Page:United States Statutes at Large Volume 119.djvu/898

 119 STAT. 880

PUBLIC LAW 109–58—AUG. 8, 2005 requested in the auction for each gallon produced and sold by the entity during the first 6 years of operation. (C) COMMENCEMENT OF PRODUCTION OF CELLULOSIC BIOFUELS.—As a condition of the receipt of an award under this section, an eligible entity shall enter into an agreement with the Secretary under which the eligible entity agrees to begin production of cellulosic biofuels not later than 3 years after the date of the reverse auction in which the eligible entity participates. (d) LIMITATIONS.—Awards under this section shall be limited

Deadline. Contracts.

to— (1) a per gallon amount determined by the Secretary during the first 4 years of the program; (2) a declining per gallon cap over the remaining lifetime of the program, to be established by the Secretary so that cellulosic biofuels produced after the first year of annual cellulosic biofuels production in the United States in excess of 1,000,000,000 gallons are cost competitive with gasoline and diesel; (3) not more than 25 percent of the funds committed within each reverse auction to any 1 project; (4) not more than $100,000,000 in any 1 year; and (5) not more than $1,000,000,000 over the lifetime of the program. (e) PRIORITY.—In selecting a project under the program, the Secretary shall give priority to projects that— (1) demonstrate outstanding potential for local and regional economic development; (2) include agricultural producers or cooperatives of agricultural producers as equity partners in the ventures; and (3) have a strategic agreement in place to fairly reward feedstock suppliers. (f) AUTHORIZATIONS OF APPROPRIATIONS.—There is authorized to be appropriated to carry out this section $250,000,000. SEC. 943. PROCUREMENT OF BIOBASED PRODUCTS.

(a) FEDERAL PROCUREMENT.— (1) DEFINITION OF PROCURING AGENCY.—Section 9001 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8101) is amended— (A) by redesignating paragraphs (4), (5), and (6) as paragraphs (5), (6), and (7), respectively; and (B) by inserting after paragraph (3) the following: ‘‘(4) PROCURING AGENCY.—The term ‘procuring agency’ means— ‘‘(A) any Federal agency that is using Federal funds for procurement; or ‘‘(B) any person contracting with any Federal agency with respect to work performed under the contract.’’. (2) PROCUREMENT.—Section 9002 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8102) is amended— (A) by striking ‘‘Federal agency’’ each place it appears (other than in subsections (f) and (g)) and inserting ‘‘procuring agency’’; (B) in subsection (c)(2)— (i) by striking ‘‘(2)’’ and all that follows through ‘‘Notwithstanding’’ and inserting the following:

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