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                                                        Calendar No. 419
115th Congress   }                                            {    Report
 2d Session      }                                            {   115-252




                  May 21, 2018.--Ordered to be printed


        Ms. Murkowski, from the Committee on Energy and Natural 
                   Resources, submitted the following

                              R E P O R T

                         [To accompany S. 1799]

    The Committee on Energy and Natural Resources, to which was 
referred the bill (S.1799) to amend the Energy Policy Act of 
2005 to facilitate the commercialization of energy and related 
technologies developed at Department of Energy facilities with 
promising commercial potential, having considered the same, 
reports favorably thereon without amendment, and recommends 
that the bill do pass.


    The purpose of S. 1799 is to facilitate the 
commercialization of energy and related technologies developed 
at Department of Energy (DOE) facilities with promising 
commercial potential.

                          Background and Need

    Congress directed technology transfer to be a part of the 
mission of federal government research agencies beginning in 
the 1980s. Since that time, DOE has led the federal government 
in transitioning technologies to outside entities for 
commercialization through the use of a variety of mechanisms, 
including Cooperative Research and Development Agreements, 
Strategic Partnership Project Agreements, and the licensing of 
intellectual property.
    Improving the ability to transition technologies from DOE 
to the private sector continues to be a focus of Congress and 
the Department. S. 1799 provides another means to enable 
national laboratories to work with the private sector, and 
especially small businesses, to commercialize innovative energy 

                          Legislative History

    On September 12, 2017, Senator Heinrich introduced S. 1799. 
The Senate Subcommittee on Energy conducted a hearing on S. 
1799 on October 3, 2017.
    Companion legislation, H.R. 3750, was introduced by 
Representative Grisham in the House of Representatives on the 
same day, and referred to the House Science, Space, and 
Technology Committee, as well as the House Armed Services 
    The Committee on Energy and Natural Resources met in open 
business session on March 8, 2018, and ordered S. 1799 
favorably reported.

                        Committee Recommendation

    The Senate Committee on Energy and Natural Resources, in 
open business session on March 8, 2018, by majority voice vote 
of a quorum present, recommends that the Senate pass S. 1799.

                      Section-by-Section Analysis

Section 1. Short title

    Section 1 sets forth a short title for the bill.

Section 2. Energy Technology Maturation Program

    Subsection (a) amends Title X of the Energy Policy Act of 
2005 (Public Law 109-58) by adding a new section 1012 at the 
          The new section 1012(a) provides definitions.
          The new section 1012(b) directs the Secretary to 
        establish an ``Energy Technology Maturation Program'' 
        to facilitate the commercialization of energy and 
        related technologies that exhibit promising commercial 
        potential and are developed at DOE facilities.
          The new section 1012(c) requires the Secretary to use 
        program funding for specific purposes, including 
        carrying out additional development activities to 
        advance the state of the technology, and supporting 
        cooperative development of a technology for a specific 
        commercial application.
          The new section 1012(d) sets forth requirements for 
        program applications; permits DOE facilities to submit 
        applications for more than one project; and directs the 
        Secretary to develop criteria for evaluating projects 
        and give priority to projects submitted by partnerships 
        between a Department facility and a small business.
          The new section 1012(e) establishes limits on the 
        funding amounts provided to a recipient.
          The new section 1012(f) requires the Secretary to 
        determine cost-sharing requirements of the program in 
        accordance with section 988 of the underlying Act.
          The new section 1012(g) authorizes the Secretary to 
        carry out the program with funds in the Energy 
        Technology Commercialization Fund established under 
        section 1001(e) or other funds made available to 
        support technology transfer within the Department.
          The new section 1012(h) requires the Secretary to 
        include a description of the results of the projects 
        carried out under the program in the annual report 
        required under section 1001(g)(2) of the underlying 
    Subsection (b) amends the table of contents of the Energy 
Policy Act of 2005.

                   Cost and Budgetary Considerations

    The Congressional Budget Office estimate of the costs of 
this measure has been requested but was not received at the 
time the report was filed. When the report is available, it can 
be accessed at

                      Regulatory Impact Evaluation

    In compliance with paragraph 11(b) of rule XXVI of the 
Standing Rules of the Senate, the Committee makes the following 
evaluation of the regulatory impact which would be incurred in 
carrying out the bill.
    The bill is not a regulatory measure in the sense of 
imposing Government-established standards or significant 
economic responsibilities on private individuals and 
    No personal information would be collected in administering 
the program. Therefore, there would be no impact on personal 
    Little, if any, additional paperwork would result from 
enactment of the bill, as ordered reported.

                   Congressionally Directed Spending

    S. 1799, as reported, does not contain any congressionally 
directed spending items, limited tax benefits, or limited 
tariff benefits as defined in rule XLIV of the Standing Rules 
of the Senate.

                        Executive Communications

    The testimony provided by the Department of Energy at the 
October 3, 2017, hearing on S. 1799 follows:

Testimony of Deputy General Counsel Bernard McNamee, U.S. Department of 
    Energy, Before the U.S. Senate Committee on Energy and Natural 
           Resources, Subcommittee on Energy, October 3, 2017

S. 1799, Energy Technology Maturation Act of 2017
    As a science agency, the Department of Energy plays an 
important role in the innovation economy. DOE's 17 National 
Laboratories engage in research that expands the frontiers of 
scientific knowledge and generates new technologies that 
address the Nation's greatest energy challenges.
    Accelerating the transition of technologies from the 
laboratory bench to the marketplace is an important component 
of increasing America's economic prosperity and energy 
security. This mission is the focus of the Department of 
Energy's Office of Technology Transitions, which oversees the 
technology transfer programs across the National Laboratories, 
including industry and other stakeholder engagement for the 
purpose of private sector access to lab-developed technologies 
and capabilities for the purpose of moving these to the 
    DOE-funded energy R&D will continue to prioritize early-
stage R&D where the federal role is strongest and reflect an 
increased reliance on the private sector to fund later-stage 
research, development and commercialization of energy 
technologies. DOE is actively working with the National 
Laboratories to reduce barriers to industry engagement with the 
laboratories to accelerate energy innovation in America. DOE 
has made it a priority to strengthen the engagement between 
National Laboratories and industry and other partners.
    In response to investors and corporate partners, the DOE 
Office of Technology Transitions and its recently launched 
Energy Investor Center are streamlining industry-lab 
connections and access with a broad strategy of both live 
interaction through workshops and other events and with web-
based tools to increase, improve and integrate information flow 
through the Lab Partnering Service.
    DOE currently uses its Technology Commercialization Fund 
(TCF), to assist the private sector increase the commercial 
impact and number of National Laboratory-developed energy 
technologies transitioned into commercial development. Just 
last month the Department announced $19.7 million in funding to 
help businesses move promising energy technologies from DOE's 
National Laboratories to the marketplace. This funding 
supported through the Office of Technology Transitions' TCF--
which requires that government funds be matched by private 
sector capital--will support 54 projects across 12 National 
Laboratories involving more than 30 private-sector partners.
    Through these efforts, DOE is fostering an environment that 
promotes responsible investment, increased efficiency and 
development of new technologies, as well as predictability and 
ease of access by the private sector to the National 
Laboratories and Facilities.
    I look forward to continuing our dialogue on how to bring 
to market National Lab technologies.

                        Changes in Existing Law

    In compliance with paragraph 12 of rule XXVI of the 
Standing Rules of the Senate, changes in existing law made by 
the original bill, as reported, are shown as follows (existing 
law proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

                     THE ENERGY POLICY ACT OF 2005


           *       *       *       *       *       *       *


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Sec. 1001. Improved technology transfer of energy technologies.
Sec. 1002. Technology Infrastructure Program.
Sec. 1003. Small business advocacy and assistance.
Sec. 1004. Outreach.
Sec. 1005. Relationship to other laws.
Sec. 1006. Improved coordination and management of civilian science and 
          technology programs.
Sec. 1007. Other transactions authority.
Sec. 1008. Prizes for achievement in grand challenges of science and 
Sec. 1009. Technical corrections.
Sec. 1010. University collaboration.
Sec. 1011. Sense of Congress.
Sec. 1012. Energy Technology Maturation Program.


    It is the sense of Congress that--
          (1) The Secretary should develop and implement more 
        stringent procurement and inventory controls, including 
        controls on the purchase card program to prevent waste, 
        fraud, and abuse of taxpayer funds by employees and 
        contractors of the Department; and
          (2) The Department's Inspector General should 
        continue to closely review purchase card purchases and 
        other procurement and inventory practices at the 


    (a) Definitions.--In this section:
          (1) Department facility.--The term `Department 
        facility' includes--
                  (A) a National Laboratory;
                  (B) any plant or site of the Department (such 
                as the Kansas City National Security Campus, 
                the Nevada National Security Site, the Pantex 
                Plant, and the Y-12 National Security Complex); 
                  (C) any partnership of entities described in 
                subparagraphs (A) and (B).
          (2) Program.--The term `program' means the Energy 
        Technology Maturation Program established under 
        subsection (b).
    (b) Establishment.--The Secretary shall establish a 
program, to be known as the ``Energy Technology Maturation 
Program'', under which the Secretary shall provide funding to 
Department facilities to facilitate the commercialization of 
energy and related technologies that--
          (1) exhibit promising commercial potential; and
          (2) are developed at Department facilities.
    (c) Use of Funds.--A Department facility shall use funding 
provided under the program--
          (1) to carry out additional development activities on 
        any technology developed at the Department facility to 
        advance the state of the technology to the degree that 
        a private sector partner would be interested in 
        supporting commercialization of the technology; or
          (2) in any case in which a private sector partner has 
        been identified and the identified private sector 
        partner has executed or will execute a technology 
        partnership agreement, to support cooperative 
        development of a technology developed at the Department 
        facility for a specific commercial application of the 
    (d) Applications.--
          (1) In general.--To be eligible to receive funding 
        under the program, a Department facility shall submit 
        to the Secretary an application at such time, in such 
        manner, and containing such information as the 
        Secretary may require.
          (2) Inclusions.--An application under this subsection 
                  (A) include a description of--
                          (i) the potential impact on markets 
                        if the applicable technology is 
                        successfully commercialized;
                          (ii) the intended accomplishments of 
                        the project proposed to be carried out 
                        using the funding with respect to 
                        advancing the maturity and commercial 
                        potential of the applicable technology; 
                          (iii) a project plan, including a 
                        description of each activity required 
                        to be carried out to accomplish the 
                        specific objectives of the project; and
                  (B) demonstrate to the satisfaction of the 
                Secretary that each Department facility and 
                private sector partner involved in the proposed 
                project, and any other resource required to 
                carry out the project, is qualified and capable 
                of successfully completing, and is available to 
                complete, the project, including a description 
                of the roles and responsibilities proposed to 
                be carried out.
          (3) Multiple projects.--A Department facility may 
        submit to the Secretary an application for 1 or more 
        technology maturation projects under the program.
          (4) Approval by secretary.--
                  (A) In general.--The Secretary shall develop 
                criteria for evaluating applications under this 
                subsection, which may include--
                          (i) the potential that a proposed 
                        technology will result in a 
                        commercially successful product within 
                        a reasonable timeframe;
                          (ii) the relative maturity of a 
                        proposed technology for commercial 
                        application; and
                          (iii) the proposed technical approach 
                        and capability of the Department 
                        facilities and private sector partners 
                        to successfully implement a project.
                  (B) Priority.--In selecting applicants to 
                receive funding under the program, the 
                Secretary shall give priority to an application 
                submitted by a partnership between-
                          (i) a Department facility; and
                          (ii) a small business concern.
    (e) Amount of Funding.--The amount provided to a recipient 
for a technology maturation project funded under the program 
shall be not more than--
          (1) $150,000 for an activity described in subsection 
        (c)(1); and
          (2) $750,000 for an activity described in subsection 
    (f) Cost-Sharing Requirements.--The cost-sharing 
requirements of the program, including requirements relating to 
in-kind contributions, shall be determined by the Secretary in 
accordance with section 988.
    (g) Funding.--The Secretary may use to carry out the 
          (1) amounts in the Energy Technology 
        Commercialization Fund established under section 
        1001(e); or
          (2) any other amounts made available to support 
        technology transfer within the Department.
    (h) Annual Report.--The Secretary shall include in the 
annual report required under section 1001(g)(2) a description 
of the results of the technology maturation projects carried 
out under the program.

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