II 

118TH CONGRESS 

2D SESSION S. 3845 

To amend the Clean Air Act to create a national zero-emission vehicle 

standard, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

FEBRUARY 29, 2024 

Mr. MERKLEY (for himself and Mr. WHITEHOUSE) introduced the following 

bill; which was read twice and referred to the Committee on Environment 

and Public Works 

A BILL 

To amend the Clean Air Act to create a national zeroemission vehicle standard, 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. 

4 This Act may be cited as the ‘‘Zero-Emission Vehicles 

5 Act of 2024’’ or the ‘‘ZEVs Act of 2024’’. 

6 SEC. 2. FINDINGS. 

7 (a) DEFINITIONS.—In this section: 

8 (1) ADMINISTRATOR.—The term ‘‘Adminis9 trator’’ means the Administrator of the Environ10 mental Protection Agency. 


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1 (2) ZERO-EMISSION VEHICLE.—The term ‘‘zero2 emission vehicle’’ has the meaning given the term in 

3 section 220 of the Clean Air Act. 

4 (b) FINDINGS.—Congress finds that— 

5 (1) zero-emission vehicles offer a multitude of 

6 benefits for the people of the United States, includ7 ing— 

8 (A) eliminating soot and smog emissions 

9 that, as of the date of enactment of this Act, 

10 cause thousands of premature deaths and mil11 lions of serious illnesses every year; 

12 (B) reducing climate-destabilizing pollution 

13 from the transportation sector, the largest 

14 sources of greenhouse gas emissions in the 

15 United States; and 

16 (C) creating new economic opportunities 

17 throughout the economy of the United States; 

18 (2) the vehicle emissions standards of the Envi19 ronmental Protection Agency, adopted pursuant to 

20 section 202(a) of the Clean Air Act (42 U.S.C. 

21 7521(a)), are important means of promoting cleaner 

22 motor vehicle technologies, including zero-emission 

23 technologies, but continuing public health and cli24 mate hazards and the increasing availability of zero25 emission vehicle technologies require a more rapid 


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1 dissemination of zero-emission vehicles beginning in 

2 model year 2027; 

3 (3) binding statutory requirements with respect 

4 to sales of zero-emission vehicles will— 

5 (A) promote the further growth of clean 

6 vehicle technologies; 

7 (B) create certainty for consumers and in8 dustry; and 

9 (C) provide a sound basis for zero-emission 

10 vehicle infrastructure planning and investment; 

11 and 

12 (4) because emissions standards pursuant to 

13 section 202(a) of the Clean Air Act (42 U.S.C. 

14 7521(a)) specify emissions standards are to be based 

15 on the consideration of the Administrator of avail16 able technologies to prevent or control emissions of 

17 air pollutants without requiring particular means of 

18 compliance with those standards, the substantial 

19 support of Congress for zero-emission vehicle tech20 nologies and infrastructure, including in the Infra21 structure Investment and Jobs Act (Public Law 

22 117–58; 135 Stat. 429) and Public Law 117–169 

23 (136 Stat. 1818) (commonly referred to as the ‘‘In24 flation Reduction Act of 2022’’), makes it appro25 priate for Congress to require that manufacturers 


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1 meet specific targets of zero-emission vehicles as re2 quired under this Act and the amendments made by 

3 this Act. 

4 SEC. 3. NATIONAL ZERO-EMISSION VEHICLE STANDARD. 

5 Part A of title II of the Clean Air Act (42 U.S.C. 

6 7521 et seq.) is amended by adding at the end the fol7 lowing: 

8 ‘‘SEC. 220. NATIONAL ZERO-EMISSION VEHICLE STANDARD. 

9 ‘‘(a) DEFINITIONS.—In this section: 

10 ‘‘(1) BASE QUANTITY OF NEW PASSENGER VE11 HICLES.—The term ‘base quantity of new passenger 

12 vehicles’ means the total quantity of new passenger 

13 vehicles delivered for sale by a vehicle manufacturer 

14 during the most recent model year. 

15 ‘‘(2) PASSENGER VEHICLE.—The term ‘pas16 senger vehicle’ has the meaning given the term ‘pas17 senger motor vehicle’ in section 32101 of title 49, 

18 United States Code. 

19 ‘‘(3) QUALIFIED ELECTRIC VEHICLE.—The 

20 term ‘qualified electric vehicle’ means a passenger 

21 vehicle that is— 

22 ‘‘(A) a new clean vehicle (as defined in sec23 tion 30D(d) of the Internal Revenue Code of 

24 1986); or 


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1 ‘‘(B) a new qualified fuel cell motor vehicle 

2 (as defined in section 30B(b)(3) of the Internal 

3 Revenue Code of 1986). 

4 ‘‘(4) RETIRE.—The term ‘retire’, with respect 

5 to a zero-emission vehicle credit, means to disqualify 

6 the zero-emission vehicle credit for any subsequent 

7 use under this section, including sale, transfer, ex8 change, or submission in satisfaction of a compliance 

9 obligation. 

10 ‘‘(5) VEHICLE MANUFACTURER.— 

11 ‘‘(A) IN GENERAL.—The term ‘vehicle 

12 manufacturer’ means an entity that— 

13 ‘‘(i) engaged in the manufacturing of 

14 new passenger vehicles; and 

15 ‘‘(ii) sold not fewer than 100 new pas16 senger vehicles to ultimate purchasers in 

17 the United States within the current or 

18 previous calendar year, either directly or 

19 through an affiliate, such as a dealer. 

20 ‘‘(B) EXCLUSIONS.—The term ‘vehicle 

21 manufacturer’ does not include— 

22 ‘‘(i) a motor vehicle parts supplier; or 

23 ‘‘(ii) a dealer. 

24 ‘‘(6) ZERO-EMISSION VEHICLE.—The term 

25 ‘zero-emission vehicle’ means a passenger vehicle 


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1 that produces zero exhaust emissions of any criteria 

2 pollutant, precursor pollutant, or greenhouse gas, 

3 other than water vapor, in any mode of operation or 

4 condition, as determined by the Administrator. 

5 ‘‘(b) COMPLIANCE.—For model year 2027 and each 

6 model year thereafter, each vehicle manufacturer shall 

7 meet the requirements of subsections (c) and (d) by sub8 mitting to the Administrator, not later than April 1 of 

9 the following calendar year, as applicable— 

10 ‘‘(1) for a vehicle manufacturer that fails to 

11 meet the minimum required percentage of zero-emis12 sion vehicle sales for the applicable model year, as 

13 determined under subsection (c), a quantity of zero14 emission vehicle credits sufficient to offset that ex15 cess, as determined by the Administrator; or 

16 ‘‘(2) for a vehicle manufacturer that meets or 

17 exceeds the minimum required percentage of zero18 emission vehicle sales for the applicable model year, 

19 as determined under subsection (c), a certification of 

20 that compliance, as the Administrator determines to 

21 be appropriate. 

22 ‘‘(c) MINIMUM REQUIRED ANNUAL PERCENTAGE OF

23 ZERO-EMISSION VEHICLE CREDITS.—For model years 

24 2027 through 2035, in annual increments, the minimum 

25 annual percentage of the base quantity of new passenger 


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1 vehicles of a vehicle manufacturer delivered for sale that 

2 are equivalent to zero-emission vehicles, based on the 

3 issuance of zero-emission vehicle credits, shall be the appli4 cable percentage specified in the following table: 

‘‘Minimum Required Annual Percentage of Zero-Emission Vehicle 

Credits 

Model Year Percentage 

2027 ................................................................................................ 43.0

2028 ................................................................................................ 51.0

2029 ................................................................................................ 59.0

2030 ................................................................................................ 68.0

2031 ................................................................................................ 76.0

2032 ................................................................................................ 82.0

2033 ................................................................................................ 88.0

2034 ................................................................................................ 94.0

2035 ................................................................................................ 100.0. 

5 ‘‘(d) REQUIREMENT FOR 2035 AND THEREAFTER.— 

6 For model year 2035 and each model year thereafter, a 

7 vehicle manufacturer shall sell only zero-emission vehicles. 

8 ‘‘(e) ZERO-EMISSION VEHICLE CREDITS.— 

9 ‘‘(1) IN GENERAL.—A vehicle manufacturer 

10 may satisfy the requirements of subsection (b) 

11 through the submission of zero-emission vehicle 

12 credits— 

13 ‘‘(A) issued to the vehicle manufacturer 

14 under subsection (f); or 

15 ‘‘(B) obtained by purchase, transfer, or ex16 change under subsection (g). 


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1 ‘‘(2) LIMITATION.—A zero-emission vehicle 

2 credit may be counted toward compliance with sub3 section (b) only once. 

4 ‘‘(f) ISSUANCE OF ZERO-EMISSION VEHICLE CRED5 ITS.— 

6 ‘‘(1) IN GENERAL.—Not later than 2 years 

7 after the date of enactment of this section, the Ad8 ministrator shall establish by rule a program— 

9 ‘‘(A) to verify and issue zero-emission vehi10 cle credits to vehicle manufacturers; 

11 ‘‘(B) to track the sale, transfer, exchange, 

12 carry over, and retirement of zero-emission ve13 hicle credits; and 

14 ‘‘(C) to enforce the requirements of this 

15 section. 

16 ‘‘(2) APPLICATION.— 

17 ‘‘(A) IN GENERAL.—A vehicle manufac18 turer that delivered for sale, either directly or 

19 through an affiliate, such as a dealer, a new 

20 zero-emission vehicle or a qualified electric vehi21 cle in the United States may apply to the Ad22 ministrator for the issuance of a zero-emission 

23 vehicle credit. 

24 ‘‘(B) ELIGIBILITY.—To be eligible for the 

25 issuance of a zero-emission vehicle credit, a veVerDate Sep 11 2014 04:25 Mar 02, 2024 Jkt 049200 PO 00000 Frm 00008 Fmt 6652 Sfmt 6201 E:\BILLS\S3845.IS S3845

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1 hicle manufacturer shall demonstrate to the Ad2 ministrator that the vehicle manufacturer deliv3 ered for sale 1 or more zero-emission vehicles or 

4 qualified electric vehicles in the previous model 

5 year. 

6 ‘‘(C) CONTENTS.—The application shall 

7 indicate— 

8 ‘‘(i) the type of zero-emission vehicle 

9 or qualified electric vehicle that was deliv10 ered for sale; 

11 ‘‘(ii) the State in which the zero-emis12 sion vehicle or qualified electric vehicle was 

13 delivered for sale; and 

14 ‘‘(iii) any other information deter15 mined to be appropriate by the Adminis16 trator. 

17 ‘‘(D) AGGREGATION.—An application for a 

18 zero-emission vehicle credit under subparagraph 

19 (A) may aggregate information on all zero-emis20 sion vehicles and qualified electric vehicles deliv21 ered for sale by the vehicle manufacturer in the 

22 applicable model year. 

23 ‘‘(3) QUANTITY OF ZERO-EMISSION VEHICLE

24 CREDITS.— 


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1 ‘‘(A) ZERO-EMISSION VEHICLES.—The Ad2 ministrator shall issue to a vehicle manufac3 turer the application under paragraph (2) of 

4 which is approved 1 zero-emission vehicle credit 

5 for each zero-emission vehicle delivered for sale 

6 in the United States. 

7 ‘‘(B) QUALIFIED ELECTRIC VEHICLES.— 

8 For a qualified electric vehicle delivered for sale 

9 by a vehicle manufacturer the application under 

10 paragraph (2) of which is approved, the Admin11 istrator shall issue a partial zero-emission vehi12 cle credit based on the estimated proportion of 

13 the mileage driven— 

14 ‘‘(i) with respect to a qualified electric 

15 vehicle described in subsection (a)(3)(A), 

16 on the battery of the qualified electric vehi17 cle, as determined by the Administrator; 

18 and 

19 ‘‘(ii) with respect to a qualified elec20 tric vehicle described in subsection 

21 (a)(3)(B), on hydrogen that is produced 

22 through a process that results in a lifecycle 

23 greenhouse gas emissions (as defined in 

24 section 45V(c) of the Internal Revenue 

25 Code of 1986) rate of less than 0.45 kiloVerDate Sep 11 2014 04:25 Mar 02, 2024 Jkt 049200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\S3845.IS S3845

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1 grams of carbon dioxide-equivalent per 

2 kilogram of hydrogen, as determined by 

3 the Administrator. 

4 ‘‘(C) CREDIT BANKING.—A zero-emission 

5 vehicle credit issued for any model year that is 

6 not submitted to comply with the minimum an7 nual percentage of zero-emission vehicles under 

8 subsection (c) during that model year may be 

9 carried forward for use pursuant to subsection 

10 (b)(1) within the next 5 years, but not later 

11 than model year 2035. 

12 ‘‘(g) ZERO-EMISSION VEHICLE CREDIT TRADING.— 

13 ‘‘(1) IN GENERAL.—A zero-emission vehicle 

14 credit for any model year before 2035 that is not 

15 submitted to the Administrator to comply with the 

16 minimum annual percentage of zero-emission vehi17 cles under subsection (c) for that model year may be 

18 sold, transferred, or exchanged by the vehicle manu19 facturer to which the credit is issued or by any other 

20 entity that acquires the zero-emission vehicle credit. 

21 ‘‘(2) DELEGATION.— 

22 ‘‘(A) IN GENERAL.—The Administrator 

23 may delegate to an appropriate market-making 

24 entity the administration of a national tradeable 

25 zero-emission vehicle credit market for purposes 


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1 of creating a transparent national market for 

2 the sale or trade of zero-emission vehicle cred3 its. 

4 ‘‘(B) PUBLIC REPORT.—If the Adminis5 trator makes a delegation under subparagraph 

6 (A), the entity to which the Administrator made 

7 the delegation shall annually submit to Con8 gress and make available to the public a report 

9 describing the status of the zero-emission vehi10 cle credit market. 

11 ‘‘(h) ZERO-EMISSION VEHICLE CREDIT RETIRE12 MENT.— 

13 ‘‘(1) IN GENERAL.—Any entity that obtains 

14 legal rights to a zero-emission vehicle credit may re15 tire the zero-emission vehicle credit in any model 

16 year. 

17 ‘‘(2) USE OF RETIRED ZERO-EMISSION VEHICLE

18 CREDIT.—A zero-emission vehicle credit retired 

19 under paragraph (1) may not be used for compliance 

20 with subsection (b) in— 

21 ‘‘(A) the model year in which the zero22 emission vehicle credit is retired; or 

23 ‘‘(B) any subsequent model year. 


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1 ‘‘(i) INFORMATION COLLECTION.—The Adminis2 trator may collect the information necessary to verify and 

3 audit— 

4 ‘‘(1) the model year sales of passenger vehicles 

5 of any vehicle manufacturer; 

6 ‘‘(2) a zero-emission vehicle credit submitted by 

7 a vehicle manufacturer pursuant to subsection 

8 (b)(1); 

9 ‘‘(3) the validity of a zero-emission vehicle cred10 it submitted for compliance by a vehicle manufac11 turer to the Administrator; and 

12 ‘‘(4) the quantity of passenger vehicles delivered 

13 for sale in the United States of all vehicle manufac14 turers. 

15 ‘‘(j) STATE PROGRAMS.— 

16 ‘‘(1) IN GENERAL.—Nothing in this section 

17 shall preempt the authority of a State or political 

18 subdivision of a State to adopt or enforce any law 

19 (including regulations) relating to motor vehicles, in20 cluding the authority to set standards for motor ve21 hicle emissions and zero-emission vehicle require22 ments under section 177 and section 209. 

23 ‘‘(2) COMPLIANCE WITH SECTION.—No law or 

24 regulation of a State or political subdivision of a 

25 State shall relieve any vehicle manufacturer from 


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1 compliance with any requirement otherwise applica2 ble under this section. 

3 ‘‘(k) SENSE OF CONGRESS.—It is the sense of Con4 gress that vehicle manufacturers should diversify vehicle 

5 technologies and models to ensure consumer choice and 

6 access. 

7 ‘‘(l) REGULATIONS.—Not later than 540 days after 

8 the date of enactment of this section, the Administrator 

9 shall promulgate regulations to implement this section. 

10 ‘‘(m) ENFORCEMENT.— 

11 ‘‘(1) CIVIL PENALTY.— 

12 ‘‘(A) IN GENERAL.—A vehicle manufac13 turer that fails to comply with subsection (b) 

14 shall be liable for a civil penalty, assessed by 

15 the Administrator, in an amount that is equal 

16 to twice the average value of the aggregate 

17 quantity of zero-emission vehicle credits that 

18 the vehicle manufacturer failed to submit in vio19 lation of that subsection, as determined by the 

20 Administrator. 

21 ‘‘(B) ENFORCEMENT.—The Administrator 

22 shall assess any civil penalty under subpara23 graph (A). 

24 ‘‘(C) DEPOSIT.—With respect to any civil 

25 penalty paid to the Administrator pursuant to 


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1 subparagraph (A), the Administrator shall de2 posit the amount into the Highway Trust Fund 

3 established by section 9503(a) of the Internal 

4 Revenue Code of 1986. 

5 ‘‘(2) INJUNCTION.—After model year 2035, the 

6 Administrator shall issue an injunction on the manu7 facture of any passenger vehicles other than zero8 emission vehicles by a vehicle manufacturer.’’. 

9 SEC. 4. CONGRESSIONAL INTENT. 

10 Nothing in this Act or an amendment made by this 

11 Act— 

12 (1) is intended as a statement of congressional 

13 intent with respect to the authority of the President 

14 or any Federal agency under the Clean Air Act (42 

15 U.S.C. 7401 et seq.); 

16 (2) preempts the ability of the Administrator of 

17 the Environmental Protection Agency under part A 

18 of title II of the Clean Air Act (42 U.S.C. 7521 et 

19 seq.) to promulgate standards applicable to the emis20 sion of any air pollutant from any class or classes 

21 of new motor vehicles or new motor vehicle engines 

22 which, in the judgment of the Administrator of the 

23 Environmental Protection Agency, causes, or con24 tributes to, air pollution; or 


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1 (3) precludes the Administrator of the Environ2 mental Protection Agency from considering, or re3 duces the obligations of the Administrator of the 

4 Environmental Protection Agency to consider, all 

5 available technologies, including zero-emission tech6 nologies, in prescribing the standards required pur7 suant to section 202(a) of the Clean Air Act (42 

8 U.S.C. 7521(a)). 

Æ 


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