Laws: Cases and Codes : U.S. Code : Title 42 : Section 5906


   
U.S. Code as of: 01/19/04
Section 5906. Federal assistance and participation in programs

    (a) Forms of activities authorized
      In carrying out the objectives of this chapter, the Secretary may
    utilize various forms of Federal assistance and participation which
    may include but are not limited to - 
        (1) joint Federal-industry experimental, demonstration, or
      commercial corporations consistent with the provisions of
      subsection (b) of this section;
        (2) contractual arrangements with non-Federal participants
      including corporations, consortia, universities, governmental
      entities and nonprofit institutions;
        (3) contracts for the construction and operation of federally
      owned facilities;
        (4) Federal purchases or guaranteed price of the products of
      demonstration plants or activities consistent with the provisions
      of subsection (c) of the section;
        (5) Federal loans to non-Federal entities conducting
      demonstrations of new technologies;
        (6) incentives, including financial awards, to individual
      inventors, such incentives to be designed to encourage the
      participation of a large number of such inventors; and
        (7) Federal loan guarantees and commitments thereof as provided
      in section 5919 )1(! of this title.

    (b) Proposed joint Federal-industry corporations; operational
      guidelines; powers, duties, and functions; composition; scope of
      Federal assistance and participation; specific authorization
      Joint Federal-industry corporations proposed for congressional
    authorization pursuant to this chapter shall be subject to the
    provisions of section 5908 of this title and shall conform to the
    following guidelines except as otherwise authorized by Congress:
        (1) Each such corporation may design, construct, operate, and
      maintain one or more experimental, demonstration, or
      commercial-size facilities, or other operations which will
      ascertain the technical, environmental, and economic feasibility
      of a particular energy technology. In carrying out this function,
      the corporation shall be empowered, either directly or by
      contract, to utilize commercially available technologies, perform
      tests, or design, construct, and operate pilot plants, as may be
      necessary for the design of the full-scale facility.
        (2) Each corporation shall have - 
          (A) a Board of nine directors consisting of individuals who
        are citizens of the United States, of whom one shall be elected
        annually by the Board to serve as Chairman. The Board shall be
        empowered to adopt and amend bylaws. Five members of the Board
        shall be appointed by the President of the United States, by
        and with the advice and consent of the Senate, and four members
        of the Board shall be appointed by the President on the basis
        of recommendations received by him from any non-Federal entity
        or entities entering into contractual arrangements to
        participate in the corporation;
          (B) a President and such other officers and employees as may
        be named and appointed by the Board (with the rates of
        compensation of all officers and employees being fixed by the
        Board); and
          (C) the usual powers conferred upon corporations by the laws
        of the District of Columbia.

        (3) An appropriate time interval, not to exceed 12 years, shall
      be established for the term of Federal participation in the
      corporation, at the expiration of which the Board of Directors
      shall take such action as may be necessary to dissolve the
      corporation or otherwise terminate Federal participation and
      financial interests. In carrying out such dissolution, the Board
      of Directors shall dispose of all physical facilities of the
      corporation in such manner and subject to such terms and
      conditions as the Board determines are in the public interest and
      consistent with existing law; and a share of the appraised value
      of the corporate assets proportional to the Federal participation
      in the corporation, including the proceeds from the disposition
      of such facilities, on the date of its dissolution, after
      satisfaction of all its legal obligations, shall be made
      available to the United States and deposited in the Treasury of
      the United States as miscellaneous receipts. All patent rights of
      the corporation shall, on such date of dissolution, be vested in
      the Secretary: Provided, That Federal participation may be
      terminated prior to the time established in the authorizing Act
      upon recommendation of the Board of Directors.
        (4) Any commercially valuable product produced by demonstration
      facilities shall be disposed of in such manner and under such
      terms and conditions as the corporation shall prescribe. All
      revenues received by the corporation from the sale of such
      products shall be available to the corporation for use by it in
      defraying expenses incurred in connection with carrying out its
      functions to which this chapter applies.
        (5) The estimated Federal share of the construction, operation,
      and maintenance cost over the life of each corporation shall be
      determined in order to facilitate a single congressional
      authorization of the full amount at the time of establishment of
      the corporation.
        (6) The Federal share of the cost of each such corporation
      shall reflect (A) the technical and economic risk of the venture,
      (B) the probability of any financial return to the non-Federal
      participants arising from the venture, (C) the financial
      capability of the potential non-Federal participants, and (D)
      such other factors as the Secretary may set forth in proposing
      the corporation: Provided, That in no instance shall the Federal
      share exceed 90 per centum of the cost.
        (7) No such corporation shall be established unless previously
      authorized by specific legislation enacted by the Congress.
    (c) Proposed competitive systems of price supports for
      demonstration facilities; guidelines
      Competitive systems of price supports proposed for congressional
    authorization pursuant to this chapter shall conform to the
    following guidelines:
        (1) The Secretary shall determine the types and capacities of
      the desired full-scale, commercial-size facility or other
      operation which would demonstrate the technical, environmental,
      and economic feasibility of a particular nonnuclear energy
      technology.
        (2) The Secretary may award planning grants for the purpose of
      financing a study of the full cycle economic and environmental
      costs associated with the demonstration facility selected
      pursuant to paragraph (1) of this subsection. Such planning
      grants may be awarded to Federal and non-Federal entities
      including, but not limited to, industrial entities, universities,
      and nonprofit organizations. Such planning grants may also be
      used by the grantee to prepare a detailed and comprehensive bid
      to construct the demonstration facility.
        (3) Following the completion of the studies pursuant to the
      planning grants awarded under paragraph (2) of this subsection
      regarding each such potential price supported demonstration
      facility for which the Secretary intends to request congressional
      authorization, he shall invite bids from all interested parties
      to determine the minimum amount of Federal price support needed
      to construct the demonstration facility. The Secretary may
      designate one or more competing entities, each to construct one
      commercial demonstration facility. Such designation shall be made
      on the basis of those entities, (A) commitment to construct the
      demonstration facility at the minimum level of Federal price
      supports, (B) detailed plan of environmental protection, and (C)
      proposed design and operation of the demonstration facility.
        (4) The construction plans and actual construction of the
      demonstration facility, together with all related facilities,
      shall be monitored by the Environmental Protection Agency. If
      additional environmental requirements are imposed by the
      Secretary after the designation of the successful bidders and if
      such additional environmental requirements result in additional
      costs, the Secretary is authorized to renegotiate the support
      price to cover such additional costs.
        (5) The estimated amount of the Federal price support for a
      demonstration facility's product over the life of such facility
      shall be determined by the Secretary to facilitate a single
      congressional authorization of the full amount of such support at
      the time of the designation of the successful bidders.
        (6) No price support program shall be implemented unless
      previously authorized by specific legislation enacted by the
      Congress.
    (d) Support for joint university-industry research efforts
      Nothing in this section shall preclude Federal participation in,
    and support for, joint university-industry nonnuclear energy
    research efforts.



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