SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Market Incentives for Biobased 
Products Act of 2007''.

SEC. 2. FINDINGS.

    Congress finds the following:
            (1) There is significant potential for replacing petroleum-
        based products with products made using farm-grown biomass.
            (2) The biobased industry provides value-added 
        opportunities for farmers and environmentally friendly options 
        for consumers.
            (3) The Federal Government can play an important role in 
        the promotion of the biobased industry through procurement of 
        biobased products.
            (4) A labeling program for biobased products would provide 
        consumers with basic, reliable information about these products 
        and raise awareness of their environmental benefits.
            (5) By developing the market for biobased products, the 
        Federal Government also encourages increased investment and 
        employment opportunities in rural America.
            (6) By reducing the use of petroleum and increasing 
        reliance on farm-grown raw materials, the Nation will decrease 
        its needs for imported petroleum.

SEC. 3. AMENDMENTS RELATING TO FEDERAL PROCUREMENT AND LABELING OF 
              BIOBASED PRODUCTS.

    (a) Procurement Guideline Considerations.--Section 9002(e)(2)(B) of 
the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
8102(e)(2)(B)) is amended by striking ``life cycle costs'' and 
inserting ``information on life cycle costs if such information is 
appropriate and available''.
    (b) Labeling Requirements and Revised Deadline.--Section 9002(h) of 
the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8102(h)) 
is amended--
            (1) in paragraph (2)--
                    (A) by striking ``Within one year after the date of 
                enactment of this Act'' and inserting ``Not later than 
                90 days after the date of enactment of the Market 
                Incentives for Biobased Products Act of 2007,''; and
                    (B) by adding at the end the following: ``Criteria 
                shall be issued for finished products and intermediate 
                ingredients and feedstocks.'';
            (2) by redesignating paragraphs (3) and (4) as paragraphs 
        (4) and (5), respectively, and inserting after paragraph (2) 
        the following:
            ``(3) Consultation.--In developing the eligibility criteria 
        for the labeling program under this section, the Secretary 
        shall consult with other Federal agencies and with non-
        governmental groups with an interest in biobased products 
        including small and large producers of biobased materials and 
        products, industry, trade organizations, academia, consumer 
        organizations, and environmental organizations.''.
    (c) Authorization of Appropriations.--
            (1) In general.--Paragraph (1) of section 9002(k) of the 
        Farm Security and Rural Investment Act of 2002 (7 U.S.C. 
        8102(k)) is amended to read as follows:
            ``(1) Authorization of appropriations.--
                    ``(A) Federal procurement.--There are authorized to 
                be appropriated $1,000,000 for each of fiscal years 
                2008 through 2013 to implement the provisions of this 
                section other than subsection (h).
                    ``(B) Labeling.--There are authorized to be 
                appropriated $1,000,000 for each of fiscal years 2008 
                through 2013 to implement subsection (h) of this 
                section.''.
            (2) Funding for testing of biobased products.--Paragraph 
        (2)(A) of such section is amended by striking ``$1,000,000 for 
        each of fiscal years 2002 through 2007'' and inserting 
        ``$2,000,000 for each of fiscal years 2008 through 2013''.
    (d) Report Requirements.--
            (1) Report by agencies to administrator for federal 
        procurement policy.--Subsection (f) of section 9002 of the Farm 
        Security and Rural Investment Act of 2002 (7 U.S.C. 8102) is 
        amended--
                    (A) by striking ``The Office of'' and inserting 
                ``(1) The Administrator for''; and
                    (B) by adding at the end the following new 
                paragraph:
    ``(2) To assist the Administrator for Federal Procurement Policy in 
preparing the report to Congress required under paragraph (1), each 
procuring agency each year shall submit to the Administrator a report 
covering the following:
            ``(A) Actions taken to implement subsections (c), (d), and 
        (g) of this section.
            ``(B) The results of the annual review and monitoring 
        program established under subsection (g)(2)(C).
            ``(C) The number of contracts entered into by the agency 
        during the year covered by the report that include the 
        procurement of biobased products.
            ``(D) A list of the biobased products procured by the 
        agency during the year covered by the report.''.
            (2) Report by secretary to congress on implementation of 
        section.--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 new subsection:
    ``(l) Report by Secretary to Congress on Implementation of 
Section.--Not later than six months after the date of the enactment of 
the Market Incentives for Biobased Products Act of 2007, and each year 
thereafter, the Secretary shall submit to Congress a report on the 
implementation of this section. The report shall include the following:
            ``(1) A comprehensive management plan defining tasks, 
        milestones, and funding allocations for fully implementing this 
        section.
            ``(2) A list of items designated under subsection (e)(1)(A) 
        whose procurement will carry out the objectives of this 
        section, with associated cost and performance data.
            ``(3) Information on the current status of implementation 
        of the procurement preference under this section, including the 
        procurement program of each Federal agency under subsection 
        (g), and the voluntary labeling program under subsection 
        (h).''.
Market Incentives for Biobased Products Act of 2007 - Amends the Farm Security and Rural Investment Act of 2002 to revise labeling requirements for federal procurement of biobased products, including providing for consultation with other federal agencies and interested nongovernmental groups.

Extends and revises funding provisions to provide for separate authorization of appropriations for: (1) federal procurement; (2) testing; and (3) labeling.

Revises reporting provisions.
To amend provisions of title IX of the Farm Security and Rural Investment Act of 2002 relating to Federal procurement of biobased products and labeling of such products.