Algae Agriculture Act of 2018

Summary: Algae Agriculture Act of 2018  This bill modifies several Department of Agriculture research, commodity, and energy programs to authorize assistance for activities related to algae production. 

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Algae Agriculture 
Act of 2018''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. National conservation practice standard for algae-based 
                            nutrient management systems.
Sec. 3. Rural electrification assistance programs.
Sec. 4. Agriculture and Food Research Initiatives priorities.
Sec. 5. Foundation for Food and Agriculture Research Purposes.
Sec. 6. Studies.
Sec. 7. Center of excellence.
Sec. 8. Energy programs.
Sec. 9. Assistance for algae production.

SEC. 2. NATIONAL CONSERVATION PRACTICE STANDARD FOR ALGAE-BASED 
              NUTRIENT MANAGEMENT SYSTEMS.

    Section 1244 of the Food Security Act of 1985 (16 U.S.C. 3844) is 
amended by adding at the end the following:
    ``(m) National Conservation Practice Standard for Algae-Based 
Nutrient Management Systems.--Not later than 2 years after the date of 
enactment of the Algae Agriculture Act of 2018, the Secretary shall 
establish and publish in the National Handbook of Conservation 
Practices, a national conservation practice standard for algae-based 
nutrient management systems.''.

SEC. 3. RURAL ELECTRIFICATION ASSISTANCE PROGRAMS.

    (a) Section 2(a) of the Rural Electrification Act of 1936 (7 U.S.C. 
902(a)) is amended by striking ``efficiency and conservation'' and 
inserting ``efficiency, conservation, and emissions reduction 
(including carbon capture and use)''.
    (b) Section 4(a) of the Rural Electrification Act of 1936 (7 U.S.C. 
904(a)) is amended--
            (1) inserting after ``generating plants'' the following: 
        ``and related emissions reduction facilities (including carbon 
        capture and use)''; and
            (2) by striking ``efficiency and conservation'' and 
        inserting ``efficiency, conservation, and emissions reduction 
        (including carbon capture and use)''.
    (c) Section 19(a) of the Rural Electrification Act of 1936 (7 
U.S.C. 918a(a)) is amended in each of paragraphs (1) and (2) by 
inserting ``(including carbon capture and use and other related 
emissions reduction)'' after ``generation''.
    (d) Section 609(c)(3) of the Public Utility Regulatory Policies Act 
of 1978 (7 U.S.C. 918c(c)(3)) is amended--
            (1) by striking the period and inserting ``--''; and
            (2) by adding after and below the end the following:
                    ``(A) renewable energy facilities; and
                    ``(B) carbon capture and use.''.

SEC. 4. AGRICULTURE AND FOOD RESEARCH INITIATIVES PRIORITIES.

    Subsection (b)(2) of the Competitive, Special, and Facilities 
Research Grant Act (7 U.S.C. 3157(b)(2)) is amended--
            (1) in subparagraph (A)--
                    (A) in the matter preceding clause (i), by striking 
                ``Plant systems'' and inserting ``Plant and algae 
                systems (including micro- and macro-algae systems)'';
                    (B) in clause (iv), by striking ``plant-pest'' and 
                inserting ``plant- and algae-pest''; and
                    (C) by inserting ``and algae'' after ``plant'' each 
                place it appears in clauses (i), (ii), (v), (vi), and 
                (vii);
            (2) in subparagraph (B)--
                    (A) in clause (ix)(II), by striking ``and'' at the 
                end;
                    (B) in clause (x), by striking the period at the 
                end and inserting a semicolon; and
                    (C) by adding at the end the following new clauses:
                            ``(xi) development and testing of 
                        alternative feeds and feed ingredients to meet 
                        growing global demand for proteins, nutritional 
                        oils, and other feed components; and
                            ``(xii) with respect to animal health, 
                        immune stimulants and other complements or 
                        alternatives to antibiotic drugs and 
                        biologics.'';
            (3) in subparagraph (C)--
                    (A) in clause (iv), by striking ``and'' at the end;
                    (B) in clause (v), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following new clause:
                            ``(vi) development and testing of new food 
                        ingredients.'';
            (4) in subparagraph (D)(iii), by inserting ``, restoring 
        soil carbon and soil health,'' after ``water losses''; and
            (5) in subparagraph (F)--
                    (A) by redesignating clauses (v), (vi), and (vii) 
                as clauses (vi), (vii), and (viii); and
                    (B) by inserting after clause (iv) the following 
                new clause:
                            ``(v) economic opportunities from new 
                        feedstocks or food products that expand 
                        agricultural opportunity in the United States 
                        through production on marginal or unproductive 
                        land, industrial systems, or coastal or open 
                        seawater, or that significantly increase the 
                        yield of food, feed, or other products from 
                        existing agricultural land;''.

SEC. 5. FOUNDATION FOR FOOD AND AGRICULTURE RESEARCH PURPOSES.

    Sec. 7601(c)(A) of the Agricultural Act of 2014 (7 U.S.C. 
5939(c)(A)) is amended by inserting ``and algae'' after ``plant'' each 
place it appears.

SEC. 6. STUDIES.

    (a) Algae Protein Study.--
            (1) In general.--Not later than 90 days after the date of 
        the enactment of this Act, the Secretary of Agriculture shall 
        initiate a study of algae protein production potential. The 
        study shall--
                    (A) review and validate projected needs and supply 
                gaps for protein in the United States for the next 20 
                years (beginning with 2019), based on current 
                production trends, demand and technology outlook;
                    (B) assess the physical and economic feasibility 
                for the United States to grow algae (including 
                microalgae and macroalgae) to address such needs and 
                supply gaps;
                    (C) compare the nutritional profile and benefits of 
                algae with other alternative protein sources and meat 
                proteins;
                    (D) determine public and private activities and 
                investments required to scale up to United States algae 
                protein production over the short-, medium-, and long-
                term;
                    (E) estimate the number of jobs created, per State 
                and per Congressional district, by fully ramping up 
                production of algae proteins; and
                    (F) estimate the potential value of algae protein 
                exports from the United States by 2025, 2030, and 2035.
            (2) Study team members.--The team of individuals conducting 
        such study shall include one laboratory of the Department of 
        Agriculture, one laboratory of the Department of Energy, 
        industry associations, and academics.
            (3) Report.--Not later than 1 year after the date of the 
        enactment of this Act, the Secretary of Agriculture shall 
        submit to Congress a report that describes the results of the 
        study.
            (4) Funding.--There are authorized to be appropriated to 
        carry out this subsection such sums as may be necessary, to 
        remain available until expended.
    (b) Algae for Soil Health Study.--
            (1) Study.--Not later than 90 days after the date of the 
        enactment of this Act, the Secretary of Agriculture shall 
        initiate a competitive external study to determine the benefits 
        to microbial diversity, the restoration of soil organic carbon 
        and humic substances, and other aspects of soil health of on-
        field application of algae biomass (including microalgae and 
        macroalgae) or algae-derived components. The study shall, with 
        respect to the application of algae biomass--
                    (A) develop a research protocol for a three-year 
                evaluation;
                    (B) conduct field trials;
                    (C) prepare and disseminate an annual progress 
                report to the public on the Internet website of the 
                Department of Agriculture; and
                    (D) prepare and disseminate a final report to the 
                public, including an assessment of opportunities and 
                barriers to commercial deployment.
            (2) Report.--Not later than 4 years after the date of the 
        enactment of this Act, the Secretary shall submit to Congress a 
        report that describes the results of the study.
            (3) Funding.--There are authorized to be appropriated to 
        carry out this subsection such sums as may be necessary, to 
        remain available until expended.

SEC. 7. CENTER OF EXCELLENCE.

    Section 1673 of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5926) is amended by adding at the end the following 
new subsection:
    ``(d) Algae Protein Center of Excellence.--The Secretary shall 
establish an Algae Protein Center of Excellence to accelerate 
development of a United States-based algae (including microalgae and 
macroalgae) industry that will serve as a hub for innovation and 
collaboration, among leading United States algae companies, 
international food corporations, and university research experts. The 
Center shall be comprised of one center for each of the following major 
protein markets:
            ``(1) Food.
            ``(2) Animal feed.
            ``(3) Aquaculture feed.''.

SEC. 8. ENERGY PROGRAMS.

    (a) Amendments to Definitions.--Section 9001 of the Farm Security 
and Rural Investment Act of 2002 (7 U.S.C. 8101) is amended--
            (1) in paragraph (3)(B)--
                    (A) in clause (vi), by striking ``and'' at the end;
                    (B) in clause (vii), by striking the period at the 
                end and inserting ``; and''; and
                    (C) by adding at the end the following:
                            ``(viii) fuel derived from biological 
                        processing of carbon captured from--
                                    ``(I) an industrial source that 
                                would otherwise be released into the 
                                atmosphere; or
                                    ``(II) air capture.'';
            (2) in paragraph (4), by inserting ``, except food or feed 
        from algae or biological capture and reuse of carbon'' after 
        ``other than food or feed'';
            (3) in paragraph (12), by striking ``or forestry 
        materials'' and inserting ``, forestry materials, or fuel 
        derived from biological processing of carbon captured from an 
        industrial source that would otherwise be released into the 
        atmosphere or air capture''; and
            (4) in paragraph (13)(B)(ii)--
                    (A) in subclause (III), by striking ``and'' at the 
                end;
                    (B) in subclause (IV), by striking the period at 
                the end and inserting ``; and''; and
                    (C) by adding at the end the following:
                                    ``(V) fuel derived from biological 
                                processing of carbon captured from--
                                            ``(aa) an industrial source 
                                        that would otherwise be 
                                        released into the atmosphere; 
                                        or
                                            ``(bb) air capture.''.
    (b) Biobased Markets Program.--Section 9002 of the Farm Security 
and Rural Investment Act of 2002 (7 U.S.C. 8102) is amended by adding 
at the end the following:
    ``(k) Biobased Content for Recycled Carbon.--Not later than 1 year 
after the date of the enactment of this Act, the Secretary shall 
establish biobased content methodology for products from biologically 
recycled carbon that provides full credit for carbon content from 
biological processing of carbon captured from--
            ``(1) an industrial source that would otherwise be released 
        into the atmosphere; or
            ``(2) air capture.''.
    (c) Biorefinery, Renewable Chemical, and Biobased Product 
Manufacturing Assistance.--Section 9003 of the Farm Security and Rural 
Investment Act of 2002 (7 U.S.C. 8103) is amended in subsection 
(b)(3)--
            (1) in subparagraph (A), by striking ``and'' at the end and 
        inserting ``or''; and
            (2) in subparagraph (B)--
                    (A) by inserting ``renewable chemical or biobased 
                product'' before ``technology''; and
                    (B) by striking ``biorefinery that produces an 
                advanced biofuel.'' and inserting ``biorefinery.''.
    (d) Biomass Crop Assistance Program.--Section 9011(a)(6)(C) of the 
Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8111(a)(6)(C)) 
is amended--
            (1) by striking subsection (iv); and
            (2) by redesignating subsections (v) through (vii) as 
        subsections (iv) through (vi), respectively.

SEC. 9. ASSISTANCE FOR ALGAE PRODUCTION.

    (a) Eligibility of Algae for Noninsured Crop Disaster Assistance 
Program.--Section 196(a)(2)(B) of the Federal Agriculture Improvement 
and Reform Act of 1996 (7 U.S.C. 7333(a)(2)(B)) is amended by inserting 
``algae (including microalgae and macroalgae),'' after ``biomass 
sorghum,''.
    (b) Research and Development Priorities.--Section 522(c) of the 
Federal Crop Insurance Act (7 U.S.C. 1522(c)) is amended--
            (1) in paragraph (6), by inserting ``algae (including 
        microalgae and macroalgae),'' after ``including,'';
            (2) by redesignating paragraph (24) as paragraph (25); and
            (3) by inserting after paragraph (23) the following:
            ``(24) Algae insurance policies.--
                    ``(A) In general.--The Corporation shall offer to 
                enter into 1 or more contracts with qualified entities 
                to carry out research and development regarding a 
                policy to insure algae (including microalgae and 
                macroalgae) that is grown for the production of food, 
                feed, renewable biofuel, biobased products, or other 
                purposes.
                    ``(B) Research and development.--Research and 
                development with respect to the policy required under 
                subparagraph (A) shall evaluate the effectiveness of 
                risk management tools for the production of algae 
                (including microalgae and macroalgae), including 
                policies and plans of insurance that--
                            ``(i) are based on market prices and 
                        yields;
                            ``(ii) to the extent that insufficient data 
                        exist to develop a policy based on market 
                        prices and yields, evaluate the policies and 
                        plans of insurance based on other factors 
                        determined by the Secretary; and
                            ``(iii) provide protection for production 
                        or revenue losses, or both.''.