I 

116TH CONGRESS 

1ST SESSION H. R. 3962 

To promote energy savings in residential buildings and industry, and for 

other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 25, 2019 

Mr. WELCH (for himself and Mr. MCKINLEY) introduced the following bill; 

which was referred to the Committee on Energy and Commerce, and in 

addition to the Committees on Transportation and Infrastructure, 

Science, Space, and Technology, Financial Services, the Budget, and 

Oversight and Reform, for a period to be subsequently determined by the 

Speaker, in each case for consideration of such provisions as fall within 

the jurisdiction of the committee concerned 

A BILL 

To promote energy savings in residential buildings and 

industry, 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 ‘‘Energy Savings and Industrial Competitiveness Act of 

6 2019’’. 

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

8 this Act is as follows: 


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Sec. 1. Short title; table of contents. 

Sec. 2. Definition of Secretary. 

TITLE I—BUILDINGS 

Subtitle A—Building Energy Codes 

Sec. 101. Greater energy efficiency in building codes. 

Sec. 102. Cost-effective codes implementation for efficiency and resilience. 

Sec. 103. Commercial building energy consumption information sharing. 

Subtitle B—Worker Training and Capacity Building 

Sec. 111. Building training and assessment centers. 

Sec. 112. Career skills training. 

Subtitle C—School Buildings 

Sec. 121. Coordination of energy retrofitting assistance for schools. 

TITLE II—INDUSTRIAL EFFICIENCY AND COMPETITIVENESS 

Subtitle A—Manufacturing Energy Efficiency 

Sec. 201. Purposes. 

Sec. 202. Future of Industry program and industrial research and assessment 

centers. 

Sec. 203. Sustainable manufacturing initiative. 

Sec. 204. Conforming amendments. 

Subtitle B—Extended Product System Rebate Program 

Sec. 211. Extended Product System Rebate Program. 

Subtitle C—Transformer Rebate Program 

Sec. 221. Energy Efficient Transformer Rebate Program. 

TITLE III—FEDERAL AGENCY ENERGY EFFICIENCY 

Sec. 301. Energy-efficient and energy-saving information technologies. 

Sec. 302. Energy efficient data centers. 

TITLE IV—REGULATORY PROVISIONS 

Subtitle A—Third-Party Certification Under Energy Star Program 

Sec. 401. Third-Party Certification Under Energy Star Program. 

Subtitle B—Federal Green Buildings 

Sec. 411. High-performance green Federal buildings. 

Subtitle C—Energy and Water Performance Requirements for Federal 

Buildings 

Sec. 421. Energy and water performance requirements for Federal buildings. 

Sec. 422. Federal Energy Management Program. 

Sec. 423. Federal building energy efficiency performance standards; certification system and level for green buildings. 


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Sec. 424. Enhanced energy efficiency underwriting. 

TITLE V—MISCELLANEOUS 

Sec. 501. Budgetary effects. 

Sec. 502. Advance appropriations required. 

1 SEC. 2. DEFINITION OF SECRETARY. 

2 In this Act, the term ‘‘Secretary’’ means the Sec3 retary of Energy. 

4 TITLE I—BUILDINGS 

5 Subtitle A—Building Energy Codes 

6 SEC. 101. GREATER ENERGY EFFICIENCY IN BUILDING 

7 CODES. 

8 (a) DEFINITIONS.—Section 303 of the Energy Con9 servation and Production Act (42 U.S.C. 6832) is amend10 ed— 

11 (1) by striking paragraph (14) and inserting 

12 the following: 

13 ‘‘(14) MODEL BUILDING ENERGY CODE.—The 

14 term ‘model building energy code’ means a voluntary 

15 building energy code or standard developed and up16 dated by interested persons, such as the code or 

17 standard developed by— 

18 ‘‘(A) the Council of American Building Of19 ficials, or its legal successor, International Code 

20 Council, Inc.; 

21 ‘‘(B) the American Society of Heating, Re22 frigerating, and Air-Conditioning Engineers; or 


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1 ‘‘(C) other appropriate organizations.’’; 

2 and 

3 (2) by adding at the end the following: 

4 ‘‘(17) IECC.—The term ‘IECC’ means the 

5 International Energy Conservation Code. 

6 ‘‘(18) INDIAN TRIBE.—The term ‘Indian tribe’ 

7 has the meaning given the term in section 4 of the 

8 Native American Housing Assistance and Self-De9 termination Act of 1996 (25 U.S.C. 4103).’’. 

10 (b) STATE BUILDING ENERGY EFFICIENCY

11 CODES.—Section 304 of the Energy Conservation and 

12 Production Act (42 U.S.C. 6833) is amended to read as 

13 follows: 

14 ‘‘SEC. 304. UPDATING STATE BUILDING ENERGY EFFI15 CIENCY CODES. 

16 ‘‘(a) VOLUNTARY CODES AND STANDARDS.—Not17 withstanding any other provision of this section, any 

18 model building code or standard established under section 

19 304 shall not be binding on a State, local government, or 

20 Indian tribe as a matter of Federal law. 

21 ‘‘(b) ACTION BY SECRETARY.—The Secretary shall— 

22 ‘‘(1) encourage and support the adoption of 

23 building energy codes by States, Indian tribes, and, 

24 as appropriate, by local governments that meet or 


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1 exceed the model building energy codes, or achieve 

2 equivalent or greater energy savings; and 

3 ‘‘(2) support full compliance with the State and 

4 local codes. 

5 ‘‘(c) STATE AND INDIAN TRIBE CERTIFICATION OF

6 BUILDING ENERGY CODE UPDATES.— 

7 ‘‘(1) REVIEW AND UPDATING OF CODES BY

8 EACH STATE AND INDIAN TRIBE.— 

9 ‘‘(A) IN GENERAL.—Not later than 2 years 

10 after the date of publication of a revision to a 

11 model building energy code, each State or In12 dian tribe shall certify whether the State or In13 dian tribe, respectively, has reviewed and up14 dated the energy provisions of the building code 

15 of the State or Indian tribe, respectively. 

16 ‘‘(B) DEMONSTRATION.—The certification 

17 shall include a demonstration of whether the 

18 energy savings for the code provisions that are 

19 in effect throughout the territory of the State 

20 or Indian tribe meet or exceed the energy sav21 ings of the updated model building energy code. 

22 ‘‘(C) NO MODEL BUILDING ENERGY CODE

23 UPDATE.—If a model building energy code is 

24 not updated by a target date established under 

25 section 307(b)(2)(E), each State or Indian tribe 


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1 shall, not later than 2 years after the specified 

2 date, certify whether the State or Indian tribe, 

3 respectively, has reviewed and updated the en4 ergy provisions of the building code of the State 

5 or Indian tribe, respectively, to meet or exceed 

6 the target in section 307(b)(2). 

7 ‘‘(2) VALIDATION BY SECRETARY.—Not later 

8 than 90 days after a State or Indian tribe certifi9 cation under paragraph (1), the Secretary shall— 

10 ‘‘(A) determine whether the code provi11 sions of the State or Indian tribe, respectively, 

12 meet the criteria specified in paragraph (1); 

13 and 

14 ‘‘(B) if the determination is positive, vali15 date the certification. 

16 ‘‘(d) IMPROVEMENTS IN COMPLIANCE WITH BUILD17 ING ENERGY CODES.— 

18 ‘‘(1) REQUIREMENT.— 

19 ‘‘(A) IN GENERAL.—Not later than 3 years 

20 after the date of a certification under sub21 section (c), each State and Indian tribe shall 

22 certify whether the State and Indian tribe, re23 spectively, has— 

24 ‘‘(i) achieved full compliance under 

25 paragraph (3) with the applicable certified 


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1 State and Indian tribe building energy 

2 code or with the associated model building 

3 energy code; or 

4 ‘‘(ii) made significant progress under 

5 paragraph (4) toward achieving compliance 

6 with the applicable certified State and In7 dian tribe building energy code or with the 

8 associated model building energy code. 

9 ‘‘(B) REPEAT CERTIFICATIONS.—If the 

10 State or Indian tribe certifies progress toward 

11 achieving compliance, the State or Indian tribe 

12 shall repeat the certification until the State or 

13 Indian tribe certifies that the State or Indian 

14 tribe has achieved full compliance, respectively. 

15 ‘‘(2) MEASUREMENT OF COMPLIANCE.—A cer16 tification under paragraph (1) shall include docu17 mentation of the rate of compliance based on— 

18 ‘‘(A) independent inspections of a random 

19 sample of the buildings covered by the code in 

20 the preceding year; or 

21 ‘‘(B) an alternative method that yields an 

22 accurate measure of compliance. 

23 ‘‘(3) ACHIEVEMENT OF COMPLIANCE.—A State 

24 or Indian tribe shall be considered to achieve full 

25 compliance under paragraph (1) if— 


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1 ‘‘(A) at least 90 percent of building space 

2 covered by the code in the preceding year sub3 stantially meets all the requirements of the ap4 plicable code specified in paragraph (1), or 

5 achieves equivalent or greater energy savings 

6 level; or 

7 ‘‘(B) the estimated excess energy use of 

8 buildings that did not meet the applicable code 

9 specified in paragraph (1) in the preceding 

10 year, compared to a baseline of comparable 

11 buildings that meet this code, is not more than 

12 5 percent of the estimated energy use of all 

13 buildings covered by this code during the pre14 ceding year. 

15 ‘‘(4) SIGNIFICANT PROGRESS TOWARD

16 ACHIEVEMENT OF COMPLIANCE.—A State or Indian 

17 tribe shall be considered to have made significant 

18 progress toward achieving compliance for purposes 

19 of paragraph (1) if the State or Indian tribe— 

20 ‘‘(A) has developed and is implementing a 

21 plan for achieving compliance during the 8- 

22 year-period beginning on the date of enactment 

23 of the Energy Savings and Industrial Competi24 tiveness Act of 2019, including annual targets 


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1 for compliance and active training and enforce2 ment programs; and 

3 ‘‘(B) has met the most recent target under 

4 subparagraph (A). 

5 ‘‘(5) VALIDATION BY SECRETARY.—Not later 

6 than 90 days after a State or Indian tribe certifi7 cation under paragraph (1), the Secretary shall— 

8 ‘‘(A) determine whether the State or In9 dian tribe has demonstrated meeting the cri10 teria of this subsection, including accurate 

11 measurement of compliance; and 

12 ‘‘(B) if the determination is positive, vali13 date the certification. 

14 ‘‘(e) STATES OR INDIAN TRIBES THAT DO NOT

15 ACHIEVE COMPLIANCE.— 

16 ‘‘(1) REPORTING.—A State or Indian tribe that 

17 has not made a certification required under sub18 section (c) or (d) by the applicable deadline shall 

19 submit to the Secretary a report describing— 

20 ‘‘(A) the status of the State or Indian tribe 

21 with respect to meeting the requirements and 

22 submitting the certification; and 

23 ‘‘(B) a plan for meeting the requirements 

24 and submitting the certification. 


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1 ‘‘(2) FEDERAL SUPPORT.—For any State or In2 dian tribe for which the Secretary has not validated 

3 a certification by a deadline under subsection (c) or 

4 (d), the lack of the certification may be a consider5 ation for Federal support authorized under this sec6 tion for code adoption and compliance activities. 

7 ‘‘(3) LOCAL GOVERNMENT.—In any State or 

8 Indian tribe for which the Secretary has not vali9 dated a certification under subsection (c) or (d), a 

10 local government may be eligible for Federal support 

11 under subsections (f) and (g) by meeting the certifi12 cation requirements of subsections (c) and (d). 

13 ‘‘(4) REPORTS BY SECRETARY.— 

14 ‘‘(A) IN GENERAL.—Not later than De15 cember 31, 2020, and not less frequently than 

16 once every 3 years thereafter, the Secretary 

17 shall submit to Congress and publish a report 

18 describing— 

19 ‘‘(i) the status of model building en20 ergy codes; 

21 ‘‘(ii) the status of code adoption and 

22 compliance in the States and Indian tribes; 

23 ‘‘(iii) implementation of this section; 

24 and 


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1 ‘‘(iv) improvements in energy savings 

2 over time as result of the targets estab3 lished under section 307(b)(2). 

4 ‘‘(B) IMPACTS.—The report shall include 

5 estimates of impacts of past action under this 

6 section, and potential impacts of further action, 

7 on— 

8 ‘‘(i) upfront financial and construction 

9 costs, cost benefits and returns (using in10 vestment analysis), and lifetime energy use 

11 for buildings; 

12 ‘‘(ii) resulting energy costs to individ13 uals and businesses; and 

14 ‘‘(iii) resulting overall annual building 

15 ownership and operating costs. 

16 ‘‘(f) TECHNICAL ASSISTANCE TO STATES AND IN17 DIAN TRIBES.—The Secretary shall provide technical as18 sistance to States and Indian tribes to implement the goals 

19 and requirements of this section, including procedures and 

20 technical analysis for States and Indian tribes— 

21 ‘‘(1) to improve and implement State residential 

22 and commercial building energy codes; 

23 ‘‘(2) to demonstrate that the code provisions of 

24 the States and Indian tribes achieve equivalent or 


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1 greater energy savings than the model building en2 ergy codes and targets; 

3 ‘‘(3) to document the rate of compliance with a 

4 building energy code; and 

5 ‘‘(4) to otherwise promote the design and con6 struction of energy- and water-efficient buildings. 

7 ‘‘(g) AVAILABILITY OF INCENTIVE FUNDING.— 

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

9 incentive funding to States and Indian tribes— 

10 ‘‘(A) to implement the requirements of this 

11 section; 

12 ‘‘(B) to improve and implement residential 

13 and commercial building energy codes, including 

14 increasing and verifying compliance with the 

15 codes and training of State, tribal, and local 

16 building code officials to implement and enforce 

17 the codes; and 

18 ‘‘(C) to promote building energy and water 

19 efficiency through the use of the codes and 

20 standards. 

21 ‘‘(2) ADDITIONAL FUNDING.—Additional fund22 ing shall be provided under this subsection for im23 plementation of a plan to achieve and document full 

24 compliance with residential and commercial building 

25 energy codes under subsection (d)— 


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1 ‘‘(A) to a State or Indian tribe for which 

2 the Secretary has validated a certification under 

3 subsection (c) or (d); and 

4 ‘‘(B) in a State or Indian tribe that is not 

5 eligible under subparagraph (A), to a local gov6 ernment that is eligible under this section. 

7 ‘‘(3) TRAINING.—Of the amounts made avail8 able under this subsection, the State or Indian tribe 

9 may use amounts required, but not to exceed 

10 $750,000 for a State, to train State and local build11 ing code officials to implement and enforce codes de12 scribed in paragraph (2). 

13 ‘‘(4) LOCAL GOVERNMENTS.—States may share 

14 grants under this subsection with local governments 

15 that implement and enforce the codes. 

16 ‘‘(h) STRETCH CODES AND ADVANCED STAND17 ARDS.— 

18 ‘‘(1) IN GENERAL.—The Secretary shall provide 

19 technical and financial support for the development 

20 of stretch codes and advanced standards for residen21 tial and commercial buildings for use as— 

22 ‘‘(A) an option for adoption as a building 

23 energy code by local, tribal, or State govern24 ments; and 


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1 ‘‘(B) guidelines for energy-efficient build2 ing design. 

3 ‘‘(2) TARGETS.—The stretch codes and ad4 vanced standards shall be designed— 

5 ‘‘(A) to achieve substantial energy savings 

6 compared to the model building energy codes; 

7 and 

8 ‘‘(B) to meet targets under section 307(b), 

9 if available, at least 3 to 6 years in advance of 

10 the target years. 

11 ‘‘(i) STUDIES.—The Secretary, in consultation with 

12 building science experts from the National Laboratories 

13 and institutions of higher education, designers and build14 ers of energy-efficient residential and commercial build15 ings, code officials, code and standards developers, and 

16 other stakeholders, shall undertake a study of the feasi17 bility, impact, economics, and merit of— 

18 ‘‘(1) code and standards improvements that 

19 would require that buildings be designed, sited, and 

20 constructed in a manner that makes the buildings 

21 more adaptable in the future to become zero-net-en22 ergy after initial construction, as advances are 

23 achieved in energy-saving technologies; 


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1 ‘‘(2) code procedures to incorporate measured 

2 lifetimes, not just first-year energy use, in trade-offs 

3 and performance calculations; 

4 ‘‘(3) legislative options for increasing energy 

5 savings from building energy codes and standards, 

6 including additional incentives for effective State 

7 and local action, and verification of compliance with 

8 and enforcement of a code or standard other than by 

9 a State or local government; and 

10 ‘‘(4) code and standards improvements that 

11 consider energy efficiency and water efficiency and, 

12 to the maximum extent practicable, consider energy 

13 efficiency and water efficiency in an integrated man14 ner. 

15 ‘‘(j) EFFECT ON OTHER LAWS.—Nothing in this sec16 tion or section 307 supersedes or modifies the application 

17 of sections 321 through 346 of the Energy Policy and 

18 Conservation Act (42 U.S.C. 6291 et seq.). 

19 ‘‘(k) AUTHORIZATION OF APPROPRIATIONS.—There 

20 is authorized to be appropriated to carry out this section 

21 and section 307 $200,000,000, to remain available until 

22 expended.’’. 

23 (c) FEDERAL BUILDING ENERGY EFFICIENCY

24 STANDARDS.—Section 305 of the Energy Conservation 

25 and Production Act (42 U.S.C. 6834) is amended by strikVerDate Sep 11 2014 22:11 Jul 26, 2019 Jkt 089200 PO 00000 Frm 00015 Fmt 6652 Sfmt 6201 E:\BILLS\H3962.IH H3962

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1 ing ‘‘voluntary building energy code’’ each place it appears 

2 in subsections (a)(2)(B) and (b) and inserting ‘‘model 

3 building energy code’’. 

4 (d) MODEL BUILDING ENERGY CODES.—Section 307 

5 of the Energy Conservation and Production Act (42 

6 U.S.C. 6836) is amended to read as follows: 

7 ‘‘SEC. 307. SUPPORT FOR MODEL BUILDING ENERGY 

8 CODES. 

9 ‘‘(a) IN GENERAL.—The Secretary shall support the 

10 updating of model building energy codes. 

11 ‘‘(b) TARGETS.— 

12 ‘‘(1) IN GENERAL.—The Secretary shall sup13 port the updating of the model building energy codes 

14 to enable the achievement of aggregate energy sav15 ings targets established under paragraph (2). 

16 ‘‘(2) TARGETS.— 

17 ‘‘(A) IN GENERAL.—The Secretary shall 

18 work with State, Indian tribes, local govern19 ments, code and standards developers (such as 

20 the entities described in section 303(14)), and 

21 other interested parties to support the updating 

22 of model building energy codes by establishing 

23 1 or more national aggregate energy savings 

24 targets to achieve the purposes of this section. 


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1 ‘‘(B) SEPARATE TARGETS.—The Secretary 

2 shall establish separate targets for commercial 

3 and residential buildings. 

4 ‘‘(C) BASELINES.—The baseline for updat5 ing model building energy codes shall be the 

6 2009 IECC for residential buildings and 

7 ASHRAE Standard 90.1–2010 for commercial 

8 buildings. 

9 ‘‘(D) CODE CYCLES.—The targets estab10 lished under subparagraph (A) shall align with 

11 the respective code development cycles deter12 mined by the model building energy code-setting 

13 and standards development organizations de14 scribed in section 303(14). 

15 ‘‘(E) SPECIFIC YEARS.— 

16 ‘‘(i) IN GENERAL.—Targets for spe17 cific years shall be established and revised 

18 by the Secretary through rulemaking and 

19 coordinated with code and standards devel20 opers (such as the entities described in sec21 tion 303(14)) at a level that— 

22 ‘‘(I) is at the maximum level of 

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1 nomic considerations under paragraph 

2 (4); 

3 ‘‘(II) is higher than the preceding 

4 target; 

5 ‘‘(III) promotes the achievement 

6 of commercial and residential high7 performance buildings (as defined in 

8 section 401 of the Energy Independ9 ence and Security Act of 2007 (42 

10 U.S.C. 17061)) through high perform11 ance energy efficiency; and 

12 ‘‘(IV) takes into consideration 

13 the variations in climate zones used in 

14 model building energy codes. 

15 ‘‘(ii) INITIAL TARGETS.—Not later 

16 than 1 year after the date of enactment of 

17 this clause, the Secretary shall establish 

18 initial targets under this subparagraph. 

19 ‘‘(iii) DIFFERENT TARGET YEARS.— 

20 Subject to clause (i), prior to the applica21 ble year, the Secretary may set a later tar22 get year for any of the model building en23 ergy codes described in subparagraph (A) 

24 if the Secretary determines that a target 

25 cannot be met. 


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1 ‘‘(iv) SMALL BUSINESS.—When estab2 lishing targets under this paragraph 

3 through rulemaking, the Secretary shall 

4 ensure compliance with the Small Business 

5 Regulatory Enforcement Fairness Act of 

6 1996 (5 U.S.C. 601 note; Public Law 104– 

7 121). 

8 ‘‘(3) APPLIANCE STANDARDS AND OTHER FAC9 TORS AFFECTING BUILDING ENERGY USE.—In es10 tablishing building code targets under paragraph 

11 (2), the Secretary shall develop and adjust the tar12 gets in recognition of potential savings and costs re13 lating to— 

14 ‘‘(A) efficiency gains made in appliances, 

15 lighting, windows, insulation, and building enve16 lope sealing; 

17 ‘‘(B) advancement of distributed genera18 tion and on-site renewable power generation 

19 technologies; 

20 ‘‘(C) equipment improvements for heating, 

21 cooling, and ventilation systems; 

22 ‘‘(D) building management systems and 

23 smart technologies to reduce energy use; and 

24 ‘‘(E) other technologies, practices, and 

25 building systems that the Secretary considers 


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1 appropriate regarding building plug load and 

2 other energy uses. 

3 ‘‘(4) ECONOMIC CONSIDERATIONS.—In estab4 lishing and revising building code targets under 

5 paragraph (2), the Secretary shall consider the eco6 nomic feasibility of achieving the proposed targets 

7 established under this section and the potential costs 

8 and savings for consumers and building owners, in9 cluding a return on investment analysis. 

10 ‘‘(c) TECHNICAL ASSISTANCE TO MODEL BUILDING

11 ENERGY CODE-SETTING AND STANDARDS DEVELOPMENT

12 ORGANIZATIONS.— 

13 ‘‘(1) IN GENERAL.—The Secretary shall, on a 

14 timely basis, provide technical assistance to model 

15 building energy code-setting and standards develop16 ment organizations consistent with the goals of this 

17 section. 

18 ‘‘(2) ASSISTANCE.—The assistance shall in19 clude, as requested by the organizations, technical 

20 assistance in— 

21 ‘‘(A) evaluating code or standards pro22 posals or revisions; 

23 ‘‘(B) building energy and water analysis 

24 and design tools; 

25 ‘‘(C) building demonstrations; 


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1 ‘‘(D) developing definitions of energy use 

2 intensity and building types for use in model 

3 building energy codes to evaluate the efficiency 

4 impacts of the model building energy codes; 

5 ‘‘(E) performance-based standards; 

6 ‘‘(F) evaluating economic considerations 

7 under subsection (b)(4); and 

8 ‘‘(G) developing model building energy 

9 codes by Indian tribes in accordance with tribal 

10 law. 

11 ‘‘(3) AMENDMENT PROPOSALS.—The Secretary 

12 may submit timely model building energy code 

13 amendment proposals to the model building energy 

14 code-setting and standards development organiza15 tions, with supporting evidence, sufficient to enable 

16 the model building energy codes to meet the targets 

17 established under subsection (b)(2). 

18 ‘‘(4) ANALYSIS METHODOLOGY.—The Secretary 

19 shall make publicly available the entire calculation 

20 methodology (including input assumptions and data) 

21 used by the Secretary to estimate the energy savings 

22 of code or standard proposals and revisions. 

23 ‘‘(d) DETERMINATION.— 

24 ‘‘(1) REVISION OF MODEL BUILDING ENERGY

25 CODES.—If the provisions of the IECC or ASHRAE 


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1 Standard 90.1 regarding building energy use are 

2 proposed to be revised, the Secretary shall make a 

3 preliminary determination, by not later than 90 days 

4 after the date of receipt of the proposed revision, 

5 and a final determination by not later than 15 

6 months after the date of publication of the revision, 

7 regarding whether the revision will— 

8 ‘‘(A) improve energy efficiency in build9 ings, as compared to the existing model build10 ing energy code; and 

11 ‘‘(B) meet the applicable targets under 

12 subsection (b)(2). 

13 ‘‘(2) CODES OR STANDARDS NOT MEETING TAR14 GETS.— 

15 ‘‘(A) PRELIMINARY DETERMINATION BY

16 SECRETARY.—If the Secretary makes a prelimi17 nary determination under paragraph (1)(B) 

18 that a code or standard does not meet an appli19 cable target under subsection (b)(2), the Sec20 retary shall contemporaneously provide to the 

21 developer of the model building energy code or 

22 standard not fewer than 2 proposed changes 

23 that would result in a model building energy 

24 code that meets the applicable target, together 


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1 with supporting evidence, taking into consider2 ation— 

3 ‘‘(i) whether the modified code is tech4 nically feasible and lifecycle cost effective; 

5 ‘‘(ii) available appliances, technologies, 

6 materials, and construction practices; and 

7 ‘‘(iii) the economic considerations 

8 under subsection (b)(4). 

9 ‘‘(B) DETERMINATION OR ELECTION BY

10 DEVELOPER.—Not later than 270 days after 

11 the date of receipt of proposed changes of the 

12 Secretary under subparagraph (A), a developer 

13 shall— 

14 ‘‘(i) determine whether— 

15 ‘‘(I) to publish a new revised 

16 code accepting the proposed changes; 

17 or 

18 ‘‘(II) to reject the proposed 

19 changes; or 

20 ‘‘(ii) if the developer elects not to 

21 make a determination under clause (i), 

22 publish a notice of that election, together 

23 with the proposed changes. 

24 ‘‘(C) FINAL DETERMINATION BY SEC25 RETARY.— 


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1 ‘‘(i) IN GENERAL.—A final determina2 tion by the Secretary shall be made on the 

3 model building energy code or standard, as 

4 modified by the changes proposed by the 

5 Secretary under subparagraph (A). 

6 ‘‘(ii) ADDITIONAL DETERMINA7 TIONS.—If a model building energy code or 

8 standards developer makes an election pur9 suant to subparagraph (B)(ii), the Sec10 retary shall make the following final deter11 minations for purposes of this subsection: 

12 ‘‘(I) A final determination re13 garding whether the code or standard 

14 of the developer, absent any changes 

15 proposed by the Secretary under sub16 paragraph (A), will— 

17 ‘‘(aa) improve energy effi18 ciency in buildings, as compared 

19 to the existing model building en20 ergy code; and 

21 ‘‘(bb) meet the applicable 

22 targets under subsection (b)(2). 

23 ‘‘(II) A final determination re24 garding whether the code or standard 

25 of the developer, as modified by the 


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1 changes proposed by the Secretary 

2 under subparagraph (A), would— 

3 ‘‘(aa) improve energy effi4 ciency in buildings, as compared 

5 to the existing model building en6 ergy code; and 

7 ‘‘(bb) meet the applicable 

8 targets under subsection (b)(2). 

9 ‘‘(e) ADMINISTRATION.—In carrying out this section, 

10 the Secretary shall— 

11 ‘‘(1) publish notice of targets and supporting 

12 analysis and determinations under this section in the 

13 Federal Register to provide an explanation of and 

14 the basis for such actions, including any supporting 

15 modeling, data, assumptions, protocols, and cost16 benefit analysis, including return on investment; and 

17 ‘‘(2) provide an opportunity for public comment 

18 on targets and supporting analysis and determina19 tions under this section.’’. 

20 SEC. 102. COST-EFFECTIVE CODES IMPLEMENTATION FOR 

21 EFFICIENCY AND RESILIENCE. 

22 (a) IN GENERAL.—Title III of the Energy Conserva23 tion and Production Act (42 U.S.C. 6831 et seq.) is 

24 amended by adding at the end the following: 


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1 ‘‘SEC. 309. COST-EFFECTIVE CODES IMPLEMENTATION FOR 

2 EFFICIENCY AND RESILIENCE. 

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

4 ‘‘(1) ELIGIBLE ENTITY.—The term ‘eligible en5 tity’ means— 

6 ‘‘(A) a relevant State agency, as deter7 mined by the Secretary, such as a State build8 ing code agency or State energy office; and 

9 ‘‘(B) a partnership. 

10 ‘‘(2) PARTNERSHIP.—The term ‘partnership’ 

11 means a partnership between an eligible entity de12 scribed in paragraph (1)(A) and 1 or more of the 

13 following entities: 

14 ‘‘(A) Local building code agencies. 

15 ‘‘(B) Codes and standards developers. 

16 ‘‘(C) Associations of builders and design 

17 and construction professionals. 

18 ‘‘(D) Local and utility energy efficiency 

19 programs. 

20 ‘‘(E) Consumer, energy efficiency, and en21 vironmental advocates. 

22 ‘‘(F) Other entities, as determined by the 

23 Secretary. 

24 ‘‘(3) SECRETARY.—The term ‘Secretary’ means 

25 the Secretary of Energy. 

26 ‘‘(b) ESTABLISHMENT.— 


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1 ‘‘(1) IN GENERAL.—The Secretary shall estab2 lish within the Building Technologies Office of the 

3 Department of Energy a program under which the 

4 Secretary shall award grants on a competitive basis 

5 to eligible entities to enable sustained cost-effective 

6 implementation of updated building energy codes. 

7 ‘‘(2) UPDATED BUILDING ENERGY CODE.—An 

8 update to a building energy code under this section 

9 shall include any update made available after the ex10 isting building energy code, even if it is not the most 

11 recent updated code available. 

12 ‘‘(c) CRITERIA; PRIORITY.—In awarding grants 

13 under subsection (b), the Secretary shall— 

14 ‘‘(1) consider— 

15 ‘‘(A) prospective energy savings and plans 

16 to measure the savings; 

17 ‘‘(B) the long-term sustainability of those 

18 measures and savings; 

19 ‘‘(C) prospective benefits, and plans to as20 sess the benefits, including benefits relating 

21 to— 

22 ‘‘(i) resilience and peak load reduc23 tion; 

24 ‘‘(ii) occupant safety and health; and 

25 ‘‘(iii) environmental performance; 


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1 ‘‘(D) the demonstrated capacity of the eli2 gible entity to carry out the proposed project; 

3 and 

4 ‘‘(E) the need of the eligible entity for as5 sistance; and 

6 ‘‘(2) give priority to applications from partner7 ships. 

8 ‘‘(d) ELIGIBLE ACTIVITIES.— 

9 ‘‘(1) IN GENERAL.—An eligible entity awarded 

10 a grant under this section may use the grant 

11 funds— 

12 ‘‘(A) to create or enable State or regional 

13 partnerships to provide training and materials 

14 to— 

15 ‘‘(i) builders, contractors and sub16 contractors, architects, and other design 

17 and construction professionals, relating to 

18 meeting updated building energy codes in a 

19 cost-effective manner; and 

20 ‘‘(ii) building code officials, relating to 

21 improving implementation of and compli22 ance with building energy codes; 

23 ‘‘(B) to collect and disseminate quan24 titative data on construction and codes impleVerDate Sep 11 2014 22:11 Jul 26, 2019 Jkt 089200 PO 00000 Frm 00028 Fmt 6652 Sfmt 6201 E:\BILLS\H3962.IH H3962

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1 mentation, including code pathways, perform2 ance metrics, and technologies used; 

3 ‘‘(C) to develop and implement a plan for 

4 highly effective codes implementation, including 

5 measuring compliance; 

6 ‘‘(D) to address various implementation 

7 needs in rural, suburban, and urban areas; and 

8 ‘‘(E) to implement updates in energy codes 

9 for— 

10 ‘‘(i) new residential and commercial 

11 buildings (including multifamily buildings); 

12 and 

13 ‘‘(ii) additions and alterations to ex14 isting residential and commercial buildings 

15 (including multifamily buildings). 

16 ‘‘(2) RELATED TOPICS.—Training and mate17 rials provided using a grant under this section may 

18 include information on the relationship between en19 ergy codes and— 

20 ‘‘(A) cost-effective, high-performance, and 

21 zero-net-energy buildings; 

22 ‘‘(B) improving resilience, health, and safe23 ty; 

24 ‘‘(C) water savings and other environ25 mental impacts; and 


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1 ‘‘(D) the economic impacts of energy 

2 codes. 

3 ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There 

4 are authorized to be appropriated to the Secretary to carry 

5 out this section— 

6 ‘‘(1) $25,000,000 for each of fiscal years 2020 

7 through 2029; and 

8 ‘‘(2) for fiscal year 2030 and each fiscal year 

9 thereafter, such sums as are necessary.’’. 

10 (b) CONFORMING AMENDMENT.—Section 303 of the 

11 Energy Conservation and Production Act (42 U.S.C. 

12 6832) is amended, in the matter preceding paragraph (1), 

13 by striking ‘‘As used in’’ and inserting ‘‘Except as other14 wise provided, in’’. 

15 SEC. 103. COMMERCIAL BUILDING ENERGY CONSUMPTION 

16 INFORMATION SHARING. 

17 (a) IN GENERAL.—Not later than 120 days after the 

18 date of enactment of this Act, the Administrator of the 

19 Energy Information Administration (referred to in this 

20 section as the ‘‘Administrator’’) and the Administrator of 

21 the Environmental Protection Agency shall sign, and sub22 mit to Congress, an information sharing agreement (re23 ferred to in this section as the ‘‘agreement’’) relating to 

24 commercial building energy consumption data. 


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1 (b) CONTENT OF AGREEMENT.—The agreement 

2 shall— 

3 (1) provide that the Administrator shall have 

4 access to building-specific data in the Portfolio Man5 ager database of the Environmental Protection 

6 Agency; 

7 (2) describe the manner in which the Adminis8 trator shall incorporate appropriate data (including 

9 the data described in subsection (c)) into any Com10 mercial Buildings Energy Consumption Survey (re11 ferred to in this section as ‘‘CBECS’’) published 

12 after the date of enactment of this Act for the pur13 pose of analyzing and estimating building popu14 lation, size, location, activity, energy usage, and any 

15 other relevant building characteristic; and 

16 (3) describe and compare— 

17 (A) the methodologies that the Energy In18 formation Administration, the Environmental 

19 Protection Agency, and State and local govern20 ment managers use to maximize the quality, re21 liability, and integrity of data collected through 

22 CBECS, the Portfolio Manager database of the 

23 Environmental Protection Agency, and State 

24 and local building energy disclosure laws (in25 cluding regulations), respectively, and the manVerDate Sep 11 2014 22:11 Jul 26, 2019 Jkt 089200 PO 00000 Frm 00031 Fmt 6652 Sfmt 6201 E:\BILLS\H3962.IH H3962

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1 ner in which those methodologies can be im2 proved; and 

3 (B) consistencies and variations in data for 

4 buildings that were captured in the 2012 

5 CBECS cycle and in the Portfolio Manager 

6 database of the Environmental Protection 

7 Agency. 

8 (c) DATA.—The data referred in subsection (b)(2) in9 cludes data that— 

10 (1) is collected through the Portfolio Manager 

11 database of the Environmental Protection Agency; 

12 (2) is required to be publicly available on the 

13 internet under State and local government building 

14 energy disclosure laws (including regulations); and 

15 (3) includes information on private sector build16 ings that are not less than 250,000 square feet. 

17 (d) PROTECTION OF INFORMATION.—In carrying out 

18 the agreement, the Administrator and the Administrator 

19 of the Environmental Protection Agency shall protect in20 formation in accordance with— 

21 (1) section 552(b)(4) of title 5, United States 

22 Code (commonly known as the ‘Freedom of Informa23 tion Act’); 

24 (2) subchapter III of chapter 35 of title 44, 

25 United States Code; and 


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1 (3) any other applicable law (including regula2 tions). 

3 Subtitle B—Worker Training and 

4 Capacity Building 

5 SEC. 111. BUILDING TRAINING AND ASSESSMENT CENTERS. 

6 (a) IN GENERAL.—The Secretary shall provide 

7 grants to institutions of higher education (as defined in 

8 section 101 of the Higher Education Act of 1965 (20 

9 U.S.C. 1001)) and Tribal Colleges or Universities (as de10 fined in section 316(b) of that Act (20 U.S.C. 1059c(b))) 

11 to establish building training and assessment centers— 

12 (1) to identify opportunities for optimizing en13 ergy efficiency and environmental performance in 

14 buildings; 

15 (2) to promote the application of emerging con16 cepts and technologies in commercial and institu17 tional buildings; 

18 (3) to train engineers, architects, building sci19 entists, building energy permitting and enforcement 

20 officials, and building technicians in energy-efficient 

21 design and operation; 

22 (4) to assist institutions of higher education 

23 and Tribal Colleges or Universities in training build24 ing technicians; 


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1 (5) to promote research and development for 

2 the use of alternative energy sources and distributed 

3 generation to supply heat and power for buildings, 

4 particularly energy-intensive buildings; and 

5 (6) to coordinate with and assist State-accred6 ited technical training centers, community colleges, 

7 Tribal Colleges or Universities, and local offices of 

8 the National Institute of Food and Agriculture and 

9 ensure appropriate services are provided under this 

10 section to each region of the United States. 

11 (b) COORDINATION AND NONDUPLICATION.— 

12 (1) IN GENERAL.—The Secretary shall coordi13 nate the program with the industrial research and 

14 assessment centers program and with other Federal 

15 programs to avoid duplication of effort. 

16 (2) COLLOCATION.—To the maximum extent 

17 practicable, building, training, and assessment cen18 ters established under this section shall be collocated 

19 with Industrial Assessment Centers. 

20 (c) AUTHORIZATION OF APPROPRIATIONS.—There is 

21 authorized to be appropriated to carry out this section 

22 $10,000,000, to remain available until expended. 


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1 SEC. 112. CAREER SKILLS TRAINING. 

2 (a) DEFINITION OF ELIGIBLE ENTITY.—In this sec3 tion, the term ‘‘eligible entity’’ means a nonprofit partner4 ship that— 

5 (1) includes the equal participation of industry, 

6 including public or private employers, and labor or7 ganizations, including joint labor-management train8 ing programs; 

9 (2) may include workforce investment boards, 

10 community-based organizations, qualified service and 

11 conservation corps, educational institutions, small 

12 businesses, cooperatives, State and local veterans 

13 agencies, and veterans service organizations; and 

14 (3) demonstrates— 

15 (A) experience in implementing and oper16 ating worker skills training and education pro17 grams; 

18 (B) the ability to identify and involve in 

19 training programs carried out under this sec20 tion, target populations of individuals who 

21 would benefit from training and be actively in22 volved in activities relating to energy efficiency 

23 and renewable energy industries; and 

24 (C) the ability to help individuals achieve 

25 economic self-sufficiency. 


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1 (b) ESTABLISHMENT.—The Secretary shall award 

2 grants to eligible entities to pay the Federal share of asso3 ciated career skills training programs under which stu4 dents concurrently receive classroom instruction and on5 the-job training for the purpose of obtaining an industry6 related certification to install energy efficient buildings 

7 technologies, including technologies described in sub8 section (b)(3) of section 307 of the Energy Conservation 

9 and Production Act (42 U.S.C. 6836). 

10 (c) FEDERAL SHARE.—The Federal share of the cost 

11 of carrying out a career skills training program described 

12 in subsection (a) shall be 50 percent. 

13 (d) AUTHORIZATION OF APPROPRIATIONS.—There is 

14 authorized to be appropriated to carry out this section 

15 $10,000,000, to remain available until expended. 

16 Subtitle C—School Buildings 

17 SEC. 121. COORDINATION OF ENERGY RETROFITTING AS18 SISTANCE FOR SCHOOLS. 

19 (a) DEFINITION OF SCHOOL.—In this section, the 

20 term ‘‘school’’ means— 

21 (1) an elementary school or secondary school 

22 (as defined in section 8101 of the Elementary and 

23 Secondary Education Act of 1965 (20 U.S.C. 

24 7801)); 


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1 (2) an institution of higher education (as de2 fined in section 102(a) of the Higher Education Act 

3 of 1965 (20 U.S.C. 1002(a))); 

4 (3) a school of the defense dependents’ edu5 cation system under the Defense Dependents’ Edu6 cation Act of 1978 (20 U.S.C. 921 et seq.) or estab7 lished under section 2164 of title 10, United States 

8 Code; 

9 (4) a school operated by the Bureau of Indian 

10 Affairs; 

11 (5) a tribally controlled school (as defined in 

12 section 5212 of the Tribally Controlled Schools Act 

13 of 1988 (25 U.S.C. 2511)); and 

14 (6) a Tribal College or University (as defined in 

15 section 316(b) of the Higher Education Act of 1965 

16 (20 U.S.C. 1059c(b))). 

17 (b) DESIGNATION OF LEAD AGENCY.—The Sec18 retary, acting through the Office of Energy Efficiency and 

19 Renewable Energy, shall act as the lead Federal agency 

20 for coordinating and disseminating information on exist21 ing Federal programs and assistance that may be used 

22 to help initiate, develop, and finance energy efficiency, re23 newable energy, and energy retrofitting projects for 

24 schools. 


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1 (c) REQUIREMENTS.—In carrying out coordination 

2 and outreach under subsection (b), the Secretary shall— 

3 (1) in consultation and coordination with the 

4 appropriate Federal agencies, carry out a review of 

5 existing programs and financing mechanisms (in6 cluding revolving loan funds and loan guarantees) 

7 available in or from the Department of Agriculture, 

8 the Department of Energy, the Department of Edu9 cation, the Department of the Treasury, the Internal 

10 Revenue Service, the Environmental Protection 

11 Agency, and other appropriate Federal agencies with 

12 jurisdiction over energy financing and facilitation 

13 that are currently used or may be used to help ini14 tiate, develop, and finance energy efficiency, renew15 able energy, and energy retrofitting projects for 

16 schools; 

17 (2) establish a Federal cross-departmental col18 laborative coordination, education, and outreach ef19 fort to streamline communication and promote avail20 able Federal opportunities and assistance described 

21 in paragraph (1), for energy efficiency, renewable 

22 energy, and energy retrofitting projects that enables 

23 States, local educational agencies, and schools— 

24 (A) to use existing Federal opportunities 

25 more effectively; and 


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1 (B) to form partnerships with Governors, 

2 State energy programs, local educational, finan3 cial, and energy officials, State and local gov4 ernment officials, nonprofit organizations, and 

5 other appropriate entities, to support the initi6 ation of the projects; 

7 (3) provide technical assistance for States, local 

8 educational agencies, and schools to help develop 

9 and finance energy efficiency, renewable energy, and 

10 energy retrofitting projects— 

11 (A) to increase the energy efficiency of 

12 buildings or facilities; 

13 (B) to install systems that individually 

14 generate energy from renewable energy re15 sources; 

16 (C) to establish partnerships to leverage 

17 economies of scale and additional financing 

18 mechanisms available to larger clean energy ini19 tiatives; or 

20 (D) to promote— 

21 (i) the maintenance of health, environ22 mental quality, and safety in schools, in23 cluding the ambient air quality, through 

24 energy efficiency, renewable energy, and 

25 energy retrofit projects; and 


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1 (ii) the achievement of expected en2 ergy savings and renewable energy produc3 tion through proper operations and main4 tenance practices; 

5 (4) develop and maintain a single online re6 source website with contact information for relevant 

7 technical assistance and support staff in the Office 

8 of Energy Efficiency and Renewable Energy for 

9 States, local educational agencies, and schools to ef10 fectively access and use Federal opportunities and 

11 assistance described in paragraph (1) to develop en12 ergy efficiency, renewable energy, and energy retro13 fitting projects; and 

14 (5) establish a process for recognition of schools 

15 that— 

16 (A) have successfully implemented energy 

17 efficiency, renewable energy, and energy retro18 fitting projects; and 

19 (B) are willing to serve as resources for 

20 other local educational agencies and schools to 

21 assist initiation of similar efforts. 

22 (d) REPORT.—Not later than 180 days after the date 

23 of enactment of this Act, the Secretary shall submit to 

24 Congress a report describing the implementation of this 

25 section. 


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1 TITLE II—INDUSTRIAL EFFI2 CIENCY AND COMPETITIVE3 NESS 

4 Subtitle A—Manufacturing Energy 

5 Efficiency 

6 SEC. 201. PURPOSES. 

7 The purposes of this subtitle are— 

8 (1) to establish a clear and consistent authority 

9 for industrial efficiency programs of the Department 

10 of Energy; 

11 (2) to accelerate the deployment of technologies 

12 and practices that will increase industrial energy ef13 ficiency and improve productivity; 

14 (3) to accelerate the development and dem15 onstration of technologies that will assist the deploy16 ment goals of the industrial efficiency programs of 

17 the Department of Energy and increase manufac18 turing efficiency; 

19 (4) to stimulate domestic economic growth and 

20 improve industrial productivity and competitiveness; 

21 (5) to meet the future workforce needs of in22 dustry; and 

23 (6) to strengthen partnerships between Federal 

24 and State governmental agencies and the private 

25 and academic sectors. 


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1 SEC. 202. FUTURE OF INDUSTRY PROGRAM AND INDUS2 TRIAL RESEARCH AND ASSESSMENT CEN3 TERS. 

4 (a) FUTURE OF INDUSTRY PROGRAM.—Section 452 

5 of the Energy Independence and Security Act of 2007 (42 

6 U.S.C. 17111) is amended— 

7 (1) by striking the section heading and insert8 ing the following: ‘‘FUTURE OF INDUSTRY PRO9 GRAM’’; 

10 (2) in subsection (a)(2)— 

11 (A) by redesignating subparagraph (E) as 

12 subparagraph (F); and 

13 (B) by inserting after subparagraph (D) 

14 the following: 

15 ‘‘(E) water and wastewater treatment fa16 cilities, including systems that treat municipal, 

17 industrial, and agricultural waste; and’’; 

18 (3) by striking subsection (e); and 

19 (4) by redesignating subsection (f) as sub20 section (e). 

21 (b) INDUSTRIAL RESEARCH AND ASSESSMENT CEN22 TERS.—Subtitle D of title IV of the Energy Independence 

23 and Security Act of 2007 (42 U.S.C. 17111 et seq.) is 

24 amended by adding at the end the following: 


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1 ‘‘SEC. 454. INDUSTRIAL RESEARCH AND ASSESSMENT CEN2 TERS. 

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

4 ‘‘(1) ENERGY SERVICE PROVIDER.—The term 

5 ‘energy service provider’ means— 

6 ‘‘(A) any business providing technology or 

7 services to improve the energy efficiency, water 

8 efficiency, power factor, or load management of 

9 a manufacturing site or other industrial process 

10 in an energy-intensive industry (as defined in 

11 section 452(a)); and 

12 ‘‘(B) any utility operating under a utility 

13 energy service project. 

14 ‘‘(2) INDUSTRIAL RESEARCH AND ASSESSMENT

15 CENTER.—The term ‘industrial research and assess16 ment center’ means— 

17 ‘‘(A) an institution of higher education18 based industrial research and assessment center 

19 that is funded by the Secretary under sub20 section (b); and 

21 ‘‘(B) an industrial research and assess22 ment center at a trade school, community col23 lege, or union training program that is funded 

24 by the Secretary under subsection (f). 

25 ‘‘(b) INSTITUTION OF HIGHER EDUCATION-BASED

26 INDUSTRIAL RESEARCH AND ASSESSMENT CENTERS.— 


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

2 funding to institution of higher education-based in3 dustrial research and assessment centers. 

4 ‘‘(2) PURPOSE.—The purpose of each institu5 tion of higher education-based industrial research 

6 and assessment center shall be— 

7 ‘‘(A) to identify opportunities for opti8 mizing energy efficiency and environmental per9 formance, including implementation of— 

10 ‘‘(i) smart manufacturing; 

11 ‘‘(ii) energy management systems; 

12 ‘‘(iii) sustainable manufacturing; and 

13 ‘‘(iv) information technology advance14 ments for supply chain analysis, logistics, 

15 system monitoring, industrial and manu16 facturing processes, and other purposes; 

17 ‘‘(B) to promote applications of emerging 

18 concepts and technologies in small- and me19 dium-sized manufacturers (including water and 

20 wastewater treatment facilities and federally 

21 owned manufacturing facilities); 

22 ‘‘(C) to promote research and development 

23 for the use of alternative energy sources to sup24 ply heat, power, and new feedstocks for energy25 intensive industries; 


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1 ‘‘(D) to coordinate with appropriate Fed2 eral and State research offices; 

3 ‘‘(E) to provide a clearinghouse for indus4 trial process and energy efficiency technical as5 sistance resources; and 

6 ‘‘(F) to coordinate with State-accredited 

7 technical training centers and community col8 leges, while ensuring appropriate services to all 

9 regions of the United States. 

10 ‘‘(c) COORDINATION.—To increase the value and ca11 pabilities of the industrial research and assessment cen12 ters, the centers shall— 

13 ‘‘(1) coordinate with Manufacturing Extension 

14 Partnership Centers of the National Institute of 

15 Standards and Technology; 

16 ‘‘(2) coordinate with the Federal Energy Man17 agement Program and the Building Technologies 

18 Program of the Department of Energy to provide 

19 building assessment services to manufacturers; 

20 ‘‘(3) increase partnerships with the National 

21 Laboratories of the Department of Energy to lever22 age the expertise, technologies, and research and de23 velopment capabilities of the National Laboratories 

24 for national industrial and manufacturing needs; 


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1 ‘‘(4) increase partnerships with energy service 

2 providers and technology providers to leverage pri3 vate sector expertise and accelerate deployment of 

4 new and existing technologies and processes for en5 ergy efficiency, power factor, and load management; 

6 ‘‘(5) identify opportunities for reducing green7 house gas emissions and other air emissions; and 

8 ‘‘(6) promote sustainable manufacturing prac9 tices for small- and medium-sized manufacturers. 

10 ‘‘(d) OUTREACH.—The Secretary shall provide fund11 ing for— 

12 ‘‘(1) outreach activities by the industrial re13 search and assessment centers to inform small- and 

14 medium-sized manufacturers of the information, 

15 technologies, and services available; and 

16 ‘‘(2) coordination activities by each industrial 

17 research and assessment center to leverage efforts 

18 with— 

19 ‘‘(A) Federal and State efforts; 

20 ‘‘(B) the efforts of utilities and energy 

21 service providers; 

22 ‘‘(C) the efforts of regional energy effi23 ciency organizations; and 

24 ‘‘(D) the efforts of other industrial re25 search and assessment centers. 


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1 ‘‘(e) CENTERS OF EXCELLENCE.— 

2 ‘‘(1) ESTABLISHMENT.—The Secretary shall es3 tablish a Center of Excellence at not more than 5 

4 of the highest-performing industrial research and as5 sessment centers, as determined by the Secretary. 

6 ‘‘(2) DUTIES.—A Center of Excellence shall co7 ordinate with and advise the industrial research and 

8 assessment centers located in the region of the Cen9 ter of Excellence, including— 

10 ‘‘(A) by mentoring new directors and staff 

11 of the industrial research and assessment cen12 ters with respect to— 

13 ‘‘(i) the availability of resources; and 

14 ‘‘(ii) best practices for carrying out 

15 assessments, including through the partici16 pation of the staff of the Center of Excel17 lence in assessments carried out by new in18 dustrial research and assessment centers; 

19 ‘‘(B) by providing training to staff and 

20 students at the industrial research and assess21 ment centers on new technologies, practices, 

22 and tools to expand the scope and impact of the 

23 assessments carried out by the centers; 

24 ‘‘(C) by assisting the industrial research 

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1 nical opportunities, including by providing a 

2 clearinghouse of available expertise and tools to 

3 assist the centers and clients of the centers in 

4 assessing and implementing those opportunities; 

5 ‘‘(D) by identifying and coordinating with 

6 regional, State, local, and utility energy effi7 ciency programs for the purpose of facilitating 

8 efforts by industrial research and assessment 

9 centers to connect industrial facilities receiving 

10 assessments from those centers with regional, 

11 State, local, and utility energy efficiency pro12 grams that could aid the industrial facilities in 

13 implementing any recommendations resulting 

14 from the assessments; 

15 ‘‘(E) by facilitating coordination between 

16 the industrial research and assessment centers 

17 and other Federal programs described in para18 graphs (1) through (3) of subsection (c); and 

19 ‘‘(F) by coordinating the outreach activi20 ties of the industrial research and assessment 

21 centers under subsection (d)(1). 

22 ‘‘(3) FUNDING.—Subject to the availability of 

23 appropriations, for each fiscal year, out of any 

24 amounts made available to carry out this section 


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1 under subsection (i), the Secretary shall use not less 

2 than $500,000 to support each Center of Excellence. 

3 ‘‘(f) EXPANSION OF INDUSTRIAL RESEARCH AND AS4 SESSMENT CENTERS.— 

5 ‘‘(1) IN GENERAL.—The Secretary shall provide 

6 funding to establish additional industrial research 

7 and assessment centers at trade schools, community 

8 colleges, and union training programs. 

9 ‘‘(2) PURPOSE.— 

10 ‘‘(A) IN GENERAL.—Subject to subpara11 graph (B), to the maximum extent practicable, 

12 an industrial research and assessment center 

13 established under paragraph (1) shall have the 

14 same purpose as an institution of higher edu15 cation-based industrial research center that is 

16 funded by the Secretary under subsection 

17 (b)(1). 

18 ‘‘(B) CONSIDERATION OF CAPABILITIES.— 

19 In evaluating or establishing the purpose of an 

20 industrial research and assessment center es21 tablished under paragraph (1), the Secretary 

22 shall take into consideration the varying capa23 bilities of trade schools, community colleges, 

24 and union training programs. 

25 ‘‘(g) WORKFORCE TRAINING.— 


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1 ‘‘(1) INTERNSHIPS.—The Secretary shall pay 

2 the Federal share of associated internship programs 

3 under which students work with or for industries, 

4 manufacturers, and energy service providers to im5 plement the recommendations of industrial research 

6 and assessment centers. 

7 ‘‘(2) APPRENTICESHIPS.—The Secretary shall 

8 pay the Federal share of associated apprenticeship 

9 programs under which— 

10 ‘‘(A) students work with or for industries, 

11 manufacturers, and energy service providers to 

12 implement the recommendations of industrial 

13 research and assessment centers; and 

14 ‘‘(B) employees of facilities that have re15 ceived an assessment from an industrial re16 search and assessment center work with or for 

17 an industrial research and assessment center to 

18 gain knowledge on engineering practices and 

19 processes to improve productivity and energy 

20 savings. 

21 ‘‘(3) FEDERAL SHARE.—The Federal share of 

22 the cost of carrying out internship programs de23 scribed in paragraph (1) and apprenticeship pro24 grams described in paragraph (2) shall be 50 per25 cent. 


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1 ‘‘(h) SMALL BUSINESS LOANS.—The Administrator 

2 of the Small Business Administration shall, to the max3 imum extent practicable, expedite consideration of applica4 tions from eligible small business concerns for loans under 

5 the Small Business Act (15 U.S.C. 631 et seq.) to imple6 ment recommendations developed by the industrial re7 search and assessment centers. 

8 ‘‘(i) FUNDING.—There is authorized to be appro9 priated to the Secretary to carry out this section 

10 $30,000,000 for each fiscal year, to remain available until 

11 expended.’’. 

12 (c) CLERICAL AMENDMENT.—The table of contents 

13 of the Energy Independence and Security Act of 2007 (42 

14 U.S.C. prec. 17001) is amended by adding at the end of 

15 the items relating to subtitle D of title IV the following: 

‘‘Sec. 454. Industrial research and assessment centers.’’. 

16 SEC. 203. SUSTAINABLE MANUFACTURING INITIATIVE. 

17 (a) IN GENERAL.—Part E of title III of the Energy 

18 Policy and Conservation Act (42 U.S.C. 6341 et seq.) is 

19 amended by adding at the end the following: 

20 ‘‘SEC. 376. SUSTAINABLE MANUFACTURING INITIATIVE. 

21 ‘‘(a) IN GENERAL.—As part of the Office of Energy 

22 Efficiency and Renewable Energy of the Department of 

23 Energy, the Secretary, on the request of a manufacturer, 

24 shall carry out onsite technical assessments to identify op25 portunities for— 


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1 ‘‘(1) maximizing the energy efficiency of indus2 trial processes and cross-cutting systems; 

3 ‘‘(2) preventing pollution and minimizing waste; 

4 ‘‘(3) improving efficient use of water in manu5 facturing processes; 

6 ‘‘(4) conserving natural resources; and 

7 ‘‘(5) achieving such other goals as the Secretary 

8 determines to be appropriate. 

9 ‘‘(b) COORDINATION.—To implement any rec10 ommendations resulting from an onsite technical assess11 ment carried out under subsection (a) and to accelerate 

12 the adoption of new and existing technologies and proc13 esses that improve energy efficiency, the Secretary shall 

14 coordinate with— 

15 ‘‘(1) the Advanced Manufacturing Office of the 

16 Department of Energy; 

17 ‘‘(2) the Building Technologies Office of the 

18 Department of Energy; 

19 ‘‘(3) the Federal Energy Management Program 

20 of the Department of Energy; and 

21 ‘‘(4) the private sector and other appropriate 

22 agencies, including the National Institute of Stand23 ards and Technology. 

24 ‘‘(c) RESEARCH AND DEVELOPMENT PROGRAM FOR

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1 NOLOGIES AND PROCESSES.—As part of the industrial ef2 ficiency programs of the Department of Energy, the Sec3 retary shall carry out a joint industry-government partner4 ship program to research, develop, and demonstrate new 

5 sustainable manufacturing and industrial technologies and 

6 processes that maximize the energy efficiency of industrial 

7 plants, reduce pollution, and conserve natural resources.’’. 

8 (b) CLERICAL AMENDMENT.—The table of contents 

9 of the Energy Policy and Conservation Act (42 U.S.C. 

10 prec. 6201) is amended by adding at the end of the items 

11 relating to part E of title III the following: 

‘‘Sec. 376. Sustainable manufacturing initiative.’’. 

12 SEC. 204. CONFORMING AMENDMENTS. 

13 (a) Section 106 of the Energy Policy Act of 2005 (42 

14 U.S.C. 15811) is repealed. 

15 (b) Sections 131, 132, 133, 2103, and 2107 of the 

16 Energy Policy Act of 1992 (42 U.S.C. 6348, 6349, 6350, 

17 13453, 13456) are repealed. 

18 (c) Section 2101(a) of the Energy Policy Act of 1992 

19 (42 U.S.C. 13451(a)) is amended in the third sentence 

20 by striking ‘‘sections 2102, 2103, 2104, 2105, 2106, 

21 2107, and 2108’’ and inserting ‘‘sections 2102, 2104, 

22 2105, 2106, and 2108 of this Act and section 376 of the 

23 Energy Policy and Conservation Act,’’. 


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1 Subtitle B—Extended Product 

2 System Rebate Program 

3 SEC. 211. EXTENDED PRODUCT SYSTEM REBATE PROGRAM. 

4 (a) DEFINITIONS.—In this section: 

5 (1) ELECTRIC MOTOR.—The term ‘‘electric 

6 motor’’ has the meaning given the term in section 

7 431.12 of title 10, Code of Federal Regulations (as 

8 in effect on the date of enactment of this Act). 

9 (2) ELECTRONIC CONTROL.—The term ‘‘elec10 tronic control’’ means— 

11 (A) a power converter; or 

12 (B) a combination of a power circuit and 

13 control circuit included on 1 chassis. 

14 (3) EXTENDED PRODUCT SYSTEM.—The term 

15 ‘‘extended product system’’ means an electric motor 

16 and any required associated electronic control and 

17 driven load that— 

18 (A) offers variable speed or multispeed op19 eration; 

20 (B) offers partial load control that reduces 

21 input energy requirements (as measured in kilo22 watt-hours) as compared to identified base lev23 els set by the Secretary; and 

24 (C)(i) has greater than 1 horsepower; and 


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1 (ii) uses an extended product system tech2 nology, as determined by the Secretary. 

3 (4) QUALIFIED EXTENDED PRODUCT SYS4 TEM.— 

5 (A) IN GENERAL.—The term ‘‘qualified ex6 tended product system’’ means an extended 

7 product system that— 

8 (i) includes an electric motor and an 

9 electronic control; and 

10 (ii) reduces the input energy (as 

11 measured in kilowatt-hours) required to 

12 operate the extended product system by 

13 not less than 5 percent, as compared to 

14 identified base levels set by the Secretary. 

15 (B) INCLUSIONS.—The term ‘‘qualified ex16 tended product system’’ includes commercial or 

17 industrial machinery or equipment that— 

18 (i)(I) did not previously make use of 

19 the extended product system prior to the 

20 redesign described in subclause (II); and 

21 (II) incorporates an extended product 

22 system that has greater than 1 horsepower 

23 into redesigned machinery or equipment; 

24 and 


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1 (ii) was previously used prior to, and 

2 was placed back into service during, cal3 endar year 2020 or 2021. 

4 (b) ESTABLISHMENT.—Not later than 180 days after 

5 the date of enactment of this Act, the Secretary shall es6 tablish a program to provide rebates for expenditures 

7 made by qualified entities for the purchase or installation 

8 of a qualified extended product system. 

9 (c) QUALIFIED ENTITIES.— 

10 (1) ELIGIBILITY REQUIREMENTS.—A qualified 

11 entity under this section shall be— 

12 (A) in the case of a qualified extended 

13 product system described in subsection 

14 (a)(4)(A), the purchaser of the qualified ex15 tended product that is installed; and 

16 (B) in the case of a qualified extended 

17 product system described in subsection 

18 (a)(4)(B), the manufacturer of the commercial 

19 or industrial machinery or equipment that in20 corporated the extended product system into 

21 that machinery or equipment. 

22 (2) APPLICATION.—To be eligible to receive a 

23 rebate under this section, a qualified entity shall 

24 submit to the Secretary— 


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1 (A) an application in such form, at such 

2 time, and containing such information as the 

3 Secretary may require; and 

4 (B) a certification that includes dem5 onstrated evidence— 

6 (i) that the entity is a qualified entity; 

7 and 

8 (ii)(I) in the case of a qualified entity 

9 described in paragraph (1)(A)— 

10 (aa) that the qualified entity in11 stalled the qualified extended product 

12 system during the 2 fiscal years fol13 lowing the date of enactment of this 

14 Act; 

15 (bb) that the qualified extended 

16 product system meets the require17 ments of subsection (a)(4)(A); and 

18 (cc) showing the serial number, 

19 manufacturer, and model number 

20 from the nameplate of the installed 

21 motor of the qualified entity on which 

22 the qualified extended product system 

23 was installed; or 


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1 (II) in the case of a qualified entity 

2 described in paragraph (1)(B), dem3 onstrated evidence— 

4 (aa) that the qualified extended 

5 product system meets the require6 ments of subsection (a)(4)(B); and 

7 (bb) showing the serial number, 

8 manufacturer, and model number 

9 from the nameplate of the installed 

10 motor of the qualified entity with 

11 which the extended product system is 

12 integrated. 

13 (d) AUTHORIZED AMOUNT OF REBATE.— 

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

15 to a qualified entity a rebate in an amount equal to 

16 the product obtained by multiplying— 

17 (A) an amount equal to the sum of the 

18 nameplate rated horsepower of— 

19 (i) the electric motor to which the 

20 qualified extended product system is at21 tached; and 

22 (ii) the electronic control; and 

23 (B) $25. 

24 (2) MAXIMUM AGGREGATE AMOUNT.—A quali25 fied entity shall not be entitled to aggregate rebates 


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1 under this section in excess of $25,000 per calendar 

2 year. 

3 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

4 authorized to be appropriated to carry out this section 

5 $5,000,000 for each of the first 2 full fiscal years following 

6 the date of enactment of this Act, to remain available until 

7 expended. 

8 Subtitle C—Transformer Rebate 

9 Program 

10 SEC. 221. ENERGY EFFICIENT TRANSFORMER REBATE PRO11 GRAM. 

12 (a) DEFINITIONS.—In this section: 

13 (1) QUALIFIED ENERGY EFFICIENT TRANS14 FORMER.—The term ‘‘qualified energy efficient 

15 transformer’’ means a transformer that meets or ex16 ceeds the applicable energy conservation standards 

17 described in the tables in subsection (b)(2) and 

18 paragraphs (1) and (2) of subsection (c) of section 

19 431.196 of title 10, Code of Federal Regulations (as 

20 in effect on the date of enactment of this Act). 

21 (2) QUALIFIED ENERGY INEFFICIENT TRANS22 FORMER.—The term ‘‘qualified energy inefficient 

23 transformer’’ means a transformer with an equal 

24 number of phases and capacity to a transformer de25 scribed in any of the tables in subsection (b)(2) and 


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1 paragraphs (1) and (2) of subsection (c) of section 

2 431.196 of title 10, Code of Federal Regulations (as 

3 in effect on the date of enactment of this Act) 

4 that— 

5 (A) does not meet or exceed the applicable 

6 energy conservation standards described in 

7 paragraph (1); and 

8 (B)(i) was manufactured between January 

9 1, 1987, and December 31, 2008, for a trans10 former with an equal number of phases and ca11 pacity as a transformer described in the table 

12 in subsection (b)(2) of section 431.196 of title 

13 10, Code of Federal Regulations (as in effect on 

14 the date of enactment of this Act); or 

15 (ii) was manufactured between January 1, 

16 1992, and December 31, 2011, for a trans17 former with an equal number of phases and ca18 pacity as a transformer described in the table 

19 in paragraph (1) or (2) of subsection (c) of that 

20 section (as in effect on the date of enactment 

21 of this Act). 

22 (3) QUALIFIED ENTITY.—The term ‘‘qualified 

23 entity’’ means an owner of industrial or manufac24 turing facilities, commercial buildings, or multifamily 

25 residential buildings, a utility, or an energy service 


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1 company that fulfills the requirements of subsection 

2 (d). 

3 (b) ESTABLISHMENT.—Not later than 90 days after 

4 the date of enactment of this Act, the Secretary shall es5 tablish a program to provide rebates to qualified entities 

6 for expenditures made by the qualified entity for the re7 placement of a qualified energy inefficient transformer 

8 with a qualified energy efficient transformer. 

9 (c) REQUIREMENTS.—To be eligible to receive a re10 bate under this section, an entity shall submit to the Sec11 retary an application in such form, at such time, and con12 taining such information as the Secretary may require, in13 cluding demonstrated evidence— 

14 (1) that the entity purchased a qualified energy 

15 efficient transformer; 

16 (2) of the core loss value of the qualified energy 

17 efficient transformer; 

18 (3) of the age of the qualified energy inefficient 

19 transformer being replaced; 

20 (4) of the core loss value of the qualified energy 

21 inefficient transformer being replaced— 

22 (A) as measured by a qualified professional 

23 or verified by the equipment manufacturer, as 

24 applicable; or 


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1 (B) for transformers described in sub2 section (a)(2)(B)(i), as selected from a table of 

3 default values as determined by the Secretary 

4 in consultation with applicable industry; and 

5 (5) that the qualified energy inefficient trans6 former has been permanently decommissioned and 

7 scrapped. 

8 (d) AUTHORIZED AMOUNT OF REBATE.—The 

9 amount of a rebate provided under this section shall be— 

10 (1) for a 3-phase or single-phase transformer 

11 with a capacity of not less than 10 and not greater 

12 than 2,500 kilovolt-amperes, twice the amount equal 

13 to the difference in Watts between the core loss 

14 value (as measured in accordance with paragraphs 

15 (2) and (4) of subsection (c)) of— 

16 (A) the qualified energy inefficient trans17 former; and 

18 (B) the qualified energy efficient trans19 former; or 

20 (2) for a transformer described in subsection 

21 (a)(2)(B)(i), the amount determined using a table of 

22 default rebate values by rated transformer output, 

23 as measured in kilovolt-amperes, as determined by 

24 the Secretary in consultation with applicable indus25 try. 


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1 (e) AUTHORIZATION OF APPROPRIATIONS.—There is 

2 authorized to be appropriated to carry out this section 

3 $5,000,000 for each of fiscal years 2020 and 2021, to re4 main available until expended. 

5 (f) TERMINATION OF EFFECTIVENESS.—The author6 ity provided by this section terminates on December 31, 

7 2021. 

8 TITLE III—FEDERAL AGENCY 

9 ENERGY EFFICIENCY 

10 SEC. 301. ENERGY-EFFICIENT AND ENERGY-SAVING INFOR11 MATION TECHNOLOGIES. 

12 Section 543 of the National Energy Conservation 

13 Policy Act (42 U.S.C. 8253) is amended by adding at the 

14 end the following: 

15 ‘‘(h) FEDERAL IMPLEMENTATION STRATEGY FOR

16 ENERGY-EFFICIENT AND ENERGY-SAVING INFORMATION

17 TECHNOLOGIES.— 

18 ‘‘(1) DEFINITIONS.—In this subsection: 

19 ‘‘(A) DIRECTOR.—The term ‘Director’ 

20 means the Director of the Office of Manage21 ment and Budget. 

22 ‘‘(B) INFORMATION TECHNOLOGY.—The 

23 term ‘information technology’ has the meaning 

24 given that term in section 11101 of title 40, 

25 United States Code. 


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1 ‘‘(2) DEVELOPMENT OF IMPLEMENTATION

2 STRATEGY.—Not later than 1 year after the date of 

3 enactment of the Energy Savings and Industrial 

4 Competitiveness Act of 2019, each Federal agency 

5 shall coordinate with the Director, the Secretary, 

6 and the Administrator of the Environmental Protec7 tion Agency to develop an implementation strategy 

8 (including best-practices and measurement and 

9 verification techniques) for the maintenance, pur10 chase, and use by the Federal agency of energy-effi11 cient and energy-saving information technologies at 

12 or for facilities owned and operated by the Federal 

13 agency, taking into consideration the performance 

14 goals established under paragraph (4). 

15 ‘‘(3) ADMINISTRATION.—In developing an im16 plementation strategy under paragraph (2), each 

17 Federal agency shall consider— 

18 ‘‘(A) advanced metering infrastructure; 

19 ‘‘(B) energy efficient data center strategies 

20 and methods of increasing asset and infrastruc21 ture utilization; 

22 ‘‘(C) advanced power management tools; 

23 ‘‘(D) building information modeling, in24 cluding building energy management; 


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1 ‘‘(E) secure telework and travel substi2 tution tools; and 

3 ‘‘(F) mechanisms to ensure that the agen4 cy realizes the energy cost savings of increased 

5 efficiency and utilization. 

6 ‘‘(4) PERFORMANCE GOALS.— 

7 ‘‘(A) IN GENERAL.—Not later than 180 

8 days after the date of enactment of the Energy 

9 Savings and Industrial Competitiveness Act of 

10 2019, the Director, in consultation with the 

11 Secretary, shall establish performance goals for 

12 evaluating the efforts of Federal agencies in im13 proving the maintenance, purchase, and use of 

14 energy-efficient and energy-saving information 

15 technology at or for facilities owned and oper16 ated by the Federal agencies. 

17 ‘‘(B) BEST PRACTICES.—The Chief Infor18 mation Officers Council established under sec19 tion 3603 of title 44, United States Code, shall 

20 recommend best practices for the attainment of 

21 the performance goals established under sub22 paragraph (A), which shall include, to the ex23 tent applicable by law, consideration by a Fed24 eral agency of the use of— 


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1 ‘‘(i) energy savings performance con2 tracting; and 

3 ‘‘(ii) utility energy services con4 tracting. 

5 ‘‘(5) REPORTS.— 

6 ‘‘(A) AGENCY REPORTS.—Each Federal 

7 agency shall include in the report of the agency 

8 under section 527 of the Energy Independence 

9 and Security Act of 2007 (42 U.S.C. 17143) a 

10 description of the efforts and results of the 

11 agency under this subsection. 

12 ‘‘(B) OMB GOVERNMENT EFFICIENCY RE13 PORTS AND SCORECARDS.—Effective beginning 

14 not later than October 1, 2019, the Director 

15 shall include in the annual report and scorecard 

16 of the Director required under section 528 of 

17 the Energy Independence and Security Act of 

18 2007 (42 U.S.C. 17144) a description of the ef19 forts and results of Federal agencies under this 

20 subsection. 

21 ‘‘(C) USE OF EXISTING REPORTING STRUC22 TURES.—The Director may require Federal 

23 agencies to submit any information required to 

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1 actment of the Energy Savings and Industrial 

2 Competitiveness Act of 2019.’’. 

3 SEC. 302. ENERGY EFFICIENT DATA CENTERS. 

4 Section 453 of the Energy Independence and Security 

5 Act of 2007 (42 U.S.C. 17112) is amended— 

6 (1) in subsection (b)— 

7 (A) in paragraph (2)(D)(iv), by striking 

8 ‘‘determined by the organization’’ and inserting 

9 ‘‘proposed by the stakeholders’’; and 

10 (B) by striking paragraph (3); and 

11 (2) by striking subsections (c) through (g) and 

12 inserting the following: 

13 ‘‘(c) STAKEHOLDER INVOLVEMENT.— 

14 ‘‘(1) IN GENERAL.—The Secretary and the Ad15 ministrator shall carry out subsection (b) in collabo16 ration with the information technology industry and 

17 other key stakeholders, with the goal of producing 

18 results that accurately reflect the most relevant and 

19 useful information. 

20 ‘‘(2) CONSIDERATIONS.—In carrying out the 

21 collaboration described in paragraph (1), the Sec22 retary and the Administrator shall pay particular at23 tention to organizations that— 

24 ‘‘(A) have members with expertise in en25 ergy efficiency and in the development, operVerDate Sep 11 2014 22:11 Jul 26, 2019 Jkt 089200 PO 00000 Frm 00067 Fmt 6652 Sfmt 6201 E:\BILLS\H3962.IH H3962

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1 ation, and functionality of data centers, infor2 mation technology equipment, and software, in3 cluding representatives of hardware manufac4 turers, data center operators, and facility man5 agers; 

6 ‘‘(B) obtain and address input from the 

7 National Laboratories (as that term is defined 

8 in section 2 of the Energy Policy Act of 2005 

9 (42 U.S.C. 15801)) or any institution of higher 

10 education, research institution, industry asso11 ciation, company, or public interest group with 

12 applicable expertise; 

13 ‘‘(C) follow— 

14 ‘‘(i) commonly accepted procedures 

15 for the development of specifications; and 

16 ‘‘(ii) accredited standards development 

17 processes; or 

18 ‘‘(D) have a mission to promote energy ef19 ficiency for data centers and information tech20 nology. 

21 ‘‘(d) MEASUREMENTS AND SPECIFICATIONS.—The 

22 Secretary and the Administrator shall consider and assess 

23 the adequacy of the specifications, measurements, best 

24 practices, and benchmarks described in subsection (b) for 

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1 ergy Star Program, and other efficiency programs of the 

2 Department of Energy or the Environmental Protection 

3 Agency. 

4 ‘‘(e) STUDY.— 

5 ‘‘(1) DEFINITION OF REPORT.—In this sub6 section, the term ‘report’ means the report of the 

7 Lawrence Berkeley National Laboratory entitled 

8 ‘United States Data Center Energy Usage Report’ 

9 and dated June 2016, which was prepared as an up10 date to the ‘Report to Congress on Server and Data 

11 Center Energy Efficiency’, published on August 2, 

12 2007, pursuant to section 1 of Public Law 109–431 

13 (120 Stat. 2920). 

14 ‘‘(2) STUDY.—Not later than 4 years after the 

15 date of enactment of the Energy Savings and Indus16 trial Competitiveness Act of 2019, the Secretary, in 

17 collaboration with the Administrator, shall make 

18 available to the public an update to the report that 

19 provides— 

20 ‘‘(A) a comparison and gap analysis of the 

21 estimates and projections contained in the re22 port with new data regarding the period from 

23 2015 through 2019; 

24 ‘‘(B) an analysis considering the impact of 

25 information technologies, including 


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1 virtualization and cloud computing, in the pub2 lic and private sectors; 

3 ‘‘(C) an evaluation of the impact of the 

4 combination of cloud platforms, mobile devices, 

5 social media, and big data on data center en6 ergy usage; 

7 ‘‘(D) an evaluation of water usage in data 

8 centers and recommendations for reductions in 

9 that water usage; and 

10 ‘‘(E) updated projections and recommenda11 tions for best practices through fiscal year 

12 2025. 

13 ‘‘(f) DATA CENTER ENERGY PRACTITIONER PRO14 GRAM.— 

15 ‘‘(1) IN GENERAL.—The Secretary, in collabo16 ration with key stakeholders and the Director of the 

17 Office of Management and Budget, shall maintain a 

18 data center energy practitioner program that pro19 vides for the certification of energy practitioners 

20 qualified to evaluate the energy usage and efficiency 

21 opportunities in federally owned and operated data 

22 centers. 

23 ‘‘(2) EVALUATIONS.—Each Federal agency 

24 shall consider having the data centers of the agency 

25 evaluated once every 4 years by energy practitioners 


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1 certified pursuant to the program, whenever prac2 ticable using certified practitioners employed by the 

3 agency. 

4 ‘‘(g) OPEN DATA INITIATIVE.— 

5 ‘‘(1) IN GENERAL.—The Secretary, in collabo6 ration with key stakeholders and the Director of the 

7 Office of Management and Budget, shall establish 

8 an open data initiative relating to energy usage at 

9 federally owned and operated data centers, with the 

10 purpose of making the data available and accessible 

11 in a manner that encourages further data center in12 novation, optimization, and consolidation. 

13 ‘‘(2) CONSIDERATION.—In establishing the ini14 tiative under paragraph (1), the Secretary shall con15 sider using the online Data Center Maturity Model. 

16 ‘‘(h) INTERNATIONAL SPECIFICATIONS AND

17 METRICS.—The Secretary, in collaboration with key 

18 stakeholders, shall actively participate in efforts to har19 monize global specifications and metrics for data center 

20 energy and water efficiency. 

21 ‘‘(i) DATA CENTER UTILIZATION METRIC.—The Sec22 retary, in collaboration with key stakeholders, shall facili23 tate in the development of an efficiency metric that meas24 ures the energy efficiency of a data center (including 

25 equipment and facilities). 


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1 ‘‘(j) PROTECTION OF PROPRIETARY INFORMATION.— 

2 The Secretary and the Administrator shall not disclose 

3 any proprietary information or trade secrets provided by 

4 any individual or company for the purposes of carrying 

5 out this section or the programs and initiatives established 

6 under this section.’’. 

7 TITLE IV—REGULATORY 

8 PROVISIONS 

9 Subtitle A—Third-Party Certifi10 cation Under Energy Star Pro11 gram 

12 SEC. 401. THIRD-PARTY CERTIFICATION UNDER ENERGY 

13 STAR PROGRAM. 

14 Section 324A of the Energy Policy and Conservation 

15 Act (42 U.S.C. 6294a) is amended by adding at the end 

16 the following: 

17 ‘‘(e) THIRD-PARTY CERTIFICATION.— 

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

19 not later than 180 days after the date of enactment 

20 of this subsection, the Administrator shall revise the 

21 certification requirements for the labeling of con22 sumer, home, and office electronic products for pro23 gram partners that have complied with all require24 ments of the Energy Star program for a period of 

25 at least 18 months. 


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1 ‘‘(2) ADMINISTRATION.—In the case of a pro2 gram partner described in paragraph (1), the new 

3 requirements under paragraph (1)— 

4 ‘‘(A) shall not require third-party certifi5 cation for a product to be listed; but 

6 ‘‘(B) may require that test data and other 

7 product information be submitted to facilitate 

8 product listing and performance verification for 

9 a sample of products. 

10 ‘‘(3) THIRD PARTIES.—Nothing in this sub11 section prevents the Administrator from using third 

12 parties in the course of the administration of the 

13 Energy Star program. 

14 ‘‘(4) TERMINATION.— 

15 ‘‘(A) IN GENERAL.—Subject to subpara16 graph (B), an exemption from third-party cer17 tification provided to a program partner under 

18 paragraph (1) shall terminate if the program 

19 partner is found to have violated program re20 quirements with respect to at least 2 separate 

21 models during a 2-year period. 

22 ‘‘(B) RESUMPTION.—A termination for a 

23 program partner under subparagraph (A) shall 

24 cease if the program partner complies with all 


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1 Energy Star program requirements for a period 

2 of at least 3 years.’’. 

3 Subtitle B—Federal Green 

4 Buildings 

5 SEC. 411. HIGH-PERFORMANCE GREEN FEDERAL BUILD6 INGS. 

7 Section 436(h) of the Energy Independence and Se8 curity Act of 2007 (42 U.S.C. 17092(h)) is amended— 

9 (1) in the subsection heading, by striking ‘‘SYS10 TEM’’ and inserting ‘‘SYSTEMS’’; 

11 (2) by striking paragraph (1) and inserting the 

12 following: 

13 ‘‘(1) IN GENERAL.—Based on an ongoing re14 view, the Federal Director shall identify and shall 

15 provide to the Secretary pursuant to section 

16 305(a)(3)(D) of the Energy Conservation and Pro17 duction Act (42 U.S.C. 6834(a)(3)(D)) a list of 

18 those certification systems that the Director identi19 fies as the most likely to encourage a comprehensive 

20 and environmentally sound approach to certification 

21 of green buildings.’’; and 

22 (3) in paragraph (2)— 

23 (A) in the matter preceding subparagraph 

24 (A), by striking ‘‘system’’ and inserting ‘‘sys25 tems’’; 


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1 (B) by striking subparagraph (A) and in2 serting the following: 

3 ‘‘(A) an ongoing review provided to the 

4 Secretary pursuant to section 305(a)(3)(D) of 

5 the Energy Conservation and Production Act 

6 (42 U.S.C. 6834(a)(3)(D)), which shall— 

7 ‘‘(i) be carried out by the Federal Di8 rector to compare and evaluate standards; 

9 and 

10 ‘‘(ii) allow any developer or adminis11 trator of a rating system or certification 

12 system to be included in the review;’’; 

13 (C) in subparagraph (E)(v), by striking 

14 ‘‘and’’ after the semicolon at the end; 

15 (D) in subparagraph (F), by striking the 

16 period at the end and inserting a semicolon; 

17 and 

18 (E) by adding at the end the following: 

19 ‘‘(G) a finding that, for all credits address20 ing the sourcing of grown, harvested, or mined 

21 materials, the system rewards the use of prod22 ucts that have obtained certifications of respon23 sible sourcing, such as certifications provided by 

24 the Sustainable Forestry Initiative, the Forest 

25 Stewardship Council, the American Tree Farm 


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1 System, or the Programme for the Endorse2 ment of Forest Certification; and 

3 ‘‘(H) a finding that the system incor4 porates life-cycle assessment as a credit path5 way.’’. 

6 Subtitle C—Energy and Water Per7 formance Requirements for Fed8 eral Buildings 

9 SEC. 421. ENERGY AND WATER PERFORMANCE REQUIRE10 MENTS FOR FEDERAL BUILDINGS. 

11 (a) IN GENERAL.—Section 543 of the National En12 ergy Conservation Policy Act (42 U.S.C. 8253) is amend13 ed— 

14 (1) in the section heading, by inserting ‘‘AND

15 WATER’’ after ‘‘ENERGY’’; 

16 (2) by striking subsection (a) and inserting the 

17 following: 

18 ‘‘(a) ENERGY AND WATER PERFORMANCE REQUIRE19 MENTS FOR FEDERAL BUILDINGS.— 

20 ‘‘(1) ENERGY REQUIREMENTS.—Subject to 

21 paragraph (3), to the maximum extent life cycle 

22 cost-effective (as defined in subsection (f)(1)), each 

23 agency shall apply energy conservation measures to, 

24 and shall improve the design for the construction of, 

25 the Federal buildings of the agency (including each 


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1 industrial or laboratory facility) so that the energy 

2 consumption per gross square foot of the Federal 

3 buildings of the agency in fiscal years 2020 through 

4 2027 is reduced, as compared with the energy con5 sumption per gross square foot of the Federal build6 ings of the agency in fiscal year 2018, by the per7 centage specified in the following table: 

Percentage 

‘‘Fiscal Year Reduction 

2020 ............................................................................................. 2.5

2021 ............................................................................................. 5

2022 ............................................................................................. 7.5

2023 ............................................................................................. 10

2024 ............................................................................................. 12.5

2025 ............................................................................................. 15

2026 ............................................................................................. 17.5

2027 ............................................................................................. 20. 

8 ‘‘(2) WATER REQUIREMENTS.—Subject to para9 graph (3), the head of each Federal agency shall, for 

10 each of fiscal years 2020 through 2030, improve 

11 water use efficiency and management, including 

12 stormwater management, at facilities of the agency 

13 by reducing agency potable water consumption in14 tensity (as measured in gallons per gross square 

15 foot)— 

16 ‘‘(A) by 54 percent by fiscal year 2030, 

17 relative to the water consumption of the agency 

18 in fiscal year 2007; and 

19 ‘‘(B) through reductions of 2 percent each 

20 fiscal year. 


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1 ‘‘(3) ENERGY AND WATER INTENSIVE BUILDING

2 EXCLUSION.— 

3 ‘‘(A) IN GENERAL.—An agency may ex4 clude from the requirements of paragraphs (1) 

5 and (2) any building (including the associated 

6 energy consumption and gross square footage of 

7 the building) in which energy and water inten8 sive activities are carried out. 

9 ‘‘(B) REPORTS.—Each agency shall iden10 tify and include in each report under section 

11 548(a) each building designated by the agency 

12 for exclusion under subparagraph (A) during 

13 the period covered by the report. 

14 ‘‘(4) RECOMMENDATIONS.—Not later than De15 cember 31, 2026, the Secretary shall— 

16 ‘‘(A) review the results of the implementa17 tion of the energy and water performance re18 quirements established under paragraph (1); 

19 ‘‘(B) submit to Congress recommendations 

20 concerning energy performance requirements 

21 for fiscal years 2028 through 2037; and 

22 ‘‘(C) submit to Congress recommendations 

23 concerning water performance requirements for 

24 fiscal years 2031 through 2040.’’; 

25 (3) in subsection (b)— 


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1 (A) in the subsection heading, by inserting 

2 ‘‘AND WATER’’ after ‘‘ENERGY’’; 

3 (B) by redesignating paragraphs (2) 

4 through (4) as paragraphs (3) through (5), re5 spectively; and 

6 (C) by striking paragraph (1) and insert7 ing the following: 

8 ‘‘(1) IN GENERAL.—Each agency shall— 

9 ‘‘(A) not later than October 1, 2019, to 

10 the maximum extent practicable, begin install11 ing in Federal buildings owned by the United 

12 States all energy and water conservation meas13 ures determined by the Secretary to be life cycle 

14 cost-effective (as defined in subsection (f)(1)); 

15 and 

16 ‘‘(B) complete the installation described in 

17 subparagraph (A) as soon as practicable after 

18 the date referred to in that subparagraph. 

19 ‘‘(2) EXPLANATION OF NONCOMPLIANCE.— 

20 ‘‘(A) IN GENERAL.—If an agency fails to 

21 comply with paragraph (1), the agency shall 

22 submit to the Secretary, using guidelines devel23 oped by the Secretary, an explanation of the 

24 reasons for the failure. 


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1 ‘‘(B) REPORT TO CONGRESS.—Not later 

2 than October 1, 2021, and every 2 years there3 after, the Secretary shall submit to Congress a 

4 report that describes any noncompliance by an 

5 agency with the requirements of paragraph 

6 (1).’’. 

7 (4) in subsection (c)(1)— 

8 (A) in subparagraph (A)— 

9 (i) in the matter preceding clause (i), 

10 by striking ‘‘An agency’’ and inserting 

11 ‘‘The head of each agency’’; and 

12 (ii) by inserting ‘‘or water’’ after ‘‘en13 ergy’’ each place it appears; and 

14 (B) in subparagraph (B)(i), by inserting 

15 ‘‘or water’’ after ‘‘energy’’; 

16 (5) in subsection (d)(2), by inserting ‘‘and 

17 water’’ after ‘‘energy’’; 

18 (6) in subsection (e)— 

19 (A) in the subsection heading, by inserting 

20 ‘‘and Water’’ after ‘‘Energy’’; 

21 (B) in paragraph (1)— 

22 (i) in the first sentence— 

23 (I) by striking ‘‘October 1, 2012’’ 

24 and inserting ‘‘October 1, 2020’’; 


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1 (II) by inserting ‘‘and water’’ 

2 after ‘‘energy’’; and 

3 (III) by inserting ‘‘and water’’ 

4 after ‘‘electricity’’; 

5 (ii) in the second sentence, by insert6 ing ‘‘and water’’ after ‘‘electricity’’; and 

7 (iii) in the fourth sentence, by insert8 ing ‘‘and water’’ after ‘‘energy’’; 

9 (C) in paragraph (2)— 

10 (i) in subparagraph (A)— 

11 (I) by striking ‘‘and’’ before 

12 ‘‘Federal’’; and 

13 (II) by inserting ‘‘and any other 

14 person the Secretary deems nec15 essary,’’ before ‘‘shall’’; 

16 (ii) in subparagraph (B)— 

17 (I) in clause (i)(II), by inserting 

18 ‘‘and water’’ after ‘‘energy’’ each 

19 place it appears; 

20 (II) in clause (ii), by inserting 

21 ‘‘and water’’ after ‘‘energy’’; and 

22 (III) in clause (iv), by inserting 

23 ‘‘and water’’ after ‘‘energy’’; and 

24 (iii) by adding at the end the fol25 lowing: 


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1 ‘‘(C) UPDATE.—Not later than 180 days 

2 after the date of enactment of this subpara3 graph, the Secretary shall update the guidelines 

4 established under subparagraph (A) to take into 

5 account water efficiency requirements under 

6 this section.’’; 

7 (D) in paragraph (3), in the matter pre8 ceding subparagraph (A), by striking ‘‘estab9 lished under paragraph (2)’’ and inserting ‘‘up10 dated under paragraph (2)(C)’’; and 

11 (E) in paragraph (4)— 

12 (i) in subparagraph (A)— 

13 (I) by striking ‘‘this paragraph’’ 

14 and inserting ‘‘the Energy Savings 

15 and Industrial Competitiveness Act of 

16 2019’’; and 

17 (II) by inserting ‘‘and water’’ be18 fore ‘‘use in’’; and 

19 (ii) in subparagraph (B)(ii), in the 

20 matter preceding clause (I), by inserting 

21 ‘‘and water’’ after ‘‘energy’’; and 

22 (7) in subsection (f)— 

23 (A) in paragraph (1)— 


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1 (i) by redesignating subparagraphs 

2 (E), (F), and (G) as subparagraphs (F), 

3 (G), and (H), respectively; and 

4 (ii) by inserting after subparagraph 

5 (D) the following: 

6 ‘‘(E) ONGOING COMMISSIONING.—The 

7 term ‘ongoing commissioning’ means an ongo8 ing process of commissioning using monitored 

9 data, the primary goal of which is to ensure 

10 continuous optimum performance of a facility, 

11 in accordance with design or operating needs, 

12 over the useful life of the facility, while meeting 

13 facility occupancy requirements.’’; 

14 (B) in paragraph (2)— 

15 (i) in subparagraph (A), by inserting 

16 ‘‘and water’’ before ‘‘use’’; 

17 (ii) in subparagraph (B)— 

18 (I) by striking ‘‘energy’’ before 

19 ‘‘efficiency’’; and 

20 (II) by inserting ‘‘or water’’ be21 fore ‘‘use’’; and 

22 (iii) by adding at the end the fol23 lowing: 

24 ‘‘(C) ENERGY MANAGEMENT SYSTEM.—An 

25 energy manager designated for a facility under 


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1 subparagraph (A) shall take into consider2 ation— 

3 ‘‘(i) the use of a system to manage 

4 energy and water use at the facility; and 

5 ‘‘(ii) the applicability of the certifi6 cation of the facility in accordance with the 

7 International Organization for Standard8 ization standard numbered 50001 and en9 titled ‘Energy Management Systems’.’’; 

10 (C) by striking paragraphs (3) and (4) and 

11 inserting the following: 

12 ‘‘(3) ENERGY AND WATER EVALUATIONS AND

13 COMMISSIONING.— 

14 ‘‘(A) EVALUATIONS.—Except as provided 

15 in subparagraph (B), not later than the date 

16 that is 180 days after the date of enactment of 

17 the Energy Savings and Industrial Competitive18 ness Act of 2019, and annually thereafter, each 

19 energy manager shall complete, for the pre20 ceding calendar year, a comprehensive energy 

21 and water evaluation and recommissioning or 

22 retrocommissioning for approximately 25 per23 cent of the facilities of the applicable agency 

24 that meet the criteria under paragraph (2)(B) 

25 in a manner that ensures that an evaluation of 


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1 each facility is completed not less frequently 

2 than once every 4 years. 

3 ‘‘(B) EXCEPTIONS.—An evaluation and re4 commissioning or retrocommissioning shall not 

5 be required under subparagraph (A) with re6 spect to a facility that, as of the date on which 

7 the evaluation and recommissioning or 

8 retrocommissioning would occur— 

9 ‘‘(i) has had a comprehensive energy 

10 and water evaluation during the preceding 

11 8-year period; 

12 ‘‘(ii)(I) has been commissioned, re13 commissioned, or retrocommissioned dur14 ing the preceding 10-year period; or 

15 ‘‘(II) is under ongoing commissioning, 

16 recommissioning, or retrocommissioning; 

17 ‘‘(iii) has not had a major change in 

18 function or use since the previous evalua19 tion and recommissioning or 

20 retrocommissioning; 

21 ‘‘(iv) has been benchmarked with pub22 lic disclosure under paragraph (8) during 

23 the preceding calendar year; and 

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1 cility level the most recent cumulative en2 ergy savings target under subsection (a) 

3 compared to the earlier of— 

4 ‘‘(aa) the date of the most recent 

5 evaluation; or 

6 ‘‘(bb) the date— 

7 ‘‘(AA) of the most recent 

8 commissioning, recommissioning, 

9 or retrocommissioning; or 

10 ‘‘(BB) on which ongoing 

11 commissioning began; or 

12 ‘‘(II) has a long-term contract in 

13 place guaranteeing energy savings at least 

14 as great as the energy savings target under 

15 subclause (I). 

16 ‘‘(4) IMPLEMENTATION OF IDENTIFIED ENERGY

17 AND WATER EFFICIENCY MEASURES.—Not later 

18 than 2 years after the date of completion of each 

19 evaluation under paragraph (3), each energy man20 ager shall— 

21 ‘‘(A) implement any energy- or water-sav22 ing measure that the Federal agency identified 

23 in the evaluation that is life cycle cost-effective; 

24 and 


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1 ‘‘(B) bundle individual measures of varying 

2 paybacks together into combined projects.’’; 

3 (D) in paragraph (7)(B)(ii)(II), by insert4 ing ‘‘and water’’ after ‘‘energy’’; and 

5 (E) in paragraph (9)(A), in the matter 

6 preceding clause (i), by inserting ‘‘and water’’ 

7 after ‘‘energy’’. 

8 (b) CONFORMING AMENDMENT.—The table of con9 tents for the National Energy Conservation Policy Act 

10 (Public Law 95–619; 92 Stat. 3206) is amended by strik11 ing the item relating to section 543 and inserting the fol12 lowing: 

‘‘Sec. 543. Energy and water management requirements.’’. 

13 SEC. 422. FEDERAL ENERGY MANAGEMENT PROGRAM. 

14 Section 543 of the National Energy Conservation 

15 Policy Act (42 U.S.C. 8253) is amended by adding at the 

16 end the following: 

17 ‘‘(h) FEDERAL ENERGY MANAGEMENT PROGRAM.— 

18 ‘‘(1) IN GENERAL.—The Secretary shall estab19 lish a program, to be known as the ‘Federal Energy 

20 Management Program’ (referred to in this sub21 section as the ‘Program’), to facilitate the implemen22 tation by the Federal Government of cost-effective 

23 energy and water management and energy-related 

24 investment practices— 


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1 ‘‘(A) to coordinate and strengthen Federal 

2 energy and water resilience; and 

3 ‘‘(B) to promote environmental steward4 ship. 

5 ‘‘(2) PROGRAM ACTIVITIES.— 

6 ‘‘(A) STRATEGIC PLANNING AND TECH7 NICAL ASSISTANCE.—Under the Program, the 

8 Federal Director appointed under paragraph 

9 (3)(A) (referred to in this subsection as the 

10 ‘Federal Director’) shall— 

11 ‘‘(i) provide technical assistance and 

12 project implementation support and guid13 ance to Federal agencies to identify, imple14 ment, procure, and track energy and water 

15 conservation measures required under this 

16 Act and under other provisions of law (in17 cluding regulations); 

18 ‘‘(ii) in coordination with the Admin19 istrator of the General Services Adminis20 tration, establish appropriate procedures, 

21 methods, and best practices for use by 

22 Federal agencies to select, monitor, and 

23 terminate contracts entered into under sec24 tion 546 with utilities; 


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1 ‘‘(iii) in coordination with the Federal 

2 Acquisition Regulatory Council, establish 

3 appropriate procedures, methods, and best 

4 practices for use by Federal agencies to se5 lect, monitor, and terminate contracts en6 tered into under section 801 with energy 

7 service contractors and utilities; 

8 ‘‘(iv) establish and maintain internet9 based information resources and project 

10 tracking systems and tools for energy and 

11 water management; 

12 ‘‘(v) coordinate comprehensive and 

13 strategic approaches to energy and water 

14 resilience planning for Federal agencies; 

15 and 

16 ‘‘(vi) establish a recognition program 

17 for Federal achievement in energy and 

18 water management, energy-related invest19 ment practices, environmental stewardship, 

20 and other relevant areas, through events 

21 such as individual recognition award cere22 monies and public announcements. 

23 ‘‘(B) ENERGY AND WATER MANAGEMENT

24 AND REPORTING.—Under the Program, the 

25 Federal Director shall— 


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1 ‘‘(i) track and report on the progress 

2 of Federal agencies in meeting the require3 ments of the agency under this section; 

4 ‘‘(ii) make publicly available annual 

5 Federal agency performance data required 

6 under— 

7 ‘‘(I) this section and sections 544 

8 through 548; and 

9 ‘‘(II) section 203 of the Energy 

10 Policy Act of 2005 (42 U.S.C. 

11 15852); 

12 ‘‘(iii)(I) collect energy and water use 

13 and consumption data from each Federal 

14 agency; and 

15 ‘‘(II) based on that data, submit to 

16 each Federal agency a report that will fa17 cilitate the energy and water management, 

18 energy-related investment practices, and 

19 environmental stewardship of the agency in 

20 support of Federal goals under this Act 

21 and under other provisions of law (includ22 ing regulations); 

23 ‘‘(iv)(I) establish new Federal building 

24 energy efficiency standards; and 


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1 ‘‘(II) in consultation with the Admin2 istrator of the General Services Adminis3 tration, acting through the head of the Of4 fice of High-Performance Green Buildings, 

5 implement new Federal building sustain6 able design principles for new Federal fa7 cilities; 

8 ‘‘(v) manage the implementation of 

9 Federal building energy efficiency stand10 ards and sustainable design principles es11 tablished under section 305 of the Energy 

12 Conservation and Production Act (42 

13 U.S.C. 6834); and 

14 ‘‘(vi) designate products for categories 

15 not covered under the Energy Star pro16 gram established under section 324A of 

17 the Energy Policy and Conservation Act 

18 (42 U.S.C. 6294a). 

19 ‘‘(C) FEDERAL POLICY COORDINATION.— 

20 Under the Program, the Federal Director 

21 shall— 

22 ‘‘(i) develop and implement accredited 

23 training consistent with existing Federal 

24 programs and activities— 


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1 ‘‘(I) relating to energy and water 

2 use, management, and resilience in 

3 Federal buildings, energy-related in4 vestment practices, and environmental 

5 stewardship; and 

6 ‘‘(II) that includes in-person 

7 training, internet-based programs, 

8 and national in-person training 

9 events; 

10 ‘‘(ii) coordinate and facilitate energy 

11 and water management, energy-related in12 vestment practices, and environmental 

13 stewardship through the Interagency En14 ergy Management Task Force established 

15 under section 547; and 

16 ‘‘(iii) report on the implementation of 

17 the priorities of the President, including 

18 Executive orders, relating to energy and 

19 water use in Federal buildings, in coordi20 nation with— 

21 ‘‘(I) the Office of Management 

22 and Budget; 

23 ‘‘(II) the Council on Environ24 mental Quality; and 


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1 ‘‘(III) any other entity, as consid2 ered necessary by the Federal Direc3 tor. 

4 ‘‘(D) FACILITY AND FLEET OPTIMIZA5 TION.—Under the Program, the Federal Direc6 tor shall develop guidance, supply assistance to, 

7 and track the progress of Federal agencies— 

8 ‘‘(i) in conducting portfolio-wide facil9 ity energy and water resilience planning 

10 and project integration; 

11 ‘‘(ii) in building new construction and 

12 major renovations to meet the sustainable 

13 design and energy and water performance 

14 standards required under this section; 

15 ‘‘(iii) in developing guidelines for— 

16 ‘‘(I) building commissioning; and 

17 ‘‘(II) facility operations and 

18 maintenance; and 

19 ‘‘(iv) in coordination with the Admin20 istrator of the General Services Adminis21 tration, in meeting statutory and agency 

22 goals for Federal fleet vehicles. 

23 ‘‘(3) FEDERAL DIRECTOR.— 

24 ‘‘(A) APPOINTMENT.—The Secretary shall 

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1 tor of the Program, which shall be a career po2 sition in the Senior Executive service, to man3 age the Program and carry out the activities of 

4 the Program described in paragraph (2). 

5 ‘‘(B) DUTIES.—The Federal Director 

6 shall— 

7 ‘‘(i) oversee, manage, and administer 

8 the Program; 

9 ‘‘(ii) provide leadership in energy and 

10 water management, energy-related invest11 ment practices, and environmental stew12 ardship through coordination with Federal 

13 agencies and other appropriate entities; 

14 and 

15 ‘‘(iii) establish a management council 

16 to advise the Federal Director that shall— 

17 ‘‘(I) convene not less frequently 

18 than once every quarter; and 

19 ‘‘(II) consist of representatives 

20 from— 

21 ‘‘(aa) the Council on Envi22 ronmental Quality; 

23 ‘‘(bb) the Office of Manage24 ment and Budget; and 


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1 ‘‘(cc) the Office of Federal 

2 High-Performance Green Build3 ings in the General Services Ad4 ministration. 

5 ‘‘(4) SAVINGS CLAUSE.—Nothing in this sub6 section impedes, supersedes, or alters the authority 

7 of the Secretary to carry out the remainder of this 

8 section or section 305 of the Energy Conservation 

9 and Production Act (42 U.S.C. 6834). 

10 ‘‘(5) AUTHORIZATION OF APPROPRIATIONS.— 

11 There is authorized to be appropriated to the Sec12 retary to carry out this subsection $36,000,000 for 

13 each of fiscal years 2020 through 2030.’’. 

14 SEC. 423. FEDERAL BUILDING ENERGY EFFICIENCY PER15 FORMANCE STANDARDS; CERTIFICATION 

16 SYSTEM AND LEVEL FOR GREEN BUILDINGS. 

17 (a) DEFINITIONS.—Section 303 of the Energy Con18 servation and Production Act (42 U.S.C. 6832) is amend19 ed— 

20 (1) in each of paragraphs (1) through (16), by 

21 inserting a paragraph heading, the text of which is 

22 comprised of the term defined in that paragraph; 

23 (2) by redesignating paragraphs (2) through 

24 (16) as paragraphs (3), (4), (6), (7), (8), (10), (12), 

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1 tively, and moving the paragraphs so as to appear 

2 in numerical order; and 

3 (3) by inserting after paragraph (10) (as so re4 designated) the following: 

5 ‘‘(11) MAJOR RENOVATION.—The term ‘major 

6 renovation’ means a modification of the energy sys7 tems of a building that is sufficiently extensive to 

8 ensure that the entire building can achieve compli9 ance with applicable energy standards for new build10 ings, as established by the Secretary.’’. 

11 (b) FEDERAL BUILDING EFFICIENCY STANDARDS.— 

12 Section 305 of the Energy Conservation and Production 

13 Act (42 U.S.C. 6834) is amended— 

14 (1) in subsection (a)(3)— 

15 (A) by striking ‘‘(3)(A) Not later than’’ 

16 and all that follows through subparagraph (B) 

17 and inserting the following: 

18 ‘‘(3) REVISED FEDERAL BUILDING ENERGY EF19 FICIENCY PERFORMANCE STANDARDS; CERTIFI20 CATION FOR GREEN BUILDINGS.— 

21 ‘‘(A) REVISED FEDERAL BUILDING EN22 ERGY EFFICIENCY PERFORMANCE STAND23 ARDS.— 

24 ‘‘(i) IN GENERAL.—Not later than 1 

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1 ergy Savings and Industrial Competitive2 ness Act of 2019, the Secretary shall es3 tablish, by regulation, revised Federal 

4 building energy efficiency performance 

5 standards that require that— 

6 ‘‘(I) subject to clause (ii), new 

7 Federal buildings and Federal build8 ings with major renovations— 

9 ‘‘(aa) meet or exceed the 

10 most recently published version 

11 of the International Energy Con12 servation Code (in the case of 

13 residential buildings) or 

14 ASHRAE Standard 90.1 (in the 

15 case of commercial buildings) as 

16 of the date of enactment of the 

17 Energy Savings and Industrial 

18 Competitiveness Act of 2019; and 

19 ‘‘(bb) meet or exceed the en20 ergy provisions of the State and 

21 local building codes applicable to 

22 the building if the codes are more 

23 stringent than the most recently 

24 published version of the Inter25 national Energy Conservation 


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1 Code or ASHRAE Standard 90.1 

2 as of the date of enactment of 

3 the Energy Savings and Indus4 trial Competitiveness Act of 

5 2019, as applicable; 

6 ‘‘(II) unless demonstrated not to 

7 be life cycle cost-effective for new 

8 Federal buildings and Federal build9 ings with major renovations— 

10 ‘‘(aa) the buildings shall be 

11 designed to achieve energy con12 sumption levels that are not less 

13 than 30 percent below the levels 

14 established in the most recently 

15 published version of the Inter16 national Energy Conservation 

17 Code or the ASHRAE Standard, 

18 as of the date of enactment of 

19 the Energy Savings and Indus20 trial Competitiveness Act of 

21 2019, as appropriate; and 

22 ‘‘(bb) sustainable design 

23 principles are applied to the loca24 tion, siting, design, and construc25 tion of all new Federal buildings 


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1 and replacement Federal build2 ings; 

3 ‘‘(III) if water is used to achieve 

4 energy efficiency, water conservation 

5 technologies shall be applied to the ex6 tent that the technologies are life7 cycle cost effective; and 

8 ‘‘(IV) if life-cycle cost effective, 

9 as compared to other reasonably avail10 able technologies, not less than 30 

11 percent of the hot water demand for 

12 each new Federal building or Federal 

13 building undergoing a major renova14 tion be met through the installation 

15 and use of solar hot water heaters. 

16 ‘‘(ii) EXCEPTION.—Clause (i)(I) shall 

17 not apply to the unaltered portions of Fed18 eral buildings and systems that have un19 dergone major renovations. 

20 ‘‘(B) UPDATES.—Not later than 1 year 

21 after the date of approval of each subsequent 

22 revision of the ASHRAE Standard or the Inter23 national Energy Conservation Code, as appro24 priate, the Secretary shall determine whether 

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1 clauses (I) and (II) of subparagraph (A)(i) 

2 should be updated to reflect the revisions, based 

3 on the energy savings and life cycle cost-effec4 tiveness of the revisions.’’; 

5 (B) in subparagraph (C), by striking ‘‘(C) 

6 In the budget request’’ and inserting the fol7 lowing: 

8 ‘‘(C) BUDGET REQUEST.—In the budget 

9 request’’; and 

10 (C) by striking subparagraph (D) and in11 serting the following: 

12 ‘‘(D) CERTIFICATION FOR GREEN BUILD13 INGS.— 

14 ‘‘(i) SUSTAINABLE DESIGN PRIN15 CIPLES.—Sustainable design principles 

16 shall be applied to the siting, design, and 

17 construction of buildings covered by this 

18 subparagraph. 

19 ‘‘(ii) SELECTION OF CERTIFICATION

20 SYSTEMS.—The Secretary, after reviewing 

21 the findings of the Federal Director under 

22 section 436(h) of the Energy Independence 

23 and Security Act of 2007 (42 U.S.C. 

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1 sultation with the Secretary of Defense re2 lating to those facilities under the custody 

3 and control of the Department of Defense, 

4 shall determine those certification systems 

5 for green commercial and residential build6 ings that the Secretary determines to be 

7 the most likely to encourage a comprehen8 sive and environmentally sound approach 

9 to certification of green buildings. 

10 ‘‘(iii) BASIS FOR SELECTION.—The 

11 determination of the certification systems 

12 under clause (ii) shall be based on ongoing 

13 review of the findings of the Federal Direc14 tor under section 436(h) of the Energy 

15 Independence and Security Act of 2007 

16 (42 U.S.C. 17092(h)) and the criteria de17 scribed in clause (v). 

18 ‘‘(iv) ADMINISTRATION.—In deter19 mining certification systems under this 

20 subparagraph, the Secretary shall— 

21 ‘‘(I) make a separate determina22 tion for all or part of each system; 

23 and 

24 ‘‘(II) confirm that the criteria 

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1 ing products, materials, brands, and 

2 technologies— 

3 ‘‘(aa) are based on relevant 

4 technical data; 

5 ‘‘(bb) use and reward eval6 uation of health, safety, and envi7 ronmental risks and impacts 

8 across the lifecycle of the build9 ing product, material, brand, or 

10 technology, including methodolo11 gies generally accepted by the ap12 plicable scientific disciplines; 

13 ‘‘(cc) as practicable, give 

14 preference to performance stand15 ards instead of prescriptive meas16 ures; and 

17 ‘‘(dd) reward continual im18 provements in the lifecycle man19 agement of health, safety, and 

20 environmental risks and impacts. 

21 ‘‘(v) CONSIDERATIONS.—In deter22 mining the green building certification sys23 tems under this subparagraph, the Sec24 retary shall take into consideration— 


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1 ‘‘(I) the ability and availability of 

2 assessors and auditors to independ3 ently verify the criteria and measure4 ment of metrics at the scale necessary 

5 to implement this subparagraph; 

6 ‘‘(II) the ability of the applicable 

7 certification organization to collect 

8 and reflect public comment; 

9 ‘‘(III) the ability of the standard 

10 to be developed and revised through a 

11 consensus-based process; 

12 ‘‘(IV) an evaluation of the 

13 robustness of the criteria for a high14 performance green building, which 

15 shall give credit for promoting— 

16 ‘‘(aa) efficient and sustain17 able use of water, energy, and 

18 other natural resources; 

19 ‘‘(bb) use of renewable en20 ergy sources; 

21 ‘‘(cc) improved indoor envi22 ronmental quality through en23 hanced indoor air quality, ther24 mal comfort, acoustics, day light25 ing, pollutant source control, and 


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1 use of low-emission materials and 

2 building system controls; 

3 ‘‘(dd)(AA) the sourcing of 

4 grown, harvested, or mined mate5 rials; and 

6 ‘‘(BB) certifications of re7 sponsible sourcing, such as cer8 tifications provided by the Forest 

9 Stewardship Council, the Sus10 tainable Forestry Initiative, the 

11 American Tree Farm System, or 

12 the Programme for the Endorse13 ment of Forest Certification; and 

14 ‘‘(ee) such other criteria as 

15 the Secretary determines to be 

16 appropriate; and 

17 ‘‘(V) national recognition within 

18 the building industry. 

19 ‘‘(vi) REVIEW.—The Secretary, in 

20 consultation with the Administrator of 

21 General Services and the Secretary of De22 fense, shall conduct an ongoing review to 

23 evaluate and compare private sector green 

24 building certification systems, taking into 

25 account— 


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1 ‘‘(I) the criteria described in 

2 clause (v); and 

3 ‘‘(II) the identification made by 

4 the Federal Director under section 

5 436(h) of the Energy Independence 

6 and Security Act of 2007 (42 U.S.C. 

7 17092(h)). 

8 ‘‘(vii) EXCLUSIONS.— 

9 ‘‘(I) IN GENERAL.—Subject to 

10 subclause (II), if a certification sys11 tem fails to meet the review require12 ments of clause (v), the Secretary 

13 shall— 

14 ‘‘(aa) identify the portions 

15 of the system, whether pre16 requisites, credits, points, or oth17 erwise, that meet the review cri18 teria of clause (v); 

19 ‘‘(bb) determine the portions 

20 of the system that are suitable 

21 for use; and 

22 ‘‘(cc) exclude all other por23 tions of the system from identi24 fication and use. 


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1 ‘‘(II) ENTIRE SYSTEMS.—The 

2 Secretary shall exclude an entire sys3 tem from use if an exclusion under 

4 subclause (I)— 

5 ‘‘(aa) impedes the integrated 

6 use of the system; 

7 ‘‘(bb) creates disparate re8 view criteria or unequal point ac9 cess for competing materials; or 

10 ‘‘(cc) increases agency costs 

11 of the use. 

12 ‘‘(viii) INTERNAL CERTIFICATION

13 PROCESSES.—The Secretary may by rule 

14 allow Federal agencies to develop internal 

15 certification processes, using certified pro16 fessionals, in lieu of certification by certifi17 cation entities identified under clause (ii). 

18 ‘‘(ix) PRIVATIZED MILITARY HOUS19 ING.—With respect to privatized military 

20 housing, the Secretary of Defense, after 

21 consultation with the Secretary may, 

22 through rulemaking, develop alternative 

23 certification systems and levels than the 

24 systems and levels identified under clause 

25 (ii) that achieve an equivalent result in 


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1 terms of energy savings, sustainable de2 sign, and green building performance. 

3 ‘‘(x) WATER CONSERVATION TECH4 NOLOGIES.—In addition to any use of 

5 water conservation technologies otherwise 

6 required by this section, water conservation 

7 technologies shall be applied to the extent 

8 that the technologies are life-cycle cost-ef9 fective. 

10 ‘‘(xi) EFFECTIVE DATE.— 

11 ‘‘(I) DETERMINATIONS MADE

12 AFTER DECEMBER 31, 2019.—The 

13 amendments made by section 

14 422(b)(1)(C) of the Energy Savings 

15 and Industrial Competitiveness Act of 

16 2019 shall apply to any determination 

17 made by a Federal agency after De18 cember 31, 2019. 

19 ‘‘(II) DETERMINATIONS MADE ON

20 OR BEFORE DECEMBER 31, 2019.— 

21 This subparagraph (as in effect on the 

22 day before the date of enactment of 

23 the Energy Savings and Industrial 

24 Competitiveness Act of 2019) shall 

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1 tem for green commercial and residen2 tial buildings by a Federal agency on 

3 or before December 31, 2019.’’; and 

4 (2) by striking subsections (c) and (d) and in5 serting the following: 

6 ‘‘(c) PERIODIC REVIEW.—The Secretary shall— 

7 ‘‘(1) once every 5 years, review the Federal 

8 building energy standards established under this sec9 tion; and 

10 ‘‘(2) on completion of a review under paragraph 

11 (1), if the Secretary determines that significant en12 ergy savings would result, upgrade the standards to 

13 include all new energy efficiency and renewable en14 ergy measures that are technologically feasible and 

15 economically justified.’’. 

16 (c) FEDERAL COMPLIANCE.—Section 306 of the En17 ergy Conservation and Production Act (42 U.S.C. 6835) 

18 is amended— 

19 (1) in subsection (a)— 

20 (A) in paragraph (1)— 

21 (i) by striking ‘‘(1) The head’’ and in22 serting the following: 

23 ‘‘(1) IN GENERAL.—The head’’; and 

24 (ii) by striking ‘‘assure that new Fed25 eral buildings’’ and inserting ‘‘ensure that 


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1 new Federal buildings and Federal build2 ings with major renovations’’; and 

3 (B) in paragraph (2)— 

4 (i) by striking the second sentence 

5 and inserting the following: 

6 ‘‘(B) PROCEDURES.—The Architect of the 

7 Capitol shall adopt procedures necessary to en8 sure that the buildings referred to in subpara9 graph (A) meet or exceed the standards de10 scribed in that subparagraph.’’; and 

11 (ii) in the first sentence— 

12 (I) by inserting ‘‘and Federal 

13 buildings with major renovations’’ 

14 after ‘‘new buildings’’; and 

15 (II) by striking ‘‘(2) The Fed16 eral’’ and inserting the following: 

17 ‘‘(2) APPLICABILITY.— 

18 ‘‘(A) IN GENERAL.—The Federal’’; and 

19 (2) in subsection (b)— 

20 (A) by striking the subsection heading and 

21 inserting ‘‘EXPENDITURES’’; and 

22 (B) by inserting ‘‘or a Federal building 

23 with major renovations’’ after ‘‘new Federal 

24 building’’. 


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1 SEC. 424. ENHANCED ENERGY EFFICIENCY UNDER2 WRITING. 

3 (a) DEFINITIONS.—In this section: 

4 (1) COVERED AGENCY.—The term ‘‘covered 

5 agency’’— 

6 (A) means— 

7 (i) an executive agency, as that term 

8 is defined in section 102 of title 31, United 

9 States Code; and 

10 (ii) any other agency of the Federal 

11 Government; and 

12 (B) includes any enterprise, as that term is 

13 defined under section 1303 of the Federal 

14 Housing Enterprises Financial Safety and 

15 Soundness Act of 1992 (12 U.S.C. 4502). 

16 (2) COVERED LOAN.—The term ‘‘covered loan’’ 

17 means a loan secured by a home that is issued, in18 sured, purchased, or securitized by a covered agency. 

19 (3) HOMEOWNER.—The term ‘‘homeowner’’ 

20 means the mortgagor under a covered loan. 

21 (4) MORTGAGEE.—The term ‘‘mortgagee’’ 

22 means— 

23 (A) an original lender under a covered loan 

24 or the holder of a covered loan at the time at 

25 which that mortgage transaction is con26 summated; 


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1 (B) any affiliate, agent, subsidiary, suc2 cessor, or assignee of an original lender under 

3 a covered loan or the holder of a covered loan 

4 at the time at which that mortgage transaction 

5 is consummated; 

6 (C) any servicer of a covered loan; and 

7 (D) any subsequent purchaser, trustee, or 

8 transferee of any covered loan issued by an 

9 original lender. 

10 (5) SECRETARY.—The term ‘‘Secretary’’ means 

11 the Secretary of Housing and Urban Development. 

12 (6) SERVICER.—The term ‘‘servicer’’ means the 

13 person or entity responsible for the servicing of a 

14 covered loan, including the person or entity who 

15 makes or holds a covered loan if that person or enti16 ty also services the covered loan. 

17 (7) SERVICING.—The term ‘‘servicing’’ has the 

18 meaning given the term in section 6(i) of the Real 

19 Estate Settlement Procedures Act of 1974 (12 

20 U.S.C. 2605(i)). 

21 (b) FINDINGS AND PURPOSES.— 

22 (1) FINDINGS.—Congress finds that— 

23 (A) energy costs for homeowners are a sig24 nificant and increasing portion of their house25 hold budgets; 


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1 (B) household energy use can vary sub2 stantially depending on the efficiency and char3 acteristics of the house; 

4 (C) expected energy cost savings are im5 portant to the value of the house; 

6 (D) the current test for loan affordability 

7 used by most covered agencies, commonly 

8 known as the ‘‘debt-to-income’’ test, is inad9 equate because it does not take into account the 

10 expected energy cost savings for the homeowner 

11 of an energy efficient home; and 

12 (E) another loan limitation, commonly 

13 known as the ‘‘loan-to-value’’ test, is tied to the 

14 appraisal, which often does not adjust for effi15 ciency features of houses. 

16 (2) PURPOSES.—The purposes of this section 

17 are to— 

18 (A) improve the accuracy of mortgage un19 derwriting by Federal mortgage agencies by en20 suring that energy cost savings are included in 

21 the underwriting process as described below, 

22 and thus to reduce the amount of energy con23 sumed by homes and to facilitate the creation 

24 of energy efficiency retrofit and construction 

25 jobs; 


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1 (B) require a covered agency to include the 

2 expected energy cost savings of a homeowner as 

3 a regular expense in the tests, such as the debt4 to-income test, used to determine the ability of 

5 the loan applicant to afford the cost of home6 ownership for all loan programs; and 

7 (C) require a covered agency to include the 

8 value home buyers place on the energy effi9 ciency of a house in tests used to compare the 

10 mortgage amount to home value, taking pre11 cautions to avoid double-counting and to sup12 port safe and sound lending. 

13 (c) ENHANCED ENERGY EFFICIENCY UNDER14 WRITING CRITERIA.— 

15 (1) IN GENERAL.—Not later than 1 year after 

16 the date of enactment of this Act, the Secretary 

17 shall, in consultation with the advisory group estab18 lished in subsection (f)(2), develop and issue guide19 lines for a covered agency to implement enhanced 

20 loan eligibility requirements, for use when testing 

21 the ability of a loan applicant to repay a covered 

22 loan, that account for the expected energy cost sav23 ings for a loan applicant at a subject property, in 

24 the manner set forth in paragraphs (2) and (3). 


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1 (2) REQUIREMENTS TO ACCOUNT FOR ENERGY

2 COST SAVINGS.— 

3 (A) IN GENERAL.—The enhanced loan eli4 gibility requirements under paragraph (1) shall 

5 require that, for all covered loans for which an 

6 energy efficiency report is voluntarily provided 

7 to the mortgagee by the mortgagor, the covered 

8 agency and the mortgagee shall take into con9 sideration the estimated energy cost savings ex10 pected for the owner of the subject property in 

11 determining whether the loan applicant has suf12 ficient income to service the mortgage debt plus 

13 other regular expenses. 

14 (B) EXPENSES AS OFFSETS.—To the ex15 tent that a covered agency uses a test such as 

16 a debt-to-income test that includes certain reg17 ular expenses, such as hazard insurance and 

18 property taxes, the expected energy cost savings 

19 shall be included as an offset to these expenses. 

20 (C) ASSESSED ENERGY COSTS.—Energy 

21 costs to be assessed include the cost of elec22 tricity, natural gas, oil, and any other fuel regu23 larly used to supply energy to the subject prop24 erty. 


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1 (3) DETERMINATION OF ESTIMATED ENERGY

2 COST SAVINGS.— 

3 (A) IN GENERAL.—The guidelines to be 

4 issued under paragraph (1) shall include in5 structions for the covered agency to calculate 

6 estimated energy cost savings using— 

7 (i) the energy efficiency report; 

8 (ii) an estimate of baseline average 

9 energy costs; and 

10 (iii) additional sources of information 

11 as determined by the Secretary. 

12 (B) REPORT REQUIREMENTS.—For the 

13 purposes of subparagraph (A), an energy effi14 ciency report shall— 

15 (i) estimate the expected energy cost 

16 savings specific to the subject property, 

17 based on specific information about the 

18 property; 

19 (ii) be prepared in accordance with 

20 the guidelines to be issued under para21 graph (1); and 

22 (iii) be prepared— 

23 (I) in accordance with the Resi24 dential Energy Service Network’s 

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1 monly known as ‘‘HERS’’) by an indi2 vidual certified by the Residential En3 ergy Service Network, unless the Sec4 retary finds that the use of HERS 

5 does not further the purposes of this 

6 section; or 

7 (II) by other methods approved 

8 by the Secretary, in consultation with 

9 the Secretary of Energy and the advi10 sory group established in subsection 

11 (f)(2), for use under this section, 

12 which shall include a third-party qual13 ity assurance procedure. 

14 (C) USE BY APPRAISER.—If an energy ef15 ficiency report is used under paragraph (2), the 

16 energy efficiency report shall be provided to the 

17 appraiser to estimate the energy efficiency of 

18 the subject property and for potential adjust19 ments for energy efficiency. 

20 (4) REQUIRED DISCLOSURE TO CONSUMER FOR

21 A HOME WITH AN ENERGY EFFICIENCY REPORT.— 

22 If an energy efficiency report is used under para23 graph (2), the guidelines to be issued under para24 graph (1) shall require the mortgagee to— 


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1 (A) inform the loan applicant of the ex2 pected energy costs as estimated in the energy 

3 efficiency report, in a manner and at a time as 

4 prescribed by the Secretary, and if practicable, 

5 in the documents delivered at the time of loan 

6 application; and 

7 (B) include the energy efficiency report in 

8 the documentation for the loan provided to the 

9 borrower. 

10 (5) REQUIRED DISCLOSURE TO CONSUMER FOR

11 A HOME WITHOUT AN ENERGY EFFICIENCY RE12 PORT.—If an energy efficiency report is not used 

13 under paragraph (2), the guidelines to be issued 

14 under paragraph (1) shall require the mortgagee to 

15 inform the loan applicant in a manner and at a time 

16 as prescribed by the Secretary, and if practicable, in 

17 the documents delivered at the time of loan applica18 tion of— 

19 (A) typical energy cost savings that would 

20 be possible from a cost-effective energy upgrade 

21 of a home of the size and in the region of the 

22 subject property; 

23 (B) the impact the typical energy cost sav24 ings would have on monthly ownership costs of 

25 a typical home; 


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1 (C) the impact on the size of a mortgage 

2 that could be obtained if the typical energy cost 

3 savings were reflected in an energy efficiency 

4 report; and 

5 (D) resources for improving the energy ef6 ficiency of a home. 

7 (6) PRICING OF LOANS.— 

8 (A) IN GENERAL.—A covered agency may 

9 price covered loans originated under the en10 hanced loan eligibility requirements required 

11 under this section in accordance with the esti12 mated risk of the loans. 

13 (B) IMPOSITION OF CERTAIN MATERIAL

14 COSTS, IMPEDIMENTS, OR PENALTIES.—In the 

15 absence of a publicly disclosed analysis that 

16 demonstrates significant additional default risk 

17 or prepayment risk associated with the loans, a 

18 covered agency shall not impose material costs, 

19 impediments, or penalties on covered loans 

20 merely because the loan uses an energy effi21 ciency report or the enhanced loan eligibility re22 quirements required under this section. 

23 (7) LIMITATIONS.— 

24 (A) IN GENERAL.—A covered agency may 

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1 hanced loan eligibility requirements required 

2 under this section in accordance with the esti3 mated risk of those loans. 

4 (B) PROHIBITED ACTIONS.—A covered 

5 agency shall not— 

6 (i) modify existing underwriting cri7 teria or adopt new underwriting criteria 

8 that intentionally negate or reduce the im9 pact of the requirements or resulting bene10 fits that are set forth or otherwise derived 

11 from the enhanced loan eligibility require12 ments required under this subsection; or 

13 (ii) impose greater buy back require14 ments, credit overlays, or insurance re15 quirements, including private mortgage in16 surance, on covered loans merely because 

17 the loan uses an energy efficiency report or 

18 the enhanced loan eligibility requirements 

19 required under this subsection. 

20 (8) APPLICABILITY AND IMPLEMENTATION

21 DATE.—Not later than 3 years after the date of en22 actment of this Act, and before December 31, 2023, 

23 the enhanced loan eligibility requirements required 

24 under this subsection shall be implemented by each 

25 covered agency to— 


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1 (A) apply to any covered loan for the sale, 

2 or refinancing of any loan for the sale, of any 

3 home; 

4 (B) be available on any residential real 

5 property (including individual units of con6 dominiums and cooperatives) that qualifies for 

7 a covered loan; and 

8 (C) provide prospective mortgagees with 

9 sufficient guidance and applicable tools to im10 plement the required underwriting methods. 

11 (d) ENHANCED ENERGY EFFICIENCY UNDER12 WRITING VALUATION GUIDELINES.— 

13 (1) IN GENERAL.—Not later than 1 year after 

14 the date of enactment of this Act, the Secretary 

15 shall— 

16 (A) in consultation with the Federal Fi17 nancial Institutions Examination Council and 

18 the advisory group established in subsection 

19 (f)(2), develop and issue guidelines for a cov20 ered agency to determine the maximum per21 mitted loan amount based on the value of the 

22 property for all covered loans made on prop23 erties with an energy efficiency report that 

24 meets the requirements of subsection (c)(3)(B); 

25 and 


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1 (B) in consultation with the Secretary of 

2 Energy, issue guidelines for a covered agency to 

3 determine the estimated energy savings under 

4 paragraph (3) for properties with an energy ef5 ficiency report. 

6 (2) REQUIREMENTS.—The enhanced energy ef7 ficiency underwriting valuation guidelines required 

8 under paragraph (1) shall include— 

9 (A) a requirement that if an energy effi10 ciency report that meets the requirements of 

11 subsection (c)(3)(B) is voluntarily provided to 

12 the mortgagee, such report shall be used by the 

13 mortgagee or covered agency to determine the 

14 estimated energy savings of the subject prop15 erty; and 

16 (B) a requirement that the estimated en17 ergy savings of the subject property be added to 

18 the appraised value of the subject property by 

19 a mortgagee or covered agency for the purpose 

20 of determining the loan-to-value ratio of the 

21 subject property, unless the appraisal includes 

22 the value of the overall energy efficiency of the 

23 subject property, using methods to be estab24 lished under the guidelines issued under para25 graph (1). 


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1 (3) DETERMINATION OF ESTIMATED ENERGY

2 SAVINGS.— 

3 (A) AMOUNT OF ENERGY SAVINGS.—The 

4 amount of estimated energy savings shall be de5 termined by calculating the difference between 

6 the estimated energy costs for the average com7 parable houses, as determined in guidelines to 

8 be issued under paragraph (1), and the esti9 mated energy costs for the subject property 

10 based upon the energy efficiency report. 

11 (B) DURATION OF ENERGY SAVINGS.—The 

12 duration of the estimated energy savings shall 

13 be based upon the estimated life of the applica14 ble equipment, consistent with the rating sys15 tem used to produce the energy efficiency re16 port. 

17 (C) PRESENT VALUE OF ENERGY SAV18 INGS.—The present value of the future savings 

19 shall be discounted using the average interest 

20 rate on conventional 30-year mortgages, in the 

21 manner directed by guidelines issued under 

22 paragraph (1). 

23 (4) ENSURING CONSIDERATION OF ENERGY EF24 FICIENT FEATURES.—Section 1110 of the Financial 


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1 Institutions Reform, Recovery, and Enforcement Act 

2 of 1989 (12 U.S.C. 3339) is amended— 

3 (A) in paragraph (2), by striking ‘‘and’’ at 

4 the end; 

5 (B) in paragraph (3), by striking the pe6 riod at the end and inserting ‘‘; and’’; and 

7 (C) by inserting after paragraph (3) the 

8 following: 

9 ‘‘(4) that State certified and licensed appraisers 

10 have timely access, whenever practicable, to informa11 tion from the property owner and the lender that 

12 may be relevant in developing an opinion of value re13 garding the energy- and water-saving improvements 

14 or features of a property, such as— 

15 ‘‘(A) labels or ratings of buildings; 

16 ‘‘(B) installed appliances, measures, sys17 tems or technologies; 

18 ‘‘(C) blueprints; 

19 ‘‘(D) construction costs; 

20 ‘‘(E) financial or other incentives regard21 ing energy- and water-efficient components and 

22 systems installed in a property; 

23 ‘‘(F) utility bills; 

24 ‘‘(G) energy consumption and 

25 benchmarking data; and 


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1 ‘‘(H) third-party verifications or represen2 tations of energy and water efficiency perform3 ance of a property, observing all financial pri4 vacy requirements adhered to by certified and 

5 licensed appraisers, including section 501 of the 

6 Gramm-Leach-Bliley Act (15 U.S.C. 6801). 

7 Unless a property owner consents to a lender, an ap8 praiser, in carrying out the requirements of para9 graph (4), shall not have access to the commercial 

10 or financial information of the owner that is privi11 leged or confidential.’’. 

12 (5) TRANSACTIONS REQUIRING STATE CER13 TIFIED APPRAISERS.—Section 1113 of the Financial 

14 Institutions Reform, Recovery, and Enforcement Act 

15 of 1989 (12 U.S.C. 3342) is amended— 

16 (A) in paragraph (1), by inserting before 

17 the semicolon the following: ‘‘, or any real prop18 erty on which the appraiser makes adjustments 

19 using an energy efficiency report’’; and 

20 (B) in paragraph (2), by inserting after 

21 ‘‘atypical’’ the following: ‘‘, or an appraisal on 

22 which the appraiser makes adjustments using 

23 an energy efficiency report.’’. 

24 (6) PROTECTIONS.— 


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1 (A) AUTHORITY TO IMPOSE LIMITA2 TIONS.—The guidelines to be issued under 

3 paragraph (1) shall include such limitations and 

4 conditions as determined by the Secretary to be 

5 necessary to protect against meaningful under 

6 or over valuation of energy cost savings or du7 plicative counting of energy efficiency features 

8 or energy cost savings in the valuation of any 

9 subject property that is used to determine a 

10 loan amount. 

11 (B) ADDITIONAL AUTHORITY.—At the end 

12 of the 7-year period following the implementa13 tion of enhanced eligibility and underwriting 

14 valuation requirements under this section, the 

15 Secretary may modify or apply additional ex16 ceptions to the approach described in paragraph 

17 (2), where the Secretary finds that the 

18 unadjusted appraisal will reflect an accurate 

19 market value of the efficiency of the subject 

20 property or that a modified approach will better 

21 reflect an accurate market value. 

22 (7) APPLICABILITY AND IMPLEMENTATION

23 DATE.—Not later than 3 years after the date of en24 actment of this Act, and before December 31, 2023, 


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1 each covered agency shall implement the guidelines 

2 required under this subsection, which shall— 

3 (A) apply to any covered loan for the sale, 

4 or refinancing of any loan for the sale, of any 

5 home; and 

6 (B) be available on any residential real 

7 property, including individual units of con8 dominiums and cooperatives, that qualifies for a 

9 covered loan. 

10 (e) MONITORING.—Not later than 1 year after the 

11 date on which the enhanced eligibility and underwriting 

12 valuation requirements are implemented under this sec13 tion, and every year thereafter, each covered agency with 

14 relevant activity shall issue and make available to the pub15 lic a report that— 

16 (1) enumerates the number of covered loans of 

17 the agency for which there was an energy efficiency 

18 report, and that used energy efficiency appraisal 

19 guidelines and enhanced loan eligibility require20 ments; 

21 (2) includes the default rates and rates of fore22 closures for each category of loans; and 

23 (3) describes the risk premium, if any, that the 

24 agency has priced into covered loans for which there 

25 was an energy efficiency report. 


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1 (f) RULEMAKING.— 

2 (1) IN GENERAL.—The Secretary shall pre3 scribe regulations to carry out this section, in con4 sultation with the Secretary of Energy and the advi5 sory group established in paragraph (2), which may 

6 contain such classifications, differentiations, or other 

7 provisions, and may provide for such proper imple8 mentation and appropriate treatment of different 

9 types of transactions, as the Secretary determines 

10 are necessary or proper to effectuate the purposes of 

11 this section, to prevent circumvention or evasion 

12 thereof, or to facilitate compliance therewith. 

13 (2) ADVISORY GROUP.—To assist in carrying 

14 out this section, the Secretary shall establish an ad15 visory group, consisting of individuals representing 

16 the interests of— 

17 (A) mortgage lenders; 

18 (B) appraisers; 

19 (C) energy raters and residential energy 

20 consumption experts; 

21 (D) energy efficiency organizations; 

22 (E) real estate agents; 

23 (F) home builders and remodelers; 

24 (G) State energy officials; and 

25 (H) others as determined by the Secretary. 


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1 (g) ADDITIONAL STUDY.— 

2 (1) IN GENERAL.—Not later than 18 months 

3 after the date of enactment of this Act, the Sec4 retary shall reconvene the advisory group established 

5 in subsection (f)(2), in addition to water and loca6 tional efficiency experts, to advise the Secretary on 

7 the implementation of the enhanced energy efficiency 

8 underwriting criteria established in subsections (c) 

9 and (d). 

10 (2) RECOMMENDATIONS.— 

11 (A) IN GENERAL.—The advisory group es12 tablished in subsection (f)(2) shall provide rec13 ommendations to the Secretary on any revisions 

14 or additions to the enhanced energy efficiency 

15 underwriting criteria deemed necessary by the 

16 group, which may include alternate methods to 

17 better account for home energy costs and addi18 tional factors to account for substantial and 

19 regular costs of homeownership such as loca20 tion-based transportation costs and water costs. 

21 (B) LEGISLATIVE RECOMMENDATIONS.— 

22 The Secretary shall forward any legislative rec23 ommendations from the advisory group to Con24 gress for consideration. 


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1 TITLE V—MISCELLANEOUS 

2 SEC. 501. BUDGETARY EFFECTS. 

3 The budgetary effects of this Act, for the purpose of 

4 complying with the Statutory Pay-As-You-Go Act of 2010, 

5 shall be determined by reference to the latest statement 

6 titled ‘‘Budgetary Effects of PAYGO Legislation’’ for this 

7 Act, submitted for printing in the Congressional Record 

8 by the Chairman of the Senate Budget Committee, pro9 vided that such statement has been submitted prior to the 

10 vote on passage. 

11 SEC. 502. ADVANCE APPROPRIATIONS REQUIRED. 

12 The authorization of amounts under this Act and the 

13 amendments made by this Act shall be effective for any 

14 fiscal year only to the extent and in the amount provided 

15 in advance in appropriations Acts. 

Æ 


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