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[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 820 Introduced in House (IH)]

111th CONGRESS
  1st Session
                                H. R. 820

       To ensure the development and responsible stewardship of 
                            nanotechnology.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                            February 3, 2009

  Mr. Honda introduced the following bill; which was referred to the 
Committee on Science and Technology, and in addition to the Committees 
 on Energy and Commerce, Ways and Means, and Homeland Security, for a 
 period to be subsequently determined by the Speaker, in each case for 
consideration of such provisions as fall within the jurisdiction of the 
                          committee concerned

_______________________________________________________________________

                                 A BILL

 
       To ensure the development and responsible stewardship of 
                            nanotechnology.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Nanotechnology Advancement and New 
Opportunities Act''.

             TITLE I--INVESTMENT IN NANOTECHNOLOGY INDUSTRY

SEC. 101. NANOMANUFACTURING INVESTMENT PARTNERSHIP.

    (a) Establishment.--If $100,000,000 is made available for such 
purposes from the private sector within 2 years after the date of 
enactment of this Act, the Secretary of Commerce shall establish the 
Nanomanufacturing Investment Partnership, in partnership with such 
private sector investors.
    (b) Purpose.--The Nanomanufacturing Investment Partnership shall 
provide funding for precommercial nanomanufacturing research and 
development projects, but not for basic research projects, through 
funding mechanisms described in subsection (c) in a manner so as to 
advance the commercialization of nanomanufacturing technologies to 
address critical scientific and engineering needs of national 
importance, especially with respect to projects that would not be 
adequately funded or pursued by the private sector or pursuant to the 
21st Century Nanotechnology Research and Development Act or other law, 
and to increase the commercial application of federally supported 
research results. To the extent that a sufficient number of viable 
applications have been submitted, at least 85 percent of the funding 
provided by the Nanomanufacturing Investment Partnership under this 
section shall be provided to startup companies.
    (c) Funding Mechanisms.--The Nanomanufacturing Investment 
Partnership may provide funding through direct investment in 
nanomanufacturing firms, contracts, loans or loan guarantees, unsecured 
subordinated debt, or any other mechanism designed to advance 
nanomanufacturing technologies.
    (d) Return on Investment.--
            (1) Requirement.--Each transaction through which the 
        Nanomanufacturing Investment Partnership provides funding under 
        subsection (c) shall provide for the return to the 
        Nanomanufacturing Investment Partnership of fair and reasonable 
        amounts resulting from the commercialization of technologies 
        developed with the funding provided by the Nanomanufacturing 
        Investment Partnership.
            (2) Distribution.--Amounts received by the 
        Nanomanufacturing Investment Partnership pursuant to paragraph 
        (1) shall be distributed as follows:
                    (A) Except as provided in subparagraph (B), amounts 
                shall be distributed to all investors in the 
                Nanomanufacturing Investment Partnership, including the 
                Federal Government, in proportion to their monetary 
                contribution to the Nanomanufacturing Investment 
                Partnership.
                    (B) After the total monetary investment of the 
                Federal Government has been recovered under 
                subparagraph (A), the Federal share of distributions 
                under this paragraph shall be reduced to 7 percent of 
                the proportional distribution under subparagraph (A), 
                and the remaining amounts shall be distributed 
                proportionately to all non-Federal investors.
    (e) Cost Sharing.--Each applicant for funding assistance from the 
Nanomanufacturing Investment Partnership for a project shall be 
required to provide a portion of the cost of the project.
    (f) Administration.--The Secretary of Commerce, based on guidance 
from the Advisory Board established under subsection (i), shall make 
awards of funding under this section. The Advisory Board may obtain 
additional peer review in preparing guidance for the Secretary under 
this subsection.
    (g) Progress Reports.--The Nanomanufacturing Investment Partnership 
shall require periodic project progress reports from recipients of 
funding under this section.
    (h) Advisory Board.--
            (1) Establishment.--The Secretary of Commerce shall 
        establish an Advisory Board to assist the Secretary in carrying 
        out this section, including by establishing requirements for 
        progress reports under subsection (g). The Advisory Board shall 
        consist of--
                    (A) representatives of each investor providing more 
                than $10,000,000 to the Nanomanufacturing Investment 
                Partnership, whose votes shall--
                            (i) be distributed proportional to the size 
                        of their investment in the Nanomanufacturing 
                        Investment Partnership; and
                            (ii) collectively amount to 40 percent of 
                        the votes on the Advisory Board; and
                    (B) independent experts on nanomanufacturing and 
                finance appointed by the President from among 
                representatives of government, industry, and academia, 
                whose votes shall collectively amount to 60 percent of 
                the votes on the Advisory Board.
            (2) Terms.--Members of the Advisory Board appointed under 
        paragraph (1)(A) shall be appointed for 3-year terms, except 
        that the President shall make some initial appointments for 
        terms of 1 year and some for terms of 2 years, in order to 
        ensure continuity of membership on the Advisory Board.
    (i) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary of Commerce for the Nanomanufacturing 
Investment Partnership $300,000,000, to remain available until 
expended.

SEC. 102. TAX CREDIT FOR INVESTMENT IN NANOTECHNOLOGY FIRMS.

    (a) In General.--Part IV of subchapter A of chapter 1 of the 
Internal Revenue Code of 1986 (relating to credits against tax) is 
amended by adding at the end the following new subpart:

             ``Subpart J--Nanotechnology Development Credit

``SEC. 54I. CREDIT FOR PURCHASE OF NANOTECHNOLOGY DEVELOPER STOCK.

    ``(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 percentage of the aggregate 
        amount paid by the taxpayer for the purchase of qualified 
        nanotechnology developer stock.
            ``(2) Applicable percentage.--For purposes of subsection 
        (a), the applicable percentage is--
                    ``(A) 5.25 percent for the taxable year in which 
                the qualified nanotechnology developer stock is 
                purchased,
                    ``(B) 3.75 percent for the taxable year following 
                the year in which such stock is purchased,
                    ``(C) 3 percent for the second taxable year 
                following the year in which such stock is purchased,
                    ``(D) 1.5 percent for the third taxable year 
                following the year in which such stock is purchased,
                    ``(E) 1.5 percent for fourth taxable year following 
                the year in which such stock is purchased, and
                    ``(F) 0 percent for any taxable year after the 
                fourth taxable year following the year in which such 
                stock is purchased.
    ``(b) Limitations.--
            ``(1) Amount of investment eligible.--No credit shall be 
        allowed under subsection (a) with respect to amounts paid in 
        any taxable year for the purchase of qualified nanotechnology 
        developer stock which is in excess of $10,000,000.
            ``(2) Application with other credits.--The credit allowed 
        under subsection (a) for any taxable year shall not exceed the 
        excess of--
                    ``(A) the regular tax for the taxable year reduced 
                by the sum of the credits allowable under this part 
                (other than subpart C thereof), over
                    ``(B) the tentative minimum tax for the taxable 
                year.
    ``(c) Qualified Nanotechnology Developer Stock.--For purposes of 
this section--
            ``(1) In general.--The term `qualified nanotechnology 
        developer stock' means any common stock in a C corporation or 
        any membership unit in a State-registered limited liability 
        company if--
                    ``(A) as of the date of issuance of such stock or 
                membership unit, such corporation or company is a 
                qualified nanotechnology developer,
                    ``(B) such stock is acquired by the taxpayer at its 
                original issue (directly or through an underwriter) in 
                exchange for money or other property (not including 
                stock), and
                    ``(C) the proceeds of such issue are used by such 
                issuer during the 5-year period beginning on the date 
                of issuance for the development, production, or sale of 
                products using nanotechnology.
            ``(2) Qualified nanotechnology developer.--The term 
        `qualified nanotechnology developer' means any entity--
                    ``(A) which is a C corporation or limited liability 
                company organized under the laws of any State or of the 
                United States,
                    ``(B) which is a small business concern (as defined 
                in section 3(a) of the Small Business Act), and
                    ``(C) with respect to which a certification under 
                subsection (d) is in effect.
            ``(3) Nanotechnology.--The term `nanotechnology' means the 
        science of understanding and manipulating matter on an atomic 
        or molecular scale, generally to create structures, and usually 
        at a size smaller than 100 nanometers.
    ``(d) Certification.--
            ``(1) In general.--The Secretary, in consultation with the 
        National Nanotechnology Coordination Office, shall certify an 
        entity under this subsection if such entity demonstrates by the 
        submission of such information as required by the Secretary 
        that not less than 51 percent of its activities relate to the 
        development, production, and sale of products using 
        nanotechnology.
            ``(2) Revocation.--The Secretary shall revoke the 
        certification of any entity which is certified under paragraph 
        (1) if the Secretary determines that--
                    ``(A) the proceeds from any qualified 
                nanotechnology developer stock issued by such entity 
                are used during the 5-year period following such issue 
                for a purpose other than the development, production, 
                or sale of products using nanotechnology, or
                    ``(B) such entity no longer meets the requirements 
                of paragraph (1).
            ``(3) Submission of information.--The Secretary may require 
        any entity certified under paragraph (1) to provide such 
        information as the Secretary may require in order ensure 
        compliance with the purposes of this section.
    ``(e) Carryover of Unused Credit.--
            ``(1) In general.--If the credit amount allowable under 
        subsection (a) for a taxable year exceeds the amount of the 
        limitation under subsection (h) for such taxable year, such 
        excess shall be allowed as a credit carryforward for each of 
        the 20 taxable years following the unused credit year.
            ``(2) Rules.--Rules similar to the rules of section 39 
        shall apply with respect to the credit carryforward under 
        paragraph (1).
    ``(f) Recapture of Credit.--If--
            ``(1) the taxpayer fails to hold qualified nanotechnology 
        developer stock for the 7-year period beginning on the date 
        such stock was purchased by the taxpayer, or
            ``(2) during such 7-year period, the issuer of such stock 
        ceases to be a qualified nanotechnology developer,
then notwithstanding any other provision of this subtitle, the tax 
imposed by this chapter on the taxpayer for the taxable year beginning 
in the calendar year in which such cessation occurred shall be 
increased by the aggregate amount of credit allowed under subsection 
(a) to the taxpayer with respect to such stock.
    ``(g) Special Rule.--For purposes of this section, rules similar to 
the rules of section 1202(c)(3) shall apply.
    ``(h) Basis Adjustments.--For purposes of this subtitle, if a 
credit is allowed under this section for the purchase of any stock--
            ``(1) the increase in the basis of such stock which would 
        (but for this subsection) result from such purchase shall be 
        reduced by the amount of the credit so allowed, and
            ``(2) the basis of such stock shall be increased by the 
        amount of any increase in tax by reason of subsection (f).''.
    (b) Conforming Amendment.--Subsection (a) of section 1016 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 54I(h), in the 
        case of amounts with respect to which a credit has been allowed 
        under section 54I or a recapture imposed under section 
        54I(f).''.
    (c) Clerical Amendment.--The table of subparts for part IV is 
amended by adding at the end the following new item:

           ``subpart j--nanotechnology development credit''.

    (d) Effective Date.--The amendments made by this section shall 
apply to amounts paid after December 31, 2008.

SEC. 103. NANOTECHNOLOGY ASSISTANCE.

    (a) Definitions.--In this section:
            (1) Commercialization.--The term ``commercialization'' 
        means the process of converting nanotechnology research into 
        products and processes that are used in the marketplace.
            (2) Degree-granting institution.--The term ``degree-
        granting institution'' means an institution of higher 
        education, as defined in section 101 of the Higher Education 
        Act of 1965 (20 U.S.C. 1001), that awards an associate or 
        baccalaureate degree.
            (3) Incubator.--The term ``incubator'' means an entity 
        affiliated with or housed in a degree-granting institution that 
        provides space and coordinated and specialized services to 
        entrepreneurial businesses that work in the field of 
        nanotechnology commercialization and that meets selected 
        criteria during the businesses' startup phase, including 
        providing services such as shared office space and services, 
        access to equipment, access to telecommunications and 
        technology services, flexible leases, specialized management 
        assistance, access to financing, and other coordinated business 
        or technical support services.
            (4) Nanotechnology.--The term ``nanotechnology'' means the 
        science of understanding and manipulating matter on an atomic 
        or molecular scale, generally to create structures, and usually 
        at a size smaller than 100 nanometers.
            (5) Secretary.--The term ``Secretary'' means the Secretary 
        of Commerce.
    (b) Grants Authorized.--
            (1) In general.--The Secretary is authorized to establish 
        within the Technology Administration of the Department of 
        Commerce a grant program to support the establishment and 
        development of incubators.
            (2) Allocation of funds.--From the amount appropriated 
        pursuant to the authorization of appropriations in subsection 
        (e) for a fiscal year, the Secretary--
                    (A) shall use 80 percent of such amount to--
                            (i) make awards, on a competitive basis, in 
                        amounts of up to $2,500,000, to help acquire or 
                        renovate space for incubators; and
                            (ii) make awards, on a competitive basis, 
                        in amounts of $50,000 to $150,000, for--
                                    (I) developing curricula related to 
                                nanotechnology;
                                    (II) providing services for 
                                commercialization, including preparing 
                                providing services to appropriate 
                                businesses including corporate 
                                charters, partnership agreements, and 
                                basic contracts, assistance with 
                                patents, trademarks, and copyrights, 
                                and technology acquisition services; or
                                    (III) providing programming for 
                                entrepreneurs working in nanotechnology 
                                housed in an incubator;
                    (B) shall reserve 10 percent of the amount to make 
                awards, on a competitive basis, in amounts of $50,000 
                to $150,000, for feasibility studies for determining 
                the need for or siting of incubators; and
                    (C) shall reserve 10 percent for research regarding 
                best practices for incubator programs, including the 
                development of a benchmarking system based on uniform 
                measures, and for dissemination of information 
                regarding such practices.
            (3) Contracts.--The Secretary is authorized to contract 
        with organizations with expertise in incubation practices for 
        the purposes of carrying out paragraph (2)(C).
            (4) Uses of funds.--Funds awarded under paragraph 
        (2)(A)(ii) may be used for--
                    (A) curriculum, training, or technical assistance 
                related to nanotechnology developed by academic faculty 
                with participation from entrepreneurship experts;
                    (B) programming that contributes to a coordinated 
                set of business assistance tools, such as developing 
                management teams, providing workforce development, 
                forming strategic alliances, developing capital 
                formation networks, and developing customized plans for 
                commercialization; and
                    (C) hiring staff to coordinate the activities 
                described in subparagraph (A) or (B) or for curriculum 
                development.
            (5) Recipients.--The Secretary shall make an award--
                    (A) described in paragraph (2)(A) to a nonprofit 
                entity that has a strong affiliation with a degree-
                granting institution and manages or provides technical 
                assistance to the degree-granting institution's 
                affiliated incubator, or if no nonprofit entity manages 
                or provides technical assistance to the incubator, to 
                the degree-granting institution managing the incubator; 
                and
                    (B) described in paragraph (2)(B) to a degree-
                granting institution.
            (6) Applications.--Each entity desiring assistance under 
        this section shall submit an application to the Secretary at 
        such time, in such manner, and accompanied by such information 
        as the Secretary may require.
            (7) Selection.--
                    (A) Priority.--The Secretary shall give priority to 
                funding applications under this subsection for 
                activities that--
                            (i) will be carried out at a facility that 
                        is included in the Centers and Networks of 
                        Excellence of the research and development 
                        program known as the National Nanotechnology 
                        Initiative;
                            (ii) provide strong educational 
                        opportunities to students in fields related to 
                        nanotechnology and commercialization; and
                            (iii) require significant collaboration 
                        between businesses and academia.
                    (B) Consideration.--The Secretary may give 
                consideration to funding applications under this 
                subsection that support--
                            (i) the building of new incubators;
                            (ii) incubators that work with faculty 
                        entrepreneurs or university-based research;
                            (iii) incubators that are located in areas 
                        with an established venture capital industry 
                        and other industry support, including 
                        leadership and legal support, for 
                        commercialization; or
                            (iv) incubators that have secured 
                        additional private funding.
    (c) Nanotechnology Startup Advisory Council.--
            (1) Establishment.--The Secretary shall establish a 
        Nanotechnology Startup Advisory Council composed of industry 
        leaders, business and marketing professionals, venture 
        capitalists, attorneys, and nanotechnology researchers.
            (2) Purpose.--The purpose of the Nanotechnology Start-up 
        Advisory Council is to ensure that emerging nanotechnology 
        companies create a sound foundation for new business.
    (d) Report.--Not later than September 30 of the third fiscal year 
during which assistance is provided under this section, the Secretary 
shall prepare and submit to Congress a report that--
            (1) describes the most effective or innovative additions to 
        curricula related to nanotechnology that were developed with 
        such assistance;
            (2) contains a comparison of the success of nanotechnology 
        companies developed in incubators that received such assistance 
        with the success of other nanotechnology companies;
            (3) describes any factors leading to success of companies 
        that were developed in incubators;
            (4) recommends the best role for degree-granting 
        institutions in commercialization; and
            (5) contains a comparison of academic-affiliated incubators 
        of specific missions and ages that received assistance under 
        this section with other incubators with similar missions and 
        ages.
    (e) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $25,000,000 for each of the 
fiscal years 2010, 2011, and 2012.

             TITLE II--RESEARCH AND DEVELOPMENT DIRECTIONS

SEC. 201. NANOSCALE SCIENCE AND ENGINEERING CENTER.

    Section 9 of the 21st Century Nanotechnology Research and 
Development Act (15 U.S.C. 7508) is amended--
            (1) by redesignating subsection (c) as subsection (d); and
            (2) by inserting after subsection (b) the following new 
        subsection:
    ``(c) Nanoscale Science and Engineering Center.--
            ``(1) Establishment.--The National Science Foundation shall 
        provide for the establishment, on a merit reviewed and 
        competitive basis, of a center for the development of computer 
        aided design tools for nanotechnology applications.
            ``(2) Authorization of appropriations.--There are 
        authorized to be appropriated to the National Science 
        Foundation for carrying out this subsection $10,000,000.''.

SEC. 202. FEDERAL PROGRAMS.

    The 21st Century Nanotechnology Research and Development Act (15 
U.S.C. 7501 et seq.) is amended--
            (1) by redesignating sections 9 and 10 as sections 12 and 
        13, respectively;
            (2) in section 8, by adding at the end the following new 
        subsection:
    ``(c) Research Program.--
            ``(1) Establishment.--The Secretary of Energy shall provide 
        for the establishment, on a merit reviewed and competitive 
        basis, of a grant program for nanotechnology research to 
        address the need for clean, cheap, renewable energy.
            ``(2) Authorization of appropriations.--There are 
        authorized to be appropriated to the Secretary of Energy for 
        carrying out this subsection $30,000,000 for each fiscal 
        year.''; and
            (3) by inserting after section 8 the following new 
        sections:

``SEC. 9. ENVIRONMENTAL PROTECTION AGENCY PROGRAMS.

    ``(a) Establishment.--The Administrator of the Environmental 
Protection Agency shall provide for the establishment, on a merit 
reviewed and competitive basis, of a grant program for nanotechnology 
research to address technologies for the remediation of pollution and 
other environmental protection technologies.
    ``(b) Authorization of Appropriations.--There are authorized to be 
appropriated to the Administrator of the Environmental Protection 
Agency for carrying out this section $30,000,000 for each fiscal year.

``SEC. 10. DEPARTMENT OF HOMELAND SECURITY PROGRAMS.

    ``(a) Establishment.--The Secretary of Homeland Security shall 
provide for the establishment, on a merit reviewed and competitive 
basis, of a grant program for nanotechnology research to address the 
need for sensors and other materials related to homeland security 
needs.
    ``(b) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary of Homeland Security for carrying out 
this section $30,000,000 for each fiscal year.

``SEC. 11. DEPARTMENT OF HEALTH AND HUMAN SERVICES PROGRAMS.

    ``(a) Establishment.--The Secretary of Health and Human Services 
shall provide for the establishment, on a merit reviewed and 
competitive basis, of a grant program for nanotechnology research to 
address the health related applications of nanotechnology.
    ``(b) Authorization of Appropriations.--There are authorized to be 
appropriated to the Secretary of Health and Human Services for carrying 
out this section $30,000,000 for each fiscal year.''.

          TITLE III--ENVIRONMENTAL NANOTECHNOLOGY APPLICATIONS

SEC. 301. NANOTECHNOLOGY RESEARCH STRATEGY.

    Not later than 1 year after the date of enactment of this Act, the 
Director of the National Nanotechnology Coordination Office shall, 
after consultation with appropriate Federal agencies and industry, 
transmit to the Congress a report containing a nanotechnology research 
strategy that establishes priorities for the Federal Government and 
industry that will ensure the development and responsible stewardship 
of nanotechnology. The report shall include recommendations regarding 
the funding levels the Director anticipates the agencies charged with 
implementing this research strategy will require.

                          TITLE IV--EDUCATION

SEC. 401. CREDIT FOR NANOTECHNOLOGY EDUCATION AND TRAINING PROGRAM 
              EXPENSES.

    (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:

``SEC. 30E. NANOTECHNOLOGY EDUCATION AND TRAINING PROGRAM EXPENSES.

    ``(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 50 percent of nanotechnology education and 
        training program expenses paid or incurred by the taxpayer for 
        the benefit of--
                    ``(A) in the case of a taxpayer engaged in a trade 
                or business, an employee of the taxpayer, or
                    ``(B) in the case of a taxpayer who is an 
                individual not so engaged, such individual.
            ``(2) Coordination of credits.--Credit shall be allowable 
        to the employer with respect to an employee only to the extent 
        that the employee assigns some or all of the limitation 
        applicable to such employee under subsection (b) to such 
        employer.
    ``(b) Limitations.--
            ``(1) In general.--The amount of expenses with respect to 
        any individual which may be taken into account under subsection 
        (a) for the taxable year shall not exceed $4,000.
            ``(2) Increase in credit amount for participation in 
        certain programs and for certain individuals.--Paragraph (1) 
        shall be applied by substituting `$5,000' for `$4,000' in the 
        case of expenses--
                    ``(A) with respect to a program operated--
                            ``(i) in an empowerment zone or enterprise 
                        community designated under part I of subchapter 
                        U or a renewal community designated under part 
                        I of subchapter X,
                            ``(ii) in a school district in which at 
                        least 50 percent of the students attending 
                        schools in such district are eligible for free 
                        or reduced-cost lunches under the school lunch 
                        program established under the Richard B. 
                        Russell National School Lunch Act,
                            ``(iii) in an area designated as a disaster 
                        area by the Secretary of Agriculture under 
                        section 321 of the Consolidated Farm and Rural 
                        Development Act or by the President under the 
                        Robert T. Stafford Disaster Relief and 
                        Emergency Assistance Act in the taxable year or 
                        the 4 preceding taxable years,
                            ``(iv) in a rural enterprise community 
                        designated under section 766 of the 
                        Agriculture, Rural Development, Food and Drug 
                        Administration, and Related Agencies 
                        Appropriations Act, 1999 (112 Stat. 2681-37),
                            ``(v) in an area designated by the 
                        Secretary of Agriculture as a Rural Economic 
                        Area Partnership Zone,
                            ``(vi) in an area over which an Indian 
                        tribal government (as defined in section 
                        7701(a)(40)) has jurisdiction, or
                            ``(vii) by an employer who has 200 or fewer 
                        employees for each business day in each of 20 
                        or more calendar weeks in the current or 
                        preceding calendar year, or
                    ``(B) in the case of an individual with a 
                disability.
    ``(c) Nanotechnology Education and Training Program Expenses.--For 
purposes of this section--
            ``(1) In general.--The term `nanotechnology education and 
        training program expenses' means expenses paid or incurred by 
        reason of the participation of the taxpayer (or any employee of 
        the taxpayer) in any nanotechnology education and training 
        program. Such expenses shall include expenses paid in 
        connection with--
                    ``(A) course work,
                    ``(B) certification testing,
                    ``(C) programs carried out under the Act of August 
                16, 1937 (50 Stat. 664, chapter 663; 29 U.S.C. 50 et 
                seq.) which are registered by the Department of Labor, 
                and
                    ``(D) other expenses that are essential to 
                assessing skill acquisition.
            ``(2) Nanotechnology education and training program.--The 
        term `nanotechnology education and training program' means a 
        training program in nanotechnology workplace disciplines or 
        other skill sets which is provided in the United States by an 
        accredited college, university, private career school, 
        postsecondary educational institution, a commercial 
        nanotechnology provider, or an employer-owned nanotechnology 
        training organization.
            ``(3) Commercial nanotechnology training provider.--The 
        term `commercial nanotechnology training provider' means a 
        private sector organization providing an nanotechnology 
        education and training program.
            ``(4) Employer-owned nanotechnology training 
        organization.--The term `employer-owned nanotechnology training 
        organization' means a private sector organization that provides 
        nanotechnology training to its employees using internal 
        training development and delivery personnel. The training 
        programs must use industry-recognized training disciplines and 
        evaluation methods, comparable to institutional and commercial 
        training providers.
    ``(d) Denial of Double Benefit.--
            ``(1) Disallowance of other credits and deductions.--No 
        deduction or credit shall be allowed under any other provision 
        of this chapter for expenses taken into account in determining 
        the credit under this section.
            ``(2) Reduction for hope and lifetime learning credits.--
        The amount taken into account under subsection (a) shall be 
        reduced by the nanotechnology education and training program 
        expenses taken into account in determining the credits under 
        section 25A.
    ``(e) Certain Rules Made Applicable.--For purposes of this section, 
rules similar to the rules of section 45A(e)(2) and subsections (c), 
(d), and (e) of section 52 shall apply.
    ``(f) Application With Other Credits.--The credit allowed by 
subsection (a) for any taxable year shall not exceed the excess (if 
any) of--
            ``(1) the regular tax for the taxable year reduced by the 
        sum of the credits allowable under the subpart A and the 
        previous sections of this subpart, over
            ``(2) the tentative minimum tax for the taxable year.''.
    (b) 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:

``Sec. 30E. Nanotechnology education and training program expenses.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to amounts paid or incurred in taxable years beginning after 
December 31, 2008.

SEC. 402. ELIGIBLE EDUCATIONAL INSTITUTION.

    (a) In General.--Section 25A(f)(2) of the Internal Revenue Code of 
1986 (relating to eligible educational institution) is amended to read 
as follows:
            ``(2) Eligible educational institution.--The term `eligible 
        educational institution' means--
                    ``(A) an institution--
                            ``(i) which is described in section 101(b) 
                        or 102(a) of the Higher Education Act of 1965, 
                        and
                            ``(ii) which is eligible to participate in 
                        a program under title IV of such Act, or
                    ``(B) a commercial nanotechnology training provider 
                (as defined in section 30E(c)(3)).''.
    (b) Conforming Amendment.--The second sentence of section 221(d)(2) 
of the Internal Revenue Code of 1986 is amended by striking ``section 
25A(f)(2)'' and inserting ``section 25A(f)(2)(A)''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2008.

SEC. 403. CURRICULUM DEVELOPMENT PROGRAM.

    (a) Establishment.--The National Science Foundation shall provide 
for the establishment, on a merit reviewed and competitive basis, of a 
grant program for the development of curriculum materials for 
interdisciplinary nanotechnology courses at institutions of higher 
education.
    (b) Authorization of Appropriations.--There are authorized to be 
appropriated to the National Science Foundation for carrying out this 
section $15,000,000 for each of the fiscal years 2010 through 2013.

SEC. 404. TRAINING PARTNERSHIPS.

    The National Science Foundation, through its Advanced Technological 
Education program, shall establish a program to encourage manufacturing 
companies to enter into partnerships with occupational training centers 
for the development of training to support nanotechnology 
manufacturing.

                        TITLE V--PUBLIC OUTREACH

SEC. 501. INTERACTION BETWEEN SCIENTISTS AND ENGINEERS.

    Not later than 6 months after the date of enactment of this Act, 
the Secretary of Energy shall transmit to the Congress a report 
containing a strategy for increasing interaction on nanotechnology 
issues between scientists and engineers at the Department of Energy's 
National Laboratories and in the informal science education community, 
to enable researchers to use their expertise to assist in the 
development of appropriate nanotechnology exhibitions for school age 
children and the general public.
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