Sec. 7. Job creation through energy efficient manufacturing
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In this section: The term energy management plan means a plan established under subsection (b)(3)(D). The term program means the Financing Energy Efficient Manufacturing Program established under subsection (b)(1). The term program manager means a qualified entity that receives a grant under subsection (b)(1). The term project means an energy efficiency improvement project carried out by a small- or medium-sized manufacturer using grant funds distributed by a project manager.
The term qualified entity means— a State energy office; a nonprofit organization that— is focused on providing energy efficiency or renewable energy services; and receives funding from a State, Tribe, or utility; an electric cooperative group; and an entity with a public-private partnership under the Hollings Manufacturing Extension Partnership established under section 25(b) of the National Institute of Standards and Technology Act ( 15 U.S.C. 278k(b) ). The term Secretary means the Secretary of Energy.
The term small- or medium-sized manufacturer means a manufacturing establishment— classified in Sector 31, 32, or 33 in the North American Industry Classification System; and that employs not more than 750 employees. The Secretary shall establish a program, to be known as the Financing Energy Efficient Manufacturing Program to provide grants to qualified entities to fund energy efficiency improvement projects in the manufacturing sector. Not later than 180 days after the date of enactment of this Act, qualified entities desiring a grant under paragraph
(1)shall submit to the Secretary an application in such manner and containing such information as the Secretary may require, including a description of— how the qualified entity will work with small- and medium-sized manufacturers to assess the most promising opportunities for energy efficiency improvements; how the qualified entity will work with small- and medium-sized manufacturers and, if appropriate, licensed engineers to establish an energy management plan for the small- or medium-sized manufacturer to carry out a project; the methods and cost-sharing plans the qualified entity will use to distribute funds to small- and medium-sized manufacturers to subsidize the costs of carrying out a project; the standards by which the qualified entity will set energy efficiency goals for a project that will result in meaningful reductions in electricity or natural gas use by the small- or medium-sized manufacturer carrying out the project; how the qualified entity will provide support to the small- or medium-sized manufacturer carrying out a project during the implementation of the energy management plan; any history of the qualified entity of working collaboratively with the regional technical assistance programs of the Department; and how the qualified entity plans to involve the regional technical assistance programs in the activities to be funded by a grant; and how the qualified entity will collect measurements throughout the implementation of the energy management plan— to demonstrate how energy efficiency improvements are being achieved; and to maximize opportunities for project success. Two or more qualified entities may form a partnership to apply, and act as program manager, for a grant under this paragraph. Not later than 90 days after the date on which the Secretary receives an application under subparagraph (A), the Secretary shall— review the application; provide the applicant with an opportunity to respond to any questions of the Secretary regarding the application; and select or deny the applicant based on the criteria described in clause (ii). The Secretary shall select for grants under this paragraph qualified entities that demonstrate a history of successfully implementing energy efficiency improvement programs for small- and medium-sized manufacturers. In making selections under subclause (I), the Secretary shall give priority to qualified entities that demonstrate— effective methods for reducing barriers to entry that might otherwise prevent small- and medium-sized manufacturers from participating in the subgrant program under paragraph (3); flexibility in addressing the needs of different small- and medium-sized manufacturers; and a commitment to hiring for projects contractors that comply with the labor requirements described in paragraph (4)(B). A qualified entity (including a partnership of 1 or more qualified entities under paragraph (2)(A)(ii)) that receives a grant under paragraph
(1)shall act as a program manager to distribute subgrants to small- and medium-sized manufacturers located in the State in which the program manager is located to carry out projects— to improve the energy efficiency of the small- or medium-sized manufacturer; and to develop technologies to reduce electricity or natural gas use by the small- or medium-sized manufacturer. A small- or medium-sized manufacturer desiring a subgrant under subparagraph
(A)shall submit to the program manager an application at such time, in such manner, and containing such information as the program manager may require, including a proposal describing the project to be carried out using the subgrant funds. In selecting small- or medium-sized manufacturers for subgrants under this paragraph, the program manager shall give priority to small- or medium-sized manufacturers that commit to hiring for projects contractors that comply with the labor requirements described in paragraph (4)(B). To be eligible to receive a subgrant under subparagraph (A), a small- or medium-sized manufacturer shall be a private, nongovernmental entity. Each small- or medium-sized manufacturer receiving a subgrant under subparagraph (A), in consultation with the program manager and, if appropriate, 1 or more licensed engineers, shall establish an energy management plan for the small- or medium-sized manufacturer to carry out the project. The receipt of Federal funds under this paragraph shall not prohibit an entity that purchased equipment or other property using those funds from owning sole, permanent title to the equipment or other property. Program managers and small- or medium-sized manufacturers may hire, if necessary, contractors to perform work relating to the installation, repair, or maintenance of equipment used under a project. In an application for a grant or subgrant under this subsection, a program manager or a small- or medium-sized manufacturer, respectively, shall commit to hiring contractors that are certified by the Secretary of Labor under section 2 as being in compliance with all of the applicable requirements under that section. In this paragraph: The term iron or steel manufactured product includes any construction material or end product (as those terms are defined in subpart 25.003 of the Federal Acquisition Regulation) that does not otherwise qualify as an iron or steel product, including— an electrical component; a non-ferrous building material, including— aluminum and polyvinylchloride; glass; fiber optics; plastic; wood; masonry; rubber; manufactured stone; and any other non-ferrous metals; and any unmanufactured construction material. The term produced in the United States — with respect to an iron or steel product or an iron or steel manufactured product, means that all manufacturing processes for, and materials and components of, the iron or steel product or iron or steel manufactured product, from the initial melting stage through the application of coatings, occurred in the United States; and with respect to an iron or steel manufactured product, means that— the iron or steel manufactured product was manufactured in the United States; and the cost of the components of the iron or steel manufactured product that were mined, produced, or manufactured in the United States is greater than 60 percent of the total cost of the components of the iron or steel manufactured product. The term produced in the United States , with respect to an iron or steel product or an iron or steel manufactured product, does not include an iron or steel product or an iron or steel manufactured product the materials and components of which were manufactured— abroad from semi-finished steel or iron from the United States; or in the United States from semi-finished steel or iron of foreign origin. Funds made available under the program may not be used for a project unless all of the iron and steel products and iron and steel manufactured products used in the project are produced in the United States. On request of the recipient of a grant under the program, the Secretary may grant for the project of the recipient of the grant a waiver of the requirement described in subparagraph
(B)if the Secretary finds that— the application of subparagraph
(B)would be inconsistent with the public interest; iron or steel products or iron or steel manufactured products are not produced in the United States— in sufficient and reasonably available quantities; or of a satisfactory quality; or the inclusion of iron or steel products or iron or steel manufactured products produced in the United States would increase the cost of the overall project by greater than 25 percent. On receipt of a request for a waiver under clause (i), the Secretary shall— make available to the public, including by electronic means, including on the official public website of the Department, on an informal basis, a copy of the request and all information available to the Secretary relating to the request; and provide for informal public input on the request for a period of not fewer than 15 days before making with respect to the request the finding described in clause (i). Each program manager shall— determine what data shall be required— to be collected by or from each small- or medium-sized manufacturer receiving a subgrant under paragraph (3); and to be submitted to the program manager to permit analysis of the subgrant program under paragraph (3); and develop metrics to determine the success of the subgrant program under paragraph (3). As a condition of receiving a subgrant under paragraph (3), a small- or medium-sized manufacturer shall provide to the program manager relevant data, as determined by the program manager under subparagraph (A)(i). In carrying out this paragraph, each program manager, as appropriate, shall provide for the protection of proprietary information and intellectual property rights. Out of amounts made available to the Secretary and not otherwise obligated, the Secretary shall use to carry out this subsection not more than $600,000,000. A program manager shall use not greater than 7 percent of the grant funds received by the program manager, at the discretion of the program manager— to hire and train staff to assist the program manager in administering the subgrant program of the program manager; and to market the subgrant program to small- and medium-sized manufacturers. The Secretary may use not greater than 0.25 percent of the funds made available under subparagraph
(A)to carry out paragraph (5).
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Sec. 7
Job creation through energy efficient manufacturing
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