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and make available to the Secretary, at such times as
the Secretary may request, appropriate records of
methods used for activities for which payment is re-
ceived under this section.
‘‘(2) INFORMATION SHARING.—From the records
maintained under subparagraph (A), the Secretary
shall maintain, and make available to the public, in-
formation regarding—
‘‘(A) the production potential (including
evaluation of the environmental benefits) of a va-
riety of eligible crops; and
‘‘(B) best practices for producing, collecting,
harvesting, storing, and transporting eligible
crops to be used in the production of advanced
biofuels.
‘‘(g) FUNDING.—
‘‘(1) BIOMASS CROP TRANSITION ASSISTANCE.—
Of the funds of the Commodity Credit Corporation,
the Secretary shall use to carry out subsections (b)
and (c) $130,000,000 for fiscal year 2008, to remain
available until expended, of which not more than
$5,000,000 may be used to carry out subsection
(b)(7).
‘‘(2) ASSISTANCE
FOR
COLLECTION, HARVEST,
STORAGE, AND
TRANSPORT
OF
RENEWABLE
BIO-
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MASS.—Of the funds of the Commodity Credit Cor-
poration, the Secretary shall make available to carry
out subsection (d) $10,000,000 for each of fiscal years
2009 through 2011, to remain available until ex-
pended.
‘‘(3) ASSISTANCE FOR FOREST BIOMASS PLAN-
NING.—Of the funds made available under paragraph
(1), the Secretary shall use not more than 5 percent
to carry out subsection (e).
‘‘SEC. 9005. BIOREFINERY AND REPOWERING ASSISTANCE.
‘‘(a) PURPOSE.—The purpose of this section is to assist
in the development of new or emerging technologies for the
use of renewable biomass or other sources of renewable
energy—
‘‘(1) to develop advanced biofuels;
‘‘(2) to increase the energy independence of the
United States by promoting the replacement of energy
generated from fossil fuels with energy generated from
a renewable energy source;
‘‘(3) to promote resource conservation, public
health, and the environment;
‘‘(4) to diversify markets for raw agricultural
and forestry products, and agriculture waste mate-
rial; and
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‘‘(5) to create jobs and enhance the economic de-
velopment of the rural economy.
‘‘(b) DEFINITION OF REPOWER.—In this section, the
term ‘repower’ means to substitute the production of heat
or power from a fossil fuel source with heat or power from
sources of renewable energy.
‘‘(c) ASSISTANCE.—
‘‘(1) IN
GENERAL.—The Secretary shall make
available to eligible entities described in subsection
(d)—
‘‘(A) grants to assist in paying the costs
of—
‘‘(i) development and construction of
pilot- and demonstration-scale biorefineries
intended to demonstrate the commercial via-
bility of 1 or more processes for converting
renewable biomass to advanced biofuels;
‘‘(ii) repowering a biomass conversion
facility, power plant, or manufacturing fa-
cility, in whole or in part; or
‘‘(iii) conducting a study to determine
the feasibility of repowering a biomass con-
version facility, power plant, or manufac-
turing facility, in whole or in part; and
‘‘(B) guarantees for loans made to fund—
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‘‘(i) the development and construction
of commercial-scale biorefineries; or
‘‘(ii) the repowering of a biomass con-
version facility, power plant, or manufac-
turing facility, in whole or in part.
‘‘(2) PREFERENCE.—In selecting projects to re-
ceive grants and loan guarantees under this section,
the Secretary shall give preference to projects that re-
ceive or will receive financial support from the State
in which the project is carried out.
‘‘(d) ELIGIBLE ENTITIES.—An eligible entity under
this section is—
‘‘(1) an individual;
‘‘(2) a corporation;
‘‘(3) a farm cooperative;
‘‘(4) a rural electric cooperative or public power
entity;
‘‘(5) an association of agricultural producers;
‘‘(6) a State or local energy agency or office;
‘‘(7) an Indian tribe;
‘‘(8) a consortium comprised of any individuals
or entities described in any of paragraphs (1) through
(7); or
‘‘(9) any other similar entity, as determined by
the Secretary.
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‘‘(e) GRANTS.—
‘‘(1) IN GENERAL.—The Secretary shall award
grants under subsection (c)(1)(A) on a competitive
basis.
‘‘(2) SELECTION CRITERIA.—
‘‘(A) GRANTS FOR DEVELOPMENT AND CON-
STRUCTION
OF
PILOT
AND
DEMONSTRATION
SCALE BIOREFINERIES.—
‘‘(i) 
IN
GENERAL.—In 
awarding
grants for development and construction of
pilot and demonstration scale biorefineries
under subsection (c)(1)(A)(i), the Secretary
shall select projects based on the likelihood
that the projects will demonstrate the com-
mercial viability of a new or emerging
process for converting renewable biomass
into advanced biofuels.
‘‘(ii) FACTORS.—The factors to be con-
sidered under clause (i) may include—
‘‘(I) the potential market for 1 or
more products;
‘‘(II) the level of financial partici-
pation by the applicants;
‘‘(III) the availability of adequate
funding from other sources;
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‘‘(IV) the participation of pro-
ducer associations and cooperatives;
‘‘(V) the beneficial impact on re-
source conservation, public health, and
the environment;
‘‘(VI) the timeframe in which the
project will be operational;
‘‘(VII) the potential for rural eco-
nomic development;
‘‘(VIII) the participation of mul-
tiple eligible entities;
‘‘(IX) the potential for developing
advance industrial biotechnology ap-
proaches; and
‘‘(X) whether the distribution of
funds would have minimal impact on
existing manufacturing and other fa-
cilities that use similar feedstocks.
‘‘(B) GRANTS FOR REPOWERING.—In select-
ing projects to receive grants for repowering
under clauses (ii) and (iii) of subsection
(c)(1)(A), the Secretary shall consider—
‘‘(i) the change in energy efficiency
that 
would 
result 
from 
the 
proposed
repowering of the eligible entity;
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‘‘(ii) the reduction in fossil fuel use
that 
would 
result 
from 
the 
proposed
repowering; and
‘‘(iii) the volume of renewable biomass
located in such proximity to the eligible en-
tity as to make local sourcing of feedstock
economically practicable.
‘‘(3) COST SHARING.—
‘‘(A) LIMITS.—
‘‘(i) DEVELOPMENT
AND
CONSTRUC-
TION OF PILOT AND DEMONSTRATION SCALE
BIOREFINERIES.—The amount of a grant
awarded for development and construction
of 
a 
biorefinery 
under 
subsection
(c)(1)(A)(i) shall not exceed 50 percent of
the cost of the project.
‘‘(ii) REPOWERING.—The amount of a
grant awarded for repowering under sub-
section (c)(1)(A)(ii) shall not exceed 20 per-
cent of the cost of the project.
‘‘(iii) 
FEASIBILITY
STUDY
FOR
REPOWERING.—The amount of a grant
awarded 
for 
a 
feasibility 
study 
for
repowering under subsection (c)(1)(A)(iii)
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shall not exceed an amount equal to the less-
er of—
‘‘(I) an amount equal to 50 per-
cent of the total cost of conducting the
feasibility study; and
‘‘(II) $150,000.
‘‘(B) FORM OF GRANTEE SHARE.—
‘‘(i) IN GENERAL.—The grantee share
of the cost of a project may be made in the
form of cash or the provision of services,
material, or other in-kind contributions.
‘‘(ii) LIMITATION.—The amount of the
grantee share of the cost of a project that is
made in the form of the provision of serv-
ices, material, or other in-kind contribu-
tions shall not exceed 15 percent of the
amount of the grantee share determined
under subparagraph (A).
‘‘(f) LOAN GUARANTEES.—
‘‘(1) CONDITIONS.—As a condition of making a
loan guarantee under subsection (c)(1)(B), the Sec-
retary shall require—
‘‘(A) demonstration of binding commit-
ments to cover, from sources other than Federal
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funds, at least 20 percent of the total cost of the
project described in the application;
‘‘(B) in the case of a new or emerging tech-
nology, demonstration that the project design has
been validated through a technical review and
subsequent operation of a pilot or demonstration
scale facility that can be scaled up to commercial
size; and
‘‘(C) demonstration that the applicant pro-
vided opportunities to local investors (as deter-
mined by the Secretary) to participate in the fi-
nancing or ownership of the biorefinery.
‘‘(2) LOCAL
OWNERSHIP.—The Secretary shall
give preference under subsection (c)(1)(B) to applica-
tions for projects with significant local ownership.
‘‘(3) APPROVAL.—Not later than 90 days after
the Secretary receives an application for a loan guar-
antee under subsection (c)(1)(B), the Secretary shall
approve or disapprove the application.
‘‘(4) LIMITATIONS.—
‘‘(A) MAXIMUM AMOUNT OF LOAN GUARAN-
TEED.—
‘‘(i) 
COMMERCIAL-SCALE
BIOREFIN-
ERIES.—Subject to clause (iii), the prin-
cipal amount of a loan guaranteed under
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subsection (c)(1)(B)(i) may not exceed
$250,000,000.
‘‘(ii) REPOWERING.—Subject to clause
(iii), the principal amount of a loan guar-
anteed under subsection (c)(1)(B)(ii) may
not exceed $70,000,000.
‘‘(iii) RELATIONSHIP TO OTHER FED-
ERAL
FUNDING.—The amount of a loan
guaranteed under subsection (c)(1)(B) shall
be reduced by the amount of other Federal
funding that the entity receives for the same
project.
‘‘(B) MAXIMUM
PERCENTAGE
OF
LOAN
GUARANTEED.—A loan guaranteed under sub-
section (c)(1)(B) shall be in an amount not to
exceed 80 percent of the project costs, as deter-
mined by the Secretary.
‘‘(C) AUTHORITY
TO
GUARANTEE
ENTIRE
AMOUNT
OF
THE
LOAN.—The Secretary may
guarantee up to 100 percent of the principal and
interest due on a loan guaranteed under sub-
section (c)(1)(B).
‘‘(g) CONSULTATION.—In carrying out this section, the
Secretary shall consult with the Secretary of Energy.
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‘‘(h) FUNDING.—Of the funds of the Commodity Credit
Corporation, the Secretary shall use for the cost of grants
and loan guarantees to carry out this section $300,000,000
for fiscal year 2008, to remain available until expended.
‘‘SEC. 
9006. 
BIOENERGY 
PROGRAM 
FOR 
ADVANCED
BIOFUELS.
‘‘(a) DEFINITION OF ELIGIBLE PRODUCER.—In this
section, the term ‘eligible producer’ means a producer of ad-
vanced biofuels.
‘‘(b) PAYMENTS.—The Secretary shall make payments
to eligible producers to encourage increased purchases of re-
newable biomass for the purpose of expanding production
of, and supporting new production capacity for, advanced
biofuels.
‘‘(c) CONTRACTS.—To receive a payment, an eligible
producer shall—
‘‘(1) enter into a contract with the Secretary to
increase production of advanced biofuels for 1 or more
fiscal years; and
‘‘(2) submit to the Secretary such records as the
Secretary may require as evidence of increased pur-
chase and use of renewable biomass for the production
of advanced biofuels.
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‘‘(d) BASIS
FOR PAYMENTS.—The Secretary shall
make payments under this section to eligible producers
based on—
‘‘(1) the level of production by the eligible pro-
ducer of an advanced biofuel;
‘‘(2) the price of each renewable biomass feed-
stock used for production of the advanced biofuel;
‘‘(3) the net nonrenewable energy content of the
advanced biofuel, if sufficient data is available, as de-
termined by the Secretary; and
‘‘(4) other appropriate factors, as determined by
the Secretary.
‘‘(e) OVERPAYMENTS.—If the total amount of pay-
ments that an eligible producer receives for a fiscal year
under this section exceeds the amount that the eligible pro-
ducer should have received, the eligible producer shall repay
the amount of the overpayment to the Secretary, with inter-
est (as determined by the Secretary).
‘‘(f) LIMITATIONS.—
‘‘(1) EQUITABLE DISTRIBUTION.—The Secretary
may limit the amount of payments that may be re-
ceived by a single eligible producer under this section
in order to distribute the total amount of funding
available in an equitable manner.