H. R. 6—493
(i) FULL FAITH AND CREDIT.—The full faith and credit of the 
United States is pledged to the payment of all guarantees made 
under this section. Any such guarantee made by the Secretary 
shall be conclusive evidence of the eligibility of the loan for the 
guarantee with respect to principal and interest. The validity of 
the guarantee shall be incontestable in the hands of a holder 
of the guaranteed loan. 
(j) REPORTS.—Until each guaranteed loan under this section 
has been repaid in full, the Secretary shall annually submit to 
Congress a report on the activities of the Secretary under this 
section. 
(k) AUTHORIZATION OF APPROPRIATIONS.—There are authorized 
to be appropriated such sums as are necessary to carry out this 
section. 
(l) TERMINATION OF AUTHORITY.—The authority of the Secretary 
to issue a loan guarantee under subsection (b) terminates on the 
date that is 10 years after the date of enactment of this Act. 
SEC. 1511. RENEWABLE FUEL. 
The Clean Air Act is amended by inserting after section 211 
(42 U.S.C. 7411) the following: 
‘‘SEC. 212. RENEWABLE FUEL. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) MUNICIPAL SOLID WASTE.—The term ‘municipal solid 
waste’ has the meaning given the term ‘solid waste’ in section 
1004 of the Solid Waste Disposal Act (42 U.S.C. 6903). 
‘‘(2) RFG STATE.—The term ‘RFG State’ means a State 
in which is located one or more covered areas (as defined 
in section 211(k)(10)(D)). 
‘‘(3) SECRETARY.—The term ‘Secretary’ means the Secretary 
of Energy. 
‘‘(b) CELLULOSIC BIOMASS ETHANOL
AND MUNICIPAL SOLID 
WASTE LOAN GUARANTEE PROGRAM.— 
‘‘(1) IN
GENERAL.—Funds may be provided for the cost 
(as defined in the Federal Credit Reform Act of 1990 (2 U.S.C. 
661 et seq.)) of loan guarantees issued under title XIV of 
the Energy Policy Act to carry out commercial demonstration 
projects for celluosic biomass and sucrose-derived ethanol. 
‘‘(2) DEMONSTRATION PROJECTS.— 
‘‘(A) IN
GENERAL.—The Secretary shall issue loan 
guarantees under this section to carry out not more than 
4 projects to commercially demonstrate the feasibility and 
viability of producing cellulosic biomass ethanol or sucrose-
derived ethanol, including at least 1 project that uses cereal 
straw as a feedstock and 1 project that uses municipal 
solid waste as a feedstock. 
‘‘(B) DESIGN
CAPACITY.—Each project shall have a 
design capacity to produce at least 30,000,000 gallons of 
cellulosic biomass ethanol each year. 
‘‘(3) APPLICANT ASSURANCES.—An applicant for a loan guar-
antee under this section shall provide assurances, satisfactory 
to the Secretary, that— 
‘‘(A) the project design has been validated through 
the operation of a continuous process facility with a cumu-
lative output of at least 50,000 gallons of ethanol; 
‘‘(B) the project has been subject to a full technical 
review;
H. R. 6—494
‘‘(C) the project is covered by adequate project perform-
ance guarantees; 
‘‘(D) the project, with the loan guarantee, is economi-
cally viable; and 
‘‘(E) there is a reasonable assurance of repayment of 
the guaranteed loan. 
‘‘(4) LIMITATIONS.— 
‘‘(A) MAXIMUM
GUARANTEE.—Except as provided in 
subparagraph (B), a loan guarantee under this section may 
be issued for up to 80 percent of the estimated cost of 
a project, but may not exceed $250,000,000 for a project. 
‘‘(B) ADDITIONAL GUARANTEES.— 
‘‘(i) IN GENERAL.—The Secretary may issue addi-
tional loan guarantees for a project to cover up to 
80 percent of the excess of actual project cost over 
estimated project cost but not to exceed 15 percent 
of the amount of the original guarantee. 
‘‘(ii) PRINCIPAL AND INTEREST.—Subject to subpara-
graph (A), the Secretary shall guarantee 100 percent 
of the principal and interest of a loan made under 
subparagraph (A). 
‘‘(5) EQUITY CONTRIBUTIONS.—To be eligible for a loan guar-
antee under this section, an applicant for the loan guarantee 
shall have binding commitments from equity investors to pro-
vide an initial equity contribution of at least 20 percent of 
the total project cost. 
‘‘(6) INSUFFICIENT AMOUNTS.—If the amount made available 
to carry out this section is insufficient to allow the Secretary 
to make loan guarantees for 3 projects described in subsection 
(b), the Secretary shall issue loan guarantees for one or more 
qualifying projects under this section in the order in which 
the applications for the projects are received by the Secretary. 
‘‘(7) APPROVAL.—An application for a loan guarantee under 
this section shall be approved or disapproved by the Secretary 
not later than 90 days after the application is received by 
the Secretary. 
‘‘(c) 
AUTHORIZATION
OF
APPROPRIATIONS
FOR
RESOURCE 
CENTER.—There is authorized to be appropriated, for a resource 
center to further develop bioconversion technology using low-cost 
biomass for the production of ethanol at the Center for Biomass-
Based Energy at the Mississippi State University and the Oklahoma 
State University, $4,000,000 for each of fiscal years 2005 through 
2007. 
‘‘(d) RENEWABLE FUEL PRODUCTION RESEARCH AND DEVELOP-
MENT GRANTS.— 
‘‘(1) IN GENERAL.—The Administrator shall provide grants 
for the research into, and development and implementation 
of, renewable fuel production technologies in RFG States with 
low rates of ethanol production, including low rates of produc-
tion of cellulosic biomass ethanol. 
‘‘(2) ELIGIBILITY.— 
‘‘(A) IN GENERAL.—The entities eligible to receive a 
grant under this subsection are academic institutions in 
RFG States, and consortia made up of combinations of 
academic institutions, industry, State government agencies, 
or local government agencies in RFG States, that have
H. R. 6—495
proven experience and capabilities with relevant tech-
nologies. 
‘‘(B) APPLICATION.—To be eligible to receive a grant 
under this subsection, an eligible entity shall submit to 
the Administrator an application in such manner and form, 
and accompanied by such information, as the Administrator 
may specify. 
‘‘(3) AUTHORIZATION OF APPROPRIATIONS.—There is author-
ized to be appropriated to carry out this subsection $25,000,000 
for each of fiscal years 2006 through 2010. 
‘‘(e) CELLULOSIC BIOMASS ETHANOL CONVERSION ASSISTANCE.— 
‘‘(1) IN GENERAL.—The Secretary may provide grants to 
merchant producers of cellulosic biomass ethanol in the United 
States to assist the producers in building eligible production 
facilities described in paragraph (2) for the production of cel-
lulosic biomass ethanol. 
‘‘(2) 
ELIGIBLE
PRODUCTION
FACILITIES.—A 
production 
facility shall be eligible to receive a grant under this subsection 
if the production facility— 
‘‘(A) is located in the United States; and 
‘‘(B) uses cellulosic biomass feedstocks derived from 
agricultural residues or municipal solid waste. 
‘‘(3) AUTHORIZATION OF APPROPRIATIONS.—There is author-
ized to be appropriated to carry out this subsection— 
‘‘(A) $250,000,000 for fiscal year 2006; and 
‘‘(B) $400,000,000 for fiscal year 2007.’’. 
SEC. 1512. CONVERSION ASSISTANCE FOR CELLULOSIC BIOMASS, 
WASTE-DERIVED 
ETHANOL, 
APPROVED 
RENEWABLE 
FUELS. 
Section 211 of the Clean Air Act (42 U.S.C. 7545) is amended 
by adding at the end the following: 
‘‘(r) CONVERSION ASSISTANCE FOR CELLULOSIC BIOMASS, WASTE-
DERIVED ETHANOL, APPROVED RENEWABLE FUELS.— 
‘‘(1) IN GENERAL.—The Secretary of Energy may provide 
grants to merchant producers of cellulosic biomass ethanol, 
waste-derived ethanol, and approved renewable fuels in the 
United States to assist the producers in building eligible produc-
tion facilities described in paragraph (2) for the production 
of ethanol or approved renewable fuels. 
‘‘(2) 
ELIGIBLE
PRODUCTION
FACILITIES.—A 
production 
facility shall be eligible to receive a grant under this subsection 
if the production facility— 
‘‘(A) is located in the United States; and 
‘‘(B) uses cellulosic or renewable biomass or waste-
derived feedstocks derived from agricultural residues, wood 
residues, municipal solid waste, or agricultural byproducts. 
‘‘(3) 
AUTHORIZATION
OF
APPROPRIATIONS.—There 
are 
authorized to be appropriated the following amounts to carry 
out this subsection: 
‘‘(A) $100,000,000 for fiscal year 2006. 
‘‘(B) $250,000,000 for fiscal year 2007. 
‘‘(C) $400,000,000 for fiscal year 2008. 
‘‘(4) DEFINITIONS.—For the purposes of this subsection: 
‘‘(A) The term ‘approved renewable fuels’ are fuels and 
components of fuels that have been approved by the Depart-
ment of Energy, as defined in section 301 of the Energy
H. R. 6—496
Policy Act of 1992 (42 U.S.C. 13211), which have been 
made from renewable biomass. 
‘‘(B) The term ‘renewable biomass’ is, as defined in 
Presidential Executive Order 13134, published in the Fed-
eral Register on August 16, 1999, any organic matter that 
is available on a renewable or recurring basis (excluding 
old-growth timber), including dedicated energy crops and 
trees, agricultural food and feed crop residues, aquatic 
plants, animal wastes, wood and wood residues, paper and 
paper residues, and other vegetative waste materials. Old-
growth timber means timber of a forest from the late 
successional stage of forest development.’’. 
SEC. 1513. BLENDING OF COMPLIANT REFORMULATED GASOLINES. 
Section 211 of the Clean Air Act (42 U.S.C. 7545) is amended 
by adding at the end the following: 
‘‘(s) BLENDING OF COMPLIANT REFORMULATED GASOLINES.— 
‘‘(1) IN GENERAL.—Notwithstanding subsections (h) and (k) 
and subject to the limitations in paragraph (2) of this sub-
section, it shall not be a violation of this subtitle for a gasoline 
retailer, during any month of the year, to blend at a retail 
location batches of ethanol-blended and non-ethanol-blended 
reformulated gasoline, provided that— 
‘‘(A) each batch of gasoline to be blended has been 
individually certified as in compliance with subsections 
(h) and (k) prior to being blended; 
‘‘(B) the retailer notifies the Administrator prior to 
such blending, and identifies the exact location of the retail 
station and the specific tank in which such blending will 
take place; 
‘‘(C) the retailer retains and, as requested by the 
Administrator or the Administrator’s designee, makes 
available for inspection such certifications accounting for 
all gasoline at the retail outlet; and 
‘‘(D) the retailer does not, between June 1 and Sep-
tember 15 of each year, blend a batch of VOC-controlled, 
or ‘summer’, gasoline with a batch of non-VOC-controlled, 
or ‘winter’, gasoline (as these terms are defined under 
subsections (h) and (k)). 
‘‘(2) LIMITATIONS.— 
‘‘(A) FREQUENCY LIMITATION.—A retailer shall only be 
permitted to blend batches of compliant reformulated gaso-
line under this subsection a maximum of two blending 
periods between May 1 and September 15 of each calendar 
year. 
‘‘(B) DURATION OF BLENDING PERIOD.—Each blending 
period authorized under subparagraph (A) shall extend 
for a period of no more than 10 consecutive calendar days. 
‘‘(3) SURVEYS.—A sample of gasoline taken from a retail 
location that has blended gasoline within the past 30 days 
and is in compliance with subparagraphs (A), (B), (C), and 
(D) of paragraph (1) shall not be used in a VOC survey man-
dated by 40 CFR Part 80. 
‘‘(4) STATE IMPLEMENTATION PLANS.—A State shall be held 
harmless and shall not be required to revise its State 
implementation plan under section 110 to account for the emis-
sions from blended gasoline authorized under paragraph (1).