42 U.S.C. § 16396 — Prizes for achievement in grand chal-

Page 8891 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 16396 (3) the Energy Policy Act of 1992 (42 U.S.C. 13201 et seq.); (4) the Stevenson-Wydler Technology Inno- vation Act of 1980 (15 U.S.C. 3701 et seq.); (5) chapter 18 of title 35 (commonly known as the ‘‘Bayh-Dole Act’’); and (6) any other Act under which the Secretary is authorized to carry out the programs, projects, and activities. (Pub. L. 109–58, title X, § 1005, Aug. 8, 2005, 119 Stat. 930.) Editorial Notes REFERENCES IN TEXT This Act, referred to in text, is Pub. L. 109–58, Aug. 8, 2005, 119 Stat. 594, known as the Energy Policy Act of 2005, which enacted this chapter and enacted, amended, and repealed numerous other sections and notes in the Code. For complete classification of this Act to the Code, see Short Title note set out under section 15801 of this title and Tables. The Atomic Energy Act of 1954, referred to in par. (1), is act Aug. 1, 1946, ch. 724, as added by act Aug. 30, 1954, ch. 1073, § 1, 68 Stat. 919, which is classified principally to chapter 23 (§ 2011 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under section 2011 of this title and Tables. The Federal Nonnuclear Energy Research and Devel- opment Act of 1974, referred to in par. (2), is Pub. L. 93–577, Dec. 31, 1974, 88 Stat. 1878, which is classified generally to chapter 74 (§ 5901 et seq.) of this title. For complete classification of this Act to the Code, see Short Title note set out under section 5901 of this title and Tables. The Energy Policy Act of 1992, referred to in par. (3), is Pub. L. 102–486, Oct. 24, 1992, 106 Stat. 2776. For com- plete classification of this Act to the Code, see Short Title note set out under section 13201 of this title and Tables. The Stevenson-Wydler Technology Innovation Act of 1980, referred to in par. (4), is Pub. L. 96–480, Oct. 21, 1980, 94 Stat. 2311, which is classified generally to chap- ter 63 (§ 3701 et seq.) of Title 15, Commerce and Trade. For complete classification of this Act to the Code, see Short Title note set out under section 3701 of Title 15 and Tables. § 16396. Prizes for achievement in grand chal- lenges of science and technology (a) Authority The Secretary may carry out a program to award cash prizes in recognition of break- through achievements in research, development, demonstration, and commercial application that have the potential for application to the per- formance of the mission of the Department. (b) Competition requirements The program under subsection (a) may include prizes for the achievement of goals articulated by the Secretary in a specific area through a widely advertised solicitation of submission of results for research, development, demonstra- tion, or commercial application projects. (c) Prizes for processes and technologies to re- duce dependence on imported oil The Secretary, in cooperation with the Free- dom Prize Foundation, shall support a program of awarding prizes, to be known as Freedom Prizes, to encourage and recognize the develop- ment and deployment of processes and tech- nologies that serve to reduce the dependence of the United States on imported oil. (d) Relationship to other authority The program under subsection (a) may be car- ried out in conjunction with or in addition to the exercise of any other authority of the Sec- retary to acquire, support, or stimulate re- search, development, demonstration, or com- mercial application projects. (e) Coordination In carrying out subsection (a), and for any prize competitions under section 105 of the America Creating Opportunities to Meaningfully Promote Excellence in Technology, Education, and Science Reauthorization Act of 2010, the Secretary shall— (1) issue Department-wide guidance on the design, development, and implementation of prize competitions; (2) collect and disseminate best practices on the design and administration of prize com- petitions; (3) streamline contracting mechanisms for the implementation of prize competitions; and (4) provide training and prize competition design support, as necessary, to Department staff to develop prize competitions and chal- lenges. (f) Authorization of appropriations There are authorized to be appropriated— (1) $10,000,000 to carry out the program under subsection (a); and (2) $5,000,000 to carry out the program under subsection (c). (g) H-prize (1) Prize authority (A) In general As part of the program under this section, the Secretary shall carry out a program to competitively award cash prizes in con- formity with this subsection to advance the research, development, demonstration, and commercial application of hydrogen energy technologies. (B) Advertising and solicitation of competi- tors (i) Advertising The Secretary shall widely advertise prize competitions under this subsection to encourage broad participation, includ- ing by individuals, universities (including historically Black colleges and univer- sities and other minority serving institu- tions), and large and small businesses (in- cluding businesses owned or controlled by socially and economically disadvantaged persons). (ii) Announcement through Federal Reg- ister notice The Secretary shall announce each prize competition under this subsection by pub- lishing a notice in the Federal Register. This notice shall include essential ele- ments of the competition such as the sub- ject of the competition, the duration of the competition, the eligibility require- ments for participation in the competi- tion, the process for participants to reg- Page 8892 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 16396 ister for the competition, the amount of the prize, and the criteria for awarding the prize. (C) Administering the competitions The Secretary shall enter into an agree- ment with a private, nonprofit entity to ad- minister the prize competitions under this subsection, subject to the provisions of this subsection (in this subsection referred to as the ‘‘administering entity’’). The duties of the administering entity under the agree- ment shall include— (i) advertising prize competitions under this subsection and their results; (ii) raising funds from private entities and individuals to pay for administrative costs and to contribute to cash prizes, in- cluding funds provided in exchange for the right to name a prize awarded under this subsection; (iii) developing, in consultation with and subject to the final approval of the Sec- retary, the criteria for selecting winners in prize competitions under this sub- section, based on goals provided by the Secretary; (iv) determining, in consultation with the Secretary, the appropriate amount and funding sources for each prize to be award- ed under this subsection, subject to the final approval of the Secretary with re- spect to Federal funding; (v) providing advice and consultation to the Secretary on the selection of judges in accordance with paragraph (2)(D), using criteria developed in consultation with and subject to the final approval of the Secretary; and (vi) protecting against the administering entity’s unauthorized use or disclosure of a registered participant’s trade secrets and confidential business information. Any in- formation properly identified as trade se- crets or confidential business information that is submitted by a participant as part of a competitive program under this sub- section may be withheld from public dis- closure. (D) Funding sources Prizes under this subsection shall consist of Federal appropriated funds and any funds provided by the administering entity (in- cluding funds raised pursuant to subpara- graph (C)(ii)) for such cash prize programs. The Secretary may accept funds from other Federal agencies for such cash prizes and, notwithstanding section 3302(b) of title 31, may use such funds for the cash prize pro- gram under this subsection. Other than pub- lication of the names of prize sponsors, the Secretary may not give any special consider- ation to any private sector entity or indi- vidual in return for a donation to the Sec- retary or administering entity. (E) Announcement of prizes The Secretary may not issue a notice re- quired by subparagraph (B)(ii) until all the funds needed to pay out the announced amount of the prize have been appropriated or committed in writing by the admin- istering entity. The Secretary may increase the amount of a prize after an initial an- nouncement is made under subparagraph (B)(ii) if— (i) notice of the increase is provided in the same manner as the initial notice of the prize; and (ii) the funds needed to pay out the an- nounced amount of the increase have been appropriated or committed in writing by the administering entity. (F) Sunset The authority to announce prize competi- tions under this subsection shall terminate on September 30, 2018. (2) Prize categories (A) Categories The Secretary shall establish prizes under this subsection for— (i) advancements in technologies, compo- nents, or systems related to— (I) hydrogen production; (II) hydrogen storage; (III) hydrogen distribution; and (IV) hydrogen utilization; (ii) prototypes of hydrogen-powered vehi- cles or other hydrogen-based products that best meet or exceed objective performance criteria, such as completion of a race over a certain distance or terrain or generation of energy at certain levels of efficiency; and (iii) transformational changes in tech- nologies for the distribution or production of hydrogen that meet or exceed far-reach- ing objective criteria, which shall include minimal carbon emissions and which may include cost criteria designed to facilitate the eventual market success of a winning technology. (B) Awards (i) Advancements To the extent permitted under paragraph (1)(E), the prizes authorized under subpara- graph (A)(i) shall be awarded biennially to the most significant advance made in each of the four subcategories described in sub- clauses (I) through (IV) of subparagraph (A)(i) since the submission deadline of the previous prize competition in the same category under subparagraph (A)(i) or De- cember 19, 2007, whichever is later, unless no such advance is significant enough to merit an award. No one such prize may ex- ceed $1,000,000. If less than $4,000,000 is available for a prize competition under subparagraph (A)(i), the Secretary may omit one or more subcategories, reduce the amount of the prizes, or not hold a prize competition. (ii) Prototypes To the extent permitted under paragraph (1)(E), prizes authorized under subpara- graph (A)(ii) shall be awarded biennially in alternate years from the prizes authorized under subparagraph (A)(i). The Secretary Page 8893 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 16396 is authorized to award up to one prize in this category in each 2-year period. No such prize may exceed $4,000,000. If no reg- istered participants meet the objective performance criteria established pursuant to subparagraph (C) for a competition under this clause, the Secretary shall not award a prize. (iii) Transformational technologies To the extent permitted under paragraph (1)(E), the Secretary shall announce one prize competition authorized under sub- paragraph (A)(iii) as soon after December 19, 2007, as is practicable. A prize offered under this clause shall be not less than $10,000,000, paid to the winner in a lump sum, and an additional amount paid to the winner as a match for each dollar of pri- vate funding raised by the winner for the hydrogen technology beginning on the date the winner was named. The match shall be provided for 3 years after the date the prize winner is named or until the full amount of the prize has been paid out, whichever occurs first. A prize winner may elect to have the match amount paid to another entity that is continuing the de- velopment of the winning technology. The Secretary shall announce the rules for re- ceiving the match in the notice required by paragraph (1)(B)(ii). The Secretary shall award a prize under this clause only when a registered participant has met the objec- tive criteria established for the prize pur- suant to subparagraph (C) and announced pursuant to paragraph (1)(B)(ii). Not more than $10,000,000 in Federal funds may be used for the prize award under this clause. The administering entity shall seek to raise $40,000,000 toward the matching award under this clause. (C) Criteria In establishing the criteria required by this subsection, the Secretary— (i) shall consult with the Department’s Hydrogen Technical and Fuel Cell Advi- sory Committee; (ii) shall consult with other Federal agencies, including the National Science Foundation; and (iii) may consult with other experts such as private organizations, including profes- sional societies, industry associations, and the National Academy of Sciences and the National Academy of Engineering. (D) Judges For each prize competition under this sub- section, the Secretary in consultation with the administering entity shall assemble a panel of qualified judges to select the winner or winners on the basis of the criteria estab- lished under subparagraph (C). Judges for each prize competition shall include individ- uals from outside the Department, including from the private sector. A judge, spouse, minor children, and members of the judge’s household may not— (i) have personal or financial interests in, or be an employee, officer, director, or agent of, any entity that is a registered participant in the prize competition for which he or she will serve as a judge; or (ii) have a familial or financial relation- ship with an individual who is a registered participant in the prize competition for which he or she will serve as a judge. (3) Eligibility To be eligible to win a prize under this sub- section, an individual or entity— (A) shall have complied with all the re- quirements in accordance with the Federal Register notice required under paragraph (1)(B)(ii); (B) in the case of a private entity, shall be incorporated in and maintain a primary place of business in the United States, and in the case of an individual, whether partici- pating singly or in a group, shall be a citizen of, or an alien lawfully admitted for perma- nent residence in, the United States; and (C) shall not be a Federal entity, a Federal employee acting within the scope of his em- ployment, or an employee of a national lab- oratory acting within the scope of his em- ployment. (4) Intellectual property The Federal Government shall not, by virtue of offering or awarding a prize under this sub- section, be entitled to any intellectual prop- erty rights derived as a consequence of, or di- rect relation to, the participation by a reg- istered participant in a competition author- ized by this subsection. This paragraph shall not be construed to prevent the Federal Gov- ernment from negotiating a license for the use of intellectual property developed for a prize competition under this subsection. (5) Liability (A) Waiver of liability The Secretary may require registered par- ticipants to waive claims against the Fed- eral Government and the administering enti- ty (except claims for willful misconduct) for any injury, death, damage, or loss of prop- erty, revenue, or profits arising from the registered participants’ participation in a competition under this subsection. The Sec- retary shall give notice of any waiver re- quired under this subparagraph in the notice required by paragraph (1)(B)(ii). The Sec- retary may not require a registered partici- pant to waive claims against the admin- istering entity arising out of the unauthor- ized use or disclosure by the administering entity of the registered participant’s trade secrets or confidential business information. (B) Liability insurance (i) Requirements Registered participants in a prize com- petition under this subsection shall be re- quired to obtain liability insurance or demonstrate financial responsibility, in amounts determined by the Secretary, for claims by— (I) a third party for death, bodily in- jury, or property damage or loss result- ing from an activity carried out in con- Page 8894 TITLE 42—THE PUBLIC HEALTH AND WELFARE § 16411 nection with participation in a competi- tion under this subsection; and (II) the Federal Government for dam- age or loss to Government property re- sulting from such an activity. (ii) Federal Government insured The Federal Government shall be named as an additional insured under a registered participant’s insurance policy required under clause (i)(I), and registered partici- pants shall be required to agree to indem- nify the Federal Government against third party claims for damages arising from or related to competition activities under this subsection. (6) Report to Congress Not later than 60 days after the awarding of the first prize under this subsection, and annu- ally thereafter, the Secretary shall transmit to the Congress a report that— (A) identifies each award recipient; (B) describes the technologies developed by each award recipient; and (C) specifies actions being taken toward commercial application of all technologies with respect to which a prize has been awarded under this subsection. (7) Authorization of appropriations (A) In general (i) Awards There are authorized to be appropriated to the Secretary for the period encom- passing fiscal years 2008 through 2017 for carrying out this subsection— (I) $20,000,000 for awards described in paragraph (2)(A)(i); (II) $20,000,000 for awards described in paragraph (2)(A)(ii); and (III) $10,000,000 for the award described in paragraph (2)(A)(iii). (ii) Administration In addition to the amounts authorized in clause (i), there are authorized to be ap- propriated to the Secretary for each of fis- cal years 2008 and 2009 $2,000,000 for the ad- ministrative costs of carrying out this sub- section. (B) Carryover of funds Funds appropriated for prize awards under this subsection shall remain available until expended, and may be transferred, repro- grammed, or expended for other purposes only after the expiration of 10 fiscal years after the fiscal year for which the funds were originally appropriated. No provision in this subsection permits obligation or payment of funds in violation of section 1341 of title 31 (commonly referred to as the Anti-Defi- ciency Act). (8) Nonsubstitution The programs created under this subsection shall not be considered a substitute for Fed- eral research and development programs. (h) Report In accordance with section 16391a of this title, the Secretary shall report annually on a descrip- tion of any prize competitions carried out using the authority under this section, the total amount of prizes awarded along with any private sector contributions, the methods used for solic- itation and evaluation, and a description of how each prize competition advanced the mission of the Department. (Pub. L. 109–58, title X, § 1008, Aug. 8, 2005, 119 Stat. 933; Pub. L. 110–140, title VI, § 654, Dec. 19, 2007, 121 Stat. 1695; Pub. L. 116–260, div. Z, title IX, § 9004, Dec. 27, 2020, 134 Stat. 2598; Pub. L. 117–167, div. B, title VI, § 10724, Aug. 9, 2022, 136 Stat. 1709.) Editorial Notes REFERENCES IN TEXT Section 105 of the America Creating Opportunities to Meaningfully Promote Excellence in Technology, Edu- cation, and Science Reauthorization Act of 2010, re- ferred to in subsec. (e), is section 105 of Pub. L. 111–358, title I, Jan. 4, 2011, 124 Stat. 3989, which enacted section 3719 of Title 15, Commerce and Trade, and amended sec- tion 20144 of Title 51, National and Commercial Space Programs. AMENDMENTS 2022—Subsec. (f). Pub. L. 117–167, § 10724(b), redesig- nated subsec. (e) relating to authorization of appropria- tions as (f). Subsec. (h). Pub. L. 117–167, § 10724(a), added subsec. (h). 2020—Subsec. (e). Pub. L. 116–260 added subsec. (e) re- lating to coordination. Subsecs. (f), (g). Pub. L. 116–260, which directed redes- ignation of subsecs. (f) and (g) as (g) and (h), respec- tively, was executed by redesignating subsec. (f) as (g), to reflect the probable intent of Congress. 2007—Subsec. (f). Pub. L. 110–140 added subsec. (f). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2007 AMENDMENT Amendment by Pub. L. 110–140 effective on the date that is 1 day after Dec. 19, 2007, see section 1601 of Pub. L. 110–140, set out as an Effective Date note under sec- tion 1824 of Title 2, The Congress. SUBCHAPTER XI—PERSONNEL AND TRAINING § 16411. Workforce trends and traineeship grants (a) Definitions In this section: (1) Energy technology industry The term ‘‘energy technology industry’’ in- cludes— (A) a renewable energy industry; (B) a company that develops or commer- cializes a device to increase energy effi- ciency; (C) the oil and gas industry; (D) the nuclear power industry; (E) the coal industry; (F) the electric utility industry; and (G) any other industrial sector, as the Sec- retary determines to be appropriate. (2) Skilled technical personnel The term ‘‘skilled technical personnel’’ means— (A) journey- and apprentice-level workers who are enrolled in, or have completed, a