The Secretary of Agriculture (referred to in this section as the "Secretary") shall make grants available on a competitive basis to enterprises owned by agricultural producers, for the purposes of demonstrating cost-effective, cellulosic biomass innovations in-
(1) preprocessing of feedstocks, including cleaning, separating and sorting, mixing or blending, and chemical or biochemical treatments, to add value and lower the cost of feedstock processing at a biorefinery; or
(2) 1-pass or other efficient, multiple crop harvesting techniques.
Not more than 5 demonstration projects per fiscal year shall be funded under this section.
The non-Federal cost share of a project under this section shall be not less than 20 percent, as determined by the Secretary.
To be eligible for a grant for a project under this section, a recipient of a grant or a participating entity shall agree to use the material harvested under the project-
(1) to produce ethanol; or
(2) for another energy purpose, such as the generation of heat or electricity.
There is authorized to be appropriated to carry out this section $5,000,000 for each of fiscal years 2006 through 2010.
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