I 

108TH CONGRESS 

2D SESSION H. R. 4500 

To provide for energy research and development. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 3, 2004 

Mr. BOEHLERT (for himself and Mrs. BIGGERT) introduced the following bill; 

which was referred to the Committee on Science, and in addition to the 

Committees on Resources and the Budget, 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 provide for energy research and development. 

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 ‘‘Energy Science Act 

5 of 2004’’. 

6 TITLE I—RESEARCH AND 

7 DEVELOPMENT 

8 SEC. 101. GOALS. 

9 (a) IN GENERAL.—The Secretary shall conduct a bal10 anced set of programs of energy research, development, 
2 

•HR 4500 IH 

1 demonstration, and commercial application to support 

2 Federal energy policy and programs by the Department. 

3 Such programs shall be focused on— 

4 (1) increasing the efficiency of all energy inten5 sive sectors through conservation and improved tech6 nologies; 

7 (2) promoting diversity of energy supply; 

8 (3) decreasing the Nation’s dependence on for9 eign energy supplies; 

10 (4) improving United States energy security; 

11 and 

12 (5) decreasing the environmental impact of en13 ergy-related activities. 

14 (b) GOALS.—The Secretary shall publish measurable 

15 5-year cost and performance-based goals with each annual 

16 budget submission in at least the following areas: 

17 (1) Energy efficiency for buildings, energy-con18 suming industries, and vehicles. 

19 (2) Electric energy generation (including dis20 tributed generation), transmission, and storage. 

21 (3) Renewable energy technologies including 

22 wind power, photovoltaics, solar thermal systems, 

23 geothermal energy, hydrogen-fueled systems, bio24 mass-based systems, biofuels, and hydropower. 
3 

•HR 4500 IH 

1 (4) Fossil energy including power generation, 

2 onshore and offshore oil and gas resource recovery, 

3 and transportation. 

4 (5) Nuclear energy including programs for ex5 isting and advanced reactors and education of future 

6 specialists. 

7 (c) PUBLIC COMMENT.—The Secretary shall provide 

8 mechanisms for input on the annually published goals 

9 from industry, university, and other public sources. 

10 (d) EFFECT OF GOALS.— 

11 (1) NO NEW AUTHORITY OR REQUIREMENT.— 

12 Nothing in subsection (a) or the annually published 

13 goals shall— 

14 (A) create any new— 

15 (i) authority for any Federal agency; 

16 or 

17 (ii) requirement for any other person; 

18 (B) be used by a Federal agency to sup19 port the establishment of regulatory standards 

20 or regulatory requirements; or 

21 (C) alter the authority of the Secretary to 

22 make grants or other awards. 

23 (2) NO LIMITATION.—Nothing in this sub24 section shall be construed to limit the authority of 

25 the Secretary to impose conditions on grants or 
4 

•HR 4500 IH 

1 other awards based on the goals in subsection (a) or 

2 any subsequent modification thereto. 

3 SEC. 102. DEFINITIONS. 

4 For purposes of this title: 

5 (1) DEPARTMENT.—The term ‘‘Department’’ 

6 means the Department of Energy. 

7 (2) DEPARTMENTAL MISSION.—The term ‘‘de8 partmental mission’’ means any of the functions 

9 vested in the Secretary of Energy by the Depart10 ment of Energy Organization Act (42 U.S.C. 7101 

11 et seq.) or other law. 

12 (3) INSTITUTION OF HIGHER EDUCATION.—The 

13 term ‘‘institution of higher education’’ has the 

14 meaning given that term in section 101(a) of the 

15 Higher Education Act of 1965 (20 U.S.C. 1001(a)). 

16 (4) NATIONAL LABORATORY.—The term ‘‘Na17 tional Laboratory’’ means any of the following lab18 oratories owned by the Department: 

19 (A) Ames Laboratory. 

20 (B) Argonne National Laboratory. 

21 (C) Brookhaven National Laboratory. 

22 (D) Fermi National Accelerator Labora23 tory. 

24 (E) Idaho National Engineering and Envi25 ronmental Laboratory. 
5 

•HR 4500 IH 

1 (F) Lawrence Berkeley National Labora2 tory. 

3 (G) Lawrence Livermore National Labora4 tory. 

5 (H) Los Alamos National Laboratory. 

6 (I) National Energy Technology Labora7 tory. 

8 (J) National Renewable Energy Labora9 tory. 

10 (K) Oak Ridge National Laboratory. 

11 (L) Pacific Northwest National Labora12 tory. 

13 (M) Princeton Plasma Physics Laboratory. 

14 (N) Sandia National Laboratories. 

15 (O) Stanford Linear Accelerator Center. 

16 (P) Thomas Jefferson National Accelerator 

17 Facility. 

18 (5) NONMILITARY ENERGY LABORATORY.—The 

19 term ‘‘nonmilitary energy laboratory’’ means the lab20 oratories listed in paragraph (4), except for those 

21 listed in subparagraphs (G), (H), and (N). 

22 (6) SECRETARY.—The term ‘‘Secretary’’ means 

23 the Secretary of Energy. 

24 (7) SINGLE-PURPOSE RESEARCH FACILITY.— 

25 The term ‘‘single-purpose research facility’’ means 
6 

•HR 4500 IH 

1 any of the primarily single-purpose entities owned by 

2 the Department or any other organization of the De3 partment designated by the Secretary. 

4 Subtitle A—Energy Efficiency 

5 SEC. 104. ENERGY EFFICIENCY. 

6 (a) IN GENERAL.—The following sums are author7 ized to be appropriated to the Secretary for energy effi8 ciency and conservation research, development, dem9 onstration, and commercial application activities, includ10 ing activities authorized under this subtitle: 

11 (1) For fiscal year 2004, $616,000,000. 

12 (2) For fiscal year 2005, $695,000,000. 

13 (3) For fiscal year 2006, $772,000,000. 

14 (4) For fiscal year 2007, $865,000,000. 

15 (5) For fiscal year 2008, $920,000,000. 

16 (b) ALLOCATIONS.—From amounts authorized under 

17 subsection (a), the following sums are authorized: 

18 (1) For activities under section 105— 

19 (A) for fiscal year 2004, $20,000,000; 

20 (B) for fiscal year 2005, $30,000,000; 

21 (C) for fiscal year 2006, $50,000,000; 

22 (D) for fiscal year 2007, $50,000,000; and 

23 (E) for fiscal year 2008, $50,000,000. 

24 (2) For activities under section 107— 

25 (A) for fiscal year 2004, $4,000,000; and 
7 

•HR 4500 IH 

1 (B) for each of fiscal years 2005 through 

2 2008, $7,000,000. 

3 (3) For activities under section 108— 

4 (A) for fiscal year 2004, $20,000,000; 

5 (B) for fiscal year 2005, $25,000,000; 

6 (C) for fiscal year 2006, $30,000,000; 

7 (D) for fiscal year 2007, $35,000,000; and 

8 (E) for fiscal year 2008, $40,000,000. 

9 (4) For activities under section 109, 

10 $2,000,000 for each of fiscal years 2005 through 

11 2008. 

12 (c) EXTENDED AUTHORIZATION.—There are author13 ized to be appropriated to the Secretary for activities 

14 under section 105, $50,000,000 for each of fiscal years 

15 2009 through 2013. 

16 (d) LIMITATION ON USE OF FUNDS.—None of the 

17 funds authorized to be appropriated under this section 

18 may be used for— 

19 (1) the issuance and implementation of energy 

20 efficiency regulations; 

21 (2) the Weatherization Assistance Program 

22 under part A of title IV of the Energy Conservation 

23 and Production Act (42 U.S.C. 6861 et seq.); 
8 

•HR 4500 IH 

1 (3) the State Energy Program under part D of 

2 title III of the Energy Policy and Conservation Act 

3 (42 U.S.C. 6321 et seq.); or 

4 (4) the Federal Energy Management Program 

5 under part 3 of title V of the National Energy Con6 servation Policy Act (42 U.S.C. 8251 et seq.). 

7 SEC. 105. NEXT GENERATION LIGHTING INITIATIVE. 

8 (a) IN GENERAL.—The Secretary shall carry out a 

9 Next Generation Lighting Initiative in accordance with 

10 this section to support research, development, demonstra11 tion, and commercial application activities related to ad12 vanced solid-state lighting technologies based on white 

13 light emitting diodes. 

14 (b) OBJECTIVES.—The objectives of the initiative 

15 shall be to develop advanced solid-state organic and inor16 ganic lighting technologies based on white light emitting 

17 diodes that, compared to incandescent and fluorescent 

18 lighting technologies, are longer lasting; more energy-effi19 cient; and cost-competitive, and have less environmental 

20 impact. 

21 (c) INDUSTRY ALLIANCE.—The Secretary shall, not 

22 later than 3 months after the date of enactment of this 

23 section, competitively select an Industry Alliance to rep24 resent participants that are private, for-profit firms which, 

25 as a group, are broadly representative of United States 
9 

•HR 4500 IH 

1 solid state lighting research, development, infrastructure, 

2 and manufacturing expertise as a whole. 

3 (d) RESEARCH.— 

4 (1) IN GENERAL.—The Secretary shall carry 

5 out the research activities of the Next Generation 

6 Lighting Initiative through competitively awarded 

7 grants to researchers, including Industry Alliance 

8 participants, National Laboratories, and institutions 

9 of higher education. 

10 (2) ASSISTANCE FROM THE INDUSTRY ALLI11 ANCE.—The Secretary shall annually solicit from the 

12 Industry Alliance— 

13 (A) comments to identify solid-state light14 ing technology needs; 

15 (B) assessment of the progress of the Ini16 tiative’s research activities; and 

17 (C) assistance in annually updating solid18 state lighting technology roadmaps. 

19 (3) AVAILABILITY OF INFORMATION AND ROAD20 MAPS.—The information and roadmaps under para21 graph (2) shall be available to the public and public 

22 response shall be solicited by the Secretary. 

23 (e) DEVELOPMENT, DEMONSTRATION, AND COMMER24 CIAL APPLICATION.—The Secretary shall carry out a de25 velopment, demonstration, and commercial application 
10 

•HR 4500 IH 

1 program for the Next Generation Lighting Initiative 

2 through competitively selected awards. The Secretary may 

3 give preference to participants of the Industry Alliance se4 lected pursuant to subsection (c). 

5 (f) INTELLECTUAL PROPERTY.—The Secretary may 

6 require, in accordance with the authorities provided in sec7 tion 202(a)(ii) of title 35, United States Code, section 152 

8 of the Atomic Energy Act of 1954 (42 U.S.C. 2182), and 

9 section 9 of the Federal Nonnuclear Energy Research and 

10 Development Act of 1974 (42 U.S.C. 5908), that— 

11 (1) for any new invention resulting from activi12 ties under subsection (d)— 

13 (A) the Industry Alliance members that 

14 are active participants in research, development, 

15 and demonstration activities related to the ad16 vanced solid-state lighting technologies that are 

17 the subject of this section shall be granted first 

18 option to negotiate with the invention owner 

19 nonexclusive licenses and royalties for uses of 

20 the invention related to solid-state lighting on 

21 terms that are reasonable under the cir22 cumstances; and 

23 (B)(i) for 1 year after a United States pat24 ent is issued for the invention, the patent hold25 er shall not negotiate any license or royalty 
11 

•HR 4500 IH 

1 with any entity that is not a participant in the 

2 Industry Alliance described in subparagraph 

3 (A); and 

4 (ii) during the year described in clause (i), 

5 the invention owner shall negotiate nonexclusive 

6 licenses and royalties in good faith with any in7 terested participant in the Industry Alliance de8 scribed in subparagraph (A); and 

9 (2) such other terms as the Secretary deter10 mines are required to promote accelerated commer11 cialization of inventions made under the Initiative. 

12 (g) NATIONAL ACADEMY REVIEW.—The Secretary 

13 shall enter into an arrangement with the National Acad14 emy of Sciences to conduct periodic reviews of the Next 

15 Generation Lighting Initiative. The Academy shall review 

16 the research priorities, technical milestones, and plans for 

17 technology transfer and progress towards achieving them. 

18 The Secretary shall consider the results of such reviews 

19 in evaluating the information obtained under subsection 

20 (d)(2). 

21 (h) DEFINITIONS.—As used in this section: 

22 (1) ADVANCED SOLID-STATE LIGHTING.—The 

23 term ‘‘advanced solid-state lighting’’ means a 

24 semiconducting device package and delivery system 
12 

•HR 4500 IH 

1 that produces white light using externally applied 

2 voltage. 

3 (2) RESEARCH.—The term ‘‘research’’ includes 

4 research on the technologies, materials, and manu5 facturing processes required for white light emitting 

6 diodes. 

7 (3) INDUSTRY ALLIANCE.—The term ‘‘Industry 

8 Alliance’’ means an entity selected by the Secretary 

9 under subsection (c). 

10 (4) WHITE LIGHT EMITTING DIODE.—The term 

11 ‘‘white light emitting diode’’ means a 

12 semiconducting package, utilizing either organic or 

13 inorganic materials, that produces white light using 

14 externally applied voltage. 

15 SEC. 106. NATIONAL BUILDING PERFORMANCE INITIATIVE. 

16 (a) INTERAGENCY GROUP.—Not later than 90 days 

17 after the date of enactment of this Act, the Director of 

18 the Office of Science and Technology Policy shall establish 

19 an interagency group to develop, in coordination with the 

20 advisory committee established under subsection (e), a 

21 National Building Performance Initiative (in this section 

22 referred to as the ‘‘Initiative’’). The interagency group 

23 shall be co-chaired by appropriate officials of the Depart24 ment and the Department of Commerce, who shall jointly 
13 

•HR 4500 IH 

1 arrange for the provision of necessary administrative sup2 port to the group. 

3 (b) INTEGRATION OF EFFORTS.—The Initiative, 

4 working with the National Institute of Building Sciences, 

5 shall integrate Federal, State, and voluntary private sector 

6 efforts to reduce the costs of construction, operation, 

7 maintenance, and renovation of commercial, industrial, in8 stitutional, and residential buildings. 

9 (c) PLAN.—Not later than 1 year after the date of 

10 enactment of this Act, the interagency group shall submit 

11 to Congress a plan for carrying out the appropriate Fed12 eral role in the Initiative. The plan shall include— 

13 (1) research, development, demonstration, and 

14 commercial application of systems and materials for 

15 new construction and retrofit relating to the building 

16 envelope and building system components; and 

17 (2) the collection, analysis, and dissemination of 

18 research results and other pertinent information on 

19 enhancing building performance to industry, govern20 ment entities, and the public. 

21 (d) DEPARTMENT OF ENERGY ROLE.—Within the 

22 Federal portion of the Initiative, the Department shall be 

23 the lead agency for all aspects of building performance re24 lated to use and conservation of energy. 

25 (e) ADVISORY COMMITTEE.— 
14 

•HR 4500 IH 

1 (1) ESTABLISHMENT.—The Secretary, in con2 sultation with the Secretary of Commerce and the 

3 Director of the Office of Science and Technology 

4 Policy, shall establish an advisory committee to— 

5 (A) analyze and provide recommendations 

6 on potential private sector roles and participa7 tion in the Initiative; and 

8 (B) review and provide recommendations 

9 on the plan described in subsection (c). 

10 (2) MEMBERSHIP.—Membership of the advisory 

11 committee shall include representatives with a broad 

12 range of appropriate expertise, including expertise 

13 in— 

14 (A) building research and technology; 

15 (B) architecture, engineering, and building 

16 materials and systems; and 

17 (C) the residential, commercial, and indus18 trial sectors of the construction industry. 

19 (f) CONSTRUCTION.—Nothing in this section provides 

20 any Federal agency with new authority to regulate build21 ing performance. 

22 SEC. 107. SECONDARY ELECTRIC VEHICLE BATTERY USE 

23 PROGRAM. 

24 (a) DEFINITIONS.—For purposes of this section: 
15 

•HR 4500 IH 

1 (1) ASSOCIATED EQUIPMENT.—The term ‘‘asso2 ciated equipment’’ means equipment located where 

3 the batteries will be used that is necessary to enable 

4 the use of the energy stored in the batteries. 

5 (2) BATTERY.—The term ‘‘battery’’ means an 

6 energy storage device that previously has been used 

7 to provide motive power in a vehicle powered in 

8 whole or in part by electricity. 

9 (b) PROGRAM.—The Secretary shall establish and 

10 conduct a research, development, demonstration, and com11 mercial application program for the secondary use of bat12 teries if the Secretary finds that there are sufficient num13 bers of such batteries to support the program. The pro14 gram shall be— 

15 (1) designed to demonstrate the use of batteries 

16 in secondary applications, including utility and com17 mercial power storage and power quality; 

18 (2) structured to evaluate the performance, in19 cluding useful service life and costs, of such bat20 teries in field operations, and the necessary sup21 porting infrastructure, including reuse and disposal 

22 of batteries; and 

23 (3) coordinated with ongoing secondary battery 

24 use programs at the National Laboratories and in 

25 industry. 
16 

•HR 4500 IH 

1 (c) SOLICITATION.—Not later than 180 days after 

2 the date of enactment of this Act, if the Secretary finds 

3 under subsection (b) that there are sufficient numbers of 

4 batteries to support the program, the Secretary shall so5 licit proposals to demonstrate the secondary use of bat6 teries and associated equipment and supporting infra7 structure in geographic locations throughout the United 

8 States. The Secretary may make additional solicitations 

9 for proposals if the Secretary determines that such solici10 tations are necessary to carry out this section. 

11 (d) SELECTION OF PROPOSALS.— 

12 (1) IN GENERAL.—The Secretary shall, not 

13 later than 90 days after the closing date established 

14 by the Secretary for receipt of proposals under sub15 section (c), select up to 5 proposals which may re16 ceive financial assistance under this section, subject 

17 to the availability of appropriations. 

18 (2) DIVERSITY; ENVIRONMENTAL EFFECT.—In 

19 selecting proposals, the Secretary shall consider di20 versity of battery type, geographic and climatic di21 versity, and life-cycle environmental effects of the 

22 approaches. 

23 (3) LIMITATION.—No 1 project selected under 

24 this section shall receive more than 25 percent of the 

25 funds authorized for the program under this section. 
17 

•HR 4500 IH 

1 (4) OPTIMIZATION OF FEDERAL RESOURCES.— 

2 The Secretary shall consider the extent of involve3 ment of State or local government and other persons 

4 in each demonstration project to optimize use of 

5 Federal resources. 

6 (5) OTHER CRITERIA.—The Secretary may con7 sider such other criteria as the Secretary considers 

8 appropriate. 

9 (e) CONDITIONS.—The Secretary shall require that— 

10 (1) relevant information be provided to the De11 partment, the users of the batteries, the proposers, 

12 and the battery manufacturers; 

13 (2) the proposer provide at least 50 percent of 

14 the costs associated with the proposal; and 

15 (3) the proposer provide to the Secretary such 

16 information regarding the disposal of the batteries 

17 as the Secretary may require to ensure that the pro18 poser disposes of the batteries in accordance with 

19 applicable law. 

20 SEC. 108. ENERGY EFFICIENCY SCIENCE INITIATIVE. 

21 (a) ESTABLISHMENT.—The Secretary shall establish 

22 an Energy Efficiency Science Initiative to be managed by 

23 the Assistant Secretary in the Department with responsi24 bility for energy conservation under section 203(a)(9) of 

25 the Department of Energy Organization Act (42 U.S.C. 
18 

•HR 4500 IH 

1 7133(a)(9)), in consultation with the Director of the Of2 fice of Science, for grants to be competitively awarded and 

3 subject to peer review for research relating to energy effi4 ciency. 

5 (b) REPORT.—The Secretary shall submit to Con6 gress, along with the President’s annual budget request 

7 under section 1105(a) of title 31, United States Code, a 

8 report on the activities of the Energy Efficiency Science 

9 Initiative, including a description of the process used to 

10 award the funds and an explanation of how the research 

11 relates to energy efficiency. 

12 SEC. 109. ELECTRIC MOTOR CONTROL TECHNOLOGY. 

13 The Secretary shall conduct a research, development, 

14 demonstration, and commercial application program on 

15 advanced control devices to improve the energy efficiency 

16 of electric motors used in heating, ventilation, air condi17 tioning, and comparable systems. 

18 SEC. 110. ADVANCED ENERGY TECHNOLOGY TRANSFER 

19 CENTERS. 

20 (a) GRANTS.—Not later than 18 months after the 

21 date of enactment of this Act, the Secretary shall make 

22 grants to nonprofit institutions, State and local govern23 ments, or universities (or consortia thereof), to establish 

24 a geographically dispersed network of Advanced Energy 

25 Technology Transfer Centers, to be located in areas the 
19 

•HR 4500 IH 

1 Secretary determines have the greatest need of the serv2 ices of such Centers. 

3 (b) ACTIVITIES.— 

4 (1) IN GENERAL.—Each Center shall operate a 

5 program to encourage demonstration and commer6 cial application of advanced energy methods and 

7 technologies through education and outreach to 

8 building and industrial professionals, and to other 

9 individuals and organizations with an interest in ef10 ficient energy use. 

11 (2) ADVISORY PANEL.—Each Center shall es12 tablish an advisory panel to advise the Center on 

13 how best to accomplish the activities under para14 graph (1). 

15 (c) APPLICATION.—A person seeking a grant under 

16 this section shall submit to the Secretary an application 

17 in such form and containing such information as the Sec18 retary may require. The Secretary may award a grant 

19 under this section to an entity already in existence if the 

20 entity is otherwise eligible under this section. 

21 (d) SELECTION CRITERIA.—The Secretary shall 

22 award grants under this section on the basis of the fol23 lowing criteria, at a minimum: 

24 (1) The ability of the applicant to carry out the 

25 activities in subsection (b). 
20 

•HR 4500 IH 

1 (2) The extent to which the applicant will co2 ordinate the activities of the Center with other enti3 ties, such as State and local governments, utilities, 

4 and educational and research institutions. 

5 (e) MATCHING FUNDS.—The Secretary shall require 

6 a non-Federal matching requirement of at least 50 percent 

7 of the costs of establishing and operating each Center. 

8 (f) ADVISORY COMMITTEE.—The Secretary shall es9 tablish an advisory committee to advise the Secretary on 

10 the establishment of Centers under this section. The advi11 sory committee shall be composed of individuals with ex12 pertise in the area of advanced energy methods and tech13 nologies, including at least 1 representative from— 

14 (1) State or local energy offices; 

15 (2) energy professionals; 

16 (3) trade or professional associations; 

17 (4) architects, engineers, or construction profes18 sionals; 

19 (5) manufacturers; 

20 (6) the research community; and 

21 (7) nonprofit energy or environmental organiza22 tions. 

23 (g) DEFINITIONS.—For purposes of this section: 

24 (1) ADVANCED ENERGY METHODS AND TECH25 NOLOGIES.—The term ‘‘advanced energy methods 
21 

•HR 4500 IH 

1 and technologies’’ means all methods and tech2 nologies that promote energy efficiency and con3 servation, including distributed generation tech4 nologies, and life-cycle analysis of energy use. 

5 (2) CENTER.—The term ‘‘Center’’ means an 

6 Advanced Energy Technology Transfer Center estab7 lished pursuant to this section. 

8 (3) DISTRIBUTED GENERATION.—The term 

9 ‘‘distributed generation’’ means an electric power 

10 generation facility that is designed to serve retail 

11 electric consumers at or near the facility site. 

12 Subtitle B—Distributed Energy and 

13 Electric Energy Systems 

14 SEC. 111. DISTRIBUTED ENERGY AND ELECTRIC ENERGY 

15 SYSTEMS. 

16 (a) IN GENERAL.—The following sums are author17 ized to be appropriated to the Secretary for distributed 

18 energy and electric energy systems activities, including ac19 tivities authorized under this subtitle: 

20 (1) For fiscal year 2004, $190,000,000. 

21 (2) For fiscal year 2005, $200,000,000. 

22 (3) For fiscal year 2006, $220,000,000. 

23 (4) For fiscal year 2007, $240,000,000. 

24 (5) For fiscal year 2008, $260,000,000. 
22 

•HR 4500 IH 

1 (b) MICRO-COGENERATION ENERGY TECH2 NOLOGY.—From amounts authorized under subsection 

3 (a), $20,000,000 for each of fiscal years 2004 and 2005 

4 is authorized for activities under section 114. 

5 SEC. 112. HYBRID DISTRIBUTED POWER SYSTEMS. 

6 (a) REQUIREMENT.—Not later than 1 year after the 

7 date of enactment of this Act, the Secretary shall develop 

8 and transmit to Congress a strategy for a comprehensive 

9 research, development, demonstration, and commercial ap10 plication program to develop hybrid distributed power sys11 tems that combine— 

12 (1) 1 or more renewable electric power genera13 tion technologies of 10 megawatts or less located 

14 near the site of electric energy use; and 

15 (2) nonintermittent electric power generation 

16 technologies suitable for use in a distributed power 

17 system. 

18 (b) CONTENTS.—The strategy shall— 

19 (1) identify the needs best met with such hybrid 

20 distributed power systems and the technological bar21 riers to the use of such systems; 

22 (2) provide for the development of methods to 

23 design, test, integrate into systems, and operate 

24 such hybrid distributed power systems; 
23 

•HR 4500 IH 

1 (3) include, as appropriate, research, develop2 ment, demonstration, and commercial application on 

3 related technologies needed for the adoption of such 

4 hybrid distributed power systems, including energy 

5 storage devices and environmental control tech6 nologies; 

7 (4) include research, development, demonstra8 tion, and commercial application of interconnection 

9 technologies for communications and controls of dis10 tributed generation architectures, particularly tech11 nologies promoting real-time response to power mar12 ket information and physical conditions on the elec13 trical grid; and 

14 (5) describe how activities under the strategy 

15 will be integrated with other research, development, 

16 demonstration, and commercial application activities 

17 supported by the Department related to electric 

18 power technologies. 

19 SEC. 113. HIGH POWER DENSITY INDUSTRY PROGRAM. 

20 The Secretary shall establish a comprehensive re21 search, development, demonstration, and commercial ap22 plication program to improve energy efficiency of high 

23 power density facilities, including data centers, server 

24 farms, and telecommunications facilities. Such program 

25 shall consider technologies that provide significant im-
24 

•HR 4500 IH 

1 provement in thermal controls, metering, load manage2 ment, peak load reduction, or the efficient cooling of elec3 tronics. 

4 SEC. 114. MICRO-COGENERATION ENERGY TECHNOLOGY. 

5 The Secretary shall make competitive, merit-based 

6 grants to consortia for the development of micro-cogenera7 tion energy technology. The consortia shall explore— 

8 (1) the use of small-scale combined heat and 

9 power in residential heating appliances; and 

10 (2) the use of excess power to operate other ap11 pliances within the residence and supply excess gen12 erated power to the power grid. 

13 SEC. 115. DISTRIBUTED ENERGY TECHNOLOGY DEM14 ONSTRATION PROGRAM. 

15 The Secretary, within the sums authorized under sec16 tion 111(a), may provide financial assistance to coordi17 nating consortia of interdisciplinary participants for dem18 onstrations designed to accelerate the utilization of dis19 tributed energy technologies, such as fuel cells, microtur20 bines, reciprocating engines, thermally activated tech21 nologies, and combined heat and power systems, in highly 

22 energy intensive commercial applications. 

23 SEC. 116. RECIPROCATING POWER. 

24 The Secretary shall conduct a research, development, 

25 and demonstration program regarding fuel system optimi-
25 

•HR 4500 IH 

1 zation and emissions reduction after-treatment tech2 nologies for industrial reciprocating engines. Such after3 treatment technologies shall use processes that reduce 

4 emissions by recirculating exhaust gases and shall be de5 signed to be retrofitted to any new or existing diesel or 

6 natural gas engine used for power generation, peaking 

7 power generation, combined heat and power, or compres8 sion. 

9 Subtitle C—Renewable Energy 

10 SEC. 118. RENEWABLE ENERGY. 

11 (a) IN GENERAL.—The following sums are author12 ized to be appropriated to the Secretary for renewable en13 ergy research, development, demonstration, and commer14 cial application activities, including activities authorized 

15 under this subtitle: 

16 (1) For fiscal year 2004, $480,000,000. 

17 (2) For fiscal year 2005, $550,000,000. 

18 (3) For fiscal year 2006, $610,000,000. 

19 (4) For fiscal year 2007, $659,000,000. 

20 (5) For fiscal year 2008, $710,000,000. 

21 (b) BIOENERGY.—From the amounts authorized 

22 under subsection (a), the following sums are authorized 

23 to be appropriated to carry out section 119: 

24 (1) For fiscal year 2004, $135,425,000. 

25 (2) For fiscal year 2005, $155,600,000. 
26 

•HR 4500 IH 

1 (3) For fiscal year 2006, $167,650,000. 

2 (4) For fiscal year 2007, $180,000,000. 

3 (5) For fiscal year 2008, $192,000,000. 

4 (c) CONCENTRATING SOLAR POWER.—From 

5 amounts authorized under subsection (a), the following 

6 sums are authorized to be appropriated to carry out sec7 tion 120: 

8 (1) For fiscal year 2004, $20,000,000. 

9 (2) For fiscal year 2005, $40,000,000. 

10 (3) For each of fiscal years 2006, 2007 and 

11 2008, $50,000,000. 

12 (d) PUBLIC BUILDINGS.—From the amounts author13 ized under subsection (a), $30,000,000 for each of the fis14 cal years 2004 through 2008 are authorized to be appro15 priated to carry out section 122. 

16 (e) LIMITS ON USE OF FUNDS.— 

17 (1) NO FUNDS FOR RENEWABLE SUPPORT AND

18 IMPLEMENTATION.—None of the funds authorized to 

19 be appropriated under this section may be used for 

20 Renewable Support and Implementation. 

21 (2) GRANTS.—Of the funds authorized under 

22 subsection (b), not less than $5,000,000 for each fis23 cal year shall be made available for grants to His24 torically Black Colleges and Universities, Tribal Col25 leges, and Hispanic-Serving Institutions. 
27 

•HR 4500 IH 

1 (3) REGIONAL FIELD VERIFICATION PRO2 GRAM.—Of the funds authorized under subsection 

3 (a), not less than $4,000,000 for each fiscal year 

4 shall be made available for the Regional Field 

5 Verification Program of the Department. 

6 (4) OFF-STREAM PUMPED STORAGE HYDRO7 POWER.—Of the funds authorized under subsection 

8 (a), such sums as may be necessary shall be made 

9 available for demonstration projects of off-stream 

10 pumped storage hydropower. 

11 (f) CONSULTATION.—In carrying out this subtitle, 

12 the Secretary, in consultation with the Secretary of Agri13 culture, shall demonstrate the use of advanced wind power 

14 technology, including combined use with coal gasification; 

15 biomass; geothermal energy systems; and other renewable 

16 energy technologies to assist in delivering electricity to 

17 rural and remote locations. 

18 SEC. 119. BIOENERGY PROGRAMS. 

19 (a) DEFINITIONS.—For the purposes of this section: 

20 (1) The term ‘‘agricultural byproducts’’ in21 cludes waste products, including poultry fat and 

22 poultry waste. 

23 (2) The term ‘‘cellulosic biomass’’ means any 

24 portion of a crop containing lignocellulose or hemi25 cellulose, including barley grain, grapeseed, forest 
28 

•HR 4500 IH 

1 thinnings, rice bran, rice hulls, rice straw, soybean 

2 matter, and sugarcane bagasse, or any crop grown 

3 specifically for the purpose of producing cellulosic 

4 feedstocks. 

5 (b) PROGRAM.—The Secretary shall conduct a pro6 gram of research, development, demonstration, and com7 mercial application for bioenergy, including— 

8 (1) biopower energy systems; 

9 (2) biofuels; 

10 (3) bio-based products; 

11 (4) integrated biorefineries that may produce 

12 biopower, biofuels, and bio-based products; 

13 (5) cross-cutting research and development in 

14 feedstocks and enzymes; and 

15 (6) economic analysis. 

16 (c) BIOFUELS AND BIO-BASED PRODUCTS.—The 

17 goals of the biofuels and bio-based products programs 

18 shall be to develop, in partnership with industry— 

19 (1) advanced biochemical and thermochemical 

20 conversion technologies capable of making biofuels 

21 that are price-competitive with gasoline or diesel in 

22 either internal combustion engines or fuel cell-pow23 ered vehicles, and bio-based products from a variety 

24 of feedstocks, including grains, cellulosic biomass, 

25 and other agricultural byproducts; and 
29 

•HR 4500 IH 

1 (2) advanced biotechnology processes capable of 

2 making biofuels and bio-based products with empha3 sis on development of biorefinery technologies using 

4 enzyme-based processing systems. 

5 SEC. 120. CONCENTRATING SOLAR POWER RESEARCH AND 

6 DEVELOPMENT PROGRAM. 

7 (a) IN GENERAL.—The Secretary shall conduct a 

8 program of research and development to evaluate the po9 tential of concentrating solar power for hydrogen produc10 tion, including cogeneration approaches for both hydrogen 

11 and electricity. Such program shall take advantage of ex12 isting facilities to the extent possible and shall include— 

13 (1) development of optimized technologies that 

14 are common to both electricity and hydrogen produc15 tion; 

16 (2) evaluation of thermochemical cycles for hy17 drogen production at the temperatures attainable 

18 with concentrating solar power; 

19 (3) evaluation of materials issues for the 

20 thermochemical cycles described in paragraph (2); 

21 (4) system architectures and economics studies; 

22 and 

23 (5) coordination with activities in the Advanced 

24 Reactor Hydrogen Cogeneration Project on high 
30 

•HR 4500 IH 

1 temperature materials, thermochemical cycles, and 

2 economic issues. 

3 (b) ASSESSMENT.—In carrying out the program 

4 under this section, the Secretary shall— 

5 (1) assess conflicting guidance on the economic 

6 potential of concentrating solar power for electricity 

7 production received from the National Research 

8 Council report entitled ‘‘Renewable Power Pathways: 

9 A Review of the U.S. Department of Energy’s Re10 newable Energy Programs’’ in 2000 and subsequent 

11 Department-funded reviews of that report; and 

12 (2) provide an assessment of the potential im13 pact of the technology before, or concurrent with, 

14 submission of the fiscal year 2006 budget. 

15 (c) REPORT.—Not later than 5 years after the date 

16 of enactment of this Act, the Secretary shall provide a re17 port to Congress on the economic and technical potential 

18 for electricity or hydrogen production, with or without co19 generation, with concentrating solar power, including the 

20 economic and technical feasibility of potential construction 

21 of a pilot demonstration facility suitable for commercial 

22 production of electricity or hydrogen from concentrating 

23 solar power. 
31 

•HR 4500 IH 

1 SEC. 121. MISCELLANEOUS PROJECTS. 

2 The Secretary may conduct research, development, 

3 demonstration, and commercial application programs 

4 for— 

5 (1) ocean energy, including wave energy; and 

6 (2) the combined use of renewable energy tech7 nologies with one another and with other energy 

8 technologies, including the combined use of wind 

9 power and coal gasification technologies. 

10 SEC. 122. RENEWABLE ENERGY IN PUBLIC BUILDINGS. 

11 (a) DEMONSTRATION AND TECHNOLOGY TRANSFER

12 PROGRAM.—The Secretary shall establish a program for 

13 the demonstration of innovative technologies for solar and 

14 other renewable energy sources in buildings owned or op15 erated by a State or local government, and for the dissemi16 nation of information resulting from such demonstration 

17 to interested parties. 

18 (b) LIMIT ON FEDERAL FUNDING.—The Secretary 

19 shall provide under this section no more than 40 percent 

20 of the incremental costs of the solar or other renewable 

21 energy source project funded. 

22 (c) REQUIREMENT.—As part of the application for 

23 awards under this section, the Secretary shall require all 

24 applicants— 
32 

•HR 4500 IH 

1 (1) to demonstrate a continuing commitment to 

2 the use of solar and other renewable energy sources 

3 in buildings they own or operate; and 

4 (2) to state how they expect any award to fur5 ther their transition to the significant use of renew6 able energy. 

7 SEC. 123. STUDY OF MARINE RENEWABLE ENERGY OP8 TIONS. 

9 (a) IN GENERAL.—The Secretary shall enter into an 

10 arrangement with the National Academy of Sciences to 

11 conduct a study on— 

12 (1) the feasibility of various methods of renew13 able generation of energy from the ocean, including 

14 energy from waves, tides, currents, and thermal gra15 dients; and 

16 (2) the research, development, demonstration, 

17 and commercial application activities required to 

18 make marine renewable energy generation competi19 tive with other forms of electricity generation. 

20 (b) TRANSMITTAL.—Not later than 1 year after the 

21 date of enactment of this Act, the Secretary shall transmit 

22 the study to Congress along with the Secretary’s rec23 ommendations for implementing the results of the study. 
33 

•HR 4500 IH 

1 Subtitle D—Nuclear Energy 

2 SEC. 124. NUCLEAR ENERGY. 

3 (a) CORE PROGRAMS.—The following sums are au4 thorized to be appropriated to the Secretary for nuclear 

5 energy research, development, demonstration, and com6 mercial application activities, including activities author7 ized under this subtitle, other than those described in sub8 section (b): 

9 (1) For fiscal year 2004, $273,000,000. 

10 (2) For fiscal year 2005, $355,000,000. 

11 (3) For fiscal year 2006, $430,000,000. 

12 (4) For fiscal year 2007, $455,000,000. 

13 (5) For fiscal year 2008, $545,000,000. 

14 (b) NUCLEAR INFRASTRUCTURE SUPPORT.—The fol15 lowing sums are authorized to be appropriated to the Sec16 retary for activities under section 125(e): 

17 (1) For fiscal year 2004, $125,000,000. 

18 (2) For fiscal year 2005, $130,000,000. 

19 (3) For fiscal year 2006, $135,000,000. 

20 (4) For fiscal year 2007, $140,000,000. 

21 (5) For fiscal year 2008, $145,000,000. 

22 (c) ALLOCATIONS.—From amounts authorized under 

23 subsection (a), the following sums are authorized: 

24 (1) For activities under section 126— 

25 (A) for fiscal year 2004, $140,000,000; 
34 

•HR 4500 IH 

1 (B) for fiscal year 2005, $145,000,000; 

2 (C) for fiscal year 2006, $150,000,000; 

3 (D) for fiscal year 2007, $155,000,000; 

4 and 

5 (E) for fiscal year 2008, $275,000,000. 

6 (2) For activities under section 127— 

7 (A) for fiscal year 2004, $35,200,000; 

8 (B) for fiscal year 2005, $44,350,000; 

9 (C) for fiscal year 2006, $49,200,000; 

10 (D) for fiscal year 2007, $54,950,000; and 

11 (E) for fiscal year 2008, $60,000,000. 

12 (3) For activities under section 129, for each of 

13 fiscal years 2004 through 2008, $6,000,000. 

14 (d) LIMITATION ON USE OF FUNDS.—None of the 

15 funds authorized under this section may be used for de16 commissioning the Fast Flux Test Facility. 

17 SEC. 125. NUCLEAR ENERGY RESEARCH AND DEVELOP18 MENT PROGRAMS. 

19 (a) NUCLEAR ENERGY RESEARCH INITIATIVE.—The 

20 Secretary shall carry out a Nuclear Energy Research Ini21 tiative for research and development related to nuclear en22 ergy. 

23 (b) NUCLEAR ENERGY PLANT OPTIMIZATION PRO24 GRAM.—The Secretary shall carry out a Nuclear Energy 

25 Plant Optimization Program to support research and de-
35 

•HR 4500 IH 

1 velopment activities addressing reliability, availability, pro2 ductivity, component aging, safety, and security of existing 

3 nuclear power plants. 

4 (c) NUCLEAR POWER 2010 PROGRAM.—The Sec5 retary shall carry out a Nuclear Power 2010 Program, 

6 consistent with recommendations in the October 2001 re7 port entitled ‘‘A Roadmap to Deploy New Nuclear Power 

8 Plants in the United States by 2010’’ issued by the Nu9 clear Energy Research Advisory Committee of the Depart10 ment. Whatever type of reactor is chosen for the hydrogen 

11 cogeneration project under subtitle C of title VI, that type 

12 shall not be addressed in the Program under this section. 

13 The Program shall include— 

14 (1) support for first-of-a-kind engineering de15 sign and certification expenses of advanced nuclear 

16 power plant designs, which offer improved safety 

17 and economics over current conventional plants and 

18 the promise of near-term to medium-term commer19 cial deployment; 

20 (2) action by the Secretary to encourage domes21 tic power companies to install new nuclear plant ca22 pacity as soon as possible; 

23 (3) utilization of the expertise and capabilities 

24 of industry, universities, and National Laboratories 
36 

•HR 4500 IH 

1 in evaluation of advanced nuclear fuel cycles and 

2 fuels testing; 

3 (4) consideration of proliferation-resistant pas4 sively-safe, small reactors suitable for long-term elec5 tricity production without refueling and suitable for 

6 use in remote installations; 

7 (5) participation of international collaborators 

8 in research, development, design, and deployment ef9 forts as appropriate and consistent with United 

10 States interests in nonproliferation of nuclear weap11 ons; 

12 (6) encouragement for university and industry 

13 participation; and 

14 (7) selection of projects such as to strengthen 

15 the competitive position of the domestic nuclear 

16 power industrial infrastructure. 

17 (d) GENERATION IV NUCLEAR ENERGY SYSTEMS

18 INITIATIVE.—The Secretary shall carry out a Generation 

19 IV Nuclear Energy Systems Initiative to develop an over20 all technology plan and to support research and develop21 ment necessary to make an informed technical decision 

22 about the most promising candidates for eventual commer23 cial application. The Initiative shall examine advanced 

24 proliferation-resistant and passively safe reactor designs, 

25 including designs that— 
37 

•HR 4500 IH 

1 (1) are economically competitive with other elec2 tric power generation plants; 

3 (2) have higher efficiency, lower cost, and im4 proved safety compared to reactors in operation on 

5 the date of enactment of this Act; 

6 (3) use fuels that are proliferation-resistant and 

7 have substantially reduced production of high-level 

8 waste per unit of output; and 

9 (4) use improved instrumentation. 

10 (e) NUCLEAR INFRASTRUCTURE SUPPORT.—The 

11 Secretary shall develop and implement a strategy for the 

12 facilities of the Office of Nuclear Energy, Science, and 

13 Technology and shall transmit a report containing the 

14 strategy along with the President’s budget request to Con15 gress for fiscal year 2006. 

16 SEC. 126. ADVANCED FUEL CYCLE INITIATIVE. 

17 (a) IN GENERAL.—The Secretary, through the Direc18 tor of the Office of Nuclear Energy, Science, and Tech19 nology, shall conduct an advanced fuel recycling tech20 nology research and development program to evaluate pro21 liferation-resistant fuel recycling and transmutation tech22 nologies that minimize environmental or public health and 

23 safety impacts as an alternative to aqueous reprocessing 

24 technologies deployed as of the date of enactment of this 

25 Act in support of evaluation of alternative national strate-
38 

•HR 4500 IH 

1 gies for spent nuclear fuel and the Generation IV ad2 vanced reactor concepts, subject to annual review by the 

3 Secretary’s Nuclear Energy Research Advisory Committee 

4 or other independent entity, as appropriate. Opportunities 

5 to enhance progress of the program through international 

6 cooperation should be sought. 

7 (b) REPORTS.—The Secretary shall report on the ac8 tivities of the advanced fuel recycling technology research 

9 and development program as part of the Department’s an10 nual budget submission. 

11 SEC. 127. UNIVERSITY NUCLEAR SCIENCE AND ENGINEER12 ING SUPPORT. 

13 (a) ESTABLISHMENT.—The Secretary shall support 

14 a program to invest in human resources and infrastructure 

15 in the nuclear sciences and engineering and related fields 

16 (including health physics and nuclear and radiochemistry), 

17 consistent with departmental missions related to civilian 

18 nuclear research and development. 

19 (b) DUTIES.—In carrying out the program under this 

20 section, the Secretary shall establish fellowship and faculty 

21 assistance programs, as well as provide support for funda22 mental research and encourage collaborative research 

23 among industry, National Laboratories, and universities 

24 through the Nuclear Energy Research Initiative. The Sec25 retary is encouraged to support activities addressing the 
39 

•HR 4500 IH 

1 entire fuel cycle through involvement of both the Office 

2 of Nuclear Energy, Science, and Technology and the Of3 fice of Civilian Radioactive Waste Management. The Sec4 retary shall support communication and outreach related 

5 to nuclear science, engineering, and nuclear waste man6 agement, consistent with interests of the United States in 

7 nonproliferation of nuclear weapons capabilities. 

8 (c) STRENGTHENING UNIVERSITY RESEARCH AND

9 TRAINING REACTORS AND ASSOCIATED INFRASTRUC10 TURE.—Activities under this section may include— 

11 (1) converting research and training reactors 

12 currently using high-enrichment fuels to low-enrich13 ment fuels, upgrading operational instrumentation, 

14 and sharing of reactors among institutions of higher 

15 education; 

16 (2) providing technical assistance, in collabora17 tion with the United States nuclear industry, in reli18 censing and upgrading research and training reac19 tors as part of a student training program; and 

20 (3) providing funding, through the Innovations 

21 in Nuclear Infrastructure and Education Program, 

22 for reactor improvements as part of a focused effort 

23 that emphasizes research, training, and education. 

24 (d) UNIVERSITY NATIONAL LABORATORY INTER25 ACTIONS.—The Secretary shall develop sabbatical fellow-
40 

•HR 4500 IH 

1 ship and visiting scientist programs to encourage sharing 

2 of personnel between National Laboratories and univer3 sities. 

4 (e) OPERATING AND MAINTENANCE COSTS.—Fund5 ing for a research project provided under this section may 

6 be used to offset a portion of the operating and mainte7 nance costs of a research and training reactor at an insti8 tution of higher education used in the research project. 

9 SEC. 128. SECURITY OF REACTOR DESIGNS. 

10 The Secretary, through the Director of the Office of 

11 Nuclear Energy, Science, and Technology, shall conduct 

12 a research and development program on cost-effective 

13 technologies for increasing the safety of reactor designs 

14 from natural phenomena and the security of reactor de15 signs from deliberate attacks. 

16 SEC. 129. ALTERNATIVES TO INDUSTRIAL RADIOACTIVE 

17 SOURCES. 

18 (a) STUDY.—The Secretary shall conduct a study and 

19 provide a report to Congress not later than August 1, 

20 2004. The study shall— 

21 (1) survey industrial applications of large radio22 active sources, including well-logging sources; 

23 (2) review current domestic and international 

24 Department, Department of Defense, Department of 
41 

•HR 4500 IH 

1 State, and commercial programs to manage and dis2 pose of radioactive sources; 

3 (3) discuss disposal options and practices for 

4 currently deployed or future sources and, if defi5 ciencies are noted in existing disposal options or 

6 practices for either deployed or future sources, rec7 ommend options to remedy deficiencies; and 

8 (4) develop a program plan for research and de9 velopment to develop alternatives to large industrial 

10 sources that reduce safety, environmental, or pro11 liferation risks to either workers using the sources or 

12 the public. 

13 (b) PROGRAM.—The Secretary shall establish a re14 search and development program to implement the pro15 gram plan developed under subsection (a)(4). The pro16 gram shall include miniaturized particle accelerators for 

17 well-logging or other industrial applications and portable 

18 accelerators for production of short-lived radioactive mate19 rials at an industrial site. 

20 SEC. 130. GEOLOGICAL ISOLATION OF SPENT FUEL. 

21 The Secretary shall conduct a study to determine the 

22 feasibility of deep borehole disposal of spent nuclear fuel 

23 and high-level radioactive waste. The study shall empha24 size geological, chemical, and hydrological characterization 

25 of, and design of engineered structures for, deep borehole 
42 

•HR 4500 IH 

1 environments. Not later than 1 year after the date of en2 actment of this Act, the Secretary shall transmit the study 

3 to Congress. 

4 Subtitle E—Fossil Energy 

5 PART I—RESEARCH PROGRAMS 

6 SEC. 131. FOSSIL ENERGY. 

7 (a) IN GENERAL.—The following sums are author8 ized to be appropriated to the Secretary for fossil energy 

9 research, development, demonstration, and commercial ap10 plication activities, including activities authorized under 

11 this part: 

12 (1) For fiscal year 2004, $530,000,000. 

13 (2) For fiscal year 2005, $556,000,000. 

14 (3) For fiscal year 2006, $583,000,000. 

15 (4) For fiscal year 2007, $611,000,000. 

16 (5) For fiscal year 2008, $626,000,000. 

17 (b) ALLOCATIONS.—From amounts authorized under 

18 subsection (a), the following sums are authorized: 

19 (1) For activities under section 132(b)(2), 

20 $28,000,000 for each of the fiscal years 2004 

21 through 2008. 

22 (2) For activities under section 134— 

23 (A) for fiscal year 2004, $12,000,000; 

24 (B) for fiscal year 2005, $15,000,000; and 
43 

•HR 4500 IH 

1 (C) for each of fiscal years 2006 through 

2 2008, $20,000,000. 

3 (3) For activities under section 135— 

4 (A) for fiscal year 2004, $259,000,000; 

5 (B) for fiscal year 2005, $272,000,000; 

6 (C) for fiscal year 2006, $285,000,000; 

7 (D) for fiscal year 2007, $298,000,000; 

8 and 

9 (E) for fiscal year 2008, $308,000,000. 

10 (4) For the Office of Arctic Energy under sec11 tion 3197 of the Floyd D. Spence National Defense 

12 Authorization Act for Fiscal Year 2001 (42 U.S.C. 

13 7144d), $25,000,000 for each of fiscal years 2004 

14 through 2008. 

15 (5) For activities under section 133, 

16 $4,000,000 for fiscal year 2004 and $2,000,000 for 

17 each of fiscal years 2005 through 2008. 

18 (c) EXTENDED AUTHORIZATION.—There are author19 ized to be appropriated to the Secretary for the Office of 

20 Arctic Energy under section 3197 of the Floyd D. Spence 

21 National Defense Authorization Act for Fiscal Year 2001 

22 (42 U.S.C. 7144d), $25,000,000 for each of fiscal years 

23 2009 through 2012. 

24 (d) LIMITS ON USE OF FUNDS.— 
44 

•HR 4500 IH 

1 (1) NO FUNDS FOR CERTAIN PROGRAMS.—None 

2 of the funds authorized under this section may be 

3 used for Fossil Energy Environmental Restoration 

4 or Import/Export Authorization. 

5 (2) INSTITUTIONS OF HIGHER EDUCATION.—Of 

6 the funds authorized under subsection (b)(2), not 

7 less than 20 percent of the funds appropriated for 

8 each fiscal year shall be dedicated to research and 

9 development carried out at institutions of higher 

10 education. 

11 SEC. 132. OIL AND GAS RESEARCH PROGRAMS. 

12 (a) OIL AND GAS RESEARCH.—The Secretary shall 

13 conduct a program of research, development, demonstra14 tion, and commercial application on oil and gas, includ15 ing— 

16 (1) exploration and production; 

17 (2) gas hydrates; 

18 (3) reservoir life and extension; 

19 (4) transportation and distribution infrastruc20 ture; 

21 (5) ultraclean fuels; 

22 (6) heavy oil and oil shale; 

23 (7) related environmental research; and 

24 (8) compressed natural gas marine transport. 

25 (b) FUEL CELLS.— 
45 

•HR 4500 IH 

1 (1) IN GENERAL.—The Secretary shall conduct 

2 a program of research, development, demonstration, 

3 and commercial application on fuel cells for low-cost, 

4 high-efficiency, fuel-flexible, modular power systems. 

5 (2) IMPROVED MANUFACTURING PRODUCTION

6 AND PROCESSES.—The demonstrations under para7 graph (1) shall include fuel cell technology for com8 mercial, residential, and transportation applications, 

9 and distributed generation systems, utilizing im10 proved manufacturing production and processes. 

11 (c) NATURAL GAS AND OIL DEPOSITS REPORT.— 

12 Not later than 2 years after the date of enactment of this 

13 Act, and every 2 years thereafter, the Secretary of the In14 terior, in consultation with other appropriate Federal 

15 agencies, shall transmit a report to Congress of the latest 

16 estimates of natural gas and oil reserves, reserves growth, 

17 and undiscovered resources in Federal and State waters 

18 off the coast of Louisiana and Texas. 

19 (d) INTEGRATED CLEAN POWER AND ENERGY RE20 SEARCH.— 

21 (1) NATIONAL CENTER OR CONSORTIUM OF EX22 CELLENCE.—The Secretary shall establish a na23 tional center or consortium of excellence in clean en24 ergy and power generation, utilizing the resources of 

25 the existing Clean Power and Energy Research Con-
46 

•HR 4500 IH 

1 sortium, to address the Nation’s critical dependence 

2 on energy and the need to reduce emissions. 

3 (2) PROGRAM.—The center or consortium shall 

4 conduct a program of research, development, dem5 onstration, and commercial application on inte6 grating the following focus areas: 

7 (A) Efficiency and reliability of gas tur8 bines for power generation. 

9 (B) Reduction in emissions from power 

10 generation. 

11 (C) Promotion of energy conservation 

12 issues. 

13 (D) Effectively utilizing alternative fuels 

14 and renewable energy. 

15 (E) Development of advanced materials 

16 technology for oil and gas exploration and utili17 zation in harsh environments. 

18 (F) Education on energy and power gen19 eration issues. 

20 SEC. 133. TECHNOLOGY TRANSFER. 

21 The Secretary shall establish a competitive program 

22 to award a contract to a nonprofit entity for the purpose 

23 of transferring technologies developed with public funds. 

24 The entity selected under this section shall have experi25 ence in offshore oil and gas technology research manage-
47 

•HR 4500 IH 

1 ment, in the transfer of technologies developed with public 

2 funds to the offshore and maritime industry, and in man3 agement of an offshore and maritime industry consortium. 

4 The program consortium selected under section 142 shall 

5 not be eligible for selection under this section. When ap6 propriate, the Secretary shall consider utilizing the entity 

7 selected under this section when implementing the activi8 ties authorized by section 175. 

9 SEC. 134. RESEARCH AND DEVELOPMENT FOR COAL MIN10 ING TECHNOLOGIES. 

11 (a) ESTABLISHMENT.—The Secretary shall carry out 

12 a program of research and development on coal mining 

13 technologies. The Secretary shall cooperate with appro14 priate Federal agencies, coal producers, trade associations, 

15 equipment manufacturers, institutions of higher education 

16 with mining engineering departments, and other relevant 

17 entities. 

18 (b) PROGRAM.—The research and development activi19 ties carried out under this section shall— 

20 (1) be guided by the mining research and devel21 opment priorities identified by the Mining Industry 

22 of the Future Program and in the recommendations 

23 from relevant reports of the National Academy of 

24 Sciences on mining technologies; 
48 

•HR 4500 IH 

1 (2) include activities exploring minimization of 

2 contaminants in mined coal that contribute to envi3 ronmental concerns including development and dem4 onstration of electromagnetic wave imaging ahead of 

5 mining operations; 

6 (3) develop and demonstrate electromagnetic 

7 wave imaging and radar techniques for horizontal 

8 drilling in coal beds in order to increase methane re9 covery efficiency, prevent spoilage of domestic coal 

10 reserves, and minimize water disposal associated 

11 with methane extraction; and 

12 (4) expand mining research capabilities at insti13 tutions of higher education. 

14 SEC. 135. COAL AND RELATED TECHNOLOGIES PROGRAM. 

15 (a) IN GENERAL.—In addition to the programs au16 thorized under title IV, the Secretary shall conduct a pro17 gram of technology research, development, demonstration, 

18 and commercial application for coal and power systems, 

19 including programs to facilitate production and generation 

20 of coal-based power through— 

21 (1) innovations for existing plants; 

22 (2) integrated gasification combined cycle; 

23 (3) advanced combustion systems; 

24 (4) turbines for synthesis gas derived from coal; 
49 

•HR 4500 IH 

1 (5) carbon capture and sequestration research 

2 and development; 

3 (6) coal-derived transportation fuels and chemi4 cals; 

5 (7) solid fuels and feedstocks; 

6 (8) advanced coal-related research; 

7 (9) advanced separation technologies; and 

8 (10) a joint project for permeability enhance9 ment in coals for natural gas production and carbon 

10 dioxide sequestration. 

11 (b) COST AND PERFORMANCE GOALS.—In carrying 

12 out programs authorized by this section, the Secretary 

13 shall identify cost and performance goals for coal-based 

14 technologies that would permit the continued cost-com15 petitive use of coal for electricity generation, as chemical 

16 feedstocks, and as transportation fuel in 2007, 2015, and 

17 the years after 2020. In establishing such cost and per18 formance goals, the Secretary shall— 

19 (1) consider activities and studies undertaken 

20 to date by industry in cooperation with the Depart21 ment in support of such assessment; 

22 (2) consult with interested entities, including 

23 coal producers, industries using coal, organizations 

24 to promote coal and advanced coal technologies, en-
50 

•HR 4500 IH 

1 vironmental organizations, and organizations rep2 resenting workers; 

3 (3) not later than 120 days after the date of 

4 enactment of this Act, publish in the Federal Reg5 ister proposed draft cost and performance goals for 

6 public comments; and 

7 (4) not later than 180 days after the date of 

8 enactment of this Act and every 4 years thereafter, 

9 submit to Congress a report describing final cost 

10 and performance goals for such technologies that in11 cludes a list of technical milestones as well as an ex12 planation of how programs authorized in this section 

13 will not duplicate the activities authorized under the 

14 Clean Coal Power Initiative authorized under sub15 title A of title IV. 

16 SEC. 136. COMPLEX WELL TECHNOLOGY TESTING FACIL17 ITY. 

18 The Secretary, in coordination with industry leaders 

19 in extended research drilling technology, shall establish a 

20 Complex Well Technology Testing Facility at the Rocky 

21 Mountain Oilfield Testing Center to increase the range of 

22 extended drilling technologies. 
51 

•HR 4500 IH 

1 PART II—ULTRA-DEEPWATER AND UNCONVEN2 TIONAL NATURAL GAS AND OTHER PETRO3 LEUM RESOURCES 

4 SEC. 141. PROGRAM AUTHORITY. 

5 (a) IN GENERAL.—The Secretary shall carry out a 

6 program under this part of research, development, dem7 onstration, and commercial application of technologies for 

8 ultra-deepwater and unconventional natural gas and other 

9 petroleum resource exploration and production, including 

10 addressing the technology challenges for small producers, 

11 safe operations, and environmental mitigation (including 

12 reduction of greenhouse gas emissions and sequestration 

13 of carbon). 

14 (b) PROGRAM ELEMENTS.—The program under this 

15 part shall address the following areas, including improving 

16 safety and minimizing environmental impacts of activities 

17 within each area: 

18 (1) Ultra-deepwater technology, including drill19 ing to formations in the Outer Continental Shelf to 

20 depths greater than 15,000 feet. 

21 (2) Ultra-deepwater architecture. 

22 (3) Unconventional natural gas and other petro23 leum resource exploration and production tech24 nology, including the technology challenges of small 

25 producers. 
52 

•HR 4500 IH 

1 (c) LIMITATION ON LOCATION OF FIELD ACTIVI2 TIES.—Field activities under the program under this part 

3 shall be carried out only— 

4 (1) in— 

5 (A) areas in the territorial waters of the 

6 United States not under any Outer Continental 

7 Shelf moratorium as of September 30, 2002; 

8 (B) areas onshore in the United States on 

9 public land administered by the Secretary of the 

10 Interior available for oil and gas leasing, where 

11 consistent with applicable law and land use 

12 plans; and 

13 (C) areas onshore in the United States on 

14 State or private land, subject to applicable law; 

15 and 

16 (2) with the approval of the appropriate Fed17 eral or State land management agency or private 

18 land owner. 

19 (d) RESEARCH AT NATIONAL ENERGY TECHNOLOGY

20 LABORATORY.—The Secretary, through the National En21 ergy Technology Laboratory, shall carry out research com22 plementary to research under subsection (b). 

23 (e) CONSULTATION WITH SECRETARY OF THE INTE24 RIOR.—In carrying out this part, the Secretary shall con25 sult regularly with the Secretary of the Interior. 
53 

•HR 4500 IH 

1 SEC. 142. ULTRA-DEEPWATER PROGRAM. 

2 (a) IN GENERAL.—The Secretary shall carry out the 

3 activities under section 141(a), to maximize the use of the 

4 ultra-deepwater natural gas and other petroleum resources 

5 of the United States by increasing the supply of such re6 sources, through reducing the cost and increasing the effi7 ciency of exploration for and production of such resources, 

8 while improving safety and minimizing environmental im9 pacts. 

10 (b) ROLE OF THE SECRETARY.—The Secretary shall 

11 have ultimate responsibility for, and oversight of, all as12 pects of the program under this section. 

13 (c) ROLE OF THE PROGRAM CONSORTIUM.— 

14 (1) IN GENERAL.—The Secretary may contract 

15 with a consortium to— 

16 (A) manage awards pursuant to subsection 

17 (f)(4); 

18 (B) make recommendations to the Sec19 retary for project solicitations; 

20 (C) disburse funds awarded under sub21 section (f) as directed by the Secretary in ac22 cordance with the annual plan under subsection 

23 (e); and 

24 (D) carry out other activities assigned to 

25 the program consortium by this section. 
54 

•HR 4500 IH 

1 (2) LIMITATION.—The Secretary may not as2 sign any activities to the program consortium except 

3 as specifically authorized under this section. 

4 (3) CONFLICT OF INTEREST.— 

5 (A) PROCEDURES.—The Secretary shall 

6 establish procedures— 

7 (i) to ensure that each board member, 

8 officer, or employee of the program consor9 tium who is in a decision-making capacity 

10 under subsection (f)(3) or (4) shall disclose 

11 to the Secretary any financial interests in, 

12 or financial relationships with, applicants 

13 for or recipients of awards under this sec14 tion, including those of his or her spouse 

15 or minor child, unless such relationships or 

16 interests would be considered to be remote 

17 or inconsequential; and 

18 (ii) to require any board member, offi19 cer, or employee with a financial relation20 ship or interest disclosed under clause (i) 

21 to recuse himself or herself from any re22 view under subsection (f)(3) or oversight 

23 under subsection (f)(4) with respect to 

24 such applicant or recipient. 
55 

•HR 4500 IH 

1 (B) FAILURE TO COMPLY.—The Secretary 

2 may disqualify an application or revoke an 

3 award under this section if a board member, of4 ficer, or employee has failed to comply with pro5 cedures required under subparagraph (A)(ii). 

6 (d) SELECTION OF THE PROGRAM CONSORTIUM.— 

7 (1) IN GENERAL.—The Secretary shall select 

8 the program consortium through an open, competi9 tive process. 

10 (2) MEMBERS.—The program consortium may 

11 include corporations, trade associations, institutions 

12 of higher education, National Laboratories, or other 

13 research institutions. After submitting a proposal 

14 under paragraph (4), the program consortium may 

15 not add members without the consent of the Sec16 retary. 

17 (3) TAX STATUS.—The program consortium 

18 shall be an entity that is exempt from tax under sec19 tion 501(c)(3) of the Internal Revenue Code of 

20 1986. 

21 (4) SCHEDULE.—Not later than 180 days after 

22 the date of enactment of this Act, the Secretary 

23 shall solicit proposals from eligible consortia to per24 form the duties in subsection (c)(1), which shall be 

25 submitted not later than 360 days after the date of 
56 

•HR 4500 IH 

1 enactment of this Act. The Secretary shall select the 

2 program consortium not later than 18 months after 

3 such date of enactment. 

4 (5) APPLICATION.—Applicants shall submit a 

5 proposal including such information as the Secretary 

6 may require. At a minimum, each proposal shall— 

7 (A) list all members of the consortium; 

8 (B) fully describe the structure of the con9 sortium, including any provisions relating to in10 tellectual property; and 

11 (C) describe how the applicant would carry 

12 out the activities of the program consortium 

13 under this section. 

14 (6) ELIGIBILITY.—To be eligible to be selected 

15 as the program consortium, an applicant must be an 

16 entity whose members collectively have demonstrated 

17 capabilities in planning and managing research, de18 velopment, demonstration, and commercial applica19 tion programs in natural gas or other petroleum ex20 ploration or production. 

21 (7) CRITERION.—The Secretary shall consider 

22 the amount of the fee an applicant proposes to re23 ceive under subsection (g) in selecting a consortium 

24 under this section. 

25 (e) ANNUAL PLAN.— 
57 

•HR 4500 IH 

1 (1) IN GENERAL.—The program under this sec2 tion shall be carried out pursuant to an annual plan 

3 prepared by the Secretary in accordance with para4 graph (2). 

5 (2) DEVELOPMENT.— 

6 (A) SOLICITATION OF RECOMMENDA7 TIONS.—Before drafting an annual plan under 

8 this subsection, the Secretary shall solicit spe9 cific written recommendations from the pro10 gram consortium for each element to be ad11 dressed in the plan, including those described in 

12 paragraph (4). The Secretary may request that 

13 the program consortium submit its rec14 ommendations in the form of a draft annual 

15 plan. 

16 (B) SUBMISSION OF RECOMMENDATIONS; 

17 OTHER COMMENT.—The Secretary shall submit 

18 the recommendations of the program consor19 tium under subparagraph (A) to the Ultra20 Deepwater Advisory Committee established 

21 under section 145(a) for review, and such Advi22 sory Committee shall provide to the Secretary 

23 written comments by a date determined by the 

24 Secretary. The Secretary may also solicit com25 ments from any other experts. 
58 

•HR 4500 IH 

1 (C) CONSULTATION.—The Secretary shall 

2 consult regularly with the program consortium 

3 throughout the preparation of the annual plan. 

4 (3) PUBLICATION.—The Secretary shall trans5 mit to Congress and publish in the Federal Register 

6 the annual plan, along with any written comments 

7 received under paragraph (2)(A) and (B). 

8 (4) CONTENTS.—The annual plan shall describe 

9 the ongoing and prospective activities of the pro10 gram under this section and shall include— 

11 (A) a list of any solicitations for awards 

12 that the Secretary plans to issue to carry out 

13 research, development, demonstration, or com14 mercial application activities, including the top15 ics for such work, who would be eligible to 

16 apply, selection criteria, and the duration of 

17 awards; and 

18 (B) a description of the activities expected 

19 of the program consortium to carry out sub20 section (f)(4). 

21 (5) ESTIMATES OF INCREASED ROYALTY RE22 CEIPTS.—The Secretary, in consultation with the 

23 Secretary of the Interior, shall provide an annual re24 port to Congress with the President’s budget on the 

25 estimated cumulative increase in Federal royalty re-
59 

•HR 4500 IH 

1 ceipts (if any) resulting from the implementation of 

2 this part. The initial report under this paragraph 

3 shall be submitted in the first President’s budget fol4 lowing the completion of the first annual plan re5 quired under this subsection. 

6 (f) AWARDS.— 

7 (1) IN GENERAL.—The Secretary shall make 

8 awards to carry out research, development, dem9 onstration, and commercial application activities 

10 under the program under this section. The program 

11 consortium shall not be eligible to receive such 

12 awards, but members of the program consortium 

13 may receive such awards. 

14 (2) PROPOSALS.—The Secretary shall solicit 

15 proposals for awards under this subsection in such 

16 manner and at such time as the Secretary may pre17 scribe, in consultation with the program consortium. 

18 (3) REVIEW.—The Secretary shall make awards 

19 under this subsection through a competitive process, 

20 which shall include a review by individuals selected 

21 by the Secretary. Such individuals shall include, for 

22 each application, Federal officials, the program con23 sortium, and non-Federal experts who are not board 

24 members, officers, or employees of the program con25 sortium or of a member of the program consortium. 
60 

•HR 4500 IH 

1 (4) OVERSIGHT.— 

2 (A) IN GENERAL.—The program consor3 tium shall oversee the implementation of 

4 awards under this subsection, consistent with 

5 the annual plan under subsection (e), including 

6 disbursing funds and monitoring activities car7 ried out under such awards for compliance with 

8 the terms and conditions of the awards. 

9 (B) EFFECT.—Nothing in subparagraph 

10 (A) shall limit the authority or responsibility of 

11 the Secretary to oversee awards, or limit the 

12 authority of the Secretary to review or revoke 

13 awards. 

14 (C) PROVISION OF INFORMATION.—The 

15 Secretary shall provide to the program consor16 tium the information necessary for the program 

17 consortium to carry out its responsibilities 

18 under this paragraph. 

19 (g) ADMINISTRATIVE COSTS.— 

20 (1) IN GENERAL.—To compensate the program 

21 consortium for carrying out its activities under this 

22 section, the Secretary shall provide to the program 

23 consortium funds sufficient to administer the pro24 gram. This compensation may include a manage-
61 

•HR 4500 IH 

1 ment fee consistent with Department of Energy con2 tracting practices and procedures. 

3 (2) ADVANCE.—The Secretary shall advance 

4 funds to the program consortium upon selection of 

5 the consortium, which shall be deducted from 

6 amounts to be provided under paragraph (1). 

7 (h) AUDIT.—The Secretary shall retain an inde8 pendent, commercial auditor to determine the extent to 

9 which funds provided to the program consortium, and 

10 funds provided under awards made under subsection (f), 

11 have been expended in a manner consistent with the pur12 poses and requirements of this part. The auditor shall 

13 transmit a report annually to the Secretary, who shall 

14 transmit the report to Congress, along with a plan to rem15 edy any deficiencies cited in the report. 

16 SEC. 143. UNCONVENTIONAL NATURAL GAS AND OTHER PE17 TROLEUM RESOURCES PROGRAM. 

18 (a) IN GENERAL.—The Secretary shall carry out ac19 tivities under subsection 141(b)(3), to maximize the use 

20 of the onshore unconventional natural gas and other petro21 leum resources of the United States, by increasing the 

22 supply of such resources, through reducing the cost and 

23 increasing the efficiency of exploration for and production 

24 of such resources, while improving safety and minimizing 

25 environmental impacts. 
62 

•HR 4500 IH 

1 (b) AWARDS.— 

2 (1) IN GENERAL.—The Secretary shall carry 

3 out this section through awards to research con4 sortia made through an open, competitive process. 

5 As a condition of award of funds, qualified research 

6 consortia shall— 

7 (A) demonstrate capability and experience 

8 in unconventional onshore natural gas or other 

9 petroleum research and development; 

10 (B) provide a research plan that dem11 onstrates how additional natural gas or oil pro12 duction will be achieved; and 

13 (C) at the request of the Secretary, provide 

14 technical advice to the Secretary for the pur15 poses of developing the annual plan required 

16 under subsection (e). 

17 (2) PRODUCTION POTENTIAL.—The Secretary 

18 shall seek to ensure that the number and types of 

19 awards made under this subsection have reasonable 

20 potential to lead to additional oil and natural gas 

21 production on Federal lands. 

22 (3) SCHEDULE.—To carry out this subsection, 

23 not later than 180 days after the date of enactment 

24 of this Act, the Secretary shall solicit proposals from 

25 research consortia, which shall be submitted not 
63 

•HR 4500 IH 

1 later than 360 days after the date of enactment of 

2 this Act. The Secretary shall select the first group 

3 of research consortia to receive awards under this 

4 subsection not later than 18 months after such date 

5 of enactment. 

6 (c) AUDIT.—The Secretary shall retain an inde7 pendent, commercial auditor to determine the extent to 

8 which funds provided under awards made under this sec9 tion have been expended in a manner consistent with the 

10 purposes and requirements of this part. The auditor shall 

11 transmit a report annually to the Secretary, who shall 

12 transmit the report to Congress, along with a plan to rem13 edy any deficiencies cited in the report. 

14 (d) FOCUS AREAS FOR AWARDS.— 

15 (1) UNCONVENTIONAL RESOURCES.—Awards 

16 from allocations under section 149(d)(2) shall focus 

17 on areas including advanced coalbed methane, deep 

18 drilling, natural gas production from tight sands, 

19 natural gas production from gas shales, stranded 

20 gas, innovative exploration and production tech21 niques, enhanced recovery techniques, and environ22 mental mitigation of unconventional natural gas and 

23 other petroleum resources exploration and produc24 tion. 
64 

•HR 4500 IH 

1 (2) SMALL PRODUCERS.—Awards from alloca2 tions under section 149(d)(3) shall be made to con3 sortia consisting of small producers or organized pri4 marily for the benefit of small producers, and shall 

5 focus on areas including complex geology involving 

6 rapid changes in the type and quality of the oil and 

7 gas reservoirs across the reservoir; low reservoir 

8 pressure; unconventional natural gas reservoirs in 

9 coalbeds, deep reservoirs, tight sands, or shales; and 

10 unconventional oil reservoirs in tar sands and oil 

11 shales. 

12 (e) ANNUAL PLAN.— 

13 (1) IN GENERAL.—The program under this sec14 tion shall be carried out pursuant to an annual plan 

15 prepared by the Secretary in accordance with para16 graph (2). 

17 (2) DEVELOPMENT.— 

18 (A) WRITTEN RECOMMENDATIONS.—Be19 fore drafting an annual plan under this sub20 section, the Secretary shall solicit specific writ21 ten recommendations from the research con22 sortia receiving awards under subsection (b) 

23 and the Unconventional Resources Technology 

24 Advisory Committee for each element to be ad-
65 

•HR 4500 IH 

1 dressed in the plan, including those described in 

2 subparagraph (D). 

3 (B) CONSULTATION.—The Secretary shall 

4 consult regularly with the research consortia 

5 throughout the preparation of the annual plan. 

6 (C) PUBLICATION.—The Secretary shall 

7 transmit to Congress and publish in the Fed8 eral Register the annual plan, along with any 

9 written comments received under subparagraph 

10 (A). 

11 (D) CONTENTS.—The annual plan shall 

12 describe the ongoing and prospective activities 

13 under this section and shall include a list of any 

14 solicitations for awards that the Secretary plans 

15 to issue to carry out research, development, 

16 demonstration, or commercial application activi17 ties, including the topics for such work, who 

18 would be eligible to apply, selection criteria, and 

19 the duration of awards. 

20 (3) ESTIMATES OF INCREASED ROYALTY RE21 CEIPTS.—The Secretary, in consultation with the 

22 Secretary of the Interior, shall provide an annual re23 port to Congress with the President’s budget on the 

24 estimated cumulative increase in Federal royalty re25 ceipts (if any) resulting from the implementation of 
66 

•HR 4500 IH 

1 this part. The initial report under this paragraph 

2 shall be submitted in the first President’s budget fol3 lowing the completion of the first annual plan re4 quired under this subsection. 

5 (f) ACTIVITIES BY THE UNITED STATES GEOLOGI6 CAL SURVEY.—The Secretary of the Interior, through the 

7 United States Geological Survey, shall, where appropriate, 

8 carry out programs of long-term research to complement 

9 the programs under this section. 

10 SEC. 144. ADDITIONAL REQUIREMENTS FOR AWARDS. 

11 (a) DEMONSTRATION PROJECTS.—An application for 

12 an award under this part for a demonstration project shall 

13 describe with specificity the intended commercial use of 

14 the technology to be demonstrated. 

15 (b) FLEXIBILITY IN LOCATING DEMONSTRATION

16 PROJECTS.—Subject to the limitation in section 141(c), 

17 a demonstration project under this part relating to an 

18 ultra-deepwater technology or an ultra-deepwater architec19 ture may be conducted in deepwater depths. 

20 (c) INTELLECTUAL PROPERTY AGREEMENTS.—If an 

21 award under this part is made to a consortium (other than 

22 the program consortium), the consortium shall provide to 

23 the Secretary a signed contract agreed to by all members 

24 of the consortium describing the rights of each member 

25 to intellectual property used or developed under the award. 
67 

•HR 4500 IH 

1 (d) TECHNOLOGY TRANSFER.—2.5 percent of the 

2 amount of each award made under this part shall be des3 ignated for technology transfer and outreach activities 

4 under this title. 

5 (e) COST SHARING REDUCTION FOR INDEPENDENT

6 PRODUCERS.—In applying the cost sharing requirements 

7 under section 172 to an award under this part the Sec8 retary may reduce or eliminate the non-Federal require9 ment if the Secretary determines that the reduction is nec10 essary and appropriate considering the technological risks 

11 involved in the project. 

12 SEC. 145. ADVISORY COMMITTEES. 

13 (a) ULTRA-DEEPWATER ADVISORY COMMITTEE.— 

14 (1) ESTABLISHMENT.—Not later than 270 days 

15 after the date of enactment of this Act, the Sec16 retary shall establish an advisory committee to be 

17 known as the Ultra-Deepwater Advisory Committee. 

18 (2) MEMBERSHIP.—The advisory committee 

19 under this subsection shall be composed of members 

20 appointed by the Secretary including— 

21 (A) individuals with extensive research ex22 perience or operational knowledge of offshore 

23 natural gas and other petroleum exploration 

24 and production; 
68 

•HR 4500 IH 

1 (B) individuals broadly representative of 

2 the affected interests in ultra-deepwater natural 

3 gas and other petroleum production, including 

4 interests in environmental protection and safe 

5 operations; 

6 (C) no individuals who are Federal employ7 ees; and 

8 (D) no individuals who are board members, 

9 officers, or employees of the program consor10 tium. 

11 (3) DUTIES.—The advisory committee under 

12 this subsection shall— 

13 (A) advise the Secretary on the develop14 ment and implementation of programs under 

15 this part related to ultra-deepwater natural gas 

16 and other petroleum resources; and 

17 (B) carry out section 142(e)(2)(B). 

18 (4) COMPENSATION.—A member of the advi19 sory committee under this subsection shall serve 

20 without compensation but shall receive travel ex21 penses in accordance with applicable provisions 

22 under subchapter I of chapter 57 of title 5, United 

23 States Code. 

24 (b) UNCONVENTIONAL RESOURCES TECHNOLOGY

25 ADVISORY COMMITTEE.— 
69 

•HR 4500 IH 

1 (1) ESTABLISHMENT.—Not later than 270 days 

2 after the date of enactment of this Act, the Sec3 retary shall establish an advisory committee to be 

4 known as the Unconventional Resources Technology 

5 Advisory Committee. 

6 (2) MEMBERSHIP.—The advisory committee 

7 under this subsection shall be composed of members 

8 appointed by the Secretary including— 

9 (A) a majority of members who are em10 ployees or representatives of independent pro11 ducers of natural gas and other petroleum, in12 cluding small producers; 

13 (B) individuals with extensive research ex14 perience or operational knowledge of unconven15 tional natural gas and other petroleum resource 

16 exploration and production; 

17 (C) individuals broadly representative of 

18 the affected interests in unconventional natural 

19 gas and other petroleum resource exploration 

20 and production, including interests in environ21 mental protection and safe operations; and 

22 (D) no individuals who are Federal em23 ployees. 

24 (3) DUTIES.—The advisory committee under 

25 this subsection shall advise the Secretary on the de-
70 

•HR 4500 IH 

1 velopment and implementation of activities under 

2 this part related to unconventional natural gas and 

3 other petroleum resources. 

4 (4) COMPENSATION.—A member of the advi5 sory committee under this subsection shall serve 

6 without compensation but shall receive travel ex7 penses in accordance with applicable provisions 

8 under subchapter I of chapter 57 of title 5, United 

9 States Code. 

10 (c) PROHIBITION.—No advisory committee estab11 lished under this section shall make recommendations on 

12 funding awards to particular consortia or other entities, 

13 or for specific projects. 

14 SEC. 146. LIMITS ON PARTICIPATION. 

15 An entity shall be eligible to receive an award under 

16 this part only if the Secretary finds— 

17 (1) that the entity’s participation in the pro18 gram under this part would be in the economic in19 terest of the United States; and 

20 (2) that either— 

21 (A) the entity is a United States-owned en22 tity organized under the laws of the United 

23 States; or 

24 (B) the entity is organized under the laws 

25 of the United States and has a parent entity or-
71 

•HR 4500 IH 

1 ganized under the laws of a country that af2 fords— 

3 (i) to United States-owned entities op4 portunities, comparable to those afforded 

5 to any other entity, to participate in any 

6 cooperative research venture similar to 

7 those authorized under this part; 

8 (ii) to United States-owned entities 

9 local investment opportunities comparable 

10 to those afforded to any other entity; and 

11 (iii) adequate and effective protection 

12 for the intellectual property rights of 

13 United States-owned entities. 

14 SEC. 147. SUNSET. 

15 The authority provided by this part shall terminate 

16 on September 30, 2011. 

17 SEC. 148. DEFINITIONS. 

18 In this part: 

19 (1) DEEPWATER.—The term ‘‘deepwater’’ 

20 means a water depth that is greater than 200 but 

21 less than 1,500 meters. 

22 (2) INDEPENDENT PRODUCER OF OIL OR

23 GAS.— 

24 (A) IN GENERAL.—The term ‘‘independent 

25 producer of oil or gas’’ means any person that 
72 

•HR 4500 IH 

1 produces oil or gas other than a person to 

2 whom subsection (c) of section 613A of the In3 ternal Revenue Code of 1986 does not apply by 

4 reason of paragraph (2) (relating to certain re5 tailers) or paragraph (4) (relating to certain re6 finers) of section 613A(d) of such Code. 

7 (B) RULES FOR APPLYING PARAGRAPHS (2)

8 AND (4) OF SECTION 613A(d).—For purposes of 

9 subparagraph (A), paragraphs (2) and (4) of 

10 section 613A(d) of the Internal Revenue Code 

11 of 1986 shall be applied by substituting ‘‘cal12 endar year’’ for ‘‘taxable year’’ each place it ap13 pears in such paragraphs. 

14 (3) PROGRAM CONSORTIUM.—The term ‘‘pro15 gram consortium’’ means the consortium selected 

16 under section 142(d). 

17 (4) REMOTE OR INCONSEQUENTIAL.—The term 

18 ‘‘remote or inconsequential’’ has the meaning given 

19 that term in regulations issued by the Office of Gov20 ernment Ethics under section 208(b)(2) of title 18, 

21 United States Code. 

22 (5) SMALL PRODUCER.—The term ‘‘small pro23 ducer’’ means an entity organized under the laws of 

24 the United States with production levels of less than 

25 1,000 barrels per day of oil equivalent. 
73 

•HR 4500 IH 

1 (6) ULTRA-DEEPWATER.—The term ‘‘ultra2 deepwater’’ means a water depth that is equal to or 

3 greater than 1,500 meters. 

4 (7) ULTRA-DEEPWATER ARCHITECTURE.—The 

5 term ‘‘ultra-deepwater architecture’’ means the inte6 gration of technologies for the exploration for, or 

7 production of, natural gas or other petroleum re8 sources located at ultra-deepwater depths. 

9 (8) ULTRA-DEEPWATER TECHNOLOGY.—The 

10 term ‘‘ultra-deepwater technology’’ means a discrete 

11 technology that is specially suited to address 1 or 

12 more challenges associated with the exploration for, 

13 or production of, natural gas or other petroleum re14 sources located at ultra-deepwater depths. 

15 (9) UNCONVENTIONAL NATURAL GAS AND

16 OTHER PETROLEUM RESOURCE.—The term ‘‘uncon17 ventional natural gas and other petroleum resource’’ 

18 means natural gas and other petroleum resource lo19 cated onshore in an economically inaccessible geo20 logical formation, including resources of small pro21 ducers. 

22 SEC. 149. FUNDING. 

23 (a) IN GENERAL.— 

24 (1) OIL AND GAS LEASE INCOME.—For each of 

25 fiscal years 2004 through 2013, from any Federal 
74 

•HR 4500 IH 

1 royalties, rents, and bonuses derived from Federal 

2 onshore and offshore oil and gas leases issued under 

3 the Outer Continental Shelf Lands Act and the Min4 eral Leasing Act which are deposited in the Treas5 ury, and after distribution of any such funds as de6 scribed in subsection (c), $150,000,000 shall be de7 posited into the Ultra-Deepwater and Unconven8 tional Natural Gas and Other Petroleum Research 

9 Fund (in this section referred to as the Fund). For 

10 purposes of this section, the term ‘‘royalties’’ ex11 cludes proceeds from the sale of royalty production 

12 taken in kind and royalty production that is trans13 ferred under section 27(a)(3) of the Outer Conti14 nental Shelf Lands Act (43 U.S.C. 1353(a)(3)). 

15 (2) AUTHORIZATION OF APPROPRIATIONS.—In 

16 addition to amounts described in paragraph (1), 

17 there are authorized to be appropriated to the Sec18 retary, to be deposited in the Fund, $50,000,000 for 

19 each of the fiscal years 2004 through 2013, to re20 main available until expended. 

21 (b) OBLIGATIONAL AUTHORITY.—Monies in the 

22 Fund shall be available to the Secretary for obligation 

23 under this part without fiscal year limitation, to remain 

24 available until expended. 
75 

•HR 4500 IH 

1 (c) PRIOR DISTRIBUTIONS.—The distributions de2 scribed in subsection (a) are those required by law— 

3 (1) to States and to the Reclamation Fund 

4 under the Mineral Leasing Act (30 U.S.C. 191(a)); 

5 and 

6 (2) to other funds receiving monies from Fed7 eral oil and gas leasing programs, including— 

8 (A) any recipients pursuant to section 8(g) 

9 of the Outer Continental Shelf Lands Act (43 

10 U.S.C. 1337(g)); 

11 (B) the Land and Water Conservation 

12 Fund, pursuant to section 2(c) of the Land and 

13 Water Conservation Fund Act of 1965 (16 

14 U.S.C. 4601–5(c)); 

15 (C) the Historic Preservation Fund, pursu16 ant to section 108 of the National Historic 

17 Preservation Act (16 U.S.C. 470h); and 

18 (D) the Secure Energy Reinvestment 

19 Fund. 

20 (d) ALLOCATION.—Amounts obligated from the Fund 

21 under this section in each fiscal year shall be allocated 

22 as follows: 

23 (1) 50 percent shall be for activities under sec24 tion 142. 
76 

•HR 4500 IH 

1 (2) 35 percent shall be for activities under sec2 tion 143(d)(1). 

3 (3) 10 percent shall be for activities under sec4 tion 143(d)(2). 

5 (4) 5 percent shall be for research under section 

6 141(d). 

7 (e) FUND.—There is hereby established in the Treas8 ury of the United States a separate fund to be known as 

9 the ‘‘Ultra-Deepwater and Unconventional Natural Gas 

10 and Other Petroleum Research Fund’’. 

11 Subtitle F—Science 

12 SEC. 151. SCIENCE. 

13 (a) IN GENERAL.—The following sums are author14 ized to be appropriated to the Secretary for research, de15 velopment, demonstration, and commercial application ac16 tivities of the Office of Science, including activities author17 ized under this subtitle, including the amounts authorized 

18 under the amendment made by section 158(c)(2)(C), and 

19 including basic energy sciences, advanced scientific com20 puting research, biological and environmental research, fu21 sion energy sciences, high energy physics, nuclear physics, 

22 and research analysis and infrastructure support: 

23 (1) For fiscal year 2004, $3,785,000,000. 

24 (2) For fiscal year 2005, $4,153,000,000. 

25 (3) For fiscal year 2006, $4,618,000,000. 
77 

•HR 4500 IH 

1 (4) For fiscal year 2007, $5,310,000,000. 

2 (5) For fiscal year 2008, $5,800,000,000. 

3 (b) ALLOCATIONS.—From amounts authorized under 

4 subsection (a), the following sums are authorized: 

5 (1) For activities of the Fusion Energy Sciences 

6 Program, including activities under sections 152 and 

7 153— 

8 (A) for fiscal year 2004, $335,000,000; 

9 (B) for fiscal year 2005, $349,000,000; 

10 (C) for fiscal year 2006, $362,000,000; 

11 (D) for fiscal year 2007, $377,000,000; 

12 and 

13 (E) for fiscal year 2008, $393,000,000. 

14 (2) For the Spallation Neutron Source— 

15 (A) for construction in fiscal year 2004, 

16 $124,600,000; 

17 (B) for construction in fiscal year 2005, 

18 $79,800,000; 

19 (C) for completion of construction in fiscal 

20 year 2006, $41,100,000; and 

21 (D) for other project costs (including re22 search and development necessary to complete 

23 the project, preoperations costs, and capital 

24 equipment related to construction), 

25 $103,279,000 for the period encompassing fis-
78 

•HR 4500 IH 

1 cal years 2003 through 2006, to remain avail2 able until expended through September 30, 

3 2006. 

4 (3) For Catalysis Research activities under sec5 tion 156— 

6 (A) for fiscal year 2004, $33,000,000; 

7 (B) for fiscal year 2005, $35,000,000; 

8 (C) for fiscal year 2006, $36,500,000; 

9 (D) for fiscal year 2007, $38,200,000; and 

10 (E) for fiscal year 2008, $40,100,000. 

11 (4) For Nanoscale Science and Engineering Re12 search activities under section 157— 

13 (A) for fiscal year 2004, $270,000,000; 

14 (B) for fiscal year 2005, $292,000,000; 

15 (C) for fiscal year 2006, $322,000,000; 

16 (D) for fiscal year 2007, $355,000,000; 

17 and 

18 (E) for fiscal year 2008, $390,000,000. 

19 (5) For activities under section 157(c), from 

20 the amounts authorized under paragraph (4) of this 

21 subsection— 

22 (A) for fiscal year 2004, $135,000,000; 

23 (B) for fiscal year 2005, $150,000,000; 

24 (C) for fiscal year 2006, $120,000,000; 
79 

•HR 4500 IH 

1 (D) for fiscal year 2007, $100,000,000; 

2 and 

3 (E) for fiscal year 2008, $125,000,000. 

4 (6) For activities in the Genomes to Life Pro5 gram under section 159— 

6 (A) for fiscal year 2004, $100,000,000; 

7 and 

8 (B) for fiscal years 2005 through 2008, 

9 such sums as may be necessary. 

10 (7) For activities in the Energy-Water Supply 

11 Program under section 161, $30,000,000 for each of 

12 fiscal years 2004 through 2008. 

13 (c) ITER CONSTRUCTION.—In addition to the funds 

14 authorized under subsection (b)(1), such sums as may be 

15 necessary for costs associated with ITER construction, 

16 consistent with limitations under section 152. 

17 SEC. 152. UNITED STATES PARTICIPATION IN ITER. 

18 (a) IN GENERAL.—The United States may partici19 pate in ITER in accordance with the provisions of this 

20 section. 

21 (b) AGREEMENT.— 

22 (1) IN GENERAL.—The Secretary is authorized 

23 to negotiate an agreement for United States partici24 pation in ITER. 
80 

•HR 4500 IH 

1 (2) CONTENTS.—Any agreement for United 

2 States participation in ITER shall, at a minimum— 

3 (A) clearly define the United States finan4 cial contribution to construction and operating 

5 costs; 

6 (B) ensure that the share of ITER’s high7 technology components manufactured in the 

8 United States is at least proportionate to the 

9 United States financial contribution to ITER; 

10 (C) ensure that the United States will not 

11 be financially responsible for cost overruns in 

12 components manufactured in other ITER par13 ticipating countries; 

14 (D) guarantee the United States full ac15 cess to all data generated by ITER; 

16 (E) enable United States researchers to 

17 propose and carry out an equitable share of the 

18 experiments at ITER; 

19 (F) provide the United States with a role 

20 in all collective decisionmaking related to ITER; 

21 and 

22 (G) describe the process for discontinuing 

23 or decommissioning ITER and any United 

24 States role in those processes. 
81 

•HR 4500 IH 

1 (c) PLAN.—The Secretary, in consultation with the 

2 Fusion Energy Sciences Advisory Committee, shall de3 velop a plan for the participation of United States sci4 entists in ITER that shall include the United States re5 search agenda for ITER, methods to evaluate whether 

6 ITER is promoting progress toward making fusion a reli7 able and affordable source of power, and a description of 

8 how work at ITER will relate to other elements of the 

9 United States fusion program. The Secretary shall request 

10 a review of the plan by the National Academy of Sciences. 

11 (d) LIMITATION.—No funds shall be expended for the 

12 construction of ITER until the Secretary has transmitted 

13 to Congress— 

14 (1) the agreement negotiated pursuant to sub15 section (b) and 120 days have elapsed since that 

16 transmission; 

17 (2) a report describing the management struc18 ture of ITER and providing a fixed dollar estimate 

19 of the cost of United States participation in the con20 struction of ITER, and 120 days have elapsed since 

21 that transmission; 

22 (3) a report describing how United States par23 ticipation in ITER will be funded without reducing 

24 funding for other programs in the Office of Science, 
82 

•HR 4500 IH 

1 including other fusion programs, and 60 days have 

2 elapsed since that transmission; and 

3 (4) the plan required by subsection (c) (but not 

4 the National Academy of Sciences review of that 

5 plan), and 60 days have elapsed since that trans6 mission. 

7 (e) ALTERNATIVE TO ITER.—If at any time during 

8 the negotiations on ITER, the Secretary determines that 

9 construction and operation of ITER is unlikely or infeasi10 ble, the Secretary shall send to Congress, as part of the 

11 budget request for the following year, a plan for imple12 menting the domestic burning plasma experiment known 

13 as FIRE, including costs and schedules for such a plan. 

14 The Secretary shall refine such plan in full consultation 

15 with the Fusion Energy Sciences Advisory Committee and 

16 shall also transmit such plan to the National Academy of 

17 Sciences for review. 

18 (f) DEFINITIONS.—In this section and section 

19 151(b)(1) and (c): 

20 (1) CONSTRUCTION.—The term ‘‘construction’’ 

21 means the physical construction of the ITER facil22 ity, and the physical construction, purchase, or man23 ufacture of equipment or components that are spe24 cifically designed for the ITER facility, but does not 
83 

•HR 4500 IH 

1 mean the design of the facility, equipment, or com2 ponents. 

3 (2) FIRE.—The term ‘‘FIRE’’ means the Fu4 sion Ignition Research Experiment, the fusion re5 search experiment for which design work has been 

6 supported by the Department as a possible alter7 native burning plasma experiment in the event that 

8 ITER fails to move forward. 

9 (3) ITER.—The term ‘‘ITER’’ means the 

10 international burning plasma fusion research project 

11 in which the President announced United States 

12 participation on January 30, 2003. 

13 SEC. 153. PLAN FOR FUSION ENERGY SCIENCES PROGRAM. 

14 (a) DECLARATION OF POLICY.—It shall be the policy 

15 of the United States to conduct research, development, 

16 demonstration, and commercial application to provide for 

17 the scientific, engineering, and commercial infrastructure 

18 necessary to ensure that the United States is competitive 

19 with other nations in providing fusion energy for its own 

20 needs and the needs of other nations, including by dem21 onstrating electric power or hydrogen production for the 

22 United States energy grid utilizing fusion energy at the 

23 earliest date possible. 

24 (b) PLANNING.— 
84 

•HR 4500 IH 

1 (1) IN GENERAL.—Not later than 180 days 

2 after the date of enactment of this Act, the Sec3 retary shall present to Congress a plan, with pro4 posed cost estimates, budgets, and potential inter5 national partners, for the implementation of the pol6 icy described in subsection (a). The plan shall ensure 

7 that— 

8 (A) existing fusion research facilities are 

9 more fully utilized; 

10 (B) fusion science, technology, theory, ad11 vanced computation, modeling, and simulation 

12 are strengthened; 

13 (C) new magnetic and inertial fusion re14 search facilities are selected based on scientific 

15 innovation, cost effectiveness, and their poten16 tial to advance the goal of practical fusion en17 ergy at the earliest date possible, and those that 

18 are selected are funded at a cost-effective rate; 

19 (D) communication of scientific results and 

20 methods between the fusion energy science com21 munity and the broader scientific and tech22 nology communities is improved; 

23 (E) inertial confinement fusion facilities 

24 are utilized to the extent practicable for the 
85 

•HR 4500 IH 

1 purpose of inertial fusion energy research and 

2 development; and 

3 (F) attractive alternative inertial and mag4 netic fusion energy approaches are more fully 

5 explored. 

6 (2) COSTS AND SCHEDULES.—Such plan shall 

7 also address the status of and, to the degree pos8 sible, costs and schedules for— 

9 (A) in coordination with the program 

10 under section 160, the design and implementa11 tion of international or national facilities for the 

12 testing of fusion materials; and 

13 (B) the design and implementation of 

14 international or national facilities for the test15 ing and development of key fusion technologies. 

16 SEC. 154. SPALLATION NEUTRON SOURCE. 

17 (a) DEFINITION.—For the purposes of this section, 

18 the term ‘‘Spallation Neutron Source’’ means Department 

19 Project 99–E–334, Oak Ridge National Laboratory, Oak 

20 Ridge, Tennessee. 

21 (b) REPORT.—The Secretary shall report on the 

22 Spallation Neutron Source as part of the Department’s 

23 annual budget submission, including a description of the 

24 achievement of milestones, a comparison of actual costs 
86 

•HR 4500 IH 

1 to estimated costs, and any changes in estimated project 

2 costs or schedule. 

3 (c) LIMITATIONS.—The total amount obligated by the 

4 Department, including prior year appropriations, for the 

5 Spallation Neutron Source shall not exceed— 

6 (1) $1,192,700,000 for costs of construction; 

7 (2) $219,000,000 for other project costs; and 

8 (3) $1,411,700,000 for total project cost. 

9 SEC. 155. SUPPORT FOR SCIENCE AND ENERGY FACILITIES 

10 AND INFRASTRUCTURE. 

11 (a) FACILITY AND INFRASTRUCTURE POLICY.—The 

12 Secretary shall develop and implement a strategy for fa13 cilities and infrastructure supported primarily from the 

14 Office of Science, the Office of Energy Efficiency and Re15 newable Energy, the Office of Fossil Energy, or the Office 

16 of Nuclear Energy, Science, and Technology Programs at 

17 all National Laboratories and single-purpose research fa18 cilities. Such strategy shall provide cost-effective means 

19 for— 

20 (1) maintaining existing facilities and infra21 structure, as needed; 

22 (2) closing unneeded facilities; 

23 (3) making facility modifications; and 

24 (4) building new facilities. 

25 (b) REPORT.— 
87 

•HR 4500 IH 

1 (1) IN GENERAL.—The Secretary shall prepare 

2 and transmit, along with the President’s budget re3 quest to Congress for fiscal year 2006, a report con4 taining the strategy developed under subsection (a). 

5 (2) CONTENTS.—For each National Laboratory 

6 and single-purpose research facility, for the facilities 

7 primarily used for science and energy research, such 

8 report shall contain— 

9 (A) the current priority list of proposed fa10 cilities and infrastructure projects, including 

11 cost and schedule requirements; 

12 (B) a current 10-year plan that dem13 onstrates the reconfiguration of its facilities and 

14 infrastructure to meet its missions and to ad15 dress its long-term operational costs and return 

16 on investment; 

17 (C) the total current budget for all facili18 ties and infrastructure funding; and 

19 (D) the current status of each facility and 

20 infrastructure project compared to the original 

21 baseline cost, schedule, and scope. 

22 SEC. 156. CATALYSIS RESEARCH AND DEVELOPMENT PRO23 GRAM. 

24 (a) ESTABLISHMENT.—The Secretary, through the 

25 Office of Science, shall support a program of research and 
88 

•HR 4500 IH 

1 development in catalysis science consistent with the De2 partment’s statutory authorities related to research and 

3 development. The program shall include efforts to— 

4 (1) enable catalyst design using combinations of 

5 experimental and mechanistic methodologies coupled 

6 with computational modeling of catalytic reactions at 

7 the molecular level; 

8 (2) develop techniques for high throughput syn9 thesis, assay, and characterization at nanometer and 

10 subnanometer scales in situ under actual operating 

11 conditions; 

12 (3) synthesize catalysts with specific site archi13 tectures; 

14 (4) conduct research on the use of precious 

15 metals for catalysis; and 

16 (5) translate molecular understanding to the 

17 design of catalytic compounds. 

18 (b) DUTIES OF THE OFFICE OF SCIENCE.—In car19 rying out the program under this section, the Director of 

20 the Office of Science shall— 

21 (1) support both individual investigators and 

22 multidisciplinary teams of investigators to pioneer 

23 new approaches in catalytic design; 

24 (2) develop, plan, construct, acquire, share, or 

25 operate special equipment or facilities for the use of 
89 

•HR 4500 IH 

1 investigators in collaboration with national user fa2 cilities such as nanoscience and engineering centers; 

3 (3) support technology transfer activities to 

4 benefit industry and other users of catalysis science 

5 and engineering; and 

6 (4) coordinate research and development activi7 ties with industry and other Federal agencies. 

8 (c) TRIENNIAL ASSESSMENT.—The National Acad9 emy of Sciences shall review the catalysis program every 

10 3 years to report on gains made in the fundamental 

11 science of catalysis and its progress towards developing 

12 new fuels for energy production and material fabrication 

13 processes. 

14 SEC. 157. NANOSCALE SCIENCE AND ENGINEERING RE15 SEARCH, DEVELOPMENT, DEMONSTRATION, 

16 AND COMMERCIAL APPLICATION. 

17 (a) ESTABLISHMENT.—The Secretary, acting 

18 through the Office of Science, shall support a program of 

19 research, development, demonstration, and commercial ap20 plication in nanoscience and nanoengineering. The pro21 gram shall include efforts to further the understanding of 

22 the chemistry, physics, materials science, and engineering 

23 of phenomena on the scale of nanometers and to apply 

24 that knowledge to the Department’s mission areas. 
90 

•HR 4500 IH 

1 (b) DUTIES OF THE OFFICE OF SCIENCE.—In car2 rying out the program under this section, the Office of 

3 Science shall— 

4 (1) support both individual investigators and 

5 teams of investigators, including multidisciplinary 

6 teams; 

7 (2) carry out activities under subsection (c); 

8 (3) support technology transfer activities to 

9 benefit industry and other users of nanoscience and 

10 nanoengineering; 

11 (4) coordinate research and development activi12 ties with other Department programs, industry, and 

13 other Federal agencies; 

14 (5) ensure that societal and ethical concerns 

15 will be addressed as the technology is developed by— 

16 (A) establishing a research program to 

17 identify societal and ethical concerns related to 

18 nanotechnology, and ensuring that the results 

19 of such research are widely disseminated; and 

20 (B) integrating, insofar as possible, re21 search on societal and ethical concerns with 

22 nanotechnology research and development; and 

23 (6) ensure that the potential of nanotechnology 

24 to produce or facilitate the production of clean, inex25 pensive energy is realized by supporting 
91 

•HR 4500 IH 

1 nanotechnology energy applications research and de2 velopment. 

3 (c) NANOSCIENCE AND NANOENGINEERING RE4 SEARCH CENTERS AND MAJOR INSTRUMENTATION.— 

5 (1) IN GENERAL.—The Secretary shall carry 

6 out projects to develop, plan, construct, acquire, op7 erate, or support special equipment, instrumenta8 tion, or facilities for investigators conducting re9 search and development in nanoscience and 

10 nanoengineering. 

11 (2) ACTIVITIES.—Projects under paragraph (1) 

12 may include the measurement of properties at the 

13 scale of nanometers, manipulation at such scales, 

14 and the integration of technologies based on 

15 nanoscience or nanoengineering into bulk materials 

16 or other technologies. 

17 (3) FACILITIES.—Facilities under paragraph 

18 (1) may include electron microcharacterization facili19 ties, microlithography facilities, scanning probe fa20 cilities, and related instrumentation. 

21 (4) COLLABORATIONS.—The Secretary shall en22 courage collaborations among Department programs, 

23 institutions of higher education, laboratories, and in24 dustry at facilities under this subsection. 
92 

•HR 4500 IH 

1 SEC. 158. ADVANCED SCIENTIFIC COMPUTING FOR ENERGY 

2 MISSIONS. 

3 (a) IN GENERAL.—The Secretary, acting through the 

4 Office of Science, shall support a program to advance the 

5 Nation’s computing capability across a diverse set of 

6 grand challenge, computationally based, science problems 

7 related to departmental missions. 

8 (b) DUTIES OF THE OFFICE OF SCIENCE.—In car9 rying out the program under this section, the Office of 

10 Science shall— 

11 (1) advance basic science through computation 

12 by developing software to solve grand challenge 

13 science problems on new generations of computing 

14 platforms in collaboration with other Department 

15 program offices; 

16 (2) enhance the foundations for scientific com17 puting by developing the basic mathematical and 

18 computing systems software needed to take full ad19 vantage of the computing capabilities of computers 

20 with peak speeds of 100 teraflops or more, some of 

21 which may be unique to the scientific problem of in22 terest; 

23 (3) enhance national collaboratory and net24 working capabilities by developing software to inte25 grate geographically separated researchers into ef-
93 

•HR 4500 IH 

1 fective research teams and to facilitate access to and 

2 movement and analysis of large (petabyte) data sets; 

3 (4) develop and maintain a robust scientific 

4 computing hardware infrastructure to ensure that 

5 the computing resources needed to address depart6 mental missions are available; and 

7 (5) explore new computing approaches and 

8 technologies that promise to advance scientific com9 puting, including developments in quantum com10 puting. 

11 (c) HIGH-PERFORMANCE COMPUTING ACT OF 1991 

12 AMENDMENTS.—The High-Performance Computing Act 

13 of 1991 is amended— 

14 (1) in section 4 (15 U.S.C. 5503)— 

15 (A) in paragraph (3) by striking ‘‘means’’ 

16 and inserting ‘‘and networking and information 

17 technology mean’’, and by striking ‘‘(including 

18 vector supercomputers and large scale parallel 

19 systems)’’; and 

20 (B) in paragraph (4), by striking ‘‘packet 

21 switched’’; and 

22 (2) in section 203 (15 U.S.C. 5523)— 

23 (A) in subsection (a), by striking all after 

24 ‘‘As part of the’’ and inserting ‘‘Networking 

25 and Information Technology Research and De-
94 

•HR 4500 IH 

1 velopment Program, the Secretary of Energy 

2 shall conduct basic and applied research in net3 working and information technology, with em4 phasis on supporting fundamental research in 

5 the physical sciences and engineering, and en6 ergy applications; providing supercomputer ac7 cess and advanced communication capabilities 

8 and facilities to scientific researchers; and de9 veloping tools for distributed scientific collabo10 ration.’’; 

11 (B) in subsection (b), by striking ‘‘Pro12 gram’’ and inserting ‘‘Networking and Informa13 tion Technology Research and Development 

14 Program’’; and 

15 (C) by amending subsection (e) to read as 

16 follows: 

17 ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There 

18 are authorized to be appropriated to the Secretary of En19 ergy to carry out the Networking and Information Tech20 nology Research and Development Program such sums as 

21 may be necessary for fiscal years 2004 through 2008.’’. 

22 (d) COORDINATION.—The Secretary shall ensure that 

23 the program under this section is integrated and con24 sistent with— 
95 

•HR 4500 IH 

1 (1) the Advanced Simulation and Computing 

2 Program, formerly known as the Accelerated Stra3 tegic Computing Initiative, of the National Nuclear 

4 Security Administration; and 

5 (2) other national efforts related to advanced 

6 scientific computing for science and engineering. 

7 (e) REPORT.— 

8 (1) IN GENERAL.—Before undertaking any new 

9 initiative to develop any new advanced architecture 

10 for high-speed computing, the Secretary, through the 

11 Director of the Office of Science, shall transmit a re12 port to Congress describing— 

13 (A) the expected duration and cost of the 

14 initiative; 

15 (B) the technical milestones the initiative 

16 is designed to achieve; 

17 (C) how institutions of higher education 

18 and private firms will participate in the initia19 tive; and 

20 (D) why the goals of the initiative could 

21 not be achieved through existing programs. 

22 (2) LIMITATION.—No funds may be expended 

23 on any initiative described in paragraph (1) until 30 

24 days after the report required by that paragraph is 

25 transmitted to Congress. 
96 

•HR 4500 IH 

1 SEC. 159. GENOMES TO LIFE PROGRAM. 

2 (a) PROGRAM.— 

3 (1) ESTABLISHMENT.—The Secretary shall es4 tablish a research, development, and demonstration 

5 program in genetics, protein science, and computa6 tional biology to support the energy, national secu7 rity, and environmental mission of the Department. 

8 (2) GRANTS.—The program shall support indi9 vidual investigators and multidisciplinary teams of 

10 investigators through competitive, merit-reviewed 

11 grants. 

12 (3) CONSULTATION.—In carrying out the pro13 gram, the Secretary shall consult with other Federal 

14 agencies that conduct genetic and protein research. 

15 (b) GOALS.—The program shall have the goal of de16 veloping technologies and methods based on the biological 

17 functions of genomes, microbes, and plants that— 

18 (1) can facilitate the production of fuels, includ19 ing hydrogen; 

20 (2) convert carbon dioxide to organic carbon; 

21 (3) improve national security and combat ter22 rorism; 

23 (4) detoxify soils and water at Department fa24 cilities contaminated with heavy metals and radio25 logical materials; and 
97 

•HR 4500 IH 

1 (5) address other Department missions as iden2 tified by the Secretary. 

3 (c) PLAN.— 

4 (1) DEVELOPMENT OF PLAN.—Not later than 1 

5 year after the date of enactment of this Act, the 

6 Secretary shall prepare and transmit to Congress a 

7 research plan describing how the program author8 ized pursuant to this section will be undertaken to 

9 accomplish the program goals established in sub10 section (b). 

11 (2) REVIEW OF PLAN.—The Secretary shall 

12 contract with the National Academy of Sciences to 

13 review the research plan developed under this sub14 section. The Secretary shall transmit the review to 

15 Congress not later than 18 months after transmittal 

16 of the research plan under paragraph (1), along with 

17 the Secretary’s response to the recommendations 

18 contained in the review. 

19 (d) GENOMES TO LIFE USER FACILITIES AND AN20 CILLARY EQUIPMENT.— 

21 (1) IN GENERAL.—Within the funds authorized 

22 to be appropriated pursuant to this Act, the 

23 amounts specified under section 151(b)(6) shall, 

24 subject to appropriations, be available for projects to 

25 develop, plan, construct, acquire, or operate special 
98 

•HR 4500 IH 

1 equipment, instrumentation, or facilities for inves2 tigators conducting research, development, dem3 onstration, and commercial application in systems 

4 biology and proteomics and associated biological dis5 ciplines. 

6 (2) FACILITIES.—Facilities under paragraph 

7 (1) may include facilities, equipment, or instrumen8 tation for— 

9 (A) the production and characterization of 

10 proteins; 

11 (B) whole proteome analysis; 

12 (C) characterization and imaging of molec13 ular machines; and 

14 (D) analysis and modeling of cellular sys15 tems. 

16 (3) COLLABORATIONS.—The Secretary shall en17 courage collaborations among universities, labora18 tories, and industry at facilities under this sub19 section. All facilities under this subsection shall have 

20 a specific mission of technology transfer to other in21 stitutions. 

22 (e) PROHIBITION ON BIOMEDICAL AND HUMAN CELL

23 AND HUMAN SUBJECT RESEARCH.— 
99 

•HR 4500 IH 

1 (1) NO BIOMEDICAL RESEARCH.—In carrying 

2 out the program under this section, the Secretary 

3 shall not conduct biomedical research. 

4 (2) LIMITATIONS.—Nothing in this section shall 

5 authorize the Secretary to conduct any research or 

6 demonstrations— 

7 (A) on human cells or human subjects; or 

8 (B) designed to have direct application 

9 with respect to human cells or human subjects. 

10 SEC. 160. FISSION AND FUSION ENERGY MATERIALS RE11 SEARCH PROGRAM. 

12 In the President’s fiscal year 2006 budget request, 

13 the Secretary shall establish a research and development 

14 program on material science issues presented by advanced 

15 fission reactors and the Department’s fusion energy pro16 gram. The program shall develop a catalog of material 

17 properties required for these applications, develop theo18 retical models for materials possessing the required prop19 erties, benchmark models against existing data, and de20 velop a roadmap to guide further research and develop21 ment in this area. 

22 SEC. 161. ENERGY-WATER SUPPLY PROGRAM. 

23 (a) ESTABLISHMENT.—There is established within 

24 the Department the Energy-Water Supply Program, to 

25 study energy-related and certain other issues associated 
100 

•HR 4500 IH 

1 with the supply of drinking water and operation of com2 munity water systems and to study water supply issues 

3 related to energy. 

4 (b) DEFINITIONS.—For the purposes of this section: 

5 (1) ADMINISTRATOR.—The term ‘‘Adminis6 trator’’ means the Administrator of the Environ7 mental Protection Agency. 

8 (2) AGENCY.—The term ‘‘Agency’’ means the 

9 Environmental Protection Agency. 

10 (3) FOUNDATION.—The term ‘‘Foundation’’ 

11 means the American Water Works Association Re12 search Foundation. 

13 (4) INDIAN TRIBE.—The term ‘‘Indian tribe’’ 

14 has the meaning given the term in section 4 of the 

15 Indian Self-Determination and Education Assistance 

16 Act (25 U.S.C. 450b). 

17 (5) PROGRAM.—The term ‘‘Program’’ means 

18 the Energy-Water Supply Program established by 

19 this section. 

20 (c) PROGRAM AREAS.—The Program shall develop 

21 methods, means, procedures, equipment, and improved 

22 technologies relating to— 

23 (1) the arsenic removal program under sub24 section (d); 
101 

•HR 4500 IH 

1 (2) the desalination program under subsection 

2 (e); and 

3 (3) the water and energy sustainability program 

4 under subsection (f). 

5 (d) ARSENIC REMOVAL PROGRAM.— 

6 (1) IN GENERAL.—As soon as practicable after 

7 the date of enactment of this Act, the Secretary, in 

8 coordination with the Administrator and in partner9 ship with the Foundation, shall utilize the facilities, 

10 institutions, and relationships established in the 

11 Consolidated Appropriations Resolution, 2003 as de12 scribed in Senate Report 107–220 to carry out a re13 search program to provide innovative methods and 

14 means for removal of arsenic. 

15 (2) REQUIRED EVALUATIONS.—The program 

16 shall, to the maximum extent practicable, evaluate 

17 the means of— 

18 (A) reducing energy costs incurred in 

19 using arsenic removal technologies; 

20 (B) minimizing materials, operating, and 

21 maintenance costs; and 

22 (C) minimizing any quantities of waste (es23 pecially hazardous waste) that result from use 

24 of arsenic removal technologies. 
102 

•HR 4500 IH 

1 (3) PEER REVIEW.—Where applicable and rea2 sonably available, projects undertaken under this 

3 subsection shall be peer-reviewed. 

4 (4) COMMUNITY WATER SYSTEMS.—In carrying 

5 out the program under this subsection, the Sec6 retary, in coordination with the Administrator, 

7 shall— 

8 (A) select projects involving a geographi9 cally and hydrologically diverse group of com10 munity water systems (as defined in section 

11 1003 of the Public Health Service Act (42 

12 U.S.C. 300)) and water chemistries, that have 

13 experienced technical or economic difficulties in 

14 providing drinking water with levels of arsenic 

15 at 10 parts-per-billion or lower, which projects 

16 shall be designed to develop innovative methods 

17 and means to deliver drinking water that con18 tains less than 10 parts per billion of arsenic; 

19 and 

20 (B) provide not less than 40 percent of all 

21 funds spent pursuant to this subsection to ad22 dress the needs of, and in collaboration with, 

23 rural communities or Indian tribes. 

24 (5) COST EFFECTIVENESS.—The Foundation 

25 shall create methods for determining cost effective-
103 

•HR 4500 IH 

1 ness of arsenic removal technologies used in the pro2 gram. 

3 (6) EDUCATION, TRAINING, AND TECH4 NOLOGY.—The Foundation shall include education, 

5 training, and technology transfer as part of the pro6 gram. 

7 (7) COORDINATION.—The Secretary shall con8 sult with the Administrator to ensure that all activi9 ties conducted under the program are coordinated 

10 with the Agency and do not duplicate other pro11 grams in the Agency and other Federal agencies, 

12 State programs, and academia. 

13 (8) REPORTS.—Not later than 1 year after the 

14 date of commencement of the program under this 

15 subsection, and once every year thereafter, the Sec16 retary shall submit to the Committee on Energy and 

17 Commerce of the House of Representatives and the 

18 Committee on Environment and Public Works and 

19 the Committee on Energy and Natural Resources of 

20 the Senate a report on the results of the program 

21 under this subsection. 

22 (e) DESALINATION PROGRAM.— 

23 (1) IN GENERAL.—The Secretary, in coopera24 tion with the Commissioner of Reclamation of the 

25 Department of the Interior, shall carry out a pro-
104 

•HR 4500 IH 

1 gram to conduct research and develop methods and 

2 means for desalination in accordance with the desali3 nation technology progress plan developed under 

4 title II of the Energy and Water Development Ap5 propriations Act, 2002 (115 Stat. 498), and de6 scribed in Senate Report 107–39 under the heading 

7 ‘‘WATER AND RELATED RESOURCES’’ in the ‘‘BU8 REAU OF RECLAMATION’’ section. 

9 (2) REQUIREMENTS.—The desalination pro10 gram shall— 

11 (A) use the resources of the Department 

12 and the Department of the Interior that were 

13 involved in the development of the 2003 Na14 tional Desalination and Water Purification 

15 Technology Roadmap for next-generation de16 salination technology; 

17 (B) focus on technologies that are appro18 priate for use in desalinating brackish ground19 water, drinking water, wastewater and other sa20 line water supplies, or disposal of residual brine 

21 or salt; and 

22 (C) consider the use of renewable energy 

23 sources. 

24 (3) CONSTRUCTION PROJECTS.—Funds made 

25 available to carry out this subsection may be used 
105 

•HR 4500 IH 

1 for construction projects, including completion of the 

2 National Desalination Research Center for brackish 

3 groundwater and ongoing operational costs of this 

4 facility. 

5 (4) STEERING COMMITTEE.—The Secretary and 

6 the Commissioner of Reclamation of the Department 

7 of the Interior shall jointly establish a steering com8 mittee for activities conducted under this subsection. 

9 The steering committee shall be jointly chaired by 1 

10 representative from the program and 1 representa11 tive from the Bureau of Reclamation. 

12 (f) WATER AND ENERGY SUSTAINABILITY PRO13 GRAM.— 

14 (1) IN GENERAL.—The Secretary shall develop 

15 a program to identify methods, means, procedures, 

16 equipment, and improved technologies necessary to 

17 ensure that sufficient quantities of water are avail18 able to meet energy needs and sufficient energy is 

19 available to meet water needs. 

20 (2) ASSESSMENTS.—In order to acquire infor21 mation and avoid duplication, the Secretary shall 

22 work in collaboration with the Secretary of the Inte23 rior, the Army Corps of Engineers, the Adminis24 trator, the Secretary of Commerce, the Secretary of 
106 

•HR 4500 IH 

1 Defense, relevant State agencies, nongovernmental 

2 organizations, and academia, to assess— 

3 (A) future water resources needed to sup4 port energy development and production within 

5 the United States including water used for hy6 dropower, and production of, or electricity gen7 eration by, hydrogen, biomass, fossil fuels, and 

8 nuclear fuel; 

9 (B) future energy resources needed to sup10 port water purification and wastewater treat11 ment, including desalination and water convey12 ance; 

13 (C) use of impaired and nontraditional 

14 water supplies for energy production other than 

15 oil and gas extraction; 

16 (D) technology and programs for improv17 ing water use efficiency; and 

18 (E) technologies to reduce water use in en19 ergy development and production. 

20 (3) ROADMAP; TOOLS.—The Secretary shall— 

21 (A) develop a program plan and technology 

22 development roadmap for the Water and En23 ergy Sustainability Program to identify sci24 entific and technical requirements and activities 

25 that are required to support planning for en-
107 

•HR 4500 IH 

1 ergy sustainability under current and potential 

2 future conditions of water availability, use of 

3 impaired water for energy production and other 

4 uses, and reduction of water use in energy de5 velopment and production; 

6 (B) develop tools for national and local en7 ergy and water sustainability planning, includ8 ing numerical models, decision analysis tools, 

9 economic analysis tools, databases, and plan10 ning methodologies and strategies; 

11 (C) implement at least 3 planning projects 

12 involving energy development or production that 

13 use the tools described in subparagraph (B) 

14 and assess the viability of those tools at the 

15 scale of river basins with at least 1 demonstra16 tion involving an international border; and 

17 (D) transfer those tools to other Federal 

18 agencies, State agencies, nonprofit organiza19 tions, industry, and academia. 

20 (4) REPORT.—Not later than 1 year after the 

21 date of enactment of this Act, the Secretary shall 

22 submit to Congress a report on the Water and En23 ergy Sustainability Program that— 
108 

•HR 4500 IH 

1 (A) includes the results of the assessment 

2 under paragraph (2) and the program plan and 

3 technology development roadmap; and 

4 (B) identifies policy, legal, and institu5 tional issues related to water and energy sus6 tainability. 

7 SEC. 162. NITROGEN FIXATION. 

8 The Secretary, acting through the Office of Science, 

9 shall support a program of research, development, dem10 onstration, and commercial application on biological nitro11 gen fixation, including plant genomics research relevant 

12 to the development of commercial crop varieties with en13 hanced nitrogen fixation efficiency and ability. 

14 Subtitle G—Energy and 

15 Environment 

16 SEC. 164. UNITED STATES-MEXICO ENERGY TECHNOLOGY 

17 COOPERATION. 

18 (a) PROGRAM.—The Secretary shall establish a re19 search, development, demonstration, and commercial ap20 plication program to be carried out in collaboration with 

21 entities in Mexico and the United States to promote en22 ergy efficient, environmentally sound economic develop23 ment along the United States-Mexico border that mini24 mizes public health risks from industrial activities in the 

25 border region. 
109 

•HR 4500 IH 

1 (b) PROGRAM MANAGEMENT.—The program under 

2 subsection (a) shall be managed by the Department of En3 ergy Carlsbad Environmental Management Field Office. 

4 (c) TECHNOLOGY TRANSFER.—In carrying out 

5 projects and activities under this section, the Secretary 

6 shall assess the applicability of technology developed under 

7 the Environmental Management Science Program of the 

8 Department. 

9 (d) INTELLECTUAL PROPERTY.—In carrying out this 

10 section, the Secretary shall comply with the requirements 

11 of any agreement entered into between the United States 

12 and Mexico regarding intellectual property protection. 

13 (e) AUTHORIZATION OF APPROPRIATIONS.—The fol14 lowing sums are authorized to be appropriated to the Sec15 retary to carry out activities under this section: 

16 (1) For each of fiscal years 2004 and 2005, 

17 $5,000,000. 

18 (2) For each of fiscal years 2006, 2007, and 

19 2008, $6,000,000. 

20 SEC. 165. WESTERN HEMISPHERE ENERGY COOPERATION. 

21 (a) PROGRAM.—The Secretary shall carry out a pro22 gram to promote cooperation on energy issues with West23 ern Hemisphere countries. 
110 

•HR 4500 IH 

1 (b) ACTIVITIES.—Under the program, the Secretary 

2 shall fund activities to work with Western Hemisphere 

3 countries to— 

4 (1) assist the countries in formulating and 

5 adopting changes in economic policies and other poli6 cies to— 

7 (A) increase the production of energy sup8 plies; and 

9 (B) improve energy efficiency; and 

10 (2) assist in the development and transfer of 

11 energy supply and efficiency technologies that would 

12 have a beneficial impact on world energy markets. 

13 (c) UNIVERSITY PARTICIPATION.—To the extent 

14 practicable, the Secretary shall carry out the program 

15 under this section with the participation of universities so 

16 as to take advantage of the acceptance of universities by 

17 Western Hemisphere countries as sources of unbiased 

18 technical and policy expertise when assisting the Secretary 

19 in— 

20 (1) evaluating new technologies; 

21 (2) resolving technical issues; 

22 (3) working with those countries in the develop23 ment of new policies; and 

24 (4) training policymakers, particularly in the 

25 case of universities that involve the participation of 
111 

•HR 4500 IH 

1 minority students, such as Hispanic-serving institu2 tions and Historically Black Colleges and Univer3 sities. 

4 (d) AUTHORIZATION OF APPROPRIATIONS.—There 

5 are authorized to be appropriated to carry out this sec6 tion— 

7 (1) $8,000,000 for fiscal year 2004; 

8 (2) $10,000,000 for fiscal year 2005; 

9 (3) $13,000,000 for fiscal year 2006; 

10 (4) $16,000,000 for fiscal year 2007; and 

11 (5) $19,000,000 for fiscal year 2008. 

12 SEC. 166. WASTE REDUCTION AND USE OF ALTERNATIVES. 

13 (a) GRANT AUTHORITY.—The Secretary may make 

14 a single grant to a qualified institution to examine and 

15 develop the feasibility of burning post-consumer carpet in 

16 cement kilns as an alternative energy source. The pur17 poses of the grant shall include determining— 

18 (1) how post-consumer carpet can be burned 

19 without disrupting kiln operations; 

20 (2) the extent to which overall kiln emissions 

21 may be reduced; 

22 (3) the emissions of air pollutants and other 

23 relevant environmental impacts; and 

24 (4) how this process provides benefits to both 

25 cement kiln operations and carpet suppliers. 
112 

•HR 4500 IH 

1 (b) QUALIFIED INSTITUTION.—For the purposes of 

2 subsection (a), a qualified institution is a research-inten3 sive institution of higher education with demonstrated ex4 pertise in the fields of fiber recycling and logistical mod5 eling of carpet waste collection and preparation. 

6 (c) AUTHORIZATION OF APPROPRIATIONS.—There 

7 are authorized to be appropriated to the Secretary for car8 rying out this section $500,000. 

9 SEC. 167. REPORT ON FUEL CELL TEST CENTER. 

10 (a) REPORT.—Not later than 1 year after the date 

11 of enactment of this Act, the Secretary shall transmit to 

12 Congress a report on the results of a study of the estab13 lishment of a test center for next-generation fuel cells at 

14 an institution of higher education that has available a con15 tinuous source of hydrogen and access to the electric 

16 transmission grid. Such report shall include a conceptual 

17 design for such test center and a projection of the costs 

18 of establishing the test center. 

19 (b) AUTHORIZATION OF APPROPRIATIONS.—There 

20 are authorized to be appropriated to the Secretary for car21 rying out this section $500,000. 

22 SEC. 168. ARCTIC ENGINEERING RESEARCH CENTER. 

23 (a) IN GENERAL.—The Secretary of Energy (referred 

24 to in this section as the ‘‘Secretary’’) in consultation with 

25 the Secretary of Transportation and the United States 
113 

•HR 4500 IH 

1 Arctic Research Commission shall provide annual grants 

2 to a university located adjacent to the Arctic Energy Of3 fice of the Department of Energy, to establish and operate 

4 a university research center to be headquartered in Fair5 banks and to be known as the ‘‘Arctic Engineering Re6 search Center’’ (referred to in this section as the ‘‘Cen7 ter’’). 

8 (b) PURPOSE.—The purpose of the Center shall be 

9 to conduct research on, and develop improved methods of, 

10 construction and use of materials to improve the overall 

11 performance of roads, bridges, residential, commercial, 

12 and industrial structures, and other infrastructure in the 

13 Arctic region, with an emphasis on developing— 

14 (1) new construction techniques for roads, 

15 bridges, rail, and related transportation infrastruc16 ture and residential, commercial, and industrial in17 frastructure that are capable of withstanding the 

18 Arctic environment and using limited energy re19 sources as efficiently as possible; 

20 (2) technologies and procedures for increasing 

21 road, bridge, rail, and related transportation infra22 structure and residential, commercial, and industrial 

23 infrastructure safety, reliability, and integrity in the 

24 Arctic region; 
114 

•HR 4500 IH 

1 (3) new materials and improving the perform2 ance and energy efficiency of existing materials for 

3 the construction of roads, bridges, rail, and related 

4 transportation infrastructure and residential, com5 mercial, and industrial infrastructure in the Arctic 

6 region; and 

7 (4) recommendations for new local, regional, 

8 and State permitting and building codes to ensure 

9 transportation and building safety and efficient en10 ergy use when constructing, using, and occupying 

11 such infrastructure in the Arctic region. 

12 (c) OBJECTIVES.—The Center shall carry out— 

13 (1) basic and applied research in the subjects 

14 described in subsection (b), the products of which 

15 shall be judged by peers or other experts in the field 

16 to advance the body of knowledge in road, bridge, 

17 rail, and infrastructure engineering in the Arctic re18 gion; and 

19 (2) an ongoing program of technology transfer 

20 that makes research results available to potential 

21 users in a form that can be implemented. 

22 (d) AMOUNT OF GRANT.—For each of fiscal years 

23 2004 through 2009, the Secretary shall provide a grant 

24 in the amount of $3,000,000 to the institution specified 

25 in subsection (a) to carry out this section. 
115 

•HR 4500 IH 

1 (e) AUTHORIZATION OF APPROPRIATIONS.—There 

2 are authorized to be appropriated to carry out this section 

3 $3,000,000 for each of fiscal years 2004 through 2009. 

4 Subtitle H—Management 

5 SEC. 171. AVAILABILITY OF FUNDS. 

6 Funds authorized to be appropriated to the Depart7 ment under this title shall remain available until expended. 

8 SEC. 172. COST SHARING. 

9 (a) RESEARCH AND DEVELOPMENT.—Except as oth10 erwise provided in this title, for research and development 

11 programs carried out under this title the Secretary shall 

12 require a commitment from non-Federal sources of at 

13 least 20 percent of the cost of the project. The Secretary 

14 may reduce or eliminate the non-Federal requirement 

15 under this subsection if the Secretary determines that the 

16 research and development is of a basic or fundamental na17 ture or involves technical analyses or educational activi18 ties. 

19 (b) DEMONSTRATION AND COMMERCIAL APPLICA20 TION.—Except as otherwise provided in this title, the Sec21 retary shall require at least 50 percent of the costs directly 

22 and specifically related to any demonstration or commer23 cial application project under this title to be provided from 

24 non-Federal sources. The Secretary may reduce the non25 Federal requirement under this subsection if the Secretary 
116 

•HR 4500 IH 

1 determines that the reduction is necessary and appropriate 

2 considering the technological risks involved in the project 

3 and is necessary to meet the objectives of this title. 

4 (c) CALCULATION OF AMOUNT.—In calculating the 

5 amount of the non-Federal commitment under subsection 

6 (a) or (b), the Secretary may include personnel, services, 

7 equipment, and other resources. 

8 (d) SIZE OF NON-FEDERAL SHARE.—The Secretary 

9 may consider the size of the non-Federal share in selecting 

10 projects. 

11 SEC. 173. MERIT REVIEW OF PROPOSALS. 

12 Awards of funds authorized under this title shall be 

13 made only after an impartial review of the scientific and 

14 technical merit of the proposals for such awards has been 

15 carried out by or for the Department. 

16 SEC. 174. EXTERNAL TECHNICAL REVIEW OF DEPART17 MENTAL PROGRAMS. 

18 (a) NATIONAL ENERGY RESEARCH AND DEVELOP19 MENT ADVISORY BOARDS.— 

20 (1) IN GENERAL.—The Secretary shall establish 

21 1 or more advisory boards to review Department re22 search, development, demonstration, and commercial 

23 application programs in energy efficiency, renewable 

24 energy, nuclear energy, and fossil energy. 
117 

•HR 4500 IH 

1 (2) EXISTING ADVISORY BOARDS.—The Sec2 retary may designate an existing advisory board 

3 within the Department to fulfill the responsibilities 

4 of an advisory board under this subsection, and may 

5 enter into appropriate arrangements with the Na6 tional Academy of Sciences to establish such an ad7 visory board. 

8 (b) OFFICE OF SCIENCE ADVISORY COMMITTEES.— 

9 (1) UTILIZATION OF EXISTING COMMITTEES.— 

10 The Secretary shall continue to use the scientific 

11 program advisory committees chartered under the 

12 Federal Advisory Committee Act (5 U.S.C. App.) by 

13 the Office of Science to oversee research and devel14 opment programs under that Office. 

15 (2) SCIENCE ADVISORY COMMITTEE.— 

16 (A) ESTABLISHMENT.—There shall be in 

17 the Office of Science a Science Advisory Com18 mittee that includes the chairs of each of the 

19 advisory committees described in paragraph (1). 

20 (B) RESPONSIBILITIES.—The Science Ad21 visory Committee shall— 

22 (i) serve as the science advisor to the 

23 Director of the Office of Science; 

24 (ii) advise the Director with respect to 

25 the well-being and management of the Na-
118 

•HR 4500 IH 

1 tional Laboratories and single-purpose re2 search facilities; 

3 (iii) advise the Director with respect 

4 to education and workforce training activi5 ties required for effective short-term and 

6 long-term basic and applied research ac7 tivities of the Office of Science; and 

8 (iv) advise the Director with respect 

9 to the well being of the university research 

10 programs supported by the Office of 

11 Science. 

12 (c) MEMBERSHIP.—Each advisory board under this 

13 section shall consist of persons with appropriate expertise 

14 representing a diverse range of interests. 

15 (d) MEETINGS AND PURPOSES.—Each advisory 

16 board under this section shall meet at least semiannually 

17 to review and advise on the progress made by the respec18 tive research, development, demonstration, and commer19 cial application program or programs. The advisory board 

20 shall also review the measurable cost and performance21 based goals for such programs as established under sec22 tion 101(b), and the progress on meeting such goals. 

23 (e) PERIODIC REVIEWS AND ASSESSMENTS.—The 

24 Secretary shall enter into appropriate arrangements with 

25 the National Academy of Sciences to conduct periodic re-
119 

•HR 4500 IH 

1 views and assessments of the programs authorized by this 

2 title, the measurable cost and performance-based goals for 

3 such programs as established under section 101(b), if any, 

4 and the progress on meeting such goals. Such reviews and 

5 assessments shall be conducted every 5 years, or more 

6 often as the Secretary considers necessary, and the Sec7 retary shall transmit to Congress reports containing the 

8 results of all such reviews and assessments. 

9 SEC. 175. IMPROVED COORDINATION OF TECHNOLOGY 

10 TRANSFER ACTIVITIES. 

11 (a) TECHNOLOGY TRANSFER COORDINATOR.—The 

12 Secretary shall designate a Technology Transfer Coordi13 nator to perform oversight of and policy development for 

14 technology transfer activities at the Department. The 

15 Technology Transfer Coordinator shall— 

16 (1) coordinate the activities of the Technology 

17 Transfer Working Group; 

18 (2) oversee the expenditure of funds allocated 

19 to the Technology Transfer Working Group; and 

20 (3) coordinate with each technology partnership 

21 ombudsman appointed under section 11 of the Tech22 nology Transfer Commercialization Act of 2000 (42 

23 U.S.C. 7261c). 

24 (b) TECHNOLOGY TRANSFER WORKING GROUP.— 

25 The Secretary shall establish a Technology Transfer 
120 

•HR 4500 IH 

1 Working Group, which shall consist of representatives of 

2 the National Laboratories and single-purpose research fa3 cilities, to— 

4 (1) coordinate technology transfer activities oc5 curring at National Laboratories and single-purpose 

6 research facilities; 

7 (2) exchange information about technology 

8 transfer practices, including alternative approaches 

9 to resolution of disputes involving intellectual prop10 erty rights and other technology transfer matters; 

11 and 

12 (3) develop and disseminate to the public and 

13 prospective technology partners information about 

14 opportunities and procedures for technology transfer 

15 with the Department, including those related to al16 ternative approaches to resolution of disputes involv17 ing intellectual property rights and other technology 

18 transfer matters. 

19 (c) TECHNOLOGY TRANSFER RESPONSIBILITY.— 

20 Nothing in this section shall affect the technology transfer 

21 responsibilities of Federal employees under the Stevenson22 Wydler Technology Innovation Act of 1980 (15 U.S.C. 

23 3701 et seq.). 
121 

•HR 4500 IH 

1 SEC. 176. FEDERAL LABORATORY EDUCATIONAL PART2 NERS. 

3 (a) DISTRIBUTION OF ROYALTIES RECEIVED BY

4 FEDERAL AGENCIES.—Section 14(a)(1)(B)(v) of the Ste5 venson-Wydler Technology Innovation Act of 1980 (15 

6 U.S.C. 3710c(a)(1)(B)(v)), is amended to read as follows: 

7 ‘‘(v) for scientific research and develop8 ment and for educational assistance and other 

9 purposes consistent with the missions and ob10 jectives of the agency and the laboratory.’’. 

11 (b) COOPERATIVE RESEARCH AND DEVELOPMENT

12 AGREEMENTS.—Section 12(b)(5)(C) of the Stevenson13 Wydler Technology Innovation Act of 1980 (15 U.S.C. 

14 3710a(b)(5)(C)) is amended to read as follows: 

15 ‘‘(C) for scientific research and development 

16 and for educational assistance consistent with the 

17 missions and objectives of the agency and the lab18 oratory.’’. 

19 SEC. 177. INTERAGENCY COOPERATION. 

20 The Secretary shall enter into discussions with the 

21 Administrator of the National Aeronautics and Space Ad22 ministration with the goal of reaching an interagency 

23 working agreement between the 2 agencies that would 

24 make the National Aeronautics and Space Administra25 tion’s expertise in energy, gained from its existing and 

26 planned programs, more readily available to the relevant 
122 

•HR 4500 IH 

1 research, development, demonstration, and commercial ap2 plications programs of the Department. Technologies to 

3 be discussed should include the National Aeronautics and 

4 Space Administration’s modeling, research, development, 

5 testing, and evaluation of new energy technologies, includ6 ing solar, wind, fuel cells, and hydrogen storage and dis7 tribution. 

8 SEC. 178. TECHNOLOGY INFRASTRUCTURE PROGRAM. 

9 (a) ESTABLISHMENT.—The Secretary shall establish 

10 a Technology Infrastructure Program in accordance with 

11 this section. 

12 (b) PURPOSE.—The purpose of the Technology Infra13 structure Program shall be to improve the ability of Na14 tional Laboratories and single-purpose research facilities 

15 to support departmental missions by— 

16 (1) stimulating the development of technology 

17 clusters that can support departmental missions at 

18 the National Laboratories or single-purpose research 

19 facilities; 

20 (2) improving the ability of National Labora21 tories and single-purpose research facilities to lever22 age and benefit from commercial research, tech23 nology, products, processes, and services; and 

24 (3) encouraging the exchange of scientific and 

25 technological expertise between National Labora-
123 

•HR 4500 IH 

1 tories or single-purpose research facilities and enti2 ties that can support departmental missions at the 

3 National Laboratories or single-purpose research fa4 cilities, such as institutions of higher education; 

5 technology-related business concerns; nonprofit insti6 tutions; and agencies of State, tribal, or local gov7 ernments. 

8 (c) PROJECTS.—The Secretary shall authorize the 

9 Director of each National Laboratory or single-purpose re10 search facility to implement the Technology Infrastructure 

11 Program at such National Laboratory or facility through 

12 projects that meet the requirements of subsections (d) and 

13 (e). 

14 (d) PROGRAM REQUIREMENTS.—Each project funded 

15 under this section shall meet the following requirements: 

16 (1) Each project shall include at least 1 of each 

17 of the following entities: a business; an institution of 

18 higher education; a nonprofit institution; and an 

19 agency of a State, local, or tribal government. 

20 (2) Not less than 50 percent of the costs of 

21 each project funded under this section shall be pro22 vided from non-Federal sources. The calculation of 

23 costs paid by the non-Federal sources to a project 

24 shall include cash, personnel, services, equipment, 

25 and other resources expended on the project after 
124 

•HR 4500 IH 

1 start of the project. Independent research and devel2 opment expenses of Government contractors that 

3 qualify for reimbursement under section 31.205– 

4 18(e) of the Federal Acquisition Regulation issued 

5 pursuant to section 25(c)(1) of the Office of Federal 

6 Procurement Policy Act (41 U.S.C. 421(c)(1)) may 

7 be credited toward costs paid by non-Federal sources 

8 to a project, if the expenses meet the other require9 ments of this section. 

10 (3) All projects under this section shall be com11 petitively selected using procedures determined by 

12 the Secretary. 

13 (4) Any participant that receives funds under 

14 this section may use generally accepted accounting 

15 principles for maintaining accounts, books, and 

16 records relating to the project. 

17 (5) No Federal funds shall be made available 

18 under this section for construction or any project for 

19 more than 5 years. 

20 (e) SELECTION CRITERIA.— 

21 (1) IN GENERAL.—The Secretary shall allocate 

22 funds under this section only if the Director of the 

23 National Laboratory or single-purpose research facil24 ity managing the project determines that the project 

25 is likely to improve the ability of the National Lab-
125 

•HR 4500 IH 

1 oratory or single-purpose research facility to achieve 

2 technical success in meeting departmental missions. 

3 (2) CRITERIA.—The Secretary shall consider 

4 the following criteria in selecting a project to receive 

5 Federal funds: 

6 (A) The potential of the project to promote 

7 the development of a commercially sustainable 

8 technology cluster following the period of De9 partment investment, which will derive most of 

10 the demand for its products or services from 

11 the private sector, and which will support de12 partmental missions at the participating Na13 tional Laboratory or single-purpose research fa14 cility. 

15 (B) The potential of the project to promote 

16 the use of commercial research, technology, 

17 products, processes, and services by the partici18 pating National Laboratory or single-purpose 

19 research facility to achieve its mission or the 

20 commercial development of technological inno21 vations made at the participating National Lab22 oratory or single-purpose research facility. 

23 (C) The extent to which the project in24 volves a wide variety and number of institutions 

25 of higher education, nonprofit institutions, and 
126 

•HR 4500 IH 

1 technology-related business concerns that can 

2 support the missions of the participating Na3 tional Laboratory or single-purpose research fa4 cility and that will make substantive contribu5 tions to achieving the goals of the project. 

6 (D) The extent to which the project fo7 cuses on promoting the development of tech8 nology-related business concerns that are small 

9 businesses or involves such small businesses 

10 substantively in the project. 

11 (E) Such other criteria as the Secretary 

12 determines to be appropriate. 

13 (f) ALLOCATION.—In allocating funds for projects 

14 approved under this section, the Secretary shall provide— 

15 (1) the Federal share of the project costs; and 

16 (2) additional funds to the National Laboratory 

17 or single-purpose research facility managing the 

18 project to permit the National Laboratory or single19 purpose research facility to carry out activities relat20 ing to the project, and to coordinate such activities 

21 with the project. 

22 (g) REPORT TO CONGRESS.—Not later than July 1, 

23 2006, the Secretary shall report to Congress on whether 

24 the Technology Infrastructure Program should be contin25 ued and, if so, how the program should be managed. 
127 

•HR 4500 IH 

1 (h) DEFINITIONS.—In this section: 

2 (1) TECHNOLOGY CLUSTER.—The term ‘‘tech3 nology cluster’’ means a concentration of technology4 related business concerns, institutions of higher edu5 cation, or nonprofit institutions that reinforce each 

6 other’s performance in the areas of technology devel7 opment through formal or informal relationships. 

8 (2) TECHNOLOGY-RELATED BUSINESS CON9 CERN.—The term ‘‘technology-related business con10 cern’’ means a for-profit corporation, company, asso11 ciation, firm, partnership, or small business concern 

12 that conducts scientific or engineering research; de13 velops new technologies; manufactures products 

14 based on new technologies; or performs technological 

15 services. 

16 (i) AUTHORIZATION OF APPROPRIATIONS.—There 

17 are authorized to be appropriated to the Secretary for ac18 tivities under this section $10,000,000 for each of fiscal 

19 years 2004, 2005, and 2006. 

20 SEC. 179. REPROGRAMMING. 

21 (a) DISTRIBUTION REPORT.—Not later than 60 days 

22 after the date of the enactment of an Act appropriating 

23 amounts authorized under this title, the Secretary shall 

24 transmit to the appropriate authorizing committees of 

25 Congress a report explaining how such amounts will be 
128 

•HR 4500 IH 

1 distributed among the authorizations contained in this 

2 title. 

3 (b) PROHIBITION.— 

4 (1) IN GENERAL.—No amount identified under 

5 subsection (a) shall be reprogrammed if such re6 programming would result in an obligation which 

7 changes an individual distribution required to be re8 ported under subsection (a) by more than 5 percent 

9 unless the Secretary has transmitted to the appro10 priate authorizing committees of Congress a report 

11 described in subsection (c) and a period of 30 days 

12 has elapsed after such committees receive the report. 

13 (2) COMPUTATION.—In the computation of the 

14 30-day period described in paragraph (1), there shall 

15 be excluded any day on which either House of Con16 gress is not in session because of an adjournment of 

17 more than 3 days to a day certain. 

18 (c) REPROGRAMMING REPORT.—A report referred to 

19 in subsection (b)(1) shall contain a full and complete 

20 statement of the action proposed to be taken and the facts 

21 and circumstances relied on in support of the proposed 

22 action. 

23 SEC. 180. CONSTRUCTION WITH OTHER LAWS. 

24 Except as otherwise provided in this title, the Sec25 retary shall carry out the research, development, dem-
129 

•HR 4500 IH 

1 onstration, and commercial application programs, 

2 projects, and activities authorized by this title in accord3 ance with the applicable provisions of the Atomic Energy 

4 Act of 1954 (42 U.S.C. 2011 et seq.), the Federal Non5 nuclear Research and Development Act of 1974 (42 

6 U.S.C. 5901 et seq.), the Energy Policy Act of 1992 (42 

7 U.S.C. 13201 et seq.), the Stevenson-Wydler Technology 

8 Innovation Act of 1980 (15 U.S.C. 3701 et seq.), chapter 

9 18 of title 35, United States Code (commonly referred to 

10 as the Bayh-Dole Act), and any other Act under which 

11 the Secretary is authorized to carry out such activities. 

12 SEC. 181. REPORT ON RESEARCH AND DEVELOPMENT PRO13 GRAM EVALUATION METHODOLOGIES. 

14 Not later than 180 days after the date of enactment 

15 of this Act, the Secretary shall enter into appropriate ar16 rangements with the National Academy of Sciences to in17 vestigate and report on the scientific and technical merits 

18 of any evaluation methodology currently in use or pro19 posed for use in relation to the scientific and technical pro20 grams of the Department by the Secretary or other Fed21 eral official. Not later than 6 months after receiving the 

22 report of the National Academy, the Secretary shall sub23 mit such report to Congress, along with any other views 

24 or plans of the Secretary with respect to the future use 

25 of such evaluation methodology. 
130 

•HR 4500 IH 

1 SEC. 182. DEPARTMENT OF ENERGY SCIENCE AND TECH2 NOLOGY SCHOLARSHIP PROGRAM. 

3 (a) ESTABLISHMENT OF PROGRAM.— 

4 (1) IN GENERAL.—The Secretary is authorized 

5 to establish a Department of Energy Science and 

6 Technology Scholarship Program to award scholar7 ships to individuals that is designed to recruit and 

8 prepare students for careers in the Department. 

9 (2) COMPETITIVE PROCESS.—Individuals shall 

10 be selected to receive scholarships under this section 

11 through a competitive process primarily on the basis 

12 of academic merit, with consideration given to finan13 cial need and the goal of promoting the participation 

14 of individuals identified in section 33 or 34 of the 

15 Science and Engineering Equal Opportunities Act 

16 (42 U.S.C. 1885a or 1885b). 

17 (3) SERVICE AGREEMENTS.—To carry out the 

18 Program the Secretary shall enter into contractual 

19 agreements with individuals selected under para20 graph (2) under which the individuals agree to serve 

21 as full-time employees of the Department, for the 

22 period described in subsection (f)(1), in positions 

23 needed by the Department and for which the individ24 uals are qualified, in exchange for receiving a schol25 arship. 
131 

•HR 4500 IH 

1 (b) SCHOLARSHIP ELIGIBILITY.—In order to be eligi2 ble to participate in the Program, an individual must— 

3 (1) be enrolled or accepted for enrollment as a 

4 full-time student at an institution of higher edu5 cation in an academic program or field of study de6 scribed in the list made available under subsection 

7 (d); 

8 (2) be a United States citizen; and 

9 (3) at the time of the initial scholarship award, 

10 not be a Federal employee as defined in section 

11 2105 of title 5 of the United States Code. 

12 (c) APPLICATION REQUIRED.—An individual seeking 

13 a scholarship under this section shall submit an applica14 tion to the Secretary at such time, in such manner, and 

15 containing such information, agreements, or assurances as 

16 the Secretary may require. 

17 (d) ELIGIBLE ACADEMIC PROGRAMS.—The Secretary 

18 shall make publicly available a list of academic programs 

19 and fields of study for which scholarships under the Pro20 gram may be utilized, and shall update the list as nec21 essary. 

22 (e) SCHOLARSHIP REQUIREMENT.— 

23 (1) IN GENERAL.—The Secretary may provide a 

24 scholarship under the Program for an academic year 

25 if the individual applying for the scholarship has 
132 

•HR 4500 IH 

1 submitted to the Secretary, as part of the applica2 tion required under subsection (c), a proposed aca3 demic program leading to a degree in a program or 

4 field of study on the list made available under sub5 section (d). 

6 (2) DURATION OF ELIGIBILITY.—An individual 

7 may not receive a scholarship under this section for 

8 more than 4 academic years, unless the Secretary 

9 grants a waiver. 

10 (3) SCHOLARSHIP AMOUNT.—The dollar 

11 amount of a scholarship under this section for an 

12 academic year shall be determined under regulations 

13 issued by the Secretary, but shall in no case exceed 

14 the cost of attendance. 

15 (4) AUTHORIZED USES.—A scholarship pro16 vided under this section may be expended for tuition, 

17 fees, and other authorized expenses as established by 

18 the Secretary by regulation. 

19 (5) CONTRACTS REGARDING DIRECT PAYMENTS

20 TO INSTITUTIONS.—The Secretary may enter into a 

21 contractual agreement with an institution of higher 

22 education under which the amounts provided for a 

23 scholarship under this section for tuition, fees, and 

24 other authorized expenses are paid directly to the in-
133 

•HR 4500 IH 

1 stitution with respect to which the scholarship is 

2 provided. 

3 (f) PERIOD OF OBLIGATED SERVICE.— 

4 (1) DURATION OF SERVICE.—The period of 

5 service for which an individual shall be obligated to 

6 serve as an employee of the Department is, except 

7 as provided in subsection (h)(2), 24 months for each 

8 academic year for which a scholarship under this 

9 section is provided. 

10 (2) SCHEDULE FOR SERVICE.— 

11 (A) IN GENERAL.—Except as provided in 

12 subparagraph (B), obligated service under para13 graph (1) shall begin not later than 60 days 

14 after the individual obtains the educational de15 gree for which the scholarship was provided. 

16 (B) DEFERRAL.—The Secretary may defer 

17 the obligation of an individual to provide a pe18 riod of service under paragraph (1) if the Sec19 retary determines that such a deferral is appro20 priate. The Secretary shall prescribe the terms 

21 and conditions under which a service obligation 

22 may be deferred through regulation. 

23 (g) PENALTIES FOR BREACH OF SCHOLARSHIP

24 AGREEMENT.— 
134 

•HR 4500 IH 

1 (1) FAILURE TO COMPLETE ACADEMIC TRAIN2 ING.—Scholarship recipients who fail to maintain a 

3 high level of academic standing, as defined by the 

4 Secretary by regulation, who are dismissed from 

5 their educational institutions for disciplinary rea6 sons, or who voluntarily terminate academic training 

7 before graduation from the educational program for 

8 which the scholarship was awarded, shall be in 

9 breach of their contractual agreement and, in lieu of 

10 any service obligation arising under such agreement, 

11 shall be liable to the United States for repayment 

12 not later than 1 year after the date of default of all 

13 scholarship funds paid to them and to the institution 

14 of higher education on their behalf under the agree15 ment, except as provided in subsection (h)(2). The 

16 repayment period may be extended by the Secretary 

17 when determined to be necessary, as established by 

18 regulation. 

19 (2) FAILURE TO BEGIN OR COMPLETE THE

20 SERVICE OBLIGATION OR MEET THE TERMS AND

21 CONDITIONS OF DEFERMENT.—A scholarship recipi22 ent who, for any reason, fails to begin or complete 

23 a service obligation under this section after comple24 tion of academic training, or fails to comply with the 

25 terms and conditions of deferment established by the 
135 

•HR 4500 IH 

1 Secretary pursuant to subsection (f)(2)(B), shall be 

2 in breach of the contractual agreement. When a re3 cipient breaches an agreement for the reasons stated 

4 in the preceding sentence, the recipient shall be lia5 ble to the United States for an amount equal to— 

6 (A) the total amount of scholarships re7 ceived by such individual under this section; 

8 plus 

9 (B) the interest on the amounts of such 

10 awards which would be payable if at the time 

11 the awards were received they were loans bear12 ing interest at the maximum legal prevailing 

13 rate, as determined by the Treasurer of the 

14 United States, 

15 multiplied by 3. 

16 (h) WAIVER OR SUSPENSION OF OBLIGATION.— 

17 (1) DEATH OF INDIVIDUAL.—Any obligation of 

18 an individual incurred under the Program (or a con19 tractual agreement thereunder) for service or pay20 ment shall be canceled upon the death of the indi21 vidual. 

22 (2) IMPOSSIBILITY OR EXTREME HARDSHIP.— 

23 The Secretary shall by regulation provide for the 

24 partial or total waiver or suspension of any obliga25 tion of service or payment incurred by an individual 
136 

•HR 4500 IH 

1 under the Program (or a contractual agreement 

2 thereunder) whenever compliance by the individual is 

3 impossible or would involve extreme hardship to the 

4 individual, or if enforcement of such obligation with 

5 respect to the individual would be contrary to the 

6 best interests of the Government. 

7 (i) DEFINITIONS.—In this section the following defi8 nitions apply: 

9 (1) COST OF ATTENDANCE.—The term ‘‘cost of 

10 attendance’’ has the meaning given that term in sec11 tion 472 of the Higher Education Act of 1965 (20 

12 U.S.C. 1087LL). 

13 (2) PROGRAM.—The term ‘‘Program’’ means 

14 the Department of Energy Science and Technology 

15 Scholarship Program established under this section. 

16 (j) AUTHORIZATION OF APPROPRIATIONS.—There 

17 are authorized to be appropriated to the Secretary for ac18 tivities under this section— 

19 (1) for fiscal year 2004, $800,000; 

20 (2) for fiscal year 2005, $1,600,000; 

21 (3) for fiscal year 2006, $2,000,000; 

22 (4) for fiscal year 2007, $2,000,000; and 

23 (5) for fiscal year 2008, $2,000,000. 
137 

•HR 4500 IH 

1 SEC. 183. REPORT ON EQUAL EMPLOYMENT OPPORTUNITY 

2 PRACTICES. 

3 Not later than 12 months after the date of enactment 

4 of this Act, and biennially thereafter, the Secretary shall 

5 transmit to Congress a report on the equal employment 

6 opportunity practices at National Laboratories. Such re7 port shall include— 

8 (1) a thorough review of each laboratory con9 tractor’s equal employment opportunity policies, in10 cluding promotion to management and professional 

11 positions and pay raises; 

12 (2) a statistical report on complaints and their 

13 disposition in the laboratories; 

14 (3) a description of how equal employment op15 portunity practices at the laboratories are treated in 

16 the contract and in calculating award fees for each 

17 contractor; 

18 (4) a summary of disciplinary actions and their 

19 disposition by either the Department or the relevant 

20 contractors for each laboratory; 

21 (5) a summary of outreach efforts to attract 

22 women and minorities to the laboratories; 

23 (6) a summary of efforts to retain women and 

24 minorities in the laboratories; and 

25 (7) a summary of collaboration efforts with the 

26 Office of Federal Contract Compliance Programs to 
138 

•HR 4500 IH 

1 improve equal employment opportunity practices at 

2 the laboratories. 

3 SEC. 184. SMALL BUSINESS ADVOCACY AND ASSISTANCE. 

4 (a) SMALL BUSINESS ADVOCATE.—The Secretary 

5 shall require the Director of each National Laboratory, 

6 and may require the Director of a single-purpose research 

7 facility, to designate a small business advocate to— 

8 (1) increase the participation of small business 

9 concerns, including socially and economically dis10 advantaged small business concerns, in procurement, 

11 collaborative research, technology licensing, and 

12 technology transfer activities conducted by the Na13 tional Laboratory or single-purpose research facility; 

14 (2) report to the Director of the National Lab15 oratory or single-purpose research facility on the ac16 tual participation of small business concerns, includ17 ing socially and economically disadvantaged small 

18 business concerns, in procurement, collaborative re19 search, technology licensing, and technology transfer 

20 activities along with recommendations, if appro21 priate, on how to improve participation; 

22 (3) make available to small businesses training, 

23 mentoring, and information on how to participate in 

24 procurement and collaborative research activities; 
139 

•HR 4500 IH 

1 (4) increase the awareness inside the National 

2 Laboratory or single-purpose research facility of the 

3 capabilities and opportunities presented by small 

4 business concerns; and 

5 (5) establish guidelines for the program under 

6 subsection (b) and report on the effectiveness of 

7 such program to the Director of the National Lab8 oratory or single-purpose research facility. 

9 (b) ESTABLISHMENT OF SMALL BUSINESS ASSIST10 ANCE PROGRAM.—The Secretary shall require the Direc11 tor of each National Laboratory, and may require the Di12 rector of a single-purpose research facility, to establish a 

13 program to provide small business concerns— 

14 (1) assistance directed at making them more ef15 fective and efficient subcontractors or suppliers to 

16 the National Laboratory or single-purpose research 

17 facility; or 

18 (2) general technical assistance, the cost of 

19 which shall not exceed $10,000 per instance of as20 sistance, to improve the small business concerns’ 

21 products or services. 

22 (c) USE OF FUNDS.—None of the funds expended 

23 under subsection (b) may be used for direct grants to the 

24 small business concerns. 

25 (d) DEFINITIONS.—In this section: 
140 

•HR 4500 IH 

1 (1) SMALL BUSINESS CONCERN.—The term 

2 ‘‘small business concern’’ has the meaning given 

3 such term in section 3 of the Small Business Act 

4 (15 U.S.C. 632). 

5 (2) SOCIALLY AND ECONOMICALLY DISADVAN6 TAGED SMALL BUSINESS CONCERNS.—The term ‘‘so7 cially and economically disadvantaged small business 

8 concerns’’ has the meaning given such term in sec9 tion 8(a)(4) of the Small Business Act (15 U.S.C. 

10 637(a)(4)). 

11 (e) AUTHORIZATION OF APPROPRIATIONS.—There 

12 are authorized to be appropriated to the Secretary for ac13 tivities under this section $5,000,000 for each of fiscal 

14 years 2004 through 2008. 

15 SEC. 185. REPORT ON MOBILITY OF SCIENTIFIC AND TECH16 NICAL PERSONNEL. 

17 Not later than 2 years after the date of enactment 

18 of this Act, the Secretary shall transmit a report to Con19 gress identifying any policies or procedures of a contractor 

20 operating a National Laboratory or single-purpose re21 search facility that create disincentives to the temporary 

22 transfer of scientific and technical personnel among the 

23 contractor-operated National Laboratories or contractor24 operated single-purpose research facilities and provide 
141 

•HR 4500 IH 

1 suggestions for improving interlaboratory exchange of sci2 entific and technical personnel. 

3 SEC. 186. NATIONAL ACADEMY OF SCIENCES REPORT. 

4 Not later than 90 days after the date of enactment 

5 of this Act, the Secretary shall enter into an arrangement 

6 with the National Academy of Sciences for the Academy 

7 to— 

8 (1) conduct a study on— 

9 (A) the obstacles to accelerating the com10 mercial application of energy technology; and 

11 (B) the adequacy of Department policies 

12 and procedures for, and oversight of, technology 

13 transfer-related disputes between contractors of 

14 the Department and the private sector; and 

15 (2) transmit a report to Congress on rec16 ommendations developed as a result of the study. 

17 SEC. 187. OUTREACH. 

18 The Secretary shall ensure that each program au19 thorized by this title includes an outreach component to 

20 provide information, as appropriate, to manufacturers, 

21 consumers, engineers, architects, builders, energy service 

22 companies, institutions of higher education, small busi23 nesses, facility planners and managers, State and local 

24 governments, and other entities. 
142 

•HR 4500 IH 

1 SEC. 188. COMPETITIVE AWARD OF MANAGEMENT CON2 TRACTS. 

3 None of the funds authorized to be appropriated to 

4 the Secretary by this title may be used to award a manage5 ment and operating contract for a nonmilitary energy lab6 oratory of the Department unless such contract is com7 petitively awarded or the Secretary grants, on a case-by8 case basis, a waiver to allow for such a deviation. The Sec9 retary may not delegate the authority to grant such a 

10 waiver and shall submit to Congress a report notifying 

11 Congress of the waiver and setting forth the reasons for 

12 the waiver at least 60 days prior to the date of the award 

13 of such a contract. 

14 SEC. 189. EDUCATIONAL PROGRAMS IN SCIENCE AND 

15 MATHEMATICS. 

16 (a) ACTIVITIES.—Section 3165(a) of the Department 

17 of Energy Science Education Enhancement Act (42 

18 U.S.C. 7381b(a)) is amended by adding at the end the 

19 following: 

20 ‘‘(14) Support competitive events for students, 

21 under supervision of teachers, designed to encourage 

22 student interest and knowledge in science and math23 ematics.’’. 

24 (b) AUTHORIZATION OF APPROPRIATIONS.—Section 

25 3169 of the Department of Energy Science Education En26 hancement Act (42 U.S.C. 7381e), as so redesignated by 
143 

•HR 4500 IH 

1 section 1102(b), is amended by inserting before the period 

2 ‘‘; and $40,000,000 for each of fiscal years 2004 through 

3 2008’’. 

Æ