II 

115TH CONGRESS 

2D SESSION S. 2602 

To support carbon dioxide utilization and direct air capture research, to 

facilitate the permitting and development of carbon capture, utilization, 

and sequestration projects and carbon dioxide pipelines, and for other 

purposes. 

IN THE SENATE OF THE UNITED STATES 

MARCH 22, 2018 

Mr. BARRASSO (for himself, Mr. WHITEHOUSE, Mrs. CAPITO, and Ms. 

HEITKAMP) introduced the following bill; which was read twice and referred to the Committee on Environment and Public Works 

A BILL 

To support carbon dioxide utilization and direct air capture 

research, to facilitate the permitting and development 

of carbon capture, utilization, and sequestration projects 

and carbon dioxide pipelines, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Utilizing Significant 

5 Emissions with Innovative Technologies Act’’ or the ‘‘USE 

6 IT Act’’. 


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1 TITLE I—ENCOURAGING PROJ2 ECTS TO REDUCE EMISSIONS 

3 SEC. 101. RESEARCH, INVESTIGATION, TRAINING, AND 

4 OTHER ACTIVITIES. 

5 Section 103 of the Clean Air Act (42 U.S.C. 7403) 

6 is amended— 

7 (1) in subsection (c)(3), in the first sentence of 

8 the matter preceding subparagraph (A), by striking 

9 ‘‘percursors’’ and inserting ‘‘precursors’’; and 

10 (2) in subsection (g)— 

11 (A) by redesignating paragraphs (1) 

12 through (4) as subparagraphs (A) through (D), 

13 respectively, and indenting appropriately; 

14 (B) in the undesignated matter following 

15 subparagraph (D) (as so redesignated)— 

16 (i) in the second sentence, by striking 

17 ‘‘The Administrator’’ and inserting the fol18 lowing: 

19 ‘‘(5) COORDINATION AND AVOIDANCE OF DU20 PLICATION.—The Administrator’’; and 

21 (ii) in the first sentence, by striking 

22 ‘‘Nothing’’ and inserting the following: 

23 ‘‘(4) EFFECT OF SUBSECTION.—Nothing’’; 

24 (C) in the matter preceding subparagraph 

25 (A) (as so redesignated)— 


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1 (i) in the third sentence, by striking 

2 ‘‘Such program’’ and inserting the fol3 lowing: 

4 ‘‘(3) PROGRAM INCLUSIONS.—The program 

5 under this subsection’’; 

6 (ii) in the second sentence— 

7 (I) by inserting ‘‘States, institu8 tions of higher education,’’ after ‘‘sci9 entists,’’; and 

10 (II) by striking ‘‘Such strategies 

11 and technologies shall be developed’’ 

12 and inserting the following: 

13 ‘‘(2) PARTICIPATION REQUIREMENT.—Such 

14 strategies and technologies described in paragraph 

15 (1) shall be developed’’; and 

16 (iii) in the first sentence, by striking 

17 ‘‘In carrying out’’ and inserting the fol18 lowing: 

19 ‘‘(1) IN GENERAL.—In carrying out’’; and 

20 (D) by adding at the end the following: 

21 ‘‘(6) CERTAIN CARBON DIOXIDE ACTIVITIES.— 

22 ‘‘(A) IN GENERAL.—In carrying out para23 graph (3)(A) with respect to carbon dioxide, the 

24 Administrator shall carry out the activities de25 scribed in each of subparagraphs (B) and (C). 


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1 ‘‘(B) DIRECT AIR CAPTURE RESEARCH.— 

2 ‘‘(i) DEFINITIONS.—In this subpara3 graph: 

4 ‘‘(I) BOARD.—The term ‘Board’ 

5 means the Direct Air Capture Tech6 nology Advisory Board established by 

7 clause (iii)(I). 

8 ‘‘(II) DILUTE.—The term ‘dilute’ 

9 means a concentration of less than 1 

10 percent by volume. 

11 ‘‘(III) DIRECT AIR CAPTURE.— 

12 ‘‘(aa) IN GENERAL.—The 

13 term ‘direct air capture’, with re14 spect to a facility, technology, or 

15 system, means that the facility, 

16 technology, or system uses car17 bon capture equipment to cap18 ture carbon dioxide directly from 

19 the air. 

20 ‘‘(bb) EXCLUSION.—The 

21 term ‘direct air capture’ does not 

22 include any facility, technology, 

23 or system that captures carbon 

24 dioxide— 


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1 ‘‘(AA) that is delib2 erately released from a natu3 rally occurring subsurface 

4 spring; or 

5 ‘‘(BB) using natural 

6 photosynthesis. 

7 ‘‘(IV) INTELLECTUAL PROP8 ERTY.—The term ‘intellectual prop9 erty’ means— 

10 ‘‘(aa) an invention that is 

11 patentable under title 35, United 

12 States Code; and 

13 ‘‘(bb) any patent on an in14 vention described in item (aa). 

15 ‘‘(ii) TECHNOLOGY PRIZES.— 

16 ‘‘(I) IN GENERAL.—Not later 

17 than 1 year after the date of enact18 ment of the USE IT Act, the Admin19 istrator shall establish a program to 

20 provide, and shall provide, financial 

21 awards on a competitive basis for di22 rect air capture from media in which 

23 the concentration of carbon dioxide is 

24 dilute. 


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1 ‘‘(II) DUTIES.—In carrying out 

2 this clause, the Administrator shall— 

3 ‘‘(aa) subject to subclause 

4 (III), develop specific require5 ments for— 

6 ‘‘(AA) the competition 

7 process; and 

8 ‘‘(BB) monitoring and 

9 verification procedures for 

10 approved projects; 

11 ‘‘(bb) offer financial awards 

12 for a project designed— 

13 ‘‘(AA) to capture more 

14 than 10,000 tons of carbon 

15 dioxide per year; and 

16 ‘‘(BB) to be deployed 

17 at a cost of less than $200 

18 per ton of carbon dioxide 

19 captured; and 

20 ‘‘(cc) to the maximum ex21 tent practicable, make financial 

22 awards to geographically diverse 

23 projects, including at least— 

24 ‘‘(AA) 1 project in a 

25 coastal State; and 


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1 ‘‘(BB) 1 project in a 

2 rural State. 

3 ‘‘(III) PUBLIC PARTICIPATION.— 

4 In carrying out subclause (II)(aa), the 

5 Board shall— 

6 ‘‘(aa) provide notice of and, 

7 for a period of not less than 60 

8 days, an opportunity for public 

9 comment on, any draft or pro10 posed version of the requirements 

11 described in subclause (II)(aa); 

12 and 

13 ‘‘(bb) take into account pub14 lic comments received in devel15 oping the final version of those 

16 requirements. 

17 ‘‘(IV) PEER REVIEW.—No finan18 cial awards may be provided under 

19 this clause until the proposal for 

20 which the award is sought has been 

21 peer reviewed in accordance with such 

22 standards for peer review as are es23 tablished by the Administrator. 

24 ‘‘(iii) DIRECT AIR CAPTURE TECH25 NOLOGY ADVISORY BOARD.— 


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1 ‘‘(I) ESTABLISHMENT.—There is 

2 established an advisory board to be 

3 known as the ‘Direct Air Capture 

4 Technology Advisory Board’. 

5 ‘‘(II) COMPOSITION.—The Board 

6 shall be composed of 9 members ap7 pointed by the Administrator, who 

8 shall provide expertise in— 

9 ‘‘(aa) climate science; 

10 ‘‘(bb) physics; 

11 ‘‘(cc) chemistry; 

12 ‘‘(dd) biology; 

13 ‘‘(ee) engineering; 

14 ‘‘(ff) economics; 

15 ‘‘(gg) business management; 

16 and 

17 ‘‘(hh) such other disciplines 

18 as the Administrator determines 

19 to be necessary to achieve the 

20 purposes of this subparagraph. 

21 ‘‘(III) TERM; VACANCIES.— 

22 ‘‘(aa) TERM.—A member of 

23 the Board shall serve for a term 

24 of 6 years. 


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1 ‘‘(bb) VACANCIES.—A va2 cancy on the Board— 

3 ‘‘(AA) shall not affect 

4 the powers of the Board; 

5 and 

6 ‘‘(BB) shall be filled in 

7 the same manner as the 

8 original appointment was 

9 made. 

10 ‘‘(IV) INITIAL MEETING.—Not 

11 later than 30 days after the date on 

12 which all members of the Board have 

13 been appointed, the Board shall hold 

14 the initial meeting of the Board. 

15 ‘‘(V) MEETINGS.—The Board 

16 shall meet at the call of the Chair17 person. 

18 ‘‘(VI) QUORUM.—A majority of 

19 the members of the Board shall con20 stitute a quorum, but a lesser number 

21 of members may hold hearings. 

22 ‘‘(VII) CHAIRPERSON AND VICE

23 CHAIRPERSON.—The Board shall se24 lect a Chairperson and Vice ChairVerDate Sep 11 2014 02:46 Apr 04, 2018 Jkt 079200 PO 00000 Frm 00009 Fmt 6652 Sfmt 6201 E:\BILLS\S2602.IS S2602

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1 person from among the members of 

2 the Board. 

3 ‘‘(VIII) COMPENSATION.—Each 

4 member of the Board may be com5 pensated at not to exceed the daily 

6 equivalent of the annual rate of basic 

7 pay in effect for a position at level V 

8 of the Executive Schedule under sec9 tion 5316 of title 5, United States 

10 Code, for each day during which the 

11 member is engaged in the actual per12 formance of the duties of the Board. 

13 ‘‘(IX) DUTIES.—The Board shall 

14 advise the Administrator on carrying 

15 out the duties of the Administrator 

16 under this subparagraph. 

17 ‘‘(X) FACA.—The Federal Advi18 sory Committee Act (5 U.S.C. App.) 

19 shall apply to the Board. 

20 ‘‘(iv) INTELLECTUAL PROPERTY.— 

21 ‘‘(I) IN GENERAL.—As a condi22 tion of receiving a financial award 

23 under this subparagraph, an applicant 

24 shall agree to vest the intellectual 

25 property of the applicant derived from 


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1 the technology in 1 or more entities 

2 that are incorporated in the United 

3 States. 

4 ‘‘(II) RESERVATION OF LI5 CENSE.—The United States— 

6 ‘‘(aa) may reserve a non7 exclusive, nontransferable, irrev8 ocable, paid-up license, to have 

9 practiced for or on behalf of the 

10 United States, in connection with 

11 any intellectual property de12 scribed in subclause (I); but 

13 ‘‘(bb) shall not, in the exer14 cise of a license reserved under 

15 item (aa), publicly disclose pro16 prietary information relating to 

17 the license. 

18 ‘‘(III) TRANSFER OF TITLE.— 

19 Title to any intellectual property de20 scribed in subclause (I) shall not be 

21 transferred or passed, except to an 

22 entity that is incorporated in the 

23 United States, until the expiration of 

24 the first patent obtained in connection 

25 with the intellectual property. 


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1 ‘‘(v) AUTHORIZATION OF APPROPRIA2 TIONS.—There is authorized to be appro3 priated to carry out this subparagraph 

4 $25,000,000, to remain available until ex5 pended. 

6 ‘‘(vi) TERMINATION OF AUTHORITY.— 

7 The Board and all authority provided 

8 under this subparagraph shall terminate 

9 on December 31, 2028. 

10 ‘‘(C) CARBON DIOXIDE UTILIZATION RE11 SEARCH.— 

12 ‘‘(i) DEFINITION OF CARBON DIOXIDE

13 UTILIZATION.—In this subparagraph, the 

14 term ‘carbon dioxide utilization’ refers to 

15 technologies or approaches that lead to the 

16 use of carbon dioxide— 

17 ‘‘(I) through the fixation of car18 bon dioxide through photosynthesis or 

19 chemosynthesis, such as through the 

20 growing of algae or bacteria; 

21 ‘‘(II) through the chemical con22 version of carbon dioxide to a material 

23 or chemical compound in which the 

24 carbon dioxide is securely stored; or 


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1 ‘‘(III) through the use of carbon 

2 dioxide for any other purpose for 

3 which a commercial market exists, as 

4 determined by the Administrator. 

5 ‘‘(ii) PROGRAM.—The Administrator 

6 shall carry out a research and development 

7 program for carbon dioxide utilization to 

8 promote technologies that transform car9 bon dioxide generated by industrial proc10 esses into a product of commercial value, 

11 or as an input to products of commercial 

12 value. 

13 ‘‘(iii) TECHNICAL AND FINANCIAL AS14 SISTANCE.—Not later than 2 years after 

15 the date of enactment of the USE IT Act, 

16 in carrying out this subsection, the Admin17 istrator shall support research and infra18 structure activities relating to carbon diox19 ide utilization by providing technical assist20 ance and financial assistance in accordance 

21 with clause (iv). 

22 ‘‘(iv) ELIGIBILITY.—To be eligible to 

23 receive technical assistance and financial 

24 assistance under clause (iii), a carbon diox25 ide utilization project shall— 


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1 ‘‘(I) have access to an emissions 

2 stream generated by a stationary 

3 source within the United States that 

4 is capable of supplying not less than 

5 250 metric tons per day of carbon di6 oxide for research; 

7 ‘‘(II) have access to adequate 

8 space for a laboratory and equipment 

9 for testing small-scale carbon dioxide 

10 utilization technologies, with onsite 

11 access to larger test bays for scale-up; 

12 and 

13 ‘‘(III) have existing partnerships 

14 with institutions of higher education, 

15 private companies, States, or other 

16 government entities. 

17 ‘‘(v) COORDINATION.—In supporting 

18 carbon dioxide utilization projects under 

19 this paragraph, the Administrator shall 

20 collaborate, as appropriate, with the head 

21 of any relevant Federal agency, States, the 

22 private sector, and institutions of higher 

23 education to develop methods and tech24 nologies to account for the carbon dioxide 


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1 emissions avoided by the carbon dioxide 

2 utilization projects. 

3 ‘‘(vi) AUTHORIZATION OF APPROPRIA4 TIONS.—There is authorized to be appro5 priated to carry out this subparagraph 

6 $50,000,000, to remain available until ex7 pended. 

8 ‘‘(D) REPORT ON CARBON DIOXIDE NON9 REGULATORY STRATEGIES AND TECH10 NOLOGIES.— 

11 ‘‘(i) IN GENERAL.—Not less fre12 quently than once every 2 years, the Ad13 ministrator shall submit to the Committee 

14 on Environment and Public Works of the 

15 Senate and the Committee on Energy and 

16 Commerce of the House of Representatives 

17 a report that describes— 

18 ‘‘(I) the recipients of assistance 

19 under subparagraphs (B) and (C); 

20 and 

21 ‘‘(II) a plan for supporting addi22 tional nonregulatory strategies and 

23 technologies that could significantly 

24 prevent carbon dioxide emissions or 

25 reduce carbon dioxide levels in the air, 


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1 in conjunction with other Federal 

2 agencies. 

3 ‘‘(ii) INCLUSIONS.—The plan sub4 mitted under clause (i) shall include— 

5 ‘‘(I) a methodology for evaluating 

6 and ranking technologies based on the 

7 ability of the technologies to cost ef8 fectively reduce carbon dioxide emis9 sions or carbon dioxide levels in the 

10 air; and 

11 ‘‘(II) a description of any nonair12 related environmental or energy con13 siderations regarding the tech14 nologies.’’. 

15 TITLE II—IMPROVEMENT OF 

16 PERMITTING PROCESS FOR 

17 CARBON DIOXIDE CAPTURE 

18 AND INFRASTRUCTURE PROJ19 ECTS 

20 SEC. 201. INCLUSION OF CARBON CAPTURE INFRASTRUC21 TURE PROJECTS. 

22 Section 41001(6) of the FAST Act (42 U.S.C. 

23 4370m(6)) is amended— 

24 (1) in subparagraph (A)— 


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1 (A) in the matter preceding clause (i), by 

2 inserting ‘‘carbon capture,’’ before ‘‘renewable 

3 or conventional’’; 

4 (B) in clause (i)(III), by striking ‘‘or’’ at 

5 the end; 

6 (C) by redesignating clause (ii) as clause 

7 (iii); and 

8 (D) by inserting after clause (i) the fol9 lowing: 

10 ‘‘(ii) is covered by a programmatic 

11 plan or environmental review developed for 

12 the primary purpose of facilitating develop13 ment of carbon dioxide pipelines; or’’; and 

14 (2) by adding at the end the following: 

15 ‘‘(C) ASSOCIATED DEFINITION.—For pur16 poses of subparagraph (A), the term ‘construc17 tion of infrastructure for carbon capture’ in18 cludes construction of any facility, technology, 

19 or system that captures, utilizes, or sequesters 

20 carbon dioxide emissions and carbon dioxide 

21 pipelines.’’. 


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1 SEC. 202. DEVELOPMENT OF CARBON CAPTURE, UTILIZA2 TION, AND SEQUESTRATION PERMITTING 

3 GUIDANCE AND REGIONAL PERMITTING 

4 TASK FORCE. 

5 (a) DEVELOPMENT OF GUIDANCE.— 

6 (1) IN GENERAL.—Not later than 1 year after 

7 the date of enactment of this Act, the Chair of the 

8 Council on Environmental Quality (referred to in 

9 this section as the ‘‘Chair’’), in consultation with the 

10 Administrator of the Environmental Protection 

11 Agency, the Secretary of Energy, the Secretary of 

12 the Interior, and the head of any other relevant Fed13 eral agency (as determined by the President), shall 

14 prepare guidance— 

15 (A) to facilitate reviews associated with the 

16 deployment of carbon capture, utilization, and 

17 sequestration projects and carbon dioxide pipe18 lines; and 

19 (B) that identifies current or emerging ac20 tivities that transform captured carbon dioxide 

21 into a product of commercial value, or as an 

22 input to products of commercial value. 

23 (2) REQUIREMENTS.—The guidance under 

24 paragraph (1) shall— 

25 (A) address requirements under— 


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1 (i) the National Environmental Policy 

2 Act of 1969 (42 U.S.C. 4321 et seq.); 

3 (ii) the Federal Water Pollution Con4 trol Act (33 U.S.C. 1251 et seq.); 

5 (iii) the Clean Air Act (42 U.S.C. 

6 7401 et seq.); 

7 (iv) the Safe Drinking Water Act (42 

8 U.S.C. 300f et seq.); 

9 (v) the Endangered Species Act of 

10 1973 (16 U.S.C. 1531 et seq.); 

11 (vi) division A of subtitle III of title 

12 54, United States Code (formerly known 

13 as the ‘‘National Historic Preservation 

14 Act’’); 

15 (vii) the Migratory Bird Treaty Act 

16 (16 U.S.C. 703 et seq.); 

17 (viii) the Act of June 8, 1940 (16 

18 U.S.C. 668 et seq.) (commonly known as 

19 the ‘‘Bald and Golden Eagle Protection 

20 Act’’); and 

21 (ix) any other Federal law that the 

22 Chair determines to be appropriate; and 

23 (B) include guidance to States for the de24 velopment of programmatic environmental re25 views under the National Environmental Policy 


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1 Act of 1969 (42 U.S.C. 4321 et seq.) for siting, 

2 analyzing, and authorizing carbon dioxide pipe3 line networks. 

4 (3) SUBMISSION; PUBLICATION.—The Chair 

5 shall— 

6 (A) submit the guidance under paragraph 

7 (1) to the Committee on Environment and Pub8 lic Works of the Senate and the Committee on 

9 Energy and Commerce of the House of Rep10 resentatives; and 

11 (B) publish and make publicly available 

12 the guidance under paragraph (1). 

13 (b) TASK FORCE.— 

14 (1) ESTABLISHMENT.—Not later than 18 

15 months after the date of enactment of this Act, the 

16 Chair shall establish not less than 2 task forces, 

17 which shall each cover a different geographical area 

18 that faces differing demographic, land use, or geo19 logical issues, to identify permitting challenges that 

20 permitting authorities and project developers and 

21 operators face. 

22 (2) MEMBERS AND SELECTION.— 

23 (A) IN GENERAL.—The Chair shall— 

24 (i) develop criteria for the selection of 

25 members to each task force; and 


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1 (ii) select members for each task force 

2 in accordance with clause (i) and subpara3 graph (B). 

4 (B) MEMBERS.—Each task force— 

5 (i) shall include not less than 1 rep6 resentative of each of— 

7 (I) the Environmental Protection 

8 Agency; 

9 (II) the Department of Energy; 

10 (III) the Department of the Inte11 rior; 

12 (IV) any other Federal agency 

13 the Chair determines to be appro14 priate; 

15 (V) any State that requests par16 ticipation in the geographical area 

17 covered by the task force; 

18 (VI) industry; and 

19 (VII) nongovernmental organiza20 tions; and 

21 (ii) at the request of a Tribal or local 

22 government, may include a representative 

23 of— 


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1 (I) not less than 1 local govern2 ment in the geographical area covered 

3 by the task force; and 

4 (II) not less than 1 Tribal gov5 ernment in the geographical area cov6 ered by the task force. 

7 (3) MEETINGS.— 

8 (A) IN GENERAL.—Each task force shall 

9 meet not less than twice each year. 

10 (B) JOINT MEETING.—To the maximum 

11 extent practicable, the task forces shall meet 

12 collectively not less than once each year. 

13 (4) DUTIES.—Each task force shall— 

14 (A) inventory existing or potential ap15 proaches to facilitate reviews associated with 

16 the deployment of carbon capture, utilization, 

17 and sequestration projects and carbon dioxide 

18 pipelines; 

19 (B) develop common models for State-level 

20 carbon dioxide pipeline regulation and oversight 

21 guidelines that can be shared with States in the 

22 geographical area covered by the task force; 

23 (C) provide technical assistance to States 

24 in the geographical area covered by the task 

25 force in implementing regulatory requirements 


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1 and any models developed under subparagraph 

2 (B); and 

3 (D) develop guidance for relevant Federal 

4 agencies on how to develop and research tech5 nologies that— 

6 (i) can capture carbon dioxide; and 

7 (ii) would be able to be deployed with8 in the region covered by the task force, in9 cluding any projects that have received 

10 technical or financial assistance for re11 search under paragraph (6) of section 

12 103(g) of the Clean Air Act (42 U.S.C. 

13 7403(g)). 

14 (5) REPORT.—Each year, each task force shall 

15 prepare and submit to the Chair and to the other 

16 task forces a report that includes— 

17 (A) any recommendations for improve18 ments in the issuance or administration of Fed19 eral permits and other Federal authorizations 

20 required under a law described in subsection 

21 (a)(2)(A); and 

22 (B) any other nationally relevant informa23 tion that the task force has collected in carrying 

24 out the duties under paragraph (4). 


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1 (6) EVALUATION AND REVISION.—The Chair 

2 shall— 

3 (A) evaluate the reports under paragraph 

4 (5) and, as necessary, revise the guidance under 

5 subsection (a); and 

6 (B) submit to the Committee on Environ7 ment and Public Works of the Senate, the Com8 mittee on Energy and Commerce of the House 

9 of Representatives, and relevant Federal agen10 cies each year any revisions to the guidance 

11 under subsection (a) and a report that describes 

12 any recommendations for legislation, rules, or 

13 revisions to rules that would address the issues 

14 identified by the task forces under paragraph 

15 (5). 

Æ 


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