[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 10479 Introduced in House (IH)]
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118th CONGRESS
2d Session
H. R. 10479
To amend title 46, United States Code, with respect to grants for
vessel concept development and infrastructure to build commercially
viable specialty vessels for supporting energy transition initiatives,
and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
December 18, 2024
Mr. Deluzio introduced the following bill; which was referred to the
Committee on Transportation and Infrastructure
_______________________________________________________________________
A BILL
To amend title 46, United States Code, with respect to grants for
vessel concept development and infrastructure to build commercially
viable specialty vessels for supporting energy transition initiatives,
and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Shipbuilding Innovation Act''.
SEC. 2. MARKET OPPORTUNITY STUDY.
(a) In General.--The Secretary of Transportation, in consultation
with the Secretary of Energy, the Secretary of the Navy, and the
Secretary of the Department of which the Coast Guard is operating,
shall complete a market opportunity study for United States based
construction and support of specialty vessels for supporting energy
transition initiatives.
(b) Authorization of Appropriations.--There is authorized to carry
out this section $250,000.
SEC. 3. VESSEL CONCEPT DEVELOPMENT AND INFRASTRUCTURE GRANT PROGRAM.
(a) In General.--Chapter 541 of title 46, United States Code, is
amended by adding at the end the following:
``Sec. 54102. Vessel concept development and infrastructure grant
program
``(a) Establishment of Program.--Subject to the availability of
appropriations, the Administrator of the Maritime Administration shall
execute agreements with shipyards funding new vessel concept
development to be built in the United States.
``(b) Awards.--
``(1) In general.--In providing assistance under the
program, the Administrator shall consider projects that
foster--
``(A) efficiency, competitive operations, and
quality ship construction, repair, and reconfiguration;
``(B) new vessel concept development and the
infrastructure necessary to build commercially viable
specialty vessels for supporting energy transition
initiatives; and
``(C) new vessel concept development and the
infrastructure necessary to build commercially viable
vessels made with innovative and energy efficient
parts, including power and propulsion systems.
``(2) Timing of grant notice.--The Administrator shall post
a Notice of Funding Opportunity regarding grants awarded under
this section not more than 15 days after the date of enactment
of the appropriations Act for the fiscal year concerned.
``(3) Timing of grants.--The Administrator shall award
grants under this section not later than 120 days after the
date of the enactment of the appropriations Act for the fiscal
year concerned.
``(4) Reuse of unexpended grant funds.--Notwithstanding
paragraph (3), amounts awarded as a grant under this section
that are not expended by the grantee shall remain available to
the Administrator for use for grants under this section.
``(c) Use of Funds.--
``(1) In general.--Assistance provided under this section
may be used to--
``(A) make capital and related improvements in
shipyards to build commercially viable specialty
vessels for supporting energy transition initiatives
and commercially viable vessels made with innovative
and energy efficient parts, including power and
propulsion systems; and
``(B) build vessels described in subparagraph (A).
``(2) Administrative costs.--Not more than 2 percent of
amounts made available to carry out this section may be used
for the necessary costs of grant administration.
``(d) Prohibited Uses.--
``(1) In general.--Funds awarded under this section may not
be used to construct buildings or acquire land.
``(2) Buy america.--
``(A) In general.--Subject to subparagraph (B),
manufactured articles, materials, or supplies procured
in connection with this program are manufactured
substantially all from articles, materials, or supplies
mined, produced, or manufactured in the United States
if the cost of such component articles, materials, or
supplies--
``(i) supplied not later than the date of
the enactment of this Act, exceeds 70 percent
of cost of the manufactured articles,
materials, or supplies procured; and
``(ii) supplied on or after January 1,
2029, exceeds 80 percent of the cost of the
manufactured articles, materials, or supplies.
``(B) Exceptions.--
``(i) In general.--Notwithstanding
subparagraph (A), the requirements of such
subparagraph shall not apply with respect to a
particular article material or supply--
``(I) if the Administrator
determines that such product or
material is not available in the United
States in sufficient and reasonably
available quantities, of a satisfactory
quality, or on a timely basis;
``(II) to articles manufactured in
countries that have executed a
reciprocal defense procurement
memorandum of understanding with the
United States entered into pursuant to
section 4851 of title 10; or
``(III) from a country that is a
member of the national technology and
industrial base (as defined by section
4801 of title 10).
``(ii) Federal register.--The Administrator
shall publish in the Federal Register any
determination made under this subparagraph.
``(e) Matching Requirements.--
``(1) Federal share.--The Federal share of any eligible
project under this section shall not exceed 80 percent of the
total cost of such project.
``(2) Authorization for vessel concept development.--There
is authorized to be appropriated to make grants under
subsection (a) $100,000,000 for each of fiscal years 2025
through 2029.
``(f) Applications.--
``(1) In general.--To be eligible for assistance under this
section, not later than 60 days after the date of enactment of
an appropriations Act for any fiscal year funding grants under
this section, an applicant shall submit an application in such
form and containing such information and assurances as the
Administrator may require.
``(2) Minimum standards for payment or reimbursement.--
Applications submitted under paragraph (1) shall include a
comprehensive description of--
``(A) the need for the project;
``(B) the methodology for implementing the project;
and
``(C) any existing programs or arrangements that
can be used to supplement or leverage assistance under
this section.
``(3) Procedural safeguards.--The Administrator, in
consultation with the inspector general of the Department of
Transportation, shall issue guidelines to establish appropriate
accounting, reporting, and review procedures to ensure that--
``(A) grant funds are used for the purposes for
which they were made available;
``(B) grantees have properly accounted for all
expenditures of grant funds; and
``(C) grant funds not used for such purposes and
amounts not obligated or expended are returned.
``(4) Project approval required.--The Administrator may not
award a grant under this section unless the Administrator
determines that--
``(A) sufficient funding is available to meet the
matching requirements of subsection (e);
``(B) the project will be completed without
unreasonable delay; and
``(C) the recipient has authority to carry out the
proposed project.
``(g) Audits and Examinations.--Recipients of grants under this
section shall maintain such records as the Administrator may require
and make such records available for review and audit by the
Administrator.''.
(b) Clerical Amendment.--The analysis for chapter 541 of title 46,
United States Code, is amended by adding at the end the following:
``54102. Vessel concept development and infrastructure grant
program.''.
SEC. 4. REPORT TO CONGRESS.
Not later than 1 year after the date of enactment of this Act, and
annually thereafter, the Secretary of Transportation, in consultation
with the Secretary of the Navy, and the Secretary of the Department of
which the Coast Guard is operating, shall submit to Congress a report
on the status and outlook for United States-flagged vessels capable of
supporting energy transition initiatives.
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