SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Low-Income Rate Payer Disaster 
Recovery Act of 2008''.

SEC. 2. REPAIR, RESTORATION, AND REPLACEMENT OF DAMAGED FACILITIES OF 
              ELECTRIC UTILITY COMPANIES SERVING LOW-INCOME HOUSEHOLDS.

    (a) Conditions for Contributions.--Section 406(a) of the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 
5172(a)) is amended--
            (1) in paragraph (1)--
                    (A) in subparagraph (A) by striking ``and'' at the 
                end;
                    (B) in subparagraph (B) by striking the period at 
                the end and inserting ``; and''; and
                    (C) by adding at the end the following:
                    ``(C) subject to paragraph (4), to an owner or 
                operator of a private or investor-owned electric 
                utility company serving low-income households for the 
                repair, restoration, reconstruction, or replacement of 
                facilities of the owner or operator damaged or 
                destroyed by a major disaster and for associated 
                expenses incurred by the owner or operator.'';
            (2) by redesignating paragraph (4) as paragraph (5); and
            (3) by inserting after paragraph (3) the following:
            ``(4) Conditions for assistance to private or investor-
        owned electric utility companies serving low-income 
        households.--
                    ``(A) In general.--The President may make 
                contributions to the owner or operator of a private or 
                investor-owned electric utility company serving low-
                income households under paragraph (1)(C) only if--
                            ``(i) the costs of repairing, restoring, 
                        reconstructing, or replacing its facilities 
                        damaged or destroyed by the major disaster; 
                        exceed
                            ``(ii) the amount that is--
                                    ``(I) 10 percent of the facilities' 
                                total transmission and distribution 
                                rate base; less
                                    ``(II)(aa) in the case of a single 
                                major disaster, accumulated 
                                depreciation on the date of the 
                                disaster; or
                                    ``(bb) in the case of an 
                                aggregation under subparagraph (B), 
                                accumulated depreciation on the date of 
                                the first major disaster included in 
                                such aggregation.
                    ``(B) Aggregation for purposes of determining 
                costs.--For purposes of determining under this 
                paragraph the costs of repairing, restoring, or 
                replacing the facilities of an owner or operator, the 
                costs of damage from all previous major disasters 
                during the 12-month period preceding the date of the 
                declaration of the major disaster for which the owner 
                or operator is seeking contributions under paragraph 
                (1)(C) shall be aggregated.
                    ``(C) Application deadline.--An owner or operator 
                may apply for contributions under paragraph (1)(C)--
                            ``(i) in the case of a single major 
                        disaster, not later than 60 months after the 
                        date of the declaration of the disaster; or
                            ``(ii) in the case of an aggregation under 
                        subparagraph (B), not later than 60 months 
                        after the date of the most recent major 
                        disaster for which the owner or operator is 
                        seeking contributions.
                    ``(D) Available funding.--Subject to subparagraph 
                (E), an owner or operator may apply for contributions 
                under paragraph (1)(C) in the amount determined by 
                multiplying--
                            ``(i) the amount by which the costs 
                        described in subparagraph (A)(i) attributable 
                        to the owner or operator exceed the amount 
                        described in subparagraph (A)(ii) attributable 
                        to the owner or operator; by
                            ``(ii) the percent of retail residential 
                        customers comprised of low-income households 
                        served by the facilities of the owner or 
                        operator.
                    ``(E) Limit on federal assistance for disaster 
                relief.--
                            ``(i) In general.--The total amount of 
                        contributions made to an owner or operator 
                        under paragraph (1)(C) may not exceed 
                        $50,000,000 in any 12-month period.
                            ``(ii) Presidential waiver.--For any major 
                        disaster occurring after the date of enactment 
                        of this clause, the President may waive the 
                        limit established by clause (i) if the 
                        President determines that the event is of an 
                        extraordinary nature; except that in no case 
                        may the total amount of contributions made to 
                        an owner or operator under paragraph (1)(C) 
                        exceed 100 percent of the cost of repair, 
                        restoration, reconstruction, or replacement of 
                        the damaged facilities of the owner or 
                        operator.
                    ``(F) Approval or disapproval of applications.--The 
                President shall approve or disapprove an application 
                for contributions submitted by an owner or operator for 
                contributions under paragraph (1)(C) not later than 30 
                days after the date of receipt of the application.''.
    (b) Federal Share.--Section 406(b)(2) of the Robert T. Stafford 
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5172(b)(2)) is 
amended by striking ``public facility or private nonprofit facility'' 
and inserting ``public facility, private nonprofit facility, or private 
or investor-owned electric utility company serving low-income 
households''.
    (c) Large In-Lieu Contributions.--Section 406(c) of the Robert T. 
Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 
5172(c)) is amended by adding at the end the following:
            ``(3) For private or investor-owned electric utility 
        companies serving low-income households.--
                    ``(A) In general.--In any case in which the owner 
                or operator of a private or investor-owned electric 
                utility company serving low-income households 
                determines that the public welfare would not best be 
                served by repairing, restoring, reconstructing, or 
                replacing the facility, the owner or operator may elect 
                to receive, in lieu of a contribution under subsection 
                (a)(1)(C), a contribution in an amount equal to 75 
                percent of the available funding pursuant to subsection 
                (a)(4)(D) or (a)(4)(E).
                    ``(B) Use of funds.--Funds contributed to an owner 
                or operator under this paragraph may be used by the 
                owner or operator to--
                            ``(i) repair, restore, or improve other 
                        private or investor-owned power facilities;
                            ``(ii) construct a new private or investor-
                        owned power facility; or
                            ``(iii) fund hazard mitigation measures 
                        that the owner or operator determines to be 
                        necessary to meet a need for the services and 
                        functions of the owner or operator in the area 
                        affected by the major disaster.''.
    (d) Eligible Cost.--Section 406(e)(1)(A) of the Robert T. Stafford 
Disaster Relief and Emergency Assistance Act (42 U.S.C. 5172(e)(1)(A)) 
is amended by striking ``public facility or private nonprofit 
facility'' and inserting ``public facility, private nonprofit facility, 
or private or investor-owned electric utility company serving low-
income households''.
    (e) Definitions.--Section 406 of the Robert T. Stafford Disaster 
Relief and Emergency Assistance Act (42 U.S.C. 5172) is amended by 
adding at the end the following:
    ``(f) Definitions.--In this section, the following definitions 
apply:
            ``(1) Private or investor-owned electric utility company 
        serving low-income households.--The term `private or investor-
        owned electric utility company serving low-income households' 
        means a privately-owned or investor-owned electric utility 
        company in which no less than 25 percent of its retail 
        residential customers are low-income households.
            ``(2) Company.--The term `company' means a corporation, 
        partnership, association, or joint stock company.
            ``(3) Electric utility company.--The term `electric utility 
        company' means any company that owns, operates, or leases 
        facilities used for transmission or distribution of electric 
        energy for sale.
            ``(4) Low-income household.--The term `low-income 
        household' means a household with a total annual household 
        income that does not exceed the greater of--
                    ``(A) an amount equal to 150 percent of the poverty 
                level of a State; or
                    ``(B) an amount equal to 60 percent of the State 
                median income.
            ``(5) Poverty level.--The term `poverty level' has the 
        meaning given the term in section 2603 of the Low-Income Home 
        Energy Assistance Act of 1981 (42 U.S.C. 8622).
            ``(6) State median income.--The term `State median income' 
        has the meaning given the term in section 2603 of the Low-
        Income Home Energy Assistance Act of 1981 (42 U.S.C. 8622).''.

SEC. 3. REGULATIONS.

    Not later than 180 days after the date of enactment of this Act, 
the Secretary of Homeland Security in consultation with the Chairman of 
the Federal Energy Regulatory Commission shall promulgate regulations 
necessary to implement this Act and the amendments made by this Act.

SEC. 4. APPLICABILITY.

    This Act and the amendments made by this Act shall apply to a major 
disaster occurring after the date of enactment of this Act.
Low-Income Rate Payer Disaster Recovery Act of 2008 - Amends the Robert T. Stafford Disaster Relief and Emergency Assistance Act to authorize the President to make contributions to the owner or operator of a private or investor-owned electric utility company serving low-income households for facilities damaged or destroyed by a major disaster only if the costs of repairing, restoring, reconstructing, or replacing such facilities exceed 10% of the facilities' total transmission and distribution rate base minus: (1) accumulated depreciation on the date of the disaster in the case of a single major disaster; or (2) accumulated depreciation on the date of the first major disaster in the case of an aggregation of major disasters during the preceding 12 months.

Sets forth application deadlines.

Prohibits the total amount of contributions made to an owner or operator from exceeding $50 million in any 12-month period. Authorizes the President, for any major disaster occurring after enactment of this Act, to waive the limit upon determining that the event is of an extraordinary nature. Requires the President to approve or disapprove applications within 30 days after receipt.

Allows an owner or operator who determines that the public welfare would not best be served by repairing, restoring, reconstructing, or replacing a facility to elect to receive, in lieu of the cost-based contribution, 75% of the funding that would have been available.
To amend the Robert T. Stafford Disaster Relief and Emergency Assistance Act to provide for disaster assistance for electric utility companies serving low-income households, and for other purposes.