II 

111TH CONGRESS 

1ST SESSION S. 222 

To amend the Internal Revenue Code of 1986 to increase the national limitation on qualified energy conservation bonds and to clarify that certain 

programs constitute a qualified conservation purpose, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

JANUARY 13, 2009 

Mr. FEINGOLD introduced the following bill; which was read twice and 

referred to the Committee on Finance 

A BILL 

To amend the Internal Revenue Code of 1986 to increase 

the national limitation on qualified energy conservation 

bonds and to clarify that certain programs constitute 

a qualified conservation purpose, 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 ‘‘Community Revitaliza5 tion Energy Conservation Act’’. 

6 SEC. 2. FINDINGS. 

7 Congress makes the following findings: 


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1 (1) Although conservation measures and energy 

2 efficiency technologies have shown significant gains 

3 in usage over the past three decades, there remains 

4 the need and opportunity for widespread adoption of 

5 energy conservation measures and utilization of new 

6 energy efficiency technologies. 

7 (2) Energy efficiency is in the national interest 

8 for our long-term economic well being, for the health 

9 and safety of our citizens and the world as we miti10 gate the effects of climate change, and for our inde11 pendence and security. 

12 (3) Energy inefficiencies account for at least 50 

13 percent of all United States energy use. 

14 (4) United States electricity use could be re15 duced by 70 percent through efficiency gains alone. 

16 (5) Estimates indicate that although the aver17 age United States household’s energy costs are equal 

18 to seven percent of household income, low-income 

19 households spend 17 percent of household earnings 

20 on energy. 

21 (6) The rehabilitation, retrofitting, and con22 struction of residential, commercial, and public fa23 cilities will create jobs that benefit community resi24 dents, facility owners, facilities, and the environ25 ment. 


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1 (7) The energy saving benefit of such programs, 

2 if they can be implemented on a national basis, 

3 would contribute significantly to our energy inde4 pendence and security. Buildings account for 40 per5 cent of total United States energy consumption; 70 

6 percent of United States electricity consumption; 

7 and 43 percent of United States carbon emissions, 

8 a larger share than either transportation or indus9 try. 

10 (8) Research, development, and deployment of 

11 renewable energy, advanced battery technologies, 

12 technologies to reduce fossil fuel consumption, and 

13 technologies to reduce energy consumption in build14 ings are vital to the rebuilding of the economy of the 

15 United States. 

16 SEC. 3. INCREASE IN NATIONAL LIMITATION FOR QUALI17 FIED ENERGY CONSERVATION BONDS. 

18 (a) IN GENERAL.—Section 54D(d) of the Internal 

19 Revenue Code of 1986 is amended by striking 

20 ‘‘$800,000,000’’ and inserting ‘‘$3,600,000,000’’. 

21 (b) EFFECTIVE DATE.—The amendment made by 

22 this section shall apply to obligations issued after the date 

23 of the enactment of this Act. 


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1 SEC. 4. CLARIFICATION OF QUALIFIED CONSERVATION 

2 PURPOSES WITH RESPECT TO QUALIFIED EN3 ERGY CONSERVATION BONDS. 

4 (a) IN GENERAL.—For purposes of section 

5 54D(f)(A)(ii) of the Internal Revenue Code of 1986, cap6 ital expenditures for green community programs include 

7 programs that— 

8 (1) reduce energy consumption in privately 

9 owned buildings, such as programs described in sub10 section (b); and 

11 (2) cover recruiting and training local workers 

12 for the jobs created by activities described in sub13 section (b) or by other green community programs. 

14 (b) PROGRAM DESCRIBED.— 

15 (1) IN GENERAL.—A program described in this 

16 subsection is a program which is implemented by a 

17 State or local government, or a designee, and in 

18 which the costs of identifying and making building 

19 improvements and related efficiency services are re20 payable by property owners or renters over time 

21 through a periodic fee. 

22 (2) IMPROVEMENTS.—Improvements described 

23 in paragraph (1) may include heating, cooling, light24 ing, water-saving, or stormwater-reducing measures 

25 or other measures that result in reduced energy use. 


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1 (3) PERIODIC FEE.—The periodic fee described 

2 in paragraph (1) is a fee which— 

3 (A) is equal to or approximates the savings 

4 in energy costs associated with the building im5 provements and achieved during the fee period; 

6 and 

7 (B) is assessed on a government bill, such 

8 as a bill issued for municipal services or for 

9 property taxes, or on a private utility bill, such 

10 as a bill issued for electricity, water, or natural 

11 gas service. 

12 SEC. 5. REPORTING REQUIREMENT. 

13 The Secretary of the Treasury shall submit to Con14 gress and publish in the Federal Register an annual report 

15 on projects for which qualified energy conservation bonds 

16 (as defined in section 54D of the Internal Revenue Code 

17 of 1986) are issued. Such report shall include— 

18 (1) the name and address of the issuer, 

19 (2) the date of the issue, the amount of net 

20 proceeds of the issue, the stated interest rate, term, 

21 and the face amount of each bond which is part of 

22 such issue, the amount of issuance costs of the issue, 

23 and the amount of reserves of the issue, 

24 (3) the name and address of— 


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1 (A) each initial principal user of any facil2 ity provided with the proceeds of the issue, and 

3 (B) the common parent of any affiliated 

4 group of corporations (within the meaning of 

5 section 1504(a) of such Code) of which such 

6 initial principal user is a member, and 

7 (4) a description of any property to be finance 

8 from the proceeds of the issue. 

9 SEC. 6. OFFSET. 

10 (a) PROHIBITION.—Except as provided in subsection 

11 (b), no amounts appropriated or otherwise made available 

12 for fiscal year 2009 (or for a fiscal year before fiscal year 

13 2009 that remain available for obligation) may be obli14 gated or expended, and no obligated amounts that remain 

15 available for expenditure may be expended, for the F–22A 

16 Raptor Fighter Aircraft. 

17 (b) EXCEPTION FOR WINDUP OF PROGRAM.— 

18 Amounts covered by the prohibition under subsection (a) 

19 may be utilized solely for purposes in connection with the 

20 winding up of the program described in that subsection. 

21 (c) REPEAL OF MULTIYEAR PROCUREMENT AU22 THORITY FOR F–22A RAPTOR FIGHTER AIRCRAFT.—Ef23 fective as of October 17, 2006, section 134 of the John 

24 Warner National Defense Authorization Act for Fiscal 

25 Year 2007 (Public Law 109–364), relating to multiyear 


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1 procurement authority for F–22A Raptor fighter aircraft, 

2 is repealed. 

Æ 


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