15 U.S.C. § 2506 — Demonstrations

Page 1840 TITLE 15—COMMERCE AND TRADE § 2505 see Codification note set out under section 2502 of this title. § 2505. Research and development The Secretary of Energy, acting through ap- propriate agencies and contractors, shall ini- tiate and provide for the conduct of research and development in areas related to electric and hy- brid vehicles, including— (1) energy storage technology, including bat- teries and their potential for convenient re- charging; (2) vehicle control systems and overall de- sign for energy conservation, including the use of regenerative braking; (3) urban design and traffic management to promote maximum transportation-related en- ergy conservation and minimum transpor- tation-related degradation of the environ- ment; and (4) vehicle design which emphasizes dura- bility, length of practical lifetime, ease of re- pair, and interchangeability and replaceability of parts. (Pub. L. 94–413, § 6, Sept. 17, 1976, 90 Stat. 1263; Pub. L. 95–91, title III, § 301(a), Aug. 4, 1977, 91 Stat. 577.) Statutory Notes and Related Subsidiaries TRANSFER OF FUNCTIONS ‘‘Secretary of Energy’’ substituted in text for ‘‘Ad- ministrator’’ pursuant to section 301(a) of Pub. L. 95–91, see Codification note set out under section 2502 of this title. § 2506. Demonstrations (a) Data development; baseline data; acquisition of vehicles Within 12 months after September 17, 1976, the Secretary of Energy shall develop data charac- terizing the present state-of-the-art with respect to electric and hybrid vehicles. The data so de- veloped shall serve as baseline data to be uti- lized in order (1) to compare improvements in electric and hybrid vehicle technologies; (2) to assist in establishing the performance standards under subsection (b)(1); and (3) to otherwise as- sist in carrying out the purposes of this section. In developing any such data, the Secretary of Energy shall purchase or lease a reasonable number of such vehicles or enter into such other arrangements as the Secretary of Energy deems necessary to carry out the purposes of this sub- section. (b) Performance standards; factors considered; vehicle uses; revision; transmission of stand- ards to Congress (1) Within 15 months after September 17, 1976, the Secretary of Energy shall promulgate rules establishing performance standards for electric and hybrid vehicles to be purchased or leased pursuant to subsection (c)(1). The standards so developed shall take into account the factors of energy conservation, urban traffic characteris- tics, patterns of use for ‘‘second’’ vehicles, con- sumer preferences, maintenance needs, battery recharging characteristics, agricultural require- ments, materials demand and their ability to be recycled, vehicle safety and insurability, cost, and other relevant considerations, as such fac- tors and considerations particularly apply to or affect vehicles with electric or hybrid propulsion systems. Such standards are to be developed taking into account (A) the best current state- of-the-art, and (B) reasonable estimates as to the future state-of-the-art, based on projections of results from the research and development conducted under section 2505 of this title. In de- veloping such standards, the Secretary of En- ergy shall consult with appropriate experts con- cerning design needs for electric and hybrid ve- hicles which are compatible with long-range urban planning, traffic management, and vehicle safety. (2) Separate performance standards shall be established under subsection (b)(1) with respect to (A) electric or hybrid vehicles for personal use, and (B) commercial electric or hybrid vehi- cles. Such performance standards shall rep- resent the minimum level of performance which is required with respect to any vehicles pur- chased or leased pursuant to subsection (c). Ini- tial performance standards under subsection (b)(1) shall be set at such levels as the Secretary of Energy determines are necessary to promote the acquisition and use of such vehicles for transportation purposes which are within the capability (as determined by the Secretary of Energy) of electric and hybrid vehicles. (3) Such performance standards shall be re- vised, by rule, periodically as the state-of-the- art improves. (4) The Secretary of Energy shall transmit to the Speaker of the House of Representatives and the President of the Senate, and to the Com- mittee on Science, Space, and Technology of the House of Representatives and the Committee on Energy and Natural Resources of the Senate, the performance standards developed under para- graph (1) and all revised performance standards established in connection with the demonstra- tions specified in subsection (c)(2). (c) Contracts for vehicle purchase or lease; deliv- ery requirements; demonstration criteria and duration; availability of information for leasing and procurements (1) The Secretary of Energy shall, within 6 months after the date of promulgation of per- formance standards pursuant to subsection (b)(1), institute the first contracts for the pur- chase or lease of electric or hybrid vehicles which satisfy the performance standards set forth under subsection (b)(1). The delivery of such vehicles shall be completed according to the expedited best effort of the administering agency and the selected manufacturer. To the extent practicable, vehicles purchased or leased under such contracts shall represent a cross-sec- tion of the available technologies and of actual or potential vehicle use. (2) Thereafter, according to a planned sched- ule, the Secretary of Energy shall contract for the purchase or lease of additional electric or hybrid vehicles which satisfy amended perform- ance standards and represent continuing im- provements in state-of-the-art. In conducting demonstrations, the Secretary of Energy shall consider— (A) the need and intent of the Congress to stimulate and encourage private sector pro- Page 1841 TITLE 15—COMMERCE AND TRADE § 2506 duction as well as public knowledge, accept- ance, and use of electric and hybrid vehicles; and (B) demonstration of varying degrees of ve- hicle operations, management, and control for maximum widespread effectiveness and expo- sure to public use. (3) The demonstration period shall extend through the fiscal year 1986, with purchase or leasing continuing through the fiscal year 1984. During the demonstration period the Secretary of Energy shall demonstrate 7,500 to 10,000 elec- tric and hybrid vehicles. No more than 400 vehi- cles may be procured for this purpose during fis- cal year 1978. In order to allow industry time for advanced planning, the size and nature of pro- jected electric and hybrid vehicle leasing and procurements will be made public by the admin- istering agency. Publications under the pre- ceding sentence (each covering a period of two years) shall be released annually starting at an appropriate time in the fiscal year 1978. (d) Arrangements for the demonstration of vehi- cles The Secretary of Energy, in supervising the demonstration of vehicles acquired under sub- section (c), shall make such arrangements as may be necessary or appropriate— (1)(A) to make such vehicles available to Federal agencies and to State or local govern- ments and other persons for individual or busi- ness use (including farms). The individuals and businesses involved shall be selected by an eq- uitable process which assures that the Sec- retary of Energy will receive accurate and adequate data on vehicle performance, includ- ing representative geographical and climato- logical information and data on user reaction to the utilization of electric and hybrid vehi- cles. Such individuals and businesses shall be given the option of purchasing or leasing such vehicles under terms and conditions which will promote their widespread use; (B) to pay the differential operating costs of such vehicles to the extent necessary to assure the adequate demonstration of such vehicles; (2) for demonstration maintenance projects, including maintenance organization and equipment needs and model training projects for maintenance procedures; and (3) for the dissemination of data on electric and hybrid vehicle safety and operating char- acteristics (including nontechnical descriptive data which shall be made available by the Government Publishing Office) (A) to Federal, State, and local consumer affairs agencies and groups; (B) to Federal, State, and local agri- cultural and rural agencies and groups; and (C) to the public. (e) Displacement of private procurement; reports to congressional committees; reduction of number purchased (1) At least 60 days prior to entering into any contract for the purchase or lease of any electric or hybrid vehicle under subsection (c)(1) or any advanced electric or hybrid vehicle under sub- section (c)(2), the Secretary of Energy shall de- termine (A) if the purchase or lease of the num- ber of such vehicles specified in such subsection (c)(1) or (c)(2) will, with high probability, dis- place the normal level of private procurement of such vehicles which would conform to the appli- cable performance standards promulgated pursu- ant to subsection (b) and which would be used in the United States, and (B) if such displacement will occur, the necessary extent of such dis- placement in order to carry out the purposes of this chapter. (2) The Secretary of Energy shall reduce the number of vehicles for which he shall contract for the purchase or lease under subsection (c)(1) or (c)(2) by the number determined under sub- section (e)(1)(A) as modified by subsection (e)(1)(B), except in no event shall he contract for the purchase or lease pursuant to subsection (c)(1) of less than 1,000 electric or hybrid vehi- cles, and in no event shall he contract for the purchase or lease pursuant to subsection (c)(2) of less than 2,500 advanced electric or hybrid vehi- cles unless he determines on the basis of re- sponses to the solicitations for proposals for such contracts, under the provisions of sub- sections (c)(1) and (c)(2) that lesser numbers of such vehicles which satisfy the applicable per- formance standards will be available within the delivery periods. All other provisions of sub- section (c) shall apply. (Pub. L. 94–413, § 7, Sept. 17, 1976, 90 Stat. 1263; Pub. L. 95–91, title III, § 301(a), Aug. 4, 1977, 91 Stat. 577; Pub. L. 95–238, title VI, § 601, Feb. 25, 1978, 92 Stat. 91; Pub. L. 96–470, title I, § 105, Oct. 19, 1980, 94 Stat. 2238; Pub. L. 97–375, title I, § 106(b), Dec. 21, 1982, 96 Stat. 1820; Pub. L. 103–437, § 5(d)(1), Nov. 2, 1994, 108 Stat. 4582; Pub. L. 113–235, div. H, title I, § 1301(b), Dec. 16, 2014, 128 Stat. 2537.) Editorial Notes AMENDMENTS 1994—Subsec. (b)(4). Pub. L. 103–437 substituted ‘‘Com- mittee on Science, Space, and Technology’’ for ‘‘Com- mittee on Science and Technology’’. 1982—Subsec. (e)(1). Pub. L. 97–375 struck out provi- sion that at the time any determination on the dis- placement of private procurement of hybrid vehicles was made, that Secretary of Energy transmit such de- termination, with relevant supporting information, to the Committee on Science and Technology of the House and the Committee on Commerce, Science, and Trans- portation of the Senate. 1980—Subsec. (c)(4). Pub. L. 96–470 struck out par. (4) which provided that if the Administrator determines on the basis of his annual review of the program that at least 200 vehicles cannot be added to the project during fiscal year 1978, at least 600 during fiscal year 1979, at least 1,700 during fiscal year 1980, and at least 7,500 in the aggregate during the fiscal years 1981 through 1984, he immediately forward a detailed explanation to Con- gress. 1978—Subsec. (b)(3). Pub. L. 95–238, § 601(a), struck out requirement that rules promulgated under par. (1) be amended not later than 6 months prior to the date for contracts specified in subsec. (c)(2) of this section. Subsec. (b)(4). Pub. L. 95–238, § 601(b), substituted pro- visions relating to transmission of standards developed under par. (1) and all revised standards established in connection with the demonstrations specified in sub- sec. (c)(2) of this section, for provisions relating to transmission of standards developed under par. (1) as revised and currently in effect prior to contracts for the production of vehicles under subsec. (c)(2) of this section. Page 1842 TITLE 15—COMMERCE AND TRADE § 2507 Subsec. (c). Pub. L. 95–238, § 601(c), in par. (1) sub- stituted provisions relating to the first contracts for purchase or lease of vehicles and delivery of such vehi- cles, for provisions relating to contracts for the pur- chase or lease of 2,500 vehicles and delivery of such ve- hicles within 39 months after Sept. 17, 1976, in par. (2) substituted provisions relating to contracts for the pur- chase or lease of additional vehicles which satisfy amended performance standards and are improvements in the state-of-the-art and criteria for demonstrations, for provisions relating to contracts for the purchase or lease of 5,000 advanced vehicles and delivery of such ve- hicles within 72 months after Sept. 17, 1976, with an extention of the delivery period for 6 additional months, and added pars. (3) and (4). Statutory Notes and Related Subsidiaries CHANGE OF NAME ‘‘Government Publishing Office’’ substituted for ‘‘Government Printing Office’’ in subsec. (d)(3) on au- thority of section 1301(b) of Pub. L. 113–235, set out as a note preceding section 301 of Title 44, Public Printing and Documents. TRANSFER OF FUNCTIONS ‘‘Secretary of Energy’’ substituted for ‘‘Adminis- trator’’ in subsecs. (a), (b)(1), (2), (d), and (e) pursuant to section 301(a) of Pub. L. 95–91, see Codification note set out under section 2502 of this title. § 2507. Contracts (a) Research, development, and demonstration The Secretary of Energy shall provide funds, by contract, to initiate, continue, supplement, and maintain research, development, and dem- onstration activities which are necessary to carry out the purposes of the project. The Sec- retary of Energy may enter into such contracts with any Federal agency, laboratory, university, nonprofit organization, industrial organization, public or private agency, institution, organiza- tion, corporation, partnership, or individual. (b) Consultation In addition to the requirements of sections 2503 and 2504 of this title, the Secretary of En- ergy, in the exercise of his duties and respon- sibilities under this section, shall consult with the Department of Transportation, the Environ- mental Protection Agency, the National Aero- nautics and Space Administration, the Depart- ment of Agriculture, and representatives of other appropriate Federal agencies, and shall es- tablish procedures for periodic consultation with representatives of science, industry, and such other groups as may have special expertise in electric and hybrid vehicle research, develop- ment, and demonstration. (c) Rules of Secretary of Energy; funding appli- cations; required advertising Each contract under this section shall be en- tered into in accordance with such rules as the Secretary of Energy may prescribe in accord- ance with the provisions of this section. Each application for funding shall be made in writing in such form and with such content and other submissions as the Secretary of Energy shall re- quire. The Secretary of Energy may enter into contracts under this section without regard to section 6101 of title 41. (d) Purchase or lease of demonstration vehicles pursuant to agreements and utilization of Federal forms of assistance and participation authorized under other statutory provisions In addition to contracting for the purchase or lease of vehicles when conducting the dem- onstrations established under section 2506 of this title, the Secretary of Energy may acquire or se- cure use of such vehicles, or have such vehicles acquired or used by others, by making agree- ments and utilizing various forms of Federal as- sistance and participation which is authorized under the Energy Reorganization Act of 1974 (Public Law 93–438) [42 U.S.C. 5801 et seq.] and the Federal Nonnuclear Energy Research and Development Act of 1974 (Public Law 93–577) [42 U.S.C. 5901 et seq.]. (e) Cost-sharing and use of American materials for demonstrations When contracting and otherwise using Federal funds to conduct demonstrations under this chapter, the Secretary of Energy shall seek cost-sharing with others to the maximum extent practical. During the first 2 years of demonstra- tion activities the Secretary of Energy may enter into procurement or lease contracts for purposes of carrying out demonstrations under this chapter without regard to the provisions of chapter 83 of title 41. (Pub. L. 94–413, § 8, Sept. 17, 1976, 90 Stat. 1266; Pub. L. 95–91, title III, § 301(a), Aug. 4, 1977, 91 Stat. 577; Pub. L. 95–238, title VI, § 602, Feb. 25, 1978, 92 Stat. 92.) Editorial Notes REFERENCES IN TEXT The Energy Reorganization Act of 1974 (Public Law 93–438), referred to in subsec. (d), is Pub. L. 93–438, Oct. 11, 1974, 88 Stat. 1233, which is classified principally to chapter 73 (§ 5801 et seq.) of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see Short Title note set out under section 5801 of Title 42 and Tables. The Federal Nonnuclear Energy Research and Devel- opment Act of 1974 (Public Law 93–577), referred to in subsec. (d), is Pub. L. 93–577, Dec. 31, 1974, 88 Stat. 1878, which is classified generally to chapter 74 (§ 5901 et seq.) of Title 42. For complete classification of this Act to the Code, see Short Title note set out under section 5901 of Title 42 and Tables. CODIFICATION In subsec. (b), the words ‘‘the Federal Energy Admin- istration,’’ which followed ‘‘Environmental Protection Agency,’’ have been omitted from the Code in view of the termination of the Federal Energy Administration and the transfer of the functions of the Administration to the Secretary of Energy pursuant to sections 301(a) and 703 of Pub. L. 95–91 which are classified to sections 7151(a) and 7293 of Title 42, The Public Health and Wel- fare. This transfer would result in this phrase being re- dundant in that it would provide for the Secretary of Energy to consult with the Secretary of Energy. In subsec. (c), ‘‘section 6101 of title 41’’ substituted for ‘‘section 3709 of the Revised Statutes (41 U.S.C. 5)’’ on authority of Pub. L. 111–350, § 6(c), Jan. 4, 2011, 124 Stat. 3854, which Act enacted Title 41, Public Contracts. In subsec. (e), ‘‘chapter 83 of title 41’’ substituted for ‘‘title III of the Act of March 3, 1933 (47 Stat. 1520; 41 U.S.C. 10a–10c)’’ on authority of Pub. L. 111–350, § 6(c), Jan. 4, 2011, 124 Stat. 3854, which Act enacted Title 41, Public Contracts.