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[Congressional Bills 112th Congress]
[From the U.S. Government Publishing Office]
[S. 1220 Introduced in Senate (IS)]

112th CONGRESS
  1st Session
                                S. 1220

  To lessen the dependence of the United States on foreign energy, to 
   promote clean sources of energy, to strengthen the economy of the 
                 United States, and for other purposes.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             June 16, 2011

  Mr. Conrad introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL

 
  To lessen the dependence of the United States on foreign energy, to 
   promote clean sources of energy, to strengthen the economy of the 
                 United States, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Fulfilling U.S. 
Energy Leadership Act of 2011''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
                  TITLE I--ADVANCED VEHICLE DEPLOYMENT

                     Subtitle A--Energy Provisions

Sec. 101. Research and development program for alternative fuel vehicle 
                            technologies.
Sec. 102. Federal fleet requirements.
Sec. 103. Refueling infrastructure corridors.
Sec. 104. Federal Government petroleum consumption.
Sec. 105. Determination of standards by Secretary of Energy for idling 
                            reduction devices.
                Subtitle B--Promoting Electric Vehicles

Sec. 111. Definitions.
  PART I--National Plug-In Electric Drive Vehicle Deployment Program.

Sec. 121. National Plug-In Electric Drive Vehicle Deployment Program.
Sec. 122. National assessment and plan.
Sec. 123. Technical assistance.
Sec. 124. Workforce training.
Sec. 125. Federal fleets.
Sec. 126. Targeted Plug-In Electric Drive Vehicle Deployment 
                            Communities Program.
                   PART II--Research and Development

Sec. 131. Research and development program.
Sec. 132. Advanced batteries for tomorrow prize.
Sec. 133. Study on the supply of raw materials.
Sec. 134. Study on the collection and preservation of data collected 
                            from plug-in electric drive vehicles.
                        PART III--Miscellaneous

Sec. 141. Utility planning for plug-in electric drive vehicles.
Sec. 142. Loan guarantees.
Sec. 143. Prohibition on disposing of advanced batteries in landfills.
Sec. 144. Plug-In Electric Drive Vehicle Technical Advisory Committee.
Sec. 145. Plug-In Electric Drive Vehicle Interagency Task Force.
                       Subtitle C--Tax Provisions

Sec. 151. Consumer tax credits for advanced vehicles.
Sec. 152. Credit for fuel-efficient motor vehicles.
Sec. 153. Idling reduction tax credit.
                   TITLE II--OIL AND GAS DEVELOPMENT

Sec. 201. Production of oil and gas on outer Continental Shelf.
Sec. 202. Implementation of inventory of outer Continental Shelf 
                            resources.
Sec. 203. Offshore safety bureau.
                 TITLE III--ALTERNATIVE FUEL DEPLOYMENT

                     Subtitle A--Energy Provisions

Sec. 301. Bioenergy research and development.
Sec. 302. Alternative fueled automobile production requirement.
Sec. 303. Definition of renewable biomass.
Sec. 304. Loan guarantees for renewable fuel pipelines.
                       Subtitle B--Tax Provisions

Sec. 311. Variable VEETC rate based on price of crude oil.
Sec. 312. Extension of cellulosic biofuel producer credit through 2016.
Sec. 313. Extension and modification of alternative fuel vehicle 
                            refueling property credit.
Sec. 314. Extension of special depreciation allowance for cellulosic 
                            biofuel plant property.
Sec. 315. Incentives for biodiesel and renewable diesel.
Sec. 316. Alternative fuels excise tax credits.
                TITLE IV--CLEANER SOURCES OF ELECTRICITY

                     Subtitle A--Energy Provisions

Sec. 401. Clean energy standard.
Sec. 402. Large-scale carbon storage program.
Sec. 403. Loan guarantees for nuclear power and other innovative 
                            sources.
Sec. 404. Nuclear energy workforce.
Sec. 405. Interagency Working Group to promote domestic manufacturing 
                            base for nuclear components and equipment.
                       Subtitle B--Tax Provisions

Sec. 411. Seven-year amortization for certain systems installed on 
                            coal-fired electric generation units.
Sec. 412. Credit for carbon sequestration from coal facilities.
Sec. 413. Modifications to credit for carbon dioxide sequestration.
Sec. 414. Clean energy coal bonds.
Sec. 415. New clean renewable energy bonds.
Sec. 416. Seven-year accelerated depreciation for new nuclear power 
                            facilities.
Sec. 417. Long term extension of renewable electricity production 
                            credit.
                  TITLE V--DOMESTIC ENERGY DEPLOYMENT

                   Subtitle A--Clean Energy Financing

Sec. 501. Purpose.
Sec. 502. Definitions.
Sec. 503. Improvements to existing programs.
Sec. 504. Energy technology deployment goals.
Sec. 505. Clean Energy Deployment Administration.
Sec. 506. Administration functions.
Sec. 507. Federal Credit Authority.
Sec. 508. General provisions.
                       Subtitle B--Tax Provisions

Sec. 511. Advanced energy manufacturing credit.
Sec. 512. Special rule for sales of electric transmission property.
Sec. 513. Depreciation of natural gas distribution lines.
Sec. 514. Credit for steel industry fuel.
Sec. 515. Credit for producing fuel from coke or coke gas.
                      TITLE VI--ENERGY EFFICIENCY

                Subtitle A--Rural Energy Savings Program

Sec. 601. Rural energy savings program.
                       Subtitle B--Tax Provisions

Sec. 611. Energy-efficient commercial buildings.
Sec. 612. Energy-efficient new homes.
Sec. 613. Energy-efficient existing homes.
Sec. 614. Energy-efficient appliances.
               TITLE VII--ENERGY RESEARCH AND DEVELOPMENT

Sec. 701. Next Step Energy Storage Research Center.
Sec. 702. Nuclear power initiatives.
                     TITLE VIII--BUDGETARY EFFECTS

Sec. 801. Budgetary effects.

SEC. 2. DEFINITIONS.

    Except as otherwise provided in this Act, in this Act:
            (1) Alternative fuel.--The term ``alternative fuel'' has 
        the meaning given the term in section 32901(a) of title 49, 
        United States Code.
            (2) Alternative fueled automobile.--The term ``alternative 
        fueled automobile'' has the meaning given the term in section 
        32901(a) of title 49, United States Code.
            (3) Motor vehicle.--The term ``motor vehicle'' means any 
        vehicle that is manufactured primarily for use on public 
        streets, roads, and highways (not including a vehicle operated 
        exclusively on 1 or more rails) and that has at least 4 wheels.
            (4) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.

                  TITLE I--ADVANCED VEHICLE DEPLOYMENT

                     Subtitle A--Energy Provisions

SEC. 101. RESEARCH AND DEVELOPMENT PROGRAM FOR ALTERNATIVE FUEL VEHICLE 
              TECHNOLOGIES.

    (a) Purposes.--The purposes of this section are--
            (1) to enable and promote, in partnership with industry, 
        comprehensive development, demonstration, and commercialization 
        of a wide range of alternative fuel components, systems, and 
        vehicles using diverse transportation technologies;
            (2) to make critical public investments to help private 
        industry, institutions of higher education, National 
        Laboratories, and research institutions to expand innovation, 
        industrial growth, and jobs in the United States;
            (3) to expand the availability of the existing alternative 
        fuel infrastructure for fueling light-duty transportation 
        vehicles and other on-road and nonroad vehicles that are using 
        petroleum and are mobile sources of emissions, with the goals 
        of--
                    (A) enhancing the energy security of the United 
                States;
                    (B) reducing dependence on imported oil; and
                    (C) reducing emissions through the expansion of 
                alternative fuel supported mobility;
            (4) to accelerate the widespread commercialization of 
        alternative fuel vehicle technology into all sizes and 
        applications of vehicles, including commercialization of 
        alternative fuel vehicles; and
            (5) to improve the energy efficiency of and reduce the 
        petroleum use in surface transportation.
    (b) Program.--The Secretary shall conduct a program of research, 
development, demonstration, and commercial application for alternative 
fuel transportation technology, including--
            (1) high capacity, high-efficiency storage devices;
            (2) high-efficiency on-board and off-board alternative fuel 
        components;
            (3) high-powered alternative fuel systems for passenger and 
        commercial vehicles and for nonroad equipment;
            (4) control system development and power train development 
        and integration for alternative fuel vehicles, including--
                    (A) development of efficient cooling systems;
                    (B) analysis and development of control systems 
                that minimize the emissions profile when clean diesel 
                engines are part of an alternative fuel system; and
                    (C) development of different control systems that 
                optimize for different goals, including--
                            (i) storage life;
                            (ii) reduction of petroleum consumption; 
                        and
                            (iii) greenhouse gas reduction;
            (5) nanomaterial technology applied to both alternative 
        fuel components and systems;
            (6) large-scale demonstrations, testing, and evaluation of 
        alternative fuel vehicles in different applications with 
        different storage and control systems, including--
                    (A) the incremental cost of alternative fuel 
                vehicles and alternative fuel systems;
                    (B) military applications;
                    (C) mass market passenger and light-duty truck 
                applications;
                    (D) private fleet applications; and
                    (E) medium- and heavy-duty applications;
            (7) advancement of alternative fuel transportation 
        technologies in mobile source applications by--
                    (A) improvement in alternative fuel technologies; 
                and
                    (B) working with industry and the Administrator of 
                the Environmental Protection Agency to--
                            (i) understand and inventory markets; and
                            (ii) identify and implement methods of 
                        removing barriers for existing and emerging 
                        applications; and
            (8) lightweight materials.
    (c) Funding.--
            (1) In general.--Out of any funds in the Treasury not 
        otherwise appropriated, the Secretary of the Treasury shall 
        transfer to the Secretary to carry out this section, to remain 
        available until expended--
                    (A) on October 1, 2011, and each October 1 
                thereafter through October 1, 2015, $1,000,000,000; and
                    (B) on October 1, 2016, and each October 1 
                thereafter through October 1, 2020, $500,000,000.
            (2) Receipt and acceptance.--The Secretary shall be 
        entitled to receive, shall accept, and shall use to carry out 
        this section the funds transferred under paragraph (1), without 
        further appropriation.

SEC. 102. FEDERAL FLEET REQUIREMENTS.

    (a) Definition of Alternative Fueled Vehicle.--Section 301(3) of 
the Energy Policy Act of 1992 (42 U.S.C. 13211(3)) is amended by adding 
at the end the following:
                    ``(C) Exclusion.--The term `alternative fueled 
                vehicle' does not include a dedicated vehicle that 
                operates exclusively on gasoline or diesel fuel.''.
    (b) Minimum Federal Fleet Requirement.--Section 303(b)(1) of the 
Energy Policy Act of 1992 (42 U.S.C. 13212(b)(1)) is amended--
            (1) in subparagraph (C), by striking ``and'' after the 
        semicolon at the end; and
            (2) by striking subparagraph (D) through the period at the 
        end and inserting the following:
            ``(D) 75 percent in each of fiscal years 1999 through 2012;
            ``(E) 80 percent in each of fiscal years 2013 through 2015;
            ``(F) 90 percent in each of fiscal years 2016 through 2019; 
        and
            ``(G) 100 percent in fiscal year 2020 and each fiscal year 
        thereafter;
shall be alternative fueled vehicles.''.
    (c) Flexible Fuel Vehicles; Compliance.--Section 303(b) of the 
Energy Policy Act of 1992 (42 U.S.C. 13212(b)) is amended--
            (1) by redesignating paragraph (3) as paragraph (6); and
            (2) by inserting after paragraph (2) the following:
            ``(3) Flexible fuel vehicles.--
                    ``(A) Definition of flexible fuel vehicle.--In this 
                paragraph, the term `flexible fuel vehicle' means an 
                automobile that has been warranted by the manufacturer 
                of the automobile to operate on gasoline and fuel 
                mixtures containing 15 percent gasoline and 85 percent 
                ethanol or methanol.
                    ``(B) Maximum percentage.--For model year 2015 and 
                each model year thereafter, the Secretary shall, to the 
                maximum extent practicable, ensure that not more than 
                75 percent of vehicles acquired by a Federal fleet are 
                flexible fuel vehicles.
            ``(4) Compliance.--The Secretary shall monitor and report 
        to Congress on the compliance of Federal agencies with the 
        requirements of this subsection, including the number and 
        reasons for waivers or reductions of percentages under this 
        subsection.''.

SEC. 103. REFUELING INFRASTRUCTURE CORRIDORS.

    (a) Number of Eligible Projects.--Section 244(d)(1) of the Energy 
Independence and Security Act of 2007 (42 U.S.C. 17052(d)(1)) is 
amended by striking ``10'' and inserting ``20''.
    (b) Report.--Section 244 of the Energy Independence and Security 
Act of 2007 (42 U.S.C. 17052) is amended--
            (1) by redesignating subsection (f) as subsection (g); and
            (2) by inserting after subsection (e) the following:
    ``(f) Report.--Not later than 2 years after the date on which 
grants are awarded under subsection (d), the Secretary shall submit to 
Congress a report on the feasibility and desirability of--
            ``(1) establishing a refueling infrastructure corridor for 
        each highway on the Interstate System (as defined in section 
        101(a) of title 23, United States Code); and
            ``(2) expanding the scope of this section to cover 
        alternative fuels.''.

SEC. 104. FEDERAL GOVERNMENT PETROLEUM CONSUMPTION.

    (a) In General.--Section 303(b) of the Energy Policy Act of 1992 
(42 U.S.C. 13212(b)) (as amended by section 102(c)) is amended by 
adding at the end the following:
            ``(5) Petroleum consumption.--The Secretary shall 
        promulgate regulations for Federal fleets subject to this title 
        requiring that, not later than fiscal year 2013, each Federal 
        agency achieve at least a 5-percent reduction in petroleum 
        consumption, as calculated from the baseline established by the 
        Secretary for fiscal year 2011.''.
    (b) Additional Gasoline Reduction Measures.--
            (1) Study.--The Comptroller General of the United States 
        shall conduct a study to determine whether additional gasoline 
        reduction measures by Federal departments, agencies, and 
        Congress are technically feasible.
            (2) Report.--Not later than 180 days after the date of 
        enactment of this Act, the Comptroller General shall submit to 
        Congress a report that describes the results of the study, 
        including any recommendations.

SEC. 105. DETERMINATION OF STANDARDS BY SECRETARY OF ENERGY FOR IDLING 
              REDUCTION DEVICES.

    Not later than 180 days after the date of the enactment of this Act 
and in order to reduce air pollution and fuel consumption, the 
Administrator of the Environmental Protection Agency, in consultation 
with the Secretary of Energy and the Secretary of Transportation, shall 
publish the standards under which the Administrator, in consultation 
with the Secretary of Energy and the Secretary of Transportation, will, 
for purposes of section 45Q of the Internal Revenue Code of 1986 (as 
added by this Act), determine the idling reduction devices which will 
reduce long-duration idling of vehicles at motor vehicle rest stops or 
other locations where such vehicles are temporarily parked or remain 
stationary in order to reduce air pollution and fuel consumption.

                Subtitle B--Promoting Electric Vehicles

SEC. 111. DEFINITIONS.

    In this subtitle:
            (1) Agency.--The term ``agency'' has the meaning given the 
        term ``Executive agency'' in section 105 of title 5, United 
        States Code.
            (2) Charging infrastructure.--The term ``charging 
        infrastructure'' means any property (not including a building) 
        if the property is used for the recharging of plug-in electric 
        drive vehicles, including electrical panel upgrades, wiring, 
        conduit, trenching, pedestals, and related equipment.
            (3) Committee.--The term ``Committee'' means the Plug-In 
        Electric Drive Vehicle Technical Advisory Committee established 
        by section 144.
            (4) Deployment community.--The term ``deployment 
        community'' means a community selected by the Secretary to be 
        part of the targeted plug-in electric drive vehicles deployment 
        communities program under section 126.
            (5) Electric utility.--The term ``electric utility'' has 
        the meaning given the term in section 3 of the Public Utility 
        Regulatory Policies Act of 1978 (16 U.S.C. 2602).
            (6) Federal-aid system of highways.--The term ``Federal-aid 
        system of highways'' means a highway system described in 
        section 103 of title 23, United States Code.
            (7) Plug-in electric drive vehicle.--
                    (A) In general.--The term ``plug-in electric drive 
                vehicle'' has the meaning given the term in section 
                131(a)(5) of the Energy Independence and Security Act 
                of 2007 (42 U.S.C. 17011(a)(5)).
                    (B) Inclusions.--The term ``plug-in electric drive 
                vehicle'' includes--
                            (i) low speed plug-in electric drive 
                        vehicles that meet the Federal Motor Vehicle 
                        Safety Standards described in section 571.500 
                        of title 49, Code of Federal Regulations (or 
                        successor regulations); and
                            (ii) any other electric drive motor vehicle 
                        that can be recharged from an external source 
                        of motive power and that is authorized to 
                        travel on the Federal-aid system of highways.
            (8) Prize.--The term ``Prize'' means the Advanced Batteries 
        for Tomorrow Prize established by section 132.
            (9) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (10) Task force.--The term ``Task Force'' means the Plug-in 
        Electric Drive Vehicle Interagency Task Force established by 
        section 145.

  PART I--NATIONAL PLUG-IN ELECTRIC DRIVE VEHICLE DEPLOYMENT PROGRAM.

SEC. 121. NATIONAL PLUG-IN ELECTRIC DRIVE VEHICLE DEPLOYMENT PROGRAM.

    (a) In General.--There is established within the Department of 
Energy a national plug-in electric drive vehicle deployment program for 
the purpose of assisting in the deployment of plug-in electric drive 
vehicles.
    (b) Goals.--The goals of the national program described in 
subsection (a) include--
            (1) the reduction and displacement of petroleum use by 
        accelerating the deployment of plug-in electric drive vehicles 
        in the United States;
            (2) the reduction of greenhouse gas emissions by 
        accelerating the deployment of plug-in electric drive vehicles 
        in the United States;
            (3) the facilitation of the rapid deployment of plug-in 
        electric drive vehicles;
            (4) the achievement of significant market penetrations by 
        plug-in electric drive vehicles nationally;
            (5) the establishment of models for the rapid deployment of 
        plug-in electric drive vehicles nationally, including models 
        for the deployment of residential, private, and publicly 
        available charging infrastructure;
            (6) the increase of consumer knowledge and acceptance of 
        plug-in electric drive vehicles;
            (7) the encouragement of the innovation and investment 
        necessary to achieve mass market deployment of plug-in electric 
        drive vehicles;
            (8) the facilitation of the integration of plug-in electric 
        drive vehicles into electricity distribution systems and the 
        larger electric grid while maintaining grid system performance 
        and reliability;
            (9) the provision of technical assistance to communities 
        across the United States to prepare for plug-in electric drive 
        vehicles; and
            (10) the support of workforce training across the United 
        States relating to plug-in electric drive vehicles.
    (c) Duties.--In carrying out this subtitle, the Secretary shall--
            (1) provide technical assistance to State, local, and 
        tribal governments that want to create deployment programs for 
        plug-in electric drive vehicles in the communities over which 
        the governments have jurisdiction;
            (2) perform national assessments of the potential 
        deployment of plug-in electric drive vehicles under section 
        122;
            (3) synthesize and disseminate data from the deployment of 
        plug-in electric drive vehicles;
            (4) develop best practices for the successful deployment of 
        plug-in electric drive vehicles;
            (5) carry out workforce training under section 124;
            (6) establish the targeted plug-in electric drive vehicle 
        deployment communities program under section 126; and
            (7) in conjunction with the Task Force, make 
        recommendations to Congress and the President on methods to 
        reduce the barriers to plug-in electric drive vehicle 
        deployment.
    (d) Report.--Not later than 18 months after the date of enactment 
of this Act and biennially thereafter, the Secretary shall submit to 
the appropriate committees of Congress a report on the progress made in 
implementing the national program described in subsection (a) that 
includes--
            (1) a description of the progress made by--
                    (A) the technical assistance program under section 
                123; and
                    (B) the workforce training program under section 
                124; and
            (2) any updated recommendations of the Secretary for 
        changes in Federal programs to promote the purposes of this 
        subtitle.
    (e) National Information Clearinghouse.--The Secretary shall make 
available to the public, in a timely manner, information regarding--
            (1) the cost, performance, usage data, and technical data 
        regarding plug-in electric drive vehicles and associated 
        infrastructure, including information from the deployment 
        communities established under section 126; and
            (2) any other educational information that the Secretary 
        determines to be appropriate.
    (f) Authorization of Appropriations.--For the period of fiscal 
years 2011 through 2016, there are authorized to be appropriated 
$100,000,000 to carry out sections 121 through 123.

SEC. 122. NATIONAL ASSESSMENT AND PLAN.

    (a) In General.--Not later than 2 years after the date of enactment 
of this Act, the Secretary shall carry out a national assessment and 
develop a national plan for plug-in electric drive vehicle deployment 
that includes--
            (1) an assessment of the maximum feasible deployment of 
        plug-in electric drive vehicles by 2020 and 2030;
            (2) the establishment of national goals for market 
        penetration of plug-in electric drive vehicles by 2020 and 
        2030;
            (3) a plan for integrating the successes and barriers to 
        deployment identified by the deployment communities program 
        established under section 126 to prepare communities across the 
        Nation for the rapid deployment of plug-in electric drive 
        vehicles;
            (4) a plan for providing technical assistance to 
        communities across the United States to prepare for plug-in 
        electric drive vehicle deployment;
            (5) a plan for quantifying the reduction in petroleum 
        consumption and the net impact on greenhouse gas emissions due 
        to the deployment of plug-in electric drive vehicles; and
            (6) in consultation with the Task Force, any 
        recommendations to the President and to Congress for changes in 
        Federal programs (including laws, regulations, and 
        guidelines)--
                    (A) to better promote the deployment of plug-in 
                electric drive vehicles; and
                    (B) to reduce barriers to the deployment of plug-in 
                electric drive vehicles.
    (b) Updates.--Not later than 2 years after the date of development 
of the plan described in subsection (a), and not less frequently than 
once every 2 years thereafter, the Secretary shall use market data and 
information from the targeted plug-in electric drive vehicle deployment 
communities program established under section 126 and other relevant 
data to update the plan to reflect real world market conditions.

SEC. 123. TECHNICAL ASSISTANCE.

    (a) Technical Assistance to State, Local, and Tribal Governments.--
            (1) In general.--In carrying out this subtitle, the 
        Secretary shall provide, at the request of the Governor, Mayor, 
        county executive, or the designee of such an official, 
        technical assistance to State, local, and tribal governments to 
        assist with the deployment of plug-in electric drive vehicles.
            (2) Requirements.--The technical assistance described in 
        paragraph (1) shall include--
                    (A) training on codes and standards for building 
                and safety inspectors;
                    (B) training on best practices for expediting 
                permits and inspections;
                    (C) education and outreach on frequently asked 
                questions relating to the various types of plug-in 
                electric drive vehicles and associated infrastructure, 
                battery technology, and disposal; and
                    (D) the dissemination of information regarding best 
                practices for the deployment of plug-in electric drive 
                vehicles.
            (3) Priority.--In providing technical assistance under this 
        subsection, the Secretary shall give priority to--
                    (A) communities that have established public and 
                private partnerships, including partnerships comprised 
                of--
                            (i) elected and appointed officials from 
                        each of the participating State, local, and 
                        tribal governments;
                            (ii) relevant generators and distributors 
                        of electricity;
                            (iii) public utility commissions;
                            (iv) departments of public works and 
                        transportation;
                            (v) owners and operators of property that 
                        will be essential to the deployment of a 
                        sufficient level of publicly available charging 
                        infrastructure (including privately owned 
                        parking lots or structures and commercial 
                        entities with public access locations);
                            (vi) plug-in electric drive vehicle 
                        manufacturers or retailers;
                            (vii) third-party providers of charging 
                        infrastructure or services;
                            (viii) owners of any major fleet that will 
                        participate in the program;
                            (ix) as appropriate, owners and operators 
                        of regional electric power distribution and 
                        transmission facilities; and
                            (x) other existing community coalitions 
                        recognized by the Department of Energy;
                    (B) communities that, as determined by the 
                Secretary, have best demonstrated that the public is 
                likely to embrace plug-in electric drive vehicles, 
                giving particular consideration to communities that--
                            (i) have documented waiting lists to 
                        purchase plug-in electric drive vehicles;
                            (ii) have developed projections of the 
                        quantity of plug-in electric drive vehicles 
                        supplied to dealers; and
                            (iii) have assessed the quantity of 
                        charging infrastructure installed or for which 
                        permits have been issued;
                    (C) communities that have shown a commitment to 
                serving diverse consumer charging infrastructure needs, 
                including the charging infrastructure needs for single- 
                and multi-family housing and public and privately owned 
                commercial infrastructure; and
                    (D) communities that have established regulatory 
                and educational efforts to facilitate consumer 
                acceptance of plug-in electric drive vehicles, 
                including by--
                            (i) adopting (or being in the process of 
                        adopting) streamlined permitting and 
                        inspections processes for residential charging 
                        infrastructure; and
                            (ii) providing customer informational 
                        resources, including providing plug-in electric 
                        drive information on community or other Web 
                        sites.
            (4) Best practices.--The Secretary shall collect and 
        disseminate information to State, local, and tribal governments 
        creating plans to deploy plug-in electric drive vehicles on 
        best practices (including codes and standards) that uses data 
        from--
                    (A) the program established by section 126;
                    (B) the activities carried out by the Task Force; 
                and
                    (C) existing academic and industry studies of the 
                factors that contribute to the successful deployment of 
                new technologies, particularly studies relating to 
                alternative fueled vehicles.
            (5) Grants.--
                    (A) In general.--The Secretary shall establish a 
                program to provide grants to State, local, and tribal 
                governments or to partnerships of government and 
                private entities to assist the governments and 
                partnerships--
                            (i) in preparing a community deployment 
                        plan under section 126; and
                            (ii) in preparing and implementing programs 
                        that support the deployment of plug-in electric 
                        drive vehicles.
                    (B) Application.--A State, local, or tribal 
                government that seeks to receive a grant under this 
                paragraph shall submit to the Secretary an application 
                for the grant at such time, in such form, and 
                containing such information as the Secretary may 
                prescribe.
                    (C) Use of funds.--A State, local, or tribal 
                government receiving a grant under this paragraph shall 
                use the funds--
                            (i) to develop a community deployment plan 
                        that shall be submitted to the next available 
                        competition under section 126; and
                            (ii) to carry out activities that encourage 
                        the deployment of plug-in electric drive 
                        vehicles including--
                                    (I) planning for and installing 
                                charging infrastructure, particularly 
                                to develop and demonstrate diverse and 
                                cost-effective planning, installation, 
                                and operations options for deployment 
                                of single family and multifamily 
                                residential, workplace, and publicly 
                                available charging infrastructure;
                                    (II) updating building, zoning, or 
                                parking codes and permitting or 
                                inspection processes;
                                    (III) workforce training, including 
                                the training of permitting officials;
                                    (IV) public education described in 
                                the proposed marketing plan;
                                    (V) shifting State, local, or 
                                tribal government fleets to plug-in 
                                electric drive vehicles, at a rate in 
                                excess of the existing alternative 
                                fueled fleet vehicles acquisition 
                                requirements for Federal fleets under 
                                section 303(b)(1)(D) of the Energy 
                                Policy Act of 1992 (42 U.S.C. 
                                13212(b)(1)(D)); and
                                    (VI) any other activities, as 
                                determined to be necessary by the 
                                Secretary.
                    (D) Criteria.--The Secretary shall develop and 
                publish criteria for the selection of technical 
                assistance grants, including requirements for the 
                submission of applications under this paragraph.
                    (E) Authorization of appropriations.--There are 
                authorized to be appropriated such sums as are 
                necessary to carry out this paragraph.
    (b) Updating Model Building Codes, Permitting and Inspection 
Processes, and Zoning or Parking Rules.--
            (1) In general.--Not later than 1 year after the date of 
        enactment of this Act, the Secretary, in consultation with the 
        American Society of Heating, Refrigerating and Air-Conditioning 
        Engineers, the International Code Council, and any other 
        organizations that the Secretary determines to be appropriate, 
        shall develop and publish guidance for--
                    (A) model building codes for the inclusion of 
                separate circuits for charging infrastructure, as 
                appropriate, in new construction and major renovations 
                of private residences, buildings, or other structures 
                that could provide publicly available charging 
                infrastructure;
                    (B) model construction permitting or inspection 
                processes that allow for the expedited installation of 
                charging infrastructure for purchasers of plug-in 
                electric drive vehicles (including a permitting process 
                that allows a vehicle purchaser to have charging 
                infrastructure installed not later than 1 week after a 
                request); and
                    (C) model zoning, parking rules, or other local 
                ordinances that--
                            (i) facilitate the installation of publicly 
                        available charging infrastructure, including 
                        commercial entities that provide public access 
                        to infrastructure; and
                            (ii) allow for access to publicly available 
                        charging infrastructure.
            (2) Optional adoption.--An applicant for selection for 
        technical assistance under this section or as a deployment 
        community under section 126 shall not be required to use the 
        model building codes, permitting and inspection processes, or 
        zoning, parking rules, or other ordinances included in the 
        report under paragraph (1).
            (3) Smart grid integration.--In developing the model codes 
        or ordinances described in paragraph (1), the Secretary shall 
        consider smart grid integration.

SEC. 124. WORKFORCE TRAINING.

    (a) Maintenance and Support.--
            (1) In general.--The Secretary, in consultation with the 
        Committee and the Task Force, shall award grants to 
        institutions of higher education and other qualified training 
        and education institutions for the establishment of programs to 
        provide training and education for vocational workforce 
        development through centers of excellence.
            (2) Purpose.--Training funded under this subsection shall 
        be intended to ensure that the workforce has the necessary 
        skills needed to work on and maintain plug-in electric drive 
        vehicles and the infrastructure required to support plug-in 
        electric drive vehicles.
            (3) Scope.--Training funded under this subsection shall 
        include training for--
                    (A) first responders;
                    (B) electricians and contractors who will be 
                installing infrastructure;
                    (C) engineers;
                    (D) code inspection officials; and
                    (E) dealers and mechanics.
    (b) Design.--The Secretary shall award grants to institutions of 
higher education and other qualified training and education 
institutions for the establishment of programs to provide training and 
education in designing plug-in electric drive vehicles and associated 
components and infrastructure to ensure that the United States can lead 
the world in this field.
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated $150,000,000 to carry out this section.

SEC. 125. FEDERAL FLEETS.

    (a) In General.--Electricity consumed by Federal agencies to fuel 
plug-in electric drive vehicles--
            (1) is an alternative fuel (as defined in section 301 of 
        the Energy Policy Act of 1992 (42 U.S.C. 13218)); and
            (2) shall be accounted for under Federal fleet management 
        reporting requirements, not under Federal building management 
        reporting requirements.
    (b) Assessment and Report.--Not later than 180 days after the date 
of enactment of this Act and every 3 years thereafter, the Federal 
Energy Management Program and the General Services Administration, in 
consultation with the Task Force, shall complete an assessment of 
Federal Government fleets, including the Postal Service and the 
Department of Defense, and submit a report to Congress that describes--
            (1) for each Federal agency, which types of vehicles the 
        agency uses that would or would not be suitable for near-term 
        and medium-term conversion to plug-in electric drive vehicles, 
        taking into account the types of vehicles for which plug-in 
        electric drive vehicles could provide comparable functionality 
        and lifecycle costs;
            (2) how many plug-in electric drive vehicles could be 
        deployed by the Federal Government in 5 years and in 10 years, 
        assuming that plug-in electric drive vehicles are available and 
        are purchased when new vehicles are needed or existing vehicles 
        are replaced;
            (3) the estimated cost to the Federal Government for 
        vehicle purchases under paragraph (2); and
            (4) a description of any updates to the assessment based on 
        new market data.
    (c) Inventory and Data Collection.--
            (1) In general.--In carrying out the assessment and report 
        under subsection (b), the Federal Energy Management Program, in 
        consultation with the General Services Administration, shall--
                    (A) develop an information request for each agency 
                that operates a fleet of at least 20 motor vehicles; 
                and
                    (B) establish guidelines for each agency to use in 
                developing a plan to deploy plug-in electric drive 
                vehicles.
            (2) Agency responses.--Each agency that operates a fleet of 
        at least 20 motor vehicles shall--
                    (A) collect information on the vehicle fleet of the 
                agency in response to the information request described 
                in paragraph (1); and
                    (B) develop a plan to deploy plug-in electric drive 
                vehicles.
            (3) Analysis of responses.--The Federal Energy Management 
        Program shall--
                    (A) analyze the information submitted by each 
                agency under paragraph (2);
                    (B) approve or suggest amendments to the plan of 
                each agency to ensure that the plan is consistent with 
                the goals and requirements of this Act; and
                    (C) submit a plan to Congress and the General 
                Services Administration to be used in developing the 
                pilot program described in subsection (e).
    (d) Budget Request.--Each agency of the Federal Government shall 
include plug-in electric drive vehicle purchases identified in the 
report under subsection (b) in the budget of the agency to be included 
in the budget of the United States Government submitted by the 
President under section 1105 of title 31, United States Code.
    (e) Pilot Program To Deploy Plug-In Electric Drive Vehicles in the 
Federal Fleet.--
            (1) In general.--The Administrator of General Services 
        shall acquire plug-in electric drive vehicles and the requisite 
        charging infrastructure to be deployed in a range of locations 
        in Federal Government fleets, which may include the United 
        States Postal Service and the Department of Defense, during the 
        5-year period beginning on the date of enactment of this Act.
            (2) Data collection.--The Administrator of General Services 
        shall collect data regarding--
                    (A) the cost, performance, and use of plug-in 
                electric drive vehicles in the Federal fleet;
                    (B) the deployment and integration of plug-in 
                electric drive vehicles in the Federal fleet; and
                    (C) the contribution of plug-in electric drive 
                vehicles in the Federal fleet toward reducing the use 
                of fossil fuels and greenhouse gas emissions.
            (3) Report.--Not later than 6 years after the date of 
        enactment of this Act, the Administrator of General Services 
        shall submit to the appropriate committees of Congress a report 
        that--
                    (A) describes the status of plug-in electric drive 
                vehicles in the Federal fleet; and
                    (B) includes an analysis of the data collected 
                under this subsection.
            (4) Public web site.--The Federal Energy Management Program 
        shall maintain and regularly update a publicly available Web 
        site that provides information on the status of plug-in 
        electric drive vehicles in the Federal fleet.
    (f) Acquisition Priority.--Section 507(g) of the Energy Policy Act 
of 1992 (42 U.S.C. 13257(g)) is amended by adding at the end the 
following:
            ``(5) Priority.--The Secretary shall, to the maximum extent 
        practicable, prioritize the acquisition of plug-in electric 
        drive vehicles (as defined in section 131(a) of the Energy 
        Independence and Security Act of 2007 (42 U.S.C. 17011(a)) over 
        nonelectric alternative fueled vehicles.''.
    (g) Authorization of Appropriations.--There is authorized to be 
appropriated for the Federal Government to pay for incremental costs to 
purchase or lease plug-in electric drive vehicles and the requisite 
charging infrastructure for Federal fleets $25,000,000.

SEC. 126. TARGETED PLUG-IN ELECTRIC DRIVE VEHICLE DEPLOYMENT 
              COMMUNITIES PROGRAM.

    (a) Establishment.--
            (1) In general.--There is established within the national 
        plug-in electric drive deployment program established under 
        section 121 a targeted plug-in electric drive vehicle 
        deployment communities program (referred to in this section as 
        the ``Program'').
            (2) Existing activities.--In carrying out the Program, the 
        Secretary shall coordinate and supplement, not supplant, any 
        ongoing plug-in electric drive deployment activities under 
        section 131 of the Energy Independence and Security Act of 2007 
        (42 U.S.C. 17011).
            (3) Phase 1.--
                    (A) In general.--The Secretary shall establish a 
                competitive process to select phase 1 deployment 
                communities for the Program.
                    (B) Eligible entities.--In selecting participants 
                for the Program under paragraph (1), the Secretary 
                shall only consider applications submitted by State, 
                tribal, or local government entities (or groups of 
                State, tribal, or local government entities).
                    (C) Selection.--Not later than 1 year after the 
                date of enactment of this Act and not later than 1 year 
                after the date on which any subsequent amounts are 
                appropriated for the Program, the Secretary shall 
                select the phase 1 deployment communities under this 
                paragraph.
                    (D) Termination.--Phase 1 of the Program shall be 
                carried out for a 3-year period beginning on the date 
                funding under this subtitle is first provided to the 
                deployment community.
            (4) Phase 2.--Not later than 3 years after the date of 
        enactment of this Act, the Secretary shall submit to Congress a 
        report that analyzes the lessons learned in phase I and, if, 
        based on the phase I analysis, the Secretary determines that a 
        phase II program is warranted, makes recommendations and 
        describes a plan for phase II, including--
                    (A) recommendations regarding--
                            (i) options for the number of additional 
                        deployment communities that should be selected;
                            (ii) the manner in which criteria for 
                        selection should be updated;
                            (iii) the manner in which incentive 
                        structures for phase 2 deployment should be 
                        changed; and
                            (iv) whether other forms of onboard energy 
                        storage for electric drive vehicles, such as 
                        fuel cells, should be included in phase 2; and
                    (B) a request for appropriations to implement phase 
                2 of the Program.
    (b) Goals.--The goals of the Program are--
            (1) to facilitate the rapid deployment of plug-in electric 
        drive vehicles, including--
                    (A) the deployment of 400,000 plug-in electric 
                drive vehicles in phase 1 in the deployment communities 
                selected under paragraph (2);
                    (B) the near-term achievement of significant market 
                penetration in deployment communities; and
                    (C) supporting the achievement of significant 
                market penetration nationally;
            (2) to establish models for the rapid deployment of plug-in 
        electric drive vehicles nationally, including for the 
        deployment of single-family and multifamily residential, 
        workplace, and publicly available charging infrastructure;
            (3) to increase consumer knowledge and acceptance of, and 
        exposure to, plug-in electric drive vehicles;
            (4) to encourage the innovation and investment necessary to 
        achieve mass market deployment of plug-in electric drive 
        vehicles;
            (5) to demonstrate the integration of plug-in electric 
        drive vehicles into electricity distribution systems and the 
        larger electric grid while maintaining or improving grid system 
        performance and reliability;
            (6) to demonstrate protocols and communication standards 
        that facilitate vehicle integration into the grid and provide 
        seamless charging for consumers traveling through multiple 
        utility distribution systems;
            (7) to investigate differences among deployment communities 
        and to develop best practices for implementing vehicle 
        electrification in various communities, including best 
        practices for planning for and facilitating the construction of 
        residential, workplace, and publicly available infrastructure 
        to support plug-in electric drive vehicles;
            (8) to collect comprehensive data on the purchase and use 
        of plug-in electric drive vehicles, including charging profile 
        data at unit and aggregate levels, to inform best practices for 
        rapidly deploying plug-in electric drive vehicles in other 
        locations, including for the installation of charging 
        infrastructure;
            (9) to reduce and displace petroleum use and reduce 
        greenhouse gas emissions by accelerating the deployment of 
        plug-in electric drive vehicles in the United States; and
            (10) to increase domestic manufacturing capacity and 
        commercialization in a manner that will establish the United 
        States as a world leader in plug-in electric drive vehicle 
        technologies.
    (c) Phase 1 Deployment Community Selection Criteria.--
            (1) In general.--The Secretary shall ensure, to the maximum 
        extent practicable, that selected deployment communities in 
        phase 1 serve as models of deployment for various communities 
        across the United States.
            (2) Selection.--In selecting communities under this 
        section, the Secretary--
                    (A) shall ensure, to the maximum extent 
                practicable, that--
                            (i) the combination of selected communities 
                        is diverse in population density, demographics, 
                        urban and suburban composition, typical 
                        commuting patterns, climate, and type of 
                        utility (including investor-owned, publicly 
                        owned, cooperatively owned, distribution-only, 
                        and vertically integrated utilities);
                            (ii) the combination of selected 
                        communities is diverse in geographic 
                        distribution, and at least 1 deployment 
                        community is located in each Petroleum 
                        Administration for Defense District;
                            (iii) at least 1 community selected has a 
                        population of less than 125,000;
                            (iv) grants are of a sufficient amount such 
                        that each deployment community will achieve 
                        significant market penetration; and
                            (v) the deployment communities are 
                        representative of other communities across the 
                        United States;
                    (B) is encouraged to select a combination of 
                deployment communities that includes multiple models or 
                approaches for deploying plug-in electric drive 
                vehicles that the Secretary believes are reasonably 
                likely to be effective, including multiple approaches 
                to the deployment of charging infrastructure;
                    (C) in addition to the criteria described in 
                subparagraph (A), may give preference to applicants 
                proposing a greater non-Federal cost share; and
                    (D) when considering deployment community plans, 
                shall take into account previous Department of Energy 
                and other Federal investments to ensure that the 
                maximum domestic benefit from Federal investments is 
                realized.
            (3) Criteria.--
                    (A) In general.--Not later than 120 days after the 
                date of enactment of this Act, and not later than 90 
                days after the date on which any subsequent amounts are 
                appropriated for the Program, the Secretary shall 
                publish criteria for the selection of deployment 
                communities that include requirements that applications 
                be submitted by a State, tribal, or local government 
                entity (or groups of State, tribal, or local government 
                entities).
                    (B) Application requirements.--The criteria 
                published by the Secretary under subparagraph (A) shall 
                include application requirements that, at a minimum, 
                include--
                            (i) goals for--
                                    (I) the number of plug-in electric 
                                drive vehicles to be deployed in the 
                                community;
                                    (II) the expected percentage of 
                                light-duty vehicle sales that would be 
                                sales of plug-in electric drive 
                                vehicles; and
                                    (III) the adoption of plug-in 
                                electric drive vehicles (including 
                                medium- or heavy-duty vehicles) in 
                                private and public fleets during the 3-
                                year duration of the Program;
                            (ii) data that demonstrate that--
                                    (I) the public is likely to embrace 
                                plug-in electric drive vehicles, which 
                                may include--
                                            (aa) the quantity of plug-
                                        in electric drive vehicles 
                                        purchased;
                                            (bb) the number of 
                                        individuals on a waiting list 
                                        to purchase a plug-in electric 
                                        drive vehicle;
                                            (cc) projections of the 
                                        quantity of plug-in electric 
                                        drive vehicles supplied to 
                                        dealers; and
                                            (dd) any assessment of the 
                                        quantity of charging 
                                        infrastructure installed or for 
                                        which permits have been issued; 
                                        and
                                    (II) automobile manufacturers and 
                                dealers will be able to provide and 
                                service the targeted number of plug-in 
                                electric drive vehicles in the 
                                community for the duration of the 
                                program;
                            (iii) clearly defined geographic boundaries 
                        of the proposed deployment area;
                            (iv) a community deployment plan for the 
                        deployment of plug-in electric drive vehicles, 
                        charging infrastructure, and services in the 
                        deployment community;
                            (v) assurances that a majority of the 
                        vehicle deployments anticipated in the plan 
                        will be personal vehicles authorized to travel 
                        on the United States Federal-aid system of 
                        highways, and secondarily, private or public 
                        sector plug-in electric drive fleet vehicles, 
                        but may also include--
                                    (I) medium- and heavy-duty plug-in 
                                hybrid vehicles;
                                    (II) low speed plug-in electric 
                                drive vehicles that meet Federal Motor 
                                Vehicle Safety Standards described in 
                                section 571.500 of title 49, Code of 
                                Federal Regulations; and
                                    (III) any other plug-in electric 
                                drive vehicle authorized to travel on 
                                the United States Federal-aid system of 
                                highways; and
                            (vi) any other merit-based criteria, as 
                        determined by the Secretary.
            (4) Community deployment plans.--Plans for the deployment 
        of plug-in electric drive vehicles shall include--
                    (A) a proposed level of cost sharing in accordance 
                with subsection (d)(2)(C);
                    (B) documentation demonstrating a substantial 
                partnership with relevant stakeholders, including--
                            (i) a list of stakeholders that includes--
                                    (I) elected and appointed officials 
                                from each of the participating State, 
                                local, and tribal governments;
                                    (II) all relevant generators and 
                                distributors of electricity;
                                    (III) State utility regulatory 
                                authorities;
                                    (IV) departments of public works 
                                and transportation;
                                    (V) owners and operators of 
                                property that will be essential to the 
                                deployment of a sufficient level of 
                                publicly available charging 
                                infrastructure (including privately 
                                owned parking lots or structures and 
                                commercial entities with public access 
                                locations);
                                    (VI) plug-in electric drive vehicle 
                                manufacturers or retailers;
                                    (VII) third-party providers of 
                                residential, workplace, private, and 
                                publicly available charging 
                                infrastructure or services;
                                    (VIII) owners of any major fleet 
                                that will participate in the program;
                                    (IX) as appropriate, owners and 
                                operators of regional electric power 
                                distribution and transmission 
                                facilities; and
                                    (X) as appropriate, other existing 
                                community coalitions recognized by the 
                                Department of Energy;
                            (ii) evidence of the commitment of the 
                        stakeholders to participate in the partnership;
                            (iii) a clear description of the role and 
                        responsibilities of each stakeholder; and
                            (iv) a plan for continuing the engagement 
                        and participation of the stakeholders, as 
                        appropriate, throughout the implementation of 
                        the deployment plan;
                    (C) a description of the number of plug-in electric 
                drive vehicles anticipated to be plug-in electric drive 
                personal vehicles and the number of plug-in electric 
                drive vehicles anticipated to be privately owned fleet 
                or public fleet vehicles;
                    (D) a plan for deploying residential, workplace, 
                private, and publicly available charging 
                infrastructure, including--
                            (i) an assessment of the number of 
                        consumers who will have access to private 
                        residential charging infrastructure in single-
                        family or multifamily residences;
                            (ii) options for accommodating plug-in 
                        electric drive vehicle owners who are not able 
                        to charge vehicles at their place of residence;
                            (iii) an assessment of the number of 
                        consumers who will have access to workplace 
                        charging infrastructure;
                            (iv) a plan for ensuring that the charging 
                        infrastructure or plug-in electric drive 
                        vehicle be able to send and receive the 
                        information needed to interact with the grid 
                        and be compatible with smart grid technologies 
                        to the extent feasible;
                            (v) an estimate of the number and 
                        dispersion of publicly and privately owned 
                        charging stations that will be publicly or 
                        commercially available;
                            (vi) an estimate of the quantity of 
                        charging infrastructure that will be privately 
                        funded or located on private property; and
                            (vii) a description of equipment to be 
                        deployed, including assurances that, to the 
                        maximum extent practicable, equipment to be 
                        deployed will meet open, nonproprietary 
                        standards for connecting to plug-in electric 
                        drive vehicles that are either--
                                    (I) commonly accepted by industry 
                                at the time the equipment is being 
                                acquired; or
                                    (II) meet the standards developed 
                                by the Director of the National 
                                Institute of Standards and Technology 
                                under section 1305 of the Energy 
                                Independence and Security Act of 2007 
                                (42 U.S.C. 17385);
                    (E) a plan for effective marketing of and consumer 
                education relating to plug-in electric drive vehicles, 
                charging services, and infrastructure;
                    (F) descriptions of updated building codes (or a 
                plan to update building codes before or during the 
                grant period) to include charging infrastructure or 
                dedicated circuits for charging infrastructure, as 
                appropriate, in new construction and major renovations;
                    (G) descriptions of updated construction permitting 
                or inspection processes (or a plan to update 
                construction permitting or inspection processes) to 
                allow for expedited installation of charging 
                infrastructure for purchasers of plug-in electric drive 
                vehicles, including a permitting process that allows a 
                vehicle purchaser to have charging infrastructure 
                installed in a timely manner;
                    (H) descriptions of updated zoning, parking rules, 
                or other local ordinances as are necessary to 
                facilitate the installation of publicly available 
                charging infrastructure and to allow for access to 
                publicly available charging infrastructure, as 
                appropriate;
                    (I) a plan to ensure that each resident in a 
                deployment community who purchases and registers a new 
                plug-in electric drive vehicle throughout the duration 
                of the deployment community receives, in addition to 
                any Federal incentives, consumer benefits that may 
                include--
                            (i) a rebate of part of the purchase price 
                        of the vehicle;
                            (ii) reductions in sales taxes or 
                        registration fees;
                            (iii) rebates or reductions in the costs of 
                        permitting, purchasing, or installing home 
                        plug-in electric drive vehicle charging 
                        infrastructure; and
                            (iv) rebates or reductions in State or 
                        local toll road access charges;
                    (J) additional consumer benefits, such as preferred 
                parking spaces or single-rider access to high-occupancy 
                vehicle lanes for plug-in electric drive vehicles;
                    (K) a proposed plan for making necessary utility 
                and grid upgrades, including economically sound and 
                cybersecure information technology upgrades and 
                employee training, and a plan for recovering the cost 
                of the upgrades;
                    (L) a description of utility, grid operator, or 
                third-party charging service provider, policies and 
                plans for accommodating the deployment of plug-in 
                electric drive vehicles, including--
                            (i) rate structures or provisions and 
                        billing protocols for the charging of plug-in 
                        electric drive vehicles;
                            (ii) analysis of potential impacts to the 
                        grid;
                            (iii) plans for using information 
                        technology or third-party aggregators--
                                    (I) to minimize the effects of 
                                charging on peak loads;
                                    (II) to enhance reliability; and
                                    (III) to provide other grid 
                                benefits;
                            (iv) plans for working with smart grid 
                        technologies or third-party aggregators for the 
                        purposes of smart charging and for allowing 2-
                        way communication;
                    (M) a deployment timeline;
                    (N) a plan for monitoring and evaluating the 
                implementation of the plan, including metrics for 
                assessing the success of the deployment and an approach 
                to updating the plan, as appropriate; and
                    (O) a description of the manner in which any grant 
                funds applied for under subsection (d) will be used and 
                the proposed local cost share for the funds.
    (d) Phase 1 Applications and Grants.--
            (1) Applications.--
                    (A) In general.--Not later than 150 days after the 
                date of publication by the Secretary of selection 
                criteria described in subsection (c)(3), any State, 
                tribal, or local government, or group of State, tribal, 
                or local governments may apply to the Secretary to 
                become a deployment community.
                    (B) Joint sponsorship.--
                            (i) In general.--An application submitted 
                        under subparagraph (A) may be jointly sponsored 
                        by electric utilities, automobile 
                        manufacturers, technology providers, carsharing 
                        companies or organizations, third-party plug-in 
                        electric drive vehicle service providers, or 
                        other appropriated entities.
                            (ii) Disbursement of grants.--A grant 
                        provided under this subsection shall only be 
                        disbursed to a State, tribal, or local 
                        government, or group of State, tribal, or local 
                        governments, regardless of whether the 
                        application is jointly sponsored under clause 
                        (i).
            (2) Grants.--
                    (A) In general.--In each application, the applicant 
                may request up to $250,000,000 in financial assistance 
                from the Secretary to fund projects in the deployment 
                community.
                    (B) Use of funds.--Funds provided through a grant 
                under this paragraph may be used to help implement the 
                plan for the deployment of plug-in electric drive 
                vehicles included in the application, including--
                            (i) planning for and installing charging 
                        infrastructure, including offering additional 
                        incentives as described in subsection 
                        (c)(4)(I);
                            (ii) updating building codes, zoning or 
                        parking rules, or permitting or inspection 
                        processes as described in subparagraphs (F), 
                        (G), and (H) of subsection (c)(4);
                            (iii) reducing the cost and increasing the 
                        consumer adoption of plug-in electric drive 
                        vehicles through incentives as described in 
                        subsection (c)(4)(I);
                            (iv) workforce training, including training 
                        of permitting officials;
                            (v) public education and marketing 
                        described in the proposed marketing plan;
                            (vi) shifting State, tribal, or local 
                        government fleets to plug-in electric drive 
                        vehicles, at a rate in excess of the existing 
                        alternative fueled fleet vehicle acquisition 
                        requirements for Federal fleets under section 
                        303(b)(1)(D) of the Energy Policy Act of 1992 
                        (42 U.S.C. 13212(b)(1)(D)); and
                            (vii) necessary utility and grid upgrades 
                        as described in subsection (c)(4)(K).
                    (C) Cost-sharing.--
                            (i) In general.--A grant provided under 
                        this paragraph shall be subject to a minimum 
                        non-Federal cost-sharing requirement of 20 
                        percent.
                            (ii) Non-federal sources.--The Secretary 
                        shall--
                                    (I) determine the appropriate cost 
                                share for each selected applicant; and
                                    (II) require that not less than 20 
                                percent of the cost of an activity 
                                funded by a grant under this paragraph 
                                be provided by a non-Federal source.
                            (iii) Reduction.--The Secretary may reduce 
                        or eliminate the cost-sharing requirement 
                        described in clause (i), as the Secretary 
                        determines to be necessary.
                            (iv) Calculation of amount.--In calculating 
                        the amount of the non-Federal share under this 
                        section, the Secretary--
                                    (I) may include allowable costs in 
                                accordance with the applicable cost 
                                principles, including--
                                            (aa) cash;
                                            (bb) personnel costs;
                                            (cc) the value of a 
                                        service, other resource, or 
                                        third-party in-kind 
                                        contribution determined in 
                                        accordance with the applicable 
                                        circular of the Office of 
                                        Management and Budget;
                                            (dd) indirect costs or 
                                        facilities and administrative 
                                        costs; or
                                            (ee) any funds received 
                                        under the power program of the 
                                        Tennessee Valley Authority or 
                                        any Power Marketing 
                                        Administration (except to the 
                                        extent that such funds are made 
                                        available under an annual 
                                        appropriation Act);
                                    (II) shall include contributions 
                                made by State, tribal, or local 
                                government entities and private 
                                entities; and
                                    (III) shall not include--
                                            (aa) revenues or royalties 
                                        from the prospective operation 
                                        of an activity beyond the time 
                                        considered in the grant;
                                            (bb) proceeds from the 
                                        prospective sale of an asset of 
                                        an activity; or
                                            (cc) other appropriated 
                                        Federal funds.
                            (v) Repayment of federal share.--The 
                        Secretary shall not require repayment of the 
                        Federal share of a cost-shared activity under 
                        this section as a condition of providing a 
                        grant.
                            (vi) Title to property.--The Secretary may 
                        vest title or other property interests acquired 
                        under projects funded under this subtitle in 
                        any entity, including the United States.
            (3) Selection.--Not later than 120 days after an 
        application deadline has been established under paragraph (1), 
        the Secretary shall announce the names of the deployment 
        communities selected under this subsection.
    (e) Reporting Requirements.--
            (1) In general.--The Secretary, in consultation with the 
        Committee, shall--
                    (A) determine what data will be required to be 
                collected by participants in deployment communities and 
                submitted to the Department to allow for analysis of 
                the deployment communities;
                    (B) provide for the protection of consumer privacy, 
                as appropriate; and
                    (C) develop metrics to evaluate the performance of 
                the deployment communities.
            (2) Provision of data.--As a condition of participation in 
        the Program, a deployment community shall provide any data 
        identified by the Secretary under paragraph (1).
            (3) Reports.--Not later than 3 years after the date of 
        enactment of this Act and again after the completion of the 
        Program, the Secretary shall submit to Congress a report that 
        contains--
                    (A) a description of the status of--
                            (i) the deployment communities and the 
                        implementation of the deployment plan of each 
                        deployment community;
                            (ii) the rate of vehicle deployment and 
                        market penetration of plug-in electric drive 
                        vehicles; and
                            (iii) the deployment of residential and 
                        publicly available infrastructure;
                    (B) a description of the challenges experienced and 
                lessons learned from the program to date, including the 
                activities described in subparagraph (A); and
                    (C) an analysis of the data collected under this 
                subsection.
    (f) Proprietary Information.--The Secretary shall, as appropriate, 
provide for the protection of proprietary information and intellectual 
property rights.
    (g) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $2,000,002,000.
    (h) Conforming Amendment.--Section 166(b)(5) of title 23, United 
States Code, is amended--
            (1) in subparagraph (A), by striking ``Before September 30, 
        2009, the State'' and inserting ``The State''; and
            (2) in subparagraph (B), by striking ``Before September 30, 
        2009, the State'' and inserting ``The State''.

                   PART II--RESEARCH AND DEVELOPMENT

SEC. 131. RESEARCH AND DEVELOPMENT PROGRAM.

    (a) Research and Development Program.--
            (1) In general.--The Secretary, in consultation with the 
        Committee, shall establish a program to fund research and 
        development in advanced batteries, plug-in electric drive 
        vehicle components, plug-in electric drive infrastructure, and 
        other technologies supporting the development, manufacture, and 
        deployment of plug-in electric drive vehicles and charging 
        infrastructure.
            (2) Use of funds.--The program may include funding for--
                    (A) the development of low-cost, smart-charging and 
                vehicle-to-grid connectivity technology;
                    (B) the benchmarking and assessment of open 
                software systems using nationally established 
                evaluation criteria; and
                    (C) new technologies in electricity storage or 
                electric drive components for vehicles.
            (3) Report.--Not later than 4 years after the date of 
        enactment of this Act, the Secretary shall submit to Congress a 
        report describing the status of the program described in 
        paragraph (1).
    (b) Secondary Use Applications Program.--
            (1) In general.--The Secretary, in consultation with the 
        Committee, shall carry out a research, development, and 
        demonstration program that builds upon any work carried out 
        under section 915 of the Energy Policy Act of 2005 (42 U.S.C. 
        16195) and--
                    (A) identifies possible uses of a vehicle battery 
                after the useful life of the battery in a vehicle has 
                been exhausted;
                    (B) assesses the potential for markets for uses 
                described in subparagraph (A) to develop, as well as 
                any barriers to the development of the markets;
                    (C) identifies the infrastructure, technology, and 
                equipment needed to manage the charging activity of the 
                batteries used in stationary sources; and
                    (D) identifies the potential uses of a vehicle 
                battery--
                            (i) with the most promise for market 
                        development; and
                            (ii) for which market development would be 
                        aided by a demonstration project.
            (2) Report.--Not later than 2 years after the date of 
        enactment of this Act, the Secretary shall submit to the 
        appropriate committees of Congress an initial report on the 
        findings of the program described in paragraph (1), including 
        recommendations for stationary energy storage and other 
        potential applications for batteries used in plug-in electric 
        drive vehicles.
    (c) Secondary Use Demonstration Projects.--
            (1) In general.--Based on the results of the program 
        described in subsection (b), the Secretary, in consultation 
        with the Committee, shall develop guidelines for projects that 
        demonstrate the secondary uses of vehicle batteries.
            (2) Publication of guidelines.--Not later than 30 months 
        after the date of enactment of this Act, the Secretary shall--
                    (A) publish the guidelines described in paragraph 
                (1); and
                    (B) solicit applications for funding for 
                demonstration projects.
            (3) Grant program.--Not later than 38 months after the date 
        of enactment of this Act, the Secretary shall select proposals 
        for grant funding under this section, based on an assessment of 
        which proposals are mostly likely to contribute to the 
        development of a secondary market for batteries.
    (d) Materials Recycling Study.--
            (1) In general.--The Secretary, in consultation with the 
        Committee, shall carry out a study on the recycling of 
        materials from plug-in electric drive vehicles and the 
        batteries used in plug-in electric drive vehicles.
            (2) Report.--Not later than 2 years after the date of 
        enactment of this Act, the Secretary shall submit to the 
        appropriate committees of Congress a report on the findings of 
        the study described in paragraph (1).
    (e) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $1,535,000,000, including--
            (1) $1,500,000,000 for use in conducting the program 
        described in subsection (a) for fiscal years 2011 through 2020;
            (2) $5,000,000 for use in conducting the program described 
        in subsection (b) for fiscal years 2011 through 2016;
            (3) $25,000,000 for use in providing grants described in 
        subsection (c) for fiscal years 2011 through 2020; and
            (4) $5,000,000 for use in conducting the study described in 
        subsection (d) for fiscal years 2011 through 2013.

SEC. 132. ADVANCED BATTERIES FOR TOMORROW PRIZE.

    (a) In General.--Not later than 1 year after the date of enactment 
of this Act, as part of the program described in section 1008 of the 
Energy Policy Act of 2005 (42 U.S.C. 16396), the Secretary shall 
establish the Advanced Batteries for Tomorrow Prize to competitively 
award cash prizes in accordance with this section to advance the 
research, development, demonstration, and commercial application of a 
500-mile vehicle battery.
    (b) Battery Specifications.--
            (1) In general.--To be eligible for the Prize, a battery 
        submitted by an entrant shall be--
                    (A) able to power a plug-in electric drive vehicle 
                authorized to travel on the United States Federal-aid 
                system of highways for at least 500 miles before 
                recharging;
                    (B) of a size that would not be cost-prohibitive or 
                create space constraints, if mass-produced; and
                    (C) cost-effective (measured in cost per kilowatt 
                hour), if mass-produced.
            (2) Additional requirements.--The Secretary, in 
        consultation with the Committee, shall establish any additional 
        battery specifications that the Secretary and the Committee 
        determine to be necessary.
    (c) Private Funds.--
            (1) In general.--Subject to paragraph (2) and 
        notwithstanding section 3302 of title 31, United States Code, 
        the Secretary may accept, retain, and use funds contributed by 
        any person, government entity, or organization for purposes of 
        carrying out this subsection--
                    (A) without further appropriation; and
                    (B) without fiscal year limitation.
            (2) Restriction on participation.--An entity providing 
        private funds for the Prize may not participate in the 
        competition for the Prize.
    (d) Technical Review.--The Secretary, in consultation with the 
Committee, shall establish a technical review committee composed of 
non-Federal officers to review data submitted by Prize entrants under 
this section and determine whether the data meets the prize 
specifications described in subsection (b).
    (e) Third-Party Administration.--The Secretary may select, on a 
competitive basis, a third party to administer awards provided under 
this section.
    (f) Eligibility.--To be eligible for an award under this section--
            (1) in the case of a private entity, the entity shall be 
        incorporated in and maintain a primary place of business in the 
        United States; and
            (2) in the case of an individual (whether participating as 
        a single individual or in a group), the individual shall be a 
        citizen or lawful permanent resident of the United States.
    (g) Award Amounts.--
            (1) In general.--Subject to the availability of funds to 
        carry out this section, the amount of the Prize shall be 
        $10,000,000.
            (2) Breakthrough achievement awards.--In addition to the 
        award described in paragraph (1), the Secretary, in 
        consultation with the technical review committee established 
        under subsection (d), may award cash prizes, in amounts 
        determined by the Secretary, in recognition of breakthrough 
        achievements in research, development, demonstration, and 
        commercial application of--
                    (A) activities described in subsection (b); or
                    (B) advances in battery durability, energy density, 
                and power density.
    (h) 500-Mile Battery Award Fund.--
            (1) Establishment.--There is established in the Treasury of 
        the United States a fund to be known as the ``500-mile Battery 
        Fund'' (referred to in this section as the ``Fund''), to be 
        administered by the Secretary, to be available without fiscal 
        year limitation and subject to appropriation, to award amounts 
        under this section.
            (2) Transfers to fund.--The Fund shall consist of--
                    (A) such amounts as are appropriated to the Fund 
                under subsection (i); and
                    (B) such amounts as are described in subsection (c) 
                and that are provided for the Fund.
            (3) Prohibition.--Amounts in the Fund may not be made 
        available for any purpose other than a purposes described in 
        subsection (a).
            (4) Annual reports.--
                    (A) In general.--Not later than 60 days after the 
                end of each fiscal year beginning with fiscal year 
                2012, the Secretary shall submit a report on the 
                operation of the Fund during the fiscal year to--
                            (i) the Committees on Appropriations of the 
                        House of Representatives and of the Senate;
                            (ii) the Committee on Energy and Natural 
                        Resources of the Senate; and
                            (iii) the Committee on Energy and Commerce 
                        of the House of Representatives.
                    (B) Contents.--Each report shall include, for the 
                fiscal year covered by the report, the following:
                            (i) A statement of the amounts deposited 
                        into the Fund.
                            (ii) A description of the expenditures made 
                        from the Fund for the fiscal year, including 
                        the purpose of the expenditures.
                            (iii) Recommendations for additional 
                        authorities to fulfill the purpose of the Fund.
                            (iv) A statement of the balance remaining 
                        in the Fund at the end of the fiscal year.
            (5) Separate appropriations account.--Section 1105(a) of 
        title 31, United States Code, is amended--
                    (A) by redesignating the second paragraph (37) 
                (relating to lists of plans and reports) as paragraph 
                (39); and
                    (B) by adding at the end the following:
            ``(40) a separate statement for the 500-mile Battery Fund 
        established under section 132(h) of the Fulfilling U.S. Energy 
        Leadership Act of 2011, which shall include the estimated 
        amount of deposits into the Fund, obligations, and outlays from 
        the Fund.''.
    (i) Authorization of Appropriations.--There is authorized to be 
appropriated--
            (1) $10,000,000 to carry out subsection (g)(1); and
            (2) $1,000,000 to carry out subsection (g)(2).

SEC. 133. STUDY ON THE SUPPLY OF RAW MATERIALS.

    (a) In General.--The Secretary of the Interior, in consultation 
with the Secretary and the Task Force, shall conduct a study that--
            (1) identifies the raw materials needed for the manufacture 
        of plug-in electric drive vehicles, batteries, and other 
        components for plug-in electric drive vehicles, and for the 
        infrastructure needed to support plug-in electric drive 
        vehicles;
            (2) describes the primary or original sources and known 
        reserves and resources of those raw materials;
            (3) assesses, in consultation with the National Academy of 
        Sciences, the degree of risk to the manufacture, maintenance, 
        deployment, and use of plug-in electric drive vehicles 
        associated with the supply of those raw materials; and
            (4) identifies pathways to securing reliable and resilient 
        supplies of those raw materials.
    (b) Report.--Not later than 3 years after the date of enactment of 
this Act, the Secretary of the Interior shall submit to Congress a 
report that describes the results of the study.
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $1,500,000.

SEC. 134. STUDY ON THE COLLECTION AND PRESERVATION OF DATA COLLECTED 
              FROM PLUG-IN ELECTRIC DRIVE VEHICLES.

    (a) In General.--Not later than 180 days after the date of 
enactment of this Act, the Secretary, in consultation with the 
Committee, shall enter into an agreement with the National Academy of 
Sciences under which the Academy shall conduct a study that--
            (1) identifies--
                    (A) the data that may be collected from plug-in 
                electric drive vehicles, including data on the 
                location, charging patterns, and usage of plug-in 
                electric drive vehicles;
                    (B) the scientific, economic, commercial, security, 
                and historic potential of the data described in 
                subparagraph (A); and
                    (C) any laws or regulations that relate to the data 
                described in subparagraph (A); and
            (2) analyzes and provides recommendations on matters that 
        include procedures, technologies, and rules relating to the 
        collection, storage, and preservation of the data described in 
        paragraph (1)(A).
    (b) Report.--Not later than 15 months after the date of an 
agreement between the Secretary and the Academy under subsection (a), 
the National Academy of Sciences shall submit to the appropriate 
committees of Congress a report that describes the results of the study 
under subsection (a).
    (c) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $1,000,000.

                        PART III--MISCELLANEOUS

SEC. 141. UTILITY PLANNING FOR PLUG-IN ELECTRIC DRIVE VEHICLES.

    (a) In General.--The Public Utility Regulatory Policies Act of 1978 
(16 U.S.C. 2601 et seq.) is amended--
            (1) in section 111(d) (16 U.S.C. 2621(d)), by adding at the 
        end the following:
            ``(20) Plug-in electric drive vehicle planning.--
                    ``(A) Utility plan for plug-in electric drive 
                vehicles.--
                            ``(i) In general.--Not later than 2 years 
                        after the date of enactment of this paragraph, 
                        each electric utility shall develop a plan to 
                        support the use of plug-in electric drive 
                        vehicles, including medium- and heavy-duty 
                        hybrid electric vehicles in the service area of 
                        the electric utility.
                            ``(ii) Requirements.--A plan under clause 
                        (i) shall investigate--
                                    ``(I) various levels of potential 
                                penetration of plug-in electric drive 
                                vehicles in the utility service area;
                                    ``(II) the potential impacts that 
                                the various levels of penetration and 
                                charging scenarios (including charging 
                                rates and daily hours of charging) 
                                would have on generation, distribution 
                                infrastructure, and the operation of 
                                the transmission grid; and
                                    ``(III) the role of third parties 
                                in providing reliable and economical 
                                charging services.
                            ``(iii) Waiver.--
                                    ``(I) In general.--An electric 
                                utility that determines that the 
                                electric utility will not be impacted 
                                by plug-in electric drive vehicles 
                                during the 5-year period beginning on 
                                the date of enactment of this paragraph 
                                may petition the Secretary to waive 
                                clause (i) for 5 years.
                                    ``(II) Approval.--Approval of a 
                                waiver under subclause (I) shall be in 
                                the sole discretion of the Secretary.
                            ``(iv) Updates.--
                                    ``(I) In general.--Each electric 
                                utility shall update the plan of the 
                                electric utility every 5 years.
                                    ``(II) Resubmission of waiver.--An 
                                electric utility that received a waiver 
                                under clause (iii) and wants the waiver 
                                to continue after the expiration of the 
                                waiver shall be required to resubmit 
                                the waiver.
                            ``(v) Exemption.--If the Secretary 
                        determines that a plan required by a State 
                        regulatory authority meets the requirements of 
                        this paragraph, the Secretary may accept that 
                        plan and exempt the electric utility submitting 
                        the plan from the requirements of clause (i).
                    ``(B) Support requirements.--Each State regulatory 
                authority (in the case of each electric utility for 
                which the authority has ratemaking authority) and each 
                municipal and cooperative utility shall--
                            ``(i) participate in any local plan for the 
                        deployment of recharging infrastructure in 
                        communities located in the footprint of the 
                        authority or utility;
                            ``(ii) require that charging infrastructure 
                        deployed is interoperable with products of all 
                        auto manufacturers to the maximum extent 
                        practicable; and
                            ``(iii) consider adopting minimum 
                        requirements for deployment of electrical 
                        charging infrastructure and other appropriate 
                        requirements necessary to support the use of 
                        plug-in electric drive vehicles.
                    ``(C) Cost recovery.--Each State regulatory 
                authority (in the case of each electric utility for 
                which the authority has ratemaking authority) and each 
                municipal and cooperative utility may consider whether, 
                and to what extent, to allow cost recovery for plans 
                and implementation of plans.
                    ``(D) Determination.--Not later than 3 years after 
                the date of enactment of this paragraph, each State 
                regulatory authority (with respect to each electric 
                utility for which the authority has ratemaking 
                authority), and each municipal and cooperative electric 
                utility, shall complete the consideration, and shall 
                make the determination, referred to in subsection (a) 
                with respect to the standard established by this 
                paragraph.'';
            (2) in section 112(c) (16 U.S.C. 2622(c))--
                    (A) in the first sentence, by striking ``Each 
                State'' and inserting the following:
            ``(1) In general.--Each State'';
                    (B) in the second sentence, by striking ``In the 
                case'' and inserting the following:
            ``(2) Specific standards.--
                    ``(A) Net metering and fossil fuel generation 
                efficiency.--In the case'';
                    (C) in the third sentence, by striking ``In the 
                case'' and inserting the following:
                    ``(B) Time-based metering and communications.--In 
                the case'';
                    (D) in the fourth sentence--
                            (i) by striking ``In the case'' and 
                        inserting the following:
                    ``(C) Interconnection.--In the case''; and
                            (ii) by striking ``paragraph (15)'' and 
                        inserting ``paragraph (15) of section 111(d)'';
                    (E) in the fifth sentence, by striking ``In the 
                case'' and inserting the following:
                    ``(D) Integrated resource planning, rate design 
                modifications, smart grid investments, smart grid 
                information.--In the case''; and
                    (F) by adding at the end the following:
                    ``(E) Plug-in electric drive vehicle planning.--In 
                the case of the standards established by paragraph (20) 
                of section 111(d), the reference contained in this 
                subsection to the date of enactment of this Act shall 
                be deemed to be a reference to the date of enactment of 
                that paragraph.''; and
            (3) in section 112(d) (16 U.S.C. 2622(d)), in the matter 
        preceding paragraph (1), by striking ``(19)'' and inserting 
        ``(20)''.
    (b) Report.--
            (1) In general.--The Secretary, in consultation with the 
        Technical Advisory Committee, shall convene a group of utility 
        stakeholders, charging infrastructure providers, third party 
        aggregators, and others, as appropriate, to discuss and 
        determine the potential models for the technically and 
        logistically challenging issues involved in using electricity 
        as a fuel for vehicles, including--
                    (A) accommodation for billing for charging a plug-
                in electric drive vehicle, both at home and at publicly 
                available charging infrastructure;
                    (B) plans for anticipating vehicle to grid 
                applications that will allow batteries in cars as well 
                as banks of batteries to be used for grid storage, 
                ancillary services provision, and backup power;
                    (C) integration of plug-in electric drive vehicles 
                with smart grid, including protocols and standards, 
                necessary equipment, and information technology 
                systems; and
                    (D) any other barriers to installing sufficient and 
                appropriate charging infrastructure.
            (2) Report.--Not later than 2 years after the date of 
        enactment of this Act and biennially thereafter, the Secretary 
        shall submit to the appropriate committees of Congress a report 
        that includes--
                    (A) the issues and model solutions described in 
                paragraph (1); and
                    (B) any other issues that the Task Force and 
                Secretary determine to be appropriate.

SEC. 142. LOAN GUARANTEES.

    (a) Loan Guarantees for Advanced Battery Purchases for Use in 
Stationary Applications.--Subtitle B of title I of the Energy 
Independence and Security Act of 2007 (42 U.S.C. 17011 et seq.) is 
amended by adding at the end the following:

``SEC. 137. LOAN GUARANTEES FOR ADVANCED BATTERY PURCHASES.

    ``(a) Definitions.--In this section:
            ``(1) Qualified automotive battery.--The term `qualified 
        automotive battery' means a battery that--
                    ``(A) has at least 4 kilowatt hours of battery 
                capacity; and
                    ``(B) is designed for use in qualified plug-in 
                electric drive motor vehicles but is purchased for 
                nonautomotive applications.
            ``(2) Eligible entity.--The term `eligible entity' means--
                    ``(A) an original equipment manufacturer;
                    ``(B) an electric utility;
                    ``(C) any provider of range extension 
                infrastructure; or
                    ``(D) any other qualified entity, as determined by 
                the Secretary.
    ``(b) Loan Guarantees.--
            ``(1) In general.--The Secretary shall guarantee loans made 
        to eligible entities for the aggregate purchase of not less 
        than 200 qualified automotive batteries in a calendar year that 
        have a total minimum power rating of 1 megawatt and use 
        advanced battery technology.
            ``(2) Restriction.--As a condition of receiving a loan 
        guarantee under this section, an entity purchasing qualified 
        automotive batteries with loan funds guaranteed under this 
        section shall comply with the provisions of the Buy American 
        Act (41 U.S.C. 10a et seq.).
    ``(c) Regulations.--The Secretary shall promulgate such regulations 
as are necessary to carry out this section.
    ``(d) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $50,000,000.''.
    (b) Loan Guarantees for Charging Infrastructure.--Section 1705(a) 
of the Energy Policy Act of 2005 (42 U.S.C. 16516(a)) is amended by 
adding at the end the following:
            ``(4) Charging infrastructure and networks of charging 
        infrastructure for plug-in drive electric vehicles, if the 
        charging infrastructure will be operational prior to December 
        31, 2016.''.

SEC. 143. PROHIBITION ON DISPOSING OF ADVANCED BATTERIES IN LANDFILLS.

    (a) Definition of Advanced Battery.--
            (1) In general.--In this section, the term ``advanced 
        battery'' means a battery that is a secondary (rechargeable) 
        electrochemical energy storage device that has enhanced energy 
        capacity.
            (2) Exclusions.--The term ``advanced battery'' does not 
        include--
                    (A) a primary (nonrechargeable) battery; or
                    (B) a lead-acid battery that is used to start or 
                serve as the principal electrical power source for a 
                plug-in electric drive vehicle.
    (b) Requirement.--An advanced battery from a plug-in electric drive 
vehicle shall be disposed of in accordance with the Solid Waste 
Disposal Act (42 U.S.C. 6901 et seq.) (commonly known as the ``Resource 
Conservation and Recovery Act of 1976'').

SEC. 144. PLUG-IN ELECTRIC DRIVE VEHICLE TECHNICAL ADVISORY COMMITTEE.

    (a) In General.--There is established the Plug-in Electric Drive 
Vehicle Technical Advisory Committee to advise the Secretary on the 
programs and activities under this subtitle.
    (b) Mission.--The mission of the Committee shall be to advise the 
Secretary on technical matters, including--
            (1) the priorities for research and development;
            (2) means of accelerating the deployment of safe, 
        economical, and efficient plug-in electric drive vehicles for 
        mass market adoption;
            (3) the development and deployment of charging 
        infrastructure;
            (4) the development of uniform codes, standards, and safety 
        protocols for plug-in electric drive vehicles and charging 
        infrastructure; and
            (5) reporting on the competitiveness of the United States 
        in plug-in electric drive vehicle and infrastructure research, 
        manufacturing, and deployment.
    (c) Membership.--
            (1) Members.--
                    (A) In general.--The Committee shall consist of not 
                less than 12, but not more than 25, members.
                    (B) Representation.--The Secretary shall appoint 
                the members to Committee from among representatives 
                of--
                            (i) domestic industry;
                            (ii) institutions of higher education;
                            (iii) professional societies;
                            (iv) Federal, State, and local governmental 
                        agencies (including the National Laboratories); 
                        and
                            (v) financial, transportation, labor, 
                        environmental, electric utility, or other 
                        appropriate organizations or individuals with 
                        direct experience in deploying and marketing 
                        plug-in electric drive vehicles, as the 
                        Secretary determines to be necessary.
            (2) Terms.--
                    (A) In general.--The term of a Committee member 
                shall not be longer than 3 years.
                    (B) Staggered terms.--The Secretary may appoint 
                members to the Committee for differing term lengths to 
                ensure continuity in the functioning of the Committee.
                    (C) Reappointments.--A member of the Committee 
                whose term is expiring may be reappointed.
            (3) Chairperson.--The Committee shall have a chairperson, 
        who shall be elected by and from the members.
    (d) Review.--The Committee shall review and make recommendations to 
the Secretary on the implementation of programs and activities under 
this subtitle.
    (e) Response.--
            (1) In general.--The Secretary shall consider and may adopt 
        any recommendation of the Committee under subsection (c).
            (2) Biennial report.--
                    (A) In general.--Not later than 2 years after the 
                date of enactment of this Act and every 2 years 
                thereafter, the Secretary shall submit to the 
                appropriate committees of Congress a report describing 
                any new recommendations of the Committee.
                    (B) Contents.--The report shall include--
                            (i) a description of the manner in which 
                        the Secretary has implemented or plans to 
                        implement the recommendations of the Committee; 
                        or
                            (ii) an explanation of the reason that a 
                        recommendation of the Committee has not been 
                        implemented.
                    (C) Timing.--The report described in this paragraph 
                shall be submitted by the Secretary at the same time 
                the President submits the budget proposal for the 
                Department of Energy to Congress.
    (f) Coordination.--The Committee shall--
            (1) hold joint annual meetings with the Hydrogen and Fuel 
        Cell Technical Advisory Committee established by section 807 of 
        the Energy Policy Act of 2005 (42 U.S.C. 16156) to help 
        coordinate the work and recommendations of the Committees; and
            (2) coordinate efforts, to the maximum extent practicable, 
        with all existing independent, departmental, and other advisory 
        Committees, as determined to be appropriate by the Secretary.
    (g) Support.--The Secretary shall provide to the Committee the 
resources necessary to carry out this section, as determined to be 
necessary by the Secretary.

SEC. 145. PLUG-IN ELECTRIC DRIVE VEHICLE INTERAGENCY TASK FORCE.

    (a) In General.--Not later than 120 days after the date of 
enactment of this Act, the President shall establish the Plug-in 
Electric Drive Vehicle Interagency Task Force, to be chaired by the 
Secretary and which shall consist of at least 1 representative from 
each of--
            (1) the Office of Science and Technology Policy;
            (2) the Council on Environmental Quality;
            (3) the Department of Energy;
            (4) the Department of Transportation;
            (5) the Department of Defense;
            (6) the Department of Commerce (including the National 
        Institute of Standards and Technology);
            (7) the Environmental Protection Agency;
            (8) the General Services Administration; and
            (9) any other Federal agencies that the President 
        determines to be appropriate.
    (b) Mission.--The mission of the Task Force shall be to ensure 
awareness, coordination, and integration of the activities of the 
Federal Government relating to plug-in electric drive vehicles, 
including--
            (1) plug-in electric drive vehicle research and development 
        (including necessary components);
            (2) the development of widely accepted smart-grid standards 
        and protocols for charging infrastructure;
            (3) the relationship of plug-in electric drive vehicle 
        charging practices to electric utility regulation;
            (4) the relationship of plug-in electric drive vehicle 
        deployment to system reliability and security;
            (5) the general deployment of plug-in electric drive 
        vehicles in the Federal, State, and local governments and for 
        private use;
            (6) the development of uniform codes, standards, and safety 
        protocols for plug-in electric drive vehicles and charging 
        infrastructure; and
            (7) the alignment of international plug-in electric drive 
        vehicle standards.
    (c) Activities.--
            (1) In general.--In carrying out this section, the Task 
        Force may--
                    (A) organize workshops and conferences;
                    (B) issue publications; and
                    (C) create databases.
            (2) Mandatory activities.--In carrying out this section, 
        the Task Force shall--
                    (A) foster the exchange of generic, nonproprietary 
                information and technology among industry, academia, 
                and the Federal Government;
                    (B) integrate and disseminate technical and other 
                information made available as a result of the programs 
                and activities under this subtitle;
                    (C) support education about plug-in electric drive 
                vehicles;
                    (D) monitor, analyze, and report on the effects of 
                plug-in electric drive vehicle deployment on the 
                environment and public health, including air emissions 
                from vehicles and electricity generating units; and
                    (E) review and report on--
                            (i) opportunities to use Federal programs 
                        (including laws, regulations, and guidelines) 
                        to promote the deployment of plug-in electric 
                        drive vehicles; and
                            (ii) any barriers to the deployment of 
                        plug-in electric drive vehicles, including 
                        barriers that are attributable to Federal 
                        programs (including laws, regulations, and 
                        guidelines).
    (d) Agency Cooperation.--A Federal agency--
            (1) shall cooperate with the Task Force; and
            (2) provide, on request of the Task Force, appropriate 
        assistance in carrying out this section, in accordance with 
        applicable Federal laws (including regulations).

                       Subtitle C--Tax Provisions

SEC. 151. CONSUMER TAX CREDITS FOR ADVANCED VEHICLES.

    (a) Plug-In Electric Drive Motor Vehicle Credit.--Section 30D of 
the Internal Revenue Code of 1986 is amended to read as follows:

``SEC. 30D. NEW QUALIFIED PLUG-IN ELECTRIC DRIVE MOTOR VEHICLES.

    ``(a) Allowance of Credit.--
            ``(1) In general.--There shall be allowed as a credit 
        against the tax imposed by this chapter for the taxable year an 
        amount equal to the applicable amount with respect to each new 
        qualified plug-in electric drive motor vehicle placed in 
        service by the taxpayer during the taxable year.
            ``(2) Applicable amount.--For purposes of paragraph (1), 
        the applicable amount is sum of--
                    ``(A) $2,500, plus
                    ``(B) $400 for each kilowatt hour of traction 
                battery capacity in excess of 6 kilowatt hours.
    ``(b) Limitations.--
            ``(1) Limitation based on weight.--The amount of the credit 
        allowed under subsection (a) by reason of subsection (a)(2) 
        shall not exceed--
                    ``(A) $7,500, in the case of any new qualified 
                plug-in electric drive motor vehicle with a gross 
                vehicle weight rating of not more than 10,000 pounds,
                    ``(B) $10,000, in the case of any new qualified 
                plug-in electric drive motor vehicle with a gross 
                vehicle weight rating of more than 10,000 pounds but 
                not more than 14,000 pounds,
                    ``(C) $12,500, in the case of any new qualified 
                plug-in electric drive motor vehicle with a gross 
                vehicle weight rating of more than 14,000 pounds but 
                not more than 26,000 pounds, and
                    ``(D) $15,000, in the case of any new qualified 
                plug-in electric drive motor vehicle with a gross 
                vehicle weight rating of more than 26,000 pounds.
            ``(2) Limitation on number of passenger vehicles and light 
        trucks eligible for credit.--
                    ``(A) In general.--In the case of a new qualified 
                plug-in electric drive motor vehicle sold during the 
                phaseout period, only the applicable percentage of the 
                credit otherwise allowable under subsection (a) shall 
                be allowed.
                    ``(B) Phaseout period.--For purposes of this 
                subsection, the phaseout period is the period beginning 
                with the second calendar quarter following the calendar 
                quarter which includes the first date on which the 
                total number of such new qualified plug-in electric 
                drive motor vehicles sold for use in the United States 
                after December 31, 2009, is at least 200,000.
                    ``(C) Applicable percentage.--For purposes of 
                subparagraph (A), the applicable percentage is--
                            ``(i) 50 percent for the first 2 calendar 
                        quarters of the phaseout period,
                            ``(ii) 25 percent for the 3d and 4th 
                        calendar quarters of the phaseout period, and
                            ``(iii) 0 percent for each calendar quarter 
                        thereafter.
                    ``(D) Controlled groups.--Rules similar to the 
                rules of section 30B(f)(4) shall apply for purposes of 
                this subsection.
    ``(c) New Qualified Plug-In Electric Drive Motor Vehicle.--For 
purposes of this section, the term `new qualified plug-in electric 
drive motor vehicle' means a motor vehicle--
            ``(1) which draws propulsion primarily using a traction 
        battery with at least 6 kilowatt hours of capacity,
            ``(2) which uses an offboard source of energy to recharge 
        such battery,
            ``(3) which, in the case of a passenger vehicle or light 
        truck which has a gross vehicle weight rating of not more than 
        8,500 pounds, has received a certificate of conformity under 
        the Clean Air Act and meets or exceeds the equivalent 
        qualifying California low emission vehicle standard under 
        section 243(e)(2) of the Clean Air Act for that make and model 
        year, and
                    ``(A) in the case of a vehicle having a gross 
                vehicle weight rating of 6,000 pounds or less, the Bin 
                5 Tier II emission standard established in regulations 
                prescribed by the Administrator of the Environmental 
                Protection Agency under section 202(i) of the Clean Air 
                Act for that make and model year vehicle, and
                    ``(B) in the case of a vehicle having a gross 
                vehicle weight rating of more than 6,000 pounds but not 
                more than 8,500 pounds, the Bin 8 Tier II emission 
                standard which is so established,
            ``(4) the original use of which commences with the 
        taxpayer,
            ``(5) which is acquired for use or lease by the taxpayer 
        and not for resale, and
            ``(6) which is made by a manufacturer.
    ``(d) Application With Other Credits.--
            ``(1) Business credit treated as part of general business 
        credit.--So much of the credit which would be allowed under 
        subsection (a) for any taxable year (determined without regard 
        to this subsection) that is attributable to property of a 
        character subject to an allowance for depreciation shall be 
        treated as a credit listed in section 38(b) for such taxable 
        year (and not allowed under subsection (a)).
            ``(2) Refundable personal credit.--
                    ``(A) In general.--For purposes of this title, the 
                credit allowed under subsection (a) for any taxable 
                year (determined after application of paragraph (1)) 
                shall be treated as a credit allowable under subpart C 
                for such taxable year (and not allowed under subsection 
                (a)).
                    ``(B) Refundable credit may be transferred.--
                            ``(i) In general.--A taxpayer may, in 
                        connection with the purchase of a new qualified 
                        fuel-efficient motor vehicle, transfer any 
                        refundable credit described in subparagraph (A) 
                        to any person who is in the trade or business 
                        of selling new qualified fuel-efficient motor 
                        vehicles and who sold such vehicle to the 
                        taxpayer, but only if such person clearly 
                        discloses to such taxpayer, through the use of 
                        a window sticker attached to the new qualified 
                        fuel-efficient vehicle--
                                    ``(I) the amount of the refundable 
                                credit described in subparagraph (A) 
                                with respect to such vehicle, and
                                    ``(II) a notification that the 
                                taxpayer will not be eligible for any 
                                credit under section 30 or 30B with 
                                respect to such vehicle unless the 
                                taxpayer elects not to have this 
                                section apply with respect to such 
                                vehicle.
                            ``(ii) Certification.--A transferee of a 
                        refundable credit described in subparagraph (A) 
                        may not claim such credit unless such claim is 
                        accompanied by a certification to the Secretary 
                        that the transferee reduced the price the 
                        taxpayer paid for the new qualified fuel-
                        efficient motor vehicle by the entire amount of 
                        such refundable credit.
                            ``(iii) Consent required for revocation.--
                        Any transfer under clause (i) may be revoked 
                        only with the consent of the Secretary.
                            ``(iv) Regulations.--The Secretary may 
                        prescribe such regulations as necessary to 
                        ensure that any refundable credit described in 
                        clause (i) is claimed once and not 
                        retransferred by a transferee.
    ``(e) Other Definitions and Special Rules.--For purposes of this 
section--
            ``(1) Motor vehicle.--The term `motor vehicle' has the 
        meaning given such term by section 30(c)(2).
            ``(2) Other terms.--The terms `passenger automobile', 
        `light truck', and `manufacturer' have the meanings given such 
        terms in regulations prescribed by the Administrator of the 
        Environmental Protection Agency for purposes of the 
        administration of title II of the Clean Air Act (42 U.S.C. 7521 
        et seq.).
            ``(3) Traction battery capacity.--Traction battery capacity 
        shall be measured in kilowatt hours from a 100 percent state of 
        charge to a zero percent state of charge.
            ``(4) Reduction in basis.--For purposes of this subtitle, 
        the basis of any property for which a credit is allowable under 
        subsection (a) shall be reduced by the amount of such credit so 
        allowed.
            ``(5) No double benefit.--The amount of any deduction or 
        other credit allowable under this chapter for a new qualified 
        plug-in electric drive motor vehicle shall be reduced by the 
        amount of credit allowed under subsection (a) for such vehicle 
        for the taxable year.
            ``(6) Property used by tax-exempt entity.--In the case of a 
        vehicle the use of which is described in paragraph (3) or (4) 
        of section 50(b) and which is not subject to a lease, the 
        person who sold such vehicle to the person or entity using such 
        vehicle shall be treated as the taxpayer that placed such 
        vehicle in service, but only if such person clearly discloses 
        to such person or entity in a document the amount of any credit 
        allowable under subsection (a) with respect to such vehicle 
        (determined without regard to subsection (b)(2)).
            ``(7) Property used outside united states, etc., not 
        qualified.--No credit shall be allowable under subsection (a) 
        with respect to any property referred to in section 50(b)(1) or 
        with respect to the portion of the cost of any property taken 
        into account under section 179.
            ``(8) Recapture.--The Secretary shall, by regulations, 
        provide for recapturing the benefit of any credit allowable 
        under subsection (a) with respect to any property which ceases 
        to be property eligible for such credit (including recapture in 
        the case of a lease period of less than the economic life of a 
        vehicle).
            ``(9) Election to not take credit.--No credit shall be 
        allowed under subsection (a) for any vehicle if the taxpayer 
        elects not to have this section apply to such vehicle.
            ``(10) Interaction with air quality and motor vehicle 
        safety standards.--Unless otherwise provided in this section, a 
        motor vehicle shall not be considered eligible for a credit 
        under this section unless such vehicle is in compliance with--
                    ``(A) the applicable provisions of the Clean Air 
                Act for the applicable make and model year of the 
                vehicle (or applicable air quality provisions of State 
                law in the case of a State which has adopted such 
                provision under a waiver under section 209(b) of the 
                Clean Air Act), and
                    ``(B) the motor vehicle safety provisions of 
                sections 30101 through 30169 of title 49, United States 
                Code.
    ``(f) Regulations.--
            ``(1) In general.--Except as provided in paragraph (2), the 
        Secretary shall promulgate such regulations as necessary to 
        carry out the provisions of this section.
            ``(2) Coordination in prescription of certain 
        regulations.--The Secretary of the Treasury, in coordination 
        with the Secretary of Transportation and the Administrator of 
        the Environmental Protection Agency, shall prescribe such 
        regulations as necessary to determine whether a motor vehicle 
        meets the requirements to be eligible for a credit under this 
        section.
    ``(g) Termination.--This section shall not apply to property 
purchased after December 31, 2016.''.
    (b) Conforming Amendment.--Section 6501(m) of such Code is amended 
by striking ``30D(e)(4)'' and inserting ``30D(e)(9)''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2011.

SEC. 152. CREDIT FOR FUEL-EFFICIENT MOTOR VEHICLES.

    (a) In General.--Subpart B of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new section:

``SEC. 30E. FUEL-EFFICIENT MOTOR VEHICLE CREDIT.

    ``(a) Allowance of Credit.--
            ``(1) In general.--There shall be allowed as a credit 
        against the tax imposed by this chapter for the taxable year an 
        amount equal to the amount determined under paragraph (2) with 
        respect to any new fuel-efficient motor vehicle placed in 
        service by the taxpayer during the taxable year.
            ``(2) Credit amount.--The amount determined under this 
        paragraph shall be--
                    ``(A) $500, if the new fuel-efficient motor vehicle 
                achieves a combined fuel economy which is greater than 
                35 miles per gallon but not greater than 40 miles per 
                gallon,
                    ``(B) $1,000, if the new fuel-efficient motor 
                vehicle achieves a combined fuel economy which is 
                greater than 40 miles per gallon but less than 45 miles 
                per gallon,
                    ``(C) $1,500, if the new fuel-efficient motor 
                vehicle achieves a combined fuel economy which is 
                greater than 45 miles per gallon but less than 50 miles 
                per gallon, and
                    ``(D) $2,500, if the new fuel-efficient motor 
                vehicle achieves a combined fuel economy which is 
                greater than 50 miles per gallon.
    ``(b) New Fuel-Efficient Motor Vehicle.--For purposes of this 
section, the term `new fuel-efficient motor vehicle' means any motor 
vehicle--
            ``(1) which has a gross vehicle weight rating of not more 
        than 8,500 pounds,
            ``(2) which achieves a combined fuel economy of at least 35 
        miles per gallon,
            ``(3) the original use of which commences with the 
        taxpayer,
            ``(4) which is acquired by the taxpayer for use or lease, 
        but not for resale, and
            ``(5) which is made by a manufacturer.
    ``(c) Other Definitions and Special Rules.--For purposes of this 
section--
            ``(1) Combined fuel economy.--The combined fuel economy 
        with respect to any gasoline-fueled vehicle shall be measured 
        in a manner which is substantially similar to the manner 
        combined fuel economy is measured in accordance with procedures 
        under part 600 of subchapter Q of chapter I of title 40, Code 
        of Federal Regulations, as in effect on the date of the 
        enactment of this section.
            ``(2) Manufacturer.--The term `manufacturer' has the 
        meaning given such term under section 30B(h).
            ``(3) Basis reduction.--The basis of any property for which 
        a credit is allowable under subsection (a) shall be reduced by 
        the amount of such credit.
            ``(4) Recapture; property used outside the united states; 
        election not to take credit.--For purposes of this section, 
        rules similar to the rules of paragraphs (2), (3), and (4) of 
        section 30(d) shall apply.
            ``(5) Denial of double benefit.--No credit shall be allowed 
        under this section with respect to any new fuel-efficient motor 
        vehicle if a credit is allowable with respect to such vehicle 
        under section 30B (determined without regard to subsection (f) 
        thereof) or 30D (determined without regard to subsection (b)(2) 
        thereof).
    ``(d) Application With Other Credits.--
            ``(1) Business credit treated as part of general business 
        credit.--So much of the credit which would be allowed under 
        subsection (a) for any taxable year (determined without regard 
        to this subsection) that is attributable to property of a 
        character subject to an allowance for depreciation shall be 
        treated as a credit listed in section 38(b) for such taxable 
        year (and not allowed under subsection (a)).
            ``(2) Personal credit.--
                    ``(A) In general.--For purposes of this title, the 
                credit allowed under subsection (a) for any taxable 
                year (determined after application of paragraph (1)) 
                shall be treated as a credit allowable under subpart A 
                for such taxable year.
                    ``(B) Limitation based on amount of tax.--The 
                credit allowed under subsection (a) (after the 
                application of paragraph (1)) for any taxable year 
                shall not exceed the excess (if any) of--
                            ``(i) the regular tax liability (as defined 
                        in section 26(b)) reduced by the sum of the 
                        credits allowable under subpart A and sections 
                        27, 30, 30B, and 30D, over
                            ``(ii) the tentative minimum tax for the 
                        taxable year.
    ``(e) Limitation on Number of New Fuel-Efficient Motor Vehicles 
Eligible for Credit.--
            ``(1) In general.--No credit shall be allowed under 
        subsection (a) with respect to any new fuel-efficient motor 
        vehicle sold in any calendar quarter after the calendar quarter 
        following the calendar quarter which includes the first date on 
        which the number of new fuel-efficient motor vehicles 
        manufactured by such manufacturer and sold for use in the 
        United States after the date of the enactment of this section 
        is at least 65,000.
            ``(2) Controlled groups.--Rules similar to the rules of 
        section 30B(f)(4) shall apply for purposes of this subsection.
    ``(f) Termination.--This section shall not apply to property placed 
in service after December 31, 2013.''.
    (b) Conforming Amendments.--
            (1) Section 38(b) of the Internal Revenue Code of 1986 is 
        amended by striking ``plus'' at the end of paragraph (35), by 
        striking the period at the end of paragraph (36) and inserting 
        ``, plus'', and by adding at the end the following new 
        paragraph:
            ``(37) the portion of the new fuel-efficient motor vehicle 
        credit to which section 30E(d)(1) applies.''.
            (2) Section 55(c)(3) of such Code is amended by inserting 
        ``30E(d)(2),'' after ``30C(d)(2),''.
            (3) Section 1016(a) of such Code is amended by striking 
        ``and'' at the end of paragraph (36), by striking the period at 
        the end of paragraph (37) and inserting ``, and'', and by 
        adding at the end the following new paragraph:
            ``(38) to the extent provided in section 30E(c)(3).''.
            (4) Section 6501(m) of such Code, as amended by this Act, 
        is amended by inserting ``30E(c)(4),'' after ``30D(e)(9),''.
    (c) Clerical Amendment.--The table of sections for subpart B of 
part IV of subchapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by adding at the end the following new item:

``Sec. 30E. Fuel-efficient motor vehicle credit.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to property placed in service after the date of the enactment of 
this Act.

SEC. 153. IDLING REDUCTION TAX CREDIT.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new section:

``SEC. 45S. IDLING REDUCTION CREDIT.

    ``(a) General Rule.--For purposes of section 38, the idling 
reduction tax credit determined under this section for the taxable year 
is an amount equal to 25 percent of the amount paid or incurred for 
each qualifying idling reduction device placed in service by the 
taxpayer during the taxable year.
    ``(b) Limitation.--The maximum amount allowed as a credit under 
subsection (a) shall not exceed $1,000 per device.
    ``(c) Definitions.--For purposes of subsection (a)--
            ``(1) Qualifying idling reduction device.--The term 
        `qualifying idling reduction device' means any device or system 
        of devices that--
                    ``(A) is installed on a heavy-duty diesel-powered 
                on-highway vehicle,
                    ``(B) is designed to provide to such vehicle those 
                services (such as heat, air conditioning, or 
                electricity) that would otherwise require the operation 
                of the main drive engine while the vehicle is 
                temporarily parked or remains stationary,
                    ``(C) the original use of which commences with the 
                taxpayer,
                    ``(D) is acquired for use by the taxpayer and not 
                for resale, and
                    ``(E) is determined by the Administrator of the 
                Environmental Protection Agency, in consultation with 
                the Secretary of Energy and the Secretary of 
                Transportation, to reduce idling of such vehicle at a 
                motor vehicle rest stop or other location where such 
                vehicles are temporarily parked or remain stationary.
            ``(2) Heavy-duty diesel-powered on-highway vehicle.--The 
        term `heavy-duty diesel-powered on-highway vehicle' means any 
        vehicle, machine, tractor, trailer, or semi-trailer propelled 
        or drawn by mechanical power and used upon the highways in the 
        transportation of passengers or property, or any combination 
        thereof determined by the Federal Highway Administration. Such 
        term includes any diesel fuel hybrid highway vehicle which has 
        a gross vehicle weight rating of more than 8,500 pounds.
            ``(3) Long-duration idling.--The term `long-duration 
        idling' means the operation of a main drive engine, for a 
        period greater than 15 consecutive minutes, where the main 
        drive engine is not engaged in gear. Such term does not apply 
        to routine stoppages associated with traffic movement or 
        congestion.
    ``(d) No Double Benefit.--For purposes of this section--
            ``(1) Reduction in basis.--If a credit is determined under 
        this section with respect to any property by reason of 
        expenditures described in subsection (a), the basis of such 
        property shall be reduced by the amount of the credit so 
        determined.
            ``(2) Other deductions and credits.--No deduction or credit 
        shall be allowed under any other provision of this chapter with 
        respect to the amount of the credit determined under this 
        section.
    ``(e) Election Not To Claim Credit.--This section shall not apply 
to a taxpayer for any taxable year if such taxpayer elects to have this 
section not apply for such taxable year.''.
    (b) Credit To Be Part of General Business Credit.--Subsection (b) 
of section 38 of the Internal Revenue Code of 1986, as amended by this 
Act, is amended by striking ``plus'' at the end of paragraph (36), by 
striking the period at the end of paragraph (37) and inserting ``, 
plus'', and by adding at the end the following new paragraph:
            ``(38) the idling reduction tax credit determined under 
        section 45S(a).''.
    (c) Conforming Amendments.--
            (1) The table of sections for subpart D of part IV of 
        subchapter A of chapter 1 of the Internal Revenue Code of 1986 
        is amended by inserting after the item relating to section 45R 
        the following new item:

``Sec. 45S. Idling reduction credit.''.
            (2) Section 1016(a) of such Code, as amended by this Act, 
        is amended by striking ``and'' at the end of paragraph (37), by 
        striking the period at the end of paragraph (38) and inserting 
        ``, and'', and by adding at the end the following:
            ``(39) in the case of a facility with respect to which a 
        credit was allowed under section 45S, to the extent provided in 
        section 45S(d)(A).''.
            (3) Section 6501(m) of such Code is amended by inserting 
        ``45S(e)'' after ``45C(d)(4)''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2011.

                   TITLE II--OIL AND GAS DEVELOPMENT

SEC. 201. PRODUCTION OF OIL AND GAS ON OUTER CONTINENTAL SHELF.

    (a) In General.--Section 18 of the Outer Continental Shelf Lands 
Act (43 U.S.C. 1344) is amended by adding at the end the following:
    ``(i) Production of Oil and Gas on Outer Continental Shelf.--
            ``(1) Definitions.--In this subsection:
                    ``(A) Coastal political subdivision.--The term 
                `coastal political subdivision' means a political 
                subdivision of a Gulf producing State or a Southeastern 
                State any part of which political subdivision is--
                            ``(i) within the coastal zone (as defined 
                        in section 304 of the Coastal Zone Management 
                        Act of 1972 (16 U.S.C. 1453)) of the Gulf 
                        producing State as of the date of enactment of 
                        this Act; and
                            ``(ii) not more than 200 nautical miles 
                        from the geographic center of any leased tract.
                    ``(B) Gulf producing state.--The term `Gulf 
                producing State' means each of the States of Alabama, 
                Florida, Louisiana, Mississippi, and Texas.
                    ``(C) Moratorium area.--The term `moratorium area' 
                means any area of the outer Continental Shelf with 
                respect to which Congress has prohibited the use of 
                appropriated funds or other means for preleasing, 
                leasing, or related activities.
                    ``(D) Qualified outer continental shelf revenues.--
                            ``(i) In general.--The term `qualified 
                        outer Continental Shelf revenues' means all 
                        rentals, royalties, bonus bids, and other sums 
                        due and payable to the United States from 
                        leases entered into under this subsection.
                            ``(ii) Exclusions.--The term `qualified 
                        outer Continental Shelf revenues' does not 
                        include--
                                    ``(I) revenues from the forfeiture 
                                of a bond or other surety securing 
                                obligations other than royalties, civil 
                                penalties, or royalties taken by the 
                                Secretary in-kind and not sold; or
                                    ``(II) revenues generated from 
                                leases subject to section 8(g).
                    ``(E) Southeastern state.--The term `Southeastern 
                State' means the each of the States of Georgia, North 
                Carolina, South Carolina, and Virginia.
            ``(2) Outer continental shelf leasing areas.--
                    ``(A) Gulf of mexico.--
                            ``(i) In general.--Not later than 180 days 
                        after the date on which any necessary 
                        environmental analyses are completed under the 
                        National Environmental Policy Act of 1969 (42 
                        U.S.C. 4321 et seq.), the Secretary may offer 
                        for leasing, preleasing, or any related 
                        activity under this Act any moratorium area in 
                        the Gulf of Mexico that is more than 50 miles 
                        off the coastline of the Gulf of Mexico.
                            ``(ii) Consultation with secretary of 
                        defense.--The Secretary shall consult with the 
                        Secretary of Defense to ensure that any 
                        activity conducted under clause (i) is carried 
                        out in a manner that is consistent with 
                        national security.
                    ``(B) Southeastern states.--
                            ``(i) In general.--The Governor, with the 
                        concurrence of the Legislature, of a 
                        Southeastern State may submit to the Secretary 
                        a petition requesting that the Secretary make 
                        available for leasing any area in the 
                        administrative boundaries of the Southeastern 
                        State that is more than 50 miles off the 
                        coastline of the Southeastern State.
                            ``(ii) Action by secretary.--Not later than 
                        90 days after the date of receipt of a petition 
                        under clause (i) and not later than 180 days 
                        after the date on which any necessary 
                        environmental analyses are completed under the 
                        National Environmental Policy Act of 1969 (42 
                        U.S.C. 4321 et seq.), the Secretary shall 
                        approve the petition unless the Secretary 
                        determines that leasing in the affected area 
                        presents a significant likelihood of incidents 
                        associated with the development of resources 
                        that would cause serious harm or damage to the 
                        marine resources of the covered area or of an 
                        adjacent State.
                            ``(iii) Failure to act.--If the Secretary 
                        fails to approve or deny a petition in 
                        accordance with clause (ii), the petition shall 
                        be considered to be approved as of the later 
                        of--
                                    ``(I) the date that is 90 days 
                                after the date of receipt of the 
                                petition; or
                                    ``(II) the date that is 180 days 
                                after the date on which any necessary 
                                environmental analyses are completed 
                                under the National Environmental Policy 
                                Act of 1969 (42 U.S.C. 4321 et seq.).
                            ``(iv) Treatment.--Notwithstanding any 
                        other provision of this section, not later than 
                        180 days after the date on which a petition is 
                        approved, or considered to be approved, under 
                        clause (ii) or (iii), the Secretary shall treat 
                        the petition of the Governor or the Legislature 
                        of a Southeastern State under clause (i) as a 
                        proposed revision to a leasing program under 
                        this section.
                    ``(C) Administration.--Notwithstanding the omission 
                of any areas made available for leasing under 
                subparagraph (A) or (B) from the applicable 5-year plan 
                developed by the Secretary pursuant to this section, 
                the areas shall be offered for leasing under this 
                section in accordance with the completed environmental 
                analyses referred to in subparagraph (A)(i) or (B)(ii), 
                respectively.
                    ``(D) Inclusion in 5-year program.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), if areas are made available for 
                        leasing under subparagraph (A) or (B), the 
                        Secretary shall initiate a new 5-year outer 
                        Continental Shelf oil and gas leasing program 
                        to replace the outer Continental Shelf oil and 
                        gas leasing program in effect as of that date, 
                        which shall include any lease sale for any area 
                        made available for leasing under subparagraph 
                        (A) or (B).
                            ``(ii) Inclusion in program.--If there are 
                        less than 18 months remaining in the 5-year 
                        outer Continental Shelf oil and gas leasing 
                        program described in clause (i), the Secretary 
                        shall include the areas made available for 
                        leasing under subparagraph (A) or (B) in lease 
                        sales under the proposed 5-year outer 
                        Continental Shelf oil and gas leasing program.
                            ``(iii) Environmental assessment.--Before 
                        modifying a 5-year outer Continental Shelf oil 
                        and gas leasing program for the next 5-year 
                        period, the Secretary shall complete an 
                        environmental assessment that describes any 
                        anticipated environmental effect of leasing in 
                        the areas made available for leasing under 
                        subparagraph (A) or (B).
            ``(3) Disposition of qualified outer continental shelf 
        revenues.--
                    ``(A) Gulf of mexico.--Notwithstanding section 9, 
                qualified outer Continental Shelf revenues derived from 
                leasing moratorium areas in the Gulf of Mexico under 
                paragraph (2)(A) shall be disbursed to Gulf producing 
                States (including the State of Florida) and coastal 
                political subdivisions of those Gulf producing States 
                in accordance with section 105 of the Gulf of Mexico 
                Energy Security Act of 2006 (43 U.S.C. 1331 note; 
                Public Law 109-432).
                    ``(B) Southeastern states.--
                            ``(i) In general.--Except as provided in 
                        clause (ii), if the Governor or the Legislature 
                        of a Southeastern State submits to the 
                        Secretary a petition requesting that the 
                        Secretary make available for leasing any 
                        portion of a moratorium area in the 
                        administrative boundaries of the Southeastern 
                        State that is more than 50 miles off the 
                        coastline of the Southeastern State and the 
                        Secretary approves the petition, the Secretary 
                        shall--
                                    ``(I) disburse to the Southeastern 
                                State 37.5 percent of any qualified 
                                outer Continental Shelf revenues that 
                                are derived from leasing any portion of 
                                a moratorium area in the administrative 
                                boundaries of the Southeastern State 
                                that is more than 50 miles, but less 
                                than 100 miles, off the coastline of 
                                the Southeastern State; and
                                    ``(II) pay 20 percent of the 
                                allocable share of the Southeastern 
                                State to the coastal political 
                                subdivisions of the Southeastern State 
                                in accordance with subparagraphs (B), 
                                (C), and (E) of section 31(b)(4).
                            ``(ii) Contiguous states.--If 2 or more 
                        contiguous Southeastern States submit petitions 
                        described in clause (i) and the Secretary 
                        approves the petitions, the Secretary shall--
                                    ``(I) disburse to the contiguous 
                                Southeastern States 50 percent of any 
                                qualified outer Continental Shelf 
                                revenues that are derived from leasing 
                                any portion of a moratorium area in the 
                                administrative boundaries of the 
                                Southeastern States that is more than 
                                50 miles, but less than 100 miles, off 
                                the coastline of the Southeastern 
                                States;
                                    ``(II) allocate the amount made 
                                available under subclause (I) to the 
                                contiguous Southeastern States in 
                                amounts that are inversely proportional 
                                to the respective distances between the 
                                point on the coastline of each 
                                Southeastern State that is closest to 
                                the geographical center of each 
                                historical lease site and the 
                                geographical center of the historical 
                                lease site, as determined by the 
                                Secretary; and
                                    ``(III) pay 20 percent of the 
                                allocable share of each contiguous 
                                Southeastern State to the coastal 
                                political subdivisions of the 
                                Southeastern State in accordance with 
                                subparagraphs (B), (C), and (E) of 
                                section 31(b)(4).
            ``(4) Prohibition on export.--All oil and natural gas 
        produced on the outer Continental Shelf of the United States 
        under this subsection shall be made available for refining and 
        sale solely within the United States.
            ``(5) Alternative fuel trust fund.--
                    ``(A) Establishment.--There is established in the 
                Treasury of the United States a revolving fund, to be 
                known as the `Alternative Fuel Trust Fund', consisting 
                of all qualified outer Continental Shelf revenues 
                payable to the Federal Government under this subsection 
                (as determined by the Secretary).
                    ``(B) Expenditures from fund.--Subject to 
                appropriations and on request by the Secretary of 
                Energy, the Secretary of the Treasury shall transfer 
                from the Fund to the Secretary of Energy such amounts 
                as the Secretary of Energy determines are necessary to 
                carry out--
                            ``(i) research, development, and 
                        commercialization programs for alternative 
                        fuels and alternative fuel technologies; and
                            ``(ii) similar programs established under 
                        the Fulfilling U.S. Energy Leadership Act of 
                        2011 and amendments made by that Act.
                    ``(C) Transfers of amounts.--
                            ``(i) In general.--The amounts required to 
                        be transferred to the Fund under this paragraph 
                        shall be transferred at least monthly from the 
                        general fund of the Treasury to the Fund on the 
                        basis of estimates made by the Secretary of the 
                        Treasury.
                            ``(ii) Adjustments.--Proper adjustment 
                        shall be made in amounts subsequently 
                        transferred to the extent prior estimates were 
                        in excess of or less than the amounts required 
                        to be transferred.''.
    (b) Conforming Amendments.--
            (1) Section 104 of the Department of the Interior, 
        Environment, and Related Agencies Appropriations Act, 2008 
        (Public Law 110-161; 121 Stat. 2118) is amended--
                    (A) by inserting ``and'' after ``North Atlantic;''; 
                and
                    (B) by striking ``; and the eastern'' and all that 
                follows through ``longitude''.
            (2) Section 105 of the Department of the Interior, 
        Environment, and Related Agencies Appropriations Act, 2008 
        (Public Law 110-161; 121 Stat. 2118) is repealed.
            (3) Section 104 of the Gulf of Mexico Energy Security Act 
        of 2006 (43 U.S.C. 1331 note; Public Law 109-432) is amended--
                    (A) by striking subsection (a);
                    (B) in subsection (b), by striking 
                ``Notwithstanding subsection (a), the'' and inserting 
                ``The'';
                    (C) in subsection (c)(1), by inserting ``(as it 
                existed before the amendment made by section 201(c)(1) 
                of the Fulfilling U.S. Energy Leadership Act of 2011)'' 
                after ``subsection (a)''; and
                    (D) by redesignating subsections (b) and (c) as 
                subsections (a) and (b), respectively.

SEC. 202. IMPLEMENTATION OF INVENTORY OF OUTER CONTINENTAL SHELF 
              RESOURCES.

    (a) In General.--Section 357 of the Energy Policy Act of 2005 (42 
U.S.C. 15912) is amended--
            (1) in subsection (a)--
                    (A) by striking the first sentence of the matter 
                preceding paragraph (1) and inserting the following: 
                ``The Secretary shall conduct a seismic inventory of 
                oil and natural gas, and prepare a summary (the latter 
                prepared with the assistance of, and based on 
                information provided by, the heads of appropriate 
                Federal agencies) of the information obtained under 
                paragraph (3), for the waters of the United States 
                Outer Continental Shelf (referred to in this section as 
                the `OCS') in the Atlantic Region, the Eastern Gulf of 
                Mexico, and the Alaska Region.'';
                    (B) in paragraph (2)--
                            (i) by striking ``3-D'' and inserting ``2-D 
                        and 3-D''; and
                            (ii) by adding ``and'' at the end; and
                    (C) by striking paragraphs (3) through (5) and 
                inserting in the following:
            ``(3) use existing inventories and mapping of marine 
        resources undertaken by the National Oceanographic and 
        Atmospheric Administration and with the assistance of and based 
        on information provided by the Department of Defense and other 
        Federal and State agencies possessing relevant data, and use 
        any available data regarding alternative energy potential, 
        navigation uses, fisheries, aquaculture uses, recreational 
        uses, habitat, conservation, and military uses.''; and
            (2) by striking subsection (b) and inserting the following:
    ``(b) Implementation.--The Secretary shall carry out the inventory 
and analysis under subsection (a) in 3 phases, with priority given to 
all or part of applicable planning areas of the outer Continental 
Shelf--
            ``(1) estimated to have the greatest potential for energy 
        development in barrel of oil equivalent; and
            ``(2) outside of any leased area or area scheduled for 
        leasing prior to calendar year 2011 under any outer Continental 
        Shelf 5-year leasing program or amendment to the program under 
        section 18 of the Outer Continental Shelf Lands Act (43 U.S.C. 
        1344).
    ``(c) Reports.--
            ``(1) In general.--Not later than 90 days after the date of 
        enactment of this paragraph, the Secretary shall submit to the 
        Committee on Energy and Natural Resources of the Senate and the 
        Committee on Natural Resources of the House of Representatives 
        a report that provides a plan for executing the seismic 
        inventories required under this section, including an estimate 
        of the costs to complete the seismic inventory by region and 
        environmental and permitting activities to facilitate 
        expeditious completion.
            ``(2) First phase.--Not later than 2 years after the date 
        of enactment of this paragraph, the Secretary shall submit to 
        Congress a report describing the results of the first phase of 
        the inventory and analysis under subsection (a).
            ``(3) Subsequent phases.--Not later than 2 years after the 
        date on which the report is submitted under paragraph (2) and 2 
        years thereafter, the Secretary shall submit to Congress a 
        report describing the results of the second and third phases, 
        respectively, of the inventory and analysis under subsection 
        (a).
            ``(4) Public availability.--A report submitted under 
        paragraph (2) or (3) shall be--
                    ``(A) made publicly available; and
                    ``(B) updated not less frequently than once every 5 
                years.''.
    (b) Relationship to 5-Year Program.--The requirement that the 
Secretary of the Interior carry out the inventory required by the 
amendment made by subsection (a) shall not be considered to require, 
authorize, or provide a basis or justification for delay by the 
Secretary of the Interior or any other agency of the issuance of any 
outer Continental Shelf leasing program or amendment to the program 
under section 18 of the Outer Continental Shelf Lands Act (43 U.S.C. 
1344), or any lease sale pursuant to that section.
    (c) Permits.--Nothing in this section or an amendment made by this 
section precludes the issuance by the Secretary of the Interior of a 
permit to conduct geological and geophysical exploration of the outer 
Continental Shelf in accordance with the Outer Continental Shelf Lands 
Act (43 U.S.C. 1331 et seq.) and other applicable law.
    (d) Funding.--Section 999H(d) of the Energy Policy Act of 2005 (42 
U.S.C. 16378(d)) is amended--
            (1) by striking paragraph (1) and inserting the following:
            ``(1) Thirty-five percent shall be used for activities 
        under section 999A(b)(1), except that for each of fiscal years 
        2010 through 2015 the amount made available under this 
        paragraph shall be used to carry out section 357 (for the 
        completion of necessary environmental analyses under the 
        National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
        seq.), with a priority given to completion of programmatic 
        environmental impact statements necessary to carry out the 
        seismic inventory or portions of the inventory required by 
        section 357, and the use of seismic technology to obtain 
        accurate resource estimates).''; and
            (2) in paragraph (4)--
                    (A) by inserting ``(A) except as provided in 
                subparagraph (B),'' before ``25''; and
                    (B) by adding at the end the following:
                    ``(B) notwithstanding subparagraph (A), for each of 
                fiscal years 2010 through 2015--
                            ``(i) 15 percent shall be used for the 
                        purposes described in subparagraph (A); and
                            ``(ii) 10 percent shall be used for the 
                        activities described in paragraph (1).''.
    (e) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section and the amendments made by this 
section, to remain available until expended without fiscal year 
limitation--
            (1) $100,000,000 for each of fiscal years 2012 through 
        2017; and
            (2) $50,000,000 for each of fiscal years 2018 through 2020.

SEC. 203. OFFSHORE SAFETY BUREAU.

    (a) In General.--The Outer Continental Shelf Lands Act (43 U.S.C. 
1331 et seq.) is amended by adding to the end the following:

``SEC. 32. OFFSHORE SAFETY BUREAU.

    ``(a) Establishment of Bureau.--
            ``(1) Establishment.--
                    ``(A) In general.--Subject to the discretion 
                granted by Reorganization Plan Number 3 of 1950 (64 
                Stat. 1262; 43 U.S.C. 1451 note), the Secretary shall 
                establish in the Department of the Interior a bureau to 
                carry out the safety and environmental regulatory 
                functions vested in the Secretary by this Act and the 
                Federal Oil and Gas Royalty Management Act of 1982 (30 
                U.S.C. 1701 et seq.) related to the outer Continental 
                Shelf.
                    ``(B) Conflicts of interest.--In establishing the 
                bureau under subparagraph (A), the Secretary shall 
                ensure, to the maximum extent practicable, that any 
                potential organizational conflicts of interest related 
                to environmental protection and safety are eliminated.
            ``(2) Director.--The bureau shall be headed by a Director, 
        who shall be appointed by the President, by and with the advice 
        and consent of the Senate.
            ``(3) Compensation.--The Director shall be compensated at 
        the rate provided for level V of the Executive Schedule under 
        section 5316 of title 5, United States Code.
            ``(4) Qualifications.--The Director shall be a person who, 
        by reason of professional background and demonstrated ability 
        and experience, is specially qualified to carry out the duties 
        of the office.
    ``(b) Special Personnel Authorities.--
            ``(1) Direct hiring authority for critical personnel.--
                    ``(A) In general.--Notwithstanding sections 3104, 
                3304, and 3309 through 3318 of title 5, United States 
                Code, the Secretary may, on a determination that there 
                is a severe shortage of candidates or a critical hiring 
                need for particular positions, recruit and directly 
                appoint highly qualified accountants, scientists, 
                engineers, or critical technical personnel into the 
                competitive service, as officers or employees of the 
                organizational unit established under this section.
                    ``(B) Requirements.--In exercising the authority 
                granted under subparagraph (A), the Secretary shall 
                ensure that any action taken by the Secretary--
                            ``(i) is consistent with the merit 
                        principles of chapter 23 of title 5, United 
                        States Code; and
                            ``(ii) complies with the public notice 
                        requirements of section 3327 of title 5, United 
                        States Code.
            ``(2) Critical pay authority.--
                    ``(A) In general.--Notwithstanding section 5377 of 
                title 5, United States Code, and without regard to the 
                provisions of that title governing appointments in the 
                competitive service or the Senior Executive Service and 
                chapters 51 and 53 of that title (relating to 
                classification and pay rates), the Secretary may 
                establish, fix the compensation of, and appoint 
                individuals to critical positions needed to carry out 
                the functions of the organizational unit established 
                under this section, if the Secretary certifies that--
                            ``(i) the positions--
                                    ``(I) require expertise of an 
                                extremely high level in a scientific or 
                                technical field; and
                                    ``(II) the organizational unit 
                                established in this section would not 
                                successfully accomplish an important 
                                mission without such an individual; and
                            ``(ii) exercise of the authority is 
                        necessary to recruit an individual 
                        exceptionally well qualified for the position.
                    ``(B) Limitations.--The authority granted under 
                subparagraph (A) shall be subject to the following 
                conditions:
                            ``(i) The number of critical positions 
                        authorized by subparagraph (A) may not exceed 
                        40 at any one time in the bureau established 
                        under this section.
                            ``(ii) The term of an appointment under 
                        subparagraph (A) may not exceed 4 years.
                            ``(iii) An individual appointed under 
                        subparagraph (A) may not have been an employee 
                        of the Department of the Interior during the 2-
                        year period prior to the date of appointment.
                            ``(iv) Total annual compensation for any 
                        individual appointed under subparagraph (A) may 
                        not exceed the highest total annual 
                        compensation payable at the rate determined 
                        under section 104 of title 3, United States 
                        Code.
                            ``(v) An individual appointed under 
                        subparagraph (A) may not be considered to be an 
                        employee for purposes of subchapter II of 
                        chapter 75 of title 5, United States Code.
                    ``(C) Notification.--Each year, the Secretary shall 
                submit to Congress a notification that lists each 
                individual appointed under this paragraph.
            ``(3) Reemployment of civilian retirees.--
                    ``(A) In general.--Notwithstanding part 553 of 
                title 5, Code of Federal Regulations (relating to 
                reemployment of civilian retirees to meet exceptional 
                employment needs), or successor regulations, the 
                Secretary may approve the reemployment of an individual 
                to a particular position without reduction or 
                termination of annuity if the hiring of the individual 
                is necessary to carry out a critical function of any of 
                the organizational units established under this section 
                for which suitably qualified candidates do not exist.
                    ``(B) Limitations.--An annuitant hired with full 
                salary and annuities under the authority granted by 
                subparagraph (A)--
                            ``(i) shall not be considered an employee 
                        for purposes of subchapter III of chapter 83 
                        and chapter 84 of title 5, United States Code;
                            ``(ii) may not elect to have retirement 
                        contributions withheld from the pay of the 
                        annuitant;
                            ``(iii) may not use any employment under 
                        this paragraph as a basis for a supplemental or 
                        recomputed annuity; and
                            ``(iv) may not participate in the Thrift 
                        Savings Plan under subchapter III of chapter 84 
                        of title 5, United States Code.
                    ``(C) Limitation on term.--The term of employment 
                of any individual hired under subparagraph (A) may not 
                exceed an initial term of 2 years, with an additional 
                2-year appointment under exceptional circumstances.
    ``(c) Continuity of Authority.--Subject to the discretion granted 
by Reorganization Plan Number 3 of 1950 (64 Stat. 1262; 43 U.S.C. 1451 
note), any reference in any law, rule, regulation, directive, or 
instruction, or certificate or other official document, in force 
immediately prior to the date of enactment of this section--
            ``(1) to the Minerals Management Service that pertains to 
        any of the duties and authorities described in this section 
        shall be deemed to refer and apply to the bureau established 
        under this section;
            ``(2) to the Director of the Minerals Management Service 
        that pertains to any of the duties and authorities described in 
        this section shall be considered to refer and apply to the 
        Director of the bureau under this section to whom the Secretary 
        has assigned the respective duty or authority; and
            ``(3) to any other position in the Minerals Management 
        Service that pertains to any of the duties and authorities 
        described in this section shall be considered to refer and 
        apply to that same or equivalent position in the bureau 
        established under this section.''.
    (b) Conforming Amendment.--Section 5316 of title 5, United States 
Code, is amended by striking ``Director, Bureau of Mines, Department of 
the Interior'' and inserting the following:
            ``Bureau Directors, Department of the Interior (2).''.

                 TITLE III--ALTERNATIVE FUEL DEPLOYMENT

                     Subtitle A--Energy Provisions

SEC. 301. BIOENERGY RESEARCH AND DEVELOPMENT.

    Section 932 of the Energy Policy Act of 2005 (42 U.S.C. 16232) is 
amended--
            (1) by redesignating subsections (g) and (h) as subsections 
        (f) and (g), respectively; and
            (2) by adding at the end the following:
    ``(h) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section--
            ``(1) $2,898,000,000 for fiscal year 2009, of which 
        $150,000,000 shall be for subsection (d); and
            ``(2) $2,919,000,000 for fiscal year 2010, of which 
        $150,000,000 shall be for subsection (d).''.

SEC. 302. ALTERNATIVE FUELED AUTOMOBILE PRODUCTION REQUIREMENT.

    (a) Definition of Alternative Fueled Vehicle.--Section 32901 of 
title 49, United States Code, is amended by striking paragraph (2) and 
inserting the following:
            ``(2)(A) `alternative fueled automobile' means an 
        automobile that is a--
                    ``(i) dedicated automobile; or
                    ``(ii) dual fueled automobile.
            ``(B) The term `alternative fueled automobile' does not 
        include a dedicated automobile that operates exclusively on 
        gasoline or diesel fuel.''.
    (b) Requirement.--Section 32905 of title 49, United States Code is 
amended by adding at the end the following:
    ``(g) Alternative Fueled Automobiles.--Each manufacturer that 
manufactures automobiles for sale or use in the United States shall 
ensure that--
            ``(1) not less than 75 percent of such automobiles 
        manufactured for each of model years 2016 through 2019 are 
        alternative fueled automobiles; and
            ``(2) 100 percent of such automobiles manufactured for 
        model year 2020 and each subsequent model year are alternative 
        fueled automobiles.''.

SEC. 303. DEFINITION OF RENEWABLE BIOMASS.

    Section 211(o)(1) of the Clean Air Act (42 U.S.C. 7545(o)(1)) is 
amended by striking subparagraph (I) and inserting the following:
                    ``(I) Renewable biomass.--The term `renewable 
                biomass' means--
                            ``(i) materials, pre-commercial thinnings, 
                        or invasive species from National Forest System 
                        land and public lands (as defined in section 
                        103 of the Federal Land Policy and Management 
                        Act of 1976 (43 U.S.C. 1702)) that--
                                    ``(I) are byproducts of preventive 
                                treatments that are removed--
                                            ``(aa) to reduce hazardous 
                                        fuels;
                                            ``(bb) to reduce or contain 
                                        disease or insect infestation; 
                                        or
                                            ``(cc) to restore ecosystem 
                                        health;
                                    ``(II) would not otherwise be used 
                                for higher-value products; and
                                    ``(III) are harvested in accordance 
                                with--
                                            ``(aa) applicable law and 
                                        land management plans; and
                                            ``(bb) the requirements 
                                        for--

                                                    ``(AA) old-growth 
                                                maintenance, 
                                                restoration, and 
                                                management direction of 
                                                paragraphs (2), (3), 
                                                and (4) of subsection 
                                                (e) of section 102 of 
                                                the Healthy Forests 
                                                Restoration Act of 2003 
                                                (16 U.S.C. 6512); and

                                                    ``(BB) large-tree 
                                                retention of subsection 
                                                (f) of that section; or

                            ``(ii) any organic matter that is available 
                        on a renewable or recurring basis from non-
                        Federal land or land belonging to an Indian or 
                        Indian tribe that is held in trust by the 
                        United States or subject to a restriction 
                        against alienation imposed by the United 
                        States, including--
                                    ``(I) renewable plant material, 
                                including--
                                            ``(aa) feed grains;
                                            ``(bb) other agricultural 
                                        commodities;
                                            ``(cc) other plants and 
                                        trees; and
                                            ``(dd) algae; and
                                    ``(II) waste material, including--
                                            ``(aa) crop residue;
                                            ``(bb) other vegetative 
                                        waste material (including wood 
                                        waste and wood residues);
                                            ``(cc) animal waste and 
                                        byproducts (including fats, 
                                        oils, greases, and manure); and
                                            ``(dd) food waste and yard 
                                        waste.''.

SEC. 304. LOAN GUARANTEES FOR RENEWABLE FUEL PIPELINES.

    Subtitle C of title II of the Energy Independence and Security Act 
of 2007 (42 U.S.C. 17051 et seq.) is amended by adding at the end the 
following:

``SEC. 249. LOAN GUARANTEES FOR RENEWABLE FUEL PIPELINES.

    ``(a) Definitions.--In this section:
            ``(1) Cost.--The term `cost' has the meaning given the term 
        `cost of a loan guarantee' in section 502(5)(C) of the Federal 
        Credit Reform Act of 1990 (2 U.S.C. 661a(5)(C)).
            ``(2) Eligible project.--The term `eligible project' means 
        a project described in subsection (b)(1).
            ``(3) Guarantee.--
                    ``(A) In general.--The term `guarantee' has the 
                meaning given the term `loan guarantee' in section 502 
                of the Federal Credit Reform Act of 1990 (2 U.S.C. 
                661a).
                    ``(B) Inclusion.--The term `guarantee' includes a 
                loan guarantee commitment (as defined in section 502 of 
                the Federal Credit Reform Act of 1990 (2 U.S.C. 661a)).
            ``(4) Renewable fuel.--The term `renewable fuel' means fuel 
        that is produced from renewable biomass and that is used to 
        replace or reduce the quantity of fossil fuel present in a 
        transportation fuel.
            ``(5) Renewable fuel pipeline.--The term `renewable fuel 
        pipeline' means a common carrier pipeline for transporting 
        renewable fuel.
    ``(b) Loan Guarantees.--
            ``(1) In general.--The Secretary shall make guarantees 
        under this section for projects that provide for--
                    ``(A) the construction of new renewable fuel 
                pipelines; or
                    ``(B) the modification of pipelines to transport 
                renewable fuel.
            ``(2) Eligibility.--In determining the eligibility of a 
        project for a guarantee under this section, the Secretary shall 
        consider--
                    ``(A) the volume of renewable fuel to be moved by 
                the renewable fuel pipeline;
                    ``(B) the size of the markets to be served by the 
                renewable fuel pipeline;
                    ``(C) the existence of sufficient storage to 
                facilitate access to the markets served by the 
                renewable fuel pipeline;
                    ``(D) the proximity of the renewable fuel pipeline 
                to renewable fuel production facilities;
                    ``(E) the investment of the entity carrying out the 
                proposed project in terminal infrastructure;
                    ``(F) the experience of the entity carrying out the 
                proposed project in working with renewable fuel;
                    ``(G) the ability of the entity carrying out the 
                proposed project to maintain the quality of the 
                renewable fuel through--
                            ``(i) the terminal system of the entity; 
                        and
                            ``(ii) the dedicated pipeline system;
                    ``(H) the ability of the entity carrying out the 
                proposed project to complete the project in a timely 
                manner; and
                    ``(I) the ability of the entity carrying out the 
                proposed project to secure property rights-of-way in 
                order to move the proposed project forward in a timely 
                manner.
            ``(3) Amount.--Unless otherwise provided by law, a 
        guarantee by the Secretary under this section shall not exceed 
        an amount equal to 90 percent of the eligible project cost of 
        the renewable fuel pipeline that is the subject of the 
        guarantee, as estimated at the time at which the guarantee is 
        issued or subsequently modified while the eligible project is 
        under construction.
            ``(4) Terms and conditions.--Guarantees under this section 
        shall be provided in accordance with section 1702 of the Energy 
        Policy Act of 2005 (42 U.S.C. 16512), except that subsection 
        (c) of that section shall not apply to guarantees made under 
        this section.
            ``(5) Final rule.--Not later than 90 days after the date of 
        enactment of this section, the Secretary shall publish in the 
        Federal Register a final rule directing the Director of the 
        Department of Energy Loan Guarantee Program Office to initiate 
        the loan guarantee program under this section in accordance 
        with this section.
    ``(c) Funding.--
            ``(1) In general.--There are authorized to be appropriated 
        such sums as are necessary to provide $4,000,000,000 in 
        guarantees under this section.
            ``(2) Use of other appropriated funds.--To the extent that 
        the amounts made available under title XVII of the Energy 
        Policy Act of 2005 (42 U.S.C. 16511 et seq.) have not been 
        disbursed to programs under that title, the Secretary may use 
        the amounts to carry out this section.''.

                       Subtitle B--Tax Provisions

SEC. 311. VARIABLE VEETC RATE BASED ON PRICE OF CRUDE OIL.

    (a) Excise Tax Credit.--
            (1) In general.--Subparagraph (A) of section 6426(b)(2) of 
        the Internal Revenue Code of 1986 is amended--
                    (A) by striking ``and'' at the end of clause (i),
                    (B) by striking ``calendar years beginning after 
                2008, 45 cents.'' in clause (ii) and inserting 
                ``calendar quarters beginning after 2008 and before 
                July 1, 2011, 45 cents, and'', and
                    (C) by adding at the end the following new clause:
                            ``(iii) in the case of calendar quarters 
                        beginning after June 30, 2011, the applicable 
                        rate determined in accordance with the 
                        following table:

``If the average price of crude oil            The applicable rate for 

 during the preceding calendar                 the calendar quarter is:
        quarter is:
        Not more than $50/barrel...........................   30 cents 
        More than $50 but not more than $60/barrel.........   24 cents 
        More than $60 but not more than $70/barrel.........   18 cents 
        More than $70 but not more than $80/barrel.........   12 cents 
        More than $80 but not more than $90/barrel.........    6 cents 
        More than $90/barrel...............................    0 cents.
                        For purposes of the preceding table, the 
                        average price of crude oil for any calendar 
                        quarter shall be the average 3-month futures 
                        price on the New York Mercantile Exchange for 
                        light sweet crude oil for such calendar 
                        quarter. Each applicable rate under the 
                        preceding table shall be reduced by 2 cents for 
                        each calendar year beginning after 2011.''.
            (2) Extension of tax credit or payment.--Sections 
        6426(b)(6) and 6427(e)(6)(A) of such Code are each amended by 
        striking ``2011'' and inserting ``2014''.
    (b) Income Tax Credit.--
            (1) In general.--The table contained in section 40(h)(2) of 
        the Internal Revenue Code of 1986 is amended--
                    (A) by striking ``calendar year'' in the heading 
                for the first column,
                    (B) by inserting ``Calendar year'' before ``2001'',
                    (C) by inserting ``Calendar year'' before ``2003'',
                    (D) by inserting ``Calendar year'' before ``2005'',
                    (E) by inserting ``Calendar years'' before 
                ``2009'',
                    (F) by striking ``2011'' and inserting ``the last 
                calendar quarter beginning before July 1, 2011'',
                    (G) by striking the period at the end of the table, 
                and
                    (H) by adding at the end the following:

 
``Any calendar quarter beginning after              1st   2d applicable rate.''.
 June 30, 2011, and before 2015.             applicable
                                                   rate
 

            (2) Applicable rates.--Paragraph (3) of section 40(h) of 
        such Code is amended to read as follows:
            ``(3) Applicable rates.--For purposes of this subsection, 
        the 1st applicable rate and the 2d applicable rate shall be 
        determined in accordance with the following table:

----------------------------------------------------------------------------------------------------------------
                                                  The 1st
 ``If the average price of crude oil during   applicable rate    The 2d applicable rate for the calendar quarter
     the preceding calendar quarter is:       for the calendar                         is:
                                                quarter is:
----------------------------------------------------------------------------------------------------------------
Not more than $50/barrel...................           30 cents  22.20 cents
More than $50 but not more than $60/barrel.           24 cents  17.76 cents
More than $60 but not more than $70/barrel.           18 cents  13.33 cents
More than $70 but not more than $80/barrel.           12 cents  8.88 cents
More than $80 but not more than $90/barrel.            6 cents  4.44 cents
More than $90/barrel.......................            0 cents  0 cents.
----------------------------------------------------------------------------------------------------------------

        For purposes of the preceding table, the average price of crude 
        oil for any calendar quarter shall be the average 3-month 
        futures price on the New York Mercantile Exchange for light 
        sweet crude oil for such calendar quarter. Each 1st applicable 
        rate under the preceding table shall be reduced by 2 cents for 
        each calendar year beginning after 2011 and each 2d applicable 
        rate under such table shall be reduced by 1.48 cents for each 
        such year.''.
            (3) Extension of tax credit.--Section 40 of such Code is 
        amended--
                    (A) by striking ``2011'' in subsection (e)(1)(A) 
                and inserting ``2014'',
                    (B) by striking ``2012'' in subsection (e)(1)(B) 
                and inserting ``2015'', and
                    (C) by striking ``2011'' in subsection (h)(1) and 
                inserting ``2014''.
    (c) Repeal of Deadwood.--Section 6426(b)(2) of the Internal Revenue 
Code of 1986 is amended by striking subparagraph (C).
    (d) Effective Date.--The amendments made by this section shall 
apply to any sale, use, or removal for any period after June 30, 2011.

SEC. 312. EXTENSION OF CELLULOSIC BIOFUEL PRODUCER CREDIT THROUGH 2016.

    (a) In General.--Section 40(b)(6) of the Internal Revenue Code of 
1986 is amended by striking subparagraph (H).
    (b) Conforming Amendment.--Section 40(e) of the Internal Revenue 
Code of 1986 is amended by striking paragraph (3).

SEC. 313. EXTENSION AND MODIFICATION OF ALTERNATIVE FUEL VEHICLE 
              REFUELING PROPERTY CREDIT.

    (a) Extension.--Subsection (g) of section 30C of the Internal 
Revenue Code of 1986 is amended by striking ``placed in service'' and 
all that follows and inserting ``placed in service after December 31, 
2016.''.
    (b) Only Certain Ethanol Blends Eligible for Credit.--Subparagraph 
(A) of section 30C(c)(2) of the Internal Revenue Code of 1986 is 
amended to read as follows:
                    ``(A) Any fuel--
                            ``(i) at least 85 percent of the volume of 
                        which consists of one or more of the following: 
                        natural gas, compressed natural gas, liquified 
                        natural gas, liquefied petroleum gas, or 
                        hydrogen, or
                            ``(ii) at least 85 percent of the volume of 
                        which consists of--
                                    ``(I) ethanol, or
                                    ``(II) ethanol and one or more of 
                                the fuels described in clause (i), but 
                                only if at least 20 percent and not 
                                more than 85 percent of the volume of 
                                such fuel consists of ethanol.''.
    (c) Credit for Dual-Use Refueling Property.--Subsection (e) of 
section 30C of the Internal Revenue Code of 1986 is amended by adding 
at the end the following new paragraph:
            ``(6) Dual-use refueling property.--
                    ``(A) In general.--In the case of any dual-use 
                refueling property, 100 percent of the cost of such 
                property shall be treated as qualified alternative fuel 
                refueling property if the taxpayer certifies, in such 
                time and manner as the Secretary shall prescribe, that 
                such property will be used in more than a de minimis 
                capacity for the purposes described in section 
                179A(d)(3)(A) (applied as specified in subsection 
                (c)(2)).
                    ``(B) Recapture.--If at any time within 5 years 
                after the date of the certification under subparagraph 
                (A) the dual-use refueling property ceases to be used 
                as required under such subparagraph, 100 percent of the 
                cost of such property shall be subject to recapture 
                under paragraph (5).
                    ``(C) Dual-use refueling property.--For purposes of 
                this paragraph, the term `dual-use refueling property' 
                means property that is both qualified alternative fuel 
                vehicle refueling property and property used--
                            ``(i) to store or dispense fuels not 
                        described in subsection (c)(2), or
                            ``(ii) to store fuels described in 
                        subsection (c)(2) for any purpose other than 
                        delivery of such fuel into the fuel tank of a 
                        motor vehicle.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to property placed in service after December 31, 2011.

SEC. 314. EXTENSION OF SPECIAL DEPRECIATION ALLOWANCE FOR CELLULOSIC 
              BIOFUEL PLANT PROPERTY.

    Subparagraph (D) of section 168(l)(2) of the Internal Revenue Code 
of 1986 is amended by striking ``January 1, 2013'' and inserting 
``January 1, 2017''.

SEC. 315. INCENTIVES FOR BIODIESEL AND RENEWABLE DIESEL.

    (a) Credits for Biodiesel and Renewable Diesel Used as Fuel.--
Subsection (g) of section 40A of the Internal Revenue Code of 1986 is 
amended by striking ``December 31, 2011'' and inserting ``December 31, 
2016''.
    (b) Excise Tax Credits and Outlay Payments for Biodiesel and 
Renewable Diesel Fuel Mixtures.--
            (1) Paragraph (6) of section 6426(c) is amended by striking 
        ``December 31, 2011'' and inserting ``December 31, 2016''.
            (2) Subparagraph (B) of section 6427(e)(6) is amended by 
        striking ``December 31, 2011'' and inserting ``December 31, 
        2016''.
    (c) Effective Date.--The amendments made by this section shall 
apply to fuel sold or used after December 31, 2011.

SEC. 316. ALTERNATIVE FUELS EXCISE TAX CREDITS.

    (a) In General.--Sections 6426(d)(5), 6426(e)(3), and 6427(e)(6)(C) 
of the Internal Revenue Code of 1986 are each amended by striking 
``December 31, 2011'' and inserting ``December 31, 2016''.
    (b) Effective Date.--The amendments made by this section shall 
apply to fuel sold or used after December 31, 2011.

                TITLE IV--CLEANER SOURCES OF ELECTRICITY

                     Subtitle A--Energy Provisions

SEC. 401. CLEAN ENERGY STANDARD.

    (a) In General.--The Secretary of Energy shall establish a clean 
energy standard that promotes the use of renewable and other low-carbon 
sources of electricity.
    (b) Administration.--In establishing the clean energy standard, the 
Secretary shall, to the maximum extent practicable, take into account 
the likely timelines for the availability of new electricity 
technologies to ensure that the standard is technically achievable and 
affordable for energy consumers.

SEC. 402. LARGE-SCALE CARBON STORAGE PROGRAM.

    (a) In General.--Subtitle F of title IX of the Energy Policy Act of 
2005 (42 U.S.C. 16291 et seq.) is amended by inserting after section 
963 (42 U.S.C. 16293) the following:

``SEC. 963A. LARGE-SCALE CARBON STORAGE PROGRAM.

    ``(a) Definitions.--In this section:
            ``(1) Industrial source.--The term `industrial source' 
        means any source of carbon dioxide that is not naturally 
        occurring.
            ``(2) Large-scale.--The term `large-scale' means the 
        injection of over 1,000,000 tons of carbon dioxide each year 
        from industrial sources into a geological formation.
            ``(3) Secretary concerned.--The term `Secretary concerned' 
        means--
                    ``(A) the Secretary of Agriculture (acting through 
                the Chief of the Forest Service), with respect to 
                National Forest System land; and
                    ``(B) the Secretary of the Interior, with respect 
                to land managed by the Bureau of Land Management 
                (including land held for the benefit of an Indian 
                tribe).
    ``(b) Program.--In addition to the research, development, and 
demonstration program authorized by section 963, the Secretary shall 
carry out a program to demonstrate the commercial application of 
integrated systems for the capture, injection, monitoring, and long-
term geological storage of carbon dioxide from industrial sources.
    ``(c) Authorized Assistance.--In carrying out the program, the 
Secretary may enter into cooperative agreements to provide financial 
and technical assistance to up to 10 demonstration projects.
    ``(d) Project Selection.--The Secretary shall competitively select 
recipients of cooperative agreements under this section from among 
applicants that--
            ``(1) provide the Secretary with sufficient geological site 
        information (including hydrogeological and geophysical 
        information) to establish that the proposed geological storage 
        unit is capable of long-term storage of the injected carbon 
        dioxide, including--
                    ``(A) the location, extent, and storage capacity of 
                the geological storage unit at the site into which the 
                carbon dioxide will be injected;
                    ``(B) the principal potential modes of 
                geomechanical failure in the geological storage unit;
                    ``(C) the ability of the geological storage unit to 
                retain injected carbon dioxide; and
                    ``(D) the measurement, monitoring, and verification 
                requirements necessary to ensure adequate information 
                on the operation of the geological storage unit during 
                and after the injection of carbon dioxide;
            ``(2) possess the land or interests in land necessary for--
                    ``(A) the injection and storage of the carbon 
                dioxide at the proposed geological storage unit; and
                    ``(B) the closure, monitoring, and long-term 
                stewardship of the geological storage unit;
            ``(3) possess or have a reasonable expectation of obtaining 
        all necessary permits and authorizations under applicable 
        Federal and State laws (including regulations); and
            ``(4) agree to comply with each requirement of subsection 
        (e).
    ``(e) Terms and Conditions.--The Secretary shall condition receipt 
of financial assistance pursuant to a cooperative agreement under this 
section on the recipient agreeing to--
            ``(1) comply with all applicable Federal and State laws 
        (including regulations), including a certification by the 
        appropriate regulatory authority that the project will comply 
        with Federal and State requirements to protect drinking water 
        supplies;
            ``(2) in the case of industrial sources subject to the 
        Clean Air Act (42 U.S.C. 7401 et seq.), inject only carbon 
        dioxide captured from industrial sources in compliance with 
        that Act;
            ``(3) comply with all applicable construction and operating 
        requirements for deep injection wells;
            ``(4) measure, monitor, and test to verify that carbon 
        dioxide injected into the injection zone is not--
                    ``(A) escaping from or migrating beyond the 
                confinement zone; or
                    ``(B) endangering an underground source of drinking 
                water;
            ``(5) comply with applicable well-plugging, post-injection 
        site care, and site closure requirements, including--
                    ``(A)(i) maintaining financial assurances during 
                the post-injection closure and monitoring phase until a 
                certificate of closure is issued by the Secretary; and
                    ``(ii) promptly undertaking remediation activities 
                for any leak from the geological storage unit that 
                would endanger public health or safety or natural 
                resources; and
                    ``(B) complying with subsection (f);
            ``(6) comply with applicable long-term care requirements;
            ``(7) maintain financial protection in a form and in an 
        amount acceptable to--
                    ``(A) the Secretary;
                    ``(B) the Secretary with jurisdiction over the 
                land; and
                    ``(C) the Administrator of the Environmental 
                Protection Agency; and
            ``(8) provide the assurances described in section 
        963(c)(4)(B).
    ``(f) Post Injection Closure and Monitoring Elements.--In assessing 
whether a project complies with site closure requirements under 
subsection (e)(5), the Secretary, in consultation with the 
Administrator of the Environmental Protection Agency, shall determine 
whether the recipient of financial assistance has demonstrated 
continuous compliance with each of the following over a period of not 
less than 10 consecutive years after the plume of carbon dioxide has 
stabilized within the geologic formation that comprises the geologic 
storage unit following the cessation of injection activities:
            ``(1) The estimated location and extent of the project 
        footprint (including the detectable plume of carbon dioxide and 
        the area of elevated pressure resulting from the project) has 
        not substantially changed and is contained within the geologic 
        storage unit.
            ``(2) The injection zone formation pressure has ceased to 
        increase following cessation of carbon dioxide injection into 
        the geologic storage unit.
            ``(3) There is no leakage of either carbon dioxide or 
        displaced formation fluid from the geologic storage unit that 
        is endangering public health and safety, including underground 
        sources of drinking water and natural resources.
            ``(4) The injected or displaced formation fluids are not 
        expected to migrate in the future in a manner that encounters a 
        potential leakage pathway.
            ``(5) The injection wells at the site completed into or 
        through the injection zone or confining zone are plugged and 
        abandoned in accordance with the applicable requirements of 
        Federal or State law governing the wells.
    ``(g) Indemnification Agreements.--
            ``(1) Definition of liability.--In this subsection, the 
        term `liability' means any legal liability for--
                    ``(A) bodily injury, sickness, disease, or death;
                    ``(B) loss of or damage to property, or loss of use 
                of property; or
                    ``(C) injury to or destruction or loss of natural 
                resources, including fish, wildlife, and drinking water 
                supplies.
            ``(2) Agreements.--Not later than 1 year after the date of 
        the receipt by the Secretary of a completed application for a 
        demonstration project, the Secretary may agree to indemnify and 
        hold harmless the recipient of a cooperative agreement under 
        this section from liability arising out of or resulting from a 
        demonstration project in excess of the amount of liability 
        covered by financial protection maintained by the recipient 
        under subsection (e)(7).
            ``(3) Exception for gross negligence and intentional 
        misconduct.--Notwithstanding paragraph (1), the Secretary may 
        not indemnify the recipient of a cooperative agreement under 
        this section from liability arising out of conduct of a 
        recipient that is grossly negligent or that constitutes 
        intentional misconduct.
            ``(4) Collection of fees.--
                    ``(A) In general.--The Secretary shall collect a 
                fee from any person with whom an agreement for 
                indemnification is executed under this subsection in an 
                amount that is equal to the net present value of 
                payments made by the United States to cover liability 
                under the indemnification agreement.
                    ``(B) Amount.--The Secretary shall establish, by 
                regulation, criteria for determining the amount of the 
                fee, taking into account--
                            ``(i) the likelihood of an incident 
                        resulting in liability to the United States 
                        under the indemnification agreement; and
                            ``(ii) other factors pertaining to the 
                        hazard of the indemnified project.
                    ``(C) Use of fees.--Fees collected under this 
                paragraph shall be deposited in the Treasury and 
                credited to miscellaneous receipts.
            ``(5) Contracts in advance of appropriations.--
                    ``(A) In general.--Subject to subparagraph (B), the 
                Secretary The Secretary may enter into agreements of 
                indemnification under this subsection in advance of 
                appropriations and incur obligations without regard to 
                section 1341 of title 31, United States Code (commonly 
                known as the `Anti-Deficiency Act'), or section 11 of 
                title 41, United States Code (commonly known as the 
                `Adequacy of Appropriations Act').
                    ``(B) Limitation.--The amount of indemnification 
                under this subsection shall not exceed $10,000,000,000 
                (adjusted not less than once during each 5-year period 
                following the date of enactment of this section, in 
                accordance with the aggregate percentage change in the 
                Consumer Price Index since the previous adjustment 
                under this subparagraph), in the aggregate, for all 
                persons indemnified in connection with an agreement and 
                for each project, including such legal costs as are 
                approved by the Secretary.
            ``(6) Conditions of agreements of indemnification.--
                    ``(A) In general.--An agreement of indemnification 
                under this subsection may contain such terms as the 
                Secretary considers appropriate to carry out the 
                purposes of this section.
                    ``(B) Administration.--The agreement shall provide 
                that, if the Secretary makes a determination the United 
                States will probably be required to make indemnity 
                payments under the agreement, the Attorney General--
                            ``(i) shall collaborate with the recipient 
                        of an award under this subsection; and
                            ``(ii) may--
                                    ``(I) approve the payment of any 
                                claim under the agreement of 
                                indemnification;
                                    ``(II) appear on behalf of the 
                                recipient;
                                    ``(III) take charge of an action; 
                                and
                                    ``(IV) settle or defend an action.
                    ``(C) Settlement of claims.--
                            ``(i) In general.--The Attorney General 
                        shall have final authority on behalf of the 
                        United States to settle or approve the 
                        settlement of any claim under this subsection 
                        on a fair and reasonable basis with due regard 
                        for the purposes of this subsection.
                            ``(ii) Expenses.--The settlement shall not 
                        include expenses in connection with the claim 
                        incurred by the recipient.
    ``(h) Federal Land.--
            ``(1) In general.--The Secretary concerned may authorize 
        the siting of a project on Federal land under the jurisdiction 
        of the Secretary concerned in a manner consistent with 
        applicable laws and land management plans and subject to such 
        terms and conditions as the Secretary concerned determines to 
        be necessary.
            ``(2) Framework for geological carbon sequestration on 
        public land.--In determining whether to authorize a project on 
        Federal land, the Secretary concerned shall take into account 
        the framework for geological carbon sequestration on public 
        land prepared in accordance with section 714 of the Energy 
        Independence and Security Act of 2007 (Public Law 110-140; 121 
        Stat. 1715).
    ``(i) Acceptance of Title and Long-term Monitoring.--
            ``(1) In general.--As a condition of a cooperative 
        agreement under this section, the Secretary may accept title 
        to, or transfer of administrative jurisdiction from another 
        Federal agency over, any land or interest in land necessary for 
        the monitoring, remediation, or long-term stewardship of a 
        project site.
            ``(2) Long-term monitoring activities.--After accepting 
        title to, or transfer of, a site closed in accordance with this 
        section, the Secretary shall monitor the site and conduct any 
        remediation activities to ensure the geological integrity of 
        the site and prevent any endangerment of public health or 
        safety.
            ``(3) Funding.--There is appropriated to the Secretary, out 
        of funds of the Treasury not otherwise appropriated, such sums 
        as are necessary to carry out paragraph (2).''.
    (b) Conforming Amendments.--
            (1) Section 963 of the Energy Policy Act of 2005 (42 U.S.C. 
        16293) is amended--
                    (A) by redesignating subsections (a) through (d) as 
                subsections (b) through (e), respectively;
                    (B) by inserting before subsection (b) (as so 
                redesignated) the following:
    ``(a) Definitions.--In this section:
            ``(1) Industrial source.--The term `industrial source' 
        means any source of carbon dioxide that is not naturally 
        occurring.
            ``(2) Large-scale.--The term `large-scale' means the 
        injection of over 1,000,000 tons of carbon dioxide from 
        industrial sources over the lifetime of the project.'';
                    (C) in subsection (b) (as so redesignated), by 
                striking ``In General'' and inserting ``Program'';
                    (D) in subsection (c) (as so redesignated), by 
                striking ``subsection (a)'' and inserting ``subsection 
                (b)''; and
                    (E) in subsection (d)(3) (as so redesignated), by 
                striking subparagraph (D).
            (2) Sections 703(a)(3) and 704 of the Energy Independence 
        and Security Act of 2007 (42 U.S.C. 17251(a)(3), 17252) are 
        amended by striking ``section 963(c)(3) of the Energy Policy 
        Act of 2005 (42 U.S.C. 16293(c)(3))'' each place it appears and 
        inserting ``section 963(d)(3) of the Energy Policy Act of 2005 
        (42 U.S.C. 16293(d)(3))''.

SEC. 403. LOAN GUARANTEES FOR NUCLEAR POWER AND OTHER INNOVATIVE 
              SOURCES.

    Section 20320(a) of the Continuing Appropriations Resolution, 2007 
(42 U.S.C. 16515(a)) is amended by striking ``$4,000,000,000'' and 
inserting ``$40,000,000,000''.

SEC. 404. NUCLEAR ENERGY WORKFORCE.

    Section 1101 of the Energy Policy Act of 2005 (42 U.S.C. 16411) is 
amended--
            (1) in subsection (b)(1)--
                    (A) in subparagraph (A), by striking ``and'' at the 
                end;
                    (B) in subparagraph (B), by striking the period and 
                inserting ``; and''; and
                    (C) by adding at the end the following:
                    ``(C) nuclear utility and nuclear energy product 
                and service industries.'';
            (2) by redesignating subsection (d) as subsection (e); and
            (3) by inserting after subsection (c) the following:
    ``(d) Workforce Training.--
            ``(1) In general.--The Secretary of Labor, in cooperation 
        with the Secretary, shall promulgate regulations to implement a 
        program to provide grants to enhance workforce training for any 
        occupation in the workforce of the nuclear utility and nuclear 
        energy products and services industries for which a shortage is 
        identified or predicted in the report under subsection (b)(2).
            ``(2) Consultation.--In carrying out this subsection, the 
        Secretary of Labor shall consult with representatives of the 
        nuclear utility and nuclear energy products and services 
        industries, including organized labor organizations and 
        multiemployer associations that jointly sponsor apprenticeship 
        programs that provide training for skills needed in those 
        industries.
            ``(3) Authorization of appropriations.--There are 
        authorized to be appropriated to the Secretary of Labor, 
        working in coordination with the Secretary and the Secretary of 
        Education to carry out this subsection $20,000,000 for each of 
        fiscal years 2012 through 2016.''.

SEC. 405. INTERAGENCY WORKING GROUP TO PROMOTE DOMESTIC MANUFACTURING 
              BASE FOR NUCLEAR COMPONENTS AND EQUIPMENT.

    (a) Purposes.--The purposes of this section are--
            (1) to increase the competitiveness of the United States 
        nuclear energy products and services industries;
            (2) to identify the stimulus or incentives necessary to 
        cause United States manufacturers of nuclear energy products to 
        expand manufacturing capacity;
            (3) to facilitate the export of United States nuclear 
        energy products and services;
            (4) to reduce the trade deficit of the United States 
        through the export of United States nuclear energy products and 
        services;
            (5) to retain and create nuclear energy manufacturing and 
        related service jobs in the United States;
            (6) to integrate the objectives described in paragraphs (1) 
        through (5), in a manner consistent with the interests of the 
        United States, into the foreign policy of the United States; 
        and
            (7) to authorize funds for increasing United States 
        capacity to manufacture nuclear energy products and supply 
        nuclear energy services.
    (b) Establishment.--
            (1) In general.--There is established an interagency 
        working group (referred to in this section as the ``Working 
        Group'') that, in consultation with representative industry 
        organizations and manufacturers of nuclear energy products, 
        shall make recommendations to coordinate the actions and 
        programs of the Federal Government in order to promote 
        increasing domestic manufacturing capacity and export of 
        domestic nuclear energy products and services.
            (2) Composition.--The Working Group shall be composed of--
                    (A) the Secretary of Energy (or a designee), who 
                shall serve as Chairperson of the Working Group; and
                    (B) representatives of--
                            (i) the Department of Energy;
                            (ii) the Department of Commerce;
                            (iii) the Department of Defense;
                            (iv) the Department of Treasury;
                            (v) the Department of State;
                            (vi) the Environmental Protection Agency;
                            (vii) the United States Agency for 
                        International Development;
                            (viii) the Export-Import Bank of the United 
                        States;
                            (ix) the Trade and Development Agency;
                            (x) the Small Business Administration;
                            (xi) the Office of the United States Trade 
                        Representative; and
                            (xii) other Federal agencies, as determined 
                        by the President.
    (c) Duties of Working Group.--The Working Group shall--
            (1) not later than 180 days after the date of enactment of 
        this Act, identify the actions necessary to promote the safe 
        development and application in foreign countries of nuclear 
        energy products and services--
                    (A) to increase electricity generation from nuclear 
                energy sources through development of new generation 
                facilities;
                    (B) to improve the efficiency, safety, and 
                reliability of existing nuclear generating facilities 
                through modifications; and
                    (C) enhance the safe treatment, handling, storage, 
                and disposal of used nuclear fuel;
            (2) not later than 180 days after the date of enactment of 
        this Act, identify--
                    (A) mechanisms (including tax stimuli for 
                investment, loans and loan guarantees, and grants) 
                necessary for United States companies to increase--
                            (i) the capacity of the companies to 
                        produce or provide nuclear energy products and 
                        services; and
                            (ii) exports of nuclear energy products and 
                        services; and
                    (B) administrative or legislative initiatives that 
                are necessary--
                            (i) to encourage United States companies to 
                        increase the manufacturing capacity of the 
                        companies for nuclear energy products;
                            (ii) to provide technical and financial 
                        assistance and support to small and mid-sized 
                        businesses to establish quality assurance 
                        programs in accordance with domestic and 
                        international nuclear quality assurance code 
                        requirements;
                            (iii) to encourage, through financial 
                        incentives, private sector capital investment 
                        to expand manufacturing capacity; and
                            (iv) to provide technical assistance and 
                        financial incentives to small and mid-sized 
                        businesses to develop the workforce necessary 
                        to increase manufacturing capacity and meet 
                        domestic and international nuclear quality 
                        assurance code requirements;
            (3) not later than 270 days after the date of enactment of 
        this Act, submit to Congress a report that describes the 
        findings of the Working Group under paragraphs (1) and (2), 
        including recommendations for new legislative authority, as 
        necessary; and
            (4) encourage the agencies represented by membership in the 
        Working Group--
                    (A) to provide technical training and education for 
                international development personnel and local users in 
                other countries;
                    (B) to provide financial and technical assistance 
                to nonprofit institutions that support the marketing 
                and export efforts of domestic companies that provide 
                nuclear energy products and services;
                    (C) to develop nuclear energy projects in foreign 
                countries;
                    (D) to provide technical assistance and training 
                materials to loan officers of the World Bank, 
                international lending institutions, commercial and 
                energy attaches at embassies of the United States, and 
                other appropriate personnel in order to provide 
                information about nuclear energy products and services 
                to foreign governments or other potential project 
                sponsors;
                    (E) to support, through financial incentives, 
                private sector efforts to commercialize and export 
                nuclear energy products and services in accordance with 
                the subsidy codes of the World Trade Organization; and
                    (F) to augment budgets for trade and development 
                programs in order to support prefeasibility or 
                feasibility studies for projects that use nuclear 
                energy products and services.
    (d) Personnel and Service Matters.--The Secretary and the heads of 
agencies represented by membership in the Working Group shall detail 
such personnel and furnish such services to the Working Group, with or 
without reimbursement, as are necessary to carry out the functions of 
the Working Group.
    (e) Authorization of Appropriations.--There is authorized to be 
appropriated to the Secretary to carry out this section $20,000,000 for 
each of fiscal years 2012 through 2016.

                       Subtitle B--Tax Provisions

SEC. 411. SEVEN-YEAR AMORTIZATION FOR CERTAIN SYSTEMS INSTALLED ON 
              COAL-FIRED ELECTRIC GENERATION UNITS.

    (a) In General.--Subsection (d) of section 169 of the Internal 
Revenue Code of 1986 is amended by adding at the end the following new 
paragraph:
            ``(6) Special rule for systems installed on coal-fired 
        electric generation units.--
                    ``(A) In general.--Any mechanical or electronic 
                system--
                            ``(i) which is installed on a coal-fired 
                        electric generation unit after the date of the 
                        enactment of this paragraph, and
                            ``(ii) which reduces carbon dioxide 
                        emissions per net megawatt hour of electricity 
                        generation by 1 or more of the means described 
                        in subparagraph (B) or any other means,
                shall be treated for purposes of this section as a new 
                identifiable treatment facility which abates or 
                controls atmospheric pollution or contamination by 
                removing, altering, disposing, storing, or preventing 
                the creation or emission of pollutants, contaminants, 
                wastes, or heat. Paragraph (1)(C) of this subsection, 
                and subsection (e), shall not apply to any system which 
                is so treated.
                    ``(B) Means for reducing emissions.--The means 
                described in this subparagraph are--
                            ``(i) optimizing combustion,
                            ``(ii) optimizing sootblowing and heat 
                        transfer,
                            ``(iii) upgrading steam temperature control 
                        capabilities,
                            ``(iv) reducing exit gas temperatures (air 
                        heater modifications),
                            ``(v) predrying low rank coals using power 
                        plant waste heat,
                            ``(vi) modifying steam turbines or change 
                        the steam path/blading,
                            ``(vii) replacing single speed motors with 
                        variable speed drives for fans and pumps, and
                            ``(viii) improving operational controls, 
                        including neural networks.
                    ``(C) Special rule for minimum tax.--Section 
                56(a)(5) shall not apply to property to which this 
                paragraph applies.''.
    (b) Effective Date.--The amendment made by this section shall apply 
to property placed in service after the date of the enactment of this 
Act.

SEC. 412. CREDIT FOR CARBON SEQUESTRATION FROM COAL FACILITIES.

    (a) In General.--Subpart E of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by inserting after 
section 48D the following new section:

``SEC. 48E. QUALIFYING CARBON DIOXIDE CAPTURE, TRANSPORT, AND STORAGE 
              EQUIPMENT CREDIT.

    ``(a) General Rule.--For purposes of section 46, the qualifying 
carbon dioxide capture, transport, and storage equipment credit for any 
taxable year is an amount equal to 30 percent of the qualified 
investment for such taxable year.
    ``(b) Qualified Investment.--
            ``(1) In general.--For purposes of subsection (a), the 
        qualified investment for any taxable year is the basis of 
        eligible carbon dioxide capture, transport, and storage 
        property placed in service by the taxpayer during such taxable 
        year which is part of a qualifying clean coal project--
                    ``(A)(i) the construction, reconstruction, or 
                erection of which is completed by the taxpayer, or
                    ``(ii) which is acquired by the taxpayer if the 
                original use of such property commences with the 
                taxpayer, and
                    ``(B) with respect to which depreciation (or 
                amortization in lieu of depreciation) is allowable.
            ``(2) Special rule for certain subsidized property.--Rules 
        similar to section 48(a)(4) shall apply for purposes of this 
        section.
            ``(3) Certain qualified progress expenditures rules made 
        applicable.--Rules similar to the rules of subsections (c)(4) 
        and (d) of section 46 (as in effect on the day before the 
        enactment of the Revenue Reconciliation Act of 1990) shall 
        apply for purposes of this section.
    ``(c) Definitions.--For purposes of this section--
            ``(1) Qualifying clean coal project.--
                    ``(A) In general.--The term `qualifying clean coal 
                project' means any project if such project--
                            ``(i) uses--
                                    ``(I) gasification technology (as 
                                defined in section 48B(c)(2)), or
                                    ``(II) the processing of coal, 
                                biomass, or both
                        to produce electricity, qualified 
                        transportation fuels, or substitute natural 
                        gas, and
                            ``(ii)(I) is a new project which is 
                        designed to meet the requirements of 
                        subparagraphs (B), (C), and (D), as applicable, 
                        or
                            ``(II) consists of retrofits to existing 
                        equipment such that the project meets the 
                        requirements of subparagraphs (B), (C), and 
                        (D), as applicable.
                    ``(B) Requirements for electricity production.--
                            ``(i) In general.--In the case of a 
                        qualifying clean coal project which is used to 
                        produce electricity, the project shall meet the 
                        emission requirement of clause (ii) and the 
                        carbon capture requirement of clause (iii).
                            ``(ii) Emission requirement.--The 
                        requirement of this clause is met if the 
                        project is designed--
                                    ``(I) to emit carbon dioxide at an 
                                average annual rate of less than 1,100 
                                pounds per net megawatt hour of 
                                electrical generation, or
                                    ``(II) such that the carbon dioxide 
                                emissions of such project are no 
                                greater than half of the average carbon 
                                dioxide emissions for facilities 
                                producing electricity during 2005 from 
                                the same coal rank as such project, as 
                                determined under regulations prescribed 
                                by the Secretary in consultation with 
                                the Secretary of Energy and the 
                                Administrator of the Environmental 
                                Protection Agency.
                            ``(iii) Carbon capture requirement.--The 
                        requirement of this clause is met--
                                    ``(I) if such unit is among the 
                                first 1,000 megawatts of electric 
                                generation units certified by the 
                                Secretary under subsection (e), to 
                                capture and sequester not less than 
                                500,000 metric tons per year of carbon 
                                dioxide,
                                    ``(II) if such unit is among the 
                                next 3,000 megawatts of electric 
                                generation units certified by the 
                                Secretary under subsection (e), to 
                                capture and sequester not less than 
                                1,000,000 metric tons per year of 
                                carbon dioxide, and
                                    ``(III) for any other unit, to 
                                capture and sequester not less than 
                                2,000,000 metric tons per year of 
                                carbon dioxide.
                    ``(C) Requirements for transportation fuels.--
                            ``(i) In general.--In the case of any 
                        qualifying clean coal project which is used to 
                        produce qualified transportation fuels, such 
                        project shall be designed such that the cycle-
                        wide carbon dioxide emissions for such fuels 
                        are no greater than half of the average cycle-
                        wide carbon dioxide emissions for comparable 
                        products during 2005, as determined under 
                        regulations prescribed by the Secretary in 
                        consultation with the Secretary of Energy and 
                        the Administrator of the Environmental 
                        Protection Agency.
                            ``(ii) Cycle-wide carbon dioxide 
                        emissions.--For purposes of this subparagraph, 
                        the term `cycle-wide carbon dioxide emissions' 
                        means the total emissions of carbon dioxide in 
                        production and consumption of a product.
                            ``(iii) Comparable products.--For purposes 
                        of this subparagraph, the term `comparable 
                        product' means any transportation fuel derived 
                        from crude oil or coal.
                    ``(D) Requirements for substitute natural gas.--In 
                the case of any qualifying clean coal project which is 
                used to produce substitute natural gas, such project 
                shall be designed such that the cycle-wide carbon 
                dioxide emissions for such gas is no greater than half 
                of the average cycle-wide carbon dioxide emissions for 
                such gas during 2005, as determined under regulations 
                prescribed by the Secretary in consultation with the 
                Secretary of Energy and the Administrator of the 
                Environmental Protection Agency. For purposes of this 
                subparagraph, the term `cycle-wide carbon dioxide 
                emissions' means the total emissions of carbon dioxide 
                in production and consumption of a product.
            ``(2) Eligible carbon dioxide capture, transport, and 
        storage property.--The term `eligible carbon dioxide capture, 
        transport, and storage property' means any property--
                    ``(A) which is used to capture, transport, or store 
                carbon dioxide emitted at a qualifying clean coal 
                project, including equipment used to separate and 
                pressurize carbon dioxide for transport (including 
                equipment to operate such equipment),
                    ``(B)(i) the construction, reconstruction, or 
                erection of which is completed by the taxpayer, or
                    ``(ii) which is acquired by the taxpayer if the 
                original use of such property commences with the 
                taxpayer, and
                    ``(C) with respect to which depreciation (or 
                amortization in lieu of depreciation) is allowable.
            ``(3) Qualified transportation fuel.--The term `qualified 
        transportation fuel' means any liquid fuel derived from the co-
        processing of coal and renewable biomass (as defined in section 
        9001(12) of the Food, Conservation, and Energy Act of 2008).
            ``(4) Coal.--The term `coal' means bituminous coal, 
        subbituminous coal, and lignite.
    ``(d) Aggregate Credits.--
            ``(1) In general.--No credit shall be allowed under this 
        section with respect to any qualifying clean coal project 
        unless such project is certified by the Secretary under 
        subsection (e).
            ``(2) Limitation on projects certified.--The Secretary may 
        certify under subsection (e) no more than--
                    ``(A) 20 projects described in subsection 
                (c)(1)(A)(ii)(I), and
                    ``(B) 20 projects described in subsection 
                (c)(1)(A)(ii)(II).
    ``(e) Certification.--
            ``(1) Certification process.--The Secretary, in 
        consultation with the Secretary of Energy and the Administrator 
        of the Environmental Protection Agency, shall establish a 
        certification process to determine if a project meets all 
        criteria and other requirements to be recognized as a 
        qualifying clean coal project.
            ``(2) Feedstock requirements.--After the date of 
        publication by the Secretary of the final certification process 
        referred to in paragraph (1), the Secretary shall allocate the 
        limitation in subsection (d)(2) in equal amounts among--
                    ``(A) projects using bituminous coal as a primary 
                feedstock,
                    ``(B) projects using subbituminous coal as a 
                primary feedstock, and
                    ``(C) projects using lignite as a primary 
                feedstock.
            ``(3) Redistribution.--The Secretary may reallocate credits 
        if the Secretary determines that there is an insufficient 
        quantity of qualifying applications for certification, pending 
        at the time of review, to comply with the feedstock 
        requirements of paragraph (2). The Secretary may conduct an 
        additional program for applications for certification and 
        reallocate available credits without regard to the feedstock 
        requirement which was not satisfied as a result of insufficient 
        applications for certification.
            ``(4) Requirements for applications for certification.--An 
        application for certification shall contain such information as 
        the Secretary may require in order to make a determination to 
        accept or reject the application and establish applicable 
        credit entitlement. Any information contained in the 
        application shall be protected as provided in section 552(b)(4) 
        of title 5, United States Code.
    ``(f) Denial of Double Benefit.--No credit shall be allowed under 
this section for any property for which credit is allowed under 
sections 48A, 48B, or 48C.''.
    (b) Conforming Amendments.--
            (1) Section 46 of such Code (relating to amount of credit) 
        is amended by striking ``and'' at the end of paragraph (5), by 
        striking the period at the end of paragraph (6) and inserting 
        ``, and'', and by adding at the end the following new 
        paragraph:
            ``(7) the qualifying carbon dioxide capture, transport, and 
        storage equipment credit.''.
            (2) Subparagraph (C) of section 49(a)(1) of such Code is 
        amended by striking ``and'' at the end of clause (v), by 
        striking the period at the end of clause (vi) and inserting ``, 
        and'', and by adding after clause (vi) the following new 
        clause:
                            ``(vii) the basis of any qualifying carbon 
                        dioxide capture, transport, and storage 
                        equipment under section 48E.''.
            (3) The table of sections for subpart E of part IV of 
        subchapter A of chapter 1 of such Code is amended by inserting 
        after the item relating to section 48D the following new item:

``Sec. 48E. Qualifying carbon dioxide capture, transport, and storage 
                            equipment credit.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to periods after the date of the enactment of this Act under 
rules similar to the rules of section 48(m) of the Internal Revenue 
Code of 1986 (as in effect on the day before the date of the enactment 
of the Revenue Reconciliation Act of 1990).

SEC. 413. MODIFICATIONS TO CREDIT FOR CARBON DIOXIDE SEQUESTRATION.

    (a) Credit Allowed for Uses Other Than Tertiary Injectants.--
            (1) In general.--Paragraph (2) of section 45Q(a) of the 
        Internal Revenue Code of 1986 is amended to read as follows:
            ``(2) $10 per metric ton of qualified carbon dioxide which 
        is--
                    ``(A) captured by the taxpayer at a qualified 
                facility, and
                    ``(B) either--
                            ``(i) used as a tertiary injectant in a 
                        qualified enhanced oil or natural gas recovery 
                        project and disposed of in secure geological 
                        storage, or
                            ``(ii) converted to a stable form in which 
                        such carbon dioxide is securely and permanently 
                        sequestered and used for a beneficial economic 
                        purpose.''.
            (2) Credit allowed for other secure storage.--Subparagraph 
        (B) of section 45Q(a)(1) of such Code is amended--
                    (A) by striking ``by the taxpayer'' each place it 
                appears; and
                    (B) by inserting ``or converted to a stable form in 
                which it is securely and permanently sequestered'' 
                after ``secure geological storage''.
            (3) Securely and permanently sequestered.--Paragraph (2) of 
        section 45Q(d) is amended--
                    (A) by striking all that precedes ``in consultation 
                with the Administrator'' and inserting the following:
            ``(2) Secure geological storage and permanent 
        sequestration.--
                    ``(A) Secure geological storage.--The Secretary'';
                    (B) by striking ``(2)(C)'' and inserting 
                ``(2)(B)(i)''; and
                    (C) by adding at the end the following new 
                subparagraph:
                    ``(B) Secure permanent sequestration.--The 
                Secretary, in consultation with the Administrator of 
                the Environmental Protection Agency, shall establish 
                regulations for determining adequate security measures 
                for the permanent sequestration of carbon dioxide for 
                uses described in paragraph (1)(B) or (2)(B)(ii) of 
                subsection (a) such that the carbon dioxide does not 
                escape into the atmosphere.''.
            (4) Conforming amendment.--Subparagraph (B) of section 
        45Q(1) of such Code is amended by inserting ``or through secure 
        and permanent sequestration'' after ``secure geological 
        storage''.
    (b) Modification to Definition of Qualified Carbon Dioxide.--
Subparagraph (A) of section 45Q(b)(1) of the Internal Revenue Code of 
1986 is amended by striking ``otherwise'' and inserting ``, but for the 
capture and sequestration or conversion to a stable form,''.
    (c) Person Entitled to Credit.--
            (1) In general.--Paragraph (5) of section 45Q(d) of the 
        Internal Revenue Code of 1986 is amended to read as follows:
            ``(5) Credit attributable to taxpayer.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), any credit under this section shall 
                be attributable to the person that captures and 
                physically or contractually ensures the disposal of or 
                the use as a tertiary injectant of the qualified carbon 
                dioxide.
                    ``(B) Transfer of credit.--A taxpayer may transfer 
                the credit under subsection (a) to the person 
                responsible for disposing, converting, or using the 
                qualified carbon dioxide. Such transfer shall only be 
                effective if the taxpayer submits to the Secretary, at 
                such time and in such manner as the Secretary 
                prescribes, a statement concerning the transfer which 
                contains--
                            ``(i) the name, address, and taxpayer 
                        identification number of the taxpayer 
                        transferring the credit,
                            ``(ii) the name, address, and taxpayer 
                        identification number of the taxpayer receiving 
                        the transfer, and
                            ``(iii) such other information relating to 
                        such transfer as the Secretary may require.''.
            (2) Rules.--Not later than 180 days after the date of the 
        enactment of this Act, the Secretary of the Treasury shall 
        prescribe rules relating to the transfer of credits under 
        section 45Q of the Internal Revenue Code of 1986 pursuant to 
        subparagraph (B) section 45Q(d)(5) of such Code, as added by 
        paragraph (1).
    (d) Extension of Credit.--
            (1) Credit allowed for 10-year credit period.--Paragraphs 
        (1)(A) and (2)(A) of section 45Q(a) of the Internal Revenue 
        Code of 1986 are each amended by inserting ``during the 10-year 
        period beginning on the date the carbon capture equipment 
        described in subsection (c)(2) is placed in service'' before 
        the comma at the end.
            (2) Termination.--Paragraph (2) of section 45Q(c) of such 
        Code is amended by inserting ``by the taxpayer before January 
        1, 2018'' before the comma at the end.
            (3) Conforming amendment.--Section 45Q of such Code is 
        amended by striking subsection (e).
    (e) Effective Date.--The amendments made by this section shall 
apply to carbon dioxide captured after the date of the enactment of 
this Act.

SEC. 414. CLEAN ENERGY COAL BONDS.

    (a) In General.--
            (1) Treatment as tax credit bonds.--Subpart I of part IV of 
        subchapter A of chapter 1 of the Internal Revenue Code of 1986 
        is amended by adding at the end the following new section:

``SEC. 54G. CLEAN ENERGY COAL BONDS.

    ``(a) Clean Energy Coal Bond.--For purposes of this subchapter--
            ``(1) In general.--The term `clean energy coal bond' means 
        any bond issued as part of an issue if--
                    ``(A) the bond is issued by a qualified issuer 
                pursuant to an allocation by the Secretary to such 
                issuer of a portion of the national clean energy coal 
                bond limitation under subsection (b)(2),
                    ``(B) 100 percent of the available project proceeds 
                from the sale of such issue are to be used for capital 
                expenditures incurred by qualified borrowers for 1 or 
                more qualified projects,
                    ``(C) the qualified issuer designates such bond for 
                purposes of this section and the bond is in registered 
                form, and
                    ``(D) in lieu of the requirements of section 
                54A(d)(2), the issue meets the requirements of 
                subsection (c).
            ``(2) Qualified project; special use rules.--
                    ``(A) In general.--The term `qualified project' 
                means a qualified clean coal project (as defined in 
                subsection (f)(1)) placed in service by a qualified 
                borrower.
                    ``(B) Refinancing rules.--For purposes of paragraph 
                (1)(B), a qualified project may be refinanced with 
                proceeds of a clean energy coal bond only if the 
                indebtedness being refinanced (including any obligation 
                directly or indirectly refinanced by such indebtedness) 
                was originally incurred by a qualified borrower after 
                the date of the enactment of this section.
                    ``(C) Reimbursement.--For purposes of paragraph 
                (1)(B), a clean energy coal bond may be issued to 
                reimburse a qualified borrower for amounts paid after 
                the date of the enactment of this section with respect 
                to a qualified project, but only if--
                            ``(i) prior to the payment of the original 
                        expenditure, the qualified borrower declared 
                        its intent to reimburse such expenditure with 
                        the proceeds of a clean energy coal bond,
                            ``(ii) not later than 60 days after payment 
                        of the original expenditure, the qualified 
                        issuer adopts an official intent to reimburse 
                        the original expenditure with such proceeds, 
                        and
                            ``(iii) reimbursement is not made later 
                        than 18 months after the date the original 
                        expenditure is paid or the date the project is 
                        placed in service or abandoned, but in no event 
                        more than 3 years after the original 
                        expenditure is paid.
                    ``(D) Treatment of changes in use.--For purposes of 
                paragraph (1)(B), the proceeds of an issue shall not be 
                treated as used for a qualified project to the extent 
                that a qualified borrower takes any action within its 
                control which causes such proceeds not to be used for a 
                qualified project. The Secretary shall prescribe 
                regulations specifying remedial actions that may be 
                taken (including conditions to taking such remedial 
                actions) to prevent an action described in the 
                preceding sentence from causing a bond to fail to be a 
                clean energy coal bond.
    ``(b) Limitation on Amount of Bonds Designated.--
            ``(1) National limitation.--There is a national clean 
        energy coal bond limitation of $5,000,000,000.
            ``(2) Allocation by secretary.--The Secretary shall 
        allocate the amount described in paragraph (1) among qualified 
        projects in such manner as the Secretary determines 
        appropriate.
    ``(c) Special Rules Relating to Expenditures.--
            ``(1) In general.--An issue shall be treated as meeting the 
        requirements of this subsection if, as of the date of issuance, 
        the qualified issuer reasonably expects--
                    ``(A) 100 percent or more of the available project 
                proceeds from the sale of the issue are to be spent for 
                1 or more qualified projects within the 5-year period 
                beginning on the date of issuance of the clean energy 
                bond,
                    ``(B) a binding commitment with a third party to 
                spend at least 10 percent of such available project 
                proceeds from the sale of the issue will be incurred 
                within the 6-month period beginning on the date of 
                issuance of the clean energy bond or, in the case of a 
                clean energy bond the available project proceeds of 
                which are to be loaned to 2 or more qualified 
                borrowers, such binding commitment will be incurred 
                within the 6-month period beginning on the date of the 
                loan of such proceeds to a qualified borrower, and
                    ``(C) such projects will be completed with due 
                diligence and the available project proceeds from the 
                sale of the issue will be spent with due diligence.
            ``(2) Extension of period.--Upon submission of a request 
        prior to the expiration of the period described in paragraph 
        (1)(A), the Secretary may extend such period if the qualified 
        issuer establishes that the failure to satisfy the 5-year 
        requirement is due to reasonable cause and the related projects 
        will continue to proceed with due diligence.
            ``(3) Failure to spend required amount of bond proceeds 
        within 5 years.--To the extent that less than 100 percent of 
        the available project proceeds of such issue are expended by 
        the close of the 5-year period beginning on the date of 
        issuance (or if an extension has been obtained under paragraph 
        (2), by the close of the extended period), the qualified issuer 
        shall redeem all of the nonqualified bonds within 90 days after 
        the end of such period. For purposes of this paragraph, the 
        amount of the nonqualified bonds required to be redeemed shall 
        be determined in the same manner as under section 142.
    ``(d) Reduced Credit Amount.--The annual credit determined under 
section 54A(b) with respect to any clean coal energy bond shall be 70 
percent of the amount so determined without regard to this subsection.
    ``(e) Cooperative Electric Company; Qualified Energy Tax Credit 
Bond Lender; Governmental Body; Qualified Borrower.--For purposes of 
this section--
            ``(1) Cooperative electric company.--The term `cooperative 
        electric company' means a mutual or cooperative electric 
        company described in section 501(c)(12) or section 
        1381(a)(2)(C), or a not-for-profit electric utility which has 
        received a loan or loan guarantee under the Rural 
        Electrification Act.
            ``(2) Clean energy bond lender.--The term `clean energy 
        bond lender' means a lender which is a cooperative which is 
        owned by, or has outstanding loans to, 100 or more cooperative 
        electric companies and is in existence on February 1, 2002, and 
        shall include any affiliated entity which is controlled by such 
        lender.
            ``(3) Public power entity.--The term `public power entity' 
        means a State utility with a service obligation, as such terms 
        are defined in section 217 of the Federal Power Act (as in 
        effect on the date of enactment of this paragraph).
            ``(4) Qualified issuer.--The term `qualified issuer' 
        means--
                    ``(A) a clean energy bond lender,
                    ``(B) a cooperative electric company, or
                    ``(C) a public power entity.
            ``(5) Qualified borrower.--The term `qualified borrower' 
        means--
                    ``(A) a mutual or cooperative electric company 
                described in section 501(c)(12) or 1381(a)(2)(C), or
                    ``(B) a public power entity.
    ``(f) Special Rules Relating to Pool Bonds.--No portion of a pooled 
financing bond may be allocable to any loan unless the borrower has 
entered into a written loan commitment for such portion prior to the 
issue date of such issue.
    ``(g) Other Definitions and Special Rules.--For purposes of this 
section--
            ``(1) Qualified clean coal project.--For purposes of this 
        section, the term `qualified clean coal project' means--
                    ``(A) an atmospheric pollution control facility 
                (within the meaning of section 169(d)(6)),
                    ``(B) a qualifying clean coal project (within the 
                meaning of section 48E(c)(1)), or
                    ``(C) a qualified facility (within the meaning of 
                section 45Q(c)).
            ``(2) Pooled financing bond.--The term `pooled financing 
        bond' shall have the meaning given such term by section 
        149(f)(4)(A).''.
            (2) Bonds not subject to maturity limitation.--Paragraph 
        (5) of section 54A(d) of such Code is amended by adding at the 
        end the following new subparagraph:
                    ``(C) Special rule for clean energy coal bonds.--
                The requirements of this paragraph shall not apply to a 
                clean energy coal bond under section 54G.''.
            (3) Conforming amendments.--
                    (A) Paragraph (1) of section 54A(d) of the Internal 
                Revenue Code of 1986 is amended by striking ``or'' at 
                the end of subparagraph (D), by inserting ``or'' at the 
                end of subparagraph (E), and by inserting after 
                subparagraph (E) the following new subparagraph:
                    ``(F) a clean energy coal bond,''.
                    (B) The table of sections for subpart I of part IV 
                of subchapter A of chapter 1 of the Internal Revenue 
                Code of 1986 is amended by adding at the end the 
                following new item:

``Sec. 54G. Clean energy coal bonds.''.
    (b) Bonds Treated as Specified Tax Credit Bonds.--
            (1) In general.--Section 6431(f)(3)(A) of the Internal 
        Revenue Code of 1986 is amended by striking ``or'' at the end 
        of clause (iii), by striking ``and'' at the end of clause (iv) 
        and inserting ``or'', and by adding at the end the following 
        new clause:
                            ``(v) a clean energy coal bond (as defined 
                        in section 54G), and''.
            (2) Special rule.--Paragraph (2) of section 6431(f) of such 
        Code is amended--
                    (A) by striking ``clause (i) or (ii)'' and 
                inserting ``clause (i), (ii), or (v)''; and
                    (B) by striking the heading and inserting ``Special 
                rule for certain bonds''.
    (c) Effective Date.--The amendments made by this section shall 
apply to bonds issued after the date of the enactment of this Act.

SEC. 415. NEW CLEAN RENEWABLE ENERGY BONDS.

    (a) In General.--Subsection (c) of section 54C of the Internal 
Revenue Code of 1986 is amended by adding at the end the following new 
paragraph:
            ``(5) Second additional limitation.--Subject to paragraph 
        (4), the national new clean renewable energy bond limitation 
        shall be increased by $1,600,000,000. Such increase shall be 
        allocated by the Secretary consistent with the rules of 
        paragraphs (2) and (3).''.
    (b) Effective Date.--The amendment made by this section shall apply 
to allocations after December 31, 2010.

SEC. 416. SEVEN-YEAR ACCELERATED DEPRECIATION FOR NEW NUCLEAR POWER 
              FACILITIES.

    (a) In General.--Subparagraph (C) of section 168(e)(3) of the 
Internal Revenue Code of 1986 (relating to 7-year property) is 
amended--
            (1) by striking ``and'' at the end of clause (iv);
            (2) by redesignating clause (v) as clause (vi); and
            (3) by inserting after clause (iv) the following new 
        clause:
                            ``(v) any qualified nuclear power facility 
                        the original use of which commences with the 
                        taxpayer.''.
    (b) Qualified Nuclear Power Facility.--Section 168(e) of the 
Internal Revenue Code of 1986 is amended by adding at the end the 
following new paragraph:
            ``(9) Qualified nuclear power facility.--The term 
        `qualified nuclear power facility' means an advanced nuclear 
        facility (as defined in section 45J(d)(2))--
                    ``(A) which, when placed in service, will use 
                nuclear power to produce electricity,
                    ``(B) the construction of which is approved by the 
                Nuclear Regulatory Commission on or before December 31, 
                2013, and
                    ``(C) which is placed in service before January 1, 
                2021.''.
    (c) Conforming Amendment.--Section 168(e)(3)(E)(vii) of the 
Internal Revenue Code of 1986 is amended by inserting ``and not 
described in subparagraph (C)(v) of this paragraph'' after ``section 
1245(a)(3)''.
    (d) Effective Date.--The amendments made by this section shall 
apply to property placed in service in taxable years beginning after 
the date of enactment of this Act.

SEC. 417. LONG TERM EXTENSION OF RENEWABLE ELECTRICITY PRODUCTION 
              CREDIT.

    Subsection (d) of section 45 of the Internal Revenue Code of 1986 
is amended--
            (1) by striking ``January 1, 2013'' in paragraph (1) and 
        inserting ``January 1, 2017''; and
            (2) by striking ``January 1, 2014'' each place it appears 
        in paragraphs (2), (3), (4), (6), (7), (9), and (11) and 
        inserting ``January 1, 2017''.

                  TITLE V--DOMESTIC ENERGY DEPLOYMENT

                   Subtitle A--Clean Energy Financing

SEC. 501. PURPOSE.

    The purpose of this subtitle is to promote the domestic development 
and deployment of clean energy technologies required for the 21st 
century through the improvement of existing programs and the 
establishment of a self-sustaining Clean Energy Deployment 
Administration that will provide for an attractive investment 
environment through partnership with and support of the private capital 
market in order to promote access to affordable financing for 
accelerated and widespread deployment of--
            (1) clean energy technologies;
            (2) advanced or enabling energy infrastructure 
        technologies;
            (3) energy efficiency technologies in residential, 
        commercial, and industrial applications, including end-use 
        efficiency in buildings; and
            (4) manufacturing technologies for any of the technologies 
        or applications described in this section.

SEC. 502. DEFINITIONS.

    In this subtitle:
            (1) Administration.--The term ``Administration'' means the 
        Clean Energy Deployment Administration established by section 
        505.
            (2) Administrator.--The term ``Administrator'' means the 
        Administrator of the Administration.
            (3) Advisory council.--The term ``Advisory Council'' means 
        the Energy Technology Advisory Council of the Administration.
            (4) Breakthrough technology.--The term ``breakthrough 
        technology'' means a clean energy technology that--
                    (A) presents a significant opportunity to advance 
                the goals developed under section 504, as assessed 
                under the methodology established by the Advisory 
                Council; but
                    (B) has generally not been considered a 
                commercially ready technology as a result of high 
                perceived technology risk or other similar factors.
            (5) Clean energy technology.--The term ``clean energy 
        technology'' means a technology related to the production, use, 
        transmission, storage, control, or conservation of energy that 
        will--
                    (A) reduce the need for additional energy supplies 
                by using existing energy supplies with greater 
                efficiency or by transmitting, distributing, or 
                transporting energy with greater effectiveness through 
                the infrastructure of the United States;
                    (B) diversify the sources of energy supply of the 
                United States to strengthen energy security and to 
                increase supplies with a favorable balance of 
                environmental effects if the entire technology system 
                is considered; or
                    (C) contribute to a stabilization of atmospheric 
                greenhouse gas concentrations through reduction, 
                avoidance, or sequestration of energy-related 
                emissions.
            (6) Cost.--The term ``cost'' has the meaning given the term 
        in section 502 of the Federal Credit Reform Act of 1990 (2 
        U.S.C. 661a).
            (7) Direct loan.--The term ``direct loan'' has the meaning 
        given the term in section 502 of the Federal Credit Reform Act 
        of 1990 (2 U.S.C. 661a).
            (8) Fund.--The term ``Fund'' means the Clean Energy 
        Investment Fund established by section 503(a).
            (9) Loan guarantee.--The term ``loan guarantee'' has the 
        meaning given the term in section 502 of the Federal Credit 
        Reform Act of 1990 (2 U.S.C. 661a).
            (10) National laboratory.--The term ``National Laboratory'' 
        has the meaning given the term in section 2 of the Energy 
        Policy Act of 2005 (42 U.S.C. 15801).
            (11) Secretary.--The term ``Secretary'' means the Secretary 
        of Energy.
            (12) Security.--The term ``security'' has the meaning given 
        the term in section 2 of the Securities Act of 1933 (15 U.S.C. 
        77b).
            (13) State.--The term ``State'' means--
                    (A) a State;
                    (B) the District of Columbia;
                    (C) the Commonwealth of Puerto Rico; and
                    (D) any other territory or possession of the United 
                States.
            (14) Technology risk.--The term ``technology risk'' means 
        the risks during construction or operation associated with the 
        design, development, and deployment of clean energy 
        technologies (including the cost, schedule, performance, 
        reliability and maintenance, and accounting for the perceived 
        risk), from the perspective of commercial lenders, that may be 
        increased as a result of the absence of adequate historical 
        construction, operating, or performance data from commercial 
        applications of the technology.

SEC. 503. IMPROVEMENTS TO EXISTING PROGRAMS.

    (a) Clean Energy Investment Fund.--
            (1) Establishment.--There is established in the Treasury of 
        the United States a revolving fund, to be known as the ``Clean 
        Energy Investment Fund'', consisting of--
                    (A) such amounts as have been appropriated for 
                administrative expenses to carry out title XVII of the 
                Energy Policy Act of 2005 (42 U.S.C. 16511 et seq.);
                    (B) such amounts as are deposited in the Fund under 
                this subtitle and amendments made by this subtitle; and
                    (C) such sums as may be appropriated to supplement 
                the Fund.
            (2) Expenditures from fund.--
                    (A) In general.--Notwithstanding section 1705(e) of 
                the Energy Policy Act of 2005 (42 U.S.C. 16516(e)), 
                amounts in the Fund shall be available to the Secretary 
                for obligation without fiscal year limitation, to 
                remain available until expended.
                    (B) Administrative expenses.--
                            (i) Fees.--Fees collected for 
                        administrative expenses shall be available 
                        without limitation to cover applicable 
                        expenses.
                            (ii) Fund.--To the extent that 
                        administrative expenses are not reimbursed 
                        through fees, an amount not to exceed 1.5 
                        percent of the amounts in the Fund as of the 
                        beginning of each fiscal year shall be 
                        available to pay the administrative expenses 
                        for the fiscal year necessary to carry out 
                        title XVII of the Energy Policy Act of 2005 (42 
                        U.S.C. 16511 et seq.).
            (3) Transfers of amounts.--
                    (A) In general.--The amounts required to be 
                transferred to the Fund under this subsection shall be 
                transferred at least monthly from the general fund of 
                the Treasury to the Fund on the basis of estimates made 
                by the Secretary of the Treasury.
                    (B) Cash flows.--Cash flows associated with costs 
                of the Fund described in section 502(5)(B) of the 
                Federal Credit Reform Act of 1990 (2 U.S.C. 661a(5)(B)) 
                shall be transferred to appropriate credit accounts.
                    (C) Adjustments.--Proper adjustment shall be made 
                in amounts subsequently transferred to the extent prior 
                estimates were in excess of or less than the amounts 
                required to be transferred.
    (b) Revisions to Loan Guarantee Program Authority.--
            (1) Definition of commercial technology.--Section 1701(1) 
        of the Energy Policy Act of 2005 (42 U.S.C. 16511(1)) is 
        amended by striking subparagraph (B) and inserting the 
        following:
                    ``(B) Exclusion.--The term `commercial technology' 
                does not include a technology if the sole use of the 
                technology is in connection with--
                            ``(i) a demonstration project; or
                            ``(ii) a project for which the Secretary 
                        approved a loan guarantee.''.
            (2) Specific appropriation or contribution.--Section 1702 
        of the Energy Policy Act of 2005 (42 U.S.C. 16512) is amended 
        by striking subsection (b) and inserting the following:
    ``(b) Specific Appropriation or Contribution.--
            ``(1) In general.--No guarantee shall be made unless 
        sufficient amounts to account for the cost are available--
                    ``(A) in unobligated balances within the Clean 
                Energy Investment Fund established under section 503(a) 
                of the Fulfilling U.S. Energy Leadership Act of 2011;
                    ``(B) as a payment from the borrower and the 
                payment is deposited in the Clean Energy Investment 
                Fund; or
                    ``(C) in any combination of balances and payments 
                described in subparagraphs (A) and (B), respectively.
            ``(2) Limitation.--The source of payments received from a 
        borrower under paragraph (1)(B) shall not be a loan or other 
        debt obligation that is made or guaranteed by the Federal 
        Government.
            ``(3) Relation to other laws.--Section 504(b) of the 
        Federal Credit Reform Act of 1990 (2 U.S.C. 661c(b)) shall not 
        apply to a loan or loan guarantee under this section.''.
            (3) Subrogation.--Section 1702(g)(2) of the Energy Policy 
        Act of 2005 (42 U.S.C. 16512(g)(2)) is amended by striking 
        subparagraphs (B) and (C) and inserting the following:
                    ``(B) Superiority of rights.--Except as provided in 
                subparagraph (C), the rights of the Secretary, with 
                respect to any property acquired pursuant to a 
                guarantee or related agreements, shall be superior to 
                the rights of any other person with respect to the 
                property.
                    ``(C) Terms and conditions.--A guarantee agreement 
                shall include such detailed terms and conditions as the 
                Secretary determines appropriate to--
                            ``(i) protect the interests of the United 
                        States in the case of default;
                            ``(ii) have available all the patents and 
                        technology necessary for any person selected, 
                        including the Secretary, to complete and 
                        operate the project;
                            ``(iii) provide for sharing the proceeds 
                        received from the sale of project assets with 
                        other creditors or control the disposition of 
                        project assets if necessary to protect the 
                        interests of the United States in the case of 
                        default; and
                            ``(iv) provide such lien priority in 
                        project assets as necessary to protect the 
                        interests of the United States in the case of a 
                        default.''.
            (4) Fees.--Section 1702(h) of the Energy Policy Act of 2005 
        (42 U.S.C. 16512(h)) is amended by striking paragraph (2) and 
        inserting the following:
            ``(2) Availability.--Fees collected under this subsection 
        shall--
                    ``(A) be deposited by the Secretary in the Clean 
                Energy Investment Fund established under section 503(a) 
                of the Fulfilling U.S. Energy Leadership Act of 2011; 
                and
                    ``(B) remain available to the Secretary for 
                expenditure, without further appropriation or fiscal 
                year limitation, for administrative expenses incurred 
                in carrying out this title.
            ``(3) Adjustment.--The Secretary may adjust the amount or 
        manner of collection of fees under this title as the Secretary 
        determines is necessary to promote, to the maximum extent 
        practicable, eligible projects under this title.
            ``(4) Excess fees.--Of the amount of a fee imposed on an 
        applicant at the conditional commitment stage, 75 percent of 
        the amount shall be refundable to the applicant if there is no 
        financial close on the application, unless the Secretary 
        determines that the administrative costs of the Department have 
        exceeded the amount retained.
            ``(5) Credit report.--If, in the opinion of the Secretary, 
        the credit rating of an applicant is not relevant to the 
        determination of whether or not support will be provided and 
        the applicant agrees to accept the credit rating assigned to 
        the applicant by the Secretary, the Secretary may waive any 
        requirement to provide a third-party credit report.''.
            (5) Processing.--Section 1702 of the Energy Policy Act of 
        2005 (42 U.S.C. 16512) is amended by adding at the end the 
        following:
    ``(k) Accelerated Reviews.--To the maximum extent practicable and 
consistent with sound business practices, the Secretary shall seek to 
conduct necessary reviews concurrently of an application for a loan 
guarantee under this title such that decisions as to whether to enter 
into a commitment on the application can be issued not later than 180 
days after the date of submission of a completed application.''.
            (6) Wage rates.--Section 1705(c) of the Energy Policy Act 
        of 2005 (42 U.S.C. 16516(c)) is amended by striking ``support 
        under this section'' and inserting ``support under this 
        title''.

SEC. 504. ENERGY TECHNOLOGY DEPLOYMENT GOALS.

    (a) Goals.--Not later than 1 year after the date of enactment of 
this Act, the Secretary, after consultation with the Advisory Council, 
shall develop and publish for review and comment in the Federal 
Register near-, medium-, and long-term goals (including numerical 
performance targets at appropriate intervals to measure progress toward 
those goals) for the deployment of clean energy technologies through 
the credit support programs established by this subtitle (including an 
amendment made by this subtitle) to promote--
            (1) sufficient electric generating capacity using clean 
        energy technologies to meet the energy needs of the United 
        States;
            (2) clean energy technologies in vehicles and fuels that 
        will substantially reduce the reliance of the United States on 
        foreign sources of energy and insulate consumers from the 
        volatility of world energy markets;
            (3) a domestic commercialization and manufacturing capacity 
        that will establish the United States as a world leader in 
        clean energy technologies across multiple sectors;
            (4) installation of sufficient infrastructure to allow for 
        the cost-effective deployment of clean energy technologies 
        appropriate to each region of the United States;
            (5) the transformation of the building stock of the United 
        States to zero net energy consumption;
            (6) the recovery, use, and prevention of waste energy;
            (7) domestic manufacturing of clean energy technologies on 
        a scale that is sufficient to achieve price parity with 
        conventional energy sources;
            (8) domestic production of commodities and materials (such 
        as steel, chemicals, polymers, and cement) using clean energy 
        technologies so that the United States will become a world 
        leader in environmentally sustainable production of the 
        commodities and materials;
            (9) a robust, efficient, and interactive electricity 
        transmission grid that will allow for the incorporation of 
        clean energy technologies, distributed generation, smart grid 
        functions, and demand-response in each regional electric grid;
            (10) sufficient availability of financial products to allow 
        owners and users of residential, retail, commercial, and 
        industrial buildings to make energy efficiency and distributed 
        generation technology investments with reasonable payback 
        periods; and
            (11) such other goals as the Secretary, in consultation 
        with the Advisory Council, determines to be consistent with the 
        purposes of this subtitle.
    (b) Revisions.--The Secretary shall revise the goals established 
under subsection (a), from time to time as appropriate, to account for 
advances in technology and changes in energy policy.

SEC. 505. CLEAN ENERGY DEPLOYMENT ADMINISTRATION.

    (a) Establishment.--
            (1) In general.--There is established in the Department of 
        Energy an administration to be known as the Clean Energy 
        Deployment Administration, under the direction of the 
        Administrator and the Board of Directors.
            (2) Status.--
                    (A) In general.--The Administration (including 
                officers, employees, and agents of the Administration) 
                shall not be responsible to, or subject to the 
                authority, direction, or control of, any other officer, 
                employee, or agent of the Department of Energy other 
                than the Secretary, acting through the Administrator.
                    (B) Exemption from reorganization.--The 
                Administration shall be exempt from the reorganization 
                authority provided under section 643 of the Department 
                of Energy Organization Act (42 U.S.C. 7253).
                    (C) Inspector general.--Section 12 of the Inspector 
                General Act of 1978 (5 U.S.C. App.) is amended--
                            (i) in paragraph (1), by inserting ``the 
                        Administrator of the Clean Energy Deployment 
                        Administration;'' after ``Export-Import 
                        Bank;''; and
                            (ii) in paragraph (2), by inserting ``the 
                        Clean Energy Deployment Administration,'' after 
                        ``Export-Import Bank,''.
            (3) Offices.--
                    (A) Principal office.--The Administration shall--
                            (i) maintain the principal office of the 
                        Administration in the District of Columbia; and
                            (ii) for purposes of venue in civil 
                        actions, be considered to be a resident of the 
                        District of Columbia.
                    (B) Other offices.--The Administration may 
                establish other offices in such other places as the 
                Administration considers necessary or appropriate for 
                the conduct of the business of the Administration.
    (b) Administrator.--
            (1) In general.--The Administrator shall be--
                    (A) appointed by the President, with the advice and 
                consent of the Senate, for a 5-year term; and
                    (B) compensated at the annual rate of basic pay 
                prescribed for level II of the Executive Schedule under 
                section 5313 of title 5, United States Code.
            (2) Duties.--The Administrator shall--
                    (A) serve as the Chief Executive Officer of the 
                Administration and Chairman of the Board;
                    (B) ensure that--
                            (i) the Administration operates in a safe 
                        and sound manner, including maintenance of 
                        adequate capital and internal controls 
                        (consistent with section 404 of the Sarbanes-
                        Oxley Act of 2002 (15 U.S.C. 7262));
                            (ii) the operations and activities of the 
                        Administration foster liquid, efficient, 
                        competitive, and resilient energy and energy 
                        efficiency finance markets;
                            (iii) the Administration carries out the 
                        purposes of this subtitle only through 
                        activities that are authorized under and 
                        consistent with this subtitle; and
                            (iv) the activities of the Administration 
                        and the manner in which the Administration is 
                        operated are consistent with the public 
                        interest;
                    (C) develop policies and procedures for the 
                Administration that will--
                            (i) promote a self-sustaining portfolio of 
                        investments that will maximize the value of 
                        investments to effectively promote clean energy 
                        technologies;
                            (ii) promote transparency and openness in 
                        Administration operations;
                            (iii) afford the Administration with 
                        sufficient flexibility to meet the purposes of 
                        this subtitle;
                            (iv) provide for the efficient processing 
                        of applications;
                            (v) promote, consistent with the purposes 
                        of this Act, the participation of private 
                        financial institutions and other sources of 
                        private capital, on commercially reasonable 
                        terms, if and to the extent the capital is 
                        available; and
                            (vi) promote the availability of financial 
                        products to small business through working with 
                        entities that have appropriate expertise 
                        extending credit or other relevant financial 
                        services to small companies developing clean 
                        energy technologies; and
                    (D) with the concurrence of the Board, set expected 
                loss reserves for the support provided by the 
                Administration consistent with section 506(a)(1)(C).
    (c) Board of Directors.--
            (1) In general.--The Board of Directors of the 
        Administration shall consist of--
                    (A) the Secretary or the designee of the Secretary, 
                who shall serve as an ex-officio voting member of the 
                Board of Directors;
                    (B) the Administrator, who shall serve as the 
                Chairman of the Board of Directors; and
                    (C) 7 additional members who shall--
                            (i) be appointed by the President, with the 
                        advice and consent of the Senate, for staggered 
                        5-year terms; and
                            (ii) have experience in banking or 
                        financial services relevant to the operations 
                        of the Administration, including individuals 
                        with substantial experience in the development 
                        of energy projects, the electricity generation 
                        sector, the transportation sector, the 
                        manufacturing sector, and the energy efficiency 
                        sector.
            (2) Duties.--The Board of Directors shall--
                    (A) oversee the operations of the Administration 
                and ensure industry best practices are followed in all 
                financial transactions involving the Administration;
                    (B) consult with the Administrator on the general 
                policies and procedures of the Administration to ensure 
                the interests of the taxpayers are protected;
                    (C) ensure the portfolio of investments are 
                consistent with purposes of this subtitle and with the 
                long-term financial stability of the Administration;
                    (D) ensure that the operations and activities of 
                the Administration are consistent with the development 
                of a robust private sector that can provide commercial 
                loans or financing products; and
                    (E) not serve on a full-time basis, except that the 
                Board of Directors shall meet at least quarterly to 
                review, as appropriate, applications for credit support 
                and set policies and procedures as necessary.
            (3) Removal.--An appointed member of the Board of Directors 
        may be removed from office by the President for good cause.
            (4) Vacancies.--An appointed seat on the Board of Directors 
        that becomes vacant shall be filled by appointment by the 
        President, but only for the unexpired portion of the term of 
        the vacating member.
            (5) Compensation of members.--An appointed member of the 
        Board of Directors shall be compensated at a rate equal to the 
        daily equivalent of the annual rate of basic pay prescribed for 
        level III of the Executive Schedule under section 5314 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 Board of Directors.
    (d) Energy Technology Advisory Council.--
            (1) In general.--The Administration shall have an Energy 
        Technology Advisory Council consisting of--
                    (A) 5 members selected by the Secretary; and
                    (B) 3 members selected by the Board of Directors of 
                the Administration.
            (2) Qualifications.--The members of the Advisory Council 
        shall--
                    (A) have relevant scientific expertise; and
                    (B) in the case of the members selected by the 
                Secretary under paragraph (1)(A), include 
                representatives of--
                            (i) the academic community;
                            (ii) the private research community;
                            (iii) National Laboratories;
                            (iv) the technology or project development 
                        community; and
                            (v) the commercial energy financing and 
                        operations sector.
            (3) Duties.--The Advisory Council shall--
                    (A) develop and publish for comment in the Federal 
                Register a methodology for assessment of clean energy 
                technologies that will allow the Administration to 
                evaluate projects based on the progress likely to be 
                achieved per-dollar invested in maximizing the 
                attributes of the definition of clean energy 
                technology, taking into account the extent to which 
                support for a clean energy technology is likely to 
                accrue subsequent benefits that are attributable to a 
                commercial scale deployment taking place earlier than 
                that which otherwise would have occurred without the 
                support; and
                    (B) advise on the technological approaches that 
                should be supported by the Administration to meet the 
                technology deployment goals established by the 
                Secretary pursuant to section 504.
            (4) Term.--
                    (A) In general.--Members of the Advisory Council 
                shall have 5-year staggered terms, as determined by the 
                Secretary and the Administrator.
                    (B) Reappointment.--A member of the Advisory 
                Council may be reappointed.
            (5) Compensation.--A member of the Advisory Council, who is 
        not otherwise compensated as a Federal employee, 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 
        Advisory Council.
    (e) Staff.--
            (1) In general.--The Administrator, in consultation with 
        the Board of Directors, may--
                    (A) appoint and terminate such officers, attorneys, 
                employees, and agents as are necessary to carry out 
                this subtitle; and
                    (B) vest those personnel with such powers and 
                duties as the Administrator may determine.
            (2) Direct hire authority.--
                    (A) In general.--Notwithstanding section 3304 and 
                sections 3309 through 3318 of title 5, United States 
                Code, the Administrator may, on a determination that 
                there is a severe shortage of candidates or a critical 
                hiring need for particular positions, recruit and 
                directly appoint highly qualified critical personnel 
                with specialized knowledge important to the function of 
                the Administration into the competitive service.
                    (B) Exception.--The authority granted under 
                subparagraph (A) shall not apply to positions in the 
                excepted service or the Senior Executive Service.
                    (C) Requirements.--In exercising the authority 
                granted under subparagraph (A), the Administrator shall 
                ensure that any action taken by the Administrator--
                            (i) is consistent with the merit principles 
                        of section 2301 of title 5, United States Code; 
                        and
                            (ii) complies with the public notice 
                        requirements of section 3327 of title 5, United 
                        States Code.
                    (D) Termination of effectiveness.--The authority 
                provided by this paragraph terminates effective on the 
                date that is 2 years after the date of enactment of 
                this Act.
            (3) Critical pay authority.--
                    (A) In general.--Notwithstanding section 5377 of 
                title 5, United States Code, and without regard to the 
                provisions of that title governing appointments in the 
                competitive service or the Senior Executive Service and 
                chapters 51 and 53 of that title (relating to 
                classification and pay rates), the Administrator may 
                establish, fix the compensation of, and appoint 
                individuals to critical positions needed to carry out 
                the functions of the Administration, if the 
                Administrator certifies that--
                            (i) the positions require expertise of an 
                        extremely high level in a financial, technical, 
                        or scientific field;
                            (ii) the Administration would not 
                        successfully accomplish an important mission 
                        without such an individual; and
                            (iii) exercise of the authority is 
                        necessary to recruit an individual who is 
                        exceptionally well qualified for the position.
                    (B) Limitations.--The authority granted under 
                subparagraph (A) shall be subject to the following 
                conditions:
                            (i) The number of critical positions 
                        authorized by subparagraph (A) may not exceed 
                        20 at any one time in the Administration.
                            (ii) The term of an appointment under 
                        subparagraph (A) may not exceed 4 years.
                            (iii) An individual appointed under 
                        subparagraph (A) may not have been an 
                        Administration employee at any time during the 
                        2-year period preceding the date of 
                        appointment.
                            (iv) Total annual compensation for any 
                        individual appointed under subparagraph (A) may 
                        not exceed the highest total annual 
                        compensation payable at the rate determined 
                        under section 104 of title 3, United States 
                        Code.
                            (v) An individual appointed under 
                        subparagraph (A) may not be considered to be an 
                        employee for purposes of subchapter II of 
                        chapter 75 of title 5, United States Code.
                    (C) Notification.--Each year, the Administrator 
                shall submit to Congress a notification that lists each 
                individual appointed under this paragraph.

SEC. 506. ADMINISTRATION FUNCTIONS.

    (a) Operational Units.--
            (1) Direct support.--
                    (A) In general.--The Administration may issue 
                direct loans, letters of credit, loan guarantees, 
                insurance products, or such other credit enhancements 
                (including through participation as a co-lender or a 
                lending member of a syndication) as the Administrator 
                considers appropriate to deploy clean energy 
                technologies if the Administrator has determined that 
                deployment of the technologies would benefit or be 
                accelerated by the support.
                    (B) Eligibility criteria.--In carrying out this 
                paragraph and awarding credit support to projects, the 
                Administrator shall account for--
                            (i) how the technology rates based on an 
                        evaluation methodology established by the 
                        Advisory Council;
                            (ii) how the project fits with the goals 
                        established under section 504; and
                            (iii) the potential for the applicant to 
                        successfully complete the project.
                    (C) Risk.--
                            (i) Expected loan loss reserve.--The 
                        Administrator shall establish an expected loan 
                        loss reserve to account for estimated losses 
                        attributable to activities under this section 
                        that is consistent with the purposes of--
                                    (I) developing breakthrough 
                                technologies to the point at which 
                                technology risk is largely mitigated;
                                    (II) achieving widespread 
                                deployment and advancing the commercial 
                                viability of clean energy technologies; 
                                and
                                    (III) advancing the goals 
                                established under section 504.
                            (ii) Initial expected loan loss reserve.--
                        Until such time as the Administrator determines 
                        sufficient data exist to establish an expected 
                        loan loss reserve that is appropriate, the 
                        Administrator shall consider establishing an 
                        initial rate of 10 percent for the portfolio of 
                        investments under this subtitle.
                            (iii) Portfolio investment approach.--The 
                        Administration shall--
                                    (I) use a portfolio investment 
                                approach to mitigate risk and diversify 
                                investments across technologies;
                                    (II) to the maximum extent 
                                practicable and consistent with long-
                                term self-sufficiency, weigh the 
                                portfolio of investments in projects to 
                                advance the goals established under 
                                section 504; and
                                    (III) consistent with the expected 
                                loan loss reserve established under 
                                this subparagraph, the purposes of this 
                                subtitle, and section 505(b)(2)(B), 
                                provide the maximum practicable 
                                percentage of support to promote 
                                breakthrough technologies.
                            (iv) Loss rate review.--
                                    (I) In general.--The Board of 
                                Directors shall review on an annual 
                                basis the loss rates of the portfolio 
                                to determine the adequacy of the 
                                reserves.
                                    (II) Report.--Not later than 90 
                                days after the date of the initiation 
                                of the review, the Administrator shall 
                                submit to the Committee on Energy and 
                                Natural Resources of the Senate and the 
                                Committee on Energy and Commerce of the 
                                House of Representatives a report 
                                describing the results of the review 
                                and any recommended policy changes.
                    (D) Application review.--
                            (i) In general.--To the maximum extent 
                        practicable and consistent with sound business 
                        practices, the Administration shall seek to 
                        consolidate reviews of applications for credit 
                        support under this subtitle such that final 
                        decisions on applications can generally be 
                        issued not later than 180 days after the date 
                        of submission of a completed application.
                            (ii) Environmental review.--In carrying out 
                        this subtitle, the Administration shall, to the 
                        maximum extent practicable--
                                    (I) avoid duplicating efforts that 
                                have already been undertaken by other 
                                agencies (including State agencies 
                                acting under Federal programs); and
                                    (II) with the advice of the Council 
                                on Environmental Quality and any other 
                                applicable agencies, use the 
                                administrative records of similar 
                                reviews conducted throughout the 
                                executive branch to develop the most 
                                expeditious review process practicable.
                    (E) Wage rate requirements.--
                            (i) In general.--No credit support shall be 
                        issued under this section unless the borrower 
                        has provided to the Administrator reasonable 
                        assurances that all laborers and mechanics 
                        employed by contractors and subcontractors in 
                        the performance of construction work financed 
                        in whole or in part by the Administration will 
                        be paid wages at rates not less than those 
                        prevailing on projects of a character similar 
                        to the contract work in the civil subdivision 
                        of the State in which the contract work is to 
                        be performed as determined by the Secretary of 
                        Labor in accordance with subchapter IV of 
                        chapter 31 of part A of subtitle II of title 
                        40, United States Code.
                            (ii) Labor standards.--With respect to the 
                        labor standards specified in this section, the 
                        Secretary of Labor shall have the authority and 
                        functions set forth in Reorganization Plan 
                        Numbered 14 of 1950 (64 Stat. 1267; 5 U.S.C. 
                        App.) and section 3145 of title 40, United 
                        States Code.
            (2) Indirect support.--
                    (A) In general.--The Administration shall work to 
                develop financial products and arrangements to both 
                promote the widespread deployment of, and mobilize 
                private sector support of credit and investment 
                institutions for, clean energy technologies by 
                facilitating aggregation of small projects and by 
                providing indirect credit support, including credit 
                enhancement.
                    (B) Financial products.--The Administration--
                            (i) in cooperation with Federal, State, 
                        local, and private sector entities, shall 
                        develop debt instruments that provide for the 
                        aggregation of, or directly aggregate, projects 
                        for clean energy technology deployments on a 
                        scale appropriate for residential or commercial 
                        applications; and
                            (ii) may insure, purchase, and make 
                        commitments to purchase, any debt instrument 
                        associated with the deployment of clean energy 
                        technologies (including instruments secured by 
                        liens or other collateral related to the 
                        funding of clean energy technology) for the 
                        purposes of enhancing the availability of 
                        private financing for clean energy technology 
                        deployments.
                    (C) Disposition of debt or interest.--The 
                Administration may acquire, hold, and sell or otherwise 
                dispose of, pursuant to commitments or otherwise, any 
                debt associated with the deployment of clean energy 
                technologies or interest in the debt.
                    (D) Pricing.--
                            (i) In general.--The Administrator may 
                        establish requirements, and impose charges or 
                        fees, which may be regarded as elements of 
                        pricing, for different classes of sellers, 
                        servicers, or services.
                            (ii) Classification of sellers and 
                        servicers.--For the purpose of clause (i), the 
                        Administrator may classify sellers and 
                        servicers as necessary to promote transparency 
                        and liquidity and properly characterize the 
                        risk of default.
                    (E) Eligibility.--The Administrator shall 
                establish--
                            (i) eligibility criteria for loan 
                        originators, sellers, and servicers seeking 
                        support for portfolios of financial obligations 
                        relating to clean energy technologies so as to 
                        ensure the capability of the loan originators, 
                        sellers, and servicers to perform the functions 
                        required to maintain the expected performance 
                        of the portfolios; and
                            (ii) such criteria, standards, guidelines, 
                        and mechanisms such that, to the maximum extent 
                        practicable, loan originators and sellers will 
                        be able to determine the eligibility of loans 
                        for resale at the time of initial lending.
                    (F) Secondary market support.--
                            (i) In general.--The Administration may 
                        lend on the security of, and make commitments 
                        to lend on the security of, any debt that the 
                        Administration has issued or is authorized to 
                        purchase under this section.
                            (ii) Authorized actions.--On such terms and 
                        conditions as the Administrator may prescribe, 
                        the Administration may, based on the debt and 
                        with the concurrence of the Board of 
                        Directors--
                                    (I) give security or guarantee;
                                    (II) pay interest or other return; 
                                and
                                    (III) issue notes, debentures, 
                                bonds, or other obligations or 
                                securities.
                    (G) Lending activities.--
                            (i) In general.--The Administrator shall 
                        determine--
                                    (I) the volume of the lending 
                                activities of the Administration; and
                                    (II) the types of loan ratios, risk 
                                profiles, interest rates, maturities, 
                                and charges or fees in the secondary 
                                market operations of the 
                                Administration.
                            (ii) Objectives.--Determinations under 
                        clause (i) shall be consistent with the 
                        objectives of--
                                    (I) providing an attractive 
                                investment environment for clean energy 
                                technologies;
                                    (II) making the operations of the 
                                Administration self-supporting over the 
                                long term; and
                                    (III) advancing the goals 
                                established under section 504.
                    (H) Exempt securities.--All securities issued or 
                guaranteed by the Administration shall, to the same 
                extent as securities that are direct obligations of or 
                obligations guaranteed as to principal or interest by 
                the United States, be considered to be exempt 
                securities within the meaning of the laws administered 
                by the Securities and Exchange Commission.
    (b) Other Authorized Programs.--
            (1) In general.--The Secretary may delegate to the 
        Administration the provision of financial services and program 
        management for grant, loan, and other credit enhancement 
        programs authorized under any other provision of law.
            (2) Administration.--In administering any other program 
        delegated by the Secretary, the Administration shall, to the 
        maximum extent practicable (as determined by the 
        Administrator)--
                    (A) administer the program in a manner that is 
                consistent with the terms and conditions of this 
                subtitle; and
                    (B) minimize the administrative costs to the 
                Federal Government.

SEC. 507. FEDERAL CREDIT AUTHORITY.

    (a) Transfer of Functions and Authority.--
            (1) In general.--Subject to paragraph (2), on a finding by 
        the Secretary and the Administrator that the Administration is 
        sufficiently ready to assume the functions and that applicants 
        to those programs will not be unduly adversely affected but in 
        no case later than 18 months after the date of enactment of 
        this Act, all of the functions and authority of the Secretary 
        under title XVII of the Energy Policy Act of 2005 (42 U.S.C. 
        16511 et seq.) and authorities established by this subtitle 
        shall be transferred to the Administration.
            (2) Failure to transfer functions.--If the functions and 
        authorities are not transferred to the Administration in 
        accordance with paragraph (1), the Secretary and the 
        Administrator shall submit to Congress a report on the reasons 
        for delay and an expected timetable for transfer of the 
        functions and authorities to the Administration.
            (3) Effect on existing rights and obligations.--The 
        transfer of functions and authority under this subsection shall 
        not affect the rights and obligations of any party that arise 
        under a predecessor program or authority prior to the transfer 
        under this subsection.
            (4) Transfer of fund authority.--
                    (A) In general.--On transfer of functions pursuant 
                to paragraph (1), the Administration shall have all 
                authorities to make use of the Fund reserved for the 
                Secretary before the transfer.
                    (B) Administrative expenses.--Effective beginning 
                on the date of enactment of this Act, the Administrator 
                may make use of up to 1.5 percent of the amounts in the 
                Fund as of the beginning of each fiscal year to pay 
                administrative expenses for that fiscal year to carry 
                out the purposes of this Act.
            (5) Use.--
                    (A) In general.--Amounts in the Fund shall be 
                available for discharge of liabilities and all other 
                expenses of the Administration, including subsequent 
                transfer to the respective credit accounts.
                    (B) Liability.--All activities of the 
                Administration that could result in a liability for the 
                United States shall be transparently accounted for and 
                no obligation or liability may be incurred unless--
                            (i) the appropriate amounts are transferred 
                        to credit accounts for activities pursuant to 
                        the Federal Credit Reform Act of 1990 (2 U.S.C. 
                        661a); or
                            (ii) sufficient amounts are reserved within 
                        the Fund to account for such liabilities.
            (6) Initial investment.--
                    (A) In general.--On transfer of functions pursuant 
                to paragraph (1), out of any funds in the Treasury not 
                otherwise appropriated, the Secretary of the Treasury 
                shall transfer to the Fund to carry out this subtitle 
                $10,000,000,000, to remain available until expended.
                    (B) Receipt and acceptance.--The Fund shall be 
                entitled to receive and shall accept, and shall be used 
                to carry out this subtitle, the funds transferred to 
                the Fund under subparagraph (A), without further 
                appropriation. 
            (7) Authorization of appropriations.--In addition to funds 
        made available by paragraphs (1) through (6), there are 
        authorized to be appropriated to the Fund such sums as are 
        necessary to carry out this subtitle.
    (b) Payments of Liabilities.--
            (1) In general.--Any payment to discharge liabilities 
        arising from agreements under this subtitle shall be made 
        exclusively out of the Fund or the associated credit account, 
        as appropriate.
            (2) Security.--Subject to paragraph (1), the full faith and 
        credit of the United States is pledged to the payment of all 
        obligations entered into by the Administration pursuant to this 
        subtitle.
    (c) Fees.--
            (1) In general.--Consistent with achieving the purposes of 
        this subtitle, the Administrator shall charge fees or collect 
        compensation generally in accordance with commercial rates.
            (2) Availability of fees.--All fees collected by the 
        Administration may be retained by the Administration and placed 
        in the Fund and may remain available to the Administration, 
        without further appropriation or fiscal year limitation, for 
        use in carrying out the purposes of this subtitle.
            (3) Breakthrough technologies.--The Administration shall 
        charge the minimum amount in fees or compensation practicable 
        for breakthrough technologies, consistent with the long-term 
        viability of the Administration, unless the Administration 
        first determines that a higher charge will not impede the 
        development of the technology.
            (4) Alternative fee arrangements.--The Administration may 
        use such alternative arrangements (such as profit 
        participation, contingent fees, and other valuable contingent 
        interests) as the Administration considers appropriate to 
        compensate the Administration for the expenses of the 
        Administration and the risk inherent in the support of the 
        Administration.
    (d) Cost Transfer Authority.--Amounts collected by the 
Administration for the cost of a loan or loan guarantee shall be 
transferred by the Administration to the respective credit program 
accounts.
    (e) Supplemental Borrowing Authority.--In order to maintain 
sufficient liquidity for activities authorized under section 506(a)(2), 
the Administration may issue notes, debentures, bonds, or other 
obligations for purchase by the Secretary of the Treasury.
    (f) Public Debt Transactions.--For the purpose of subsection (e)--
            (1) the Secretary of the Treasury may use as a public debt 
        transaction the proceeds of the sale of any securities issued 
        under chapter 31 of title 31, United States Code; and
            (2) the purposes for which securities may be issued under 
        that chapter are extended to include any purchase under this 
        subsection.
    (g) Maximum Outstanding Holding.--The Secretary of the Treasury 
shall purchase instruments issued under subsection (e) to the extent 
that the purchase would not increase the aggregate principal amount of 
the outstanding holdings of obligations under subsection (e) by the 
Secretary of the Treasury to an amount that is greater than 
$2,000,000,000.
    (h) Rate of Return.--Each purchase of obligations by the Secretary 
of the Treasury under this section shall be on terms and conditions 
established to yield a rate of return determined by the Secretary of 
the Treasury to be appropriate, taking into account the current average 
rate on outstanding marketable obligations of the United States as of 
the last day of the month preceding the purchase.
    (i) Sale of Obligations.--The Secretary of the Treasury may at any 
time sell, on terms and conditions and at prices determined by the 
Secretary of the Treasury, any of the obligations acquired by the 
Secretary of the Treasury under this section.
    (j) Public Debt Transactions.--All redemptions, purchases, and 
sales by the Secretary of the Treasury of obligations under this 
section shall be treated as public debt transactions of the United 
States.

SEC. 508. GENERAL PROVISIONS.

    (a) Immunity From Impairment, Limitation, or Restriction.--
            (1) In general.--All rights and remedies of the 
        Administration (including any rights and remedies of the 
        Administration on, under, or with respect to any mortgage or 
        any obligation secured by a mortgage) shall be immune from 
        impairment, limitation, or restriction by or under--
                    (A) any law (other than a law enacted by Congress 
                expressly in limitation of this paragraph) that becomes 
                effective after the acquisition by the Administration 
                of the subject or property on, under, or with respect 
                to which the right or remedy arises or exists or would 
                so arise or exist in the absence of the law; or
                    (B) any administrative or other action that becomes 
                effective after the acquisition.
            (2) State law.--The Administrator may conduct the business 
        of the Administration without regard to any qualification or 
        law of any State relating to incorporation.
    (b) Use of Other Agencies.--With the consent of a department, 
establishment, or instrumentality (including any field office), the 
Administration may--
            (1) use and act through any department, establishment, or 
        instrumentality; or
            (2) use, and pay compensation for, information, services, 
        facilities, and personnel of the department, establishment, or 
        instrumentality.
    (c) Procurement.--The Administrator shall be the senior procurement 
officer for the Administration for purposes of section 16(a) of the 
Office of Federal Procurement Policy Act (41 U.S.C. 414(a)).
    (d) Financial Matters.--
            (1) Investments.--Funds of the Administration may be 
        invested in such investments as the Board of Directors may 
        prescribe.
            (2) Fiscal agents.--Any Federal Reserve bank or any bank as 
        to which at the time of the designation of the bank by the 
        Administrator there is outstanding a designation by the 
        Secretary of the Treasury as a general or other depository of 
        public money, may be designated by the Administrator as a 
        depositary or custodian or as a fiscal or other agent of the 
        Administration.
    (e) Jurisdiction.--Notwithstanding section 1349 of title 28, United 
States Code, or any other provision of law--
            (1) the Administration shall be considered a corporation 
        covered by sections 1345 and 1442 of title 28, United States 
        Code;
            (2) all civil actions to which the Administration is a 
        party shall be considered to arise under the laws of the United 
        States, and the district courts of the United States shall have 
        original jurisdiction of all such actions, without regard to 
        amount or value; and
            (3) any civil or other action, case or controversy in a 
        court of a State, or in any court other than a district court 
        of the United States, to which the Administration is a party 
        may at any time before trial be removed by the Administration, 
        without the giving of any bond or security and by following any 
        procedure for removal of causes in effect at the time of the 
        removal--
                    (A) to the district court of the United States for 
                the district and division embracing the place in which 
                the same is pending; or
                    (B) if there is no such district court, to the 
                district court of the United States for the district in 
                which the principal office of the Administration is 
                located.
    (f) Periodic Reports.--Not later than 1 year after commencement of 
operation of the Administration and at least biannually thereafter, the 
Administrator shall submit to the Committee on Energy and Natural 
Resources of the Senate and the Committee on Energy and Commerce of the 
House of Representatives a report that includes a description of--
            (1) the technologies supported by activities of the 
        Administration and how the activities advance the purposes of 
        this subtitle; and
            (2) the performance of the Administration on meeting the 
        goals established under section 504.
    (g) Audits by the Comptroller General.--
            (1) In general.--The programs, activities, receipts, 
        expenditures, and financial transactions of the Administration 
        shall be subject to audit by the Comptroller General of the 
        United States under such rules and regulations as may be 
        prescribed by the Comptroller General.
            (2) Access.--The representatives of the Government 
        Accountability Office shall--
                    (A) have access to the personnel and to all books, 
                accounts, documents, records (including electronic 
                records), reports, files, and all other papers, 
                automated data, things, or property belonging to, under 
                the control of, or in use by the Administration, or any 
                agent, representative, attorney, advisor, or consultant 
                retained by the Administration, and necessary to 
                facilitate the audit;
                    (B) be afforded full facilities for verifying 
                transactions with the balances or securities held by 
                depositories, fiscal agents, and custodians;
                    (C) be authorized to obtain and duplicate any such 
                books, accounts, documents, records, working papers, 
                automated data and files, or other information relevant 
                to the audit without cost to the Comptroller General; 
                and
                    (D) have the right of access of the Comptroller 
                General to such information pursuant to section 716(c) 
                of title 31, United States Code.
            (3) Assistance and cost.--
                    (A) In general.--For the purpose of conducting an 
                audit under this subsection, the Comptroller General 
                may, in the discretion of the Comptroller General, 
                employ by contract, without regard to section 3709 of 
                the Revised Statutes (41 U.S.C. 5), professional 
                services of firms and organizations of certified public 
                accountants for temporary periods or for special 
                purposes.
                    (B) Reimbursement.--
                            (i) In general.--On the request of the 
                        Comptroller General, the Administration shall 
                        reimburse the General Accountability Office for 
                        the full cost of any audit conducted by the 
                        Comptroller General under this subsection.
                            (ii) Crediting.--Such reimbursements 
                        shall--
                                    (I) be credited to the 
                                appropriation account entitled 
                                ``Salaries and Expenses, Government 
                                Accountability Office'' at the time at 
                                which the payment is received; and
                                    (II) remain available until 
                                expended.
    (h) Annual Independent Audits.--
            (1) In general.--The Administrator shall--
                    (A) have an annual independent audit made of the 
                financial statements of the Administration by an 
                independent public accountant in accordance with 
                generally accepted auditing standards; and
                    (B) submit to the Secretary the results of the 
                audit.
            (2) Content.--In conducting an audit under this subsection, 
        the independent public accountant shall determine and report on 
        whether the financial statements of the Administration--
                    (A) are presented fairly in accordance with 
                generally accepted accounting principles; and
                    (B) comply with any disclosure requirements imposed 
                under this subtitle.
    (i) Financial Reports.--
            (1) In general.--The Administrator shall submit to the 
        Secretary annual and quarterly reports of the financial 
        condition and operations of the Administration, which shall be 
        in such form, contain such information, and be submitted on 
        such dates as the Secretary shall require.
            (2) Contents of annual reports.--Each annual report shall 
        include--
                    (A) financial statements prepared in accordance 
                with generally accepted accounting principles;
                    (B) any supplemental information or alternative 
                presentation that the Secretary may require; and
                    (C) an assessment (as of the end of the most recent 
                fiscal year of the Administration), signed by the chief 
                executive officer and chief accounting or financial 
                officer of the Administration, of--
                            (i) the effectiveness of the internal 
                        control structure and procedures of the 
                        Administration; and
                            (ii) the compliance of the Administration 
                        with applicable safety and soundness laws.
            (3) Special reports.--The Secretary may require the 
        Administrator to submit other reports on the condition 
        (including financial condition), management, activities, or 
        operations of the Administration, as the Secretary considers 
        appropriate.
            (4) Accuracy.--Each report of financial condition shall 
        contain a declaration by the Administrator or any other officer 
        designated by the Board of Directors of the Administration to 
        make the declaration, that the report is true and correct to 
        the best of the knowledge and belief of the officer.
            (5) Availability of reports.--Reports required under this 
        section shall be published and made publicly available as soon 
        as is practicable after receipt by the Secretary.
    (j) Scope and Termination of Authority.--
            (1) New obligations.--The Administrator shall not initiate 
        any new obligations under this subtitle on or after January 1, 
        2029.
            (2) Reversion to secretary.--The authorities and 
        obligations of the Administration shall revert to the Secretary 
        on January 1, 2029.

                       Subtitle B--Tax Provisions

SEC. 511. ADVANCED ENERGY MANUFACTURING CREDIT.

    (a) In General.--Subsection (d) of section 48C of the Internal 
Revenue Code of 1986 is amended by adding at the end the following new 
paragraph:
            ``(6) Additional 2011 allocations.--
                    ``(A) In general.--Not later than 180 days after 
                the date of the enactment of this paragraph, the 
                Secretary, in consultation with the Secretary of 
                Energy, shall establish a program to consider and award 
                certifications for qualified investments eligible for 
                credits under this section to qualifying advanced 
                energy project sponsors with respect to applications 
                received on or after the date of the enactment of this 
                paragraph.
                    ``(B) Limitation.--The total amount of credits that 
                may be allocated under the program described in 
                subparagraph (A) shall not exceed the 2011 allocation 
                amount reduced by so much of the 2011 allocation amount 
                as is taken into account as an increase in the 
                limitation described in paragraph (1)(B).
                    ``(C) Application of certain rules.--Rules similar 
                to the rules of paragraphs (2), (3), (4), and (5) shall 
                apply for purposes of the program described in 
                subparagraph (A), except that--
                            ``(i) Certification.--Applicants shall have 
                        2 years from the date that the Secretary 
                        establishes such program to submit 
                        applications.
                            ``(ii) Selection criteria.--For purposes of 
                        paragraph (3)(B)(i), the term `domestic job 
                        creation (both direct and indirect)' means the 
                        creation of direct jobs in the United States 
                        producing the property manufactured at the 
                        manufacturing facility described under 
                        subsection (c)(1)(A)(i), and the creation of 
                        indirect jobs in the manufacturing supply chain 
                        for such property in the United States.
                            ``(iii) Review and redistribution.--The 
                        Secretary shall conduct a separate review and 
                        redistribution under paragraph (5) with respect 
                        to such program not later than 4 years after 
                        the date of the enactment of this paragraph.
                    ``(D) 2011 allocation amount.--For purposes of this 
                subsection, the term `2011 allocation amount' means 
                $5,000,000,000.
                    ``(E) Direct payments.--In lieu of any qualifying 
                advanced energy project credit which would otherwise be 
                determined under this section with respect to an 
                allocation to a taxpayer under this paragraph, the 
                Secretary shall, upon the election of the taxpayer, 
                make a grant to the taxpayer in the amount of such 
                credit as so determined. Rules similar to the rules of 
                section 50 shall apply with respect to any grant made 
                under this subparagraph.''.
    (b) Portion of 2011 Allocation Allocated Toward Pending 
Applications Under Original Program.--Subparagraph (B) of section 
48C(d)(1) of such Code is amended by inserting ``(increased by so much 
of the 2011 allocation amount (not in excess of $1,500,000,000) as the 
Secretary determines necessary to make allocations to qualified 
investments with respect to which qualifying applications were 
submitted before the date of the enactment of paragraph (6))'' after 
``$2,300,000,000''.
    (c) Conforming Amendment.--Paragraph (2) of section 1324(b) of 
title 31, United States Code, is amended by inserting ``48C(d)(6)(E),'' 
after ``36C,''.

SEC. 512. SPECIAL RULE FOR SALES OF ELECTRIC TRANSMISSION PROPERTY.

    Paragraph (3) of section 451(i) of the Internal Revenue Code of 
1986 is amended by striking ``January 1, 2012'' and inserting ``January 
1, 2017''.

SEC. 513. DEPRECIATION OF NATURAL GAS DISTRIBUTION LINES.

    (a) In General.--Clause (viii) of section 168(e)(3)(E) of the 
Internal Revenue Code of 1986 is amended by striking ``January 1, 
2011'' and inserting ``January 1, 2017''.
    (b) Effective Date.--The amendment made by this section shall apply 
to property placed in service after December 31, 2010.

SEC. 514. CREDIT FOR STEEL INDUSTRY FUEL.

    (a) Credit Period.--
            (1) In general.--Subclause (II) of section 45(e)(8)(D)(ii) 
        is amended to read as follows:
                                    ``(II) Credit period.--In lieu of 
                                the 10-year period referred to in 
                                clauses (i) and (ii)(II) of 
                                subparagraph (A), the credit period 
                                shall be the period beginning on the 
                                date that the facility first produces 
                                steel industry fuel that is sold to an 
                                unrelated person after September 30, 
                                2008, and ending 3 years after such 
                                date.''.
            (2) Conforming amendment.--Section 45(e)(8)(D) is amended 
        by striking clause (iii) and by redesignating clause (iv) as 
        clause (iii).
    (b) Extension of Placed-in-Service Date.--Subparagraph (A) of 
section 45(d)(8) is amended--
            (1) by striking ``(or any modification to a facility)''; 
        and
            (2) by striking ``2010'' and inserting ``2017''.
    (c) Clarifications.--
            (1) Steel industry fuel.--Subclause (I) of section 
        45(c)(7)(C)(i) is amended by inserting ``, a blend of coal and 
        petroleum coke, or other coke feedstock'' after ``on coal''.
            (2) Ownership interest.--Section 45(d)(8) is amended by 
        adding at the end the following new flush sentence:
        ``With respect to a facility producing steel industry fuel, no 
        person (including a ground lessor, customer, supplier, or 
        technology licensor) shall be treated as having an ownership 
        interest in the facility or as otherwise entitled to the credit 
        allowable under subsection (a) with respect to such facility if 
        such person's rent, license fee, or other entitlement to net 
        payments from the owner of such facility is measured by a fixed 
        dollar amount or a fixed amount per ton, or otherwise 
        determined without regard to the profit or loss of such 
        facility.''.
            (3) Production and sale.--Subparagraph (D) of section 
        45(e)(8), as amended by subsection (a)(2), is amended by 
        redesignating clause (iii) as clause (iv) and by inserting 
        after clause (ii) the following new clause:
                            ``(iii) Production and sale.--The owner of 
                        a facility producing steel industry fuel shall 
                        be treated as producing and selling steel 
                        industry fuel where that owner manufactures 
                        such steel industry fuel from coal, a blend of 
                        coal and petroleum coke, or other coke 
                        feedstock to which it has title. The sale of 
                        such steel industry fuel by the owner of the 
                        facility to a person who is not the owner of 
                        the facility shall not fail to qualify as a 
                        sale to an unrelated person solely because such 
                        purchaser may also be a ground lessor, 
                        supplier, or customer.''.
    (d) Specified Credit for Purposes of Alternative Minimum Tax 
Exclusion.--Subclause (II) of section 38(c)(4)(B)(iii) is amended by 
inserting ``(in the case of a refined coal production facility 
producing steel industry fuel, during the credit period set forth in 
section 45(e)(8)(D)(ii)(II))'' after ``service''.
    (e) Effective Dates.--
            (1) In general.--The amendments made by subsections (a), 
        (b), and (d) shall apply to fuel produced and sold after 
        December 31, 2009.
            (2) Clarifications.--The amendments made by subsection (c) 
        shall take effect as if included in the amendments made by the 
        Energy Improvement and Extension Act of 2008.

SEC. 515. CREDIT FOR PRODUCING FUEL FROM COKE OR COKE GAS.

    (a) In General.--Paragraph (1) of section 45K(g) is amended by 
striking ``January 1, 2010'' and inserting ``January 1, 2017''.
    (b) Effective Date.--The amendment made by this section shall apply 
to facilities placed in service after December 31, 2009.

                      TITLE VI--ENERGY EFFICIENCY

                Subtitle A--Rural Energy Savings Program

SEC. 601. RURAL ENERGY SAVINGS PROGRAM.

    Title IX of the Farm Security and Rural Investment Act of 2002 (7 
U.S.C. 8101 et seq.) is amended by adding the following:

``SEC. 9014. RURAL ENERGY SAVINGS PROGRAM.

    ``(a) Purpose.--The purpose of this section is to create and save 
jobs by providing loans to qualified consumers that will use the loan 
proceeds to implement energy efficiency measures to achieve significant 
reductions in energy costs, energy consumption, or carbon emissions.
    ``(b) Definitions.--In this section:
            ``(1) Eligible entity.--The term `eligible entity' means--
                    ``(A) any public power district, public utility 
                district, or similar entity, or any electric 
                cooperative described in sections 501(c)(12) or 
                1381(a)(2)(C) of the Internal Revenue Code of 1986, 
                that borrowed and repaid, prepaid, or is paying an 
                electric loan made or guaranteed by the Rural Utilities 
                Service (or any predecessor agency); or
                    ``(B) any entity primarily owned or controlled by 
                an entity or entities described in subparagraph (A).
            ``(2) Energy efficiency measures.--The term `energy 
        efficiency measures' means, for or at property served by an 
        eligible entity, structural improvements and investments in 
        cost-effective, commercial off-the-shelf technologies to reduce 
        home energy use.
            ``(3) Qualified consumer.--The term `qualified consumer' 
        means a consumer served by an eligible entity that has the 
        ability to repay a loan made under subsection (d), as 
        determined by an eligible entity.
            ``(4) Qualified entity.--The term `qualified entity' means 
        a non-governmental, not-for-profit organization that the 
        Secretary determines has significant experience, on a national 
        basis, in providing eligible entities with--
                    ``(A) energy, environmental, energy efficiency, and 
                information research and technology;
                    ``(B) training, education, and consulting;
                    ``(C) guidance in energy and operational issues and 
                rural community and economic development;
                    ``(D) advice in legal and regulatory matters 
                affecting electric service and the environment; and
                    ``(E) other relevant assistance.
            ``(5) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture, acting through the Rural Utilities Service.
    ``(c) Loans and Grants to Eligible Entities.--
            ``(1) Loans authorized.--Subject to paragraph (2), the 
        Secretary shall make loans to eligible entities that agree to 
        use the loan funds to make loans to qualified consumers as 
        described in subsection (d) for the purpose of implementing 
        energy efficiency measures.
            ``(2) List, plan, and measurement and verification 
        required.--
                    ``(A) In general.--As a condition to receiving a 
                loan or grant under this subsection, an eligible entity 
                shall--
                            ``(i) establish a list of energy efficiency 
                        measures that is expected to decrease energy 
                        use or costs of qualified consumers;
                            ``(ii) prepare an implementation plan for 
                        use of the loan funds; and
                            ``(iii) provide for appropriate measurement 
                        and verification to ensure the effectiveness of 
                        the energy efficiency loans made by the 
                        eligible entity and that there is no conflict 
                        of interest in the carrying out of this 
                        section.
                    ``(B) Revision of list of energy efficiency 
                measures.--An eligible entity may update the list 
                required under subparagraph (A)(i) to account for newly 
                available efficiency technologies, subject to the 
                approval of the Secretary.
                    ``(C) Existing energy efficiency programs.--An 
                eligible entity that, on or before the date of the 
                enactment of this section or within 60 days after such 
                date, has already established an energy efficiency 
                program for qualified consumers may use an existing 
                list of energy efficiency measures, implementation 
                plan, or measurement and verification system of that 
                program to satisfy the requirements of subparagraph (A) 
                if the Secretary determines the list, plans, or systems 
                are consistent with the purposes of this section.
            ``(3) No interest.--A loan under this subsection shall bear 
        no interest.
            ``(4) Repayment.--A loan under this subsection shall be 
        repaid not more than 10 years from the date on which an advance 
        on the loan is first made to the eligible entity.
            ``(5) Loan fund advances.--The Secretary shall provide 
        eligible entities with a schedule of not more than ten years 
        for advances of loan funds, except that any advance of loan 
        funds to an eligible entity in any single year shall not exceed 
        50 percent of the approved loan amount.
            ``(6) Jump-start grants.--The Secretary shall make grants 
        available to eligible entities selected to receive a loan under 
        this subsection in order to assist an eligible entity to defray 
        costs, including costs of contractors for equipment and labor, 
        except that no eligible entity may receive a grant amount that 
        is greater than four percent of the loan amount.
    ``(d) Loans to Qualified Consumers.--
            ``(1) Terms of loans.--Loans made by an eligible entity to 
        qualified consumers using loan funds provided by the Secretary 
        under subsection (c)--
                    ``(A) may bear interest, not to exceed three 
                percent, to be used for purposes that include 
                establishing a loan loss reserve and to offset 
                personnel and program costs of eligible entities to 
                provide the loans;
                    ``(B) shall finance energy efficiency measures for 
                the purpose of decreasing energy usage or costs of the 
                qualified consumer by an amount such that a loan term 
                of not more than ten years will not pose an undue 
                financial burden on the qualified consumer, as 
                determined by the eligible entity;
                    ``(C) shall not be used to fund energy efficiency 
                measures made to personal property unless the personal 
                property--
                            ``(i) is or becomes attached to real 
                        property as a fixture; or
                            ``(ii) is a manufactured home;
                    ``(D) shall be repaid through charges added to the 
                electric bill of the qualified consumer; and
                    ``(E) shall require an energy audit by an eligible 
                entity to determine the impact of proposed energy 
                efficiency measures on the energy costs and consumption 
                of the qualified consumer.
            ``(2) Contractors.--In addition to any other qualified 
        general contractor, eligible entities may serve as general 
        contractors.
    ``(e) Contract for Measurement and Verification, Training, and 
Technical Assistance.--
            ``(1) Contract required.--Not later than 60 days after the 
        date of enactment of this section, the Secretary shall enter 
        into one or more contracts with a qualified entity for the 
        purposes of--
                    ``(A) providing measurement and verification 
                activities, including--
                            ``(i) developing and completing a 
                        recommended protocol for measurement and 
                        verification for the Rural Utilities Service;
                            ``(ii) establishing a national measurement 
                        and verification committee consisting of 
                        representatives of eligible entities to assist 
                        the contractor in carrying out this section;
                            ``(iii) providing measurement and 
                        verification consulting services to eligible 
                        entities that receive loans under this section; 
                        and
                            ``(iv) providing training in measurement 
                        and verification; and
                    ``(B) developing a program to provide technical 
                assistance and training to the employees of eligible 
                entities to carry out this section.
            ``(2) Use of subcontractors authorized.--A qualified entity 
        that enters into a contract under paragraph (1) may use 
        subcontractors to assist the qualified entity in performing the 
        contract.
    ``(f) Fast Start Demonstration Projects.--
            ``(1) Demonstration projects required.--The Secretary shall 
        enter into agreements with eligible entities (or groups of 
        eligible entities) that have energy efficiency programs 
        described in subsection (c)(2)(C) to establish an energy 
        efficiency loan demonstration projects consistent with the 
        purposes of this section that--
                    ``(A) implement approaches to energy audits and 
                investments in energy efficiency measures that yield 
                measurable and predictable savings;
                    ``(B) use measurement and verification processes to 
                determine the effectiveness of energy efficiency loans 
                made by eligible entities;
                    ``(C) include training for employees of eligible 
                entities, including any contractors of such entities, 
                to implement or oversee the activities described in 
                subparagraphs (A) and (B);
                    ``(D) provide for the participation of a majority 
                of eligible entities in a State;
                    ``(E) reduce the need for generating capacity;
                    ``(F) provide efficiency loans to--
                            ``(i) not fewer than 20,000 consumers, in 
                        the case of a single eligible entity; or
                            ``(ii) not fewer than 80,000 consumers, in 
                        the case of a group of eligible entities; and
                    ``(G) serve areas where a large percentage of 
                consumers reside--
                            ``(i) in manufactured homes; or
                            ``(ii) in housing units that are more than 
                        50 years old.
            ``(2) Deadline for implementation.--The agreements required 
        by paragraph (1) shall be entered into not later than 90 days 
        after the date of enactment of this section.
            ``(3) Effect on availability of loans nationally.--Nothing 
        in this subsection shall delay the availability of loans to 
        eligible entities on a national basis beginning not later than 
        180 days after the date of enactment of this section.
            ``(4) Additional demonstration project authority.--The 
        Secretary may conduct demonstration projects in addition to the 
        project required by paragraph (1). The additional demonstration 
        projects may be carried out without regard to subparagraphs 
        (D), (F), or (G) of paragraph (1).
    ``(g) Additional Authority.--The authority provided in this section 
is in addition to any authority of the Secretary to offer loans or 
grants under any other law.
    ``(h) Authorization of Appropriations.--
            ``(1) In general.--There is authorized to be appropriated 
        to the Secretary to carry out this section $993,000,000 for 
        fiscal year 2012, to remain available until expended.
            ``(2) Amounts for loans, grants, staffing.--Of the amounts 
        appropriated pursuant to the authorization of appropriations in 
        paragraph (1), the Secretary shall make available--
                    ``(A) $755,000,000 for the purpose of covering the 
                cost of direct loans to eligible entities under 
                subsection (c) to subsidize gross obligations in the 
                principal amount of not to exceed $4,900,000,000;
                    ``(B) $25,000,000 for measurement and verification 
                activities under subsection (e)(1)(A);
                    ``(C) $2,000,000 for the contract for training and 
                technical assistance authorized by subsection 
                (e)(1)(B);
                    ``(D) $200,000,000 for jump-start grants authorized 
                by subsection (c)(6); and
                    ``(E) $1,100,000 for each of fiscal years 2012 
                through 2021 for 10 additional employees of the Rural 
                Utilities Service to carry out this section.
    ``(i) Effective Period.--Subject to subsection (h)(1) and except as 
otherwise provided in this section, the loans, grants, and other 
expenditures required to be made under this section are authorized to 
be made during each of fiscal years 2012 through 2016.
    ``(j) Regulations.--
            ``(1) In general.--Except as otherwise provided in this 
        subsection, not later than 120 days after the date of enactment 
        of this section, the Secretary shall promulgate such 
        regulations as are necessary to implement this section.
            ``(2) Procedure.--The promulgation of the regulations and 
        administration of this section shall be made without regard 
        to--
                    ``(A) chapter 35 of title 44, United States Code 
                (commonly known as the `Paperwork Reduction Act'); and
                    ``(B) the Statement of Policy of the Secretary of 
                Agriculture effective July 24, 1971 (36 Fed. Reg. 
                13804), relating to notices of proposed rulemaking and 
                public participation in rulemaking.
            ``(3) Congressional review of agency rulemaking.--In 
        carrying out this section, the Secretary shall use the 
        authority provided under section 808 of title 5, United States 
        Code.
            ``(4) Interim regulations.--Notwithstanding paragraphs (1) 
        and (2), to the extent regulations are necessary to carry out 
        any provision of this section, the Secretary shall implement 
        such regulations through the promulgation of an interim 
        rule.''.

                       Subtitle B--Tax Provisions

SEC. 611. ENERGY-EFFICIENT COMMERCIAL BUILDINGS.

    (a) Increase in Deduction.--
            (1) In general.--Subparagraph (A) of section 179D(b)(1) of 
        the Internal Revenue Code of 1986 is amended by striking 
        ``$1.80'' and inserting ``$3.00''.
            (2) Partial allowance.--Clause (ii) of section 
        179D(d)(1)(A) of such Code is amended by striking ``$.60'' and 
        inserting ``$1.50''.
    (b) Extension.--Subsection (h) of section 179D of the Internal 
Revenue Code of 1986 is amended by striking ``December 31, 2013'' and 
inserting ``December 31, 2016''.
    (c) Effective Date.--The amendments made by this section shall 
apply to property placed in service after December 31, 2010.

SEC. 612. ENERGY-EFFICIENT NEW HOMES.

    (a) In General.--Subsection (g) of section 45L of the Internal 
Revenue Code of 1986 is amended by striking ``December 31, 2011'' and 
inserting ``December 31, 2016''.
    (b) Effective Date.--The amendment made by this section shall apply 
to homes acquired after December 31, 2011.

SEC. 613. ENERGY-EFFICIENT EXISTING HOMES.

    (a) In General.--Paragraph (2) of section 25C(g) of the Internal 
Revenue Code of 1986 is amended by striking ``December 31, 2011'' and 
inserting ``December 31, 2016''.
    (b) Effective Date.--The amendment made by this section shall apply 
to property placed in service after December 31, 2011.

SEC. 614. ENERGY-EFFICIENT APPLIANCES.

    (a) In General.--Section 45M(b) of the Internal Revenue Code of 
1986 is amended by striking ``2011'' each place it appears and 
inserting ``2011, 2012, 2013, 2014, 2015, or 2016''.
    (b) Direct Payment of Credit.--
            (1) In general.--Within 90 days after the date of the 
        enactment of this Act, the Secretary of Energy, in consultation 
        with the Secretary of the Treasury, shall establish a program 
        under which a manufacturer of qualified energy efficient 
        appliances (within the meaning of section 45M of the Internal 
        Revenue Code of 1986) may apply for, and receive, direct 
        payment of the reduced credit amount of the credit which would 
        otherwise be determined under section 45M of the Internal 
        Revenue Code of 1986 with respect to such appliances. Such 
        request shall be approved or denied not later than 90 days 
        after such request is received.
            (2) Advance determination.--The Secretary of Energy shall 
        provide under the program established under paragraph (1) that 
        the reduced credit amount with respect to a manufacturer of 
        qualified energy efficient appliances may be determined at the 
        beginning of the taxable year based on the manufacturer's 
        projected production of such appliances for such year.
            (3) Payment.--The Secretary of Energy shall notify the 
        Secretary of the Treasury of the approval of a request under 
        paragraph (1), and the Secretary of the Treasury shall make the 
        direct payment of the reduced credit amount to the 
        manufacturer, not later than 90 days after such request is 
        received by the Secretary of Energy.
            (4) Reconciliation of credit and direct payment.--The 
        Secretary of the Treasury shall, by regulations, provide for 
        recapturing the amount of any direct payments to a manufacturer 
        under this subsection for a taxable year which exceed the 
        reduced credit amount for such manufacturer with respect to 
        such taxable year.
            (5) Section 45m credit not allowed.--No credit shall be 
        allowed under section 45M of such Code with respect to any 
        manufacturer who receives the direct payment of the reduced 
        credit amount under this subsection.
            (6) Reduced credit amount.--For purposes of this 
        subsection, the reduced credit amount is 85 percent.

               TITLE VII--ENERGY RESEARCH AND DEVELOPMENT

SEC. 701. NEXT STEP ENERGY STORAGE RESEARCH CENTER.

    (a) Establishment.--The Secretary shall establish a center, to be 
known as the ``Next Step Energy Storage Research Center'' (referred to 
in this section as the ``Center'') to provide for the conduct of 
research on, and the development and deployment of advanced energy 
storage materials and systems for--
            (1) mobile and stationary applications; and
            (2) transportation, residential, and commercial uses.
    (b) Authorized Research Activities.--The Center may use amounts 
made available under this section for research on--
            (1) innovative concepts that incorporate new materials and 
        chemical processes in electrochemical energy storage 
        technologies;
            (2) the interactions of materials that control 
        electrochemical processes in electrical energy storage 
        technologies;
            (3) designing innovative materials and interfacial 
        structures to enable improvements in energy storage 
        technologies, with an emphasis on--
                    (A) electrode and electrolyte interfaces and 
                interfacial processes;
                    (B) innovations in electrolytes;
                    (C) innovations in cathode and anode technology; 
                and
                    (D) nanoscale structures and nanostructured 
                materials;
            (4) innovative characterization tools for energy storage 
        technologies to assist in understanding key processes at the 
        atomic level and molecular level;
            (5) methods to improve cost and performance projections for 
        energy storage technologies;
            (6) ways in which to increase energy storage capabilities;
            (7) ways in which to develop the capability for fast 
        recharge cycles in energy storage technologies;
            (8) ways in which to address lifetime concerns relating to 
        energy storage technologies, including extending useful 
        lifetimes and end-of-life battery recycling--
                    (A) to prevent spread of contamination from used 
                batteries; and
                    (B) to develop techniques to repurpose used 
                materials in new batteries; and
            (9) requirements for the transition of production of energy 
        storage systems in a laboratory setting to the commercial 
        production of energy storage systems.
    (c) Limitation on Use of Funds.--Amounts made available under this 
section shall not be used for the construction of new facilities for 
the Center, but may be applied toward the cost of leasing facilities, 
and purchasing or renting equipment, for the Center.
    (d) Annual Reports.--
            (1) In general.--Annually, the Secretary shall submit to 
        Congress a report that describes the progress of the Center 
        with respect to meeting the research goals for the Center 
        established by the Secretary for the fiscal year covered by the 
        report.
            (2) Penalty.--If an annual report submitted under paragraph 
        (1) indicates that the Center did not meet the goal for the 
        fiscal year described in that paragraph, the amounts to be made 
        available for the Center for the subsequent fiscal year shall 
        be reduced by 10 percent.
    (e) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section--
            (1) $30,000,000 for fiscal year 2012; and
            (2) $25,000,000 for each of fiscal years 2013 through 2017.

SEC. 702. NUCLEAR POWER INITIATIVES.

    Section 952 of the Energy Policy Act of 2005 (42 U.S.C. 16272) is 
amended by adding at the end the following:
    ``(f) Small Modular Reactor Initiative.--
            ``(1) Definitions.--In this subsection:
                    ``(A) Chairman.--The term `Chairman' means the 
                Chairman of the Commission.
                    ``(B) Commission.--The term `Commission' means the 
                Nuclear Regulatory Commission.
                    ``(C) Small modular reactor.--The term `small 
                modular reactor' means a nuclear reactor with a rated 
                capacity of less than 300 electrical megawatts.
            ``(2) Duty of secretary.--Not later than 10 years after the 
        date of enactment of this subsection, the Secretary shall carry 
        out, through cooperative agreements with private sector 
        partners, a program--
                    ``(A) to develop a standard design for small 
                modular reactors that--
                            ``(i) satisfies enhanced safety and 
                        proliferation controls; and
                            ``(ii) may be implemented through cost-
                        efficient manufacturing and construction;
                    ``(B) to obtain a design certification from the 
                Commission for the standard design;
                    ``(C) to develop a licensing application procedure 
                for each small modular reactor that is the subject of 
                the standard design; and
                    ``(D) to obtain a license from the Commission for 
                the standard design.
            ``(3) Requirements.--
                    ``(A) Consultation with chairman.--To ensure that 
                the activities of the Secretary under this subsection 
                are cost-effective and compliment the activities of the 
                Commission, in carrying out this subsection, the 
                Secretary shall consult with the Chairman.
                    ``(B) Standard design.--The standard design 
                developed under this subsection shall include a design 
                for optimizing the staffing requirements of the small 
                modular reactor that is the subject of the standard 
                design--
                            ``(i) to minimize the cost of electricity 
                        produced by the small modular reactor; and
                            ``(ii) to improve overall plant economics 
                        of the small modular reactor without 
                        compromising safety.
                    ``(C) Staffing requirements.--In carrying out this 
                subsection, the Secretary shall submit to Congress and 
                the Commission a report that identifies each issue that 
                the Secretary determines--
                            ``(i) would impact the staffing 
                        requirements of a small modular reactor that is 
                        the subject of the standard design under this 
                        subsection; and
                            ``(ii) shall be considered in the 
                        development and deployment of each small 
                        modular reactor that is the subject of the 
                        standard design under this subsection.
    ``(g) Advanced Nuclear Fuels and Fuel Systems Investigation 
Program.--
            ``(1) Duty of secretary.--Not later than 180 days after the 
        date of enactment of this subsection, the Secretary shall 
        initiate an advanced nuclear fuels and fuel systems 
        investigation program to promote--
                    ``(A) the investigation of advanced nuclear fuels 
                that have a higher burn efficiency and higher 
                proliferation resistance; and
                    ``(B) the development of nuclear plants with 
                increased proliferation resistance and lower capital 
                costs that meet each safety requirement of the Nuclear 
                Regulatory Commission.
            ``(2) Requirements.--
                    ``(A) Thorium focus.--In carrying out the program 
                under this subsection, the Secretary shall focus on 
                thorium as a nuclear fuel with respect to the Fuel 
                Cycle Research and Development program of the 
                Department of Energy--
                            ``(i) to develop an experimental reactor 
                        design;
                            ``(ii) to designate a location to construct 
                        the reactor that is the subject of the design 
                        under clause (i); and
                            ``(iii) to design a cost and construction 
                        schedule regarding the reactor described in 
                        clause (ii).
                    ``(B) 5-year strategy.--
                            ``(i) In general.--In carrying out the 
                        program under this subsection, the Secretary 
                        shall develop a 5-year strategy for Generation 
                        IV System nuclear plant technology (including 
                        nuclear plant technology more advanced than 
                        Generation IV nuclear energy systems) to 
                        provide coordination with the Advanced Reactor 
                        Concepts program of the Department of Energy.
                            ``(ii) Roadmap.--
                                    ``(I) In general.--In developing 
                                the 5-year strategy under this 
                                subparagraph, the Secretary shall 
                                include a roadmap for the long-term 
                                funding that is required--
                                            ``(aa) to design, 
                                        construct, and start operations 
                                        of an advanced reactor concept; 
                                        and
                                            ``(bb) to overcome 
                                        technical and scientific 
                                        challenges preventing 
                                        commercialization.
                                    ``(II) Requirements.--The roadmap 
                                described in subclause (I) shall 
                                include a schedule for commercial 
                                implementation of technologies 
                                investigated by the Secretary under the 
                                Advanced Reactor Concepts program of 
                                the Department of Energy.
    ``(h) Spent Fuel Research Program.--
            ``(1) Definition of research and development center.--In 
        this subsection, the term `research and development center' 
        means a spent fuel recycling research and development center 
        designated under paragraph (2)(A).
            ``(2) Spent fuel recycling research and development 
        center.--
                    ``(A) In general.--Not later than 90 days after the 
                date of enactment of this subsection, the Secretary 
                shall designate a National Laboratory as a spent fuel 
                recycling research and development center.
                    ``(B) Purpose.--
                            ``(i) In general.--In accordance with 
                        clause (ii), the research and development 
                        center shall serve as the lead site for 
                        continuing research and development of advanced 
                        nuclear fuel cycles and isotope separation 
                        technologies.
                            ``(ii) Research initiatives.--In carrying 
                        out clause (i), the research and development 
                        center shall provide coordination with the 
                        Secretary regarding the Fuel Cycle Research and 
                        Development program of the Department of 
                        Energy--
                                    ``(I) to minimize any redundancy of 
                                related research programs;
                                    ``(II) to develop a strategic goal 
                                and a plan to attain the strategic 
                                goal; and
                                    ``(III) to maintain the focus of 
                                the research program toward the 
                                strategic goal described in subclause 
                                (II).
                    ``(C) Report.--Not later than 180 days after the 
                date of enactment of this subsection, the Secretary 
                shall submit to the appropriate committees of Congress 
                a report that contains, for the period covered by the 
                report, a description of each unfulfilled 
                responsibility of the Department of Energy regarding 
                the Nuclear Waste Policy Act of 1982 (42 U.S.C. 10101 
                et seq.).
    ``(i) Spent Fuel Storage Research Program.--
            ``(1) In general.--Not later than 180 days after the date 
        of enactment of this subsection, the Secretary shall initiate a 
        spent fuel storage research program, to be carried out as a 
        component of the Fuel Cycle Research and Development program of 
        the Department of Energy.
            ``(2) Requirements.--In carrying out the program under this 
        subsection, the Secretary shall--
                    ``(A) analyze the sustainability of the on-site 
                pool storage of spent fuel;
                    ``(B) develop a cost-benefit analysis of reracking 
                spent fuel in ponds as compared to dry cask storage, to 
                be provided to nuclear power plant owners and operators 
                to assist with fuel storage decisionmaking; and
                    ``(C) develop a 15-year strategy for the storage of 
                the spent nuclear fuel of the United States, including 
                recommendations, cost-estimates, and schedules for 
                resolving the accumulation of spent nuclear fuel.
            ``(3) Authorization of appropriations.--There is authorized 
        to be appropriated to the Secretary to carry out the program 
        under this subsection $300,000,000 for the period of fiscal 
        years 2012 through 2015.''.

                     TITLE VIII--BUDGETARY EFFECTS

SEC. 801. BUDGETARY EFFECTS.

    The budgetary effects of this Act, for the purpose of complying 
with the Statutory Pay-As-You-Go Act of 2010, shall be determined by 
reference to the latest statement titled ``Budgetary Effects of PAYGO 
Legislation'' for this Act, submitted for printing in the Congressional 
Record by the Chairman of the Senate Budget Committee, provided that 
such statement has been submitted prior to the vote on passage.
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