II 

117TH CONGRESS 

1ST SESSION S. 799 

To require the Secretary of Energy to establish programs for carbon dioxide 

capture, transport, utilization, and storage, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

MARCH 17 (legislative day, MARCH 16), 2021 

Mr. COONS (for himself, Mr. CASSIDY, Ms. SMITH, Mr. HOEVEN, Mr. WHITEHOUSE, Mrs. CAPITO, Ms. DUCKWORTH, Mr. BRAUN, Mr. TESTER, Ms. 

MURKOWSKI, and Mr. MANCHIN) introduced the following bill; which was 

read twice and referred to the Committee on Energy and Natural Resources 

A BILL 

To require the Secretary of Energy to establish programs 

for carbon dioxide capture, transport, utilization, and 

storage, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 

4 (a) SHORT TITLE.—This Act may be cited as the 

5 ‘‘Storing CO2 And Lowering Emissions Act’’ or the 

6 ‘‘SCALE Act’’. 

7 (b) TABLE OF CONTENTS.—The table of contents for 

8 this Act is as follows: 


pbinns on DSKJLVW7X2PROD with BILLS
2 

•S 799 IS

Sec. 1. Short title; table of contents. 

Sec. 2. Findings. 

TITLE I—UTILIZATION OF CARBON OXIDES 

Sec. 101. Carbon utilization program. 

TITLE II—TRANSPORTATION OF CAPTURED CARBON 

Sec. 201. Carbon capture technology program. 

Sec. 202. Carbon dioxide transportation infrastructure finance and innovation. 

TITLE III—GEOLOGIC STORAGE OF CAPTURED CARBON 

Sec. 301. Carbon storage validation and testing. 

Sec. 302. Secure geologic storage permitting. 

1 SEC. 2. FINDINGS. 

2 Congress finds that— 

3 (1) the industrial sector is integral to the econ4 omy of the United States— 

5 (A) providing millions of jobs and essential 

6 products; and 

7 (B) demonstrating global leadership in 

8 manufacturing and innovation; 

9 (2) carbon capture and storage technologies are 

10 necessary for reducing hard-to-abate emissions from 

11 the industrial sector, which emits nearly 25 percent 

12 of carbon dioxide emissions in the United States; 

13 (3) carbon removal and storage technologies, in14 cluding direct air capture, must be deployed at 

15 large-scale in the coming decades to remove carbon 

16 dioxide directly from the atmosphere; 

17 (4) large-scale deployment of carbon capture, 

18 removal, utilization, transport, and storage— 


pbinns on DSKJLVW7X2PROD with BILLS
3 

•S 799 IS

1 (A) is critical for achieving mid-century cli2 mate goals; and 

3 (B) will drive regional economic develop4 ment, technological innovation, and high-wage 

5 employment; 

6 (5) carbon capture, removal, and utilization 

7 technologies require a backbone system of shared 

8 carbon dioxide transport and storage infrastructure 

9 to enable large-scale deployment, realize economies 

10 of scale, and create an interconnected carbon man11 agement market; 

12 (6) carbon dioxide transport infrastructure and 

13 permanent geological storage are proven and safe 

14 technologies with existing Federal and State regu15 latory frameworks; 

16 (7) carbon dioxide transport and storage infra17 structure share similar barriers to deployment pre18 viously faced by other types of critical national infra19 structure, such as high capital costs and chicken20 and-egg challenges, that require Federal and State 

21 support, in combination with private investment, to 

22 be overcome; and 

23 (8) each State should take into consideration, 

24 with respect to new carbon dioxide transportation in25 frastructure— 


pbinns on DSKJLVW7X2PROD with BILLS
4 

•S 799 IS

1 (A) qualifying the infrastructure as pollu2 tion control devices under applicable laws (in3 cluding regulations) of the State; and 

4 (B) establishing a waiver of ad valorem 

5 and property taxes for the infrastructure for a 

6 period of not less than 10 years. 

7 TITLE I—UTILIZATION OF 

8 CARBON OXIDES 

9 SEC. 101. CARBON UTILIZATION PROGRAM. 

10 Section 969A of the Energy Policy Act of 2005 (42 

11 U.S.C. 16298a) is amended— 

12 (1) in subsection (a)— 

13 (A) by redesignating paragraphs (3) and 

14 (4) as paragraphs (4) and (5), respectively; and 

15 (B) by inserting after paragraph (2) the 

16 following: 

17 ‘‘(3) to develop or obtain, in coordination with 

18 other applicable Federal agencies and standard-set19 ting organizations, standards and certifications, as 

20 appropriate, to facilitate the commercialization of 

21 the products and technologies described in para22 graph (2);’’; 

23 (2) in subsection (b)— 

24 (A) by redesignating paragraph (2) as 

25 paragraph (3); 


pbinns on DSKJLVW7X2PROD with BILLS
5 

•S 799 IS

1 (B) by inserting after paragraph (1) the 

2 following: 

3 ‘‘(2) GRANT PROGRAM.— 

4 ‘‘(A) IN GENERAL.—Not later than 1 year 

5 after the date of enactment of the Storing CO2

6 And Lowering Emissions Act, the Secretary 

7 shall establish a program to provide grants to 

8 eligible entities to use in accordance with sub9 paragraph (D). 

10 ‘‘(B) ELIGIBLE ENTITIES.—To be eligible 

11 to receive a grant under this paragraph, an en12 tity shall be— 

13 ‘‘(i) a State; 

14 ‘‘(ii) a unit of local government; or 

15 ‘‘(iii) a public utility or agency. 

16 ‘‘(C) APPLICATIONS.—Eligible entities de17 siring a grant under this paragraph shall sub18 mit to the Secretary an application at such 

19 time, in such manner, and containing such in20 formation as the Secretary determines to be ap21 propriate. 

22 ‘‘(D) USE OF FUNDS.—An eligible entity 

23 shall use a grant received under this paragraph 

24 to procure and use commercial or industrial 

25 products that— 


pbinns on DSKJLVW7X2PROD with BILLS
6 

•S 799 IS

1 ‘‘(i) use or are derived from anthropo2 genic carbon oxides; and 

3 ‘‘(ii) demonstrate significant net re4 ductions in lifecycle greenhouse gas emis5 sions compared to incumbent technologies, 

6 processes, and products.’’; and 

7 (C) in paragraph (3) (as so redesignated), 

8 by striking ‘‘paragraph (1)’’ and inserting ‘‘this 

9 subsection’’; and 

10 (3) in subsection (d), by striking paragraphs 

11 (1) through (5) and inserting the following: 

12 ‘‘(1) $64,000,000 for fiscal year 2021; 

13 ‘‘(2) $65,250,000 for fiscal year 2022; 

14 ‘‘(3) $66,562,500 for fiscal year 2023; 

15 ‘‘(4) $67,940,625 for fiscal year 2024; and 

16 ‘‘(5) $69,387,656 for fiscal year 2025.’’. 

17 TITLE II—TRANSPORTATION OF 

18 CAPTURED CARBON 

19 SEC. 201. CARBON CAPTURE TECHNOLOGY PROGRAM. 

20 Section 962 of the Energy Policy Act of 2005 (42 

21 U.S.C. 16292) is amended— 

22 (1) in subsection (b)(2)— 

23 (A) in subparagraph (C), by striking 

24 ‘‘and’’ at the end; 


pbinns on DSKJLVW7X2PROD with BILLS
7 

•S 799 IS

1 (B) in subparagraph (D), by striking ‘‘pro2 gram.’’ and inserting ‘‘program for carbon cap3 ture technologies; and’’; and 

4 (C) by adding at the end the following: 

5 ‘‘(E) a front-end engineering and design 

6 program for carbon dioxide transport infra7 structure necessary to enable deployment of 

8 carbon capture, utilization, and storage tech9 nologies.’’; and 

10 (2) in subsection (d)(1)— 

11 (A) in subparagraph (C)(ii), by striking 

12 ‘‘and’’ at the end; 

13 (B) in subparagraph (D), by striking the 

14 period at the end and inserting ‘‘; and’’; and 

15 (C) by adding at the end the following: 

16 ‘‘(E) for activities under the front-end en17 gineering and design program described in sub18 section (b)(2)(E), $20,000,000 for each of fis19 cal years 2022 through 2025.’’. 

20 SEC. 202. CARBON DIOXIDE TRANSPORTATION INFRA21 STRUCTURE FINANCE AND INNOVATION. 

22 (a) IN GENERAL.—Title IX of the Energy Policy Act 

23 of 2005 (42 U.S.C. 16181 et seq.) is amended by adding 

24 at the end the following: 


pbinns on DSKJLVW7X2PROD with BILLS
8 

•S 799 IS

1 ‘‘Subtitle J—Carbon Dioxide Trans2 portation Infrastructure Fi3 nance and Innovation 

4 ‘‘SEC. 999A. DEFINITIONS. 

5 ‘‘In this subtitle: 

6 ‘‘(1) CIFIA PROGRAM.—The term ‘CIFIA pro7 gram’ means the carbon dioxide transportation in8 frastructure finance and innovation program estab9 lished under section 999B(a). 

10 ‘‘(2) COMMON CARRIER.—The term ‘common 

11 carrier’ means a transportation infrastructure oper12 ator or owner that— 

13 ‘‘(A) publishes a publicly available tariff 

14 containing the just and reasonable rates, terms, 

15 and conditions of nondiscriminatory service; 

16 and 

17 ‘‘(B) holds itself out to provide transpor18 tation services to the public for a fee. 

19 ‘‘(3) CONTINGENT COMMITMENT.—The term 

20 ‘contingent commitment’ means a commitment to 

21 obligate funds from future available budget author22 ity that is— 

23 ‘‘(A) contingent on those funds being made 

24 available in law at a future date; and 


pbinns on DSKJLVW7X2PROD with BILLS
9 

•S 799 IS

1 ‘‘(B) not an obligation of the Federal Gov2 ernment. 

3 ‘‘(4) ELIGIBLE PROJECT COSTS.—The term ‘eli4 gible project costs’ means amounts substantially all 

5 of which are paid by, or for the account of, an obli6 gor in connection with a project, including— 

7 ‘‘(A) the cost of— 

8 ‘‘(i) development-phase activities, in9 cluding planning, feasibility analysis, rev10 enue forecasting, environmental review, 

11 permitting, preliminary engineering and 

12 design work, and other preconstruction ac13 tivities; 

14 ‘‘(ii) construction, reconstruction, re15 habilitation, replacement, and acquisition 

16 of real property (including land relating to 

17 the project and improvements to land), en18 vironmental mitigation, construction con19 tingencies, and acquisition and installation 

20 of equipment (including labor); and 

21 ‘‘(iii) capitalized interest necessary to 

22 meet market requirements, reasonably re23 quired reserve funds, capital issuance ex24 penses, and other carrying costs during 

25 construction; and 


pbinns on DSKJLVW7X2PROD with BILLS
10 

•S 799 IS

1 ‘‘(B) transaction costs associated with fi2 nancing the project, including— 

3 ‘‘(i) the cost of legal counsel and tech4 nical consultants; and 

5 ‘‘(ii) any subsidy amount paid in ac6 cordance with section 999B(c)(3)(B)(ii) or 

7 section 999C(b)(6)(B)(ii). 

8 ‘‘(5) FEDERAL CREDIT INSTRUMENT.—The 

9 term ‘Federal credit instrument’ means a secured 

10 loan or loan guarantee authorized to be provided 

11 under the CIFIA program with respect to a project. 

12 ‘‘(6) LENDER.—The term ‘lender’ means any 

13 non-Federal qualified institutional buyer (as defined 

14 in section 230.144A(a) of title 17, Code of Federal 

15 Regulations (or a successor regulation), commonly 

16 known as Rule 144A(a) of the Securities and Ex17 change Commission and issued under the Securities 

18 Act of 1933 (15 U.S.C. 77a et seq.)), including— 

19 ‘‘(A) a qualified retirement plan (as de20 fined in section 4974(c) of the Internal Revenue 

21 Code of 1986) that is a qualified institutional 

22 buyer; and 

23 ‘‘(B) a governmental plan (as defined in 

24 section 414(d) of the Internal Revenue Code of 

25 1986) that is a qualified institutional buyer. 


pbinns on DSKJLVW7X2PROD with BILLS
11 

•S 799 IS

1 ‘‘(7) LETTER OF INTEREST.—The term ‘letter 

2 of interest’ means a letter submitted by a potential 

3 applicant prior to an application for credit assistance 

4 in a format prescribed by the Secretary on the 

5 website of the CIFIA program that— 

6 ‘‘(A) describes the project and the location, 

7 purpose, and cost of the project; 

8 ‘‘(B) outlines the proposed financial plan, 

9 including the requested credit and grant assist10 ance and the proposed obligor; 

11 ‘‘(C) provides a status of environmental re12 view; and 

13 ‘‘(D) provides information regarding satis14 faction of other eligibility requirements of the 

15 CIFIA program. 

16 ‘‘(8) LOAN GUARANTEE.—The term ‘loan guar17 antee’ means any guarantee or other pledge by the 

18 Secretary to pay all or part of the principal of, and 

19 interest on, a loan or other debt obligation issued by 

20 an obligor and funded by a lender. 

21 ‘‘(9) MASTER CREDIT AGREEMENT.—The term 

22 ‘master credit agreement’ means a conditional agree23 ment that— 

24 ‘‘(A) is for the purpose of extending credit 

25 assistance for— 


pbinns on DSKJLVW7X2PROD with BILLS
12 

•S 799 IS

1 ‘‘(i) a project of high priority under 

2 section 999B(c)(3)(A); or 

3 ‘‘(ii) a project covered under section 

4 999B(c)(3)(B); 

5 ‘‘(B) does not provide for a current obliga6 tion of Federal funds; and 

7 ‘‘(C) would— 

8 ‘‘(i) make a contingent commitment of 

9 a Federal credit instrument or grant at a 

10 future date, subject to— 

11 ‘‘(I) the availability of future 

12 funds being made available to carry 

13 out the CIFIA program; and 

14 ‘‘(II) the satisfaction of all condi15 tions for the provision of credit assist16 ance under the CIFIA program, in17 cluding section 999C(b); 

18 ‘‘(ii) establish the maximum amounts 

19 and general terms and conditions of the 

20 Federal credit instruments or grants; 

21 ‘‘(iii) identify the 1 or more revenue 

22 sources that will secure the repayment of 

23 the Federal credit instruments; 

24 ‘‘(iv) provide for the obligation of 

25 funds for the Federal credit instruments or 


pbinns on DSKJLVW7X2PROD with BILLS
13 

•S 799 IS

1 grants after all requirements have been 

2 met for the projects subject to the agree3 ment, including— 

4 ‘‘(I) compliance with all applica5 ble requirements specified under the 

6 CIFIA program, including sections 

7 999B(d) and 999C(b)(1); and 

8 ‘‘(II) the availability of funds to 

9 carry out the CIFIA program; and 

10 ‘‘(v) require that contingent commit11 ments shall result in a financial close and 

12 obligation of credit or grant assistance by 

13 not later than 4 years after the date of 

14 entry into the agreement or release of the 

15 commitment, as applicable, unless other16 wise extended by the Secretary. 

17 ‘‘(10) OBLIGOR.—The term ‘obligor’ means a 

18 corporation, partnership, joint venture, trust, gov19 ernmental entity, agency, or instrumentality, or 

20 other entity that is primarily liable for payment of 

21 the principal of, or interest on, a Federal credit in22 strument. 

23 ‘‘(11) PRODUCED IN THE UNITED STATES.— 

24 The term ‘produced in the United States’, with re25 spect to iron and steel, means that all manufacVerDate Sep 11 2014 01:03 Apr 13, 2021 Jkt 019200 PO 00000 Frm 00013 Fmt 6652 Sfmt 6201 E:\BILLS\S799.IS S799

pbinns on DSKJLVW7X2PROD with BILLS
14 

•S 799 IS

1 turing processes for the iron and steel, including the 

2 application of any coating, occurs within the United 

3 States. 

4 ‘‘(12) PROJECT.—The term ‘project’ means a 

5 project for common carrier carbon dioxide transpor6 tation infrastructure or associated equipment, in7 cluding pipeline, shipping, rail, or other transpor8 tation infrastructure and associated equipment, that 

9 will transport or handle carbon dioxide captured 

10 from anthropogenic sources or ambient air, as the 

11 Secretary determines to be appropriate. 

12 ‘‘(13) PROJECT OBLIGATION.—The term 

13 ‘project obligation’ means any note, bond, debenture, 

14 or other debt obligation issued by an obligor in con15 nection with the financing of a project, other than 

16 a Federal credit instrument. 

17 ‘‘(14) SECURED LOAN.—The term ‘secured 

18 loan’ means a direct loan or other debt obligation 

19 issued by an obligor and funded by the Secretary in 

20 connection with the financing of a project under sec21 tion 999C. 

22 ‘‘(15) SUBSIDY AMOUNT.—The term ‘subsidy 

23 amount’ means the amount of budget authority suf24 ficient to cover the estimated long-term cost to the 


pbinns on DSKJLVW7X2PROD with BILLS
15 

•S 799 IS

1 Federal Government of a Federal credit instru2 ment— 

3 ‘‘(A) calculated on a net present value 

4 basis; and 

5 ‘‘(B) excluding administrative costs and 

6 any incidental effects on governmental receipts 

7 or outlays in accordance with the Federal Cred8 it Reform Act of 1990 (2 U.S.C. 661 et seq.). 

9 ‘‘(16) SUBSTANTIAL COMPLETION.—The term 

10 ‘substantial completion’, with respect to a project, 

11 means the date— 

12 ‘‘(A) on which the project commences 

13 transportation of carbon dioxide; or 

14 ‘‘(B) of a comparable event to the event 

15 described in subparagraph (A), as determined 

16 by the Secretary and specified in the project 

17 credit agreement. 

18 ‘‘SEC. 999B. DETERMINATION OF ELIGIBILITY AND 

19 PROJECT SELECTION. 

20 ‘‘(a) ESTABLISHMENT OF PROGRAM.—The Secretary 

21 shall establish and carry out a carbon dioxide transpor22 tation infrastructure finance and innovation program, 

23 under which the Secretary shall provide for eligible 

24 projects in accordance with this subtitle— 


pbinns on DSKJLVW7X2PROD with BILLS
16 

•S 799 IS

1 ‘‘(1) a Federal credit instrument under section 

2 999C; 

3 ‘‘(2) a grant under section 999D; or 

4 ‘‘(3) both a Federal credit instrument and a 

5 grant. 

6 ‘‘(b) ELIGIBILITY.— 

7 ‘‘(1) IN GENERAL.—A project shall be eligible 

8 to receive a Federal credit instrument or a grant 

9 under the CIFIA program if— 

10 ‘‘(A) the entity proposing to carry out the 

11 project submits a letter of interest prior to sub12 mission of an application under paragraph (3) 

13 for the project; and 

14 ‘‘(B) the project meets the criteria de15 scribed in this subsection. 

16 ‘‘(2) CREDITWORTHINESS.— 

17 ‘‘(A) IN GENERAL.—Each project and obli18 gor that receives a Federal credit instrument or 

19 a grant under the CIFIA program shall be 

20 creditworthy, such that there exists a reason21 able prospect of repayment of the principal and 

22 interest on the Federal credit instrument, as 

23 determined by the Secretary under subpara24 graph (B). 


pbinns on DSKJLVW7X2PROD with BILLS
17 

•S 799 IS

1 ‘‘(B) REASONABLE PROSPECT OF REPAY2 MENT.—The Secretary shall base a determina3 tion of whether there is a reasonable prospect 

4 of repayment under subparagraph (A) on a 

5 comprehensive evaluation of whether the obligor 

6 has a reasonable prospect of repaying the Fed7 eral credit instrument for the eligible project, 

8 including evaluation of— 

9 ‘‘(i) the strength of the contractual 

10 terms of an eligible project (if available for 

11 the applicable market segment); 

12 ‘‘(ii) the forecast of noncontractual 

13 cash flows supported by market projections 

14 from reputable sources, as determined by 

15 the Secretary, and cash sweeps or other 

16 structural enhancements; 

17 ‘‘(iii) the projected financial strength 

18 of the obligor— 

19 ‘‘(I) at the time of loan close; 

20 and 

21 ‘‘(II) throughout the loan term, 

22 including after the project is com23 pleted; 


pbinns on DSKJLVW7X2PROD with BILLS
18 

•S 799 IS

1 ‘‘(iv) the financial strength of the in2 vestors and strategic partners of the obli3 gor, if applicable; and 

4 ‘‘(v) other financial metrics and anal5 yses that are relied on by the private lend6 ing community and nationally recognized 

7 credit rating agencies, as determined ap8 propriate by the Secretary. 

9 ‘‘(3) APPLICATIONS.—To be eligible for assist10 ance under the CIFIA program, an obligor shall 

11 submit to the Secretary a project application at such 

12 time, in such manner, and containing such informa13 tion as the Secretary determines to be appropriate. 

14 ‘‘(4) ELIGIBLE PROJECT COSTS.—A project 

15 under the CIFIA program shall have eligible project 

16 costs that are reasonably anticipated to equal or ex17 ceed $100,000,000. 

18 ‘‘(5) REVENUE SOURCES.—The applicable Fed19 eral credit instrument shall be repayable, in whole or 

20 in part, from— 

21 ‘‘(A) user fees; 

22 ‘‘(B) payments owing to the obligor under 

23 a public-private partnership; or 

24 ‘‘(C) other revenue sources that also secure 

25 or fund the project obligations. 


pbinns on DSKJLVW7X2PROD with BILLS
19 

•S 799 IS

1 ‘‘(6) OBLIGOR WILL BE IDENTIFIED LATER.— 

2 A State, local government, agency, or instrumen3 tality of a State or local government, or a public au4 thority, may submit to the Secretary an application 

5 under paragraph (3), under which a private party to 

6 a public-private partnership will be— 

7 ‘‘(A) the obligor; and 

8 ‘‘(B) identified at a later date through 

9 completion of a procurement and selection of 

10 the private party. 

11 ‘‘(7) BENEFICIAL EFFECTS.—The Secretary 

12 shall determine that financial assistance for each 

13 project under the CIFIA program will— 

14 ‘‘(A) attract public or private investment 

15 for the project; 

16 ‘‘(B) enable the project to proceed at an 

17 earlier date than the project would otherwise be 

18 able to proceed or reduce the lifecycle costs (in19 cluding debt service costs) of the project; or 

20 ‘‘(C) enable the transportation of carbon 

21 dioxide captured from anthropogenic sources or 

22 ambient air. 

23 ‘‘(8) PROJECT READINESS.—To be eligible for 

24 assistance under the CIFIA program, the applicant 

25 shall demonstrate a reasonable expectation that the 


pbinns on DSKJLVW7X2PROD with BILLS
20 

•S 799 IS

1 contracting process for construction of the project 

2 can commence by not later than 90 days after the 

3 date on which a Federal credit instrument or grant 

4 is obligated for the project under the CIFIA pro5 gram. 

6 ‘‘(c) SELECTION AMONG ELIGIBLE PROJECTS.— 

7 ‘‘(1) ESTABLISHMENT OF APPLICATION PROC8 ESS.—The Secretary shall establish an application 

9 process under which projects that are eligible to re10 ceive assistance under subsection (b) may— 

11 ‘‘(A) receive credit assistance on terms ac12 ceptable to the Secretary, if adequate funds are 

13 available (including any funds provided on be14 half of an eligible project under paragraph 

15 (3)(B)(ii)) to cover the subsidy amount associ16 ated with the Federal credit instrument; and 

17 ‘‘(B) receive grants under section 999D 

18 if— 

19 ‘‘(i) adequate funds are available to 

20 cover the amount of the grant; and 

21 ‘‘(ii) the Secretary determines that 

22 the project is eligible under subsection (b) 

23 of that section. 


pbinns on DSKJLVW7X2PROD with BILLS
21 

•S 799 IS

1 ‘‘(2) PRIORITY.—In selecting projects to receive 

2 credit assistance under subsection (b), the Secretary 

3 shall give priority to projects that— 

4 ‘‘(A) are large-capacity, common carrier 

5 infrastructure; 

6 ‘‘(B) have demonstrated demand for use of 

7 the infrastructure by associated projects that 

8 capture carbon dioxide from anthropogenic 

9 sources or ambient air; 

10 ‘‘(C) enable geographical diversity in asso11 ciated projects that capture carbon dioxide from 

12 anthropogenic sources or ambient air, with the 

13 goal of enabling projects in all major carbon di14 oxide-emitting regions of the United States; and 

15 ‘‘(D) are sited within, or adjacent to, exist16 ing pipeline or other linear infrastructure cor17 ridors, in a manner that minimizes environ18 mental disturbance and other siting concerns. 

19 ‘‘(3) MASTER CREDIT AGREEMENTS.— 

20 ‘‘(A) PRIORITY PROJECTS.—The Secretary 

21 may enter into a master credit agreement for a 

22 project that the Secretary determines— 

23 ‘‘(i) will likely be eligible for credit as24 sistance under subsection (b), on obtain25 ing— 


pbinns on DSKJLVW7X2PROD with BILLS
22 

•S 799 IS

1 ‘‘(I) additional commitments 

2 from associated carbon capture 

3 projects to use the project; or 

4 ‘‘(II) all necessary permits and 

5 approvals; and 

6 ‘‘(ii) is a project of high priority, as 

7 determined in accordance with the criteria 

8 described in paragraph (2). 

9 ‘‘(B) ADEQUATE FUNDING NOT AVAIL10 ABLE.—If the Secretary fully obligates funding 

11 to eligible projects for a fiscal year and ade12 quate funding is not available to fund a Federal 

13 credit instrument, a project sponsor (including 

14 a unit of State or local government) of an eligi15 ble project may elect— 

16 ‘‘(i)(I) to enter into a master credit 

17 agreement in lieu of the Federal credit in18 strument; and 

19 ‘‘(II) to wait to execute a Federal 

20 credit instrument until the fiscal year for 

21 which additional funds are available to re22 ceive credit assistance; or 

23 ‘‘(ii) if the lack of adequate funding is 

24 solely with respect to amounts available for 

25 the subsidy amount, to pay the subsidy 


pbinns on DSKJLVW7X2PROD with BILLS
23 

•S 799 IS

1 amount to fund the Federal credit instru2 ment. 

3 ‘‘(d) FEDERAL REQUIREMENTS.— 

4 ‘‘(1) IN GENERAL.—Nothing in this subtitle su5 persedes the applicability of any other requirement 

6 under Federal law (including regulations). 

7 ‘‘(2) NEPA.—Federal credit assistance may 

8 only be provided under this subtitle for a project 

9 that has received an environmental categorical exclu10 sion, a finding of no significant impact, or a record 

11 of decision under the National Environmental Policy 

12 Act of 1969 (42 U.S.C. 4321 et seq.). 

13 ‘‘(e) USE OF AMERICAN IRON, STEEL, AND MANU14 FACTURED GOODS.— 

15 ‘‘(1) IN GENERAL.—Except as provided in para16 graph (2), no Federal credit instrument or grant 

17 provided under the CIFIA program shall be made 

18 available for a project unless all iron, steel, and 

19 manufactured goods used in the project are pro20 duced in the United States. 

21 ‘‘(2) EXCEPTIONS.—Paragraph (1) shall not 

22 apply in any case or category of cases with respect 

23 to which the Secretary determines that— 

24 ‘‘(A) the application would be inconsistent 

25 with the public interest; 


pbinns on DSKJLVW7X2PROD with BILLS
24 

•S 799 IS

1 ‘‘(B) iron, steel, or a relevant manufac2 tured good is not produced in the United States 

3 in sufficient and reasonably available quantity, 

4 or of a satisfactory quality; or 

5 ‘‘(C) the inclusion of iron, steel, or a man6 ufactured good produced in the United States 

7 will increase the cost of the overall project by 

8 more than 25 percent. 

9 ‘‘(3) WAIVERS.—If the Secretary receives a re10 quest for a waiver under this subsection, the Sec11 retary shall— 

12 ‘‘(A) make available to the public a copy of 

13 the request, together with any information 

14 available to the Secretary concerning the re15 quest— 

16 ‘‘(i) on an informal basis; and 

17 ‘‘(ii) by electronic means, including on 

18 the official public website of the Depart19 ment; 

20 ‘‘(B) allow for informal public comment re21 lating to the request for not fewer than 15 days 

22 before making a determination with respect to 

23 the request; and 


pbinns on DSKJLVW7X2PROD with BILLS
25 

•S 799 IS

1 ‘‘(C) approve or disapprove the request by 

2 not later than the date that is 120 days after 

3 the date of receipt of the request. 

4 ‘‘(4) APPLICABILITY.—This subsection shall be 

5 applied in accordance with any applicable obligations 

6 of the United States under international agreements. 

7 ‘‘(f) PREVAILING RATE OF WAGE.— 

8 ‘‘(1) IN GENERAL.—The Secretary shall ensure 

9 that each laborer and mechanic employed by a con10 tractor or subcontractor for a project financed, in 

11 whole or in part, by a Federal credit instrument or 

12 grant provided under the CIFIA program shall be 

13 paid wages at rates not less than those prevailing on 

14 the same type of work on similar construction 

15 projects in the applicable locality, as determined by 

16 the Secretary of Labor under subchapter IV of chap17 ter 31 of part A of subtitle II of title 40, United 

18 States Code (commonly referred to as the ‘Davis19 Bacon Act’). 

20 ‘‘(2) AUTHORITY OF SECRETARY OF LABOR.— 

21 With respect to the labor standards described in 

22 paragraph (1), the Secretary of Labor shall have the 

23 authority and functions described in Reorganization 

24 Plan Numbered 14 of 1950 (64 Stat. 1267; 5 


pbinns on DSKJLVW7X2PROD with BILLS
26 

•S 799 IS

1 U.S.C. App.) and section 3145 of title 40, United 

2 States Code. 

3 ‘‘(g) APPLICATION PROCESSING PROCEDURES.— 

4 ‘‘(1) NOTICE OF COMPLETE APPLICATION.— 

5 Not later than 30 days after the date of receipt of 

6 an application under this section, the Secretary shall 

7 provide to the applicant a written notice describing 

8 whether— 

9 ‘‘(A) the application is complete; or 

10 ‘‘(B) additional information or materials 

11 are needed to complete the application. 

12 ‘‘(2) APPROVAL OR DENIAL OF APPLICATION.— 

13 Not later than 60 days after the date of issuance of 

14 a written notice under paragraph (1), the Secretary 

15 shall provide to the applicant a written notice in16 forming the applicant whether the Secretary has ap17 proved or disapproved the application. 

18 ‘‘(h) DEVELOPMENT-PHASE ACTIVITIES.—Any Fed19 eral credit instrument provided under the CIFIA program 

20 may be used to finance up to 100 percent of the cost of 

21 development-phase activities, as described in section 

22 999A(4)(A). 

23 ‘‘SEC. 999C. SECURED LOANS. 

24 ‘‘(a) AGREEMENTS.— 


pbinns on DSKJLVW7X2PROD with BILLS
27 

•S 799 IS

1 ‘‘(1) IN GENERAL.—Subject to paragraph (2), 

2 the Secretary may enter into agreements with 1 or 

3 more obligors to make secured loans, the proceeds of 

4 which shall be used— 

5 ‘‘(A) to finance eligible project costs of any 

6 project selected under section 999B; 

7 ‘‘(B) to refinance interim construction fi8 nancing of eligible project costs of any project 

9 selected under section 999B; or 

10 ‘‘(C) to refinance long-term project obliga11 tions or Federal credit instruments, if the refi12 nancing provides additional funding capacity for 

13 the completion, enhancement, or expansion of 

14 any project that— 

15 ‘‘(i) is selected under section 999B; or 

16 ‘‘(ii) otherwise meets the requirements 

17 of that section. 

18 ‘‘(2) RISK ASSESSMENT.—Before entering into 

19 an agreement under this subsection, the Secretary, 

20 in consultation with the Director of the Office of 

21 Management and Budget, shall determine an appro22 priate credit subsidy amount for each secured loan, 

23 taking into account all relevant factors, including the 

24 creditworthiness factors under section 999B(b)(2). 

25 ‘‘(b) TERMS AND LIMITATIONS.— 


pbinns on DSKJLVW7X2PROD with BILLS
28 

•S 799 IS

1 ‘‘(1) IN GENERAL.—A secured loan under this 

2 section with respect to a project shall be on such 

3 terms and conditions and contain such covenants, 

4 representations, warranties, and requirements (in5 cluding requirements for audits) as the Secretary de6 termines to be appropriate. 

7 ‘‘(2) MAXIMUM AMOUNT.—The amount of a se8 cured loan under this section shall not exceed an 

9 amount equal to 80 percent of the reasonably antici10 pated eligible project costs. 

11 ‘‘(3) PAYMENT.—A secured loan under this sec12 tion shall be payable, in whole or in part, from— 

13 ‘‘(A) user fees; 

14 ‘‘(B) payments owing to the obligor under 

15 a public-private partnership; or 

16 ‘‘(C) other revenue sources that also secure 

17 or fund the project obligations. 

18 ‘‘(4) INTEREST RATE.— 

19 ‘‘(A) IN GENERAL.—Except as provided in 

20 subparagraph (B), the interest rate on a se21 cured loan under this section shall be not less 

22 than the yield on United States Treasury secu23 rities of a similar maturity to the maturity of 

24 the secured loan on the date of execution of the 

25 loan agreement. 


pbinns on DSKJLVW7X2PROD with BILLS
29 

•S 799 IS

1 ‘‘(B) LIMITED BUYDOWNS.— 

2 ‘‘(i) IN GENERAL.—Subject to clause 

3 (ii), the Secretary may lower the interest 

4 rate of a secured loan under this section if 

5 the interest rate has increased between the 

6 period— 

7 ‘‘(I) beginning on, as applica8 ble— 

9 ‘‘(aa) the date on which an 

10 application acceptable to the Sec11 retary is submitted for the appli12 cable project; or 

13 ‘‘(bb) the date on which the 

14 Secretary entered into a master 

15 credit agreement for the applica16 ble project; and 

17 ‘‘(II) ending on the date on 

18 which the Secretary executes the Fed19 eral credit instrument for the applica20 ble project. 

21 ‘‘(ii) LIMITATION.—The interest rate 

22 of a secured loan may not be lowered pur23 suant to clause (i) by more than the lower 

24 of— 


pbinns on DSKJLVW7X2PROD with BILLS
30 

•S 799 IS

‘‘(I) 11 1 ⁄2 percentage points (150 

2 basis points); and 

3 ‘‘(II) an amount equal to the 

4 amount of the increase in the interest 

5 rate described in that clause. 

6 ‘‘(5) MATURITY DATE.—The final maturity 

7 date of the secured loan shall be the earlier of— 

8 ‘‘(A) the date that is 35 years after the 

9 date of substantial completion of the project; 

10 and 

11 ‘‘(B) if the useful life of the capital asset 

12 being financed is of a lesser period, the date 

13 that is the end of the useful life of the asset. 

14 ‘‘(6) NONSUBORDINATION.— 

15 ‘‘(A) IN GENERAL.—Except as provided in 

16 subparagraph (B), the secured loan shall not be 

17 subordinated to the claims of any holder of 

18 project obligations in the event of bankruptcy, 

19 insolvency, or liquidation of the obligor. 

20 ‘‘(B) PREEXISTING INDENTURE.— 

21 ‘‘(i) IN GENERAL.—The Secretary 

22 shall waive the requirement under subpara23 graph (A) for a public agency borrower 

24 that is financing ongoing capital programs 


pbinns on DSKJLVW7X2PROD with BILLS
31 

•S 799 IS

1 and has outstanding senior bonds under a 

2 preexisting indenture, if— 

3 ‘‘(I) the secured loan is rated in 

4 the A category or higher; and 

5 ‘‘(II) the secured loan is secured 

6 and payable from pledged revenues 

7 not affected by project performance, 

8 such as a tax-backed revenue pledge 

9 or a system-backed pledge of project 

10 revenues. 

11 ‘‘(ii) LIMITATION.—If the Secretary 

12 waives the nonsubordination requirement 

13 under this subparagraph— 

14 ‘‘(I) the maximum credit subsidy 

15 amount to be paid by the Federal 

16 Government shall be not more than 

17 10 percent of the principal amount of 

18 the secured loan; and 

19 ‘‘(II) the obligor shall be respon20 sible for paying the remainder of the 

21 subsidy amount, if any. 

22 ‘‘(7) FEES.—The Secretary may collect a fee on 

23 or after the date of the financial close of a Federal 

24 credit instrument under this section in an amount 

25 equal to not more than $1,000,000 to cover all or 


pbinns on DSKJLVW7X2PROD with BILLS
32 

•S 799 IS

1 a portion of the costs to the Federal Government of 

2 providing the Federal credit instrument. 

3 ‘‘(8) MAXIMUM FEDERAL INVOLVEMENT.—The 

4 total Federal assistance provided for a project under 

5 the CIFIA program, including any grant provided 

6 under section 999D, shall not exceed an amount 

7 equal to 80 percent of the eligible project costs. 

8 ‘‘(c) REPAYMENT.— 

9 ‘‘(1) SCHEDULE.—The Secretary shall establish 

10 a repayment schedule for each secured loan under 

11 this section based on— 

12 ‘‘(A) the projected cash flow from project 

13 revenues and other repayment sources; and 

14 ‘‘(B) the useful life of the project. 

15 ‘‘(2) COMMENCEMENT.—Scheduled loan repay16 ments of principal or interest on a secured loan 

17 under this section shall commence not later than 5 

18 years after the date of substantial completion of the 

19 project. 

20 ‘‘(3) DEFERRED PAYMENTS.— 

21 ‘‘(A) IN GENERAL.—If, at any time after 

22 the date of substantial completion of a project, 

23 the project is unable to generate sufficient reve24 nues in excess of reasonable and necessary op25 erating expenses to pay the scheduled loan reVerDate Sep 11 2014 01:03 Apr 13, 2021 Jkt 019200 PO 00000 Frm 00032 Fmt 6652 Sfmt 6201 E:\BILLS\S799.IS S799

pbinns on DSKJLVW7X2PROD with BILLS
33 

•S 799 IS

1 payments of principal and interest on the se2 cured loan, the Secretary may, subject to sub3 paragraph (C), allow the obligor to add unpaid 

4 principal and interest to the outstanding bal5 ance of the secured loan. 

6 ‘‘(B) INTEREST.—Any payment deferred 

7 under subparagraph (A) shall— 

8 ‘‘(i) continue to accrue interest in ac9 cordance with subsection (b)(4) until fully 

10 repaid; and 

11 ‘‘(ii) be scheduled to be amortized 

12 over the remaining term of the loan. 

13 ‘‘(C) CRITERIA.— 

14 ‘‘(i) IN GENERAL.—Any payment de15 ferral under subparagraph (A) shall be 

16 contingent on the project meeting criteria 

17 established by the Secretary. 

18 ‘‘(ii) REPAYMENT STANDARDS.—The 

19 criteria established pursuant to clause (i) 

20 shall include standards for the reasonable 

21 prospect of repayment. 

22 ‘‘(4) PREPAYMENT.— 

23 ‘‘(A) USE OF EXCESS REVENUES.—Any 

24 excess revenues that remain after satisfying 

25 scheduled debt service requirements on the 


pbinns on DSKJLVW7X2PROD with BILLS
34 

•S 799 IS

1 project obligations and secured loan and all de2 posit requirements under the terms of any trust 

3 agreement, bond resolution, or similar agree4 ment securing project obligations may be ap5 plied annually to prepay the secured loan, with6 out penalty. 

7 ‘‘(B) USE OF PROCEEDS OF REFI8 NANCING.—A secured loan may be prepaid at 

9 any time without penalty from the proceeds of 

10 refinancing from non-Federal funding sources. 

11 ‘‘(d) SALE OF SECURED LOANS.— 

12 ‘‘(1) IN GENERAL.—Subject to paragraph (2), 

13 as soon as practicable after substantial completion of 

14 a project and after notifying the obligor, the Sec15 retary may sell to another entity or reoffer into the 

16 capital markets a secured loan for the project if the 

17 Secretary determines that the sale or reoffering can 

18 be made on favorable terms. 

19 ‘‘(2) CONSENT OF OBLIGOR.—In making a sale 

20 or reoffering under paragraph (1), the Secretary 

21 may not change any original term or condition of the 

22 secured loan without the written consent of the obli23 gor. 

24 ‘‘(e) LOAN GUARANTEES.— 


pbinns on DSKJLVW7X2PROD with BILLS
35 

•S 799 IS

1 ‘‘(1) IN GENERAL.—The Secretary may provide 

2 a loan guarantee to a lender in lieu of making a se3 cured loan under this section if the Secretary deter4 mines that the budgetary cost of the loan guarantee 

5 is substantially the same as, or less than, that of a 

6 secured loan. 

7 ‘‘(2) TERMS.—The terms of a loan guarantee 

8 under paragraph (1) shall be consistent with the 

9 terms required under this section for a secured loan, 

10 except that the rate on the guaranteed loan and any 

11 prepayment features shall be negotiated between the 

12 obligor and the lender, with the consent of the Sec13 retary. 

14 ‘‘SEC. 999D. FUTURE GROWTH GRANTS. 

15 ‘‘(a) ESTABLISHMENT.—The Secretary may provide 

16 grants to pay a portion of the cost differential, with re17 spect to any projected future increase in demand for car18 bon dioxide transportation by an infrastructure project de19 scribed in subsection (b), between— 

20 ‘‘(1) the cost of constructing the infrastructure 

21 asset with the capacity to transport an increased 

22 flow rate of carbon dioxide, as made practicable 

23 under the project; and 

24 ‘‘(2) the cost of constructing the infrastructure 

25 asset with the capacity to transport carbon dioxide 


pbinns on DSKJLVW7X2PROD with BILLS
36 

•S 799 IS

1 at the flow rate initially required, based on commit2 ments for the use of the asset. 

3 ‘‘(b) ELIGIBILITY.—To be eligible to receive a grant 

4 under this section, an entity shall— 

5 ‘‘(1) be eligible to receive credit assistance 

6 under the CIFIA program; 

7 ‘‘(2) carry out, or propose to carry out, a 

8 project for large-capacity, common carrier infra9 structure with a probable future increase in demand 

10 for carbon dioxide transportation; and 

11 ‘‘(3) submit to the Secretary an application at 

12 such time, in such manner, and containing such in13 formation as the Secretary determines to be appro14 priate. 

15 ‘‘(c) USE OF FUNDS.—A grant provided under this 

16 section may be used only to pay the costs of any additional 

17 flow rate capacity of a carbon dioxide transportation infra18 structure asset that the project sponsor demonstrates to 

19 the satisfaction of the Secretary can reasonably be ex20 pected to be used during the 20-year period beginning on 

21 the date of substantial completion of the project described 

22 in subsection (b)(2). 

23 ‘‘(d) MAXIMUM AMOUNT.—The amount of a grant 

24 provided under this section may not exceed an amount 


pbinns on DSKJLVW7X2PROD with BILLS
37 

•S 799 IS

1 equal to 80 percent of the cost of the additional capacity 

2 described in subsection (a). 

3 ‘‘SEC. 999E. PROGRAM ADMINISTRATION. 

4 ‘‘(a) REQUIREMENT.—The Secretary shall establish 

5 a uniform system to service the Federal credit instruments 

6 provided under the CIFIA program. 

7 ‘‘(b) FEES.—The Secretary may collect fees on or 

8 after the date of the financial close of a Federal credit 

9 instrument provided under the CIFIA program, contin10 gent on authority being provided in appropriations Acts, 

11 at a level that is sufficient to cover— 

12 ‘‘(1) the costs of services of expert firms re13 tained pursuant to subsection (d); and 

14 ‘‘(2) all or a portion of the costs to the Federal 

15 Government of servicing the Federal credit instru16 ments. 

17 ‘‘(c) SERVICER.— 

18 ‘‘(1) IN GENERAL.—The Secretary may appoint 

19 a financial entity to assist the Secretary in servicing 

20 the Federal credit instruments. 

21 ‘‘(2) DUTIES.—A servicer appointed under 

22 paragraph (1) shall act as the agent for the Sec23 retary. 


pbinns on DSKJLVW7X2PROD with BILLS
38 

•S 799 IS

1 ‘‘(3) FEE.—A servicer appointed under para2 graph (1) shall receive a servicing fee, subject to ap3 proval by the Secretary. 

4 ‘‘(d) ASSISTANCE FROM EXPERT FIRMS.—The Sec5 retary may retain the services of expert firms, including 

6 counsel, in the field of municipal and project finance to 

7 assist in the underwriting and servicing of Federal credit 

8 instruments. 

9 ‘‘(e) EXPEDITED PROCESSING.—The Secretary shall 

10 implement procedures and measures to economize the time 

11 and cost involved in obtaining approval and the issuance 

12 of credit assistance under the CIFIA program. 

13 ‘‘SEC. 999F. STATE AND LOCAL PERMITS. 

14 ‘‘The provision of credit assistance under the CIFIA 

15 program with respect to a project shall not— 

16 ‘‘(1) relieve any recipient of the assistance of 

17 any project obligation to obtain any required State 

18 or local permit or approval with respect to the 

19 project; 

20 ‘‘(2) limit the right of any unit of State or local 

21 government to approve or regulate any rate of re22 turn on private equity invested in the project; or 

23 ‘‘(3) otherwise supersede any State or local law 

24 (including any regulation) applicable to the construc25 tion or operation of the project. 


pbinns on DSKJLVW7X2PROD with BILLS
39 

•S 799 IS

1 ‘‘SEC. 999G. REGULATIONS. 

2 ‘‘The Secretary may promulgate such regulations as 

3 the Secretary determines to be appropriate to carry out 

4 the CIFIA program. 

5 ‘‘SEC. 999H. FUNDING. 

6 ‘‘(a) FUNDING.— 

7 ‘‘(1) IN GENERAL.—There are authorized to be 

8 appropriated to the Secretary to carry out this sub9 title, to remain available until expended— 

10 ‘‘(A) $600,000,000 for each of fiscal years 

11 2022 and 2023; and 

12 ‘‘(B) $300,000,000 for each of fiscal years 

13 2024 through 2026. 

14 ‘‘(2) SPENDING AND BORROWING AUTHOR15 ITY.—Spending and borrowing authority for a fiscal 

16 year to enter into Federal credit instruments shall 

17 be promptly apportioned to the Secretary on a fiscal18 year basis. 

19 ‘‘(3) REESTIMATES.—If the subsidy amount of 

20 a Federal credit instrument is reestimated, the cost 

21 increase or decrease of the reestimate shall be borne 

22 by, or benefit, the general fund of the Treasury, con23 sistent with section 504(f) of the Congressional 

24 Budget Act of 1974 (2 U.S.C. 661c(f)). 

25 ‘‘(4) ADMINISTRATIVE COSTS.—Of the amounts 

26 made available to carry out the CIFIA program, the 


pbinns on DSKJLVW7X2PROD with BILLS
40 

•S 799 IS

1 Secretary may use not more than $9,000,000 (as in2 dexed for United States dollar inflation from the 

3 date of enactment of the Storing CO2 And Lowering 

4 Emissions Act (as measured by the Consumer Price 

5 Index)) each fiscal year for the administration of the 

6 CIFIA program. 

7 ‘‘(b) CONTRACT AUTHORITY.— 

8 ‘‘(1) IN GENERAL.—Notwithstanding any other 

9 provision of law, execution of a term sheet by the 

10 Secretary of a Federal credit instrument that uses 

11 amounts made available under the CIFIA program 

12 shall impose on the United States a contractual obli13 gation to fund the Federal credit investment. 

14 ‘‘(2) AVAILABILITY.—Amounts made available 

15 to carry out the CIFIA program for a fiscal year 

16 shall be available for obligation on October 1 of the 

17 fiscal year.’’. 

18 (b) TECHNICAL AMENDMENTS.—The table of con19 tents for the Energy Policy Act of 2005 (Public Law 109– 

20 58; 119 Stat. 600) is amended— 

21 (1) in the item relating to section 917, by strik22 ing ‘‘Efficiency’’; 

23 (2) by striking the items relating to subtitle J 

24 of title IX (relating to ultra-deepwater and unconVerDate Sep 11 2014 01:03 Apr 13, 2021 Jkt 019200 PO 00000 Frm 00040 Fmt 6652 Sfmt 6201 E:\BILLS\S799.IS S799

pbinns on DSKJLVW7X2PROD with BILLS
41 

•S 799 IS

1 ventional natural gas and other petroleum resources) 

2 and inserting the following: 

‘‘Subtitle J—Carbon Dioxide Transportation Infrastructure Finance and 

Innovation 

‘‘Sec. 999A. Definitions. 

‘‘Sec. 999B. Determination of eligibility and project selection. 

‘‘Sec. 999C. Secured loans. 

‘‘Sec. 999D. Future growth grants. 

‘‘Sec. 999E. Program administration. 

‘‘Sec. 999F. State and local permits. 

‘‘Sec. 999G. Regulations. 

‘‘Sec. 999H. Funding.’’; 

3 and 

4 (3) by striking the item relating to section 

5 969B and inserting the following: 

‘‘Sec. 969B. High efficiency turbines.’’. 

6 TITLE III—GEOLOGIC STORAGE 

7 OF CAPTURED CARBON 

8 SEC. 301. CARBON STORAGE VALIDATION AND TESTING. 

9 Section 963 of the Energy Policy Act of 2005 (42 

10 U.S.C. 16293) is amended— 

11 (1) in subsection (a)(1)(B), by striking ‘‘over a 

12 10-year period’’; 

13 (2) in subsection (b)— 

14 (A) in paragraph (1), by striking ‘‘and 

15 demonstration’’ and inserting ‘‘demonstration, 

16 and commercialization’’; and 

17 (B) in paragraph (2)— 

18 (i) in subparagraph (G), by striking 

19 ‘‘and’’ at the end; 


pbinns on DSKJLVW7X2PROD with BILLS
42 

•S 799 IS

1 (ii) in subparagraph (H), by striking 

2 the period at the end and inserting ‘‘; 

3 and’’; and 

4 (iii) by adding at the end the fol5 lowing: 

6 ‘‘(I) evaluating the quantity, lo7 cation, and timing of geologic carbon 

8 storage deployment that may be need9 ed, and developing strategies and re10 sources to enable the deployment.’’; 

11 (3) by redesignating subsections (e) through (g) 

12 as subsections (f) through (h), respectively; 

13 (4) by inserting after subsection (d) the fol14 lowing: 

15 ‘‘(e) LARGE-SCALE CARBON STORAGE COMMER16 CIALIZATION PROGRAM.— 

17 ‘‘(1) IN GENERAL.—The Secretary shall estab18 lish a commercialization program under which the 

19 Secretary shall provide funding for the development 

20 of new or expanded commercial large-scale carbon 

21 sequestration projects and associated carbon dioxide 

22 transport infrastructure, including funding for the 

23 feasibility, site characterization, permitting, and con24 struction stages of project development. 

25 ‘‘(2) APPLICATIONS; SELECTION.— 


pbinns on DSKJLVW7X2PROD with BILLS
43 

•S 799 IS

1 ‘‘(A) IN GENERAL.—To be eligible to enter 

2 into an agreement with the Secretary for fund3 ing under paragraph (1), an entity shall submit 

4 to the Secretary an application at such time, in 

5 such manner, and containing such information 

6 as the Secretary determines to be appropriate. 

7 ‘‘(B) APPLICATION PROCESS.—The Sec8 retary shall establish an application process 

9 that, to the maximum extent practicable— 

10 ‘‘(i) is open to projects at any stage of 

11 development described in paragraph (1); 

12 and 

13 ‘‘(ii) facilitates expeditious develop14 ment of projects described in that para15 graph. 

16 ‘‘(C) PROJECT SELECTION.—In selecting 

17 projects for funding under paragraph (1), the 

18 Secretary shall give priority to— 

19 ‘‘(i) projects with substantial carbon 

20 dioxide storage capacity; or 

21 ‘‘(ii) projects that will store carbon di22 oxide from multiple carbon capture facili23 ties.’’; 

24 (5) in subsection (f) (as so redesignated), in 

25 paragraph (1), by inserting ‘‘with respect to the reVerDate Sep 11 2014 01:03 Apr 13, 2021 Jkt 019200 PO 00000 Frm 00043 Fmt 6652 Sfmt 6201 E:\BILLS\S799.IS S799

pbinns on DSKJLVW7X2PROD with BILLS
44 

•S 799 IS

1 search, development, demonstration program compo2 nents described in subsections (b) through (d)’’ be3 fore ‘‘give preference’’; and 

4 (6) in subsection (h) (as so redesignated)— 

5 (A) in paragraph (5), by striking the pe6 riod at the end and inserting ‘‘; and’’; 

7 (B) by redesignating paragraphs (1) 

8 through (5) as subparagraphs (A) through (E), 

9 respectively, and indenting appropriately; 

10 (C) by inserting before subparagraph (A) 

11 (as so redesignated) the following: 

12 ‘‘(1) for activities under the research, develop13 ment, demonstration program components described 

14 in subsections (b) through (d)—’’; and 

15 (D) by adding at the end the following: 

16 ‘‘(2) for activities under the commercialization 

17 program component described in subsection (e), to 

18 remain available until expended, $500,000,000 for 

19 each of fiscal years 2022 through 2026.’’. 

20 SEC. 302. SECURE GEOLOGIC STORAGE PERMITTING. 

21 (a) DEFINITIONS.—In this section: 

22 (1) ADMINISTRATOR.—The term ‘‘Adminis23 trator’’ means the Administrator of the Environ24 mental Protection Agency. 


pbinns on DSKJLVW7X2PROD with BILLS
45 

•S 799 IS

1 (2) CLASS VI WELL.—The term ‘‘Class VI well’’ 

2 means a well described in section 144.6(f) of title 

3 40, Code of Federal Regulations (or successor regu4 lations). 

5 (b) GEOLOGIC SEQUESTRATION PERMITTING.—For 

6 the permitting of Class VI wells by the Administrator for 

7 the injection of carbon dioxide for the purpose of geologic 

8 sequestration in accordance with the requirements of the 

9 Safe Drinking Water Act (42 U.S.C. 300f et seq.) and 

10 the final rule of the Administrator entitled ‘‘Federal Re11 quirements Under the Underground Injection Control 

12 (UIC) Program for Carbon Dioxide (CO2) Geologic Se13 questration (GS) Wells’’ (75 Fed. Reg. 77230 (December 

14 10, 2010)), there is authorized to be appropriated for each 

15 of fiscal years 2022 through 2026, $5,000,000. 

16 (c) STATE PERMITTING PROGRAM GRANTS.— 

17 (1) ESTABLISHMENT.—The Administrator shall 

18 award grants to States that, pursuant to section 

19 1422 of the Safe Drinking Water Act (42 U.S.C. 

20 300h–1), receive the approval of the Administrator 

21 for a State underground injection control program 

22 for permitting Class VI wells for the injection of car23 bon dioxide. 

24 (2) USE OF FUNDS.—A State that receives a 

25 grant under paragraph (1) shall use the amounts reVerDate Sep 11 2014 01:03 Apr 13, 2021 Jkt 019200 PO 00000 Frm 00045 Fmt 6652 Sfmt 6201 E:\BILLS\S799.IS S799

pbinns on DSKJLVW7X2PROD with BILLS
46 

•S 799 IS

1 ceived under the grant to defray the expenses of the 

2 State related to the establishment and operation of 

3 a State underground injection control program de4 scribed in paragraph (1). 

5 (3) AUTHORIZATION OF APPROPRIATIONS.— 

6 There is authorized to be appropriated to carry out 

7 this subsection, for the period of fiscal years 2022 

8 through 2026, $50,000,000. 

Æ 


pbinns on DSKJLVW7X2PROD with BILLS