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December 10, 2007, 12:00 am ET - Amendment SA 3614 proposed by Senator Domenici to Amendment SA 3500.
December 11, 2007, 12:00 am ET - Considered by Senate.
December 12, 2007, 12:00 am ET - Considered by Senate.
December 13, 2007, 12:00 am ET - Considered by Senate.
December 14, 2007, 12:00 am ET - Considered by Senate.
December 14, 2007, 12:00 am ET - Proposed amendment SA 3614 withdrawn in Senate.

Full Text of this Amendment

SA 3614. Mr. DOMENICI (for himself and Mr. THUNE) submitted an amendment intended to be proposed to amendment SA 3500 proposed by Mr. Harkin (for himself, Mr. Chambliss, Mr. Baucus, and Mr. Grassley) to the bill H.R. 2419, to provide for the continuation of agricultural programs through fiscal year 2012, and for other purposes; which was ordered to lie on the table; as follows:

At the end of title IX, add the following:
Subtitle B--Biofuels for Energy Security and Transportation


SEC. 9101. SHORT TITLE.
This subtitle may be cited as the ``Biofuels for Energy Security and Transportation Act of 2007''.
SEC. 9102. DEFINITIONS.
In this subtitle:
(1) ADVANCED BIOFUEL.--
(A) IN GENERAL.--The term ``advanced biofuel'' means fuel derived from renewable biomass other than corn starch.
(B) INCLUSIONS.--The term ``advanced biofuel'' includes--
(i) ethanol derived from cellulose, hemicellulose, or lignin;
(ii) ethanol derived from sugar or starch, other than ethanol derived from corn starch;
(iii) ethanol derived from waste material, including crop residue, other vegetative waste material, animal waste, and food waste and yard waste;
(iv) diesel-equivalent fuel derived from renewable biomass, including vegetable oil and animal fat;
(v) biogas (including landfill gas and sewage waste treatment gas) produced through the conversion of organic matter from renewable biomass;
(vi) butanol or other alcohols produced through the conversion of organic matter from renewable biomass; and
(vii) other fuel derived from cellulosic biomass.
(2) CELLULOSIC BIOMASS ETHANOL.--The term ``cellulosic biomass ethanol'' means ethanol derived from any cellulose, hemicellulose, or lignin that is derived from renewable biomass.
(3) CONVENTIONAL BIOFUEL.--The term ``conventional biofuel'' means ethanol derived from corn starch.
(4) RENEWABLE BIOMASS.--The term ``renewable biomass'' means--
(A) nonmerchantable materials or precommercial thinnings that--
(i) are byproducts of preventive treatments, such as trees, wood, brush, thinnings, chips, and slash, that are removed--
(I) to reduce hazardous fuels;
(II) to reduce or contain disease or insect infestation; or
(III) to restore forest health;
(ii) would not otherwise be used for higher-value products; and
(iii) are harvested from National Forest System land or public land (as defined in section 103 of the Federal Land Policy and Management Act of 1976 (43 U.S.C. 1702))--
(I) where permitted by law; and
(II) in accordance with--
(aa) applicable land management plans; and
(bb) the requirements for old-growth maintenance, restoration, and management direction of paragraphs (2), (3), and (4) of subsection (e) and the requirements for large-tree retention of subsection (f) of section 102 of the Healthy Forests Restoration Act of 2003 (16 U.S.C. 6512); or
(B) any organic matter that is available on a renewable or recurring basis from non-Federal land or from land belonging to an Indian tribe, or an Indian individual, that is held in trust by the United States or subject to a restriction against alienation imposed by the United States, including--
(i) renewable plant material, including--
(I) feed grains;
(II) other agricultural commodities;
(III) other plants and trees; and
(IV) algae; and
(ii) waste material, including--
(I) crop residue;
(II) other vegetative waste material (including wood waste and wood residues);
(III) animal waste and byproducts (including fats, oils, greases, and manure); and
(IV) food waste and yard waste.
(5) RENEWABLE FUEL.--
(A) IN GENERAL.--The term ``renewable fuel'' means motor vehicle fuel or home heating fuel that is--
(i) produced from renewable biomass; and
(ii) used to replace or reduce the quantity of fossil fuel present in a fuel or fuel mixture used to operate a motor vehicle or furnace.
(B) INCLUSION.--The term ``renewable fuel'' includes--
(i) conventional biofuel; and
(ii) advanced biofuel.
(6) SECRETARY.--The term ``Secretary'' means the Secretary of Energy
(7) SMALL REFINERY.--The term ``small refinery'' means a refinery for which the average aggregate daily crude oil throughput for a calendar year (as determined by dividing the aggregate throughput for the calendar year by the number of days in the calendar year) does not exceed 75,000 barrels.

PART I--RENEWABLE FUEL STANDARD
SEC. 9111. RENEWABLE FUEL STANDARD.
(a) Renewable Fuel Program.--
(1) REGULATIONS.--
(A) IN GENERAL.--Not later than 1 year after the date of enactment of this Act, the President shall promulgate regulations to ensure that motor vehicle fuel and home heating oil sold or introduced into commerce in the United States (except in noncontiguous States or territories), on an annual average basis, contains the applicable volume of renewable fuel determined in accordance with paragraph (2).
(B) PROVISIONS OF REGULATIONS.--Regardless of the date of promulgation, the regulations promulgated under subparagraph (A)--
(i) shall contain compliance provisions applicable to refineries, blenders, distributors, and importers, as appropriate, to ensure that--
(I) the requirements of this subsection are met; and
(II) renewable fuels produced from facilities that commence operations after the date of enactment of this Act achieve at least a 20 percent reduction in life cycle greenhouse gas emissions compared to gasoline; but
(ii) shall not--
(I) restrict geographic areas in the contiguous United States in which renewable fuel may be used; or
(II) impose any per-gallon obligation for the use of renewable fuel.
(C) RELATIONSHIP TO OTHER REGULATIONS.--Regulations promulgated under this paragraph shall, to the maximum extent practicable, incorporate the program structure, compliance, and reporting requirements established under the final regulations promulgated to implement the renewable fuel program established by the amendment made by section 1501(a)(2) of the Energy Policy Act of 2005 (Public Law 109-58; 119 Stat. 1067).
(2) APPLICABLE VOLUME.--
(A) CALENDAR YEARS 2008 THROUGH 2022.--
(i) RENEWABLE FUEL.--For the purpose of paragraph (1), subject to clause (ii), the applicable volume for any of calendar years 2008 through 2022 shall be determined in accordance with the following table:
Applicable volume of renewable fuel
Calendar year:
(in billions of gallons):

2008

8.5

2009

10.5

2010

12.0

2011

12.6

2012

13.2

2013

13.8

2014

14.4

2015

15.0

2016

18.0

2017

21.0

2018

24.0

2019

27.0

2020

30.0

2021

33.0

2022

36.0.

(ii) ADVANCED BIOFUELS.--For the purpose of paragraph (1), of the volume of renewable fuel required under clause (i), the applicable volume for any of calendar years 2016 through 2022 for advanced biofuels shall be determined in accordance with the following table:
Applicable volume of advanced biofuels
Calendar year:
(in billions of gallons):

2016

3.0

2017

6.0

2018

9.0

2019

12.0

2020

15.0

2021

18.0

2022

21.0.

(B) CALENDAR YEAR 2023 AND THEREAFTER.--Subject to subparagraph (C), for the purposes of paragraph (1), the applicable volume for calendar year 2023 and each calendar year thereafter shall be determined by the President, in coordination with the Secretary of Energy, the Secretary of Agriculture, and the Administrator of the Environmental Protection Agency, based on a review of the implementation of the program during calendar years 2007 through 2022, including a review of--
(i) the impact of renewable fuels on the energy security of the United States;
(ii) the expected annual rate of future production of renewable fuels, including advanced biofuels;
(iii) the impact of renewable fuels on the infrastructure of the United States, including deliverability of materials, goods, and products other than renewable fuel, and the sufficiency of infrastructure to deliver renewable fuel; and
(iv) the impact of the use of renewable fuels on other factors, including job creation, the price and supply of agricultural commodities, rural economic development, and the environment.
(C) MINIMUM APPLICABLE VOLUME.--Subject to subparagraph (D), for the purpose of paragraph (1), the applicable volume for calendar year 2023 and each calendar year thereafter shall be equal to the product obtained by multiplying--
(i) the number of gallons of gasoline that the President estimates will be sold or introduced into commerce in the calendar year; and
(ii) the ratio that--
(I) 36,000,000,000 gallons of renewable fuel; bears to
(II) the number of gallons of gasoline sold or introduced into commerce in calendar year 2022.
(D) MINIMUM PERCENTAGE OF ADVANCED BIOFUEL.--For the purpose of paragraph (1) and subparagraph (C), at least 60 percent of the minimum applicable volume for calendar year 2023 and each calendar year thereafter shall be advanced biofuel.
(b) Applicable Percentages.--
(1) PROVISION OF ESTIMATE OF VOLUMES OF GASOLINE SALES.--Not later than October 31 of each of calendar years 2008 through 2021, the Administrator of the Energy Information Administration shall provide to the President an estimate, with respect to the following calendar year, of the volumes of gasoline projected to be sold or introduced into commerce in the United States.
(2) DETERMINATION OF APPLICABLE PERCENTAGES.--
(A) IN GENERAL.--Not later than November 30 of each of calendar years 2008 through 2022, based on the estimate provided under paragraph (1), the President shall determine and publish in the Federal Register, with respect to the following calendar year, the renewable fuel obligation that ensures that the requirements of subsection (a) are met.
(B) REQUIRED ELEMENTS.--The renewable fuel obligation determined for a calendar year under subparagraph (A) shall--
(i) be applicable to refineries, blenders, and importers, as appropriate;
(ii) be expressed in terms of a volume percentage of gasoline sold or introduced into commerce in the United States; and
(iii) subject to paragraph (3)(A), consist of a single applicable percentage that applies to all categories of persons specified in clause (i).
(3) ADJUSTMENTS.--In determining the applicable percentage for a calendar year, the President shall make adjustments--
(A) to prevent the imposition of redundant obligations on any person specified in paragraph (2)(B)(i); and
(B) to account for the use of renewable fuel during the previous calendar year by small refineries that are exempt under subsection (g).
(c) Volume Conversion Factors for Renewable Fuels Based on Energy Content or Requirements.--
(1) IN GENERAL.--For the purpose of subsection (a), the President shall assign values to specific types of advanced biofuels for the purpose of satisfying the fuel volume requirements of subsection (a)(2) in accordance with this subsection.
(2) ENERGY CONTENT RELATIVE TO ETHANOL.--For advanced biofuel, 1 gallon of the advanced biofuel shall be considered to be the equivalent of 1 gallon of renewable fuel multiplied by the ratio that--
(A) the number of British thermal units of energy produced by the combustion of 1 gallon of the advanced biofuel (as measured under conditions determined by the Secretary); bears to
(B) the number of British thermal units of energy produced by the combustion of 1 gallon of pure ethanol (as measured under conditions determined by the Secretary to be comparable to conditions described in subparagraph (A)).
(3) TRANSITIONAL ENERGY-RELATED CONVERSION FACTORS FOR CELLULOSIC BIOMASS ETHANOL.--For any of calendar years 2008 through 2015, 1 gallon of cellulosic biomass ethanol shall be considered to be the equivalent of 2.5 gallons of renewable fuel.
(d) Credit Program.--
(1) IN GENERAL.--The President, in consultation with the Secretary and the Administrator of the Environmental Protection Agency, shall implement a credit program to manage the renewable fuel requirement of this section in a manner consistent with the credit program established by the amendment made by section 1501(a)(2) of the Energy Policy Act of 2005 (Public Law 109-58; 119 Stat. 1067).
(2) MARKET TRANSPARENCY.--In carrying out the credit program under this subsection, the President shall facilitate price transparency in markets for the sale and trade of credits, with due regard for the public interest, the integrity of those markets, fair competition, and the protection of consumers and agricultural producers.
(e) Seasonal Variations in Renewable Fuel Use.--
(1) STUDY.--For each of calendar years 2008 through 2022, the Administrator of the Energy Information Administration shall conduct a study of renewable fuel blending to determine whether there are excessive seasonal variations in the use of renewable fuel.
(2) REGULATION OF EXCESSIVE SEASONAL VARIATIONS.--If, for any calendar year, the Administrator of the Energy Information Administration, based on the study under paragraph (1), makes the determinations specified in paragraph (3), the President shall promulgate regulations to ensure that 25 percent or more of the quantity of renewable fuel necessary to meet the requirements of subsection (a) is used during each of the 2 periods specified in paragraph (4) of each subsequent calendar year.
(3) DETERMINATIONS.--The determinations referred to in paragraph (2) are that--
(A) less than 25 percent of the quantity of renewable fuel necessary to meet the requirements of subsection (a) has been used during 1 of the 2 periods specified in paragraph (4) of the calendar year;
(B) a pattern of excessive seasonal variation described in subparagraph (A) will continue in subsequent calendar years; and
(C) promulgating regulations or other requirements to impose a 25 percent or more seasonal use of renewable fuels will not significantly--
(i) increase the price of motor fuels to the consumer; or
(ii) prevent or interfere with the attainment of national ambient air quality standards.
(4) PERIODS.--The 2 periods referred to in this subsection are--
(A) April through September; and
(B) January through March and October through December.
(f) Waivers.--
(1) IN GENERAL.--The President, in consultation with the Secretary of Energy, the Secretary of Agriculture, and the Administrator of the Environmental Protection Agency, may waive the requirements of subsection (a) in whole or in part on petition by one or more States by reducing the national quantity of renewable fuel required under subsection (a), based on a determination by the President (after public notice and opportunity for comment), that--
(A) implementation of the requirement would severely harm the economy or environment of a State, a region, or the United States; or
(B) extreme and unusual circumstances exist that prevent distribution of an adequate supply of domestically-produced renewable fuel to consumers in the United States.
(2) PETITIONS FOR WAIVERS.--The President, in consultation with the Secretary of Energy, the Secretary of Agriculture, and the Administrator of the Environmental Protection Agency, shall approve or disapprove a State petition for a waiver of the requirements of subsection (a) within 30 days after the date on which the petition is received by the President.
(3) TERMINATION OF WAIVERS.--A waiver granted under paragraph (1) shall terminate after 1 year, but may be renewed by the President after consultation with the Secretary of Energy, the Secretary of Agriculture, and the Administrator of the Environmental Protection Agency.
(g) Small Refineries.--
(1) TEMPORARY EXEMPTION.--
(A) IN GENERAL.--The requirements of subsection (a) shall not apply to--
(i) small refineries (other than a small refinery described in clause (ii)) until calendar year 2013; and
(ii) small refineries owned by a small business refiner (as defined in section 45H(c) of the Internal Revenue Code of 1986) until calendar year 2015.
(B) EXTENSION OF EXEMPTION.--
(i) STUDY BY SECRETARY.--Not later than December 31, 2008, the Secretary shall submit to the President and Congress a report describing the results of a study to determine whether compliance with the requirements of subsection (a) would impose a disproportionate economic hardship on small refineries.
(ii) EXTENSION OF EXEMPTION.--In the case of a small refinery that the Secretary determines under clause (i) would be subject to a disproportionate economic hardship if required to comply with subsection (a), the President shall extend the exemption under subparagraph (A) for the small refinery for a period of not less than 2 additional years.
(2) PETITIONS BASED ON DISPROPORTIONATE ECONOMIC HARDSHIP.--
(A) EXTENSION OF EXEMPTION.--A small refinery may at any time petition the President for an extension of the exemption under paragraph (1) for the reason of disproportionate economic hardship.
(B) EVALUATION OF PETITIONS.--In evaluating a petition under subparagraph (A), the President, in consultation with the Secretary, shall consider the findings of the study under paragraph (1)(B) and other economic factors.
(C) DEADLINE FOR ACTION ON PETITIONS.--The President shall act on any petition submitted by a small refinery for a hardship exemption not later than 90 days after the date of receipt of the petition.
(3) OPT-IN FOR SMALL REFINERIES.--A small refinery shall be subject to the requirements of subsection (a) if the small refinery notifies the President that the small refinery waives the exemption under paragraph (1).
(h) Penalties and Enforcement.--
(1) CIVIL PENALTIES.--
(A) IN GENERAL.--Any person that violates a regulation promulgated under subsection (a), or that fails to furnish any information required under such a regulation, shall be liable to the United States for a civil penalty of not more than the total of--
(i) $25,000 for each day of the violation; and
(ii) the amount of economic benefit or savings received by the person resulting from the violation, as determined by the President.
(B) COLLECTION.--Civil penalties under subparagraph (A) shall be assessed by, and collected in a civil action brought by, the Secretary or such other officer of the United States as is designated by the President.
(2) INJUNCTIVE AUTHORITY.--
(A) IN GENERAL.--The district courts of the United States shall have jurisdiction to--
(i) restrain a violation of a regulation promulgated under subsection (a);
(ii) award other appropriate relief; and
(iii) compel the furnishing of information required under the regulation.
(B) ACTIONS.--An action to restrain such violations and compel such actions shall be brought by and in the name of the United States.
(C) SUBPOENAS.--In the action, a subpoena for a witness who is required to attend a district court in any district may apply in any other district.
(i) Voluntary Labeling Program.--
(1) IN GENERAL.--The President shall establish criteria for a system of voluntary labeling of renewable fuels based on life cycle greenhouse gas emissions.
(2) CONSUMER EDUCATION.--The President shall ensure that the labeling system under this subsection provides useful information to consumers making fuel purchases.
(3) FLEXIBILITY.--In carrying out this subsection, the President may establish more than 1 label, as appropriate.
(j) Study of Impact of Renewable Fuel Standard.--
(1) IN GENERAL.--The Secretary shall enter into an arrangement with the National Academy of Sciences under which the Academy shall conduct a study to assess the impact of the requirements described in subsection (a)(2) on each industry relating to the production of feed grains, livestock, food, and energy.
(2) PARTICIPATION.--In conducting the study under paragraph (1), the National Academy of Sciences shall seek the participation, and consider the input, of--
(A) producers of feed grains;
(B) producers of livestock, poultry, and pork products;
(C) producers of food and food products;
(D) producers of energy;
(E) individuals and entities interested in issues relating to conservation, the environment, and nutrition; and
(F) users of renewable fuels.
(3) CONSIDERATIONS.--In conducting the study, the National Academy of Sciences shall consider--
(A) the likely impact on domestic animal agriculture feedstocks that, in any crop year, are significantly below current projections; and
(B) policy options to alleviate the impact on domestic animal agriculture feedstocks that are significantly below current projections.
(4) COMPONENTS.--The study shall include--
(A) a description of the conditions under which the requirements described in subsection (a)(2) should be suspended or reduced to prevent adverse impacts to domestic animal agriculture feedstocks described in paragraph (3)(B); and
(B) recommendations for the means by which the Federal Government could prevent or minimize adverse economic hardships and impacts.
(5) DEADLINE FOR COMPLETION OF STUDY.--Not later than 270 days after the date of enactment of this Act, the Secretary shall submit to Congress a report that describes the results of the study.
(6) PERIODIC REVIEWS.--
(A) IN GENERAL.--To allow for the appropriate adjustment of the requirements described in subsection (a)(2), the Secretary shall conduct periodic reviews of--
(i) existing technologies;
(ii) the feasibility of achieving compliance with the requirements; and
(iii) the impacts of the requirements described in subsection (a)(2) on each individual and entity described in paragraph (2).
(k) Effective Date.--Except as otherwise specifically provided in this section, this section takes effect on the date on which the National Academies of Science completes the study under subsection (j).
SEC. 9112. PRODUCTION OF RENEWABLE FUEL USING RENEWABLE ENERGY.
(a) Definitions.--In this section:
(1) FACILITY.--The term ``facility'' means a facility used for the production of renewable fuel.
(2) RENEWABLE ENERGY.--
(A) IN GENERAL.--The term ``renewable energy'' has the meaning given the term in section 203(b) of the Energy Policy Act of 2005 (42 U.S.C. 15852(b)).
(B) INCLUSION.--The term ``renewable energy'' includes biogas produced through the conversion of organic matter from renewable biomass.
(b) Additional Credit.--
(1) IN GENERAL.--The President shall provide a credit under the program established under section 9111(d) to the owner of a facility that uses renewable energy to displace more than 90 percent of the fossil fuel normally used in the production of renewable fuel.
(2) CREDIT AMOUNT.--The President may provide the credit in a quantity that is not more than the equivalent of 1.5 gallons of renewable fuel for each gallon of renewable fuel produced in a facility described in paragraph (1).
SEC. 9113. SENSE OF CONGRESS RELATING TO THE USE OF RENEWABLE RESOURCES TO GENERATE ENERGY.
(a) Findings.--Congress finds that--
(1) the United States has a quantity of renewable energy resources that is sufficient to supply a significant portion of the energy needs of the United States;
(2) the agricultural, forestry, and working land of the United States can help ensure a sustainable domestic energy system;
(3) accelerated development and use of renewable energy technologies provide numerous benefits to the United States, including improved national security, improved balance of payments, healthier rural economies, improved environmental quality, and abundant, reliable, and affordable energy for all citizens of the United States;
(4) the production of transportation fuels from renewable energy would help the United States meet rapidly growing domestic and global energy demands, reduce the dependence of the United States on energy imported from volatile regions of the world that are politically unstable, stabilize the cost and availability of energy, and safeguard the economy and security of the United States;
(5) increased energy production from domestic renewable resources would attract substantial new investments in energy infrastructure, create economic growth, develop new jobs for the citizens of the United States, and increase the income for farm, ranch, and forestry jobs in the rural regions of the United States;
(6) increased use of renewable energy is practical and can be cost effective with the implementation of supportive policies and proper incentives to stimulate markets and infrastructure; and
(7) public policies aimed at enhancing renewable energy production and accelerating technological improvements will further reduce energy costs over time and increase market demand.
(b) Sense of Congress.--It is the sense of Congress that it is the goal of the United States that, not later than January 1, 2025, the agricultural, forestry, and working land of the United States should--
(1) provide from renewable resources not less than 25 percent of the total energy consumed in the United States; and
(2) continue to produce safe, abundant, and affordable food, feed, and fiber.

PART II--RENEWABLE FUELS INFRASTRUCTURE
SEC. 9121. INFRASTRUCTURE PILOT PROGRAM FOR RENEWABLE FUELS.
(a) In General.--The Secretary, in consultation with the Secretary of Transportation and the Administrator of the Environmental Protection Agency, shall establish a competitive grant pilot program (referred to in this section as the ``pilot program''), to be administered through the Vehicle Technology Deployment Program of the Department of Energy, to provide not more than 10 geographically-dispersed project grants to State governments, Indian tribal governments, local governments,
metropolitan transportation authorities, or partnerships of those entities to carry out 1 or more projects for the purposes described in subsection (b).
(b) Grant Purposes.--A grant under this section shall be used for the establishment of refueling infrastructure corridors, as designated by the Secretary, for gasoline blends that contain not less than 11 percent, and not more than 85 percent, renewable fuel or diesel fuel that contains at least 10 percent renewable fuel, including--
(1) installation of infrastructure and equipment necessary to ensure adequate distribution of renewable fuels within the corridor;
(2) installation of infrastructure and equipment necessary to directly support vehicles powered by renewable fuels; and
(3) operation and maintenance of infrastructure and equipment installed as part of a project funded by the grant.
(c) Applications.--
(1) REQUIREMENTS.--
(A) IN GENERAL.--Subject to subparagraph (B), not later than 90 days after the date of enactment of this Act, the Secretary shall issue requirements for use in applying for grants under the pilot program.
(B) MINIMUM REQUIREMENTS.--At a minimum, the Secretary shall require that an application for a grant under this section--
(i) be submitted by--
(I) the head of a State, tribal, or local government or a metropolitan transportation authority, or any combination of those entities; and
(II) a registered participant in the Vehicle Technology Deployment Program of the Department of Energy; and
(ii) include--
(I) a description of the project proposed in the application, including the ways in which the project meets the requirements of this section;
(II) an estimate of the degree of use of the project, including the estimated size of fleet of vehicles operated with renewable fuel available within the geographic region of the corridor, measured as a total quantity and a percentage;
(III) an estimate of the potential petroleum displaced as a result of the project (measured as a total quantity and a percentage), and a plan to collect and disseminate petroleum displacement and other relevant data relating to the project to be funded under the grant, over the expected life of the project;
(IV) a description of the means by which the project will be sustainable without Federal assistance after the completion of the term of the grant;
(V) a complete description of the costs of the project, including acquisition, construction, operation, and maintenance costs over the expected life of the project; and
(VI) a description of which costs of the project will be supported by Federal assistance under this subsection.
(2) PARTNERS.--An applicant under paragraph (1) may carry out a project under the pilot program in partnership with public and private entities.
(d) Selection Criteria.--In evaluating applications under the pilot program, the Secretary shall--
(1) consider the experience of each applicant with previous, similar projects; and
(2) give priority consideration to applications that--
(A) are most likely to maximize displacement of petroleum consumption, measured as a total quantity and a percentage;
(B) are best able to incorporate existing infrastructure while maximizing, to the extent practicable, the use of advanced biofuels;
(C) demonstrate the greatest commitment on the part of the applicant to ensure funding for the proposed project and the greatest likelihood that the project will be maintained or expanded after Federal assistance under this subsection is completed;
(D) represent a partnership of public and private entities; and
(E) exceed the minimum requirements of subsection (c)(1)(B).
(e) Pilot Project Requirements.--
(1) MAXIMUM AMOUNT.--The Secretary shall provide not more than $20,000,000 in Federal assistance under the pilot program to any applicant.
(2) COST SHARING.--The non-Federal share of the cost of any activity relating to renewable fuel infrastructure development carried out using funds from a grant under this section shall be not less than 20 percent.
(3) MAXIMUM PERIOD OF GRANTS.--The Secretary shall not provide funds to any applicant under the pilot program for more than 2 years.
(4) DEPLOYMENT AND DISTRIBUTION.--The Secretary shall seek, to the maximum extent practicable, to ensure a broad geographic distribution of project sites funded by grants under this section.
(5) TRANSFER OF INFORMATION AND KNOWLEDGE.--The Secretary shall establish mechanisms to ensure that the information and knowledge gained by participants in the pilot program are transferred among the pilot program participants and to other interested parties, including other applicants that submitted applications.
(f) Schedule.--
(1) INITIAL GRANTS.--
(A) IN GENERAL.--Not later than 90 days after the date of enactment of this Act, the Secretary shall publish in the Federal Register, Commerce Business Daily, and such other publications as the Secretary considers to be appropriate, a notice and request for applications to carry out projects under the pilot program.
(B) DEADLINE.--An application described in subparagraph (A) shall be submitted to the Secretary by not later than 180 days after the date of publication of the notice under that subparagraph.
(C) INITIAL SELECTION.--Not later than 90 days after the date by which applications for grants are due under subparagraph (B), the Secretary shall select by competitive, peer-reviewed proposal up to 5 applications for projects to be awarded a grant under the pilot program.
(2) ADDITIONAL GRANTS.--
(A) IN GENERAL.--Not later than 2 years after the date of enactment of this Act, the Secretary shall publish in the Federal Register, Commerce Business Daily, and such other publications as the Secretary considers to be appropriate, a notice and request for additional applications to carry out projects under the pilot program that incorporate the information and knowledge obtained through the implementation of the first round of projects authorized under the pilot program.
(B) DEADLINE.--An application described in subparagraph (A) shall be submitted to the Secretary by not later than 180 days after the date of publication of the notice under that subparagraph.
(C) INITIAL SELECTION.--Not later than 90 days after the date by which applications for grants are due under subparagraph (B), the Secretary shall select by competitive, peer-reviewed proposal such additional applications for projects to be awarded a grant under the pilot program as the Secretary determines to be appropriate.
(g) Reports to Congress.--
(1) INITIAL REPORT.--Not later than 60 days after the date on which grants are awarded under this section, the Secretary shall submit to Congress a report containing--
(A) an identification of the grant recipients and a description of the projects to be funded under the pilot program;
(B) an identification of other applicants that submitted applications for the pilot program but to which funding was not provided; and
(C) a description of the mechanisms used by the Secretary to ensure that the information and knowledge gained by participants in the pilot program are transferred among the pilot program participants and to other interested parties, including other applicants that submitted applications.
(2) EVALUATION.--Not later than 2 years after the date of enactment of this Act, and annually thereafter until the termination of the pilot program, the Secretary shall submit to Congress a report containing an evaluation of the effectiveness of the pilot program, including an assessment of the petroleum displacement and benefits to the environment derived from the projects included in the pilot program.
(h) Authorization of Appropriations.--There is authorized to be appropriated to the Secretary to carry out this section $200,000,000, to remain available until expended.
SEC. 9122. BIOENERGY RESEARCH AND DEVELOPMENT.
Section 931(c) of the Energy Policy Act of 2005 (42 U.S.C. 16231(c)) is amended--
(1) in paragraph (2), by striking ``$251,000,000'' and inserting ``$377,000,000''; and
(2) in paragraph (3), by striking ``$274,000,000'' and inserting ``$398,000,000''.
SEC. 9123. BIORESEARCH CENTERS FOR SYSTEMS BIOLOGY PROGRAM.
Section 977(a)(1) of the Energy Policy Act of 2005 (42 U.S.C. 16317(a)(1)) is amended by inserting before the period at the end the following: ``, including the establishment of at least 11 bioresearch centers of varying sizes, as appropriate, that focus on biofuels, of which at least 2 centers shall be located in each of the 4 Petroleum Administration for Defense Districts with no subdistricts and 1 center shall be located in each of the subdistricts of the Petroleum Administration for Defense
District with subdistricts''.
SEC. 9124. GRANTS FOR RENEWABLE FUEL PRODUCTION RESEARCH AND DEVELOPMENT IN CERTAIN STATES.
(a) In General.--The Secretary shall provide grants to eligible entities to conduct research into, and develop and implement, renewable fuel production technologies in States with low rates of ethanol production, including low rates of production of cellulosic biomass ethanol, as determined by the Secretary.
(b) Eligibility.--To be eligible to receive a grant under the section, an entity shall--
(1)(A) be an institution of higher education (as defined in section 2 of the Energy Policy Act of 2005 (42 U.S.C. 15801)) located in a State described in subsection (a);
(B) be an institution--
(i) referred to in section 532 of the Equity in Educational Land-Grant Status Act of 1994 (Public Law 103-382; 7 U.S.C. 301 note);
(ii) that is eligible for a grant under the Tribally Controlled College or University Assistance Act of 1978 (25 U.S.C. 1801 et seq.), including Diné College; or
(iii) that is eligible for a grant under the Navajo Community College Act (25 U.S.C. 640a et seq.); or
(C) be a consortium of such institutions of higher education, industry, State agencies, Indian tribal agencies, or local government agencies located in the State; and
(2) have proven experience and capabilities with relevant technologies.
(c) Authorization of Appropriations.--There is authorized to be appropriated to carry out this section $25,000,000 for each of fiscal years 2008 through 2010.
SEC. 9125. GRANTS FOR INFRASTRUCTURE FOR TRANSPORTATION OF BIOMASS TO LOCAL BIOREFINERIES.
(a) In General.--The Secretary shall conduct a program under which the Secretary shall provide grants to Indian tribal and local governments and other eligible entities (as determined by the Secretary) (referred to in this section as ``eligible entities'') to promote the development of infrastructure to support the separation, production, processing, and transportation of biomass to local biorefineries, including by portable processing equipment.
(b) Phases.--The Secretary shall conduct the program in the following phases:
(1) DEVELOPMENT.--In the first phase of the program, the Secretary shall make grants to eligible entities to assist the eligible entities in the development of local projects to promote the development of infrastructure to support the separation, production, processing, and transportation of biomass to local biorefineries, including by portable processing equipment.
(2) IMPLEMENTATION.--In the second phase of the program, the Secretary shall make competitive grants to eligible entities to implement projects developed under paragraph (1).
(c) Authorization of Appropriations.--There are authorized to be appropriated such sums as are necessary to carry out this section.
SEC. 9126. BIOREFINERY INFORMATION CENTER.
(a) In General.--The Secretary, in cooperation with the Secretary of Agriculture, shall establish a biorefinery information center to make available to interested parties information on--
(1) renewable fuel resources, including information on programs and incentives for renewable fuels;
(2) renewable fuel producers;
(3) renewable fuel users; and
(4) potential renewable fuel users.
(b) Administration.--In administering the biorefinery information center, the Secretary shall--
(1) continually update information provided by the center;
(2) make information available to interested parties on the process for establishing a biorefinery; and
(3) make information and assistance provided by the center available through a toll-free telephone number and website.
(c) Authorization of Appropriations.--There are authorized to be appropriated such sums as are necessary to carry out this section.
SEC. 9127. ALTERNATIVE FUEL DATABASE AND MATERIALS.
The Secretary and the Director of the National Institute of Standards and Technology shall jointly establish and make available to the public--
(1) a database that describes the physical properties of different types of alternative fuel; and
(2) standard reference materials for different types of alternative fuel.
SEC. 9128. FUEL TANK CAP LABELING REQUIREMENT.
Section 406(a) of the Energy Policy Act of 1992 (42 U.S.C. 13232(a)) is amended--
(1) by striking ``The Federal Trade Commission'' and inserting the following:
``(1) IN GENERAL.--The Federal Trade Commission''; and
(2) by adding at the end the following:
``(2) FUEL TANK CAP LABELING REQUIREMENT.--Beginning with model year 2010, the fuel tank cap of each alternative fueled vehicle manufactured for sale in the United States shall be clearly labeled to inform consumers that such vehicle can operate on alternative fuel.''.
SEC. 9129. BIODIESEL.
(a) In General.--Not later than 180 days after the date of enactment of this Act, the Secretary shall submit to Congress a report on any research and development challenges inherent in increasing to 5 percent the proportion of diesel fuel sold in the United States that is biodiesel (as defined in section 757 of the Energy Policy Act of 2005 (42 U.S.C. 16105)).
(b) Regulations.--The President shall promulgate regulations providing for the uniform labeling of biodiesel blends that are certified to meet applicable standards published by the American Society for Testing and Materials.
(c) National Biodiesel Fuel Quality Standard.--
(1) QUALITY REGULATIONS.--Not later than 180 days after the date of enactment of this Act, the President shall promulgate regulations to ensure that each diesel-equivalent fuel derived from renewable biomass and introduced into interstate commerce is tested and certified to comply with applicable standards of the American Society for Testing and Materials.
(2) ENFORCEMENT.--The President shall ensure that all biodiesel entering interstate commerce meets the requirements of paragraph (1).
(3) FUNDING.--There are authorized to be appropriated to the President to carry out this section:
(A) $3,000,000 for fiscal year 2008.
(B) $3,000,000 for fiscal year 2009.
(C) $3,000,000 for fiscal year 2010.
SEC. 9130. TRANSITIONAL ASSISTANCE FOR FARMERS WHO PLANT DEDICATED ENERGY CROPS FOR A LOCAL CELLULOSIC REFINERY.
(a) Definitions.--In this section:
(1) CELLULOSIC CROP.--The term ``cellulosic crop'' means a tree or grass that is grown specifically--
(A) to provide raw materials (including feedstocks) for conversion to liquid transportation fuels or chemicals through biochemical or thermochemical processes; or
(B) for energy generation through combustion, pyrolysis, or cofiring.
(2) CELLULOSIC REFINER.--The term ``cellulosic refiner'' means the owner or operator of a cellulosic refinery.
(3) CELLULOSIC REFINERY.--The term ``cellulosic refinery'' means a refinery that processes a cellulosic crop.
(4) QUALIFIED CELLULOSIC CROP.--The term ``qualified cellulosic crop'' means, with respect to an agricultural producer, a cellulosic crop that is--
(A) the subject of a contract or memorandum of understanding between the producer and a cellulosic refiner, under which the producer is obligated to sell the crop to the cellulosic refiner by a certain date; and
(B) produced not more than 70 miles from a cellulosic refinery owned or operated by the cellulosic refiner.
(5) SECRETARY.--The term ``Secretary'' means the Secretary of Agriculture.
(b) Transitional Assistance Payments.--The Secretary shall make transitional assistance payments to an agricultural producer during the first year in which the producer devotes land to the production of a qualified cellulosic crop.
(c) Amount of Payment.--
(1) DETERMINED BY FORMULA.--Subject to paragraph (2), the Secretary shall devise a formula to be used to calculate the amount of a payment to be made to an agricultural producer under this section, based on the opportunity cost (as determined in accordance with such standard as the Secretary may establish, taking into consideration land rental rates and other applicable costs) incurred by the producer during the first year in which the producer devotes land to the production of the qualified
cellulosic crop.
(2) LIMITATION.--The total of the amount paid to a producer under this section shall not exceed an amount equal to 25 percent of the amounts made available under subsection (e) for the applicable fiscal year.
(d) Regulations.--The Secretary shall promulgate such regulations as the Secretary determines to be necessary to carry out this section.
(e) Authorization of Appropriations.--There is authorized to be appropriated to carry out this section $4,088,000 for each of fiscal years 2008 through 2012, to remain available until expended.
SEC. 9131. RESEARCH AND DEVELOPMENT IN SUPPORT OF LOW-CARBON FUELS.
(a) Declaration of Policy.--Congress declares that, in order to achieve maximum reductions in greenhouse gas emissions, enhance national security, and ensure the protection of wildlife habitat, biodiversity, water quality, air quality, and rural and regional economies throughout the lifecycle of each low-carbon fuel, it is necessary and desirable to undertake a combination of basic and applied research, as well as technology development and demonstration, involving the colleges and
universities of the United States, in partnership with the Federal Government, State governments, and the private sector.
(b) Purpose.--The purpose of this section is to provide for research support to facilitate the development of sustainable markets and technologies to produce and use woody biomass and other low-carbon fuels for the production of thermal and electric energy, biofuels, and bioproducts.
(c) Definition of Fuel Emission Baseline.--In this section, the term ``fuel emission baseline'' means the average lifecycle greenhouse gas emissions per unit of energy of the fossil fuel component of conventional transportation fuels in commerce in the United States in calendar year 2008, as determined by the President.
(d) Grant Program.--The President shall establish a program to provide to eligible entities (as identified by the President) grants for use in--
(1) providing financial support for not more than 4 nor less than 6 demonstration facilities that--
(A) use woody biomass to deploy advanced technologies for production of thermal and electric energy, biofuels, and bioproducts; and
(B) are targeted at regional feedstocks and markets;
(2) conducting targeted research for the development of cellulosic ethanol and other liquid fuels from woody or other biomass that may be used in transportation or stationary applications, such as industrial processes or industrial, commercial, and residential heating;
(3) conducting research into the best scientifically-based and periodically-updated methods of assessing and certifying the impacts of each low-carbon fuel with respect to--
(A) the reduction in lifecycle greenhouse gas emissions of each fuel as compared to--
(i) the fuel emission baseline; and
(ii) the greenhouse gas emissions of other sectors, such as the agricultural, industrial, and manufacturing sectors;
(B) the contribution of the fuel toward enhancing the energy security of the United States by displacing imported petroleum and petroleum products;
(C) any impacts of the fuel on wildlife habitat, biodiversity, water quality, and air quality; and
(D) any effect of the fuel with respect to rural and regional economies;
(4) conducting research to determine to what extent the use of low-carbon fuels in the transportation sector would impact greenhouse gas emissions in other sectors, such as the agricultural, industrial, and manufacturing sectors;
(5) conducting research for the development of the supply infrastructure that may provide renewable biomass feedstocks in a consistent, predictable, and environmentally-sustainable manner;
(6) conducting research for the development of supply infrastructure that may provide renewable low-carbon fuels in a consistent, predictable, and environmentally-sustainable manner; and
(7) conducting policy research on the global movement of low-carbon fuels in a consistent, predictable, and environmentally-sustainable manner.
(e) Authorization of Appropriations.--Of the funding authorized under section 9122, there are authorized to be appropriated to carry out this section--
(1) $45,000,000 for fiscal year 2009;
(2) $50,000,000 for fiscal year 2010;
(3) $55,000,000 for fiscal year 2011;
(4) $60,000,000 for fiscal year 2012; and
(5) $65,000,000 for fiscal year 2013.

PART III--STUDIES
SEC. 9141. STUDY OF ADVANCED BIOFUELS TECHNOLOGIES.
(a) In General.--Not later than October 1, 2012, the Secretary shall offer to enter into a contract with the National Academy of Sciences under which the Academy shall conduct a study of technologies relating to the production, transportation, and distribution of advanced biofuels.
(b) Scope.--In conducting the study, the Academy shall--
(1) include an assessment of the maturity of advanced biofuels technologies;
(2) consider whether the rate of development of those technologies will be sufficient to meet the advanced biofuel standards required under section 9111;
(3) consider the effectiveness of the research and development programs and activities of the Department of Energy relating to advanced biofuel technologies; and
(4) make policy recommendations to accelerate the development of those technologies to commercial viability, as appropriate.
(c) Report.--Not later than November 30, 2014, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate and the Committee on Energy and Commerce of the House of Representatives a report describing the results of the study conducted under this section.
SEC. 9142. STUDY OF INCREASED CONSUMPTION OF ETHANOL-BLENDED GASOLINE WITH HIGHER LEVELS OF ETHANOL.
(a) In General.--The Secretary, in cooperation with the Secretary of Agriculture, the Administrator of the Environmental Protection Agency, and the Secretary of Transportation, and after providing notice and an opportunity for public comment, shall conduct a study of the feasibility of increasing consumption in the United States of ethanol-blended gasoline with levels of ethanol that are not less than 10 percent and not more than 40 percent.
(b) Study.--The study under subsection (a) shall include--
(1) a review of production and infrastructure constraints on increasing consumption of ethanol;
(2) an evaluation of the economic, market, and energy-related impacts of State and regional differences in ethanol blends;
(3) an evaluation of the economic, market, and energy-related impacts on gasoline retailers and consumers of separate and distinctly labeled fuel storage facilities and dispensers;
(4) an evaluation of the environmental impacts of mid-level ethanol blends on evaporative and exhaust emissions from on-road, off-road, and marine engines, recreational boats, vehicles, and equipment;
(5) an evaluation of the impacts of mid-level ethanol blends on the operation, durability, and performance of on-road, off-road, and marine engines, recreational boats, vehicles, and equipment; and
(6) an evaluation of the safety impacts of mid-level ethanol blends on consumers that own and operate off-road and marine engines, recreational boats, vehicles, or equipment.
(c) Report.--Not later than 1 year after the date of enactment of this Act, the Secretary shall submit to Congress a report describing the results of the study conducted under this section.
SEC. 9143. PIPELINE FEASIBILITY STUDY.
(a) In General.--The Secretary, in coordination with the Secretary of Agriculture and the Secretary of Transportation, shall conduct a study of the feasibility of the construction of dedicated ethanol pipelines.
(b) Factors.--In conducting the study, the Secretary shall consider--
(1) the quantity of ethanol production that would make dedicated pipelines economically viable;
(2) existing or potential barriers to dedicated ethanol pipelines, including technical, siting, financing, and regulatory barriers;
(3) market risk (including throughput risk) and means of mitigating the risk;
(4) regulatory, financing, and siting options that would mitigate risk in those areas and help ensure the construction of 1 or more dedicated ethanol pipelines;
(5) financial incentives that may be necessary for the construction of dedicated ethanol pipelines, including the return on equity that sponsors of the initial dedicated ethanol pipelines will require to invest in the pipelines;
(6) technical factors that may compromise the safe transportation of ethanol in pipelines, identifying remedial and preventative measures to ensure pipeline integrity; and
(7) such other factors as the Secretary considers appropriate.
(c) Report.--Not later than 15 months after the date of enactment of this Act, the Secretary shall submit to Congress a report describing the results of the study conducted under this section.
SEC. 9144. STUDY OF OPTIMIZATION OF FLEXIBLE FUELED VEHICLES TO USE E-85 FUEL.
(a) In General.--The Secretary shall conduct a study of methods of increasing the fuel efficiency of flexible fueled vehicles by optimizing flexible fueled vehicles to operate using E-85 fuel.
(b) Report.--Not later than 180 days after the date of enactment of this Act, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate and the Committee on Natural Resources of the House of Representatives a report that describes the results of the study, including any recommendations of the Secretary.
SEC. 9145. STUDY OF CREDITS FOR USE OF RENEWABLE ELECTRICITY IN ELECTRIC VEHICLES.
(a) Definition of Electric Vehicle.--In this section, the term ``electric vehicle'' means an electric motor vehicle (as defined in section 601 of the Energy Policy Act of 1992 (42 U.S.C. 13271)) for which the rechargeable storage battery--
(1) receives a charge directly from a source of electric current that is external to the vehicle; and
(2) provides a minimum of 80 percent of the motive power of the vehicle.
(b) Study.--The Secretary shall conduct a study on the feasibility of issuing credits under the program established under section 9111(d) to electric vehicles powered by electricity produced from renewable energy sources.
(c) Report.--Not later than 18 months after the date of enactment of this Act, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate and the Committee on Energy and Commerce of the House of Representatives a report that describes the results of the study, including a description of--
(1) existing programs and studies on the use of renewable electricity as a means of powering electric vehicles; and
(2) alternatives for--
(A) designing a pilot program to determine the feasibility of using renewable electricity to power electric vehicles as an adjunct to a renewable fuels mandate;
(B) allowing the use, under the pilot program designed under subparagraph (A), of electricity generated from nuclear energy as an additional source of supply;
(C) identifying the source of electricity used to power electric vehicles; and
(D) equating specific quantities of electricity to quantities of renewable fuel under section 9111(d).
SEC. 9146. STUDY OF ENGINE DURABILITY ASSOCIATED WITH THE USE OF BIODIESEL.
(a) In General.--Not later than 30 days after the date of enactment of this Act, the Secretary shall initiate a study on the effects of the use of biodiesel on engine durability.
(b) Components.--The study under this section shall include--
(1) an assessment of whether the use of biodiesel in conventional diesel engines lessens engine durability; and
(2) an assessment of the effects referred to in subsection (a) with respect to biodiesel blends at varying concentrations, including--
(A) B5;
(B) B10;
(C) B20; and
(D) B30.
SEC. 9147. STUDY OF INCENTIVES FOR RENEWABLE FUELS.
(a) Study.--The President shall conduct a study of the renewable fuels industry and markets in the United States, including--
(1) the costs to produce conventional and advanced biofuels;
(2) the factors affecting the future market prices for those biofuels, including world oil prices; and
(3) the financial incentives necessary to enhance, to the maximum extent practicable, the biofuels industry of the United States to reduce the dependence of the United States on foreign oil during calendar years 2011 through 2030.
(b) Goals.--The study shall include an analysis of the options for financial incentives and the advantage and disadvantages of each option.
(c) Report.--Not later than 1 year after the date of enactment of this Act, the President shall submit to Congress a report that describes the results of the study.
SEC. 9148. STUDY OF STREAMLINED LIFECYCLE ANALYSIS TOOLS FOR THE EVALUATION OF RENEWABLE CARBON CONTENT OF BIOFUELS.
(a) In General.--The Secretary, in consultation with the Secretary of Agriculture and the Administrator of the Environmental Protection Agency, shall conduct a study of--
(1) published methods for evaluating the lifecycle fossil and renewable carbon content of fuels, including conventional and advanced biofuels; and
(2) methods for performing simplified, streamlined lifecycle analyses of the fossil and renewable carbon content of biofuels.
(b) Report.--Not later than 1 year after the date of enactment of this Act, the Secretary shall submit to the Committee on Energy and Natural Resources of the Senate and the Committee on Energy and Commerce of the House of Representatives a report that describes the results of the study under subsection (a), including recommendations for a method for performing a simplified, streamlined lifecycle analysis of the fossil and renewable carbon content of biofuels that includes--
(1) carbon inputs to feedstock production; and
(2) carbon inputs to the biofuel production process, including the carbon associated with electrical and thermal energy inputs.
SEC. 9149. STUDY OF EFFECTS OF ETHANOL-BLENDED GASOLINE ON OFF-ROAD VEHICLES.
(a) Study.--
(1) IN GENERAL.--The Secretary, in consultation with the Secretary of Transportation and the Administrator of the Environmental Protection Agency, shall conduct a study to determine the effects of ethanol-blended gasoline on off-road vehicles and recreational boats.
(2) EVALUATION.--The study shall include an evaluation of the operational, safety, durability, and environmental impacts of ethanol-blended gasoline on off-road and marine engines, recreational boats, and related equipment.
(b) Report.--Not later than 1 year after the date of enactment of this Act, the Secretary shall submit to Congress a report describing the results of the study.
SEC. 9150. STUDY OF OFFSHORE WIND RESOURCES.
(a) Definitions.--In this section:
(1) ELIGIBLE INSTITUTION.--The term ``eligible institution'' means a college or university that--
(A) as of the date of enactment of this Act, has an offshore wind power research program; and
(B) is located in a region of the United States that is in reasonable proximity to the eastern outer Continental Shelf, as determined by the Secretary.
(2) SECRETARY.--The term ``Secretary'' means the Secretary of the Interior, acting through the Director of the Minerals Management Service.
(b) Study.--The Secretary, in cooperation with an eligible institution, as selected by the Secretary, shall conduct a study to assess each offshore wind resource located in the region of the eastern outer Continental Shelf.
(c) Report.--Upon completion of the study under subsection (b), the Secretary shall submit to Congress a report that includes--
(1) a description of--
(A) the locations and total power generation resources of the best offshore wind resources located in the region of the eastern outer Continental Shelf, as determined by the Secretary;
(B) based on conflicting zones relating to any infrastructure that, as of the date of enactment of this Act, is located in close proximity to any offshore wind resource, the likely exclusion zones of each offshore wind resource described in subparagraph (A);
(C) the relationship of the temporal variation of each offshore wind resource described in subparagraph (A) with--
(i) any other offshore wind resource; and
(ii) with loads and corresponding system operator markets;
(D) the geological compatibility of each offshore wind resource described in subparagraph (A) with any potential technology relating to sea floor towers; and
(E) with respect to each area in which an offshore wind resource described in subparagraph (A) is located, the relationship of the authority under any coastal management plan of the State in which the area is located with the Federal Government; and
(2) recommendations on the manner by which to handle offshore wind intermittence.
(d) Incorporation of Study.--Effective beginning on the date on which the Secretary completes the study under subsection (b), the Secretary shall incorporate the findings included in the report under subsection (c) into the planning process documents for any wind energy lease sale--
(1) relating to any offshore wind resource located in any appropriate area of the outer Continental Shelf, as determined by the Secretary; and
(2) that is completed on or after the date of enactment of this Act.
(e) Effect.--Nothing in this section--
(1) delays any final regulation to be promulgated by the Secretary of the Interior to carry out section 8(p) of the Outer Continental Shelf Lands Act (43 U.S.C. 1337(p)); or
(2) limits the authority of the Secretary to lease any offshore wind resource located in any appropriate area of the outer Continental Shelf, as determined by the Secretary.
(f) Authorization of Appropriations.--There is authorized to be appropriated to carry out this section $5,000,000, to remain available until expended.

PART IV--ENVIRONMENTAL SAFEGUARDS
SEC. 9161. GRANTS FOR PRODUCTION OF ADVANCED BIOFUELS.
(a) In General.--The Secretary shall establish a grant program to encourage the production of advanced biofuels.
(b) Requirements and Priority.--In making grants under this section, the Secretary--
(1) shall make awards to the proposals for advanced biofuels with the greatest reduction in lifecycle greenhouse gas emissions compared to the comparable motor vehicle fuel lifecycle emissions during calendar year 2007; and
(2) shall not make an award to a project that does not achieve at least a 50-percent reduction in such lifecycle greenhouse gas emissions.
(c) Authorization of Appropriations.--There is authorized to be appropriated to carry out this section $500,000,000 for the period of fiscal years 2008 through 2015.
SEC. 9162. STUDIES OF EFFECTS OF RENEWABLE FUEL USE.
Section 211 of the Clean Air Act (42 U.S.C. 7545) is amended by adding at the end the following:
``(t) Studies of Effects of Renewable Fuel Use.--
``(1) IN GENERAL.--Not later than 1 year after the date of enactment of this subsection, the Administrator shall offer to enter into appropriate arrangements with the National Academy of Sciences and any other independent research institute determined to be appropriate by the Administrator, in consultation with appropriate Federal agencies, to conduct 2 studies on the effects of increased domestic use of renewable fuels under the Renewable Fuels, Consumer Protection, and Energy Efficiency
Act of 2007.
``(2) MATTERS TO BE STUDIED.--
``(A) IN GENERAL.--The studies under this subsection shall assess, quantify, and recommend analytical methodologies in relation to environmental changes associated with the increased domestic use of renewable fuels under the Renewable Fuels, Consumer Protection, and Energy Efficiency Act of 2007, including production, handling, transportation, and use of the fuels.
``(B) SPECIFIC MATTERS.--The studies shall include an assessment and quantification, to the maximum extent practicable, of significant changes--
``(i) in air and water quality and the quality of other natural resources;
``(ii) in land use patterns;
``(iii) in the rate of deforestation in the United States and globally;
``(iv) to greenhouse gas emissions;
``(v) to significant geographic areas and habitats with high biodiversity values (including species richness, the presence of species that are exclusively native to a place, or the presence of endangered species); or
``(vi) in the long-term capacity of the United States to produce biomass feedstocks.
``(C) BASELINE COMPARISON.--In making an assessment or quantifying effects of increased use of renewable fuels, the studies shall use an appropriate baseline involving increased use of the conventional transportation fuels, if displacement by use of renewable fuels had not occurred.
``(3) REPORTS TO CONGRESS.--The Administrator shall submit to Congress a report summarizing the assessments and findings of--
``(A) the first study, along with any recommendations by the Administrator to mitigate adverse effects identified by the study, not later than 3 years after the date of enactment of this subsection; and
``(B) the second study, along with any recommendations by the Administrator to mitigate adverse effects identified by the study, not later December 31, 2015.''.
SEC. 9163. INTEGRATED CONSIDERATION OF WATER QUALITY IN DETERMINATIONS ON FUELS AND FUEL ADDITIVES.
Section 211(c)(1) of the Clean Air Act (42 U.S.C. 7545(c)(1)) is amended--
(1) by striking ``nonroad vehicle (A) if in the judgment of the Administrator'' and inserting ``nonroad vehicle--
``(A) if, in the judgment of the Administrator, any fuel or fuel additive or'';
(2) in subparagraph (A), by striking ``air pollution which'' and inserting ``air pollution or water pollution (including any degradation in the quality of groundwater) that''; and
(3) by striking ``, or (B) if'' and inserting the following: ``; or
``(B) if''.
SEC. 9164. ANTI-BACKSLIDING.
Section 211 of the Clean Air Act (42 U.S.C. 7545) (as amended by section 9162) is amended by adding at the end the following:
``(u) Prevention of Air Quality Deterioration.--
``(1) STUDY.--
``(A) IN GENERAL.--Not later than 18 months after the date of enactment of the Renewable Fuels, Consumer Protection, and Energy Efficiency Act of 2007, the Administrator shall complete a study to determine whether the renewable fuel volumes required by that Act will adversely impact air quality as a result of changes in vehicle and engine emissions of air pollutants regulated under this Act.
``(B) CONSIDERATIONS.--The study shall include consideration of--
``(i) different blend levels, types of renewable fuels, and available vehicle technologies; and
``(ii) appropriate national, regional, and local air quality control measures.
``(2) REGULATIONS.--Not later than 3 years after the date of enactment of the Renewable Fuels, Consumer Protection, and Energy Efficiency Act of 2007, the Administrator shall--
``(A) promulgate regulations to implement appropriate measures to mitigate, to the greatest extent achievable, considering the results of the study under paragraph (1), any adverse impacts on air quality, as the result of the renewable volumes required by that Act; or
``(B) make a determination that no such measures are necessary.
``(3) OTHER REQUIREMENTS.--Nothing in the Renewable Fuels, Consumer Protection, and Energy Efficiency Act of 2007 supercedes or otherwise affects any Federal or State requirement under any other provision of law that is more stringent than any requirement of this title.''.


(As printed in the Congressional Record for the Senate on Nov 13, 2007.)