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‘‘(aa) the quantity of refor-
mulated gasoline produced that is 
in excess of the average annual 
quantity of reformulated gasoline 
produced in 2001 and 2002; and 
‘‘(bb) the reduction of the av-
erage annual aggregate emissions 
of toxic air pollutants in each 
PADD, based on retail survey 
data or data from other appro-
priate sources. 
‘‘(II) EFFECT
OF
FAILURE
TO 
MAINTAIN AGGREGATE TOXICS REDUC-
TIONS.—If, in any calendar year, the 
reduction of the average annual aggre-
gate emissions of toxic air pollutants 
in a PADD fails to meet or exceed the 
reduction of the average annual aggre-
gate emissions of toxic air pollutants 
in the PADD in calendar years 2001 
and 2002, the Administrator, not later 
than 90 days after the date of publica-
tion of the report for the calendar year 
under subclause (I), shall—
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‘‘(aa) identify, to the max-
imum extent practicable, the rea-
sons for the failure, including the 
sources, volumes, and characteris-
tics of reformulated gasoline that 
contributed to the failure; and 
‘‘(bb) promulgate revisions to 
the regulations promulgated under 
clause (ii), to take effect not ear-
lier 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 refiner or 
importer shall meet the standards 
applicable under clause (iii)(I) be-
ginning not later than April 1 of 
the calendar year following publi-
cation of the report under sub-
clause (I) and in each calendar 
year thereafter. 
‘‘(vi) Not later than July 1, 2007, the 
Administrator shall promulgate final regu-
lations to control hazardous air pollutants
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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 subpara-
graph), and as authorized under section 
202(1) of the Clean Air Act. If the Adminis-
trator promulgates by such date, final regu-
lations to control hazardous air pollutants 
from motor vehicles and motor vehicle fuels 
that achieve and maintain greater overall 
reductions in emissions of air toxics from 
reformulated gasoline than the reductions 
that would be achieved under section 
211(k)(1)(B) of the Clean Air Act as 
amended by this clause, then sections 
21l(k)(1)(i) through 211(k)(1)(v) shall be 
null and void and regulations promulgated 
thereunder shall be rescinded and have no 
further effect. 
(c) COMMINGLING.— 
(1) IN GENERAL.—Section 211(k) of the Clean 
Air Act (42 U.S.C. 7545(k)) is amended by adding at 
the end the following: 
‘‘(11) COMMINGLING.—The regulations under 
paragraph (1) shall permit the commingling at a re-
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tail station of reformulated gasoline containing eth-
anol and reformulated gasoline that does not contain 
ethanol if, each time such commingling occurs— 
‘‘(A) the retailer notifies the Administrator 
before the commingling, identifying the exact lo-
cation of the retail station and the specific tank 
in which the commingling will take place; and 
‘‘(B) the retailer certifies that the reformu-
lated gasoline resulting from the commingling 
will meet all applicable requirements for refor-
mulated gasoline, including content and emis-
sion performance standards.’’. 
(d) CONSOLIDATION
IN REFORMULATED GASOLINE 
REGULATIONS.—Not later than 180 days after the date of 
enactment of this Act, the Administrator of the Environ-
mental Protection Agency shall revise the reformulated gas-
oline regulations under subpart D of part 80 of title 40, 
Code of Federal Regulations, to consolidate the regulations 
applicable to VOC-Control Regions 1 and 2 under section 
80.41 of that title by eliminating the less stringent require-
ments applicable to gasoline designated for VOC-Control 
Region 2 and instead applying the more stringent require-
ments applicable to gasoline designated for VOC-Control 
Region 1. 
(e) SAVINGS CLAUSE.—
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(1) IN GENERAL.—Nothing in this section or any 
amendment made by this section affects or prejudices 
any legal claim or action with respect to regulations 
promulgated by the Administrator before the date of 
enactment of this Act regarding— 
(A) emissions of toxic air pollutants from 
motor vehicles; or 
(B) the adjustment of standards applicable 
to a specific refinery or importer made under 
those regulations. 
(2) ADJUSTMENT OF STANDARDS.— 
(A) 
APPLICABILITY.—The 
Administrator 
may apply any adjustments to the standards ap-
plicable to a refinery or importer under subpara-
graph (B)(iii)(I) of section 211(k)(1) of the 
Clean Air Act (as added by subsection (b)(2)), 
except that— 
(i) the Administrator shall revise the 
adjustments to be based only on calendar 
years 2001 and 2002; 
(ii) any such adjustment shall not be 
made at a level below the average percent-
age of reductions of emissions of toxic air 
pollutants for reformulated gasoline sup-
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plied to PADD I during calendar years 
2001 and 2002; and 
(iii) in the case of an adjustment based 
on toxic air pollutant emissions from refor-
mulated gasoline significantly below the na-
tional annual average emissions of toxic air 
pollutants from all reformulated gasoline— 
(I) the Administrator may revise 
the adjustment to take account of the 
scope of the prohibition on methyl ter-
tiary butyl ether imposed by para-
graph (5) of section 211(c) of the Clean 
Air Act (as added by section 211(c)); 
and 
(II) any such adjustment shall re-
quire the refiner or importer, to the 
maximum extent practicable, to main-
tain the reduction achieved during cal-
endar years 2001 and 2002 in the av-
erage annual aggregate emissions of 
toxic air pollutants from reformulated 
gasoline produced or distributed by the 
refiner or importer.
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SEC. 225. PUBLIC HEALTH AND ENVIRONMENTAL IMPACTS 
OF FUELS AND FUEL ADDITIVES. 
Section 211(b) of the Clean Air Act (42 U.S.C. 
7545(b)) is amended— 
(1) in paragraph (2)— 
(A) by striking ‘‘may also’’ and inserting 
‘‘shall, on a regular basis,’’; and 
(B) by striking subparagraph (A) and in-
serting the following: 
‘‘(A) to conduct tests to determine potential 
public health and environmental effects of the 
fuel 
or 
additive 
(including 
carcinogenic, 
teratogenic, or mutagenic effects); and’’; and 
(2) by adding at the end the following: 
‘‘(4) STUDY ON CERTAIN FUEL ADDITIVES AND 
BLENDSTOCKS.— 
‘‘(A) IN GENERAL.—Not later than 2 years 
after the date of enactment of this paragraph, the 
Administrator shall— 
‘‘(i) conduct a study on the effects on 
public health (including the effects on chil-
dren, pregnant women, minority or low-in-
come communities, and other sensitive pop-
ulations), air quality, and water resources 
of increased use of, and the feasibility of
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using as substitutes for methyl tertiary 
butyl ether in gasoline— 
‘‘(I) ethyl tertiary butyl ether; 
‘‘(II) tertiary amyl methyl ether; 
‘‘(III) di-isopropyl ether; 
‘‘(IV) tertiary butyl alcohol; 
‘‘(V) other ethers and heavy alco-
hols, as determined by then Adminis-
trator; 
‘‘(VI) ethanol; 
‘‘(VII) iso-octane; and 
‘‘(VIII) alkylates; and 
‘‘(ii) conduct a study on the effects on 
public health (including the effects on chil-
dren, pregnant women, minority or low-in-
come communities, and other sensitive pop-
ulations), air quality, and water resources 
of the adjustment for ethanol-blended refor-
mulated gasoline to the volatile organic 
compounds performance requirements that 
are applicable under paragraphs (1) and 
(3) of section 211(k); and 
‘‘(iii) submit to the Committee on En-
vironment and Public Works of the Senate 
and the Committee on Energy and Com-
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merce of the House of Representatives a re-
port describing the results of the studies 
under clauses (i) and (ii). 
‘‘(B) CONTRACTS FOR STUDY.—In carrying 
out this paragraph, the Administrator may enter 
into 1 or more contracts with nongovernmental 
entities such as— 
‘‘(i) the national energy laboratories; 
and 
‘‘(ii) institutions of higher education 
(as defined in section 101 of the Higher 
Education Act of 1965 (20 U.S.C. 1001)).’’. 
SEC. 226. ANALYSES OF MOTOR VEHICLE FUEL CHANGES. 
Section 211 of the Clean Air Act (42 U.S.C. 7545) (as 
amended by section 205(a)) is amended by inserting after 
subsection (p) the following: 
‘‘(q) 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 para-
graph, the Administrator shall publish for public 
comment a draft analysis of the changes in emis-
sions of air pollutants and air quality due to the 
use of motor vehicle fuel and fuel additives re-
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sulting from implementation of the amendments 
made by the Federal Reformulated Fuels Act of 
2005. 
‘‘(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 publish 
the analysis in final form. 
‘‘(2) EMISSIONS MODEL.—For the purposes of 
this section, not later than 4 years after the date of 
enactment of this paragraph, the Administrator shall 
develop and finalize an emissions model that reflects, 
to the maximum extent practicable, the effects of gaso-
line characteristics or components on emissions from 
vehicles in the motor vehicle fleet during calendar 
year 2007. 
‘‘(3) PERMEATION EFFECTS STUDY.— 
‘‘(A) IN GENERAL.—Not later than 1 year 
after the date of enactment of this paragraph, the 
Administrator shall conduct a study, and report 
to Congress the results of the study, on the effects 
of ethanol content in gasoline on permeation, the 
process by which fuel molecules migrate through 
the elastomeric materials (rubber and plastic
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parts) that make up the fuel and fuel vapor sys-
tems of a motor vehicle. 
‘‘(B) EVAPORATIVE EMISSIONS.—The study 
shall include estimates of the increase in total 
evaporative emissions likely to result from the 
use of gasoline with ethanol content in a motor 
vehicle, and the fleet of motor vehicles, due to 
permeation.’’. 
SEC. 227. ADDITIONAL OPT-IN AREAS UNDER REFORMU-
LATED GASOLINE PROGRAM. 
Section 211(k)(6) of the Clean Air Act (42 U.S.C. 
7545(k)(6)) is amended— 
(1) by striking ‘‘(6) OPT-IN AREAS.—(A) Upon’’ 
and inserting the following: 
‘‘(6) OPT-IN AREAS.— 
‘‘(A) CLASSIFIED AREAS.— 
‘‘(i) IN GENERAL.—Upon’’; 
(2) in subparagraph (B), by striking ‘‘(B) If’’ 
and inserting the following: 
‘‘(ii) EFFECT
OF
INSUFFICIENT
DO-
MESTIC CAPACITY TO PRODUCE REFORMU-
LATED GASOLINE.—If’’; 
(3) in subparagraph (A)(ii) (as redesignated by 
paragraph (2))—
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(A) in the first sentence, by striking ‘‘sub-
paragraph (A)’’ and inserting ‘‘clause (i)’’; and 
(B) in the second sentence, by striking ‘‘this 
paragraph’’ and inserting ‘‘this subparagraph’’; 
and 
(4) by adding at the end the following: 
‘‘(B) OZONE TRANSPORT REGION.— 
‘‘(i) APPLICATION OF PROHIBITION.— 
‘‘(I) IN
GENERAL.—On applica-
tion of the Governor of a State in the 
ozone transport region established by 
section 184(a), the Administrator, not 
later than 180 days after the date of 
receipt of the application, shall apply 
the prohibition specified in paragraph 
(5) to any area in the State (other 
than an area classified as a marginal, 
moderate, serious, or severe ozone non-
attainment area under subpart 2 of 
part D of title I) unless the Adminis-
trator determines under clause (iii) 
that there is insufficient capacity to 
supply reformulated gasoline. 
‘‘(II) PUBLICATION
OF
APPLICA-
TION.—As soon as practicable after the
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date of receipt of an application under 
subclause (I), the Administrator shall 
publish the application in the Federal 
Register. 
‘‘(ii) PERIOD
OF
APPLICABILITY.— 
Under clause (i), the prohibition specified 
in paragraph (5) shall apply in a State— 
‘‘(I) commencing as soon as prac-
ticable but not later than 2 years after 
the date of approval by the Adminis-
trator of the application of the Gov-
ernor of the State; and 
‘‘(II) ending not earlier than 4 
years after the commencement date de-
termined under subclause (I). 
‘‘(iii) EXTENSION OF COMMENCEMENT 
DATE BASED ON INSUFFICIENT CAPACITY.— 
‘‘(I) IN
GENERAL.—If, after re-
ceipt of an application from a Gov-
ernor of a State under clause (i), the 
Administrator determines, on the Ad-
ministrator’s own motion or on peti-
tion of any person, after consultation 
with the Secretary of Energy, that 
there is insufficient capacity to supply
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reformulated gasoline, the Adminis-
trator, by regulation— 
‘‘(aa) shall extend the com-
mencement date with respect to 
the State under clause (ii)(I) for 
not more than 1 year; and 
‘‘(bb) may renew the exten-
sion under item (aa) for 2 addi-
tional periods, each of which shall 
not exceed 1 year. 
‘‘(II) DEADLINE FOR ACTION ON 
PETITIONS.—The Administrator shall 
act on any petition submitted under 
subclause (I) not later than 180 days 
after the date of receipt of the peti-
tion.’’. 
SEC. 228. FEDERAL ENFORCEMENT OF STATE FUELS RE-
QUIREMENTS. 
Section 211(c)(4)(C) of the Clean Air Act (42 U.S.C. 
7545(c)(4)(C)) is amended— 
(1) by striking ‘‘(C) A State’’ and inserting the 
following: 
‘‘(C) AUTHORITY
OF STATE
TO
CONTROL 
FUELS AND FUEL ADDITIVES FOR REASONS OF 
NECESSITY.—
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‘‘(i) IN GENERAL.—A State’’; and 
(2) by adding at the end the following: 
‘‘(ii) ENFORCEMENT BY THE ADMINIS-
TRATOR.—In any case in which a State 
prescribes and enforces a control or prohibi-
tion under clause (i), the Administrator, at 
the request of the State, shall enforce the 
control or prohibition as if the control or 
prohibition had been adopted under the 
other provisions of this section.’’. 
SEC. 229. FUEL SYSTEM REQUIREMENTS HARMONIZATION 
STUDY. 
(a) STUDY.— 
(1) IN GENERAL.—The Administrator of the En-
vironmental Protection Agency and the Secretary of 
Energy shall jointly conduct a study of Federal, 
State, and local requirements concerning motor vehi-
cle 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—
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(A) the effect of the variety of requirements 
described in paragraph (1) on the supply, qual-
ity, and price of motor vehicle fuels available to 
the consumer; 
(B) the effect of the requirements described 
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 (in-
cluding the protection of children, pregnant 
women, minority or low-income commu-
nities, and other sensitive populations); 
(C) the effect of Federal, State, and local 
motor vehicle fuel regulations, including multiple 
motor vehicle fuel requirements, on— 
(i) domestic refiners; 
(ii) the fuel distribution system; and 
(iii) industry investment in new ca-
pacity; 
(D) the effect of the requirements described 
in paragraph (1) on emissions from vehicles, re-
finers, and fuel handling facilities; 
(E) the feasibility of developing national or 
regional motor vehicle fuel slates for the 48 con-
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tiguous States that, while protecting and im-
proving air quality at the national, regional, 
and local levels, could— 
(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; and 
(F) the feasibility of providing incentives, 
and the need for the development of national 
standards necessary, to promote cleaner burning 
motor vehicle fuel. 
(b) REPORT.— 
(1) IN GENERAL.—Not later than June 1, 2008, 
the Administrator of the Environmental Protection 
Agency and the Secretary of Energy shall submit to 
Congress a report on the results of the study con-
ducted under subsection (a). 
(2) RECOMMENDATIONS.—
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(A) IN GENERAL.—The report shall contain 
recommendations for legislative and administra-
tive 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 rec-
ommendations 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, 
the Administrator of the Environmental Protection 
Agency and the Secretary of Energy shall consult 
with— 
(A) the Governors of the States; 
(B) automobile manufacturers; 
(C) State and local air pollution control 
regulators; 
(D) public health experts; 
(E) motor vehicle fuel producers and dis-
tributors; and
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(F) the public. 
SEC. 230. ADVANCED BIOFUEL TECHNOLOGIES PROGRAM. 
(a) IN GENERAL.—Subject to the availability of appro-
priations under subsection (d), the Administrator of the En-
vironmental Protection Agency shall, in consultation with 
the Secretary of Agriculture and the Biomass Research and 
Development Technical Advisory Committee established 
under section 306 of the Biomass Research and Develop-
ment Act of 2000 (Public Law 106–224; 7 U.S.C. 8101 
note), establish a program, to be known as the ‘‘Advanced 
Biofuel Technologies Program’’, to demonstrate advanced 
technologies for the production of alternative transportation 
fuels. 
(b) PRIORITY.—In carrying out the program under 
subsection (a), the Administrator shall give priority to 
projects that enhance the geographical diversity of alter-
native fuels production and utilize feedstocks that represent 
10 percent or less of ethanol or biodiesel fuel production 
in the United States during the previous fiscal year. 
(c) DEMONSTRATION PROJECTS.— 
(1) IN GENERAL.—As part of the program under 
subsection (a), the Administrator shall fund dem-
onstration projects—
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(A) to develop not less than 4 different con-
version technologies for producing cellulosic bio-
mass ethanol; and 
(B) to develop not less than 5 technologies 
for coproducing value-added bioproducts (such as 
fertilizers, herbicides, and pesticides) resulting 
from the production of biodiesel fuel. 
(2) ADMINISTRATION.—Demonstration projects 
under this subsection shall be— 
(A) conducted based on a merit-reviewed, 
competitive process; and 
(B) subject to the cost-sharing requirements 
of section 1002. 
(d) AUTHORIZATION OF APPROPRIATIONS.—There are 
authorized to be appropriated to carry out this section 
$110,000,000 for each of fiscal years 2005 through 2009. 
SEC. 231. SUGAR CANE ETHANOL PROGRAM. 
(a) DEFINITION OF PROGRAM.—In this section, the 
term ‘‘program’’ means the Sugar Cane Ethanol Program 
established by subsection (b). 
(b) ESTABLISHMENT.—There is established within the 
Environmental Protection Agency a program to be known 
as the ‘‘Sugar Cane Ethanol Program’’. 
(c) PROJECT.—
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(1) IN GENERAL.—Subject to the availability of 
appropriations under subsection (d), in carrying out 
the program, the Administrator of the Environmental 
Protection Agency shall establish a project that is— 
(A) carried out in multiple States— 
(i) in each of which is produced cane 
sugar that is eligible for loans under section 
156 of the Federal Agriculture Improvement 
and Reform Act of 1996 (7 U.S.C. 7272), or 
a similar subsequent authority; and 
(ii) at the option of each such State, 
that have an incentive program that re-
quires the use of ethanol in the State; and 
(B) designed to study the production of eth-
anol from cane sugar, sugarcane, and sugarcane 
byproducts. 
(2) REQUIREMENTS.—A project described in 
paragraph (1) shall— 
(A) be limited to the production of ethanol 
in the States of Florida, Louisiana, Texas, and 
Hawaii in a way similar to the existing pro-
gram for the processing of corn for ethanol to 
demonstrate that the process may be applicable 
to cane sugar, sugarcane, and sugarcane byprod-
ucts;
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(B) include information on the ways in 
which the scale of production may be replicated 
once the sugar cane industry has located sites 
for, and constructed, ethanol production facili-
ties; and 
(C) not last more than 3 years. 
(d) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized to be appropriated to carry out this section 
$36,000,000, to remain available until expended. 
SEC. 232. NATIONAL PRIORITY PROJECT DESIGNATION. 
(a) 
DESIGNATION
OF
NATIONAL
PRIORITY 
PROJECTS.— 
(1) IN GENERAL.—There is established the Na-
tional Priority Project Designation (referred to in 
this section as the ‘‘Designation’’), which shall be evi-
denced by a medal bearing the inscription ‘‘National 
Priority Project’’. 
(2) DESIGN AND MATERIALS.—The medal shall 
be of such design and materials and bear such addi-
tional inscriptions as the President may prescribe. 
(b) MAKING AND PRESENTATION OF DESIGNATION.— 
(1) IN GENERAL.—The President, on the basis of 
recommendations made by the Secretary, shall annu-
ally designate organizations that have—
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(A) advanced the field of renewable energy 
technology and contributed to North American 
energy independence; and 
(B) been certified by the Secretary under 
subsection (e). 
(2) PRESENTATION.—The President shall des-
ignate projects with such ceremonies as the President 
may prescribe. 
(3) USE
OF
DESIGNATION.—An organization 
that receives a Designation under this section may 
publicize the Designation of the organization as a Na-
tional Priority Project in advertising. 
(4) CATEGORIES IN WHICH THE DESIGNATION 
MAY BE GIVEN.—Separate Designations shall be made 
to qualifying projects in each of the following cat-
egories: 
(A) Wind and biomass energy generation 
projects. 
(B) Photovoltaic and fuel cell energy gen-
eration projects. 
(C) Energy efficient building and renewable 
energy projects. 
(D) First-in-Class projects. 
(c) SELECTION CRITERIA.—
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(1) IN GENERAL.—Certification and selection of 
the projects to receive the Designation shall be based 
on criteria established under this subsection. 
(2) WIND, BIOMASS, AND BUILDING PROJECTS.— 
In the case of a wind, biomass, or building project, 
the project shall demonstrate that the project will in-
stall not less than 30 megawatts of renewable energy 
generation capacity. 
(3) SOLAR
PHOTOVOLTAIC
AND
FUEL
CELL 
PROJECTS.—In the case of a solar photovoltaic or fuel 
cell project, the project shall demonstrate that the 
project will install not less than 3 megawatts of re-
newable energy generation capacity. 
(4) ENERGY EFFICIENT BUILDING AND RENEW-
ABLE ENERGY PROJECTS.—In the case of an energy 
efficient building or renewable energy project, in ad-
dition to meeting the criteria established under para-
graph (2), each building project shall demonstrate 
that the project will— 
(A) comply with third-party certification 
standards 
for 
high-performance, 
sustainable 
buildings; 
(B) use whole-building integration of energy 
efficiency and environmental performance design
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and technology, including advanced building 
controls; 
(C) use renewable energy for at least 50 per-
cent of the energy consumption of the project; 
(D) comply with applicable Energy Star 
standards; and 
(E) include at least 5,000,000 square feet of 
enclosed space. 
(5) 
FIRST-IN-CLASS
USE.—Notwithstanding 
paragraphs (2) through (4), a new building project 
may qualify under this section if the Secretary deter-
mines that the project— 
(A) represents a First-In-Class use of re-
newable energy; or 
(B) otherwise establishes a new paradigm of 
building integrated renewable energy use or en-
ergy efficiency. 
(d) APPLICATION.— 
(1) INITIAL APPLICATIONS.—No later than 120 
days after the date of enactment of this Act, and an-
nually thereafter, the Secretary shall publish in the 
Federal Register an invitation and guidelines for sub-
mitting applications, consistent with this section.
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(2) CONTENTS.—The application shall describe 
the project, or planned project, and the plans to meet 
the criteria established under subsection (c). 
(e) CERTIFICATION.— 
(1) IN GENERAL.—Not later than 60 days after 
the application period described in subsection (d), 
and annually thereafter, the Secretary shall certify 
projects that are reasonably expected to meet the cri-
teria established under subsection (c). 
(2) CERTIFIED PROJECTS.—The Secretary shall 
designate personnel of the Department to work with 
persons carrying out each certified project and ensure 
that the personnel— 
(A) provide each certified project with guid-
ance in meeting the criteria established under 
subsection (c); 
(B) identify programs of the Department, 
including National Laboratories and Technology 
Centers, that will assist each project in meeting 
the criteria established under subsection (c); and 
(C) ensure that knowledge and transfer of 
the most current technology between the applica-
ble resources of the Federal Government (includ-
ing the National Laboratories and Technology 
Centers, the Department, and the Environmental
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Protection Agency) and the certified projects is 
being facilitated to accelerate commercialization 
of work developed through those resources. 
(f) AUTHORIZATION OF APPROPRIATIONS.—There are 
authorized to be appropriated such sums as are necessary 
to carry out this section for each of fiscal years 2006 
through 2010. 
SEC. 233. RURAL AND REMOTE COMMUNITY ELECTRIFICA-
TION GRANTS. 
The Public Utility Regulatory Policies Act of 1978 (16 
U.S.C. 2601 et seq.) is amended in title VI by adding at 
the end the following: 
‘‘SEC. 609. RURAL AND REMOTE COMMUNITIES ELEC-
TRIFICATION GRANTS. 
‘‘(a) DEFINITIONS.—In this section: 
‘‘(1) The term ‘eligible grantee’ means a local 
government or municipality, peoples’ utility district, 
irrigation district, and cooperative, nonprofit, or lim-
ited-dividend association in a rural area. 
‘‘(2) The term ‘incremental hydropower’ means 
additional generation achieved from increased effi-
ciency after January 1, 2005, at a hydroelectric dam 
that was placed in service before January 1, 2005. 
‘‘(3) The term ‘renewable energy’ means elec-
tricity generated from—
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‘‘(A) a renewable energy source; or 
‘‘(B) hydrogen, other than hydrogen pro-
duced from a fossil fuel, that is produced from 
a renewable energy source. 
‘‘(4) The term ‘renewable energy source’ means— 
‘‘(A) wind; 
‘‘(B) ocean waves; 
‘‘(C) biomass; 
‘‘(D) solar 
‘‘(E) landfill gas; 
‘‘(F) incremental hydropower; 
‘‘(G) livestock methane; or 
‘‘(H) geothermal energy. 
‘‘(5) The term ‘rural area’ means a city, town, 
or unincorporated area that has a population of not 
more than 10,000 inhabitants. 
‘‘(b) GRANTS.—The Secretary, in consultation with the 
Secretary of Agriculture and the Secretary of the Interior, 
may provide grants under this section to eligible grantees 
for the purpose of— 
‘‘(1) increasing energy efficiency, siting or up-
grading transmission and distribution lines serving 
rural areas,; or 
‘‘(2) providing or modernizing electric genera-
tion facilities that serve rural areas.
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‘‘(c) GRANT ADMINISTRATION.—(1) The Secretary 
shall make grants under this section based on a determina-
tion of cost-effectiveness and the most effective use of the 
funds to achieve the purposes described in subsection (b). 
‘‘(2) For each fiscal year, the Secretary shall allocate 
grant funds under this section equally between the purposes 
described in paragraphs (1) and (2) of subsection (b). 
‘‘(3) In making grants for the purposes described in 
subsection (b)(2), the Secretary shall give preference to re-
newable energy facilities. 
‘‘(d) AUTHORIZATION OF APPROPRIATIONS.—There is 
authorized to be appropriated to the Secretary to carry out 
this section $20,000,000 for each of fiscal years 2006 
through 2012.’’. 
SEC. 234. WASTE-DERIVED ETHANOL AND BIODIESEL. 
Section 312(f)(1) of the Energy Policy Act of 1992 (42 
U.S.C. 13220(f)(1)) is amended— 
(1) by striking ‘‘‘biodiesel’ means’’ and inserting 
the following: ‘‘‘biodiesel’— 
‘‘(A) means’’; and 
(2) in subparagraph (A) (as designated by para-
graph (1)) by striking ‘‘and’’ at the end and inserting 
the following: 
‘‘(B) includes biodiesel derived from—