S 517 IS
107th CONGRESS
1st Session
S. 517
To authorize funding the Department of Energy to enhance its mission
areas through technology transfer and partnerships for fiscal years 2002 through
2006, and for other purposes.
IN THE SENATE OF THE UNITED STATES
March 12, 2001
Mr. BINGAMAN (for himself, Mr. DOMENICI, and Mrs. MURRAY) introduced the
following bill; which was read twice and referred to the Committee on Energy and
Natural Resources
A BILL
To authorize funding the Department of Energy to enhance its mission
areas through technology transfer and partnerships for fiscal years 2002 through
2006, 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 `National Laboratories Partnership
Improvement Act of 2001'.
SEC. 2. DEFINITIONS.
For purposes of this Act--
(1) the term `Department' means the Department of Energy;
(2) the term `departmental mission' means any of the functions vested in
the Secretary of Energy by the Department of Energy Organization Act (42
U.S.C. 7101 et seq.) or other law;
(3) the term `institution of higher education' has the meaning given
such term in section 1201(a) of the Higher Education Act of 1965 (20 U.S.C.
1141(a));
(4) the term `National Laboratory' means any of the following
institutions owned by the Department of Energy--
(A) Argonne National Laboratory;
(B) Brookhaven National Laboratory;
(C) Idaho National Engineering and Environmental Laboratory;
(D) Lawrence Berkeley National Laboratory;
(E) Lawrence Livermore National Laboratory;
(F) Los Alamos National Laboratory;
(G) National Renewable Energy Laboratory;
(H) Oak Ridge National Laboratory;
(I) Pacific Northwest National Laboratory; or
(J) Sandia National Laboratory;
(5) the term `facility' means any of the following institutions owned by
the Department of Energy--
(B) East Tennessee Technology Park;
(C) Environmental Measurement Laboratory;
(D) Fermi National Accelerator Laboratory;
(F) National Energy Technology Laboratory;
(H) Princeton Plasma Physics Laboratory;
(I) Savannah River Technology Center;
(J) Stanford Linear Accelerator Center;
(K) Thomas Jefferson National Accelerator Facility;
(L) Waste Isolation Pilot Plant;
(M) Y-12 facility at Oak Ridge National Laboratory; or
(N) other similar organization of the Department designated by the
Secretary that engages in technology transfer, partnering, or licensing
activities;
(6) the term `nonprofit institution' has the meaning given such term in
section 4 of the Stevenson-Wydler Technology Innovation Act of 1980 (15
U.S.C. 3703(5));
(7) the term `Secretary' means the Secretary of Energy;
(8) the term `small business concern' has the meaning given such term in
section 3 of the Small Business Act (15 U.S.C. 632);
(9) the term `technology-related business concern' means a for-profit
corporation, company, association, firm, partnership, or small business
concern that--
(A) conducts scientific or engineering research,
(B) develops new technologies,
(C) manufacturers products based on new technologies, or
(D) performs technological services;
(10) the term `technology cluster' means a concentration of--
(A) technology-related business concerns;
(B) institutions of higher education; or
(C) other nonprofit institutions,
that reinforce each other's performance through formal or informal
relationships;
(11) the term `socially and economically disadvantaged small business
concerns' has the meaning given such term in section 8(a)(4) of the Small
Business Act (15 U.S.C. 637(a)(4)); and
(12) the term `NNSA' means the National Nuclear Security Administration
established by title XXXII of the National Defense Authorization Act for
Fiscal Year 2000 (Public Law 106-65).
SEC. 3. TECHNOLOGY INFRASTRUCTURE PILOT PROGRAM.
(a) ESTABLISHMENT- The Secretary, through the appropriate officials of the
Department, shall establish a Technology Infrastructure Pilot Program in
accordance with this section.
(b) PURPOSE- The purpose of the program shall be to improve the ability of
National Laboratories or facilities to support departmental missions by--
(1) stimulating the development of technology clusters that can support
the missions of the National Laboratories or facilities;
(2) improving the ability of National Laboratories or facilities to
leverage and benefit from commercial research, technology, products,
processes, and services; and
(3) encouraging the exchange of scientific and technological expertise
between National Laboratories or facilities and--
(A) institutions of higher education,
(B) technology-related business concerns,
(C) nonprofit institutions, and
(D) agencies of State, tribal, or local governments,
that can support the missions of the National Laboratories and
facilities.
(c) PILOT PROGRAM- In each of the first three fiscal years after the date
of enactment of this section, the Secretary may provide no more than
$10,000,000, divided equally, among no more than ten National Laboratories or
facilities selected by the Secretary to conduct Technology Infrastructure
Program Pilot Programs.
(d) PROJECTS- The Secretary shall authorize the Director of each National
Laboratory or facility designated under subsection (c) to implement the
Technology Infrastructure Pilot Program at such National Laboratory or
facility through projects that meet the requirements of subsections (e) and
(f).
(e) PROGRAM REQUIREMENTS- Each project funded under this section shall
meet the following requirements:
(1) MINIMUM PARTICIPANTS- Each project shall at a minimum
include--
(A) a National Laboratory or facility; and
(B) one of the following entities--
(ii) an institution of higher education,
(iii) a nonprofit institution, or
(iv) an agency of a State, local, or tribal government.
(A) MINIMUM AMOUNT- Not less than 50 percent of the costs of each
project funded under this section shall be provided from non-Federal
sources.
(B) QUALIFIED FUNDING AND RESOURCES-
(i) The calculation of costs paid by the non-Federal sources to a
project shall include cash, personnel, services, equipment, and other
resources expended on the project.
(ii) Independent research and development expenses of government
contractors that qualify for reimbursement under section 31-205-18(e) of
the Federal Acquisition Regulations issued pursuant to section 25(c)(1)
of the Office of Federal Procurement Policy Act (41 U.S.C. 421(c)(1))
may be credited towards costs paid by non-Federal sources to a project,
if the expenses meet the other requirements of this section.
(iii) No funds or other resources expended either before the start
of a project under this section or outside the project's scope of work
shall be credited toward the costs paid by the non-Federal sources to
the project.
(3) COMPETITIVE SELECTION- All projects where a party other than the
Department or a National Laboratory or facility receives funding under this
section shall, to the extent practicable, be competitively selected by the
National Laboratory or facility using procedures determined to be
appropriate by the Secretary or his designee.
(4) ACCOUNTING STANDARDS- Any participant receiving funding under this
section, other than a National Laboratory or facility, may use generally
accepted accounting principles for maintaining accounts, books, and records
relating to the project.
(5) LIMITATIONS- No Federal funds shall be made available under this
section for--
(B) any project for more than five years.
(1) THRESHOLD FUNDING CRITERIA- The Secretary shall authorize the
provision of Federal funds for projects under this section only when the
Director of the National Laboratory or facility managing such a project
determines that the project is likely to improve the participating National
Laboratory or facility's ability to achieve technical success in meeting
departmental missions.
(2) ADDITIONAL CRITERIA- The Secretary shall also require the Director
of the National Laboratory or facility managing a project under this section
to consider the following criteria in selecting a project to receive Federal
funds--
(A) the potential of the project to succeed, based on its technical
merit, team members, management approach, resources, and project
plan;
(B) the potential of the project to promote the development of a
commercially sustainable technology cluster, one that will derive most of
the demand for its products or services from the private sector, that can
support the missions of the participating National Laboratory or
facility;
(C) the potential of the project to promote the use of commercial
research, technology, products, processes, and services by the
participating National Laboratory or facility to achieve its departmental
mission or the commercial development of technological innovations made at
the participating National Laboratory or facility;
(D) the commitment shown by non-Federal organizations to the project,
based primarily on the nature and amount of the financial and other
resources they will risk on the project;
(E) the extent to which the project involves a wide variety and number
of institutions of higher education, nonprofit institutions, and
technology-related business concerns that can support the missions of the
participating National Laboratory or facility and that will make
substantive contributions to achieving the goals of the project;
(F) the extent of participation in the project by agencies of State,
tribal, or local governments that will make substantive contributions to
achieving the goals of the project; and
(G) the extent to which the project focuses on promoting the
development of technology-related business concerns that are small
business concerns or involves such small business concerns substantively
in the project.
(3) SAVINGS CLAUSE- Nothing in this subsection shall limit the Secretary
from requiring the consideration of other criteria, as appropriate, in
determining whether projects should be funded under this section.
(g) REPORT TO CONGRESS ON FULL IMPLEMENTATION- Not later than 120 days
after the start of the third fiscal year after the date of enactment of this
section, the Secretary shall report to Congress on whether the Technology
Infrastructure Program should be continued beyond the pilot stage, and, if so,
how the fully implemented program should be managed. This report shall take
into consideration the results of the pilot program to date and the views of
the relevant Directors of the National laboratories and facilities. The report
shall include any proposals for legislation considered necessary by the
Secretary to fully implement the program.
SEC. 4. SMALL BUSINESS ADVOCACY AND ASSISTANCE.
(a) ADVOCACY FUNCTION- The Secretary shall direct the Director of each
National Laboratory, and may direct the Director of each facility the
Secretary determines to be appropriate, to establish a small business advocacy
function that is organizationally independent of the procurement function at
the National Laboratory or facility. The person or office vested with the
small business advocacy function shall--
(1) work to increase the participation of small business concerns,
including socially and economically disadvantaged small business concerns,
in procurements, collaborative research, technology licensing, and
technology transfer activities conducted by the National Laboratory or
facility;
(2) report to the Director of the National Laboratory or facility on the
actual participation of small business concerns in procurements and
collaborative research along with recommendations, if appropriate, on how to
improve participation;
(3) make available to small business concerns training, mentoring, and
clear, up-to-date information on how to participate in the procurements and
collaborative research, including how to submit effective proposals;
(4) increase the awareness inside the National Laboratory or facility of
the capabilities and opportunities presented by small business concerns;
and
(5) establish guidelines for the program under subsection (b) and report
on the effectiveness of such program to the Director of the National
Laboratory or facility.
(b) ESTABLISHMENT OF SMALL BUSINESS ASSISTANCE PROGRAM- The Secretary
shall direct the Director of each National Laboratory, and may direct the
Director of each facility the Secretary determines to be appropriate, to
establish a program to provide small business concerns--
(1) assistance directed at making them more effective and efficient
subcontractors or suppliers to the National Laboratory or facility; or
(2) general technical assistance, the cost of which shall not exceed
$10,000 per instance of assistance, to improve the small business concern's
products or services.
(c) USE OF FUNDS- None of the funds expended under subsection (b) may be
used for direct grants to the small business concerns.
SEC. 5. TECHNOLOGY PARTNERSHIPS OMBUDSMAN.
(a) APPOINTMENT OF OMBUDSMAN- The Secretary shall direct the Director of
each National Laboratory, and may direct the Director of each facility the
Secretary determines to be appropriate, to appoint a technology partnership
ombudsman to hear and help resolve complaints from outside organizations
regarding each laboratory's policies and actions with respect to technology
partnerships (including cooperative research and development agreements),
patents, and technology licensing. Each ombudsman shall--
(1) be a senior official of the National Laboratory or facility who is
not involved in day-to-day technology partnerships, patents, or technology
licensing, or, if appointed from outside the laboratory, function as such a
senior official; and
(2) have direct access to the Director of the National Laboratory or
facility.
(b) DUTIES- Each ombudsman shall--
(1) serve as the focal point for assisting the public and industry in
resolving complaints and disputes with the laboratory regarding technology
partnerships, patents, and technology licensing;
(2) promote the use of collaborative alternative dispute resolution
techniques such as mediation to facilitate the speedy and low-cost
resolution of complaints and disputes, when appropriate; and
(3) report, through the Director of the National Laboratory or facility,
to the Department annually on the number and nature of complaints and
disputes raised, along with the ombudsman's assessment of their resolution,
consistent with the protection of confidential and sensitive
information.
(c) DUAL APPOINTMENT- A person vested with the small business advocacy
function of section 4 may also serve as the technology partnership
ombudsman.
SEC. 6. STUDIES RELATED TO IMPROVING MISSION EFFECTIVENESS, PARTNERSHIPS,
AND TECHNOLOGY TRANSFER AT NATIONAL LABORATORIES.
(a) STUDIES- The Secretary shall direct the Laboratory Operations Board to
study and report to him, not later than one year after the date of enactment
of this section, on the following topics--
(1) the possible benefits from and need for policies and procedures to
facilitate the transfer of scientific, technical, and professional personnel
among National Laboratories and facilities; and
(2) the possible benefits from and need for changes in--
(A) the indemnification requirements for patents or other intellectual
property licensed from a National Laboratory or facility;
(B) the royalty and fee schedules and types of compensation that may
be used for patents or other intellectual property licensed to a small
business concern from a National Laboratory or facility;
(C) the licensing procedures and requirements for patents and other
intellectual property;
(D) the rights given to a small business concern that has licensed a
patent or other intellectual property from a National Laboratory or
facility to bring suit against third parties infringing such intellectual
property;
(E) the advance funding requirements for a small business concern
funding a project at a National Laboratory or facility through a
Funds-In-Agreement;
(F) the intellectual property rights allocated to a business when it
is funding a project at a National Laboratory or facility through a
Funds-In-Agreement; and
(G) policies on royalty payments to inventors employed by a
contractor-operated National Laboratory or facility, including those for
inventions made under a Funds-In-Agreement.
(b) DEFINITION- For the purposes of this section, the term
`Funds-In-Agreement' means a contract between the Department and a non-Federal
organization where that organization pays the Department to provide a service
or material not otherwise available in the domestic private sector.
(c) REPORT TO CONGRESS- Not later than one month after receiving the
report under subsection (a), the Secretary shall transmit the report, along
with his recommendations for action and proposals for legislation to implement
the recommendations, to Congress.
SEC. 7. OTHER TRANSACTIONS AUTHORITY.
(a) NEW AUTHORITY- Section 646 of the Department of Energy Organization
Act (42 U.S.C. 7256) is amended by adding at the end the following new
subsection:
`(g) OTHER TRANSACTIONS AUTHORITY- (1) In addition to other authorities
granted to the Secretary to enter into procurement contracts, leases,
cooperative agreements, grants, and other similar arrangements, the Secretary
may enter into other transactions with public agencies, private organizations,
or persons on such terms as the Secretary may deem appropriate in furtherance
of basic, applied, and advanced research functions now or hereafter vested in
the Secretary. Such other transactions shall not be subject to the provisions
of section 9 of the Federal Nonnuclear Energy Research and Development Act of
1974 (42 U.S.C. 5908).
`(2)(A) The Secretary of Energy shall ensure that--
`(i) to the maximum extent practicable, no transaction entered into
under paragraph (1) provides for research that duplicates research being
conducted under existing programs carried out by the Department of Energy;
and
`(ii) to the extent that the Secretary determines practicable, the funds
provided by the Government under a transaction authorized by paragraph (1)
do not exceed the total amount provided by other parties to the
transaction.
`(B) A transaction authorized by paragraph (1) may be used for a research
project when the use of a standard contract, grant, or cooperative agreement
for such project is not feasible or appropriate.
`(3)(A) The Secretary shall not disclose any trade secret or commercial or
financial information submitted by a non-Federal entity under paragraph (1)
that is privileged and confidential.
`(B) The Secretary shall not disclose, for five years after the date the
information is received, any other information submitted by a non-Federal
entity under paragraph (1), including any proposal, proposal abstract,
document supporting a proposal, business plan, or technical information that
is privileged and confidential.
`(C) The Secretary may protect from disclosure, for up to five years, any
information developed pursuant to a transaction under paragraph (1) that would
be protected from disclosure under section 552(b)(4) of title 5, United States
Code, if obtained from a person other than a Federal agency.'.
(b) IMPLEMENTATION- Not later than six months after the date of enactment
of this section, the Department shall establish guidelines for the use of
other transactions. Other transactions shall be made available, if needed, in
order to implement projects funded under section 3.
SEC. 8. CONFORMANCE WITH NNSA ORGANIZATIONAL STRUCTURE.
All actions taken by the Secretary in carrying out this Act with respect
to National Laboratories and facilities that are part of the NNSA shall be
through the Administrator for Nuclear Security in accordance with the
requirements of title XXXII of the National Defense Authorization Act for
Fiscal Year 2000.
SEC. 9. COOPERATIVE RESEARCH AND DEVELOPMENT AGREEMENTS FOR
GOVERNMENT-OWNED, CONTRACTOR-OPERATED LABORATORIES.
(a) STRATEGIC PLANS- Subsection (a) of section 12 of the Stevenson-Wydler
Technology Innovation Act of 1980 (15 U.S.C. 3710a) is amended by striking
`joint work statement,' and inserting `joint work statement or, if permitted
by the agency, in an agency-approved annual strategic plan,'.
(b) EXPERIMENTAL FEDERAL WAIVERS- Subsection (b) of that section is
amended by adding at the end the following new paragraph:
`(6)(A) In the case of a Department of Energy laboratory, a designated
official of the Department of Energy may waive any license retained by the
Government under paragraph (1)(A), (2), or (3)(D), in whole or in part and
according to negotiated terms and conditions, if the designated official
finds that the retention of the license by the Department of Energy would
substantially inhibit the commercialization of an invention that would
otherwise serve an important Federal mission.
`(B) The authority to grant a waiver under subparagraph (A) shall expire
on the date that is 5 years after the date of the enactment of the National
Defense Authorization Act for Fiscal Year 2001.
`(C) The expiration under subparagraph (B) of authority to grant a
waiver under subparagraph (A) shall not effect any waiver granted under
subparagraph (A) before the expiration of such authority.'.
(c) TIME REQUIRED FOR APPROVAL- Subsection (c)(5) of that section is
amended--
(1) by striking subparagraph (C);
(2) by redesignating subparagraph (D) as subparagraph (C); and
(3) in subparagraph (C) as so redesignated--
(i) by striking `with a small business firm'; and
(ii) by inserting `if' after `statement'; and
(B) by adding at the end the following new clauses:
`(iv) Any agency that has contracted with a non-Federal entity to
operate a laboratory may develop and provide to such laboratory one or
more model cooperative research and development agreements, for the
purposes of standardizing practices and procedures, resolving common
legal issues, and enabling review of cooperative research and
development agreements to be carried out in a routine and prompt
manner.
`(v) A Federal agency may waive the requirements of clause (i) or
(ii) under such circumstances as the agency considers appropriate.
However, the agency may not take longer than 30 days to review and
approve, request modifications to, or disapprove any proposed agreement
or joint work statement that it elects to receive.'.
SEC. 10. COOPERATIVE RESEARCH AND DEVELOPMENT OF THE NATIONAL NUCLEAR
SECURITY ADMINISTRATION.
(a) OBJECTIVE FOR OBLIGATION OF FUNDS- It shall be an objective of the
Administrator of the National Nuclear Security Administration to obligate
funds for cooperative research and development agreements (as that term is
defined in section 12(d)(1) of the Stevenson-Wydler Technology Innovation Act
of 1980 (15 U.S.C. 3710a(d)(1))), or similar cooperative, cost-shared research
partnerships with non-Federal organizations, in a fiscal year covered by
subsection (b) in an amount at least equal to the percentage of the total
amount appropriated for the Administration for such fiscal year that is
specified for such fiscal year under subsection (b).
(b) FISCAL YEAR PERCENTAGES- The percentages of funds appropriated for the
National Nuclear Security Administration that are obligated in accordance with
the objective under subsection (a) are as follows:
(1) In each of fiscal years 2001 and 2002, 0.5 percent.
(2) In any fiscal year after fiscal year 2002, the percentage
recommended by the Administrator for each such fiscal year in the report
under subsection (c).
(c) RECOMMENDTIONS FOR PERCENTAGES IN LATER FISCAL YEARS- Not later than
one year after the date of the enactment of this Act, the Administrator shall
submit to the congressional defense committees a report setting forth the
Administrator's recommendations for appropriate percentages of funds
appropriated for the National Nuclear Security Administration to be obligated
for agreements described in subsection (a) during each fiscal year covered by
the report.
(d) CONSISTENCY OF AGREEMENTS- Any agreement entered into under this
section shall be consistent with and in support of the mission of the National
Nuclear Security Administration.
(e) REPORTS ON ACHIEVEMENT OF OBJECTIVE- (1) Not later than March 30,
2002, and each year thereafter, the Administrator shall submit to the
congressional defense committees a report on whether funds of the National
Nuclear Security Administration were obligated in the fiscal year ending in
the preceding year in accordance with the objective for such fiscal year under
this section.
(2) If funds were not obligated in a fiscal year in accordance with the
objective under this section for such fiscal year, the report under paragraph
(1) shall--
(A) describe the actions the Administrator proposes to take to ensure
that the objective under this section for the current fiscal year and future
fiscal years will be met; and
(B) include any recommendations for legislation required to achieve such
actions.
END