U.S.C. 8628a(a)) is amended by striking ``not more than
$300,000'' and inserting: ``not more than $750,000''.
(b) Weatherization Assistance.--Section 422 of the Energy
Conservation and Production Act (42 U.S.C. 6872) is amended by striking
``for fiscal years 1999 through 2003 such sums as may be necessary.''
and inserting: ``$325,000,000 for fiscal year 2003, $400,000,000 for
fiscal year 2004, and $500,000,000 for fiscal year 2005.''.
SEC. 902. STATE ENERGY PROGRAMS.
(a) State Energy Conservation Plans.--Section 362 of the Energy
Policy and Conservation Act (42 U.S.C. 6322)) is amended by adding at
the end the following:
``(g) The Secretary shall, at least once every three years, invite
the Governor of each State to review and, if necessary, revise the
energy conservation plan of the State submitted under subsection (b) or
(e). Such reviews should consider the energy conservation plans of
other States within the region, and identify opportunities and actions
that may be carried out in pursuit of common energy conservation
goals.''.
(b) State Energy Conservation Goals.--Section 364 of the Energy
Policy and Conservation Act (42 U.S.C. 6324) is amended to read as
follows:
``Sec. 364. Each State energy conservation plan with respect to
which assistance is made available under this part on or after the date
of enactment of the Energy Policy Act of 2002 shall contain a goal,
consisting of an improvement of 25 percent or more in the efficiency of
use of energy in the State concerned in calendar year 2010 as compared
to calendar year 1990, and may contain interim goals.''.
(c) State Energy Conservation Grants.--Section 365(f) of the Energy
Policy and Conservation Act (42 U.S.C. 6325(f)) is amended by striking
``for fiscal years 1999 through 2003 such sums as may be necessary.''
and inserting: ``$100,000,000 for each of fiscal years 2003 and 2004;
$125,000,000 for fiscal year 2005; and such sums as may be necessary
for each fiscal year thereafter.''.
SEC. 903. ENERGY EFFICIENT SCHOOLS.
(a) Establishment.--There is established in the Department of
Energy the High Performance Schools Program (in this section referred
to as the ``Program'').
(b) Grants.--The Secretary of Energy may make grants to a State
energy office--
(1) to assist school districts in the State to improve the
energy efficiency of school buildings;
(2) to administer the Program; and
(3) to promote participation in the Program.
(c) Grants To Assist School Districts.--The Secretary shall
condition grants under subsection (b)(1) on the State energy office
using the grants to assist school districts that have demonstrated--
(1) a need for the grants to build additional school
buildings to meet increasing elementary or secondary
enrollments or to renovate existing school buildings; and
(2) a commitment to use the grant funds to develop high
performance school buildings in accordance with a plan that the
State energy office, in consultation with the State educational
agency, has determined is feasible and appropriate to achieve
the purposes for which the grant is made.
(d) Grants for Administration.--Grants under subsection (b)(2)
shall be used to--
(1) evaluate compliance by school districts with
requirements of this section;
(2) distribute information and materials to clearly define
and promote the development of high performance school
buildings for both new and existing facilities;
(3) organize and conduct programs for school board members,
school personnel, architects, engineers, and others to advance
the concepts of high performance school buildings;
(4) obtain technical services and assistance in planning
and designing high performance school buildings; or
(5) collect and monitor data and information pertaining to
the high performance school building projects.
(e) Grants To Promote Participation.--Grants under subsection
(b)(3) shall be used for promotional and marketing activities,
including facilitating private and public financing, promoting the use
of energy savings performance contracts, working with school
administrations, students, and communities, and coordinating public
benefit programs.
(f) Supplementing Grant Funds.--The State energy office shall
encourage qualifying school districts to supplement funds awarded
pursuant to this section with funds from other sources in the
implementation of their plans.
(g) Allocations.--Except as provided in subsection (h),
funds appropriated to carry out this section shall be allocated
as follows:
(1) 70 percent shall be used to make grants under
subsection (b)(1);
(2) 15 percent shall be used to make grants under
subsection (b)(2); and
(3) 15 percent shall be used to make grants under
subsection (b)(3).
(h) Other Funds.--The Secretary of Energy may retain an amount, not
to exceed $300,000 per year, to assist State energy offices in
coordinating and implementing the Program. Such funds may be used to
develop reference materials to further define the principles and
criteria to achieve high performance school buildings.
(i) Authorization of Appropriations.--For grants under subsection
(b) there are authorized to be appropriated--
(1) $200,000,000 for fiscal year 2003;
(2) $210,000,000 for fiscal year 2004;
(3) $220,000,000 for fiscal year 2005;
(4) $230,000,000 for fiscal year 2006; and
(5) such sums as may be necessary for fiscal year 2007 and
each fiscal year thereafter through fiscal year 2012.
(j) Definitions.--For purposes of this section:
(1) High performance school building.--The term ``high
performance school building'' means a school building that, in
its design, construction, operation, and maintenance--
(A) maximizes use of renewable energy and energy-
efficient technologies and systems;
(B) is cost-effective on a life-cycle basis;
(C) achieves either--
(i) the applicable Energy Star building
energy performance ratings, or
(ii) energy consumption levels at least 30
percent below those of the most recent version
of ASHRAE Standard 90.1;
(D) uses affordable, environmentally preferable,
and durable materials;
(E) enhances indoor environmental quality;
(F) protects and conserves water; and
(G) optimizes site potential.
(2) Renewable energy.--The term ``renewable energy'' means
energy produced by solar, wind, biomass, ocean, geothermal, or
hydroelectric power.
(3) School.--The term ``school'' means--
(A) an ``elementary school'' as that term is
defined in section 14101(14) of the Elementary and
Secondary Education Act of 1965 (20 U.S.C. 8801(14)),
(B) a ``secondary school'' as that term is defined
in section 14101(25) of the Elementary and Secondary
Education Act of 1965 (20 U.S.C. 8801(25)), or
(C) an elementary or secondary Indian school funded
by the Bureau of Indian Affairs.
(4) State educational agency.--The term ``State educational
agency'' has the same meaning given such term in section
14101(28) of the Elementary and Secondary Education Act of 1965
(20 U.S.C. 8801(28)).
(5) State energy office.--The term ``State energy office''
means the State agency responsible for developing State energy
conservation plans under section 362 of the Energy Policy and
Conservation Act (42 U.S.C. 6322), or, if no such agency
exists, a State agency designated by the Governor of the State.
SEC. 904. LOW INCOME COMMUNITY ENERGY EFFICIENCY PILOT PROGRAM.
(a) Grants.--The Secretary of Energy is authorized to make grants
to private, non-profit community development organizations and Indian
tribe economic development entities to improve energy efficiency,
identify and develop alternative renewable and distributed energy
supplies, and increase energy conservation in low income rural and
urban communities.
(b) Purpose of Grants.--The Secretary may make grants on a
competitive basis to a community development organization for--
(1) investments that develop alternative renewable and
distributed energy supplies;
(2) energy efficiency projects and energy conservation
programs;
(3) studies and other activities that improve energy
efficiency in low income rural and urban communities;
(4) planning and development assistance for increasing the
energy efficiency of buildings and facilities; and
(5) technical and financial assistance to local government
and private entities on developing new renewable and
distributed sources of power or combined heat and power
generation.
(c) Definition.--For purposes of this section, the term ``Indian
tribe'' means any Indian tribe, band, nation, or other organized group
or community, including any Alaskan Native Village or regional or
village corporation as defined in or established pursuant to the Alaska
Native Claims Settlement Act (43 U.S.C. 1601 et seq.), which is
recognized as eligible for the special programs and services provided
by the United States to Indians because of their status as Indians.
(d) Authorization of Appropriations.--For the purposes of this
section there are authorized to be appropriated to the Secretary of
Energy an amount not to exceed $10 million for fiscal year 2003 and
each fiscal year thereafter through fiscal year 2005.
Subtitle B--Federal Energy Efficiency
SEC. 911. ENERGY MANAGEMENT REQUIREMENTS.
(a) Energy Reduction Goals.--Section 543(a)(1) of the National
Energy Conservation Policy Act (42 U.S.C. 8253(a)(1)) is amended to
read as follows:
``(1) Subject to paragraph (2), each agency shall apply
energy conservation measures to, and shall improve the design
for the construction of, the Federal buildings of the agency
(including each industrial or laboratory facility) so that the
energy consumption per gross square foot of the Federal
buildings of the agency in fiscal years 2002 through 2011 is
reduced, as compared with the energy consumption per gross
square foot of the Federal buildings of the agency in fiscal
year 2000, by the percentage specified in the following table:
``Fiscal Year Percentage reduction
2002....................................... 2
2003....................................... 4
2004....................................... 6
2005....................................... 8
2006....................................... 10
2007....................................... 12
2008....................................... 14
2009....................................... 16
2010....................................... 18
2011....................................... 20.''.
(b) Review and Revision of Energy Performance Requirement.--Section
543(a) of the National Energy Conservation Policy Act (42 U.S.C.
8253(a)) is further amended by adding at the end the following:
``(3) Not later than December 31, 2010, the Secretary shall
review the results of the implementation of the energy
performance requirement established under paragraph (1) and
submit to Congress recommendations concerning energy
performance requirements for calendar years 2012 through
2021.''.
(c) Exclusions.--Section 543(c)(1) of the National Energy
Conservation Policy Act (42 U.S.C. 8253(c)(1)) is amended to read as
follows:
``(1)(A) An agency may exclude, from the energy performance
requirement for a calendar year established under subsection
(a) and the energy management requirement established under
subsection (b), any Federal building or collection of Federal
buildings, if the head of the agency finds that--
``(i) compliance with those requirements would be
impracticable;
``(ii) the agency has completed and submitted all
federally required energy management reports;
``(iii) the agency has achieved compliance with the
energy efficiency requirements of this Act, the Energy
Policy Act of 1992, Executives Orders, and other
federal law; and
``(iv) the agency has implemented all practicable,
life-cycle cost-effective projects with respect to the
Federal building or collection of Federal buildings to
be excluded.
``(B) A finding of impracticability under subparagraph
(A)(i) shall be based on--
``(i) the energy intensiveness of activities
carried out in the Federal building or collection of
Federal buildings; or
``(ii) the fact that the Federal building or
collection of Federal buildings is used in the
performance of a national security function.''.
(d) Review by Secretary.--Section 543(c)(2) of the National Energy
Conservation Policy Act (42 U.S.C. 8253(c)(2)) is amended--
(1) by striking ``impracticability standards'' and
inserting ``standards for exclusion''; and
(2) by striking ``a finding of impracticability'' and
inserting ``the exclusion''.
(e) Criteria.--Section 543(c) of the National Energy Conservation
Policy Act (42 U.S.C. 8253(c)) is further amended by adding at the end
the following:
``(3) Not later than 180 days after the date of enactment
of this paragraph, the Secretary shall issue guidelines that
establish criteria for exclusions under paragraph (1).''.
(f) Reports.--Section 548(b) of the National Energy Conservation
Policy Act (42 U.S.C. 8258(b)) is amended--
(1) in the subsection heading, by inserting ``The President
and'' before ``Congress''; and
(2) by inserting ``President and'' before ``Congress''.
(g) Conforming Amendment.--Section 550(d) of the National Energy
Conservation Policy Act (42 U.S.C. 8258b(d)) is amended in the second
sentence by striking ``the 20 percent reduction goal established under
section 543(a) of the National Energy Conservation Policy Act (42
U.S.C. 8253(a)).'' and inserting ``each of the energy reduction goals
established under section 543(a).''.
SEC. 912. ENERGY USE MEASUREMENT AND ACCOUNTABILITY.
Section 543 of the National Energy Conservation Policy Act (42
U.S.C. 8253) is further amended by adding at the end the following:
``(e) Metering of Energy Use.--
``(1) Deadline.--By October 1, 2004, all Federal buildings
shall be metered or submetered in accordance with guidelines
established by the Secretary under paragraph (2).
``(2) Guidelines.--
``(A) In general.--Not later than 180 days after
the date of enactment of this subsection, the
Secretary, in consultation with the Department of
Defense, the General Service Administration and
representatives from the metering industry, energy
services industry, national laboratories, universities
and federal facility energy managers, shall establish
guidelines for agencies to carry out paragraph (1).
``(B) Requirements for guidelines.--The guidelines
shall--
``(i) take into consideration--
``(I) the cost of metering and
submetering and the reduced cost of
operation and maintenance expected to
result from metering and submetering;
``(II) the extent to which metering
and submetering are expected to result
in increased potential for energy
management, increased potential for
energy savings and energy efficiency
improvement, and cost and energy
savings due to utility contract
aggregation; and
``(III) the measurement and
verification protocols of the
Department of Energy;
``(ii) include recommendations concerning
the amount of funds and the number of trained
personnel necessary to gather and use the
metering information to track and reduce energy
use;
``(iii) establish 1 or more dates, not
later than 1 year after the date of issuance of
the guidelines, on which the requirement
specified in paragraph (1) shall take effect;
and
``(iv) establish exclusions from the
requirement specified in paragraph (1) based on
the de minimus quantity of energy use of a
Federal building, industrial process, or
structure.
``(f) Use of Energy Consumption Data in Federal Buildings.--
``(1) In general.--Beginning not later than January 1,
2003, each agency shall use, to the maximum extent practicable,
for the purposes of efficient use of energy and reduction in
the cost of electricity used in the Federal buildings of the
agency, interval consumption data that measure on a real-time
or daily basis consumption of electricity in the Federal
buildings of the agency.
``(2) Plan.--As soon as practicable after the date of
enactment of this subsection, in a report submitted by the
agency under section 548(a), each agency shall submit to the
Secretary a plan describing how the agency will implement the
requirement of paragraph (1), including how the agency will
designate personnel primarily responsible for achieving the
requirement.''.
SEC. 913. FEDERAL BUILDING PERFORMANCE STANDARDS.
(a) Revised Standards.--Section 305(a) of the Energy Conservation
and Production Act (42 U.S.C. 6834(a)) is amended--
(1) in paragraph (2)(A), by striking ``CABO Model Energy
Code, 1992'' and inserting ``the 2000 International Energy
Conservation Code''; and
(2) by adding at the end the following:
``(3) Revised federal building energy efficiency
performance standards.--
``(A) In general.--Not later than 1 year after the
date of enactment of this paragraph, the Secretary of
Energy shall establish, by rule, revised Federal
building energy efficiency performance standards that
require that, if cost-effective--
``(i) new commercial buildings and
multifamily high rise residential buildings be
constructed so as to achieve the applicable
Energy Star building energy performance ratings
or energy consumption levels at least 30
percent below those of the most recent ASHRAE
Standard 90.1, whichever results in the greater
increase in energy efficiency;
``(ii) new residential buildings (other
than those described in clause (i)) be
constructed so as to achieve the applicable
Energy Star building energy performance ratings
or achieve energy consumption levels at least
30 percent below the requirements of the most
recent version of the International Energy
Conservation Code, whichever results in the
greater increase in energy efficiency; and
``(iii) sustainable design principles are
applied to the siting, design, and construction
of all new and replacement buildings.
``(B) Additional revisions.--Not later than 1 year
after the date of approval of amendments to ASHRAE
Standard 90.1 or the 2000 International Energy
Conservation Code, the Secretary of Energy shall
determine, based on the cost-effectiveness of the
requirements under the amendments, whether the revised
standards established under this paragraph should be
updated to reflect the amendments.
``(C) Statement on compliance of new buildings.--In
the budget request of the Federal agency for each
fiscal year and each report submitted by the Federal
agency under section 548(a) of the National Energy
Conservation Policy Act (42 U.S.C. 8258(a)), the head
of each Federal agency shall include--
``(i) a list of all new Federal buildings
of the Federal agency; and
``(ii) a statement concerning whether the
Federal buildings meet or exceed the revised
standards established under this paragraph,
including a monitoring and commissioning report
that is in compliance with the measurement and
verification protocols of the Department of
Energy.
``(D) Authorization of appropriations.--There are
authorized to be appropriated such sums as are
necessary to carry out this paragraph and to implement
the revised standards established under this
paragraph.''.
(b) Energy Labeling Program.--Section 305(a) of the Energy
Conservation and Production Act (42 U.S.C. 6834(a)) is further amended
by adding at the end the following:
``(e) Energy Labeling Program.--The Secretary of Energy, in
cooperation with the Administrator of the Environmental Protection
Agency, shall develop an energy labeling program for new Federal
buildings that exceed the revised standards established under
subsection (a)(3) by 15 percent or more.''.
SEC. 914. PROCUREMENT OF ENERGY EFFICIENT PRODUCTS.
(a) Requirements.--Part 3 of title V of the National Energy
Conservation Policy Act is amended by adding at the end the following:
``SEC. 552. FEDERAL PROCUREMENT OF ENERGY EFFICIENT PRODUCTS.
``(a) Definitions.--In this section:
``(1) Energy star product.--The term `Energy Star product'
means a product that is rated for energy efficiency under an
Energy Star program.
``(2) Energy star program.--The term `Energy Star program'
means the program established by section 324A of the Energy
Policy and Conservation Act.
``(3) Executive agency.--The term `executive agency' has
the meaning given the term in section 4 of the Office of
Federal Procurement Policy Act (41 U.S.C. 403).
``(4) FEMP designated product.--The term `FEMP designated
product' means a product that is designated under the Federal
Energy Management Program of the Department of Energy as being
among the highest 25 percent of equivalent products for energy
efficiency.
``(b) Procurement of Energy Efficient Products.--
``(1) Requirement.--To meet the requirements of an
executive agency for an energy consuming product, the head of
the executive agency shall, except as provided in paragraph
(2), procure--
``(A) an Energy Star product; or
``(B) a FEMP designated product.
``(2) Exceptions.--The head of an executive agency is not
required to procure an Energy Star product or FEMP designated
product under paragraph (1) if--
``(A) an Energy Star product or FEMP designated
product is not cost effective over the life cycle of
the product; or
``(B) no Energy Star product or FEMP designated
product is reasonably available that meets the
requirements of the executive agency.
``(3) Procurement planning.--The head of an executive
agency shall incorporate into the specifications for all
procurements involving energy consuming products and systems,
and into the factors for the evaluation of offers received for
the procurement, criteria for energy efficiency that are
consistent with the criteria used for rating Energy Star
products and for rating FEMP designated products.
``(c) Listing of Energy Efficient Products in Federal Catalogs.--
Energy Star and FEMP designated products shall be clearly identified
and prominently displayed in any inventory or listing of products by
the General Services Administration or the Defense Logistics Agency.''.
(b) Conforming Amendment.--The table of contents in section 1(b) of
the National Energy Conservation Policy Act (42 U.S.C. 8201 note) is
amended by inserting after the item relating to section 551 the
following:
``Sec. 552. Federal Government procurement of energy efficient
products.''.
(c) Regulations.--Not later than 180 days after the effective date
specified in subsection (f), the Secretary of Energy shall issue
guidelines to carry out section 552 of the National Energy Conservation
Policy Act (as added by subsection (a)).
(d) Designation of Energy Star Products.--The Administrator of the
Environmental Protection Agency and the Secretary of Energy shall
expedite the process of designating products as Energy Star products
(as defined in section 552 of the National Energy Conservation Policy
Act (as added by subsection (a)).
(e) Designation of Electric Motors.--In the case of electric motors
of 1 to 500 horsepower, agencies shall select only premium efficient
motors that meet a standard designated by the Secretary. The Secretary
shall designate such a standard within 120 days of the enactment of
this paragraph, after considering the recommendations of associated
electric motor manufacturers and energy efficiency groups.
(f) Effective Date.--Subsection (a) and the amendment made by that
subsection take effect on the date that is 180 days after the date of
enactment of this Act.
SEC. 915. REPEAL OF ENERGY SAVINGS PERFORMANCE CONTRACT SUNSET.
Section 801(c) of the National Energy Conservation Policy Act (42
U.S.C. 8287(c)) is repealed.
SEC. 916. ENERGY SAVINGS PERFORMANCE CONTRACT DEFINITIONS.
(a) Energy Savings.--Section 804(2) of the National Energy
Conservation Policy Act (42 U.S.C. 8287c(2)) is amended to read as
follows:
``(2) The term energy savings means a reduction in the cost
of energy or water, from a base cost established through a
methodology set forth in the contract, used in an existing
federally owned building or buildings or other federally owned
facilities as a result of--
``(A) the lease or purchase of operating equipment,
improvements, altered operation and maintenance, or
technical services;
``(B) the increased efficient use of existing
energy sources by cogeneration or heat recovery,
excluding any cogeneration process for other than a
federally owned building or buildings or other
federally owned facilities; or
``(C) the increased efficient use of existing water
sources.''.
(b) Energy Savings Contract.--Section 804(3) of the National Energy
Conservation Policy Act (42 U.S.C. 8287c(3)) is amended to read as
follows:
``(3) The terms `energy savings contract' and `energy
savings performance contract' mean a contract which provides
for the performance of services for the design, acquisition,
installation, testing, operation, and, where appropriate,
maintenance and repair, of an identified energy or water
conservation measure or series of measures at one or more
locations.''.
(c) Energy or Water Conservation Measure.--Section 804(4) of the
National Energy Conservation Policy Act (42 U.S.C. 8287c(4)) is amended
to read as follows:
``(4) The term `energy or water conservation measure'
means--
``(A) an energy conservation measure, as defined in
section 551(4) (42 U.S.C. 8259(4)); or
``(B) a water conservation measure that improves
water efficiency, is life cycle cost effective, and
involves water conservation, water recycling or reuse,
more efficient treatment of wastewater or stormwater,
improvements in operation or maintenance efficiencies,
retrofit activities or other related activities, not at
a Federal hydroelectric facility.''.
SEC. 917. REVIEW OF ENERGY SAVINGS PERFORMANCE CONTRACT PROGRAM.
Within 180 days after the date of the enactment of this Act, the
Secretary of Energy shall complete a review of the Energy Savings
Performance Contract program to identify statutory, regulatory, and
administrative obstacles that prevent Federal agencies from fully
utilizing the program. In addition, this review shall identify all
areas for increasing program flexibility and effectiveness, including
audit and measurement verification requirements, accounting for energy
use in determining savings, contracting requirements, and energy
efficiency services covered. The Secretary shall report these findings
to the Committee on Energy and Commerce of the House of Representatives
and the Committee on Energy and Natural Resources of the Senate, and
shall implement identified administrative and regulatory changes to
increase program flexibility and effectiveness to the extent that such
changes are consistent with statutory authority.
SEC. 918. FEDERAL ENERGY BANK.
Part 3 of title V of the National Energy Conservation Policy Act is
amended by adding at the end the following:
``SEC. 553. FEDERAL ENERGY BANK.
``(a) Definitions.--In this section:
``(1) Bank.--The term `Bank' means the Federal Energy Bank
established by subsection (b).
``(2) Energy or water efficiency project.--The term `energy
or water efficiency project' means a project that assists a
Federal agency in meeting or exceeding the energy or water
efficiency requirements of--
``(A) this part;
``(B) title VIII;
``(C) subtitle F of title I of the Energy Policy
Act of 1992 (42 U.S.C. 8262 et seq.); or
``(D) any applicable Executive order, including
Executive Order No. 13123.
``(3) Federal agency.--The term `Federal agency' means--
``(A) an Executive agency (as defined in section
105 of title 5, United States Code);
``(B) the United States Postal Service;
``(C) Congress and any other entity in the
legislative branch; and
``(D) a Federal court and any other entity in the
judicial branch.
``(b) Establishment of Bank.--
``(1) In general.--There is established in the Treasury of
the United States a fund to be known as the `Federal Energy
Bank', consisting of--
``(A) such amounts as are deposited in the Bank
under paragraph (2);
``(B) such amounts as are repaid to the Bank under
subsection (c)(2)(D); and
``(C) any interest earned on investment of amounts
in the Bank under paragraph (3).
``(2) Deposits in bank.--
``(A) In general.--Subject to the availability of
appropriations and to subparagraph (B), the Secretary
of the Treasury shall deposit in the Bank an amount
equal to $250,000,000 in fiscal year 2003 and in each
fiscal year thereafter.
``(B) Maximum amount in bank.--Deposits under
subparagraph (A) shall cease beginning with the fiscal
year following the fiscal year in which the amounts in
the Bank (including amounts on loan from the Bank)
become equal to or exceed $1,000,000,000.
``(3) Investment of amounts.--The Secretary of the Treasury
shall invest such portion of the Bank as is not, in the
judgment of the Secretary, required to meet current
withdrawals. Investments may be made only in interest-bearing
obligations of the United States.
``(c) Loans From the Bank.--
``(1) In general.--The Secretary of the Treasury shall
transfer from the Bank to the Secretary such amounts as are
appropriated to carry out the loan program under paragraph (2).
``(2) Loan program.--
``(A) Establishment.--
``(i) In general.--In accordance with
subsection (d), the Secretary, in consultation
with the Secretary of Defense, the
Administrator of General Services, and the
Director of the Office of Management and
Budget, shall establish a program to make loans
of amounts in the Bank to any Federal agency
that submits an application satisfactory to the
Secretary in order to pay the costs of a
project described in subparagraph (C).
``(ii) Commencement of operations.--The
Secretary may begin--
``(I) accepting applications for
loans from the Bank in fiscal year
2002; and
``(II) making loans from the Bank
in fiscal year 2003.
``(B) Energy savings performance contracting
funding.--To the extent practicable, an agency shall
not submit a project for which energy performance
contracting funding is available and is acceptable to
the Federal agency under title VIII.
``(C) Purposes of loan.--
``(i) In general.--A loan from the Bank may
be used to pay--
``(I) the costs of an energy or
water efficiency project, or a
renewable or alternative energy
project, for a new or existing Federal
building (including selection and
design of the project);
``(II) the costs of an energy
metering plan and metering equipment
installed pursuant to section 543(e) or
for the purpose of verification of the
energy savings under an energy savings
performance contract under title VIII;
or
``(III) at the time of contracting,
the costs of cofunding of an energy
savings performance contract (including
a utility energy service agreement) in
order to shorten the payback period of
the project that is the subject of the
energy savings performance contract.
``(ii) Limitation.--A Federal agency may
use not more than 10 percent of the amount of a
loan under subclause (I) or (II) of clause (i)
to pay the costs of administration and proposal
development (including data collection and
energy surveys).
``(iii) Renewable and alternative energy
projects.--Not more than 25 percent of the
amount on loan from the Bank at any time may be
loaned for renewable energy and alternative
energy projects (as defined by the Secretary in
accordance with applicable law (including
Executive Orders)).
``(D) Repayments.--
``(i) In general.--Subject to clauses (ii)
through (iv), a Federal agency shall repay to
the Bank the principal amount of a loan plus
interest at a rate determined by the President,
in consultation with the Secretary and the
Secretary of the Treasury.
``(ii) Waiver or reduction of interest.--
The Secretary may waive or reduce the rate of
interest required to be paid under clause (i)
if the Secretary determines that payment of
interest by a Federal agency at the rate
determined under that clause is not required to
fund the operations of the Bank.
``(iii) Determination of interest rate.--
The interest rate determined under clause (i)
shall be at a rate that is sufficient to ensure
that, beginning not later than October 1, 2007,
interest payments will be sufficient to fully
fund the operations of the Bank.
``(iv) Insufficiency of appropriations.--
``(I) Request for appropriations.--
As part of the budget request of the
Federal agency for each fiscal year,
the head of each Federal agency shall
submit to the President a request for
such amounts as are necessary to make
such repayments as are expected to
become due in the fiscal year under
this subparagraph.
``(II) Suspension of repayment
requirement.--If, for any fiscal year,
sufficient appropriations are not made
available to a Federal agency to make
repayments under this subparagraph, the
Bank shall suspend the requirement of
repayment under this subparagraph until
such appropriations are made available.
``(E) Federal agency energy budgets.--Until a loan
is repaid, a Federal agency budget submitted by the
President to Congress for a fiscal year shall not be
reduced by the value of energy savings accrued as a
result of any energy conservation measure implemented
using amounts from the Bank.
``(F) No rescission or reprogramming.--A Federal
agency shall not rescind or reprogram loan amounts made
available from the Bank except as permitted under
guidelines issued under subparagraph (G).
``(G) Guidelines.--The Secretary shall issue
guidelines for implementation of the loan program under
this paragraph, including selection criteria, maximum
loan amounts, and loan repayment terms.
``(d) Selection Criteria.--
``(1) In general.--The Secretary shall establish criteria
for the selection of projects to be awarded loans in accordance
with paragraph (2).
``(2) Selection criteria.--
``(A) In general.--The Secretary may make loans
from the Bank only for a project that--
``(i) is technically feasible;
``(ii) is determined to be cost-effective
using life cycle cost methods established by
the Secretary;
``(iii) includes a measurement and
management component, based on the measurement
and verification protocols of the Department of
Energy, to--
``(I) commission energy savings for
new and existing Federal facilities;
``(II) monitor and improve energy
efficiency management at existing
Federal facilities; and
``(III) verify the energy savings
under an energy savings performance
contract under title VIII; and
``(iv)(I) in the case of renewable energy
or alternative energy project, has a simple
payback period of not more than 15 years; and
``(II) in the case of any other project,
has a simple payback period of not more than 10
years.
``(B) Priority.--In selecting projects, the
Secretary shall give priority to projects that--
``(i) are a component of a comprehensive
energy management project for a Federal
facility; and
``(ii) are designed to significantly reduce
the energy use of the Federal facility.
``(e) Reports and Audits.--
``(1) Reports to the secretary.--Not later than 1 year
after the completion of installation of a project that has a
cost of more than $1,000,000, and annually thereafter, a
Federal agency shall submit to the Secretary a report that--
``(A) states whether the project meets or fails to
meet the energy savings projections for the project;
and
``(B) for each project that fails to meet the
energy savings projections, states the reasons for the
failure and describes proposed remedies.
``(2) Audits.--The Secretary may audit, or require a
Federal agency that receives a loan from the Bank to audit, any
project financed with amounts from the Bank to assess the
performance of the project.
``(3) Reports to congress.--At the end of each fiscal year,
the Secretary shall submit to Congress a report on the
operations of the Bank, including a statement of--
``(A) the total receipts by the Bank;
``(B) the total amount of loans from the Bank to
each Federal agency; and
``(C) the estimated cost and energy savings
resulting from projects funded with loans from the
Bank.
``(f) Authorization of Appropriations.--There are authorized to be
appropriated to such sums as are necessary to carry out this section.''
SEC. 919. ENERGY AND WATER SAVING MEASURES IN CONGRESSIONAL BUILDINGS.
(a) In General.--Part 3 of title V of the National Energy
Conservation Policy Act is amended by adding at the end:
``SEC. 554. ENERGY AND WATER SAVINGS MEASURES IN CONGRESSIONAL
BUILDINGS.
``(a) In General.--The Architect of the Capitol--
``(1) shall develop, update, and implement a cost-effective
energy conservation and management plan (referred to in this
section as the ``plan'') for all facilities administered by the
Congress (referred to in this section as `congressional
buildings') to meet the energy performance requirements for
Federal buildings established under section 543(a)(1).
``(2) shall submit the plan to Congress, not later than 180
days after the date of enactment of this section.
``(b) Plan Requirements.--The plan shall include--
``(1) a description of the life-cycle cost analysis used to
determine the cost-effectiveness of proposed energy efficiency
projects;
``(2) a schedule of energy surveys to ensure complete
surveys of all congressional buildings every five years to
determine the cost and payback period of energy and water
conservation measures;
``(3) a strategy for installation of life cycle cost
effective energy and water conservation measures;
``(4) the results of a study of the costs and benefits of
installation of submetering in congressional buildings; and
``(5) information packages and `how-to' guides for each
Member and employing authority of Congress that detail simple,
cost-effective methods to save energy and taxpayer dollars in
the workplace.
``(c) Contracting Authority.--The Architect--
``(1) may contract with nongovernmental entities and use
private sector capital to finance energy conservation projects
and meet energy performance requirements; and
``(2) may use innovative contracting methods that will
attract private sector funding for the installation of energy
efficient and renewable energy technology, such as energy
savings performance contracts described in title VIII.
``(d) Capitol Visitor Center.--The Architect--
``(1) shall ensure that state-of-the-art energy efficiency
and renewable energy technologies are used in the construction
and design of the Visitor Center; and
``(2) shall include in the Visitor Center an exhibit on the
energy efficiency and renewable energy measures used in
congressional buildings.
``(e) Annual Report.--The Architect shall submit to Congress
annually a report on congressional energy management and conservation
programs required under this section that describes in detail--
``(1) energy expenditures and savings estimates for each
facility;
``(2) energy management and conservation projects; and
``(3) future priorities to ensure compliance with this
section.''.
(b) Repeal.--Section 310 of the Legislative Branch Appropriations
Act, 1999 (40 U.S.C. 166i), is repealed.
Subtitle C--Industrial Efficiency and Consumer Products
SEC. 921. VOLUNTARY COMMITMENTS TO REDUCE INDUSTRIAL ENERGY INTENSITY.
(a) Voluntary Agreements.--The Secretary of Energy shall enter into
voluntary agreements with one or more persons in industrial sectors
that consume significant amounts of primary energy per unit of physical
output to reduce the energy intensity of their production activities.
(b) Goal.--Voluntary agreements under this section shall have a
goal of reducing energy intensity by not less than 2.5 percent each
year from 2002 through 2012.
(c) Recognition.--The Secretary of Energy, in cooperation with the
Administrator of the Environmental Protection Agency and other
appropriate federal agencies, shall develop mechanisms to recognize and
publicize the achievements of participants in voluntary agreements
under this section.
(d) Definition.--In this section, the term ``energy intensity''
means the primary energy consumed per unit of physical output in an
industrial process.
(e) Technical Assistance.--An entity that enters into an agreement
under this section and continues to make a good faith effort to achieve
the energy efficiency goals specified in the agreement shall be
eligible to receive from the Secretary a grant or technical assistance
as appropriate to assist in the achievement of those goals.
(f) Report.--Not later than June 30, 2008 and June 30, 2012, the
Secretary shall submit to Congress a report that evaluates the success
of the voluntary agreements, with independent verification of a sample
of the energy savings estimates provided by participating firms.
SEC. 922. AUTHORITY TO SET STANDARDS FOR COMMERCIAL PRODUCTS.
Part B of title III of the Energy Policy and Conservation Act (42
U.S.C. 6291 et seq.) is amended as follows:
(1) In the heading for such part, by inserting ``and
Commercial'' after ``Consumer''.
(2) In section 321(2), by inserting ``or commercial'' after
``consumer''.
(3) In paragraphs (4), (5), and (15) of section 321, by
striking ``consumer'' each place it appears and inserting
``covered''.
(4) In section 322(a), by inserting ``or commercial'' after
``consumer'' the first place it appears in the material
preceding paragraph (1).
(5) In section 322(b), by inserting ``or commercial'' after
``consumer'' each place it appears.
(6) In section 322 (b)(1)(B) and (b)(2)(A), by inserting
``or per-business in the case of a commercial product'' after
``per-household'' each place it appears.
(7) In section 322 (b)(2)(A), by inserting ``or businesses
in the case of commercial products'' after ``households'' each
place it appears.
(8) In section 322 (B)(2)(C)--
(A) by striking ``term'' and inserting ``terms'';
and
(B) by inserting ``and `businesses''' after
``household''.
(9) In section 323 (b)(1) (B) by inserting ``or
commercial'' after ``consumer''.
SEC. 923. ADDITIONAL DEFINITIONS.
Section 321 of the Energy Policy and Conservation Act (42 U.S.C.
6291) is amended by adding at the end the following:
``(32) The term `battery charger' means a device that
charges batteries for consumer products.
``(33) The term `commercial refrigerator, freezer and
refrigerator-freezer' means a refrigerator, freezer or
refrigerator-freezer that--
``(A) is not a consumer product regulated under
this Act; and
``(B) incorporates most components involved in the
vapor-compression cycle and the refrigerated
compartment in a single package.
``(34) The term `external power supply' means an external
power supply circuit that is used to convert household electric
current into either DC current or lower-voltage AC current to
operate a consumer product.
``(35) The term `illuminated exit sign' means a sign that--
``(A) is designed to be permanently fixed in place
to identify an exit; and
``(B) consists of--
``(i) an electrically powered integral
light source that illuminates the legend `EXIT'
and any directional indicators; and
``(ii) provides contrast between the
legend, any directional indicators, and the
background.
``(36)(A) Except as provided in subsection (B), the term
`low-voltage dry-type transformer' means a transformer that--
``(i) has an input voltage of 600 volts or less;
``(ii) is air-cooled;
``(iii) does not use oil as a coolant; and
``(iv) is rated for operation at a frequency of 60
Hertz.
``(B) The term `low-voltage dry-type transformer' does not
include--
``(i) transformers with multiple voltage taps, with
the highest voltage tap equaling at least 20 percent
more than the lowest voltage tap;
``(ii) transformers that are designed to be used in
a special purpose application, such as transformers
commonly known as drive transformers, rectifier
transformers, autotransformers, Uninterruptible Power
System transformers, impedance transformers, harmonic
transformers, regulating transformers, sealed and
nonventilating transformers, machine tool transformers,
welding transformers, grounding transformers, or
testing transformers; or
``(iii) any transformer not listed in clause (ii)
that is excluded by the Secretary by rule because the
transformer is designed for a special application and
the application of standards to the transformer would
not result in significant energy savings.
``(37) The term ``standby mode'' means the lowest amount of
electric power used by a household appliance when not
performing its active functions, as defined on an individual
product basis by the Secretary.
``(38) The term `torchiere' means a portable electric lamp
with a reflector bowl that directs light upward so as to give
indirect illumination.
``(39) The term `transformer' means a device consisting of
2 or more coils of insulated wire that transfers alternating
current by electromagnetic induction from one coil to another
to change the original voltage or current value.
``(40) The term `unit heater' means a self-contained fan-
type heater designed to be installed within the heated space,
except that such term does not include a warm air furnace.
SEC. 924. ADDITIONAL TEST PROCEDURES.
(a) Exit Signs.--Section 323(b) of the Energy Policy and
Conservation Act (42 U.S.C. 6293) is amended by adding at the end the
following:
``(9) Test procedures for illuminated exit signs shall be
based on the test method used under the Energy Star program of
the Environmental Protection Agency for illuminated exit signs,
as in effect on the date of enactment of this paragraph.
``(10) Test procedures for low voltage dry-type
distribution transformers shall be based on the `Standard Test
Method for Measuring the Energy Consumption of Distribution
Transformers' prescribed by the National Electrical
Manufacturers Association (NEMA TP 2-1998). The Secretary may
review and revise this test procedure based on future revisions
to such standard test method.
(b) Additional Consumer and Commercial Products.--Section 323 of
the Energy Policy and Conservation Act (42 U.S.C. 6293) is further
amended by adding at the end the following:
``(f) Additional Consumer and Commercial Products.--The Secretary
shall within 24 months after the date of enactment of this subsection
prescribe testing requirements for suspended ceiling fans, refrigerated
bottled or canned beverage vending machines, commercial unit heaters,
and commercial refrigerators, freezers and refrigerator-freezers. Such
testing requirements shall be based on existing test procedures used in
industry to the extent practical and reasonable. In the case of
suspended ceiling fans, such test procedures shall include efficiency
at both maximum output and at an output no more than 50 percent of the
maximum output.''.
SEC. 925. ENERGY LABELING.
(a) Rulemaking on Effectiveness of Consumer Product Labeling.--
Paragraph (2) of section 324(a) of the Energy Policy and Conservation
Act (42 U.S.C. 6294(a)(2)) is amended by adding at the end the
following:
``(F) Not later than three months after the date of
enactment of this subparagraph, the Commission shall
initiate a rulemaking to consider the effectiveness of
the current consumer products labeling program in
assisting consumers in making purchasing decisions and
improving energy efficiency and to consider changes to
the labeling rules that would improve the effectiveness
of consumer product labels. Such rulemaking shall be
completed within 15 months of the date of enactment of
this subparagraph.''.
(b) Rulemaking on Labeling for Additional Products.--Section 324(a)
of the Energy Policy and Conservation Act (42 U.S.C. 6294(a)) is
further amended by adding at the end the following:
``(5) The Secretary shall within 6 months after the date on
which energy conservation standards are prescribed by the
Secretary for covered products referred to in subsections (u)
and (v) of section 325, and within 18 months of enactment of
this paragraph for products referred to in subsections (w)
through (y) of section 325, prescribe, by rule, labeling
requirements for such products. Labeling requirements adopted
under this paragraph shall take effect on the same date as the
standards set pursuant to sections 325(v) through (y).
SEC. 926. ENERGY STAR PROGRAM.
The Energy Policy and Conservation Act (42 U.S.C. 6201 and
following) is amended by inserting after section 324 the following:
``energy star program
``Sec. 324A. (a) In General.--There is established at the
Department of Energy and the Environmental Protection Agency a program
to identify and promote energy-efficient products and buildings in
order to reduce energy consumption, improve energy security, and reduce
pollution through labeling of products and buildings that meet the
highest energy efficiency standards. Responsibilities under the program
shall be divided between the Department of Energy and the Environmental
Protection Agency consistent with the terms of agreements between the
two agencies. The Administrator and the Secretary shall--
``(1) promote Energy Star compliant technologies as the
preferred technologies in the marketplace for achieving energy
efficiency and to reduce pollution;
``(2) work to enhance public awareness of the Energy Star
label;
``(3) preserve the integrity of the Energy Star label; and
``(4) solicit the comments of interested parties in
establishing a new Energy Star product category or in revising
a product category, and upon adoption of a new or revised
product category provide an explanation of the decision that
responds to significant public comments.''.
SEC. 927. ENERGY CONSERVATION STANDARDS FOR CENTRAL AIR CONDITIONERS
AND HEAT PUMPS.
Section 325(d) of the Energy Policy and Conservation Act (42 U.S.C.
6295(d)) is amended to read as follows:
``(1) Except as provided in paragraph (3), the seasonal
energy efficiency ratio of central air conditioners and central
air conditioning heat pumps manufactured on or after January
23, 2006 shall be no less than 13.0.
``(2) Except as provided in paragraph (4), the heating
seasonal performance factor of central air conditioning heat
pumps manufactured on or after January 23, 2006 shall be no
less than 7.7.
``(3) The seasonal energy efficiency ratio of central air
conditioners or central air conditioning heat pumps
manufactured on or after January 23, 2006 shall be no less than
12.0 for products that--
``(A) have a rated cooling capacity equal to or
less than 30,000 Btu per hour;
``(B) have an outdoor or indoor unit having at
least two overall exterior dimensions or an overall
displacement that--
``(i) is substantially smaller than those
of other units that are currently installed in
site-built single family homes, and of a
similar cooling or heating capacity, and
``(ii) if increased would result in a
significant increase in the cost of
installation or would result in a significant
loss in the utility of the product to the
consumer; and
``(C) were available for purchase in the United
States as of December 1, 2000.
``(4) The heating seasonal performance factor of central
air conditioning heat pumps manufactured on or after January
25, 2006 shall not be less 7.4 for products that meet the
criteria in paragraph (3).
``(5) The Secretary may postpone the requirements of
paragraphs (3) and (4) for specific product types until a date
no later than January 23, 2010, if he determines that
compliance is either--
``(A) not technologically feasible, or
``(B) not economically justifiable.
``(6) The Secretary shall publish a final rule not later
than January 1, 2006 to determine whether the standards in
effect for central air conditioners and central air
conditioning heat pumps should be amended. Such rule shall
provide that any amendment shall apply to products manufactured
on or after January 1, 2011.''.
SEC. 928. ENERGY CONSERVATION STANDARDS FOR ADDITIONAL CONSUMER AND
COMMERCIAL PRODUCTS.
Section 325 of the Energy Policy and Conservation Act (42 U.S.C.
6295) is amended by adding at the end the following:
``(u) Standby Mode Electric Energy Consumption.--
``(1) Initial rulemaking.--
``(A) The Secretary shall, within 18 months after
the date of enactment of this subsection, prescribe by
notice and comment, definitions of standby mode and
test procedures for the standby mode power use of
battery chargers and external power supplies. In
establishing these test procedures, the Secretary shall
consider, among other factors, existing test procedures
used for measuring energy consumption in standby mode
and assess the current and projected future market for
battery chargers and external power supplies. This
assessment shall include estimates of the significance
of potential energy savings from technical improvements
to these products and suggested product classes for
standards. Prior to the end of this time period, the
Secretary shall hold a scoping workshop to discuss and
receive comments on plans for developing energy
conservation standards for standby mode energy use for
these products.
``(B) The Secretary shall, within 3 years after the
date of enactment of this subsection, issue a final
rule that determines whether energy conservation
standards shall be promulgated for battery chargers and
external power supplies or classes thereof. For each
product class, any such standards shall be set at the
lowest level of standby energy use that--
(i) meets the criteria of subsections (o),
(p), (q), (r), (s) and (t); and
(ii) will result in significant overall
annual energy savings, considering both standby
mode and other operating modes.
``(2) Designation of additional covered products.--
``(A) Not later than 180 days after the date of
enactment of this subsection, the Secretary shall
publish for public comment and public hearing a notice
to determine whether any noncovered products should be
designated as covered products for the purpose of
instituting a rulemaking under this section to
determine whether an energy conservation standard
restricting standby mode energy consumption, should be
promulgated; providing that any restriction on standby
mode energy consumption shall be limited to major
sources of such consumption.
``(B) In making the determinations pursuant to
subparagraph (A) of whether to designate new covered
products and institute rulemakings, the Secretary
shall, among other relevant factors and in addition to
the criteria in section 322(b), consider--
``(i) standby mode power consumption
compared to overall product energy consumption;
and
``(ii) the priority and energy savings
potential of standards which may be promulgated
under this subsection compared to other
required rulemakings under this section and the
available resources of the Department to
conduct such rulemakings.
``(C) Not later than one year after the date of
enactment of this subsection, the Secretary shall issue
a determination of any new covered products for which
he intends to institute rulemakings on standby mode
pursuant to this section and he shall state the dates
by which he intends to initiate those rulemakings.
``(3) Review of standby energy use in covered products.--In
determining pursuant to section 323 whether test procedures and
energy conservation standards pursuant to section 325 should be
revised, the Secretary shall consider for covered products
which are major sources of standby mode energy consumption
whether to incorporate standby mode into such test procedures
and energy conservation standards, taking into account, among
other relevant factors, the criteria for non-covered products
in subparagraph (B) of this subsection.
``(4) Rulemaking for standby mode.--
``(A) Any rulemaking instituted under this
subsection or for covered products under this section
which restricts standby mode power consumption shall be
subject to the criteria and procedures for issuing
energy conservation standards set forth in section 325
and the criteria set forth in paragraph 2(B) of this
subsection.
``(B) No standard can be proposed for new covered
products or covered products in a standby mode unless
the Secretary has promulgated applicable test
procedures for each product pursuant to section 323.
``(C) The provisions of section 327 shall apply to
new covered products which are subject to the
rulemakings for standby mode after a final rule has
been issued.
``(5) Effective date.--Any standard promulgated under this
subsection shall be applicable to products manufactured or
imported three years after the date of promulgation.
``(6) Voluntary programs to reduce standby mode energy
use.--The Secretary and the Administrator shall collaborate and
develop programs, including programs pursuant to section 324A
and other voluntary industry agreements or codes of conduct,
which are designed to reduce standby mode energy use.
``(v) Suspended Ceiling Fans, Vending Machines, Unit Heaters, and
Commercial Refrigerators, Freezers and Refrigerator-Freezers.--The
Secretary shall within 24 months after the date on which testing
requirements are prescribed by the Secretary pursuant to section
323(f), prescribe, by rule, energy conservation standards for suspended
ceiling fans, refrigerated bottled or canned beverage vending machines,
unit heaters, and commercial refrigerators, freezers and refrigerator-
freezers. In establishing standards under this subsection, the
Secretary shall use the criteria and procedures contained in
subsections (l) and (m). Any standard prescribed under this subsection
shall apply to products manufactured 3 years after the date of
publication of a final rule establishing such standard.
``(w) Illuminated Exit Signs.--Illuminated exit signs manufactured
on or after January 1, 2005 shall meet the Energy Star Program
performance requirements for illuminated exit signs prescribed by the
Environmental Protection Agency as in effect on the date of enactment
of this subsection.
``(x) Torchieres.--Torchieres manufactured on or after January 1,
2005--
``(1) shall consume not more than 190 watts of power; and
``(2) shall not be capable of operating with lamps that
total more than 190 watts.
``(y) Low Voltage Dry-Type Transformers.--The efficiency of low
voltage dry-type transformers manufactured on or after January 1, 2005
shall be the Class I Efficiency Levels for low voltage dry-type
transformers specified in Table 4-2 of the `Guide for Determining
Energy Efficiency for Distribution Transformers' published by the
National Electrical Manufacturers Association (NEMA TP-1-1996).''.
SEC. 929. CONSUMER EDUCATION ON ENERGY EFFICIENCY BENEFITS OF AIR
CONDITIONING, HEATING, AND VENTILATION MAINTENANCE.
Section 337 of the Energy Policy and Conservation Act (42 U.S.C.
6307) is amended by adding at the end the following:
``(c) HVAC Maintenance.--(1) For the purpose of ensuring that
installed air conditioning and heating systems operate at their maximum
rated efficiency levels, the Secretary shall, within 180 days of the
date of enactment of this subsection, carry out a program to educate
homeowners and small business owners concerning the energy savings
resulting from properly conducted maintenance of air conditioning,
heating, and ventilating systems.
``(2) The Secretary may carry out the program in cooperation with
industry trade associations, industry members, and energy efficiency
organizations.''.
Subtitle D--Housing Efficiency
SEC. 931. CAPACITY BUILDING FOR ENERGY EFFICIENT, AFFORDABLE HOUSING.
Section 4(b) of the HUD Demonstration Act of 1993 (42 U.S.C. 9816
note) is amended--
(1) in paragraph (1), by inserting before the semicolon at
the end the following: ``, including capabilities regarding the
provision of energy efficient, affordable housing and
residential energy conservation measures''; and
(2) in paragraph (2), by inserting before the semicolon the
following: ``, including such activities relating to the
provision of energy efficient, affordable housing and
residential energy conservation measures that benefit low-
income families''.
SEC. 932. INCREASE OF CDBG PUBLIC SERVICES CAP FOR ENERGY CONSERVATION
AND EFFICIENCY ACTIVITIES.
Section 105(a)(8) of the Housing and Community Development Act of
1974 (42 U.S.C. 5305(a)(8)) is amended--
(1) by inserting ``or efficiency'' after ``energy
conservation'';
(2) by striking ``, and except that'' and inserting ``;
except that''; and
(3) by inserting before the period at the end the
following: ``; and except that each percentage limitation under
this paragraph on the amount of assistance provided under this
title that may be used for the provision of public services is
hereby increased by 10 percent, but such percentage increase
may be used only for the provision of public services
concerning energy conservation or efficiency''.
SEC. 933. FHA MORTGAGE INSURANCE INCENTIVES FOR ENERGY EFFICIENT
HOUSING.
(a) Single Family Housing Mortgage Insurance.--Section 203(b)(2) of
the National Housing Act (12 U.S.C. 1709(b)(2)) is amended, in the
first undesignated paragraph beginning after subparagraph (B)(iii)
(relating to solar energy systems)--
(1) by inserting ``or paragraph (10)''; and
(2) by striking ``20 percent'' and inserting ``30
percent''.
(b) Multifamily Housing Mortgage Insurance.--Section 207(c) of the
National Housing Act (12 U.S.C. 1713(c)) is amended, in the second
undesignated paragraph beginning after paragraph (3) (relating to solar
energy systems and residential energy conservation measures), by
striking ``20 percent'' and inserting ``30 percent''.
(c) Cooperative Housing Mortgage Insurance.--Section 213(p) of the
National Housing Act (12 U.S.C. 1715e(p)) is amended by striking ``20
per centum'' and inserting ``30 percent''.
(d) Rehabilitation and Neighborhood Conservation Housing Mortgage
Insurance.--Section 220(d)(3)(B)(iii) of the National Housing Act (12
U.S.C. 1715k(d)(3)(B)(iii)) is amended by striking ``20 per centum''
and inserting ``30 percent''.
(e) Low-Income Multifamily Housing Mortgage Insurance.--Section
221(k) of the National Housing Act (12 U.S.C. 1715l(k)) is amended by
striking ``20 per centum'' and inserting ``30 percent''.
(f) Elderly Housing Mortgage Insurance.--The proviso at the end of
section 213(c)(2) of the National Housing Act (12 U.S.C. 1715v(c)(2))
is amended by striking ``20 per centum'' and inserting ``30 percent''.
(g) Condominium Housing Mortgage Insurance.--Section 234(j) of the
National Housing Act (12 U.S.C. 1715y(j)) is amended by striking ``20
per centum'' and inserting ``30 percent''.
SEC. 934. PUBLIC HOUSING CAPITAL FUND.
Section 9(d)(1) of the United States Housing Act of 1937 (42 U.S.C.
1437g(d)(1)) is amended--
(1) in subparagraph (I), by striking ``and'' at the end;
(2) in subparagraph (K), by striking the period at the end
and inserting ``; and''; and
(3) by adding at the end the following new subparagraph:
``(L) improvement of energy and water-use
efficiency by installing fixtures and fittings that
conform to the American Society of Mechanical
Engineers/American National Standards Institute
standards A112.19.2-1998 and A112.18.1-2000, or any
revision thereto, applicable at the time of
installation, and by increasing energy efficiency and
water conservation by such other means as the Secretary
determines are appropriate.''.
SEC. 935. GRANTS FOR ENERGY-CONSERVING IMPROVEMENTS FOR ASSISTED
HOUSING.
Section 251(b)(1) of the National Energy Conservation Policy Act
(42 U.S.C. 8231(1)) is amended--
(1) by striking ``financed with loans'' and inserting
``assisted'';
(2) by inserting after ``1959,'' the following: ``which are
eligible multifamily housing projects (as such term is defined
in section 512 of the Multifamily Assisted Housing Reform and
Affordability Act of 1997 (42 U.S.C. 1437f note) and are
subject to a mortgage restructuring and rental assistance
sufficiency plans under such Act,''; and
(3) by inserting after the period at the end of the first
sentence the following new sentence: ``Such improvements may
also include the installation of energy and water conserving
fixtures and fittings that conform to the American Society of
Mechanical Engineers/American National Standards Institute
standards A112.19.2-1998 and A112.18.1-2000, or any revision
thereto, applicable at the time of installation.''.
SEC. 936. NORTH AMERICAN DEVELOPMENT BANK.
Part 2 of subtitle D of title V of the North American Free Trade
Agreement Implementation Act (22 U.S.C. 290m-290m-3) is amended by
adding at the end the following:
``SEC. 545. SUPPORT FOR CERTAIN ENERGY POLICIES.
``Consistent with the focus of the Bank's Charter on environmental
infrastructure projects, the Board members representing the United
States should use their voice and vote to encourage the Bank to finance
projects related to clean and efficient energy, including energy
conservation, that prevent, control, or reduce environmental pollutants
or contaminants.''.
DIVISION D--INTEGRATION OF ENERGY POLICY AND
CLIMATE CHANGE POLICY
TITLE X--CLIMATE CHANGE POLICY FORMULATION
Subtitle A--Global Warming
SEC. 1001. SENSE OF CONGRESS ON GLOBAL WARMING.
(a) Findings.--The Congress makes the following findings:
(1) Evidence continues to build that increases in
atmospheric concentrations of man-made greenhouse gases are
contributing to global climate change.
(2) The Intergovernmental Panel on Climate Change (IPCC)
has concluded that ``there is new and stronger evidence that
most of the warming observed over the last 50 years is
attributable to human activities'' and that the Earth's average
temperature can be expected to rise between 2.5 and 10.4
degrees Fahrenheit in this century.
(3) The National Academy of Sciences confirmed the findings
of the IPCC, stating that ``the IPCC's conclusion that most of
the observed warming of the last 50 years is likely to have
been due to the increase of greenhouse gas concentrations
accurately reflects the current thinking of the scientific
community on this issue'' and that ``there is general agreement
that the observed warming is real and particularly strong
within the past twenty years''.
(4) The IPCC has stated that in the last 40 years, the
global average sea level has risen, ocean heat content has
increased, and snow cover and ice extent have decreased, which
threatens to inundate low-lying island nations and coastal
regions throughout the world.
(5) The Environmental Protection Agency has found that
global warming may harm the United States by altering crop
yields, accelerating sea level rise, and increasing the spread
of tropical infectious diseases.
(6) In 1992, the United States ratified the United Nations
Framework Convention of Climate Change, done at New York on May
9, 1992, the ultimate objective of which is the ``stabilization
of greenhouse gas concentrations in the atmosphere at a level
that would prevent dangerous anthropogenic interference with
the climate system'', and which stated in part ``the Parties to
the Convention are to implement policies with the aim of
returning . . . to their 1990 levels anthropogenic emissions of
carbon dioxide and other greenhouse gases.''
(7) There is a shared international responsibility to
address this problem, as industrial nations are the largest
historic and current emitters of greenhouse gases and
developing nations' emissions will significantly increase in
the future.
(8) The United Nations Framework Convention on Climate
Change further states that ``developed country Parties should
take the lead in combating climate change and the adverse
effects thereof'', as these nations are the largest historic
and current emitters of greenhouse gases.
(9) Senate Resolution 98 of July 1997, which expressed that
developing nations, especially the largest emitters, must also
be included in any future, binding climate change treaty and
such a treaty must not result in serious harm to the United
States economy, should not cause the United States to abandon
its shared responsibility to help find a solution to the global
climate change dilemma.
(10) American businesses need to know how governments
worldwide will respond to the threat of global warming.
(11) The United States has benefitted and will continue to
benefit from investments in the research, development and
deployment of a range of clean energy and efficiency
technologies that can mitigate global warming and that can make
the United States economy more productive, bolster energy
security, create jobs, and protect the environment.
(b) Sense of Congress.--It is the sense of the United States
Congress that the United States should demonstrate international
leadership and responsibility in mitigating the health, environmental,
and economic threats posed by global warming by--
(1) taking responsible action to ensure significant and
meaningful reductions in emissions of greenhouse gases from all
sectors;
(2) creating flexible international and domestic
mechanisms, including joint implementation, technology
deployment, emissions trading and carbon sequestration projects
that will reduce, avoid, and sequester greenhouse gas
emissions; and
(3) participating in international negotiations, including
putting forth a proposal at the next meeting of the Conference
of the Parties, with the objective of securing United States'
participation in a revised Kyoto Protocol or other future
binding climate change agreements in a manner that is
consistent with the environmental objectives of the Framework
Convention on Climate Change, that protects the economic
interests of the United States, and recognizes the shared
international responsibility for addressing climate change,
including developing country participation.
Subtitle B--Climate Change Strategy
SEC. 1011. SHORT TITLE.
This title may be cited as the ``Climate Change Strategy and
Technology Innovation Act of 2002''.
SEC. 1012. FINDINGS.
Congress finds that--
(1) evidence continues to build that increases in
atmospheric concentrations of greenhouse gases are contributing
to global climate change;
(2) in 1992, the Senate ratified the United Nations
Framework Convention on Climate Change, done at New York on May
9, 1992, the ultimate objective of which is the ``stabilization
of greenhouse gas concentrations in the atmosphere at a level
that would prevent dangerous anthropogenic interference with
the climate system'';
(3) although science currently cannot determine precisely
what atmospheric concentrations are ``dangerous'', the current
trajectory of greenhouse gas emissions will lead to a continued
rise in greenhouse gas concentrations in the atmosphere, not
stabilization;
(4) the remaining scientific uncertainties call for
temperance of human actions, but not inaction;
(5) greenhouse gases are associated with a wide range of
human activities, including energy production, transportation,
agriculture, forestry, manufacturing, buildings, and other
activities;
(6) the economic consequences of poorly designed climate
change response strategies, or of inaction, may cost the global
economy trillions of dollars;
(7) a large share of this economic burden would be borne by
the United States;
(8) stabilization of greenhouse gas concentrations in the
atmosphere will require transformational change in the global
energy system and other emitting sectors at an almost
unimaginable level--a veritable industrial revolution is
required;
(9) such a revolution can occur only if the revolution is
preceded by research and development that leads to bold
technological breakthroughs;
(10) over the decade preceding the date of enactment of
this Act--
(A) energy research and development budgets in the
public and private sectors have declined precipitously
and have not been focused on the climate change
response challenge; and
(B) the investments that have been made have not
been guided by a comprehensive strategy;
(11) the negative trends in research and development
funding described in paragraph (10) must be reversed with a
focus on not only traditional energy research and development,
but also bolder, breakthrough research;
(12) much more progress could be made on the issue of
climate change if the United States were to adopt a new
approach for addressing climate change that included, as an
ultimate long-term goal--
(A) stabilization of greenhouse gas concentrations
in the atmosphere at a level that would prevent
dangerous anthropogenic interference with the climate
system; and
(B) a response strategy with 4 key elements
consisting of--
(i) definition of interim emission
mitigation levels, that, coupled with specific
mitigation approaches and after taking into
account actions by other nations (if any),
would result in stabilization of greenhouse gas
concentrations;
(ii) technology development, including--
(I) a national commitment to double
energy research and development by the
United States public and private
sectors; and
(II) in carrying out such research
and development, a national commitment
to provide a high degree of emphasis on
bold, breakthrough technologies that
will make possible a profound
transformation of the energy,
transportation, industrial,
agricultural, and building sectors of
the United States;
(iii) climate adaptation research that--
(I) focuses on response actions
necessary to adapt to climate change
that may have already occurred;
(II) focuses on response actions
necessary to adapt to climate change
that may occur under any future climate
change scenario;
(iv) climate science research that--
(I) builds on the substantial
scientific understanding of climate
change that exists as of the date of
enactment of this Act;
(II) focuses on resolving the
remaining scientific, technical, and
economic uncertainties to aid in the
development of sound response
strategies; and
(13) inherent in each of the 4 key elements of the response
strategy is consideration of the international nature of the
challenge, which will require--
(A) establishment of joint climate response
strategies and joint research programs;
(B) assistance to developing countries and
countries in transition for building technical and
institutional capacities and incentives for addressing
the challenge; and
(C) promotion of public awareness of the issue.
SEC. 1013. PURPOSE.
The purpose of this title is to implement the new approach
described in section 1012(12) by developing a national focal point for
climate change response through--
(1) the establishment of the National Office of Climate
Change Response within the Executive Office of the President to
develop the United States Climate Change Response Strategy
that--
(A) incorporates the 4 key elements of that new
approach;
(B) is supportive of and integrated in the overall
energy, transportation, industrial, agricultural,
forestry, and environmental policies of the United
States;
(C) takes into account--
(i) the diversity of energy sources and
technologies;
(ii) supply-side and demand-side solutions;
and
(iii) national infrastructure, energy
distribution, and transportation systems;
(D) provides for the inclusion and equitable
participation of Federal, State, tribal, and local
government agencies, nongovernmental organizations,
academia, scientific bodies, industry, the public, and
other interested parties;
(E) incorporates new models of Federal-State
cooperation;
(F) defines a comprehensive energy technology
research and development program that--
(i) recognizes the important contributions
that research and development programs in
existence on the date of enactment of this
title make toward addressing the climate change
response challenge; and
(ii) includes an additional research and
development agenda that focuses on the bold,
breakthrough technologies that are critical to
the long-term stabilization of greenhouse gas
concentrations in the atmosphere;
(G) includes consideration of other efforts
to address critical environmental and health
concerns, including clean air, clean water, and
responsible land use policies; and
(H) incorporates initiatives to promote the
deployment of clean energy technologies
developed in the United States and abroad;
(2) the establishment of the Interagency Task Force,
chaired by the Director of the White House Office, to serve as
the primary mechanism through which the heads of Federal
agencies work together to develop and implement the Strategy;
(3) the establishment of the Office of Climate Change
Technology within the Department of Energy--
(A) to manage, as its primary responsibility, an
innovative research and development program that
focuses on the bold, breakthrough technologies that are
critical to the long-term stabilization of greenhouse
gas concentrations in the atmosphere; and
(B) to provide analytical support and data to the
White House Office, other agencies, and the public;
(4) the establishment of an independent review board--
(A) to review the Strategy and annually assess
United States and international progress toward the
goal of stabilization of greenhouse gas concentrations
in the atmosphere at a level that would prevent
dangerous anthropogenic interference with the climate
system; and
(B) to assess--
(i) the performance of each Federal agency
that has responsibilities under the Strategy;
and
(ii) the adequacy of the budget of each
such Federal agency to fulfill the
responsibilities of the Federal agency under
the Strategy; and
(5) the establishment of offices in, or the carrying out of
activities by, the Department of Agriculture, the Department of
Transportation, the Department of Commerce, the Environmental
Protection Agency, and other Federal agencies as necessary to
carry out this title.
SEC. 1014. DEFINITIONS.
In this title:
(1) Climate-friendly technology.--The term ``climate-
friendly technology'' means any energy supply or end-use
technology that, over the life of the technology and compared
to similar technology in commercial use as of the date of
enactment of this Act--
(A) results in reduced emissions of greenhouse
gases;
(B) may substantially lower emissions of other
pollutants; and
(C) may generate substantially smaller or less
hazardous quantities of solid or liquid waste.
(2) Department.--The term ``Department'' means the
Department of Energy.
(3) Department office.--The term ``Department Office''
means the Office of Climate Change Technology of the Department
established by section 1017(a).
(4) Federal agency.--The term ``Federal agency'' has the
meaning given the term ``agency'' in section 551 of title 5,
United States Code.
(5) Greenhouse gas.--The term ``greenhouse gas'' means--
(A) an anthropogenic gaseous constituent of the
atmosphere (including carbon dioxide, methane, nitrous
oxide, chlorofluorocarbons, hydrofluorocarbons,
perfluorocarbons, sulfur hexafluoride, and tropospheric
ozone) that absorbs and re-emits infrared radiation and
influences climate; and
(B) an anthropogenic aerosol (such as black soot)
that absorbs solar radiation and influences climate.
(6) Interagency task force.--The term ``Interagency Task
Force'' means the United States Climate Change Response
Interagency Task Force established under section 1016(d).
(7) Key element.--The term ``key element'', with respect to
the Strategy, means--
(A) definition of interim emission mitigation
levels, that, coupled with specific mitigation
approaches and after taking into account actions by
other nations (if any), would result in stabilization
of greenhouse gas concentrations;
(B) technology development, including--
(i) a national commitment to double energy
research and development by the United States
public and private sectors; and
(ii) in carrying out such research and
development, a national commitment to provide a
high degree of emphasis on bold, breakthrough
technologies that will make possible a profound
transformation of the energy, transportation,
industrial, agricultural, and building sectors
of the United States;
(C) climate adaptation research that--
(i) focuses on response actions necessary
to adapt to climate change that may have
already occurred;
(ii) focuses on response actions necessary
to adapt to climate change that may occur under
any future climate change scenario;
(D) climate science research that--
(i) builds on the substantial scientific
understanding of climate change that exists as
of the date of enactment of this Act;
(ii) focuses on resolving the remaining
scientific, technical, and economic
uncertainties to aid in the development of
sound response strategies.
(8) Qualified individual.--
(A) In general.--The term ``qualified individual''
means an individual who has demonstrated expertise and
leadership skills to draw on other experts in diverse
fields of knowledge that are relevant to addressing the
climate change response challenge.
(B) Fields of knowledge.--The fields of knowledge
referred to in subparagraph (A) are--
(i) the science of primary and secondary
climate change impacts;
(ii) energy and environmental economics;
(iii) technology transfer and diffusion;
(iv) the social dimensions of climate
change;
(v) climate change adaptation strategies;
(vi) fossil, nuclear, and renewable energy
technology;
(vii) energy efficiency and energy
conservation;
(viii) energy systems integration;
(ix) engineered and terrestrial carbon
sequestration;
(x) transportation, industrial, and
building sector concerns;
(xi) regulatory and market-based mechanisms
for addressing climate change;
(xii) risk and decision analysis;
(xiii) strategic planning; and
(xiv) the international implications of
climate change response strategies.
(9) Review board.--The term ``Review Board'' means the
United States Climate Change Response Strategy Review Board
established by section 1019.
(10) Secretary.--The term ``Secretary'' means the Secretary
of Energy.
(11) Stabilization of greenhouse gas concentrations.--The
term ``stabilization of greenhouse gas concentrations'' means
the stabilization of greenhouse gas concentrations in the
atmosphere at a level that would prevent dangerous
anthropogenic interference with the climate system, recognizing
that such a level should be achieved within a time frame
sufficient to allow ecosystems to adapt naturally to climate
change, to ensure that food production is not threatened and to
enable economic development to proceed in a sustainable manner,
as contemplated by the United Nations Framework Convention on
Climate Change, done at New York on May 9, 1992.
(12) Strategy.--The term ``Strategy'' means the United
States Climate Change Response Strategy developed under section
1015.
(13) White house office.--The term ``White House Office''
means the National Office of Climate Change Response of the
Executive Office of the President established by section
1016(a).
SEC. 1015. UNITED STATES CLIMATE CHANGE RESPONSE STRATEGY.
(a) In General.--The Director of the White House Office shall
develop the United States Climate Change Response Strategy, which
shall--
(1) have the long-term goal of stabilization of greenhouse
gas concentrations through actions taken by the United States
and other nations;
(2) recognize that accomplishing the long-term goal of
stabilization will take from many decades to more than a
century, but acknowledging that significant actions must begin
in the near term;
(3) build on the 4 key elements;
(4) be developed on the basis of an examination of a broad
range of emissions levels and dates for achievement of those
levels (including those evaluated by the Intergovernmental
Panel on Climate Change and those consistent with U.S. treaty
commitments) that, after taking into account by actions other
nations (if any), would culminate in the stabilization of
greenhouse gas concentrations;
(5) consider the broad range of activities and actions that
can be taken by United States entities to reduce, avoid, or
sequester greenhouse gas emissions both within the United
States and in other nations through the use of market
mechanisms, which may include but not limited to mitigation
activities, terrestrial sequestration, earning offsets through
carbon capture or project-based activities, trading of
emissions credits in domestic and international markets, and
the application of the resulting credits from any of the above
within the United States;
(6) minimize any adverse short-term and long-term social,
economic, national security, and environmental impacts,
including ensuring that the strategy is developed in an
economically and environmentally sound manner;
(7) incorporate mitigation approaches leading to the
development and deployment of advanced technologies and
practices that will reduce, avoid, or sequester greenhouse gas
emissions;
(8) recognize that the climate change response strategy is
intended to guide the nation's effort to address climate
change, but it shall not create a legal obligation on the part
of any person or entity other than the duties of the Director
of the White House Office and Interagency Task Force in the
development of the strategy;
(9) be consistent with the goals of energy, transportation,
industrial, agricultural, forestry, environmental, economic,
and other relevant policies of the United States;
(10) be consistent with the goals of energy,
transportation, industrial, agricultural, forestry,
environmental, and other relevant policies of the United
States;
(11) have a scope that considers the totality of United
States public, private, and public-private sector actions that
bear on the long-term goal;
(12) be based on an evaluation of a wide range of
approaches for achieving the long-term goal, including
evaluation of--
(A) a variety of cost-effective Federal and State
policies, programs, standards, and incentives;
(B) policies that integrate and promote innovative,
market-based solutions in the United States and in
foreign countries; and
(C) participation in other international
institutions, or in the support of international
activities, that are established or conducted to
facilitate stabilization of greenhouse gas
concentrations;
(13) in the final recommendations of the Strategy,
emphasize response strategies that achieve the long-term goal
and provide specific recommendations concerning--
(A) measures determined to be appropriate for
short-term implementation, giving preference to cost-
effective and technologically feasible measures that
will--
(i) produce measurable net reductions in
United States emissions that lead toward
achievement of the long-term goal; and
(ii) minimize any adverse short-term and
long-term economic, environmental, national
security, and social impacts on the United
States;
(B) the development of technologies that have the
potential for long-term implementation--
(i) giving preference to technologies that
have the potential to reduce significantly the
overall cost of stabilization of greenhouse gas
concentrations; and
(ii) considering a full range of energy
sources, energy conversion and use
technologies, and efficiency options;
(C) such changes in institutional and technology
systems as are necessary to adapt to climate change in
the short-term and the long-term;
(D) such review, modification, and enhancement of
the scientific, technical, and economic research
efforts of the United States, and improvements to the
data resulting from research, as are appropriate to
improve the accuracy of predictions concerning climate
change and the economic and social costs and
opportunities relating to climate change; and
(E) changes that should be made to project and
grant evaluation criteria under other Federal research
and development programs so that those criteria do not
inhibit development of climate-friendly technologies;
(14) be developed in a manner that provides for meaningful
participation by, and consultation among, Federal, State,
tribal, and local government agencies, nongovernmental
organizations, academia, scientific bodies, industry, the
public, and other interested parties in accordance with
subsections (b)(4)(C)(iv)(II) and (d)(3)(B)(iii) of section
1016;
(15) address how the United States should engage State,
tribal, and local governments in developing and carrying out a
response to climate change;
(16) promote, to the maximum extent practicable, public
awareness, outreach, and information-sharing to further the
understanding of the full range of climate change-related
issues;
(17) provide a detailed explanation of how the measures
recommended by the Strategy will ensure that they do not result
in serious harm to the economy of the United States;
(18) provide a detailed explanation of how the measures
recommended by the Strategy will achieve the long-term goal of
stabilization of greenhouse gas concentrations;
(19) include any recommendations for legislative and
administrative actions necessary to implement the Strategy;
(20) serve as a framework for climate change response
actions by all Federal agencies;
(21) recommend which Federal agencies are, or should be,
responsible for the various aspects of implementation of the
Strategy and any budgetary implications;
(22) address how the United States should engage foreign
governments in developing an international response to climate
change; and
(23) be subject to review by an independent review board in
accordance with section 1019.
(b) Submission to Congress.--Not later than 1 year after the date
of enactment of this title, the President shall submit to Congress the
Strategy.
(c) Updating.--Not later than 2 years after the date of submission
of the Strategy to Congress under subsection (b), and at the end of
each 2-year period thereafter, the President shall submit to Congress
an updated version of the Strategy.
(d) Progress Reports.--Not later than 1 year after the date of
submission of the Strategy to Congress under subsection (b), and at the
end of each 1-year period thereafter, the President shall submit to
Congress a report that--
(1) describes the progress on implementation of the
Strategy; and
(2) provides recommendations for improvement of the Strategy and
the implementation of the Strategy.
(e) Alignment With Energy, Transportation, Industrial,
Agricultural, Forestry, and Other Policies.--The President, the
Director of the White House Office, the Secretary, and the other
members of the Interagency Task Force shall work together to align the
actions carried out under the Strategy and actions associated with the
energy, transportation, industrial, agricultural, forestry, and other
relevant policies of the United States so that the objectives of both
the Strategy and the policies are met without compromising the climate
change-related goals of the Strategy or the goals of the policies.
SEC. 1016. NATIONAL OFFICE OF CLIMATE CHANGE RESPONSE OF THE EXECUTIVE
OFFICE OF THE PRESIDENT.
(a) Establishment.--
(1) In General.--There is established, within the Executive
Office of the President, the National Office of Climate Change
Response.
(2) Focus.--The White House Office shall have the focus of
achieving the long-term goal of stabilization of greenhouse gas
concentrations while minimizing adverse short-term and long-
term economic and social impacts.
(3) Duties.--Consistent with paragraph (2), the White House
Office shall--
(A) establish policies, objectives, and priorities
for the Strategy;
(B) in accordance with subsection (d), establish
the Interagency Task Force to serve as the primary
mechanism through which the heads of Federal agencies
shall assist the Director of the White House Office in
developing and implementing the Strategy;
(C) to the maximum extent practicable, ensure that
the Strategy is based on objective, quantitative
analysis, drawing on the analytical capabilities of
Federal and State agencies, especially the Department
Office;
(D) advise the President concerning necessary
changes in organization, management, budgeting, and
personnel allocation of Federal agencies involved in
climate change response activities; and
(E) advise the President and notify a Federal
agency if the policies and discretionary programs of
the agency are not well aligned with, or are not
contributing effectively to, the long-term goal of
stabilization of greenhouse gas concentrations.
(b) Director of the White House Office.--
(1) In general.--The White House Office shall be headed by
a Director, who shall report directly to the President.
(2) Appointment.--The Director of the White House Office
shall be a qualified individual appointed by the President, by
and with the advice and consent of the Senate.
(3) Duties of the director of the white house office.--
(A) Strategy.--In accordance with section 1015, the
Director of the White House Office shall coordinate the
development and updating of the Strategy.
(B) Interagency task force.--The Director of the
White House Office shall serve as Chairperson of the
Interagency Task Force.
(C) Advisory duties.--
(i) Climate, energy,
transportation, industrial,
agricultural, building, forestry, and
other programs.--The Director of the
White House Office, using an integrated
perspective considering the totality of
actions in the United States, shall
advise the President and the heads of
Federal agencies on--
(I) the extent to which United
States energy, transportation,
industrial, agricultural, forestry,
building, and other relevant programs
are capable of producing progress on
the long-term goal of stabilization of
greenhouse gas concentrations; and
(II) the extent to which proposed
or newly created energy,
transportation, industrial,
agricultural, forestry, building, and
other relevant programs positively or
negatively affect the ability of the United States to achieve the long-
term goal of stabilization of greenhouse gas concentrations.
(ii) Tax, trade, and foreign policies.--The
Director of the White House Office, using an
integrated perspective considering the totality
of actions in the United States, shall advise
the President and the heads of Federal agencies
on--
(I) the extent to which the United
States tax policy, trade policy, and
foreign policy are capable of producing
progress on the long-term goal of
stabilization of greenhouse gas
concentrations; and
(II) the extent to which proposed
or newly created tax policy, trade
policy, and foreign policy positively
or negatively affect the ability of the
United States to achieve the long-term
goal of stabilization of greenhouse gas
concentrations.
(iii) International treaties.--The
Secretary of State, acting in conjunction with
the Interagency Task Force and using the
analytical tools available to the White House
Office, shall provide to the Director of the
White House Office an opinion that--
(I) specifies, to the maximum
extent practicable, the economic and
environmental costs and benefits of any
proposed international treaties or
components of treaties that have an
influence on greenhouse gas management;
and
(II) assesses the extent to which
the treaties advance the long-term goal
of stabilization of greenhouse gas
concentrations, while minimizing
adverse short-term and long-term
economic and social impacts and
considering other impacts.
(iv) Consultation.--
(I) With members of interagency
task force.--To the extent practicable
and appropriate, the Director of the
White House Office shall consult with
all members of the Interagency Task
Force and other interested parties
before providing advice to the
President.
(II) With other interested
parties.--The Director of the White
House Office shall establish a process
for obtaining the meaningful
participation of Federal, State,
tribal, and local government agencies,
nongovernmental organizations,
academia, scientific bodies, industry,
the public, and other interested
parties in the formulation of advice to
be provided to the President.
(D) Public education, awareness, outreach, and
information-sharing.--The Director of the White House
Office, to the maximum extent practicable, shall
promote public awareness, outreach, and information-
sharing to further the understanding of the full range
of climate change-related issues.
(4) Annual reports.--The Director of the White House
Office, in consultation with the Interagency Task Force and
other interested parties, shall prepare an annual report for
submission by the President to Congress that--
(A) assesses progress in implementation of the
Strategy;
(B) assesses progress, in the United States and in
foreign countries, toward the long-term goal of
stabilization of greenhouse gas concentrations;
(C) assesses progress toward meeting climate
change-related international obligations;
(D) makes recommendations for actions by the
Federal Government designed to close any gap between
progress-to-date and the measures that are necessary to
achieve the long-term goal of stabilization of
greenhouse gas concentrations; and
(E) addresses the totality of actions in the United
States that relate to the 4 key elements.
(5) Analysis.--During development of the Strategy,
preparation of the annual reports submitted under paragraph
(5), and provision of advice to the President and the heads of
Federal agencies, the Director of the White House Office shall
place significant emphasis on the use of objective,
quantitative analysis, taking into consideration any
uncertainties associated with the analysis.
(c) Staff.--
(1) In general.--The Director of the White House Office
shall employ a professional staff of not more than 25
individuals to carry out the duties of the White House Office.
(2) Intergovernmental personnel and fellowships.--The
Director of the White House Office may use the authority
provided by the Intergovernmental Personnel Act of 1970 (42
U.S.C. 4701 et seq.) and subchapter VI of chapter 33 of title
5, United States Code, and fellowships, to obtain staff from
academia, scientific bodies, nonprofit organizations, and
national laboratories, for appointments of a limited term.
(d) Interagency Task Force.--
(1) In general.--The Director of the White House Office
shall establish the United States Climate Change Response
Interagency Task Force.
(2) Composition.--The Interagency Task Force shall be
composed of--
(A) the Director of the White House Office, who
shall serve as Chairperson;
(B) the Secretary of State;
(C) the Secretary;
(D) the Secretary of Commerce;
(E) the Secretary of the Treasury;
(F) the Secretary of Transportation;
(G) the Secretary of Agriculture;
(H) the Administrator of the Environmental
Protection Agency;
(I) the Administrator of the Agency for
International Development;
(J) the United States Trade Representative;
(K) the National Security Advisor;
(L) the Chairman of the Council of Economic
Advisers;
(M) the Chairman of the Council on Environmental
Quality;
(N) the Director of the Office of Science and
Technology Policy;
(O) the Chairperson of the Subcommittee on Global
Change Research (which performs the functions of the
Committee on Earth and Environmental Sciences
established by section 102 of the Global Change
Research Act of 1990 (15 U.S.C. 2932)); and
(P) the heads of such other Federal agencies as the
Chairperson determines should be members of the
Interagency Task Force.
(3) Strategy.--
(A) In general.--The Interagency Task Force shall
serve as the primary forum through which the Federal
agencies represented on the Interagency Task Force
jointly--
(i) assist the Director of the White House
Office in developing and updating the Strategy;
and
(ii) assist the Director of the White House
Office in preparing annual reports under
subsection (b)(5).
(B) Required elements.--In carrying out
subparagraph (A), the Interagency Task Force shall--
(i) take into account the long-term goal
and other requirements of the Strategy
specified in section 1015(a);
(ii) consult with State, tribal, and local
government agencies, nongovernmental
organizations, academia, scientific bodies,
industry, the public, and other interested
parties; and
(iii) build consensus around a Strategy
that is based on strong scientific, technical,
and economic analyses.
(4) Working groups.--The Chairperson of the Interagency
Task Force may establish such topical working groups as are
necessary to carry out the duties of the Interagency Task
Force.
(e) Provision of Support Staff.--In accordance with procedures
established by the Chairperson of the Interagency Task Force, the
Federal agencies represented on the Interagency Task Force shall
provide staff from the agencies to support information, data
collection, and analyses required by the Interagency Task Force.
(f) Hearings.--On request of the Chairperson, the Interagency Task
Force may hold such hearings, meet and act at such times and places,
take such testimony, and receive such evidence as the Interagency Task
Force considers to be appropriate.
SEC. 1017. TECHNOLOGY INNOVATION PROGRAM IMPLEMENTED THROUGH THE OFFICE
OF CLIMATE CHANGE TECHNOLOGY OF THE DEPARTMENT OF ENERGY.
(a) Establishment of Office of Climate Change Technology of the
Department of Energy.--
(1) In general.--There is established, within the
Department, the Office of Climate Change Technology.
(2) Duties.--The Department Office shall--
(A) manage an energy technology research and
development program that directly supports the Strategy
by--
(i) focusing on high-risk, bold,
breakthrough technologies that--
(I) have significant promise of
contributing to the national climate
change policy of long-term
stabilization of greenhouse gas
concentrations by--
(aa) mitigating the
emissions of greenhouse gases;
(bb) removing and
sequestering greenhouse gases
from emission streams; or
(cc) removing and
sequestering greenhouse gases
from the atmosphere;
(II) are not being addressed
significantly by other Federal
programs; and
(III) would represent a substantial
advance beyond technology available on
the date of enactment of this title;
(ii) forging fundamentally new research and
development partnerships among various
Department, other Federal, and State programs,
particularly between basic science and energy
technology programs, in cases in which such
partnerships have significant potential to
affect the ability of the United States to
achieve stabilization of greenhouse gas
concentrations at the lowest possible cost;
(iii) forging international research and
development partnerships that are in the
interests of the United States and make
progress on stabilization of greenhouse gas
concentrations;
(iv) making available, through monitoring,
experimentation, and analysis, data that are
essential to proving the technical and economic
viability of technology central to addressing
climate change; and
(v) transitioning research and development
programs to other program offices of the
Department once such a research and development
program crosses the threshold of high-risk
research and moves into the realm of more
conventional technology development;
(B) prepare annual reports in accordance with
subsection (b)(6);
(C) identify the total contribution of all
Department programs to climate change response;
(D) provide substantial analytical support to the
White House Office, particularly support in the
development of the Strategy and associated progress
reporting; and
(E) advise the Secretary on climate change-related
issues, including necessary changes in Department
organization, management, budgeting, and personnel
allocation in the programs involved in climate change
response-related activities.
(b) Director of the Department Office.--
(1) In general.--The Department Office shall be headed by a
Director, who shall report directly to the Secretary.
(2) Appointment.--The Director of the Department Office
shall be an employee of the Federal Government who is a
qualified individual appointed by the President.
(3) Term.--The Director of the Department Office shall be
appointed for a term of 4 years.
(4) Vacancies.--A vacancy in the position of the Director
of the Department Office shall be filled in the same manner as
the original appointment was made.
(5) Duties of the director of the department office.--
(A) Technology development.--The Director of the
Department Office shall manage the energy technology
research and development program described in
subsection (a)(2)(A).
(B) Strategy.--The Director of the Department
Office shall support development of the Strategy
through the provision of staff and analytical support.
(C) Interagency task force.--Through active
participation in the Interagency Task Force, the
Director of the Department Office shall--
(i) based on the analytical capabilities of
the Department Office, share analyses of
alternative climate change response strategies
with other members of the Interagency Task
Force to assist all members in understanding--
(I) the scale of the climate change
response challenge; and
(II) how the actions of the Federal
agencies of the members positively or
negatively contribute to climate change
solutions; and
(ii) determine how the energy technology
research and development program described in
subsection (a)(2)(A) can be designed for
maximum impact on the long-term goal of
stabilization of greenhouse gas concentrations.
(D) Tools, data, and capabilities.--The Director of
the Department Office shall foster the development of
tools, data, and capabilities to ensure that--
(i) the United States has a robust
capability for evaluating alternative climate
change response scenarios; and
(ii) the Department Office provides long-
term analytical continuity during the terms of
service of successive Presidents.
(E) Advisory duties.--The Director of the
Department Office shall advise the Secretary on all
aspects of climate change response.
(6) Annual reports.--The Director of the Department Office
shall prepare an annual report for submission by the Secretary
to Congress and the White House Office that--
(A) assesses progress toward meeting the goals of
the energy technology research and development program
described in subsection (a)(2)(A);
(B) assesses the activities of the Department
Office;
(C) assesses the contributions of all energy
technology research and development programs of the
Department (including science programs) to the long-
term goal and other requirements of the Strategy
specified in section 1015(a); and
(D) makes recommendations for actions by the
Department and other Federal agencies to address the
components of technology development that are necessary
to support the Strategy.
(7) Analysis.--During development of the Strategy, annual
reports submitted under paragraph (6), and advice to the
Secretary, the Director of the Department Office shall place
significant emphasis on the use of objective, quantitative
analysis, taking into consideration any associated
uncertainties.
(c) Staff.--The Director of the Department Office shall employ a
professional staff of not more than 25 individuals to carry out the
duties of the Department Office.
(d) Intergovernmental Personnel and Fellowships.--The Department
Office may use the authority provided by the Intergovernmental
Personnel Act of 1970 (42 U.S.C. 4701 et seq.), subchapter VI of
chapter 33 of title 5, United States Code, and other Departmental
personnel authorities, to obtain staff from academia, scientific
bodies, nonprofit organizations, industry, and national laboratories,
for appointments of a limited term.
(e) Relationship to Other Department Programs.--Each project
carried out by the Department Office shall be--
(1) initiated only after consultation with 1 or more other
appropriate program offices of the Department that support
research and development in areas relating to the project;
(2) managed by the Department Office; and
(3) in the case of a project that reaches a sufficient
level of maturity, with the concurrence of the Department
Office and an appropriate office described in paragraph (1),
transferred to the appropriate office, along with the funds
necessary to continue the project to the point at which non-
Federal funding can provide substantial support for the
project.
(f) Analysis of Strategic Climate Change Response.--
(1) In general.--
(A) Goal.--The Department Office shall foster the
development and application of advanced computational
tools, data, and capabilities that, together with the
capabilities of other federal agencies, support
integrated assessment of alternative climate change
response scenarios and implementation of the Strategy.
(B) Participation and support.--Projects supported
by the Department Office may include participation of,
and be supported by, other Federal agencies that have a
role in the development, commercialization, or transfer
of energy, transportation, industrial, agricultural,
forestry, or other climate change-related technology.
(2) Programs.--
(A) In general.--The Department Office shall--
(i) develop and maintain core analytical
competencies and complex, integrated
computational modeling capabilities that,
together with the capabilities of other federal
agencies, are necessary to support the design
and implementation of the Strategy; and
(ii) track United States and international
progress toward the long-term goal of
stabilization of greenhouse gas concentrations.
(B) International carbon dioxide sequestration
monitoring and data program.--In consultation with
Federal, State, academic, scientific, private sector,
nongovernmental, tribal, and international carbon
capture and sequestration technology programs, the
Department Office shall design and carry out an
international carbon dioxide sequestration monitoring
and data program to collect, analyze, and make
available the technical and economic data to
ascertain--
(i) whether engineered sequestration and
terrestrial sequestration will be acceptable
technologies from regulatory, economic, and
international perspectives;
(ii) whether carbon dioxide sequestered in
geological formations or ocean systems is
stable and has inconsequential leakage rates on
a geologic time-scale; and
(iii) the extent to which forest,
agricultural, and other terrestrial systems are
suitable carbon sinks.
(3) Areas of expertise.--
(A) In general.--The Department Office shall
develop and maintain expertise in integrated
assessment, modeling, and related capabilities
necessary--
(i) to understand the relationship between
natural, agricultural, industrial, energy, and
economic systems;
(ii) to design effective research and
development programs; and
(iii) to develop and implement the
Strategy.
(B) Technology transfer and diffusion.--The
expertise described in clause (i) shall include
knowledge of technology transfer and technology
diffusion in United States markets and foreign markets.
(4) Dissemination of information.--The Department Office
shall ensure, to the maximum extent practicable, that technical
and scientific knowledge relating to greenhouse gas emission
reduction, avoidance, and sequestration is broadly disseminated
through publications, fellowships, and training programs.
(5) Assessments.--In a manner consistent with the Strategy,
the Department shall conduct assessments of deployment of
climate-friendly technology.
(6) Use of private sector funding.--
(A) In general.--The Department Office shall create
an operating model that allows for collaboration,
division of effort, and cost sharing with industry on
individual climate change response projects.
(B) Requirements.--Although cost sharing in some
cases may be appropriate, the Department Office shall
focus on long-term high-risk research and development
and should not make industrial partnerships or cost
sharing a requirement, if such a requirement would bias
the activities of the Department Office toward
incremental innovations.
(C) Reevaluation on transition.--At such time as
any bold, breakthrough research and development program
reaches a sufficient level of technological maturity
such that the program is transitioned to a program
office of the Department other than the Department
Office, the cost-sharing requirements and criteria
applicable to the program should be reevaluated.
(D) Publication in federal register.--Each cost-
sharing agreement entered into under this subparagraph
shall be published in the Federal Register.
SEC. 1018. ADDITIONAL OFFICES AND ACTIVITIES.
The Secretary of Agriculture, the Secretary of Transportation, the
Secretary of Commerce, the Administrator of the Environmental
Protection Agency, and the heads of other Federal agencies may
establish such offices and carry out such activities, in addition to
those established or authorized by this Act, as are necessary to carry
out this Act.
SEC. 1019. UNITED STATES CLIMATE CHANGE RESPONSE STRATEGY REVIEW BOARD.
(a) Establishment.--There is established as an independent
establishment within the executive branch the United States Climate
Change Response Strategy Review Board.
(b) Membership.--
(1) Composition.--The Review Board shall consist of 11
members who shall be appointed, not later than 90 days after
the date of enactment of this Act, by the President by and with
the advice and consent of the Senate, from among qualified
individuals nominated by the National Academy of Sciences in
accordance with paragraph (2).
(2) Nominations.--Not later than 60 days after the date of
enactment of this Act, after taking into strong consideration
the guidance and recommendations of a broad range of scientific
and technical societies that have the capability of
recommending qualified individuals, the National Academy of
Sciences shall nominate for appointment to the Review Board not fewer
than 22 individuals who--
(A) are--
(i) qualified individuals; or
(ii) experts in a field of knowledge
specified in section 1014(9)(B); and
(B) as a group represent broad, balanced expertise.
(3) Prohibition on federal government employment.--A member
of the Review Board shall not be an employee of the Federal
Government.
(4) Terms; vacancies.--
(A) Terms.--
(i) In general.--Subject to clause (ii),
each member of the Review Board shall be
appointed for a term of 4 years.
(ii) Initial terms.--
(I) Commencement date.--The term of
each member initially appointed to the
Review Board shall commence 120 days
after the date of enactment of this
title.
(II) Termination date.--Of the 11
members initially appointed to the
Review Board, 5 members shall be
appointed for a term of 2 years and 6
members shall be appointed for a term
of 4 years, to be designated by the
President at the time of appointment.
(B) Vacancies.--
(i) In general.--A vacancy on the Review
Board shall be filled in the manner described
in this subparagraph.
(ii) Nominations by the national academy of
sciences.--Not later than 60 days after the
date on which a vacancy commences, the National
Academy of Sciences shall--
(I) after taking into strong
consideration the guidance and
recommendations of a broad range of
scientific and technical societies that
have the capability of recommending
qualified individuals, nominate, from
among qualified individuals, not fewer
than 2 individuals to fill the vacancy;
and
(II) submit the names of the
nominees to the President.
(iii) Selection.--Not later than 30 days
after the date on which the nominations under
clause (ii) are submitted to the President, the
President shall select from among the nominees
an individual to fill the vacancy.
(iv) Senate confirmation.--An individual
appointed to fill a vacancy on the Review Board
shall be appointed by and with the advice and
consent of the Senate.
(5) Applicability of ethics in government act of 1978.--A
member of the Review Board shall be deemed to be an individual
subject to the Ethics in Government Act of 1978 (5 U.S.C.
App.).
(6) Chairperson; vice chairperson.--The members of the
Review Board shall select a Chairperson and a Vice Chairperson
of the Review Board from among the members of the Review Board.
(c) Duties.--
(1) In general.--Not later than 180 days after the date of
submission of the initial Strategy under section 1015(b), each
updated version of the Strategy under section 1015(c), and each
progress report under section 1015(d), the Review Board shall
submit to the President, Congress, and the heads of Federal
agencies as appropriate a report assessing the adequacy of the
Strategy or report.
(2) Comments.--In reviewing the Strategy or a report under
paragraph (1), the Review Board shall consider and comment on--
(A) the adequacy of effort and the appropriateness
of focus of the totality of all public, private, and
public-private sector actions of the United States with
respect to the 4 key elements;
(B) the extent to which actions of the United
States, with respect to climate change, complement or
leverage international research and other efforts
designed to manage global emissions of greenhouse
gases, to further the long-term goal of stabilization
of greenhouse gas concentrations;
(C) the funding implications of any recommendations
made by the Review Board; and
(D)(i) the effectiveness with which each Federal
agency is carrying out the responsibilities of the
Federal agency with respect to the short-term and long-
term greenhouse gas management goals; and
(ii) the adequacy of the budget of each such
Federal agency to carry out those responsibilities.
(3) Additional recommendations.--
(A) In general.--Subject to subparagraph (B), the
Review Board, at the request of the President or
Congress, may provide recommendations on additional
climate change-related topics.
(B) Secondary duty.--The provision of
recommendations under subparagraph (A) shall be a
secondary duty to the primary duty of the Review Board
of providing independent review of the Strategy and the
reports under paragraphs (1) and (2).
(d) Powers.--
(1) Hearings.--
(A) In general.--On request of the Chairperson or a
majority of the members of the Review Board, the Review
Board may hold such hearings, meet and act at such
times and places, take such testimony, and receive such
evidence as the Review Board considers to be
appropriate.
(B) Administration of oaths.--Any member of the
Review Board may administer an oath or affirmation to
any witness that appears before the Review Board.
(2) Production of documents.--
(A) In general.--On request of the Chairperson or a
majority of the members of the Review Board, and
subject to applicable law, the Secretary or head of a
Federal agency represented on the Interagency Task
Force, or a contractor of such an agency, shall provide
the Review Board with such records, files, papers,
data, and information as are necessary to respond to
any inquiry of the Review Board under this Act.
(B) Inclusion of work in progress.--Subject to
applicable law, information obtainable under
subparagraph (A)--
(i) shall not be limited to final work
products; but
(ii) shall include draft work products and
documentation of work in progress.
(3) Postal services.--The Review Board may use the United
States mails in the same manner and under the same conditions
as other agencies of the Federal Government.
(e) Compensation of Members.--A member of the Review Board shall be
compensated at a rate equal to the daily equivalent of the annual rate
of basic pay prescribed for level IV of the Executive Schedule under
section 5315 of title 5, United States Code, for each day (including
travel time) during which the member is engaged in the performance of
the duties of the Review Board.
(f) Travel Expenses.--A member of the Review Board shall be allowed
travel expenses, including per diem in lieu of subsistence, at rates
authorized for an employee of an agency under subchapter I of chapter
57 of title 5, United States Code, while away from the home or regular
place of business of the member in the performance of the duties of the
Review Board.
(g) Staff.--
(1) In general.--The Chairperson of the Review Board may,
without regard to the provisions of title 5, United States
Code, regarding appointments in the competitive service,
appoint and terminate an executive director and such other
additional personnel as are necessary to enable the Review
Board to perform the duties of the Review Board.
(2) Confirmation of executive director.--The employment of
an executive director shall be subject to confirmation by the
Review Board.
(3) Compensation.--
(A) In general.--Except as provided in subparagraph
(B), the Chairperson of the Review Board may fix the
compensation of the executive director and other
personnel without regard to the provisions of chapter
51 and subchapter III of chapter 53 of title 5, United
States Code, relating to classification of positions
and General Schedule pay rates.
(B) Maximum rate of pay.--The rate of pay for the
executive director and other personnel shall not exceed
the rate payable for level V of the Executive Schedule
under section 5316 of title 5, United States Code.
(h) Procurement of Temporary and Intermittent Services.--The
Chairperson of the Review Board may procure temporary and intermittent
services in accordance with section 3109(b) of title 5, United States
Code, at rates for individuals that do not exceed the daily equivalent
of the annual rate of basic pay prescribed for level V of the Executive
Schedule under section 5316 of that title.
SEC. 1020. AUTHORIZATION OF APPROPRIATIONS.
(a) White House Office.--
(1) Use of available appropriations.--From funds made
available to Federal agencies for the fiscal year in which this
Title is enacted, the President shall provide such sums as are
necessary to carry out the duties of the White House Office
under this title until the date on which funds are made
available under paragraph (2).
(2) Authorization of appropriations.--There is authorized
to be appropriated to the White House Office to carry out the
duties of the White House Office under this Title $5,000,000
for each of fiscal years 2003 through 2011, to remain available
through September 30, 2011.
(b) Department Office.--
(1) Use of available appropriations.--From funds made
available to Federal agencies for the fiscal year in which this
title is enacted, the President shall provide such sums as are
necessary to carry out the duties of the Department Office
under this Title until the date on which funds are made
available under paragraph (2).
(2) Authorization of appropriations.--There is authorized
to be appropriated to the Department Office to carry out the
duties of the Department Office under this title $4,750,000,000
for the period of fiscal years 2003 through 2011, to remain
available through September 30, 2011.
(c) Review Board.--
(1) Use of available appropriations.--From funds made
available to Federal agencies for the fiscal year in which this
title is enacted, the President shall provide such sums as are
necessary to carry out the duties of the Review Board under
this title until the date on which funds are made available
under paragraph (2).
(2) Authorization of appropriations.--There is authorized
to be appropriated to the Review Board to carry out the duties
of the Review Board under this title $3,000,000 for each of
fiscal years 2003 through 2011, to remain available until
expended.
(d) Additional amounts.--Amounts authorized to be appropriated
under this section shall be in addition to--
(1) amounts made available to carry out the United States
Global Change Research Program under the Global Change Research
Act of 1990 (15 U.S.C. 2921 et seq.); and
(2) amounts made available under other provisions of law
for energy research and development.
Subtitle C--Science and Technology Policy
SEC. 1031. GLOBAL CLIMATE CHANGE IN THE OFFICE OF SCIENCE AND
TECHNOLOGY POLICY.
Section 101(b) of the National Science and Technology Policy,
Organization, and Priorities Act of 1976 (42 U.S.C. 6601(b)) is
amended--
(1) by redesignating paragraphs (7) through (13) as
paragraphs (8) through (14), respectively; and
(2) by inserting after paragraph (6) the following:
``(7) improving efforts to understand, assess, predict,
mitigate, and respond to global climate change;''.
SEC. 1032. ESTABLISHMENT OF ASSOCIATE DIRECTOR FOR GLOBAL CLIMATE
CHANGE.
Section 203 of the National Science and Technology Policy,
Organization, and Priorities Act of 1976 (42 U.S.C. 6612) is amended--
(1) by striking ``four'' in the second sentence and
inserting ``five''; and
(2) by striking ``title.'' in the second sentence and
inserting ``title, one of whom shall be responsible for global
climate change science and technology under the Office of
Science and Technology Policy.''.
Subtitle D--Miscellaneous Provisions
SEC. 1041. ADDITIONAL INFORMATION FOR REGULATORY REVIEW.
In each case that an agency prepares and submits a Statement of
Energy Effects pursuant to Executive Order 13211 of May 18, 2001
(relating to actions concerning regulations that significantly affect
energy supply, distribution, or use), or as part of compliance with
Executive Order 12866 of September 30, 1993 (relating to regulatory
planning and review) or its successor, the agency shall also submit an
estimate of the change in net annual greenhouse gas emissions resulting
from the proposed significant energy action. In the case in which there
is an increase in net annual greenhouse gas emissions as a result of
the proposed significant energy action, the agency shall indicate what
policies or measures will be undertaken to mitigate or offset the
increased emissions.
SEC. 1042. GREENHOUSE GAS EMISSIONS FROM FEDERAL FACILITIES.
(a) Methodology.--
(1) In general.--Not later than one year after the date of
enactment of this section, the Secretary of Energy, Secretary
of Agriculture, Secretary of Commerce, and Administrator of the
Environmental Protection Agency shall publish a jointly
developed methodology for preparing estimates of annual net
greenhouse gas emissions from all Federally owned, leased, or
operated facilities and emission sources, including mobile
sources.
(2) Indirect and other emissions.--The methodology under
paragraph (1) shall include emissions resulting from any
Federal procurement action with an annual Federal expenditure
of greater than $100 million, indirect emissions associated
with Federal electricity consumption, and other emissions
resulting from Federal actions that the heads of the agencies
under paragraph (1) may jointly decide to include in the
estimates.
(b) Publication.--Not later than 18 months after the date of
enactment of this section, and annually thereafter, the Secretary of
Energy shall publish an estimate of annual net greenhouse gas emissions
from all Federally owned, leased, or operated facilities and emission
sources, using the methodology published under subsection (a).
TITLE XI--NATIONAL GREENHOUSE GAS DATABASE
SEC. 1101. PURPOSE.
The purpose of this title is to establish a greenhouse gas
inventory, reductions registry, and information system that--
(1) is complete, consistent, transparent, and accurate;
(2) will create reliable and accurate data that can be used
by public and private entities to design efficient and
effective greenhouse gas emission reduction strategies; and,
(3) will encourage and acknowledge greenhouse gas emissions
reductions.
SEC. 1102. DEFINITIONS.
In this title:
(1) Database.--The term ``database'' means the National
Greenhouse Gas Database established under section 1104.
(2) Designated agency or agencies.--The term ``Designated
Agency or Agencies'' means the Department or Departments and/or
Agency or Agencies given the responsibility for a function or
program under the Memorandum of Agreement entered into pursuant
to Section 1103.
(3) Direct emissions.--The term ``direct emissions'' means
greenhouse gas emissions by an entity from a facility that is
owned or controlled by that entity.
(4) Entity.--The term ``entity'' means--
(A) a person located in the United States; or
(B) a public or private entity, to the extent that
the entity operates in the United States.
(5) Facility.--The term ``facility'' means all buildings,
structures, or installations located on any one or more of
contiguous or adjacent property or properties, or a fleet of 20
or more transportation vehicles, under common control of the
same entity.
(6) Greenhouse gas.--The term ``greenhouse gas'' means--
(A) carbon dioxide;
(B) methane;
(C) nitrous oxide;
(D) hydrofluororcarbons;
(E) perfluorocarbons; and
(F) sulfur hexafluoride.
(7) Indirect emissions.--The term ``indirect emissions''
means greenhouse gas emissions that are a consequence of the
activities of an entity but that are emitted from a facility
owned or controlled by another entity and are not already
reported as direct emissions by a covered entity.
(8) Sequestration.--The term ``sequestration'' means the
capture, long-term separation, isolation, or removal of
greenhouse gases from the atmosphere, including through a
biological or geologic method such as reforestation or an
underground reservoir.
SEC. 1103. ESTABLISHMENT OF MEMORANDUM OF AGREEMENT.
(a) Not later than one year after the date of enactment of this
title, the President, acting through the Chairman of the Council on
Environmental Quality, shall direct the Department of Energy, the
Department of Commerce, the Department of Agriculture, the Department
of Transportation and the Environmental Protection Agency, to enter
into a Memorandum of Agreement that will--
(1) recognize and maintain existing statutory and
regulatory authorities, functions and programs that collect
data on greenhouse gas emissions and effects and that are
necessary for the operation of the National Greenhouse Gas
Database;
(2) distribute additional responsibilities and activities
identified by this title to Federal departments or agencies
according to their mission and expertise and to maximize the
use of existing resources; and
(3) provide for the comprehensive collection and analysis
of data on the emissions related to product use, including
fossil fuel and energy consuming appliances and vehicles.
(b) The Memorandum of Agreement entered into under subsection (a)
shall, at a minimum, retain the following functions for the respective
Departments and agencies:
(1) The Department of Energy shall be primarily responsible
for developing, maintaining, and verifying the emissions
reduction registry, under both this title and its authority
under section 1605(b) of the Energy Policy Act of 1992 (42
U.S.C. 13385(b)).
(2) The Department of Commerce shall be primarily
responsible for the development of measurement standards for
emissions monitoring and verification technologies and methods
to ensure that there is a consistent and technically accurate
record of emissions, reductions and atmospheric concentrations
of greenhouse gases for the database under this title.
(3) The Environmental Protection Agency shall be primarily
responsible for emissions monitoring, measurement, verification
and data collection, pursuant to this title and existing
authority under Titles IV and VIII of the Clean Air Act, and
including mobile source emissions information from
implementation of the Corporate Average Fuel Economy program
(49 U.S.C. Chapter 329), and the Agency's role in completing
the national inventory for compliance with the United Nations
Framework Convention on Climate Change.
(c) The Chairman shall publish a draft version of the Memorandum of
Agreement in the Federal Register and solicit comments on it as soon as
practicable and publish the final Memorandum of Agreement in the
Federal Register not later than 15 months after the date of enactment
of this title.
(d) The final Memorandum of Agreement shall not be subject to
judicial review.
SEC. 1104. NATIONAL GREENHOUSE GAS DATABASE.
(a) Establishment.--The Designated Agency or Agencies, working in
consultation with the private sector and nongovernmental organizations,
shall establish, operate and maintain a database to be known as the
National Greenhouse Gas Database to collect, verify, and analyze
information on--
(1) greenhouse gas emissions by entities located in the
United States; and
(2) greenhouse gas emission reductions by entities based in
the United States.
(b) National Greenhouse Gas Database Components.--The database
shall consist of an inventory of greenhouse gas emissions and a
registry of greenhouse gas emissions reductions.
(c) Deadline.--Not later than 2 years after the date of enactment
of this title, the Designated Agency or Agencies shall promulgate a
rule to implement a comprehensive system for greenhouse gas emissions
reporting, inventorying and reductions registration. The Designated
Agency or Agencies shall ensure that the system is designed to maximize
completeness, transparency, and accuracy and to minimize measurement
and reporting costs for covered entities.
(d) Required Elements of Database Reporting System.--
(1) Mandatory reporting.--
(A) Beginning one year after promulgation of the
final rule issued under subsection (c), each entity
that exceeds the greenhouse gas emissions threshold in
paragraph (2) shall report annually to the Designated
Agency or Agencies, for inclusion in the National
Greenhouse Gas Database, the entity-wide emissions of
greenhouse gases in the previous calendar year. Such
reports are due annually to the Designated Agency or
Agencies, but must be submitted no later than April 30
of each calendar year in support of the previous years'
emission reporting requirements.
(B) Each report submitted shall include--
(i) direct emissions from stationary
sources;
(ii) direct emissions from vehicles owned
or controlled by a covered entity;
(iii) direct emissions from any land use
activities that release significant quantities
of greenhouse gases;
(iv) indirect emissions from all outsourced
activities, contract manufacturing, wastes
transferred from the control of an entity, and
other relevant instances, as determined to be
practicable under the rule;
(v) indirect emissions from electricity,
heat, and steam imported from another entity,
as determined to be practicable under the rule;
(vi) the production, distribution or import
of greenhouse gases listed under section 1102
by an entity; and
(vii) such other categories, which the
designated Agency or Agencies determine by
rule, after public notice and comment, should
be included to accomplish the purposes of this
title.
(C) Each report shall include total mass quantities
for each greenhouse gas emitted, and in terms of carbon
dioxide equivalent.
(D) Each report shall include the greenhouse gas
emissions per unit of output by an entity, such as tons
of carbon dioxide per kilowatt-hour or a similar
metric.
(E) The first report shall be required to be
submitted not later than April 30 of the fourth year
after the date of enactment of this title.
(2) Threshold for reporting.--
(A) An entity shall not be required to make a
report under paragraph (1) unless--
(i) the total greenhouse gas emissions of
at least one facility owned by an entity in the
calendar year for reporting exceeds 10,000
metric tons of carbon dioxide equivalent, or a
greater level as determined by rule; or
(ii) the total quantity of greenhouse gases
produced, distributed or imported by the entity
exceeds 10,000 metric tons of carbon dioxide
equivalent, or a greater level as determined by
rule.
(B) the final rule promulgated under section
1104(c) and subsequent revisions to that rule with
respect to the threshold for reporting in subparagraph
(A) shall capture information on no less than 75
percent of greenhouse gas emissions from entities.
(3) Method of reporting.--Entity-wide emissions shall be
reported at the facility level.
(4) Additional voluntary reporting.--An entity may
voluntarily report to the Designated Agency or Agencies, for
inclusion in the registry portion of the national database--
(A) with respect to the preceding calendar year and
any greenhouse gas emitted by the entity--
(i) project reductions from facilities
owned or controlled by the reporting entity in
the United States;
(ii) transfers of project reductions to and
from any other entity;
(iii) project reductions and transfers of
project reductions outside the United States;
(iv) other indirect emissions that are not
required to be reported under subsection (d);
and
(v) product use phase emissions; and
(B) with respect to greenhouse gas emissions
reductions activities carried out since 1990 and
verified according to rules implementing subparagraph
(6) of this subsection and submitted to the Designated
Agency or Agencies before the date that is three years
after the date of enactment of this title, those
reductions that have been reported or submitted by an
entity under section 1605(b) of the Energy Policy Act
of 1992 (42 U.S.C. 13385(b)) or under other Federal or
State voluntary greenhouse gas reduction programs.
(5) Types of activities.--Under paragraph (4), an entity
may report projects that reduce greenhouse gas emissions or
sequester a greenhouse gas, including--
(A) fuel switching;
(B) energy efficiency improvements;
(C) use of renewable energy;
(D) use of combined heat and power systems;
(E) management of cropland, grassland, and grazing
land;
(F) forestry activities that increase forest carbon
stocks or reduce forest carbon emissions;
(G) carbon capture and storage;
(H) methane recovery; and
(I) greenhouse gas offset investments.
(6) Provision of verification information by reporting
entities.--Each reporting entity shall provide information
sufficient for the Designated Agency or Agencies to verify, in
accordance with measurement and verification criteria developed
under Section 1106, that the greenhouse gas report of the
reporting entity--
(A) has been accurately reported; and
(B) in the case of each additional voluntary
report, represents--
(i) actual reductions in direct greenhouse
gas emissions relative to historic emission
levels and net of any related increases in
direct emissions, or
(ii) actual increases in net sequestration.
(7) Independent third-party verification.--A reporting
entity may--
(A) obtain independent third-party verification;
and
(B) present the results of the third-party
verification to the Designated Agency or Agencies for
consideration by the Designated Agency or Agencies in
carrying out paragraph (1).
(8) Data quality.--The rule under subsection (c) shall
establish procedures and protocols needed to--
(A) prevent the reporting of some or all of the
same greenhouse gas emissions or emission reductions by
more than one reporting entity;
(B) provide for corrections to errors in data
submitted to the database;
(C) provide for adjustment to data by reporting
entities that have had a significant organizational
change (including mergers, acquisitions, and
divestiture), in order to maintain comparability among
data in the database over time;
(D) provide for adjustments to reflect new
technologies or methods for measuring or calculating
greenhouse gas emissions; and,
(E) account for changes in registration of
ownership of emissions reductions resulting from a
voluntary private transaction between reporting
entities.
(9) Availability of data.--The Designated Agency or
Agencies shall ensure that information in the database is
published, accessible to the public, and made available in
electronic format on the Internet, except in cases where the
Designated Agency or Agencies determine that publishing or
making available the information would disclose information
vital to national security.
(10) Data infrastructure.--The Designated Agency or
Agencies shall ensure that the database established by this Act
shall utilize and is integrated with existing Federal,
regional, and state greenhouse gas data collection and
reporting systems to the maximum extent possible and avoid
duplication of such systems.
(11) Additional issues to be considered.--In promulgating
the rules for and implementing the Database, the Designated
Agency or Agencies shall consider a broad range of issues
involved in establishing an effective database, including the
following:
(A) Units for reporting.--The appropriate units for
reporting each greenhouse gas, and whether to require
reporting of emission efficiency rates (including
emissions per kilowatt-hour for electricity generators) in addition to
mass emissions of greenhouse gases,
(B) International consistency.--The greenhouse gas
reduction and sequestration methods and standards
applied in other countries, as applicable or relevant;
and
(C) Data sufficiency.--The extent to which
available fossil fuels, greenhouse gas emissions, and
greenhouse gas production and importation data are
adequate to implement a comprehensive National
Greenhouse Gas Database.
(e) Enforcement.--The Attorney General may, at the request of the
Designated Agency or Agencies, bring a civil action in United States
District Court against an entity that fails to comply with reporting
requirements under this section, to impose a civil penalty of not more
than $25,000 for each day that the failure to comply continues.
(f) Annual Report.--The Designated Agency or Agencies shall publish
an annual report that--
(1) describes the total greenhouse gas emissions and
emission reductions reported to the database;
(2) provides entity-by-entity and sector-by-sector analyses
of the emissions and emission reductions reported, and
(3) describes the atmospheric concentrations of greenhouse
gases and tracks such information over time.
SEC. 1105. REPORT ON STATUTORY CHANGES AND HARMONIZATION.
Not later than 3 years after the date of enactment of this title,
the President shall submit to Congress a report identifying any changes
needed to this title or to other provisions of law to improve the
accuracy or operation of the Greenhouse Gas Database and related
programs under this title.
SEC. 1106. MEASUREMENT AND VERIFICATION.
The Designated Agency or Agencies shall, not later than 1 year
after the date of enactment of this title, design and develop
comprehensive measurement and verification methods and standards to
ensure a consistent and technically accurate record of greenhouse gas
emissions, reductions, and atmospheric concentrations for use in the
national greenhouse gas database. The Agency or Agencies shall
periodically review and revise these methods and standards as
necessary.
SEC. 1107. INDEPENDENT REVIEW.
(a) The General Accounting Office shall submit a report to Congress
five years after the date of enactment of this title, and every three
years thereafter, providing a review of the efficacy of the
implementation and operation of the National Greenhouse Gas Database
established in section 1104 and making recommendations for improvements
to the programs created pursuant to this title and changes to the law
that will achieve a consistent and technically accurate record of
greenhouse gas emissions, reductions, and atmospheric concentrations
and the other purposes of this title.
(b) The Designated Agency or Agencies shall enter into an agreement
with the National Academy of Sciences to review the scientific methods,
assumptions and standards used by the Agency or Agencies implementing
this title, and to report to Congress not later than four years after
the date of enactment of this title with recommendations for improving
those methods and standards or related elements of the programs or
structure of the reporting and registry system established by this
title.
SEC. 1108. AUTHORIZATION OF APPROPRIATIONS.
There is authorized to be appropriated such sums as are necessary
to carry out the activities and programs included in this title.
DIVISION E--ENHANCING RESEARCH, DEVELOPMENT, AND TRAINING
TITLE XII--ENERGY RESEARCH AND DEVELOPMENT PROGRAMS
SEC. 1201. SHORT TITLE.
This division may be cited as the ``Energy Science and Technology
Enhancement Act of 2002''.
SEC. 1202. FINDINGS.
The Congress finds the following:
(1) A coherent national energy strategy requires an energy
research and development program that supports basic energy
research and provides mechanisms to develop, demonstrate, and
deploy new energy technologies in partnership with industry.
(2) An aggressive national energy research, development,
demonstration, and technology deployment program is an integral
part of a national climate change strategy, because it can
reduce--
(A) United States energy intensity by 1.9 percent
per year from 1999 to 2020;
(B) United States energy consumption in 2020 by 8
quadrillion Btu from otherwise expected levels; and
(C) United States carbon dioxide emissions from
expected levels by 166 million metric tons in carbon
equivalent in 2020.
(3) An aggressive national energy research, development,
demonstration, and technology deployment program can help
maintain domestic United States production of energy, increase
United States hydrocarbon reserves by 14 percent, and lower
natural gas prices by 20 percent, compared to estimates for
2020.
(4) An aggressive national energy research, development,
demonstration, and technology deployment program is needed if
United States suppliers and manufacturers are to compete in
future markets for advanced energy technologies.
SEC. 1203. DEFINITIONS.
In this title:
(1) Department.--The term ``Department'' means the
Department of Energy.
(2) Departmental mission.--The term ``departmental
mission'' means any of the functions vested in the Secretary of
Energy by the Department of Energy Organization Act (42 U.S.C.
7101 et seq.) or other law.
(3) Institution of higher education.--The term
``institution of higher education'' has the meaning given that
term in section 1201(a) of the Higher Education Act of 1965 (20
U.S.C. 1141(a));
(4) National laboratory.--The term ``National Laboratory''
means any of the following multi-purpose laboratories owned by
the Department of Energy--
(A) Argonne National Laboratory;
(B) Brookhaven National Laboratory;
(C) Idaho National Engineering and Environmental
Laboratory;
(D) Lawrence Berkeley National Laboratory;
(E) Lawrence Livermore National Laboratory;
(F) Los Alamos National Laboratory;
(G) National Energy Technology Laboratory;
(H) National Renewable Energy Laboratory;
(I) Oak Ridge National Laboratory;
(J) Pacific Northwest National Laboratory; or
(K) Sandia National Laboratory.
(5) Secretary.--The term ``Secretary'' means the
Secretary of Energy.
(6) Technology deployment.--The term ``technology
deployment'' means activities to promote acceptance and
utilization of technologies in commercial application,
including activities undertaken pursuant to section 7 of the
Federal Nonnuclear Energy Research and Development Act of 1974
(42 U.S.C. 5906) or section 6 of the Renewable Energy and
Energy Efficiency Technology Competitiveness Act of 1989 (42
U.S.C. 12007).
SEC. 1204. CONSTRUCTION WITH OTHER LAWS.
Except as otherwise provided in this title and title XIV, the
Secretary shall carry out the research, development, demonstration, and
technology deployment programs authorized by this title in accordance
with the Atomic Energy Act of 1954 (42 U.S.C. 2011 et seq.), the
Federal Nonnuclear Research and Development Act of 1974 (42 U.S.C. 5901
et seq.), the Energy Policy Act of 1992 (42 U.S.C. 13201 et seq.), or
any other Act under which the Secretary is authorized to carry out such
activities.
Subtitle A--Energy Efficiency
SEC. 1211. ENHANCED ENERGY EFFICIENCY RESEARCH AND DEVELOPMENT.
(a) Program Direction.--The Secretary shall conduct balanced energy
research, development, demonstration, and technology deployment
programs to enhance energy efficiency in buildings, industry, power
technologies, and transportation.
(b) Program Goals.--
(1) Energy-efficient housing.--The goal of the energy-
efficient housing program shall be to develop, in partnership
with industry, enabling technologies (including lighting
technologies), designs, production methods, and supporting
activities that will, by 2010--
(A) cut the energy use of new housing by 50
percent, and
(B) reduce energy use in existing homes by 30
percent.
(2) Industrial energy efficiency.--The goal of the
industrial energy efficiency program shall be to develop, in
partnership with industry, enabling technologies, designs,
production methods, and supporting activities that will, by
2010, enable energy-intensive industries such as the following
industries to reduce their energy intensity by at least 25
percent:
(A) the wood product manufacturing industry;
(B) the pulp and paper industry;
(C) the petroleum and coal products manufacturing
industry;
(D) the mining industry;
(E) the chemical manufacturing industry;
(F) the glass and glass product manufacturing
industry;
(G) the iron and steel mills and ferroalloy
manufacturing industry;
(H) the primary aluminum production industry;
(I) the foundries industry; and
(J) U.S. agriculture.
(3) Transportation energy efficiency.--The goal of the
transportation energy efficiency program shall be to develop,
in partnership with industry, technologies that will enable the
achievement--
(A) by 2010, passenger automobiles with a fuel
economy of 80 miles per gallon;
(B) by 2010, light trucks (classes 1 and 2a) with a
fuel economy of 60 miles per gallon;
(C) by 2010, medium trucks and buses (classes 2b
through 6 and class 8 transit buses) with a fuel
economy, in ton-miles per gallon, that is three times
that of year 2000 equivalent vehicles;
(D) by 2010, heavy trucks (classes 7 and 8) with a
fuel economy, in ton-miles per gallon, that is two
times that of year 2000 equivalent vehicles; and
(E) by 2015, the production of fuel-cell powered
passenger vehicles with a fuel economy of 110 miles per
gallon.
(4) Energy efficient distributed generation.--The goals of
the energy efficient on-site generation program shall be to
help remove environmental and regulatory barriers to on-site,
or distributed, generation and combined heat and power by
developing technologies by 2015 that achieve--
(A) electricity generating efficiencies greater
than 40 percent for on-site generation technologies
based upon natural gas, including fuel cells,
microturbines, reciprocating engines and industrial gas
turbines;
(B) combined heat and power total (electric and
thermal) efficiencies of more than 85 percent;
(C) fuel flexibility to include hydrogen, biofuels
and natural gas;
(D) near zero emissions of pollutants that form
smog and acid rain;
(E) reduction of carbon dioxide emissions by at
least 40 percent;
(F) packaged system integration at end user
facilities providing complete services in heating,
cooling, electricity and air quality; and
(G) increased reliability for the consumer and
greater stability for the national electricity grid.
(c) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary for carrying out research, development,
demonstration, and technology deployment activities under this
subtitle--
(1) $700,000,000 for fiscal year 2003;
(2) $784,000,000 for fiscal year 2004;
(3) $878,000,000 for fiscal year 2005; and
(4) $983,000,000 for fiscal year 2006.
(d) Limitation on Use of Funds.--None of the funds authorized to be
appropriated in subsection (c) may be used for the following programs
of the Department--
(1) Weatherization Assistance Program;
(2) State Energy Program; or
(3) Federal Energy Management Program.
SEC. 1212. ENERGY EFFICIENCY SCIENCE INITIATIVE.
(a) Establishment and Authorization of Appropriations.--From
amounts authorized under section 1211(c), there are authorized to be
appropriated not more than $50,000,000 in any fiscal year, for an
Energy Efficiency Science Initiative to be managed by the Assistant
Secretary in the Department with responsibility for energy conservation
under section 203(a)(9) of the Department of Energy Organization Act
(42 U.S.C. 7133(a)(9)), in consultation with the Director of the Office
of Science, for grants to be competitively awarded and subject to peer
review for research relating to energy efficiency.
(b) Report.--The Secretary of Energy shall submit to the Committee
on Science and the Committee on Appropriations of the United States
House of Representatives, and to the Committee on Energy and Natural
Resources and the Committee on Appropriations of the United States
Senate, an annual report on the activities of the Energy Efficiency
Science Initiative, including a description of the process used to
award the funds and an explanation of how the research relates to
energy efficiency.
SEC. 1213. NEXT GENERATION LIGHTING INITIATIVE.
(a) Establishment.--There is established in the Department a Next
Generation Lighting Initiative to research, develop, and conduct
demonstration activities on advanced solid-state lighting technologies
based on white light emitting diodes.
(b) Objectives.--
(1) In general.--The objectives of the initiative shall be
to develop, by 2011, advanced solid-state lighting technologies
based on white light emitting diodes that, compared to
incandescent and fluorescent lighting technologies, are--
(A) longer lasting;
(B) more energy-efficient; and
(C) cost-competitive.
(2) Inorganic white light emitting diode.--The objective of
the initiative with respect to inorganic white light emitting
diodes shall be to develop an inorganic white light emitting
diode that has an efficiency of 160 lumens per watt and a 10-
year lifetime.
(3) Organic white light emitting diode.--The objective of
the initiative with respect to organic white light emitting
diodes shall be to develop an organic white light emitting
diode with an efficiency of 100 lumens per watt with a 5-year
lifetime that--
(A) illuminates over a full color spectrum;
(B) covers large areas over flexible surfaces; and
(C) does not contain harmful pollutants typical of
fluorescent lamps such as mercury.
(c) Consortium.--
(1) In general.--The Secretary shall initiate and manage
basic and manufacturing-related research on advanced solid-
state lighting technologies based on white light emitting
diodes for the initiative, in cooperation with the Next
Generation Lighting Initiative Consortium.
(2) Composition.--The consortium shall be composed of
firms, national laboratories, and other entities so that the
consortium is representative of the United States solid state
lighting research, development, and manufacturing expertise as
a whole.
(3) Funding.--The consortium shall be funded by--
(A) participation fees; and
(B) grants provided under subsection (e)(1).
(4) Eligibility.--To be eligible to receive a grant under
subsection (e)(1), the consortium shall--
(A) enter into a consortium participation agreement
that--
(i) is agreed to by all participants; and
(ii) describes the responsibilities of
participants, participation fees, and the scope
of research activities; and
(B) develop an annual program plan.
(5) Intellectual property.--Participants in the consortium
shall have royalty-free nonexclusive rights to use intellectual
property derived from consortium research conducted under
subsection (e)(1).
(d) Planning Board.--
(1) In general.--Not later than 90 days after the
establishment of the consortium, the Secretary shall establish
and appoint the members of a planning board, to be known as the
``Next Generation Lighting Initiative Planning Board'', to
assist the Secretary in carrying out this section.
(2) Composition.--The planning board shall be composed of--
(A) 4 members from universities, national
laboratories, and other individuals with expertise in
advanced solid-state lighting and technologies based on
white light emitting diodes; and
(B) 3 members from a list of not less than 6
nominees from industry submitted by the consortium.
(3) Study.--
(A) In general.--Not later than 90 days after the
date on which the Secretary appoints members to the
planning board, the planning board shall complete a
study on strategies for the development and
implementation of advanced solid-state lighting
technologies based on white light emitting diodes.
(B) Requirements.--The study shall develop a
comprehensive strategy to implement, through the
initiative, the use of white light emitting diodes to
increase energy efficiency and enhance United States
competitiveness.
(C) Implementation.--As soon as practicable after
the study is submitted to the Secretary, the Secretary
shall implement the initiative in accordance with the
recommendations of the planning board.
(4) Termination.--The planning board shall terminate upon
completion of the study under paragraph (3).
(e) Grants.--
(1) Fundamental research.--The Secretary, through the
consortium, shall make grants to conduct basic and
manufacturing-related research related to advanced solid-state
lighting technologies based on white light emitting diode
technologies.
(2) Technology development and demonstration.--The
Secretary shall enter into grants, contracts, and cooperative
agreements to conduct or promote technology research,
development, or demonstration activities. In providing funding
under this paragraph, the Secretary shall give preference to
participants in the consortium.
(3) Continuing assessment.--The consortium, in
collaboration with the Secretary, shall formulate annual
operating and performance objectives, develop technology
roadmaps, and recommend research and development priorities for
the initiative. The Secretary may also establish or utilize
advisory committees, or enter into appropriate arrangements
with the National Academy of Sciences, to conduct periodic
reviews of the initiative. The Secretary shall consider the
results of such assessment and review activities in making
funding decisions under paragraphs (1) and (2) of this
subsection.
(4) Technical assistance.--The National Laboratories shall
cooperate with and provide technical assistance to persons
carrying out projects under the initiative.
(5) Audits.--
(A) In general.--The Secretary shall retain an
independent, commercial auditor to determine the extent
to which funds made available under this section have
been expended in a manner that is consistent with the
objectives under subsection (b) and, in the case of
funds made available to the consortium, the annual
program plan of the consortium under subsection
(c)(4)(B).
(B) Reports.--The auditor shall submit to Congress,
the Secretary, and the Comptroller General of the
United States an annual report containing the results
of the audit.
(6) Applicable law.--Grants, contracts, and cooperative
agreements under this section shall not be subject to the
Federal Acquisition Regulation.
(f) Protection of Information.--Information obtained by the Federal
Government on a confidential basis under this section shall be
considered to constitute trade secrets and commercial or financial
information obtained from a person and privileged or confidential under
section 552(b)(4) of title 5, United States Code.
(g) Authorization of Appropriations.--In addition to amounts
authorized under section 1211(c), there are authorized to be
appropriated for activities under this section $50,000,000 for each of
fiscal years 2003 through 2011.
(h) Definitions.--In this section:
(1) Advanced solid-state lighting.--The term ``advanced
solid-state lighting'' means a semiconducting device package
and delivery system that produces white light using externally
applied voltage.
(2) Consortium.--The term ``consortium'' means the Next
Generation Lighting Initiative Consortium under subsection (c).
(3) Initiative.--The term ``initiative'' means the Next
Generation Lighting Initiative established under subsection
(a).
(4) Inorganic white light emitting diode.--The term
``inorganic white light emitting diode'' means an inorganic
semiconducting package that produces white light using
externally applied voltage.
(5) Organic white light emitting diode.--The term ``organic
white light emitting diode'' means an organic semiconducting
compound that produces white light using externally applied
voltage.
(6) White light emitting diode.--The term ``white light
emitting diode'' means--
(A) an inorganic white light emitting diode; or
(B) an organic white light emitting diode.
SEC. 1214. RAILROAD EFFICIENCY.
(a) Establishment.--The Secretary shall, in cooperation with the
Secretaries of Transportation and Defense, and the Administrator of the
Environmental Protection Agency, establish a public-private research
partnership involving the federal government, railroad carriers,
locomotive manufacturers, and the Association of American Railroads.
The goal of the initiative shall include developing and demonstrating
locomotive technologies that increase fuel economy, reduce emissions,
improve safety, and lower costs.
(b) Authorization of Appropriations.--There are authorized to be
appropriated to carry out the requirements of this section $60,000,000
for fiscal year 2003 and $70,000,000 for fiscal year 2004.
Subtitle B--Renewable Energy
SEC. 1221. ENHANCED RENEWABLE ENERGY RESEARCH AND DEVELOPMENT.
(a) Program Direction.--The Secretary shall conduct balanced energy
research, development, demonstration, and technology deployment
programs to enhance the use of renewable energy.
(b) Program Goals.--
(1) Wind power.--The goals of the wind power program shall
be to develop, in partnership with industry, a variety of
advanced wind turbine designs and manufacturing technologies
that are cost-competitive with fossil-fuel generated
electricity, with a focus on developing advanced low wind speed
technologies that, by 2007, will enable the expanding
utilization of widespread class 3 and 4 winds.
(2) Photovoltaics.--The goal of the photovoltaic program
shall be to develop, in partnership with industry, total
photovoltaic systems with installed costs of $4000 per peak
kilowatt by 2005 and $2000 per peak kilowatt by 2015.
(3) Solar thermal electric systems.--The goal of the solar
thermal electric systems program shall be to develop, in
partnership with industry, solar power technologies (including
baseload solar power) that are competitive with fossil-fuel
generated electricity by 2015, by combining high-efficiency and
high-temperature receivers with advanced thermal storage and
power cycles.
(4) Biomass-based power systems.--The goal of the biomass
program shall be to develop, in partnership with industry,
integrated power-generating systems, advanced conversion, and
feedstock technologies capable of producing electric power that
is cost-competitive with fossil-fuel generated electricity by
2010, together with the production of fuels, chemicals, and
other products under paragraph (6).
(5) Geothermal energy.--The goal of the geothermal program
shall be to develop, in partnership with industry, technologies
and processes based on advanced hydrothermal systems and
advanced heat and power systems, including geothermal heat pump
technology, with a specific focus on--
(A) improving exploration and characterization
technology to increase the probability of drilling
successful wells from 20 percent to 40 percent by 2006;
(B) reducing the cost of drilling by 2008 to an
average cost of $150 per foot; and
(C) developing enhanced geothermal systems
technology with the potential to double the useable
geothermal resource base.
(6) Biofuels.--The goal of the biofuels program shall be to
develop, in partnership with industry, advanced biochemical and
thermochemical conversion technologies capable of making liquid
and gaseous fuels from cellulosic feedstocks, that are price-
competitive with gasoline or diesel, in either internal
combustion engines or fuel cell vehicles, by 2010.
(7) Hydrogen-based energy systems.--The goals of the
hydrogen program shall be to support research and development
on technologies for production, storage, and use of hydrogen,
including fuel cells and, specifically, fuel-cell vehicle
development activities under section 1211.
(8) Hydropower.--The goal of the hydropower program shall
be to develop, in partnership with industry, a new generation
of turbine technologies that are less damaging to fish and
aquatic ecosystems.
(9) Electric energy systems and storage.--The goals of the
electric energy and storage program shall be to develop, in
partnership with industry--
(A) generators and transmission, distribution, and
storage systems that combine high capacity with high
efficiency;
(B) technologies to interconnect distributed energy
resources with electric power systems, comply with any
national interconnection standards, have a minimum 10-
year useful life;
(C) advanced technologies to increase the average
efficiency of electric transmission facilities in rural
and remote areas, giving priority for demonstrations to
advanced transmission technologies that are being or
have been field tested;
(D) the use of new transmission technologies,
including composite conductor materials, advanced
protection devices, controllers, and other cost-
effective methods and technologies;
(E) the use of superconducting materials in power
delivery equipment such as transmission and
distribution cables, transformers, and generators;
(F) energy management technologies for enterprises
with aggregated loads and distributed generation, such
as power parks;
(G) economic and system models to measure the costs
and benefits of improved system performance;
(H) hybrid distributed energy systems to optimize
two or more distributed or on-site generation
technologies; and
(I) real-time transmission and distribution system
control technologies that provide for continual
exchange of information between generation,
transmission, distribution, and end-user facilities.
(c) Special Projects.--In carrying out this section, the Secretary
shall demonstrate--
(1) the use of advanced wind power technology, biomass,
geothermal energy systems, and other renewable energy
technologies to assist in delivering electricity to rural and
remote locations; and
(2) the combined use of wind power and coal gasification
technologies.
(d) Financial Assistance to Rural Areas.--In carrying out special
projects under subsection (c), the Secretary may provide financial
assistance to rural electric cooperatives and other rural entities.
(e) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary for carrying out research, development,
demonstration, and technology deployment activities under this
subtitle--
(1) $500,000,000 for fiscal year 2003;
(2) $595,000,000 for fiscal year 2004;
(3) $683,000,000 for fiscal year 2005; and
(4) $733,000,000 for fiscal year 2006.
SEC. 1222. BIOENERGY PROGRAMS.
(a) Program Direction.--The Secretary shall carry out research,
development, demonstration, and technology development activities
related to bioenergy, including programs under paragraphs (4) and (6)
of section 1221(b).
(b) Authorization of Appropriations.--
(1) Biopower energy systems.--From amounts authorized under
section 1221(e), there are authorized to be appropriated to the
Secretary for biopower energy systems--
(A) $60,300,000 for fiscal year 2003;
(B) $69,300,000 for fiscal year 2004;
(C) $79,600,000 for fiscal year 2005; and
(D) $86,250,000 for fiscal year 2006.
(2) Biofuels energy systems.--From amounts authorized under
section 1221(e), there are authorized to be appropriated to the
Secretary for biofuels energy systems--
(A) $57,500,000 for fiscal year 2003;
(B) $66,125,000 for fiscal year 2004;
(C) $76,000,000 for fiscal year 2005; and
(D) $81,400,000 for fiscal year 2006.
(3) Integrated bioenergy research and development.--The
Secretary may use funds authorized under paragraph (1) or (2)
for programs, projects, or activities that integrate
applications for both biopower and biofuels, including cross-
cutting research and development in feedstocks and economic
analysis.
SEC. 1223. HYDROGEN RESEARCH AND DEVELOPMENT.
(a) Short Title.--This section may be cited as the ``Hydrogen
Future Act of 2002''.
(b) Purposes.--Section 102(b) of the Spark M. Matsunaga Hydrogen
Research, Development, and Demonstration Act of 1990 (42 U.S.C.
12401(b)) is amended by striking paragraphs (2) and (3) and inserting
the following:
``(2) to direct the Secretary to develop a program of
technology assessment, information transfer, and education in
which Federal agencies, members of the transportation, energy,
and other industries, and other entities may participate;
``(3) to develop methods of hydrogen production that
minimize production of greenhouse gases, including developing--
``(A) efficient production from non-renewable
resources; and
``(B) cost-effective production from renewable
resources such as biomass, geothermal, wind, and solar
energy; and
``(4) to foster the use of hydrogen as a major energy
source, including developing the use of hydrogen in--
``(A) isolated villages, islands, and communities
in which other energy sources are not available or are
very expensive; and
``(B) foreign economic development, to avoid
environmental damage from increased fossil fuel use.''.
(c) Report to Congress.--Section 103 of the Spark M. Matsunaga
Hydrogen Research, Development, and Demonstration Act of 1990 (42
U.S.C. 12402) is amended--
(1) in subsection (a), by striking ``January 1, 1999,'' and
inserting ``1 year after the date of enactment of the Hydrogen
Future Act of 2002, and biennially thereafter,'';
(2) in subsection (b), by striking paragraphs (1) and (2)
and inserting the following:
``(1) an analysis of hydrogen-related activities throughout
the United States Government to identify productive areas for
increased intragovernmental collaboration;
``(2) recommendations of the Hydrogen Technical Advisory
Panel established by section 108 for any improvements in the
program that are needed, including recommendations for
additional legislation; and
``(3) to the extent practicable, an analysis of State and
local hydrogen-related activities.''; and
(3) by adding at the end the following:
``(c) Coordination Plan.--The report under subsection (a) shall be
based on a comprehensive coordination plan for hydrogen energy prepared
by the Secretary in consultation with other Federal agencies.''.
(d) Hydrogen Research and Development.--Section 104 of the Spark M.
Matsunaga Hydrogen Research, Development, and Demonstration Act of 1990
(42 U.S.C. 12403) is amended--
(1) in subsection (b)(1), by striking ``marketplace;'' and
inserting ``marketplace, including foreign markets,
particularly where an energy infrastructure is not well
developed;'';
(2) in subsection (e), by striking ``this chapter'' and
inserting ``this Act'';
(3) by striking subsection (g) and inserting the following:
``(g) Cost Sharing.--
``(1) Inability to fund entire cost.--The Secretary shall
not consider a proposal submitted by a person from industry
unless the proposal contains a certification that--
``(A) reasonable efforts to obtain non-Federal
funding in the amount necessary to pay 100 percent of
the cost of the project have been made; and
``(B) non-Federal funding in that amount could not
reasonably be obtained.
``(2) Non-federal share.--
``(A) In general.--The Secretary shall require a
commitment from non-Federal sources of at least 25
percent of the cost of the project.
``(B) Reduction or elimination.--The Secretary may
reduce or eliminate the cost-sharing requirement under
subparagraph (A) for the proposed research and
development project, including for technical analyses,
economic analyses, outreach activities, and educational
programs, if the Secretary determines that reduction or
elimination is necessary to achieve the objectives of
this Act.
(4) in subsection (i), by striking ``this chapter'' and
inserting ``this Act''.
(e) Demonstrations.--Section 105 of the Spark M. Matsunaga Hydrogen
Research, Development, and Demonstration Act of 1990 (42 U.S.C. 12404)
is amended by striking subsection (c) and inserting the following:
``(c) Non-Federal Share.--
``(1) In general.--Except as provided in paragraph (2), the
Secretary shall require a commitment from non-Federal sources
of at least 50 percent of the costs directly relating to a
demonstration project under this section.
``(2) Reduction.--The Secretary may reduce the non-Federal
requirement under paragraph (1) if the Secretary determines
that the reduction is appropriate considering the technological
risks involved in the project and is necessary to meet the
objectives of this Act.''.
(f) Technology Transfer.--Section 106 of the Spark M. Matsunaga
Hydrogen Research, Development, and Demonstration Act of 1990 (42
U.S.C. 12405) is amended--
(1) in subsection (a)--
(A) in the first sentence--
(i) by striking ``The Secretary shall
conduct a program designed to accelerate wider
application'' and inserting the following:
``(1) In general.--The Secretary shall conduct a program
designed to--
``(A) accelerate wider application''; and
(ii) by striking ``private sector'' and
inserting ``private sector; and
``(B) accelerate wider application of hydrogen
technologies in foreign countries to increase the
global market for the technologies and foster global
economic development without harmful environmental
effects.''; and
(B) in the second sentence, by striking ``The
Secretary'' and inserting the following:
``(2) Advice and assistance.--The Secretary''; and
(2) in subsection (b)--
(A) in paragraph (2), by redesignating
subparagraphs (A) through (D) as clauses (i) through
(iv), respectively, and indenting appropriately;
(B) by redesignating paragraphs (1) and (2) as
subparagraphs (A) and (B), respectively, and indenting
appropriately;
(C) by striking ``The Secretary, in'' and inserting
the following:
``(1) In general.--The Secretary, in'';
(D) by striking ``The information'' and inserting
the following:
``(2) Activities.--The information''; and
(E) in paragraph (1) (as designated by subparagraph
(C))--
(i) in subparagraph (A) (as redesignated by
subparagraph (B)), by striking ``an inventory''
and inserting ``an update of the inventory'';
and
(ii) in subparagraph (B) (as redesignated
by subparagraph (B)), by striking ``develop''
and all that follows through ``to improve'' and
inserting ``develop with the National
Aeronautics and Space Administration, the
Department of Energy, other Federal agencies as
appropriate, and industry, an information
exchange program to improve''.
(g) Technical Panel Review.--
(1) In general.--Section 108 of the Spark M. Matsunaga
Hydrogen Research, Development, and Demonstration Act of 1990
(42 U.S.C. 12407) is amended--
(A) in subsection (b)--
(i) by striking ``(b) Membership.--The
technical panel shall be appointed'' and
inserting the following:
``(b) Membership.--
``(1) In general.--The technical panel shall be comprised
of not fewer than 9 nor more than 15 members appointed'';
(ii) by striking the second sentence and
inserting the following:
``(2) Terms.--
``(A) In general.--The term of a member of the
technical panel shall be not more than 3 years.
``(B) Staggered terms.--The Secretary may appoint
members of the technical panel in a manner that allows
the terms of the members serving at any time to expire
at spaced intervals so as to ensure continuity in the
functioning of the technical panel.
``(C) Reappointment.--A member of the technical
panel whose term expires may be reappointed.''; and
(iii) by striking ``The technical panel
shall have a chairman,'' and inserting the
following:
``(3) Chairperson.--The technical panel shall have a
chairperson,''; and
(B) in subsection (d)--
(i) in the matter preceding paragraph (1),
by striking ``the following items'';
(ii) in paragraph (1), by striking ``and''
at the end;
(iii) in paragraph (2), by striking the
period at the end and inserting ``; and''; and
(iv) by adding at the end the following:
``(3) the plan developed by the interagency task force
under section 202(b) of the Hydrogen Future Act of 1996.''.
(2) New appointments.--Not later than 180 days after the
date of enactment of this Act, the Secretary--
(A) shall review the membership composition of the
Hydrogen Technical Advisory Panel; and
(B) may appoint new members consistent with the
amendments made by subsection (a).
(h) Authorization of Appropriations.--Section 109 of the Spark M.
Matsunaga Hydrogen Research, Development, and Demonstration Act of 1990
(42 U.S.C. 12408) is amended--
(1) in paragraph (8), by striking ``and'';
(2) in paragraph (9), by striking the period and inserting
a semicolon; and
(3) by adding at the end the following:
``(10) $65,000,000 for fiscal year 2003;
``(11) $70,000,000 for fiscal year 2004;
``(12) $75,000,000 for fiscal year 2005; and
``(13) $80,000,000 for fiscal year 2006.''.
(i) Fuel Cells.--
(1) Integration of fuel cells with hydrogen production
systems.--Section 201 of the Hydrogen Future Act of 1996 is
amended--
(A) in subsection (a)--
(i) by striking ``(a) Not later than 180
days after the date of enactment of this
section, and subject'' and inserting ``(a) In
General.--Subject''; and
(ii) by striking ``with--'' and all that
follows and inserting ``into Federal, State,
and local government facilities for stationary
and transportation applications.'';
(B) in subsection (b), by striking ``gas is'' and
inserting ``basis'';
(C) in subsection (c)(2), by striking ``systems
described in subsections (a)(1) and (a)(2)'' and
inserting ``projects proposed''; and
(D) by striking subsection (d) and inserting the
following:
``(d) Non-Federal Share.--
``(1) In general.--Except as provided in paragraph (2), the
Secretary shall require a commitment from non-Federal sources
of at least 50 percent of the costs directly relating to a
demonstration project under this section.
``(2) Reduction.--The Secretary may reduce the non-Federal
requirement under paragraph (1) if the Secretary determines
that the reduction is appropriate considering the technological
risks involved in the project and is necessary to meet the
objectives of this Act.''.
(2) Cooperative and cost-sharing agreements; integration of
technical information.--Title II of the Hydrogen Future Act of
1996 (42 U.S.C. 12403 note; Public Law 104-271) is amended by
striking section 202 and inserting the following:
``SEC. 202. INTERAGENCY TASK FORCE.
``(a) Establishment.--Not later than 120 days after the date of
enactment of this section, the Secretary shall establish an interagency
task force led by a Deputy Assistant Secretary of the Department of
Energy and comprised of representatives of--
``(1) the Office of Science and Technology Policy;
``(2) the Department of Transportation;
``(3) the Department of Defense;
``(4) the Department of Commerce (including the National
Institute for Standards and Technology);
``(5) the Environmental Protection Agency;
``(6) the National Aeronautics and Space Administration;
and
``(7) other agencies as appropriate.
``(b) Duties.--
``(1) In general.--The task force shall develop a plan for
carrying out this title.
``(2) Focus of plan.--The plan shall focus on development
and demonstration of integrated systems and components for--
``(A) hydrogen production, storage, and use in
Federal, State, and local government buildings and
vehicles;
``(B) hydrogen-based infrastructure for buses and
other fleet transportation systems that include zero-
emission vehicles; and
``(C) hydrogen-based distributed power generation,
including the generation of combined heat, power, and
hydrogen.
``SEC. 203. COOPERATIVE AND COST-SHARING AGREEMENTS.
``The Secretary shall enter into cooperative and cost-sharing
agreements with Federal, State, and local agencies for participation by
the agencies in demonstrations at facilities administered by the
agencies, with the aim of integrating high efficiency hydrogen systems
using fuel cells into the facilities to provide immediate benefits and
promote a smooth transition to hydrogen as an energy source.
``SEC. 204. INTEGRATION AND DISSEMINATION OF TECHNICAL INFORMATION.
``The Secretary shall--
``(1) integrate all the technical information that becomes
available as a result of development and demonstration projects
under this title;
``(2) make the information available to all Federal and
State agencies for dissemination to all interested persons; and
``(3) foster the exchange of generic, nonproprietary
information and technology developed under this title among
industry, academia, and Federal, State, and local governments,
to help the United States economy attain the economic benefits
of the information and technology.
``SEC. 205. AUTHORIZATION OF APPROPRIATIONS.
``There are authorized to be appropriated, for activities under
this title--
``(1) $25,000,000 for fiscal year 2003;
``(2) $30,000,000 for fiscal year 2004;
``(3) $35,000,000 for fiscal year 2005; and
``(4) $40,000,000 for fiscal year 2006.''.
Subtitle C--Fossil Energy
SEC. 1231. ENHANCED FOSSIL ENERGY RESEARCH AND DEVELOPMENT.
(a) Program Direction.--The Secretary shall conduct a balanced
energy research, development, demonstration, and technology deployment
program to enhance fossil energy.
(b) Program Goals.--
(1) Core fossil research and development.--The goals of the
core fossil research and development program shall be to reduce
emissions from fossil fuel use by developing technologies,
including precombustion technologies, by 2015 with the
capability of realizing--
(A) electricity generating efficiencies of 60
percent for coal and 75 percent for natural gas;
(B) combined heat and power thermal efficiencies of
more than 85 percent;
(C) fuels utilization efficiency of 75 percent for
the production of liquid transportation fuels from
coal;
(D) near zero emissions of mercury and of emissions
that form fine particles, smog, and acid rain;
(E) reduction of carbon dioxide emissions by at
least 40 percent through efficiency improvements and
100 percent with sequestration; and
(F) improved reliability, efficiency, reductions of
air pollutant emissions, or reductions in solid waste
disposal requirements.
(2) Offshore oil and natural gas resources.--The goal of
the offshore oil and natural gas resources program shall be to
develop technologies to--
(A) extract methane hydrates in coastal waters of
the United States, and
(B) develop natural gas and oil reserves in the
ultra-deepwater of the Central and Western Gulf of
Mexico.
(3) Onshore oil and natural gas resources.--The goal of the
onshore oil and natural gas resources program shall be to
advance the science and technology available to domestic
onshore petroleum producers, particularly independent
operators, through--
(A) advances in technology for exploration and
production of domestic petroleum resources,
particularly those not accessible with current
technology;
(B) improvement in the ability to extract
hydrocarbons from known reservoirs and classes of
reservoirs; and
(C) development of technologies and practices that
reduce the threat to the environment from petroleum
exploration and production and decrease the cost of
effective environmental compliance.
(4) Transportation fuels.--The goals of the transportation
fuels program shall be to increase the price elasticity of oil
supply and demand by focusing research on--
(A) reducing the cost of producing transportation
fuels from coal and natural gas; and
(B) indirect liquefaction of coal and biomass.
(c) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated to
the Secretary for carrying out research, development,
demonstration, and technology deployment activities under this
section--
(A) $485,000,000 for fiscal year 2003;
(B) $508,000,000 for fiscal year 2004;
(C) $532,000,000 for fiscal year 2005; and
(D) $558,000,000 for fiscal year 2006.
(2) Limits on use of funds.--
(A) None of the funds authorized in paragraph (1)
may be used for--
(i) Fossil energy environmental
restoration;
(ii) Import/export authorization;
(iii) Program direction; or
(iv) General plant projects.
(B) Coal-based projects.--The coal-based projects
funded under this section shall be consistent with the
goals in subsection (b). The program shall emphasize
carbon capture and sequestration technologies and
gasification technologies, including gasification
combined cycle, gasification fuel cells, gasification
co-production, hybrid gasification/combustion, or other
technology with the potential to address the goals in
subparagraphs (D) or (E) of subsection (b)(1).
SEC. 1232. POWER PLANT IMPROVEMENT INITIATIVE.
(a) Program Direction.--The Secretary shall conduct a balanced
energy research, development, demonstration, and technology deployment
program to demonstrate commercial applications of advanced lignite and
coal-based technologies applicable to new or existing power plants
(including co-production plants) that advance the efficiency,
environmental performance, and cost-competitiveness substantially
beyond technologies that are in operation or have been demonstrated by
the date of enactment of this subtitle.
(b) Technical Milestones.--
(1) In general.--The Secretary shall set technical
milestones specifying efficiency and emissions levels that
projects shall be designed to achieve. The milestones shall
become more restrictive over the life of the program.
(2) 2010 efficiency milestones.--The milestones shall be
designed to achieve by 2010 interim thermal efficiency of--
(A) 45 percent for coal of more than 9,000 Btu;
(B) 44 percent for coal of 7,000 to 9,000 Btu; and
(C) 42 percent for coal of less than 7,000 Btu.
(3) 2020 efficiency milestones.--The milestones shall be
designed to achieve by 2020 thermal efficiency of--
(A) 60 percent for coal of more than 9,000 Btu;
(B) 59 percent for coal of 7,000 to 9,000 Btu; and
(C) 57 percent for coal of less than 7,000 Btu.
(4) Emissions milestones.--The milestones shall include
near zero emissions of mercury and greenhouse gases and of
emissions that form fine particles, smog, and acid rain.
(5) Regional and quality differences.--The Secretary may
consider regional and quality differences in developing the
efficiency milestones.
(c) Project Criteria.--The demonstration activities proposed to be
conducted at a new or existing coal-based electric generation unit
having a nameplate rating of not less than 100 megawatts, excluding a
co-production plant, shall include at least one of the following--
(1) a means of recycling or reusing a significant portion
of coal combustion wastes produced by coal-based generating
units, excluding practices that are commercially available by
the date of enactment of this subtitle;
(2) a means of capture and sequestering emissions,
including greenhouse gases, in a manner that is more effective
and substantially below the cost of technologies that are in
operation or that have been demonstrated by the date of
enactment of this subtitle;
(3) a means of controlling sulfur dioxide and nitrogen
oxide or mercury in a manner that improves environmental
performance beyond technologies that are in operation or that
have been demonstrated by the date of enactment of this
subtitle, and
(A) in the case of an existing unit, achieve an
overall thermal design efficiency improvement compared
to the efficiency of the unit as operated, of not less
than--
(i) 7 percent for coal of more than 9,000
Btu;
(ii) 6 percent for coal of 7,000 to 9,000
Btu; or
(iii) 4 percent for coal of less than 7,000
Btu; or
(B) in the case of a new unit, achieve the
efficiency milestones set for in subsection (b)
compared to the efficiency of a typical unit as
operated on the date of enactment of this subtitle,
before any retrofit, repowering, replacement, or
installation.
(d) Study.--The Secretary, in consultation with the Administrator
of the Environmental Protection Agency, the Secretary of the Interior,
and interested entities (including coal producers, industries using
coal, organizations to promote coal or advanced coal technologies,
environmental organizations, and organizations representing workers),
shall conduct an assessment that identifies performance criteria that
would be necessary for coal-based technologies to meet, to enable
future reliance on coal in an environmentally sustainable manner for
electricity generation, use as a chemical feedstock, and use as a
transportation fuel.
(e) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated to
the Secretary for carrying out activities under this section
$200,000,000 for each of fiscal years 2003 through 2011.
(2) Limitation on funding of projects.--Eighty percent of
the funding under this section shall be limited to--
(A) carbon capture and sequestration technologies;
or
(B) gasification technologies, including
gasification combined cycle, gasification fuel cells,
gasification co-production, or hybrid gasification/
combustion, or
(C) or other technology either by itself or in
conjunction with other technologies has the potential
to achieve near zero emissions.
SEC. 1233. RESEARCH AND DEVELOPMENT FOR ADVANCED SAFE AND EFFICIENT
COAL MINING TECHNOLOGIES.
(a) Establishment.--The Secretary of Energy shall establish a
cooperative research partnership involving appropriate Federal
agencies, coal producers, including associations, equipment
manufacturers, universities with mining engineering departments, and
other relevant entities to--
(1) develop mining research priorities identified by the
Mining Industry of the Future Program and in the
recommendations from relevant reports of the National Academy
of Sciences on mining technologies;
(2) establish a process for conducting joint industry-
government research and development; and
(3) expand mining research capabilities at institutions of
higher education.
(b) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated to
carry out activities under this section, $12,000,000 in fiscal
year 2003 and $15,000,000 in fiscal year 2004.
(2) Limit on use of funds.--Not less than 20 percent of any
funds appropriated in a given fiscal year under this subsection
shall be dedicated to research carried out at institutions of
higher education.
SEC. 1234. ULTRA-DEEPWATER AND UNCONVENTIONAL RESOURCE EXPLORATION AND
PRODUCTION TECHNOLOGIES.
(a) Definitions.--In this section:
(1) Advisory committee.--The term ``Advisory Committee''
means the Ultra-Deepwater and Unconventional Resource
Technology Advisory Committee established under subsection (c).
(2) Award.--The term ``award'' means a cooperative
agreement, contract, award or other types of agreement as
appropriate.
(3) Deepwater.--The term ``deepwater'' means a water depth
that is greater than 200 but less than 1,500 meters.
(4) Eligible award recipient.--The term ``eligible award
recipient'' includes--
(A) a research institution;
(B) an institution of higher education;
(C) a corporation; and
(D) a managing consortium formed among entities
described in subparagraphs (A) through (C).
(5) Institution of higher education.--The term
``institution of higher education'' has the meaning given the
term in section 101 of the Higher Education Act of 1965 (20
U.S.C. 1001).
(6) Managing consortium.--The term ``managing consortium''
means an entity that--
(A) exists as of the date of enactment of this
section;
(B)(i) is an organization described in section
501(c)(3) of the Internal Revenue Code of 1986; and
(ii) is exempt from taxation under section 501(a)
of that Code;
(C) is experienced in planning and managing
programs in natural gas or other petroleum exploration
and production research, development, and
demonstration; and
(D) has demonstrated capabilities and experience in
representing the views and priorities of industry,
institutions of higher education and other research
institutions in formulating comprehensive research and
development plans and programs.
(7) Program.--The term ``program'' means the program of
research, development, and demonstration established under
subsection (b)(1)(A).
(8) Ultra-deepwater.--The term ``ultra-deepwater'' means a
water depth that is equal to or greater than 1,500 meters.
(9) Ultra-deepwater architecture.--The term ``ultra-
deepwater architecture'' means the integration of technologies
to explore and produce natural gas or petroleum products
located at ultra-deepwater depths.
(10) Ultra-deepwater resource.--The term ``ultra-deepwater
resource'' means natural gas or any other petroleum resource
(including methane hydrate) located in an ultra-deepwater area.
(11) Unconventional resource.--The term ``unconventional
resource'' means natural gas or any other petroleum resource
located in a formation on physically or economically
inaccessible land currently available for lease for purposes of
natural gas or other petroleum exploration or production.
(b) Ultra-Deepwater and Unconventional Exploration and Production
Program.--
(1) Establishment.--
(A) In general.--The Secretary shall establish a
program of research into, and development and
demonstration of, ultra-deepwater resource and
unconventional resource exploration and production
technologies.
(B) Location; implementation.--The program under
this subsection shall be carried out--
(i) in areas on the outer Continental Shelf
that, as of the date of enactment of this
section, are available for leasing; and
(ii) on unconventional resources.
(2) Components.--The program shall include one or more
programs for long-term research into--
(A) new deepwater ultra-deepwater resource and
unconventional resource exploration and production
technologies; or
(B) environmental mitigation technologies for
production of ultra-deepwater resource and
unconventional resource.
(c) Advisory Committee.--
(1) Establishment.--Not later than 30 days after the date
of enactment of this section, the Secretary shall establish an
advisory committee to be known as the ``Ultra-Deepwater and
Unconventional Resource Technology Advisory Committee''.
(2) Membership.--
(A) Composition.--Subject to subparagraph (B), the
advisory committee shall be composed of 7 members
appointed by the Secretary that--
(i) have extensive operational knowledge of
and experience in the natural gas and other
petroleum exploration and production industry;
and
(ii) are not Federal employees or employees
of contractors to a federal agency.
(B) Expertise.--Of the members of the advisory
committee appointed under subparagraph (A)--
(i) at least 4 members shall have extensive
knowledge of ultra-deepwater resource
exploration and production technologies;
(ii) at least 3 members shall have
extensive knowledge of unconventional resource
exploration and production technologies.
(3) Duties.--The advisory committee shall advise the
Secretary in the implementation of this section.
(4) Compensation.--A member of the advisory committee shall
serve without compensation but 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.
(d) Awards.--
(1) Types of awards.--
(A) Ultra-deepwater resources.--
(i) In general.--The Secretary shall make
awards for research into, and development and
demonstration of, ultra-deepwater resource
exploration and production technologies--
(I) to maximize the value of the
ultra-deepwater resources of the United
States;
(II) to increase the supply of
ultra-deepwater resources by lowering
the cost and improving the efficiency
of exploration and production of such
resources; and
(III) to improve safety and
minimize negative environmental impacts
of that exploration and production.
(ii) Ultra-deepwater architecture.--In
furtherance of the purposes described in clause
(i), the Secretary shall, where appropriate,
solicit proposals from a managing consortium to
develop and demonstrate next-generation
architecture for ultra-deepwater resource
production.
(B) Unconventional resources.--The Secretary shall
make awards--
(i) to carry out research into, and
development and demonstration of, technologies
to maximize the value of unconventional
resources; and
(ii) to develop technologies to
simultaneously--
(I) increase the supply of
unconventional resources by lowering
the cost and improving the efficiency
of exploration and production of
unconventional resources; and
(II) improve safety and minimize
negative environmental impacts of that
exploration and production.
(2) Conditions.--An award made under this subsection shall
be subject to the following conditions:
(A) Multiple entities.--If an award recipient is
composed of more than one eligible organization, the
recipient shall provide a signed contract, agreed to by
all eligible organizations comprising the award
recipient, that defines, in a manner that is consistent
with all applicable law in effect as of the date of the
contract, all rights to intellectual property for--
(i) technology in existence as of that
date; and
(ii) future inventions conceived and
developed using funds provided under the award.
(B) Components of application.--An application for
an award for a demonstration project shall describe
with specificity any intended commercial applications
of the technology to be demonstrated.
(C) Cost sharing.--Non-federal cost sharing shall
be in accordance with section 1403.
(e) Plan and Funding.--
(1) In general.--The Secretary, and where appropriate, a
managing consortium under subsection (d)(1)(A)(ii), shall
formulate annual operating and performance objectives, develop
multi-year technology roadmaps, and establish research and
development priorities for the funding of activities under this
section which will serve as guidelines for making awards
including cost-matching objectives.
(2) Industry input.--In carrying out this program, the
Secretary shall promote maximum industry input through the use
of managing consortia or other organizations in planning and
executing the research areas and conducting workshops or
reviews to ensure that this program focuses on industry
problems and needs.
(f) Auditing.--
(1) In general.--The Secretary shall retain an independent,
commercial auditor to determine the extent to which funds
authorized by this section, provided through a managing
consortium, are expended in a manner consistent with the
purposes of this section.
(2) Reports.--The auditor retained under paragraph (1)
shall submit to the Secretary, and the Secretary shall transmit
to the appropriate congressional committees, an annual report
that describes--
(A) the findings of the auditor under paragraph
(1); and
(B) a plan under which the Secretary may remedy any
deficiencies identified by the auditor.
(g) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary such sums as may be necessary to carry
out this section.
(h) Termination of Authority.--The authority provided by this
section shall terminate on September 30, 2009.
(i) Savings Provision.--Nothing in this section is intended to
displace, duplicate or diminish any previously authorized research
activities of the Department of Energy.
SEC. 1235. RESEARCH AND DEVELOPMENT FOR NEW NATURAL GAS TRANSPORTATION
TECHNOLOGIES.
The Secretary of Energy shall conduct a comprehensive five-year
program for research, development and demonstration to improve the
reliability, efficiency, safety and integrity of the natural gas
transportation and distribution infrastructure and for distributed
energy resources (including microturbines, fuel cells, advanced engine-
generators, gas turbines, reciprocating engines, hybrid power
generation systems, and all ancillary equipment for dispatch, control
and maintenance).
SEC. 1236. AUTHORIZATION OF APPROPRIATIONS FOR OFFICE OF ARCTIC ENERGY.
There are authorized to be appropriated to the Secretary for the
Office of Arctic Energy under section 3197 of the Floyd D. Spence
National Defense Authorization Act for Fiscal Year 2001 (P.L. 106-398)
such sums as may be necessary, but not to exceed $25,000,000 for each
of fiscal years 2003 through 2011.
Subtitle D--Nuclear Energy
SEC. 1241. ENHANCED NUCLEAR ENERGY RESEARCH AND DEVELOPMENT.
(a) Program Direction.--The Secretary shall conduct an energy
research, development, demonstration, and technology deployment program
to enhance nuclear energy.
(b) Program Goals.--The program shall--
(1) support research related to existing United States
nuclear power reactors to extend their lifetimes and increase
their reliability while optimizing their current operations for
greater efficiencies;
(2) examine advanced proliferation-resistant and passively
safe reactor designs, new reactor designs with higher
efficiency, lower cost, and improved safety, proliferation-
resistant and high burn-up nuclear fuels, minimization of
generation of radioactive materials, improved nuclear waste
management technologies, and improved instrumentation science;
(3) attract new students and faculty to the nuclear
sciences and nuclear engineering and related fields (including
health physics and nuclear and radiochemistry) through--
(A) university-based fundamental research for
existing faculty and new junior faculty;
(B) support for the re-licensing of existing
training reactors at universities in conjunction with
industry; and
(C) completing the conversion of existing training
reactors with proliferation resistant fuels that are
low enriched and to adapt those reactors to new
investigative uses;
(4) maintain a national capability and infrastructure to
produce medical isotopes and ensure a well trained cadre of
nuclear medicine specialists in partnership with industry;
(5) ensure that our nation has adequate capability to power
future satellite and space missions; and
(6) maintain, where appropriate through a prioritization
process, a balanced research infrastructure so that future
research programs can use these facilities.
(c) Authorization of Appropriations.--
(1) Core nuclear research programs.--There are authorized
to be appropriated to the Secretary for carrying out research,
development, demonstration, and technology deployment
activities under subsection (b)(1) through (3)--
(A) $100,000,000 for fiscal year 2003;
(B) $110,000,000 for fiscal year 2004;
(C) $120,000,000 for fiscal year 2005; and
(D) $130,000,000 for fiscal year 2006.
(2) Supporting nuclear activities.--There are authorized to
be appropriated to the Secretary for carrying out activities
under subsection (b)(4) through (6), as well as nuclear
facilities management and program direction--
(A) $200,000,000 for fiscal year 2003;
(B) $202,000,000 for fiscal year 2004;
(C) $207,000,000 for fiscal year 2005; and
(D) $212,000,000 for fiscal year 2006.
SEC. 1242. UNIVERSITY NUCLEAR SCIENCE AND ENGINEERING SUPPORT.
(a) Establishment.--The Secretary shall support a program to
maintain the nation's human resource investment and infrastructure in
the nuclear sciences and engineering and related fields (including
health physics and nuclear and radiochemistry), consistent with
departmental missions related to civilian nuclear research and
development.
(b) Duties.--In carrying out the program under this section, the
Secretary shall--
(1) develop a graduate and undergraduate fellowship program
to attract new and talented students;
(2) assist universities in recruiting and retaining new
faculty in the nuclear sciences and engineering through a
Junior Faculty Research Initiation Grant Program;
(3) support fundamental nuclear sciences and engineering
research through the Nuclear Engineering Education Research
Program;
(4) encourage collaborative nuclear research between
industry, national laboratories and universities through the
Nuclear Energy Research Initiative; and
(5) support communication and outreach related to nuclear
science and engineering.
(c) Maintaining University Research and Training Reactors and
Associated Infrastructure.--Activities under this section may include:
(1) converting research reactors to low-enrichment fuels,
upgrading operational instrumentation, and sharing of reactors
among universities;
(2) providing technical assistance, in collaboration with
the U.S. nuclear industry, in re-licensing and upgrading
training reactors as part of a student training program;
(3) providing funding for reactor improvements as part of a
focused effort that emphasizes research, training, and
education.
(d) University-National Laboratory Interactions.--The Secretary
shall develop--
(1) a sabbatical fellowship program for university
professors to spend extended periods of time at National
Laboratories in the areas of nuclear science and technology;
and
(2) a visiting scientist program in which National
Laboratory staff can spend time in academic nuclear science and
engineering departments. The Secretary may provide for
fellowships for students to spend time at National Laboratories
in the area of nuclear science with a member of the Laboratory
staff acting as a mentor.
(e) Operating and Maintenance Costs.--Funding for a research
project provided under this section may be used to offset a portion of
the operating and maintenance costs of a university research reactor
used in the research project, on a cost-shared basis with the
university.
(f) Authorization of Appropriations.--From amounts authorized under
section 1241(c)(1), the following amounts are authorized for activities
under this section--
(1) $33,000,000 for fiscal year 2003;
(2) $37,900,000 for fiscal year 2004;
(3) $43,600,000 for fiscal year 2005; and
(4) $50,100,000 for fiscal year 2006.
SEC. 1243. NUCLEAR ENERGY RESEARCH INITIATIVE.
(a) Establishment.--The Secretary shall support a Nuclear Energy
Research Initiative for grants for research relating to nuclear energy.
(b) Authorization of Appropriations.--From amounts authorized under
section 1241(c), there are authorized to be appropriated to the
Secretary for activities under this section such sums as are necessary
for each fiscal year.
SEC. 1244. NUCLEAR ENERGY PLANT OPTIMIZATION PROGRAM.
(a) Establishment.--The Secretary shall support a Nuclear Energy
Plant Optimization Program for grants to improve nuclear energy plant
reliability, availability, and productivity. Notwithstanding section
1403, the program shall require industry cost-sharing of at least 50
percent and be subject to annual review by the Nuclear Energy Research
Advisory Committee of the Department.
(b) Authorization of Appropriations.--From amounts authorized under
section 1241(c), there are authorized to be appropriated to the
Secretary for activities under this section such sums as are necessary
for each fiscal year.
SEC. 1245. NUCLEAR ENERGY TECHNOLOGY DEVELOPMENT PROGRAM.
(a) Establishment.--The Secretary shall support a Nuclear Energy
Technology Development Program to develop a technology roadmap to
design and develop new nuclear energy powerplants in the United States.
(b) Generation IV Reactor Study.--The Secretary shall, as part of
the program under subsection (a), also conduct a study of Generation IV
nuclear energy systems, including development of a technology roadmap
and performance of research and development necessary to make an
informed technical decision regarding the most promising candidates for
commercial deployment. The study shall examine advanced proliferation-
resistant and passively safe reactor designs, new reactor designs with
higher efficiency, lower cost and improved safety, proliferation-
resistant and high burn-up fuels, minimization of generation of
radioactive materials, improved nuclear waste management technologies,
and improved instrumentation science. Not later than December 31, 2002,
the Secretary shall submit to Congress a report describing the results
of the study.
(c) Authorization of Appropriations.--From amounts authorized to be
appropriated under section 1241(c), there are authorized to be
appropriated to the Secretary for activities under this section such
sums as are necessary for each fiscal year.
Subtitle E--Fundamental Energy Science
SEC. 1251. ENHANCED PROGRAMS IN FUNDAMENTAL ENERGY SCIENCE.
(a) Program Direction.--The Secretary, acting through the Office of
Science, shall--
(1) conduct a comprehensive program of fundamental
research, including research on chemical sciences, physics,
materials sciences, biological and environmental sciences,
geosciences, engineering sciences, plasma sciences,
mathematics, and advanced scientific computing;
(2) maintain, upgrade and expand the scientific user
facilities maintained by the Office of Science and ensure that
they are an integral part of the departmental mission for
exploring the frontiers of fundamental science;
(3) maintain a leading-edge research capability in the
energy-related aspects of nanoscience and nanotechnology,
advanced scientific computing and genome research; and
(4) ensure that its fundamental science programs, where
appropriate, help inform the applied research and development
programs of the Department.
(b) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary for carrying out research, development,
demonstration, and technology deployment activities under this
subtitle--
(1) $3,785,000,000 for fiscal year 2003;
(2) $4,153,000,000 for fiscal year 2004;
(3) $4,586,000,000 for fiscal year 2005; and
(4) $5,000,000,000 for fiscal year 2006.
SEC. 1252. NANOSCALE SCIENCE AND ENGINEERING RESEARCH.
(a) Establishment.--The Secretary, acting through the Office of
Science, shall support a program of research and development in
nanoscience and nanoengineering consistent with the Department's
statutory authorities related to research and development. The program
shall include efforts to further the understanding of the chemistry,
physics, materials science and engineering of phenomena on the scale of
1 to 100 nanometers.
(b) Duties of the Office of Science.--In carrying out the program
under this section, the Office of Science shall--
(1) support both individual investigators and
multidisciplinary teams of investigators;
(2) pursuant to subsection (c), develop, plan, construct,
acquire, or operate special equipment or facilities for the use
of investigators conducting research and development in
nanoscience and nanoengineering;
(3) support technology transfer activities to benefit
industry and other users of nanoscience and nanoengineering;
and
(4) coordinate research and development activities with
industry and other federal agencies.
(c) Nanoscience and Nanoengineering Research Centers and Major
Instrumentation.--
(1) Authorization.--From amounts authorized to be
appropriated under section 1251(b), the amounts specified under
subsection (d)(2) shall, subject to appropriations, be
available for projects to develop, plan, construct, acquire, or
operate special equipment, instrumentation, or facilities for
investigators conducting research and development in
nanoscience and nanoengineering.
(2) Projects.--Projects under paragraph (1) may include the
measurement of properties at the scale of 1 to 100 nanometers,
manipulation at such scales, and the integration of
technologies based on nanoscience or nanoengineering into bulk
materials or other technologies.
(3) Facilities.--Facilities under paragraph (1) may include
electron microcharacterization facilities, microlithography
facilities, scanning probe facilities and related
instrumentation science.
(4) Collaboration.--The Secretary shall encourage
collaborations among universities, laboratories and industry at
facilities under this subsection. At least one facility under
this subsection shall have a specific mission of technology
transfer to other institutions and to industry.
(d) Authorization of Appropriations.--
(1) Total authorization.--From amounts authorized to be
appropriated under section 1251(b), the following amounts are
authorized for activities under this section--
(A) $270,000,000 for fiscal year 2003;
(B) $290,000,000 for fiscal year 2004;
(C) $310,000,000 for fiscal year 2005; and
(D) $330,000,000 for fiscal year 2006.
(2) Nanoscience and nanoengineering research centers and
major instrumentation.--Of the amounts under paragraph (1), the
following amounts are authorized to carry out subsection (c)--
(A) $135,000,000 for fiscal year 2003;
(B) $150,000,000 for fiscal year 2004;
(C) $120,000,000 for fiscal year 2005; and
(D) $100,000,000 for fiscal year 2006.
SEC. 1253. ADVANCED SCIENTIFIC COMPUTING FOR ENERGY MISSIONS.
(a) Establishment.--The Secretary, acting through the Office of
Science, shall support a program to advance the Nation's computing
capability across a diverse set of grand challenge computationally
based science problems related to departmental missions.
(b) Duties of the Office of Science.--In carrying out the program
under this section, the Office of Science shall--
(1) advance basic science through computation by developing
software to solve grand challenge science problems on new
generations of computing platforms,
(2) enhance the foundations for scientific computing by
developing the basic mathematical and computing systems
software needed to take full advantage of the computing
capabilities of computers with peak speeds of 100 teraflops or
more, some of which may be unique to the scientific problem of
interest,
(3) enhance national collaboratory and networking
capabilities by developing software to integrate geographically
separated researchers into effective research teams and to
facilitate access to and movement and analysis of large
(petabyte) data sets, and
(4) maintain a robust scientific computing hardware
infrastructure to ensure that the computing resources needed to
address DOE missions are available; explore new computing
approaches and technologies that promise to advance scientific
computing.
(c) High-Performance Computing Act Program.--Section 203(a) of the
High-Performance Computing Act of 1991 (15 U.S.C. 5523(a)) is amended--
(1) in paragraph (3), by striking ``and'';
(2) in paragraph (4), by striking the period and inserting
``; and''; and
(3) by adding after paragraph (4) the following: ``(5)
conduct an integrated program of research, development, and
provision of facilities to develop and deploy to scientific and
technical users the high-performance computing and
collaboration tools needed to fulfill the statutory missions of
the Department of Energy in conducting basic and applied energy
research.''.
(d) Coordination With the DOE National Nuclear Security Agency
Accelerated Strategic Computing Initiative and Other National Computing
Programs.--The Secretary shall ensure that this program, to the extent
feasible, is integrated and consistent with--
(1) the Accelerated Strategic Computing Initiative of the
National Nuclear Security Agency; and
(2) other national efforts related to advanced scientific
computing for science and engineering.
(e) Authorization of Appropriations.--From amounts authorized under
section 1251(b), the following amounts are authorized for activities
under this section--
(1) $285,000,000 for fiscal year 2003;
(2) $300,000,000 for fiscal year 2004;
(3) $310,000,000 for fiscal year 2005; and
(4) $320,000,000 for fiscal year 2006.
SEC. 1254. FUSION ENERGY SCIENCES PROGRAM AND PLANNING.
(a) Overall Plan for Fusion Energy Sciences Program.--
(1) In general.--Not later than 6 months after the date of
enactment of this subtitle, the Secretary, after consultation
with the Fusion Energy Sciences Advisory Committee, shall
develop and transmit to the Congress a plan to ensure a strong
scientific base for the Fusion Energy Sciences Program within
the Office of Science and to enable the experiments described
in subsections (b) and (c).
(2) Objectives of plan.--The plan under this subsection
shall include as its objectives--
(A) to ensure that existing fusion research
facilities and equipment are more fully utilized with
appropriate measurements and control tools;
(B) to ensure a strengthened fusion science theory
and computational base;
(C) to encourage and ensure that the selection of
and funding for new magnetic and inertial fusion
research facilities is based on scientific innovation
and cost effectiveness;
(D) to improve the communication of scientific
results and methods between the fusion science
community and the wider scientific community;
(E) to ensure that adequate support is provided to
optimize the design of the magnetic fusion burning
plasma experiments referred to in subsections (b) and
(c); and
(F) to ensure that inertial confinement fusion
facilities are utilized to the extent practicable for
the purpose of inertial fusion energy research and
development.
(b) Plan for United States Fusion Experiment.--
(1) In general.--The Secretary, after consultation with the
Fusion Energy Sciences Advisory Committee, shall develop a plan
for construction in the United States of a magnetic fusion
burning plasma experiment for the purpose of accelerating
scientific understanding of fusion plasmas. The Secretary shall
request a review of the plan by the National Academy of
Sciences and shall transmit the plan and the review to the
Congress by July 1, 2004.
(2) Requirements of plan.--The plan described in paragraph
(1) shall--
(A) address key burning plasma physics issues; and
(B) include specific information on the scientific
capabilities of the proposed experiment, the relevance
of these capabilities to the goal of practical fusion
energy, and the overall design of the experiment
including its estimated cost and potential construction
sites.
(c) Plan for Participation in an International Experiment.--In
addition to the plan described in subsection (b), the Secretary, after
consultation with the Fusion Energy Sciences Advisory Committee, may
also develop a plan for United States participation in an international
burning plasma experiment for the same purpose, whose construction is
found by the Secretary to be highly likely and where United States
participation is cost-effective relative to the cost and scientific
benefits of a domestic experiment described in subsection (b). If the
Secretary elects to develop a plan under this subsection, he shall
include the information described in subsection (b)(2), and an estimate
of the cost of United States participation in such an international
experiment. The Secretary shall request a review by the National
Academy of Sciences of a plan developed under this subsection, and
shall transmit the plan and the review to the Congress no later than
July 1, 2004.
(d) Authorization for Research and Development.--The Secretary,
through the Office of Science, may conduct any research and development
necessary to fully develop the plans described in this section.
(e) Authorization of Appropriations.--From amounts authorized under
section 1251(b) for fiscal year 2003, $335,000,000 are authorized for
fiscal year 2003 for activities under this section and for activities
of the Fusion Energy Sciences Program.
Subtitle F--Energy, Safety, and Environmental Protection
SEC. 1261. CRITICAL ENERGY INFRASTRUCTURE PROTECTION RESEARCH AND
DEVELOPMENT.
(a) In General.--The Secretary shall carry out a research,
development, demonstration and technology deployment program, in
partnership with industry, on critical energy infrastructure
protection, consistent with the roles and missions outlined for the
Secretary in Presidential Decision Directive 63, entitled ``Critical
Infrastructure Protection''. The program shall have the following
goals:
(1) Increase the understanding of physical and information
system disruptions to the energy infrastructure that could
result in cascading or widespread regional outages.
(2) Develop energy infrastructure assurance ``best
practices'' through vulnerability and risk assessments.
(3) Protect against, mitigate the effect of, and improve
the ability to recover from disruptive incidents within the
energy infrastructure.
(b) Program Scope.--The program under subsection (a) shall include
research, development, deployment, technology demonstration for--
(1) analysis of energy infrastructure interdependencies to
quantify the impacts of system vulnerabilities in relation to
each other;
(2) probabilistic risk assessment of the energy
infrastructure to account for unconventional and terrorist
threats;
(3) incident tracking and trend analysis tools to assess
the severity of threats and reported incidents to the energy
infrastructure; and
(4) integrated multi-sensor, warning and mitigation
technologies to detect, integrate, and localize events
affecting the energy infrastructure including real time control
to permit the reconfiguration of energy delivery systems.
(c) Regional Coordination.--The program under this section shall
cooperate with Departmental activities to promote regional coordination
under section 102 of this Act, to ensure that the technologies and
assessments developed by the program are transferred in a timely manner
to State and local authorities, and to the energy industries.
(d) Coordination With Industry Research Organizations.--The
Secretary may enter into grants, contracts, and cooperative agreements
with industry research organizations to facilitate industry
participation in research under this section and to fulfill applicable
cost-sharing requirements.
(e) Authorization of Appropriations.--There is authorized to be
appropriated to the Secretary to carry out this section--
(1) $25,000,000 for fiscal year 2003;
(2) $26,000,000 for fiscal year 2004;
(3) $27,000,000 for fiscal year 2005; and
(4) $28,000,000 for fiscal year 2006.
(f) Critical Energy Infrastructure Facility Defined.--For purposes
of this section, the term ``critical energy infrastructure facility''
means a physical or cyber-based system or service for the generation,
transmission or distribution of electrical energy, or the production,
refining, transportation, or storage of petroleum, natural gas, or
petroleum product, the incapacity or destruction of which would have a
debilitating impact on the defense or economic security of the United
States. The term shall not include a facility that is licensed by the
Nuclear Regulatory Commission under section 103 or 104b of the Atomic
Energy Act of 1954 (42 U.S.C. 2133 and 2134(b)).
SEC. 1262. PIPELINE INTEGRITY, SAFETY, AND RELIABILITY RESEARCH AND
DEVELOPMENT.
(a) In General.--The Secretary of Transportation, in coordination
with the Secretary of Energy, shall develop and implement an
accelerated cooperative program of research and development to ensure
the integrity of natural gas and hazardous liquid pipelines. This
research and development program shall include materials inspection
techniques, risk assessment methodology, and information systems
surety.
(b) Purpose.--The purpose of the cooperative research program shall
be to promote research and development to--
(1) ensure long-term safety, reliability and service life
for existing pipelines;
(2) expand capabilities of internal inspection devices to
identify and accurately measure defects and anomalies;
(3) develop inspection techniques for pipelines that cannot
accommodate the internal inspection devices available on the
date of enactment;
(4) develop innovative techniques to measure the structural
integrity of pipelines to prevent pipeline failures;
(5) develop improved materials and coatings for use in
pipelines;
(6) improve the capability, reliability, and practicality
of external leak detection devices;
(7) identify underground environments that might lead to
shortened service life;
(8) enhance safety in pipeline siting and land use;
(9) minimize the environmental impact of pipelines;
(10) demonstrate technologies that improve pipeline safety,
reliability, and integrity;
(11) provide risk assessment tools for optimizing risk
mitigation strategies; and
(12) provide highly secure information systems for
controlling the operation of pipelines.
(c) Areas.--In carrying out this section, the Secretary of
Transportation, in coordination with the Secretary of Energy, shall
consider research and development on natural gas, crude oil, and
petroleum product pipelines for--
(1) early crack, defect, and damage detection, including
real-time damage monitoring;
(2) automated internal pipeline inspection sensor systems;
(3) land use guidance and set back management along
pipeline rights-of-way for communities;
(4) internal corrosion control;
(5) corrosion-resistant coatings;
(6) improved cathodic protection;
(7) inspection techniques where internal inspection is not
feasible, including measurement of structural integrity;
(8) external leak detection, including portable real-time
video imaging technology, and the advancement of computerized
control center leak detection systems utilizing real-time
remote field data input;
(9) longer life, high strength, non-corrosive pipeline
materials;
(10) assessing the remaining strength of existing pipes;
(11) risk and reliability analysis models, to be used to
identify safety improvements that could be realized in the near
term resulting from analysis of data obtained from a pipeline
performance tracking initiative;
(12) identification, monitoring, and prevention of outside
force damage, including satellite surveillance; and
(13) any other areas necessary to ensuring the public
safety and protecting the environment.
(d) Research and Development Program Plan.--Within 240 days after
the date of enactment of this section, the Secretary of Transportation,
in coordination with the Secretary of Energy and the Pipeline Integrity
Technical Advisory Committee, shall prepare and submit to the Congress
a five-year program plan to guide activities under this section. In
preparing the program plan, the Secretary shall consult with
appropriate representatives of the natural gas, crude oil, and
petroleum product pipeline industries to select and prioritize
appropriate project proposals. The Secretary may also seek the advice
of utilities, manufacturers, institutions of higher learning, Federal
agencies, the pipeline research institutions, national laboratories,
State pipeline safety officials, environmental organizations, pipeline
safety advocates, and professional and technical societies.
(e) Implementation.--The Secretary of Transportation shall have
primary responsibility for ensuring the five-year plan provided for in
subsection (d) is implemented as intended by this section. In carrying
out the research, development, and demonstration activities under this
section, the Secretary of Transportation and the Secretary of Energy
may use, to the extent authorized under applicable provisions of law,
contracts, cooperative agreements, cooperative research and development
agreements under the Stevenson-Wydler Technology Innovation Act of 1980
(15 U.S.C. 3701 et seq.), grants, joint ventures, other transactions,
and any other form of agreement available to the Secretary consistent
with the recommendations of the Advisory Committee.
(f) Reports to Congress.--The Secretary of Transportation shall
report to the Congress annually as to the status and results to date of
the implementation of the research and development program plan. The
report shall include the activities of the Departments of
Transportation and Energy, the natural laboratories, universities, and
any other research organizations, including industry research
organizations.
(g) Pipeline Integrity Technical Advisory Committee.--
(1) Establishment.--The Secretary of Transportation shall
enter into appropriate arrangements with the National Academy
of Sciences to establish and manage the Pipeline Integrity
Technical Advisory Committee for the purpose of advising the
Secretary of Transportation and the Secretary of Energy on the
development and implementation of the research and development
program plan under subsection (d). The Advisory Committee shall
have an ongoing role in evaluating the progress and results of
the research, development, and demonstration carried out under
this section.
(2) Membership.--The National Academy of Sciences shall
appoint the members of the Pipeline Integrity Technical
Advisory Committee after consultation with the Secretary of
Transportation and the Secretary of Energy. Members appointed
to the Advisory Committee should have the necessary
qualifications to provide technical contributions to the
purposes of the Advisory Committee.
(h) Authorization of Appropriations.--
(1) There are authorized to be appropriated to the
Secretary of Transportation for carrying out this section
$3,000,000, to be derived from user fees under section 60301 of
title 49, United States Code, for each of the fiscal years 2003
through 2006.
(2) Of the amounts available in the Oil Spill Liability
Trust Fund established by section 9509 of the Internal Revenue
Code of 1986 (26 U.S.C. 9509), $3,000,000 shall be transferred
to the Secretary of Transportation, as provided in
appropriation Acts, to carry out programs for detection,
prevention and mitigation of oil spills under this section for
each of the fiscal years 2003 through 2006.
(3) There are authorized to be appropriated to the
Secretary of Energy for carrying out this section such sums as
may be necessary for each of the fiscal years 2003 through
2006.
SEC. 1263. RESEARCH AND DEMONSTRATION FOR REMEDIATION OF GROUNDWATER
FROM ENERGY ACTIVITIES.
(a) In General.--The Secretary shall carry out a research,
development, demonstration, and technology deployment program to
improve methods for environmental restoration of groundwater
contaminated by energy activities, including oil and gas production,
surface and underground mining of coal, and in-situ extraction of
energy resources.
(b) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary to carry out this section $10,000,000 for
each of fiscal years 2003 through 2006.
TITLE XIII--CLIMATE CHANGE-RELATED RESEARCH AND DEVELOPMENT
Subtitle A--Department of Energy Programs
SEC. 1301. PROGRAM GOALS.
The goals of the research, development, demonstration, and
technology deployment programs under this subtitle shall be to--
(1) provide a sound scientific understanding of the human
and natural forces that influence the Earth's climate system,
particularly those forces related to energy production and use;
(2) help mitigate climate change from human activities
related to energy production and use; and
(3) reduce, avoid, or sequester emissions of greenhouse
gases in furtherance of the goals of the United National
Framework Convention on Climate Change, done at New York on May
9, 1992, in a manner that does not result in serious harm to
the U.S. economy.
SEC. 1302. DEPARTMENT OF ENERGY GLOBAL CHANGE SCIENCE RESEARCH.
(a) Program Direction.--The Secretary, acting through the Office of
Science, shall conduct a comprehensive research program to understand
and address the effects of energy production and use on the global
climate system.
(b) Program Elements.--
(1) Climate modeling.--The Secretary shall--
(A) conduct observational and analytical research
to acquire and interpret the data needed to describe
the radiation balance from the surface of the Earth to
the top of the atmosphere;
(B) determine the factors responsible for the
Earth's radiation balance and incorporate improved
understanding of such factors in climate models;
(C) improve the treatment of aerosols and clouds in
climate models;
(D) reduce the uncertainty in decade-to-century
model-based projections of climate change; and
(E) increase the availability and utility of
climate change simulations to researchers and policy
makers interested in assessing the relationship between
energy and climate change.
(2) Carbon cycle.--The Secretary shall--
(A) carry out field research and modeling
activities--
(i) to understand and document the net
exchange of carbon dioxide between major
terrestrial ecosystems and the atmosphere; or
(ii) to evaluate the potential of proposed
methods of carbon sequestration;
(B) develop and test carbon cycle models; and
(C) acquire data and develop and test models to
simulate and predict the transport, transformation, and
fate of energy-related emissions in the atmosphere.
(3) Ecological processes.--The Secretary shall carry out
long-term experiments of the response of intact terrestrial
ecosystems to--
(A) alterations in climate and atmospheric
composition; or
(B) land-use changes that affect ecosystem extent
and function.
(4) Integrated assessment.--The Secretary shall develop and
improve methods and tools for integrated analyses of the
climate change system from emissions of aerosols and greenhouse
gases to the consequences of these emissions on climate and the
resulting effects of human-induced climate change on economic
and social systems, with emphasis on critical gaps in
integrated assessment modeling, including modeling of
technology innovation and diffusion and the development of
metrics of economic costs of climate change and policies for
mitigating or adapting to climate change.
(c) Authorization of Appropriations.--From amounts authorized under
section 1440(c), there are authorized to be appropriated to the
Secretary for carrying out activities under this section--
(1) $150,000,000 for fiscal year 2003;
(2) $175,000,000 for fiscal year 2004;
(3) $200,000,000 for fiscal year 2005; and
(4) $230,000,000 for fiscal year 2006.
(d) Limitation on Funds.--Funds authorized to be appropriated under
this section shall not be used for the development, demonstration, or
deployment of technology to reduce, avoid, or sequester greenhouse gas
emissions.
SEC. 1303. AMENDMENTS TO THE FEDERAL NONNUCLEAR RESEARCH AND
DEVELOPMENT ACT OF 1974.
Section 6 of the Federal Nonnuclear Energy Research and Development
Act of 1974 (42 U.S.C. 5905) is amended--
(1) in subsection (a)--
(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) solutions to the effective management of greenhouse
gas emissions in the long term by the development of
technologies and practices designed to--
``(A) reduce or avoid anthropogenic emissions of
greenhouse gases;
``(B) remove and sequester greenhouse gases from
emissions streams; and
``(C) remove and sequester greenhouse gases from
the atmosphere.''; and
(2) in subsection (b)--
(A) in paragraph (2), by striking ``subsection
(a)(1) through (3)'' and inserting ``paragraphs (1)
through (4) of subsection (a)''; and
(B) in paragraph (3)--
(i) in subparagraph (R), by striking
``and'' at the end;
(ii) in subparagraph (S), by striking the
period at the end and inserting ``; and''; and
(iii) by adding at the end the following:
``(T) to pursue a long-term climate technology
strategy designed to demonstrate a variety of
technologies by which stabilization of greenhouse gases
might be best achieved, including accelerated research,
development, demonstration and deployment of--
``(i) renewable energy systems;
``(ii) advanced fossil energy technology;
``(iii) advanced nuclear power plant
design;
``(iv) fuel cell technology for
residential, industrial and transportation
applications;
``(v) carbon sequestration practices and
technologies, including agricultural and
forestry practices that store and sequester
carbon;
``(vi) efficient electrical generation,
transmission and distribution technologies; and
``(vii) efficient end use energy
technologies.''.
Subtitle B--Department of Agriculture Programs
SEC. 1311. CARBON SEQUESTRATION BASIC AND APPLIED RESEARCH.
(a) Basic Research.--
(1) In general.--The Secretary of Agriculture shall carry
out research in the areas of soil science that promote
understanding of--
(A) the net sequestration of organic carbon in
soil; and
(B) net emissions of other greenhouse gases from
agriculture.
(2) Agricultural research service.--The Secretary of
Agriculture, acting through the Agricultural Research Service,
shall collaborate with other Federal agencies in developing
data and carrying out research addressing soil carbon fluxes
(losses and gains) and net emissions of methane and nitrous
oxide from cultivation and animal management activities.
(3) Cooperative state research extension and education
service.--
(A) In general.--The Secretary of Agriculture,
acting through the Cooperative State Research Extension
and Education Service, shall establish a competitive
grant program to carry out research on the matters
described in paragraph (1) in land grant universities
and other research institutions.
(B) Consultation on research topics.--Before
issuing a request for proposals for basic research
under paragraph (1), the Cooperative State Research,
Education, and Extension Service shall consult with the
Agricultural Research Service to ensure that proposed
research areas are complementary with and do not
duplicate research projects underway at the
Agricultural Research Service or other Federal
agencies.
(b) Applied Research.--
(1) In general.--The Secretary of Agriculture shall carry
out applied research in the areas of soil science, agronomy,
agricultural economics and other agricultural sciences to--
(A) promote understanding of--
(i) how agricultural and forestry practices
affect the sequestration of organic and
inorganic carbon in soil and net emissions of
other greenhouse gases;
(ii) how changes in soil carbon pools are
cost-effectively measured, monitored, and
verified; and
(iii) how public programs and private
market approaches can be devised to incorporate
carbon sequestration in a broader societal
greenhouse gas emission reduction effort;
(B) develop methods for establishing baselines for
measuring the quantities of carbon and other greenhouse
gases sequestered; and
(C) evaluate leakage and performance issues.
(2) Requirements.--To the maximum extent practicable,
applied research under paragraph (1) shall--
(A) draw on existing technologies and methods; and
(B) strive to provide methodologies that are
accessible to a nontechnical audience.
(3) Minimization of adverse environmental impacts.--All
applied research under paragraph (1) shall be conducted with an
emphasis on minimizing adverse environmental impacts.
(4) Natural resources conservation service.--The Secretary
of Agriculture, acting through the Natural Resources
Conservation Service, shall collaborate with other Federal
agencies, including the National Institute of Standards and
Technology, in developing new measuring techniques and
equipment or adapting existing techniques and equipment to
enable cost-effective and accurate monitoring and verification,
for a wide range of agricultural and forestry practices, of--
(A) changes in soil carbon content in agricultural
soils, plants, and trees; and
(B) net emissions of other greenhouse gases.
(5) Cooperative state research extension and education
service.--
(A) In general.--The Secretary of Agriculture,
acting through the Cooperative State Research Extension
and Education Service, shall establish a competitive
grant program to encourage research on the matters
described in paragraph (1) by land grant universities
and other research institutions.
(B) Consultation on research topics.--Before
issuing a request for proposals for applied research
under paragraph (1), the Cooperative State Research,
Education, and Extension Service shall consult with the
National Resources Conservation Service and the
Agricultural Research Service to ensure that proposed
research areas are complementary with and do not
duplicate research projects underway at the
Agricultural Research Service or other Federal
agencies.
(c) Research Consortia.--
(1) In general.--The Secretary of Agriculture may designate
not more than 2 research consortia to carry out research
projects under this section, with the requirement that the
consortia propose to conduct basic, research under subsection
(a) and applied research under subsection (b).
(2) Selection.--The consortia shall be selected in a
competitive manner by the Cooperative State Research,
Education, and Extension Service.
(3) Eligible consortium participants.--Entities eligible to
participate in a consortium include--
(A) land grant colleges and universities;
(B) private research institutions;
(C) State geological surveys;
(D) agencies of the Department of Agriculture;
(E) research centers of the National Aeronautics
and Space Administration and the Department of Energy;
(F) other Federal agencies;
(G) representatives of agricultural businesses and
organizations with demonstrated expertise in these
areas; and
(H) representatives of the private sector with
demonstrated expertise in these areas.
(4) Reservation of funding.--If the Secretary of
Agriculture designates 1 or 2 consortia, the Secretary of
Agriculture shall reserve for research projects carried out by
the consortium or consortia not more than 25 percent of the
amounts made available to carry out this section for a fiscal
year.
(d) Standards of Precision.--
(1) Conference.--Not later than 3 years after the date of
enactment of this subtitle, the Secretary of Agriculture,
acting through the Agricultural Research Service and in
consultation with the Natural Resources Conservation Service,
shall convene a conference of key scientific experts on carbon
sequestration and measurement techniques from various sectors
(including the government, academic, and private sectors) to--
(A) discuss benchmark standards of precision for
measuring soil carbon content and net emissions of
other greenhouse gases;
(B) designate packages of measurement techniques
and modeling approaches to achieve a level of precision
agreed on by the participants in the conference; and
(C) evaluate results of analyses on baseline,
permanence, and leakage issues.
(2) Development of benchmark standards.--
(A) In general.--The Secretary shall develop
benchmark standards for measuring the carbon content of
soils and plants (including trees) based on--
(i) information from the conference under
paragraph (1);
(ii) research conducted under this section;
and
(iii) other information available to the
Secretary.
(B) Opportunity for public comment.--The Secretary
shall provide an opportunity for the public to comment
on benchmark standards developed under subparagraph
(A).
(3) Report.--Not later than 180 days after the conclusion
of the conference under paragraph (1), the Secretary of
Agriculture shall submit to the Committee on Agriculture of the
House of Representatives and the Committee on Agriculture,
Nutrition, and Forestry of the Senate a report on the results
of the conference.
(e) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated to
carry out this section $25,000,000 for each of fiscal years
2003 through 2006.
(2) Allocation.--Of the amounts made available to carry out
this section for a fiscal year, at least 50 percent shall be
allocated for competitive grants by the Cooperative State
Research, Education, and Extension Service.
SEC. 1312. CARBON SEQUESTRATION DEMONSTRATION PROJECTS AND OUTREACH.
(a) Demonstration Projects.--
(1) Development of monitoring programs.--
(A) In general.--The Secretary of Agriculture,
acting through the Natural Resources Conservation
Service and in cooperation with local extension agents,
experts from land grant universities, and other local
agricultural or conservation organizations, shall
develop user-friendly, programs that combine
measurement tools and modeling techniques into
integrated packages to monitor the carbon sequestering
benefits of conservation practices and net changes in
greenhouse gas emissions.
(B) Benchmark levels of precision.--The programs
developed under subparagraph (A) shall strive to
achieve benchmark levels of precision in measurement in
a cost-effective manner.
(2) Projects.--
(A) In general.--The Secretary of Agriculture,
acting through the Farm Service Agency, shall establish
a program under which projects use the monitoring
programs developed under paragraph (1) to demonstrate
the feasibility of methods of measuring, verifying, and
monitoring--
(i) changes in organic carbon content and
other carbon pools in agricultural soils,
plants, and trees; and
(ii) net changes in emissions of other
greenhouse gases.
(B) Evaluation of implications.--The projects under
subparagraph (A) shall include evaluation of the
implications for reassessed baselines, carbon or other
greenhouse gas leakage, and permanence of
sequestration.
(C) Submission of proposals.--Proposals for
projects under subparagraph (A) shall be submitted by
the appropriate agency of each State, in cooperation
with interested local jurisdictions and State
agricultural and conservation organizations.
(D) Limitation.--Not more than 10 projects under
subparagraph (A) may be approved in conjunction with
applied research projects under section 1331(b) until
benchmark measurement and assessment standards are
established under section 1331(d).
(b) Outreach.--
(1) In general.--The Cooperative State Research Extension
and Education Service shall widely disseminate information
about the economic and environmental benefits that can be
generated by adoption of conservation practices (including
benefits from increased sequestration of carbon and reduced
emission of other greenhouse gases.
(2) Project results.--The Cooperative State Research
Extension and Education Service shall inform farmers, ranchers,
and State agricultural and energy offices in each State of--
(A) the results of demonstration projects under
subsection (a)(2) in the State; and
(B) the ways in which the methods demonstrated in
the projects might be applicable to the operations of
those farmers and ranchers.
(3) Policy outreach.--On a periodic basis, the Cooperative
State Research Extension and Education Service shall
disseminate information on the policy nexus between global
climate change mitigation strategies and agriculture, so that
farmers and ranchers may better understand the global
implications of the activities of farmers and ranchers.
(c) Authorization of Appropriations.--
(1) In general.--There are authorized to be appropriated to
carry out this section $10,000,000 for each of fiscal years
2003 through 2006.
(2) Allocation.--Of the amounts made available to carry out
this section for a fiscal year, at least 50 percent shall be
allocated for demonstration projects under subsection (a)(2).
Subtitle C--Clean Energy Technology Exports Program
SEC. 1321. CLEAN ENERGY TECHNOLOGY EXPORTS PROGRAM.
(a) Definitions.--In this section:
(1) Clean energy technology.--The term ``clean energy
technology'' means an energy supply or end-use technology that,
over its lifecycle and compared to a similar technology already
in commercial use in developing countries, countries in
transition, and other partner countries--
(A) emits substantially lower levels of pollutants
or greenhouse gases; and
(B) may generate substantially smaller or less
toxic volumes of solid or liquid waste.
(2) Interagency working group.--The term ``interagency
working group'' means the Interagency Working Group on Clean
Energy Technology Exports established under subsection (b).
(b) Interagency Working Group.--
(1) Establishment.--Not later than 90 days after the date
of enactment of this section, the Secretary of Energy, the
Secretary of Commerce, and the Administrator of the U.S. Agency
for International Development shall jointly establish a
Interagency Working Group on Clean Energy Technology Exports.
The interagency working group will focus on opening and
expanding energy markets and transferring clean energy
technology to the developing countries, countries in
transition, and other partner countries that are expected to
experience, over the next 20 years, the most significant growth
in energy production and associated greenhouse gas emissions,
including through technology transfer programs under the
Framework Convention on Climate Change, other international
agreements, and relevant Federal efforts.
(2) Membership.--The interagency working group shall be
jointly chaired by representatives appointed by the agency
heads under paragraph (1) and shall also include
representatives from the Department of State, the Department of
Treasury, the Environmental Protection Agency, the Export-
Import Bank, the Overseas Private Investment Corporation, the
Trade and Development Agency, and other federal agencies as
deemed appropriate by all three agency heads under paragraph
(1).
(3) Duties.--The interagency working group shall--
(A) analyze technology, policy, and market
opportunities for international development,
demonstration, and deployment of clean energy
technology;
(B) investigate issues associated with building
capacity to deploy clean energy technology in
developing countries, countries in transition, and
other partner countries, including--
(i) energy-sector reform;
(ii) creation of open, transparent, and
competitive markets for energy technologies;
(iii) availability of trained personnel to
deploy and maintain the technology; and
(iv) demonstration and cost-buydown
mechanisms to promote first adoption of the
technology;
(C) examine relevant trade, tax, international, and
other policy issues to assess what policies would help
open markets and improve U.S. clean energy technology
exports in support of the following areas:
(i) enhancing energy innovation and
cooperation, including energy sector and market
reform, capacity building, and financing
measures;
(ii) improving energy end-use efficiency
technologies, including buildings and
facilities, vehicle, industrial, and co-
generation technology initiatives; and
(iii) promoting energy supply technologies,
including fossil, nuclear, and renewable
technology initiatives;
(D) establish an advisory committee involving the
private sector and other interested groups on the
export and deployment of clean energy technology;
(E) monitor each agency's progress towards meeting
goals in the 5-year strategic plan submitted to
Congress pursuant to the Energy and Water Development
Appropriations Act, 2001, and the Energy and Water
Development Appropriations Act, 2002;
(F) make recommendations to heads of appropriate
Federal agencies on ways to streamline federal programs
and policies improve each agency's role in the
international development, demonstration, and
deployment of clean energy technology;
(G) make assessments and recommendations regarding
the distinct technological, market, regional, and
stakeholder challenges necessary to carry out the
program; and
(H) recommend conditions and criteria that will
help ensure that United States funds promote sound
energy policies in participating countries while
simultaneously opening their markets and exporting
United States energy technology.
(c) Federal Support for Clean Energy Technology Transfer.--
Notwithstanding any other provision of law, each federal agency or
government corporation carrying out an assistance program in support of
the activities of United States persons in the environment or energy
sector of a developing country, country in transition, or other partner
country shall support, to the maximum extent practicable, the transfer
of United States clean energy technology as part of that program.
(d) Annual Report.--Not later than April 1, 2002, and each year
thereafter, the Interagency Working Group shall submit a report to
Congress on its activities during the preceding calendar year. The
report shall include a description of the technology, policy, and
market opportunities for international development, demonstration, and
deployment of clean energy technology investigated by the Interagency
Working Group in that year, as well as any policy recommendations to
improve the expansion of clean energy markets and U.S. clean energy
technology exports.
(e) Report on Use of Funds.--Not later than October 1, 2002, and
each year thereafter, the Secretary of State, in consultation with
other federal agencies, shall submit a report to Congress indicating
how United States funds appropriated for clean energy technology
exports and other relevant federal programs are being directed in a
manner that promotes sound energy policy commitments in developing
countries, countries in transition, and other partner countries,
including efforts pursuant to multi-lateral environmental agreements.
(f) Authorization of Appropriations.--There are authorized to be
appropriated to the departments, agencies, and entities of the United
States described in subsection (b) such sums as may be necessary to
support the transfer of clean energy technology, consistent with the
subsidy codes of the World Trade Organization, as part of assistance
programs carried out by those departments, agencies, and entities in
support of activities of United States persons in the energy sector of
a developing country, country in transition, or other partner country.
SEC. 1322. INTERNATIONAL ENERGY TECHNOLOGY DEPLOYMENT PROGRAM.
(a) In General.--Section 1608 of the Energy Policy Act of 1992 (42
U.S.C. 13387) is amended by striking subsection (l) and inserting the
following:
``(l) International Energy Technology Deployment Program.--
``(1) Definitions.--In this subsection:
``(A) International energy deployment project.--The
term ``international energy deployment project'' means
a project to construct an energy production facility
outside the United States--
``(i) the output of which will be consumed
outside the United States; and
``(ii) the deployment of which will result
in a greenhouse gas reduction per unit of
energy produced when compared to the technology
that would otherwise be implemented--
``(I) 10 percentage points or more,
in the case of a unit placed in service
before January 1, 2010;
``(II) 20 percentage points or
more, in the case of a unit placed in
service after December 31, 2009, and
before January 1, 2020; or
``(III) 30 percentage points or
more, in the case of a unit placed in
service after December 31, 2019, and
before January 1, 2030.
``(B) Qualifying international energy deployment
project.--The term ``qualifying international energy
deployment project'' means an international energy
deployment project that--
``(i) is submitted by a United States firm
to the Secretary in accordance with procedures
established by the Secretary by regulation;
``(ii) uses technology that has been
successfully developed or deployed in the
United States;
``(iii) meets the criteria of subsection
(k);
``(iv) is approved by the Secretary, with
notice of the approval being published in the
Federal Register; and
``(v) complies with such terms and
conditions as the Secretary establishes by
regulation.
``(C) United states.--For purposes of this
paragraph, the term ``United States'', when used in a
geographical sense, means the 50 States, the District
of Columbia, Puerto Rico, Guam, the Virgin Islands,
American Samoa, and the Commonwealth of the Northern
Mariana Islands.
``(2) Pilot program for financial assistance.--
``(A) In general.--Not later than 180 days after
the date of enactment of this subsection, the Secretary
shall, by regulation, provide for a pilot program for
financial assistance for qualifying international
energy deployment projects.
``(B) Selection criteria.--After consultation with
the Secretary of State, the Secretary of Commerce, and
the United States Trade Representative, the Secretary
shall select projects for participation in the program
based solely on the criteria under this title and
without regard to the country in which the project is
located.
``(C) Financial assistance.--
``(i) In general.--A United States firm
that undertakes a qualifying international
energy deployment project that is selected to
participate in the pilot program shall be
eligible to receive a loan or a loan guarantee
from the Secretary.
``(ii) Rate of interest.--The rate of
interest of any loan made under clause (i)
shall be equal to the rate for Treasury
obligations then issued for periods of
comparable maturities.
``(iii) Amount.--The amount of a loan or
loan guarantee under clause (i) shall not
exceed 50 percent of the total cost of the
qualified international energy deployment
project.
``(iv) Developed countries.--Loans or loan
guarantees made for projects to be located in a
developed country, as listed in Annex I of the
United Nations Framework Convention on Climate
Change, shall require at least a 50 percent
contribution towards the total cost of the loan
or loan guarantee by the host country.
``(v) Developing countries.--Loans or loan
guarantees made for projects to be located in a
developing country (those countries not listed
in Annex I of the United Nations Framework
Convention on Climate Change) shall require at
least a 10 percent contribution towards the
total cost of the loan or loan guarantee by the
host country.
``(vi) Capacity building research.--
Proposals made for projects to be located in a
developing country may include a research
component intended to build technological
capacity within the host country. Such research
must be related to the technologies being
deployed and must involve both an institution
in the host country and an industry, university
or national laboratory participant from the
United States. The host institution shall
contribute at least 50 percent of funds
provided for the capacity building research.
``(D) Coordination with other programs.--A
qualifying international energy deployment project
funded under this section shall not be eligible as a
qualifying clean coal technology under section 415 of
the Clean Air Act (42 U.S.C. 7651n).
``(E) Report.--Not later than 5 years after the
date of enactment of this subsection, the Secretary
shall submit to the President a report on the results
of the pilot projects.
``(F) Recommendation.--Not later than 60 days after
receiving the report under subparagraph (E), the
President shall submit to Congress a recommendation,
based on the results of the pilot projects as reported
by the Secretary of Energy, concerning whether the
financial assistance program under this section should
be continued, expanded, reduced, or eliminated.
``(3) Authorization of appropriations.-- There are
authorized to be appropriated to the Secretary carry out this
section $100,000,000 for each of fiscal years 2003 through
2011, to remain available until expended.''.
Subtitle D--Climate Change Science and Information
PART I--AMENDMENTS TO THE GLOBAL CHANGE RESEARCH ACT OF 1990
SEC. 1331. AMENDMENT OF GLOBAL CHANGE RESEARCH ACT OF 1990.
Except as otherwise expressly provided, whenever in this subtitle
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 Global
Change Research Act of 1990 (15 U.S.C. 2921 et seq.).
SEC. 1332. CHANGES IN DEFINITIONS.
Paragraph (1) of section 2 (15 U.S.C. 2921) is amended by striking
``Earth and'' inserting ``Climate and''.
SEC. 1333. CHANGE IN COMMITTEE NAME.
Section 102 (15 U.S.C. 2932) is amended--
(1) by striking ``EARTH AND'' in the section heading and
inserting ``CLIMATE AND''; and
(2) by striking ``Earth and'' in subsection (a) and
inserting ``Climate and''.
SEC. 1334. CHANGE IN NATIONAL GLOBAL CHANGE RESEARCH PLAN.
Section 104 (15 U.S.C. 2934) is amended--
(1) by adding at the end of subsection (c) the following:
``(6) Methods for integrating information to provide
predictive tools for planning and decision making by
governments, communities and the private sector.'';
(2) by inserting ``local, State, and Federal'' before
``policy makers'' in subsection (d)(3);
(3) by striking ``and'' in subsection (d)(2);
(4) by striking ``change.'' in subsection (d)(3) and
inserting ``change; and'';
(5) by adding at the end of subsection (d) the following:
``(4) establish a common assessment and modeling framework
that may be used in both research and operations to predict and
assess the vulnerability of natural and managed ecosystems and
of human society in the context of other environmental and
social changes.''; and
(6) by adding at the end the following:
``(g) Strategic Plan; Revised Implementation Plan.--The Chairman of
the Council, through the Committee, shall develop a strategic plan for
the United States Global Climate Change Research Program for the 10-
year period beginning in 2002 and submit the plan to the Congress
within 180 days after the date of enactment of the Global Climate
Change Act of 2002. The Chairman, through the Committee, shall also
submit a revised implementation plan under subsection (a).''.
SEC. 1335. INTEGRATED PROGRAM OFFICE.
Section 105 (15 U.S.C. 2935) is amended--
(1) by redesignating subsections (a), (b), and (c) as
subsections (b), (c), and (d), respectively; and
(2) inserting before subsection (b), as redesignated, the
following:
``(a) Integrated Program Office.--
``(1) Establishment.--There is established in the Office of
Science and Technology Policy an integrated program office for
the global change research program.
``(2) Organization.--The integrated program office
established under paragraph (1) shall be headed by the
associate director with responsibility for climate change
science and technology and shall include a representative from
each Federal agency participating in the global change research
program.
``(3) Function.--The integrated program office shall--
``(A) manage, working in conjunction with the
Committee, interagency coordination and program
integration of global change research activities and
budget requests;
``(B) ensure that the activities and programs of
each Federal agency or department participating in the
program address the goals and objectives identified in
the strategic research plan and interagency
implementation plans;
``(C) ensure program and budget recommendations of
the Committee are communicated to the President and are
integrated into the climate change action strategy;
``(D) review, solicit, and identify, and allocate
funds for, partnership projects that address critical
research objectives or operational goals of the
program, including projects that would fill research
gaps identified by the program, and for which project
resources are shared among at least 2 agencies
participating in the program; and
``(E) review and provide recommendations on, in
conjunction with the Committee, all annual
appropriations requests from Federal agencies or
departments participating in the program.
``(4) Grant authority.--The Integrated Program Office may
authorize 1 or more of the departments or agencies
participating in the program to enter into contracts and make
grants, using funds appropriated for use by the Office of
Science and Technology Policy for the purpose of carrying out
the responsibilities of that Office.
``(5) Funding.--For fiscal year 2003, and each fiscal year
thereafter, not less than $13,000,000 shall be made available
to the Integrated Program Office from amounts appropriated to
or for the use of the Office of Science and Technology
Policy.'';
(3) by striking ``Committee.'' in paragraph (2) of
subsection (c), as redesignated, and inserting ``Committee and
the Integrated Program Office.''; and
(4) by inserting ``and the Integrated Program Office''
after ``Committee'' in paragraph (1) of subsection (d), as
redesignated.
PART II--NATIONAL CLIMATE SERVICES AND MONITORING
SEC. 1341. AMENDMENT OF NATIONAL CLIMATE PROGRAM ACT.
Except as otherwise expressly provided, whenever in this subtitle
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 National
Climate Program Act (15 U.S.C. 2901 et seq.).
SEC. 1342. CHANGES IN FINDINGS.
Section 2 (15 U.S.C. 2901) is amended--
(1) by striking ``Weather and climate change affect'' in
paragraph (1) and inserting ``Weather, climate change, and
climate variability affect public safety, environmental
security, human health,'';
(2) by striking ``climate'' in paragraph (2) and inserting
``climate, including seasonal and decadal fluctuations,'';
(3) by striking ``changes.'' in paragraph (5) and inserting
``changes and providing free exchange of meteorological
data.''; and
(4) by adding at the end the following:
``(7) The present rate of advance in research and
development is inadequate and new developments must be
incorporated rapidly into services for the benefit of the
public.
``(8) The United States lacks adequate infrastructure and
research to meet national climate monitoring and prediction
needs.''.
SEC. 1343. TOOLS FOR REGIONAL PLANNING.
Section 5(d) (15 U.S.C. 2904(d)) is amended--
(1) by redesignating paragraphs (4) through (9) as
paragraphs (5) through (10), respectively;
(2) by inserting after paragraph (3) the following:
``(4) methods for improving modeling and predictive
capabilities and developing assessment methods to guide
national, regional, and local planning and decision-making on
land use, water hazards, and related issues;
(3) by inserting ``sharing,'' after ``collection,'' in
paragraph (5), as redesignated;
(4) by striking ``experimental'' each place it appears in
paragraph (9), as redesignated;
(5) by striking ``preliminary'' in paragraph (10), as
redesignated;
(6) by striking ``this Act,'' the first place it appears in
paragraph (10), as redesignated, and inserting ``the Global
Climate Change Act of 2002,''; and
(7) by striking ``this Act,'' the second place it appears
in paragraph (10), as redesignated, and inserting ``that
Act,''.
SEC. 1344. AUTHORIZATION OF APPROPRIATIONS.
Section 9 (15 U.S.C. 2908) is amended--
(1) by striking ``1979,'' and inserting ``2002,'';
(2) by striking ``1980,'' and inserting ``2003,'';
(3) by striking ``1981,'' and inserting ``2004,''; and
(4) by striking ``$25,500,000'' and inserting
``$75,500,000''.
SEC. 1345. NATIONAL CLIMATE SERVICE PLAN.
The Act (15 U.S.C. 2901 et seq.) is amended by inserting after
section 5 the following:
``SEC. 6. NATIONAL CLIMATE SERVICE PLAN.
``Within one year after the date of enactment of the Global Climate
Change Act of 2002, the Secretary of Commerce shall submit to the
Senate Committee on Commerce, Science, and Transportation and the House
Science Committee a plan of action for a National Climate Service under
the National Climate Program. The plan shall set forth recommendations
and funding estimates for--
``(1) a national center for operational climate monitoring
and predicting with the functional capacity to monitor and
adjust observing systems as necessary to reduce bias;
``(2) the design, deployment, and operation of an adequate
national climate observing system that builds upon existing
environmental monitoring systems and closes gaps in coverage by
existing systems;
``(3) the establishment of a national coordinated modeling
strategy, including a national climate modeling center to
provide a dedicated capability for climate modeling and a
regular schedule of projections on a long and short term time
schedule and at a range of spatial scales;
``(4) improvements in modeling and assessment capabilities
needed to integrate information to predict regional and local
climate changes and impacts;
``(5) in coordination with the private sector, improving
the capacity to assess the impacts of predicted and projected
climate changes and variations;
``(6) a program for long term stewardship, quality control,
development of relevant climate products, and efficient access
to all relevant climate data, products, and critical model
simulations; and
``(7) mechanisms to coordinate among Federal agencies,
State, and local government entities and the academic community
to ensure timely and full sharing and dissemination of climate
information and services, both domestically and
internationally.''.
SEC. 1346. INTERNATIONAL PACIFIC RESEARCH AND COOPERATION.
The Secretary of Commerce, in cooperation with the Administrator of
the National Aeronautics and Space Administration, shall conduct
international research in the Pacific region that will increase
understanding of the nature and predictability of climate variability
in the Asia-Pacific sector, including regional aspects of global
environmental change. Such research activities shall be conducted in
cooperation with other nations of the region. There are authorized to
be appropriated for purposes of this section $1,500,000 to the National
Oceanic and Atmospheric Administration, $1,500,000 to the National
Aeronautics and Space Administration, and $500,000 for the Pacific ENSO
Applications Center.
SEC. 1347. REPORTING ON TRENDS.
(a) Atmospheric Monitoring and Verification Program.--The Secretary
of Commerce, in coordination with relevant Federal agencies, shall, as
part of the National Climate Service, establish an atmospheric
monitoring and verification program utilizing aircraft, satellite,
ground sensors, and modeling capabilities to monitor, measure, and
verify atmospheric greenhouse gas levels, dates, and emissions. Where
feasible, the program shall measure emissions from identified sources
participating in the reporting system for verification purposes. The
program shall use measurements and standards that are consistent with
those utilized in the greenhouse gas measurement and reporting system
established under subsection (a) and the registry established under
section 1102.
(b) Annual Reporting.--The Secretary of Commerce shall issue an
annual report that identifies greenhouse emissions and trends on a
local, regional, and national level. The report shall also identify
emissions or reductions attributable to individual or multiple sources
covered by the greenhouse gas measurement and reporting system
established under section 1102.
PART III--OCEAN AND COASTAL OBSERVING SYSTEM
SEC. 1351. OCEAN AND COASTAL OBSERVING SYSTEM.
(a) Establishment.--The President, through the National Ocean
Research Leadership Council, established by section 7902(a) of title
10, United States Code, shall establish and maintain an integrated
ocean and coastal observing system that provides for long-term,
continuous, and real-time observations of the oceans and coasts for the
purposes of--
(1) understanding, assessing and responding to human-
induced and natural processes of global change;
(2) improving weather forecasts and public warnings;
(3) strengthening national security and military
preparedness;
(4) enhancing the safety and efficiency of marine
operations;
(5) supporting efforts to restore the health of and manage
coastal and marine ecosystems and living resources;
(6) monitoring and evaluating the effectiveness of ocean
and coastal environmental policies;
(7) reducing and mitigating ocean and coastal pollution;
and
(8) providing information that contributes to public
awareness of the state and importance of the oceans.
(b) Council Functions.--In addition to its responsibilities under
section 7902(a) of such title, the Council shall be responsible for
planning and coordinating the observing system and in carrying out this
responsibility shall--
(1) develop and submit to the Congress, within 6 months
after the date of enactment of this Act, a plan for
implementing a national ocean and coastal observing system
that--
(A) uses an end-to-end engineering and development
approach to develop a system design and schedule for
operational implementation;
(B) determines how current and planned observing
activities can be integrated in a cost-effective
manner;
(C) provides for regional and concept demonstration
projects;
(D) describes the role and estimated budget of each
Federal agency in implementing the plan;
(E) contributes, to the extent practicable, to the
National Global Change Research Plan under section 104
of the Global Change Research Act of 1990 (15 U.S.C.
2934); and
(F) makes recommendations for coordination of ocean
observing activities of the United States with those of
other nations and international organizations;
(2) serve as the mechanism for coordinating Federal ocean
observing requirements and activities;
(3) work with academic, State, industry and other actual
and potential users of the observing system to make effective
use of existing capabilities and incorporate new technologies;
(4) approve standards and protocols for the administration
of the system, including--
(A) a common set of measurements to be collected
and distributed routinely and by uniform methods;
(B) standards for quality control and assessment of
data;
(C) design, testing and employment of forecast
models for ocean conditions;
(D) data management, including data transfer
protocols and archiving; and
(E) designation of coastal ocean observing regions;
and
(5) in consultation with the Secretary of State, provide
representation at international meetings on ocean observing
programs and coordinate relevant Federal activities with those
of other nations.
(c) System Elements.--The integrated ocean and coastal observing
system shall include the following elements:
(1) A nationally coordinated network of regional coastal
ocean observing systems that measure and disseminate a common
set of ocean observations and related products in a uniform
manner and according to sound scientific practice, but that are
adapted to local and regional needs.
(2) Ocean sensors for climate observations, including the
Arctic Ocean and sub-polar seas.
(3) Coastal, relocatable, and cabled sea floor
observatories.
(4) Broad bandwidth communications that are capable of
transmitting high volumes of data from open ocean locations at
low cost and in real time.
(5) Ocean data management and assimilation systems that
ensure full use of new sources of data from space-borne and in
situ sensors.
(6) Focused research programs.
(7) Technology development program to develop new observing
technologies and techniques, including data management and
dissemination.
(8) Public outreach and education.
SEC. 1352. AUTHORIZATION OF APPROPRIATIONS.
For development and implementation of an integrated ocean and
coastal observation system under this title, including financial
assistance to regional coastal ocean observing systems, there are
authorized to be appropriated $235,000,000 in fiscal year 2003,
$315,000,000 in fiscal year 2004, $390,000,000 in fiscal year 2005, and
$445,000,000 in fiscal year 2006.
Subtitle E--Climate Change Technology
SEC. 1361. NIST GREENHOUSE GAS FUNCTIONS.
Section 2(c) of the National Institute of Standards and Technology
Act (15 U.S.C. 272(c)) is amended--
(1) striking ``and'' after the semicolon in paragraph (21);
(2) by redesignating paragraph (22) as paragraph (23); and
(3) by inserting after paragraph (21) the following:
``(22) perform research to develop enhanced measurements,
calibrations, standards, and technologies which will enable the
reduced production in the United States of greenhouse gases
associated with global warming, including carbon dioxide,
methane, nitrous oxide, ozone, perfluorocarbons,
hydrofluorocarbons, and sulphur hexafluoride; and''.
SEC. 1362. DEVELOPMENT OF NEW MEASUREMENT TECHNOLOGIES.
(a) In General.--The Secretary of Commerce shall initiate a program
to develop, with technical assistance from appropriate Federal
agencies, innovative standards and measurement technologies (including
technologies to measure carbon changes due to changes in land use
cover) to calculate--
(1) greenhouse gas emissions and reductions from
agriculture, forestry, and other land use practices;
(2) non-carbon dioxide greenhouse gas emissions from
transportation;
(3) greenhouse gas emissions from facilities or sources
using remote sensing technology; and
(4) any other greenhouse gas emission or reductions for
which no accurate or reliable measurement technology exists.
SEC. 1363. ENHANCED ENVIRONMENTAL MEASUREMENTS AND STANDARDS.
The National Institute of Standards and Technology Act (15 U.S.C.
271 et seq.) is amended--
(1) by redesignating sections 17 through 32 as sections 18
through 33, respectively; and
(2) by inserting after section 16 the following:
``SEC. 17. CLIMATE CHANGE STANDARDS AND PROCESSES.
``(a) In General.--The Director shall establish within the
Institute a program to perform and support research on global climate
change standards and processes, with the goal of providing scientific
and technical knowledge applicable to the reduction of greenhouse gases
(as defined in section 4 of the Global Climate Change Act of 2002).
``(b) Research Program.--
``(1) In general.--The Director is authorized to conduct,
directly or through contracts or grants, a global climate
change standards and processes research program.
``(2) Research projects.--The specific contents and
priorities of the research program shall be determined in
consultation with appropriate Federal agencies, including the
Environmental Protection Agency, the National Oceanic and
Atmospheric Administration, and the National Aeronautics and
Space Administration. The program generally shall include basic
and applied research--
``(A) to develop and provide the enhanced
measurements, calibrations, data, models, and reference
material standards which will enable the monitoring of
greenhouse gases;
``(B) to assist in establishing of a baseline
reference point for future trading in greenhouse gases
and the measurement of progress in emissions reduction;
``(C) that will be exchanged internationally as
scientific or technical information which has the
stated purpose of developing mutually recognized
measurements, standards, and procedures for reducing
greenhouse gases; and
``(D) to assist in developing improved industrial
processes designed to reduce or eliminated greenhouse
gases.
``(c) National Measurement Laboratories.--
``(1) In general.--In carrying out this section, the
Director shall utilize the collective skills of the National
Measurement Laboratories of the National Institute of Standards
and Technology to improve the accuracy of measurements that
will permit better understanding and control of these
industrial chemical processes and result in the reduction or
elimination of greenhouse gases.
``(2) Material, process, and building research.--The
National Measurement Laboratories shall conduct research under
this subsection that includes--
``(A) developing material and manufacturing
processes which are designed for energy efficiency and
reduced greenhouse gas emissions into the environment;
``(B) developing environmentally-friendly, `green'
chemical processes to be used by industry; and
``(C) enhancing building performance with a focus
in developing standards or tools which will help
incorporate low or no-emission technologies into
building designs.
``(3) Standards and tools.--The National Measurement
Laboratories shall develop standards and tools under this
subsection that include software to assist designers in
selecting alternate building materials, performance data on
materials, artificial intelligence-aided design procedures for
building subsystems and `smart buildings', and improved test
methods and rating procedures for evaluating the energy
performance of residential and commercial appliances and
products.
``(d) National Voluntary Laboratory Accreditation Program.--The
Director shall utilize the National Voluntary Laboratory Accreditation
Program under this section to establish a program to include specific
calibration or test standards and related methods and protocols
assembled to satisfy the unique needs for accreditation in measuring
the production of greenhouse gases. In carrying out this subsection the
Director may cooperate with other departments and agencies of the
Federal Government, State and local governments, and private
organizations.''.
SEC. 1364. TECHNOLOGY DEVELOPMENT AND DIFFUSION.
(a) Advanced Technology Program Competitions.--The Director of the
National Institute of Standards and Technology, through the Advanced
Technology Program, may hold a portion of the Institute's competitions
in thematic areas, selected after consultation with industry,
academics, and other Federal Agencies, designed to develop and
commercialize enabling technologies to address global climate change by
significantly reducing greenhouse gas emissions and concentrations in
the atmosphere.
(b) Manufacturing Extension Partnership Program for ``Green''
Manufacturing.--The Director of the National Institute of Standards and
Technology, through the Manufacturing Extension Partnership Program,
may develop a program to support the implementation of new ``green''
manufacturing technologies and techniques by the more than 380,000
small manufacturers.
SEC. 1365. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated to the Director to carry
out functions pursuant to sections 1345, 1351, and 1361 through 1363,
$10,000,000 for fiscal years 2002 through 2006.
Subtitle F--Climate Adaptation and Hazards Prevention
PART I--ASSESSMENT AND ADAPTATION
SEC. 1371. REGIONAL CLIMATE ASSESSMENT AND ADAPTATION PROGRAM.
(a) In General.--The President shall establish within the
Department of Commerce a National Climate Change Vulnerability and
Adaptation Program for regional impacts related to increasing
concentrations of greenhouse gases in the atmosphere and climate
variability.
(b) Coordination.--In designing such program the Secretary shall
consult with the Federal Emergency Management Agency, the Environmental
Protection Agency, the Army Corps of Engineers, the Department of
Transportation, and other appropriate Federal, State, and local
government entities.
(c) Vulnerability Assessments.--The program shall--
(1) evaluate, based on predictions developed under this Act
and the National Climate Program Act (15 U.S.C. 2901 et seq.),
regional vulnerability to phenomena associated with climate
change and climate variability, including--
(A) increases in severe weather events;
(B) sea level rise and shifts in the hydrological
cycle;
(C) natural hazards, including tsunami, drought,
flood and fire; and
(D) alteration of ecological communities, including
at the ecosystem or watershed levels; and
(2) build upon predictions and other information developed
in the National Assessments prepared under the Global Change
Research Act of 1990 (15 U.S.C. 2921 et seq.).
(d) Preparedness Recommendations.--The program shall submit a
report to Congress within 2 years after the date of enactment of this
Act that identifies and recommends implementation and funding
strategies for short and long-term actions that may be taken at the
national, regional, State, and local level--
(1) to minimize threats to human life and property,
(2) to improve resilience to hazards,
(3) to minimize economic impacts; and
(4) to reduce threats to critical biological and ecological
processes.
(e) Information and Technology.--The Secretary shall make available
appropriate information and other technologies and products that will
assist national, regional, State, and local efforts to reduce loss of
life and property, and coordinate dissemination of such technologies
and products.
(f) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Commerce $4,500,000 to implement the
requirements of this section.
SEC. 1372. COASTAL VULNERABILITY AND ADAPTATION.
(a) Coastal Vulnerability.--Within 2 years after the date of
enactment of this Act, the Secretary shall, in consultation with the
appropriate Federal, State, and local governmental entities, conduct
regional assessments of the vulnerability of coastal areas to hazards
associated with climate change, climate variability, sea level rise,
and fluctuation of Great Lakes water levels. The Secretary may also
establish, as warranted, longer term regional assessment programs. The
Secretary may also consult with the governments of Canada and Mexico as
appropriate in developing such regional assessments. In preparing the
regional assessments, the Secretary shall collect and compile current
information on climate change, sea level rise, natural hazards, and
coastal erosion and mapping, and specifically address impacts on Arctic
regions and the Central, Western, and South Pacific regions. The
regional assessments shall include an evaluation of--
(1) social impacts associated with threats to and potential
losses of housing, communities, and infrastructure;
(2) physical impacts such as coastal erosion, flooding and
loss of estuarine habitat, saltwater intrusion of aquifers and
saltwater encroachment, and species migration; and
(3) economic impact on local, State, and regional
economies, including the impact on abundance or distribution of
economically important living marine resources.
(b) Coastal Adaptation Plan.--The Secretary shall, within 3 years
after the date of enactment of this Act, submit to the Congress a
national coastal adaptation plan, composed of individual regional
adaptation plans that recommend targets and strategies to address
coastal impacts associated with climate change, sea level rise, or
climate variability. The plan shall be developed with the participation
of other Federal, State, and local government agencies that will be
critical in the implementation of the plan at the State and local
levels. The regional plans that will make up the national coastal
adaptation plan shall be based on the information contained in the
regional assessments and shall identify special needs associated with
Arctic areas and the Central, Western, and South Pacific regions. The
Plan shall recommend both short and long-term adaptation strategies and
shall include recommendations regarding--
(1) Federal flood insurance program modifications;
(2) areas that have been identified as high risk through
mapping and assessment;
(3) mitigation incentives such as rolling easements,
strategic retreat, State or Federal acquisition in fee simple
or other interest in land, construction standards, and zoning;
(4) land and property owner education;
(5) economic planning for small communities dependent upon
affected coastal resources, including fisheries; and
(6) funding requirements and mechanisms.
(c) Technical Planning Assistance.--The Secretary, through the
National Ocean Service, shall establish a coordinated program to
provide technical planning assistance and products to coastal States
and local governments as they develop and implement adaptation or
mitigation strategies and plans. Products, information, tools and
technical expertise generated from the development of the regional
assessments and the regional adaptation plans will be made available to
coastal States for the purposes of developing their own State and local
plans.
(d) Coastal Adaptation Grants.--The Secretary shall provide grants
of financial assistance to coastal States with Federally approved
coastal zone management programs to develop and begin implementing
coastal adaptation programs if the State provides a Federal-to-State
match of 4 to 1 in the first fiscal year, 2.3 to 1 in the second fiscal
year, 2 to 1 in the third fiscal year, and 1 to 1 thereafter.
Distribution of these funds to coastal states shall be based upon the
formula established under section 306(c) of the Coastal Zone Management
Act of 1972 (16 U.S.C. 1455(c)), adjusted in consultation with the
States as necessary to provide assistance to particularly vulnerable
coastlines.
(e) Coastal Response Pilot Program.--
(1) In general.--The Secretary shall establish a 4-year
pilot program to provide financial assistance to coastal
communities most adversely affected by the impact of climate
change or climate variability that are located in States with
Federally approved coastal zone management programs.
(2) Eligible projects.--A project is eligible for financial
assistance under the pilot program if it--
(A) will restore or strengthen coastal resources,
facilities, or infrastructure that have been damaged by
such an impact, as determined by the Secretary;
(B) meets the requirements of the Coastal Zone
Management Act (16 U.S.C. 1451 et seq.) and is
consistent with the coastal zone management plan of the
State in which it is located; and
(C) will not cost more than $100,000.
(3) Funding share.--The Federal funding share of any
project under this subsection may not exceed 75 percent of the
total cost of the project. In the administration of this
paragraph--
(A) the Secretary may take into account in-kind
contributions and other non-cash support of any project
to determine the Federal funding share for that
project; and
(B) the Secretary may waive the requirements of
this paragraph for a project in a community if--
(i) the Secretary determines that the
project is important; and
(ii) the economy and available resources of
the community in which the project is to be
conducted are insufficient to meet the non-
Federal share of the project's costs.
(f) Definitions.--Any term used in this section that is defined in
section 304 of the Coastal Zone Management Act of 1972 (16 U.S.C. 1453)
has the meaning given it by that section.
(g) Authorization of Appropriations.--There are authorized to be
appropriated $3,000,000 annually for regional assessments under
subsection (a), and $3,000,000 annually for coastal adaptation grants
under subsection (d).
PART II--FORECASTING AND PLANNING PILOT PROGRAMS
SEC. 1381. REMOTE SENSING PILOT PROJECTS.
(a) In General.--The Administrator of the National Aeronautics and
Space Administration shall establish, through the National Oceanic and
Atmospheric Administration's Coastal Services Center, a program of
grants for competitively awarded pilot projects to explore the
integrated use of sources of remote sensing and other geospatial
information to address State, local, regional, and tribal agency needs
to forecast a plan for adaptation to coastal zone and land use changes
that may result as a consequence of global climate change or climate
variability.
(b) Preferred Projects.--In awarding grants under this section, the
Center shall give preference to projects that--
(1) focus on areas that are most sensitive to the
consequences of global climate change or climate variability;
(2) make use of existing public or commercial data sets;
(3) integrate multiple sources of geospatial information,
such as geographic information system data, satellite-provided
positioning data, and remotely sensed data, in innovative ways;
(4) offer diverse, innovative approaches that may serve as
models for establishing a future coordinated framework for
planning strategies for adaptation to coastal zone and land use
changes related to global climate change or climate
variability;
(5) include funds or in-kind contributions from non-Federal
sources;
(6) involve the participation of commercial entities that
process raw or lightly processed data, often merging that data
with other geospatial information, to create data products that
have significant value added to the original data; and
(7) taken together demonstrate as diverse a set of public
sector applications as possible.
(c) Opportunities.--In carrying out this section, the Center shall
seek opportunities to assist--
(1) in the development of commercial applications
potentially available from the remote sensing industry; and
(2) State, local, regional, and tribal agencies in applying
remote sensing and other geospatial information technologies
for management and adaptation to coastal and land use
consequences of global climate change or climate variability.
(d) Duration.--Assistance for a pilot project under subsection (a)
shall be provided for a period of not more than 3 years.
(e) Responsibilities of Grantees.--Within 180 days after completion
of a grant project, each recipient of a grant under subsection (a)
shall transmit a report to the Center on the results of the pilot
project and conduct at least one workshop for potential users to
disseminate the lessons learned from the pilot project as widely as
feasible.
(f) Regulations.--The Center shall issue regulations establishing
application, selection, and implementation procedures for pilot
projects, and guidelines for reports and workshops required by this
section.
SEC. 1382. DATABASE ESTABLISHMENT.
The Center shall establish and maintain an electronic, Internet-
accessible database of the results of each pilot project completed
under section 1381.
SEC. 1383. DEFINITIONS.
In this subtitle:
(1) Center.--The term ``Center'' means the Coastal Services
Center of the National Oceanic and Atmospheric Administration.
(2) Geospatial information.--The term ``geospatial
information'' means knowledge of the nature and distribution of
physical and cultural features on the landscape based on
analysis of data from airborne or spaceborne platforms or other
types and sources of data.
(3) Institution of higher education.--The term
``institution of higher education'' has the meaning given that
term in section 101(a) of the Higher Education Act of 1965 (20
U.S.C. 1001(a)).
SEC. 1384. AUTHORIZATION OF APPROPRIATIONS.
There are authorized to be appropriated to the Administrator to
carry out the provisions of this subtitle--
(1) $17,500,000 for fiscal year 2003;
(2) $20,000,000 for fiscal year 2004;
(3) $22,500,000 for fiscal year 2005; and
(4) $25,000,000 for fiscal year 2006.
TITLE XIV--MANAGEMENT OF DOE SCIENCE AND TECHNOLOGY PROGRAMS
SEC. 1401. DEFINITIONS.
In this title:
(1) Applicability of definitions.--The definitions in
section 1203 shall apply.
(2) Single-purpose research facility.--The term ``single-
purpose research facility'' means any of the following
primarily single purpose entities owned by the Department of
Energy--
(A) Ames Laboratory;
(B) East Tennessee Technology Park;
(C) Environmental Measurement Laboratory;
(D) Fernald Environmental Management Project;
(E) Fermi National Accelerator Laboratory;
(F) Kansas City Plant;
(G) Nevada Test Site;
(H) New Brunswick Laboratory;
(I) Pantex Weapons Facility;
(J) Princeton Plasma Physics Laboratory;
(K) Savannah River Technology Center;
(L) Stanford Linear Accelerator Center;
(M) Thomas Jefferson National Accelerator Facility;
(N) Y-12 facility at Oak Ridge National Laboratory;
(O) Waste Isolation Pilot Plant; or
(P) other similar organization of the Department
designated by the Secretary that engages in technology
transfer, partnering, or licensing activities.
SEC. 1402. AVAILABILITY OF FUNDS.
Funds authorized to be appropriated to the Department of Energy
under title XII, title XIII, and title XV shall remain available until
expended.
SEC. 1403. COST SHARING.
(a) Research and Development.--For research and development
projects funded from appropriations authorized under subtitles A
through D of title XII, the Secretary shall require a commitment from
non-federal sources of at least 20 percent of the cost of the project.
The Secretary may reduce or eliminate the non-Federal requirement under
this subsection if the Secretary determines that the research and
development is of a basic or fundamental nature.
(b) Demonstration and Deployment.--For demonstration and technology
deployment activities funded from appropriations authorized under
subtitles A through D of title XII, the Secretary shall require a
commitment from non-federal sources of at least 50 percent of the costs
of the project directly and specifically related to any demonstration
or technology deployment activity. The Secretary may reduce or
eliminate the non-federal requirement under this subsection if the
Secretary determines that the reduction is necessary and appropriate
considering the technological risks involved in the project and is
necessary to meet one or more goals of this title.
(c) Calculation of Amount.--In calculating the amount of the non-
Federal commitment under subsection (a) or (b), the Secretary shall
include cash, personnel, services, equipment, and other resources.
SEC. 1404. MERIT REVIEW OF PROPOSALS.
Awards of funds authorized under title XII, subtitle A of title
XIII, and title XV shall be made only after an independent review of
the scientific and technical merit of the proposals for such awards has
been made by the Department of Energy.
SEC. 1405. EXTERNAL TECHNICAL REVIEW OF DEPARTMENTAL PROGRAMS.
(a) National Energy Research and Development Advisory Boards.--(1)
The Secretary shall establish an advisory board to oversee Department
research and development programs in each of the following areas--
(A) energy efficiency;
(B) renewable energy;
(C) fossil energy;
(D) nuclear energy; and
(E) climate change technology, with emphasis on
integration, collaboration, and other special features of the
cross-cutting technologies supported by the Office of Climate
Change Technology.
(2) The Secretary may designate an existing advisory board within
the Department to fulfill the responsibilities of an advisory board
under this subsection, or may enter into appropriate arrangements with
the National Academy of Sciences to establish such an advisory board.
(b) Utilization of Existing Committees.--The Secretary of Energy
shall continue to use the scientific program advisory committees
chartered under the Federal Advisory Committee Act by the Office of
Science to oversee research and development programs under that Office.
(c) Membership.--Each advisory board under this section shall
consist of experts drawn from industry, academia, federal laboratories,
research institutions, or state, local, or tribal governments, as
appropriate.
(d) Meetings and Purposes.--Each advisory board under this section
shall meet at least semi-annually to review and advise on the progress
made by the respective research, development, demonstration, and
technology deployment program. The advisory board shall also review the
adequacy and relevance of the goals established for each program by
Congress and the President, and may otherwise advise on promising
future directions in research and development that should be considered
by each program.
SEC. 1406. IMPROVED COORDINATION AND MANAGEMENT OF CIVILIAN SCIENCE AND
TECHNOLOGY PROGRAMS.
(a) Effective Top-Level Coordination of Research and Development
Programs.--Section 202(b) of the Department of Energy Organization Act
(42 U.S.C. 7132(b)) is amended to read as follows:
``(b)(1) There shall be in the Department an Under Secretary for
Energy and Science, who shall be appointed by the President, by and
with the advice and consent of the Senate. The Under Secretary shall be
compensated at the rate provided for at level III of the Executive
Schedule under section 5314 of title 5, United States Code.
``(2) The Under Secretary for Energy and Science shall be appointed
from among persons who--
``(A) have extensive background in scientific or
engineering fields; and
``(B) are well qualified to manage the civilian research
and development programs of the Department of Energy.
``(3) The Under Secretary for Energy and Science shall--
``(A) serve as the Science and Technology Advisor to the
Secretary;
``(B) monitor the Department's research and development
programs in order to advise the Secretary with respect to any
undesirable duplication or gaps in such programs;
``(C) advise the Secretary with respect to the well-being
and management of the multipurpose laboratories under the
jurisdiction of the Department;
``(D) advise the Secretary with respect to education and
training activities required for effective short- and long-term
basic and applied research activities of the Department;
``(E) advise the Secretary with respect to grants and other
forms of financial assistance required for effective short- and
long-term basic and applied research activities of the
Department; and
``(F) exercise authority and responsibility over Assistant
Secretaries carrying out energy research and development and
energy technology functions under sections 203 and 209, as well
as other elements of the Department assigned by the
Secretary.''.
(b) Reconfiguration of Position of Director of the Office of
Science.--Section 209 of the Department of Energy Organization Act (41
U.S.C. 7139) is amended to read as follows--
``(a) There shall be within the Department an Office of Science, to
be headed by an Assistant Secretary of Science, who shall be appointed
by the President, by and with the advice and consent of the Senate, and
who shall be compensated at the rate provided for level IV of the
Executive Schedule under section 5315 of title 5, United States Code.
``(b) The Assistant Secretary of Science shall be in addition to
the Assistant Secretaries provided for under section 203 of this Act.
``(c) It shall be the duty and responsibility of the Assistant
Secretary of Science to carry out the fundamental science and
engineering research functions of the Department, including the
responsibility for policy and management of such research, as well as
other functions vested in the Secretary which he may assign to the
Assistant Secretary.''.
(c) Additional Assistant Secretary Position To Enable Improved
Management of Nuclear Energy Issues.--
(1) Section 203(a) of the Department of Energy Organization
Act (42 U.S.C. 7133(a)) is amended by striking ``There shall be
in the Department six Assistant Secretaries'' and inserting
``Except as provided in section 209, there shall be in the
Department seven Assistant Secretaries''.
(2) It is the Sense of the Senate that the leadership for
departmental missions in nuclear energy should be at the
Assistant Secretary level.
(d) Technical and Conforming Amendments.--
(1) Section 202 of the Department of Energy Organization
Act (42 U.S.C. 7132) is further amended by adding the following
at the end:
``(d) There shall be in the Department an Under Secretary, who
shall be appointed by the President, by and with the advice and consent
of the Senate, and who shall perform such functions and duties as the
Secretary shall prescribe, consistent with this section. The Under
Secretary shall be compensated at the rate provided for level III of
the Executive Schedule under section 5314 of title 5, United States
Code.
``(e) There shall be in the Department a General Counsel, who shall
be appointed by the President, by and with the advice and consent of
the Senate. The General Counsel shall be compensated at the rate
provided for level IV of the Executive Schedule under section 5315 of
title 5, United States Code.''.
(2) Section 5314 of title 5, United States Code, is amended
by striking ``Under Secretaries of Energy (2)'' and inserting
``Under Secretaries of Energy (3)''.
(3) Section 5315 of title 5, United States Code, is amended
by--
(A) striking ``Director, Office of Science,
Department of Energy.''; and
(B) striking ``Assistant Secretaries of Energy
(6)'' and inserting ``Assistant Secretaries of Energy
(8)''.
(4) The table of contents for the Department of Energy
Organization Act (42 U.S.C. 7101 note) is amended--
(A) by striking ``Section 209'' and inserting
``Sec. 209'';
(B) by striking ``213.'' and inserting ``Sec.
213'';
(C) by striking ``214.'' and inserting ``Sec.
214.'';
(D) by striking ``215.'' and inserting ``Sec.
215.''; and
(E) by striking ``216.'' and inserting ``Sec.
216.''.
SEC. 1407. IMPROVED COORDINATION OF TECHNOLOGY TRANSFER ACTIVITIES.
(a) Technology Transfer Coordinator.--The Secretary shall appoint a
Technology Transfer Coordinator to perform oversight of and policy
development for technology transfer activities at the Department. The
Technology Transfer Coordinator shall coordinate the activities of the
Technology Partnerships Working Group, and shall oversee the
expenditure of funds allocated to the Technology Partnership Working
Group.
(b) Technology Partnership Working Group.--The Secretary shall
establish a Technology Partnership Working Group, which shall consist
of representatives of the National Laboratories and single-purpose
research facilities, to--
(1) coordinate technology transfer activities occurring at
National Laboratories and single-purpose research facilities;
(2) exchange information about technology transfer
practices; and
(3) develop and disseminate to the public and prospective
technology partners information about opportunities and
procedures for technology transfer with the Department.
SEC 1408. TECHNOLOGY INFRASTRUCTURE PROGRAM.
(a) Establishment.--The Secretary shall establish a Technology
Infrastructure Program in accordance with this section.
(b) Purpose.--The purpose of the Technology Infrastructure Program
shall be to improve the ability of National Laboratories or single-
purpose research facilities to support departmental missions by--
(1) stimulating the development of technology clusters that
can support departmental missions at the National Laboratories
or single-purpose research facilities;
(2) improving the ability of National Laboratories or
single-purpose research facilities to leverage and benefit from
commercial research, technology, products, processes, and
services; and
(3) encouraging the exchange of scientific and
technological expertise between National Laboratories or
single-purpose research facilities and--
(A) institutions of higher education,
(B) technology-related business concerns,
(C) nonprofit institutions, and
(D) agencies of State, tribal, or local
governments,
that can support departmental missions at the National Laboratories and
single-purpose research facilities.
(c) Projects.--The Secretary shall authorize the Director of each
National Laboratory or facility to implement the Technology
Infrastructure Program at such National Laboratory or single-purpose
research facility through projects that meet the requirements of
subsections (d) and (e).
(d) Program Requirements.--Each project funded under this section
shall meet the following requirements:
(1) Minimum participants.--Each project shall at a minimum
include--
(A) a National Laboratory or single-purpose
research facility; and
(B) one of the following entities--
(i) a business,
(ii) an institution of higher education,
(iii) a nonprofit institution, or
(iv) an agency of a State, local, or tribal
government.
(2) Cost sharing.--
(A) Minimum amount.--Not less than 50 percent of
the costs of each project funded under this section
shall be provided from non-Federal sources.
(B) Qualified funding and resources.--
(i) The calculation of costs paid by the
non-Federal sources to a project shall include
cash, personnel, services, equipment, and other
resources expended on the project.
(ii) Independent research and development
expenses of government contractors that qualify
for reimbursement under section 31-205-18(e) of
the Federal Acquisition Regulations issued
pursuant to section 25(c)(1) of the Office of
Federal Procurement Policy Act (41 U.S.C.
421(c)(1)) may be credited towards costs paid
by non-Federal sources to a project, if the
expenses meet the other requirements of this
section.
(iii) No funds or other resources expended
either before the start of a project under this
section or outside the project's scope of work
shall be credited toward the costs paid by the
non-Federal sources to the project.
(3) Competitive selection.--All projects in which a party
other than the Department, a National Laboratory, or a single-
purpose research facility receives funding under this section
shall, to the extent practicable, be competitively selected by
the National Laboratory or facility using procedures determined
to be appropriate by the Secretary.
(4) Accounting standards.--Any participant that receives
funds under this section, other than a National Laboratory or
single-purpose research facility, may use generally accepted
accounting principles for maintaining accounts, books, and
records relating to the project.
(5) Limitations.--No Federal funds shall be made available
under this section for--
(A) construction; or
(B) any project for more than five years.
(e) Selection Criteria.--
(1) Threshold funding criteria.--The Secretary shall
allocate funds under this section only if the Director of the
National Laboratory or single-purpose research facility
managing the project determines that the project is likely to
improve the ability of the National Laboratory or single-
purpose research facility to achieve technical success in
meeting departmental missions.
(2) Additional criteria.--The Secretary shall require the
Director of the National Laboratory or single-purpose research
facility managing a project under this section to consider the
following criteria in selecting a project to receive Federal
funds--
(A) the potential of the project to succeed, based
on its technical merit, team members, management
approach, resources, and project plan;
(B) the potential of the project to promote the
development of a commercially sustainable technology
cluster, which will derive most of the demand for its
products or services from the private sector, and which
will support departmental missions at the participating
National Laboratory or single-purpose research
facility;
(C) the potential of the project to promote the use
of commercial research, technology, products,
processes, and services by the participating National
Laboratory or single-purpose research facility to
achieve its departmental mission or the commercial
development of technological innovations made at the
participating National Laboratory or single-purpose
research facility;
(D) the commitment shown by non-Federal
organizations to the project, based primarily on the
nature and amount of the financial and other resources
they will risk on the project;
(E) the extent to which the project involves a wide
variety and number of institutions of higher education,
nonprofit institutions, and technology-related business
concerns that can support the missions of the
participating National Laboratory or single-purpose
research facility and that will make substantive
contributions to achieving the goals of the project;
(F) the extent of participation in the project by
agencies of State, tribal, or local governments that
will make substantive contributions to achieving the
goals of the project;
(G) the extent to which the project focuses on
promoting the development of technology-related
business concerns that are small business concerns or
involves such small business concerns substantively in
the project; and
(H) such other criteria as the Secretary determines
to be appropriate.
(f) Report to Congress.--Not later than January 1, 2004, the
Secretary shall report to Congress on whether the Technology
Infrastructure Program should be continued and, if so, how the program
should be managed.
(g) Definitions.--In this section:
(1) Technology cluster.--The term ``technology cluster''
means a concentration of--
(A) technology-related business concerns;
(B) institutions of higher education; or
(C) other nonprofit institutions,
that reinforce each other's performance in the areas of
technology development through formal or informal
relationships.
(2) Technology-related business concern.--The term
``technology-related business concern'' means a for-profit
corporation, company, association, firm, partnership, or small
business concern that--
(A) conducts scientific or engineering research,
(B) develops new technologies,
(C) manufacturers products based on new
technologies, or
(D) performs technological services.
(h) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary for activities under this section
$10,000,000 for each of fiscal years 2003 and 2004.
SEC. 1409. SMALL BUSINESS ADVOCACY AND ASSISTANCE.
(a) Small Business Advocate.--The Secretary shall require the
Director of each National Laboratory, and may require the Director of a
single-purpose research facility, to appoint a small business advocate
to--
(1) increase the participation of small business concerns,
including socially and economically disadvantaged small
business concerns, in procurement, collaborative research,
technology licensing, and technology transfer activities
conducted by the National Laboratory or single-purpose research
facility;
(2) report to the Director of the National Laboratory or
single-purpose research facility on the actual participation of
small business concerns in procurement and collaborative
research along with recommendations, if appropriate, on how to
improve participation;
(3) make available to small business concerns training,
mentoring, and clear, up-to-date information on how to
participate in the procurement and collaborative research,
including how to submit effective proposals;
(4) increase the awareness inside the National Laboratory
or single-purpose research facility of the capabilities and
opportunities presented by small business concerns; and
(5) establish guidelines for the program under subsection
(b) and report on the effectiveness of such program to the
Director of the National Laboratory or single-purpose research
facility.
(b) Establishment of Small Business Assistance Program.--The
Secretary shall require the Director of each National Laboratory, and
may require the director of a single-purpose research facility, to
establish a program to provide small business concerns--
(1) assistance directed at making them more effective and
efficient subcontractors or suppliers to the National
Laboratory or single-purpose research facility; or
(2) general technical assistance, the cost of which shall
not exceed $10,000 per instance of assistance, to improve the
small business concern's products or services.
(c) Use of Funds.--None of the funds expended under subsection (b)
may be used for direct grants to the small business concerns.
(d) Definitions.--In this section:
(1) Small business concern.--The term ``small business
concern'' has the meaning given such term in section 3 of the
Small Business Act (15 U.S.C. 632).
(2) Socially and economically disadvantaged small business
concerns.--The term ``socially and economically disadvantaged
small business concerns'' has the meaning given such term in
section 8(a)(4) of the Small Business Act (15 U.S.C.
637(a)(4)).
SEC. 1410. OTHER TRANSACTIONS.
(a) In General.--Section 646 of the Department of Energy
Organization Act (42 U.S.C. 7256) is amended by adding at the end the
following:
``(g) Other Transactions Authority.--(1) In addition to other
authorities granted to the Secretary to enter into procurement
contracts, leases, cooperative agreements, grants, and other similar
arrangements, the Secretary may enter into other transactions with
public agencies, private organizations, or persons on such terms as
the Secretary may deem appropriate in furtherance of basic, applied,
and advanced research functions now or hereafter vested in the
Secretary. Such other transactions shall not be subject to the
provisions of section 9 of the Federal Nonnuclear Energy Research and
Development Act of 1974 (42 U.S.C. 5908).
``(2)(A) The Secretary of Energy shall ensure that--
``(i) to the maximum extent practicable, no transaction
entered into under paragraph (1) provides for research that
duplicates research being conducted under existing programs
carried out by the Department of Energy; and
``(ii) to the extent that the Secretary determines
practicable, the funds provided by the Government under a
transaction authorized by paragraph (1) do not exceed the total
amount provided by other parties to the transaction.
``(B) A transaction authorized by paragraph (1) may be used for a
research project when the use of a standard contract, grant, or
cooperative agreement for such project is not feasible or appropriate.
``(3)(A) The Secretary shall not disclose any trade secret or
commercial or financial information submitted by a non-Federal entity
under paragraph (1) that is privileged and confidential.
``(B) The Secretary shall not disclose, for five years after the
date the information is received, any other information submitted by a
non-Federal entity under paragraph (1), including any proposal,
proposal abstract, document supporting a proposal, business plan, or
technical information that is privileged and confidential.
``(C) The Secretary may protect from disclosure, for up to five
years, any information developed pursuant to a transaction under
paragraph (1) that would be protected from disclosure under section
552(b)(4) of title 5, United States Code, if obtained from a person
other than a Federal agency.''.
(b) Implementation.--Not later than six months after the date of
enactment of this section, the Department shall establish guidelines
for the use of other transactions.
SEC. 1411. MOBILITY OF SCIENTIFIC AND TECHNICAL PERSONNEL.
Not later than two years after the enactment of this section, the
Secretary, acting through the Technology Transfer Coordinator under
section 1407, shall determine whether each contractor operating a
National Laboratory or single-purpose research facility has policies
and procedures that do not create disincentives to the transfer of
scientific and technical personnel among the contractor-operated
National Laboratories or contractor-operated single-purpose research
facilities.
SEC. 1412. NATIONAL ACADEMY OF SCIENCES REPORT.
Within 90 days after the date of enactment of this Act, the
Secretary shall contract with the National Academy of Sciences to--
(1) conduct a study on the obstacles to accelerating the
innovation cycle for energy technology, and
(2) report to the Congress recommendations for shortening
the cycle of research, development, and deployment.
SEC. 1413. REPORT ON TECHNOLOGY READINESS AND BARRIERS TO TECHNOLOGY
TRANSFER.
(a) In General.--The Secretary, acting through the Technology
Partnership Working Group and in consultation with representatives of
affected industries, universities, and small business concerns, shall--
(1) assess the readiness for technology transfer of energy
technologies developed through projects funded from
appropriations authorized under subtitles A through D of title
XIV, and
(2) identify barriers to technology transfer and
cooperative research and development agreements between the
Department or a National Laboratory and a non-federal person;
and
(3) make recommendations for administrative or legislative
actions needed to reduce or eliminate such barriers.
(b) Report.--The Secretary provide a report to Congress and the
President on activities carried out under this section not later than
one year after the date of enactment of this section, and shall update
such report on a biennial basis, taking into account progress toward
eliminating barriers to technology transfer identified in previous
reports under this section.
TITLE XV--PERSONNEL AND TRAINING
SEC. 1501. WORKFORCE TRENDS AND TRAINEESHIP GRANTS.
(a) Workforce Trends.--
(1) Monitoring.--The Secretary of Energy (in this title
referred to as the ``Secretary''), acting through the
Administrator of the Energy Information Administration, in
consultation with the Secretary of Labor, shall monitor trends
in the workforce of skilled technical personnel supporting
energy technology industries, including renewable energy
industries, companies developing and commercializing devices to
increase energy-efficiency, the oil and gas industry, nuclear
power industry, the coal industry, and other industrial sectors
as the Secretary may deem appropriate.
(2) Annual reports.--The Administrator of the Energy
Information Administration shall include statistics on energy
industry workforce trends in the annual reports of the Energy
Information Administration.
(3) Special reports.--The Secretary shall report to the
appropriate committees of Congress whenever the Secretary
determines that significant shortfalls of technical personnel
in one or more energy industry segments are forecast or have
occurred.
(b) Traineeship Grants for Technically Skilled Personnel.--
(1) Grant programs.--The Secretary shall establish grant
programs in the appropriate offices of the Department to
enhance training of technically skilled personnel for which a
shortfall is determined under subsection (a).
(2) Eligible institutions.--As determined by the Secretary
to be appropriate to the particular workforce shortfall, the
Secretary shall make grants under paragraph (1) to--
(A) an institution of higher education;
(B) a postsecondary educational institution
providing vocational and technical education (within
the meaning given those terms in section 3 of the Carl
D. Perkins Vocational and Technical Education Act of
1998 (20 U.S.C. 2302));
(C) appropriate agencies of State, local, or tribal
governments; or
(D) joint labor and management training
organizations with state or federally recognized
apprenticeship programs and other employee-based
training organizations as the Secretary considers
appropriate.
(c) Definition.--For purposes of this section, the term ``skilled
technical personnel'' means journey and apprentice level workers who
are enrolled in or have completed a state or federally recognized
apprenticeship program and other skilled workers in energy technology
industries.
(d) Authorization of Appropriations.--From amounts authorized under
section 1241(c), there are authorized to be appropriated to the
Secretary for activities under this section such sums as may be
necessary for each fiscal year.
SEC. 1502. POSTDOCTORAL AND SENIOR RESEARCH FELLOWSHIPS IN ENERGY
RESEARCH.
(a) Postdoctoral Fellowships.--The Secretary shall establish a
program of fellowships to encourage outstanding young scientists and
engineers to pursue postdoctoral research appointments in energy
research and development at institutions of higher education of their
choice. In establishing a program under this subsection, the Secretary
may enter into appropriate arrangements with the National Academy of
Sciences to help administer the program.
(b) Distinguished Senior Research Fellowships.--The Secretary shall
establish a program of fellowships to allow outstanding senior
researchers in energy research and development and their research
groups to explore research and development topics of their choosing for
a fixed period of time. Awards under this program shall be made on the
basis of past scientific or technical accomplishment and promise for
continued accomplishment during the period of support, which shall not
be less than 3 years.
(c) Authorization of Appropriations.--From amounts authorized under
section 1241(c), there are authorized to be appropriated to the
Secretary for activities under this section such sums as may be
necessary for each fiscal year.
SEC. 1503. TRAINING GUIDELINES FOR ELECTRIC ENERGY INDUSTRY PERSONNEL.
(a) Model Guidelines.--The Secretary shall, in cooperation with
electric generation, transmission, and distribution companies and
recognized representatives of employees of those entities, develop
model employee training guidelines to support electric supply system
reliability and safety.
(b) Content of Guidelines.--The guidelines under this section shall
include--
(1) requirements for worker training, competency, and
certification, developed using criteria set forth by the
Utility Industry Group recognized by the National Skill
Standards Board; and
(2) consolidation of existing guidelines on the
construction, operation, maintenance, and inspection of
electric supply generation, transmission and distribution
facilities such as those established by the National Electric
Safety Code and other industry consensus standards.
SEC. 1504. NATIONAL CENTER ON ENERGY MANAGEMENT AND BUILDING
TECHNOLOGIES.
The Secretary shall establish a National Center on Energy
Management and Building Technologies, to carry out research, education,
and training activities to facilitate the improvement of energy
efficiency and indoor air quality in industrial, commercial and
residential buildings. The National Center shall be established in
cooperation with--
(1) recognized representatives of employees in the heating,
ventilation, and air conditioning industry;
(2) contractors that install and maintain heating,
ventilation and air conditioning systems and equipment;
(3) manufacturers of heating, ventilation and air-
conditioning systems and equipment;
(4) representatives of the advanced building envelope
industry, including design, windows, lighting, and insulation
industries; and
(5) other entities as appropriate.
SEC. 1505. IMPROVED ACCESS TO ENERGY-RELATED SCIENTIFIC AND TECHNICAL
CAREERS.
(a) Department of Energy Science Education Programs.--Section 3164
of the Department of Energy Science Education Enhancement Act (42
U.S.C. 7381a) is amended by adding at the end the following:
``(c) Programs for Women and Minority Students.--In carrying out a
program under subsection (a), the Secretary shall give priority to
activities that are designed to encourage women and minority students
to pursue scientific and technical careers.''.
(b) Partnerships With Historically Black Colleges and Universities,
Hispanic-Servicing Institutions, and Tribal Colleges.--The Department
of Energy Science Education Enhancement Act (42 U.S.C. 7381 et seq.) is
amended--
(1) by redesignating sections 3167 and 3168 as sections
3168 and 3169, respectively; and
(2) by inserting after section 3166 the following:
``SEC. 3167. PARTNERSHIPS WITH HISTORICALLY BLACK COLLEGES AND
UNIVERSITIES, HISPANIC-SERVING INSTITUTIONS, AND TRIBAL
COLLEGES.
``(a) Definitions.--In this section:
``(1) Hispanic-serving institution.--The term `Hispanic-
serving institution' has the meaning given the term in section
502(a) of the Higher Education Act of 1965 (20 U.S.C.
1101a(a)).
``(2) Historically black college or university.--The term
`historically Black college or university' has the meaning
given the term `part B institution' in section 322 of the
Higher Education Act of 1965 (20 U.S.C. 1061).
``(3) National laboratory.--The term `National Laboratory'
has the meaning given the term in section 1203 of the Energy
Science and Technology Enhancement Act of 2002.
``(4) Science facility.--The term `science facility' has
the meaning given the term `single-purpose research facility'
in section 1401 of the Energy Science and Technology
Enhancement Act of 2002.
``(5) Tribal college.--The term `tribal college has the
meaning given the term `tribally controlled college or
university' in section 2(a) of the Tribally Controlled College
or University Assistance Act of 1978 (25 U.S.C. 1801(a)).
``(b) Education Partnership.--
``(1) In general.--The Secretary shall direct the Director
of each National Laboratory, and may direct the head of any
science facility, to increase the participation of historically
Black colleges or universities, Hispanic-serving institutions,
or tribal colleges in activities that increase the capacity of
the historically Black colleges or universities, Hispanic-
serving institutions, or tribal colleges to train personnel in
science or engineering.
``(2) Activities.--An activity under paragraph (1) may
include--
``(A) collaborative research;
``(B) a transfer of equipment;
``(C) training of personnel at a National
Laboratory or science facility; and
``(D) a mentoring activity by personnel at a
National Laboratory or science facility.
``(c) Report.--Not later than 2 years after the date of enactment
of this section, the Secretary shall submit to the Committee on Science
of the House of Representatives and the Committee on Energy and Natural
Resources of the Senate a report on the activities carried out under
this section.''.
DIVISION F--TECHNOLOGY ASSESSMENT AND STUDIES
TITLE XVI--TECHNOLOGY ASSESSMENT
SEC. 1601. NATIONAL SCIENCE AND TECHNOLOGY ASSESSMENT SERVICE.
The National Science and Technology Policy, Organization, and
Priorities Act of 1976 (42 U.S.C. 6601 et seq.) is amended by adding at
the end the following:
``TITLE VII--NATIONAL SCIENCE AND TECHNOLOGY ASSESSMENT SERVICE
``SEC. 701. ESTABLISHMENT.
``There is hereby created a Science and Technology Assessment
Service (hereinafter referred to as the `Service'), which shall be
within and responsible to the legislative branch of the Government.
``SEC. 702. COMPOSITION.
``The Service shall consist of a Science and Technology Board
(hereinafter referred to as the `Board') which shall formulate and
promulgate the policies of the Service, and a Director who shall carry
out such policies and administer the operations of the Service.
``SEC. 703. FUNCTIONS AND DUTIES.
``The Service shall coordinate and develop information for Congress
relating to the uses and application of technology to address current
national science and technology policy issues. In developing such
technical assessments for Congress, the Service shall utilize, to the
extent practicable, experts selected in coordination with the National
Research Council.
``SEC. 704. INITIATION OF ACTIVITIES.
``Science and technology assessment activities undertaken by the
Service may be initiated upon the request of--
``(1) the Chairman of any standing, special, or select
committee of either House of the Congress, or of any joint
committee of the Congress, acting for himself or at the request
of the ranking minority member or a majority of the committee
members;
``(2) the Board; or
``(3) the Director.
``SEC. 705. ADMINISTRATION AND SUPPORT.
``The Director of the Science and Technology Assessment Service
shall be appointed by the Board and shall serve for a term of 6 years
unless sooner removed by the Board. The Director shall receive basic
pay at the rate provided for level III of the Executive Schedule under
section 5314 of title 5, United States Code. The Director shall
contract for administrative support from the Library of Congress.
``SEC. 706. AUTHORITY.
``The Service shall have the authority, within the limits of
available appropriations, to do all things necessary to carry out the
provisions of this section, including, but without being limited to,
the authority to--
``(1) make full use of competent personnel and
organizations outside the Office, public or private, and form
special ad hoc task forces or make other arrangements when
appropriate;
``(2) enter into contracts or other arrangements as may be
necessary for the conduct of the work of the Office with any
agency or instrumentality of the United States, with any State,
territory, or possession or any political subdivision thereof,
or with any person, firm, association, corporation, or
educational institution, with or without reimbursement, without
performance or other bonds, and without regard to section 3709
of the Revised Statutes (41 U.S.C. 51);
``(3) accept and utilize the services of voluntary and
uncompensated personnel necessary for the conduct of the work
of the Service and provide transportation and subsistence as
authorized by section 5703 of title 5, United States Code, for
persons serving without compensation; and
``(4) prescribe such rules and regulations as it deems
necessary governing the operation and organization of the
Service.
``SEC. 707. BOARD.
``The Board shall consist of 13 members as follows--
``(1) 6 Members of the Senate, appointed by the President
pro tempore of the Senate, 3 from the majority party and 3 from
the minority party;
``(2) 6 Members of the House or Representatives appointed
by the Speaker of the House of Representatives, 3 from the
majority party and 3 from the minority party; and
``(3) the Director, who shall not be a voting member.
``SEC. 708. REPORT TO CONGRESS.
``The Service shall submit to the Congress an annual report which
shall include, but not be limited to, an evaluation of technology
assessment techniques and identification, insofar as may be feasible,
of technological areas and programs requiring future analysis. The
annual report shall be submitted not later than March 15 of each year.
``SEC. 709. AUTHORIZATION OF APPROPRIATIONS.
``There are authorized to be appropriated to the Service such sums
as are necessary to fulfill the requirements of this title.''.
TITLE XVII--STUDIES
SEC. 1701. REGULATORY REVIEWS.
(a) Regulatory Reviews.--Not later than one year after the date of
enactment of this section and every five years thereafter, each Federal
agency shall review relevant regulations and standards to identify--
(1) existing regulations and standards that act as barriers
to--
(A) market entry for emerging energy technologies
(including fuel cells, combined heat and power,
distributed power generation, and small-scale renewable
energy), and
(B) market development and expansion for existing
energy technologies (including combined heat and power,
small-scale renewable energy, and energy recovery in
industrial processes), and
(2) actions the agency is taking or could take to--
(A) remove barriers to market entry for emerging
energy technologies and to market expansion for
existing technologies,
(B) increase energy efficiency and conservation, or
(C) encourage the use of new and existing processes
to meet energy and environmental goals.
(b) Report to Congress.--Not later than 18 months after the date of
enactment of this section, and every five years thereafter, the
Director of the Office of Science and Technology Policy shall report to
the Congress on the results of the agency reviews conducted under
subsection (a).
(c) Contents of the Report.--The report shall--
(1) identify all regulatory barriers to--
(A) the development and commercialization of
emerging energy technologies and processes, and
(B) the further development and expansion of
existing energy conservation technologies and
processes,
(2) actions taken, or proposed to be taken, to remove such
barriers, and
(3) recommendations for changes in laws or regulations that
may be needed to--
(A) expedite the siting and development of energy
production and distribution facilities,
(B) encourage the adoption of energy efficiency and
process improvements,
(C) facilitate the expanded use of existing energy
conservation technologies, and
(D) reduce the environmental impacts of energy
facilities and processes through transparent and
flexible compliance methods.
SEC. 1702. ASSESSMENT OF DEPENDENCE OF HAWAII ON OIL.
(a) Study.--Not later than 60 days after the enactment of this Act,
the Secretary of Energy shall initiate a study that assesses the
economic risk posed by the dependence of Hawaii on oil as the principal
source of energy.
(b) Scope of the Study.--The Secretary shall assess--
(1) the short- and long-term threats to the economy of
Hawaii posed by insecure supply and volatile prices;
(2) the impact on availability and cost of refined
petroleum products if oil-fired electric generation is
displaced by other sources;
(3) the feasibility of increasing the contribution of
renewable sources to the overall energy requirements of Hawaii;
and
(4) the feasibility of using liquid natural gas as a source
of energy to supplement oil.
(c) Report.--Not later than 300 days after the date of enactment of
this section, the Secretary shall prepare, in consultation with
appropriate agencies of the State of Hawaii, industry representatives,
and citizen groups, and shall submit to Congress a report detailing the
Secretary's findings, conclusions, and recommendations. The report
shall include--
(1) a detailed analysis of the availability, economics,
infrastructure needs, and recommendations to increase the
contribution of renewable energy sources to the overall energy
requirements of Hawaii; and
(2) a detailed analysis of the use of liquid natural gas,
including--
(A) the availability of supply,
(B) economics,
(C) environmental and safety considerations,
(D) technical limitations,
(E) infrastructure and transportation requirements,
(F) siting and facility configurations, including--
(i) onshore and offshore alternatives, and
(ii) environmental and safety
considerations of both onshore and offshore
alternatives.
(d) Authorization of Appropriations.--There are authorized to be
appropriated to the Secretary of Energy such sums as may be necessary
to carry out the purposes of this section.
SEC. 1703. STUDY OF SITING AN ELECTRIC TRANSMISSION SYSTEM ON AMTRAK
RIGHT-OF-WAY.
(a) Study.--The Secretary of Energy shall contract with Amtrak to
conduct a study of the feasibility of building and operating a new
electric transmission system on the Amtrak right-of-way in the
Northeast Corridor.
(b) Scope of the Study.--The study shall focus on siting the new
system on the Amtrak right-of-way within the Northeastern Corridor
between Washington, D.C., and New Rochelle, New York, including the
Amtrak right-of-way between Philadelphia, Pennsylvania and Harrisburg,
Pennsylvania.
(c) Contents of the Study.--The study shall consider--
(1) alternative geographic configuration of a new
electronic transmission system on the Amtrak right-of-way;
(2) alternative technologies for the system;
(3) the estimated costs of building and operating each
alternative;
(4) alternative means of financing the system;
(5) the environmental risks and benefits of building and
operating each alternative as well as environmental risks and
benefits of building and operating the system on the Northeast
Corridor rather than at other locations;
(6) engineering and technological obstacles to building and
operating each alternative; and
(7) the extent to which each alternative would enhance the
reliability of the electric transmission grid and enhance
competition in the sale of electric energy at wholesale within
the Northeast Corridor.
(d) Recommendations.--The study shall recommend the optimal
geographic configuration, the optimal technology, the optimal
engineering design, and the optimal means of financing for the new
system from among the alternatives considered.
(e) Report.--The Secretary of Energy shall submit the completed
study to the Committee on Energy and Natural Resources of the United
States Senate and the Committee on Energy and Commerce of the House of
Representatives not later than 270 days after the date of enactment of
this section.
(f) Definitions.--For purposes of this section--
(1) the term ``Amtrak'' means the National Railroad
Passenger Corporation established under chapter 243 of title
49, United States Code; and
(2) the term ``Northeast Corridor'' shall have the meaning
given such term under section 24102(7) of title 49, United
States Code.
DIVISION G--ENERGY INFRASTRUCTURE SECURITY
TITLE XVIII--CRITICAL ENERGY INFRASTRUCTURE
Subtitle A--Department of Energy Programs
SEC. 1801. DEFINITIONS.
In this title:
(1) Critical energy infrastructure.--
(A) In general.--The term ``critical energy
infrastructure'' means a physical or cyber-based system
or service for--
(i) the generation, transmission or
distribution of electric energy; or
(ii) the production, refining, or storage
of petroleum, natural gas, or petroleum
product--
the incapacity or destruction of which would have a
debilitating impact on the defense or economic security
of the United States.
(B) Exclusion.--The term shall not include a
facility that is licensed by the Nuclear Regulatory
Commission under section 103 or 104b. of the Atomic
Energy Act of 1954 (42 U.S.C. 2133 and 2134(b)).
(2) Department; national laboratory; secretary.--The terms
``Department'', ``National Laboratory'', and ``Secretary'' have
the meaning given such terms in section 1203.
SEC. 1802. ROLE OF THE DEPARTMENT OF ENERGY.
Section 102 of the Department of Energy Organization Act (42 U.S.C.
7112) is amended by adding at the end the following:
``(20) To ensure the safety, reliability, and security of
the nation's energy infrastructure, and to respond to any
threat to or disruption of such infrastructure, through
activities including--
``(A) research and development;
``(B) financial assistance, technical assistance,
and cooperative activities with States, industry, and
other interested parties; and
``(C) education and public outreach activities.''.
SEC. 1803. CRITICAL ENERGY INFRASTRUCTURE PROGRAMS.
(a) Programs.--In addition to the authorities otherwise provided by
law (including section 1261), the Secretary is authorized to establish
programs of financial, technical, or administrative assistance to--
(1) enhance the security of critical energy infrastructure
in the United States;
(2) develop and disseminate, in cooperation with industry,
best practices for critical energy infrastructure assurance;
and
(3) protect against, mitigate the effect of, and improve
the ability to recover from disruptive incidents affecting
critical energy infrastructure.
(b) Requirements.--A program established under this section shall--
(1) be undertaken in consultation with the advisory
committee established under section 1804;
(2) have available to it the scientific and technical
resources of the Department, including resources at a National
Laboratory; and
(3) be consistent with any overall Federal plan for
national infrastructure security developed by the President or
his designee.
SEC. 1804. ADVISORY COMMITTEE ON ENERGY INFRASTRUCTURE SECURITY.
(a) Establishment.--The Secretary shall establish an advisory
committee, or utilize an existing advisory committee within the
Department, to advise the Secretary on policies and programs related to
the security of U.S. energy infrastructure.
(b) Balanced Membership.--The Secretary shall ensure that the
advisory committee established or utilized under subsection (a) has a
membership with an appropriate balance among the various interests
related to energy infrastructure security, including--
(1) scientific and technical experts;
(2) industrial managers;
(3) worker representatives;
(4) insurance companies or organizations;
(5) environmental organizations;
(6) representatives of State, local, and tribal
governments; and
(7) such other interests as the Secretary may deem
appropriate.
(c) Expenses.--Members of the advisory committee established or
utilized under subsection (a) shall serve without compensation, and
shall be allowed travel expenses, including per diem in lieu of
subsistence, at rates authorized for an employee of an agency under
subchapter I of chapter 57 of title 5, United States Code, while away
from the home or regular place of business of the member in the
performance of the duties of the committee.
SEC. 1805. BEST PRACTICES AND STANDARDS FOR ENERGY INFRASTRUCTURE
SECURITY.
The Secretary, in consultation with the advisory committee under
section 1804, shall enter into appropriate arrangements with one or
more standard-setting organizations, or similar organizations, to
assist the development of industry best practices and standards for
security related to protecting critical energy infrastructure.
Subtitle B--Department of the Interior Programs
SEC. 1811. OUTER CONTINENTAL SHELF ENERGY INFRASTRUCTURE SECURITY.
(a) Definitions.--In this section:
(1) Approved state plan.--The term ``approved State plan''
means a State plan approved by the Secretary under subsection
(c)(3).
(2) Coastline.--The term ``coastline'' has the same meaning
as the term ``coast line'' as defined in subsection 2(c) of the
Submerged Lands Act (43 U.S.C. 1301(c)).
(3) Critical ocs energy infrastructure facility.--The term
``OCS critical energy infrastructure facility'' means--
(A) a facility located in an OCS Production State
or in the waters of such state related to the
production of oil or gas on the Outer Continental
Shelf; or
(B) a related facility located in an OCS Production
State or in the waters of such state that carries out a
public service, transportation, or infrastructure
activity critical to the operation of an Outer
Continental Shelf energy infrastructure facility, as
determined by the Secretary.
(4) Distance.--The term ``distance'' means the minimum
great circle distance, measured in statute miles.
(5) Leased tract.--
(A) In general.--The term ``leased tract'' means a
tract that--
(i) is subject to a lease under section 6
or 8 of the Outer Continental Shelf Lands Act
(43 U.S.C. 1335, 1337) for the purpose of
drilling for, developing, and producing oil or
natural gas resources; and
(ii) consists of a block, a portion of a
block, a combination of blocks or portions of
blocks, or a combination of portions of blocks,
as--
(I) specified in the lease; and
(II) depicted on an Outer
Continental Shelf official protraction
diagram.
(B) Exclusion.--The term ``leased tract'' does not
include a tract described in subparagraph (A) that is
located in a geographic area subject to a leasing
moratorium on January 1, 2001, unless the lease was in
production on that date.
(6) OCS political subdivision.--The term ``OCS political
subdivision'' means a county, parish, borough or any equivalent
subdivision of an OCS Production State all or part of which
subdivision lies within the coastal zone (as defined in section
304(l) of the Coastal Zone Management Act of 1972 (16 U.S.C.
1453(l)).
(7) OCS production state.--The term ``OCS Production
State'' means the State of--
(A) Alaska;
(B) Alabama;
(C) California;
(D) Florida;
(E) Louisiana;
(F) Mississippi; or
(G) Texas.
(8) Production.--The term ``production'' has the meaning
given the term in section 2 of the Outer Continental Shelf
Lands Act (43 U.S.C. 1331).
(9) Program.--The term ``program'' means the Outer
Continental Shelf Energy Infrastructure Security Program
established under subsection (b).
(10) Qualified outer continental shelf revenues.--The term
``qualified Outer Continental Shelf revenues'' means all
amounts received by the United States from each leased tract or
portion of a leased tract lying seaward of the zone defined and
governed by section 8(g) of the Outer Continental Shelf Lands
Act (43 U.S.C. 1331 et seq.), or lying within such zone but to
which section 8(g) does not apply, the geographic center of
which lies within a distance of 200 miles from any part of the
coastline of any State, including bonus bids, rents, royalties
(including payments for royalties taken in kind and sold), net
profit share payments, and related late payment interest. Such
term does not include any revenues from a leased tract or
portion of a leased tract that is included within any area of
the Outer Continental Shelf where a moratorium on new leasing
was in effect as of January 1, 2001, unless the lease was
issued prior to the establishment of the moratorium and was in
production on January 1, 2001.
(11) Secretary.--The term ``Secretary'' means the Secretary
of the Interior.
(12) State plan.--The term ``State plan'' means a State
plan described in subsection (b).
(b) Establishment.--The Secretary shall establish a program, to be
known as the ``Outer Continental Shelf Energy Infrastructure Security
Program,'' under which the Secretary shall provide funds to OCS
Production States to implement approved State plans to provide security
against hostile and natural threats to critical OCS energy
infrastructure facilities and support of any necessary public service
or transportation activities that are needed to maintain the safety and
operation of critical energy infrastructure activities. For purposes of
this program, restoration of any coastal wetland shall be considered to
be an activity that secures critical OCS energy infrastructure
facilities from a natural threat.
(c) State Plans.--
(1) Initial plan.--Not later than 180 days after the date
of enactment of this Act, to be eligible to receive funds under
the program, the Governor of an OCS Production State shall
submit to the Secretary a plan to provide security against
hostile and natural threats to critical energy infrastructure
facilities in the OCS Production State and to support any of
the necessary public service or transportation activities that are
needed to maintain the safety and operation of critical energy
infrastructure facilities. Such plan shall include--
(A) the name of the State agency that will have the
authority to represent and act for the State in dealing
with the Secretary for purposes of this section;
(B) a program for the implementation of the plan
which describes how the amounts provided under this
section will be used;
(C) a contact for each OCS political subdivision
and description of how such political subdivisions will
use amounts provided under this section, including a
certification by the Governor that such uses are
consistent with the requirements of this section; and
(D) measures for taking into account other relevant
Federal resources and programs.
(2) Annual reviews.--Not later than 1 year after the date
of submission of the plan and annually thereafter, the Governor
of an OCS Production State shall--
(A) review the approved State plan; and
(B) submit to the Secretary any revised State plan
resulting from the review.
(3) Approval of plans.--
(A) In general.--In consultation with appropriate
Federal security officials and the Secretaries of
Commerce and Energy, the Secretary shall--
(i) approve each State plan; or
(ii) recommend changes to the State plan.
(B) Resubmission of state plans.--If the Secretary
recommends changes to a State plan under subparagraph
(A)(ii), the Governor of the OCS Production State may
resubmit a revised State plan to the Secretary for
approval.
(4) Availability of plans.--The Secretary shall provide to
Congress a copy of each approved State plan.
(5) Consultation and public comment.--
(A) Consultation.--The Governor of an OCS
Production State shall develop the State plan in
consultation with Federal, State, and local law
enforcement and public safety officials, industry,
Indian tribes, the scientific community, and other
persons as appropriate.
(B) Public comment.--The Governor of an OCS
Production State may solicit public comments on the
State plan to the extent that the Governor determines
to be appropriate.
(d) Allocation of Amounts by the Secretary.--The Secretary shall
allocate the amounts made available for the purposes of carrying out
the program provided for by this section among OCS Production States as
follows:
(1) 25 percent of the amounts shall be divided equally
among OCS Production States; and
(2) 75 percent of the amounts shall be divided among OCS
Production States on the basis of the proximity of each OCS
Production State to offshore locations at which oil and gas are
being produced.
(e) Calculation.--The amount for each OCS Production State under
paragraph (d)(2) shall be calculated based on the ratio of qualified
OCS revenues generated off the coastline of the OCS Production State to
the qualified OCS revenues generated off the coastlines of all OCS
Production States for the prior five-year period. Where there is more
than one OCS Production State within 200 miles of a leased tract, the
amount of each OCS Production State's payment under paragraph (d)(2)
for such leased tract shall be inversely proportional to the distance
between the nearest point on the coastline of such State and the
geographic center of each leased tract or portion of the leased tract
(to the nearest whole mile) that is within 200 miles of that coastline,
as determined by the Secretary. A leased tract or portion of a leased
tract shall be excluded if the tract or portion is located in a
geographic area where a moratorium on new leasing was in effect on
January 1, 2001, unless the lease was issued prior to the establishment
of the moratorium and was in production on January 1, 2001.
(f) Payments to OCS Political Subdivisions.--Thirty-five percent of
each OCS Production State's allocable share as determined under
subsection (e) shall be paid directly to the OCS political subdivisions
by the Secretary based on the following formula:
(1) 25 percent shall be allocated based on the ratio of
such OCS political subdivision's population to the population
of all OCS political subdivisions in the OCS Production State.
(2) 25 percent shall be allocated based on the ratio of
such OCS political subdivision's coastline miles to the
coastline miles of all OCS political subdivisions in the OCS
Production State. For purposes of this subsection, those OCS
political subdivisions without coastlines shall be considered
to have a coastline that is the average length of the
coastlines of all political subdivisions in the state.
(3) 50 percent shall be allocated based on the relative
distance of such OCS political subdivision from any leased
tract used to calculate that OCS Production State's allocation
using ratios that are inversely proportional to the distance
between the point in the coastal political subdivision closest
to the geographic center of each leased tract or portion, as
determined by the Secretary. For purposes of the calculations
under this subparagraph, a leased tract or portion of a leased
tract shall be excluded if the leased tract or portion is
located in a geographic area where a moratorium on new leasing
was in effect on January 1, 2001, unless the lease was issued
prior to the establishment of the moratorium and was in
production on January 1, 2001.
(g) Failure To Have Plan Approved.--Any amount allocated to an OCS
Production State or OCS political subdivision but not disbursed because
of a failure to have an approved Plan under this section shall be
allocated equally by the Secretary among all other OCS Production
States in a manner consistent with this subsection except that the
Secretary shall hold in escrow such amount until the final resolution
of any appeal regarding the disapproval of a plan submitted under this
section. The Secretary may waive the provisions of this paragraph and
hold an OCS Production State's allocable share in escrow if the
Secretary determines that such State is making a good faith effort to
develop and submit, or update, a Plan.
(h) Use of Amounts Allocated by the Secretary.--
(1) In general.--Amounts allocated by the Secretary under
subsection (d) may be used only in accordance with a plan
approved pursuant to subsection (c) for--
(A) activities to secure critical OCS energy
infrastructure facilities from human or natural
threats; and
(B) support of any necessary public service or
transportation activities that are needed to maintain
the safety and operation of critical OCS energy
infrastructure facilities.
(2) Restoration of coastal wetland.--For the purpose of
subparagraph (1)(A), restoration of any coastal wetland shall
be considered to be an activity that secures critical OCS
energy infrastructure facilities from a natural threat.
(i) Failure To Have Use.--Any amount allocated to an OCS political
subdivision but not disbursed because of a failure to have a qualifying
use as described in subsection (h) shall be allocated by the Secretary
to the OCS Production State in which the OCS political subdivision is
located except that the Secretary shall hold in escrow such amount
until the final resolution of any appeal regarding the use of the
funds.
(j) Compliance With Authorized Uses.--If the Secretary determines
that any expenditure made by an OCS Production State or an OCS
political subdivision is not consistent with the uses authorized in
subsection (h), the Secretary shall not disburse any further amounts
under this section to that OCS Production State or OCS political
subdivision until the amounts used for the inconsistent expenditure
have been repaid or obligated for authorized uses.
(k) Rulemaking.--The Secretary may promulgate such rules and
regulations as may be necessary to carry out the purposes of this
section, including rules and regulations setting forth an appropriate
process for appeals.
(l) Authorization of Appropriations.--There are hereby authorized
to be appropriated $450,000,000 for each of the fiscal years 2003
through 2008 to carry out the purposes of this section.
Introduced in Senate
Sponsor introductory remarks on measure. (CR S8458-8459)
Read twice and referred to the Committee on the Judiciary. (text of measure as introduced: CR S8459-8460)
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