1037 
(3) may not be reappointed. 
Subtitle D—Other Provisions 
SEC. 1441. CONTINUATION OF TRANSMISSION SECURITY 
ORDER. 
Department of Energy Order No. 202–03–2, issued 
by the Secretary of Energy on August 28, 2003, shall re-
main in effect unless rescinded by Federal statute. 
SEC. 1442. REVIEW OF AGENCY DETERMINATIONS. 
Section 7 of the Natural Gas Act (15 U.S.C. 717f) 
is amended by adding at the end the following: 
‘‘(i)(1) The United States Court of Appeals for the 
District of Columbia Circuit shall have original and exclu-
sive jurisdiction over any civil action— 
‘‘(A) for review of any order or action of any 
Federal or State administrative agency or officer to 
issue, condition, or deny any permit, license, concur-
rence, or approval issued under authority of any 
Federal law, other than the Coastal Zone Manage-
ment Act of 1972 (16 U.S.C. 1451 et seq.), required 
for the construction of a natural gas pipeline for 
which a certificate of public convenience and neces-
sity is issued by the Commission under this section; 
‘‘(B) alleging unreasonable delay by any Fed-
eral or State administrative agency or officer in en-
1038 
tering an order or taking other action described in 
subparagraph (A); or 
‘‘(C) challenging any decision made or action 
taken under this subsection. 
‘‘(2)(A) If the Court finds that the order, action, or 
failure to act is not consistent with the public convenience 
and necessity (as determined by the Commission under 
this section), or would prevent the construction and oper-
ation of natural gas facilities authorized by the certificate 
of public convenience and necessity, the permit, license, 
concurrence, or approval that is the subject of the order, 
action, or failure to act shall be deemed to have been 
issued subject to any conditions set forth in the reviewed 
order or action that the Court finds to be consistent with 
the public convenience and necessity. 
‘‘(B) For purposes of paragraph (1)(B), the failure 
of an agency or officer to issue any such permit, license, 
concurrence, or approval within the later of 1 year after 
the date of filing of an application for the permit, license, 
concurrence, or approval or 60 days after the date of 
issuance of the certificate of public convenience and neces-
sity under this section, shall be considered to be unreason-
able delay unless the Court, for good cause shown, deter-
mines otherwise.
1039 
‘‘(C) The Court shall set any action brought under 
paragraph (1) for expedited consideration.’’. 
SEC. 1443. ATTAINMENT DATES FOR DOWNWIND OZONE 
NONATTAINMENT AREAS. 
Section 181 of the Clean Air Act (42 U.S.C.7511) 
is amended by adding the following new subsection at the 
end thereof: 
‘‘(d) EXTENDED ATTAINMENT DATE FOR CERTAIN 
DOWNWIND AREAS.— 
‘‘(1) DEFINITIONS.—(A) The term ‘upwind 
area’ means an area that— 
‘‘(i) significantly contributes to nonattain-
ment in another area, hereinafter referred to as 
a ‘downwind area’; and 
‘‘(ii) is either— 
‘‘(I) a nonattainment area with a later 
attainment date than the downwind area, 
or 
‘‘(II) an area in another State that 
the Administrator has found to be signifi-
cantly contributing to nonattainment in 
the downwind area in violation of section 
110(a)(2)(D) and for which the Adminis-
trator 
has 
established 
requirements 
through notice and comment rulemaking to
1040 
eliminate the emissions causing such sig-
nificant contribution. 
‘‘(B) The term ‘current classification’ means 
the classification of a downwind area under this sec-
tion at the time of the determination under para-
graph (2). 
‘‘(2) EXTENSION.—If the Administrator— 
‘‘(A) determines that any area is a down-
wind area with respect to a particular national 
ambient air quality standard for ozone; and 
‘‘(B) approves a plan revision for such 
area as provided in paragraph (3) prior to a re-
classification under subsection (b)(2)(A), 
the Administrator, in lieu of such reclassification, 
shall extend the attainment date for such downwind 
area for such standard in accordance with paragraph 
(5). 
‘‘(3) REQUIRED APPROVAL.—In order to extend 
the attainment date for a downwind area under this 
subsection, the Administrator must approve a revi-
sion of the applicable implementation plan for the 
downwind area for such standard that— 
‘‘(A) complies with all requirements of this 
Act applicable under the current classification 
of the downwind area, including any require-
1041 
ments applicable to the area under section 
172(c) for such standard; and 
‘‘(B) includes any additional measures 
needed to demonstrate attainment by the ex-
tended attainment date provided under this 
subsection. 
‘‘(4) PRIOR
RECLASSIFICATION
DETERMINA-
TION.—If, no more than 18 months prior to the date 
of enactment of this subsection, the Administrator 
made a reclassification determination under sub-
section (b)(2)(A) for any downwind area, and the 
Administrator approves the plan revision referred to 
in paragraph (3) for such area within 12 months 
after the date of enactment of this subsection, the 
reclassification shall be withdrawn and the attain-
ment date extended in accordance with paragraph 
(5) upon such approval. The Administrator shall 
also withdraw a reclassification determination under 
subsection (b)(2)(A) made after the date of enact-
ment of this subsection and extend the attainment 
date in accordance with paragraph (5) if the Admin-
istrator approves the plan revision referred to in 
paragraph (3) within 12 months of the date the re-
classification 
determination 
under 
subsection 
(b)(2)(A) is issued. In such instances the ‘current
1042 
classification’ used for evaluating the revision of the 
applicable implementation plan under paragraph (3) 
shall be the classification of the downwind area 
under this section immediately prior to such reclassi-
fication. 
‘‘(5) EXTENDED DATE.—The attainment date 
extended under this subsection shall provide for at-
tainment of such national ambient air quality stand-
ard for ozone in the downwind area as expeditiously 
as practicable but no later than the date on which 
the last reductions in pollution transport necessary 
for attainment in the downwind area are required to 
be achieved by the upwind area or areas.’’. 
SEC. 1444. ENERGY PRODUCTION INCENTIVES. 
(a) IN GENERAL.—A State may provide to any enti-
ty— 
(1) a credit against any tax or fee owed to the 
State under a State law, or 
(2) any other tax incentive, 
determined by the State to be appropriate, in the amount 
calculated under and in accordance with a formula deter-
mined by the State, for production described in subsection 
(b) in the State by the entity that receives such credit or 
such incentive.
1044 
‘‘SEC. 6006. USE OF GRANULAR MINE TAILINGS. 
‘‘(a) MINE TAILINGS.— 
‘‘(1) IN GENERAL.—Not later than 180 days 
after the date of enactment of this section, the Ad-
ministrator, in consultation with the Secretary of 
Transportation and heads of other Federal agencies, 
shall establish criteria (including an evaluation of 
whether to establish a numerical standard for con-
centration of lead and other hazardous substances) 
for the safe and environmentally protective use of 
granular mine tailings from the Tar Creek, Okla-
homa Mining District, known as ‘chat’, for— 
‘‘(A) cement or concrete projects; and 
‘‘(B) transportation construction projects 
(including transportation construction projects 
involving the use of asphalt) that are carried 
out, in whole or in part, using Federal funds. 
‘‘(2) REQUIREMENTS.—In establishing criteria 
under paragraph (1), the Administrator shall con-
sider— 
‘‘(A) the current and previous uses of 
granular mine tailings as an aggregate for as-
phalt; and 
‘‘(B) any environmental and public health 
risks and benefits derived from the removal,
1045 
transportation, 
and 
use 
in 
transportation 
projects of granular mine tailings. 
‘‘(3) PUBLIC PARTICIPATION.—In establishing 
the criteria under paragraph (1), the Administrator 
shall solicit and consider comments from the public. 
‘‘(4) APPLICABILITY OF CRITERIA.—On the es-
tablishment of the criteria under paragraph (1), any 
use of the granular mine tailings described in para-
graph (1) in a transportation project that is carried 
out, in whole or in part, using Federal funds, shall 
meet the criteria established under paragraph (1). 
‘‘(b) EFFECT OF SECTIONS.—Nothing in this section 
or section 6005 affects any requirement of any law (in-
cluding a regulation) in effect on the date of enactment 
of this section.’’. 
(b) CONFORMING AMENDMENT.—The table of con-
tents of the Solid Waste Disposal Act (42 U.S.C. prec. 
6901) is amended by adding at the end of the items relat-
ing to subtitle F the following: 
‘‘Sec. 6006. Use of granular mine tailings.’’.
1046 
TITLE XV—ETHANOL AND 
MOTOR FUELS 
Subtitle A—General Provisions 
SEC. 1501. RENEWABLE CONTENT OF MOTOR VEHICLE 
FUEL. 
(a) IN GENERAL.—Section 211 of the Clean Air Act 
(42 U.S.C. 7545) is amended— 
(1) by redesignating subsection (o) as sub-
section (q); and 
(2) by inserting after subsection (n) the fol-
lowing: 
‘‘(o) RENEWABLE FUEL PROGRAM.— 
‘‘(1) DEFINITIONS.—In this section: 
‘‘(A) ETHANOL.—(i) The term ‘cellulosic 
biomass ethanol’ means ethanol derived from 
any lignocellulosic or hemicellulosic matter that 
is available on a renewable or recurring basis, 
including— 
‘‘(I) dedicated energy crops and trees; 
‘‘(II) wood and wood residues; 
‘‘(III) plants; 
‘‘(IV) grasses; 
‘‘(V) agricultural residues; and 
‘‘(VI) fibers.
1047 
‘‘(ii) The term ‘waste derived ethanol’ 
means ethanol derived from— 
‘‘(I) animal wastes, including poultry 
fats and poultry wastes, and other waste 
materials; or 
‘‘(II) municipal solid waste. 
‘‘(B) RENEWABLE FUEL.— 
‘‘(i) IN GENERAL.—The term ‘renew-
able fuel’ means motor vehicle fuel that— 
‘‘(I)(aa) is produced from grain, 
starch, oilseeds, or other biomass; or 
‘‘(bb) is natural gas produced 
from a biogas source, including a 
landfill, sewage waste treatment plant, 
feedlot, or other place where decaying 
organic material is found; and 
‘‘(II) is used to replace or reduce 
the quantity of fossil fuel present in a 
fuel mixture used to operate a motor 
vehicle. 
‘‘(ii) INCLUSION.—The term ‘renew-
able fuel’ includes cellulosic biomass eth-
anol, waste derived ethanol, and biodiesel 
(as defined in section 312(f) of the Energy 
Policy Act of 1992 (42 U.S.C. 13220(f))
1048 
and any blending components derived from 
renewable fuel (provided that only the re-
newable fuel portion of any such blending 
component shall be considered part of the 
applicable volume under the renewable fuel 
program established by this subsection). 
‘‘(C) SMALL REFINERY.—The term ‘small 
refinery’ means a refinery for which average ag-
gregate daily crude oil throughput for the cal-
endar year (as determined by dividing the ag-
gregate throughput for the calendar year by the 
number of days in the calendar year) does not 
exceed 75,000 barrels. 
‘‘(2) RENEWABLE FUEL PROGRAM.— 
‘‘(A) IN GENERAL.—Not later than 1 year 
after the enactment of this subsection, the Ad-
ministrator shall promulgate regulations ensur-
ing that motor vehicle fuel sold or dispensed to 
consumers in the contiguous United States, on 
an annual average basis, contains the applicable 
volume of renewable fuel as specified in sub-
paragraph (B). Regardless of the date of pro-
mulgation, such regulations shall contain com-
pliance provisions for refiners, blenders, and 
importers, as appropriate, to ensure that the re-
1049 
quirements of this section are met, but shall not 
restrict where renewable fuel can be used, or 
impose any per-gallon obligation for the use of 
renewable fuel. If the Administrator does not 
promulgate such regulations, the applicable per-
centage referred to in paragraph (4), on a vol-
ume percentage of gasoline basis, shall be 2.2 
in 2005. 
‘‘(B) APPLICABLE VOLUME.— 
‘‘(i) CALENDAR YEARS 2005 THROUGH 
2012.—For the purpose of subparagraph 
(A), the applicable volume for any of cal-
endar years 2005 through 2012 shall be 
determined in accordance with the fol-
lowing table: 
Applicable volume of 
renewable fuel 
‘‘Calendar year 
(in billions of gallons) 
2005 ...................................................................................................
3.1 
2006 ...................................................................................................
3.3 
2007 ...................................................................................................
3.5 
2008 ...................................................................................................
3.8 
2009 ...................................................................................................
4.1 
2010 ...................................................................................................
4.4 
2011 ...................................................................................................
4.7 
2012 ...................................................................................................
5.0 
‘‘(ii) CALENDAR
YEAR
2013
AND 
THEREAFTER.—For the purpose of sub-
paragraph (A), the applicable volume for 
calendar year 2013 and each calendar year
1052 
‘‘(ii) REQUIRED ELEMENTS.—The re-
newable fuel obligation determined for a 
calendar year under clause (i) shall— 
‘‘(I) be applicable to refiners, 
blenders, and importers, as appro-
priate; 
‘‘(II) be expressed in terms of a 
volume percentage of gasoline sold or 
introduced into commerce; and 
‘‘(III) subject to subparagraph 
(C)(i), consist of a single applicable 
percentage that applies to all cat-
egories of persons specified in sub-
clause (I). 
‘‘(C) ADJUSTMENTS.—In determining the 
applicable percentage for a calendar year, the 
Administrator shall make adjustments— 
‘‘(i) to prevent the imposition of re-
dundant obligations to any person specified 
in subparagraph (B)(ii)(I); and 
‘‘(ii) to account for the use of renew-
able fuel during the previous calendar year 
by small refineries that are exempt under 
paragraph (11).
1053 
‘‘(5) EQUIVALENCY.—For the purpose of para-
graph (2), 1 gallon of either cellulosic biomass eth-
anol or waste derived ethanol— 
‘‘(A) shall be considered to be the equiva-
lent of 1.5 gallon of renewable fuel; or 
‘‘(B) if the cellulostic biomass ethanol or 
waste derived ethanol is derived from agricul-
tural residue or is an agricultural byproduct (as 
that term is used in section 919 of the Energy 
Policy Act of 2003), shall be considered to be 
the equivalent of 2.5 gallons of renewable fuel. 
‘‘(6) CREDIT PROGRAM.— 
‘‘(A) IN GENERAL.—The regulations pro-
mulgated to carry out this subsection shall pro-
vide for the generation of an appropriate 
amount of credits by any person that refines, 
blends, or imports gasoline that contains a 
quantity of renewable fuel that is greater than 
the quantity required under paragraph (2). 
Such regulations shall provide for the genera-
tion of an appropriate amount of credits for 
biodiesel fuel. If a small refinery notifies the 
Administrator that it waives the exemption pro-
vided paragraph (11), the regulations shall pro-
vide for the generation of credits by the small
1054 
refinery beginning in the year following such 
notification. 
‘‘(B) USE
OF
CREDITS.—A person that 
generates credits under subparagraph (A) may 
use the credits, or transfer all or a portion of 
the credits to another person, for the purpose 
of complying with paragraph (2). 
‘‘(C) LIFE
OF
CREDITS.—A credit gen-
erated under this paragraph shall be valid to 
show compliance— 
‘‘(i) in the calendar year in which the 
credit was generated or the next calendar 
year; or 
‘‘(ii) in the calendar year in which the 
credit was generated or next two consecu-
tive calendar years if the Administrator 
promulgates regulations under paragraph 
(7). 
‘‘(D) INABILITY TO PURCHASE SUFFICIENT 
CREDITS.—The regulations promulgated to 
carry out this subsection shall include provi-
sions allowing any person that is unable to gen-
erate or purchase sufficient credits to meet the 
requirements under paragraph (2) to carry for-
ward a renewable fuel deficit provided that, in
1055 
the calendar year following the year in which 
the renewable fuel deficit is created, such per-
son shall achieve compliance with the renewable 
fuel requirement under paragraph (2), and shall 
generate or purchase additional renewable fuel 
credits to offset the renewable fuel deficit of the 
previous year. 
‘‘(7) SEASONAL
VARIATIONS
IN
RENEWABLE 
FUEL USE.— 
‘‘(A) STUDY.—For each of the calendar 
years 2005 through 2012, the Administrator of 
the Energy Information Administration shall 
conduct a study of renewable fuels blending to 
determine whether there are excessive seasonal 
variations in the use of renewable fuels. 
‘‘(B) REGULATION
OF
EXCESSIVE
SEA-
SONAL VARIATIONS.—If, for any calendar year, 
the Administrator of the Energy Information 
Administration, based on the study under sub-
paragraph (A), makes the determinations speci-
fied in subparagraph (C), the Administrator 
shall promulgate regulations to ensure that 35 
percent or more of the quantity of renewable 
fuels necessary to meet the requirement of 
paragraph (2) is used during each of the peri-
1056 
ods specified in subparagraph (D) of each sub-
sequent calendar year. 
‘‘(C) DETERMINATIONS.—The determina-
tions referred to in subparagraph (B) are 
that— 
‘‘(i) less than 35 percent of the quan-
tity of renewable fuels necessary to meet 
the requirement of paragraph (2) has been 
used during one of the periods specified in 
subparagraph (D) of the calendar year; 
‘‘(ii) a pattern of excessive seasonal 
variation described in clause (i) will con-
tinue in subsequent calendar years; and 
‘‘(iii) promulgating regulations or 
other requirements to impose a 35 percent 
or more seasonal use of renewable fuels 
will not prevent or interfere with the at-
tainment of national ambient air quality 
standards or significantly increase the 
price of motor fuels to the consumer. 
‘‘(D) PERIODS.—The two periods referred 
to in this paragraph are— 
‘‘(i) April through September; and 
‘‘(ii) January through March and Oc-
tober through December.
1057 
‘‘(E) 
EXCLUSIONS.—Renewable 
fuels 
blended or consumed in 2005 in a State which 
has received a waiver under section 209(b) shall 
not be included in the study in subparagraph 
(A). 
‘‘(8) WAIVERS.— 
‘‘(A) IN GENERAL.—The Administrator, in 
consultation with the Secretary of Agriculture 
and the Secretary of Energy, may waive the re-
quirement of paragraph (2) in whole or in part 
on petition by one or more States by reducing 
the national quantity of renewable fuel required 
under this subsection— 
‘‘(i) based on a determination by the 
Administrator, after public notice and op-
portunity for comment, that implementa-
tion of the requirement would severely 
harm the economy or environment of a 
State, a region, or the United States; or 
‘‘(ii) based on a determination by the 
Administrator, after public notice and op-
portunity for comment, that there is an in-
adequate domestic supply or distribution 
capacity to meet the requirement.
1058 
‘‘(B) PETITIONS FOR WAIVERS.—The Ad-
ministrator, in consultation with the Secretary 
of Agriculture and the Secretary of Energy, 
shall approve or disapprove a State petition for 
a waiver of the requirement of paragraph (2) 
within 90 days after the date on which the peti-
tion is received by the Administrator. 
‘‘(C) TERMINATION OF WAIVERS.—A waiv-
er granted under subparagraph (A) shall termi-
nate after 1 year, but may be renewed by the 
Administrator after consultation with the Sec-
retary of Agriculture and the Secretary of En-
ergy. 
‘‘(9) STUDY AND WAIVER FOR INITIAL YEAR OF 
PROGRAM.—Not later than 180 days after the enact-
ment of this subsection, the Secretary of Energy 
shall complete for the Administrator a study assess-
ing whether the renewable fuels requirement under 
paragraph (2) will likely result in significant adverse 
consumer impacts in 2005, on a national, regional, 
or State basis. Such study shall evaluate renewable 
fuel supplies and prices, blendstock supplies, and 
supply and distribution system capabilities. Based 
on such study, the Secretary shall make specific rec-
ommendations to the Administrator regarding waiv-
1059 
er of the requirements of paragraph (2), in whole or 
in part, to avoid any such adverse impacts. Within 
270 days after the enactment of this subsection, the 
Administrator 
shall, 
consistent 
with 
the 
rec-
ommendations of the Secretary, waive, in whole or in 
part, the renewable fuels requirement under para-
graph (2) by reducing the national quantity of re-
newable fuel required under this subsection in 2005. 
This paragraph shall not be interpreted as limiting 
the Administrator’s authority to waive the require-
ments of paragraph (2) in whole, or in part, under 
paragraph (8) or paragraph (10), pertaining to 
waivers. 
‘‘(10) ASSESSMENT AND WAIVER.—The Admin-
istrator, in consultation with the Secretary of En-
ergy and the Secretary of Agriculture, shall evaluate 
the requirement of paragraph (2) and determine, 
prior to January 1, 2007, and prior to January 1 
of any subsequent year in which the applicable vol-
ume of renewable fuel is increased under paragraph 
(2)(B), whether the requirement of paragraph (2), 
including the applicable volume of renewable fuel 
contained in paragraph (2)(B) should remain in ef-
fect, in whole or in part, during 2007 or any year 
or years subsequent to 2007. In evaluating the re-
1060 
quirement of paragraph (2) and in making any de-
termination under this section, the Administrator 
shall consider the best available information and 
data collected by accepted methods or best available 
means regarding— 
‘‘(A) the capacity of renewable fuel pro-
ducers to supply an adequate amount of renew-
able fuel at competitive prices to fulfill the re-
quirement of paragraph (2); 
‘‘(B) the potential of the requirement of 
paragraph (2) to significantly raise the price of 
gasoline, food (excluding the net price impact 
on the requirement in paragraph (2) on com-
modities used in the production of ethanol), or 
heating oil for consumers in any significant 
area or region of the country above the price 
that would otherwise apply to such commodities 
in the absence of such requirement; 
‘‘(C) the potential of the requirement of 
paragraph (2) to interfere with the supply of 
fuel in any significant gasoline market or region 
of the country, including interference with the 
efficient operation of refiners, blenders, import-
ers, wholesale suppliers, and retail vendors of 
gasoline, and other motor fuels; and
1061 
‘‘(D) the potential of the requirement of 
paragraph (2) to cause or promote exceedances 
of Federal, State, or local air quality standards. 
If the Administrator determines, by clear and con-
vincing information, after public notice and the op-
portunity for comment, that the requirement of 
paragraph (2) would have significant and meaning-
ful adverse impact on the supply of fuel and related 
infrastructure or on the economy, public health, or 
environment of any significant area or region of the 
country, the Administrator may waive, in whole or 
in part, the requirement of paragraph (2) in any one 
year for which the determination is made for that 
area or region of the country, except that any such 
waiver shall not have the effect of reducing the ap-
plicable volume of renewable fuel specified in para-
graph (2)(B) with respect to any year for which the 
determination is made. In determining economic im-
pact under this paragraph, the Administrator shall 
not consider the reduced revenues available from the 
Highway Trust Fund (section 9503 of the Internal 
Revenue Code of 1986) as a result of the use of eth-
anol. 
‘‘(11) SMALL REFINERIES.—
1062 
‘‘(A) IN
GENERAL.—The requirement of 
paragraph (2) shall not apply to small refineries 
until the first calendar year beginning more 
than 5 years after the first year set forth in the 
table in paragraph (2)(B)(i). Not later than De-
cember 31, 2007, the Secretary of Energy shall 
complete for the Administrator a study to de-
termine whether the requirement of paragraph 
(2) would impose a disproportionate economic 
hardship on small refineries. For any small re-
finery that the Secretary of Energy determines 
would experience a disproportionate economic 
hardship, the Administrator shall extend the 
small refinery exemption for such small refinery 
for no less than two additional years. 
‘‘(B) ECONOMIC HARDSHIP.— 
‘‘(i) EXTENSION OF EXEMPTION.—A 
small refinery may at any time petition the 
Administrator for an extension of the ex-
emption from the requirement of para-
graph (2) for the reason of dispropor-
tionate economic hardship. In evaluating a 
hardship petition, the Administrator, in 
consultation with the Secretary of Energy,
1063 
shall consider the findings of the study in 
addition to other economic factors. 
‘‘(ii) DEADLINE FOR ACTION ON PETI-
TIONS.—The Administrator shall act on 
any petition submitted by a small refinery 
for a hardship exemption not later than 90 
days after the receipt of the petition. 
‘‘(C) CREDIT PROGRAM.—If a small refin-
ery notifies the Administrator that it waives the 
exemption provided by this Act, the regulations 
shall provide for the generation of credits by 
the small refinery beginning in the year fol-
lowing such notification. 
‘‘(D) OPT-IN
FOR
SMALL
REFINERS.—A 
small refinery shall be subject to the require-
ments of this section if it notifies the Adminis-
trator that it waives the exemption under sub-
paragraph (A). 
‘‘(12) 
ETHANOL
MARKET
CONCENTRATION 
ANALYSIS.— 
‘‘(A) ANALYSIS.— 
‘‘(i) IN
GENERAL.—Not later than 
180 days after the date of enactment of 
this subsection, and annually thereafter, 
the Federal Trade Commission shall per-
1064 
form a market concentration analysis of 
the ethanol production industry using the 
Herfindahl-Hirschman Index to determine 
whether there is sufficient competition 
among industry participants to avoid price 
setting and other anticompetitive behavior. 
‘‘(ii) SCORING.—For the purpose of 
scoring 
under 
clause 
(i) 
using 
the 
Herfindahl-Hirschman 
Index, 
all 
mar-
keting arrangements among industry par-
ticipants shall be considered. 
‘‘(B) REPORT.—Not later than December 
1, 2004, and annually thereafter, the Federal 
Trade Commission shall submit to Congress 
and the Administrator a report on the results 
of the market concentration analysis performed 
under subparagraph (A)(i).’’. 
(b) 
PENALTIES
AND
ENFORCEMENT.—Section 
211(d) of the Clean Air Act (42 U.S.C. 7545(d)) is 
amended as follows: 
(1) In paragraph (1)— 
(A) in the first sentence, by striking ‘‘or 
(n)’’ each place it appears and inserting ‘‘(n), 
or (o)’’; and
1065 
(B) in the second sentence, by striking ‘‘or 
(m)’’ and inserting ‘‘(m), or (o)’’. 
(2) In the first sentence of paragraph (2), by 
striking ‘‘and (n)’’ each place it appears and insert-
ing ‘‘(n), and (o)’’. 
(c) SURVEY OF RENEWABLE FUEL MARKET.— 
(1) SURVEY AND REPORT.—Not later than De-
cember 1, 2006, and annually thereafter, the Admin-
istrator of the Environmental Protection Agency (in 
consultation with the Secretary of Energy acting 
through the Administrator of the Energy Informa-
tion Administration) shall— 
(A) conduct, with respect to each conven-
tional gasoline use area and each reformulated 
gasoline use area in each State, a survey to de-
termine the market shares of— 
(i) conventional gasoline containing 
ethanol; 
(ii) reformulated gasoline containing 
ethanol; 
(iii) conventional gasoline containing 
renewable fuel; and 
(iv) reformulated gasoline containing 
renewable fuel; and
1066 
(B) submit to Congress, and make publicly 
available, a report on the results of the survey 
under subparagraph (A). 
(2) RECORDKEEPING
AND
REPORTING
RE-
QUIREMENTS.—The Administrator of the Environ-
mental Protection Agency (hereinafter in this sub-
section referred to as the ‘‘Administrator’’) may re-
quire any refiner, blender, or importer to keep such 
records and make such reports as are necessary to 
ensure that the survey conducted under paragraph 
(1) is accurate. The Administrator, to avoid duplica-
tive requirements, shall rely, to the extent prac-
ticable, on existing reporting and recordkeeping re-
quirements and other information available to the 
Administrator including gasoline distribution pat-
terns that include multistate use areas. 
(3) APPLICABLE
LAW.—Activities carried out 
under this subsection shall be conducted in a man-
ner designed to protect confidentiality of individual 
responses. 
SEC. 1502. FUELS SAFE HARBOR. 
(a) IN GENERAL.—Notwithstanding any other provi-
sion of Federal or State law, no renewable fuel, as defined 
by section 211(o)(1) of the Clean Air Act, or methyl ter-
tiary butyl ether (hereinafterin this section referred to as
1067 
‘‘MTBE’’), used or intended to be used as a motor vehicle 
fuel, nor any motor vehicle fuel containing such renewable 
fuel or MTBE, shall be deemed a defective product by vir-
tue of the fact that it is, or contains, such a renewable 
fuel or MTBE, if it does not violate a control or prohibi-
tion imposed by the Administrator of the Environmental 
Protection Agency (hereinafter in this section referred to 
as the ‘‘Administrator’’) under section 211 of such Act, 
and the manufacturer is in compliance with all requests 
for information under subsection (b) of such section 211 
of such Act. If the safe harbor provided by this section 
does not apply, the existence of a claim of defective prod-
uct shall be determined under otherwise applicable law. 
Nothing in this subsection shall be construed to affect the 
liability of any person for environmental remediation costs, 
drinking water contamination, negligence for spills or 
other reasonably foreseeable events, public or private nui-
sance, trespass, breach of warranty, breach of contract, 
or any other liability other than liability based upon a 
claim of defective product. 
(b) EFFECTIVE DATE.—This section shall be effec-
tive as of September 5, 2003, and shall apply with respect 
to all claims filed on or after that date. 
SEC. 1503. FINDINGS AND MTBE TRANSITION ASSISTANCE. 
(a) FINDINGS.—Congress finds that—
1068 
(1) since 1979, methyl tertiary butyl ether 
(hereinafter in this section referred to as ‘‘MTBE’’) 
has been used nationwide at low levels in gasoline to 
replace lead as an octane booster or anti-knocking 
agent; 
(2) Public Law 101–549 (commonly known as 
the ‘‘Clean Air Act Amendments of 1990’’) (42 
U.S.C. 7401 et seq.) established a fuel oxygenate 
standard under which reformulated gasoline must 
contain at least 2 percent oxygen by weight; 
(3) at the time of the adoption of the fuel oxy-
gen standard, Congress was aware that significant 
use of MTBE would result from the adoption of that 
standard, and that the use of MTBE would likely be 
important to the cost-effective implementation of 
that program; 
(4) Congress was aware that gasoline and its 
component additives can and do leak from storage 
tanks; 
(5) the fuel industry responded to the fuel oxy-
genate standard established by Public Law 101–549 
by making substantial investments in— 
(A) MTBE production capacity; and 
(B) systems to deliver MTBE-containing 
gasoline to the marketplace;
1069 
(6) having previously required oxygenates like 
MTBE for air quality purposes, Congress has— 
(A) reconsidered the relative value of 
MTBE in gasoline; 
(B) decided to establish a date certain for 
action by the Environmental Protection Agency 
to prohibit the use of MTBE in gasoline; and 
(C) decided to provide for the elimination 
of the oxygenate requirement for reformulated 
gasoline and to provide for a renewable fuels 
content requirement for motor fuel; and 
(7) it is appropriate for Congress to provide 
some limited transition assistance— 
(A) to merchant producers of MTBE who 
produced MTBE in response to a market cre-
ated by the oxygenate requirement contained in 
the Clean Air Act; and 
(B) for the purpose of mitigating any fuel 
supply problems that may result from the elimi-
nation of the oxygenate requirement for refor-
mulated gasoline and from the decision to es-
tablish a date certain for action by the Environ-
mental Protection Agency to prohibit the use of 
MTBE in gasoline.
1070 
(b) PURPOSES.—The purpose of this section is to 
provide assistance to merchant producers of MTBE in 
making the transition from producing MTBE to producing 
other fuel additives. 
(c) MTBE MERCHANT PRODUCER CONVERSION AS-
SISTANCE.—Section 211(c) of the Clean Air Act (42 
U.S.C. 7545(c)) is amended by adding at the end the fol-
lowing: 
‘‘(5) MTBE MERCHANT
PRODUCER
CONVER-
SION ASSISTANCE.— 
‘‘(A) IN GENERAL.— 
‘‘(i) GRANTS.—The Secretary of En-
ergy, in consultation with the Adminis-
trator, may make grants to merchant pro-
ducers of methyl tertiary butyl ether (here-
inafter in this subsection referred to as 
‘MTBE’) in the United States to assist the 
producers in the conversion of eligible pro-
duction facilities described in subpara-
graph (C) to the production of iso-octane, 
iso-octene, alkylates, or renewable fuels. 
‘‘(ii) DETERMINATION.—The Admin-
istrator, in consultation with the Secretary 
of Energy, may determine that transition 
assistance for the production of iso-octane,
1071 
iso-octene, alkylates, or renewable fuels is 
inconsistent with the provisions of sub-
paragraph (B) and, on that basis, may 
deny applications for grants authorized by 
this paragraph. 
‘‘(B) FURTHER
GRANTS.—The Secretary 
of Energy, in consultation with the Adminis-
trator, may also further make grants to mer-
chant producers of MTBE in the United States 
to assist the producers in the conversion of eli-
gible production facilities described in subpara-
graph (C) to the production of such other fuel 
additives (unless the Administrator determines 
that such fuel additives may reasonably be an-
ticipated to endanger public health or the envi-
ronment) that, consistent with this subsection— 
‘‘(i) have been registered and have 
been tested or are being tested in accord-
ance with the requirements of this section; 
and 
‘‘(ii) will contribute to replacing gaso-
line volumes lost as a result of amend-
ments made to subsection (k) of this sec-
tion by section 1504(a) and 1506 of the 
Energy Policy Act of 2003.
1072 
‘‘(C) 
ELIGIBLE
PRODUCTION
FACILI-
TIES.—A production facility shall be eligible to 
receive a grant under this paragraph if the pro-
duction facility— 
‘‘(i) is located in the United States; 
and 
‘‘(ii) produced MTBE for consump-
tion before April 1, 2003 and ceased pro-
duction at any time after the date of en-
actment of this paragraph. 
‘‘(D) 
AUTHORIZATION
OF
APPROPRIA-
TIONS.—There are authorized to be appro-
priated 
to 
carry 
out 
this 
paragraph 
$250,000,000 for each of fiscal years 2005 
through 2012, to remain available until ex-
pended.’’. 
(d) EFFECT
ON STATE LAW.—The amendments 
made to the Clean Air Act by this title have no effect re-
garding any available authority of States to limit the use 
of methyl tertiary butyl ether in motor vehicle fuel. 
SEC. 1504. USE OF MTBE. 
(a) IN GENERAL.—Subject to subsections (e) and (f), 
not later than December 31, 2014, the use of methyl ter-
tiary butyl ether (hereinafter in this section referred to
1073 
as ‘‘MTBE’’) in motor vehicle fuel in any State other than 
a State described in subsection (c) is prohibited. 
(b) REGULATIONS.—The Administrator of the Envi-
ronmental Protection Agency (hereafter referred to in this 
section as the ‘‘Administrator’’) shall promulgate regula-
tions to effect the prohibition in subsection (a). 
(c) STATES THAT AUTHORIZE USE.—A State de-
scribed in this subsection is a State in which the Governor 
of the State submits a notification to the Administrator 
authorizing the use of MTBE in motor vehicle fuel sold 
or used in the State. 
(d) PUBLICATION OF NOTICE.—The Administrator 
shall publish in the Federal Register each notice submitted 
by a State under subsection (c). 
(e) TRACE QUANTITIES.—In carrying out subsection 
(a), the Administrator may allow trace quantities of 
MTBE, not to exceed 0.5 percent by volume, to be present 
in motor vehicle fuel in cases that the Administrator deter-
mines to be appropriate. 
(f) LIMITATION.—The Administrator, under author-
ity of subsection (a), shall not prohibit or control the pro-
duction of MTBE for export from the United States or 
for any other use other than for use in motor vehicle fuel.
1074 
SEC. 1505. NATIONAL ACADEMY OF SCIENCES REVIEW AND 
PRESIDENTIAL DETERMINATION. 
(a) NAS REVIEW.—Not later than May 31, 2013, the 
Secretary shall enter into an arrangement with the Na-
tional Academy of Sciences to review the use of methyl 
tertiary butyl ether (hereafter referred to in this section 
as ‘‘MTBE’’) in fuel and fuel additives. The review shall 
only use the best available scientific information and data 
collected by accepted methods or the best available means. 
The review shall examine the use of MTBE in fuel and 
fuel additives, significant beneficial and detrimental ef-
fects of this use on environmental quality or public health 
or welfare including the costs and benefits of such effects, 
likely effects of controls or prohibitions on MTBE regard-
ing fuel availability and price, and other appropriate and 
reasonable actions that are available to protect the envi-
ronment or public health or welfare from any detrimental 
effects of the use of MTBE in fuel or fuel additives. The 
review shall be peer-reviewed prior to publication and all 
supporting data and analytical models shall be available 
to the public. The review shall be completed no later than 
May 31, 2014. 
(b) PRESIDENTIAL DETERMINATION.—No later than 
June 30, 2014, the President may make a determination 
that restrictions on the use of MTBE to be implemented 
pursuant to section 1504 shall not take place and that
1075 
the legal authority contained in section 1504 to prohibit 
the use of MTBE in motor vehicle fuel shall become null 
and void. 
SEC. 1506. ELIMINATION OF OXYGEN CONTENT REQUIRE-
MENT FOR REFORMULATED GASOLINE. 
(a) ELIMINATION.— 
(1) IN GENERAL.—Section 211(k) of the Clean 
Air Act (42 U.S.C. 7545(k)) is amended as follows: 
(A) In paragraph (2)— 
(i) in the second sentence of subpara-
graph (A), by striking ‘‘(including the oxy-
gen content requirement contained in sub-
paragraph (B))’’; 
(ii) by striking subparagraph (B); and 
(iii) by redesignating subparagraphs 
(C) and (D) as subparagraphs (B) and 
(C), respectively. 
(B) In paragraph (3)(A), by striking 
clause (v). 
(C) In paragraph (7)— 
(i) in subparagraph (A)— 
(I) by striking clause (i); and 
(II) by redesignating clauses (ii) 
and (iii) as clauses (i) and (ii), respec-
tively; and
1076 
(ii) in subparagraph (C)— 
(I) by striking clause (ii). 
(II) by redesignating clause (iii) 
as clause (ii). 
(2) EFFECTIVE DATE.—The amendments made 
by paragraph (1) take effect 270 days after the date 
of enactment of this Act, except that such amend-
ments shall take effect upon such date of enactment 
in any State that has received a waiver under sec-
tion 209(b) of the Clean Air Act. 
(b) MAINTENANCE OF TOXIC AIR POLLUTANT EMIS-
SION REDUCTIONS.—Section 211(k)(1) of the Clean Air 
Act (42 U.S.C. 7545(k)(1)) is amended as follows: 
(1) By striking ‘‘Within 1 year after the enact-
ment of the Clean Air Act Amendments of 1990,’’ 
and inserting the following: 
‘‘(A) IN
GENERAL.—Not later than No-
vember 15, 1991,’’. 
(2) By adding at the end the following: 
‘‘(B) MAINTENANCE OF TOXIC AIR POL-
LUTANT EMISSIONS REDUCTIONS FROM REFOR-
MULATED GASOLINE.— 
‘‘(i) DEFINITIONS.—In this subpara-
graph the term ‘PADD’ means a Petro-
leum Administration for Defense District.
1077 
‘‘(ii) REGULATIONS REGARDING EMIS-
SIONS
OF
TOXIC
AIR
POLLUTANTS.—Not 
later than 270 days after the date of en-
actment of this subparagraph the Adminis-
trator shall establish, for each refinery or 
importer, standards for toxic air pollutants 
from use of the reformulated gasoline pro-
duced or distributed by the refinery or im-
porter that maintain the reduction of the 
average annual aggregate emissions of 
toxic air pollutants for reformulated gaso-
line produced or distributed by the refinery 
or importer during calendar years 1999 
and 2000, determined on the basis of data 
collected by the Administrator with respect 
to the refinery or importer. 
‘‘(iii) STANDARDS
APPLICABLE
TO 
SPECIFIC REFINERIES OR IMPORTERS.— 
‘‘(I) APPLICABILITY
OF
STAND-
ARDS.—For any calendar year, the 
standards applicable to a refinery or 
importer under clause (ii) shall apply 
to the quantity of gasoline produced 
or distributed by the refinery or im-
porter in the calendar year only to the
1078 
extent that the quantity is less than 
or equal to the average annual quan-
tity of reformulated gasoline produced 
or distributed by the refinery or im-
porter during calendar years 1999 
and 2000. 
‘‘(II) APPLICABILITY OF OTHER 
STANDARDS.—For any calendar year, 
the quantity of gasoline produced or 
distributed by a refinery or importer 
that is in excess of the quantity sub-
ject to subclause (I) shall be subject 
to standards for toxic air pollutants 
promulgated under subparagraph (A) 
and paragraph (3)(B). 
‘‘(iv) CREDIT PROGRAM.—The Admin-
istrator shall provide for the granting and 
use of credits for emissions of toxic air pol-
lutants in the same manner as provided in 
paragraph (7). 
‘‘(v) 
REGIONAL
PROTECTION
OF 
TOXICS REDUCTION BASELINES.— 
‘‘(I) IN
GENERAL.—Not later 
than 60 days after the date of enact-
ment of this subparagraph, and not
1079 
later than April 1 of each calendar 
year that begins after that date of en-
actment, the Administrator shall pub-
lish in the Federal Register a report 
that specifies, with respect to the pre-
vious calendar year— 
‘‘(aa) the quantity of refor-
mulated gasoline produced that is 
in excess of the average annual 
quantity of reformulated gasoline 
produced in 1999 and 2000; and 
‘‘(bb) the reduction of the 
average annual aggregate emis-
sions of toxic air pollutants in 
each PADD, based on retail sur-
vey data or data from other ap-
propriate sources. 
‘‘(II) EFFECT
OF
FAILURE
TO 
MAINTAIN
AGGREGATE
TOXICS
RE-
DUCTIONS.—If, in any calendar year, 
the reduction of the average annual 
aggregate emissions of toxic air pol-
lutants in a PADD fails to meet or 
exceed the reduction of the average 
annual aggregate emissions of toxic
1080 
air pollutants in the PADD in cal-
endar years 1999 and 2000, the Ad-
ministrator, not later than 90 days 
after the date of publication of the re-
port for the calendar year under sub-
clause (I), shall— 
‘‘(aa) identify, to the max-
imum extent practicable, the rea-
sons for the failure, including the 
sources, volumes, and character-
istics of reformulated gasoline 
that contributed to the failure; 
and 
‘‘(bb) promulgate revisions 
to the regulations promulgated 
under clause (ii), to take effect 
not earlier than 180 days but not 
later than 270 days after the 
date of promulgation, to provide 
that, 
notwithstanding 
clause 
(iii)(II), all reformulated gasoline 
produced or distributed at each 
refinery or importer shall meet 
the standards applicable under 
clause (ii) not later than April 1
1081 
of the year following the report 
in subclause (II) and for subse-
quent years. 
‘‘(vi) 
REGULATIONS
TO
CONTROL 
HAZARDOUS
AIR
POLLUTANTS
FROM 
MOTOR
VEHICLES
AND
MOTOR
VEHICLE 
FUELS.—Not later than July 1, 2004, the 
Administrator shall promulgate final regu-
lations to control hazardous air pollutants 
from motor vehicles and motor vehicle 
fuels, as provided for in section 80.1045 of 
title 40, Code of Federal Regulations (as 
in effect on the date of enactment of this 
subparagraph).’’. 
(c) CONSOLIDATION IN REFORMULATED GASOLINE 
REGULATIONS.—Not later than 180 days after the date 
of enactment of this Act, the Administrator of the Envi-
ronmental Protection Agency shall revise the reformulated 
gasoline regulations under subpart D of part 80 of title 
40, Code of Federal Regulations, to consolidate the regula-
tions applicable to VOC-Control Regions 1 and 2 under 
section 80.41 of that title by eliminating the less stringent 
requirements applicable to gasoline designated for VOC- 
Control Region 2 and instead applying the more stringent
1082 
requirements applicable to gasoline designated for VOC- 
Control Region 1. 
(d) SAVINGS CLAUSE.—Nothing in this section is in-
tended to affect or prejudice either any legal claims or ac-
tions with respect to regulations promulgated by the Ad-
ministrator of the Environmental Protection Agency 
(hereinafter in this subsection referred to as the ‘‘Admin-
istrator’’) prior to the date of enactment of this Act re-
garding emissions of toxic air pollutants from motor vehi-
cles or the adjustment of standards applicable to a specific 
refinery or importer made under such prior regulations 
and the Administrator may apply such adjustments to the 
standards applicable to such refinery or importer under 
clause (iii)(I) of section 211(k)(1)(B) of the Clean Air Act, 
except that— 
(1) the Administrator shall revise such adjust-
ments to be based only on calendar years 1999– 
2000; and 
(2) for adjustments based on toxic air pollutant 
emissions from reformulated gasoline significantly 
below the national annual average emissions of toxic 
air pollutants from all reformulated gasoline, the 
Administrator may revise such adjustments to take 
account of the scope of Federal or State prohibitions 
on the use of methyl tertiary butyl ether imposed
1083 
after the date of the enactment of this paragraph, 
except that any such adjustment shall require such 
refiner or importer, to the greatest extent prac-
ticable, to maintain the reduction achieved during 
calendar years 1999–2000 in the average annual ag-
gregate emissions of toxic air pollutants from refor-
mulated gasoline produced or distributed by the re-
finery or importer; Provided, that any such adjust-
ment shall not be made at a level below the average 
percentage of reductions of emissions of toxic air 
pollutants for reformulated gasoline supplied to 
PADD I during calendar years 1999–2000. 
SEC. 1507. ANALYSES OF MOTOR VEHICLE FUEL CHANGES. 
Section 211 of the Clean Air Act (42 U.S.C. 7545) 
is amended by inserting after subsection (o) the following: 
‘‘(p) ANALYSES OF MOTOR VEHICLE FUEL CHANGES 
AND EMISSIONS MODEL.— 
‘‘(1) ANTI-BACKSLIDING ANALYSIS.— 
‘‘(A) DRAFT ANALYSIS.—Not later than 4 
years after the date of enactment of this sub-
section, the Administrator shall publish for pub-
lic comment a draft analysis of the changes in 
emissions of air pollutants and air quality due 
to the use of motor vehicle fuel and fuel addi-
tives resulting from implementation of the
1084 
amendments made by subtitle A of title XV of 
the Energy Policy Act of 2003. 
‘‘(B) FINAL ANALYSIS.—After providing a 
reasonable opportunity for comment but not 
later than 5 years after the date of enactment 
of this paragraph, the Administrator shall pub-
lish the analysis in final form. 
‘‘(2) EMISSIONS MODEL.—For the purposes of 
this subsection, as soon as the necessary data are 
available, the Administrator shall develop and final-
ize an emissions model that reasonably reflects the 
effects of gasoline characteristics or components on 
emissions from vehicles in the motor vehicle fleet 
during calendar year 2005.’’. 
SEC. 1508. DATA COLLECTION. 
Section 205 of the Department of Energy Organiza-
tion Act (42 U.S.C. 7135) is amended by adding at the 
end the following: 
‘‘(m) RENEWABLE FUELS SURVEY.—(1) In order to 
improve the ability to evaluate the effectiveness of the Na-
tion’s renewable fuels mandate, the Administrator shall 
conduct and publish the results of a survey of renewable 
fuels demand in the motor vehicle fuels market in the 
United States monthly, and in a manner designed to pro-
tect the confidentiality of individual responses. In con-
1085 
ducting the survey, the Administrator shall collect infor-
mation both on a national and regional basis, including 
each of the following: 
‘‘(A) The quantity of renewable fuels produced. 
‘‘(B) The quantity of renewable fuels blended. 
‘‘(C) The quantity of renewable fuels imported. 
‘‘(D) The quantity of renewable fuels de-
manded. 
‘‘(E) Market price data. 
‘‘(F) Such other analyses or evaluations as the 
Administrator finds is necessary to achieve the pur-
poses of this section. 
‘‘(2) The Administrator shall also collect or estimate 
information both on a national and regional basis, pursu-
ant to subparagraphs (A) through (F) of paragraph (1), 
for the 5 years prior to implementation of this subsection. 
‘‘(3) This subsection does not affect the authority of 
the Administrator to collect data under section 52 of the 
Federal Energy Administration Act of 1974 (15 U.S.C. 
790a).’’. 
SEC. 1509. REDUCING THE PROLIFERATION OF STATE FUEL 
CONTROLS. 
(a) EPA APPROVAL OF STATE PLANS WITH FUEL 
CONTROLS.—Section 211(c)(4)(C) of the Clean Air Act 
(42 U.S.C. 7545(c)(4)(C)) is amended by adding at the
1086 
end the following: ‘‘The Administrator shall not approve 
a control or prohibition respecting the use of a fuel or fuel 
additive under this subparagraph unless the Adminis-
trator, after consultation with the Secretary of Energy, 
publishes in the Federal Register a finding that, in the 
Administrator’s judgment, such control or prohibition will 
not cause fuel supply or distribution interruptions or have 
a significant adverse impact on fuel producibility in the 
affected area or contiguous areas.’’. 
(b) STUDY.—The Administrator of the Environ-
mental Protection Agency (hereinafter in this subsection 
referred to as the ‘‘Administrator’’), in cooperation with 
the Secretary of Energy, shall undertake a study of the 
projected effects on air quality, the proliferation of fuel 
blends, fuel availability, and fuel costs of providing a pref-
erence for each of the following: 
(A) Reformulated gasoline referred to in sub-
section (k) of section 211 of the Clean Air Act. 
(B) A low RVP gasoline blend that has been 
certified by the Administrator as having a Reid 
Vapor Pressure of 7.0 pounds per square inch (psi). 
(C) A low RVP gasoline blend that has been 
certified by the Administrator as having a Reid 
Vapor Pressure of 7.8 pounds per square inch (psi).
1087 
In carrying out such study, the Administrator shall obtain 
comments from affected parties. The Administrator shall 
submit the results of such study to the Congress not later 
than 18 months after the date of enactment of this Act, 
together with any recommended legislative changes. 
SEC. 1510. FUEL SYSTEM REQUIREMENTS HARMONIZATION 
STUDY. 
(a) STUDY.— 
(1) IN
GENERAL.—The Administrator of the 
Environmental Protection Agency (hereinafter in 
this section referred to as the ‘‘Administrator’’) and 
the Secretary of Energy shall jointly conduct a study 
of Federal, State, and local requirements concerning 
motor vehicle fuels, including— 
(A) requirements relating to reformulated 
gasoline, volatility (measured in Reid vapor 
pressure), oxygenated fuel, and diesel fuel; and 
(B) other requirements that vary from 
State to State, region to region, or locality to 
locality. 
(2) REQUIRED ELEMENTS.—The study shall as-
sess— 
(A) the effect of the variety of require-
ments described in paragraph (1) on the supply, 
quality, and price of motor vehicle fuels avail-
1088 
able to consumers in various States and local-
ities; 
(B) the effect of the requirements de-
scribed in paragraph (1) on achievement of— 
(i) national, regional, and local air 
quality standards and goals; and 
(ii) related environmental and public 
health protection standards and goals; 
(C) the effect of Federal, State, and local 
motor vehicle fuel regulations, including mul-
tiple motor vehicle fuel requirements, on— 
(i) domestic refineries; 
(ii) the fuel distribution system; and 
(iii) industry investment in new capac-
ity; 
(D) the effect of the requirements de-
scribed in paragraph (1) on emissions from ve-
hicles, refineries, and fuel handling facilities; 
(E) the feasibility of developing national or 
regional motor vehicle fuel slates for the 48 
contiguous States that, while improving air 
quality at the national, regional and local levels 
consistent with the attainment of national am-
bient air quality standards, could—
1089 
(i) enhance flexibility in the fuel dis-
tribution infrastructure and improve fuel 
fungibility; 
(ii) reduce price volatility and costs to 
consumers and producers; 
(iii) provide increased liquidity to the 
gasoline market; and 
(iv) enhance fuel quality, consistency, 
and supply; 
(F) the feasibility of providing incentives 
to promote cleaner burning motor vehicle fuel; 
and 
(G) the extent to which improvements in 
air quality and any increases or decreases in 
the price of motor fuel can be projected to re-
sult from the Environmental Protection Agen-
cy’s Tier II requirements for conventional gaso-
line and vehicle emission systems, the reformu-
lated gasoline program, the renewable content 
requirements established by this subtitle, State 
programs regarding gasoline volatility, and any 
other requirements imposed by States or local-
ities affecting the composition of motor fuel. 
(b) REPORT.—
1090 
(1) IN GENERAL.—Not later than December 31, 
2007, the Administrator and the Secretary of En-
ergy shall submit to Congress a report on the results 
of the study conducted under subsection (a). 
(2) RECOMMENDATIONS.— 
(A) IN GENERAL.—The report under this 
subsection shall contain recommendations for 
legislative and administrative actions that may 
be taken— 
(i) to improve air quality; 
(ii) to reduce costs to consumers and 
producers; and 
(iii) to increase supply liquidity. 
(B) 
REQUIRED
CONSIDERATIONS.—The 
recommendations under subparagraph (A) shall 
take into account the need to provide advance 
notice of required modifications to refinery and 
fuel distribution systems in order to ensure an 
adequate supply of motor vehicle fuel in all 
States. 
(3) CONSULTATION.—In developing the report 
under this subsection, the Administrator and the 
Secretary of Energy shall consult with— 
(A) the Governors of the States; 
(B) automobile manufacturers;
1091 
(C) motor vehicle fuel producers and dis-
tributors; and 
(D) the public. 
SEC. 1511. COMMERCIAL BYPRODUCTS FROM MUNICIPAL 
SOLID WASTE AND CELLULOSIC BIOMASS 
LOAN GUARANTEE PROGRAM. 
(a) DEFINITION OF MUNICIPAL SOLID WASTE.—In 
this section, 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). 
(b) ESTABLISHMENT OF PROGRAM.—The Secretary 
of Energy (hereinafter in this section referred to as the 
‘‘Secretary’’) shall establish a program to provide guaran-
tees of loans by private institutions for the construction 
of facilities for the processing and conversion of municipal 
solid waste and cellulosic biomass into fuel ethanol and 
other commercial byproducts. 
(c) REQUIREMENTS.—The Secretary may provide a 
loan guarantee under subsection (b) to an applicant if— 
(1) without a loan guarantee, credit is not 
available to the applicant under reasonable terms or 
conditions sufficient to finance the construction of a 
facility described in subsection (b); 
(2) the prospective earning power of the appli-
cant and the character and value of the security
1092 
pledged provide a reasonable assurance of repayment 
of the loan to be guaranteed in accordance with the 
terms of the loan; and 
(3) the loan bears interest at a rate determined 
by the Secretary to be reasonable, taking into ac-
count the current average yield on outstanding obli-
gations of the United States with remaining periods 
of maturity comparable to the maturity of the loan. 
(d) CRITERIA.—In selecting recipients of loan guar-
antees from among applicants, the Secretary shall give 
preference to proposals that— 
(1) meet all applicable Federal and State per-
mitting requirements; 
(2) are most likely to be successful; and 
(3) are located in local markets that have the 
greatest need for the facility because of— 
(A) the limited availability of land for 
waste disposal; 
(B) the availability of sufficient quantities 
of cellulosic biomass; or 
(C) a high level of demand for fuel ethanol 
or other commercial byproducts of the facility. 
(e) MATURITY.—A loan guaranteed under subsection 
(b) shall have a maturity of not more than 20 years.
1093 
(f) TERMS AND CONDITIONS.—The loan agreement 
for a loan guaranteed under subsection (b) shall provide 
that no provision of the loan agreement may be amended 
or waived without the consent of the Secretary. 
(g) ASSURANCE
OF REPAYMENT.—The Secretary 
shall require that an applicant for a loan guarantee under 
subsection (b) provide an assurance of repayment in the 
form of a performance bond, insurance, collateral, or other 
means acceptable to the Secretary in an amount equal to 
not less than 20 percent of the amount of the loan. 
(h) GUARANTEE FEE.—The recipient of a loan guar-
antee under subsection (b) shall pay the Secretary an 
amount determined by the Secretary to be sufficient to 
cover the administrative costs of the Secretary relating to 
the loan guarantee. 
(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 guar-
antee 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 guar-
anteed loan. 
(j) REPORTS.—Until each guaranteed loan under this 
section has been repaid in full, the Secretary shall annu-
1094 
ally 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 nec-
essary 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. 1512. RESOURCE CENTER. 
(a) DEFINITION.—In this section, the term ‘‘RFG 
State’’ means a State in which is located one or more cov-
ered areas (as defined in section 211(k)(10)(D) of the 
Clean Air Act (42 U.S.C. 7545(k)(10)(D)). 
(b) AUTHORIZATION OF APPROPRIATIONS FOR RE-
SOURCE CENTER.—There are authorized to be appro-
priated, for a resource center to further develop bioconver-
sion technology using low-cost biomass for the production 
of ethanol at the Center for Biomass-Based Energy at the 
University of Mississippi and the University of Oklahoma, 
$4,000,000 for each of fiscal years 2004 through 2006. 
(c) RENEWABLE FUEL PRODUCTION RESEARCH AND 
DEVELOPMENT GRANTS.— 
(1) IN
GENERAL.—The Administrator of the 
Environmental Protection Agency shall provide
1095 
grants for the research into, and development and 
implementation of, renewable fuel production tech-
nologies in RFG States with low rates of ethanol 
production, including low rates of production of cel-
lulosic biomass ethanol. 
(2) ELIGIBILITY.— 
(A) IN GENERAL.—The entities eligible to 
receive a grant under this subsection are aca-
demic institutions in RFG States, and consortia 
made up of combinations of academic institu-
tions, industry, State government agencies, or 
local government agencies in RFG States, that 
have proven experience and capabilities with 
relevant technologies. 
(B) APPLICATION.—To be eligible to re-
ceive a grant under this subsection, an eligible 
entity shall submit to the Administrator an ap-
plication in such manner and form, and accom-
panied by such information, as the Adminis-
trator may specify. 
(3) AUTHORIZATION
OF
APPROPRIATIONS.— 
There are authorized to be appropriated to carry out 
this subsection $25,000,000 for each of fiscal years 
2004 through 2008.
1096 
SEC. 1513. CELLULOSIC BIOMASS AND WASTE-DERIVED 
ETHANOL CONVERSION ASSISTANCE. 
Section 211 of the Clean Air Act (42 U.S.C. 7545) 
is amended by adding at the end the following: 
‘‘(r) CELLULOSIC BIOMASS
AND WASTE-DERIVED 
ETHANOL CONVERSION ASSISTANCE.— 
‘‘(1) IN GENERAL.—The Secretary of Energy 
may provide grants to merchant producers of cel-
lulosic biomass ethanol and waste-derived ethanol in 
the United States to assist the producers in building 
eligible production facilities described in paragraph 
(2) for the production of 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 or waste-de-
rived feedstocks derived from agricultural resi-
dues, municipal solid waste, or agricultural by-
products as that term is used in section 919 of 
the Energy Policy Act of 2003. 
‘‘(3) AUTHORIZATION
OF
APPROPRIATIONS.— 
There are authorized to be appropriated the fol-
lowing amounts to carry out this subsection: 
‘‘(A) $100,000,000 for fiscal year 2004. 
‘‘(B) $250,000,000 for fiscal year 2005.
1097 
‘‘(C) $400,000,000 for fiscal year 2006.’’. 
SEC. 1514. BLENDING OF COMPLIANT REFORMULATED GAS-
OLINES. 
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 
sub-
sections (h) and (k) and subject to the limitations in 
paragraph (2) of this subsection, it shall not be a 
violation of this subtitle for a gasoline retailer, dur-
ing any month of the year, to blend at a retail loca-
tion 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
1098 
certifications accounting for all gasoline at the 
retail outlet; and 
‘‘(D) the retailer does not, between June 1 
and September 15 of each year, blend a batch 
of VOC-controlled, or ‘summer’, gasoline with a 
batch of non-VOC-controlled, or ‘winter’, gaso-
line (as these terms are defined under sub-
sections (h) and (k)). 
‘‘(2) LIMITATIONS.— 
‘‘(A) FREQUENCY LIMITATION.—A retailer shall 
only be permitted to blend batches of compliant re-
formulated gasoline under this subsection a max-
imum 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 con-
secutive calendar days. 
‘‘(3) SURVEYS.—A sample of gasoline taken 
from a retail location that has blended gasoline with-
in the past 30 days and is in compliance with sub-
paragraphs (A), (B), (C), and (D) of paragraph (1) 
shall not be used in a VOC survey mandated by 40 
C.F.R. Part 80.
1099 
‘‘(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 emissions from blended gaso-
line authorized under paragraph (1). 
‘‘(5) PRESERVATION OF STATE LAW.—Nothing 
in this subsection shall— 
‘‘(A) preempt existing State laws or regu-
lations regulating the blending of compliant 
gasolines; or 
‘‘(B) prohibit a State from adopting such 
restrictions in the future. 
‘‘(6) REGULATIONS.—The Administrator shall 
promulgate, after notice and comment, regulations 
implementing this subsection within one year after 
the date of enactment of this subsection. 
‘‘(7) EFFECTIVE DATE.—This subsection shall 
become effective 15 months after the date of its en-
actment and shall apply to blended batches of refor-
mulated gasoline on or after that date, regardless of 
whether the implementing regulations required by 
paragraph (6) have been promulgated by the Admin-
istrator by that date. 
‘‘(8) LIABILITY.—No person other than the 
person responsible for blending under this subsection
1100 
shall be subject to an enforcement action or pen-
alties under subsection (d) solely arising from the 
blending of compliant reformulated gasolines by the 
retailers. 
‘‘(9) FORMULATION OF GASOLINE.—This sub-
section does not grant authority to the Adminis-
trator or any State (or any subdivision thereof) to 
require reformulation of gasoline at the refinery to 
adjust for potential or actual emissions increases due 
to the blending authorized by this subsection.’’. 
Subtitle B—Underground Storage 
Tank Compliance 
SEC. 1521. SHORT TITLE. 
This subtitle may be cited as the ‘‘Underground Stor-
age Tank Compliance Act of 2004’’. 
SEC. 1522. LEAKING UNDERGROUND STORAGE TANKS. 
(a) IN GENERAL.—Section 9004 of the Solid Waste 
Disposal Act (42 U.S.C. 6991c) is amended by adding at 
the end the following: 
‘‘(f) TRUST FUND DISTRIBUTION.— 
‘‘(1) IN GENERAL.— 
‘‘(A) AMOUNT AND PERMITTED USES OF 
DISTRIBUTION.—The Administrator shall dis-
tribute to States not less than 80 percent of the 
funds from the Trust Fund that are made
1102 
pairing the ability of the owner or operator 
to continue in business; or 
‘‘(iv) enforcement, by a State or a 
local government, of State or local regula-
tions pertaining to underground storage 
tanks regulated under this subtitle. 
‘‘(B) USE
OF
FUNDS
FOR
ENFORCE-
MENT.—In addition to the uses of funds au-
thorized under subparagraph (A), the Adminis-
trator may use funds from the Trust Fund that 
are not distributed to States under subpara-
graph (A) for enforcement of any regulation 
promulgated by the Administrator under this 
subtitle. 
‘‘(C) PROHIBITED USES.—Funds provided 
to a State by the Administrator under subpara-
graph (A) shall not be used by the State to pro-
vide financial assistance to an owner or oper-
ator to meet any requirement relating to under-
ground storage tanks under subparts B, C, D, 
H, and G of part 280 of title 40, Code of Fed-
eral Regulations (as in effect on the date of en-
actment of this subsection). 
‘‘(2) ALLOCATION.—
1103 
‘‘(A) PROCESS.—Subject to subparagraphs 
(B) and (C), in the case of a State with which 
the Administrator has entered into a coopera-
tive agreement under section 9003(h)(7)(A), 
the Administrator shall distribute funds from 
the Trust Fund to the State using an allocation 
process developed by the Administrator. 
‘‘(B) DIVERSION OF STATE FUNDS.—The 
Administrator shall not distribute funds under 
subparagraph (A)(iii) of subsection (f)(1) to 
any State that has diverted funds from a State 
fund or State assurance program for purposes 
other than those related to the regulation of un-
derground storage tanks covered by this sub-
title, with the exception of those transfers that 
had been completed earlier than the date of en-
actment of this subsection. 
‘‘(C) REVISIONS
TO
PROCESS.—The Ad-
ministrator may revise the allocation process re-
ferred to in subparagraph (A) after— 
‘‘(i) consulting with State agencies re-
sponsible for overseeing corrective action 
for releases from underground storage 
tanks; and
1104 
‘‘(ii) taking into consideration, at a 
minimum, each of the following: 
‘‘(I) The number of confirmed re-
leases from federally regulated leaking 
underground storage tanks in the 
States. 
‘‘(II) The number of federally 
regulated underground storage tanks 
in the States. 
‘‘(III) The performance of the 
States in implementing and enforcing 
the program. 
‘‘(IV) The financial needs of the 
States. 
‘‘(V) The ability of the States to 
use the funds referred to in subpara-
graph (A) in any year. 
‘‘(3) DISTRIBUTIONS
TO
STATE
AGENCIES.— 
Distributions from the Trust Fund under this sub-
section shall be made directly to a State agency 
that— 
‘‘(A) enters into a cooperative agreement 
referred to in paragraph (2)(A); or 
‘‘(B) is enforcing a State program ap-
proved under this section.
1105 
‘‘(4) COST
RECOVERY
PROHIBITION.—Funds 
from the Trust Fund provided by States to owners 
or operators under paragraph (1)(A)(iii) shall not be 
subject to cost recovery by the Administrator under 
section 9003(h)(6).’’. 
(b) 
WITHDRAWAL
OF
APPROVAL
OF
STATE 
FUNDS.—Section 9004(c) of the Solid Waste Disposal Act 
(42 U.S.C. 6991c(c)) is amended by inserting the fol-
lowing new paragraph at the end thereof: 
‘‘(6) WITHDRAWAL
OF
APPROVAL.—After an 
opportunity for good faith, collaborative efforts to 
correct financial deficiencies with a State fund, the 
Administrator may withdraw approval of any State 
fund or State assurance program to be used as a fi-
nancial responsibility mechanism without with-
drawing approval of a State underground storage 
tank program under section 9004(a).’’. 
SEC. 
1523. 
INSPECTION 
OF 
UNDERGROUND 
STORAGE 
TANKS. 
(a) INSPECTION REQUIREMENTS.—Section 9005 of 
the Solid Waste Disposal Act (42 U.S.C. 6991d) is amend-
ed by inserting the following new subsection at the end 
thereof: 
‘‘(c) INSPECTION REQUIREMENTS.—
1106 
‘‘(1) UNINSPECTED TANKS.—In the case of un-
derground storage tanks regulated under this sub-
title that have not undergone an inspection since De-
cember 22, 1998, not later than 2 years after the 
date of enactment of this subsection, the Adminis-
trator or a State that receives funding under this 
subtitle, as appropriate, shall conduct on-site inspec-
tions of all such tanks to determine compliance with 
this subtitle and the regulations under this subtitle 
(40 C.F.R. 280) or a requirement or standard of a 
State program developed under section 9004. 
‘‘(2) PERIODIC INSPECTIONS.—After completion 
of all inspections required under paragraph (1), the 
Administrator or a State that receives funding under 
this subtitle, as appropriate, shall conduct on-site in-
spections of each underground storage tank regu-
lated under this subtitle at least once every 3 years 
to determine compliance with this subtitle and the 
regulations under this subtitle (40 C.F.R. 280) or a 
requirement or standard of a State program devel-
oped under section 9004. The Administrator may ex-
tend for up to one additional year the first 3-year 
inspection interval under this paragraph if the State 
demonstrates that it has insufficient resources to
1107 
complete all such inspections within the first 3-year 
period. 
‘‘(3) INSPECTION AUTHORITY.—Nothing in this 
section shall be construed to diminish the Adminis-
trator’s or a State’s authorities under section 
9005(a).’’. 
(b) STUDY
OF ALTERNATIVE INSPECTION PRO-
GRAMS.—The Administrator of the Environmental Protec-
tion Agency, in coordination with a State, shall gather in-
formation on compliance assurance programs that could 
serve as an alternative to the inspection programs under 
section 9005(c) of the Solid Waste Disposal Act (42 
U.S.C. 6991d(c)) and shall, within 4 years after the date 
of enactment of this Act, submit a report to the Congress 
containing the results of such study. 
SEC. 1524. OPERATOR TRAINING. 
(a) IN GENERAL.—Section 9010 of the Solid Waste 
Disposal Act (42 U.S.C. 6991i) is amended to read as fol-
lows: 
‘‘SEC. 9010. OPERATOR TRAINING. 
‘‘(a) GUIDELINES.— 
‘‘(1) IN
GENERAL.—Not later than 2 years 
after the date of enactment of the Underground 
Storage Tank Compliance Act of 2004, in consulta-
tion and cooperation with States and after public no-
1108 
tice and opportunity for comment, the Administrator 
shall publish guidelines that specify training require-
ments for persons having primary daily on-site man-
agement responsibility for the operation and mainte-
nance of underground storage tanks. 
‘‘(2) CONSIDERATIONS.—The guidelines de-
scribed in paragraph (1) shall take into account— 
‘‘(A) State training programs in existence 
as of the date of publication of the guidelines; 
‘‘(B) training programs that are being em-
ployed by tank owners and tank operators as of 
the date of enactment of the Underground Stor-
age Tank Compliance Act of 2004; 
‘‘(C) the high turnover rate of tank opera-
tors and other personnel; 
‘‘(D) the frequency of improvement in un-
derground storage tank equipment technology; 
‘‘(E) the nature of the businesses in which 
the tank operators are engaged; and 
‘‘(F) such other factors as the Adminis-
trator determines to be necessary to carry out 
this section. 
‘‘(b) STATE PROGRAMS.— 
‘‘(1) IN
GENERAL.—Not later than 2 years 
after the date on which the Administrator publishes
1109 
the guidelines under subsection (a)(1), each State 
that receives funding under this subtitle shall de-
velop State-specific training requirements that are 
consistent with the guidelines developed under sub-
section (a)(1). 
‘‘(2) REQUIREMENTS.—State requirements de-
scribed in paragraph (1) shall— 
‘‘(A) be consistent with subsection (a); 
‘‘(B) be developed in cooperation with tank 
owners and tank operators; 
‘‘(C) take into consideration training pro-
grams implemented by tank owners and tank 
operators as of the date of enactment of this 
section; and 
‘‘(D) be appropriately communicated to 
tank owners and operators. 
‘‘(3) FINANCIAL
INCENTIVE.—The Adminis-
trator may award to a State that develops and im-
plements requirements described in paragraph (1), 
in addition to any funds that the State is entitled to 
receive under this subtitle, not more than $200,000, 
to be used to carry out the requirements. 
‘‘(c) OPERATORS.—All persons having primary daily 
on-site management responsibility for the operation and 
maintenance of any underground storage tank shall—
1110 
‘‘(1) meet the training requirements developed 
under subsection (b); and 
‘‘(2) repeat the applicable requirements devel-
oped under subsection (b), if the tank for which they 
have primary daily on-site management responsibil-
ities is determined to be out of compliance with— 
‘‘(A) a requirement or standard promul-
gated by the Administrator under section 9003; 
or 
‘‘(B) a requirement or standard of a State 
program approved under section 9004.’’. 
(b) 
STATE
PROGRAM
REQUIREMENT.—Section 
9004(a) of the Solid Waste Disposal Act (42 U.S.C. 
6991c(a)) is amended by striking ‘‘and’’ at the end of 
paragraph (7), by striking the period at the end of para-
graph (8) and inserting ‘‘; and’’, and by adding the fol-
lowing new paragraph at the end thereof: 
‘‘(9) State-specific training requirements as re-
quired by section 9010.’’. 
(c) ENFORCEMENT.—Section 9006(d)(2) of such Act 
(42 U.S.C. 6991e) is amended as follows: 
(1) By striking ‘‘or’’ at the end of subpara-
graph (B). 
(2) By adding the following new subparagraph 
after subparagraph (C):
1111 
‘‘(D) the training requirements established by 
States pursuant to section 9010 (relating to oper-
ator training); or’’. 
(d) TABLE OF CONTENTS.—The item relating to sec-
tion 9010 in table of contents for the Solid Waste Disposal 
Act is amended to read as follows: 
‘‘Sec. 9010. Operator training.’’. 
SEC. 1525. REMEDIATION FROM OXYGENATED FUEL ADDI-
TIVES. 
Section 9003(h) of the Solid Waste Disposal Act (42 
U.S.C. 6991b(h)) is amended as follows: 
(1) In paragraph (7)(A)— 
(A) by striking ‘‘paragraphs (1) and (2) of 
this subsection’’ and inserting ‘‘paragraphs (1), 
(2), and (12)’’ ; and 
(B) by striking ‘‘and including the authori-
ties of paragraphs (4), (6), and (8) of this sub-
section’’ and inserting ‘‘and the authority under 
sections 9011 and 9012 and paragraphs (4), 
(6), and (8),’’. 
(2) By adding at the end the following: 
‘‘(12) REMEDIATION
OF
OXYGENATED
FUEL 
CONTAMINATION.— 
‘‘(A) IN
GENERAL.—The Administrator 
and the States may use funds made available 
under section 9014(2)(B) to carry out correc-
1112 
tive actions with respect to a release of a fuel 
containing an oxygenated fuel additive that pre-
sents a threat to human health or welfare or 
the environment. 
‘‘(B) APPLICABLE AUTHORITY.—The Ad-
ministrator or a State shall carry out subpara-
graph (A) in accordance with paragraph (2), 
and in the case of a State, in accordance with 
a cooperative agreement entered into by the Ad-
ministrator and the State under paragraph 
(7).’’. 
SEC. 1526. RELEASE PREVENTION, COMPLIANCE, AND EN-
FORCEMENT. 
(a) RELEASE PREVENTION AND COMPLIANCE.—Sub-
title I of the Solid Waste Disposal Act (42 U.S.C. 6991 
et seq.) is amended by adding at the end the following: 
‘‘SEC. 9011. USE OF FUNDS FOR RELEASE PREVENTION AND 
COMPLIANCE. 
‘‘Funds made available under section 9014(2)(D) 
from the Trust Fund may be used to conduct inspections, 
issue orders, or bring actions under this subtitle— 
‘‘(1) by a State, in accordance with a grant or 
cooperative agreement with the Administrator, of 
State regulations pertaining to underground storage 
tanks regulated under this subtitle; and
1113 
‘‘(2) by the Administrator, for tanks regulated 
under this subtitle (including under a State program 
approved under section 9004).’’. 
(b) GOVERNMENT-OWNED TANKS.—Section 9003 of 
the Solid Waste Disposal Act (42 U.S.C. 6991b) is amend-
ed by adding at the end the following: 
‘‘(i) GOVERNMENT-OWNED TANKS.— 
‘‘(1) STATE
COMPLIANCE
REPORT.—(A) Not 
later than 2 years after the date of enactment of 
this subsection, each State that receives funding 
under this subtitle shall submit to the Administrator 
a State compliance report that— 
‘‘(i) lists the location and owner of each 
underground storage tank described in subpara-
graph (B) in the State that, as of the date of 
submission of the report, is not in compliance 
with section 9003; and 
‘‘(ii) specifies the date of the last inspec-
tion and describes the actions that have been 
and will be taken to ensure compliance of the 
underground storage tank listed under clause 
(i) with this subtitle. 
‘‘(B) An underground storage tank described in 
this subparagraph is an underground storage tank 
that is—
1114 
‘‘(i) regulated under this subtitle; and 
‘‘(ii) owned or operated by the Federal, 
State, or local government. 
‘‘(C) The Administrator shall make each report, 
received under subparagraph (A), available to the 
public through an appropriate media. 
‘‘(2) FINANCIAL
INCENTIVE.—The Adminis-
trator may award to a State that develops a report 
described in paragraph (1), in addition to any other 
funds that the State is entitled to receive under this 
subtitle, not more than $50,000, to be used to carry 
out the report. 
‘‘(3) NOT A SAFE HARBOR.—This subsection 
does not relieve any person from any obligation or 
requirement under this subtitle.’’. 
(c) PUBLIC RECORD.—Section 9002 of the Solid 
Waste Disposal Act (42 U.S.C. 6991a) is amended by add-
ing at the end the following: 
‘‘(d) PUBLIC RECORD.— 
‘‘(1) IN GENERAL.—The Administrator shall re-
quire each State that receives Federal funds to carry 
out this subtitle to maintain, update at least annu-
ally, and make available to the public, in such man-
ner and form as the Administrator shall prescribe
1115 
(after consultation with States), a record of under-
ground storage tanks regulated under this subtitle. 
‘‘(2) CONSIDERATIONS.—To the maximum ex-
tent practicable, the public record of a State, respec-
tively, shall include, for each year— 
‘‘(A) the number, sources, and causes of 
underground storage tank releases in the State; 
‘‘(B) the record of compliance by under-
ground storage tanks in the State with— 
‘‘(i) this subtitle; or 
‘‘(ii) an applicable State program ap-
proved under section 9004; and 
‘‘(C) data on the number of underground 
storage tank equipment failures in the State.’’. 
(d) INCENTIVE FOR PERFORMANCE.—Section 9006 
of the Solid Waste Disposal Act (42 U.S.C. 6991e) is 
amended by adding at the end the following: 
‘‘(e) INCENTIVE FOR PERFORMANCE.—Both of the 
following may be taken into account in determining the 
terms of a civil penalty under subsection (d): 
‘‘(1) The compliance history of an owner or op-
erator in accordance with this subtitle or a program 
approved under section 9004. 
‘‘(2) Any other factor the Administrator con-
siders appropriate.’’.
1116 
(e) TABLE OF CONTENTS.—The table of contents for 
such subtitle I is amended by adding the following new 
item at the end thereof: 
‘‘Sec. 9011. Use of funds for release prevention and compliance.’’. 
SEC. 1527. DELIVERY PROHIBITION. 
(a) IN GENERAL.—Subtitle I of the Solid Waste Dis-
posal Act (42 U.S.C. 6991 et seq.) is amended by adding 
at the end the following: 
‘‘SEC. 9012. DELIVERY PROHIBITION. 
‘‘(a) REQUIREMENTS.— 
‘‘(1) PROHIBITION
OF
DELIVERY
OR
DE-
POSIT.—Beginning 2 years after the date of enact-
ment of this section, it shall be unlawful to deliver 
to, deposit into, or accept a regulated substance into 
an underground storage tank at a facility which has 
been identified by the Administrator or a State im-
plementing agency to be ineligible for fuel delivery or 
deposit. 
‘‘(2) GUIDANCE.—Within 1 year after the date 
of enactment of this section, the Administrator and 
States that receive funding under this subtitle shall, 
in consultation with the underground storage tank 
owner and product delivery industries, for territory 
for which they are the primary implementing agen-
cies, publish guidelines detailing the specific proc-
esses and procedures they will use to implement the
1117 
provisions of this section. The processes and proce-
dures include, at a minimum— 
‘‘(A) the criteria for determining which un-
derground storage tank facilities are ineligible 
for delivery or deposit; 
‘‘(B) the mechanisms for identifying which 
facilities are ineligible for delivery or deposit to 
the underground storage tank owning and fuel 
delivery industries; 
‘‘(C) the process for reclassifying ineligible 
facilities as eligible for delivery or deposit; and 
‘‘(D) a delineation of, or a process for de-
termining, the specified geographic areas sub-
ject to paragraph (4). 
‘‘(3) DELIVERY PROHIBITION NOTICE.— 
‘‘(A) ROSTER.—The Administrator and 
each State implementing agency that receives 
funding under this subtitle shall establish with-
in 24 months after the date of enactment of 
this section a Delivery Prohibition Roster list-
ing underground storage tanks under the Ad-
ministrator’s or the State’s jurisdiction that are 
determined to be ineligible for delivery or de-
posit pursuant to paragraph (2).
1118 
‘‘(B) NOTIFICATION.—The Administrator 
and each State, as appropriate, shall make 
readily known, to underground storage tank 
owners and operators and to product delivery 
industries, the underground storage tanks listed 
on a Delivery Prohibition Roster by: 
‘‘(i) posting such Rosters, including 
the physical location and street address of 
each listed underground storage tank, on 
official web sites and, if the Administrator 
or the State so chooses, other electronic 
means; 
‘‘(ii) updating these Rosters periodi-
cally; and 
‘‘(iii) installing a tamper-proof tag, 
seal, or other device blocking the fill pipes 
of such underground storage tanks to pre-
vent the delivery of product into such un-
derground storage tanks. 
‘‘(C) ROSTER
UPDATES.—The Adminis-
trator and the State shall update the Delivery 
Prohibition Rosters as appropriate, but not less 
than once a month on the first day of the 
month. 
‘‘(D) TAMPERING WITH DEVICE.—
1119 
‘‘(i) PROHIBITION.—It shall be unlaw-
ful for any person, other than an author-
ized representative of the Administrator or 
a State, as appropriate, to remove, tamper 
with, destroy, or damage a device installed 
by the Administrator or a State, as appro-
priate, under subparagraph (B)(iii) of this 
subsection. 
‘‘(ii) CIVIL PENALTIES.—Any person 
violating clause (i) of this subparagraph 
shall be subject to a civil penalty not to ex-
ceed $10,000 for each violation. 
‘‘(4) LIMITATION.— 
‘‘(A) RURAL AND REMOTE AREAS.—Sub-
ject to subparagraph (B), the Administrator or 
a State shall not include an underground stor-
age tank on a Delivery Prohibition Roster 
under paragraph (3) if an urgent threat to pub-
lic health, as determined by the Administrator, 
does not exist and if such a delivery prohibition 
would jeopardize the availability of, or access 
to, fuel in any rural and remote areas. 
‘‘(B) APPLICABILITY
OF
LIMITATION.— 
The limitation under subparagraph (A) shall 
apply only during the 180-day period following
1120 
the date of a determination by the Adminis-
trator or the appropriate State that exercising 
the authority of paragraph (3) is limited by 
subparagraph (A). 
‘‘(b) EFFECT ON STATE AUTHORITY.—Nothing in 
this section shall affect the authority of a State to prohibit 
the delivery of a regulated substance to an underground 
storage tank. 
‘‘(c) DEFENSE TO VIOLATION.—A person shall not 
be in violation of subsection (a)(1) if the underground 
storage tank into which a regulated substance is delivered 
is not listed on the Administrator’s or the appropriate 
State’s Prohibited Delivery Roster 7 calendar days prior 
to the delivery being made.’’. 
(b) ENFORCEMENT.—Section 9006(d)(2) of such Act 
(42 U.S.C. 6991e(d)(2)) is amended as follows: 
(1) By adding the following new subparagraph 
after subparagraph (D): 
‘‘(E) the delivery prohibition requirement estab-
lished by section 9012,’’. 
(2) By adding the following new sentence at the 
end thereof: ‘‘Any person making or accepting a de-
livery or deposit of a regulated substance to an un-
derground storage tank at an ineligible facility in
1121 
violation of section 9012 shall also be subject to the 
same civil penalty for each day of such violation.’’. 
(c) TABLE OF CONTENTS.—The table of contents for 
such subtitle I is amended by adding the following new 
item at the end thereof: 
‘‘Sec. 9012. Delivery prohibition.’’. 
SEC. 1528. FEDERAL FACILITIES. 
Section 9007 of the Solid Waste Disposal Act (42 
U.S.C. 6991f) is amended to read as follows: 
‘‘SEC. 9007. FEDERAL FACILITIES. 
‘‘(a) IN GENERAL.—Each department, agency, and 
instrumentality of the executive, legislative, and judicial 
branches of the Federal Government (1) having jurisdic-
tion over any underground storage tank or underground 
storage tank system, or (2) engaged in any activity result-
ing, or which may result, in the installation, operation, 
management, or closure of any underground storage tank, 
release response activities related thereto, or in the deliv-
ery, acceptance, or deposit of any regulated substance to 
an underground storage tank or underground storage tank 
system shall be subject to, and comply with, all Federal, 
State, interstate, and local requirements, both substantive 
and procedural (including any requirement for permits or 
reporting or any provisions for injunctive relief and such 
sanctions as may be imposed by a court to enforce such 
relief), respecting underground storage tanks in the same
1122 
manner, and to the same extent, as any person is subject 
to such requirements, including the payment of reasonable 
service charges. The Federal, State, interstate, and local 
substantive and procedural requirements referred to in 
this subsection include, but are not limited to, all adminis-
trative orders and all civil and administrative penalties 
and fines, regardless of whether such penalties or fines 
are punitive or coercive in nature or are imposed for iso-
lated, intermittent, or continuing violations. The United 
States hereby expressly waives any immunity otherwise 
applicable to the United States with respect to any such 
substantive or procedural requirement (including, but not 
limited to, any injunctive relief, administrative order or 
civil or administrative penalty or fine referred to in the 
preceding sentence, or reasonable service charge). The rea-
sonable service charges referred to in this subsection in-
clude, but are not limited to, fees or charges assessed in 
connection with the processing and issuance of permits, 
renewal of permits, amendments to permits, review of 
plans, studies, and other documents, and inspection and 
monitoring of facilities, as well as any other nondiscrim-
inatory charges that are assessed in connection with a 
Federal, State, interstate, or local underground storage 
tank regulatory program. Neither the United States, nor 
any agent, employee, or officer thereof, shall be immune
1123 
or exempt from any process or sanction of any State or 
Federal Court with respect to the enforcement of any such 
injunctive relief. No agent, employee, or officer of the 
United States shall be personally liable for any civil pen-
alty under any Federal, State, interstate, or local law con-
cerning underground storage tanks with respect to any act 
or omission within the scope of the official duties of the 
agent, employee, or officer. An agent, employee, or officer 
of the United States shall be subject to any criminal sanc-
tion (including, but not limited to, any fine or imprison-
ment) under any Federal or State law concerning under-
ground storage tanks, but no department, agency, or in-
strumentality of the executive, legislative, or judicial 
branch of the Federal Government shall be subject to any 
such sanction. The President may exempt any under-
ground storage tank of any department, agency, or instru-
mentality in the executive branch from compliance with 
such a requirement if he determines it to be in the para-
mount interest of the United States to do so. No such 
exemption shall be granted due to lack of appropriation 
unless the President shall have specifically requested such 
appropriation as a part of the budgetary process and the 
Congress shall have failed to make available such re-
quested appropriation. Any exemption shall be for a period 
not in excess of one year, but additional exemptions may
1124 
be granted for periods not to exceed one year upon the 
President’s making a new determination. The President 
shall report each January to the Congress all exemptions 
from the requirements of this section granted during the 
preceding calendar year, together with his reason for 
granting each such exemption. 
‘‘(b) REVIEW OF AND REPORT ON FEDERAL UNDER-
GROUND STORAGE TANKS.— 
‘‘(1) REVIEW.—Not later than 12 months after 
the date of enactment of the Underground Storage 
Tank Compliance Act of 2004, each Federal agency 
that owns or operates 1 or more underground stor-
age tanks, or that manages land on which 1 or more 
underground storage tanks are located, shall submit 
to the Administrator, the Committee on Energy and 
Commerce of the United States House of Represent-
atives, and the Committee on the Environment and 
Public Works of the United States Senate a compli-
ance strategy report that— 
‘‘(A) lists the location and owner of each 
underground storage tank described in this 
paragraph; 
‘‘(B) lists all tanks that are not in compli-
ance with this subtitle that are owned or oper-
ated by the Federal agency;
1125 
‘‘(C) specifies the date of the last inspec-
tion by a State or Federal inspector of each un-
derground storage tank owned or operated by 
the agency; 
‘‘(D) lists each violation of this subtitle re-
specting any underground storage tank owned 
or operated by the agency; 
‘‘(E) describes the operator training that 
has been provided to the operator and other 
persons having primary daily on-site manage-
ment responsibility for the operation and main-
tenance of underground storage tanks owned or 
operated by the agency; and 
‘‘(F) describes the actions that have been 
and will be taken to ensure compliance for each 
underground storage tank identified under sub-
paragraph (B). 
‘‘(2) NOT A SAFE HARBOR.—This subsection 
does not relieve any person from any obligation or 
requirement under this subtitle.’’. 
SEC. 1529. TANKS ON TRIBAL LANDS. 
(a) IN GENERAL.—Subtitle I of the Solid Waste Dis-
posal Act (42 U.S.C. 6991 et seq.) is amended by adding 
the following at the end thereof:
1126 
‘‘SEC. 9013. TANKS ON TRIBAL LANDS. 
‘‘(a) STRATEGY.—The Administrator, in coordination 
with Indian tribes, shall, not later than 1 year after the 
date of enactment of this section, develop and implement 
a strategy— 
‘‘(1) giving priority to releases that present the 
greatest threat to human health or the environment, 
to take necessary corrective action in response to re-
leases from leaking underground storage tanks lo-
cated wholly within the boundaries of— 
‘‘(A) an Indian reservation; or 
‘‘(B) any other area under the jurisdiction 
of an Indian tribe; and 
‘‘(2) to implement and enforce requirements 
concerning underground storage tanks located wholly 
within the boundaries of— 
‘‘(A) an Indian reservation; or 
‘‘(B) any other area under the jurisdiction 
of an Indian tribe. 
‘‘(b) REPORT.—Not later than 2 years after the date 
of enactment of this section, the Administrator shall sub-
mit to Congress a report that summarizes the status of 
implementation and enforcement of this subtitle in areas 
located wholly within— 
‘‘(1) the boundaries of Indian reservations; and
1127 
‘‘(2) any other areas under the jurisdiction of 
an Indian tribe. 
The Administrator shall make the report under this sub-
section available to the public. 
‘‘(c) NOT A SAFE HARBOR.—This section does not 
relieve any person from any obligation or requirement 
under this subtitle. 
‘‘(d) STATE AUTHORITY.—Nothing in this section 
applies to any underground storage tank that is located 
in an area under the jurisdiction of a State, or that is 
subject to regulation by a State, as of the date of enact-
ment of this section.’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
such subtitle I is amended by adding the following new 
item at the end thereof: 
‘‘Sec. 9013. Tanks on Tribal lands.’’. 
SEC. 1530. FUTURE RELEASE CONTAINMENT TECHNOLOGY. 
Not later than 2 years after the date of enactment 
of this Act, the Administrator of the Environmental Pro-
tection Agency, after consultation with States, shall make 
available to the public and to the Committee on Energy 
and Commerce of the House of Representatives and the 
Committee on Environment and Public Works of the Sen-
ate information on the effectiveness of alternative possible 
methods and means for containing releases from under-
ground storage tanks systems.