7 USC 8111 - Biomass Crop Assistance Program

Collapse to view only § 8111. Biomass Crop Assistance Program

§ 8101. Definitions
§ 8102. Biobased markets program
§ 8103. Biorefinery, renewable chemical, and biobased product manufacturing assistance
§ 8104. Repealed.
§ 8105. Bioenergy program for advanced biofuels
§ 8106. Biodiesel fuel education program
§ 8107. Rural Energy for America Program
§ 8107a. Rural energy savings program
§ 8108. Biomass research and development
§ 8109. Repealed.
§ 8110. Feedstock flexibility program for bioenergy producers
§ 8111. Biomass Crop Assistance Program
§ 8112. Repealed.
§ 8113. Community Wood Energy and Wood Innovation Program
§ 8114. Sun grant program
§ 8115. Carbon utilization and biogas education program

§ 8101. DefinitionsExcept as otherwise provided, in this chapter:

(1) Administrator

(2) Advisory Committee

(3) Advanced biofuel

(A) In general

(B) InclusionsSubject to subparagraph (A), the term “advanced biofuel” includes—

(i) biofuel derived from cellulose, hemicellulose, or lignin;

(ii) biofuel derived from sugar and starch (other than ethanol derived from corn kernel starch);

(iii) biofuel derived from waste material, including crop residue, other vegetative waste material, animal waste, 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.

(4) Biobased productThe term “biobased product” means a product determined by the Secretary to be a commercial or industrial product (other than food or feed) that is—

(A) composed, in whole or in significant part, of biological products, including renewable domestic agricultural materials, renewable chemicals, and forestry materials; or

(B) an intermediate ingredient or feedstock.

(5) Biofuel

(6) Biomass conversion facilityThe term “biomass conversion facility” means a facility that converts or proposes to convert renewable biomass into—

(A) heat;

(B) power;

(D) advanced biofuels.

(7) BiorefineryThe term “biorefinery” means a facility (including equipment and processes) that—

(A) converts renewable biomass or an intermediate ingredient or feedstock of renewable biomass into any 1 or more, or a combination, of—

(i) biofuels;

(ii) renewable chemicals; or

(iii) biobased products; and

(B) may produce electricity.

(8) Board

(9) Forest product

(A) In general

(B) InclusionsThe term “forest product” includes—

(i) pulp, paper, paperboard, pellets, lumber, and other wood products; and

(ii) any recycled products derived from forest materials.

(10) Indian tribe

(11) Institution of higher education

(12) Intermediate ingredient or feedstock

(13) Renewable biomassThe term “renewable biomass” means—

(A) materials, pre-commercial thinnings, or invasive species from National Forest System land and public lands (as defined in section 1702 of title 43) that—

(i) are byproducts of preventive treatments that are removed—(I) to reduce hazardous fuels;(II) to reduce or contain disease or insect infestation; or(III) to restore ecosystem health;

(ii) would not otherwise be used for higher-value products; and

(iii) are harvested in accordance with—(I) applicable law and land management plans; and(II) the requirements for—(aa) old-growth maintenance, restoration, and management direction of paragraphs (2), (3), and (4) of subsection (e) of section 6512 of title 16; and(bb) large-tree retention of subsection (f) of that section; or

(B) any organic matter that is available on a renewable or recurring basis from non-Federal land or land belonging to an Indian or Indian tribe 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.

(14) Renewable chemical

(15) Renewable energyThe term “renewable energy” means energy derived from—

(A) a wind, solar, renewable biomass, ocean (including tidal, wave, current, and thermal), geothermal, or hydroelectric source; or

(B) hydrogen derived from renewable biomass or water using an energy source described in subparagraph (A).

(16) Renewable energy system

(A) In general

(B) InclusionsThe term “renewable energy system” includes—

(i) distribution components necessary to move energy produced by a system described in subparagraph (A) to the initial point of sale; and

(ii) other components and ancillary infrastructure of a system described in subparagraph (A), such as a storage system.

(17) Secretary

(Pub. L. 107–171, title IX, § 9001, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1303, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2064; amended Pub. L. 113–79, title IX, § 9001, Feb. 7, 2014, 128 Stat. 926;

§ 8102. Biobased markets program

(a) Federal procurement of biobased products

(1) Definition of procuring agencyIn this subsection, the term “procuring agency” means—

(A) any Federal agency that is using Federal funds for procurement; or

(B) a person that is a party to a contract with any Federal agency, with respect to work performed under such a contract.

(2) Procurement preference

(A) In general

(i) Procuring agency dutiesExcept as provided in clause (ii) and subparagraph (B), after the date specified in applicable guidelines prepared pursuant to paragraph (3), each procuring agency shall—(I) establish a procurement program, develop procurement specifications, and procure biobased products identified under the guidelines described in paragraph (3) in accordance with this section;(II) with respect to items described in the guidelines, give a procurement preference to those items that—(aa) are composed of the highest percentage of biobased products practicable; or(bb) comply with the regulations issued under section 6914b–1 of title 42; and(III) establish a targeted biobased-only procurement requirement under which the procuring agency shall issue a certain number of biobased-only contracts when the procuring agency is purchasing products, or purchasing services that include the use of products, that are included in a biobased product category designated by the Secretary.

(ii) Exception

(B) FlexibilityNotwithstanding subparagraph (A), a procuring agency may decide not to procure items described in that subparagraph if the procuring agency determines that the items—

(i) are not reasonably available within a reasonable period of time;

(ii) fail to meet—(I) the performance standards set forth in the applicable specifications; or(II) the reasonable performance standards of the procuring agencies; or

(iii) are available only at an unreasonable price.

(i) be consistent with applicable provisions of Federal procurement law;

(ii) ensure that items composed of biobased products will be purchased to the maximum extent practicable;

(iii) include a component to promote the procurement program;

(iv) provide for an annual review and monitoring of the effectiveness of the procurement program; and

(v) adopt 1 of the 2 polices described in subparagraph (D) or (E), or a policy substantially equivalent to either of those policies.

(D) Case-by-case policy

(i) In general

(ii) Exception

(E) Minimum span standards

(F) Certification

(3) Guidelines

(A) In general

(B) RequirementsThe guidelines under this paragraph shall—

(i) designate those items (including finished products) that are or can be produced with biobased products (including biobased products for which there is only a single product or manufacturer in the category) that will be subject to the preference described in paragraph (2);

(ii) designate those intermediate ingredients and feedstocks that are or can be used to produce items that will be subject to the preference described in paragraph (2);

(iii) automatically designate items composed of intermediate ingredients and feedstocks designated under clause (ii), if the span of the designated intermediate ingredients and feedstocks exceeds 50 percent of the item (unless the Secretary determines a different composition percentage is appropriate);

(iv) set forth recommended practices with respect to the procurement of biobased products and items containing such materials;

(v) require reporting of quantities and types of biobased products purchased by procuring agencies;

(vi) promote biobased products, including forest products, that apply an innovative approach to growing, harvesting, sourcing, procuring, processing, manufacturing, or application of biobased products regardless of the date of entry into the marketplace;

(vii) as determined to be necessary by the Secretary based on the availability of data, provide information as to the availability, relative price, performance, and environmental and public health benefits of such materials and items; and

(viii) take effect on the date established in the guidelines, which may not exceed 1 year after publication.

(D) Prohibition

(E) Qualifying purchasesThe guidelines shall apply with respect to any purchase or acquisition of a procurement item for which—

(i) the purchase price of the item exceeds $10,000; or

(ii) the quantity of the items or of functionally-equivalent items purchased or acquired during the preceding fiscal year was at least $10,000.

(F) Required designations

(4) Administration

(A) Office of Federal Procurement PolicyThe Office of Federal Procurement Policy, in cooperation with the Secretary, shall—

(i) coordinate the implementation of this subsection with other policies for Federal procurement;

(ii) annually collect the information required to be reported under subparagraph (B) and make the information publicly available;

(iii) take a leading role in informing Federal agencies concerning, and promoting the adoption of and compliance with, procurement requirements for biobased products by Federal agencies; and

(iv) not less than once every 2 years, submit to Congress a report that—(I) describes the progress made in carrying out this subsection; and(II) contains a summary of the information reported pursuant to subparagraph (B).

(B) Other agenciesTo assist the Office of Federal Procurement Policy in carrying out subparagraph (A)—

(i) each procuring agency shall submit each year to the Office of Federal Procurement Policy, to the maximum extent practicable, information concerning—(I) actions taken to implement paragraph (2);(II) the results of the annual review and monitoring program established under paragraph (2)(C)(iv);(III) the number and dollar value of contracts entered into during the year that include the direct procurement of biobased products;(IV) the number of service and construction (including renovations) contracts entered into during the year that include language on the use of biobased products; and(V) the types and dollar value of biobased products actually used by contractors in carrying out service and construction (including renovations) contracts during the previous year; and

(ii) the General Services Administration and the Defense Logistics Agency shall submit each year to the Office of Federal Procurement Policy information concerning, to the maximum extent practicable, the types and dollar value of biobased products purchased by procuring agencies.

(b) Labeling

(1) In general

(2) Eligibility criteria

(A) Criteria

(i) In general

(ii) Exception

(iii) Renewable chemicals

(B) RequirementsCriteria issued under subparagraph (A) shall—

(i) encourage the purchase of products with the maximum biobased span;

(ii) provide that the Secretary may designate as biobased for the purposes of the voluntary program established under this subsection finished products that contain significant portions of biobased materials or components; and

(iii) to the maximum extent practicable, be consistent with the guidelines issued under subsection (a)(3).

(3) Use of label

(A) In general

(B) Auditing and compliance

(4) Assembled and finished products

(1) establish a program to recognize Federal agencies and private entities that use a substantial amount of biobased products; and

(2) encourage Federal agencies to establish incentives programs to recognize Federal employees or contractors that make exceptional contributions to the expanded use of biobased products.

(d) Limitation

(e) Inclusion

(f) Manufacturers of renewable chemicals and biobased products

(1) NAICS codesThe Secretary and the Secretary of Commerce shall jointly develop North American Industry Classification System codes for—

(A) renewable chemicals manufacturers; and

(B) biobased products manufacturers.

(2) National testing center registry

(g) Forest products laboratory coordination

(h) Streamlining

(1) In generalNot later than 1 year after December 20, 2018, the Secretary shall establish guidelines for an integrated process under which biobased products may be, in 1 expedited approval process—

(A) determined to be eligible for a Federal procurement preference under subsection (a); and

(B) approved to use the “USDA Certified Biobased Product” label under subsection (b).

(2) Initiation

(3) Product designations

(i) Requirement of procuring agencies

(j) Reports

(1) In general

(2) ContentsEach report under paragraph (1) shall include—

(A) a comprehensive management plan that establishes tasks, milestones, and timelines, organizational roles and responsibilities, and funding allocations for fully implementing this section;

(B) information on the status of implementation of—

(i) item designations (including designation of intermediate ingredients and feedstocks); and

(ii) the voluntary labeling program established under subsection (b); and

(C) the progress made by other Federal agencies in compliance with the biobased procurement requirements, including the quantity of purchases made.

(3) Economic impact study and report

(A) In generalThe Secretary shall conduct a study to assess the economic impact of the biobased products industry, including—

(i) the quantity of biobased products sold;

(ii) the value of the biobased products;

(iii) the quantity of jobs created;

(iv) the quantity of petroleum displaced;

(v) other environmental benefits; and

(vi) areas in which the use or manufacturing of biobased products could be more effectively used, including identifying any technical and economic obstacles and recommending how those obstacles can be overcome.

(B) Report

(k) Funding

(1) Mandatory funding

(2) Discretionary funding

(l) Biobased product inclusion

(m) Rural development mission area

(Pub. L. 107–171, title IX, § 9002, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1305, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2067; amended Pub. L. 112–240, title VII, § 701(f)(1), Jan. 2, 2013, 126 Stat. 2364; Pub. L. 113–79, title IX, § 9002(a), Feb. 7, 2014, 128 Stat. 926; Pub. L. 115–334, title IX, § 9002, Dec. 20, 2018, 132 Stat. 4883; Pub. L. 118–22, div. B, title I, § 102(d)(6)(A), Nov. 17, 2023, 137 Stat. 117.)

§ 8103. Biorefinery, renewable chemical, and biobased product manufacturing assistance

(a) PurposeThe purpose of this section is to assist in the development of new and emerging technologies for the development of advanced biofuels, renewable chemicals, and biobased product manufacturing so as to—

(1) increase the energy independence of the United States;

(2) promote resource conservation, public health, and the environment;

(3) diversify markets for agricultural and forestry products and agriculture waste material; and

(4) create jobs and enhance the economic development of the rural economy.

(b) DefinitionsIn this section:

(1) Biobased product manufacturing

(2) Eligible entity

(3) Eligible technologyThe term “eligible technology” means, as determined by the Secretary—

(A) a technology that is being adopted in a viable commercial-scale operation of a biorefinery that produces any 1 or more, or a combination, of—

(i) an advanced biofuel;

(ii) a renewable chemical; or

(iii) a biobased product; and

(B) a technology not described in subparagraph (A) that has been demonstrated to have technical and economic potential for commercial application in a biorefinery that produces any 1 or more, or a combination, of—

(i) an advanced biofuel;

(ii) a renewable chemical; or

(iii) a biobased product.

(d) Loan guarantees

(1) Selection criteria

(A) In general

(B) Feasibility

(C) Scoring systemIn determining the priority scoring system for loan guarantees under subsection (c), the Secretary shall consider—

(i) whether the applicant has established a market for the advanced biofuel and the byproducts produced;

(ii) whether the area in which the applicant proposes to place the biorefinery has other similar facilities;

(iii) whether the applicant is proposing to use a feedstock not previously used in the production of advanced biofuels;

(iv) whether the applicant is proposing to work with producer associations or cooperatives;

(v) the level of financial participation by the applicant, including support from non-Federal and private sources;

(vi) whether the applicant has established that the adoption of the process proposed in the application will have a positive impact on resource conservation, public health, and the environment;

(vii) whether the applicant can establish that if adopted, the biofuels production technology proposed in the application will not have any significant negative impacts on existing manufacturing plants or other facilities that use similar feedstocks;

(viii) the potential for rural economic development;

(ix) the level of local ownership proposed in the application; and

(x) whether the project can be replicated.

(D) Project diversity

(2) Limitations

(A) Maximum amount of loan guaranteed

(B) Maximum percentage of loan guaranteed

(i) In general

(ii) Other direct Federal funding

(iii) Authority to guarantee the loan

(e) Consultation

(f) Condition on provision of assistance

(1) In general

(2) Authority and functions

(g) Funding

(1) Mandatory funding

(A) In generalSubject to subparagraph (B), of the funds of the Commodity Credit Corporation, the Secretary shall use for the cost of loan guarantees under this section, to remain available until expended—

(i) $100,000,000 for fiscal year 2014;

(ii) $50,000,000 for each of fiscal years 2015 and 2016;

(iii) $50,000,000 for fiscal year 2019; and

(iv) $25,000,000 for fiscal year 2020.

(B) Biobased product manufacturing

(2) Discretionary funding

(h) Additional funding for electric loans for renewable energy

(1) Appropriations

(2) Limitation

(3) Exception

(i) Biofuel infrastructure and agriculture product market expansion

(1) Appropriation

(2) Use of fundsThe Secretary shall use the amounts made available by paragraph (1) to provide grants, for which the Federal share shall be not more than 75 percent of the total cost of carrying out a project for which the grant is provided, on a competitive basis, to increase the sale and use of agricultural commodity-based fuels through infrastructure improvements for blending, storing, supplying, or distributing biofuels, except for transportation infrastructure not on location where such biofuels are blended, stored, supplied, or distributed—

(A) by installing, retrofitting, or otherwise upgrading fuel dispensers or pumps and related equipment, storage tank system components, and other infrastructure required at a location related to dispensing certain biofuel blends to ensure the increased sales of fuels with high levels of commodity-based ethanol and biodiesel that are at or greater than the levels required in the Notice of Funding Availability for the Higher Blends Infrastructure Incentive Program for Fiscal Year 2020, published in the Federal Register (85 Fed. Reg. 26656), as determined by the Secretary; and

(B) by building and retrofitting home heating oil distribution centers or equivalent entities and distribution systems for ethanol and biodiesel blends.

(j) USDA assistance for rural electric cooperatives

(1) Appropriation

(2) Limitation

(3) Requirement

(4) Prohibition

(5) DisbursementsThe Secretary shall not enter into, pursuant to this subsection—

(A) any loan agreement that may result in a disbursement after September 30, 2031; or

(B) any grant agreement that may result in any outlay after September 30, 2031.

(Pub. L. 107–171, title IX, § 9003, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1310, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2072; amended Pub. L. 112–240, title VII, § 701(f)(2), Jan. 2, 2013, 126 Stat. 2365; Pub. L. 113–79, title IX, § 9003, Feb. 7, 2014, 128 Stat. 928; Pub. L. 115–334, title IX, § 9003, Dec. 20, 2018, 132 Stat. 4884; Pub. L. 117–169, title II, §§ 22001, 22003, 22004, Aug. 16, 2022, 136 Stat. 2018, 2020.)

§ 8104. Repealed. Pub. L. 115–334, title IX, § 9004, Dec. 20, 2018, 132 Stat. 4885

§ 8105. Bioenergy program for advanced biofuels

(a) Definition of eligible producer

(b) Payments

To receive a payment, an eligible producer shall—

(1) enter into a contract with the Secretary for production of advanced biofuels; and

(2) submit to the Secretary such records as the Secretary may require as evidence of the production of advanced biofuels.

(d) Basis for payments

The Secretary shall make payments under this section to eligible producers based on—

(1) the quantity and duration of production by the eligible producer of an advanced biofuel;

(2) the net nonrenewable energy span of the advanced biofuel, if sufficient data is available, as determined by the Secretary; and

(3) other appropriate factors, as determined by the Secretary.

(e) Equitable distribution

(1) Amount

(2) Feedstock

(f) Other requirements

(g) Funding

(1) Mandatory funding

Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section, to remain available until expended—

(A) $55,000,000 for fiscal year 2009;

(B) $55,000,000 for fiscal year 2010;

(D) $105,000,000 for fiscal year 2012;

(E) $15,000,000 for each of fiscal years 2014 through 2018; and

(F) $7,000,000 for each of fiscal years 2019 through 2024.

(2) Discretionary funding

(3) Limitation

(Pub. L. 107–171, title IX, § 9005, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1314, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2075; amended Pub. L. 112–240, title VII, § 701(f)(4), Jan. 2, 2013, 126 Stat. 2365; Pub. L. 113–79, title IX, § 9005, Feb. 7, 2014, 128 Stat. 930; Pub. L. 115–334, title IX, § 9005, Dec. 20, 2018, 132 Stat. 4885; Pub. L. 118–22, div. B, title I, § 102(d)(6)(B), Nov. 17, 2023, 137 Stat. 117.)

§ 8106. Biodiesel fuel education program

(a) Establishment

(b) Eligible entities

To receive a grant under subsection (b), an entity shall—

(1) be a nonprofit organization or institution of higher education;

(2) have demonstrated knowledge of biodiesel fuel production, use, or distribution; and

(3) have demonstrated the ability to conduct educational and technical support programs.

(d) Authorization of appropriations

(Pub. L. 107–171, title IX, § 9006, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1315, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2076; amended Pub. L. 112–240, title VII, § 701(f)(5), Jan. 2, 2013, 126 Stat. 2365; Pub. L. 113–79, title IX, § 9006, Feb. 7, 2014, 128 Stat. 930; Pub. L. 115–334, title IX, § 9006, Dec. 20, 2018, 132 Stat. 4885.)

§ 8107. Rural Energy for America Program

(a) EstablishmentThe Secretary, in consultation with the Secretary of Energy, shall establish a Rural Energy for America Program to promote energy efficiency and renewable energy development for agricultural producers and rural small businesses through—

(1) grants for energy audits and renewable energy development assistance; and

(2) financial assistance for energy efficiency improvements and renewable energy systems.

(b) Energy audits and renewable energy development assistance

(1) In generalThe Secretary shall make competitive grants to eligible entities to provide assistance to agricultural producers and rural small businesses—

(A) to become more energy efficient; and

(B) to use renewable energy technologies and resources.

(2) Eligible entitiesAn eligible entity under this subsection is—

(A) a unit of State, tribal, or local government;

(B) a land-grant college or university or other institution of higher education;

(D) a council (as defined in section 3451 of title 16); and

(E) any other similar entity, as determined by the Secretary.

(3) Selection criteriaIn reviewing applications of eligible entities to receive grants under paragraph (1), the Secretary shall consider—

(A) the ability and expertise of the eligible entity in providing professional energy audits and renewable energy assessments;

(B) the geographic scope of the program proposed by the eligible entity in relation to the identified need;

(D) the potential of the proposed program to produce energy savings and environmental benefits;

(E) the plan of the eligible entity for performing outreach and providing information and assistance to agricultural producers and rural small businesses on the benefits of energy efficiency and renewable energy development; and

(F) the ability of the eligible entity to leverage other sources of funding.

(4) Use of grant fundsA recipient of a grant under paragraph (1) shall use the grant funds to assist agricultural producers and rural small businesses by—

(A) conducting and promoting energy audits; and

(B) providing recommendations and information on how—

(i) to improve the energy efficiency of the operations of the agricultural producers and rural small businesses; and

(ii) to use renewable energy technologies and resources in the operations.

(5) Limitation

(6) Cost sharing

(1) In general

(A) AssistanceIn addition to any similar authority, the Secretary shall provide—

(i) loan guarantees and grants to agricultural producers and rural small businesses—(I) to purchase renewable energy systems, including systems that may be used to produce and sell electricity; and(II) to make energy efficiency improvements; and

(ii) loan guarantees to agricultural producers to purchase and install energy efficient equipment or systems for agricultural production or processing that exceed—(I) energy efficiency building codes, if applicable;(II) Federal or State energy efficiency standards, if applicable; and(III) other energy efficiency standards determined appropriate by the Secretary.

(B) LimitationsWith respect to loan guarantees under subparagraph (A)(ii)—

(i) if no codes or standards described in such subparagraph apply to the energy efficient equipment or system to be purchased or installed pursuant to such subparagraph, the Secretary shall require, to the maximum extent practicable, such equipment or system to meet the same efficiency measurements as the most efficient available equipment or system in the market; and

(ii) the Secretary shall not provide such a loan guarantee for the purchase or installation of any energy efficient equipment or system unless more than one type of such equipment or system is available in the market.

(2) Award considerationsIn determining the amount of a loan guarantee or grant provided under this section, the Secretary shall take into consideration, as applicable—

(A) the type of renewable energy system to be purchased;

(B) the estimated quantity of energy to be generated by the renewable energy system;

(D) the quantity of energy savings expected to be derived from the activity, as demonstrated by an energy audit;

(E) the estimated period of time for the energy savings generated by the activity to equal the cost of the activity;

(F) the expected energy efficiency of the renewable energy system; and

(G) other appropriate factors.

(3) Limits

(A) Grants

(B) Maximum amount of loan guarantees

(D) Loan guarantees for energy efficient equipment to agricultural producers

(4) Tiered application process

(A) In general

(B) Tier 1

(D) Tier 3

(E) Application process

(d) Outreach

(e) Lower-cost activities

(1) Limitation on use of funds

(2) Exception

(f) Funding

(1) Mandatory fundingOf the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section, to remain available until expended—

(A) $55,000,000 for fiscal year 2009;

(B) $60,000,000 for fiscal year 2010;

(D) $70,000,000 for fiscal year 2012; and

(E) $50,000,000 for fiscal year 2014 and each fiscal year thereafter.

(2) Audit and technical assistance funding

(A) In general

(B) Other use

(3) Discretionary funding

(Pub. L. 107–171, title IX, § 9007, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1315, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2077; amended Pub. L. 112–240, title VII, § 701(f)(6), Jan. 2, 2013, 126 Stat. 2365; Pub. L. 113–79, title IX, § 9007, Feb. 7, 2014, 128 Stat. 930; Pub. L. 115–334, title IX, § 9007, Dec. 20, 2018, 132 Stat. 4886.)

§ 8107a. Rural energy savings program

(a) Purpose

(b) DefinitionsIn this section:

(1) Eligible entityThe term “eligible entity” means—

(A) any public power district, public utility district, or similar entity, or any electric cooperative described in section 501(c)(12) or 1381(a)(2) of title 26, that borrowed and repaid, prepaid, or is paying an electric loan made or guaranteed by the Rural Utilities Service (or any predecessor agency);

(B) any entity primarily owned or controlled by 1 or more entities described in subparagraph (A); or

(C) any other entity that is an eligible borrower of the Rural Utilities Service, as determined under section 1710.101 of title 7, Code of Federal Regulations (or a successor regulation).

(2) Energy efficiency measures

(3) Qualified consumer

(4) Secretary

(1) In general

(2) Requirements

(A) In generalAs a condition of receiving a loan under this subsection, an eligible entity shall—

(i) establish a list of energy efficiency measures that is expected to decrease energy use or costs of qualified consumers;

(ii) prepare an implementation plan for use of the loan funds, including use of any interest to be received pursuant to subsection (d)(1)(A);

(iii) provide for appropriate measurement and verification to ensure—(I) the effectiveness of the energy efficiency loans made by the eligible entity; and(II) that there is no conflict of interest in carrying out this section; and

(iv) demonstrate expertise in effective use of energy efficiency measures at an appropriate scale.

(B) Revision of list of energy efficiency measures

(3) No interest

(4) Eligibility for other loans

(5) RepaymentWith respect to a loan under paragraph (1)—

(A) the term shall not exceed 20 years from the date on which the loan is closed; and

(B) except as provided in paragraph (7), the repayment of each advance shall be amortized for a period not to exceed 10 years.

(6) Amount of advances

(7) Special advance for start-up activities

(A) In general

(B) Amount

(i) shall be required during the 10-year period beginning on the date on which the special advance is made; and

(ii) at the election of the eligible entity, may be deferred to the end of the 10-year period.

(8) Limitation

(9) Accounting

(d) Loans to qualified consumers

(1) Terms of loansLoans made by an eligible entity to qualified consumers using loan funds provided by the Secretary under subsection (c)—

(A) may bear interest, not to exceed 5 percent, to be used for purposes that include—

(i) to establish a loan loss reserve; and

(ii) to offset personnel and program costs of eligible entities to provide the loans;

(B) shall finance energy efficiency measures for the purpose of decreasing energy usage or costs of the qualified consumer by an amount that ensures, to the maximum extent practicable, that a loan term of not more than 10 years will not pose an undue financial burden on the qualified consumer, as determined by the eligible entity;

(C) shall not be used to fund purchases of, or modifications to, personal property unless the personal property is or becomes attached to real property (including a manufactured home) as a fixture;

(D) shall be repaid through charges added to the recurring service bill for the property for, or at which, energy efficiency measures are or will be implemented, on the condition that this requirement does not prohibit—

(i) the voluntary prepayment of a loan by the owner of the property; or

(ii) the use of any additional repayment mechanisms that are—(I) demonstrated to have appropriate risk mitigation features, as determined by the eligible entity; or(II) required if the qualified consumer is no longer a customer of the eligible entity; and

(E) shall require an energy audit by an eligible entity to determine the impact of proposed energy efficiency measures on the energy costs and consumption of the qualified consumer.

(2) Contractors

(e) Contract for measurement and verification, training, and technical assistance

(1) In generalNot later than 90 days after February 7, 2014, the Secretary—

(A) shall establish a plan for measurement and verification, training, and technical assistance of the program; and

(B) may enter into 1 or more contracts with a qualified entity for the purposes of—

(i) providing measurement and verification activities; and

(ii) developing a program to provide technical assistance and training to the employees of eligible entities to carry out this section.

(2) Use of subcontractors authorized

(f) Additional authority

(g) Effective period

(h) PublicationNot later than 120 days after the end of each fiscal year, the Secretary shall publish a description of—

(1) the number of applications received under this section for that fiscal year;

(2) the number of loans made to eligible entities under this section for that fiscal year; and

(3) the recipients of the loans described in paragraph (2).

(i) Authorization of appropriations

(Pub. L. 107–171, title VI, § 6407, as added Pub. L. 113–79, title VI, § 6205, Feb. 7, 2014, 128 Stat. 857; amended Pub. L. 115–334, title VI, § 6303, Dec. 20, 2018, 132 Stat. 4749.)

§ 8108. Biomass research and development

(a) DefinitionsIn this section:

(1) Biobased productThe term “biobased product” means—

(A) an industrial product (including chemicals, materials, and polymers) produced from biomass;

(B) a commercial or industrial product (including animal feed and electric power) derived in connection with the conversion of biomass to fuel; or

(i) is intended for permanent sequestration or utilization; and

(ii) is a byproduct of the production of the products described in subparagraphs (A) and (B).

(2) Demonstration

(3) Initiative

(b) Cooperation and coordination in biomass research and development

(1) In general

(2) Points of contactTo coordinate research and development programs and activities relating to biofuels and biobased products that are carried out by their respective departments—

(A) the Secretary of Agriculture shall designate, as the point of contact for the Department of Agriculture, an officer of the Department of Agriculture appointed by the President to a position in the Department before the date of the designation, by and with the advice and consent of the Senate; and

(B) the Secretary of Energy shall designate, as the point of contact for the Department of Energy, an officer of the Department of Energy appointed by the President to a position in the Department before the date of the designation, by and with the advice and consent of the Senate.

(1) Establishment

(2) MembershipThe Board shall consist of—

(A) the point of contacts of the Department of Energy and the Department of Agriculture, who shall serve as cochairpersons of the Board;

(B) a senior officer of each of the Department of the Interior, the Environmental Protection Agency, the National Science Foundation, and the Office of Science and Technology Policy, each of whom shall have a rank that is equivalent to the rank of the points of contact; and

(C) at the option of the Secretary of Agriculture and the Secretary of Energy, other members appointed by the Secretaries (after consultation with the Board).

(3) DutiesThe Board shall—

(A) coordinate research and development activities relating to biofuels and biobased products—

(i) between the Department of Agriculture and the Department of Energy; and

(ii) with other departments and agencies of the Federal Government;

(B) provide recommendations to the points of contact concerning administration of this chapter;

(i) solicitations are open and competitive with awards made annually; and

(ii) objectives and evaluation criteria of the solicitations are clearly stated and minimally prescriptive, with no areas of special interest; and

(D) ensure that the panel of scientific and technical peers assembled under subsection (e) to review proposals is composed predominantly of independent experts selected from outside the Departments of Agriculture and Energy.

(4) Funding

(5) Meetings

(d) Biomass Research and Development Technical Advisory Committee

(1) Establishment

(2) Membership

(A) In generalThe Advisory Committee shall consist of—

(i) an individual affiliated with the biofuels industry;

(ii) an individual affiliated with the biobased industrial and commercial products industry;

(iii) an individual affiliated with an institution of higher education who has expertise in biofuels and biobased products;

(iv) 2 prominent engineers or scientists from government or academia who have expertise in biofuels and biobased products;

(v) an individual affiliated with a commodity trade association;

(vi) 2 individuals affiliated with environmental or conservation organizations;

(vii) an individual associated with State government who has expertise in biofuels and biobased products;

(viii) an individual with expertise in energy and environmental analysis;

(ix) an individual with expertise in the economics of biofuels and biobased products;

(x) an individual with expertise in agricultural economics;

(xi) an individual with expertise in plant biology and biomass feedstock development;

(xii) an individual with expertise in agronomy, crop science, or soil science;

(xiii) an individual with expertise in carbon dioxide capture, utilization, and sequestration; and

(xiv) at the option of the points of contact, other members.

(B) Appointment

(3) DutiesThe Advisory Committee shall—

(A) advise the points of contact with respect to the Initiative; and

(B) evaluate and make recommendations in writing to the Board regarding whether—

(i) funds authorized for the Initiative are distributed and used in a manner that is consistent with the objectives, purposes, and considerations of the Initiative;

(ii) solicitations are open and competitive with awards made annually;

(iii) objectives and evaluation criteria of the solicitations are clearly stated and minimally prescriptive, with no areas of special interest;

(iv) the points of contact are funding proposals under this chapter that are selected on the basis of merit, as determined by an independent panel of scientific and technical peers predominantly from outside the Departments of Agriculture and Energy; and

(v) activities under this chapter are carried out in accordance with this chapter.

(4) Coordination

(5) Meetings

(6) Terms

(e) Biomass Research and Development Initiative

(1) In generalThe Secretary of Agriculture and the Secretary of Energy, acting through their respective points of contact and in consultation with the Board, shall establish and carry out a Biomass Research and Development Initiative under which competitively awarded grants, contracts, and financial assistance are provided to, or entered into with, eligible entities to carry out research on and development and demonstration of—

(A) biofuels and biobased products; and

(B) the methods, practices, and technologies, for the production of biofuels and biobased products.

(2) ObjectivesThe objectives of the Initiative are to develop—

(A) technologies and processes necessary for abundant commercial production of biofuels at prices competitive with fossil fuels;

(B) high-value biobased products—

(i) to enhance the economic viability of biofuels and power;

(ii) to serve as substitutes for petroleum-based feedstocks and products;

(iii) to enhance the value of coproducts produced using the technologies and processes; and

(iv) to permanently sequester or utilize carbon dioxide described in subsection (a)(1)(C); and

(C) a diversity of economically and environmentally sustainable domestic sources of renewable biomass for conversion to biofuels, bioenergy, and biobased products.

(3) Technical areasThe Secretary of Agriculture and the Secretary of Energy, in consultation with the Administrator of the Environmental Protection Agency and heads of other appropriate departments and agencies (referred to in this subsection as the “Secretaries”), shall direct the Initiative in the 3 following areas:

(A) Feedstocks development

(B) Biofuels and biobased products developmentResearch, development, and demonstration activities to support—

(i) the development of diverse cost-effective technologies for the use of cellulosic biomass in the production of biofuels and biobased products;

(ii) product diversification through technologies relevant to production of a range of biobased products (including chemicals, animal feeds, and cogenerated power) that potentially can increase the feasibility of fuel production in a biorefinery; and

(iii) the development of technologies to permanently sequester or utilize carbon dioxide described in subsection (a)(1)(C).

(i) Strategic guidance

(ii) Energy and environmental impact

(iii) Assessment of Federal land

(4) Additional considerationsWithin the technical areas described in paragraph (3), the Secretaries shall support research and development—

(A) to create continuously expanding opportunities for participants in existing biofuels production by seeking synergies and continuity with current technologies and practices;

(B) to maximize the environmental, economic, and social benefits of production of biofuels and derived biobased products on a large scale; and

(C) to facilitate small-scale production and local and on-farm use of biofuels, including the development of small-scale gasification technologies for production of biofuel from cellulosic feedstocks.

(5) EligibilityTo be eligible for a grant, contract, or assistance under this section, an applicant shall be—

(A) an institution of higher education;

(B) a National Laboratory;

(D) a State research agency;

(E) a private sector entity;

(F) a nonprofit organization; or

(G) a consortium of 2 or more entities described in subparagraphs (A) through (F).

(6) Administration

(A) In generalAfter consultation with the Board, the points of contact shall—

(i) publish annually 1 or more joint requests for proposals for grants, contracts, and assistance under this subsection;

(ii) require that grants, contracts, and assistance under this section be awarded based on a scientific peer review by an independent panel of scientific and technical peers;

(iii) give special consideration to applications that—(I) involve a consortia of experts from multiple institutions;(II) encourage the integration of disciplines and application of the best technical resources; and(III) increase the geographic diversity of demonstration projects; and

(iv) require that the technical areas described in each of subparagraphs (A), (B), and (C) of paragraph (3) receive not less than 15 percent of funds made available to carry out this section.

(B) Cost share

(i) Research and development projects(I) In general(II) Reduction

(ii) Demonstration and commercial projects

(C) Technology and information transferThe Secretary of Agriculture and the Secretary of Energy shall ensure that applicable research results and technologies from the Initiative are—

(i) adapted, made available, and disseminated, as appropriate; and

(ii) included in the best practices database established under section 5925e(e) 1

1 See References in Text note below.

of this title.

(f) Administrative support and funds

(1) In general

(2) Other agencies

(3) Limitation

(g) ReportsFor each fiscal year for which funds are made available to carry out this section, the Secretary of Energy and the Secretary of Agriculture shall jointly submit to Congress a detailed report on—

(1) the status and progress of the Initiative, including a report from the Advisory Committee on whether funds appropriated for the Initiative have been distributed and used in a manner that is consistent with the objectives and requirements of this section;

(2) the general status of cooperation and research and development efforts carried out at each agency with respect to biofuels and biobased products; and

(3) the plans of the Secretary of Energy and the Secretary of Agriculture for addressing concerns raised in the report, including concerns raised by the Advisory Committee.

(h) Funding

(1) Mandatory fundingOf the funds of the Commodity Credit Corporation, the Secretary of Agriculture shall use to carry out this section, to remain available until expended—

(A) $20,000,000 for fiscal year 2009;

(B) $28,000,000 for fiscal year 2010;

(D) $40,000,000 for fiscal year 2012; and

(E) $3,000,000 for each of fiscal years 2014 through 2017.

(2) Discretionary funding

(Pub. L. 107–171, title IX, § 9008, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1318, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2079; amended Pub. L. 112–240, title VII, § 701(f)(7), Jan. 2, 2013, 126 Stat. 2365; Pub. L. 113–79, title IX, § 9008, Feb. 7, 2014, 128 Stat. 931; Pub. L. 115–334, title VII, § 7507, Dec. 20, 2018, 132 Stat. 4823.)

§ 8109. Repealed. Pub. L. 115–334, title IX, § 9008, Dec. 20, 2018, 132 Stat. 4886

§ 8110. Feedstock flexibility program for bioenergy producers

(a) Definitions

In this section:

(1) Bioenergy

(2) Bioenergy producer

(3) Eligible commodity

(4) Eligible entity

(b) Feedstock flexibility program

(1) In general

(A) Purchases and sales

(B) Competitive procedures

(2) Notice

(A) In general

(B) Reestimates

(3) Commodity Credit Corporation inventory

(A) Dispositions

(i) Bioenergy and generally

Except as provided in clause (ii), to the extent that an eligible commodity is owned and held in inventory by the Commodity Credit Corporation (accumulated pursuant to the program authorized under section 7272 of this title), the Secretary shall—

(I) sell the eligible commodity to bioenergy producers under this section consistent with paragraph (1)(C);(II) dispose of the eligible commodity in accordance with section 7272(f)(2) of this title; or(III) otherwise dispose of the eligible commodity through the buyback of certificates of quota entry.

(ii) Preservation of other authorities

(B) Emergency shortages

(4) Transfer rule; storage fees

(A) General transfer rule

(B) Payment of storage fees prohibited

(i) In general

(ii) Exception

(i) In general

(ii) Special transfer rule

(5) Relation to other laws

(6) Funding

(Pub. L. 107–171, title IX, § 9010, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1325, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2086; amended Pub. L. 112–240, title VII, § 701(f)(9), Jan. 2, 2013, 126 Stat. 2365; Pub. L. 113–79, title IX, § 9009, Feb. 7, 2014, 128 Stat. 931; Pub. L. 115–334, title IX, § 9009, Dec. 20, 2018, 132 Stat. 4887; Pub. L. 118–22, div. B, title I, § 102(d)(6)(C), Nov. 17, 2023, 137 Stat. 118.)

§ 8111. Biomass Crop Assistance Program

(a) DefinitionsIn this section:

(1) BCAP

(2) BCAP project areaThe term “BCAP project area” means an area that—

(A) has specified boundaries that are submitted to the Secretary by the project sponsor and subsequently approved by the Secretary;

(B) includes producers with contract acreage that will supply a portion of the renewable biomass needed by a biomass conversion facility; and

(3) Contract acreage

(4) Eligible crop

(A) In general

(B) ExclusionsThe term “eligible crop” does not include—

(i) any crop that is eligible to receive payments under title I of the Agricultural Act of 2014 [7 U.S.C. 9001 et seq.] or an amendment made by that title; or

(ii) any plant that is invasive or noxious or species or varieties of plants that credible risk assessment tools or other credible sources determine are potentially invasive, as determined by the Secretary in consultation with other appropriate Federal or State departments and agencies.

(5) Eligible land

(A) In generalThe term “eligible land” includes—

(i) agricultural and nonindustrial private forest lands (as defined in section 2103a(c) of title 16); and

(ii) land enrolled in the conservation reserve program established under subchapter B of chapter I of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3831 et seq.), or the Agricultural Conservation Easement Program established under subtitle H of title XII of that Act [16 U.S.C. 3865 et seq.], under a contract that will expire at the end of the current fiscal year.

(B) ExclusionsThe term “eligible land” does not include—

(i) Federal- or State-owned land;

(ii) land that is native sod, as of the date of enactment of the Food, Conservation, and Energy Act of 2008 (7 U.S.C. 8701 et seq.);

(iii) land enrolled in the conservation reserve program established under subchapter B of chapter 1 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3831 et seq.), other than land described in subparagraph (A)(ii); or

(iv) land enrolled in the Agricultural Conservation Easement Program established under subtitle H of title XII of that Act [16 U.S.C. 3865 et seq.], other than land described in subparagraph (A)(ii).

(6) Eligible material

(A) In general

(B) InclusionsThe term “eligible material” shall only include—

(i) eligible material that is collected or harvested by the eligible material owner—(I) directly from—(aa) National Forest System;(bb) Bureau of Land Management land;(cc) non-Federal land; or(dd) land owned by an individual Indian or Indian tribe that is held in trust by the United States for the benefit of the individual Indian or Indian tribe or subject to a restriction against alienation imposed by the United States;(II) in a manner that is consistent with—(aa) a conservation plan;(bb) a forest stewardship plan; or(cc) a plan that the Secretary determines is equivalent to a plan described in item (aa) or (bb) and consistent with Executive Order 13112 (42 U.S.C. 4321 note; relating to invasive species);

(ii) if woody eligible material, woody eligible material that is produced on land other than contract acreage that—(I) is a byproduct of a preventative treatment that is removed to reduce hazardous fuel or to reduce or contain disease or insect infestation; and(II) if harvested from Federal land, is harvested in accordance with section 6512(e) of title 16;

(iii) eligible material that is delivered to a qualified biomass conversion facility to be used for heat, power, biobased products, research, or advanced biofuels; and

(iv) algae.

(i) material that is whole grain from any crop that is eligible to receive payments under title I of the Agricultural Act of 2014 [7 U.S.C. 9001 et seq.] or an amendment made by that title, including—(I) barley, corn, grain sorghum, oats, rice, or wheat;(II) honey;(III) mohair;(IV) oilseeds, including canola, crambe, flaxseed, mustard seed, rapeseed, safflower seed, soybeans, sesame seed, and sunflower seed;(V) peanuts;(VI) pulse;(VII) chickpeas, lentils, and dry peas;(VIII) dairy products;(IX) sugar; and(X) wool and cotton boll fiber;

(ii) animal waste and byproducts, including fat, oil, grease, and manure;

(iii) food waste and yard waste;

(iv) woody eligible material that—(I) is removed outside contract acreage; and(II) is not a byproduct of a preventative treatment to reduce hazardous fuel or to reduce or contain disease or insect infestation;

(v) any woody eligible material collected or harvested outside contract acreage that would otherwise be used for existing market products; or

(vi) bagasse.

(7) Producer

(8) Project sponsorThe term “project sponsor” means—

(A) a group of producers; or

(B) a biomass conversion facility.

(9) Socially disadvantaged farmer or rancher

(b) Establishment and purposeThe Secretary shall establish and administer a Biomass Crop Assistance Program to—

(1) support the establishment and production of eligible crops for conversion to bioenergy in selected BCAP project areas; and

(2) assist agricultural and forest land owners and operators with the collection, harvest, storage, and transportation of eligible material for use in a biomass conversion facility.

(1) In general

(2) Selection of project areas

(A) In generalTo be considered for selection as a BCAP project area, a project sponsor shall submit to the Secretary a proposal that, at a minimum, includes—

(i) a description of the eligible land and eligible crops of each producer that will participate in the proposed BCAP project area;

(ii) a letter of commitment from a biomass conversion facility that the facility will use the eligible crops intended to be produced in the proposed BCAP project area;

(iii) evidence that the biomass conversion facility has sufficient equity available, as determined by the Secretary, if the biomass conversion facility is not operational at the time the proposal is submitted to the Secretary; and

(iv) any other information about the biomass conversion facility or proposed biomass conversion facility that the Secretary determines necessary for the Secretary to be reasonably assured that the plant will be in operation by the date on which the eligible crops are ready for harvest.

(B) BCAP project area selection criteriaIn selecting BCAP project areas, the Secretary shall consider—

(i) the volume of the eligible crops proposed to be produced in the proposed BCAP project area and the probability that those crops will be used for the purposes of the BCAP;

(ii) the volume of renewable biomass projected to be available from sources other than the eligible crops grown on contract acres;

(iii) the anticipated economic impact in the proposed BCAP project area;

(iv) the opportunity for producers and local investors to participate in the ownership of the biomass conversion facility in the proposed BCAP project area;

(v) the participation rate by—(I) beginning farmers or ranchers (as defined in accordance with section 1991(a) of this title); or(II) socially disadvantaged farmers or ranchers;

(vi) the impact on soil, water, and related resources;

(vii) the variety in biomass production approaches within a project area, including (as appropriate)—(I) agronomic conditions;(II) harvest and postharvest practices; and(III) monoculture and polyculture crop mixes;

(viii) the range of eligible crops among project areas;

(ix) existing project areas that have received funding under this section and the continuation of funding of such project areas to advance the maturity of such project areas; and

(x) any additional information that the Secretary determines to be necessary.

(3) Contract

(A) In general

(B) Minimum termsAt a minimum, a contract under this subsection shall include terms that cover—

(i) an agreement to make available to the Secretary, or to an institution of higher education or other entity designated by the Secretary, such information as the Secretary considers to be appropriate to promote the production of eligible crops and the development of biomass conversion technology;

(ii) compliance with the highly erodible land conservation requirements of subtitle B of title XII of the Food Security Act of 1985 (16 U.S.C. 3811 et seq.) and the wetland conservation requirements of subtitle C of title XII of that Act (16 U.S.C. 3821 et seq.);

(iii) the implementation of (as determined by the Secretary)—(I) a conservation plan;(II) a forest stewardship plan; or(III) a plan that is equivalent to a conservation or forest stewardship plan; and

(iv) any additional requirements that Secretary 2

2 So in original. Probably should be preceded by “the”.

determines to be necessary.

(i) 5 years for annual and perennial crops; or

(ii) 15 years for woody biomass.

(4) Relationship to other programs

(5) Payments

(A) In general

(B) Amount of establishment payments

(i) In generalSubject to clause (ii), the amount of an establishment payment under this subsection shall be not more than 50 percent of the costs of establishing an eligible perennial crop covered by the contract but not to exceed $500 per acre, including—(I) the cost of seeds and stock for perennials;(II) the cost of planting the perennial crop, as determined by the Secretary; and(III) in the case of nonindustrial private forestland, the costs of site preparation and tree planting.

(ii) Socially disadvantaged farmers or ranchers

(i) In general

(ii) ReductionThe Secretary shall reduce an annual payment by an amount determined to be appropriate by the Secretary, if—(I) an eligible crop is used for purposes other than the production of energy at the biomass conversion facility;(II) an eligible crop is delivered to the biomass conversion facility;(III) the producer receives a payment under subsection (d);(IV) the producer violates a term of the contract; or(V) the Secretary determines a reduction is necessary to carry out this section.

(D) Exclusion

(d) Assistance with collection, harvest, storage, and transportation

(1) In generalThe Secretary shall make a payment for the delivery of eligible material to a biomass conversion facility to—

(A) a producer of an eligible crop that is produced on BCAP contract acreage; or

(B) a person with the right to collect or harvest eligible material, regardless of whether the eligible material is produced on contract acreage.

(2) Payments

(A) Costs coveredA payment under this subsection shall be in an amount described in subparagraph (B) for—

(i) collection;

(ii) harvest;

(iii) storage; and

(iv) transportation to a biomass conversion facility.

(B) Amount

(3) Limitation on assistance for BCAP contract acreage

(e) Report

(f) Funding

(1) Authorization of appropriations

(2) Collection, harvest, storage, and transportation payments

(3) Technical assistance

(Pub. L. 107–171, title IX, § 9011, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1327, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2089; amended Pub. L. 112–240, title VII, § 701(f)(10), Jan. 2, 2013, 126 Stat. 2365; Pub. L. 113–79, title IX, § 9010, Feb. 7, 2014, 128 Stat. 932; Pub. L. 115–334, title IX, § 9010, Dec. 20, 2018, 132 Stat. 4887.)

§ 8112. Repealed. Pub. L. 113–79, title IX, § 9011, Feb. 7, 2014, 128 Stat. 938

§ 8113. Community Wood Energy and Wood Innovation Program

(a) DefinitionsIn this section:

(1) Community wood energy system

(A) In generalThe term “community wood energy system” means an energy system that—

(i) produces thermal energy or combined thermal energy and electricity where thermal is the primary energy output;

(ii) services public facilities owned or operated by State or local governments (including schools, town halls, libraries, and other public buildings) or private or nonprofit facilities (including commercial and business facilities, such as hospitals, office buildings, apartment buildings, and manufacturing and industrial buildings); and

(iii) uses woody biomass, including residuals—(I) that have not been adulterated with glue or other chemical treatments from wood processing facilities, as the primary fuel; and(II) for which the use of that biomass for energy production does not cause conversion of forests to nonforest use.

(B) Inclusions

(2) Innovative wood product facilityThe term “innovative wood product facility” means a manufacturing or processing plant or mill that produces—

(A) building components or systems that use large panelized wood construction, including mass timber;

(B) wood products derived from nanotechnology or other new technology processes, as determined by the Secretary; or

(3) Mass timberThe term “mass timber” includes—

(A) cross-laminated timber;

(B) nail-laminated timber;

(D) laminated strand lumber; and

(E) laminated veneer lumber.

(4) Program

(b) Competitive grant program

(1) In general

(2) Special circumstances

(3) Source of matching funds

(d) Project capThe total amount of grants under the Program for a community wood energy system project or innovative wood product facility project may not exceed—

(1) in the case of grants under the general authority provided under subsection (c)(1), $1,000,000; and

(2) in the case of grants for which the special circumstances apply under subsection (c)(2), $1,500,000.

(e) Selection criteriaIn selecting applicants for grants under the Program, the Secretary shall consider the following:

(1) The energy efficiency of the proposed community wood energy system or innovative wood product facility.

(2) The cost effectiveness of the proposed community wood energy system or innovative wood product facility.

(3) The extent to which the proposed community wood energy system or innovative wood product facility represents the best available commercial technology.

(4) The extent to which the proposed community wood energy system uses the most stringent control technology that has been required or achieved in practice for a wood-fired boiler of similar size and type.

(5)

(A) The extent to which the proposed community wood energy system will displace conventional fossil fuel generation.

(B) Whether the proposed community wood energy system minimizes emission increases to the greatest extent possible.

(6) The extent to which the proposed community wood energy system will increase delivered thermal efficiency of the systems replaced.

(7) The extent to which the applicant has demonstrated a high likelihood of project success by completing detailed engineering and design work in advance of the grant application.

(8) Other technical, economic, conservation, and environmental criteria that the Secretary considers appropriate.

(f) Grant prioritiesIn selecting applicants for grants under the Program, the Secretary shall give priority to proposals that use the most stringent control technology that has been required or achieved in practice for a wood-fired boiler and—

(1) would be carried out in a location where markets are needed for the low-value, low-quality wood;

(2) would be carried out in a location with limited access to natural gas pipelines;

(3) would include the use or retrofitting (or both) of existing sawmill facilities located in a location where the average annual unemployment rate exceeded the national average unemployment rate by more than 1 percent during the previous calendar year; or

(4) would be carried out in a location where the project will aid with forest restoration.

(g) Limitations

(1) Capacity of community wood energy systems

(2) Funding for innovative wood product facilities

(h) Funding

(Pub. L. 107–171, title IX, § 9013, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1332, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2094; amended Pub. L. 112–240, title VII, § 701(f)(12), Jan. 2, 2013, 126 Stat. 2366; Pub. L. 113–79, title IX, § 9012, Feb. 7, 2014, 128 Stat. 938; Pub. L. 115–334, title VIII, § 8644, Dec. 20, 2018, 132 Stat. 4873.)

§ 8114. Sun grant program

(a) EstablishmentThe Secretary shall establish and carry out a program to provide grants to the sun grant centers and subcenter specified in subsection (b)—

(1) to enhance national energy security through the development, distribution, and implementation of biobased energy technologies;

(2) to promote diversification in, and the environmental sustainability of, agricultural production in the United States through biobased energy and product technologies;

(3) to promote economic diversification in rural areas of the United States through biobased energy and product technologies; and

(4) to enhance the efficiency of bioenergy and biomass research and development programs through improved coordination and collaboration among—

(A) the Department of Agriculture;

(B) other appropriate Federal agencies (as determined by the Secretary); and

(b) Grants

(1) In generalThe Secretary shall use amounts made available under subsection (g) to provide grants to each of the following:

(A) North-central center

(B) Southeastern centerA southeastern sun grant center for the region composed of—

(i) the States of Alabama, Florida, Georgia, Kentucky, Mississippi, North Carolina, South Carolina, Tennessee, and Virginia;

(ii) the Commonwealth of Puerto Rico; and

(iii) the United States Virgin Islands.

(D) Western centerA western sun grant center for the region composed of—

(i) the States of Alaska, Arizona, California, Hawaii, Idaho, Nevada, Oregon, Utah, and Washington; and

(ii) insular areas (as defined in section 3103 of this title (other than the insular areas referred to in clauses (ii) and (iii) of subparagraph (B))).

(E) Northeastern center

(F) Western insular Pacific subcenter

(2) Manner of distribution

(A) Centers

(B) Subcenter

(3) Failure to comply with requirements

(1) Competitive grants

(A) In generalA sun grant center or subcenter shall use 75 percent of the funds described in subsection (b) to provide competitive grants to entities that are—

(i) eligible to receive grants under subsection (b)(7) of section 3157 of this title; and

(ii) located in the region covered by the sun grant center or subcenter.

(B) Activities

(i) Peer and merit reviewIn making grants under this paragraph, a sun grant center or subcenter shall—(I) seek and accept proposals for grants;(II) determine the relevance and merit of proposals through a system of peer review similar to that established by the Secretary pursuant to section 7613 of this title; and(III) award grants on the basis of merit, quality, and relevance to advancing the purposes of this section.

(ii) Priority

(iii) Term

(iv) Matching funds required(I) In general(II) Exclusion(III) Reduction

(v) Buildings and facilities

(vi) Limitation on indirect costs

(2) Administrative expenses

(3) Research, extension and educational activitiesThe sun grant centers and subcenter shall use the remainder of the funds described in subsection (b) to conduct, in a manner consistent with the purposes described in subsection (a), multi-institutional and multistate—

(A) research, extension, and educational programs on technology development; and

(B) integrated research, extension, and educational programs on technology implementation.

(d) Plan for research activities to be funded

(1) In general

(2) Funding

(3) Use of plan

(e) Grant Information Analysis Center

(f) Annual reportsNot later than 90 days after the end of each fiscal year, a sun grant center or subcenter receiving a grant under this section shall submit to the Secretary a report that describes the policies, priorities, and operations of the program carried out by the center or subcenter during the fiscal year, including—

(1) the results of all peer and merit review procedures conducted pursuant to subsection (c)(1)(C)(i); and

(2) a description of progress made in facilitating the priorities described in subsection (d)(1).

(g) Authorization of appropriations

(Pub. L. 110–234, title VII, § 7526, May 22, 2008, 122 Stat. 1274; Pub. L. 110–246, § 4(a), title VII, § 7526, June 18, 2008, 122 Stat. 1664, 2035; Pub. L. 113–79, title VII, §§ 7128(b)(5), 7516, Feb. 7, 2014, 128 Stat. 879, 903; Pub. L. 115–334, title VII, §§ 7414, 7614(b)(4)(A), Dec. 20, 2018, 132 Stat. 4819, 4836.)

§ 8115. Carbon utilization and biogas education program

(a) DefinitionsIn this section:

(1) Carbon dioxide

(2) Eligible entityThe term “eligible entity” means an entity that—

(A) is—

(i) an organization described in section 501(c)(3) of title 26 and exempt from taxation under section 501(a) of that title; or

(ii) an institution of higher education (as defined in section 1001(a) of title 20);

(B) has demonstrated knowledge about—

(i) sequestration and utilization of carbon dioxide; or

(ii) aggregation of organic waste from multiple sources into a single biogas system; and

(b) EstablishmentThe Secretary, in consultation with the Secretary of Energy, shall make competitive grants to eligible entities—

(1) to provide education to the public about the economic and emissions benefits of permanent sequestration or utilization of carbon dioxide with a primary objective of providing benefits and opportunities for rural businesses, rural communities, and utilities serving rural communities; or

(2) to provide education to agricultural producers and other stakeholders about opportunities for aggregation of organic waste from multiple sources into a single biogas system.

(1) $1,000,000 to carry out subsection (b)(1); and

(2) $1,000,000 to carry out subsection (b)(2).

(Pub. L. 107–171, title IX, § 9014, as added Pub. L. 115–334, title IX, § 9011, Dec. 20, 2018, 132 Stat. 4887.)