I 
108TH CONGRESS 
2D SESSION 
H. R. 5342
To establish a grant program to fund eligible joint ventures between United 
States and Israeli businesses and academic persons, to establish the 
International Energy Advisory Board, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
OCTOBER 8, 2004
Mr. SHERMAN (for himself, Mr. ENGEL, and Mr. CARDOZA) introduced the 
following bill; which was referred to the Committee on Energy and Commerce 
A BILL 
To establish a grant program to fund eligible joint ventures 
between United States and Israeli businesses and aca-
demic persons, to establish the International Energy Ad-
visory Board, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘United States-Israel 
Energy Cooperation Act’’. 
SEC. 2. FINDINGS. 
Congress finds the following:
(1) It is in the highest national security inter-
ests of the United States to ensure secure access to 
reliable energy sources. 
(2) The United States relies heavily upon the 
foreign supply of crude oil to meet its energy needs, 
currently importing 58 percent of its total oil re-
quirements, of which 45 percent comes from member 
states of the Organization of Petroleum Exporting 
Countries (OPEC). 
(3) Revenues from the sale of oil by some of 
these countries directly or indirectly provide funding 
for terrorism and propaganda hostile to the United 
States and Western values. 
(4) In the past, these countries have manipu-
lated the dependence of the United States on their 
oil supplies to exert undue influence upon United 
States policy, as during OPEC’s 1973 embargo on 
the sale of oil to the United States, which became 
a major factor in the ensuing recession. 
(5) Research by the Energy Information Ad-
ministration of the Department of Energy has 
shown that the dependence of the United States on 
foreign oil will increase by 33 percent over the next 
20 years.
(6) A rise in the price of imported oil sufficient 
to increase gasoline prices by 10 cents per gallon at 
the pump would result in an additional outflow of 18 
billion dollars from the United States to oil-export-
ing nations. 
(7) For economic and national security reasons, 
the United States should reduce, as soon as possible, 
its dependence on nations that do not share its in-
terests and values. 
(8) The state of Israel has been a steadfast ally 
and a close friend of the United States since its cre-
ation in 1948. 
(9) Like the United States, Israel is a democ-
racy which holds civil rights and liberties in the 
highest regard and is a proponent of the democratic 
values of peace, freedom, and justice. 
(10) Cooperation between the United Sates and 
Israel on such projects as the development of the 
Arrow Missile has resulted in mutual benefits to 
United States and Israeli security. 
(11) The special relationship between Israel and 
the United States has been and continues to be 
manifested in a variety of jointly-funded cooperative 
programs in the field of scientific research and de-
velopment, such as the United States-Israel Bina-
tional Science Foundations (BSF), the United 
States-Israel Binational Agricultural Research and 
Development Fund (BARD), and the United States-
Israel Binational Industrial Research and Develop-
ment (BIRD) Foundation. 
(12) These programs, supported by the match-
ing contributions from the Government of Israel and 
the Government of the United States and directed 
by key scientists and academics from both countries, 
have made possible many scientific breakthroughs in 
the fields of life sciences, medicine, bioengineering, 
agriculture, biotechnology, communications, and oth-
ers. 
(13) Israeli scientists and researchers have long 
been at the forefront of research and development in 
the field of alternative renewable energy sources. 
(14) Many of the world’s top corporations have 
recognized Israel’s technological and scientific exper-
tise by locating important research and development 
facilities in Israel. 
(15) Among the technological breakthroughs 
made by Israeli scientists and researchers in the 
field of alternative, renewable energy sources are the 
development of a cathode that uses hexavalent iron 
salts which accept 3 electrons per ion and enable re-
chargeable batteries to provide 3 times as much elec-
tricity as they currently do, the development of a 
technique that vastly increases the efficiency of uti-
lizing solar energy to generate hydrogen for use in 
energy cells, and the development of a novel mem-
brane utilized in new and powerful direct-oxidant 
fuel cells which is capable of competing favorably 
with hydrogen fuel cells and traditional internal 
combustion engines. 
(16) Cooperation between the United States 
and Israel in the field of research and development 
of alternative renewable energy sources would be in 
the interests of both countries, and both countries 
stand to gain much from such cooperation. 
SEC. 3. GRANT PROGRAM. 
(a) ESTABLISHMENT.—The Assistant Secretary of 
Energy for Policy and International Affairs (hereafter re-
ferred to as the ‘‘Assistant Secretary’’) shall establish a 
grant program to award grants to eligible entities. 
(b) ELIGIBLE ENTITIES.—For the purposes of this 
Act, ‘‘eligible entity’’ means a joint venture comprised of 
both Israeli and United States private business entities or 
a joint venture comprised of both Israeli academic persons 
(who reside and work in Israel) and United States aca-
demic persons, which—
(1) carries out an eligible project; and 
(2) is selected by the BIRD or BSF using the 
criteria established by the International Energy Ad-
visory Board established under section 4. 
(c) ELIGIBLE PROJECTS.—For the purposes of this 
Act, ‘‘eligible project’’ means a project to encourage co-
operation between the United States and Israel on re-
search, development, and commercialization of alternative 
energy, improved energy efficiency, and renewable energy 
sources. 
(d) APPLICATION.—
(1) SUBMISSION OF APPLICATIONS TO BIRD OR 
BSF.—To receive a grant under this section, an eli-
gible entity must submit an application to BIRD or 
BSF containing such information and assurances as 
the Directors of BIRD and BSF may require. 
(2) SELECTION OF ELIGIBLE ENTITIES BY BIRD 
AND BSF.—The Directors of BIRD and BSF may 
review any application submitted by any eligible en-
tity and select any eligible entity meeting criteria es-
tablished by the Advisory Board for a grant under 
this section. 
(e) AMOUNT OF GRANT.—The amount of each grant 
to be awarded in a fiscal year under this section shall be 
determined by BIRD or BSF.
(f) REPORT.—Not later than 6 months after receiv-
ing a grant under this section, each recipient shall submit 
a report to the Assistant Secretary documenting how the 
recipient used the grant funds and evaluating the level of 
success of each project funded by the grant. 
SEC. 4. INTERNATIONAL ENERGY ADVISORY BOARD. 
(a) ESTABLISHMENT.—There is established in the 
Department of Energy an International Energy Advisory 
Board (hereafter referred to as the ‘‘Advisory Board’’). 
(b) DUTIES.—The Advisory Board shall—
(1) establish criteria for the recipients of grants 
awarded under the grant program established in sec-
tion 3(a); and 
(2) determine the total amount of grant money 
to be awarded to all grantees selected by BIRD and 
the total amount of grant money to be awarded to 
all grantees selected by BSF for each fiscal year. 
(c) MEMBERSHIP.—
(1) NUMBER AND APPOINTMENT.—The Advi-
sory Board shall be composed of 4 members as fol-
lows: 
(A) One member shall be appointed by the 
Secretary of Commerce. 
(B) One member shall be appointed by the 
Secretary of Energy.
(C) Two members shall be Israeli citizens 
and shall be appointed by the Secretary of En-
ergy after consultation with appropriate offi-
cials in the Israeli government. 
(2) DEADLINE FOR APPOINTMENTS.—The ap-
pointments under paragraph (1) shall be made be-
fore the expiration of the 60-day period which begins 
on the date of the enactment of this Act. 
(3) TERM.—Each member shall be appointed 
for 4 years. 
(4) VACANCIES.—A vacancy in the Advisory 
Board shall be filled in the manner in which the 
original appointment was made. 
(5) BASIC PAY.—
(A) COMPENSATION.—Members shall serve 
without pay. 
(B) TRAVEL
EXPENSES.—Each member 
shall receive travel expenses, including per diem 
in lieu of subsistence, in accordance with appli-
cable provisions under subchapter I of chapter 
57 of title 5, United States Code. 
(6) QUORUM.—3 members of the Advisory 
Board shall constitute a quorum.
(7) CHAIR.—The Chair shall be designated by 
the Secretary of Energy at the time of the appoint-
ment. 
(8) MEETINGS.—The Commission shall meet at 
least once annually at the call of the Chair. 
(d) TERMINATION.—Section 14(a)(2)(B) of the Fed-
eral Advisory Committee Act (5 U.S.C. App.; relating to 
the termination of advisory committees) shall not apply 
to the Advisory Board. 
SEC. 5. AUTHORIZATION OF APPROPRIATIONS. 
There is authorized to be appropriated to carry out 
this Act $30,000,000 for fiscal year 2005 and each suc-
ceeding fiscal year.
Æ