(a) Definition of eligible producer
In this section, the term "eligible producer" means a producer of advanced biofuels.

(b) Payments
The Secretary shall make payments to eligible producers to support and ensure an expanding production of advanced biofuels.

(c) Contracts
To receive a payment, an eligible producer shall—

(1) enter into a contract with the Secretary for production of advanced biofuels; and

(2) submit to the Secretary such records as the Secretary may require as evidence of the production of advanced biofuels.

(d) Basis for payments
The Secretary shall make payments under this section to eligible producers based on—

(1) the quantity and duration of production by the eligible producer of an advanced biofuel;

(2) the net nonrenewable energy content of the advanced biofuel, if sufficient data is available, as determined by the Secretary; and

(3) other appropriate factors, as determined by the Secretary.

(e) Equitable distribution

(1) Amount
The Secretary shall limit the amount of payments that may be received by a single eligible producer under this section in order to distribute the total amount of funding available in an equitable manner.

(2) Feedstock
The total amount of payments made in a fiscal year under this section to one or more eligible producers for the production of advanced biofuels derived from a single eligible commodity, including intermediate ingredients of that single commodity or use of that single commodity and its intermediate ingredients in combination with another commodity, shall not exceed one-third of the total amount of funds made available under subsection (g).

(f) Other requirements
To receive a payment under this section, an eligible producer shall meet any other requirements of Federal and State law (including regulations) applicable to the production of advanced biofuels.

(g) Funding

(1) Mandatory funding
Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section, to remain available until expended—

(A) $55,000,000 for fiscal year 2009;

(B) $55,000,000 for fiscal year 2010;

(C) $85,000,000 for fiscal year 2011;

(D) $105,000,000 for fiscal year 2012;

(E) $15,000,000 for each of fiscal years 2014 through 2018; and

(F) $7,000,000 for each of fiscal years 2019 through 2023.

(2) Discretionary funding
In addition to any other funds made available to carry out this section, there is authorized to be appropriated to carry out this section $20,000,000 for each of fiscal years 2019 through 2023.

(3) Limitation
Of the funds provided for each fiscal year, not more than 5 percent of the funds shall be made available to eligible producers for production at facilities with a total refining capacity exceeding 150,000,000 gallons per year.