Update and Relocation of the Department of Energy Technology Investment Agreement Regulations
Published Date: 1/3/2025
Rule
Summary
The Department of Energy is updating and moving its rules for special technology investment deals to make them simpler and easier to use. This change affects companies and groups working with DOE on these agreements and starts right away on January 3, 2025. DOE wants your feedback by March 4, 2025, so these deals can be smoother and more consistent, helping innovation move faster.
Analyzed Economic Effects
9 provisions identified: 4 benefits, 4 costs, 1 mixed.
Awardees Must Share Project Costs
For OT agreements, awardees must, to the maximum extent practicable, provide at least half of project costs (cost share). Cost share must be verifiable, not double-counted with other Federal awards, necessary and reasonable, allowable under cost principles, and included in the DOE-approved budget. DOE may reduce or eliminate the half-cost-share requirement if the Agreements Officer determines it is impracticable, except where a statute requires cost share.
No Fee or Profit on RD&D Awards
The Agreements Officer may not issue an OT agreement if any awardee, subawardee, or participant is to receive fee or profit for the RD&D efforts. This does not stop participants or subawardees from paying or receiving reasonable profit when buying supplies or services from commercial suppliers.
Trade Secrets Protected 5–30 Years
Trade secrets and commercial or financial information submitted under OT agreements are protected from disclosure for five years after development, or up to thirty years if the Secretary (or delegee) determines the technology (including nuclear tech) reasonably requires extended protection. Proposals, proposal abstracts, supporting documents, business plans, and technical information submitted in a competitive or noncompetitive process are not required to be disclosed under FOIA during that protection period.
Financial Standards, Cost Principles, Audits Apply
Awardees under OT agreements are subject to financial management standards, applicable cost principles and standards, and audit requirements as set out in the revised part 930 (see Sec. 930.205, 930.210, 930.215).
OT Authority Allows IP/Data Flexibilities
DOE's OT authority under 42 U.S.C. 7256(g) authorizes flexibilities not available under the Department's general authority, including increased flexibilities related to intellectual property and data protection for RD&D projects.
Rules Take Effect Jan 3, 2025
The updated DOE rules for Other Transaction (OT) agreements take effect January 3, 2025. DOE will accept public comments on the interim final rule through March 4, 2025.
Rules Simplified and Relocated
DOE moved and streamlined its Technology Investment Agreement and Other Transaction rules into 2 CFR part 930 to make the policies and provisions simpler and more uniform. DOE says the changes are intended to make OT agreements easier to use and promote more consistent application.
Merit-Based Competition Required
DOE will award OT agreements using a non-procurement, non‑Federal financial assistance merit-based competitive process in every case required by statute and, to the maximum extent feasible, in other cases. If DOE does not use a competitive process, the Agreements Officer must document the reason and any restrictions on awardee eligibility.
Debarment and Suspension Rules Apply
The Nonprocurement debarment and suspension requirements in 2 CFR part 180 (as adopted and supplemented by 2 CFR part 901) apply to all DOE Other Transaction agreements. Entities subject to debarment or suspension under those rules will be ineligible for OT awards.
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