S.Amdt. 3256

SA 3256. Mr. SCHATZ (for himself and Mr. Sullivan) submitted an
amendment intended to be proposed to amendment SA 2953 proposed by Ms.
Murkowski to the bill S. 2012, to provide for the modernization of the
energy policy of the United States, and for other purposes; which was
ordered to lie on the table; as follows:

Strike section 2307 and insert the following:

SEC. 2307. STATE AND REGIONAL ENERGY PARTNERSHIPS.

(a) Definitions.--In this section:
(1) Cooperative agreement.--The term ``cooperative
agreement'' has the meaning given the term in sections 6302
and 6305 of title 31, United States Code.
(2) Indian tribe.--The term ``Indian tribe'' has the
meaning given the term in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b).
(3) Secretaries.--The term ``Secretaries'' means--
(A) the Secretary, acting through the Assistant Secretary
of the Office of Electricity Delivery and Energy Reliability
in consultation with the Assistant Secretary of Energy
Efficiency and Renewable Energy, the Assistant Secretary of
Fossil Energy, and the Director of the Office of Nuclear
Energy, Science, and Technology Programs; and
(B) the Secretary of the Interior, acting through the
Assistant Secretary for Land and Minerals Management in
consultation with the Director of the Bureau of Land
Management, the Director of the Bureau of Ocean Energy
Management, the Assistant Secretary for Indian Affairs, and
the Assistant Secretary for Fish and Wildlife and Parks.
(4) State.--The term ``State'' means--
(A) a State;
(B) the District of Columbia;
(C) the Commonwealth of Puerto Rico; and
(D) any other territory or possession of the United States.
(5) Tribal organization.--
(A) In general.--The term ``tribal organization'' has the
meaning given the term in section 4 of the Indian Self-
Determination and Education Assistance Act (25 U.S.C. 450b).
(B) Inclusion.--The term ``tribal organization'' includes a
Native Hawaiian organization (as defined in section 7207 of
the Native Hawaiian Education Act (20 U.S.C. 7517)).
(b) Regional Energy Partnerships.--
(1) In general.--The Secretaries shall provide assistance
in accordance with this subsection for the purpose of
developing energy strategies and plans that help harmonize
and promote national, regional, and State energy goals,
including goals for advancing resilient energy systems to
mitigate risks and prepare for emerging energy challenges.
(2) Electricity distribution.--
(A) Distribution planning.--On the request of a State or a
regional organization, the Secretary shall partner with the
State or regional organization to facilitate the development
of State and regional electricity distribution plans by--
(i) conducting a resource assessment and analysis of future
demand and distribution requirements; and
(ii) developing open source tools for State and regional
planning and operations.
(B) Risk and security analysis.--An assessment under
subparagraph (A)(i) shall include--
(i) an evaluation of the physical and cybersecurity needs
of an advanced distribution management system and the
integration of distributed energy resources; and
(ii) the advanced use of grid architecture to analyze risks
in an all-hazards approach that includes communications
infrastructure, control systems architecture, and power
systems architecture.
(C) Grid integration.--Consistent with the authorization of
assistance provided to units of general local government and
Indian tribes under title I of the Housing and Community
Development Act of 1974 (42 U.S.C. 5301 et seq.), the
Secretary may provide assistance to a State or regional
partnership (including a public-private partnership) to carry
out projects designed to improve the performance and
efficiency of the future electric grid that demonstrate--
(i) secure integration and management of 2 or more energy
resources, including distributed energy generation, combined
heat and power, micro-grids, energy storage, electric
vehicles, energy efficiency, demand response, and intelligent
loads; and
(ii) secure integration and interoperability of
communications and information technologies.
(3) Technical assistance.--In addition to the assistance
authorized under paragraphs (1) and (2), the Secretaries may
provide such technical assistance to States, political
subdivisions of States, substate regional organizations
(including organizations that cross State boundaries),
multistate regional organizations, Indian tribes, tribal
organizations,

[[Page S616]]

and nonprofit organizations as the Secretaries determine
appropriate to promote--
(A) the development and improvement of regional energy
strategies and plans that sustain and promote energy system
modernization across the United States;
(B) investment in energy infrastructure, technological
capacity, innovation, and workforce development to keep pace
with the changing energy ecosystem;
(C) the structural transformation of the financial,
regulatory, legal, and institutional systems that govern
energy planning, production, and delivery within States and
regions; and
(D) public-private partnerships for the implementation of
regional energy strategies and plans.
(4) Cooperative agreements.--
(A) In general.--The Secretaries may enter into cooperative
agreements with 1 or more States and Indian tribes to develop
and implement strategies and plans to address the energy
challenges of States, Indian tribes, and regions.
(B) Requirements.--A cooperative agreement entered into
under this paragraph shall include provisions covering or
providing--
(i) the purpose and goals of the cooperative agreement,
such as advancing energy efficiency, clean energy, fuel and
supply diversity, energy system resiliency, economic
development, or other goals to make measurable, significant
progress toward specified metrics and objectives that are
agreed to by the States or Indian tribes and the Secretaries;
(ii) the roles and responsibilities of the States or Indian
tribes and the Secretaries for various functions of the
cooperative agreement, including outreach, communication,
resources, and capabilities;
(iii) a comprehensive framework for the development of
energy strategies and plans for States, Indian tribes, or
regions;
(iv) timeframes with associated metrics and objectives;
(v) a governance structure to resolve conflicts and
facilitate decision making consistent with underlying
authorities; and
(vi) other provisions determined necessary by the
Secretaries, in consultation with the States or Indian
tribes, to achieve the purposes described in subparagraph
(A).
(5) Staff.--
(A) In general.--Not later than 30 days after the date of
the entering into a cooperative agreement under paragraph
(4), the Secretaries shall, as appropriate, assign or employ
individuals who have expertise in the technical and
regulatory issues relating to the cooperative agreement,
including particular expertise in (as applicable)--
(i) energy systems integration;
(ii) renewable energy and energy efficiency;
(iii) innovative financing mechanisms;
(iv) utility regulatory policy;
(v) modeling and analysis;
(vi) facilitation and arbitration;
(vii) energy assurance and emergency preparedness; and
(viii) cyber and physical security of energy systems.
(B) Duties.--Each individual assigned to carry out a
cooperative agreement under subparagraph (A) shall--
(i) be responsible for issues and technical assistance
relating to the cooperative agreement;
(ii) participate as part of the team of personnel working
on developing and implementing the applicable regional energy
strategy and plan; and
(iii) build capacity within the State, Indian tribe, or
region to continue to implement the goals of this section
after the expiration of the cooperative agreement.
(6) Comprehensive framework.--Under a cooperative
agreement, a comprehensive framework shall be developed that
identifies opportunities and actions across various energy
sectors and cross-cutting issue areas, including--
(A) end-use efficiency;
(B) energy supply, including electric generation and fuels;
(C) energy delivery;
(D) transportation;
(E) technical integration, including standards and
interdependencies;
(F) institutional structures;
(G) regulatory policies;
(H) financial incentives; and
(I) market mechanisms.
(7) Awards.--
(A) Definitions.--In this paragraph:
(i) Application group.--The term ``application group''
means a group of States or Indian tribes that have--

(I) entered into a cooperative agreement, on a regional
basis, with the Secretaries under paragraph (4); and
(II) submitted an application for an award under
subparagraph (B)(i).

(ii) Partner state.--The term ``partner State'' means a
State or Indian tribe that is part of an application group.
(B) Applications.--
(i) In general.--Subject to clause (ii), an application
group may apply to the Secretaries for awards under this
paragraph.
(ii) Individual states.--An individual State or Indian
tribe that has entered into a cooperative agreement with the
Secretaries under paragraph (4) may apply to the Secretaries
for an award under this paragraph if the State or Indian
tribe demonstrates to the Secretaries the uniqueness of the
energy challenges facing the State or Indian tribe.
(C) Base amount.--Subject to subparagraph (D), the
Secretaries may provide not more than 6 awards under this
paragraph, with a base amount of $20,000,000 for each award.
(D) Bonus amount for application groups.--
(i) In general.--Subject to clause (ii), the Secretaries
shall increase the amount of an award provided under this
paragraph to an application group for a successful
application under subparagraph (B)(i) by the quotient
obtained by dividing--

(I) the product obtained by multiplying--

(aa) the number of partner States in the application group;
and
(bb) $100,000,000; by

(II) the total number of partner States of all successful
applications under this paragraph.

(ii) Maximum amount.--The amount of a bonus determined
under clause (i) shall not exceed an amount that represents
$5,000,000 for each partner State that is a member of the
relevant application group.
(E) Limitation.--A State or Indian tribe shall not be part
of more than 1 award under this paragraph.
(F) Selection criteria.--In selecting applications for
awards under this paragraph, the Secretaries shall consider--
(i) existing commitments from States or Indian tribes, such
as memoranda of understanding;
(ii) for States that are part of the contiguous 48 States,
the number of contiguous States involved that cover a region;
(iii) the diversity of the regions represented by all
applications;
(iv) the amount of cost-share or in-kind contributions from
States or Indian tribes;
(v) the scope and focus of regional and State programs and
strategies, with an emphasis on energy system resiliency and
grid modernization, efficiency, and clean energy;
(vi) a management and oversight plan to ensure that
objectives are met;
(vii) an outreach plan for the inclusion of stakeholders in
the process for developing and implementing State or regional
energy strategies and plans;
(viii) the inclusion of tribal entities;
(ix) plans to fund and sustain activities identified in
regional energy strategies and plans;
(x) the clarity of roles and responsibilities of each State
and the Secretaries; and
(xi) the average retail cost of electricity in the State.
(G) Use of awards.--
(i) In general.--Awards provided under this paragraph shall
be used to achieve the purpose of this section, including
by--

(I) conducting technical analyses, resource studies, and
energy system baselines;
(II) convening and providing education to stakeholders on
emerging energy issues;
(III) building decision support and planning tools; and
(IV) improving communication between and participation of
stakeholders.

(ii) Limitation.--Awards provided under this paragraph
shall not be used for--

(I) capitalization of green banks or loan guarantees; or
(II) building facilities or funding capital projects.

(c) Funding.--
(1) Awards.--Of the amounts made available to carry out
paragraphs (4) through (7) of subsection (b)--
(A) at least 40 percent shall be used for the bonus amount
of awards under subsection (b)(7)(D); and
(B) not more than 10 percent shall be used for the
administrative costs of carrying out this section,
including--
(i) the assignment of staff under subsection (b)(5); and
(ii) if the Secretaries determine appropriate, the sharing
of best practices from regional partnerships by parties to
cooperative agreements entered into under this section.
(2) State energy offices.--Funds provided to a State under
this section shall be provided to the office within the State
that is responsible for developing the State energy plan for
the State under part D of title III of the Energy Policy and
Conservation Act (42 U.S.C. 6321 et seq.).
(3) Maintenance of funding.--It is the intent of Congress
that funding provided to States under this section shall
supplement (and not supplant) funding provided under part D
of title III of the Energy Policy and Conservation Act (42
U.S.C. 6321 et seq.).
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