To provide for the establishment of Clean Energy Consortia to enhance the Nation's economic, environmental, and energy security by promoting commercial application of clean energy technology.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Consortia-Led Energy Advancement 
Networks Act'' or the ``CLEAN Act''.

SEC. 2. CLEAN ENERGY CONSORTIA.

    (a) Purpose.--The Secretary shall carry out a program to establish 
Clean Energy Consortia to enhance the Nation's economic, environmental, 
and energy security by promoting commercial application of clean energy 
technology and ensuring that the United States maintains a 
technological lead in the development and commercial application of 
state-of-the-art energy technologies. To achieve these purposes the 
program shall leverage the expertise and resources of the university 
and private research communities, industry, venture capital, national 
laboratories, and other participants in energy innovation to support 
collaborative, cross-disciplinary research and development in areas not 
being served by the private sector in order to develop and accelerate 
the commercial application of innovative clean energy technologies.
    (b) Definitions.--For purposes of this section:
            (1) Clean energy technology.--The term ``clean energy 
        technology'' means a technology that--
                    (A) produces energy from solar, wind, geothermal, 
                biomass, tidal, wave, ocean, and other renewable energy 
                resources (as such term is defined in section 610 of 
                the Public Utility Regulatory Policies Act of 1978);
                    (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 resources 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, and end use 
                applications.
            (2) Cluster.--The term ``cluster'' means a network of 
        entities directly involved in the research, development, 
        finance, and commercial application of clean energy 
        technologies whose geographic proximity facilitates utilization 
        and sharing of skilled human resources, infrastructure, 
        research facilities, educational and training institutions, 
        venture capital, and input suppliers.
            (3) Consortium.--The term ``Consortium'' means a Clean 
        Energy Consortium established in accordance with this section.
            (4) Project.--The term ``project'' means an activity with 
        respect to which a Consortium provides support under subsection 
        (e).
            (5) Qualifying entity.--The term ``qualifying entity'' 
        means each of the following:
                    (A) A research university.
                    (B) A State or Federal institution with a focus on 
                the advancement of clean energy technologies.
                    (C) A nongovernmental organization with research or 
                technology transfer expertise in clean energy 
                technology development.
            (6) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (7) Technology development focus.--The term ``technology 
        development focus'' means the unique clean energy technology or 
        technologies in which a Consortium specializes.
            (8) Translational research.--The term ``translational 
        research'' means coordination of basic or applied research with 
        technical applications to enable promising discoveries or 
        inventions to achieve commercial application of energy 
        technology.
    (c) Role of the Secretary.--The Secretary shall--
            (1) have ultimate responsibility for, and oversight of, all 
        aspects of the program under this section;
            (2) select recipients of grants for the establishment and 
        operation of Consortia through a competitive selection process;
            (3) coordinate the innovation activities of Consortia with 
        those occurring through other Department of Energy entities, 
        including the National Laboratories, the Advanced Research 
        Projects Agency--Energy, Energy Innovation Hubs, and Energy 
        Frontier Research Collaborations, and within industry, 
        including by annually--
                    (A) issuing guidance regarding national energy 
                research and development priorities and strategic 
                objectives; and
                    (B) convening a conference of staff of the 
                Department of Energy and representatives from such 
                other entities to share research results, program 
                plans, and opportunities for collaboration.
    (d) Entities Eligible for Support.--A consortium shall be eligible 
to receive support under this section if--
            (1) it is composed of--
                    (A) 2 research universities with a combined annual 
                research budget of $500,000,000; and
                    (B) 1 or more additional qualifying entities;
            (2) its members have established a binding agreement that 
        documents--
                    (A) the structure of the partnership agreement;
                    (B) a governance and management structure to enable 
                cost-effective implementation of the program;
                    (C) a conflicts of interest policy consistent with 
                subsection (e)(1)(B);
                    (D) an accounting structure that meets the 
                requirements of the Department of Energy and can be 
                audited under subsection (f)(4); and
                    (E) that it has an External Advisory Committee 
                consistent with subsection (e)(3);
            (3) it receives funding from States, consortium 
        participants, or other non-Federal sources, to be used to 
        support project awards pursuant to subsection (e);
            (4) it is part of an existing cluster or demonstrates high 
        potential to develop a new cluster; and
            (5) it operates as a nonprofit organization.
    (e) Clean Energy Consortia.--
            (1) Role.--A Consortium shall support translational 
        research activities leading to commercial application of clean 
        energy technologies, in accordance with the purposes of this 
        section, through issuance of awards to projects managed by 
        qualifying entities and other entities meeting the Consortium's 
        project criteria. Each Consortium shall--
                    (A) develop and make available to the public 
                through the Department of Energy's Web site proposed 
                plans, programs, project selection criteria, and terms 
                for individual project awards under this subsection;
                    (B) establish conflict of interest procedures, 
                consistent with those of the Department of Energy, 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;
                    (C) 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 energy 
                        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 energy 
                        technologies in the development of Consortium 
                        projects;
                    (D) oversee project solicitations, review proposed 
                projects, and select projects for awards; and
                    (E) monitor project implementation.
            (2) Distribution of awards.--Consortia, with prior approval 
        of the Secretary, shall distribute awards under this subsection 
        to support clean energy technology projects conducting 
        translational research, provided that at least 50 percent of 
        such support shall be provided to projects related to a 
        Consortium's clean energy technology development focus. Upon 
        approval by the Secretary, all remaining funds shall be 
        available to support any clean energy technology projects 
        conducting translational research.
            (3) External advisory committee.--
                    (A) In general.--Each Consortium shall establish an 
                External Advisory Committee, the members of which shall 
                have extensive and relevant scientific, technical, 
                industry, financial, or research management expertise. 
                The External Advisory Committee shall review the 
                Consortium's proposed plans, programs, project 
                selection criteria, and projects and shall ensure that 
                projects selected for awards meet the conflict of 
                interest policies of the Consortium. External Advisory 
                Committee members other than those representing 
                Consortium members shall serve for no more than 3 
                years. All External Advisory Committee members shall 
                comply with the Consortium's conflict of interest 
                policies and procedures.
                    (B) Members.--The External Advisory Committee shall 
                consist of--
                            (i) 5 members selected by the Consortium's 
                        research universities;
                            (ii) 2 members selected by the Consortium's 
                        other qualifying entities;
                            (iii) 2 members selected at large by other 
                        External Advisory Committee members to 
                        represent the entrepreneur and venture capital 
                        communities; and
                            (iv) 1 member appointed by the Secretary.
            (4) Conflict of interest.--The Secretary may disqualify an 
        application or revoke funds distributed to a Consortium if the 
        Secretary discovers a failure to comply with conflict of 
        interest procedures established under paragraph (1)(B).
    (f) Grants.--
            (1) In general.--The Secretary shall make grants under this 
        section in accordance with section 989 of the Energy Policy Act 
        of 2005 (42 U.S.C. 16353). The Secretary shall award grants, on 
        a competitive basis, to 6 regional Consortia, each for an 
        initial period not to exceed 5 years. The Secretary may extend 
        the term of such award by up to 5 additional years, and a 
        Consortium may compete to receive an increase in funding that 
        it shall receive during any such extension. A Consortium shall 
        be eligible to compete for a new award after the expiration of 
        the term of any award, including any extension of such term, 
        under this subsection.
            (2) Amount.--Grants under this subsection shall be in an 
        aggregate amount not greater than $120,000,000 per fiscal year.
            (3) Use.--Grants distributed under this section shall be 
        used exclusively to support project awards pursuant to 
        subsection (e)(1) and (2), provided that a Consortium may use 
        not more than 10 percent of the amount of its grant for its 
        administrative expenses related to making such awards. Grants 
        made under this section shall not be used for construction of 
        new buildings or facilities, and construction of new buildings 
        or facilities shall not be considered as part of the non-
        Federal share of a cost sharing agreement under this section.
            (4) Audit.--Consortia shall conduct, in accordance with 
        such requirements as the Secretary may prescribe, annual audits 
        to determine the extent to which grants distributed to 
        Consortia under this subsection, and awards under subsection 
        (e), have been utilized in a manner consistent with this 
        section. Auditors shall transmit a report of the results of 
        each audit to the Secretary and to the Government 
        Accountability Office. The Secretary shall include such reports 
        in an annual report to Congress, along with a plan to remedy 
        any deficiencies cited in the reports. The Government 
        Accountability Office may review such audits as appropriate and 
        shall have full access to the books, records, and personnel of 
        Consortia to ensure that grants distributed to Consortia under 
        this subsection, and awards made under subsection (e), have 
        been utilized in a manner consistent with this section.
            (5) Revocation of awards.--The Secretary shall have 
        authority to review awards made under this subsection and to 
        revoke such awards if the Secretary determines that a 
        Consortium has used the award in a manner not consistent with 
        the requirements of this section.

Summary: Consortia-Led Energy Advancement Networks Act or the CLEAN Act - Requires the Secretary of Energy (DOE) to carry out a program to establish Clean Energy Consortia to enhance the nation's economic, environmental, and energy security by promoting commercial application of clean energy technology and ensuring that the United States maintains a technological lead in the development and commercial application of state-of-the-art energy technologies. Defines clean energy technology to mean a technology that: (1) produces energy from solar, wind, geothermal, biomass, tidal, wave, ocean, and other renewable energy resources, (2) more efficiently transmits, distributes, or stores energy, (3) enhances energy efficiency for buildings and industry, (4) enables the development of a Smart Grid. (5) produces an advanced or sustainable material with energy or energy efficiency applications, (6) improves energy efficiency for transportation. Or (7) enhances water security through improved water management, conservation, distribution, and end use applications. Requires such Consortia, with prior approval of the Secretary, to distribute awards to support clean energy technology projects conducting translational research. Defines translational research as coordination of research with technical applications to enable discoveries or inventions to achieve commercial application of energy technology. Requires at least 50 of such support to be provided to projects related to such Consortium's clean energy technology development focus. Requires each Consortium to establish an External Advisory Committee to review the Consortium's proposed plans, programs, project selection, and projects. Requires the Secretary to award grants to six regional Consortia, each for an initial period not to exceed five years for such clean energy technology projects. Authorizes the Secretary to extend such award term by up to five additional years. Prohibits grants from being used for construction of new buildings or facilities.