I 
109TH CONGRESS 
2D SESSION 
H. R. 5965 
To strengthen national security and promote energy independence by reducing 
the Nation’s reliance on foreign oil, improving vehicle technology and 
efficiency, increasing the distribution of alternative fuels, bolstering rail 
infrastructure, and expanding access to public transit. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 28, 2006 
Mr. HOYER (for himself, Mr. DINGELL, Mr. SKELTON, Mr. OBERSTAR, Mr. 
SPRATT, Mr. OBEY, Mr. FRANK of Massachusetts, Mr. GORDON, Mr. 
BERMAN, Mr. UDALL of Colorado, Ms. HERSETH, Mr. BLUMENAUER, 
Mr. SCHIFF, Mr. ACKERMAN, Ms. BEAN, Ms. BERKLEY, Mr. BISHOP of 
New York, Mr. BOUCHER, Ms. CORRINE BROWN of Florida, Mr. CARDIN, 
Mr. CASE, Mr. CLEAVER, Mr. COSTA, Mr. CUMMINGS, Mr. DAVIS of 
Florida, Ms. DELAURO, Mr. ETHERIDGE, Mr. FATTAH, Mr. HOLT, Mr. 
KILDEE, Mr. KIND, Mr. KUCINICH, Ms. LEE, Ms. MATSUI, Ms. MCCOL-
LUM of Minnesota, Mr. MCGOVERN, Ms. MOORE of Wisconsin, Ms. NOR-
TON, Mr. PRICE of North Carolina, Mr. REYES, Mr. SABO, Ms. 
SCHWARTZ of Pennsylvania, Mr. SERRANO, Mr. SMITH of Washington, 
Mrs. TAUSCHER, Mr. VAN HOLLEN, Mr. MILLER of North Carolina, Mr. 
ROSS, Ms. DEGETTE, Mr. CLAY, Mr. GONZALEZ, Mr. RUPPERSBERGER, 
Mr. DAVIS of Illinois, Mr. MORAN of Virginia, and Mr. HINOJOSA) intro-
duced the following bill; which was referred to the Committee on Energy 
and Commerce, and in addition to the Committees on Armed Services, 
Government Reform, Rules, Science, Ways and Means, House Adminis-
tration, and Transportation and Infrastructure, for a period to be subse-
quently determined by the Speaker, in each case for consideration of such 
provisions as fall within the jurisdiction of the committee concerned 
A BILL 
To strengthen national security and promote energy inde-
pendence by reducing the Nation’s reliance on foreign 
oil, improving vehicle technology and efficiency, increas-
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ing the distribution of alternative fuels, bolstering rail 
infrastructure, and expanding access to public transit. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Program for Real Energy Security Act’’ or the 
‘‘PROGRESS Act’’. 
(b) TABLE OF CONTENTS.—The table of contents of 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Findings. 
TITLE I—NATIONAL COMMISSION ON ENERGY SECURITY AND 
TRANSITION TO NEW FUELS 
Sec. 101. Establishment. 
Sec. 102. Duties of Commission. 
Sec. 103. Membership. 
Sec. 104. Initial meeting. 
Sec. 105. Administrative assistance. 
Sec. 106. Powers of Commission. 
Sec. 107. Reports. 
Sec. 108. Action on report recommendations. 
Sec. 109. Termination. 
TITLE II—NEW MANHATTAN CENTER FOR HIGH EFFICIENCY 
VEHICLES 
Sec. 201. Findings. 
Sec. 202. Definitions. 
Sec. 203. New Manhattan Center for High Efficiency Vehicles. 
Sec. 204. Advisory council. 
Sec. 205. Responsibilities. 
Sec. 206. Export of high-efficiency vehicle manufacturing. 
Sec. 207. Protection of information. 
Sec. 208. Authorization on appropriations. 
Sec. 209. Advanced battery loan guarantee program. 
Sec. 210. Domestic manufacturing conversion grant program. 
TITLE III—BIOFUELS INFRASTRUCTURE DEVELOPMENT 
Sec. 301. Biofuels infrastructure development. 
TITLE IV—GOVERNMENT USE AND DIVERSITY OF SUPPLY 
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Sec. 401. Renewable fuel regulations. 
Sec. 402. Grants for cellulosic ethanol production. 
Sec. 403. Standard specifications for biodiesel. 
Sec. 404. Requirement for greater use of alternative fuels in Federal fleet. 
Sec. 405. Requirement for Inspector General investigations relating to alter-
native fuel use and supply in Federal agencies and regulations. 
Sec. 406. Report on vehicles and infrastructure for alternative fuel use. 
Sec. 407. Funds set aside for alternative fuel infrastructure. 
Sec. 408. Authority for Department of Defense to enter into long-term con-
tracts to procure biobased fuel and unconventional fuel. 
Sec. 409. Federal support for plug-in hybrid electric vehicles. 
Sec. 410. Congressional alternative fuel use in vehicles. 
TITLE V—TRANSIT PROMOTION AND RAIL INFRASTRUCTURE 
DEVELOPMENT 
Subtitle A—Transit 
Sec. 501. Increase and expansion of employer-provided mass transit fringe ben-
efits. 
Sec. 502. Grants to improve public transportation services. 
Sec. 503. Study of fuel savings from intelligent transportation systems. 
Subtitle B—Secure Access for Commuter Rail 
Sec. 511. Short title. 
Sec. 512. Findings. 
Sec. 513. Rail transit access. 
Sec. 514. Rail transportation policy. 
Subtitle C—Intercity Passenger Rail and Rail Bond Program 
Sec. 521. Capital assistance for intercity passenger rail service; State rail plans. 
Sec. 522. State rail plans. 
Sec. 523. Rail cooperative research program. 
Sec. 524. High-speed intercity rail facility bonds. 
Sec. 525. Tax credit to holders of qualified high-speed rail infrastructure bonds. 
Subtitle D—Energy Supply and Freight Rail 
Sec. 531. Short title. 
Sec. 532. Capital grants for railroad track. 
Subtitle E—Rail Reliability 
Sec. 541. Reliability of railroad transportation of energy supplies. 
SEC. 2. FINDINGS. 
The Congress finds the following: 
(1) The United States dependence on foreign 
petroleum poses a serious risk to our national secu-
rity and our economic well-being. The United States 
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must immediately develop a proactive energy strat-
egy that includes the promotion of energy efficiency 
and the investment in alternative and new energy 
technologies. 
(2) America should achieve energy independ-
ence by reducing its reliance on oil from the Middle 
East and other unstable regions of the world by de-
veloping emerging technologies that work in synergy 
with the existing energy infrastructure. A sustained 
investment in research and development is crucial to 
creating cutting-edge technologies that allow us to 
develop clean, sustainable energy alternatives and 
capitalize on America’s vast renewable natural re-
sources. 
(3) The Federal Government should lead the 
Nation in an effort to substantially reduce the use 
of petroleum based fuels by rapidly expanding pro-
duction and distribution of synthetic and biobased 
fuels, such as ethanol derived from cellulosic sources, 
and by deploying new engine technologies for fuel- 
flexible, hybrid, plug-in hybrid, and biodiesel vehi-
cles. 
(4) The Nation will be more secure by making 
a concerted effort to improve the diversity and reli-
ability of the Nation’s energy resources and trans-
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portation fuels. We must make greater investments 
in renewable energy, alternative fuels such as bio-
mass, and efficiency improvements to answer our 
growing demand for energy. 
(5) The Federal Government should undertake 
a complete review of regulations that may affect 
supply and bottlenecks that create regional emer-
gencies that threaten the well-being of our economy 
and the health and safety of our citizens. We must 
make every effort to use all of our energy sources, 
making each a cleaner, safer contributor to the Na-
tion’s energy resources. 
(6) Despite the expenditure of billions of dollars 
on homeland security since 9/11, the American peo-
ple are still vulnerable to attack by terrorists at 
home. Recent natural disasters have also under-
scored the vulnerability and critical importance of 
energy supply to the Nation’s economic vitality. Our 
energy facilities, transportation systems, and critical 
infrastructure must be adequately secured. 
(7) Not only must our energy infrastructure be 
secured, but Americans must feel safe in utilizing 
mass transit systems. Transit provides an alter-
native form of commuting, reduces the use of oil and 
gasoline, and plays a key role in moving Americans 
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and their families in times of emergencies as well. 
Increasing security for mass transit through addi-
tional funding for rail, bus, and subway security is 
part of the Nation’s energy security. 
TITLE 
I—NATIONAL 
COMMIS-
SION ON ENERGY SECURITY 
AND 
TRANSITION 
TO 
NEW 
FUELS 
SEC. 101. ESTABLISHMENT. 
There is established a commission to be known as the 
‘‘National Commission on Energy Security and Transition 
to New Fuels’’ (in this title referred to as the ‘‘Commis-
sion’’). 
SEC. 102. DUTIES OF COMMISSION. 
The Commission shall make recommendations to the 
Congress and the President for preserving the national en-
ergy security in the event of a terrorist attack or natural 
disaster, and for reducing United States dependence on 
foreign oil according to a schedule for national energy 
independence over the next 5, 10, 15, and 20 years. The 
Commission shall focus on regional approaches to achiev-
ing such goals, taking into account regional differences in 
energy supply and demand, and shall— 
(1) address fuel supply and infrastructure needs 
to support the development of wide-scale use of al-
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ternative fueled vehicles, including flexible-fuel vehi-
cles, electric hybrid vehicles, advanced diesel engines, 
and hydrogen fueled vehicles, for passenger cars, 
commercial fleets, and industrial vehicles; 
(2) identify vulnerabilities in energy infrastruc-
ture, such as overreliance on refining capacity con-
centrated in areas susceptible to hurricane damage, 
and recommend actions to remedy or mitigate such 
vulnerabilities; 
(3) propose legislative actions to— 
(A) promote efficiency and biomass and 
other alternative resource use, including the de-
velopment of biofuels, battery, and composite 
material technologies; and 
(B) pursue near-term options to reduce 
transportation fuel demand, such as expanded 
use of public transit; and 
(4) propose Federal, State, and local fiscal and 
regulatory changes to accomplish the purposes de-
scribed in this subsection, and develop uniform codes 
and other tools for use by governments to accom-
plish those purposes. 
SEC. 103. MEMBERSHIP. 
(a) NUMBER AND APPOINTMENT.— 
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(1) IN GENERAL.—The Commission shall con-
sist of— 
(A) 6 members appointed by the Speaker 
of the House of Representatives, including— 
(i) 1 appointed in consultation with 
the chairman of the Committee on Energy 
and Commerce; 
(ii) 1 appointed in consultation with 
the chairman of the Committee on Trans-
portation and Infrastructure; 
(iii) 1 appointed in consultation with 
the chairman of the Committee on Agri-
culture; 
(iv) 1 appointed in consultation with 
the chairman of the Committee on Govern-
ment Reform; 
(v) 1 appointed in consultation with 
the chairman of the Committee on Science; 
and 
(vi) 1 appointed in consultation with 
the chairman of the Committee on Armed 
Services; 
(B) 6 members appointed by the minority 
leader of the House of Representatives, includ-
ing— 
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(i) 1 appointed in consultation with 
the ranking minority member of the Com-
mittee on Energy and Commerce; 
(ii) 1 appointed in consultation with 
the ranking minority member of the Com-
mittee on Transportation and Infrastruc-
ture; 
(iii) 1 appointed in consultation with 
the ranking minority member of the Com-
mittee on Agriculture; 
(iv) 1 appointed in consultation with 
the ranking minority member of the Com-
mittee on Government Reform; 
(v) 1 appointed in consultation with 
the ranking minority member of the Com-
mittee on Science; and 
(vi) 1 appointed in consultation with 
the chairman of the Committee on Armed 
Services; 
(C) 6 members appointed by the majority 
leader of the Senate, including— 
(i) 1 appointed in consultation with 
the chairman of the Committee on Com-
merce, Science, and Transportation; 
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(ii) 1 appointed in consultation with 
the chairman of the Committee on Energy 
and Natural Resources; 
(iii) 1 appointed in consultation with 
the chairman of the Committee on Home-
land Security and Governmental Affairs; 
and 
(iv) 1 appointed in consultation with 
the chairman of the Committee on Armed 
Services; 
(D) 6 members appointed by the minority 
leader of the Senate, including— 
(i) 1 appointed in consultation with 
the ranking minority member of the Com-
mittee on Commerce, Science, and Trans-
portation; 
(ii) 1 appointed in consultation with 
the ranking minority member of the Com-
mittee on Energy and Natural Resources; 
(iii) 1 appointed in consultation with 
the ranking minority member of the Com-
mittee on Homeland Security and Govern-
mental Affairs; and 
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(iv) 1 appointed in consultation with 
the chairman of the Committee on Armed 
Services; and 
(E) 12 members appointed by the Presi-
dent, including— 
(i) 1 appointed in consultation with 
the Secretary of Energy; 
(ii) 1 appointed in consultation with 
the Secretary of Transportation; 
(iii) 1 appointed in consultation with 
the Secretary of Commerce; 
(iv) 1 appointed in consultation with 
the Secretary of Agriculture; and 
(v) 1 appointed in consultation with 
the Administrator of the Environmental 
Protection Agency. 
(2) APPOINTMENT PRINCIPLES.— 
(A) CHAIRMAN.—The President shall des-
ignate 1 member appointed under paragraph 
(1)(E) to be Chairman of the Commission. 
(B) CONSULTATION.—At least 3 of the ap-
pointments by the President shall be made in 
consultation with the bipartisan national asso-
ciations representing elected State and local 
governmental officials. 
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(C) LIMITATION
ON
PARTY
MEMBER-
SHIP.—Not more than 3 of the members ap-
pointed by the President under paragraph 
(1)(E), other than members appointed under 
clauses (i) through (v) of that subparagraph, 
shall be members of the same political party as 
the President. 
(D) BALANCE.—Each person appointing 
members of the Commission under paragraph 
(1) shall seek to achieve a balance of Commis-
sion members among representatives of appro-
priate Federal, State, and local government 
agencies, industry, academia, and nonprofit 
stakeholder organizations, and among diverse 
geographical areas. 
(b) VACANCIES.—Any vacancy occurring before the 
termination of the Commission shall be filled in the same 
manner as the original appointment. 
(c) COMPENSATION.— 
(1) IN GENERAL.—Except as provided in para-
graph (2), members of the Commission shall serve 
without pay. 
(2) TRAVEL
EXPENSES.—Each member shall 
receive travel expenses, including per diem in lieu of 
subsistence, in accordance with applicable provisions 
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under chapter I of chapter 57 of title 5, United 
States Code. 
(d) RECOMMENDATIONS.—The Commission may only 
make recommendations if 75 percent or more of its mem-
bership approve those recommendations. 
SEC. 104. INITIAL MEETING. 
The Commission shall hold its initial meeting not 
later than 60 days after the date of enactment of this Act. 
SEC. 105. ADMINISTRATIVE ASSISTANCE. 
(a) IN GENERAL.—The Secretary of Energy shall 
provide to the Commission any administrative assistance 
necessary for the Commission to carry out its duties under 
this title. 
(b) EXPERTS AND CONSULTANTS.—The Commission 
may procure temporary and intermittent services under 
section 3109(b) of title 5, United States Code. 
(c) STAFF OF FEDERAL AGENCIES.—Upon request 
of the Commission, the head of any Federal department 
or agency may detail, on a reimbursable basis, any of the 
personnel of that department or agency to the Commission 
to assist it in carrying out its duties under this title. 
SEC. 106. POWERS OF COMMISSION. 
(a) HEARINGS
AND SESSIONS.—The Commission 
may, for the purpose of carrying out this title, hold hear-
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ings, sit and act at times and places, take testimony, and 
receive evidence as the Commission considers appropriate. 
(b) POWERS OF MEMBERS AND AGENTS.—Any mem-
ber or agent of the Commission may, if authorized by the 
Commission, take any action which the Commission is au-
thorized to take by this section. 
(c) OBTAINING OFFICIAL DATA.—The Commission 
may secure directly from any department or agency of the 
United States information necessary to enable it to carry 
out this title. Upon request of the Chairperson of the Com-
mission, the head of that department or agency shall fur-
nish that information to the Commission. 
(d) MAILS.—The Commission may use the United 
States mails in the same manner and under the same con-
ditions as other departments and agencies of the United 
States. 
(e) SUBPOENA POWER.— 
(1) IN GENERAL.—The Commission may issue 
subpoenas requiring the attendance and testimony of 
witnesses and the production of any evidence relat-
ing to any matter which the Commission is empow-
ered to investigate by this title. The attendance of 
witnesses and the production of evidence may be re-
quired from any place within the United States at 
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any designated place of hearing within the United 
States. 
(2) FAILURE TO OBEY A SUBPOENA.—If a per-
son refuses to obey a subpoena issued under para-
graph (1), the Commission may apply to a United 
States district court for an order requiring that per-
son to appear before the Commission to give testi-
mony, produce evidence, or both, relating to the 
matter under investigation. The application may be 
made within the judicial district where the hearing 
is conducted or where that person is found, resides, 
or transacts business. Any failure to obey the order 
of the court may be punished by the court as civil 
contempt. 
(3) SERVICE OF SUBPOENAS.—The subpoenas 
of the Commission shall be served in the manner 
provided for subpoenas issued by a United States 
district court under the Federal Rules of Civil Pro-
cedure for the United States district courts. 
(4) SERVICE OF PROCESS.—All process of any 
court to which application is made under paragraph 
(2) may be served in the judicial district in which 
the person required to be served resides or may be 
found. 
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SEC. 107. REPORTS. 
(a) INITIAL REPORT.—Not later than 3 months after 
the first meeting of the Commission, the Commission shall 
transmit to the President and the Congress and initial re-
port containing such recommendations as the Commission 
has been able to prepare at that time. 
(b) FINAL REPORT.—Not later than 6 months after 
transmittal of the report under subsection (a), the Com-
mission shall transmit a final report to the President and 
the Congress. The final report shall contain a detailed 
statement of the findings and conclusions of the Commis-
sion, together with its recommendations. 
SEC. 108. ACTION ON REPORT RECOMMENDATIONS. 
(a) PRESIDENTIAL RESPONSE.—Not later than 30 
days after receiving a report from the Commission under 
section 107(a) or (b), the President shall transmit to Con-
gress a response consisting of either approval or dis-
approval of each of the recommendations contained in the 
report from the Commission. Such response shall include 
an explanation for the disapproval of any such rec-
ommendation. 
(b) IMPLEMENTATION.—The appropriate Federal of-
ficials shall, unless a joint resolution described in sub-
section (c) is enacted pursuant to this section, implement 
all recommendations approved by the President under sub-
section (a). 
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(c) TERMS OF THE RESOLUTION.—For purposes of 
subsection (b), the term ‘‘joint resolution’’ means only a 
joint resolution which is introduced within the 10-day pe-
riod beginning on the date on which the President trans-
mits the response to the Congress under subsection (a), 
and— 
(1) which does not have a preamble; 
(2) the matter after the resolving clause of 
which is as follows ‘‘That Congress disapproves the 
recommendations of the National Commission on 
Energy Security and Transition to New Fuels as 
submitted by the President on lllll’’, the 
blank space being filled in with the appropriate date; 
and 
(3) the title of which is as follows: ‘‘Joint reso-
lution disapproving the recommendations of the Na-
tional Commission on Energy Security and Transi-
tion to New Fuels’’. 
(d) REFERRAL.—A resolution described in subsection 
(c) that is introduced in the House of Representatives 
shall be referred to the appropriate committees of the 
House of Representatives. A resolution described in sub-
section (c) introduced in the Senate shall be referred to 
the appropriate committees of the Senate. 
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(e) DISCHARGE.—If the committee to which a resolu-
tion described in subsection (c) is referred has not re-
ported such resolution (or an identical resolution) by the 
end of the 20-day period beginning on the date on which 
the President transmits the response to the Congress 
under subsection (a), such committee shall be, at the end 
of such period, discharged from further consideration of 
such resolution, and such resolution shall be placed on the 
appropriate calender of the House involved. 
(f) CONSIDERATION.—(1) On or after the third day 
after the date on which the committee to which such a 
resolution is referred has reported, or has been discharged 
(under subsection (e)) from further consideration of, such 
a resolution, it is in order (even though a previous motion 
to the same effect has been disagreed to) for any Member 
of the respective House to move to proceed to the consider-
ation of the resolution. A Member may make the motion 
only on the day after the calender day on which the Mem-
ber announces to the House concerned the Member’s in-
tention to make the motion, except that, in the case of 
the House of Representatives, the motion may be made 
without such prior announcement if the motion is made 
by direction of the committee to which the resolution was 
referred. All points of order against the resolution (and 
against consideration of the resolution) are waived. The 
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motion is highly privileged in the House of Representatives 
and is privileged in the Senate and is not debatable. The 
motion is not subject to amendment, or to a motion to 
postpone, or to a motion to proceed to the consideration 
of other business. A motion to reconsider the vote by 
which the motion is agreed to or disagreed to shall not 
be in order. If a motion to proceed to the consideration 
of the resolution is agreed to, the respective House shall 
immediately proceed to consideration of the joint resolu-
tion without intervening motion, order, or other business, 
and the resolution shall remain the unfinished business of 
the respective House until disposed of. 
(2) Debate on the resolution, and on all debatable 
motions and appeals in connection therewith, shall be lim-
ited to not more than 2 hours, which shall be divided 
equally between those favoring and those opposing the res-
olution. An amendment to the resolution is not in order. 
A motion to postpone, or a motion to proceed to the con-
sideration of other business, or a motion to recommit the 
resolution is not in order. A motion to reconsider the vote 
by which the resolution is agreed to or disagreed to is not 
in order. 
(3) Immediately following the conclusion of the de-
bate on a resolution described in subsection (c) and a sin-
gle quorum call at the conclusion of the debate if re-
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quested in accordance with the rules of the appropriate 
House, the vote on final passage of the resolution shall 
occur. 
(4) Appeals from the decisions of the Chair relating 
to the application of the rules of the Senate or the House 
of Representatives, as the case may be, to the procedure 
relating to a resolution described in subsection (c) shall 
be decided without debate. 
(g) CONSIDERATION BY OTHER HOUSE.—(1) If, be-
fore the passage by one House of a resolution of that 
House described in subsection (c), that House receives 
from the other House a resolution described in subsection 
(c), then the following procedures shall apply: 
(A) The resolution of the other House shall not 
be referred to a committee and may not be consid-
ered in the House receiving it except in the case of 
final passage as provided in subparagraph (B)(ii). 
(B) With respect to a resolution described in 
subsection (c) of the House receiving the resolu-
tion— 
(i) the procedure in that House shall be 
the same as if no resolution had been received 
from the other House; but 
(ii) the vote on final passage shall be on 
the resolution of the other House. 
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(2) Upon disposition of the resolution received from 
the other House, it shall no longer be in order to consider 
the resolution that originated in the receiving House. 
(h) RULES OF THE SENATE AND HOUSE.—This sec-
tion is enacted by Congress— 
(1) as an exercise of the rulemaking power of 
the Senate and House of Representatives, respec-
tively, and as such it is deemed a part of the rules 
of each House, respectively, but applicable only with 
respect to the procedure to be followed in that 
House in the case of a resolution described in sub-
section (c), and it supersedes other rules only to the 
extent that it is inconsistent with such rules; and 
(2) with full recognition of the constitutional 
right of either House to change the rules (so far as 
relating to the procedure of that House) at any time, 
in the same manner, and to the same extent as in 
the case of any other rule of that House. 
SEC. 109. TERMINATION. 
The Commission shall terminate 60 days after trans-
mitting its final report pursuant to section 107(b). 
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TITLE 
II—NEW 
MANHATTAN 
CENTER 
FOR 
HIGH 
EFFI-
CIENCY VEHICLES 
SEC. 201. FINDINGS. 
The Congress finds that— 
(1) private, academic, and government research 
and development resources need to be focused and 
coordinated to accomplish the rapid commercializa-
tion and deployment of technologies and resources 
needed to achieve energy independence; 
(2) a project similar to the Manhattan Project 
is needed to bring national attention to the need for 
energy independence and to move the United States 
beyond its reliance on oil and gasoline; 
(3) an independent entity is needed to identify 
the areas where scientific breakthroughs and govern-
ment investment are best focused, in coordination 
with private and academic efforts, to encourage the 
commercial development of viable vehicle and fuel 
technologies in areas such as efficiency, biomass, 
and hydrogen that could play a role in reducing de-
mand for oil and meeting growing domestic eco-
nomic needs for fuel; 
(4) such an entity could encourage the develop-
ment of those technologies, help break through pri-
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vate sector risk barriers to their development, and 
advise Congress and the President on policies needed 
to foster their use; and 
(5) such an effort would improve the Nation’s 
energy and national security by lowering demand for 
petroleum, increasing domestic fuel supplies, cre-
ating jobs, and improving the environment. 
SEC. 202. DEFINITIONS. 
In this title— 
(1) ADVISORY COUNCIL.—The term ‘‘Advisory 
Council’’ means the Advisory Council established 
under section 204. 
(2) CENTER.—The term ‘‘Center’’ means the 
New Manhattan Center for High Efficiency Vehicles 
established under section 203(c). 
(3) RESEARCH.—The term ‘‘research’’ includes 
research on the technologies, materials, and manu-
facturing processes required for high efficiency vehi-
cles. 
SEC. 203. NEW MANHATTAN CENTER FOR HIGH EFFI-
CIENCY VEHICLES. 
(a) SUMMIT.—Not later than 60 days after the date 
of enactment of this Act, the President shall convene a 
summit of the principal advisors and directors of all pro-
grams in the Federal Government related to the develop-
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ment of vehicle (or related and component parts) tech-
nologies and alternative fuels, including ethanol and 
biofuels, electric drive, and hydrogen. Such summit shall 
include leading researchers at the Federal laboratories and 
representatives of private sector partners, and affiliated 
labor unions, engaged in the production and manufac-
turing of these vehicle and fuel technologies. The summit 
shall be for the purpose of— 
(1) reviewing the progress and promise for each 
of these technologies toward increasing fuel econ-
omy, the interrelationship of these technologies to 
each other, and additional funding resources needed 
to accelerate the progress of these programs toward 
improving efficiency and economy dramatically in 
the next decade, including review of technology de-
veloped and lessons learned from the Federal Gov-
ernment’s initiative known as the Partnership for a 
New Generation of Vehicles; and 
(2) making recommendations as to the organi-
zation and structure of the Center described in this 
section. 
(b) PROGRAM.—The Secretary of Energy, in con-
sultation with the Secretary of Defense, the Secretary of 
Transportation, and the Administrator of the Environ-
mental Protection Agency, shall carry out a program con-
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sisting of a collaborative effort with industry, government, 
and academia to support research, development, dem-
onstration, and commercial application activities related to 
high efficiency vehicles. Such program shall include exam-
ination of motors, clutches, sensors, controllers, cooling 
systems, variable combustion engine technologies, flexible 
fueled and dual fuel fueling systems, hybrid electric flexi-
ble fuel vehicles, electric drive accessory components, and 
advanced batteries in an effort to— 
(1) reduce production costs to the lowest pos-
sible level, with special emphasis on identifying elec-
tric drive components and systems that can be ad-
vanced through research and development toward 
commercialization; 
(2) increase fuel economy; and 
(3) coordinate related Federal research, devel-
opment, and commercialization programs in accord-
ance with the recommendations resulting from the 
summit convened under subsection (a). 
(c) GRANTS.—Such program shall consist of grants 
to— 
(1) the Center, made in accordance with the 
memorandum of understanding entered into under 
subsection (e); 
(2) researchers, including Center participants; 
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(3) small businesses; 
(4) National Laboratories; and 
(5) institutions of higher education. 
(d) CENTER.—Not later than 90 days after the date 
of enactment of this Act, the Secretary of Energy shall 
competitively select a consortium to serve as the New 
Manhattan Center for High Efficiency Vehicles, which 
shall consist of participants who are private, for-profit 
United States firms, open to large and small businesses, 
that, as a group, are broadly representative of United 
States high efficiency vehicle research, development, infra-
structure, and manufacturing expertise as a whole. 
(e) MEMORANDUM OF UNDERSTANDING.—The Sec-
retary of Energy shall enter into a memorandum of under-
standing with the Center for the purposes of this title. The 
memorandum of understanding shall require the following: 
(1) That the Center shall have— 
(A) a charter agreed to by all representa-
tives of the automotive industry that are par-
ticipating members of the Center; and 
(B) an annual operating plan that is devel-
oped in the consultation with the Secretary of 
Energy and the Advisory Council. 
(2) That the total amount of funds made avail-
able to the Center by Federal, State, and local gov-
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ernment agencies for any fiscal year for the support 
of the research and development activities of the 
Center under this section may not exceed 50 percent 
of the total cost of such activities. 
(3) That the Center, in conducting research 
and development activities pursuant to the memo-
randum of understanding, cooperate with and draw 
on the expertise of the National Laboratories of the 
Department of Energy and of colleges and univer-
sities in the United States in the field of automotive 
manufacturing technology. 
(4) That an independent, commercial auditor be 
retained— 
(A) to determine the extent to which the 
funds made available to the Center by the 
United States for the research and development 
activities of the Center have been expended in 
a manner that is consistent withe the purposes 
of this title, the charter of the Center, and the 
annual operating plan of the Center; and 
(B) to submit to the Secretary of Energy, 
the Center, and the Comptroller General of the 
United States an annual report containing the 
findings and determinations of such auditor. 
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(5) That the Center take all steps necessary to 
maximize the expeditious and timely transfer of 
technology developed and owned by the Center to the 
participants in the Center in accordance with the 
agreement between the Center and those partici-
pants and for the purpose of improving the high effi-
ciency vehicle manufacturing productivity of United 
States automotive firms. 
(f) COST SHARING.—In carrying out this section, the 
Secretary of Energy shall require cost sharing in accord-
ance with section 988 of the Energy Policy Act of 2005 
(42 U.S.C.16352). 
(g) RIGHTS
TO INTELLECTUAL PROPERTY.—The 
Secretary of Energy may require (in accordance with sec-
tion 202(a)(ii) of title 35, United States Code, section 152 
of the Atomic Energy Act of 1954 (42 U.S.C. 2182), and 
section 9 of the Federal Nonnuclear Energy Research and 
Development Act of 1974 (42 U.S.C. 5908)) that for any 
new invention developed under this title— 
(1) the Center participants who are active par-
ticipants in research, development, and demonstra-
tion activities related to the high efficiency vehicle 
technologies that are covered by this section shall be 
granted the first option to negotiate with the inven-
tion owner, at least in the field of high efficiency ve-
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