(a) The commission shall provide financial incentives pursuant to Section 25997.1 for any of the following:

1. (1) To advance research and development in fusion energy and support the establishment or expansion of testing facilities addressing gaps in fusion science and technology.
2. (2) To accelerate the deployment of new research and technology capabilities that support the commercialization of fusion energy.
3. (3) To achieve the initiative’s goal of delivering the world’s first fusion energy pilot project in the state by the 2040s.

(b) In administering the initiative, the commission may do all of the following:

1. (1) Solicit applicants and award financial incentives using a competitive award process. The commission may noncompetitively award follow-on financial incentives to awardees of a prior competitive award process.
2. (2) Use the competitive award process of another organization to award funds or provide follow-on funding for an entity previously selected through a competitive award process for the purposes of attracting significant federal or private funding for the projects or of accelerating the delivery of program benefits.
3. (3) Notwithstanding any other law, noncompetitively award financial incentives to an entity that will use the moneys as matching funds for federally awarded moneys.
4. (4) Noncompetitively award financial incentives to national laboratories and any public entities.

5. (5) Noncompetitively award financial incentives to any entity when the cost to the state is reasonable and the commission makes any of the following determinations:

   1. (A) The expertise, service, or product is unique.
   2. (B) A competitive solicitation would frustrate obtaining necessary information, goods, or services in a timely manner.
   3. (C) When it is determined by the commission to be in the best interests of the state.

(c) The commission shall not noncompetitively award funds pursuant to this chapter unless both of the following conditions are met:

1. (1) The commission, at least 60 days before taking an action pursuant to this chapter, notifies the Joint Legislative Budget Committee and the relevant policy committees in both houses of the Legislature, in writing, of its intent to take the proposed actions.
2. (2) The Joint Legislative Budget Committee either approves or does not disapprove the proposed action within 60 days from the date of notification required by paragraph (1).