Climate Change Adapt America Bond Act of 2016

Summary: Climate Change Adapt America Bond Act of 2016 This bill requires the Department of the Treasury to issue Climate Change Bonds. The proceeds from the bonds must be deposited in the Adapt America Fund established by this bill within the Department of Commerce.  Commerce must carry out an investment program to fund projects, using bond revenue, that aid in adaption to climate change.  The bill establishes the Climate Change Advisory Commission to: (1) establish recommendations, frameworks, and guidelines for the program; and (2) identify categories of the most cost-effective investments and projects that emphasize multiple benefits to commerce, human health, and ecosystems.

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Climate Change 
Adapt America Bond Act of 2016''.
    (b) Table of Contents.--

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
              TITLE I--CLIMATE CHANGE ADVISORY COMMISSION

Sec. 101. Establishment of Climate Change Advisory Commission.
Sec. 102. Duties.
Sec. 103. Commission personnel matters.
Sec. 104. Funding.
Sec. 105. Termination.
                      TITLE II--ADAPT AMERICA FUND

Sec. 201. Adapt America Fund.
Sec. 202. Compliance with Davis-Bacon Act.
Sec. 203. Funding.
                    TITLE III--CLIMATE CHANGE BONDS

Sec. 301. Climate Change Bonds.
Sec. 302. Promotion.

SEC. 2. DEFINITIONS.

    Except as otherwise provided, in this Act:
            (1) Commission.--The term ``Commission'' means the Climate 
        Change Advisory Commission established by section 101(a).
            (2) Fund.--The term ``Fund'' means the Adapt America Fund 
        established by section 201(a)(1).
            (3) Secretary.--The term ``Secretary'' means the Secretary 
        of Commerce.

              TITLE I--CLIMATE CHANGE ADVISORY COMMISSION

SEC. 101. ESTABLISHMENT OF CLIMATE CHANGE ADVISORY COMMISSION.

    (a) In General.--There is established a commission to be known as 
the ``Climate Change Advisory Commission''.
    (b) Membership.--The Commission shall be composed of 11 members--
            (1) who shall be selected from the public and private 
        sectors and institutions of higher education; and
            (2) of whom--
                    (A) 3 shall be appointed by the President, in 
                consultation with the Interagency Climate Change 
                Adaptation Task Force;
                    (B) 2 shall be appointed by the Speaker of the 
                House of Representatives;
                    (C) 2 shall be appointed by the minority leader of 
                the House of Representatives;
                    (D) 2 shall be appointed by the majority leader of 
                the Senate; and
                    (E) 2 shall be appointed by the minority leader of 
                the Senate.
    (c) Terms.--Each member of the Commission shall be appointed for 
the life of the Commission.
    (d) Initial Appointments.--Each member of the Commission shall be 
appointed not later than 90 days after the date of enactment of this 
Act.
    (e) Vacancies.--A vacancy on the Commission--
            (1) shall not affect the powers of the Commission; and
            (2) shall be filled in the manner in which the original 
        appointment was made.
    (f) Initial Meeting.--Not later than 30 days after the date on 
which all members of the Commission have been appointed, the Commission 
shall hold the initial meeting of the Commission.
    (g) Meetings.--The Commission shall meet at the call of the 
Chairperson.
    (h) Quorum.--A majority of the members of the Commission shall 
constitute a quorum, but a lesser number of members may hold hearings.
    (i) Chairperson and Vice Chairperson.--The Commission shall select 
a Chairperson and Vice Chairperson from among the members of the 
Commission.

SEC. 102. DUTIES.

    The Commission shall--
            (1) establish recommendations, frameworks, and guidelines 
        for a Federal investment program funded by revenue from Climate 
        Change Bonds issued under section 301 for States, 
        municipalities, and other public entities, including utility 
        districts, transit authorities, and multistate regulatory 
        bodies that--
                    (A) improves and adapts energy, transportation, 
                water, and general infrastructure impacted or expected 
                to be impacted due to climate variability; and
                    (B) integrates best available science, data, 
                standards, models, and trends that improve the 
                resiliency of infrastructure systems described in 
                subparagraph (A); and
            (2) identify categories of the most cost-effective 
        investments and projects that emphasize multiple benefits to 
        commerce, human health, and ecosystems.

SEC. 103. COMMISSION PERSONNEL MATTERS.

    (a) Compensation of Members.--
            (1) Non-federal employees.--A member of the Commission who 
        is not an officer or employee of the Federal Government shall 
        be compensated at a rate equal to the daily equivalent of the 
        annual rate of basic pay prescribed for level IV of the 
        Executive Schedule under section 5315 of title 5, United States 
        Code, for each day (including travel time) during which the 
        member is engaged in the performance of the duties of the 
        Commission.
            (2) Federal employees.--A member of the Commission who is 
        an officer or employee of the Federal Government shall serve 
        without compensation in addition to the compensation received 
        for the services of the member as an officer or employee of the 
        Federal Government.
    (b) Travel Expenses.--A member of the Commission shall be allowed 
travel expenses, including per diem in lieu of subsistence, at rates 
authorized for an employee of an agency under subchapter I of chapter 
57 of title 5, United States Code, while away from the home or regular 
place of business of the member in the performance of the duties of the 
Commission.
    (c) Staff.--
            (1) In general.--The Chairperson of the Commission may, 
        without regard to the civil service laws (including 
        regulations), appoint and terminate such personnel as are 
        necessary to enable the Commission to perform the duties of the 
        Commission.
            (2) Compensation.--
                    (A) In general.--Except as provided in subparagraph 
                (B), the Chairperson of the Commission may fix the 
                compensation of personnel without regard to the 
                provisions of chapter 51 and subchapter III of chapter 
                53 of title 5, United States Code, relating to 
                classification of positions and General Schedule pay 
                rates.
                    (B) Maximum rate of pay.--The rate of pay for 
                personnel shall not exceed the rate payable for level V 
                of the Executive Schedule under section 5316 of title 
                5, United States Code.

SEC. 104. FUNDING.

    The Commission shall use amounts in the Fund to pay for all 
administrative expenses of the Commission.

SEC. 105. TERMINATION.

    The Commission shall terminate on such date as the Commission 
determines after the Commission carries out the duties of the 
Commission under section 102.

                      TITLE II--ADAPT AMERICA FUND

SEC. 201. ADAPT AMERICA FUND.

    (a) Establishment.--
            (1) In general.--There is established within the Department 
        of Commerce the ``Adapt America Fund''.
            (2) Responsibility of secretary.--The Secretary shall take 
        such action as the Secretary determines to be necessary to 
        assist in implementing the establishment of the Fund in 
        accordance with this Act.
    (b) Climate Change Adaptation Projects.--The Secretary, in 
consultation with the Commission, shall carry out a program to provide 
funds to eligible applicants to carry out projects for a qualified 
climate change adaptation purpose.
    (c) Eligible Entities.--An entity eligible to participate in the 
program under subsection (b) shall include--
            (1) a Federal agency;
            (2) a State or a group of States;
            (3) a unit of local government or a group of local 
        governments;
            (4) a utility district;
            (5) a tribal government or a consortium of tribal 
        governments;
            (6) a State or regional transit agency or a group of State 
        or regional transit agencies;
            (7) a nonprofit organization;
            (8) a special purpose district or public authority, 
        including a port authority; and
            (9) any other entity, as determined by the Secretary.
    (d) Application.--An eligible entity shall submit to the Secretary 
an application for a project for a qualified climate change adaptation 
purpose at such time, in such manner, and containing such information 
as the Secretary may require.
    (e) Selection.--The Secretary shall select projects from eligible 
entities to receive funds under this section based on criteria and 
guidelines determined and published by the Commission.
    (f) Non-Federal Funding Requirement.--In order to receive funds 
under this section, an eligible entity shall provide funds for the 
project in an amount that is equal to not less than 25 percent of the 
amount of funds provided under this section.
    (g) Maintenance of Effort.--All amounts deposited in the Fund in 
accordance with section 301(a) shall be used only to fund new projects 
in accordance with this Act.
    (h) Applicability of Federal Law.--Nothing in this Act waives the 
requirements of any Federal law (including regulations) that would 
otherwise apply to a qualified climate change project that receives 
funds under this section.

SEC. 202. COMPLIANCE WITH DAVIS-BACON ACT.

    (a) In General.--All laborers and mechanics employed by contractors 
and subcontractors on projects funded directly by or assisted in whole 
or in part by and through the Fund pursuant to this title shall be paid 
wages at rates not less than those prevailing on projects of a 
character similar in the locality as determined by the Secretary of 
Labor in accordance with subchapter IV of chapter 31 of part A of title 
40, United States Code.
    (b) Labor Standards.--With respect to the labor standards specified 
in this section, the Secretary of Labor shall have the authority and 
functions set forth in Reorganization Plan Numbered 14 of 1950 (64 
Stat. 1267; 5 U.S.C. App.) and section 3145 of title 40, United States 
Code.

SEC. 203. FUNDING.

    The Secretary shall use funds made available to the Secretary and 
not otherwise obligated to carry out the program under section 201(b).

                    TITLE III--CLIMATE CHANGE BONDS

SEC. 301. CLIMATE CHANGE BONDS.

    (a) In General.--Not later than 6 months after the date of the 
enactment of this Act, the Secretary of the Treasury or the Secretary's 
delegate (referred to in this title as the ``Secretary'') shall issue 
bonds to be known as ``Climate Change Bonds'', the proceeds from which 
shall be deposited in the Fund.
    (b) Savings Bond.--Any Climate Change Bond issued under this 
section shall be issued by the Secretary as a savings bond in a manner 
consistent with the provisions of section 3105 of title 31, United 
States Code.
    (c) Full Faith and Credit.--Payment of interest and principal with 
respect to any Climate Change Bond issued under this section shall be 
made from the general fund of the Treasury of the United States and 
shall be backed by the full faith and credit of the United States.
    (d) Exemption From Local Taxation.--All Climate Change Bonds issued 
by the Secretary, and the interest on or credits with respect to such 
bonds, shall not be subject to taxation by any State, county, 
municipality, or local taxing authority.
    (e) Amount of Climate Change Bonds.--The aggregate face amount of 
the Climate Change Bonds issued annually under this section shall be 
$200,000,000.
    (f) Funding.--The Secretary shall use funds made available to the 
Secretary and not otherwise obligated to carry out the purposes of this 
section.

SEC. 302. PROMOTION.

    (a) In General.--The Secretary shall promote the purchase of 
Climate Change Bonds, as described in section 301, through such means 
as are determined appropriate by the Secretary, with the amount 
expended for such promotion not to exceed $10,000,000 for any fiscal 
year during the period of fiscal years 2017 through 2021.
    (b) Donated Advertising.--In addition to any advertising paid for 
with funds made available under subsection (c), the Secretary shall 
solicit the donation of advertising relating to the sale of Climate 
Change Bonds described in section 301.
    (c) Authorization of Appropriations.--For each fiscal year during 
the period of fiscal years 2017 through 2021, there is authorized to be 
appropriated $10,000,000 to carry out the purposes of this section.