Consortia-Led Energy and Advanced Manufacturing Networks Act

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Consortia-Led Energy and Advanced 
Manufacturing Networks Act''.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Clean technology.--The term ``clean technology'' means 
        a technology, production process, or methodology that--
                    (A) produces energy from solar, wind, geothermal, 
                biomass, tidal, wave, ocean, or another renewable 
                energy source (as defined in section 609 of the Public 
                Utility Regulatory Policies Act of 1978 (7 U.S.C. 
                918c));
                    (B) more efficiently transmits, distributes, or 
                stores energy;
                    (C) enhances energy efficiency for buildings and 
                industry, including combined heat and power;
                    (D) enables the development of a Smart Grid (as 
                described in section 1301 of the Energy Independence 
                and Security Act of 2007 (42 U.S.C. 17381)), including 
                integration of renewable energy sources and distributed 
                generation, demand response, demand side management, 
                and systems analysis;
                    (E) produces an advanced or sustainable material 
                with energy or energy efficiency applications;
                    (F) improves energy efficiency for transportation, 
                including electric vehicles; or
                    (G) enhances water security through improved water 
                management, conservation, distribution, or end use 
                applications.
            (2) Advanced manufacturing.--The term ``advanced 
        manufacturing''--
                    (A) means a manufacturing process that makes 
                extensive use of computer, high precision, or 
                information technologies integrated with a high 
                performance workforce in a production system capable of 
                furnishing a heterogeneous mix of products in small or 
                large volumes with either the efficiency of mass 
                production or the flexibility of custom manufacturing 
                in order to respond quickly to customer demands; and
                    (B) includes both new ways to manufacture existing 
                products and the manufacture of new products emerging 
                from new advanced technologies.
            (3) Cluster.--The term ``cluster'' means a network of 
        entities directly involved in the research, development, 
        finance, and commercial application of clean technologies and 
        advanced manufacturing whose geographic proximity facilitates 
        the use and sharing of skilled human resources, infrastructure, 
        research facilities, educational and training institutions, 
        venture capital, and input suppliers.
            (4) Consortium.--The term ``consortium'' means a clean 
        technology consortium established in accordance with this Act.
            (5) Project.--The term ``project'' means an activity with 
        respect to which a consortium provides support under this Act.
            (6) Qualifying entity.--The term ``qualifying entity'' 
        means--
                    (A) an institution of higher education that has 
                entered into a partnership agreement with a private-
                sector entity;
                    (B) a Federal or State entity with a focus on 
                developing clean technologies or clusters, as 
                determined by the Secretary;
                    (C) a nongovernmental organization with expertise 
                in translational research, clean technology, or cluster 
                development; or
                    (D) any other entity determined appropriate by the 
                Secretary.
            (7) Secretary.--The term ``Secretary'' means the Secretary 
        of Commerce.
            (8) Translational research.--The term ``translational 
        research'' means the coordination of basic or applied research 
        with technical applications to enable promising discoveries or 
        inventions to achieve commercial application.

SEC. 3. ESTABLISHMENT OF CLEAN TECHNOLOGY CONSORTIA PROGRAM.

    (a) In General.--The Secretary shall establish and carry out a 
program to establish clean technology consortia to enhance the 
economic, environmental, and energy security of the United States by 
promoting domestic development, manufacture, and deployment of clean, 
state-of-the-art technologies.
    (b) Program.--The Secretary shall carry out the program established 
under subsection (a) by leveraging the expertise and resources of 
private research communities, institutions of higher education, 
industry, venture capital, National Laboratories (as defined in section 
2 of the Energy Policy Act of 2005 (42 U.S.C. 15801)), and other 
participants in technology innovation--
            (1) to support collaborative, cross-disciplinary research 
        and development in clean technologies and advanced 
        manufacturing; and
            (2) to develop and accelerate the commercial application of 
        innovative clean technologies and advanced manufacturing 
        practices.
    (c) Role of the Secretary.--The Secretary shall--
            (1) carry out and oversee all aspects of the program 
        established under subsection (a);
            (2) select recipients of grants for the establishment and 
        operation of consortia through a competitive selection process; 
        and
            (3) coordinate the innovation activities of consortia with 
        activities carried out by the Secretary of Energy, the 
        Secretary of Defense, other Federal agency heads, industry, and 
        institutions of higher education, including by annually--
                    (A) issuing guidance regarding national clean 
                technology and advanced manufacturing development 
                priorities and strategic objectives; and
                    (B) convening a conference relating to clean 
                technology and advanced manufacturing, which shall 
                bring together representatives of Federal agencies, 
                industry, institutions of higher education, and other 
                entities to share research and commercialization 
                results, program plans, and opportunities for 
                collaboration.
    (d) Purposes of Consortia.--The purposes of the consortia shall 
include--
            (1) promoting new innovative clean technologies that have 
        demonstrated interest and potential for commercialization;
            (2) expanding advanced manufacturing capabilities, 
        networks, supply chains, and assets, in the area of clean 
        technologies, that contribute to regional and national 
        manufacturing competitiveness and potential for growth;
            (3) promoting job creation and entrepreneurship through the 
        establishment of new companies, the expansion of existing 
        companies, and commercialization of clean technologies;
            (4) providing technical or financial assistance to 
        companies looking to invest in clean technologies, new products 
        or services, or enhanced processes that will grow sales and 
        jobs;
            (5) determining opportunities and challenges that companies 
        are facing and how to improve their use or production of clean 
        technologies;
            (6) assisting individual small- and medium-sized 
        enterprises with adopting and utilizing new clean technologies 
        and related business and advanced manufacturing practices;
            (7) accelerating investment in and deployment of clean 
        technologies through public-private partnerships;
            (8) encouraging partnering between and among emerging and 
        established clean technology and advanced manufacturing 
        enterprises; or
            (9) demonstrating a comprehensive and successful model for 
        commercialization of clean technologies for promotion and 
        emulation.

SEC. 4. APPLICATIONS.

    (a) In General.--To receive a grant under this Act, a consortium 
shall submit to the Secretary an application in such manner, at such 
time, and containing such information as the Secretary determines to be 
necessary.
    (b) Eligibility.--A consortium shall be eligible to receive a grant 
under this Act if--
            (1) the consortium consists of--
                    (A) one or more research universities that can 
                demonstrate a significant annual clean technology 
                research budget, entrepreneurial support programs, and 
                technology licensing expertise; and
                    (B) a total of three or more qualifying entities 
                that can demonstrate expertise in translational 
                research, clean technology, and cluster development;
            (2) the members of the consortium have established a 
        binding agreement that documents--
                    (A) the structure of the partnership agreement;
                    (B) a governance and management structure that 
                enables cost-effective implementation of the program;
                    (C) a conflicts-of-interest policy, including 
                procedures, consistent with those of the Department of 
                Commerce, to ensure that employees and designees for 
                consortium activities who are in decisionmaking 
                capacities disclose all material conflicts of interest, 
                including financial, organizational, and personal 
                conflicts of interest;
                    (D) an accounting structure that meets the 
                requirements of the Secretary and that may be audited 
                under this Act; and
                    (E) the existence of an external advisory 
                committee;
            (3) the consortium receives funding from non-Federal 
        sources, such as a State and participants of the consortium, 
        that may be used to support projects;
            (4) the consortium is part of an existing cluster or 
        demonstrates high potential to develop a new cluster; and
            (5) the consortium operates as a nonprofit organization or 
        as a public-private partnership under an operating agreement 
        led by a nonprofit organization.
    (c) Disqualification.--The Secretary may disqualify an application 
from a consortium under this Act if the Secretary determines that the 
conflicts-of-interest policy of the consortium is inadequate.
    (d) External Advisory Committees.--
            (1) In general.--To be eligible to receive a grant under 
        this Act, a consortium shall establish an external advisory 
        committee, the members of which shall have extensive and 
        relevant scientific, technical, industry, financial, or 
        research management expertise.
            (2) Duties.--An external advisory committee shall--
                    (A) review the proposed plans, programs, project 
                selection criteria, and projects of the consortium; and
                    (B) ensure that projects selected by the consortium 
                meet the applicable conflicts-of-interest policy of the 
                consortium.
            (3) Members.--An external advisory committee shall consist 
        of--
                    (A) representatives of the members of the 
                consortium; and
                    (B) such representatives of industry, including 
                entrepreneurs and venture capitalists, as the members 
                of the consortium determine to be necessary.
            (4) Secretary as member.--The Secretary shall join the 
        external advisory committee of a consortium that receives a 
        grant under this Act.

SEC. 5. GRANTS.

    (a) In General.--The Secretary shall award grants, on a competitive 
basis--
            (1) not later than 2 years after the date of enactment of 
        this Act, to at least 1 consortium; and
            (2) not later than 10 years after such date of enactment, 
        to not fewer than 6 consortia.
    (b) Terms.--
            (1) In general.--The initial term of a grant awarded under 
        this Act shall not exceed 5 years.
            (2) Extension.--The Secretary may extend the term of a 
        grant awarded under this Act for a period of not more than 5 
        additional years.
    (c) Amounts.--
            (1) In general.--A grant awarded to a consortium under this 
        Act shall not exceed the lesser of--
                    (A) $30,000,000 per fiscal year; or
                    (B) the collective contributions of non-Federal 
                entities to the consortium, as described under section 
                4(b)(3).
            (2) Flexibility.--In determining the amount of a grant 
        under this section, the Secretary shall consider--
                    (A) the translational research capacity of the 
                consortium;
                    (B) the financial, human, and facility resources of 
                the qualifying entities; and
                    (C) the cluster of which the consortium is a part.
            (3) Increases in amounts.--Subject to paragraph (1), a 
        consortium may request an increase in the amount of a grant 
        awarded under this Act at the time the consortium requests an 
        extension of an initial grant.
    (d) Use of Amounts.--
            (1) In general.--Subject to paragraph (3), a consortium 
        awarded a grant under this Act shall use the amounts to support 
        translational research, technology development, manufacturing 
        innovation, and commercialization activities relating to clean 
        technology.
            (2) Project selection.--As a condition of receiving a grant 
        under this Act, a consortium shall--
                    (A) develop and make available to the public on the 
                Web site of the Department of Commerce proposed plans, 
                programs, project selection criteria, and terms for 
                individual project awards;
                    (B) establish policies--
                            (i) to prevent resources provided to the 
                        consortium from being used to displace private 
                        sector investment otherwise likely to occur, 
                        including investment from private sector 
                        entities that are members of the consortium;
                            (ii) to facilitate the participation of 
                        private entities that invest in clean 
                        technologies to perform due diligence on award 
                        proposals, to participate in the award review 
                        process, and to provide guidance to projects 
                        supported by the consortium; and
                            (iii) to facilitate the participation of 
                        parties with a demonstrated history of 
                        commercial application of clean technologies in 
                        the development of consortium projects;
                    (C) oversee project solicitations, review proposed 
                projects, and select projects for awards; and
                    (D) monitor project implementation.
            (3) Limitations.--
                    (A) Administrative expenses.--A consortium may use 
                not more than 10 percent of the amounts awarded to the 
                consortium for administrative expenses.
                    (B) Prohibition on use.--A consortium may not use 
                any amounts awarded to the consortium under this Act to 
                construct a new building or facility.
    (e) Audits.--
            (1) In general.--A consortium that receives a grant under 
        this Act shall carry out, in accordance with such requirements 
        as the Secretary may prescribe, an annual audit to determine 
        whether the grant has been used in accordance with this Act.
            (2) Report.--The consortium shall submit a copy of each 
        audit under paragraph (1) to the Secretary and the Comptroller 
        General of the United States.
            (3) GAO review.--As a condition of receiving a grant under 
        this Act, a consortium shall allow the Comptroller General of 
        the United States, on the request of the Comptroller General, 
        full access to the books, records, and personnel of consortium.
            (4) Reports to congress.--The Secretary shall submit to 
        Congress annually a report that includes--
                    (A) a copy of each audit carried out under 
                paragraph (1); and
                    (B) any recommendations of the Secretary relating 
                to the clean technology consortia program.
    (f) Revocation of Awards.--The Secretary shall have the authority--
            (1) to review grants awarded under this Act; and
            (2) to revoke a grant awarded under this Act if the 
        Secretary determines that a consortium has used the grant in a 
        manner that is not consistent with this Act.
    (g) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary to carry out this section $100,000,000.

Summary: Consortia-Led Energy and Advanced Manufacturing Networks Act This bill requires the Department of Commerce to carry out a grant program for establishing consortia to enhance US economic, environmental, and energy security by promoting domestic research and commercial application of clean technologies and advanced manufacturing processes. Clean technology means technologies, production processes, or methodologies that: produce energy from renewable energy sources, transmit, distribute, or store energy more efficiently, enhance energy efficiency for buildings and industry, enable the development of a Smart Grid. Produce an advanced or sustainable material with energy or energy efficiency applications, improve energy efficiency for transportation. Or enhance water security through improved water management, conservation, distribution, or end use applications.