7 USC 8103 - Biorefinery, renewable chemical, and biobased product manufacturing assistance

U.S Code last checked for updates: Apr 30, 2024

§ 8103.

Biorefinery, renewable chemical, and biobased product manufacturing assistance

(a)

Purpose

The purpose of this section is to assist in the development of new and emerging technologies for the development of advanced biofuels, renewable chemicals, and biobased product manufacturing so as to—

(1)

increase the energy independence of the United States;

(2)

promote resource conservation, public health, and the environment;

(3)

diversify markets for agricultural and forestry products and agriculture waste material; and

(4)

create jobs and enhance the economic development of the rural economy.

(b)

Definitions

In this section:

(1)

Biobased product manufacturing

(2)

Eligible entity

(3)

Eligible technology

The term “eligible technology” means, as determined by the Secretary—

(A)

a technology that is being adopted in a viable commercial-scale operation of a biorefinery that produces any 1 or more, or a combination, of—

(i)

an advanced biofuel;

(ii)

a renewable chemical; or

(iii)

a biobased product; and

(B)

a technology not described in subparagraph (A) that has been demonstrated to have technical and economic potential for commercial application in a biorefinery that produces any 1 or more, or a combination, of—

(i)

an advanced biofuel;

(ii)

a renewable chemical; or

(iii)

a biobased product.

(c)

Assistance

(d)

Loan guarantees

(1)

Selection criteria

(A)

In general

(B)

Feasibility

(C)

Scoring system

In determining the priority scoring system for loan guarantees under subsection (c), the Secretary shall consider—

(i)

whether the applicant has established a market for the advanced biofuel and the byproducts produced;

(ii)

whether the area in which the applicant proposes to place the biorefinery has other similar facilities;

(iii)

whether the applicant is proposing to use a feedstock not previously used in the production of advanced biofuels;

(iv)

whether the applicant is proposing to work with producer associations or cooperatives;

(v)

the level of financial participation by the applicant, including support from non-Federal and private sources;

(vi)

whether the applicant has established that the adoption of the process proposed in the application will have a positive impact on resource conservation, public health, and the environment;

(vii)

whether the applicant can establish that if adopted, the biofuels production technology proposed in the application will not have any significant negative impacts on existing manufacturing plants or other facilities that use similar feedstocks;

(viii)

the potential for rural economic development;

(ix)

the level of local ownership proposed in the application; and

(x)

whether the project can be replicated.

(D)

Project diversity

(2)

Limitations

(A)

Maximum amount of loan guaranteed

(B)

Maximum percentage of loan guaranteed

(i)

In general

(ii)

Other direct Federal funding

(iii)

Authority to guarantee the loan

(C)

Loan guarantee fund distribution

(e)

Consultation

(f)

Condition on provision of assistance

(1)

In general

(2)

Authority and functions

(g)

Funding

(1)

Mandatory funding

(A)

In general

Subject to subparagraph (B), of the funds of the Commodity Credit Corporation, the Secretary shall use for the cost of loan guarantees under this section, to remain available until expended—

(i)

$100,000,000 for fiscal year 2014;

(ii)

$50,000,000 for each of fiscal years 2015 and 2016;

(iii)

$50,000,000 for fiscal year 2019; and

(iv)

$25,000,000 for fiscal year 2020.

(B)

Biobased product manufacturing

(2)

Discretionary funding

(h)

Additional funding for electric loans for renewable energy

(1)

Appropriations

(2)

Limitation

(3)

Exception

(i)

Biofuel infrastructure and agriculture product market expansion

(1)

Appropriation

(2)

Use of funds

The Secretary shall use the amounts made available by paragraph (1) to provide grants, for which the Federal share shall be not more than 75 percent of the total cost of carrying out a project for which the grant is provided, on a competitive basis, to increase the sale and use of agricultural commodity-based fuels through infrastructure improvements for blending, storing, supplying, or distributing biofuels, except for transportation infrastructure not on location where such biofuels are blended, stored, supplied, or distributed—

(A)

by installing, retrofitting, or otherwise upgrading fuel dispensers or pumps and related equipment, storage tank system components, and other infrastructure required at a location related to dispensing certain biofuel blends to ensure the increased sales of fuels with high levels of commodity-based ethanol and biodiesel that are at or greater than the levels required in the Notice of Funding Availability for the Higher Blends Infrastructure Incentive Program for Fiscal Year 2020, published in the Federal Register (85 Fed. Reg. 26656), as determined by the Secretary; and

(B)

by building and retrofitting home heating oil distribution centers or equivalent entities and distribution systems for ethanol and biodiesel blends.

(j)

USDA assistance for rural electric cooperatives

(1)

Appropriation

(2)

Limitation

(3)

Requirement

(4)

Prohibition

(5)

Disbursements

The Secretary shall not enter into, pursuant to this subsection—

(A)

any loan agreement that may result in a disbursement after September 30, 2031; or

(B)

any grant agreement that may result in any outlay after September 30, 2031.

(Pub. L. 107–171, title IX, § 9003, as added Pub. L. 110–234, title IX, § 9001(a), May 22, 2008, 122 Stat. 1310, and Pub. L. 110–246, § 4(a), title IX, § 9001(a), June 18, 2008, 122 Stat. 1664, 2072; amended Pub. L. 112–240, title VII, § 701(f)(2), Jan. 2, 2013, 126 Stat. 2365; Pub. L. 113–79, title IX, § 9003, Feb. 7, 2014, 128 Stat. 928; Pub. L. 115–334, title IX, § 9003, Dec. 20, 2018, 132 Stat. 4884; Pub. L. 117–169, title II, §§ 22001, 22003, 22004, Aug. 16, 2022, 136 Stat. 2018, 2020.)

cite as: 7 USC 8103