the consortium, that may be used to support 
projects; 
(4) the consortium is part of an existing cluster 
or demonstrates high potential to develop a new 
cluster; and 
(5) the consortium operates as a nonprofit or-
ganization or as a public-private partnership under 
an operating agreement led by a nonprofit organiza-
tion. 
(c) DISQUALIFICATION.—The Secretary may dis-
qualify an application from a consortium under this Act 
if the Secretary determines that the conflicts-of-interest 
policy of the consortium is inadequate. 
(d) EXTERNAL ADVISORY COMMITTEES.— 
(1) IN GENERAL.—To be eligible to receive a 
grant under this Act, a consortium shall establish an 
external advisory committee, the members of which 
shall have extensive and relevant scientific, technical, 
industry, financial, or research management exper-
tise. 
(2) DUTIES.—An external advisory committee 
shall— 
(A) review the proposed plans, programs, 
project selection criteria, and projects of the 
consortium; and 
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(B) ensure that projects selected by the 
consortium meet the applicable conflicts-of-in-
terest policy of the consortium. 
(3) MEMBERS.—An external advisory com-
mittee shall consist of— 
(A) representatives of the members of the 
consortium; and 
(B) such representatives of industry, in-
cluding entrepreneurs and venture capitalists, 
as the members of the consortium determine to 
be necessary. 
(4) SECRETARY
AS
MEMBER.—The Secretary 
shall join the external advisory committee of a con-
sortium that receives a grant under this Act. 
SEC. 5. GRANTS. 
(a) IN GENERAL.—The Secretary shall award grants, 
on a competitive basis— 
(1) not later than 2 years after the date of en-
actment of this Act, to at least 1 consortium; and 
(2) not later than 10 years after such date of 
enactment, to not fewer than 6 consortia. 
(b) TERMS.— 
(1) IN GENERAL.—The initial term of a grant 
awarded under this Act shall not exceed 5 years. 
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(2) EXTENSION.—The Secretary may extend 
the term of a grant awarded under this Act for a 
period of not more than 5 additional years. 
(c) AMOUNTS.— 
(1) IN GENERAL.—A grant awarded to a con-
sortium under this Act shall not exceed the lesser 
of— 
(A) $30,000,000 per fiscal year; or 
(B) the collective contributions of non-Fed-
eral entities to the consortium, as described 
under section 4(b)(3). 
(2) FLEXIBILITY.—In determining the amount 
of a grant under this section, the Secretary shall 
consider— 
(A) the translational research capacity of 
the consortium; 
(B) the financial, human, and facility re-
sources of the qualifying entities; and 
(C) the cluster of which the consortium is 
a part. 
(3) INCREASES IN AMOUNTS.—Subject to para-
graph (1), a consortium may request an increase in 
the amount of a grant awarded under this Act at the 
time the consortium requests an extension of an ini-
tial grant. 
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(d) USE OF AMOUNTS.— 
(1) IN GENERAL.—Subject to paragraph (3), a 
consortium awarded a grant under this Act shall use 
the amounts to support translational research, tech-
nology development, manufacturing innovation, and 
commercialization activities relating to clean tech-
nology. 
(2) PROJECT SELECTION.—As a condition of 
receiving a grant under this Act, a consortium 
shall— 
(A) develop and make available to the pub-
lic on the Web site of the Department of Com-
merce proposed plans, programs, project selec-
tion criteria, and terms for individual project 
awards; 
(B) establish policies— 
(i) to prevent resources provided to 
the consortium from being used to displace 
private sector investment otherwise likely 
to occur, including investment from private 
sector entities that are members of the 
consortium; 
(ii) to facilitate the participation of 
private entities that invest in clean tech-
nologies to perform due diligence on award 
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proposals, to participate in the award re-
view process, and to provide guidance to 
projects supported by the consortium; and 
(iii) to facilitate the participation of 
parties with a demonstrated history of 
commercial application of clean tech-
nologies in the development of consortium 
projects; 
(C) oversee project solicitations, review 
proposed projects, and select projects for 
awards; and 
(D) monitor project implementation. 
(3) LIMITATIONS.— 
(A) ADMINISTRATIVE EXPENSES.—A con-
sortium may use not more than 10 percent of 
the amounts awarded to the consortium for ad-
ministrative expenses. 
(B) PROHIBITION ON USE.—A consortium 
may not use any amounts awarded to the con-
sortium under this Act to construct a new 
building or facility. 
(e) AUDITS.— 
(1) IN GENERAL.—A consortium that receives a 
grant under this Act shall carry out, in accordance 
with such requirements as the Secretary may pre-
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scribe, an annual audit to determine whether the 
grant has been used in accordance with this Act. 
(2) REPORT.—The consortium shall submit a 
copy of each audit under paragraph (1) to the Sec-
retary and the Comptroller General of the United 
States. 
(3) GAO REVIEW.—As a condition of receiving 
a grant under this Act, a consortium shall allow the 
Comptroller General of the United States, on the re-
quest of the Comptroller General, full access to the 
books, records, and personnel of consortium. 
(4) REPORTS
TO
CONGRESS.—The Secretary 
shall submit to Congress annually a report that in-
cludes— 
(A) a copy of each audit carried out under 
paragraph (1); and 
(B) any recommendations of the Secretary 
relating to the clean technology consortia pro-
gram. 
(f) REVOCATION OF AWARDS.—The Secretary shall 
have the authority— 
(1) to review grants awarded under this Act; 
and 
(2) to revoke a grant awarded under this Act 
if the Secretary determines that a consortium has 
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